Draft Law on Overseas Employment Sparks Outcry from Recruitment Agencies


KEYIR NEWS:- A public hearing convened by the House of People's Representatives has ignited sharp criticism from private overseas employment agencies over a new draft proclamation regulating foreign employment. 

The bill, debated for six hours by the Standing Committee on Human Resources, Employment & Technology Affairs, drew fire for provisions agencies claim criminalise their operations and grant the government undue market influence.

Key concerns include the mandate that all foreign job placements be processed through a single-centre service and the Ethiopian Labour Market Information System, effectively sidelining private operators. Mr. Miftah Abdu, a stakeholder, argued the draft allows the licensing authority to enter the market directly, raising serious concerns over fairness and regulatory overreach.

Further backlash came over proposed security deposits ranging from $50,000 to $250,000, depending on the agency's size. Mr. Shimelis Abebe called the requirements "excessive," comparing them to significantly lower benchmarks in Kenya and Uganda.

Labour & Skills Minister Muferiat Kamil defended the proclamation as a tool to safeguard workers' dignity and streamline oversight, denying accusations of market monopolisation. She noted the ceiling for small agencies had been lowered from $100,000 to $50,000.

Industry players, however, warned that if enacted as-is, the law could shutter over 1,400 agencies.