The re-appointment of Richard Byarugaba as Managing Director of Uganda’s National Social Security Fund (NSSF), the UGX17.3 trillion pensions Fund, appears close as Hon Betty Amongi, the Gender, Labour and Social Affairs Minister has reached a consensus with the Prime Minister, Rt Hon. Robinah Nabbanja over the matter.
Minister Amongi had previously held back over a number of reservations, including that Mr. Byarugaba had reached 60 years, the official retirement age for civil servants. However, the Attorney General, the official government advisor on interpretations of laws, had advised that the high-performing NSSF Managing Director was not a civil servant and therefore not bound by the standing orders on public service.
According to a 7th December 2022 letter, seen by CEO East Africa Magazine from the Prime Minister to Minister Amongi, the Prime Minister has asked the Minister to proceed to reappoint Byarugaba “urgently” so as to avoid “managerial gaps which can put the workers’ funds at risk”.
“I draw your attention to the consultation meetings on the above matter. These consultations followed the meeting we had at State house Entebbe on Tuesday 06th December 2022 chaired by H.E The President and the recommendations from the Board of Directors of the NSSF to you under their letters ATI/CONF/02-22 dated Friday 25th November 2022; and ref ATI/CONF-03-22 dated 30th November 2022 (Appendix A and B respectively),” Prime Minister Nabbanja writes.
“I received copies of those letters together with all the attachments hereto. As you are equally aware; H.E The President delegated me to conclusively handle this matter and provide an update. I am happy to note that comprehensive consultations with key stakeholders on the matter have taken place. You and I have been pivotal. In my assessment, a consensus has emerged that we should agree with the Board Recommendations to give a five-year non-renewable performance contract to Mr. Richard Byarugaba and Mr. Patrick Ayota as Managing Director and Deputy Managing Director respectively. I appreciate that you have already Appointed Mr. Patrick Ayota the Deputy Managing Director,” Nabbanja added.
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“The purpose of this letter is to guide that you proceed and appoint Mr. Richard Byarugaba as the Managing Director of NSSF as recommended by the Board to avoid any managerial gaps which can put the workers’ funds at risk. This will ensure that the fully constituted Management Team can embark on implementing the Fund’s new Strategy in light of the New NSSF Law as amended. Please ensure that the Board of NSSF concludes Employment Contracts for both Managing Director and Deputy Managing Director with clear performance objectives and targets as agreed in our meetings,” Nabbanja further writes.
“These objectives and targets should guide the Board and subsequently yourself in the performance monitoring and assessment of both the Managing Director and the Deputy Managing Director annually. The Fund position itself to mobilizing retirement savings from citizens as envisaged in the amended NSSF Act. The Fund should further ensure that those funds are invested for the benefit of the members and the overall socio-economic transformation,” the PM concludes.
On the other allegations of mismanagement made by the Minister, the Prime Minister said the issues have been referred to the Auditor General for investigations.
