SCHOOL OF LAW

COURSE UNIT : LABOUR LAW II

COURSE CODE : LLB 4207

YEAR : FOUR

SEMESTER : TWO

LECTURERS NAME : COUNSEL BABIRYE RESTY

GROUP 1
NAME REGISTRATION SIGNATURE
NUMBER

ASIIMWE DERRICK 2022-01-07637

NDYAMUHAKI NOBERT 2022-01-09362

TALEMWA GEORGE 2022-01-08278

MURUNGI WICKLIFF 2022-01-09422

KIYEMBA EDWARD 2022-01-07725

AHIMBISIBWE 2022-01-08703
INNOCENT

AMPIIRE SHINAH 2021-08-05194

BELLA

MUKHOMA ANDREW 2022-01-07960

Mwesigwa Japheth 2022-01-08000

1
 THE LAW ON WORKERS COMPENSATION
The first Ugandan law on line with Workers Compensation was Workmen’s
Compensation Ordinance No. 14/1946
The law later became the Workmen’s Compensation Act Chap 197 as amended by
Act 5 of 1969. This Act was replaced by the current Workers Compensation Act Cap
225 (Act No. 8 of 2000).
The change of title of the law from Workmen’s Compensation Act to Workers
Compensation Act was to make it more gender inclusive. The feminine pronoun was
absent in the entire legislation. The current law indicates both masculine and feminine
pronouns (he/she; her/his).
The worker’s compensation Act Cap 233 (effective 1st June 2024) governs the
worker’s compensation, stating that an employer is liable to pay compensation to an
employee for any personal injury by accident or scheduled disease arising out and in
the course of employment regardless of the fault.

Application of the act is provided for under Section 1 of the1 Inter Alia provides that
the act only applies to Employment in Uganda.

The rationale for Workers Compensation Act, “ is to provide compensation to

workers fr injuries suffered and scheduled diseases incurred in the course of their
employment.

The jurisdiction of Workers Compensation Act is stipulated under Under

Section 14(2)2, all claims for compensation under the Act unless determined by
agreement are determined by the Court.
Section 1(a)3 of the Act, prescribes the Court as the Magistrates Court established
under the Magistrates Court Act, presided over by a Chief Magistrate or a Magistrate
grade 1 having jurisdiction in the area where the accident to the worker has occurred.

1
Workers Compensation Act Cap 233
2
Ibid39
3
Ibid

2
In Boku Raphael obudia & Anor v Attorney General 4 Court held that jurisdiction
is a creature of statute, it can not be assumed even with conjsent of parties

His Lordship Wabwire J, in Komakech John v Muttico Technical Services5 the fact
that there is no reference to the Industrial Court, was clear indication that the "...
framers of the Workers Compensation Act did not intent for the Industrial Court to
preside over disputes relating to workplace injuries..." In the circumstances even if the
Industrial Court enjoys concurrent Jurisdiction with the High Court, it does not have
Jurisdiction to hear any matters about workplace injury or scheduled diseases incurred
at the workplace.

The same was reiterated by the industrial court in Ekodor Gabriel V Bidco Ug Ltd
Anr6 where it was further noted that the Indurial court established under S.6 of The
Labour disputes Arbitration And settlement Act Cap227, and its functions spelt out
therein under S.8 (1) b, & 8(2) do not confer unlimited jurisdiction to the Industrial
court, but rather jurisdiction to adjudicate and arbitrate disputes referred to it.

Liability of an employer

The liability of an Employer is well stupilated under Section 3 of the 7 provides that
If personal injury by accident arises out of and in the course of a worker’s
employment, the injured worker’s employer shall be liable to pay compensation in
accordance with the act.

Second schedule, provides the types of diseases that amount to scheduled diseases.

What amounts to an injury in the course of employment has been a subject on

interpretation by courts of law in regard to this provision, according to R v Industrial
injuries Commission Ex.P.AEU8 an act is done in the course of employment not only
when one is doing what he is employed to do but also when he is doing something for
purpose of his own which is reasonably incidental to his employment.
4
CONSTITUTIONAL APPEAL NO.1 OF 2003
5
Limited Labour Dispute No. 7 of 2024
6
Labour Dispute Reference No. 01 Of 2024
7
Supra
8
(1966) 2 QB 31

3
However an employer shall not be liable to compensate an employer under
9
Section 3 (2) of the where an injury which does not either result in permanent
incapacity or incapacitate the worker for at least three (3) consecutive days from
earning full wages at the work at which he or she was employed.

Section 3(3) of the 10 an employer shall not compensate for injuries sustained when a
worker acts to protect any person on the employer’s premises.

11
Section 3(4) of the injuries sustained by accident arising when the employee is
directly travelling from his or her work for the purpose of employment, shall be
deemed to be obtained out of employment.

Section 3(5) of the 12 one who suffers injuries from an accident while travelling from
his or her employment has to provide evidence that such a travel was direct.
13
Section 3 (6) of the Compensation shall be payable under this section whether or
not the incapacity or death of the worker was due to the recklessness or negligence of
the worker or otherwise.
In the case of Century Insurance co. V Northern Read Transport Board Court
held that compensation whether or not incapacity or death of the worker is due to his
Negligence or recklessness.
Section 3(8)of the 14 Compensation in cases of permanent incapacity or death shall, in
principle, be paid in the form of periodic payments; otherwise, they may be awarded
in lump sums as provided under this Act.

Types of injuries

1. Fatal injuries
15
Section 4(1) of the where the deceased leaves any family members who are
dependent compensation shall be a sum equal to sixty time’s his or her monthly
earnings.
9
Ibid
10
Supra
11
Workers Compensation Act Cap 233
12
Ibid
13
Ibid
14
Supra
15
Ibid

4
 16
Section 4 (2) of the where the deceased does not leave family members who are
dependants on his or her earning, the employer shall pay medical expenses provided
and and the burial expenses of the deceased.

17
Section 4(5) of the Where an injury results in the death of a worker, any
compensation payable under the Act shall be paid to the labour commissioner who, in
consultation with the Administrator General, will pay it to the beneficiaries according
to the degree of dependence of the survivors to the deceased.

18
Section 4 (6) of the If the worker is killed as a result of an accident for which
the employer has liability under the Act, the dependents (if any) of the deceased may
recover from the employer the expenses of medical treatment of the deceased, burial
of the deceased and expenses incidental to the medical treatment and burial of the
deceased.

Section 8(1) and (2)19 are specifically on the computation of the compensation and are
to the effect that the monthly earnings of a worker shall be computed in a manner best
calculated to give the rate per month at which the worker has been remunerated
during the twelve months immediately preceding the accident, and the computation of
annual earnings shall be a multiple of twelve of that sum.
For instance in Flavia Kyomuhendo Musiitwa (widow and administratrix of the
estate of the late Dr Musiitwa Mugwanya) V Kiboga District Local Government 20
The deceased’s appointment letter as District Heath officer of Kiboga District was
showing that the deceased was earning a monthly salary of 4,600,062. In accordance
with section 8, it thus showed that the salary had to be multiplied 60 times; thus a
mathematical calculation shows that the compensation for the deceased was UGX
276,003,720, which was duly granted by the court.

That is to say;
Compensation=monthly salary*60
16
Supra
17
Workers Compensation Act Cap 233
18
Ibid 12
19
Ibid
20
HCT-23-LD-CS-48 OF 2024.

5
 =UGX 4,600,062*60
Compensation=UGX276,003,720.

Permanent total incapacity

21
Section 5 (1) of the except where a higher compensation is provided for, where
permanent total incapacity results from any injury, the amount of compensation shall
be a sum equal to sixty months’ earnings.

In the case of Wekesa John Patrick v AG22, Justice Steven Musota noted that “at the
moment the plaintiff is almost incapacitated by a permanent disability of 80% as
revealed by the medical report.... this disability is high because his body requires
external aid to function”. Court thus found an award of UGX 120,000,000/- to the
plaintiff as reasonable alongside other damages and compensation.

Permanent partial incapacity

23
Section 6 (1) (a) of the Where permanent partial incapacity results from
the injury, the amount of compensation shall be in the case of an injury specified in
the Second Schedule to this Act, such percentage of sixty times the workers’
monthly earnings as is specified in that Schedule as being the percentage of the loss of
earning capacity caused by that injury.

And In the case of an injury not specified in the Second Schedule to this Act, such
percentage of sixty times the workers’ monthly earnings as is proportionate to the loss
of earning capacity permanently caused by the injury.

For example an employee operating a machine at a refinery and earning a monthly

salary of 600,000 lost four fingers. What would be the compensation for the
incapacity caused?
Schedule 3 of the Act, assesses the loss of four fingers to amount to 35% permanent
incapacity.
21
Supra 12
22
Civil Suit No. 130 of 2008
23
Supra 12

6
Thus in accordance with S6(1)(a);
Compensation =35%of 60*(Workers monthly earning)
=35/100*(60*600,000)
Compensation =12,600,000.

Temporary incapacity

Section 7 of the 24 where temporary incapacity, whether total or partial, results from
the injury, the compensation shall be either a lump sum or periodic payments as
the court may order, having regard to the circumstances in which the accident took
place, the probable duration of the incapacity of the worker, the injuries suffered by
the worker and the financial consequences for the worker and his or her dependents.

However there considerations to temporary incapacity and these are ;-

 Circumstances in which the accident took place.
 Probable duration of the incapacity ( time that the employee is going to take with
out going to work).
 Injuries suffered by the worker.
 Financies consequences for the worker on his or her dependents.

In the case of Wekesa John Patrick v AG25 “court noted that the plaintiff suffered and
sustained serious injuries namely: - Amputated right hand fourth finger and third left
hand finger, fractured and permanent paralysis of the upper jaw, the three left hand
fingers were cut off and only joined by metals and have remained paralyzed
permanently. Two other fingers have also remained paralyzed, the plaintiff suffered
head and back injuries, his salivary glands and duct were severed and one gland was
removed, plus permanently having to be on antibiotics and sedatives”. Judgment was
thus entered for the assessed 72,480,000/- as workers compensation plus an award of
UgX 120,000,000/- as reasonable general damages.

24
Ibid 12
25
Civil Suit No. 130 of 2008

7
 26
Section 7(2) of the inter alia provides that the period of temporary incapacity
shouldn’t exceed 98 months however the period might exceed 98 months on the
opinion of a medical practitioner.

Procedure for compensation

 Notification of the Accident. Compensation may not be payable unless notice

of the accident has been given to the employer with in one month or within three
months after the symptoms.

27
According to section 9 (1) of the Compensation may not be payable under the Act
unless notice of the accident has been given to the employer by or on behalf of
the worker as soon as is reasonably practicable, and in any case within one month
after the date when the accident occurred or within three months after the date the
symptoms of the occupational disease became apparent

but no notice is required where it is shown that the employer was aware of the
accident or disease at or about the time it occurred or at the time when the symptoms
became evident, or for any reasonable cause

The employees are required to use a prescribed form when notifying the employer
provided for under the Workers Compensation Regulations (R. 2 & First Schedule
of the Regulations)

 Notification by the employer to labour officer. After the happening of the

accident the employer shall at once report the accident by any of the reasonable
means to the labour officer of the Area.

According to Section 10 of the 28 after the happening of an accident causing injury to

a worker of such a nature as would entitle him or her to compensation under the Act,
the employer shall, at once, report the accident either by telephone, telegram, telefax
or telex or any other reasonable means to the labour officer of the area.
26
Supra 12
27
Workers Compensation Act Cap 233
28
Ibid 18

8
Also where there is the death of the worker the employer should also notify the labour
officer of the area as soon as practicable as provided under subsection 2 of section 10
of the Workers Compensation Act.

And any employer how fails to comply with section 10 (2) commits an offence.

The employers are required to use a prescribed form when notifying the labour officer
provided for under the Workers Compensation Regulations (R. 3, First Schedule of
the Regulations, Form II).

 Medical Examination and Treatment. In situations here the worker has given a
notice of an accident to the employer, the employer shall as soon as reasonably
possible have the worker medically examined by the a qualified medical
practitioner at no charge .

According to Section 11 of the 29 provides that where a worker has given notice of an
accident, the employer shall, as soon as reasonably possible after the date on which
notice has been given, arrange to have the worker medically examined by a
qualified medical practitioner, at no charge to the worker.

However during the period of temporary total incapacity, the employer shall be liable
to pay the costs of medical care as provided for under section 11 (4) of the Workers
Compasation Act.

In the case of Nile Breweries Ltd v. Isabirye David Miscellenous 30 court while
interpreting several sections of the Workers Compensation Act relating to the powers
of the labour officer under Act noted that in case of a disagreement as to what
compensation is payable the dispute is resolved by a Medical Arbitration Board as per
section 13 of the same Act on reference made by the Labour officer.

29
Supra 18
30
Application No. 130 of 2020 (UGIC)

9
 Agreement as to compensation. The employer and the worker may with the
written Approval of the labour officer agree to compensation to be paid in respect
of the injury.

31
According to Section 12 of the the employer and the worker may, with the written
approval of the labour officer, agree that compensation be paid in respect of
an injury which would otherwise give rise to a claim under the Act.

But for there to be a compensation Agreement there should be the following

requirements, namely;-

 the compensation agreed upon shall not be less than the amount payable under the
Act, and
 it shall be for the employer to show that the worker was able to understand the
terms of the agreement.

However the Court may, on the application by any party within three (3) months after
the date of the agreement, cancel it and make such order as it thinks just, if the court is
satisfied—

 that the sum paid or to be paid was less than required under Section 12.
 that the agreement was entered into in ignorance of, or under a mistake as to the
true nature of the injury; or
 that the agreement was obtained by fraud, trickery or the use of undue influence
or other improper means.

32
Section 13 of the provides that if the final assessment of disability made by
a medical practitioner after a medical examination, made in accordance with section
11, is disputed by the employer or the worker, the employer or the worker may apply
to the labour officer to request that the dispute be referred to the medical arbitration
board.

31
Workers Compensation Act Cap 233
32
Ibid 21

10
The application for referral shall be made within a reasonable time from the date of
receipt of the notice of final assessment.

The decision of the medical arbitration board on the matter shall be final unless a
party aggrieved by the decision goes to court.

An employee can apply to court for compensation if no agreement is reached.

Section 14 of the 33 provides that if any employer on whom notice of the accident has
been served under section 9 does not, within (21) twenty-one days after the receipt of
the notice, agree in writing with the worker as to the amount of compensation to be
paid, the worker may, in the prescribed form and manner, make an application for
enforcing a claim to compensation to the court having jurisdiction in the district in
which the accident giving rise to the claim occurred.

All claims for compensation under the Act, unless determined by agreement, and any
matter, except disputes as to the assessment of disability under section 13, arising out
of proceedings under this Act shall be determined by the court, whatever may be the
amount involved.

Section 16 of the 34 inter alia provides that an appeal shall lie to the High Court from
any order of the court.

Except with the leave of the court or of the High Court, no appeal shall lie if the
amount in dispute is less than one currency point.

Leave shall not be granted under subsection (1) unless in the opinion of the court or of
the High Court a substantial question of law is involved in the appeal.

No appeal shall lie in any case in which the parties have agreed to abide by the
decision of the court, or in which the order of the court gives effect to an agreement of
the parties.

33
Workers Compensation Act, Cap 233
34
Ibid 23

11
No appeal shall lie after the expiration of thirty days from the date of the order of
the court, except that the High Court may extend the time for appealing under this
section even if the time for appealing has elapsed.
Therefore court held in the case of Nile BREWERIES LTD v ISABIRYE DAVID 35
in this case court interpreted several sections of the workers compensation relating to
a power of a labour officer under the Workers Compensation Act and it held that the
labour officer is not empowered under the Act to entertain claims and thus a decision
of the injuries sustained was void.
As all claims unless determined by Agreement shall be determined by Court.
SCHEDULED DISEASES/ OCCUPATIONAL DISEASES
Section 27(1)(a)36 makes provision for a medical practitioner to grant a certificate
stating that a worker is suffering from a scheduled disease causing disablement or that
the death of a worker was caused by any scheduled disease.
Section 27(1) (b) of the same Act is to the effect that an employer is liable for the
compensation of the employee who suffers from a scheduled disease which manifests
within 24 months immediately prior to the illness or death or due to the course of
employment.
These are compensable in the same way as injury suffered in course of employment.
The occupational disease should have caused disability or death. Broadly speaking, it
should be contracted within 24 months after the previous employment.
However, one can claim compensation for occupational disease after several years of
employment of it can be connected to the employment.
Section 2837 imposes a duty on the employer to report about the disease immediately
upon grant of a certificate by medical practitioner and under Section 2938 liability lies
on a person who last employed the person for the last 24 months unless it is shown
otherwise.

In fixing the dates for the occupational diseases, Section 30(1)39 read together with
Section 27 provides the date to be that indicated in the certificate issued by the
medical practitioner, or the date when death of the worker occurs.
35
MISC. APPL. NO. 130 OF 2020
36
The Workers Compensation Act Cap 233
37
Ibid32
38
Ibid
39
Ibid

12
Under Section 30(2)40 provides that the recovery of compensation arising out of
occupational diseases shall take a similar for of notification as for injury sustained in
an accident in S.9 whereby the employee must notify the employer howver no such
notification is due if its shown that the employer is aware of the disease or death in
Flavia Kyomuhendo Musiitwa (widow and administratrix of the estate of the late Dr
Musiitwa Mugwanya) V Kiboga District Local Government41 a report of the
deceased’s death compiled at the request of the Chief administrative officer was held
to amount to the employer (Kiboga District Local Government) to have been aware of
the death which dispensed with the necessity of the notice under section 9.

In Section 30(3)42 the computation of the worker’s compensation claims shall take the
form best calculated to give a monthly earning rate and this shall be recoverable from
an employer who was liable for the worker’s remuneration.
In situations where recovery of compensation comes at the time when the worker has
already left the workplace or the worker is out of job. Here the date and rates he or
she last worked for shall be what is used to calculate their earnings as per Section
30(4)43

This Second Schedule to the Act provides for scheduled diseases, their description or
injury and the nature of occupation they might arise. These diseases may be acute,
sub-acute or chronic poisoning due to metals or their compounds and due to other
chemicals. It also includes allergies, dust induced lung diseases, infections and
infestations, physical and mechanical agent effects, cancers and neoplasms among
other diseases. Under S.32, a minister can amend to include or remove diseases.

CAUSATION UNDER THE WORKERS COMPENSATION ACT

Causation refers to the legal requirement that an injury or disease must have been
caused by work-related activities for an employee to receive compensation.
Injury or Disease Must Arise “Out of and In the Course of Employment”

40
Ibid
41
HCT-23-LD-CS-48 OF 2024
42
The Workers Compensation Act Cap 233
43
The Workers Compensation Act Cap 233

13
The injury must be linked to the worker’s job duties; For example, a construction
worker injured by falling debris while on-site would meet this requirement. If an
employee gets into a car accident while running a personal errand during work hours,
it may not be compensable.

The “But For” Test; the injury must not have occurred but for the employment.
Example: If a worker is exposed to toxic chemicals at work and later develops lung
disease, causation is established.

Pre-Existing Conditions; if a worker had a pre-existing condition, compensation is

only granted if work significantly worsened that condition.
For example if a factory worker with mild asthma develops chronic lung disease due
to chemical exposure, causation is satisfied.
For example if a factory worker with mild asthma develops chronic lung disease due
to chemical exposure, causation is satisfied

Burden of Proof lies on the employee to show that the injury is work-related

PRESUMPTIONS IN WORKERS COMPENSATION

Section 3144 gives a presumption as to the cause of an occupational disease or
disablement to be that where the worker was employed within the 24 months prior to
the disablement or death unless the contrary is proven.

Section 4(4)45 the presumption is that a worker has dependents unless the local
authority of the home area of the deceased states otherwise.

Section 3(7)46 presupposes that any accident that arises in the course of employment
shall unless or otherwise be presumed to arise out of employment.

44
The Workers Compensation Act Cap 233
45
Ibid44
46
Ibid

14
Section14 (1)47, there is a general presumption in the Act that the employer and
employee are expected to meet and agree on the compensation. The Act gives them a
chance of 21 days to discuss the issue of compensation.

REMEDIES OF THE WORKER

Compensation Damages under section 1748 of the Act

Burial expense in cases of fatal injuries, medical expenses of the deceased prior to the
death and expenses incidental to the medical treatment and burial of the deceased as
provided for under Section 4(6)49

Medical expenses during the period of temporary total incapacity as provided under
Section 11(4)50

Compensation, which is usually paid to the worker in case of non-fatal injuries under
sections 5,6 and 751 which are calculated in accordance with the dictates of S.8.

Appeal, in the event that one is not satisfied with a decision of the court, Section 1652
gives the worker the right of appeal.

DEFENSES AVAILABLE FOR THE EMPLOYER

Limitation of time under section 353, which provides that civil suits must be brought
within 6 years from the date the cause of action giving rise to the action arose.

Voluntary assumption of risk volenti non fit injuria

This defence is available to an employer who can prove that the employee aware of
the risk still voluntarily assumed the risk by continuing to work in dangerous
conditions however, it’s important to note that a mere awareness of the danger,
doesn’t mean a person consents to the risk.

47
Ibid
48
The Workers Compensation Act Cap 233
49
Ibid48
50
Ibid
51
Ibid
52
Ibid
53
The limitation Act Cap 290

15
Non-compliance with statutory need for notice of accident to the employer
Section 954 instructs notice of the accident to been given to the employer by or on
behalf of the worker as soon as is reasonably practicable and in any case within one
month after the date the accident occurred or within 3 months after the date the
symptoms of the disease became apparent and in default compensation may not be
payable. However no such notice is required if the employer was aware of the disease
or accident.
Thus an employer can raise a defence noting that no such notice was brought to its
attention.

Contributory negligence
A plaintiff’s or workers lack of reasonable care can bar recovery or reduce on the
amount receivable if it is proven on the part of the employee some sort of negligence
during the course of employment subsequently leading to the impugned injury.

Travel indirect to place of employment;

Section 3(4)55 provides that a personal injury by accident while the employee is
travelling directly to or from his or her place of work for the purpose of employment
shall be deemed to be an accident arising out of and in the course of employment,
however this is subject to the employee travelling to or from his or her work to show
that such travel was direct. Thus the employer can raise the defence that such travel
that caused the employee an accident was not direct to the workplace.

Employer’s Defense against Causation Claims. Employers may argue that the injury
was not work-related or that the employee’s lifestyle or external factors were the
primary cause. For example: If a worker develops back pain but medical reports show
it was caused by a long-standing spinal condition unrelated to work, the employer
may contest compensation.

Disease contracted while worker was in the employment of another person.

The employer can raise a defence to the effect that the disease was contracted while
the worker was in the employment of another employer. Section 29 (3)56 allows such
54
The Workers Compensation Act Cap 233
55
The Workers Compensation Act Cap 233
56
Ibid55

16
employer to join the other employer to such proceedings and if the allegation is
proved, the other employer shall be the employer from which compensation is
recoverable.

17