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Riskdecision Medium-term

Decision No. 617 of 2025: Placement of 233 Employees at Service Disposal

31-08-2025·مجلس الوزراء·العمل والتوظيف
Analysis
Summary

The Council of Ministers has placed 233 employees of the defunct Ministry of International Cooperation on administrative leave ('at disposal of service') for one year. Employees will receive base salaries but no performance-linked allowances during this period. The Ministry of Civil Service will apply Chapter Seven of the Labor Law to determine their ultimate placement or separation.

Business Implication

This decision signals continued administrative restructuring within central government ministries following political transitions. Foreign companies should note that the abolition of the Ministry of International Cooperation—previously a key interface for foreign investment and multilateral engagement—may create coordination challenges for FDI facilitation and donor-funded projects. The one-year 'disposal' mechanism suggests the government is managing surplus public sector labor costs while avoiding immediate layoffs, a pattern that may extend to other ministries undergoing restructuring.

Key Provisions
233 employees of the former Ministry of International Cooperation placed on one-year administrative leave effective immediately
Employees retain base salaries but lose allowances tied to actual work performance during the disposal period
Ministry of Civil Service to apply Chapter Seven of Labor Law No. 12 of 2010 governing reassignment or termination procedures
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