Egypt’s unemployment rate has fallen dramatically over the last decade under President Abdel Fattah El Sisi, from 13% in 2014 to 6.9% in 2024, according to a Cabinet statement released on Tuesday.
The encouraging trend is ascribed to large national initiatives that have produced jobs in a variety of industries, resulting in the inclusion of many informal workers who have been properly registered with the Ministry of Labor.
The ministry helps young people find work through employment offices and licensed Egyptian labor recruiting organizations, resulting in nearly seven million jobs.
Furthermore, it oversees work permits for Egyptian workers abroad and operates nine labor representative offices in countries where almost five million Egyptian workers are employed.
In February 2023, President El Sisi announced a 50% rise in the minimum salary to 6,000 Egyptian pounds per month. This project seeks to reduce financial strains on residents while also supporting a comprehensive social protection scheme.
The new fiscal year budget includes 573 billion pounds for salaries, up from the existing budget of 470 billion pounds. The minimum wage has grown fivefold in six years, from 1,200 pounds in 2018 to 6,000 pounds in the most recent 2024 package.
President El Sisi has recently announced several initiatives to support and protect the irregular laborers of Egypt. In light of the COVID-19 pandemic, a fund has been established using resources from the Ministry of Manpower in various governorates. The primary objective of this fund is to enhance services and provide support to irregular laborers who have been affected by the pandemic.
To further support the irregular laborers, the Egyptian government has introduced several key policies. A 4.586-billion-pound presidential grant has been allocated, with 1.4 billion pounds designated for social and health care. The Emergency Relief Fund for workers has also been set up under the Ministry of Labor. This fund has provided over 1.6 billion pounds to private and public sector businesses affected by the pandemic in the last decade.
In addition, the Ministry of Labor has taken several measures to improve the skills of the youth and match them with the job market needs. The ministry runs 75 training centers nationwide, which aim to provide vocational training to young people. These centers offer training in high-demand professions, both in the local and international job markets.
Moreover, the ministry has set up 10 mobile units that offer free vocational training in villages. These units aim to provide training in remote areas that do not have access to vocational training centers. The Decent Life and Your Profession, Your Future programs are part of this initiative. These programs focus on high-demand professions and aim to bridge the gap between the skillset of young people and the job market needs.
In summary, the Egyptian government has taken several measures to support and protect the irregular laborers of the country. These initiatives aim to enhance services, provide support to those affected by the pandemic, and improve the skills of the youth to match the job market needs.
