Court Upholds Ruling Requiring the Egyptian Association for Comprehensive Development to Pay Over EGP 245,000 in Compensation to Jordanian Employee for Arbitrary Dismissal
On 20 April 2025, the Ninth Labor Circuit of the Cairo Court of Appeal dismissed Appeal No. 400 of Judicial Year 141, filed by the Egyptian Association for Comprehensive Development challenging a judgment awarding compensation to the employee, Sabah H. S.
The court affirmed the judgment issued by the court of first instance, which awarded the plaintiff EGP 230,000 in compensation for arbitrary dismissal, in addition to moral damages and EGP 15,315 in lieu of notice, bringing the total amount awarded to EGP 245,315.
The plaintiff, a Jordanian national, had worked for the defendant association for 22 years and had surpassed the statutory retirement age during her employment. Due to her competence and dedication, the association extended her service beyond the legal retirement age.
The plaintiff’s attorney—affiliated with the Egyptian Center for Economic and Social Rights—requested that she be awarded a post-retirement service bonus in accordance with Article 126 of Egyptian Labor Law No. 12 of 2003. However, the court found that the plaintiff was entitled to full compensation for arbitrary dismissal covering her entire period of service, given the uninterrupted continuity of her employment.
An expert report confirmed the plaintiff’s right to compensation, concluding that the resignation she had submitted was legally invalid due to the absence of written acceptance by the defendant. As a result, the dismissal was deemed arbitrary, entitling the plaintiff to compensation calculated at the rate of two months’ salary for each year of service.
