Problems relating to Trade and Investment on Egypt

16. Employment
Issue	Issue details	Requests	Reference

(1) Obligations to employ Local Workers

- As long as an foreign funded enterprise (FFE) employs one (1) Japanese expatriate, at all times, it must satisfy the minimum employment requirement of local employees. In the event FFE, withdraws a certain business sector, the law requires continued employment of its employees specialised in such a sector, their transfer or relocation, or discharge under the justifiable amicable terms and conditions. This is a factor that blocks new employment of workers in a new business sector. As this requirement, applies to dispatch of a Japanese expatriate for a fixed period, it frustrates, de facto, a dynamic fostering of the local expatriates' forces.

- It is requested that GOE repeals or deregulates the restrictions.

- Labour Law (No. 12 of 2003).
- Ministry of Manpower & Emigration Decree No.136 (Amending Labour Law 2003):
"The number of the foreign workers in any establishment though it might have several branches, shall not exceed 10% of the total number of its workers."

<<BACK