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State Council: Public bodies are subject to the maximum wage without contributing companies

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The Supreme Administrative Court has overturned the Prime Minister's decision on the subject of the employees of the Egyptian Company for Export Guarantee, to limit the entry of employees of the state agencies to no more than 42 thousand pounds, as they are joint stock companies which are not subject to the law of maximum wages.

In its ruling, the court affirmed that the legislator, when regulating the maximum wage, was designed to reduce the differences between incomes and to respect other constitutional principles, foremost of which is the right to work as a duty and honor guaranteed by the state. 2014 to determine the maximum wage and clearly defined the entities subject to this law, as specified no more than 35 thousand pounds, such as the minimum and not exceeding 42 thousand pounds per month.

The court relied on the Egyptian Export Guarantee Company as a joint stock company, in which the Egyptian Export Development Bank, the National Investment Bank, Misr Insurance Company and a number of insurance companies subscribed and are therefore persons of private law not subject to the maximum wage law.

Therefore, the court found that the decision of the Council of Ministers to approve the validity of its provisions on these workers has created a new legal rule that is not mentioned in the law and in violation of the constitutional obligation. Therefore, it is ineffective because the plaintiff company is not one of the public bodies that enumerate the law, Established by the legislator for the purpose of contributing to the development of exports and subject to the provisions of the law of joint stock companies.

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