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~Y-06-l\ ~ ;Jt;"';JltlJ)FEDERAL NEGARITGAZETA

OF THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA

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4thYear No,. 28ADDIS ABABA - 5th March 1998

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CONTENTS

Proclamation No.1 04/1998

Private Employment AgencyProclamati on " Page 7 14

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PROCLAMATION NO.1 04/ 1997

PRIVATE EMPLOYMENT AGENCY PROCLAMATION

WHEREAS, the participa;tion of individuals and private

entities in the employment services has bec°l1!e necessary;

WHEREAS, it has particularly, become Qecessary to

protect the rights, safety and dignity of Ethiopians employed

an~ sent abroad;NOW, THEREFORE, in accordance with Article 55( I)

of the Constitution of the Federal Democratic Republic of

Ethiopia, it is hereby proclaimed as follows:I. Short Title

This Proclamation may be cited as the' 'private Em-

ployment.Agency Proclamation No. 104/1998."2. Definitions

In this Proclamation, unless the context otherwise

reqUIres;

I) "Private Employment Agency" means any person,

independent of government bodies, whieh performs

one or two of the following employment services

without directly or indirectly receiving payments

from the worker;

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Negarit G.P.O.Box 80,00 I

11ilfXliu.~./.\ t;J~+ ;JtLIfJ"''I'Ctt~ '"-1:+ n +, IIl!2 ,.,.. Federal Negarit Gazeta- No. 28 5thMarch, 1998-Page 715

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(a) services of matching offers of and application

for local employment without being a party tothe employmentcontract;

(b) servicesof makinga worker availablelocallyor

abroad to a third party by concluding a contractof employmentwith such a worker.

2) "License" meansa certificateof competence issued

by the competentauthority to a private employment

agency enabling the agency to engage in em-

ployment service activities;

3) "Worker" shall have the meaning as defined in theLabour ProclamationNo. 42/1993.

4) "Competent Authority" means the Ministry or aRegional 'Authority responsible for the implemen-tation of labour laws in the Region;

5) "Minister" or "Ministry" means the Minister or

Ministry of Labour and Social Affairs respectively.

6) "Person" means any natural or juridical persQn.

7) Provisions of this proclamation set out in the

masculine gender shall also apply to the feminine

gender.

3. Scope of Application

1) Notwithstandingthe provisions of Article 3(2)(d) ofthe LabourProclamationNo. 42/1993, Proclamation

No. 42/1993 shall, for the purpose of this

proclamation, be applicable to an Ethiopian em-ployed to work abroadfor personal services of non-

profit making purposes.

2) WithQut prejudice to Article 172 of the LabourProclamation No. 42/1993, any Ethiopian may be

allowed to go and work abroad only through the

private employment agency unless the Ministerpermits the direct recruitmentby an employer.

3) Any labour dispute and other dispute arising underArticle 15of this Proclamation between the agency

providing a service specified in Article 3( I)(h) ofthis Proclamation and the worker may be settled inaccordancewith ProclamationNo. 42/1993.

4) This Proclamation shall not relieve any private

employment agency of i!Sobligations imposed byother laws.

4. Requirement of License

Any person who wishes to operate a privateemployment

agency shall have to obtain a license from the followingauthorities;

1) without prejudice to Sub-Article 3 of this Article,from the Regional Authority responsible for the

implementationof labour laws, if the employmentservice is confined within that region;

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Fe~eral Negarit G~zeta "",,",:'No. 28 5lhMarch, 1998-Page 7] 6

2) fromthe MinisU)' if.theewployment service is tGbe"ren<,leredin two or more r~gions;

3) from the Minis.try if th~,employrn~l1t service is to, . . . \"

hire and sendabr~)ad an Ethiopian worker to a thirdparty. :,. , ," ,

5. I' Cpnditions R~quiredto obtain a License

Any person who applies to operate a priy:ateemployment;,\'.j>flgencyin accor:dance,~ith this Proclamation shaH fulfill

the following:., i:.1)1"present ~l.,<;loc':1men~lh,at s,hows h« qas a business

registration for the operation of a private em-ployment service; " .

2) if he is providing a service of hiring and sending aworker abroad in accordance with this proclamationto present adocume'nt that shOwshe has fulfilled theobligations of guarantee specified in Article 14 ofthis Proclamation; \ ,

, 3) pay aHcen~e fee to .the\c.ompet~nt authority theamoun,t.of. which (sqall be. determined, by theregulation iss~ed, in,;ac~ordal)ce, with this,Proclamations; '.. ,, ,,), . ','

4) present a chart that shows the organizational struc-, ." "" ..,

ture and' the' list of I?eIp.bers ifivolved in theemployment setvice'activities;

5) notify the address of his offiCe and of' his represen-tative; "

6) present other relevant'documents as may be requiredby the competent authority.

6. Issuance of License \' "

The competent authority shall, upon the fuffillm~nt of the'reejuireo conditions ;to 6btairi ,{ liceflse under this

Prochimation, issue alicehse'to the applicant.

7. Disqu,!lific;ation

A ,person punished .f9r his engagelllent in an illegalemployment activity shall not q\lalify ,for a license to~perate a private employment agency.

, ,: ""'i

8. Validity of License I'.

A lic~ns~ issued in, accorc;l11ncewitl;1 thisProcl~mationshall be valid fOJ;Jwo years ,subject to,renewal every year.." ., "," ,"" "

9. Opening 'Of Office ,

i)' Any pnvate employment agency shall'ripenan officef()rthe operation of its 'activiities.\, f, "

'2) " Apdvate employment a.gencywhich hires and sends, Etl;1iopiansabroad for work shaUhaye a branch

office 6r, arepre~.entative in the country where hesends the worker. "

10. Displaying of License 'I, .

Any privateemploymerit agency shall display thelicense issued, to. him "in' accordance with this

Proclamation in his ofmevisible tOtoth,erpeople.

i 11. Transfer of Office.' . ". \ '

Any privat~employmentagency shallrtotify'the com-, .1" , t

petent 'authority 'prior totransfetringhis office toanother place.

12. Obligation of a PrivateBmployment'Agency ,I)' Inadditiort to the obligations, specified in this

procl~mation.and otherlawg,a prj;vateymploymentagency shall have,the follo~jpg obJig~~ions:

1~ %£!%~~t..e\;~;>~:.}'d;JtL{.q,<f,i1'c;??t. f,iJrf:-r t)'j iP1 Iiln'~h9'" '~FederaLNegarit Gazeta;-7" NQ. 28 StllMarch, 1998-page 717.", ," ,... ' ','.', , , .

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.'(a) to prepare .and subiniF for approval to the

. competentauthorityaprocedure regardil1gtherecruitment and registration of jQb-seekers;

t ,(b) to pay the required fee for issuance, renewalapd .replacement of the license determined by

"the re,¥ulations iss1;lediq accordance with thisProclaIIlation: .

(c) ',:notify 'the coinpetent authority prior to closing. his office; '. . .

(d) to submit the contract of emplQymeRt to thecompetent authority for approval and regis-tration of a copy thereof ifthe agency providesthe service specified in Article 2( 1)(b) of thisProclamation. .

2! In addition to the ()bligatiQns,providedfor in sub-, Article (1) Qf thi~ Article, apriv~te employment

agency whichsendsa workerfor work abroadshallhave the following obligations: .

(a) tQ submit 'a legal document establishing abranch office or appointing a representativeabroad in accordance with Article 9(2) of thisProclamation and notify the address of same;

(b) .provide the necessary orientation, to theworker with regard to the work and thecountryof hisemploymentbefore the contractof employment is si~ned; ,

(c) where the wotkerwishes a full or partialremittance of his wage to his country, tofacilitate same in accordancewith the laws ofthe country of employment;

,.,

(d) to submit a report to the Ministry annually or

as may be required. r~g~rdingthe si~uation ofthe worker in the countr)' of employment;

(e) to respect the-moral and culture of the societywhile performing the activity;

(f) to submit for approval to the Ministry prior toextending or modifying the contract of em-ployment and nQtify -the Ministry upon ter-mination. of the contract;

(g) upon termination of the contract of em-ployment or whenev~r the worker so requests,to .provide t!1e.~orl5:er,free of charge, with acertificate stating the ~ype of work he perfor-med,the length Qfservi'ce and the wage he was

.,' eammg;(h) to keep a register containing t~e name, age,

educational' level, qualifiCation, type of work,pQsition, the amount of wage, duration of thevalidity of the con~act and other particularswhich mflYbe required, by the Ministry andn<;>tifysame to, ,the ;Min,istry as mayberequired; , " . "

(i) notify to the Ethiopian Embassy nearest to thecountry Qf employment of the workers sentabroad and cause their registratiol1 by same

, Embassy.13. Suspension or Cancellation of License

Without prej4dice to Artiq,Je 18(2) and ,(3) of this

Procl~matjon, the competent authority may'suspend orcancefa license on th~ following grounds:

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Federal Negarit Gazeta - No. 28 5thMarch, 1998-Page 718

I) where it is found that the license has been issued to

the private e~pk>ymentagency based on deceitfuldocument;.

2) where it is found that the private employmentagency or his representativehas received paymentin cash or in kind from the worker; or

3). where it is found that the private employmentagency has violated other provisions of thisProclamatioq,or regulations and directives issuedin accordance with this Proclamation as well asother laws. <

14. Requirement of Guarantee

I) Any private employment agency which sends aworker abroad for work in accordance with this

Proclamation shall, for the purpose of protecting. the rights of the worker, deposits the following

amount of money in cash or its equivalent in aconfirmedand irrevocablebond from a recognizedfinancial institutions;(a) for up to fiv~ hundred workers 30,000 US

Dollaror its equivalent in Ethiopian Birr;(b) for five hundred and one to one thousand

workers40,000 US Dollaror its equivalent inEthiopianBirr;

(c) for above one thousand and one workers

50,000 US Dollar or its equivalent inEthiopianBirr.

2) Where the guarantee fund deposited in accordancewith sub-Article (1) of this Article is used up orreduced for the protection and enforcement of therightsof the worker,the private employmentagencyshall replenishthe fund within ten days.

3) The Ministrymay release the guaranteefund within3 months upon the termination of the employmentcontract and the fulfillmentof the legal rights of theworker sent ,abroad by the private employmentagency, unless a claim connected with the worker'srights and benefits is pending before an authorizedbody empoweredto adjudicate such claim.

15. Protectionof the Worker'sRight1) A contract of employmentconcluded between the

private emplo~mentagency which sends workersabroad and a worker shall fulfill the minimumworking conditions laid down in the laws ofEthiopia and shall in no circumstance be lessfavorable to an Ethiopian than the rights andbenefits of those who work in a similar type andlevel of work in the country of employment.

2) The Private employmentagency shall, in additionto the rights and benefits provided for in sub-Article (1) of this Article, be responsible to ensurethe rights, safety and dignity of the worker.

16. Inspection1) The competent authority shall have the power to

enter the office of any privateemploymentagencyduring any working hour without prior notice, toexamine or inquire relevantdocuments.

'IX' ?X(H t..Y../..AiI."J/.:" ;111.(11~/!(I'C4\'~~fll.t.). r;,!~"'1 :H!t:i ~'9'" Federal Negarit Gazeta -No. 28 SlllMarch, I998-Page 719

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2) The competent authority ,shall be responsible tosupervise and control ,that the rights of the worker,employed by the agency whicp proyides a servicementioned in Article 2( I)(b) of this Proclamation, me notinfringed where the license is returned before the date orits expiry.

17. ResponsibilityThe private employment agency and the third pw'tyshall jointly and severally be responsible or liable 1'0('violation of the contract of employment concluded withthe worker to provide the service mentioned in Article2( I)(b) of this Proclamation.

18. PenaltyUnless the provisionsof thePenal Code provides moresevere penalties, any person:I) without having obtained a license in accordance

with this Proclamation;(a) who performs employment services in

Ethiopia, is punishable with imprisonment fora term of not less than three years and notexceeding five years and a fine Birr 10,000(ten thousand Birr).

(b) who sends an Ethiopian national abroad forwork, is punishable with imprisonment forterm of not less than five years and notexceeding ten years aIid a fine Birr 25,000(twenty five thousand Birr).

2) Who violates this Proclamation and regulations anddirectives issued in accordance with thisProclamation, apart from what are specified in Sub-Article (I) of this Article and without prejudice toArticle 13 of this Proclamation, is punishable withimprisonment upto two years or a fine upto Birr10,000 (ten thousand Birr).

3) Where the human rights, and physical integrity ofan Ethiopian sent abroad for work have beeninjured, the punishment mentioned in sub-Article(I )(b) of this Article may be increased from 5 to 20years rigorous imprisonment and a fine upto Birr50,000 (fifty thousand Birr). .

19. License FeesThe amount of fees required for a license issued inaccordance with this Proclamation shall be determined

by the regulatjonsC?f the CQuncil of Ministers.20. Amendment

Article 176 of the Labour proclamation No. 42/1993 ishereby deleted and replaced by the following newArticle 176:" 176. Prohibition

No pers.ons or entity sball perform employmentservices for consideration from a worker."

21. Power to Issue Directives

The Minister may issue directives necessary for etlec-tive implementation of this Proclamation.

22. Effective DateThis Proclamation shall enter into force as of the 5111dayof March, 1998,

Done at Addis Ababa, this 5111day of March, 1998.

NEGASO GIDADA(DR.)PRESIDENT OF THE FEDERAL DEMOCRATIC

REPUBLIC OF ETHIOPIA

,nene;' (\1\9" U'l-t-tl'U J-':e;e...l ;J'",(IO

BERHANENA SELAM PRINTING ENTERPRISE