References
▻ New in 2011: Employment regulations were adopted.
▻ The Labour Disputes (Arbitration and Settlement) Act, 2006 (LADASA) is a specialized statute dedicated to the formal resolution of labour disputes. This Act establishes the procedural steps for handling conflicts, from initial reporting to a Labour Officer to eventual arbitration by the Industrial Court.
Employment Act [EA], Act No. 6 of 2006
Date:
1 Jan 1970;
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»
(view in NATLEX
»)
The Labour Disputes (Arbitration and Settlement) Act [LDA], Act No. 8 of 2006
Date:
1 Jan 1970;
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»
(view in NATLEX
»)
The Employment Regulations, 2011, Statutory Instrument No. 61 of 2011
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»
(view in NATLEX
»)
Scope
Size of enterprises excluded (≤): none
Workers' categories excluded: employer's family members, army
Art. 3 EA: The EA applies to all employees under a contract of service.
It does not apply to:
1) Employers and their dependent relatives when those are the only employees in a family undertaking, as long as the total number of dependent relatives does not exceed 5.
2) the Uganda People's Defence Forces, other than their civilian employees.
FTC regulated: No
No regulation on the use of FTCs in the EA (reasons, duration, numbers). The only reference to FTCs is contained in art. 65 in relation to the definition of termination of employment. Art. 65(1)b) provides that termination shall be deemed to take place "where the contract of service, being a contract for a fixed term or tasks, ends with the expiry of the specified term of the completion of the specified task and is not renewed within a period of one week from the date of expiry on the same terms or terms not less favourable to the employee".
New in 2011
The Employment regulations of 2011 do not regulate the use of FTCs. They do however contain provisions on specific categories of temporary employees, namely casual employee, those performing work and task work. (Reg. 39, 40, 41 of ER 2011).
- Casual employees: max. 4 months. If engaged continuously for 4 month, a casual employee ceases to be a casual employee and all rights and benefits enjoyed by other employees shall apply to him/her (Reg. 39).
- Piece work: max: 3 months unless the person has a contract (Reg. 40)
- Task work: an employer may require an employee to perform his/her work on the basis of a daily task which shall be an amount of work, which can reasonably be performed in a day of not more than eight working hours.
Valid reasons for FTC use: no limitation
No provision in the legislation reviewed.
Maximum number of successive FTCs: no limitation
No provision in the legislation reviewed.
Maximum cumulative duration of successive FTCs: no limitation
No provision in the legislation reviewed.
Maximum probationary (trial) period (in months): 12 month(s)
Art. 67(2) EA: max. 6 months, which may however be extended for a further period of not more than 6 months with the agreement of the employee.
Obligation to provide reasons to the employee: Yes
Valid grounds (justified dismissal):
Prohibited grounds: marital status, pregnancy, maternity leave, filing a complaint against the employer, temporary work injury or illness, race, colour, sex, religion, political opinion, social origin, nationality/national origin, trade union membership and activities, participation in a lawful strike, lawfully taking leave, HIV status
Section. 75 EA sets out a list of grounds which shall not constitute fair reasons for dismissal or for the imposition of a disciplinary penalty, including: pregnancy; taking or proposing to take any leave entitlements; membership of a trade union; participation in trade union activities outside working hours or with the employer’s consent within working hours; seeking office or serving as an officer for a trade union; discrimination on the basis of race, colour, sex, religion, political opinion or affiliation, national extraction, nationality, social origin, marital status, HIV status or disability; submission of a complaint or other legal proceedings against the employer; and legitimate temporary absence of work for up to 3 months.
On the organisation of and/or participation in a strike or other form of industrial action, see Section 76 EA.
Workers enjoying special protection: workers' representatives, pregnant women and/or women on maternity leave
Limited protection consisting in mandatory prior consultation of the union branch before initiating disciplinary proceedings and penalties involving dismissal against an employee who is a union member: Section 1 Disciplinary rules, § (6) of the Disciplinary Code, schedule 1 of the EA.
Section 56(2) EA provides that a female employee who becomes pregnant shall have the right to return to the job which she held immediately before her maternity leave, or to a reasonably suitable alternative job on terms and conditions not less favourable than those which would have applied had she not been absent on maternity leave.
Notification to the worker to be dismissed: written
Section 58(2) EA: establishes a requirement for written notice of termination, which must be in a form and language that the employee it relates to can be reasonably expected to understand.
In addition, according to Section 66 EA, the employer must conduct a preliminary hearing with the employee and another person of his or her choice before reaching a decision to dismiss that employee on the grounds of misconduct or poor performance. During this hearing, the employer shall explain to the employee the reasons for which he or she is considering dismissing him or her.
Notice period:
Section 58(3) EA: Statutory minimum notice period is established according to the length of service, as follows:
- at least 2 weeks, for a period of service of more than 6 months but less than 1 year;
- at least 1 month, for a period of service of more than 12 months but less than 5 years;
- at least 2 months, for a period of service of more than 5 years but less than 10 years;
- at least 3 months, for a period of service of 10 years or more.
Pay in lieu of notice: Yes
▻ Under Schedule I of the EA, the Disciplinary Code, Section 3 (6) indicates that: Where a decision to dismiss is taken, the dismissal shall be with notice, or wages in lieu of notice and summary dismissal shall be reserved for only the most extreme cases where dismissal is the appropriate penalty.
▻ In addition, section 58(5) EA provides that any agreement between the parties to exclude the operation of this section shall be of no effect, but this shall not prevent an employee from accepting payment in lieu of notice.
Notification to the public administration: Yes
Section 81(1)(b) provides that: Where an employer contemplates terminations of not less than ten employees over a period of not more than three months for reasons of an economic, technological, structural or similar nature, he or she shall - notify the Commissioner in writing of the reasons for the terminations, the number and categories of workers likely to be affected and the period over which the terminations are intended to be carried out.
Notification to workers' representatives: Yes
▻ In cases of collective dismissal under Section 80 (1) (a) of EA, Where an employer contemplates terminations of not less than ten employees over a period of not more than three months for reasons of an economic, technological, structural or similar nature, he or she shall - provide the representatives of the labour union, if any, that represent the employees in the undertaking with relevant information, and in good time, which shall be a period of at least four weeks before the first of the terminations shall take effect, except where the employer can show that it was not reasonably practicable to comply with such a time-limit having regard to the reasons for the terminations contemplated, the number and categories of workers likely to be affected and the period over which the terminations shall be carried out, and the information in paragraph (a) shall include the names of the representatives of the Labour Union if any that represent the employees in the undertaking.
▻ In cases of individual dismissal, there is no general obligation to notify the worker's representatives. However, prior to any dismissal on the grounds of misconduct or poor performance, the employer must explain the reason for the planned dismissal to the employee, and the employee is entitled to have another person of his/her choice present during the explanation. Before reaching a decision on the dismissal, the employer must hear and consider any representation the employee and the person chosen by him/her, if any, may make (§§ 66(1) and (2) EA).
Approval by public administration or judicial bodies: No
Approval by workers' representatives: No
Definition of collective dismissal (number of employees concerned) Termination of at least 10 employees over a period of not more than 3 months for reasons of an economic, technological, structural or similar nature.
Section 81(1) EA provides for cases of "collective dismissal".
Notification to the public administration No
The EA does not require the employer to consult with the worker's representatives. The employer is only required to inform them.
See Section 81(1)a) EA: An employer who intends to carry out collective terminations shall "provide the representatives of the labour union, if any, that represent the employees in the undertaking with relevant information, and in good time which shall be a period of at least four weeks before the first terminations shall take effect, except when the employer can show that it is not practicable to comply with such a time-limit [...]".
Notification to trade union (workers' representatives) Yes
Section 81(1) b): notification to the Commissioner (in the Ministry of Labour) in writing of the reasons for the terminations, the number and categories of workers concerned and the period over which the terminations are intended to be carried out.
New in April 2011: Employment Regulations of 2011 specify in Reg. 44 (a) that the employer shall also indicate the age, sex, occupation, wages, duration of employment and the exact date of termination.
Notification to workers' representatives: Yes
See Section 81(1)(a) EA: obligation to provide the representatives of the labour union, if any, that represent the employees in the undertaking with relevant information, at least four weeks before the first terminations shall take effect.
Approval by trade union (workers' representatives) No
Approval by workers' representatives No
Priority rules for collective dismissals (social considerations, age, job tenure) No
No statutory provision in the legislation reviewed.
Employer's obligation to consider alternatives to dismissal (transfers, retraining...) No
No statutory provision in the legislation reviewed.
Priority rules for re-employment No
No statutory provision in the legislation reviewed.
tenure ≥ 6 months: 0 month(s).
tenure ≥ 9 months: 0 month(s).
tenure ≥ 1 year: 0 month(s).
tenure ≥ 2 years: 0 month(s).
tenure ≥ 4 years: 0 month(s).
tenure ≥ 5 years: 0 month(s).
tenure ≥ 10 years: 0 month(s).
tenure ≥ 20 years: 0 month(s).
tenure ≥ 6 months: 0 month(s).
tenure ≥ 9 months: 0 month(s).
tenure ≥ 1 year: 0 month(s).
tenure ≥ 2 years: 0 month(s).
tenure ≥ 4 years: 0 month(s).
tenure ≥ 5 years: 0 month(s).
tenure ≥ 10 years: 0 month(s).
tenure ≥ 20 years: 0 month(s).
▻ The amount of severance pay is subject to negotiation between the employer and the workers or the trade union that represents them. ▻ → Section 89 EA: The calculation of severance pay shall be negotiable between the employer and the workers or the labour union that represents them.
▻ Under Section 87 EA, severance pay is due in the following circumstances:
- unfair dismissal of the employee by the employer
- death of the employee at work not attributable to any misconduct of the employee
- termination by the employee due to physical incapacity not attributable to any misconduct of the employee
- termination by reason of the death or insolvency of the employer;
- termination by a labour officer following the inability or the refusal of the employer to pay wages
- other cases as provided by the Minister.
▻ The law also lists circumstances where severance pay is not due (i.e summary dismissal).
→ Section 88 EA: (1) No severance allowance shall be paid in circumstances where an employee -
(a) is summarily dismissed with justification;
(b) is dismissed by the employer and unreasonably refuses to accept an offer of re-employment by the employer at the same place of work, under no less favourable terms and wage rate than he or she was employed at immediately prior to the dismissal; or
(c) abandons his or her employment, or absconds from his or her place of work without leave for a period of more than three days without any explanation being provided to the employer.
(2) No severance allowance shall be paid where -
(a) the employer is a partnership, and the employee's employment ceases on the dissolution of the partnership and the employee either enters the employment of one or more of such partners immediately after such dissolution or the employee is offered, and unreasonably refuses employment on less favourable terms by one or more of such partners;
(b) the employee's employer dies, and the employee either enters the employment of the personal representative, widow, widower, or any heir of the deceased employer or immediately after such death, he or she is offered, and unreasonably refuses employment on less favourable terms by any such person or persons; or
(c) the contract which is terminated is a probationary contract.
(3) Where an employee accepts employment in the circumstances mentioned in subsection (2)(a), there shall be no break in continuity of service and the new employer or employers shall assume responsibility for all rights, including severance allowance of the employee arising in connection with his or her period of employment with his or her former employer or employers.
It seems that, in the event of ordinary fair dismissal (including collective dismissals for economic reasons), the dismissed employee is not entitled to severance pay.
mine workers: No
Free determination (not by the Labour Cout but) by the Labour Officer:
Section. 78 EA provides that an order of compensation to an employee who has been unfairly terminated may include additional compensation at the discretion of the labour officer, while taking into consideration, a range of listed factors in each case.
Section 78 EA: . Compensatory order
(1) An order of compensation to an employee who has been unfairly terminated shall, in all cases, include a basic compensatory order for four weeks' wages.
(2) An order of compensation to an employee whose services have been unfairly terminated may include additional compensation at the discretion of the labour officer, which shall be calculated taking into account the following -
(a) the employee's length of service with the employer;
(b) the reasonable expectation of the employee as to the length of time for which his or her employment with that employer might have continued but for the termination;
(c) the opportunities available to the employee for securing
comparable or suitable employment with another employer;
(d) the value of any severance allowance to which an employee is entitled under Part IX;
(e) the right to press claims for any unpaid wages, expenses or other claims owing to the employee;
(f) any expenses reasonably incurred by the employee as a consequence of the termination;
(g) any conduct of the employee which, to any extent caused or contributed to the termination;
(h) any failure by the employee to reasonably mitigate the losses attributable to the unjustified termination; and
(i) any compensation, including ex gratia payments, in respect of termination of employment paid by the employer and received by the employee.
(3) The maximum amount of additional compensation which may be awarded under subsection (2) shall be three month's wages of the dismissed employee, and the minimum shall be one month's wage.
Note: Labour officers in Uganda are legally empowered to engage in labour inspection activities including securing the enforcement of legal provisions relating to conditions of work, supplying technical information and advice to employers and employees and bringing to the notice of the Minister defects or abuses not specifically covered by existing legal provisions. According to the National Employment Policy for Uganda 2011, labour officers also arbitrate between workers and employers on undesirable working conditions. Much of a labour officer’s time (particularly at the district level) is devoted to dispute resolution at the expense of labour inspection activities. Source: ILO Labour Adminstration Dep.: https://www.ilo.org/labadmin/info/WCMS_209370/lang--en/index.htm
: Yes
Section 78 EA on Compensatory order
(1) An order of compensation to an employee who has been unfairly terminated shall, in all cases, include a basic compensatory order for four weeks' wages.
(2) An order of compensation to an employee whose services have been unfairly terminated may include additional compensation at the discretion of the labour officer, which shall be calculated taking into account the following - (...)
(3) The maximum amount of additional compensation which may be awarded under subsection (2) shall be three month's wages of the dismissed employee, and the minimum shall be one month's wage.
Yes
Section 78 EA on Compensatory order
(1) An order of compensation to an employee who has been unfairly terminated shall, in all cases, include a basic compensatory order for four weeks' wages.
(2) An order of compensation to an employee whose services have been unfairly terminated may include additional compensation at the discretion of the labour officer, which shall be calculated taking into account the following - (...)
(3) The maximum amount of additional compensation which may be awarded under subsection (2) shall be three month's wages of the dismissed employee, and the minimum shall be one month's wage.
Compensation for unfair dismissal - Legal limits (ceiling in months or calculation method): Compensation for unfair dismissal includes a basic compensation of 4 weeks' wages + additional compensation at the discretion of the labour officer which shall not be less than one month's wages and more than 3 months' wages (= minimum 2 months' wages and maximum 4 months' wages in total)
Section 78 (1) EA on "Compensatory order" provides that:
(1) An order of compensation to an employee who has been unfairly terminated shall, in all cases, include a basic compensatory order for four weeks' wages.
(2) An order of compensation to an employee whose services have been unfairly terminated may include additional compensation at the discretion of the labour officer, which shall be calculated taking into account the following -
(a) the employee's length of service with the employer;
(b) the reasonable expectation of the employee as to the length of time for which his or her employment with that employer might have continued but for the termination;
(c) the opportunities available to the employee for securing comparable or suitable employment with another employer;
(d) the value of any severance allowance to which an employee is entitled under Part IX;
(e) the right to press claims for any unpaid wages, expenses or other claims owing to the employee; any expenses reasonably incurred by the employee as a consequence of the termination;
(d) any conduct of the employee which, to any extent caused or contributed to the termination;
(e) any failure by the employee to reasonably mitigate the losses attributable to the unjustified termination; and
(f) any compensation, including ex gratia payments, in respect of termination of employment paid by the employer and received by the employee.
(3) The maximum amount of additional compensation which may be awarded under subsection (2) shall be three month's wages of the dismissed employee, and the minimum shall be one month's wage.
managerial / executive positions: Yes
Section. 71 (5)(a) EA indicates that: If the court finds that a dismissal is unfair, the court may order the employer to reinstate the employee;
Section 71 (6) EA: in the event of unfair dismissal, the employee shall be reinstated or re-employed unless a) the employee does not wish to be reinstated, b) continuation of the employment relationship would be intolerable, c) it is not reasonable practical to do so, or d) the dismissal unfair only because the employer did not follow a proper procedure.
police: Yes
▷ Employment Act (EA)
Conciliation is foreseen in the legislation; Disputes must first be reported to a Labour Officer who will attempt to resolve the matter through conciliation and mediation.
→ Under Section 13 (1)(a) EA: A labour officer to whom a complaint has been made under this Act shall have the power to- investigate the complaint and any defence put forward to such a complaint and to settle or attempt to settle any complaint made by way of conciliation, arbitration, adjudication or such procedure as he or she thinks appropriate and acceptable to the parties to the complaint with the involvement of any Labour Union present at the place of work of the complainant; (...).
→ According to Section 93(2) EA, a labour officer is competent to hear and to settle by conciliation or mediation a complaint concerning infringement of the provisions of the Act, or breach of obligations owed under the Act by either party to an employment contract.
▷ Labour Disputes (Arbitration and Settlement) Act (2006)
→ Section 3(1) of the Labour Disputes (Arbitration and Settlement) Act (2006) provides that: Subject to subsection (2), a labour dispute, whether existing or apprehended, may be reported, in writing, to a Labour Officer, by a party to the dispute in such form and containing such particulars as may be prescribed by regulations made under this Act.
→ Section 4 (a) provides that: A Labour Officer shall, within two weeks after receipt of the report made under section 3 (1), deal with the report in any one or more of the following ways — meet with the parties and endeavour to conciliate and resolve the dispute;
→ In Addition, Section 6 indicates that: Where there are any arrangements for settlement by conciliation or arbitration in a trade or industry, between a labour union and one or more employers or between one or more labour unions and one or more employers’ organisations, the Labour Officer shall not refer the matter to the Industrial Court but shall ensure that the parties follow the procedures for settling the dispute laid out in the conciliation or arbitration agreement, which apply to the dispute.
▷ Employment Regulations, 2011 (No. 61)
→ Under section 8(1) of the Employment Regulations, 2011 (No. 61) on "Procedure to be followed by a labour officer during hearings": Upon receipt of a response from a respondent to the dispute, the labour officer shall, within fourteen days after receipt of the response, summon the parties in question for a conciliation meeting, facilitate discussions, guide parties on matters concerning relevant laws and try to settle the matter in accordance with section 13 (1) of the Act.
→ Under Section 14(1) EA on the "Labour officer's power to prosecute": A labour officer may institute civil or criminal proceedings before the Industrial Court in respect of a contravention or alleged contravention of this Act or regulations made under this Act, and may prosecute and appear in his or her own name in respect of the proceedings.
→ Under section 93(1) EA on "Jurisdiction over claims; remedies": Except where the contrary is expressly provided for by this or any other Act, the only remedy available to a person who claims an infringement of any of the rights granted under this Act shall be by way of a complaint to a labour officer.
→ Section 94 EA on "Appeals": A party who is dissatisfied with the decision of a labour officer on a complaint made under this Act may appeal to the Industrial Court in accordance with this section.
- In Addition, pursuant to Section 71(2) EA, a complaint of unfair termination shall be lodged with the labour officer within 3 months from the date of dismissal. The Labour officer is competent to order remedies for unfair dismissal (reinstatement or compensation)
- Disputes concerning unjustified summary dismissals are heard by the labour officer, as provided in Section 70 EA.
▻ Exception: Section 93(6) EA indicates that: A claim in tort arising out of the employment relationship; claim shall be brought before a court and the labour officer shall not have the jurisdiction to handle such a claim.
Existing arbitration: Yes
▷ Labour Disputes (Arbitration and Settlement) Act, 2006
Section 8(1)(a) of the Labour Dispute Act on "Functions of the Industrial Court", provides that: The Industrial Court shall—arbitrate on labour disputes referred to it under this Act.
Burden of Proof: employer
→ Section 68 EA on "Proof of reason for termination" provides that: In any claim arising out of termination, the employer shall prove the reason or reasons for the dismissal, and where the employer fails to do so, the dismissal shall be deemed to have been unfair within the meaning of section 71.
→ Section 70(6) EA provides that: For any complaint of unfair dismissal, the burden of proving that a dismissal has occurred rests on the employee, and the burden of justifying the grounds for the dismissal rests on the employer.
Notes / Remarks
Complaints of unfair dismissals are only available to employees who have been employed for at least 13 weeks before the date of the dismissal (Section 71 EA)