The Independent Uganda: You get the Truth we Pay the Price
Kampala, Uganda | THE INDEPENDENT | Felix Okot Ogong, the Dokolo South County Member of parliament and Managing Director Feslistar bus services is on the spot for non-remittance of NSSF contributions for his former employee.
Yunus Kiggundu, the chairperson of United Bus Drivers Association Uganda, who worked for the company for over 21 years made the claims while appearing before the Physical Infrastructure Committee of Parliament on Tuesday to submit his views on the Traffic and Road Safety Amendment Bill, 2019.
He told the Committee chaired by the Nakifuma County MP Robert Ssekitoleko that the Bus Company, which operates on the Kampala-Apac route, breached provisions of the law which require employers to remit savings to NSSF every month, as saving for their employee’s retirement. Employers are mandated to make a 10 percent contribution to NSSF in addition to the 5 per cent deducted from their worker’s salaries.
Kiggundu pleaded with the committee to consider the welfare of bus drivers like him who grapple with low pay among other issues that may hamper traffic and road safety.
He explained that most bus companies also don’t make contributions to NSSF yet they employ more than five workers and drivers. Kiggundu noted that he will soon turn 60, but will not have any retirement benefits despite spending more than 21 years with Felistar Bus Services.
Okot has since confirmed to Uganda Radio Network that the company doesn’t make contributions to NSSF because it pays daily wages and not salaries. He explains that his company pays 70,000 Shillings as a daily wage to drivers, which he says is higher than the average of shillings 40,000 paid by other companies.
He added that Kiggundu is deceiving MPs that he was given low wages, which he says amounted to 2.1 million shillings a month. Okot argues that Kiggundu could also have saved with NSSF as a voluntary member.
The NSSF spokesperson, Sharon Nabweteme, says Kiggundu should cross-check with NSSF offices or website to ascertain what is on his account by getting a statement. She adds that NSSF can only act when a formal complaint has been filed and where it is found that an employer has breached the NSSF Act.
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