Dear Members and Supporters of SOCOTU,
I hope this message finds you well. We would like to draw your attention to a matter of significant concern that directly affects the livelihoods of Somali workers – the recent increase in the inflation rate within Somalia.
In 2023, the inflation rate in Somalia increased by a substantial 5.98% compared to the previous year. While it is essential to consider the economic complexities that contribute to such fluctuations, we cannot ignore the real-world impact this has on our fellow workers.
The maximum recorded inflation level of 216% and even the minimum of -15% highlight the volatility of the economic landscape in Somalia. Such fluctuations can lead to several challenges for workers, including:
Purchasing Power Erosion: Rising inflation can erode the purchasing power of workers\’ salaries, making it increasingly difficult to afford basic necessities.
Income Inequality: Inflation can disproportionately affect lower-income workers, leading to increased income inequality within our society.
Cost of Living Pressures: The higher cost of living can strain the financial stability of many families, making it harder to meet essential needs such as housing, education, and healthcare.
Uncertainty: Economic instability can create uncertainty in the job market, leading to concerns about job security and future employment prospects.
As members of SOCOTU, we have a responsibility to advocate for the rights and well-being of Somali workers. In light of the inflation challenges, we pledge to:
Monitor the Situation: SOCOTU will closely monitor economic developments, including inflation rates, to keep our members informed about potential impacts on their financial stability.
Advocate for Fair Wages: We will continue to advocate for fair wages and benefits to help workers cope with the rising cost of living.
Promote Financial Literacy: SOCOTU will work to enhance the financial literacy of our members to better navigate these economic challenges.
Collaborate with Stakeholders: We will collaborate with government agencies, employers, and other stakeholders to find sustainable solutions that mitigate the adverse effects of inflation.
It is our collective responsibility to stand in solidarity with Somali workers during these challenging times. Let us continue to work together to address these issues and ensure the well-being and economic security of our fellow workers in Somalia.
In unity,
Salad Omar
Head of Informal Economy Department
Somali Congress of Trade Unions (SOCOTU)
