Hire in Uganda

Uganda is a landlocked country in East Africa whose diverse landscape encompasses the snow-capped Rwenzori Mountains and the immense Lake Victoria. It is bordered by South Sudan to the north, Kenya to the east, Tanzania and Rwanda to the south, and the Democratic Republic of the Congo to the west. The country’s economy is made up of agriculture, industry, and services.

 

*Please note that the official currency is the currency of remuneration when employed through WorkMotion in Uganda.

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Easily onboard your remote talent in Uganda through our Employer of Record (EOR) solution. Our subsidiaries and network partners make this process fast and 100% compliant.

A quick overview of Uganda

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Cost of living index

$$ (109 of 139 nations)

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Currency

Ugandan Shilling (USh, UGX)

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Payroll frequency

Monthly

Basic facts

Uganda is a landlocked country in East Africa whose diverse landscape encompasses the snow-capped Rwenzori Mountains and the immense Lake Victoria. It is bordered by South Sudan to the north, Kenya to the east, Tanzania and Rwanda to the south, and the Democratic Republic of the Congo to the west. The country’s economy is made up of agriculture, industry, and services.

 

*Please note that the official currency is the currency of remuneration when employed through WorkMotion in Uganda.

Capital

Kampala

Official language/s

Swahili, English

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Population

48.58 million (2023 est.)

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VAT - standard rate

18%

The holidays mentioned below are valid for the year 2025.

January 1New Year's Day
January 26NRM Liberation Day
February 16Archbishop Janani Luwum Day
March 8International Women's Day
March 30Eid al-FitrMovable
April 18Good FridayMovable
April 20Easter SundayMovable
April 21Easter MondayMovable
May 1Labor Day
June 3Martyrs' Day
June 6Eid al-AdhaMovable
June 9National Heroes Day
October 9Independence Day
December 25Christmas Day
December 26Boxing Day

The approximate time for sharing the contract with an employee in Uganda is 14 business days assuming no special requests or changes to our standard employment contract. Any such requests or changes would need to undergo internal and external review, directly leading to a time delay.

NOTE: This number is subject to change and is only an estimation of the Contract Sharing Time. The estimated Contract Sharing Time begins from the moment that WorkMotion has received all required information from both the client and the employee.

  • Uganda has low social security taxes, with employers only paying 10% of the gross wage.
  • A probationary contract may be terminated by either party after giving at least 14 days’ notice or by the employer after paying seven days’ wages in lieu of notice.
  • The law does not prescribe a maximum duration for fixed-term contracts.

Membership to Uganda’s National Social Security Fund is mandatory for employers who have five or more employees between 16 and 55 years of age. It is the obligation of the employer to remit contributions to the Fund for the employees every month.

Benefits from the social security system include:

  • Old age benefits;
  • Withdrawal benefit;
  • Invalidity benefit;
  • Survivor benefits.

An overview of mandatory contributions towards social security are presented below:

 

Benefits Employer Contribution Employee Contribution
Social Security 10% 5%

Working Hours

Normal working hours are eight hours per day and 48 hours per week. A rest break of 30 minutes is granted to employees working at least eight hours per day. Workers are entitled to 24 consecutive hours of rest per week. Weekly rest may be taken on the customary rest day (Sunday) or as agreed between the two parties. 

 

Overtime

Workers may be required to work overtime, provided that total working hours, inclusive of overtime, must not exceed 10 hours per day or 56 hours per week except when persons are employed in shifts. 

Overtime work is paid at 150% of the standard rate if performed on normal weekdays, and at 200% of the standard rate if performed on a public holiday.

 

Probation Period

The maximum length of a probation period is six months but it may be extended to one year with the consent of a worker. 

Termination Notice Period

A worker may be terminated after serving a due notice period or paid in lieu of notice. The required notice period depends on the worker’s length of service as follows:

Length of Service Notice Required
Probationary contract 14 days
More than 6 months but less than 1 year 2 weeks
More than 12 months but less than 5 years 1 month
More than 5 years but less than 10 years 2 months
10 years or more 3 months

 

Working Hours

Normal working hours are eight hours per day and 48 hours per week. A rest break of 30 minutes is granted to employees working at least eight hours per day. Workers are entitled to 24 consecutive hours of rest per week. Weekly rest may be taken on the customary rest day (Sunday) or as agreed between the two parties. 

 

Overtime

Workers may be required to work overtime, provided that total working hours, inclusive of overtime, must not exceed 10 hours per day or 56 hours per week except when persons are employed in shifts. 

Overtime work is paid at 150% of the standard rate if performed on normal weekdays, and at 200% of the standard rate if performed on a public holiday.

 

Probation Period

The maximum length of a probation period is six months but it may be extended to one year with the consent of a worker. 

Termination Notice Period

A worker may be terminated after serving a due notice period or paid in lieu of notice. The required notice period depends on the worker’s length of service as follows:

Length of Service Notice Required
Probationary contract 14 days
More than 6 months but less than 1 year 2 weeks
More than 12 months but less than 5 years 1 month
More than 5 years but less than 10 years 2 months
10 years or more 3 months

 

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Membership to Uganda’s National Social Security Fund is mandatory for employers who have five or more employees between 16 and 55 years of age. It is the obligation of the employer to remit contributions to the Fund for the employees every month.

Benefits from the social security system include:

  • Old age benefits;
  • Withdrawal benefit;
  • Invalidity benefit;
  • Survivor benefits.

An overview of mandatory contributions towards social security are presented below:

 

Benefits Employer Contribution Employee Contribution
Social Security 10% 5%