In Ethiopia, the notice of termination of an employment agreement must be in writing, specifying the reasons for the termination and the date on which it will take effect. The notice must also be handed to the employee in person. When this is not possible, it must appear on the notice board in the workplace for ten consecutive days.
The obligations of the parties arising from the contract of employment shall remain intact during the period of notice.
The notice period in Ethiopia depends on the length of service or the grounds for dismissal:
Foreign nationals who wish to work in Ethiopia are required to obtain a work permit. It is issued for 3 years by the Ministry of Labor for a specific type of work and is renewed every year.
Getting a work permit requires an application from the hiring organization and a recommendation letter from relevant governmental bodies and agencies. Work permits are issued based on the type of work for the permit being requested and upon providing appropriate educational and experiential documents. The requirements vary based on the employing organization.
In Ethiopia, annual leave can be used for vacation or sick leave. An agreement by an employee to waive annual leave is null and void. Employees are entitled to annual leave as follows:
Employees are granted their first annual leave after completing the first year of service and are entitled to salary during the period of annual leave. An employee whose contract is terminated is entitled to payment for unused leave.
Annual leave can be divided into 2 parts and postponed for 2 years if both the employer and employee agree. If an employee falls sick during the annual leave, it will be suspended, and sick leave shall commence.
Ethiopian labor law defines "normal hours of work" as the time during which employees perform work or prepare themselves for work in accordance with the law, collective agreement, or work rules. The standard workweek shall not exceed 48 hours a week or 8 hours a day. Employees under the age of 18 must not be employed for more than 7 hours a day. Employees who work over 48 hours a week or 8 hours a day are eligible for overtime compensation. Overtime may not exceed 4 hours in a day and 12 hours a week.
Under the Labor Proclamation of Ethiopia, female employees are entitled to fully paid maternity leave of 120 days (30 days pre-natal and 90 days postnatal) upon the recommendation of a medical doctor.
If a pregnant employee does not deliver within 30 days of her pre-natal leave, she is entitled to additional leave until her delivery. If she gives birth before the 30 day period has elapsed, postnatal leave (90 days) commences after delivery.
Female employees are also entitled to paid leave for medical examinations related to pregnancy and paid leave during pregnancy based on the recommendation of a medical doctor.
There is no national minimum wage for private sector employers in Ethiopia. Minimum wages in the public sector are set at the national level, depending on the nature of the service and skill level of the employee. Public sector employees' monthly minimum wage is approximately ETB 420 (Ethiopian birr).
Ethiopia's 2019 Labor Proclamation provides for the formation of a Wage Board consisting of representatives from the government, employees, and trade unions, that will periodically determine and revise minimum wages.
Wages must be paid at such intervals as provided for by law, collective agreement, work rule, or contract of employment. Wages must be paid on working days and at the place of work.
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