Your Guide to Annual Leave Duration and Employee Rights in the Private Sector

Annual leave for the private sector in Egypt is one of the most important employee rights regulated by labor law. It gives employees a necessary rest period after continuous work and helps achieve balance between professional and personal life while maintaining productivity and stability in the employment relationship.

With the issuance of Egyptian Labor Law No. 14 of 2025, it has become important for both employees and employers to understand the duration of annual leave, when it becomes due, whether it can be carried forward, when its duration increases, and what the correct action is if the employer refuses to grant leave or if employment ends before the leave balance is used.

In this guide, we explain the key rules of annual leave in the private sector, noting that practical application may differ depending on the establishment’s nature and internal work regulations, provided that they do not violate the legal minimum.

What Is Annual Leave?

Annual leave is a paid rest period that the employee receives during the year after meeting eligibility conditions. It aims to allow the employee to rest without losing wages or employment because of using this legal right.

Annual leave is not an optional benefit granted by the employer. It is an employee right when its conditions are met, and it should be organized in a way that does not harm business interests or deprive the employee of the right.

Annual Leave Duration Under the New Labor Law

Under Labor Law No. 14 of 2025, the employee’s annual leave begins in the first year after completing at least six months of service, then increases with continued service or when certain special conditions apply.

• 15 days during the first year, after completing at least 6 months of service.
• 21 days starting from the second year.
• 30 days for employees who have completed 10 years of work or are over 50 years old.
• 45 days for persons with disabilities and people of short stature.
• 7 additional days for certain hazardous, unhealthy, or remote-area jobs according to the applicable controls and decisions.

It is important to note that calculating annual leave balance may be affected by appointment date, service period, work nature, employee status, and the establishment’s attendance and leave records.

When Is the Employee Entitled to Annual Leave?

The employee becomes entitled to annual leave after completing the required service period. In the first year, the employee is not entitled to the full annual leave from the first working day. They must complete at least six months in the employer’s service before the annual leave right begins under the law.

After that, leave is calculated according to service duration, employee status, age, and work nature. Therefore, the appointment date, attendance records, leave balance, and company regulations should be reviewed when calculating the due balance.

Is Annual Leave Paid?

Yes. Annual leave is paid because it is an employee right and not unjustified absence. The employee should receive their usual wage for annual leave days according to the legal controls and the establishment’s internal regulations.

Annual leave should not be treated as a salary deduction if it is due and approved according to company procedures and the law.

Can the Employer Refuse Annual Leave?

The employer has the right to organize leave dates according to business needs, but this does not mean depriving the employee of their leave right. The employer may schedule or postpone leave due to work necessity, provided that this does not become continuous prevention or loss of the employee’s right.

Therefore, if leave is repeatedly refused without a clear reason or without enabling the employee to use it later, the matter may become a labor dispute requiring legal review.

Can the Employee Take Annual Leave at Any Time?

The employee should not take annual leave without coordination with the employer or outside the establishment’s internal system. The employee should submit a leave request through the approved company method and wait for approval, except in exceptional cases regulated by internal policies or the law.

Organizing leave protects both parties. It preserves the employee’s right to rest while helping the employer maintain work continuity without sudden disruption.

Carrying Forward Annual Leave Balance

Some controls may allow annual leave balance to be carried forward for a limited period, but practical application depends on company policy, the employee’s requests, and the reason the balance was not used.

Therefore, it is better to document leave requests and any refusal or postponement by the employer, because these documents may be important if a dispute arises over leave balance or cash compensation when employment ends.

Does the Employee Receive Compensation for Unused Leave Balance When Employment Ends?

If the employment relationship ends and the employee has unused leave balance because of work requirements or because the employer did not enable them to take leave, the employee may have a right to cash compensation for that balance depending on the circumstances and documents.

In case of a dispute, the reason for not using the leave should be reviewed: Did the employee fail to request it? Did the employer refuse it? Was there a business necessity? Is the balance documented? These details affect the legal position.

Annual Leave vs. Casual Leave

Annual leave is an organized balance that the employee uses for rest during the year according to a schedule or prior request. Casual leave is usually related to a sudden or emergency circumstance that cannot be arranged in advance.

Labor law and the establishment’s internal regulations should be reviewed to know the number of casual leave days, how they are used, and whether they are deducted from annual leave balance or treated as a separate type of leave.

Are Official Holidays Counted as Annual Leave?

In principle, official holidays and public holidays decided by law or competent decisions are not counted from the annual leave balance, because they are independent from the employee’s annual leave entitlement.

Therefore, if annual leave overlaps with an official holiday, the establishment’s policy and legal rules should be reviewed to calculate the days accurately.

Annual Leave for Employees in Hazardous Work or Remote Areas

Annual leave increases for some employees working in hazardous, unhealthy, or remote-area jobs by additional days according to the applicable controls and competent decisions.

This increase does not apply automatically to all employees. The nature of the work, establishment classification, and applicable decisions should be reviewed to determine whether the increase applies to the employee in question.

Annual Leave for Persons With Disabilities and People of Short Stature

One of the important points in the new labor law is the increase of annual leave for persons with disabilities and people of short stature to 45 days, which requires employers to consider this category when organizing leave.

The status and required documents should be documented according to internal regulations and competent authorities so that the annual balance is calculated correctly without dispute.

Can Annual Leave Be Replaced With Money During Employment?

The main purpose of annual leave is rest, not permanent conversion into cash while the employment relationship continues. Therefore, annual leave should not become a continuous cash substitute that deprives the employee of the right to rest.

When employment ends, the matter may be different if there is unused due balance. In that case, the position is assessed according to documents and the reason the balance was not used.

Employee Obligations When Requesting Annual Leave

• Submit the leave request according to the company system.
• Consider business needs and operating schedules.
• Do not be absent from work without approval or legal justification.
• Keep a copy of the leave request or proof of approval.
• Follow up on leave balance with Human Resources.

Employer Obligations Regarding Annual Leave

• Enable the employee to use their due annual leave.
• Organize leave schedules without violating the employee’s right.
• Record leave balances clearly.
• Do not deduct wages for due annual leave.
• Do not use leave refusal as pressure or arbitrary action.
• Settle leave balance when employment ends according to the law.

Common Mistakes in Annual Leave

• Not documenting leave requests.
• Relying only on verbal approval.
• Confusing annual leave with sick leave or casual leave.
• Not following up on leave balance with HR.
• Refusing leave for years without enabling the employee to use it.
• Signing a final settlement without reviewing leave balance.

When Do You Need Labor Legal Consultation?

You may need a labor lawyer if the employer refuses to grant your annual leave, if the leave balance is not settled when employment ends, if there is a salary deduction because of due leave, or if the company regulations violate the legal minimum.

The employer may also need legal consultation to organize leave policies inside the establishment, calculate employee balances correctly, and avoid disputes when the employment relationship ends.

How Qanoony Online Can Help

Through Qanoony Online, you can book an online labor legal consultation with a lawyer or consultant specialized in labor law and human resources to review your situation and clarify your right to annual leave or leave balance.

Whether you are an employee who wants to know your leave rights, or an employer who wants to organize leave policy inside the company, you can choose the suitable consultant based on specialization, price, rating, and available appointment.

If you want to understand the difference between annual leave and other types of leave, you can also read our guide on sick leave in Egyptian labor law to understand when leave is connected to illness and how it differs in conditions, procedures, and pay.

Final Thoughts

Annual leave for the private sector in Egypt is a fundamental employee right, and its duration differs according to service period, age, employee status, and work nature. It starts from 15 days in the first year after completing 6 months, then 21 days from the second year, reaches 30 days in certain cases, and 45 days for persons with disabilities and people of short stature.

Because leave disputes often relate to documentation, calculation methods, and the reason for not using the balance, it is better to keep leave requests, review the balance regularly, and request legal consultation when a dispute arises.

The information in this article is for general awareness only and does not replace consultation with a specialized lawyer before taking any legal action.

Frequently Asked Questions About Annual Leave for the Private Sector in Egypt

What is the annual leave duration in the private sector?

Annual leave starts at 15 days in the first year after completing at least 6 months, then 21 days from the second year, reaches 30 days for those who have completed 10 years or are over 50, and 45 days for persons with disabilities and people of short stature.

Is annual leave paid?

Yes. Annual leave is paid when it is due and approved according to legal procedures and the establishment’s internal regulations.

Can the employer refuse annual leave?

The employer may organize the timing of leave according to business needs, but may not deprive the employee of the right or repeatedly and arbitrarily refuse leave.

Does the employee receive compensation for unused leave when employment ends?

The employee may be entitled to cash compensation for unused leave balance when employment ends if it is proven that the balance was unused because of business needs or because the employee was not enabled to take leave.

Are official holidays deducted from annual leave?

In principle, official holidays and public holidays are not deducted from annual leave balance, because they are independent from the employee’s annual leave entitlement.