Egypt signed of 17 collective bargaining agreements in 2022: Ministry

CAIRO- 15 January 2023: To achieve the principle of strengthening the workforce, the Egyptian government has signed a total of 17 agreements of collective bargaining [the right to negotiate work relations effectively in accordance with the definition of the International Labor Organization] since the beginning of 2022, according to the Ministry of Manpower.

Minister of Manpower Hassan Shehata has directed the concerned bodies to communication with the entities that witness tensions or conflicts, to apply the principles of collective negotiation in a way that achieves the interests of all parties.

The General Administration for Settlement of Collective Labor Disputes at the Ministry have succeeded, since the beginning of 2022, to reach 17 collective labor agreements that achieve better terms and conditions for workers in accordance with the provisions of Labor Law No. 12 of 2003.

A total of 25,685 workers have benefited from these agreements in various sectors like tourism and hotels, food and chemical industries, construction and wood industries, maritime transport, banking and insurance.

The new Egyptian labor law is one of the most important legislations that workers in the private sector are awaiting to come to light, because of the great gains it brings to achieve job security for them.

Among the advantages of the new draft law is the abolition of arbitrary dismissal, or which is known as "Form 6", the speedy settlement of labor disputes, and the creation of an attractive climate for investment.

The Manpower Committee in the House of Representatives, headed by Representative Adel Abdel Fadil Ayyad, approved, during its meeting last Monday evening, the draft labor law submitted by the government, so that this would be the first meeting to discuss the draft law submitted by the government to issue the labor law, after the committee held hearings.

The government, represented by the Ministry of Manpower, indicated in the explanatory memorandum to the draft law that there is a need for a new labor law that meets the aspirations of the Egyptian people, in order to achieve justice and balance between the interests of workers and employers, and is based on a new philosophy that building balanced work relations between the two parties is connected to the production process, which guarantees work continuity and the creation of a balanced work community and a stable work climate.

The memo further noted that achieving a stable work climate will result in increasing production and motivating young people to work in the private sector without fear or anxiety, in addition to achieving job security in this sector by prohibiting arbitrary dismissal and setting disciplined guarantees to terminate the employment relationship.

The new draft law addresses the shortcomings contained in the current Labor Law promulgated by Law No. (12) of 2003, applies the concept of constitutional texts, is in line with the constitutional principles decided by the Supreme Constitutional Court, and is based on what jurisprudence has established and what is stipulated in the International Labor Organization conventions.

It is also clear that the amicable settlement between the two parties to the work relationship has faltered, the slow litigation processes, and the futility of criminal penalties have led to the existence of many pending labor disputes that have not been resolved, whether by mutual consent or before the courts, in addition to the lack of coordination between the labor law and the laws of social insurance, pensions, and children.