A surprising finding about how Chinese companies pay in Africa
A new study by academics from London's School of Oriental and African Studies and King's College London has found that the reputation of Chinese firms in sub-Saharan Africa for underpaying local workers is undeserved, at least in Angola and Ethiopia, where the study was conducted. The survey covered manufacturing and construction workers at Chinese-owned and other foreign-owned firms and locally owned businesses in both countries. It found that pay across the two countries varied substantially, with slightly lower wages in some segments among semi-skilled construction workers in Angola and semi-skilled manufacturing workers in Ethiopia. However, this was explained by differences in factors like workers' education or skills, with no clear evidence that Chinese firms consistently pay less than comparator firms within the same sector and countries.
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