Ethiopia's Gig Economy Takes Center Stage at Africa Celebrates 2024 Event

Mesirat, a program by Mastercard Foundation, Gebeya Inc., and their consortium of partners successfully hosted a panel discussion titled "Exploring the Gig Economy in Ethiopia: Opportunities, Challenges, Ways Forward" as part of the Africa Celebrates 2024 initiative.

The event held at the end of last week brought together key stakeholders to discuss the intricacies of the gig economy in Ethiopia. Panel discussions explored the potential and challenges of providing dignified and fulfilling work opportunities for millions of young Ethiopians. As an integral part of the Mesirat program’s mission to reshape Ethiopia's gig economy with a youth-centric approach, the event emphasized the importance of developing and nurturing gig and professional marketplaces (GPMs) across the nation.

The occasion also provided a comprehensive overview of the Mesirat Program, detailing its impact and the challenges and opportunities within Ethiopia's gig economy. It included a research presentation that addressed the policy aspects of the gig economy in Addis Ababa and outlined future focus areas. 

Africa Celebrates, now in its fourth year, aims to honor Africa’s unity in diversity while promoting economic, social, and political integration across the continent. This year’s event was organized in collaboration with the African Union, the Ethiopian Ministry of Foreign Affairs, and several embassies, showcasing Africa’s rich diversity and potential. Since its inception in 2021, Africa Celebrates has grown significantly, expanding its reach and impact.

Menna Tafesse, Director of the Mesirat Program, highlighted the impact of the program and the gig economy’s potential, stating, "Ethiopia is positioned to lead with homegrown economic resources; enabling Ethiopians to find local solutions while providing an enabling environment can disrupt the gig economy.” 

The director further explained that “to effectively address the challenges and opportunities within the gig economy, it is essential to understand the realities on the ground. Through research findings and insights from GPMs, along with an analysis of policy gaps and recommendations, we have embarked on a journey to foster a shared understanding among stakeholders that the gig economy can be a source of dignified work.” 

Bernard Laurendeau, from Laurendeau & Associates, discussed the policy implications of the gig economy in Ethiopia. He emphasized the need for policies that protect gig workers while also enabling their growth. Laurendeau highlighted the current challenges related to taxation, worker protection, and labor law strategies, including issues of classification and taxation.

An earlier report about gig platform classification shows that gig businesses are often required to obtain licenses tailored to the specific sectors they operate in. Some businesses may even need multiple licenses to offer a single service. Building on this, Bernard discussed the relevance of regulatory sandboxes for the Ethiopian gig economy, emphasizing that "Regulatory sandboxes should be designed for gig platforms to thrive."

The Mesirat Program is a five-year multi-phase program to create opportunities for one million highly skilled workers through creating, supporting, and nurturing 100 GPMs across the country. The program was co-created by the Mastercard Foundation, Gebeya Inc., and a consortium of partners: ACE Advisors, the American College of Technology (ACT), Shega Media & Technology, The Urban Center, the Center for Accelerated Women’s Economic Empowerment (CAWEE), and Laurendeau & Associates.

Mesirat is comprised of four key components—recruitment, vetting, upskilling, and gig matching. As the program works towards the goal of enabling one million young people to secure dignified and fulfilling work and upskill another two million, it works with several energetic and competent partners. 

This year it has linked up Africa Celebrates, a distinguished Pan-African event showcasing African culture, innovation, and business, to engage a diverse audience while expanding customer acquisition prospects for GPMs. Mesirat Program’s partnership with Africa Celebrates will further linkages between GPMs and potential clients, create market expansion opportunities, enhance brand visibility, and pave the way for sustained impactful growth in Ethiopia’s digital economy.

Background

The gig economy encapsulates a type of employment that is flexible, temporary, or freelance, diverging from traditional full-time employment. It is an inclusive sector that covers a broad spectrum of individuals, from housemaids and ride-hailing drivers to web developers, research consultants, and graphic designers, whose work is project-based and not restricted to a permanent workspace.

Recently, this gig economy has been experiencing a surge in Ethiopia, with a rising number of private sector players offering services related to freelancing and gigs, primarily through digital means.

The Mesirat program, aimed at boosting this rapidly emerging sector, is carried out in collaboration with consortium partners such as ACE Advisors, the American College of Technology (ACT), Shega Media & Technology, The Urban Center, the Center for Accelerated Women’s Economic Empowerment (CAWEE), and Laurendeau & Associates.

About Gebeya

Gebeya is a Pan-African SaaS-enabled talent marketplace headquartered in Addis Ababa, Ethiopia, with offices in Kenya and Senegal. The VC-backed startup includes a team of 50+ passionate people dedicated to bridging the labor gap between skilled professionals and companies in Africa, with a SaaS that offers software features to marketplace owners. Gebeya is strengthening the continent’s presence and competitiveness throughout the global gig economy.

Gebeya aims to connect startups, SMEs, and multinational corporations with vetted, skilled talent and professional services in more than 30 countries across Africa. As an active contributor to the continent’s talent transformation, Gebeya leverages robust partnerships to provide upskilling and certification, mentorship & coaching, microlending, and meaningful work opportunities to build a booming pipeline of experienced professionals with the right mindset, attitude, and integrity. Its vision is to be the most trusted and reliable source of skilled talent that showcases Africa’s competitiveness. For more information, visit www.gebeya.com.

About the Mastercard Foundation

The Mastercard Foundation works with visionary organizations to enable young people in Africa and in Indigenous communities in Canada to access dignified and fulfilling work. It is one of the largest private foundations in the world with a mission to advance learning and promote financial inclusion to create an inclusive and equitable world. It was established in 2006 through the generosity of Mastercard when it became a public company. The Foundation is an independent organization, and its policies, operations, and program decisions are determined by its own Board of Directors and senior leadership team. It is a registered Canadian charity with offices in Toronto, Kigali, Accra, Nairobi, Kampala, Lagos, Dakar, and Addis Ababa.

For more information on the Foundation, please visit: www.mastercardfdn.org.