Observation (CEACR) - adopted 2005, published 95th ILC session (2006)

Labour Clauses (Public Contracts) Convention, 1949 (No. 94) - Egypt (Ratification: 1960)

The Committee notes the Government’s report which essentially reproduces information communicated to the Office before. The Committee recalls that it has been commenting on the application of the Convention since its ratification by Egypt and regrets that the Government is once again unable to indicate any real progress in bringing its national legislation into conformity with the requirements of the Convention.  The Government makes renewed reference to section 79 of the new Labour Code of 2003 even though the Committee has already noted that this provision, as much as section 57 of the former Labour Code of 1981, does not suffice for the application of Article 2 of the Convention which explicitly requires the insertion of labour clauses in those public procurement contracts meeting the conditions specified in Article 1 of the Convention. The Committee further considers that sections 3, 5, 34, 35 and 76 of the new Labour Code to which reference is also made in the Government’s report are not strictly relevant to the subject matter of the Convention and therefore may not be regarded as giving effect to its provisions. The general principles set out in the Labour Code regarding minimum wage fixing, maximum working hours or occupational safety and health cannot automatically guarantee to the workers concerned labour conditions which are not less favourable than whichever is the most favourable of the three alternatives provided for in the Convention, i.e. collective negotiation, arbitration or legislation.

As the Committee has stated on a number of occasions, the legislation to which the Government refers in most cases lays down minimum standards, for instance as regards wage levels, and does not necessarily reflect the actual working conditions of workers. Thus, if the legislation lays down a minimum wage but workers in a particular profession are actually receiving higher wages, the Convention would require that any workers engaged in the execution of a public contract be entitled to receive the wage that is generally paid rather than the minimum wage prescribed in the legislation. In other terms, the application of the general labour legislation is not enough in itself to ensure the application of the Convention, inasmuch as the minimum standards fixed by law are often improved upon by means of collective agreement or otherwise.

Therefore, in the interest of maintaining a constructive dialogue, the Committee would appreciate if the Government would specify in its next report any concrete measures taken or contemplated to implement the Convention in law and practice, and recalls in this respect that the inclusion of labour clauses in all the public contracts covered by the Convention does not necessarily call for legislative enactment but may also be effected by means of administrative instructions or circulars.