The Law And The Practice Of Minimum Wage At Industrial Parks Of Ethiopia

International instruments recognized the right of a person to livable wage that enable him to lead a decent life. However, reports and institutions working on workers’ rights claim that the wage at industrial parks of Ethiopia is low and suggest intervention of the government through enactment of minimum wage law. On the other hand, there are various evidences on negative effect of the legislation. To find out a solution for issues related with minimum wage law, this paper has employed different source of data as a tool for mixed methodology of research. The paper found out that the prevailing wage system at industrial parks is inadequate to cover cost of basic needs to lead decent life and, on the other hand, minimum wage affects FDI, total number of jobs and products competitiveness. The research concludes that Ethiopia is not in a position to regulate the area with minimum wage law.

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