Technology

Examining the Reality of Low-Cost Tech Labor in Uganda

Published November 24, 2023

In the heart of Kampala, Uganda, over 150 young individuals are diligently working in a dimly lit office space, their computer screens aglow as music fills the air. These young Ugandans are occupied with critical tasks for the AI industry: delineating driving paths for Tesla's autonomous vehicles and programming drones to identify ripe apples.

These tasks are facilitated by companies such as Sama, a start-up amongst many in Uganda training AI software for global tech giants. Sama's office aesthetic is a blend of Silicon Valley chic and African artistry, no doubt an appealing environment but one with strict privacy policies as photos are banned and interviews are selectively granted.

Value Work for High Returns

The approach of such companies is economically attractive for clients seeking software development services. Joshua Okello, Sama's Managing Director, cites how outsourcing to their firm could save clients significant sums, such as reducing costs from €50,000 to a fraction of that amount. The employees are engaged in piecework, a labor-intensive process to fine-tune AI until proficiency is achieved.

Sama boasts an impressive client list including major players like Google, Microsoft, and others, revealing the substantial role Ugandan labor plays in global tech operations. These corporations, once reliant on outsourcing to locations like India, now find East African countries to be lucrative new hubs due to lower salaries, English proficiency, and favorable time zones compared to Europe.

Economic Growth Over Aid

The inception of Sama by the late Leila Janah was envisioned as a transformative business model to replace aid with employment. With the region facing high youth unemployment, particularly in Uganda's post-conflict northern area, Sama has offered a beacon of hope by providing digital skills training and job creation since 2012.

Bruno Kayiza, once an economics student unsure of his future career prospects, is now a Sama team leader overseeing hundreds, reflecting an upward mobility narrative that companies like Sama are keen to promote.

Jobs and More Than Just Paychecks

For Ugandan employees like Kayiza, the work is diverse and intriguing, going beyond routine and entering nuanced tasks like 3D traffic analysis. Remuneration at Sama stands roughly 20% above Uganda's typical wages for untrained labor, accompanied by benefits uncommon in the local market, such as accident and health insurance.

However, the bright picture painted by Kayiza is subject to scrutiny. Experts like Kenyan researcher Nanjira Sambuli question the long-term value and security of these jobs. Is there a meaningful career progression, or is this another instance of exploitation wrapped in opportunity?

Consequences of Outsourced Labor

Not all stories have favorable endings, as seen in Kenya where former content moderators for Facebook's parent company Meta took legal action against exploitative conditions. The grueling work involved in flagging objectionable content has left some employees deeply affected.

According to Sambuli, the Kenyan scenario exemplifies the need for Africa's leaders and global society to reassess the ethics of outsourcing labor to Africa under potentially exploitative terms. Standards for labor rights and ethical practices must be upheld, irrespective of the continent's employment needs.

Uganda, AI, labor