LABOUR DAY SUPPLEMENT INTERNATIONAL LABOUR st DAY MAY 1 2015 PRESS STATEMENT by the Ministry of Gender, Labour and Social Development. Hon. Mukasa-Muruli-Wilson Minister of Gender, Labour and Social Development 1.1 Uganda today joins the rest of the World to celebrate the International Labour Day. The International Labour Day is celebrated to recognize the dignity of labour and the important contribution that it makes towards the social, economic and political development of the country. 1.2 This year the Labour Day Celebrations are being held at St. Paul Secondary School, Mutolere, in Kisoro District under the theme ‘Accelerating Social Economic Transformation through promotion of the Decent Work Agenda, Social Justice and Equity’. The theme seeks to significantly improve specific socio-economic devel- State Minister for Labour, Employment and Industrial Relations opment indicators pertinent to transformation. The achievements registered by Government in the Labour SubSector are highlighted below: 1.4.1 Operationalisation of the Industrial Court. The Industrial Court is established by law under Section 7 of the Labour Disputes (Arbitration and Settlement) Act, 2006 (No. 8) with the mandate to arbitrate on labour disputes referred to it; and to adjudicate upon questions of law and fact arising from references to the Industrial Court by any other law. The Chief Judge, Judge and panelists of the Industrial Court were appointed and the court is now functional. Staff of MGLSD conducting an inspection. 1.4.2 Labour Advisory Board The Board is a tripartite advisory body on the labour and em- Pius Bigirimana, Hon. Kamanda Bataringaya ployment matters established under section 21 of the Employment Act No. 6of 2006. 1.4.3 Medical Arbitration Board The Medical Arbitration Board has so far handled 72 cases this Permanent Secretary, Ministry of Gender, Labour and Social Development. year. This is aimed at resolving disputes related with health issues at workplace. Accident cases referred to the Medical Arbitration Board Industry No. Referred No. handled Total Male Female Decided Pending Manufacturing 27 1 15 13 28 Agriculture 3 1 3 1 4 Services 13 4 14 3 17 Processing 6 2 4 4 8 Construction 57 0 36 21 57 Horticulture 0 0 0 0 0 TOTAL 106 8 72 42 114 Tripartite Industrial Relations Charter The Industrial Tripartite Charter was signed on the 23rd May 2013 between the Government, Employers and Workers’ Representatives. Tripartism and social dialogue is a strategy that provides a unique forum for government, employers and the workers to meet together to effectively identify problems in the world of work, and together find possible solutions. The Tripartite Charter is now fully operational. The existence of an Industrial relations Charter has greatly enhanced industrial peace and harmony. 1.4.4 Decent Work Country Programme II The Decent Work Country Programme 11 was launched in August 2013 and the implementation is on-going. The priorities of DWCP II are to improve industrial relations, productivity, and adherence to labour standards through strengthening of labour. Decent work is work that allows the worker to live a life of dignity, work in a conducive environment and be protected by law so that he/she does not put his or her life and health at risk. The Decent work Agenda comprises of the following four pillars namely: (a) The Promotion of Standards and Fundamental Principles and Rights at Work, (b) The creation of employment, (c) The enhancement of social protection, and, (d) The strengthening of social dialogue. 1.4.5 Reactivation of the of the Minimum Wages Advisory Board Section 3 (1) and (2) of the Minimum Wages Advisory Boards and Wages Councils Act, Cap 224 ( Annex 1), Laws of Uganda, provides for the establishment of the Minimum Wages Board by the Minister responsible for Labour to advise on minimum wages and determine other conditions of employment for any employees or groups of employees in any occupation he may consider. 1.4.7 Promotion of Occupational Safety and health Government through, the ministry is implementing provisions of the Occupational Safety and Health Act, 2006 including the registration of workplaces, licensing and certification of equipment. So far more than 800 workplaces have been registered. The ministry has also taken action against some non compliant institutions and will soon prosecute those who have not registered. Unlike general labour inspection, occupational safety and health remains a centralized function of the MGLSD with OSH inspectors concentrated in the Ministry offices in Kampala both in terms of policy development and provision of services. There are in fact no OSH specialists working in the districts. The OSH Department has a total of 26 staff out of a possible 48 budgeted positions (22 vacant posts). The inability of the OSH inspectors to effectively cover the entire Ugandan territory has drawn calls for the Ministry to place OSH inspectors at the district level. LABOUR DAY SUPPLEMENT Proportion of inspected workplaces b) Number of workers in the inspected workplaces The total number of workers found in the inspected workplaces was 23,211. Of these 16,884 were male and 6,327 vices sector. were female. Manufacturing sector had the biggest number of employees (8,011), followed by processing (4,129) and construction (3,857). While females were generally fewer in wage employment than males, a significant number is employed in the manufacturing and processing sectors. The females, however, dominated the ser- Table 2.1: Number of workers by particular industry and sex No. of workers Industry Senior Officials from MGLSD led by the PS, Pius Bigirimana inspecting an Oil and Gas facility. 1.4.8 Externalisation of Labour The Government established the External Employment Unit in the Ministry of Gender, Labour and Social Development under Statutory Instrument No. 62 of 2005, The Employment (Recruitment of Ugandan Migrant Workers Abroad) enhanced coordination, licensing of private recruitment agencies and facilitating access to job opportunities abroad. Government has also prepared and will soon sign Bi-Lateral Agreements with Labour receiving countries. 1.4.9 Labour Inspections During F/Y 2013/14, a total of 150 labour inspections were conducted; 107 were routine, 20 were spot inspections while 23 were follow-up inspections. Since the beginning of FY 2014/15, 117 labour inspections have been conducted. Most of the routine inspections were carried out in the service industry (80), followed by processing (40) and manufacturing (20) respectively. The least number of inspections were carried out in the mining and quarrying industry (10). a) Inspected Workplaces Proportionally, the majority of the inspected work places were in the service industry with (45%) followed by processing industry (24%) and manufacturing industry (19%). The least visited was in mining and quarrying industry (2%) as shown in the figure below: Male Female Total Manufacturing 6061 1950 8011 Agriculture 1300 781 2081 Services 2244 1885 4129 Processing 3732 1303 5035 Construction 3457 400 3857 Mining and quarrying 90 8 98 Total 16,884 6,327 23,211 c) Labour unions The department has registered 40 labour unions; of these 20 are affiliated to NOTU and 18 to COFTU while 2 are independent. By sector, there are 10 unions under agriculture, 6 in telecommunication, teaching institutions have 4, Medical 2, Hotel 1, Mines 2, Entertainment 2, printing 1,textile 1,electricity 1 among others. d) Labour unions The department has registered 40 labour unions; of these 20 are affiliated to NOTU and 18 to COFTU while 2 are independent. By sector, there are 10 unions under agriculture, 6 in telecommunication, teaching institutions have 4, 3.0 Activities Organized to mark the International Labour Day Celebrations: 3.1 The National Celebrations are preceded by a Labour week which involves several activities including HIV/AIDs counselling and testing, cleaning of Mutolere Town Council, and tree planting among others. 3.2 The 28th April is part of the labour week and was commemorated as the World Day of Occupational Health and Safety. On this day, we commemorate the victims of work related accidents and diseases. 3.3 As we celebrate this year’s International Labour Day, let us pay homage to Uganda’s sons and daughters who have contributed greatly to the revival of our country. Medical 2, Hotel 1, Mines 2, Entertainment 2, printing 1,textile 1,electricity 1 among others. 2.0 COMMITMENTS BY GOVERNMENT Government is committed to: Provision of productive work opportunities, ensuring good wages to workers as the economy improves, Promoting security of tenure in workplaces, Promoting safety and health issues in workplaces, Expanding social protection coverage for workers and their families, Strengthening social dialogue between employees and employers, Elimination of all forms of child labour and combating trafficking of persons. 3.4 The Government of Uganda wishes to express its sincere appreciation to the social partners (Employers’ and workers’ organization, our development Partners, Civil Society Organisations, and Private Sector) who have been supportive and are continuing to support it in generating employment especially for our youth. 3.5 Finally, we wish all the workers of Uganda peaceful celebrations. We take this opportunity to invite everyone to the national celebrations in Kisoro District Local Government. The Ministry also requests all district officials in the rest of the Country to organize Labour Day Celebrations in their respective districts. FOR GOD AND MY COUNTRY THE SIGNIFICANCE OF THE LABOUR AND EMPLOYMENT SECTOR Uganda’s population has grown with the following pattern: 16,67m, (1991); to 35.63m, (2013) and currently, 36.6m, (2014). It is projected to grow to 37.91m in 2015. Uganda’s labour force is expected to reach 19m by 2015. The labour market will absorb 8.2m people by 2015.The policy conundrum however the inability of the economy to harness the population dividend is. Uganda’s labour force contributes enormously to economic development. The current wage bill both for the private sector and public sector workers has contributed to boost aggregate demand. Besides national earnings from both the private and public sector wage bills, Uganda’s labour has contributed to national capital accounts and current account through remittances from both abroad and overseas. This has supported both consumption and investment. Over 90% of Uganda’s exports are raw materials from extractive industries. The industrial sector is still largely informal producing low quality goods, characterized by deficiencies in technology and skills. There is need for regional labour and industrial technology competitiveness so as to harness the regional economic potential. The education system; rudimentary technology, nonconducive work environments and weak labour market information systems have delayed regional market penetration. This is not withstanding Uganda’s challenge regarding competence in Kiswahili language as a medium of communication in East and Central Africa. Uganda spent 0.41% of its GDP on Research and Development in 2009; while, correspondingly, Burundi spent a paltry 0.41% and 0.41% as well as 0.12% of its GDP on Research and Development in 2009, 2010 and 2011 respectively. This expenditure pales in comparison with the following countries: Australia, 2.38%, (2010); Brazil, 1.16%, (2010); Canada, 1.74%, (2011); Denmark, 3.09%, (2011); Israel, 4.39%, (2011); Japan, 3.26%, (2011); Netherlands, 2.04%, (2011); the United Kingdom, 1.77%, (2011) and the USA, 2.77%, (2011), Limited expenditure on research and development sequestrates imagination, creativity and innovation and hampers labour productivity, market access and penetration as well as revenues from hi-tech goods, works and services from lucrative regional, and international markets. As such Uganda continues to import more than it exports, creating a negative current account. Therefore, labour and employment are critical in economic development to wit: labour co-ordinates other factors of the production process and as such, it is the engine of economic growth and development; while on the other hand, employment avails house- hold incomes at both individual and household levels. This has a multiplier effect. This effect is demonstrated through forward and backward linkages. A worker consumes a good, work or service from a shop or, a factory or, any other enterprise. An enterprise then earns revenue; it pays taxes and employs others in a cyclical pattern. SOCIAL SECTOR DEVELOPMENT AND INVESTMENT PLAN LABOUR SECTOR RESOURSE ALLOCATION Medium Term (2012/13 - 2014/15 Department PercentValue (bn) age FY 2012/13 Percentage FY 2013/14 Value (bn) Percentage Community Mobilization and Empowerment 7.609 4.340 4.435 2.63 10.815 Mainstreaming Gender Rights and other Social development 7.755 4.423 4.462 1.697 6.979 6.6358 3.785 4.040 3.934 16.178 20.99 11.971 13.784 7.016 28.852 132.349 75.482 73.279 9.04 37.176 Promotion of Labour Productivity and Employment Policy, planning and Support Services Social Protection for Vulnerable Groups Total 100.000 100.000 LABOUR DAY SUPPLEMENT PS BIGIRIMANA GETS INDUSTRIAL COURT BACK TO ITS FEET AGGRIEVED EMPLOYEES URGED TO SEEK REDRESS By Frank Mugabi After 10years in abeyance, the Industrial Court of Uganda is finally back to its feet following the passionate effort of the recently transferred Permanent Secretary for the Ministry of Gender, Labour and Social Development, Pius Bigirimana. This comes as good news to all employees given the court’s mandate to arbitrate on labour disputes. Established by law under Section 7 of the Labour Disputes (Arbitration and Settlement) Act, 2006, the Industrial Court operates as an autonomous court under the Ministry of Gender, Labour and Social Development. According to the commissioner Labour, Industrial Relations and productivity, Patrick Okello, the nonefunctionality of the court had created a pile up of up to 2,013 unheard disputes. The cases originated from the civil division of the High Court, Ministry of Gender, KCCA, districts and Municipalities. “The huge case backlog, as you can expect, had resulted in unwarranted suffering of several aggrieved employees,” Okello said, adding that Bigirimana had shown interest in the matter upon his transfer until he worked out the court’s reinstatement. So far, the court has disposed off 20cases since its reactivation, which remains a drop in the ocean although a step in the right direction. Besides arbitrating on Labour disputes, the court also holds legal mandate to adjudicate upon questions of law and fact arising from references to it by any other law; and dispose of the labour disputes referred to it without undue delay. Currently headed by Justice Ruhinda Asaph Ntengye, the court is Pius Bigirimana Permanent Secretary, Ministry of Gender, Labour and Social Development. statutorily supposed to be led by five individuals, consisting of two judges – a chief judge and a judge of the High Court – as well as three panelists including a workers representative, an employers’ representative and an independent member. Justice Lillian Tumusiime Mugisha is the other judge at the court. The Industrial Court is fully constituted, and is located in Ntinda, a Kampala suburb. The Permanent Scretary Pius Bigirimana revealed that the court can hear an array of cases including; dismissal of workers who have been referred to the Industrial Court by the Minister, Commissioner Labour or Labour Officer; Trade disputes between employers/workers/trade unions which have been referred to the Industrial Court; Applications by any party bound by an Award or collective agreement for the interpretation / amendment / variation thereof; and Applications made by any party bound by an Award to refer to the High Court on questions of law. The court can also hear complaints of non- compliance of an Award or collective agreement; and cases of victimization in connection with trade union activities. Bigirimana explained that the court can have numerous contributions to the economy through enhancing equity, expeditious settlement of labour disputes and promotion of industrial peace and harmony which are a prerequisite for conducive business/employment. “Strikes and lock outs suffocate business and adversely affect employment/ job creation.” He noted. He said awards by the Industrial court are also a source of income/capital for investment. By saving and investing the proceeds from the court awards, the beneficiaries can be able to engage in business and employment creation. “The Industrial Court, which is the apex of the industrial relations machinery, plays a critical role in improving working conditions to achieve higher productivity as well as labour justice which are important in business/employment enhancement. With a productive labour force an enterprise will grow by creating new businesses and employment opportunities.” Bigirimana said. Patrick Okello The commissioner Labour, Industrial Relations and Productivity. wealth creation and employment for Uganda. The Court promotes acceptable labour standards. A system that, inter alia, permits rising standards in line with improvement in productivity and performance is crucial for business/employment. By promoting good industrial relations, the Industrial Court helps to create a sound, stable macroeconomic environment that attracts rising private and direct foreign investments. By so doing it contributes towards business and employment creation. Bigirimana called for further government support to ensure that the court functions to its full capacity and expeditiously disposes off the backlog cases. During the 7th Uganda Law Society annual rule of law symposium held in October last year, it was noted that in spite of the numerous laws and policies, many Ugandans still suffer workplace hardships due to an unfavourable work environment as enforcement and compliance to the policies and the legislation obtaining remains largely lacking. Furthermore, the industrial court protects the rights of both the employers and workers in the private sector. A growing private sector is an engine for business, It was also discussed and agreed that lawyers have an important role to play in championing decent labour as defenders of social and economic rights. It was He also noted that government can invest proceeds from taxes charged by the court, hence, creating business/employment. suggested that the government fund could facilitate legal representation for labour disputes, and that the existing pro bono efforts should be publicized. It was noted that a draft legal aid policy from Justice, Law and Order Sector (JLOS) was presented over two years ago and is still awaiting cabinet approval. The panel also raised the concern about employers having the advantage of hiring good lawyers who can champion their interests to the detriment of many employees in Uganda who are unable to afford a lawyer. The symposium held under the theme: “Labour Rights In Uganda: Making Decent Work A Reality” further noted with concern that Ugandan employers as a whole do not value labour and perceive fairly paid employees as a risk. The lawyers agreed to continue championing social justice, specifically by playing an instrumental role in defending labour rights.
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