Impact of Doctors' Strike in Ethiopia

 Ethiopia Insight published on 16 June 2025 a commentary titled "Anatomy of Defiance: Ethiopia's Medics Say Enough" by Worku Abera, Dawson College in Montreal.

A nationwide doctors' strike in Ethiopia has unsettled the government and raised fears other public servants may follow their example.  The strike is over both salaries and a demand for dignity, justice, and reform.  

Ethiopia: Chinese Imports Potentially Reduce Female Employment

The Conversation published on 11 January 2024 a commentary titled "Chinese Imports Could Undermine Ethiopian Manufacturing- Leaving Women Workers Worst Off" by Sylvanus Kwaku Afesorgbor, University of Guelph, Ruby Acquah, University of Sussex, and Yohannes Ayele, University of Sussex.

China is the largest source of imports for Ethiopia, including inexpensive manufactured goods.  Lessons from Ethiopia suggest that cheap imports from China reduce the ability of local manufacturing firms to compete.  This, in turn, results in layoffs and lower wages.  The authors conclude that women are the first to be laid off work, but import competition also results in lower wages for men.

Chinese Companies in Angola and Ethiopia Pay Wages Comparable to Other Firms

 Quartz published on 19 April 2023 an article titled "A Surprising Finding about How Chinese Companies Pay in Africa" by Cassie Werber.

Chinese companies have earned a reputation for paying local workers badly in comparison to other companies.  A recent academic study found the reputation is undeserved.  The study suirveyed workers in manufacturing and construction at Chinese-owned and other foreign owned firms in Angola and Ethiopia, as well as at locally owned businesses.  There is no clear evidence that Chinese firms consistently pay less than comparator firms in the same country.

Chinese Investment and Africa's Economic Transformation

Independent thank tank ODI published in June 2020 a study titled "Africa's Economic Transformation: The Role of Chinese Investment" by Linda Calabrese, ODI, and Xiaoyang Tang, Tsinghua University. 

The study addresses China-Africa development relations and their impact on African economies and livelihoods.  It reaches almost entirely positive conclusions. For example, it concludes that Chinese firms investing in Africa contribute to substantial job creation for African workers.  Chinese companies build the skills of host countries' workers.  Chinese investment tends to contribute to increased economic growth.  Chinese financing can contribute to unblocking the bottleneck to economic growth.  Trade has a mixed effect, but even here the effort is to emphasize the positive. 

China Finds Manufacturing Opportunities in Africa

The South China Morning Post published on 1 June 2020 an article titled "China Finds Manufacturing Opportunities in Low-wage Africa" by Jevans Nyabiage.

Chinese investors are funding new manufacturing industries in Africa as a result of the availability of raw materials and low wages. 

Ethiopia's Policy on Refugees

The Institute for Security Studies (ISS) published in October 2018 a study titled "Ethiopia's Refugee Response: Focus on Socio-economic Integration and Self-reliance" by Tsion Tadesse Abebe, ISS.

Ethiopia has more than 900,000 registered refugees and has the second highest number of refugees of any country in Africa. Most of them are from South Sudan, Somalia, and Eritrea. The paper looks at ways to improve Ethiopia's response to the handling of refugees.

ISS published on 25 October 2018 a companion policy brief by the same author titled "Promises and Challenges of Ethiopia's Refugee Policy Reform."

Should Africa Emulate China's Development Model?

Ventures Africa published on 15 December 2017 an article titled "Why African Countries Should Emulate China's Development Model" by Felicia Omari Ochelle. The article draws primarily on comments made by Helen Hai, United Nations Industrial Development Organization (UNIDO) Goodwill Ambassador and CEO of the Made in Africa Initiative.

Hai argues that "Africa should follow China's development model and aim to become a light-manufacturing hub." Hai says that in the next few years, some 85 million jobs will be exported from China. If African countries can capture many of those jobs, they can enjoy the same economic transformation that China had. The 54 African countries, one by one, will be able to attain this transformation, she argues.

If only it were so easy. UNIDO seems to be on a campaign to move light manufacturing jobs from China to Africa. While this is a noble goal, it is about more than lower wages in Africa than in China. Some non-African countries that are also building their light manufacturing capacity have lower wages than most African countries. It is also a matter of good infrastructure, access to ports, availability of skills, good nutrition and health, good governance, and lack of conflict and corruption. While a few African countries are well positioned to take advantage of light manufacturing jobs moving out of China, most would probably be better advised, at least for the time being, to focus on expanding and reforming agriculture.

Ethiopia: The Economics of a Chinese-built Industrial Park

The Guardian published on 5 December 2017 an article titled "Park Life: Workers Struggle To Make Ends Meet at Ethiopia's $250m Industrial Zone" by William Davison.

This is a journalistic account of the economic challenges faced by a textile company operating in Ethiopia's Hawassa Industrial Park, which was built by China. Low wages and cheap electricity attract companies to the industrial park, but relatively high transportation costs and a rising cost of living for workers are raising questions about the long-term profitably of the company.

Chinese Manufacturing Not Likely to Relocate in Africa

The Center for New Structural Economics at Peking University published in December 2017 a report titled "Adjusting to Rising Costs in Chinese Light Manufacturing: What Opportunities for Developing Countries?" by Jiajun Xu, Stephen Gelb, Jiewei Li and Zuoxiang Zhao.

The authors interviewed 640 private companies (42 percent owned by domestic Chinese owners and 52 percent wholly owned foreign subsidiaries) in four Chinese cities concerning their plans for moving to lower cost production areas. The main challenge they faced in China was rising wage costs.

The implications for Africa are important. Of the 62 firms that had invested abroad or planned to do so, southeast Asia was a much more likely destination than Africa, where only three of the firms had invested to date, all in footwear in Ethiopia. Only two firms indicated Africa was a preferred destination for planned foreign direct investment (FDI). The survey suggested there is a need for realism on the potential for jobs transfer from China to low income host countries.

Kenya and Decent Jobs

The African Research Institute published on 30 June 2017 a study titled "Kenya Is Failing to Create Decent Jobs" by Kwame Owino, Noah Wamalwa, and Ivory Ndekei.

The number of middle-income earners in Kenya is small and not expanding any faster than GDP growth. This has important implications for Kenya's economic and social development.

Chinese Foreign Direct Investment Flowing to Africa

The South China Morning Post published on 18 October 2016 an article titled "Soaring Costs Force More Chinese Firms to Look Overseas, As Latest Figures Show ODI Surges 53.7pc in Year to Date" by Xie Yu.

The article reports that Chinese firms are increasingly eyeing opportunities outside China with Africa becoming a favored destination rather than locations in Asia. The article reaches this conclusion by drawing primarily on anecdotal accounts of new Chinese investment in Ethiopia and Tanzania.

Labor Relations at a Chinese Company in South Africa

The Centre for Chinese Studies (CCS) at Stellenbosch University published on 4 August 2014 a commentary titled "Has Chinese Investment Evolved?: Hisense in South Africa" by Yejoo Kim, research analyst at CCS.  The author reviews working conditions at the Chinese home appliance and electronics manufacturer, Hisense, in South Africa.  She concludes there are numerous recurring problems that will require a greater commitment by company management in future years. 

The Employment Effect of Chinese Investment in South Africa

The Centre for Chinese Studies at Stellenbosch University published in October 2013  a paper titled "A Study on the Employment Effect of Chinese Investment in South Africa" by Huang Meibo and Ren Peiqiang. The paper reflects the views of Chinese entrepreneurs and managers of Chinese companies in South Africa and constitutes a Chinese contribution to the debate on China's economic engagement in South Africa. It does not reflect the views of South African organized labor.