In Uganda, recent developments and procedures concerning employment, informal workers, and refugees reflect ongoing challenges and efforts aimed at improving economic conditions and social protection.
Employment and Informal Workers
1. Informal Sector Dominance: The informal sector is a significant part of Uganda's economy, contributing over 50% of GDP and accounting for about 91% of non-farm employment. A large proportion of these workers are young people aged between 18 and 30.
2. Formalization Efforts: The Ugandan government is working to reduce the informal sector's share of the economy from 51% in 2018/19 to 45% by 2024/25. This involves promoting the formalization of businesses to increase tax compliance and enhance business growth. Initiatives include the implementation of the Electronic Fiscal Reporting Integrated System (EFRIS) and providing benefits such as VAT refunds to formalized businesses.
3. Social Protection: Limited access to contributory social security for informal workers remains a concern. Efforts are being made to extend coverage and facilitate formalization through comprehensive social security strategies.
Refugees
1. Economic Participation: Uganda hosts over 1.6 million refugees, primarily from South Sudan, the Democratic Republic of Congo, and other neighboring countries. However, the labor force participation rate for refugees is lower compared to the general population, with a high unemployment rate of 72%. Most refugees who are employed work in casual, low-paying jobs in the agricultural sector.
2. Barriers to Employment: Refugees face multiple barriers to formal employment, including lack of knowledge about rights and regulatory procedures, inadequate access to infrastructure and social services, and language barriers. Additionally, obtaining work permits can be challenging due to missing documentation.
3. Support Programs: Programs like the PLAVU and REBUILD’s PROSPECTS aim to address these challenges by assessing and improving working conditions and reducing informality among refugees. This involves multi-stakeholder engagements to develop practical solutions, such as capacity-building, social dialogue, and public-private partnerships.
Strategic Initiatives
1. Policy and Legal Frameworks: The Ugandan government has been updating its employment laws to improve conditions for all workers, including refugees. This includes the Employment Amendment Bill 2022, which seeks to address gaps in the recognition and protection of refugee workers.
2. Integrated Support Packages: Proposals include providing integrated support packages that combine financial and non-financial business development services, aimed at encouraging the formalization of small businesses and improving access to public procurement opportunities.
These efforts illustrate Uganda's commitment to enhancing economic opportunities and protections for both informal workers and refugees, despite the significant challenges that remain.