Kinyara Sugar has fired 500 workers for engaging in a strike.
The workers (sugar Cane cutters) went on strike on July 27, 2015, demanding a pay increase from Shs 5,500 to Shs 10,000 and being employed on permanent basis.
According to Daily Monitor, two meetings organised to solve the standoff collapsed after Kinyara Sugar management failed to send representatives and instead closed the factory.
On Friday, the management called them back to work but only about 295 showed up.
The company then issued a statement asking those who refused to resume work to hand over all company property.
The regional secretary general for the National Organisation of Trade Union (NATU), Pastor Luke Okello, told the newspaper that the striking workers have not benefited much from the union because they are not registered due to lack of formal employment.
Meanwhile, the Ministry of Gender, Labour and Social Development on August 3, launched a general investigation into the working conditions at Kinyara Sugar factory.
Kinyara (found in Masindi) is managed by Rai group with government holding about 30% shares.