Uganda's employment law went through its biggest overhaul in nearly two decades in 2026. The Employment (Amendment) Act, 2025, which received presidential assent on 29 April 2026, amends the Employment Act and the Labour Disputes (Arbitration and Settlement) Act. It extends protection to domestic and casual workers, restructures sick leave, standardises severance and tightens the rules on dismissal.
Whether you are an employee, a business owner or an HR manager, this guide explains your core rights at work and what the amendments change. At the time of writing, legal advisers note that the commencement date of the amendments still needed to be gazetted, so confirm which provisions are in force before relying on them.
Who is covered?
The Employment Act covers most employees in Uganda. A major change in the amendment is that domestic workers, casual employees and migrant workers are now explicitly brought within the law's protection. House helps, gardeners, drivers and similar workers in private homes now have defined rights, including written contracts, regulated hours and rest, and statutory leave.
Your contract of employment
Employees are entitled to clear terms of employment, including job title, pay, working hours, leave and notice periods. For contracts of longer duration, these should be in writing. Ask for a written contract, keep a copy and read it before you sign.
Casual workers
Under the amendments, casual engagement is limited to six continuous months. After that, the worker should be moved to a regular contract or the engagement lawfully ended. This is designed to stop employers keeping people on "casual" terms for years without benefits.
Working hours and overtime
The standard working week is capped at 48 hours. Work beyond normal hours should be compensated as overtime according to the law and your contract. Employees are also entitled to rest days and public holidays.
Leave entitlements
Annual leave
Employees earn paid annual leave, which under the Employment Act works out to 21 working days for a full year of continuous service, in addition to public holidays.
Maternity leave
Female employees are entitled to 60 working days of fully paid maternity leave. The amendments also strengthen protection against pregnancy related discrimination and require employers to provide time, space or a facility for breastfeeding and childcare for young children, as legal analyses of the Act describe for children aged roughly 3 to 36 months.
Paternity leave
Male employees are entitled to 4 working days of paternity leave immediately after the birth of a child or a miscarriage.
Sick leave
The amendment introduces a more structured sick leave framework. Legal analyses describe sick leave of up to six months: full pay for the first two months, then half pay for the next four. If illness continues beyond six months, the employer may terminate employment after obtaining a medical opinion and following the proper process.
Pay and deductions
Your employer must pay wages on time and may only make deductions allowed by law or agreed in writing, such as PAYE, NSSF contributions and loan repayments you authorised. NSSF contributions are 15 percent of gross pay: 5 percent from you and 10 percent from your employer. See our NSSF guide to check your contributions.
On minimum wage, the amendments create a mechanism for setting minimum wages through a wage advisory process, but check whether any sector minimum wage order has been issued for your industry.
Harassment and discrimination
The law already prohibited sexual harassment and discrimination on grounds such as sex, religion, disability and tribe. The amendments widen protection to general workplace harassment and intimidation, defined to include written, verbal or physical abuse that creates a hostile environment, and make violations criminal offences. Employers should have clear policies and complaint procedures.
Termination and dismissal
The amendments draw a clearer line between termination, dismissal and summary dismissal, and make the process more structured:
- Pre dismissal hearing: employers must give written reasons and hold a hearing before dismissing for misconduct or poor performance, with notice reported as five working days.
- Right to respond: the employee must have a fair chance to answer the allegations, and may be accompanied by a person of their choice.
- Notice: employees are entitled to notice or pay in lieu of notice, depending on length of service.
- Redundancy: employers must notify the Labour Commissioner in advance and consult properly.
Severance
The amendments standardise the severance formula, which legal analyses describe as one month's salary for each year worked, removing the uncertainty that came from leaving it to contracts.
Unfair dismissal
Compensation for unfair dismissal has been increased, reported as from four to eight weeks' wages, and an employer who skips the required dismissal procedure faces automatic liability. These changes give employees stronger remedies and make proper HR procedure essential for employers.
Where to complain
- Raise the issue internally through HR or your supervisor and keep written records
- Report to the district or city Labour Officer
- Escalate to the Industrial Court where necessary
- For harassment that is criminal, report to the police
What employers should do now
- Review contracts, especially for casual and domestic workers
- Update HR policies on leave, harassment and discipline
- Train managers on the new dismissal procedure
- Check NSSF and PAYE compliance
- Keep proper employment records
Frequently asked questions
Does the new law apply to house helps?
Yes. Domestic workers are now covered, including written contracts, regulated hours and leave.
Can my employer dismiss me without a hearing?
Except in narrow summary dismissal situations, the amended law requires written reasons and a hearing before dismissal.
Is there a minimum wage in Uganda?
The amendments provide a mechanism for setting minimum wages. Check whether an order covering your sector has been issued.
Get employment advice
Whether you are an employee facing dismissal or an employer updating contracts, book an employment lawyer on The Quick Consult for clear advice on the new rules.