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Tanzania LMP 2024 Final1

The Labour Market Profile for Tanzania and Zanzibar (2024/2025) outlines the structure, status, and challenges of the labor market, highlighting solid economic growth but insufficient job creation in the formal economy. Key issues include a high rate of informal employment, underdeveloped vocational training, and significant gender disparities, despite improvements in women's managerial positions. The report emphasizes the need for a just transition to address climate change impacts and improve compliance with labor rights and social protection systems.

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0% found this document useful (0 votes)
215 views44 pages

Tanzania LMP 2024 Final1

The Labour Market Profile for Tanzania and Zanzibar (2024/2025) outlines the structure, status, and challenges of the labor market, highlighting solid economic growth but insufficient job creation in the formal economy. Key issues include a high rate of informal employment, underdeveloped vocational training, and significant gender disparities, despite improvements in women's managerial positions. The report emphasizes the need for a just transition to address climate change impacts and improve compliance with labor rights and social protection systems.

Uploaded by

stevenijumba88
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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LABOUR MARKET PROFILE

Tanzania & Zanzibar


2024/2025
This profile brings insights and useful information of the labour
market’s structure, status, and challenges in the country.

www.ulandssekretariatet.dk
Tanzania & Zanzibar Labour Market Profile – 2024/2025

PREFACE
The Danish Trade Union Development Agency Bank Open Data, the ITUC Survey of Violations of
(DTDA) is the development organisation of the Trade Union Rights, the U.S. Department of State,
Danish trade union movement. and other internationally recognised labour-related
global indexes, are used as sources of general
DTDA’s work is in line with the International Labour (statistical) data and information.
Organization’s global Decent Work Agenda
(DWA), which is based on its four pillars: creating Academia and media sources (e.g., national news)
decent jobs, guaranteeing rights at work, extending are used to research labour market issues.
social protection, and promoting social dialogue.
The overall development objective is to eradicate The profile is regularly updated; the current version
poverty and support the development of just and covers 2024 to 2025. Labour Market Profiles for
democratic societies by promoting the DWA. more than 20 countries are available on DTDA’s
website: https://www.ulandssekretariatet.dk/.
DTDA collaborates with trade union organisations in
Africa, Asia, Eastern Europe, Latin America, and the DTDA prepared the Labour Market Profile in close
Middle East. The programmes’ immediate objective collaboration with the Trade Unions Congress of
is to assist the partner organisations in becoming Tanzania (TUCTA) and Zanzibar Trade Union
change agents in their own national and regional Congress (ZATUC). If any comments arise to the
labour market context, capable of achieving profile, please contact Mr. Kasper Andersen
tangible improvements in the national DWA ([email protected]) from DTDA.
conditions and the labour-related Sustainable
Development Goals (SDGs). The front-page photo illustrates a young worker
who went through vocational training via DTDA’s
The Labour Market Profile (LMP) provides a TVET-Tanzania programme, leading to a formal job
comprehensive overview of the structure, at the El Sewedy company, which produces cables
development, and challenges. It applies several and generators. The photo was taken by Mr.
central indicators addressing labour market Rasmus Holm.
aspects, including unionism, social dialogue, bi-/tri-
partite mechanisms, policy development, legal Address:
reforms status’ compliance with international Ulandssekretariatet
standards, just transition, and 4IR. Islands Brygge 32D
DK-2300 Copenhagen S
National partner organisations provide annual Denmark
narrative progress reports, including information on Telefon: +45 33 73 74 40
labour market developments, as part of https://www.ulandssekretariatet.dk/
programme implementation and monitoring.
National statistical institutions and international
databanks, such as ILOSTAT and NATLEX, World

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

EXECUTIVE SUMMARY
Despite multiple global shocks in recent years, employment, or training (NEET) rate suggest few
Tanzania’s economic growth has been solid but barriers in the labour market. However, these factors
meagrely assisted poverty reduction. A slight upturn are blindsided by the nature of subsistence farming
in the industry sector supports a tailwind in labour that sticks with ‘disguised’ unemployment and informal
productivity and income share advance. Still, policy precarious work. The lacklustre diaspora engagement
responses are not trickling down in the service and has kept personal remittance low, far below the
agricultural sectors, suppressed by uncontrolled foreign direct investments. Despite significant gender
urbanisation and climate change ruptures. Tackling gaps among central employment indicators, the
the troublesome projections of economic and labour number of women in managerial positions has more
losses due to climate change has pressured setting a than doubled during the last decade, partially linked
just transition agenda. to urbanisation.

Although Tanzania’s national compliance with the Tanzania’s workforce is slowly getting better
legal framework to protect workers’ rights is educated but encounters a mismatch in the needs
relatively better than that of neighbouring of the labour market due to underdeveloped
countries, the country remains stuck by the coordination between education institutions in the
widespread informal economy, which deters the aftermath of decentralisation reform. The technical
application of labour regulations in practice. The and vocational education and training (TVET) sector
East African Community (EAC) free trade agreement has been under-prioritised, but investments were
with labour provisions is contested as a united bloc, boosted at the beginning of the 2020s, along with a
including difficulties concerning equal opportunities growing number of TVET students and networks of
and social and labour rights for migrant workers. TVET training centres in the private sector.
Nevertheless, Tanzanian firms offering formal
Dormant central tripartite institutions have started training fell during the last decade, landing at the
to revive, reflecting recent adjustments in the lowest levels among the neighbouring countries. The
minimum wage system, and the application of country also struggles to grasp the Fourth Industrial
Workers’ Councils is progressing at the enterprise Revolution (4IR); for instance, it is sidelined among the
level. The application of collective bargaining leading African countries concerning business process
agreements is concentrated in the public sector, while outsourcing (BPO) industries.
the private sector is haunted by informal micro and
small enterprises. The trade union membership rate About a third of poor people were covered by
for formal workers fell by 9% from 2014 to 2021, social protection systems, primarily funded
mainly caused by a drop in the public sector. Still, the externally, while social security coverages remain
trade union density accounts for 21% of employees, limited, with leakage to the richest quintiles.
among the highest rates in neighbouring countries. Broadly, social protection coverage fell in recent
years, landing in line with the Eastern Africa average
A fast-growing working-age population faces a at 11%. The country has achieved progress in
labour market that does not generate sufficient jobs healthcare, but government health expenditures have
in the formal economy. This dynamic complicates lost pace, with only around 15% of the population
generating more finance via income taxes to support being covered by health insurance partly because
social service expenditures for the mounting age- most workers in the informal economy are unwilling or
dependency group. The country’s low unemployment unable to pay premiums.
rate and a relatively low-slung not in education,

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

FACT SHEET
Significant improvements policy agenda, and social mobilisation efforts do
• A remarkable increase in labour income share not effectively trickle down into Tanzania’s labour
suggests Tanzania gains ground in labour instead market.
of capital in the formal economy. • Broader social protection coverage remains low
• The TVET system has improved over the last and has even fallen by three percentage points
decade, with a growing network of TVET training in recent years.
centres, and recently grasped a record-high 15%
of the allocation to TVET from the government Unionism
budget allocation to the education sector. • Trade union density of 21% for employees in
• Improvements in several social protection Mainland Tanzania and 12% in Zanzibar.
schemes, including relatively high coverage of • Trade union density rate fell by 9% during the
poor people, unemployment benefits for the last decade.
unemployed, and a universal pension in Zanzibar. • Violations of trade union rights rank 4 of 5+.

Social dialogue Based on Mainland Tanzania and Zanzibar trade


• Relatively low collective bargaining coverage unions movement view, the risks that are the most
rate of 10% for employees in 2023. likely to pose the biggest threat to the country in the
• Social dialogue within workers’ councils is next two years are:
concentrated in the public sector, while
underdevelopment in the private sector. • Unemployment due to mismatch of skills.
• Central tripartite institutions have been • Government interference, political pressure and
revived, but some structures do not function instability.
properly. • Curbing the widespread informal economy and a
lack of awareness and incentives to unionism.
Main challenges • Changes in national and labour policies and laws.
• Despite broad policy initiatives, a structural
• Emergence of environmental and health disasters.
economic transformation is not generating
• Weaken the economy and raising the cost of life.
sufficient decent jobs in the formal economy.
• A potentially alarming negative impact on
Workforce
Tanzania’s economic and agricultural backbone
due to climate change is pushing demands for a • The working-age population is 32 million.
just transition agenda. • Unemployment rate of 2.8%.
• A mounting economically dependent population, • The proportion of informal employment in non-
which is increasingly reliant on social services, is agriculture employment is 82%.
putting pressure on the tax system in the formal • The child labour rate is 25%.
economy. • Labour share of national income is 55%.
• The country has lost tempo compared with • Men and women employees’ share of total
neighbouring countries in grasping the benefits employment of 19% and 9.4%, respectively.
trickle down for the 4IR. • The education, employment, or training (NEET)
• A persistently high child labour rate is linked not rate of 14%.
only with the weak progress in primary education
but also to the fact that the legal framework,

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

COUNTRY MAP

Source: National Online Project.

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

TABLE OF CONTENTS
PREFACE ...................................................................................................................................................................... I
EXECUTIVE SUMMARY ............................................................................................................................................... II
FACT SHEET ............................................................................................................................................................... III
COUNTRY MAP ......................................................................................................................................................... IV
ECONOMIC PERFORMANCE....................................................................................................................................... 1
Just Transition ............................................................................................................................................................................ 2
Export Processing Zones ......................................................................................................................................................... 2
LABOUR LEGISLATION ............................................................................................................................................... 3
Observations on Labour Legislation ..................................................................................................................................... 3
Ratified ILO Conventions ........................................................................................................................................................ 4
Trade Agreements ................................................................................................................................................................... 4
SOCIAL PARTNERS ..................................................................................................................................................... 5
Government............................................................................................................................................................................... 5
Trade Unions ............................................................................................................................................................................. 5
Employers’ Organisations ....................................................................................................................................................... 6
SOCIAL DIALOGUE ..................................................................................................................................................... 7
Central tripartite institutions ................................................................................................................................................... 8
Labour dispute resolution system .......................................................................................................................................... 8
TRADE UNION RIGHTS VIOLATIONS.......................................................................................................................... 9
WORKING CONDITIONS .......................................................................................................................................... 10
WORKFORCE ............................................................................................................................................................ 10
Unemployment ........................................................................................................................................................................ 11
Migration ................................................................................................................................................................................. 12
Informal Economy ................................................................................................................................................................... 14
Child Labour............................................................................................................................................................................ 14
Gender ..................................................................................................................................................................................... 15
Youth ......................................................................................................................................................................................... 16
EDUCATION ............................................................................................................................................................. 17
Vocational Training................................................................................................................................................................ 18
Fourth Industrial Revolution .................................................................................................................................................. 19
SOCIAL PROTECTION ............................................................................................................................................... 20
APPENDIX: ADDITIONAL DATA ............................................................................................................................... 23
Table 4: Tanzania’s key economic data, projections, 2019-2025 .............................................................................. 23
Table 5: The main demands of the African trade unions in the declaration statement calling for the Just Transition
agenda, 2023 ........................................................................................................................................................................ 23
Table 6: Central employment and labour legal framework in mainland Tanzania and Zanzibar ...................... 24

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

Table 7: Central legal reservations concerning the rights to organise, collective bargaining, and strikes in
Tanzania .................................................................................................................................................................................. 25
Table 8: Ratified ILO Conventions in Tanzania................................................................................................................ 26
Table 9: Labour market efficiency in Tanzania, 2019 ................................................................................................... 27
Table 10: Ease of Doing Business in Tanzania, 2020 ..................................................................................................... 27
Table 11: Trade Union Density for Paid Employees Aged 15+ by Sector in United Republic of Tanzania (URT),
growth, and gender rate, 2021 ......................................................................................................................................... 28
Table 12: Central tri- and bipartite institutions in Mainland Tanzania and Zanzibar............................................. 28
Table 13: Mainland Tanzania’s status of trade unions and number of CBAs, 2023 ............................................... 29
Table 14: Zanzibar’s status of trade unions and number of CBAs and their coverage, 2023 .............................. 30
Table 15: Minimum Wages, Mainland & Zanzibar, Per Month, TZS & US$, Nominal & Real growth, 2023-current
................................................................................................................................................................................................... 31
Table 16: Tanzania’s Median Monthly Incomes (TZS) of Persons Aged 15+ by Types of Employment, Sex and
Area, 2020/21 ...................................................................................................................................................................... 32
Table 17: United Republic of Tanzania’s key workforce data, 2021 ........................................................................ 32
Table 18: Tanzania - Scores for Women, Business and the Law, 2024 ..................................................................... 32
Table 19: Proportion of population covered by social protection systems and health in Tanzania and sub-
Saharan Africa (SSA), %, latest year *............................................................................................................................. 33
REFERENCES ............................................................................................................................................................. 34

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

Tables
Table 1: Level of national compliance with labour rights among Tanzania and neighbouring countries, 2022 .. 4
Table 2: Number of cases in the Industrial Court in Zanzibar, 2020-2023 ................................................................ 9
Table 3: Key indicators for employed gender gaps in the United Republic of Tanzania, 2020/2021 ............. 15
Table 4: Tanzania’s key economic data, projections, 2019-2025 .............................................................................. 23
Table 5: The main demands of the African trade unions in the declaration statement calling for the Just Transition
agenda, 2023 ........................................................................................................................................................................ 23
Table 6: Central employment and labour legal framework in mainland Tanzania and Zanzibar ...................... 24
Table 7: Central legal reservations concerning the rights to organise, collective bargaining, and strikes in
Tanzania .................................................................................................................................................................................. 25
Table 8: Ratified ILO Conventions in Tanzania................................................................................................................ 26
Table 9: Labour market efficiency in Tanzania, 2019 ................................................................................................... 27
Table 10: Ease of Doing Business in Tanzania, 2020 ..................................................................................................... 27
Table 11: Trade Union Density for Paid Employees Aged 15+ by Sector in United Republic of Tanzania (URT),
growth, and gender rate, 2021 ......................................................................................................................................... 28
Table 12: Central tri- and bipartite institutions in Mainland Tanzania and Zanzibar............................................. 28
Table 13: Mainland Tanzania’s status of trade unions and number of CBAs, 2023 ............................................... 29
Table 14: Zanzibar’s status of trade unions and number of CBAs and their coverage, 2023 .............................. 30
Table 15: Minimum Wages, Mainland & Zanzibar, Per Month, TZS & US$, Nominal & Real growth, 2023-current
................................................................................................................................................................................................... 31
Table 16: Tanzania’s Median Monthly Incomes (TZS) of Persons Aged 15+ by Types of Employment, Sex and
Area, 2020/21 ...................................................................................................................................................................... 32
Table 17: United Republic of Tanzania’s key workforce data, 2021 ........................................................................ 32
Table 18: Tanzania - Scores for Women, Business and the Law, 2024 ..................................................................... 32
Table 19: Proportion of population covered by social protection systems and health in Tanzania and sub-
Saharan Africa (SSA), %, latest year *............................................................................................................................. 33

Figures
Figure 1: Gross domestic product, inflation, and unemployment growth trends in Tanzania, %, 2010-2025 ..... 1
Figure 2: Aggregate sectoral economic changes, sum of value-added per sector in Tanzania and sub-Saharan
Africa (SSA), % of GDP, 2010-2022.................................................................................................................................. 1
Figure 3: Population pyramid based on the Age-Sex structure of the population in Tanzania, 2024 ................ 11
Figure 4: Unemployment rate in Tanzania and sub-Saharan Africa average, Total and Youth, %, 2010-2023
................................................................................................................................................................................................... 11
Figure 5: Tanzania’s net migration and personal remittances trends, 2010-2023.................................................. 13
Figure 6: Status of women participation in employment, top management, and ownership, %, 2018 ............... 16
Figure 7: Proportion of youth (aged 15-24 years) not in education, employment or training in Tanzania and
neighbouring countries, %, latest data .............................................................................................................................. 17
Figure 8: Registered number of students enrolled from VET centres and TET institutions, 2010-2021 ................ 18
Figure 9: Current health expenditure per capita (current US$) and out-of-pocket expenditure (% of current
health expenditure) trends in Tanzania and sub-Saharan Africa (SSA), 2010-2021............................................. 22

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

ECONOMIC PERFORMANCE value-added, supporting the fact of a weak job


creation in the formal economy (see more in the
Tanzania’s economy entered the lower-middle-
Workforce section). The industry sector’s value
income countries in 2020, aided by political and
added has followed the regional average rate. The
social stability. Mainland Tanzania and Zanzibar
agricultural sector remains the backbone of the
archipelago, a semi-autonomous region, operate
economy, contributing almost half of the GDP,
with long-term development visions and five-year
providing 85% of export revenue and employing
development plans, aiming to transform it through
nearly 60% of the workforce. This latter sector’s
socio-economic transformation and development to
value-added also lost pace in recent years but
attain middle-income status.
floated above the regional average (see trends in
Figure 2).
The country has delivered high economic growth
and resilience during the otherwise global turmoiled
Figure 2: Aggregate sectoral economic changes, sum
upstart of the 2020s, triggered by multiple shocks
of value-added per sector in Tanzania and sub-
like the global Covid-19 pandemic, climate change Saharan Africa (SSA), % of GDP, 2010-2022
impacts, and waves from the Russian war against 60
Ukraine. Consumer price inflation started to rise, but
it was harnessed, which was similar for the 50
unemployment rate (see Table 1 and Appendix
Table 4). 40

30
Figure 1: Gross domestic product, inflation, and
unemployment growth trends in Tanzania, %, 2010-
20
2025
18
10
16
14 0
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
12 Tanzania - agriculture Tanzania - industry
Tanzania - serices SSA - agriculture
10
SSA - industry SSA - services
8 Note: Value added is the net output of a sector after adding up all outputs
and subtracting intermediate inputs.
6
Source: The World Bank, World Development Indicators.
4
2 Tanzania is committed to narrowing the fiscal deficit
0 through increased tax collection, including a
progressive personal income tax system called Pay-
Gross domestic product, growth
Inflation, average consumer prices As-You-Earn (PAYE) that withholds tax on
Unemployment rate
Source: International Monetary Fund, World Economic Outlook employees’ taxable incomes. In addition, the skills
Database, April 2024; The World Bank, World Development Indicators. and development levy and workers’ compensation
fund tariff are other labour-related taxes. The
The country’s business regulations and labour country’s tax-to-GDP ratio is relatively low and
market efficiency, detailed in Appendix Table 9 associated with weak domestic tax revenue
and Table 10, are at the low-medium level, mobilisation, suggesting a challenge to creating a
mirroring in the widespread informal economy sustainable welfare system. It not only concerns a
poses challenges in applying these regulations in mounting economically dependent population,
practice. which gains more weight on social service demands,
but also struggles to achieve progress in formalising
Surplus labour from agriculture has moved into the employment structure to generate more tax
services rather than industry. Nonetheless, the revenue to finance the services.
service sector has demonstrated a downturn in its

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

A remarkable increase in labour income share, from that under current climate policies, Tanzania could
30% in 2011 to 54% of GDP in 2024, suggests face a GDP loss of 18% by 2050.4 These
Tanzania gains ground to labour instead of capital projections indicate that the climate impact could
and significantly hovers above the Eastern Africa put a massive number of Tanzanian workers at risk
average at 41% of GDP.1 An increasing labour and reshuffling the migration flow, which is already
share should indicate a fall in economic inequality, in progress in rapid urbanisation (see more in the
but that has instead been on the rise on the margin Migration sub-section). This factor generates
in Tanzania. Some of the main reasons are that the demands for other new jobs, altering the skill
labour income share is linked with formal employee requirements, mainly in household activities and the
share that does not keep pace with the workforce incidence of precarious work. It will furthermore
development (see more in the Workforce section), have major implications for the future technical and
as well as statistically excludes the self-employed, vocational education and training system as it needs
which accounts for 85% of the workforce in to provide the existing and future workforce with
Tanzania. These factors bring concerns about the the required skills to find jobs in the emerging
future’s inequality, keeping workers’ income growth “Green Economy” (see more in the Education
in pace with labour productivity, and applying section).
collective bargaining agreements.
Mainland Tanzania’s latest Five-Year National
Despite the solid economic growth, lower public Climate Change Strategy (2021-2026) is
spending on goods and services threatens the interlinked with the broader national development
quality of social service delivery, mirrored in agenda. Previous strategy versions have gaps in the
meagre poverty reduction during the 2010s: The implementation track record, including inadequate
latest data available show that Tanzania’s poverty awareness and understanding of the risks posed by
headcount ratio at national poverty line fell from climate change and variability to policymakers,
28% in 2011 to 26% of population in 2018.2 The among others. A Just Transition agenda – no one is
impact of climate change on food security and left behind in the transition to low-carbon and
public health triggered by the global COVID-19 environmentally sustainable economies – has been
pandemic in recent years has most likely hindered sidelined for the strategy. Neither did Zanzibar’s
poverty reduction. policymakers promote the Just Transition agenda.
The ILO conducted a rapid situational analysis in
2023 to identify high-potential entry points for just
Just Transition transition policies and interventions in line with
Tanzania’s economic growth, largely driven by food specific country-level needs, priorities and policy
production, is under immediate threat due to its processes in Zanzibar.5 Additionally, in September
heavy reliance on rain-fed agriculture. The country 2023, the African trade union movement launched
has been experiencing unprecedented rainfalls and a declaration statement, setting up ten demands for
rising temperatures, significantly increasing its the Just Transition agenda (see details in Appendix
vulnerability to the impacts of climate change. Table 5).
Furthermore, the looming threat of rising sea levels
in Dar es Salaam adds to the urgency of the
situation. Export Processing Zones
In Tanzania’s mainland, Export Processing Zones
Around three out of five workers operate in the (EPZs) and Special Economic Zones (SEZs) have been
agricultural sector, many in subsistence agriculture. promoted since the 2000s via investor-friendly laws
National food production is projected to decrease and policies. These programmes stimulate multi-
by 8-13% by 2050 due to increased heat stress, sectoral market investment based on various tax
drying, erosion and flood damage, as well as post- and other incentives. According to the Export
harvest loss.3 At a broader view, projections suggest Processing Zone Authority (EPZA), there are 11 SEZs

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

owned by private companies, 10 within government strikes. Legislation requires unions to submit financial
SEZs’ Industrial Parks, and 5 SEZ Industrial Park via records and a membership list to the registrar
local government SEZ.6 annually and to obtain government approval for
association with international trade unions.
In Mainland Tanzania, the number of EPZ/SEZ Collective bargaining agreements need to be
workers increased significantly from 38,000 in registered with the Labour Commission. Employers
2016 to almost 83,000 in 2022, representing 2.2% have the right to initiate a lockout, provided they
of employees, of which just 1.2% are expatriates. comply with legal requirements and procedures.
These zones’ employment appears to have some However, the legal framework has several
dominance of women over men.7 The most observations (see more in the Observations on
frequently cited reasons for getting a job in Labour Legislation sub-section).
EPZ/SEZs concern a better salary, working
conditions, and social benefits. Based on data from Some specialities in Zanzibar’s labour-related legal
EPZA, EPZs’ real average wage growth (reduced framework concern collective bargaining in the
inflation) fell by 1.8% from 2019 to 2022. private sector, and public-sector employees have
the right to bargain collectively through the Trade
Studies found that Tanzania EPZ firms have been Union of Government and Health Employees. It is
haunted by little potential in technology transfer, worth mentioning that managerial employees did
missing high-end tech firms.8 Others noted poor not have the right to bargain collectively on salaries
performance of EPZA linked to insufficient capital and other conditions of employment in Zanzibar.
for providing infrastructures in and out of these
EPZs, and SEZs bureaucracy and corruption among
government officials implementing these projects.9 Observations on Labour Legislation
Tanzania’s 1977 constitution enshrined the right to
Since 2023, free economic zones (FEZs) in Zanzibar freedom of association and the right to strike.
have officially been renamed special economic Although other laws recognise the right to freedom
zones (SEZs). Similarly, the SEZs were established to of association, collective bargaining, and strike,
attract foreign direct investment (FDI), explicitly these are strictly regulated. Legislation prohibits
targeting labour-intensive projects and increasing anti-union discrimination but does not provide
exports. Zanzibar Investment Promotion Authority adequate means of protection against it. Specific
(ZIPA) has registered five FEZs.10 Data on EPZ observations on unionism laws are listed in
employees’ scope and the protection of workers’ Appendix Table 7.
rights are scarce.
Generally, the government does not effectively
enforce the law protecting the right to collective
LABOUR LEGISLATION bargaining on the mainland or in Zanzibar. Reports
The United Republic of Tanzania comprises the found that in both areas, private-sector employers
Mainland Tanzanian and Zanzibar, a semi- adopted anti-union policies or tactics, although
autonomous region. Administratively, Mainland discriminatory activities by an employer against
Tanzania has 26 provinces and five in Zanzibar, union members were illegal.11
and their governments have separate labour laws.
Both are covered by nine central labour-related The majority of Tanzania’s workforce operates
laws (see Appendix Table 6). within the informal economy, functioning outside the
bounds of labour and business regulations in
Broadly, the Mainland’s labour-related legal practice. This is often a result of a lack of awareness
framework protects the workers’ rights, including the or incentives, limited labour inspection coverage,
right of workers to form and join independent trade and a lack of trust in the tax system.
unions, bargain collectively, and conduct legal

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

Ratified ILO Conventions Relations Act of 2005: i) to remove any ambiguity


International Labour Organization’s (ILO) concerning the meaning of the term “majority” and
conventions enumerate international principles and to clarify that the most representative trade union,
rights at work. Tanzania has ratified 37 conventions. even when it does not represent more than 50% of
The latest endorsed conventions were the Maritime the workers, has the exclusive right to bargain with
Labour Convention (MLC, 2006) in 2019 and the the employer; and ii) to guarantee managerial
Seafarers’ Identity Documents Convention (No. 185) employees their rights under the Convention, and to
in 2017. Appendix Table 8 shows that Tanzania indicate the categories of employees excluded.
approved eight of ten fundamental conventions,
one of four Governance Conventions, and 28
Technical Conventions, of which 13 are Up-To-Date Trade Agreements
and actively promoted. Tanzania is a member of the World Trade
Organisation (WTO) and is linked to two regional
The Sustainable Development Goals indicator 8.8.2 trade agreements (RTAs) with labour provisions that
measures compliance with fundamental labour influence the country’s labour market.
rights. Based on ILO textual sources and national
legislation, Tanzania’s scoring has stayed stable in Firstly, the East African Community (EAC) free trade
recent years and is among the best among the agreement signed in 1999 contains a labour
neighbouring countries (see more in Table 1). This provision for employment and working
trend suggests the country is moving in the right conditions. The members agreed to establish a
direction to reach this SDG goal. common market with free movement for the region’s
workers, goods, services, and capital. The EAC
Table 1: Level of national compliance with labour common market protocol ensures freedom of
rights among Tanzania and neighbouring countries, association and collective bargaining, giving EAC
2022 migrant workers the same rights as national citizens.
Country Value Some of the EAC’s main achievements include
Burundi 2.9 removing visas and work permit fees for East
Congo (Dem. Rep.) 3.2 Africans and using ID and student cards as travel
Kenya 4.0 documents; in Tanzania, so far, 23% of the
Malawi 0.2 population have a National Identification Card.12
Mozambique 2.0 However, this regional cooperation still struggles as
Rwanda 1.3 a united bloc. Free labour movement within the EAC
Tanzania 1.4 opens questions of achieving equal opportunities
Uganda 1.3 and social labour rights for migrant workers; for
Zambia 2.2 example, if workers can bring pensions across
Sub-Saharan Africa 2.1 borders. The implementation of economic
Note: The value ranges from 0 to 10, with 0 being the best possible score
(indicating higher levels of compliance with freedom of association and integration has slowed in the last few years,
collective bargaining (FACB) rights) and 10 the worst (indicating lower especially regarding lifting barriers to trade, the
levels of compliance with FACB rights based on ILO textual sources and
national legislation. free labour movement, and EAC’s Social Agenda.
Sources: International Labour Organization, Key Indicators of the Labour
Market (KILM). The East African Trade Union Confederation
(EATUC) got observer status in the EAC in 2009, and
The independent ILO body, known as the Committee along with employers’ organisations, they
of Experts on the Application of Conventions and participate in ministerial summits, sectoral summits,
Recommendations (CEACR), listed observations and and other summits involving labour market issues. It
direct requests for a series of conventions in recent is worth mentioning that the persistent pressure from
years. For example, regarding the Right to EATUC convinced the EAC ministers of labour to
Organise and Collective Bargaining Convention take another big step towards a new joint labour
(C098), CEACR requested the government to take and migration policy in October 2021.13
the necessary measures to reform the Labour

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

Secondly, the Southern African Development for business and investment, which deterred foreign
Community (SADC) agreement, ratified by investors and harmed companies operating in
Tanzania in 2007, extends to the Protocol of Tanzania. On the positive side, President Samia has
Employment and Labour and the Charter of improved Tanzania’s economic environment and
Fundamental Social Rights. Overall, Tanzania has a highlighted restoring domestic and international
low labour intensity of exports to SADC, and the confidence in Tanzania’s business climate.
promotion of the abovementioned regional
initiatives has not been highly prioritised in practice.
SOCIAL PARTNERS
African economies initiated an ambitious regional
Social partners are central to promoting the
integration programme in the form of the African
realisation of core labour rights and social justice
Continental Free Trade Area (AfCFTA), which
for workers by protecting freedom of association
Tanzania ratified in 2021. The EATUC is pushing to
and collective bargaining. These organisations are
include labour clauses in this agreement and has
usually represented as the government, trade
conducted various studies mapping labour rights
unions, and employers’ organisations.
violations and highlighting the benefits of allowing
the free movement of labour and labour rights. In
addition, the Tunis declaration from September
2022 by trade unions from 39 African countries
Government
stresses the inclusion of labour provisions in the Prime Minister’s Office – Labour, Youth, Employment
AfCFTA agreement to ensure compliance with and Persons with Disabilities (PMO-LYED) can be
international labour standards and the decent work traced back to when the country gained
agenda.14 independence in 1961 and was reshuffled several
times. The latest change was the Ministry of Labour
Studies argue that the measures of labour and Employment (2010 to 2015) entered as PMO-
conditions (i.e., mean real monthly earnings, mean LYED (2015 to date). The ministry is divided into
weekly work hours per employee, fatal sixteen directorates/units.16 Likewise, the Ministry of
occupational injury rate, and the number of the Labour, Empowerment, Elders, Women and
ILO’s Fundamental Conventions ratified) find no Children, under the Revolutionary Government of
evidence for possible impact effects of regional Zanzibar, plays a pivotal role in the socio-economic
trade agreements labour clauses overall.15 development of Zanzibar in the areas of labour,
empowerment, and social welfare. In addition, the
The EAC finalised the Economic Partnership Ministry of Health, Community Development,
Agreement (EPA) negotiations with the European Gender, Elderly and Children is linked with the
Union (EU) in October 2014. However, Tanzania labour market’s development, encompassing
has not yet signed the EPA; only Kenya and Rwanda Zanzibar.
have. Export markets vary considerably between
EAC members, and Tanzania’s exports to the EU are
relatively low. Trade Unions
Trade unions’ history in Tanzania traces back to the
Tanzania has signed several bilateral investment 1920s. As divided laws, the Trade Union Congress
agreements, such as with the United Kingdom. The of Tanzania (TUCTA) covers Mainland Tanzania,
country has no bilateral agreement with the United while the Zanzibar Trade Union Congress (ZATUC)
States but is eligible for the African Growth and is for Zanzibar.
Opportunity Act (AGOA).
According to official labour force survey data,
Policies and practices during the Magufuli around 710,000 workers were registered as trade
administration created a deteriorating environment union members from paid employees in

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

2020/2021, concentrated in Mainland Tanzania data.17 Around 30% are women, and 2.8% are
(97%), and the rest (3%) are in Zanzibar. organised workers from the informal economy.
Tanzania Teachers Union (TTU) is the largest union.
The trade union membership rate for paid As indicated, mainland Tanzania’s trade union
employees fell by 9% from 2014 to 2021; movement has not prioritised affiliating organised
relatively, Zanzibar was more negatively affected workers from the informal economy (see also
than Mainland Tanzania, -31% vs -8.1%, Appendix Table 13).
respectively. This downturn was mainly an impact of
the global Covid-19 pandemic, hitting the public In Zanzibar, ZATUC became gradually recognised
and tourism sectors hard. This trend further reflects with increased influence in decision-making on the
a downturn in the trade union density rate for paid labour market, conducting negotiations and signing
employees that dropped by six percentage points collective agreements. A more extensive merger
from 2014 to 2021. Still, it accounts for 21% of process of trade unions in the public sector reduced
employees, among the highest in neighbouring the number of affiliates from eleven to eight in
countries. It is worth mentioning that employee 2020. According to ZATUC’s register, the trade
representation is relatively low. Instead, the self- union membership rate fell by 12% from 2019 to
employed group dominates the workforce, bringing 2020 and has been struggling to rebound since
the trade union density of total employment down then, including due to the impact of the Covid-19
to 3.4%. pandemic affecting the hospitality, transport, and
service industries sectors. In 2023, close to 17,200
Another factor is that the aggregated trade union workers were registered as members to trade
density rate for paid employees is concentrated in unions, of which 38% were women. A national union
the public sector, representing 67%. This segment committee was set up with an informal economy
fell by nine percentage points from 2014 to 2021, desk that functions to affiliate organised workers
an impact of the liberalisation processes that from the informal economy. This latter group has
gradually reduced the public sector’s leading role been on the rise, peaking at 17% of ZATUC’s total
in economic production and shifts in the employment membership rate in 2023. The Zanzibar Teachers’
structure. The public sector payroll for “ghost Union (ZATU) has the largest share of ZATUC’s total
workers” was cleaned up, pushing many workers membership rate at 27% (see more details in
dismissed without terminal benefits because of their Appendix Table 14).
illegal existence in employment, and the application
of casualisation of employment contracts was on the
rise. In contrast, the private sector has much smaller Employers’ Organisations
proportions of trade union members since they are Employers – those working on their account or with
dominated by micro or small enterprises marred by one or a few partners holding “self-employment
the widespread informal economy, not to mention jobs” – represent 1.7% of the total employment in
the rigid business regulations. On the positive side, Tanzania, lower than the sub-Saharan Africa
the trade union density for paid employees in the average of 2.3%. This group is experiencing a
private sector increased by two percentage points declining trend from its peak of 2.7% in 2014,
during the mentioned period, reaching 12% in linked to the deteriorated policies and practices
2021. Very few are organised workers in the during the Magufuli administration that created a
agricultural sector and household activities (see deteriorating environment for business and
more details in Appendix Table 11). investment.18

In Mainland Tanzania, 13 trade unions are The Global Competitiveness Index provides a view
registered. They are affiliated with TUCTA, which on various aspects, including labour market
recorded 1.2 million members in 2023, almost efficiency, based on surveys among Tanzanian
double the abovementioned labour force survey employers in the country. This latter efficiency has

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

landed at the medium level, ranking the country as employment and agree on work standards. By law,
86 out of 141 countries (1 is the best) (see more in collective agreement means a written agreement
Appendix Table 9). Based on the Global Risks concluded by a registered trade union and an
Report 2024, identified by the Tanzanian Executive employer or registered employers’ association on
Opinion Survey, the five risks that are the most likely any labour matter. The regulations in Tanzania
to pose the biggest threat to the country in the next prescribe a general duty to bargain in good faith
two years are unemployment, chronic diseases and rather than specific obligations.22
health conditions, failure of climate-change
adaption, inequality (wealth, income), and Reports found that Tanzania’s government did not
cybercrime and cyber insecurity.19 effectively enforce legislation protecting the right to
collective bargaining, not to mention private-sector
In Mainland Tanzania, the Association of Tanzania employers adopting anti-union policies or tactics,
Employers (ATE) was formed in 1960 and is the although discriminatory activities by an employer
central institution promoting organised employers’ against union members were illegal in Mainland
interests. The organisation affiliates employers in all Tanzania and Zanzibar.23
sectors, excluding the civil service. ATE’s direct
members grew from 1,300 in 2015 to 1,500 at the In Mainland Tanzania, laws set that public
beginning of the 2020s and indirect members grew corporations or private firms employing more than
from 8,000, drawn from private business firms, ten workers shall establish a Workers Council (WC).
companies, and some parastatal organisations.20 These councils should discuss different labour-
related agendas, such as salary increases, financial
Most members (70%) are based in Dar es Salaam, regulations, the pension formula, and human
and the rest (30%) are in other parts of the resources policies. Agreements reached via
mainland. The members are classified into ten workers’ councils turn into collective bargaining
divisions: agriculture, oil and gas, banking and agreements (CBAs). Except for limited exceptions,
financing, mining and construction, commerce and such as workers in “national service” and prison
trade, transportation and communication, guards, public-service employees can engage in
hospitality and tourism, industries and collective bargaining through the Tanzania Union of
manufacturing, social services, and private security. Government and Health Employees (TUGHE).
TUGHE supports negotiations with the government
The Employers’ Association of Zanzibar (ZANEMA) through WCs, which are conducted regularly and
was established in 1998 to advance employers’ cover most government workplaces. Not all public
interests and influence on policy and good practices sector employees have the right to bargain via
related to industrial relations, employment, and the TUGHE depending on the public institutions
business environment. Data on the organisation’s collectively; for example, local government
affiliated members was scarce. ZANEMA has employees are organised under the Tanzania Local
working relations with ATE and trade unions.21 Government Workers Union (TALGWU). The
private sector is dominated by informal micro and
small enterprises sidelined by the WCs’ institutions.
SOCIAL DIALOGUE Those in middle or large private enterprises often
lack awareness or incentives for applications of WC
Tanzania has ratified several international
activities.
conventions providing that all workers and
employers shall have the right to freedom of
Coverage of CBAs were on the rise during the
collective bargaining, including those in the informal
2010s, peaking with 604,000 workers in 2019,
economy. The national legal framework for social
with a coverage of 18% of employees. This rate fell
dialogue provides minimum requirements that
at the beginning of the 2020s, grasping about
widen the spectrum for employers and employees
400,000 workers in 2023 with a coverage of
to negotiate the terms and conditions of

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

approximately 10% of employees.24 Collective Wage Boards


agreements frequently replicate statutory Wage Boards are investigative, advisory and
standards on working time, and some devote dispute-resolving tripartite bodies appointed by
special attention to epidemic-related prevention, the Minister of Labour. The number of members in
where collective agreements include an HIV/AIDS the main decision-making body of the institution is
programme. It is worth mentioning that a rise of eight. The Wage Board does not make legally
breakout trade unions, of which most of them are binding decisions, as it plays an advisory and
pro-employers, reduces the strength of collective facilitative role. However, it is an offence to refuse
bargaining power and causes divisions among to answer any question asked by the board or
workers. share the board with any information, book,
document or object without lawful grounds for that
In Zanzibar, legislation provides for collective refusal (see more in the Working Conditions
bargaining in the private sector. Public-sector section).
employees had the right to bargain collectively
through the TUGHE. However, members of the In Zanzibar, the leading institutions’ status is
police force, prison service, and high-level public summarised below:
officials were barred from joining a trade union
and collective bargaining. There were 15 CBAs Labour Advisory Board
concluded and reviewed in 2023, covering almost The tripartite Labour Advisory Board (LAB) provides
3,000 workers apart from their dependents.25 advice on labour-related issues, such as proposed
legislation, ILO conventions, industrial relations, and
working conditions. It must meet four times yearly.
Central tripartite institutions
Wages Advisory Board
Numerous bi- and tripartite consultation bodies are
set up in Mainland Tanzania and Zanzibar to The tripartite Wages Advisory Board (WAB)
promote social dialogue among social partners (see recommends minimum wages and working
also Appendix Table 12). conditions. The board has not succeeded in
introducing regular minimum wage adjustments, but
there is a good status of trade unions' promotion for
In Mainland Tanzania, central tripartite institutions
have been dormant but some recently revived. The establishing a national wage policy to bridge the
status of the leading institutions is presented below: gap between the Minimum Wage and the ideal
living wage through the existence of the WAB (see
Labour, Economic and Social Council more in the Working Conditions section)
By law, the institution Labour, Economic and Social
Council (LESCO) advises the Prime Minister’s Office
– Labour, Youth, Employment and Persons with Labour dispute resolution system
Disabilities on the national labour market policy Tanzania’s labour dispute resolution system has
and additionally any proposed labour law before developed, shifting from traditional court-based
it is submitted to cabinet. It furthermore collects and methods to a more Alternative Dispute Resolution
compiles information and statistics relating to the (ADR) focused approach. This shift has made ADR
administration of labour laws. LESCO operates with integral to the country’s legal system, operating
an independent chairperson and sixteen members alongside conventional avenues.
representing the government, employers, and
workers, and four members selected because of In Mainland Tanzania, the central actors for dispute
their expertise. resolution are the Labour Commission for Mediation
and Arbitration (LCMA) and the High Court Labour
Division, which is responsible for hearing and
determining employment disputes.

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

The LCMA is an independent department of the labour disputes. They may act as representatives
Prime Minister’s Office – Labour, Youth, Employment for the labour commissioner by request should the
and Persons with Disabilities, with offices in all need arise in the regions. The industrial court
regions. This institution mediates or arbitrates, functions slowly and irregularly due to a lack of
embracing any dispute within the framework of resources, especially on the island of Pemba.
labour laws, including antiunion discrimination. Reports noted that administrative authorities’ power
Studies found that LCMA needs more offices and to unilaterally dissolve, suspend or deregister trade
mediators, often lack of skills and professionalism union organisations is an issue in Zanzibar.29 In
and heavy workload in some areas. It also noted addition, the number of cases in the Industrial Court
some challenges from its stakeholders like the in Zanzibar has been falling at the beginning of the
parties, advocates, and trade unions.26 Some 2020s (see more in Table 2).
progress is detected; for instance, Tanzania Invest
Centre (TIC) and the CMA have signed a Table 2: Number of cases in the Industrial Court in
collaborative agreement in May 2024 to address Zanzibar, 2020-2023
2020 2021 2022 2023
workplace disputes between investors and their Number of
employees. 1,018 857 615 663
cases
Source: Danish Trade Union Development Agency, SRO-Eastern Africa
data-collection.
The Labour Institutions Act of 2004 established the
Labour Court in Mainland Tanzania as a division of
the High Court. A judge and two assessors from
trade unions and employers’ organisations presided TRADE UNION RIGHTS VIOLATIONS
over the court, implementing procedures for settling Tanzania is ranking 4 out of 5+ (5 is worst) on the
its referred labour disputes. The Labour Court has Global Rights Index in 2024, characterised by
been haunted by a lack of resources, leading to a “systematic violations of rights”: the government
massive case backlog. Labour inspectors are often and/or companies are engaged in serious efforts to
hindered in ensuring labour law compliance about crush the voice of workers, putting fundamental
sanctioning an employer through the courts. It rights under threat.30 No cases of systematic
usually related to cumbersome processes violations of rights were registered in recent
depending on the seldom-used delegation of years.31
prosecutorial authority from the Director of Public
Prosecutions.27 Provisions related to forced labour are present in
the legal framework, prohibiting forced labour,
The labour dispute resolution system’s coverage is including the Employment and Labour Relations Act,
limited to the formal economy, dismissing workers which criminalises procuring, demanding or
from the extensive informal economy. This limitation imposing forced labour.32 Tanzanians who
underscores the need for a more inclusive system voluntarily migrate in search of employment
that caters to all workers, regardless of their opportunities are frequently vulnerable to
employment status. exploitative conditions (see more in the Migration
sub-section).33 Crises heighten the risk of all forms
In Zanzibar, the Zanzibar Industrial Court is a of modern slavery, and climate crisis has
division of the High Court of Zanzibar, settling accelerated these circumstances. About 171,000
formal labour disputes. Like its Mainland people were living in modern slavery in Tanzania,
counterpart, the Zanzibar Industrial Court is which is 0.3% of the population and ranking as
presided over by a judge and two assessors from number 42 out of 50 African countries on the Global
employers’ organisations and trade unions.28 The Slavery Index (1 is the worst score) in 2023. This
court and its Dispute Handling Unit is the only venue index measures modern slavery, i.e., slavery-like
where labour disputes can be heard. Labour practices (such as debt, bondage, forced marriage
inspectors have some responsibility for settling

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

and sale or exploitation of children), human Based on the latest Integrated Labour Force Survey
trafficking and forced labour. 2020/21, the largest monthly incomes for persons
in paid employment in the United Republic of
Tanzania are observed for public sector workers
WORKING CONDITIONS and the lowest for agriculture sector workers. Other
estimations suggest that the aggregated median
Tanzania implements a sectoral minimum wage
monthly income among self-employed and
system that varies depending on the industry in
agricultural workers was at least half lower than the
which a worker is employed. The Labour Wage
paid employees; the latter was even 16% inferior
Order outlines the minimum wage for thirteen
to the minimum wage rate. It is worth mentioning
sectors: agriculture, health, telecommunication,
that there is a median gender income gap of 30%,
domestic service, private security, energy, transport,
favouring men (see more in Appendix Table 16).
construction, mining, private schools, commerce,
industry and trade, and marine and fishery.
Employment contracts in the formal economy are
commonly used at all levels, and the most common
The latest sectoral minimum wages were set in 2023
types are fixed-term contracts and permanent
with significant hikes in absolute terms, about a 36%
contracts.34
increase on average. The highest and lowest
monthly minimum wages with these multiple rates
In Mainland Tanzania, the Ministry of Labour, Youth
range from Financial Institutions with TZS592,000
and Employment Development (MoLEYD) is
(US$244) and other domestic workers with
responsible for labour inspection. In Zanzibar,
TZS40,000 (US$17). In Zanzibar, the only minimum
general responsibility for labour inspection rests
wage covers the public sector with TZS300,000
with the Ministry of Labour, Youth, Women and
(US$124) and has not been adjusted since 2013
Children Development. Overall, there are
(see more in Appendix Table 15).
registered 87 labour inspectors, equalling about
one per 43,000 employees in 2022.35 These
Several factors that contribute to the minimum wage
employees represent just about 14% of the total
in Tanzania are worth outlining. Firstly, it took ten
employment. Bringing the total employment into the
years in Mainland Tanzania to adjust the minimum
equation, the coverage of one inspector grips
wage scales from 2013, suggesting that the
305,000 Tanzanian workers. Thus, the number of
mentioned wage boards have been dormant.
inspectors was insufficient to provide effective
Secondly, these adjusted minimum wages did not
workplace inspection. The ILO is concerned if the
increase in real terms (deducted inflation in
relation exceeds one inspector per 20,000 workers
consumer prices), and several sectoral minimum
in transition economies and one inspector per
wages even got struck; for instance, the Trade,
40,000 workers in less developed countries.36
Industries and Commercial Services and the Fishing
Although it is somewhat underestimated in the
and Marine Services (revisit Appendix Table 15).
current relatively low employees group, it hints that
Thirdly, although employers in Tanzania are legally
Tanzania could benefit hiring at least 93 labour
obligated to pay their workers at least the
inspectors among employees to reach the threshold.
mandated minimum wage for their respective sector
and location, the labour market landscape is
characterized by a high level of self-employed
working in the informal economy, sidelining the WORKFORCE
application of these minimum wages in practice. The United Republic of Tanzania has the fourth-
Fourthly, since average real wages are not largest population in sub-Saharan Africa, with a
increasing at the pace of labour productivity, it population of about 67 million people in 2024, of
supports that the country is experiencing a which about 1.9 million reside in Zanzibar. The
deteriorated economic inequality, which is mirrored country’s demographic landscape demonstrates a
in a drop of the Gini index. continuously relatively high population growth

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

trend, placing it one of the youngest populations in • The proportion of highly skilled occupations in
the world and projected to reach 80 million the workforce has declined.
Tanzanians in 2030. This stance is linked to a slow • Employment in the private and public sectors
fertility rate transition. fell on the margin, while household activities
rose sharply.
Figure 3 below visualises Tanzania’s demographic • The incidence of precarious work (i.e., meagre
pyramid, echoing the increasing age dependency pay, very low intensity working hours, or low
on the Working-Age Population ratio. For example, job security) increased, affecting at least four
Tanzania is witnessing significant growth in its older out of ten (43%) paid employment.
population (60+), which covers about 4.7% of the • Vulnerable workers (i.e., those at a higher
total population today. Still, it is projected to degree of economic risk and vulnerability)
account for 17% by 2050.37 Generally, this stood stable and high at 83%.
growing dependency rate pressures generating tax
income via formal job creation to finance the Tanzania’s job creation heavily relies on developing
mounting welfare demands. its micro and small enterprises, emerging as the
backbone of growth, innovation, and employment
Figure 3: Population pyramid based on the Age-Sex opportunities. Most private enterprises, around
structure of the population in Tanzania, 2024 97%, are household micro-enterprises (1-4
employees), most likely informal; even 66% of
these are own account (one person) activities.38 This
stance challenges the application of unionism and
collective bargaining institutions in the private
sector, generally often due to a lack of awareness
or incentives to comply with labour and business
regulations.

Source: Central Intelligence Agency, The World Factbook, Tanzania, July


Unemployment
2024. Tanzania’s low unemployment rate remained stable
during the last decade, with no noteworthy hike due
Based on the Labour Force Surveys, the main trends to the global Covid-19 pandemic in 2020 and
of the United Republic of Tanzania’s workforce stood significantly below the regional average
trends are summarised below, and other facts are (Figure 4).
available in Appendix Table 17:
Figure 4: Unemployment rate in Tanzania and sub-
• The working-age population grew by 21% Saharan Africa average, Total and Youth, %, 2010-
from 2014 to 2020, reaching 32 million in 2023
2021. 14

• A high workforce participation rate of 83%, 12

with large group of own-account farming. 10


• Although employment has slightly shifted 8
toward the service and manufacturing sectors, 6
the agriculture sector remains the largest 4
employer. 2
• Formal wage employment in Tanzania has only 0
marginally increased, reaching 14% in
2020/2021. Tanzania - Total Tanzania - Youth
SSA - Total SSA - Youth
Source: International Labour Organization, modelled ILO estimate.

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

Unemployment is predominantly an urban have migrated from different regions, reflecting a


phenomenon, affecting the youth and those with robust rural-urban flow, which is the typical
higher education levels. The unemployment rate migration pattern in Tanzania.
underestimates that many individuals are engaged
in casual or informal activities, working few hours The adverse impacts of climate change are
per week as a survival strategy. Moreover, the challenging many small-scale agricultural workers
intermittent nature of subsistence farming, occupied living in vulnerable areas. A glimpse of its scope is
only during planting and harvesting, contributes to displayed by a large segment of internally
what is known as ‘disguised’ unemployment. In displaced people (IDPs) associated with disasters –
addition, unemployment is statistically a part of the floods, storms, and earthquakes – that reached
employed group, excluding people outside the 291,000 persons since 2008, mainly accelerating in
workforce. Approximately 17% of the working-age recent years. No internal displacements by conflict
population in Tanzania is estimated to be were registered.39 Although the government took
‘economically inactive’, a term that masks a steps to resettle the displaced, including via a
potential for unemployment. It is worth addressing Resettlement Policy Framework, many lack secure
these aspects to get a more accurate picture of the land tenure, children out of school, weak access to
real unemployment rate. health services, lack of livelihood opportunities and
discrimination remain obstacles to lasting solutions.
The National Social Security Fund (NSSF) promotes
an insurance unemployment benefit scheme, and the In Mainland Tanzania, about one out of three (34%)
country has remarkably high coverage: 11% of the people live in urban areas. In comparison, half the
unemployed received unemployment benefits in population (49%) lives in urban areas in Zanzibar.40
2021, which has been on the rise (see more in the The country's urban population is expected to reach
Social Protection section). 50% of the population by 2030. Even the Dar es
Salaam metropolitan area is projected to grow
from six million people today to 13 million by 2035,
Migration crossing the “megacity” threshold of 10 million
Migration is a critical factor in population dynamics people sometime before 2030.41 The fast
influencing Tanzania's labour market. Generally, urbanisation growth is putting pressure on
the country is a significant player at the regional infrastructure development to harness 'unjust' cities.
level and has signed central international and
regional migration conventions and protocols. The East African Community (EAC) promotes
Initially, the country was recognised as a migrant- measures for the free movement of persons and
friendly country and a hospitable society for labour from the member states. The adoption and
migrants and refugees. However, many irregular implementation of the EAC's Common Market
migrants have entered Tanzania's borders since the Protocol dealing with migration has faced some
end of the 2000s, transiting through the "Southern reluctance from member countries. In Tanzania,
Route" to South Africa and Zambia. This situation foreign migrant workers often encounter difficulties
has pushed the country's legal and policy seeking legitimate employment, and discrimination
framework on migration more restrictive. against migrant workers frequently occurs. The Non-
Citizens (Employment Regulation) Act 2015
Seeking employment opportunities is a common introduced stricter rules for hiring foreign workers.
reason people migrate from one place to another. However, it was reformed in 2021, softening the
Based on the latest data from the Labour Force regulations, including opening for extending the
Survey 2020/21, about 21% of the total period of expatriate employees from three to a
population aged 15+ had migrated from other maximum tenor of eight years. One of the persistent
areas to their current places of residence. Dar es hurdles is visualised by the thousands of Kenyan
Salaam has the highest proportion of persons who teachers who live and work in Tanzania, where they

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

teach. Many have found a family and wish to stay remittances inflow, which have been stagnant for
in Tanzania. But if they remain, they are typically the last decade, landed far below the foreign
cut off from the pensions to which they are entitled direct investments and compared with the closets
through their Kenyan savings.42 neighbouring countries like Kenya and Uganda (see
also Figure 5). Thus, although Tanzania has taken
The trade union movement has been involved in several steps to engage the diaspora and
migration issues in Tanzania. For instance, migrant remittances as tools for national development, it has
construction workers from Türkiye working on a so far not achieved significant improvements.
Tanzanian railway construction site operated by a
Türkiye-based construction company went on strike Figure 5: Tanzania’s net migration and personal
in August 2023 after not being paid for seven remittances trends, 2010-2023
250000 1.4%
months. However, the workers were unsure about
their rights in Tanzania and had no contact with 200000 1.2%

government authorities. They informed them about 150000


1.0%
their rights in collaboration with the Trade Union
100000
Congress of Tanzania (TUCTA) and the Tanzania 0.8%

Mines and Construction Workers' Union (TAMICO). 50000


0.6%
They got in touch with relevant government 0

authorities. An agreement was reached with the -50000


0.4%

representatives of the company, and the workers


-100000 0.2%
ended their strike, going back to work three days
later.43 -150000 0.0%

Central drivers of emigration link with access to Net migration (left)


Personal remittances, received (% of GDP) (right)
employment and education opportunities.
Note: Net migration is the total number of immigrants minus the annual
Tanzania's top destinations are Uganda, South number of emigrants, including both citizens and noncitizens.
Africa, the United Kingdom, and Zimbabwe. Semi Source: Migrant Data Portal, Migration statistics; The World Bank,
World Development Indicators.
and unskilled migrant workers started moving
towards the Middle East. These low-skilled migrant As mentioned, Tanzania has always received a
workers are vulnerable to abuse, receive relatively high refugee population and has been at
inadequate wages, experience poor working the forefront of regional peacebuilding efforts.
conditions and are occasionally discriminated However, its image has changed in recent years,
against. Studies found that the migration process with more restrictive policies being applied to deter
was flawed, and most workers migrated without the refugee arrivals and encourage many to
proper documents or following due process by repatriate. In 2018, Tanzania withdrew from the
misinforming immigration authorities about the Comprehensive Refugee Response Framework. The
purpose of their travels. Besides, many of these government has prohibited or restricted refugees
migrants are disconnected between the living in camps from working and generating
expectations and the reality of working abroad.44 income, making life there harder. Many refugees
have returned to their original country voluntarily,
More people left than entered Tanzania, except for and many were even intimidated and pressured to
a high influx in the middle of the 2010s, linked with return.46 Per May 2024, the country hosted almost
an upsurge of refugees. The net migration flow has 238,000 refugees and asylum-seekers, 0.4% of the
become more balanced in recent years because of total population, mainly from Burundi and DR
the impact of the COVID-19 pandemic. Still, just Congo. Most of the refugees in Tanzania live in two
around 0.6% of its total population emigrated, camps located in the Northwestern region.47
connecting with its historical lacklustre diaspora
engagement.45 This factor is mirrored in personal

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

Informal Economy affiliated unions have gained more attention in


Tanzania’s labour market landscape is resiliently organising workers from the informal economy, as
dominated by the widespread informal economy, well as new and independent unions for informal
represented by unregistered small-scale traders, workers are emerging. For example, some
farmers, small manufacturers, craftsmen, individual cooperative unions have been established in the
professionals and many small-scale businesses. fishery industry to secure soft loans from financial
These groups are sidelining the application of institutions, improving their businesses and profits.
business and labour regulations like income tax,
employment contracts, minimum wages, and social Likewise, ZATUC does not operate with a specific
protection insurance schemes; or, stated differently, policy to support informal workers but as previously
informal workers face vulnerable working mentioned some activities that capacitate affiliates
conditions. to organise informal workers are in progress.

The main influences that drive informality in


employment in the country are family needs Child Labour
additional income, weak coverage of social Around 35% of the United Republic of Tanzania’s
insurance schemes, business or activity does not population is children aged 5-17, equalling 20.1
require much capital, cannot find other work, and million children.49 As outlined in the Population
business or activity provides good income Pyramid above, this segment’s growth keeps
opportunities.48 growing (revisit Figure 3).

Mainland Tanzania and Zanzibar are not operating The country has endorsed most international treaties
with a specific tripartite National Informal Economic and conventions on children and child labour.
Forum that could function as a special advocacy Mainland Tanzania and Zanzibar operate with
platform. On the other hand, national policies are their own child labour laws and institutional
in place to address issues that affect workers in the arrangements to implement and coordinate at
informal economy, such as enterprise formalisation different levels, including with participation from
and access to credits. trade unions. Although both areas have established
legal frameworks related to child labour, legal
A worrisome trend is reflected in the proportion of hurdles persist, such as the lack of penalties for the
informal employment on the rise: It increased by ten use of children in illicit activities, the lack of minimum
percentage points during the last decade for non- age protections for children engaged in domestic
agricultural employment, grasping 82% in 2021. work, and the insufficient number of labour
Besides, most workers in the agricultural sector are inspectors, leading to child labour is rarely caught
working in informality. This stance visualises that the by the authorities monitoring and control systems.
economy does not create sufficient new jobs in the Reports found that the country made moderate
formal economy as hoped, reducing the income advancement in efforts to eliminate the worst forms
tax’s scope, and supports the fact of a meagre of child labour.50
poverty reduction track record.
In Tanzania, many children are subjected to the
The TUCTA does not operate with a coherent policy worst forms of child labour, including forced labour
approach at the federation level for unity and in mining, quarrying, and domestic work. Most
designation of people in the informal economy as children in child labour perform dangerous tasks in
workers to expand the trade union constituency. It is agriculture in rural areas. These economic activities
echoed that trade unions’ membership base has are concentrated overwhelmingly in low-skill jobs in
been shrinking, and trade unions’ affiliation with the informal economy, offering little prospect for
organised workers from the informal economy has advancement or escaping poverty.
been somewhat dormant. However, several TUCTA

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

The root of child labour is linked with poverty, Women and adolescent girls are particularly
informality, and cultural heritage. According to the vulnerable to poverty, exacerbated by gender-
2020/21 Integrated Labour Force Survey (ILFS), based violence and beliefs around gender roles,
around 25% of all children are engaged in child norms, and female empowerment. Apart from the
labour, equal to five million children. It suggests that legal hurdles, women’s unpaid childcare and
the child labour rate has fallen by four percentage domestic work limit their contribution to and benefit
points since 2014. The disappointing low drop in the from productive activities, constraining their mobility
child labour rate is linked with the weak progress in and limiting access to market resources and
primary education (see more in the Education information while participating in the economy.
section), not to mention it signals that the legal
framework, policy agenda, and social mobilisation The global Gender Inequality Index (GII) reflects
efforts do not effectively trickle down into the scope of gender disparities, ranking Tanzania
Tanzania’s labour market. 131 out of 162 countries (1 is best) in 2022. This
relatively low ranking is supported by the country’s
Tanzania’s child labour rate is in line with the sub- women having a relatively high adolescent birth
Saharan Africa average, at 26% in 2020.51 Child rate, significant gender gaps in at least some
labour is dominant in Mainland Tanzania (25%) secondary education and the workforce
while Zanzibar is down to 7.4%.52 An impact of the participation rate.
Covid-19 pandemic caused many people in
Tanzania to lose their jobs and close schools, Table 3 below shows a minor gender gap in the
suggesting that many families could resort to employment share. However, Tanzanian women
sending their children to work. It could further lead have a higher unemployment rate, and a lower
the country to miss the global goal to end all forms employee share linked to the ‘domestic burden’ (i.e.,
of child labour by 2025. unpaid care work). This stance makes women more
likely than men to work part-time or informal
employment in low-productivity sectors. It
Gender furthermore sticks with Tanzanian women’s average
Tanzania has demonstrated political will to promote monthly income that was around two-thirds that of
men, interlinking with the just mentioned
gender equality and is committed to central,
regional, and international gender-related disproportionate responsibilities, discriminatory
conventions and protocols. Gender equality is practices prevalent in the labour market, and
enshrined in Tanzania’s constitution and integrated individual preferences.54
into national plans, not to mention the country
Table 3: Key indicators for employed gender gaps in
gained its first female president in 2021.
the United Republic of Tanzania, 2020/2021
Men Women
Generally, the country’s laws and regulations Participation rate 86% 80%
around the life cycle of a working woman score 81 Employment share 51% 49%
out of 100 (100 is best) in 2024, relatively higher Unemployment rate 1.9% 3.7%
than the regional average across sub-Saharan Employees rate 19% 9.4%
Africa at 74 on average. They still encounter a Employers rate 2.2% 1.1%
lower ranking on the indicator measuring laws Non-agricultural informal
77% 88%
affecting parenthood, assets, entrepreneurship, and employment rate
pension (see more details in Appendix Table 18).53 Source: Tanzania Intergrated Labour Force Survey 2020/2021;
International Labour Organization, ILOSTAT.
Despite the advanced legal framework on
protecting women, widespread informality and
Tanzania’s proportion of women in managerial
cultural heritage often halt its implementation in
positions has more than doubled during the last
practice, especially in rural areas.
decade, reaching 28% in 2020, which is part of the
progress of urbanisation. It is still significantly lower

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

than the average in Eastern Africa of 41%. The full school-to-work transition to find a stable or
surge in women’s leadership roles not only satisfactory quality job in the formal economy.
strengthens the commitment to gender equality but Instead, most end in the informal economy. This
also instils a sense of empowerment and confidence situation leads to a dual factor: many youngsters
among other women to participate actively in lack awareness or incentives to complete school,
decision-making organs across the country. Other and others are better educated, but the labour
data from Tanzania’s latest Enterprise Survey 2023 market does not offer sufficient decent jobs. Micro
reported that just 13% of firms had women and small enterprises operating in informality
participation in ownership, significantly lower than dominate the labour landscape in urban zones,
the sub-Saharan African average. In contrast, finding it difficult to grow and provide new jobs due
Tanzanian females have a higher employee rate to cumbersome business regulations and weak
than the regional average (Figure 6). structural economic development. The relatively low
labour productivity echoes these factors. In
Figure 6: Status of women participation in addition, unemployment is not an option for
employment, top management, and ownership, %,
youngsters facing limited access to unemployment
2018
45% benefit insurance schemes, not to mention data show
40% that one out of ten has an incidence of discouraged
35% youth job seekers.56
30%
25% During the last decade, the government promoted
20% numerous initiatives to tackle youth engagement
15%
and empowerment. Indications suggest that
10%
advantages are meagre; for instance, the country’s
5%
latest ranking on the Global Youth Development
0%
Employees that are Firms w/a female top Firms w/female Index fell to 166 out of 183 countries (1 is best) in
female manager participation in
ownership 2023, a significantly lower position than most
Tanzania Sub-Saharan Africa Lower middle income neighbouring countries. The country’s best scoring
Source: The World Bank, Enterprise Surveys, Tanzania 2023: Country was regarding political and civic participation rank
Profile.
(32 of 183 countries), but it has not trickled down
into an upsurge in trade union density.

Youth Youth attitudes towards work are often cited as


Youth is the labour market’s future backbone. The central challenges for the labour market in
youth (aged 15-24 years) accounted for a Tanzania, considering that employment services are
substantial portion of the working-age population, unpopular and ineffective. The weaknesses of the
reaching 10 million or 32% of the total working- education system concern a lack of practical
age population in 2020/21.55 This group techniques. Instead, most youths rely on informal
represents a significant ‘youth bulge’, a term used networks – mainly family and friends – to search for
to describe the increase in the youthful population, jobs. The better-educated minority and those from
fuelling about 700,000 new young Tanzanian enter wealthier families can afford to wait for more
the job market each year. It is worth mentioning that secure waged employment.
Zanzibar youth formal employees represent a
remarkably higher rate than Mainland Tanzania, The not in education, employment, or training (NEET
31% vs. 17%, respectively. rate) indicator provides a better indication of the
extent of barriers fronting young people in the
Tanzania’s youth unemployment rate has been low labour market than the unemployment rate.
at 3.9%, concentrated in urban areas and only half Tanzania’s NEET rate was 14% in 2020, which is in
the Eastern Africa average. It suggests the labour line with 2014 and one of the lowest among the
market is creating jobs. However, few complete the

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

neighbouring countries (Figure 7). The country’s still brings hurdles to improving the education sector;
NEET rate is significantly higher for women than for example, indirect costs remain, such as for
men, 19% vs 9.1%, respectively. Young people textbooks, uniforms, and school lunches; the
from lower-income families are usually more prevalence of child marriage and pregnancy
present in the NEET rate. The economic downturn in prevents many girls from attending school; corporal
2020 caused by the Covid-19 pandemic will most punishment is lawful in Mainland Tanzania; there is
likely create an upsurge in the NEET rate. no reference to quality education in the law.

Figure 7: Proportion of youth (aged 15-24 years) A recent improvement is the national 2023
not in education, employment or training in Education and Training Policy, which places greater
Tanzania and neighbouring countries, %, latest attention on developing skills relevant to the
data changing job market, such as critical thinking,
35 problem-solving, communication, and digital
30 literacy. Changes in curriculum design, assessment
methods, teacher professional development, and
25
technology integration into teaching and learning
20 processes have been detected as central factors.
15
Government expenditure on education has
10 deteriorated during the last five years, landing
5
under 4% of GDP, thus below the international
Education 2030 Framework for Action’s benchmark
0 for government financing of education within 4% to
Burundi Congo Kenya Malawi Rwanda Tanzania Zambia
(Dem. Rep.)
6% of GDP. Government expenditure on education
Source: International Labour Organization, Key Indicators of the Labour share of government expenditure is in line with the
Market.
sub-Saharan Africa average, at 14%.58
Along with the need for more services to link youth
job seekers with employers, a pivotal encounter As previously mentioned, 700,000 graduates
facing Tanzanian youth is the poor quality of struggle to transition into jobs in Tanzania yearly,
available vocational and technical training and less than 10% find a job in the formal
programmes. The result is a wide gap between the economy.59 This trend highlights the mismatch or low
needs of the labour market and the skill set of level of coordination between formal education and
young job seekers (see more in the Vocational the labour market’s needs. This situation leads most
Training sub-section).57 youths to continue searching for employment, be
self-employed, often need more proper
entrepreneurship competencies, or generally
operate in the informal economy. It further causes
EDUCATION
restlessness, frustration, and social insecurity among
The United Republic of Tanzania has ratified most many young graduates and the public in general.
international treaties protecting education rights.
The current Tanzanian constitution recognises the Education is linked to the level of skills of the
right to education and has adopted several laws workforce, productivity, and earnings. Tanzania’s
and policies to implement the right to education, education system has demonstrated some
including to abolish school fees for primary improvements, as reflected in the average level of
education in 2011. The education system has gone education of the workforce, which has increased:
through a decentralization, but the power to About 59% of the population in Tanzania has
legitimize the formation of quality and equitable primary education, and it has not improved since
educational programmes is still centred at the 2014. Persons with secondary education grew
national level. Additionally, the legal framework

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

slightly, grasping 19%. University education also Tanzania has established institutional mechanisms
grew on the margin but remained for only 1.9% of for social dialogue between social partners at the
the population.60 TVET level. However, some of these mechanisms are
not fully operational, and trade unions and
A weak school infrastructure, overcrowded schools, employers’ organisations have played a limited
and internal regional enrolment disparities are still role in TVET policy setting, governance, and
challenging the education system’s capacity to fully management.61 On the positive side, since 2021, the
achieve its policy goals. social partners joined hands to lobby for the
inclusion of their representation in the governance
of the TVET system, contributing to its modernisation
Vocational Training and creation of decent employment for youth. The
Mainland Tanzania and Zanzibar operate with creation of Sector Skills Councils (SSCs), as
distinct technical and vocational education and envisioned by NSDS, could address these issues.
training (TVET) systems. Several SSCs are aiming to connect with the
productive sector. While the current situation may
In Mainland Tanzania, the provision of TVET is seem challenging, the emergence of several
endorsed in national policies, programmes, and decentralised mechanisms of industry links at the
strategies, including the National Skills provider level is a hopeful sign of progress in the
Development Strategy (NSDS) and the renewed TVET sector.
Technical and Vocational Training Programme
2021-2026. The TVET system, which is part of TVET has been underprioritized by students, with the
formal education, is supported by a wide range of gross enrolment ratio for vocational training
public and private institutions, including Technical standing at only 2.5% of persons aged 15+ in
Education and Training (TET) and Vocational 2020/2021. This ratio shows a decrease of 0.4
Education and Training (VET). Non-formal training is percentage points from 2014, indicating the need
also provided by a network of Folk Development for increased prioritization of TVET.62 On the
Colleges (FDC) located mostly in rural or semi-rural positive side, the TVET system has shown some
areas. The ongoing development of a national improvements in recent years, with a growing
qualifications framework (NQF) aims to improve the network of TVET training centres, especially in the
interconnection between general education and private sector. Also, a fast-growing number of
TVET subsystems. It further enhances the link affiliated students, reaching a total enrolment of
between TVET education and labour market 531,000 from TET/VET (Figure 8).
demands, showing the potential of the TVET system
to meet the needs of the labour market. Figure 8: Registered number of students enrolled from
VET centres and TET institutions, 2010-2021
350000
The governance of TVET and skills development is
300000
shared among several ministries and regulatory
agencies. The National Council for Technical and 250000
Vocational Education and Training (NACTVET) must 200000
accredit all public and private TVET providers and
provide quality assurance. The government 150000

envisaged a National Skills Development Council 100000


(NSDC) platform as part of the NSDS but has yet to
50000
come to a consensus on the mandates and its
composition, as well as its relationship with existing 0

TVET central actors. In addition, there is not yet an


VET centres TET institutions
apex-level coordination mechanism for TVET
Source: Tanzania National Council for Technical and Vocational
policies and stewardship. Education and Training.

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

Reports have identified areas where the quality of comprises four areas: technical education, VET
TVET institutions could be enhanced to better equip programme, VET and skills development
graduates for the labour market. Many graduates programmes, and work-based learning based on
currently enter the workforce with a low-level skills enterprise training and informal apprenticeship.
certificate, and there are limited avenues for them
to further their formal education or training. Updated data on TVET enrolment in Zanzibar are
Challenges such as disparities in employment across scarce; in 2013, around 67 public and private
sectors and institutions, weak connections between institutions provided TVET, and 324 students
TVET providers and industry, and limited access to enrolled in VET technical secondary schools, about
professional training for TVET graduates exist.63 0.4% of total secondary education enrolment.66 In
Like many other countries in sub-Saharan Africa, 2019, Zanzibar launched the first Recognition of
Tanzania’s TVET system faces challenges concerning Prior Learning (RPL) programme, which initially
the qualifications and competencies of TVET developed pilot competency standards for RPL in
trainers; for instance, there is a lack of skilled three occupations.
trainers with industry experience, and the number
of TVET staff with skills certificates is quite low.
Fourth Industrial Revolution
TVET development is financed via the national
The Fourth Industrial Revolution (4IR) introduces
budget that provides training, a Skills Development disruptions in the labour market: job losses due to
Levy (SDL) paid by employers, and income digitisation are becoming more urgent, just as
generated by training providers and development upskilling and retooling are putting pressure on the
partners. Although the TVET sector has been under-
TVET system. The past decade has seen an increase
prioritised on the national budget, it started to
in local digital labour platforms across various
boost, grasping a record-high 15% of the
sectors in Tanzania. These platforms bring
allocation to TVET from the government budget employment opportunities and offer the possibility
allocation to the education sector in 2021.64 SDL has of transitioning workers—whose roles may vanish
been the primary source of funding for VET. The due to automation or just transition—into new jobs.
Tanzania Revenue Authority collects this levy at
4.5% of the payroll of formal firms with four or
Generally, the country has experienced a growing
more employees. It is worrisome to note that application for information and communication
Tanzanian firms offering formal training fell by ten technology (ICT) aspects. The latest 2022 census
percentage points during the last decade, reaching shows that 85% of households have ownership of a
20% of firms in 2023, which is one of the lowest mobile phone, staying in line with the regional
levels among the neighbouring countries.65 Technical average, but only 3.7% have ownership of
education and training instead depends on income
computers (desktops/laptops).67
generated by training providers, including tuition
fees and funds raised from communities and private
The country could become a leading contender in
institutions, as well as activities such as consultancy, online trade in Eastern Africa, especially on mobile
production, maintenance or international student finance and digital payment fronts. However, it
exchange programmes. lacks a national e-commerce strategy streamed into
the national and sectoral development plans.68
In Zanzibar, vocational training is conducted outside Tanzania has even experienced a decline in the
the regular education system to empower the volume of e-commerce transactions. The exit of
trainee to secure employment, self-employment, or
international digital platforms such as Jumia – the
return to the regular education system. ZATUC is not largest e-commerce platform in Africa – and the
involved in TVET. The governance of TVET and skills introduction of taxes on electronic transactions have
development is shared among several ministries contributed to such a decline.69 The country is not
and regulatory agencies. Their TVET system among the leading African countries concerning

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

business process outsourcing (BPO) industries. Lack the Mainland Tanzania’s draft National Social
of other employment opportunities is still likely to Protection Policy, which entered the scene in 2022,
emerge as a primary motivator for many Tanzanian and the Zanzibar Social Protection Policy of 2014
young workers and supplement earnings. with an implementation plan launched for the
period from 2017 to 2022, which remains
Reports found that despite the growing popularity operational.
of industry platforms across big cities in Tanzania,
the stability raised concerns. Most platform workers Social protection is well-established in the political
operate as independent contractors. It does not agenda and scaling up significantly during the last
offer the same stability and job security level as decade. Mainland Tanzania went through reforms
traditional employment in the formal economy. of the social protection measures, initiating the
Instead, they are being sidelined for social security central Productive Social Safety Nets (PSSN)
schemes, income instability, and challenged fair programme (2012), which has now entered its
working conditions, making these platform workers second phase; contributory social insurance scheme
vulnerable. The registered platforms for ride- opened to informal workers (2014); setting up the
hailing industry, food delivery, and artisan services Workers’ Compensation Fund (2015) to provide
for home and office repair service score low, mandatory protection against injury, disability, and
indicating a solid imperative for regulatory reform death for formal sector employees; merging of
and enforcement in Tanzania.70 compulsory social insurance schemes under the
National Social Security Fund (NSSF) and the Public
Struggling to survive in a competitive job market of Service Social Security Fund (PSSSF) (2018);
digital automation can carry extra stress for National Informal Sector Scheme (NISS) (2021).71
workers in Tanzania. For instance, the effects of The Zanzibar Development Vision 2050 sets a
“casualisation” and “externalisation” could emerge strategic direction to the social protection sector
with an increasing number of part-time and and promotes the Compulsory Pension Scheme, the
contractual workers, also known as temporary or Voluntary Pension Scheme, and the Universal
fixed-term employees. These factors could lead to Pension scheme.
employment vulnerability, making unionisation more
difficult. Unionism for platform workers has been TUCTA and ZATUC have significantly contributed to
challenged by their vulnerable power to negotiate the legal and policy framework on social protection
effectively via platform business models. On the and advocated for the recognition of tripartism. For
positive side, ride-hailing driver unions are active in example, TUCTA has advocated for the ratification
Tanzania. They went on a two-day strike in late of internal social protection conventions,
2022, protesting high commission fees and raising representing workers in social protection scheme
concerns that the government had backtracked on boards. TUCTA further promoted for the merger of
previous regulations. It is worth mentioning that the public social security schemes and the
Uber’s ride-hailing platform suspended operations harmonisation of the formulas used to calculate
in 2022 after the government published a fare retirement benefits for both public and private
guide increasing rates, but it resumed operations in retirees. There is a trend towards greater autonomy
January 2023. for social security institutions in Tanzania, leading to
tripartite boards; for instance, the Board of Trustees
of NSSF consists of a chairperson, the Principal
SOCIAL PROTECTION Secretary to the ministry responsible for social
security, and three members each representing the
The United Republic of Tanzania is not up to date
Association of Tanzania Employers, the Tanzania
on ILO security conventions and recommendations.
Federation of Trade Unions, and the government.
Mainland Tanzania and Zanzibar operate with
distinct social protection systems, including laws,
regulations, policies and programmes; for instance,

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

The rapidly growing population brings mounting In Mainland Tanzania, older people cannot rely
pressure on the social protection services demand upon state pension support; only covers people
for improved essential services and the provision of working in the formal economy. The share of
public infrastructure. In Mainland Tanzania, the persons above retirement age receiving a pension
government allocated 8.7% of the total government has been on the rise in recent years, increasing from
budget to social protection and welfare (SP&W) in 3.2% in 2016 to 6.0% in 2021, which is just half of
2020/21. Social insurance has covered the bulk of the Eastern Africa average.75 In contrast, Zanzibar
the SP&W total budget, but PSSN is on a fast rise became the first territory in Eastern Africa to
with funding from donor contributions. In contrast, implement a tax-financed social pension scheme in
the budget allocation for labour, youth and 2016. This Universal Pension Scheme provides all
employment programmes decreased by a third.72 residents over 70 with a monthly pension of
In Zanzibar, the budget allocated to the SP&W TZS50,000 (US$20). Nevertheless, the modest
sector was 9.3% of the total government budget.73 benefit level cannot lift older people out of poverty.
Although there is no settled international benchmark Employers’ liability schemes contain minimal
for social protection, ILO suggests that low-and provisions for benefits and services, but the country
middle-income countries should spend at least 3.3% launched the Workers Compensation Fund in 2015,
of GDP on providing a universal package of social linking employers subject to the workers’
protection benefits that cover children, maternity, compensation fund tariff. The tariff is payable
disability, old age, as well as administrative costs. monthly and is calculated as a percentage of cash
It hints that Mainland Tanzania needs a hike of the sums paid to employees at 0.5%. Employed
current investment by an additional 1.8 percentage Tanzanians covered in the event of work injury
points of GDP. grasped 3.4% in 2021, which is significantly lower
than the Eastern African average of 8.5%.76
Broader social protection coverage remains low:
just 11% of the population was covered by at least In Mainland Tanzania, the Unemployment Benefit
one social protection benefit in 2021, which fell by scheme is paid to an insured person below 55 years
three percentage points from 2019 (see more in old who has ceased to be employed. Data show
Appendix Table 19). that the unemployed receiving unemployment
benefits rose from 8.6% in 2019 to 11% in 2021,
The system for non-contributory social protection which is remarkably higher than the Eastern Africa
programmes that provide cash or in-kind benefits to average of 0.7%.77
vulnerable groups is mainly linked with the flagship
PSSN social assistance programme. By 2021, about In Mainland Tanzania, women in formal
35% of poor persons were covered by social employment are entitled to 84 days of paid
protection systems. The programme continues to be maternity leave. As indicated in the Gender sub-
primarily externally funded. Resource constraints, section, working women encounter a lower ranking
poor alignment with national priorities, and on the laws affecting parenthood, as well as
scepticism towards cash transfers are constraints to coverage by itself reached just 1.4% of mothers
the government in taking over the financing of the with newborns receiving maternity benefits in 2021,
PSSN.74 On the other hand, coverage of social significantly below the Eastern Africa average of
security – e.g., persons with severe disabilities 7.8%.78 Fathers in Tanzania are entitled to three
collecting disability social protection benefits, days of paid paternity leave, to be taken within the
vulnerable persons covered by social assistance, first seven days following the birth of the child; data
mothers with newborns receiving maternity benefits on its coverage are scarce.
– remains very limited, with leakage to the richest
quintiles. Subsidy programmes for several goods and
services are central to Tanzania’s social protection
system, including electricity, agriculture inputs,

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

water, and food at schools and transportation to Government health expenditure lost pace during
and from school. Several programmes’ efficiencies the last decade and even dropped below the
have been considered challenged by their financial World Health Organization’s minimum threshold of
sustainability, not to mention poverty reduction is 4% of GDP at the beginning of the 2020s.
stalled, signalling subsidies with leakages that
sideline the poorest people.79 The National Health Insurance Fund (NHIF) is a
mandatory scheme, primarily for formal employees,
The country has achieved progress in healthcare with a contribution of 6% shared equally between
during the last decades, marked by reductions in the employee and the employer. The Community
maternal and child mortality rates and increasing Health Insurance Fund (CIHF) is a voluntary scheme
life expectancy. The country’s health out-of-pocket for the informal economy mostly in rural areas, but
expenditure slowly fell, and health expenditure per it has struggled with low affiliation rates although
capita stood stable but located significantly lower the presence of exemptions and waiver mechanisms
than the regional average. It is worth mentioning for the poor. Generally, health insurance coverage
that a rupture was detected for both indicators in has remained around 7.0% of the population (4.2
2020 due to the impact of the global Covid-19 million) have health insurance from NHIF or CHIF. In
pandemic (Figure 9). addition, there are 1.2% persons with health
insurance from other health insurers.80
Figure 9: Current health expenditure per capita (current
US$) and out-of-pocket expenditure (% of current In 2022, the government proposed mandatory
health expenditure) trends in Tanzania and sub- health insurance to cover the large informal
Saharan Africa (SSA), 2010-2021 economy and raise additional revenue for health.
120
The Bill for establishing mandatory Universal Health
100 Insurance (UHI) and the Tanzania Insurance
Regulatory Agency (TIRA) was withdrawn from the
80
parliament twice. There were reservations from
60 private sector employers in the health sector
through the Association of Private Health Facilities
40
in Tanzania (APHTA). As a retaliation, some private
20 sector health care providers ceased to provide
services to NHIF patients. It led the minister for
0 health to form a committed lead by TIRA to address
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Tanzania - Current health expenditure per capita
Tanzania - Out-of-pocket expenditure APHTA concerns. Negotiations remain ongoing.
SSA - Current health expenditure per capita
SSA - Out-of-pocket expenditure
Source: The World Bank, World Development Indicators

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

APPENDIX: ADDITIONAL DATA

Table 4: Tanzania’s key economic data, projections, 2019-2025


Values 2019 2020 2021 2022 2023 2024 2025
GDP (current, US$) 58.8bn 63.4bn 68.0bn 74.1bn 79.4bn 79.6bn 86.1bn
GDP per capita (PPP, US$) 2,726 2,767 2,817 2,863 2,920 2,992 3,079
Total investment (% of GDP) 34.3% 38.5% 40.8% 40.9% 38.4% 38.4% 38.9%
Gross national savings (% of GDP) 32.1% 36.4% 37.1% 33.6% 33.1% 34.3% 35.4%
General government expenditure (% of GDP) 17.3% 17.4% 18.4% 19.1% 19.1% 19.2% 19.3%
Government gross debt (% of GDP) 40.4% 41.3% 43.4% 44.9% 46.3% 46.1% 44.4%
Source: International Monetary Fund, World Economic Outlook Database, April 2024.

Table 5: The main demands of the African trade unions in the declaration statement calling for the Just Transition
agenda, 2023
Main demands in the declaration statement calling for the Just Transition agenda
1. Decent work and quality jobs: Trade unions insist on the creation of quality jobs as part of climate change policies.
They demand that these jobs uphold labour rights and prioritise decent working conditions for all. This includes
investments in skills development and training for workers to adapt to emerging green industries.
2. Social protection: Workers adversely affected by climate change must benefit from social protection measures,
including income support, access to health care, education, and training to facilitate their professional reorientation.
Trade unions are committed to protecting the most vulnerable workers and communities from the potential impacts of
climate policies.
3 Worker Participation: Workers must be involved in the development and implementation of climate-related policies
and projects, as they have valuable insights into the realities of their industries and communities.
4. Community Engagement: Local communities and stakeholders must be involved in decision-making on climate initiatives.
Priority should be given to investment in sustainable infrastructure, green technologies and community resilience.
5 Gender equity: Trade unions demand that gender considerations be integrated into climate policies, recognising that
women are often the most affected by the effects of climate change. They call for the empowerment of women through
training, leadership and gender-sensitive policies.
6. Investment in green jobs: Trade unions call for substantial investment in green technologies, renewable energy and
sustainable agriculture. They believe this investment will boost economic growth, create jobs and help preserve the
environment.
7. Labour rights and just transition plans: Trade unions demand that labour rights be enforced and upheld in the context
of climate policies, including the right to organise and the right to collective bargaining. Comprehensive just transition
plans must be developed to outline pathways for affected workers and communities through the transition period.
8. Reskilling and Upskilling: Trade unions call for reskilling and upskilling programmes to equip workers with the skills
needed for the transition to green industries by adapting to the needs of the labour market.
9. Support for impacted industries: The industries most vulnerable to the impacts of climate change policies should be
given targeted support and resources to help them transform their operations while safeguarding jobs.
10. Transparency and accountability: Trade unions call for transparency in the allocation of resources and the distribution
of benefits resulting from climate initiatives. They also call for accountability mechanisms to be put in place to hold
stakeholders accountable for meeting their just transition commitments.
Source: ITUC-Africa, Africa Climate Summit: African trade unions call for a just transition.

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

Table 6: Central employment and labour legal framework in mainland Tanzania and Zanzibar
Mainland
1. The Constitution of the United Republic of Tanzania, 1977 (amended in 2005).
2. Public Holidays Ordinance, 1966.
3. Part V of Labour Institutions Act, No.7 of 2004 (through Regulation of Wages and terms of Employment Order, 2013
aka The Wage Order).
4. Employment and Labour Relations Act, No. 6 of 2004.
5. Wages Order 2010
6. National Social Security Fund Act, 1997 (last amended in 2015).
7. Occupational Health and Safety Act, 2003.
8. Law of the Child Employment Act, 2009.
9. Penal Code, 1945.
Zanzibar
1. Zanzibar Constitution, 1984.
2. Employment Act No. 11 of 2005.
3. Zanzibar Social Security Fund Act, 2005.
4. Occupational Safety and Health Act No. 08 of 2005.
5. Workmen’s Compensation Act 1986, amended in 2005.
6. The Children’s Act, 2011.
7. Penal Act (No. 6) of 2018.
8. Trade Unions Act, 2001.
9. Labour Relations Act No. 1 of 2005.
Source: WageIndicator.org, Decent Work Check 2023: Tanzania and Zanzivar, 2023.

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Table 7: Central legal reservations concerning the rights to organise, collective bargaining, and strikes in Tanzania
Right to organize
• Trade unions in the private sector must have at least 20 members to register, while public sector unions need 30
members. In Zanzibar there is a minimum membership requirement of 50 people before registration can go
ahead.
• The ELRA does not stipulate a reasonable period for the processing of applications for registration of trade
unions.
• Unions must register within six months of being established. Those that fail to do so are subject to (unspecified)
sanctions.
• Five organisations are needed to form a federation. Trade union affiliation to other organisations can be
annulled if it was obtained without government approval or if the union is considered to be an organisation
whose remit is broader than just employer-worker relations.
• The government prescribes the terms of office of trade unionists. Failure to comply with government requirements
is subject to fines and/or imprisonment. In any given trade union, only one union leader may be employed full-
time to carry out trade union functions; all others must work full-time in the enterprise or industrial sector in which
they have been elected.
• The Registrar can suspend a union if public security or public order are endangered. In Zanzibar, the High Court
can interfere in trade union affairs by appointing the Registrar to act as a trade union liquidator.
• In Zanzibar, the Registrar has considerable powers to restrict registration, for example, if s/he does not agree
with the union's provisions.
• In Zanzibar, unions are prohibited from using their funds, directly or indirectly, to pay any fines or penalties
incurred by a trade union official in the discharge of his or her duties on behalf of the organisation (s 42, Labour
Relations Act). They are also required to obtain the Registrar’s approval before contributing to institutions (s
41(2)(j) LRA).
Right to collective bargaining
• A system of compulsory arbitration sets the conditions and terms of employment of public service employees.
• According to the 2002 Public Service (Negotiating Machinery) Bill, workers in public services do not have the right
to collective bargaining. In addition, the government sets wages for employees of the government and state-owned
organisations. Prison staff do not have the right to collective bargaining.
• In Zanzibar, the rules determining majority unions and the collective bargaining rightso of minority unions are unclear
(section 57(2) of the Labour Relations Act of 2005).
• In Zanzibar, managerial employees do not have the right to bargain collectively with respect to salaries and other
conditions of employment.
Right to strike
• There is a compulsory 30-day mediation period before lawful strike action may be taken.
• Strike action is permissible as a measure of last resort in the case of conflicts of interest, whilst rights-based disputes
are referred to the labour court. Secondary strike action is allowed provided that the primary action is lawful,
there is a relationship between the primary and secondary employer and the secondary action is proportional; a
14-day notice period is required for secondary action.
• The law does not protect those taking part in legal strikes from retribution.
• Section 26(2) of the Public Service (Negotiating Machinery) Act (No. 19 of 2003) requires certain conditions to be
satisfied for civil servants to take part in a strike.
• Strikes are forbidden if the government considers they endanger the life and health of the population, and the law
has now broadened the category to cover almost 50% of all services, including firefighting, civil aviation,
telecommunications, health services and associated laboratory services and electricity.
• Particularly, sections of Zanzibar’s Labour Relations Act require a trade union to give the mediation authority at
least 30 days to resolve the dispute, and subsequently give 14 days’ notice of the purpose, nature, place and date
of a strike, before commencing industrial action. Compulsory
Source: International Trade Union Confederation, Survey of Violations of Trade Union Rights, Tanzania: Legal, June 2024.

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

Table 8: Ratified ILO Conventions in Tanzania


Ratification
Subject and/or right Convention
date
Fundamental Conventions
Freedom of association C087 - Freedom of Association and Protection of the Right to Organise, 2000
and collective 1948
bargaining C098 - Right to Organise and Collective Bargaining Convention, 1949 1962
Elimination of all forms C029 - Forced Labour Convention, 1930 1962
of forced labour C105 - Abolition of Forced Labour Convention, 1957 1962
Effective abolition of C138 - Minimum Age Convention, 1973 1998
child labour C182 - Worst Forms of Child Labour Convention, 1999 2001
Elimination of discri- C100 - Equal Remuneration Convention, 1951 2002
mination in employment C111 - Discrimination (Employment and Occupation) Convention, 1958 2002
C155 - Occupational Safety and Health Convention, 1981 Not ratified
Occupational safety
and health C187 - Promotional Framework for Occupational Safety and Health
Not ratified
Convention, 2006
Governance Conventions
C081 - Labour Inspection Convention, 1947 Not ratified
Labour inspection
C129 - Labour Inspection (Agriculture) Convention, 1969 Not ratified
Employment policy C122 - Employment Policy Convention, 1964 Not ratified
C144 - Tripartite Consultation (International Labour Standards)
Tripartism 1983
Convention, 1976
Technical Conventions (Up-to-date)
C094 - Labour Clauses (Public Contracts) Convention, 1949 1962
Wages C095 - Protection of Wages Convention, 1949 1962
C131 - Minimum Wage Fixing Convention, 1970 1983
C135 - Workers’ Representatives Convention, 1971 1983
Industrial relations
C154 - Collective Bargaining Convention, 1981 1998
Vocational guidance C140 - Paid Educational Leave Convention 1983
and training C142 - Human Resources Development Convention 1983
Occupational Safety C148 - Working Environment (Air Pollution, Noise and Vibration), 1977 1983
and Health C170 - Chemicals Convention, 1990 1999
Specific categories of
C149 - Nursing Personnel Convention, 1977 1983
workers
Dockworkers C152 - Occupational Safety and Health (Dock Work) Convention, 1979 1983
C185 – Seafarers’ Idendity Documents Convention, 2003 2017
Seafarers
MLC, 2006 – Maritime Labour Convention, 2006 2019
Note: Fundamental Conventions are the eight most important ILO conventions that cover four fundamental principles and rights at work. Equivalent to basic
human rights at work. Governance Conventions represent four instruments that are designated as important to building national institutions and capacities that
serve to promote employment. In addition, there are 83 conventions, which ILO considers “up-to-date" and actively promotes.
Source: International Labour Organization, NORMLEX, Country Profiles: Tanzania, June 2024.

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

Table 9: Labour market efficiency in Tanzania, 2019


Indicator Rank
Total 86
Redundancy costs (weeks of salary) ** 25
Hiring and firing practices * 68
Cooperation in labour-employer relations * 77
Flexibility of wage determination * 104
Active labour market policies * 69
Workers’ rights * 70
Ease of hiring foreign labour * 130
Internal labour mobility * 88
Reliance on professional management * 60
Pay and productivity * 87
Ratio of wage and salaried female workers to male workers ** 99
Labour tax rate ** 73
* Survey data. ** Ranked by per cent.
Note: Rank from 1 to 141 (1 is highest).
Source: The Global Competitiveness Report, 2019, 8th pillar: Labour market efficiency.

Table 10: Ease of Doing Business in Tanzania, 2020


Topics Ranking
Overall 141
Starting a Business 162
Dealing with Construction Permits 149
Getting Electricity 85
Registering Property 146
Getting Credit 67
Protecting Minority Investors 105
Paying Taxes 165
Trading Across Borders 182
Enforcing Contracts 71
Resolving Insolvency 116
Note: Doing Business 2020 indicators are ranking from 1 (top) to 190
(bottom) among other countries. The rankings tell much about the business
environment, but do not measure all aspects of the business surroundings that
matter to firms and investors that affect the competitiveness of the economy.
Still, a high ranking does mean that the government has created a regulatory
environment conducive to operating a business.
Source: World Bank & IFC, Ease of Doing Business 2020 in Tanzania.

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

Table 11: Trade Union Density for Paid Employees Aged 15+ by Sector in United Republic of
Tanzania (URT), growth, and gender rate, 2021
Growth, URT,
Gender rate
Sector Membership rate percentage point
URT TZM * ZNZ ** 2014-2021 Men Women
Public 67% 71% 28% -9.4% 65% 70%
Private 12% 13% 2.3% 1.8% 12% 13%
Agriculture 0.6% 0.6% 0.0% -0.7% 0.8% 0.0%
Household activities 3.1% 3.1% 0.0% 0.0% 6.4% 0.1%
Total 21% 21% 12% -6.4% 20% 22%
Number 710,364 690,333 20,031 -8.9% *** 464,549 245,815
* Mainland Tanzania. ** Zanzibar. *** Per centage.
Source: ILFS 2014 and 2020/21.

Table 12: Central tri- and bipartite institutions in Mainland Tanzania and Zanzibar
Mainland
Labour, Economic and Social Council.
Wage Boards.
Workman Compensation Body.
Work Permit Board.
Vocational Training Board.
Tanzania Commission for AIDS.
National Social Security Board (NSSF).
National Health Insurance Fund Board (NHIF).
Public Pension Fund.
Regulatory Board for Social Security.
Joint Assistance Strategy.
Negotiation machinery at the Joint Staff Council (central) and at the Master Joint Staff Council.
Teacher Education Quality Task Force, EFA Committee.
Education Sector Advisory Council.
Education Sector Master Workers Council.
Board of the Vocational Education & Training Authority (VETA).
The Ministerial Advisory Board.
Zanzibar
Labour Advisory Board.
Wages Advisory Board.
National OSH Committee.
Conflict Resolution Committee.
Zanzibar Social Security Board.
Zanzibar Disabled Board.
Zanzibar Business Council (bipartite).
MKUZA on Irrigation/Poverty Board.
National Committee on HIV/AIDS.
Committee on Education Policy.
Aids Business Coalition Zanzibar (ABCZ).
Education Coordinating Board.
National Tripartite for Dispute Handling Unit.

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

Table 13: Mainland Tanzania’s status of trade unions and number of CBAs, 2020
Workers
Women’s Trade unions’ No. of
Trade Unions Members covered
share share CBAs
by CBAs

TUCTA 845,417 62% 100% 444 603,772


CHODAWU - Conservation, Hotel Domestic
63,633 71% 8% 43 6.214
and Allied Workers Union
COTWU (T) - Communication Transport
11,004 72% 1% 28 3019
Workers Union of Tanzania
TTU - Tanzania Teachers Union (Chama cha
419,028 58% 50% 3 413.000
Waalimu Tanzania)
DOWUTA - Dock Workers Union of Tanzania 5,544 7% 1% 5 6.101
RAAWU - Researchers, Academician and
10,832 47% 1% 4 2.413
Allied Workers Union
TALGWU - Tanzania Local Government
72,288 64% 9% 2 24.364
Workers Union
TAMICO - Tanzania Mines, Energy and
20,826 * 82% 2% 18 37.022
Construction Workers Union
TEWUTA - Telecommunication Workers Union
2,360 * 81% 0% 7 23.900
of Tanzania
TPAWU - Tanzania Plantation and
68,133 * 75% 8% 186 44.161
Agricultural Workers Union
TRAWU - Tanzania Railways Workers Union 7,987 73% 1% 6 4390
TUGHE - Trade Union of Government and
61,279 68% 7% 11 9357
Health Workers
TUICO - Tanzania Union of Industrial and
98,299 * 55% 12% 127 29.315
Commercial Workers
TASU – Tanzania Seafarer Union 4,204 * 98% 0.5% 4 516

Independent unions * 14,106 - 100% - -


TFCAWU - Tanzania Fishing Crew and Allied
2,400 - 17% - -
Workers’ Union
TUJ - Tanzania Union of Journalists 150 - 1% - -

TAFIMU 573 - 4% - -

IGWUTA 676 - 5% - -
TASIWU - Tanzania Social Services Industry
2,851 - 20% - -
Workers Union **
TUPSE - Tanzania Union of Private Security
1,102 - 8% - -
Employees **
MPETU 303 - 2% - -

FIBUCA 4,508 - 32% - -

PRIPPAWUTA 361 - 3% - -

NUMET 1,182 - 8% - -
* The trade union’s share of organised workers from the informal economy: TAMICO of 1.9%, TEWUTA of 9.0%, TPAWU of 0.2%, TUICO of 28%, and
TASU of 14%. ** TASIWU and TUPSE are underway to join TUCTA.
Note: TUCTA reported a total membership rate of 1.2 million members in 2023, but an updated list of affiliated trade unions membership rates was not
available,
Source: TUCTA; DTDA data-collection tool, 2019/2020.

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

Table 14: Zanzibar’s status of trade unions and number of CBAs and their coverage, 2023
Workers
Women Informal No. of
Trade unions Members covered by
share workers CBAs
CBAs
COTWU-ZNZ - Zanzibar Communication and
1,768 754 2,109 4 580
Transport Workers’ Union
ZASU - Zanzibar Seafarers Union 2,016 24 - - -
TUICO-Z - Zanzibar Union of Industrial and
1,412 721 658 2 76
commercial Workers
ZUPHE - Zanzibar Union for Public and Health
2,372 1,244 - - -
employees
CHODAWU-Z - Zanzibar Conservation, Hotel,
1,378 331 69 4 238
Domestic and Allied Workers’ Union
ZATU - Zanzibar Teachers’ Union 4,703 2,452 - - -
ZAFICOWU - Zanzibar Financial and Commercial
964 248 112 3 2,100
Workers Union
ZAPSWU - Zanzibar Public sector Workers Union 2,557 1,004 - 2 73
Total 17,170 6,778 2,948 15 3,067
Source: ZATUC; Danish Trade Union Development Agency’s Sub-Regional Office data-collection.

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

Table 15: Minimum Wages, Mainland & Zanzibar, Per Month, TZS & US$, Nominal & Real growth, 2023-current
Nominal growth, Real growth,
Minimum wage scales TZS US$
2013-2023 2013-2023
Mainland
Health Services 195,000 80 50% -2%
Trade, Industries and Commercial Services 150,000 62 30% -22%
Trade, Industries and Commercial Services - Financial Institutions 592,000 244 48% -4%
Agricultural Services 140,000 58 40% -12%
Fishing and Marine Services 238,000 98 19% -33%
Communication Services - Telecommunication Services 500,000 206 25% -27%
Communication Services - Broadcasting and Mass Media, Postal
225,000 93 50% -2%
and Courier Services
Energy Services - Small companies 225,000 93 50% -2%
Energy Services - International Companies 592,000 244 48% -4%
Domestic and Hospital Services - Potential and Tourists hotel 300,000 124 20% -32%
Domestic and Hospital Services - Other domestic workers 40,000 17 0% -52%
Private school services - Nursery, Primary and Secondary
207,000 85 48% -5%
schools
Transport services - Aviation Services 390,000 161 30% -22%
Transport services - Inland Transport 300,000 124 50% -2%
Construction services - Contractor Class I 420,000 173 29% -23%
Construction services - Contractors Class V-VII 320,000 132 28% -24%
Private security services - Small companies 148,000 61 48% -4%
Private security services - International or potential security
222,000 92 48% 0%
Companies
Mining - Brokers licenses 250,000 103 25% -27%
Mining - Mining and prospecting licenses 500,000 206 25% -27%
Other sectors not mentioned above 150,000 62 50% -2%
Zanzibar
Public Sector 300,000 124 0% -52%
Note: Mainland Tanzania’s represented minimum wages is not fully comprehensive but concentrated at the highest and lowest scales.
Source: WageIndicator.org, Minimum Wage – Tanzania, July 2024.

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Table 16: Tanzania’s Median Monthly Incomes (TZS) of Persons Aged 15+ by Types
of Employment, Sex and Area, 2020/21
Male Women Total
URT Paid Employees 300,000 280,000 300,000
Self-Employment 169,500 120,000 150,000
Agriculture 100,000 64,000 83,500
Total 250,000 176,000 230,000
TZM Paid Employees 300,000 273,230 300,000
Self-Employment 168,000 120,000 150,000
Agriculture 100,000 64,000 82,500
Total 245,500 179,170 230,000
ZNZ Paid Employees 300,000 317,000 300,000
Self-Employment 246,000 74,000 145,000
Agriculture 130,000 67,000 104,000
Total 340,000 135,000 240,000
Source: National Bureau of Statistics and the Office of the Chief Government Statistician – Zanzibar, ILFS
2020/21.

Table 17: United Republic of Tanzania’s key workforce data, 2021


Indicator Value
Working Age Population 32 million
Employed 75%
Unemployed 7.7%
Inactice 17%
Employed share
Urban 27%
Rural 73%
Public 2.8%
Private 26% *
Employed by aggregated sector share
Agriculture 65%
Industry 8.2%
Service 27%
* Excluding agriculture and household activities.
Source: Tanzania 2021 Labour Force Survey.

Table 18: Tanzania - Scores for Women, Business and the Law, 2024
Mobility Workplace Pay Mariage Parenthood Entrepreneurship Assets Pension Index
score
100 100 100 80 60 75 60 75 81
Note: Overall scores are calculated by taking the average of each indicator, with 100 representing the highest possible score.
Source: The World Bank, Tanzania: Women, Business and the Law 2024.

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Tanzania & Zanzibar Labour Market Profile – 2024/2025

Table 19: Proportion of population covered by social protection systems and health in Tanzania and sub-Saharan
Africa (SSA), %, latest year *
Indicator Tanzania SSA ***
Population covered by at least one social protection benefit 11% * 11%
Persons above retirement age receiving a pension 6.0% * 11%
Persons with severe disabilities collecting disability social protection benefits 0.6% ** 2.6%
Unemployed receiving unemployment benefits 11% * 0.7%
Mothers with newborns receiving maternity benefits 1.4% * 7.8%
Employed covered in the event of work injury 3.8% * 8.5%
Children/households receiving child/family cash benefits - 6.6%
Poor persons covered by social protection systems 35% * -
Vulnerable persons covered by social assistance 9.3% * 6.7%
SDG 3.8.1: Universal health coverage, % of population 43% * -
* Data from 2021. ** Data from 2019. *** Data from 2020.
Source: International Labour Organisation, Key Indicators of the Labour Market (KILM); World Health Organization, Coverage of essential health services
(SDG 3.8.1) (%).

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