- Ethiopia implements salary reform to narrow the income gap among civil servants
- The reform prioritises the lowest-paid workers with increases of up to 332%, while higher earners receive minimal adjustments
Addis Ababa, Ethiopia – Ethiopia has begun implementing a major salary reform intended to narrow the income disparity among civil servants, backed by 91.4 billion birr ($798m) in financing effective September 12, 2024. The reform offers the largest increases to the lowest-paid employees, who could see their wages rise by as much as 332%, while higher-income earners will receive only a 5% increment. This initiative is part of the country’s broader macro-economic reforms aimed at supporting low-income earners and boosting consumer spending.
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