Background Checks in Egypt: Complete Guide for Employers

Egypt is the fastest-growing economy in the Middle East and North Africa (MENA). A government-backed plan is already in force to increase the private sector’s role in the economy. 

Egyptian demography is young, and businesses can expect a vast increase in the supply of skilled talents with higher levels of educational attainment. Private employers looking to hire local talents must follow local rules and regulations. They are also encouraged to engage responsibly to avoid legal and financial liabilities.

Employment background checks are a widespread hiring practice in Egypt. Not only do they help companies find suitable candidates for the role, but they also maintain the integrity of the workplace. Additionally, Egyptian background check law mandates following the data privacy principles mentioned under the data protection law for responsible hiring. 

We have designed the following page to convenience new employers in Egypt. It will help you understand the essential procedure, rules, and regulations of conducting background checks in Egypt. 

What is Employment Background Verification?

Employment background verification is acquiring and confirming a candidate’s personal and professional information. Employers run employment background checks on prospective and present employees to maintain the integrity and effectiveness of the workplace. Companies can review criminal, financial, employment, and educational records during a background check. 

Even though employment background verification is not mandatory for all industries, it is a recommended hiring procedure. Employers can perform criminal background checks to ensure minimum liability and safety in the workplace. Furthermore, verifying the candidate’s academic credentials and professional experience ensures they can handle the duties of the job position.

Employers must adhere to local laws and regulations while conducting background checks. Companies can dedicate an HR team to the task. They can also outsource it to third-party firms in compliance with local laws and regulations. 

Benefits of Background Checks in Egypt

Pre-employment background checks in Egypt assist companies in minimizing job application discrepancies and misinformation. 

Several employers in Egypt have already noticed an improvement in the quality of job application quality when background checks are included in the recruiting process. 

Here are some key benefits of conducting employee background screening in Egypt. 

Upholding the standard of the interview process

• Most application discrepancies are found in the education and past employment sections. 
• Incorporating background checks filters out candidates based on verified details, thereby upholding the company standards.

Finding the right fit

• Employee screening in Egypt ensures that businesses find the best applicant for the job. 
• Companies running background checks in Egypt will know if the applicant possesses the academic aptitude and professional experience required for the position.

Maintaining accountability and productivity in the workplace

• Repetitive hiring procedures negatively impact the work and are expensive.
• The workplace is less productive when there are frequent changes. Companies must focus more on filling openings rather than considering ways to strengthen the workforce.
• Background checks will prevent frequent and unnecessary hiring processes and optimize company resource utilization. 

Minimize legal and financial liabilities 

• When it comes to specific industries, such as childcare or security, conducting a background search can avoid exposure to legal or financial risks.
• Background searches in Egypt following ethical employment practices can prevent business liabilities in the future.

Are Background Checks Legal in Egypt?

Yes, background checks are legal in Egypt. There are no limitations on what information employers can and cannot access while conducting a background search. 

Employers can verify criminal records, financial records, academic qualifications, work experience, and social behavior during employment background checks in Egypt. 

Things to Know When Performing a Background Check in Egypt

Businesses must abide by the Data Protection Law of Egypt while processing and handling personal data. 

On 13 July 2020, Egypt’s Government issued various standards to protect the rights of individuals. Local businesses got successive extensions to make the necessary changes, and the law has been in force since April 2022. 

The Data Protection Law of Egypt is based on the European General Data Protection Regulation (GDPR). Any data revealing the direct identity of an individual (e.g. name, ID number, photograph, telephone number) is under the purview of the data protection law. 

Not only that, but indirect information about an individual, like date of birth, gender, hobbies, and website searches are also included. Further, any data relating to an individual’s psychological or physical health, economic status, and cultural or social identity are protected under privacy law. 

Candidates can withdraw their consent anytime, and employers must give up full access to the processed data. The processing data under the Egyptian background check law is valid as follows: 

• Employees need written consent from prospects or employees for background checks in Egypt.
• Employers can conduct employment background screening in Egypt if it is essential per contractual obligation or a court judgment or order issued by regulatory authorities. 
• Employers can take help from third-party service providers to process data that doesn’t contradict the candidate’s fundamental rights, i.e. employers cannot discriminate based on political views, medical records of pregnancy or otherwise, financial credit history, etc. 

Here are other critical aspects of employee screening in Egypt. 

Criminal record

• Employers can conduct a criminal background check in Egypt. 
• Registered employers can contact background check companies to fetch candidates’ criminal history under the Egyptian Data Protection Law (mentioned above). 

Credit report 

• The results of a credit check show a candidate’s financial history. 
• Credit checks are therefore necessary for roles involving the company’s finances or managerial responsibilities.
• Employers can verify candidates’ credit scores from a credit reporting agency called I-Score.

Employment history

• Examining a candidate’s work experience might help companies better understand their work habits and conduct. 

• Employers can accomplish this by getting in touch with the workplace reference provided in the resume.
• Employers can determine whether candidates are prepared to carry out the job responsibilities by getting in touch with previous employers. 

Education history

• Academic credentials are relevant to the majority of job profiles. They demonstrate whether the applicants have the necessary knowledge to perform the job.
• Companies might check to see if applicants’ resumes have the correct certificates and qualifications.
• Employers can get in touch with the candidate’s educational institutions as well. It ensures that candidates have provided accurate information and are legitimate candidates for the position.

Social life

• Employers can access the candidate’s publicly available information on social media networks as part of an HR background check in Egypt.
• It helps understand a candidate’s behavioral characteristics, political viewpoints, and much more.

Information Essential for a Background Check in Egypt

Here are some crucial aspects employers must know before conducting a pre-employment background check in Egypt: 

• Employers can conduct medical checks if relevant. They can choose not to hire an employee if the results are not up to the mark. 
• Companies can also deny hiring a candidate if their results for drug and alcohol tests are unsatisfactory. 
• For the breach of the Data Protection Law, employers are liable to a fine of 2,000,000 to 5,000,000 Egyptian Pounds. They can also face imprisonment of up to three years. 

Process Involved in Background Checks in Egypt

There is no standard template for conducting a company background check in Egypt. However, employers can follow the framework below. 

Step 1: Obtaining consent from the candidate

• Written consent from the prospects is necessary to process their personal data while conducting background checks in Egypt. 

Step 2: Collecting data

• Job application is the primary source of data to be verified. 
• Employers must gather supporting documents like academic qualifications, work experiences, and certifications to begin employment background checks in Egypt. 

Step 3: Pre-employment background check

• Companies are encouraged to ensure they are processing only necessary data while conducting pre-employment background checks in Egypt. 

1. 1. Companies can examine the academic credentials provided by candidates in the form of certifications and transcripts. Additionally, they might get in touch with the candidate’s educational institutions.
   2. Employers can check all of the references on a candidate’s resume to verify their experience. 
   3. Employers can check a candidate’s social media presence as an HR background check.
   4. Companies can verify criminal, financial, and medical records if required. 

Step 4: Deleting processed data 

• Employers cannot hold the data for longer than necessary, as per the Egyptian background check law. 
• However, employers or contracted third-party must maintain a log of their data processing. 

Industries and Situations That are Most Suitable for Background Checks in Egypt

Employers in many fields require background checks in Egypt to protect themselves from legal and financial losses. 

Credit checks are essential for management positions, high-level executive positions, and positions related to the company’s finance. Criminal background checks are necessary, for instance, in the childcare, education, security, or transportation industries.

Moreover, for some job positions, medical checks are also required to ensure that the candidate can perform the tasks. 

Apart from these instances, employers from remaining sectors are also encouraged to conduct employee screening in Egypt. For example, academic qualifications and work experience are relevant to almost all jobs. And verifying these details provides long-term benefits to the company. 

How Multiplier Helps With Background Checks

Companies are vulnerable to legal liabilities if they fail to comply with local rules and regulations while hiring globally. 

In Egypt, there are no limitations on the type of information that employers can verify during background checks. However, businesses must comply with the Egyptian Data Protection Law while processing candidates’ data.  

Comprehending the local regulations and then incorporating them takes considerable time and effort. Mistakes while reading the specifics can have serious consequences on your business. So, to avoid such scenarios, employers can partner with third-party solutions like Multiplier. 

Multiplier is a PEO-EOR firm that provides effective and innovative solutions to comply with local rules and regulations for over 150 countries. We have a team of skilled and talented professionals that can manage payroll, draft legal documents, distribute employee benefits, etc. 

Multiplier also offers solutions to avoid legal liabilities while hiring, managing, and onboarding employees in Egypt.