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| Hanafi gebaly |
The periodic bonus rate for state employees is the most important point settled by the House of Representatives , headed by Counselor Dr. Hanafy Gebaly, today regarding the file of increasing the additional incentive for state employees. This is stated in Article 3 of a draft law submitted by the government to determine the periodic bonus rate for those subject to the Civil Service Law, grant a special bonus to those not subject to the Civil Service Law, increase the additional incentive for state employees, and establish a special grant for employees in public sector companies and the public business sector.
This came during the plenary session of the House of Representatives today, Tuesday, during the discussion of the report of the joint committee of the Manpower Committee and the offices of the Planning and Budget Committee and the Constitutional and Legislative Affairs Committee on the draft law submitted by the government to determine the periodic bonus rate for those subject to the Civil Service Law, grant a special bonus to those not subject to the Civil Service Law, increase the additional incentive for state employees, and establish a special grant for employees in public sector companies and the public business sector.
Article 3, as approved by the Council, reads as follows:
Effective July 1, 2025, the additional incentive granted to employees subject to the provisions of the aforementioned Civil Service Law, and to workers not subject to it, will be increased monthly by a fixed financial category of 700 pounds. This incentive will be available to employees or workers appointed after this date, and this incentive will be considered part of the supplementary wage or variable wage for each of them, as the case may be.
Mountain anger
Speaker of the House of Representatives, Counselor Dr. Hanafy Gebaly, urged members of the House to remain in their seats and refrain from idle chatter during today's plenary session, which is discussing the new periodic bonus bill.
Addressing the members, Gebaly said, "Listen to your colleagues as they present their views on the draft law... It's not reasonable for us to just sit and talk among ourselves!"
During the session, the House discussed the draft law submitted by the government to determine the percentage of the periodic bonus for those subject to the provisions of the Civil Service Law, grant a special bonus to those not subject to it, increase the additional incentive for state employees, and approve a special grant for employees of public sector and public business sector companies.
The draft law stipulates that the periodic bonus due to employees subject to the provisions of Civil Service Law No. 81 of 2016 shall be 10% of their functional salary as of June 30, 2025, with a minimum of EGP 150 per month. This bonus shall be considered part of their functional salary as of July 1, 2025.
It also stipulates that state employees not subject to the provisions of the Civil Service Law shall be granted, as of July 1, 2025, a special bonus of 15% of their basic salary as of June 30, 2025, or on the date of appointment for those appointed after that date, with a minimum of EGP 150 per month. This bonus shall be considered part of their basic salary and shall be included in it as of the same date. This bonus shall not apply to public service and economic bodies and other entities that grant periodic bonuses of no less than 10% of their functional or basic salary. In such cases, a special bonus shall be paid, calculated based on the difference between the two percentages, and added to their basic salary.
Incentive increase percentage
The draft law also provides for an additional incentive increase of EGP 700 per month, effective July 1, 2025, for employees subject to and not subject to the civil service. This incentive is considered part of the supplementary or variable wage and also applies to those appointed after this date.
The draft defines state employees and workers covered by the provisions of the previous articles as including permanent and temporary employees and workers with comprehensive bonuses, those holding public positions and fixed-term contracts within the Arab Republic of Egypt whose appropriations are included in the budget, and those whose employment affairs are regulated by special laws or regulations, in addition to employees of public service and economic entities.
As for employees of public sector and public business sector companies, they will be granted, effective July 1, 2025, a monthly grant disbursed from their own budgets. This grant is equivalent to the difference between the percentage of their annual periodic bonus and the percentage of the special bonus granted to those not subject to the civil service, in accordance with the rules for calculating the bonus in each company. The grant is disbursed as a lump sum and is not included in the basic salary. If the total amount an employee receives as a comprehensive wage component is less than EGP 7,000 after the increase is applied, their income will be increased by the difference to reach this minimum, with the relevant ministers issuing the relevant regulations.
The law also stipulates that the special bonus or company grant stipulated for the employee may not be combined with the increase in the employee's pension due for themselves, starting from July 1, 2025. If the employee is younger than the legal retirement age, they are entitled to the bonus; if it is less than the pension increase, the pension will be increased by the difference. If the employee reaches the legal retirement age, they will be granted the pension increase; if it is less than the value of the bonus, the difference will be paid by the employer.
The draft law authorizes the Minister of Finance to issue the necessary executive decisions, and each relevant minister will issue the necessary measures to implement the article on the company grant. The law will be effective from July 1, 2025
