Uganda has a population of 42 million people with major industries including coffee, oil re-exports, base metals, and fishing. There are 2 official languages in Uganda, including English and Swahili. The country has experienced consistent economic growth over the last several years, providing companies opportunities to expand.

Payroll and Tax Considerations in Uganda:

  • The statutory minimum wage is fixed by the Wages Regulation Order. The current minimum wage is UGX 6,000 per month, and was last updated in 1984
  • Overtime is paid at 150% of the normal hourly rate for regular working days, and 200% for public holidays
  • Income tax rates vary from 0-40% of monthly income

HR and Statutory Requirements

  • All employees who have worked for 6 continuous months are entitled to annual leave of 21 days each year. this is 7 days for each continuous 4-month period of service
  • A female is entitled to 60 working days of fully paid maternity leave, of which 4 weeks must be post childbirth
  • New fathers are entitled to 4 days of paid paternity leave. This must be taken immediately after the birth
  • An employee who has completed at least one month of continuous service with an employer is entitled to 1 month of sick leave with full wages. If the illness continues the employer is entitled to terminate the contract
  • Old age benefits are provided to workers who have reached 55 years old. Insured employees must contribute 5% of gross monthly earnings and the employer contributes 10%

Holidays in Uganda

  • January 1 – New Year
  • January 26 – Liberation Day
  • February 16 – Remembrance of Archbishop Janani Luwum
  • March 8 – International Women’s Day
  • April 15 – Good Friday
  • April 18 – Easter Monday
  • May 1 – Labour Day
  • May 3 – Eid al-Fitr
  • June 3 – Martyr’s Day
  • June 9 – National Heroes Day
  • July 10 – Eid al-Adha
  • October 9 – Independence Day
  • December 25 – Christmas Day
  • December 26 – Boxing Day

If you are just getting started, or need to simplify operations in Uganda, we can help. Our cloud-based payroll platform gives you real-time access to your payroll across all countries and currencies, with customized reporting. We provide a dedicated US-based service team and direct access to in-country experts to help when questions come up. Simplify payroll in Uganda and ensure compliance with in-country regulations. Click here to learn more