Uganda flag Uganda: Operating a Business in Uganda

Work conditions in Uganda

The Active Population in Figures

201820192020
Labour Force 15,934,47616,588,42916,514,595

Source: International Labour Organization, ILOSTAT database

 
201720182019
Total activity rate 71.37%71.17%70.94%
Men activity rate 74.99%74.47%73.90%
Women activity rate 67.99%68.07%68.15%

Source: International Labour Organization, ILOSTAT database

 

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Working Conditions

Legal Weekly Duration
Normal working hours are 8 hours per day and 48 hours per week (Employment Act 2006).
Retirement Age
Minimum retirement age in Uganda is 55 years. However, it can be reduced to 50 if employment ceased at least a year before the time of the claim.
Working Contracts
It is a legal requirement in Uganda for the employer to provide an employment contract for each employee. Every contract should clearly state the terms and conditions of employment, such as duration of employment, place and hours of work, wages, termination, etc.
Labour Laws
Consult Doing Business Website, to obtain a summary of the labor regulations that apply to local entreprises.

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Cost of Labour

Minimum Wage
The minimum wage was last updated in 1984 and set at UGX 6,000. As it has not been revised thereafter, de facto it is as if Uganda does not have a minimum wage.
Average Wage
UGX 491,000 (ILO-Uganda Bureau of Statistic, 2013).
Social Contributions
Social Security Contributions Paid By Employers: 10%
Social Security Contributions Paid By Employees: The employee contributes 5% (deducted from the monthly salary) and the employer contributes 10%. However, the employer may choose to pay the complete 15%.

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Social Partners

Social Dialogue and Involvement of Social Partners

The Constitution of Uganda provides for freedom of association, while the 2006 Labor Unions Act allows workers to establish and join unions. Workers are allowed to participate in union activities outside working hours. Every worker in Uganda has the right to form or join a trade union of his or her choice for the promotion and protection of his or her economic and social interests; for collective bargaining and representation; and to withdraw his or her labour according to law. An employer is not allowed to interfere in the formation or administration of a registered trade union and to support a union that is under the control of the employer or an employer's organization. Employer may deduct union dues from the wages of the members only after their written consent. In any case, discriminatory behaviour is prohibited for the employer on the basis of union affiliation or participation in union activities.

Unions
National Organisation of Trade Unions (NOTU)
Unionisation Rate
The trade union density is estimated at 3.2% of the total labour force and 20% of the wage and salaried workers (data by the Danish Trade Council for International Development and Cooperation).
Labour Regulation Bodies
Ministry of Gender Labour and Social Development

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Latest Update: November 2022