Last year, the Ministry of public service held a meeting to agree on the steps for the implementation of the Rationalization of Government Agencies and public expenditure in the financial year 2024/2025. It’s is estimated that over 2000 staff are affected by this transition. Most of these employees had acquired loans from different banks, Micro finance and SACCOs and offered their jobs as security.
Relatedly, the recent USA president’s executive order to cut aid allocated to African countries, a number of people employed in donor-funded agencies have been forced into a work leave of three months rendering them uncertain of their future.
Thank you all for showing up, it was a pleasure sharing knowledge with you!
With Insurance Week starting soon, let’s keep the momentum going and drive awareness together.#TutambuleFfena pic.twitter.com/GNFe9HXGxo
— UAP Old Mutual Uganda (@UAPOldMutualUg) February 27, 2025
During the UAP Old Mutual media engagement at Skyz Hotel Naguru today, Head of Marketing and Distribution for Life Assurance, Mr. Stephen Lubowa, noted that they have started receiving notifications from different banks that they are insuring, informing them about people being retrenched.
With a strong focus on sensitization and improving insurance awareness, Caroline Tayebwa, our Head of Marketing & Distribution for General and Medical Insurance, highlighted our ongoing efforts to educate the public.
She emphasized initiatives such as webinars, our Insurance… pic.twitter.com/bLHIEzyDyo
— UAP Old Mutual Uganda (@UAPOldMutualUg) February 27, 2025
“As UAP Old Mutual, we have got the different solutions that we are currently offering in the market. And one of the solutions is loan protection cover, which offers retrenchment in case of somebody has lost a job. Currently, we have started getting some notifications from different banks that we are insuring. In the market we are insuring close about 14 banks where we have already started getting notifications informing us about people being retrenched. Some of them have just been sent home, and they have been told that they will be able to be given more information after three months. So there is a lot of scare” he said.
He stated “under this cover, we pay out up to a maximum of 12 months in case somebody has lost a job. So we are still monitoring the situation to see what will happen after three months. And this has actually been as a result of the recent executive orders us executive orders which also brought in the closure of USAID funding, and a number of agencies, or NGOs are likely to close down. But it has also been a coupled with the ongoing mergers of the government agencies, where some staff members are likely to lose jobs”.
He noted that many of staff members have got loans in different banks. “So, as UAP Old Mutual we have started receiving these notifications and we are ready to be able to support, first of all to pay the claims but also continuously guide different institutions, including SACCOs, banks, on how we can be able to compensate some of the people that are likely to be impacted on by some of these occurrences that are happening right now.
The ever-gracious @COwomuhangi, our Marketing and Communications Specialist, is leading the session. She began by thanking everyone for attending, highlighting our business footprint across 13 African countries, our assets, and our CSR initiatives. She also encouraged the… pic.twitter.com/Iug4JrvDzN
— UAP Old Mutual Uganda (@UAPOldMutualUg) February 27, 2025
