Members of International Social Security Association (ISSA), have agreed to have shared digital knowledge to expand social security coverage in the informal sector.
ISSA is an extension of the International Labor Organization, focusing on improving social security services among its more than 170 member states.
In an interview with Uganda Radio Network, the ISSA Secretary-General Marcelo Abi-Ramia Caetano, said that extending social security to the informal sector remains a challenge in many countries, not just in Uganda.
According to Caetano the challenge stems from the sector’s unique nature, despite it employing the largest workforce. He said that digitization can help bring the informal sector on board.
In Uganda only 11 percent of the country’s workforce is covered by some form of social security, a number that remains low compared to the over 16 million people comprising the country’s workforce, which is mainly employed in the informal sector and agriculture.
NSSF, is yet to extend social security to these sectors, but the amended law now mandates its inclusion.
Patrick Ayota, the Fund’s Managing Director, says that through the ISSA, it is an opportunity to learn from other countries that are doing better in the digitization aspects.
He adds that since many people now own phones, digitized services are easy to reach out to the different sectors.
Ayota adds that as a fund, they have several strategies to expand social security, especially by leveraging digitization and innovation, as observed in other nations.
He further said that employers with fewer employees, have continued to subscribe to the fund as per the new law, which indicates a positive trend towards social security in the country.
From Kenya’s NSSF, their strength lies in highly digitized processes where they collect a percentage of one’s mobile money transactions. This approach has worked well within the informal sector as members hardly feel the impact.
Last week ISSA member countries met in Uganda for share ideas on the success of social security in the respective countries.
During the conference, it was agreed that of the ISSA East and Central Africa regional liaison offices be located at the NSSF headquarters in Kampala.
This move was looked at as a significant step towards strengthening cooperation and communication within the region.
