The minister of gender, labor, and social development, Hon Betty Amongi has today launched a key initiative aimed at scaling up compliance and expanding social security contributions among companies contracted by UNRA to undertake road construction. In her speech, The minister noted the urgent need for change in the labor market to secure a better future for the country’s young population.
She applauded the UNRA- NSSF partnership as key since UNRA spends over 2 trillion on contracts executed by private construction companies who employ Ugandans, yet currently these construction companies are remitting only 40% of the social security contributions for their workers. She opened that such initiatives will be scaled up to other government MDAs.
The minister asserted that currently, there exist labor-capital conflicts resulting in the exploitation of workers. She stressed the importance of establishing a fair income distribution between labor and capital, aiming to increase the proportion of workers’ income in the national income distribution.
The minister highlighted the challenges faced by Uganda, including disguised unemployment, workers without contracts, and exploitation of workers with many working without contacts.
The A.G. MD Mr. Patrick Ayota presented a comprehensive plan to accelerate social protection based on the NSSF amendment act with the primary objectives being to expand coverage and increase compliance. The national social security fund (NSSF)was tasked with raising membership of contributions and enduring a larger proportion of workers were covered.
The minister urged all stakeholders and employers to comply with the law and to integrate all the aspects of social protection coverage such as health care, maternity protection, unemployment support, and retirement benefits.