Work and Wages
Minimum Wage
The Ministry of Public Service and Labour (MIFOTRA) sets industry-specific minimum wages in the small formal sector. An Order of the Minister for Labour determines the minimum guaranteed wage (MGW) for different categories of work. However, consultations with relevant social actors (employers and employees) are necessary before an order is issued.
Monthly salary is determined by taking into account commissions, allowances or various benefits or representative allowances of these benefits. Payment for annual leave, notice period and damages is calculated on the basis of this salary by making the average of the last twelve months the worker worked for.
If a worker has to travel professionally, outside his/her workplace, he/she is entitled to the transport, per diem and accommodation fees prior to travelling.
Compliance with the provisions of Labour Code including minimum wages is ensured by the Labour Inspectorate. There are labour inspectors in every district. An employee can consult a labour inspector if he/she is paid less than the required minimum wage, and if unsatisfied, he/she can be referred to MIFOTRA.
Source: §3, 66, 68, 71 & 113 of the Law regulating Labour in Rwanda, 2018 (No. 66/2018)
For updated minimum wage rates, please refer to the section on minimum wage.
Regular Pay
In accordance with the Labour Code, the salary is the price for the work done. Salary is not paid in the event of absence from work unless agreed upon between the concerned parties or in cases provided under the law. The Labour Law obliges employers to pay workers their due salaries in a timely manner.
Wages must be paid regularly and in legal tender (Rwandan franc). Wage period or interval must not exceed:
- one day for a worker hired on an hourly or daily basis;
- a week or fortnight for a worker hired on a weekly or fortnightly basis; and
- a month for a worker hired on a monthly basis.
The 2009 law required that wages must be paid within 7 days of the end of the wage period, except for daily workers who must be paid every day. However, the 2018 law does not include such provisions, which might be added to the forthcoming ministerial orders. Instead of being paid in cash, salaries are paid through accounts maintained by the worker in a bank or any other financial institution. On termination, employers pay the salary and other indemnities soon after the expiry of the notice period.
An employer should provide pay slips upon a worker’s request, showing the calculation of wages along with items including basic salary, other various allowances and bonuses, withholding taxes and the net salary.
An employer is not allowed to deduct or seize the worker’s salary or fine a worker, except in case of suspension as a disciplinary measure. The worker receives the salary for the number of days he/she has worked. Salary can be deducted according to the provisions of collective agreement or work contract between the employer and the worker. Salary may also be deducted by attachment, execution of a court order, for payment of an advance (loan) given by the employer, or voluntary transfer, but the total deductions may not exceed half (50%) of the worker’s salary. Under the 2009 law, the overall deductions could not exceed one-third (33%) of the worker’s salary. In case of illegal deduction, the worker is entitled to the interest for his/her benefit at the average rate determined by the Central Bank of Rwanda. Interest is computed from the date the worker should have been paid the illegally deducted salary.
When a salary is deducted in contravention of the law, the employee is entitled to interest in accordance with the law, starting on the date on which the employee was supposed to be paid.
Any 13th-month salary, performance bonus or similar payments in Rwanda arise only from individual employment contracts, company policies, or collective bargaining agreements (CBAs).
There is no obligation in Labour Law or ministerial order to pay a 13th-month salary.
Source: §39, 66-76 of the Law regulating Labour in Rwanda, 2018 (No. 66/2018)
Regulations on Work and Wages
- Law regulating Labour in Rwanda, 2009 (Labour Code) / Itegeko rigenga umurimo mu Rwanda, 2009
- Social Security Code, 1974 / Itegeko rigenga ubwiteganyirize bw'abakozi, 1974
- Law No. 6/2003 of 03/22/2003 / Itegeko Nomero. 6/2003 ryo ku wa 03/22/2003
- Constitution of the Republic of Rwanda, 2003 / Itegeko nshinga rya Repubulika y'u Rwanda, 2003
- Ministerial Order Nº04 of 13/07/2010 Determining Essential Services that should not stop and the Terms and Conditions of exercising the right to strike in these services / Iteka rya Minisitiri Nº06 ryo kuwa 13/07/2010 rishyiraho urutonde n'imiterere y'imirimo mibi ku bana, ibyiciro by'ibigo bibujijwe kubakoresha hamwe n'ingamba zo kubirwanya
- Ministerial Order No. 005/19.20 of 17/03/2020 determining the modalities for the application of the weekly working hours in the private sector
- Presidential Order N° 54/01 of 24/02/2017 Determining Official Holidays
- Ministerial Order Nº 007/19.20 of 17/03/2020 determining the Core elements of a written employment contract
- Ministerial Order Nº 02/MIFOTRA/22 of 30/08/2022 on Occupational Safety, Employees’ and Employers’ Organizations, Child Development, Employment of a Foreigner, the Child, and Circumstantial Leave
- Law N°003/2016 of 30/03/2016 Establishing and Governing Maternity Leave Benefits Scheme / Itegeko N°003/2016 ryo ku wa 30/03/2016 rishyiraho kandi rigenga ibyerekeye ibigenerwa uri mu kiruhuko cyo kubyara
- Ministerial Order No. 007/16/10/TC of 28/10/2016
- Ministerial Order N° 009/19.20 of 17/03/2020 determining Funeral Expenses and Death Allowances for an Employee
- Law N° 05/2015 OF 30/03/2015 Governing the Organization of Pension Schemes / Itegeko N° 05/2015 yo ku wa 30/03/2015 rigenga imitunganyirize y’ubwiteganyirize bwa pansiyo
- N°59/2008 of 10/09/2008 Law on prevention and punishment of gender-based violence / Itegeko No 59/2008 ryo ku wa 10/09/2008 ikumira kandi ihana ihohoterwa iryo ari ryo ryose rishingiye ku gitsina
- Law Nº68/2018 of 30/08/2018 on offences and penalties
- Organic Law N° 01/2012/OL Of 02/05/2012 Instituting the Penal Code
