Addis Abeba– The Confederation of Ethiopian Trade Unions (CETU) has called on the government to “reconsider additional deductions” from workers’ wages, stating that such deductions would “further burden their livelihoods” amid rising living costs and low wages.
In a statement issued on 29 April ahead of the 2025 International Workers’ Day, the Confederation emphasized that workers living paycheck to paycheck “cannot cope with the cost of living pressures” and are struggling to support themselves and their families with “the current low wages being paid.” The Confederation urged the government to reconsider additional wage deductions, although it did not specify the details of these deductions, stating that such measures “further burden their livelihoods.”
The statement from CETU comes as a new bill, tabled before the House of Peoples’ Representatives on 18 March 2025, proposes mandatory monthly salary deductions from both government and private sector employees to fund disaster risk management. The draft legislation seeks to establish the Ethiopian Disaster Risk Management Commission as an independent federal entity and outlines various funding sources, including employee salary contributions, service charges from financial institutions, and levies on a range of goods and services.
CETU also noted that while workers earning 600 birr per month or less were previously exempt from income tax, the current tax-exempt threshold is “no longer aligned with present inflation rates.” The Confederation has therefore called for an increase in the minimum monthly wage amount that is tax-exempt and a reduction in the “35% income tax bracket for those earning 10,900 birr and above.” It argued that the existing tax system “does not reflect the financial realities of Ethiopian workers.”
The Confederation also addressed the long-standing issue of establishing a Wage Board to set a national minimum wage. Although the Labor Proclamation mandates its creation, the Confederation noted that “the regulation required to implement this has not yet been issued by the Council of Ministers.” It added that while the matter was included in its 2025 work plan with the Ministry of Labor and Skills and a discussion had taken place, “the board has not yet been established.” It called for “immediate action” to ensure the board becomes operational.
In addition, the Confederation raised concerns about workers’ organizational rights, stating that “efforts to organize at the federal and regional levels are being hindered by employers who refuse to recognize labor organizations and who take illegal actions against their leaders.” It urged the government to “take legal action against employers who violate workers’ right to organize.”
The statement also addressed ongoing conflicts in the country, noting that “conflicts and wars have not benefited anyone.” The Confederation expressed support for the National Dialogue Commission and called on workers “to contribute to dialogue efforts aimed at lasting peace,” stating that “there is no alternative to resolving national problems other than dialogue.”
Furthermore, CETU highlighted the plight of migrant and domestic workers, urging the government to ratify ILO Conventions No. 190, concerning violence and harassment in the workplace, and No. 189, concerning the rights of domestic workers. It stated that Ethiopia should take action to “protect migrant and domestic workers from exploitation” by ratifying these conventions.
The Confederation said it had submitted a position paper to senior government officials outlining the challenges facing workers, but noted that “no official response has been received.” It respectfully asked the Prime Minister to “allocate time to hear the voices of workers,” including representatives of grassroots labor organizations, “as he has done with other communities.”
The Confederation said this year’s May Day will be commemorated on 01 May under the theme, “Government, give us urgent responses to the questions we have raised!” The event, CETU said, will be marked by panel discussions at its head office and eight branch offices.