Parliament Legislates Stringent Labour Law

Jul 6 , 2019


[ssba-buttons]

Parliament has a legislated stringent new labour law during its session held on July 4, 2019. Drafted by the Ministry of Labor & Social Affairs, the proclamation aims at creating a conducive environment for investment that leads to the creation of more jobs while productivity is maximised through the protection of workers’ rights. It also aims to address the shortcomings and limitations of the old law, which was 14 years old. The law that spent four years in the making had passed various stages of discussion among stakeholders before it was legislated last week. The Confederation of Ethiopian Trade Unions, Ethiopian Employers Federation, International Labor Organization (ILO), the Federal Attorney General and public enterprises have participated in the drafting process. Among the changes the new bill introduces is allowing for the dismissal of employees who have a record of coming to work late eight times and are absent for five days without cause within a six-month period. The bill also extends the probation period from 45 days to 60 working days. Another significant departure of the new bill is the period of maternity leave. The new law gives 30 working days of pre-labour leave and 90 days of post-labour leave.


Radar

Ethiopia Unveils Consortium to Insure Millions of Farmers

Ethiopia has launched its Agricultural Insurance Consortium (AICE), pledging to protect three million farmers by 2026. Announced on July 3, 2025, at the Hyatt Regency, the initiative is backed by Pula Advisors and five major Ethiopian insurers. AICE plans to promote climate resilience through insurance bundled with the government's input voucher system. Leveraging AI platforms like Mavuno and PIE, it plans to standardise products, lower costs, and expand coverage to over 200 woredas. With agricu...


Radar

New Coopbank Partnership Targets Youth Economic Empowerment

The Cooperative Bank of Oromia (Coopbank) has signed a strategic agreement with Melka Ethiopia to provide loan services to over 120,000 young men and women nationwide. The partnership plans to promote youth economic empowerment by expanding access to finance and creating jobs, with a strong focus on rural and underserved areas. Both institutions held joint discussions to explore ways to improve youth livelihoods and financial inclusion. By closing access gaps, the partnership is expected to help...


Radar

Ethiopian Netpreneur Program Training Kicks Off

The Ethiopian Netpreneur 2025 Training Program has officially launched its first cohort in Addis Abeba with 64 entrepreneurs beginning their first round of training. Organised by the Global Digital Talent Academy, the initiative plans to empower local business owners, startup founders, and digital sector players with global-level e-commerce skills. At the launch event, Innovation and Technology Minister Belete Mola (PhD) urged participants to leverage the opportunity to build networks and shape...