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Uganda launches taskforce to overhaul workers' compensation system

The review will examine how to better protect injured workers and their families from delays and employer insolvency under current rules.

Uganda's Ministry of Gender, Labour and Social Development has established a taskforce to review the country's workers' compensation system and develop reform proposals, including the possible creation of a National Workers' Compensation Fund. Minister of State for Labour, Employment and Industrial Relations Simon Mulongo inaugurated the committee at ministry headquarters, citing widespread problems with the existing framework. Under the Workers Compensation Act (Chapter 233), employers hold primary responsibility for compensating workers injured during employment, but Mulongo said delayed claims, employer insolvency and uneven enforcement prevent many injured workers and their families from receiving timely support.

Mulongo emphasised that economic transformation and industrial growth must be accompanied by social protection systems capable of safeguarding workers against occupational injuries. "The risks arising from productive employment must not be transferred disproportionately to injured workers and their families," he said, adding that legal provisions must translate into practical protection. He stressed that a right that cannot be realised offers incomplete justice. Uganda is also bound by International Labour Organization Convention No. 17, the Workmen's Compensation (Accidents) Convention, 1925, which provides for periodical payments in cases of permanent incapacity or death and addresses the security of compensation benefits where an employer or insurer becomes insolvent.

The taskforce brings together technical experts and representatives from the ministries of Finance, Health, Public Service and Local Government, the Attorney General's Chambers, the National Planning Authority and the Uganda Retirement Benefits Regulatory Authority, alongside workers' representatives. The committee is expected to undertake diagnostic assessments, examine actuarial financing options, propose benefit structures and governance arrangements, and develop draft legislative proposals to guide reforms. It will also consider emerging occupational hazards, including heat exposure and risks associated with new production technologies.

Mulongo cited experiences from other African countries as possible reference points. Tanzania established its Workers Compensation Fund under the Workers Compensation Act, 2008, with operations commencing in 2015, pooling contributions and providing compensation and related support to workers affected by occupational injuries and diseases. South Africa operates a compensation framework under the Compensation for Occupational Injuries and Diseases Act, while Zambia also has a dedicated workers' compensation framework. However, Mulongo cautioned against simply importing foreign models, saying Uganda must develop a system suited to its own circumstances, with sustainable financing and accessible administration across the country.

Mulongo also stressed that compensation reforms should not undermine efforts to prevent workplace injuries. "We should never allow compensation to become a substitute for workplace safety," he said, urging the taskforce to consider both reliable benefits and measures to reduce preventable injuries. The committee will submit evidence-based recommendations to inform Cabinet decisions on reforms intended to strengthen workers' protection and provide greater financial security for families affected by workplace injuries.