The Confederation of Ethiopian Trade Unions is advocating for a decrease in employment taxes for salaried workers. Kasahun Folo, the president of CETU, has appealed to Prime Minister Abiy Ahmed to take action to lessen the financial strain on these employees.

Kasahun Folo spoke to Voice of America about the challenges faced by workers earning fixed incomes, stating that the weakening purchasing power of the birr currency has made living conditions difficult for them. He also expressed concern over the lack of tangible results from previous discussions with the prime minister and emphasized the urgent need for immediate and effective action to support workers.

The Confederation has previously requested guidelines for private-sector wage adjustments in response to the government’s macroeconomic reforms and the proposed increase in public-sector wages.

According to a recent study by the International Labor Organization (ILO), the median monthly wage in Ethiopia is 3,000 birr (approximately $52). The study highlighted that low wages have contributed to worker dissatisfaction, with 48% of employees in foreign-owned apparel firms leaving their jobs due to inadequate compensation.