Foreign workers in Egypt
To hire a foreign worker in Egypt number of laws must be taken into consideration regarding the percentage of workers at each facility and the experience required in each worker.
By the end of last year a new investment law was issued number 72 for the year 2017, amending the law number 159 for the year 1981 promulgating the joint stock companies, limited liabilities companies and partnership limited by shares and abrogating law number 8 for the year 1998 promulgating investments guaranties and intensives.
The new investment law has amended the intensives provided by virtue of the prior law/s giving more space and empowering the foreign investments in Egypt and the foreign workers as well.
As per to article 8 from this law (the investment project shall have the right to appoint foreign workers in the amount of 10% maximum of the total number of workers in the project. This rate may be increased to 20% maximum of the total number of workers in the project, in case it is not possible to appoint national workers who have the required qualifications, in accordance with the controls and rules set forth in the executive regulation).
The first step towards hiring a foreign worker is to make sure that he/she is allowed to get into the country and after that to be directed to the Manpower and Immigration directorate or any of its bureaus located within the area of the project or the premises headquarter and to facilitate the proceedings, the bureau located at the General Authority for Investment and Free Zones may issues those permits.
Egypt is one of the countries which believes in the reciprocity principal, accordingly any country which shall grant the Egyptian national workers an exemption from obtaining the permit to be exempted here in Egypt in case that exemption is based on an international agreement and to be applied within the limits and the rules of the agreement.
And as per to the Ministerial decision number 305 for the year 2015, some categories, in addition to what is previously mentioned, to be exempted from obtaining the permit including, the members and the families of the diplomatic staff, foreign reporters and the foreigners working at the Egyptian ships operating outside the regional water, and The foreign investor who has (investor visa) to practice his activities in the country, the joint partner whose contribution in the capital is not less than 35 Thousand Dollar or its equivalent in Egyptian pounds, along with other exempted categories.
And whoever hires a foreigner who is exempted as per to this ministerial decision from obtaining the permit , is obligated to notify the competent directorate which is located at the premises area, within 7 days from the day of the foreigner’s practicing his work, and also when ending his services.
In order to hire a foreign worker, he/she must meet some conditions, the most important of all is that, the experience and qualifications of the foreigner should comply with the profession he is licensed for, and his experience must not be less than three years, in addition to obtaining the work permit in accordance with the laws and regulations applicable in the country.
Before starting the proceedings a list of documents must be prepared required by the Ministry of Manpower and Immigration including; the hiring company’s commercial register, letter of association and the tax card, the foreign employee’s valid passport, and the employee’s HIV test results, a statement from the company explaining and clarifying the addition that the foreign employee shall make and the importance of hiring him/her, a security check for the foreign employee , an approval from the concerned authority, when deemed necessary in some professions, and the license of practicing the profession when needed, the academic certificate of the foreign employee.
The fees to be paid as per to the Ministerial decree is, Three thousand Egyptian pounds for licensing a year up to three years, acquired per year, Five thousand Egyptian pounds, in case of the approval of renewing the permit, and that is from the fourth year to the sixth, increasing by one thousand pound per year with maximum twelve thousand Egyptian pound.
Furthermore each company shall maintain a special registrar to include all the foreign employees name and surname in both Arabic and English language-The foreigner’s name in both languages Arabic and English, surname, date of birth, passport date of issuance, nationality and religion, the foreigner employee’s profession, qualifications, the kind of work he/she is doing, the date of entering the country, and the amount wage paid, the number and date of issuing the work permit, the name of the Egyptian assistants who were assigned to work with the foreign expert, to gain the expertise, additionally the company shall submit an annual report to the concerned Manpower and Immigration directorate including the information hereof and a report with the number and professions of the Egyptian workers in the premises associated with form (2) insurance, or any other document issued from the relevant social insurance authority, to know the number of the insured Egyptian workers.
Additionally the foreigner employee must keep his residency in Egypt after conducting the HIV test and up till obtaining the test results.
Obtaining the permit in Egypt is something must be done through an experienced Attorney, the proceedings may seem complicated but as a matter of fact, it’s a group of procedures to be followed and taken one step after the other.