Minimum Wages in Uganda - Frequently Asked Questions 2014

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The fixing of a minimum wage level in Uganda can be traced to 1935 when the first Minimum Wages Board was set up to determine the minimum wage for unskilled employees. However, it was not until 1947 that the government appointed Wage Boards on a regional basis.

 

In 1962 the Minimum Wage Board recommended that within industries and sectors, such as cement, sugar and tea, the determination of wages was to be left to the already established machinery of voluntary collective bargaining.

 

Basing on the outcome of the 1964 Minimum Wages Board, the Government in 1965 advised that undertakings in cotton ginning, mining, sawmills, oil and juggery mills, which employed over 50 persons, should pay a minimum blanket wage of at least Ug shs 75.It emphasized that union negotiations should lead in the matter of fixing wages.

 

The Minimum Wages Advisory Board appointed in 1970 recommended a minimum wage of at least Ug shs 185 for the urban areas and for tea and sugar estates; at least Ug shs 125 for trading centres; and at least Ug shs 104 for all categories of employers that had ten or more workers.

 

The 1984 Minimum Wages AdvisoryBoard recommended a minimum wage of at least Ug shs6,000.            

                                                                                                             

Currently, the Government of the Republic of Uganda has set up a Minimum Wage Advisory Board through the line Ministry of Gender, Labour and Social Development. The Board has representation from all the key stakeholders including employers and workers. A private members bill is also in the Parliament of Uganda to seek amendment of the Minimum Wages Advisory Boards and Wages Councils Act, 1964.

 

More Information on Minimum Wages in Uganda

Frequently Asked Question
Is there a separate legislation relating to minimum wages in your country? How often is poverty line updated?
Do one or more minimum wages exist that is/are determined by law?  When was poverty line last updated? (Specify YYYY/MM)
On what basis is minimum wage calculated?  What is the percentage of minimum wage relative to the current poverty line?
In case of weekly/monthly minimum age, are they based on any fixed number of hours?  What is the incidence of minimum wages(s) in the national labour force (wage earners only)?
Are governmental bodies, employer and/or trade union representatives involved in minimum wages setting? How is minimum wages compliance regulated? 
How are upratings (adjustments) of minimum wage/s decided upon?  Which legal sanctions can be applied in compliance is lacking?   
Which are the components of minimum wage in your country?  Are sanctions often being applied? 
How frequently is the fixed component of minimum wage updated?  Are employer and/or trade union representatives involved in compliance procedures? 
What is/are the yardstick/s on which minimum wage upratings are based? To whom/Where can individuals complain, if they think they are earning less than minimum wage. 
What is the national poverty line? (In national currency)  Which month of the year is minimum wage rate revised in your country?

 

Frequently Asked Question Minimum Wages in Uganda
Is there a separate legislation relating to minimum wages in your country? Minimum wages Advisory Boards and Wages Councils Act, 1964 was enacted and has not been repealed. 
Do one or more minimum wages exist that is/are determined by law?  Only one Minimum wage of 6000 Ugandan Shillings exist at national level. The rate has not been revised since 1984. However  minimum wage of 6,000 Ugandan shillings no longer makes economic sense as the value of Ugandan shillings has been declining through government policy and inflation.
On what basis is minimum wage calculated?  N/A
In case of weekly/monthly minimum age, are they based on any fixed number of hours?  N/A
Are governmental bodies, employer and/or trade union representatives involved in minimum wages setting N/A
How are upratings (adjustments) of minimum wage/s decided upon?  N/A
Which are the components of minimum wage in your country?  N/A
How frequently is the fixed component of minimum wage updated?  N/A
What is/are the yardstick/s on which minimum wage upratings are based? N/A
What is the national poverty line? (In national currency)  N/A
How often is poverty line updated? N/A
When was poverty line last updated? (Specify YYYY/MM) N/A
What is the percentage of minimum wage relative to the current poverty line? N/A
What is the incidence of minimum wages(s) in the national labour force (wage earners only)? N/A
How is minimum wages compliance regulated?  N/A
Which legal sanctions can be applied in compliance is lacking?    N/A
Are sanctions often being applied?  N/A
Are employer and/or trade union representatives involved in compliance procedures?  N/A
To whom/Where can individuals complain, if they think they are earning less than minimum wage.  N/A
Which month of the year is minimum wage rate revised in your country? N/A