The Manpower and Immigration Ministry said on Saturday that it will put a labor draft law for a societal dialogue during October.
"After the societal dialogue, the bill will be referred to the cabinet for an approval " Manpower Minister Nahid Ashry said in a statement.
The bill has introduced a number of major amendments relating to the employment relationships.
It stipulates an obligatory salary increase of a minimum 7 percent per year.
The proposed law allows the employees for the first time to go on "peaceful" strikes through their labor unions.
It requires the approval of a two-third majority of the board of directors of the concerned labor union organization to stage a strike.
On the other hand, employees in strategic and vital establishments are not allowed to go on strikes.
A work permit is required for foreigners who plan to work in Egypt, according to the bill.
It also provides that the employer is allowed to hire employees for a probation period up to three months and the employment contract may be either for a definite or an indefinite period of time.