Welcome to Ethiopia!

Fixed-term contracts are permitted in Ethiopia for a minimum of one year and a maximum of two years. Fixed-term contracts may be renewed an unlimited number of times. However, after the expiration of the probationary period, a fixed-term contract has the same termination requirements as that of a permanent contract. Also, if the work becomes permanent in nature or does not fulfill the characteristics of a fixed-term agreement, it may be deemed permanent.

Probationary periods are permitted in Ethiopia in both fixed-term and permanent contracts for a maximum of 45 days. During the probationary period, no reason or notice is required to terminate the arrangement.

Workers in Ethiopia recognize between 12 and 13 paid public holidays depending upon the year. Work performed on a public holiday is payable at 200%.

After one year of service, Workers are entitled to 14 days of paid annual leave. The annual leave allotment increases by one day for each additional year of service. The annual leave accrues monthly and rolls over year to year if unused. It should be used in one lump sum or, at the Worker's option, in two parts. Any accrued but unused leave is payable at the end of the engagement.

Workers are entitled to six months of sick leave either consecutively or cumulatively over the course of 12 months beginning on the first day of illness. The sick leave is payable as follows: first month - 100% of wages, second month - 50% of wages, third month onwards - no wages.

A normal workweek should not exceed 8 hours per day and 48 hours per week. Workers are entitled to 24 consecutive hours of rest each week, which should be granted on a Sunday. Work performed during the night (10 p.m. to 6 a.m.) is payable at 150%.

Work exceeding 8 hours per day or 48 hours per week is considered overtime. Overtime performed on normal days is payable at 125% whereas overtime performed on a rest day is payable at 200%.

There are no mandatory bonuses in Ethiopia, but some organizations elect to offer a 13th month salary.

Except in limited situations such as misconduct, termination requires notice, which is based on the length of the Worker's engagement: 0 - 1 year of service - 1 month's notice; 1 - 9 years of service - 2 months' notice; 9+ years of service - 3 months' notice. In addition, Workers may be entitled to severance equal to a pro-rated portion of one month of pay for less than one year of service, one month of pay for the first year of service, and one month of pay plus 1/3 of one month of pay per additional year of service. 

Workers are required to provide 30 days' written notice of resignation (unless there is a 'valid ground' for ending the employment relationship based upon the employer's conduct). If they do not provide such notice, they may be liable for compensation to the employer not exceeding 30 days of wages.

Pregnant Workers are afforded additional rights including a prohibition on night work and overtime work as well as protection from termination.