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
Currency :
Ugandan Shilling (USh, UGX)
Languages spoken :
Swahili, English
Population :
47.1 million (2021 est.)
Minimum wage 2022 :
USh 6,000
Cost of Living index :
$$ (109 of 139 nations)
Payroll Frequency :
Monthly
VAT - standard rate :
18%
GDP - real growth rate :
3.4% (2021 est.)

Statutory Holidays

The holidays mentioned below are valid for the year 2022.

Date
Holiday Name
Extra Information
January 1
New Year's Day
January 26
NRM Liberation Day
February 16
Archbishop Janani Luwum Day
March 8
International Women's Day
April 15
Good Friday
Movable
April 17
Easter Sunday
Movable
April 18
Easter Monday
Movable
May 1
Labor Day
May 2
Eid al-Fitr
Movable
June 3
Martyrs' Day
June 9
National Heroes Day
June 9
Eid al-Adha
Movable
October 9
Independence Day
December 25
Christmas Day
December 26
Boxing Day

Contract Sharing Time


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.

What You Need To Know


  • 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.

Labor Conditions


Working Hours

Normal working hours are eight hours per day and 48 hours per week. A rest break of 30 minutes is granted to the employees working for at least eight hours per day. Workers are entitled to 24 consecutive hours of rest per week. The 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 due notice period or paying in lieu of notice. The required notice period depends on the worker’s length of service as follows:

Length of ServiceNotice Required
Probationary contract14 days
More than 6 months but less than 1 year2 weeks
More than 12 months but less than 5 years1 month
More than 5 years but less than 10 years2 months
10 years or more3 months

 

Leave / Time Off

Annual Leave

Employees are entitled to annual leave after at least six months of service. An employee, working weekly for 16 or more hours, is entitled to 21 working days of paid annual leave at the rate of seven days for each continuous period of four months of service upon the completion of 12 months of continuous service. 

Sick Leave

An employee, working at least 16 hours per week, is entitled to sick leave upon the completion of one month of service with the employer. When a worker is incapable of work because of sickness or injury, they are entitled to fully paid sick leave for the first month of illness.

In order to avail sick leave pay from the employer, the worker must notify the employer about the reason for absence as early as possible. The employer may request the worker to provide a certificate of incapacity to work and duration of incapacity, signed by a qualified medical practitioner.

Parental Leave

There is no provision in law for paid or unpaid parental leave.

 

Maternity Leave

Female employees are entitled to 60 working days (eight and a half weeks) of fully paid maternity leave. The compulsory leave is four weeks after child birth or miscarriage. 

Maternity leave may be extended in case of sickness arising out of pregnancy or confinement, affecting either the mother or the baby, and making the mother’s return to work inadvisable. The right to return is available to the worker within eight weeks after the date of childbirth or miscarriage (thus adding four more weeks of maternity leave).

Maternity leave pay is fully financed by the employer.

Paternity Leave

A male employee, after the birth of a child or miscarriage of a wife, is entitled to four working days of paternity leave in a year, fully paid by the employer.

Other Types of Paid Leave

There is no statutory provision for other types of paid leave in the Employment Law.

Unpaid Leave

There is no statutory provision for unpaid leave in Uganda.

Statutory Benefits

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

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

 

BenefitEmployer ContributionEmployee Contribution
Social Security10%5%

Health Insurance

There is no mandatory health insurance in Uganda.

Other Insurances

Accident Insurance

Accident insurance is an employer liability program managed through private carriers. The employer bears the total cost of the insurance premiums.

Employees who have a work injury or occupational disease lasting at least three consecutive days that results in the loss of earnings are entitled to work injury benefits. Accidents that occur while commuting to and from work are covered.

Unemployment Insurance

There is no provision in law for unemployment insurance and benefits.

Public Pension

The public pension is provided by the NSSF and funded through employer and employee contributions of 10% and 5% respectively.

Old-age benefits are granted to a worker who has attained the age of 55. An early retirement benefit can also be claimed at the age of 50. Further, a withdrawal benefit is paid to members on attaining the age of 50, if they have been out of employment for a year.

Other Statutory Benefits

Invalidity Benefits

Invalidity benefits are provided by the NSSF funded through employer and employee contributions of 10% and 5% respectively.

The National Social Security Fund Act provides for an invalidity benefit to members who have lost their earning capacity and have a physical or or mental incapacity, as verified by the NSSF Doctor.

Survivor Benefits

Survivor benefits are provided by the NSSF funded through employer and employee contributions of 10% and 5% respectively.

National Social Security Fund Act provides a survivor benefit to dependents including surviving spouse, dependent children, parents and brothers, grandparents or next-of kin and the person who had paid for the funeral. 

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