This report provides updated estimates of family living expenses and living wages for rural Oromia in Ethiopia. The update for June 2024 takes into account inflation and changes in payroll deductions since the original Anker living wage study carried out in July 2023 (Seyoum, et al., 2023)

This report presents the living income for the typical household in the coffee growing region of Sidama, Ethiopia. The study used the Anker Methodology® to estimate the living income based on the cost of a low-cost nutritious model diet, healthy housing, and all other non food and non-housing goods and services, including education through secondary school for children and adequate healthcare for all household members. For this, we analyzed primary data in the Aleta-Wendo woreda and Hawassa town. The data was collected through focus group discussions with small holder coffee growers, interviews with local agricultural offices and other authorities, house constructors, healthcare providers, and schools, and in surveys of food prices in local food markets. We also analyzed demographic, anthropometric, labor market, household expenditure and income data from secondary official sources. We estimate that as of May 2024, the cost of a basic but decent life, or living income, for a typical family in rural areas of Sidama region is Birr 18,959 (USD 330) per month [Birr 227,504, or USD 3,957, per year]. Taking into account labor force participation rates, unemployment rates, and part-time employment rates of workers in the area, in an annex we estimate that the take-home pay, or net living wage, for full-time employees in the study area is Birr 11,849 (USD 206). We estimate a gross living wage (a.k.a. the living wage) of Birr 17,843 (USD 310) per month for a formal full-time worker. These values in US dollars are only indicative as the exchange rate is volatile, and the Birr depreciated against the US dollar after the study date.