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How To Hire New Remote Employees | Uganda

Hire employees in

Uganda

, easily

Whether you're looking for an independent contractor, a remote team member, or a full-time employee in

Uganda

, Workpay can help. Say goodbye to worrying about local laws, complex tax systems or managing international payroll. We take care of it all in over 50 countries.

Book a discovery call
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Country flag

How To Hire New Remote Employees | Uganda

Hire employees in

Uganda

, easily

   Whether you're looking for an independent contractor, a remote team member, or a full-time employee in

Uganda

, Workpay can help. Say goodbye to worrying about local laws, complex tax systems or managing international payroll. We take care of it all in over 50 countries.

Book a discovery call
Hire employees in
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, hassle-free

With Workpay, your business can easily hire employees in

Uganda

.
No more worrying about local laws, complex tax systems or
managing international payroll. Workpay takes care of everything
in 150+ countries.

Book a discovery call
capital city
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currency
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language spoken
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payroll frequency
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employer taxes
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vat - standard rate
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cost of living index
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gdp - real growth rate
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termination process
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employee protections
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Overview

The unemployment rate in Uganda is less than 4% but a majority of citizens work in low-wage formal and informal sector jobs. Agriculture is the backbone of the economy and the principal source of employment in the country; 73 percent of the labor force, primarily in rural areas work in the sector. However, with increased urbanization, other types of jobs are expanding, especially in metropolitan areas.

Skills enable organizations to operate at a greater level of productivity and enable workers to participate in higher-productivity positions. Therefore, it is vital to provide foundation skills through high-quality basic education and a higher rate of transition to secondary education, as well as to encourage the private sector to participate in the upgrading of Uganda's labor force.

capital city
Kampala
currency
Ugandan shilling (UGX)
language spoken
Official language English
payroll frequency
Weekly, bimonthly, or semi-monthly
employer taxes
10%
vat - standard rate
18%
cost of living index
652200.00 UGX
gdp - real growth rate
2.9% (2020)
termination process
Varies
employee protections
Moderate

Public Holidays

DATE
HOLIDAY NAME

1 January

26 January

16 February

8 March

7 April

10 April

21 April

1 May

3 June

9 June 

29 June

9 October

25 December

26 December

New Year's Day

NRM Liberation Day

Archbishop Janani Luwum Memorial Day

International Women's Day

Good Friday

Easter Monday

Eid al-Fitr

Labour Day

Uganda Martyrs' Day

National Heroes' Day

Eid al-Adha

Independence Day of Uganda

Christmas Day

Boxing Day

This is some text inside of a div block.

Minimum wage

The monthly minimum wage in Uganda is 6,000 Ugandan shillings for all workers. The Ugandan minimum wage was last adjusted on January 1, 1884. In 2015, a new Minimum Wage Bill was introduced in parliament for debate.

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Payroll cycle

Salaries are paid monthly, which is the most prevalent payroll plan in Uganda. However, some companies pay their staff weekly, bimonthly, or semi-monthly.

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Taxation

The resident individual tax rates are set forth in the following table. These rates apply to employment income and taxable business income.

Income Tax

Annual Taxable Income Tax on Lower Amount UGX Rate on Excess %
Exceeding UGX Not Exceeding UGX
0 2,820,000 0 0
2,820,000 4,020,000 0 10
4,020,000 4,920,000 120,000 20
4,920,000 120,000,000 300,000 30
120,000,000 _ 34,824,000 40

For nonresidents, taxable income, including investment income, is taxed at the rates in the following table.

Income Tax

Annual Taxable Income Tax on Lower Amount UGX Rate on Excess %
Exceeding UGX Not Exceeding UGX
0 4,020,000 0 10
4,020,000 4,920,000 402,000 20
4,920,000 120,000,000 582,000 30
120,000,000 _ 35,106,000 40
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Leaves

Annual Leave 

Each employee is entitled to 21 annual leave days per year, with full compensation. An employee may take his or her annual leave at any point in the year, based on the terms agreed with the employer.

The 21 days comprise only working days. For example, if an employee does not regularly work on Saturday and Sunday, those days cannot be included as leave days.

Maternity Leave 

Female staff with a valid contract of services qualifies for 60 days of maternity leave. However, the law does not indicate the minimum period of service to be eligible for maternity leave. In case of a miscarriage, the employee is entitled to at least four weeks of leave in which the employee is entitled to full pay.  

Paternity Leave

Male employees are entitled to four days of paternity leave with full pay.  However, paternity leave applies to an official spouse only. 

Sick Leave

Any employee who has worked for the company for at least one month is eligible for two months of paid sick leave; the first month is fully paid while the second month is unpaid leave.  The employer can terminate the employee's employment contract after the second month of illness if all of the conditions outlined in the employment contract are not met.

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Termination process

To terminate an employment contract, notice must be given in writing and must adhere to the time frames of the employment. 

Notice Period 

The length of the notice period is determined by the following factors:

  • If an employee has worked for more than 6 months but less than a year, a two weeks’ notice is required. 
  • If an employee has worked for more than 12 months but less than 5 years, they should be given a notice of at least one month.
  • If an employee has worked for 5 years but less than 10 years, they should be given a notice of not less than two months. 
  • If an employee has worked for more than 10 years, they should be given a three months’ notice.

Severance Pay

In the event of termination or wrongful dismissal, an employee who has worked for at least six months is entitled to severance pay. The employee and the employer are required by law to discuss severance pay. In the absence of such a negotiated agreement, a labor officer may make the decision.

Streamline the growth of remote and
international teams

500+
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30+
Country presence
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Employee payroll run
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Country flag

Heading

Hire employees in

Uganda

, hassle-free

With Workpay, your business can easily hire employees in

Uganda

. No more worrying about local laws, complex tax systems or managing international payroll. Workpay takes care of everything in 50+ countries.

Book a discovery call
country featured image
capital city
Kampala
currency
Ugandan shilling (UGX)
language spoken
Official language English
payroll frequency
Weekly, bimonthly, or semi-monthly
employer taxes
10%
vat - standard rate
18%
cost of living index
652200.00 UGX
gdp - real growth rate
2.9% (2020)
termination process
Varies
employee protections
Moderate

Overview

The unemployment rate in Uganda is less than 4% but a majority of citizens work in low-wage formal and informal sector jobs. Agriculture is the backbone of the economy and the principal source of employment in the country; 73 percent of the labor force, primarily in rural areas work in the sector. However, with increased urbanization, other types of jobs are expanding, especially in metropolitan areas.

Skills enable organizations to operate at a greater level of productivity and enable workers to participate in higher-productivity positions. Therefore, it is vital to provide foundation skills through high-quality basic education and a higher rate of transition to secondary education, as well as to encourage the private sector to participate in the upgrading of Uganda's labor force.

Employer of Record (EOR) for

Uganda
Benefits

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Cursus blandit sit congue aliquam enim interdum nisl. Gravida proin tristique at amet velit volutpat mattis egestas. Purus eget nunc sed odio. Mattis egestas egestas massa aliquet. Id molestie augue eget euismod at rutrum vestibulum. Facilisis facilisi facilisis odio amet faucibus consectetur egestas quam. Auctor neque vel sollicitudin eget integer phasellus aliquam. Consequat venenatis sit urna lectus nisl mi dapibus tellus. Leo quis egestas amet nisi lobortis nunc tortor. Massa velit quis egestas in sodales pulvinar. Fermentum aliquet neque tristique sed vitae. Porta sit eu tincidunt egestas porttitor at amet.A aliquam mattis nulla fringilla cursus a dignissim. Lectus ut bibendum scelerisque eros malesuada eu. Neque ut purus venenatis quis proin commodo. Nunc nulla turpis id suspendisse. Posuere sodales nunc mauris in faucibus. Mi id eu et accumsan. Vel eleifend quam nibh vulputate. Arcu.

Cost

Cursus blandit sit congue aliquam enim interdum nisl. Gravida proin tristique at amet velit volutpat mattis egestas. Purus eget nunc sed odio. Mattis egestas egestas massa aliquet. Id molestie augue eget euismod at rutrum vestibulum. Facilisis facilisi facilisis odio amet faucibus consectetur egestas quam. Auctor neque vel sollicitudin eget integer phasellus aliquam. Consequat venenatis sit urna lectus nisl mi dapibus tellus. Leo quis egestas amet nisi lobortis nunc tortor. Massa velit quis egestas in sodales pulvinar. Fermentum aliquet neque tristique sed vitae. Porta sit eu tincidunt egestas porttitor at amet.A aliquam mattis nulla fringilla cursus a dignissim. Lectus ut bibendum scelerisque eros malesuada eu. Neque ut purus venenatis quis proin commodo. Nunc nulla turpis id suspendisse. Posuere sodales nunc mauris in faucibus. Mi id eu et accumsan. Vel eleifend quam nibh vulputate. Arcu.

Contacts

Lorem ipsum dolor sit amet consectetur. Aliquet diam ipsum odio morbi sagittis interdum euismod at. Diam tempus eros sit in senectus tempus neque dictum. Vulputate pharetra lectus scelerisque eget vitae condimentum fringilla viverra. Ipsum turpis enim egestas nibh mauris netus nibh pretium. Tempus viverra ipsum pharetra pulvinar cras in libero nulla. Scelerisque sed ultricies nibh facilisis velit odio nunc euismod.Id vitae quis tincidunt lorem diam faucibus nullam. Eu orci dignissim tortor ipsum hendrerit. Ac ipsum feugiat orci turpis dictum consectetur sit lectus nulla. Sit sit semper in sit id senectus sed diam egestas. Pharetra scelerisque nulla id elementum gravida aliquam.Felis nunc quis cras massa amet. Sem turpis lorem eget maecenas augue vestibulum donec ac. Aenean molestie mi tellus nulla elit ullamcorper volutpat scelerisque.

Cursus blandit sit congue aliquam enim interdum nisl. Gravida proin tristique at amet velit volutpat mattis egestas. Purus eget nunc sed odio. Mattis egestas egestas massa aliquet. Id molestie augue eget euismod at rutrum vestibulum. Facilisis facilisi facilisis odio amet faucibus consectetur egestas quam. Auctor neque vel sollicitudin eget integer phasellus aliquam. Consequat venenatis sit urna lectus nisl mi dapibus tellus. Leo quis egestas amet nisi lobortis nunc tortor. Massa velit quis egestas in sodales pulvinar. Fermentum aliquet neque tristique sed vitae. Porta sit eu tincidunt egestas porttitor at amet.A aliquam mattis nulla fringilla cursus a dignissim. Lectus ut bibendum scelerisque eros malesuada eu. Neque ut purus venenatis quis proin commodo. Nunc nulla turpis id suspendisse. Posuere sodales nunc mauris in faucibus. Mi id eu et accumsan. Vel eleifend quam nibh vulputate. Arcu.

Legal Entity

Lorem ipsum dolor sit amet consectetur. Aliquet diam ipsum odio morbi sagittis interdum euismod at. Diam tempus eros sit in senectus tempus neque dictum. Vulputate pharetra lectus scelerisque eget vitae condimentum fringilla viverra. Ipsum turpis enim egestas nibh mauris netus nibh pretium. Tempus viverra ipsum pharetra pulvinar cras in libero nulla. Scelerisque sed ultricies nibh facilisis velit odio nunc euismod.Id vitae quis tincidunt lorem diam faucibus nullam. Eu orci dignissim tortor ipsum hendrerit. Ac ipsum feugiat orci turpis dictum consectetur sit lectus nulla. Sit sit semper in sit id senectus sed diam egestas. Pharetra scelerisque nulla id elementum gravida aliquam.Felis nunc quis cras massa amet. Sem turpis lorem eget maecenas augue vestibulum donec ac. Aenean molestie mi tellus nulla elit ullamcorper volutpat scelerisque.

Cursus blandit sit congue aliquam enim interdum nisl. Gravida proin tristique at amet velit volutpat mattis egestas. Purus eget nunc sed odio. Mattis egestas egestas massa aliquet. Id molestie augue eget euismod at rutrum vestibulum. Facilisis facilisi facilisis odio amet faucibus consectetur egestas quam. Auctor neque vel sollicitudin eget integer phasellus aliquam. Consequat venenatis sit urna lectus nisl mi dapibus tellus. Leo quis egestas amet nisi lobortis nunc tortor. Massa velit quis egestas in sodales pulvinar. Fermentum aliquet neque tristique sed vitae. Porta sit eu tincidunt egestas porttitor at amet.A aliquam mattis nulla fringilla cursus a dignissim. Lectus ut bibendum scelerisque eros malesuada eu. Neque ut purus venenatis quis proin commodo. Nunc nulla turpis id suspendisse. Posuere sodales nunc mauris in faucibus. Mi id eu et accumsan. Vel eleifend quam nibh vulputate. Arcu.

Labor Law

Lorem ipsum dolor sit amet consectetur. Aliquet diam ipsum odio morbi sagittis interdum euismod at. Diam tempus eros sit in senectus tempus neque dictum. Vulputate pharetra lectus scelerisque eget vitae condimentum fringilla viverra. Ipsum turpis enim egestas nibh mauris netus nibh pretium. Tempus viverra ipsum pharetra pulvinar cras in libero nulla. Scelerisque sed ultricies nibh facilisis velit odio nunc euismod.Id vitae quis tincidunt lorem diam faucibus nullam. Eu orci dignissim tortor ipsum hendrerit. Ac ipsum feugiat orci turpis dictum consectetur sit lectus nulla. Sit sit semper in sit id senectus sed diam egestas. Pharetra scelerisque nulla id elementum gravida aliquam.Felis nunc quis cras massa amet. Sem turpis lorem eget maecenas augue vestibulum donec ac. Aenean molestie mi tellus nulla elit ullamcorper volutpat scelerisque.

Cursus blandit sit congue aliquam enim interdum nisl. Gravida proin tristique at amet velit volutpat mattis egestas. Purus eget nunc sed odio. Mattis egestas egestas massa aliquet. Id molestie augue eget euismod at rutrum vestibulum. Facilisis facilisi facilisis odio amet faucibus consectetur egestas quam. Auctor neque vel sollicitudin eget integer phasellus aliquam. Consequat venenatis sit urna lectus nisl mi dapibus tellus. Leo quis egestas amet nisi lobortis nunc tortor. Massa velit quis egestas in sodales pulvinar. Fermentum aliquet neque tristique sed vitae. Porta sit eu tincidunt egestas porttitor at amet.A aliquam mattis nulla fringilla cursus a dignissim. Lectus ut bibendum scelerisque eros malesuada eu. Neque ut purus venenatis quis proin commodo. Nunc nulla turpis id suspendisse. Posuere sodales nunc mauris in faucibus. Mi id eu et accumsan. Vel eleifend quam nibh vulputate. Arcu.

Harness the power of Workpay

Our innovative cloud based solution makes managing your teams more seamless than ever before, streamline your processes and take your business to the next level.

EOR vs AOR in

Uganda

The monthly minimum wage in Uganda is 6,000 Ugandan shillings for all workers. The Ugandan minimum wage was last adjusted on January 1, 1884. In 2015, a new Minimum Wage Bill was introduced in parliament for debate.

PEO

The monthly minimum wage in Uganda is 6,000 Ugandan shillings for all workers. The Ugandan minimum wage was last adjusted on January 1, 1884. In 2015, a new Minimum Wage Bill was introduced in parliament for debate.

What is a PEO?

Workpay is a robust cloud-based employee management solution for SMEs in Africa, a set of tools developed to help organisations manage and pay their employees on time.

What is a PEO?

Workpay is a robust cloud-based employee management solution for SMEs in Africa, a set of tools developed to help organisations manage and pay their employees on time.

What is a PEO?

Workpay is a robust cloud-based employee management solution for SMEs in Africa, a set of tools developed to help organisations manage and pay their employees on time.

What is a PEO?

Workpay is a robust cloud-based employee management solution for SMEs in Africa, a set of tools developed to help organisations manage and pay their employees on time.

Employee Onboarding and Termination process

To terminate an employment contract, notice must be given in writing and must adhere to the time frames of the employment. 

Notice Period 

The length of the notice period is determined by the following factors:

  • If an employee has worked for more than 6 months but less than a year, a two weeks’ notice is required. 
  • If an employee has worked for more than 12 months but less than 5 years, they should be given a notice of at least one month.
  • If an employee has worked for 5 years but less than 10 years, they should be given a notice of not less than two months. 
  • If an employee has worked for more than 10 years, they should be given a three months’ notice.

Severance Pay

In the event of termination or wrongful dismissal, an employee who has worked for at least six months is entitled to severance pay. The employee and the employer are required by law to discuss severance pay. In the absence of such a negotiated agreement, a labor officer may make the decision.

What is a PEO?

Workpay is a robust cloud-based employee management solution for SMEs in Africa, a set of tools developed to help organisations manage and pay their employees on time.

What is a PEO?

Workpay is a robust cloud-based employee management solution for SMEs in Africa, a set of tools developed to help organisations manage and pay their employees on time.

What is a PEO?

Workpay is a robust cloud-based employee management solution for SMEs in Africa, a set of tools developed to help organisations manage and pay their employees on time.

What is a PEO?

Workpay is a robust cloud-based employee management solution for SMEs in Africa, a set of tools developed to help organisations manage and pay their employees on time.

Harness the power of Workpay

Our innovative cloud based solution makes managing your teams more seamless than ever before, streamline your processes and take your business to the next level.

Minimum wage

The monthly minimum wage in Uganda is 6,000 Ugandan shillings for all workers. The Ugandan minimum wage was last adjusted on January 1, 1884. In 2015, a new Minimum Wage Bill was introduced in parliament for debate.

Payroll cycle

Salaries are paid monthly, which is the most prevalent payroll plan in Uganda. However, some companies pay their staff weekly, bimonthly, or semi-monthly.

What is a PEO?

Workpay is a robust cloud-based employee management solution for SMEs in Africa, a set of tools developed to help organisations manage and pay their employees on time.

What is a PEO?

Workpay is a robust cloud-based employee management solution for SMEs in Africa, a set of tools developed to help organisations manage and pay their employees on time.

What is a PEO?

Workpay is a robust cloud-based employee management solution for SMEs in Africa, a set of tools developed to help organisations manage and pay their employees on time.

What is a PEO?

Workpay is a robust cloud-based employee management solution for SMEs in Africa, a set of tools developed to help organisations manage and pay their employees on time.

Taxation

The resident individual tax rates are set forth in the following table. These rates apply to employment income and taxable business income.

Income Tax

Annual Taxable Income Tax on Lower Amount UGX Rate on Excess %
Exceeding UGX Not Exceeding UGX
0 2,820,000 0 0
2,820,000 4,020,000 0 10
4,020,000 4,920,000 120,000 20
4,920,000 120,000,000 300,000 30
120,000,000 _ 34,824,000 40

For nonresidents, taxable income, including investment income, is taxed at the rates in the following table.

Income Tax

Annual Taxable Income Tax on Lower Amount UGX Rate on Excess %
Exceeding UGX Not Exceeding UGX
0 4,020,000 0 10
4,020,000 4,920,000 402,000 20
4,920,000 120,000,000 582,000 30
120,000,000 _ 35,106,000 40
What is a PEO?

Workpay is a robust cloud-based employee management solution for SMEs in Africa, a set of tools developed to help organisations manage and pay their employees on time.

What is a PEO?

Workpay is a robust cloud-based employee management solution for SMEs in Africa, a set of tools developed to help organisations manage and pay their employees on time.

What is a PEO?

Workpay is a robust cloud-based employee management solution for SMEs in Africa, a set of tools developed to help organisations manage and pay their employees on time.

What is a PEO?

Workpay is a robust cloud-based employee management solution for SMEs in Africa, a set of tools developed to help organisations manage and pay their employees on time.

Leaves

Annual Leave 

Each employee is entitled to 21 annual leave days per year, with full compensation. An employee may take his or her annual leave at any point in the year, based on the terms agreed with the employer.

The 21 days comprise only working days. For example, if an employee does not regularly work on Saturday and Sunday, those days cannot be included as leave days.

Maternity Leave 

Female staff with a valid contract of services qualifies for 60 days of maternity leave. However, the law does not indicate the minimum period of service to be eligible for maternity leave. In case of a miscarriage, the employee is entitled to at least four weeks of leave in which the employee is entitled to full pay.  

Paternity Leave

Male employees are entitled to four days of paternity leave with full pay.  However, paternity leave applies to an official spouse only. 

Sick Leave

Any employee who has worked for the company for at least one month is eligible for two months of paid sick leave; the first month is fully paid while the second month is unpaid leave.  The employer can terminate the employee's employment contract after the second month of illness if all of the conditions outlined in the employment contract are not met.

Why we are Africa's preferred Employer of Record

Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur.

Public Holidays

1 January

26 January

16 February

8 March

7 April

10 April

21 April

1 May

3 June

9 June 

29 June

9 October

25 December

26 December

New Year's Day

NRM Liberation Day

Archbishop Janani Luwum Memorial Day

International Women's Day

Good Friday

Easter Monday

Eid al-Fitr

Labour Day

Uganda Martyrs' Day

National Heroes' Day

Eid al-Adha

Independence Day of Uganda

Christmas Day

Boxing Day

Harness the power of Workpay

Our innovative cloud based solution makes managing your teams more seamless than ever before, streamline your processes and take your business to the next level.