Disciplinary Actions for Employees in Egypt: A Guide to Potential Penalties

According to Egyptian labor law (Law No. 12 of 2003), employers are required to establish a set of rules and regulations for employee conduct, including disciplinary actions. This legal framework ensures a fair and transparent system for addressing employee misconduct. The law mandates that employers create a detailed list of offenses and corresponding penalties, which must be approved by the relevant administrative authority. This list must be made available to all employees, providing clear guidance on expected behavior and the consequences of violating company policies. When an employee commits a work-related offense, the employer can impose disciplinary action, ranging from a verbal warning to termination. These penalties are classified into eight categories: warnings, wage deductions, delay in annual bonuses, deprivation of bonus benefits, postponement of promotions, salary reductions, demotion to a lower position, and termination of employment. The severity of the penalty is determined by the nature of the offense, and the law emphasizes the importance of proportional punishment, ensuring that the consequence aligns with the severity of the infraction. Importantly, employers have a limited timeframe to impose disciplinary actions, with a maximum of 30 days after completing the investigation into the alleged offense. This time constraint aims to prevent undue delays and ensure timely resolution of workplace disputes.