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The situation of labour in post-revolutionary Egypt is uncertain. Since the revolution, strikes have become a regular occurrence across sectors and regions. Although the government has taken sporadic measures to address structural labour market problems, weak labour rights and standards remain a source of concern. Unemployment protection schemes and social insurance laws protect only workers in the formal sector. The government’s minimum wage policy shows a lack of clarity and progress. In June 2011, Egypt’s interim administration set the monthly wage rate for civil servants at USD 120 (EGP 700) per month. Some sources suggest that this minimum rate will be raised to USD 200 (EGP 1 200) monthly within three years under President Morsi’s Renaissance Project, yet even the implementation of the earlier rate of EGP 700 has proven problematic: over half a million temporary workers in government have not received the promised minimum wage, and it was unclear whether the minimum wage also applies to the private sector. If it had been fully implemented in the civil service, the upward adjustment to the wage structure could have added USD 1.5 billion to government spending in fiscal year 2011/12. The new constitution requires the government to establish a minimum wage, a pension scheme, social insurance and health care that would guarantee decent livelihoods for workers and in some cases the unemployed. Labour laws need to be strengthened in turn.
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