Employer of Record (EOR) in Egypt
Looking to expand your workforce or work independently with legal employment status in Egypt? Use Native Teams’ Employer of Record (EOR) services to manage everything with full compliance without setting up a local entity.
How does an EOR in Egypt work?
Native Teams’ EOR solution handles all employment-related responsibilities for your employees in Egypt, from onboarding and payroll to legal compliance and administrative tasks, ensuring every detail is managed smoothly. By partnering with Native Teams, you can delegate these complex tasks while retaining full visibility and control over your workforce.
For freelancers, contractors, and consultants, the solution provides compliant payments, secure contracts, and statutory benefits, including health insurance and pension plans. It also ensures taxes and social contributions are managed in full accordance with Egyptian regulations, offering peace of mind while working with international clients.
Who can use EOR services in Egypt?
Employer of Record (EOR) services in Egypt are designed to cater to a wide range of businesses and individuals seeking to expand their operations or workforce in the country.
Businesses
Businesses can significantly benefit from EOR services in Egypt. Whether you're a startup expanding into a new market or a multinational managing remote teams, an EOR simplifies payroll, legal compliance, and employment responsibilities, enabling businesses of all sizes to access Egypt’s talent pool without the logistical challenges of establishing a legal entity.
Individuals
By partnering with an EOR, individuals such as freelancers and independent contractors can access benefits like health insurance, retirement plans, and other employment perks, often reserved for traditional employees. This enables them to maintain their independent status while enjoying the advantages of a more structured employment arrangement.
Features of Native Teams’ EOR services in Egypt
Employment status
Using Native Teams’ EOR services ensures both businesses and freelancers have legal employment status in Egypt. Businesses can hire without the need to establish a local entity, while freelancers gain formal employment status, which entitles them to local labour protections and benefits.
HR administration and documentation
Native Teams streamlines HR tasks for both businesses and freelancers by centralising contract management and documentation on one platform. Businesses can easily manage employee records and payroll, while freelancers can handle contracts and paperwork efficiently.
Global payroll
Both businesses and freelancers benefit from Native Teams' payroll calculator across 85+ countries. Businesses can calculate and manage salaries, taxes, and benefits in compliance, while freelancers receive reliable payments with accurate processing to ensure compliance.
Benefits
Businesses can ensure their employees in Egypt receive all mandatory benefits, such as healthcare, insurance, and pensions. Freelancers can also access these benefits, which are typically unavailable to independent contractors.
Explore Egypt’s labour laws in our hiring guide.
What legal requirements exist for employment in Egypt
Company establishment
To hire employees in Egypt, businesses must establish a local legal entity, which involves registering with the relevant authorities, obtaining a tax identification number (TIN), and opening a business bank account in the country.
Social security
Employers in Egypt are legally required to submit their employees' social security contributions to the relevant authorities, ensuring that employees are covered for pensions, healthcare, and other social security benefits.
Income taxes
Employers in Egypt must withhold income tax from their employees’ salaries and remit these taxes to the Egyptian Tax Authority. It is the employer’s responsibility to ensure that the correct amounts are deducted and submitted in a timely manner.
Employment contracts
In Egypt, employers are required to provide employees with written employment contracts that comply with local labour laws. These contracts must outline the terms of employment, including job responsibilities, working hours, compensation, and benefits.
Labour laws
Employers in Egypt must adhere to a range of labour laws governing aspects such as minimum wage, working hours, paid leave, termination policies, and health and safety regulations. These laws aim to protect the rights of employees and ensure fair working conditions.
Please note that employment laws in Egypt vary by job category and individual circumstances and are subject to change.
Why Choose Native Teams as your Egypt Employer of Record?
Native Teams simplifies the complexities of hiring and managing employees in Egypt. With our EOR services, you can manage everything from managing employment contracts to payroll processing and much more in a single platform. Whether you're a business expanding into Egypt or a freelancer looking for formal employment benefits, Native Teams offers tailored support to meet your needs.
By partnering with Native Teams, you gain access to expert guidance, comprehensive benefits administration, and cost-effective solutions, allowing you to focus on your business growth while we manage the legal and administrative aspects of employment in Egypt.
``What is an Employer of Record?
An Employer of Record (EOR) is a service that allows companies to hire employees in a foreign country without the need to establish a legal entity there. The EOR assumes responsibility for all employment-related tasks, including compliance with local labour laws, payroll, tax withholding, benefits administration, and more. An EOR service in Egypt also helps individuals like freelancers, remote workers, contractors, etc, to obtain legal employment status and gain access to traditional employment benefits.
What are the costs of using an Employer of Record in Egypt?
Costs can vary based on the EOR provider, the size of your team and the scope of services required. These costs are typically lower than the expenses associated with setting up a local entity, making EOR services a cost-effective solution for businesses expanding into Egypt.
Native Teams offers transparent pricing, with a clear breakdown of all services and is considered one of the most affordable EOR solutions. For businesses, the EOR plan starts at €79 per month per employee; for individuals, the Remoter plan starts at €49 per month. Both plans provide comprehensive tools to ensure compliance with Egyptian labour laws.
What is the difference between PEO and EOR?
A Professional Employer Organisation (PEO) and an Employer of Record (EOR) both manage employment responsibilities, but with key differences. A PEO typically enters into a co-employment relationship, where the company retains control over its employees while the PEO manages HR functions like payroll and benefits.
In contrast, an EOR takes full legal responsibility for the employee, acting as the official employer and handling all aspects of employment, including legal compliance and liability.
What are the responsibilities of an Employer of Record (EOR)?
The main responsibilities of an EOR include managing the full legal employment lifecycle for employees, such as handling contracts, payroll, tax withholdings, benefits, social security contributions, and offboarding.
Additionally, the EOR ensures compliance with local labour laws, including employee protections, minimum wage regulations, and working hours. Native Teams also handles HR administration and employee documentation and ensures that all employment practices comply with Egyptian legislation.
Is using an Employer of Record in Egypt legal?
Yes, using an Employer of Record in Egypt is fully legal. Native Teams complies with all relevant Egyptian employment laws and ensures that all legal and administrative requirements are met for both businesses and freelancers. By using an EOR, companies can avoid the complexities of setting up a local entity and still operate within the bounds of the law, ensuring employees are properly contracted and compensated.
Why should I use EOR instead of opening my own company or an office in Egypt?
Using an EOR, such as Native Teams, is a cost-effective and streamlined solution compared to opening a local company or office in Egypt. Establishing a legal entity involves significant costs, time, and administrative effort.
With an EOR, you can quickly and easily hire employees, manage payroll, and ensure full compliance with Egyptian labour laws, all without the need to manage the complex process of company formation, tax registration, and office setup.
How many people can I employ in Egypt?
There is no specific limit on the number of people you can hire in Egypt. With Native Teams' EOR services, you can employ as many people as needed in Egypt, regardless of whether you're a startup, SME, or multinational company.
Our platform makes it easy to scale your workforce as your business grows, all while ensuring legal compliance with Egyptian employment laws. Whether you're hiring one person or an entire team, we handle all the administrative and legal tasks associated with employment in Egypt.