After voting in Rwanda and Kenya, it is time for Uganda to raise wages

Amuge, not real name, is a single mother with two lovely children, who works with a security company in Kampala. Her cry in life, and she literally gets moments to cry, is that her efforts will enable the children get something better than she inherited from the circumstances that defined her life. Sadly, her salary comes late and is not sufficient to cover the basics of life like food, rent, medical bills and school fees. She is a “working poor.”

Her male colleague, Zinda, not real name either, is in a slightly better and worse position. Better since he can work extra hours at night to double his salary, but worse because he has no time to rest, be with his family, is more likely to die early and still remains a working poor. My choice of names, Amuge and Zinda, was to include millions of Ugandans between A and Z, who work so hard but earn so little that they cannot meet the basics of life with any degree of comfort. The recent cases by those who deal with criminal cases in the Judiciary, along with teachers from primary schools to universities, is an indicator that the matter of inadequate salaries has reached levels where any government, elected or otherwise, should take heed. I will only present two of the many reasons.

First, employees are human beings and not just a human resource. Apart from work, employees are consumers who create a domestic market and, most importantly, use wage income to nurture and raise the next generation of humanity. Human beings are the greatest asset to any country and their quality of life and being should be of ultimate concern.

Millions of Ugandans rely on wage income to improve their quality of life through good nutrition, health, education, as well as making investments in housing and other productive businesses. It is, therefore, wrong and prehistoric economics for anyone to argue that payment of wages is consumptive expenditure that undermines government investments. Even the giants like China and Japan have always invested in human beings to drive other forms of wealth. Unlike the egg and chicken story, we all know that James Watt and Albert Einstein preceded the steam engine and nuclear bomb respectively. The household remains the foundation for early and continuous human and economic development.

Second, from the foregoing, we see that paying favourable wages is not about doing employees a favour. It is simply good economics and the right thing to do. It increases taxable incomes and immediately raises tax revenues, stimulates consumption that is a major incentive to investors, reduces stress on citizens and gives them time to think more critically about life. It is a game changer with many positive ripple effects across the economy. Can we afford to increase wages with the current economic woes? Yes we can. While it is good to be visionary and adore the green grass across the valley, the vital thing in bad situations is to deal with the hissing snake beneath your feet.

At the start of the guerilla war in 1981, focus was not on multiple rocket launchers and fighter planes, but on the basics such as light guns, hand grenades, bullets and most importantly, recruitment and training of human beings.
Today, Uganda has one of the most successful armies on the planet. Yes, we can reduce the thrust on infrastructure, trim government, annihilate corruption and raise money for better wages, which will create a stimulus that will eventually deliver the economy Ugandans desire and deserve.

Dr Muhumuza is a development policy analyst committed to inclusive growth.
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