Somalia’s New Labour Code: A Major Shift for Workers’ Rights

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Somalia has taken a decisive step toward modernising its labour framework with the enactment of a new Labour Code, marking a turning point in the nation’s efforts to align with international labour standards. After 52 years of stagnation, President Hassan Sheikh Mohamud has signed the legislation, signalling a commitment to addressing workers’ rights and fostering a more equitable labour environment. The reform is poised to bring Somalia in line with International Labour Organization (ILO) standards, ensuring improved protections for workers and enhancing economic stability.

The new law is the culmination of years of advocacy and negotiations spearheaded by the Federation of Somali Trade Unions (FESTU), in collaboration with the Ministry of Labour and Social Affairs and the Somali Chamber of Commerce and Industry (SCCI). FESTU has played a crucial role in facilitating social dialogue among workers, employers, and the government, ensuring that international labour standards are integrated into Somalia’s legal framework. The legislation strengthens legal protections on wages, workplace safety, anti-discrimination policies, and dispute resolution mechanisms. It also extends its reach to Somalia’s informal sector, which constitutes a significant portion of the nation’s workforce.

FESTU has hailed the new Labour Code as a major victory for Somali workers, emphasizing the necessity of robust legal protections in a country where workers have long lacked adequate safeguards. The trade union, representing employees across multiple sectors, now shifts its focus to the law’s implementation and enforcement. Raising awareness about workers’ rights and ensuring accessibility to these protections are top priorities for FESTU in the wake of the reform.

“This is a landmark achievement for Somalia,” said Omar Faruk Osman, General Secretary of FESTU. “For too long, workers in our country lacked the legal protections they needed. This law will ensure fair treatment, improve working conditions, and promote economic inclusion.” His statement underscores the potential of the Labour Code to foster economic resilience by balancing the interests of both workers and employers.

The enactment of the Labour Code comes at a critical juncture for Somalia, as the country embarks on broader economic reforms aimed at rebuilding and modernising its institutions. The new legal framework is expected to improve Somalia’s business climate by creating a fairer and more predictable labour market, which is essential for attracting domestic and international investment. It also aligns Somalia with global efforts to ensure equitable working conditions, making the country a more competitive player in the global economy.

The successful passage of the Labour Code highlights the power of social dialogue, showcasing the collaboration between trade unions, government bodies, and the private sector in shaping policies that benefit both workers and economic growth. This cooperative approach positions Somalia alongside nations prioritising workers’ rights as a fundamental component of economic development. By reinforcing legal protections and adopting international best practices, the country demonstrates its commitment to creating a labour market that is not only fair but also conducive to long-term economic progress. Somalia’s decision to modernise its labour laws marks a crucial step in rebuilding its institutional framework after decades of conflict and instability. The new legislation is expected to address workforce challenges, enhance job security, and provide a foundation for sustainable economic growth. By aligning with international standards, Somalia not only ensures better protections for its workers but also lays the groundwork for greater economic inclusion and prosperity. The success of this reform now hinges on its effective implementation, requiring continuous collaboration between the government, labour organisations, and business entities to uphold the principles enshrined in the new law.

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