Living Wage

“Conduct studies in three producing countries in East Africa (Ethiopia, Kenya and Tanzania) to gain insight in current wage levels, wage setting processes and living wage gaps. In a second step, invite public and private stakeholders to exchange and collaborate on a sector approach towards a living wage.”

Kristina Ullrich | Advocacy Officer at HIVOS

  • estimate of a living wage for rural Mount Kenya (June 2015) is KSh12,969 (US$135) per month Infographic summary – Full report
  • estimate of a living wage for the Lake Naivasha area is KSh22,104 (US$219) per month Full report
  • estimate of a monthly living wage in Ethiopia is 3,176 Birr (US$154) per worker with a family of 1;65 full-time workers Infographic summary – Full report
  • closing the living wage gap requires a significant wage increase. It is not likely that this will be legally required in the near future, thus this would require a voluntary living wage payment system
  • paying the costs of closing the living wage gap seems to be relatively small for retailers and supermarkets compared to the reputational risk and the branding opportunity a living wage rose provides
  • on average Western consumers are willing to pay a premium of 21.5% on the conventional price for ethical products Full Report (True Price)
  • the project resulted in the creation of the Living Wage Lab; a Dutch multistakeholder platform for the agri-food sector in which traders, retail, growers, government etc participate to exchange and learn about living wage best-practices and explore solutions together
HIVOS in partnership with Fair Flowers Fair Plants and FairTrade
Key Topic
Working Conditions
East Africa
Project completed (2015-2016)