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Igara Tea Factory workers strike over salary arrears, unremitted NSSF contributions

BUSHENYI, March 22, 2026 — Operations at Igara Growers Tea Factory in Bushenyi have ground to a halt after workers laid down their tools in protest over four months of unpaid salaries and alleged unremitted National Social Security Fund [NSSF] contributions amounting to Shs 1.6 billion.

The industrial action comes as the factory, located in Kyamuhunga, faces deepening leadership wrangles, mounting debt and a severe shortage of working capital, threatening its survival and disrupting the region’s tea supply chain.

Rival factions are reportedly battling for control of the factory, a situation that has discouraged many shareholders and farmers from supplying green leaf, further weakening production.

Willis Bashasha, who heads an interim board formed by disgruntled tea farmers, said the crisis escalated after farmers who resumed supplying tea leaves were not paid.

“When we met last year, we unanimously resolved to rally farmers to resume supplying leaf to the factory because the challenge then was low business and lack of leaf. The farmers responded positively and brought the leaf, but to our shock, they have never been paid,” Bashasha said.

On Monday, the factory floor fell silent as hundreds of workers staged a sit-down strike, bringing operations to a standstill at the facility, which was established in the 1970s.

The workers, who say they have not been paid since November last year, described the devastating impact of the salary arrears on their lives. Some said they had been evicted by landlords, while others said their children had remained at home since the start of the school term because of unpaid school fees.

Joseph Barugahare, an employee at the factory, questioned why tea continued to be loaded for sale while management claimed there was no money to pay workers.

“Landlords have chased us out and banks are taking our property. We do not know what to do any more,” Barugahare said.

The dispute extends beyond salary arrears. Paddy Twesigaomwe, the trade secretary in charge of the tea sector, said the factory had failed to remit workers’ NSSF contributions since 2022, with the outstanding amount now exceeding Shs 1.6 billion.

“Workers are losing hope. We have given management and the board a 14-day ultimatum to meet and provide a clear roadmap for payment,” Twesigaomwe said.

The strike has also drawn support from senior staff. Dickson Tumukunde, an IT officer from the Buhweju branch, said the factory had lost its credibility and direction.

“Management does not know what to do in terms of decision-making. We have loans and banks are after us. We call upon the government to intervene immediately,” he said.

Bushenyi District Labour Officer Loyce Atukwasa confirmed that a meeting between management and workers had failed to produce any immediate financial relief.

“It is very unfortunate because it violates employment laws. Management says there is no money at the moment,” Atukwasa said.

She added that, with no green leaf currently being processed, the next step would be a high-level meeting with the board of directors within the next two weeks.

The unrest is also beginning to take on a political dimension, with some workers accusing local leaders of remaining silent despite the factory’s worsening crisis.

“We are in a lot of pain. Our children did not even get their third-term reports last year because of unpaid fees. We have leaders like the Deputy Speaker and Minister Raphael Magyezi in this region, but they only come to us during elections. When we are in danger like this, they are nowhere to be seen,” said Franco Turyahabwe, one of the workers.

Turyahabwe said the absence of a substantive board had worsened the impasse, leaving workers uncertain about the future of the factory.

“We currently do not have a substantive board. Elections were halted because of the conflicting factions seeking top positions. Since October 2025, we have never received any further communication. Now we are asking: what awaits Igara Tea Factory?” he said.

As the crisis deepens, security and local authorities remain on alert as workers, farmers and the wider community await a response from the factory’s central leadership.

https://thecooperator.news/bushenyi-tea-farmers-form-cooperative-union-to-strengthen-collective-voice/

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