Do Chinese firms in Africa pay lower wages? A comparative analysis of manufacturing and construction firms in Angola and Ethiopia
Carlos Oya and
Florian Schaefer
World Development, 2023, vol. 168, issue C
Abstract:
This paper analyses wage differences between Chinese and non-Chinese firms in Angola and Ethiopia. The growing engagement of Chinese firms in sub-Saharan Africa has generated debates about the working conditions offered to African workers. However, the evidence for many of the claims made about wages in Chinese firms operating in sub-Saharan Africa is unconvincing. In this paper the authors identify problems with the existing literature and provide new comparative evidence on wages in Chinese, other foreign and domestic firms in Angola and Ethiopia. Drawing on over 1,400 worker-level interviews the authors find that Chinese firms do not consistently pay less than comparable firms. Using a multi-scalar labour regime framework the authors show that a combination individual worker characteristics, sector specificities, and firm attributes are necessary to explain variations in wages in both countries. The national origin of firms by itself cannot explain the observed differences in wages.
Keywords: Wages; Labour regimes; Manufacturing; Construction; China; Angola; Ethiopia (search for similar items in EconPapers)
JEL-codes: F23 J31 J81 J82 (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)
Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0305750X23000840
Full text for ScienceDirect subscribers only
Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:eee:wdevel:v:168:y:2023:i:c:s0305750x23000840
DOI: 10.1016/j.worlddev.2023.106266
Access Statistics for this article
World Development is currently edited by O. T. Coomes
More articles in World Development from Elsevier
Bibliographic data for series maintained by Catherine Liu ().