What the law pays, by how the job ended

Labour Law No. 14 of 2025 came into force on 1 September 2025 and repealed Law No. 12 of 2003 (issuing law, Articles 12 and 13). Its chapter on ending employment has no award that every leaver receives. These are the payments it does set, in months of wage:

  • You resign: no end-of-service payment from the employer. A resignation must be in writing and approved by the labour office, and you can withdraw it within 10 days of being told it was accepted (Article 167).
  • Redundancy or closure for economic reasons: 1 month's wage for each of the first 5 years of service, then 1.5 months for each year after that (Article 241).
  • Dismissal without a legitimate reason: compensation set by the labour court of at least 2 months' wage for each year of service (Article 165). Resigning because of a serious employer breach or assault is treated the same way (Article 168).
  • The employer ends a fixed-term contract: 1 month's wage for each year of service (Article 154). The article is not clear on whether this covers every non-renewal or only contracts over five years, so check with a lawyer.
  • No notice given by the employer: the wage for the 3-month notice period, or the part not served (Articles 156 and 164).
  • Work after age 60 that earns no insurance rights: half a month's last wage for each of the first 5 years of that work, then 1 month for each year after (Article 172).
  • Death in service: the employer pays the family 2 months' last wage for funeral costs, at least EGP 1,000 under the 2025 law (Article 169).

Checklist: what you may be owed

Work through these before you sign any settlement or clearance.

  • How did the job end? Resignation, redundancy, dismissal, contract expiry or retirement each lead to a different payment above. Get the reason in writing.
  • Was notice given? Notice is 3 months for either side on an open-ended contract and cannot be shortened by agreement (Articles 156 and 161). If the employer skipped it, the notice wage is due (Article 164).
  • Final pay: unpaid wages are owed, and so is the wage for any annual leave you had not used when the job ended (Article 125).
  • Social insurance: check your contribution record with the National Organization for Social Insurance (NOSI). It decides your pension, and whether a lump sum or unemployment benefit applies.
  • Unemployment benefit: available only if you did not resign, you have at least 6 months of contributions and you register as unemployed. It pays 75% of your last insured wage at first, falling in steps (Law No. 148 of 2019, Articles 87 to 89).
  • Mutual agreement: an agreed exit must show that you received all your dues (Ministerial Decree No. 187 of 2025).
  • Disputes: only a labour court can order disciplinary dismissal (Article 148) or fix compensation for unlawful dismissal (Article 165).

Who these rules cover

Covered

  • Private-sector employees under Labour Law No. 14 of 2025, including foreign workers in Egypt (issuing law, Article 1).
  • Both open-ended and fixed-term contracts, with the differences set out above.

Not covered on this page

  • Employees of state bodies, including local administration and public authorities, and domestic workers: the law does not apply to them (issuing law, Article 1).
  • Any extra end-of-service scheme in your contract, company rules or a collective agreement. Check its terms separately.
  • The detail of pension calculations under Law No. 148 of 2019.

Questions

Is there end-of-service gratuity in Egypt?

Not as a general right. Labour Law No. 14 of 2025 pays only in specific exits: redundancy (Article 241), unlawful dismissal (Article 165), the employer ending a fixed-term contract (Article 154) and work after 60 without insurance rights (Article 172). Your employer or contract may offer more.

Do I get anything if I resign in Egypt?

No end-of-service payment from the employer. You are still owed unpaid wages and the wage for unused annual leave (Article 125). Unemployment benefit is not available after a resignation (Law No. 148 of 2019, Article 87).

How is redundancy pay calculated in Egypt?

1 month's wage for each of the first 5 years and 1.5 months for each year after that (Article 241). After 8 years that is 5 + 4.5 = 9.5 months' wage.

How much is compensation for unfair dismissal in Egypt?

A labour court decides it, and it cannot be less than 2 months' wage for each year of service (Article 165). You keep your other rights on top.

What is the notice period under the new Egyptian Labour Law?

3 months' written notice for either side on an open-ended contract (Article 156). It cannot be waived or shortened by agreement (Article 161).

Can I take my social insurance as a lump sum when I leave?

Usually not. The lump sum of 15% of annual wage for each contribution year is paid only in listed cases, such as reaching pension age, emigrating, a foreign worker leaving Egypt for good, total disability or death (Law No. 148 of 2019, Article 26).

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Sources