OUR GOVERNANCE

MAKING A SUSTAINABLE IMPACT

Digital Strategy

SDG DESCRIPTION

Technological progress is key to finding lasting solutions to both economic and environmental challenges, such as providing new jobs and promoting energy efficiency.

Impacting

NSSF STRATEGY

  • Committed to delivering world-class service to our customers through customer centric digital innovations

As part of our digital annual strategy, the Fund closed the year with an electronic channel to walk-in ratio of 94:6, the top walk-in drivers were mainly claims received, employee registration, member details update and benefits verification.

We embarked on the corporate website redesign project to create increased visibility of products and services, i.e. Financial Literacy, Voluntary Contributions, Friends With Benefits among others. A key objective of the redesign is to ensure that our corporate online presence is modern for both the frontend User Interface (UI) and User experience (UX) and backend technologies, fast loading time as well as responsiveness across desktop/laptop, mobile and tablet.

HIGHLIGHTS

NSSF appeared 130,109 times on Google Search with 9,362 of the total clicks coming to our assets. The most popular search query was NSSF Uganda with 16,413 impressions and a click through rate of 10.2% compared to the market average of 5%.

All our service centres were mapped to Google Maps since we observed a number of Google Searches for our branches. The plan for FY2021/22 is to publish self-service content on each Google listing to divert footfall from the respective branches.

The 30-day active installed base for the NSSFGo App grew by 67.8% from 45,649 devices to 76,601 with 6.9m total screen views. Usage was 94% Android and 6% iOS with 25 to 34 years being the most popular age group. E-statement was the most used function on the app and we were voted the 4th most popular app in Uganda on Google Play for the Finance category. One of the key growth areas for the app in the new financial year is to extend functionality and increase engagement with customers.

YouTube had one of the biggest leaps with a 620.7% growth in views, 1,054% growth in watch time and 147.2% growth in impressions respectively. This translates to 1,361,507 m views vs 188,909 views in the previous year and 79.8% of the total views on the channel since it was opened in December 2012.

While we saw a 46.9% and 48% growth in engagement year-on-year for Facebook and Twitter respectively, some conversations were negative. Without the challenges that came with midterm access, we should have closed the year with much higher engagement given the content which was published as well as a better sentiment score.

Agency Banking

The Fund launched the Agency Banking collection product to tap into the existing banking agency network that operates close to 25,000 agencies across the country. This was done in partnership with commercial banks, including DFCU Bank, Agent Banking Company (ABC), and Housing Finance Bank. The Fund currently has 19 branches serving over two million customers and the Agency model service has, in addition to the existing e-services, created easy access to services for members.

NSSF customers can conveniently process transactions at the nearest bank agent operating flexible working hours.

Onboarding the two banks so far has enabled the Fund to extend services to a total of 650 agent points ready to serve NSSF members countrywide. Our main objective for this programme is to reduce field (outreach) costs. The Fund now works with agents as opposed to setting up sub-branches/outreach centres. In addition, agents have the ability to directly register new members and thus increase the Fund’s membership.

Legal Clinics

SDG DESCRIPTION

Promote peaceful and inclusive societies for sustainable development, provide access to justice for all and build effective, accountable and inclusive institutions at all levels

Impacting

NSSF STRATEGY

  • Promoting the rule of law to ensure equal access to justice for all.

This initiative provides access to free legal aid, especially for the disadvantaged. A number of lawyers engage through one-on-one sessions with participants on various legal issues, free of charge.

Access to justice is a fundamental human right recognised by the international community to promote rule of law at a national and international level. Despite the existence of elaborate and progressive legal and institutional frameworks in developing countries, including Uganda, access to justice still remains a dream especially to those with limited means. Hosting the Legal Aid open day helps us provide an open platform to create awareness on basic rights, providing on the spot counseling and identifying cases requiring alternative dispute resolution.

HIGHLIGHTS

This year’s theme was 'Promoting legal aid accessibility and employees’ rights by bringing justice closer to the people”.

Several employers and employees are ignorant of the NSSF mandate and compliance requirements and through this theme, we will have an opportunity to elaborate on the NSSF Act provisions to both employers and employees.

Participants were empowered with knowledge on personalised legal advice on a number of issues ranging from land to employment related issues.

Natural Capital

SDG DESCRIPTION

Impacting natural capital

Impacting

NSSF STRATEGY

  • Reducing carbon footprint
  • Improving energy and water management
  • Adopting a sustainable approach to waste management; and minimising our use of resources across our business, guided by our Energy Management policy

The Fund is dedicated to providing a green management ideology to contribute to lives of humanity and the preservation of the environment by conducting our business activities in a way that respects people and nature. We choose methods of least impact to the environment when executing all our projects. Like all businesses, we are reliant on a range of natural resources to carry out our operations. We recognise that there are limits to these resources and for a sustainable business, we need to operate within those limits.

During the year, we prioritised the following:
  • Conducting environmental audits on real estate projects
  • Reducing energy consumption
  • Reducing paper consumption
  • 100% of the waste from our buildings was diverted to KCCA pipelines in accordance to the City Council Solid waste management Ordinance of 2000

Strategic objective

The Fund aims to achieve an annual saving of 15% on the water and energy bills. Our target in paper reduction is 95%.

Our Key Environmental impacts last year include:

  • 5% (2020: 32%) reduction on energy consumption for both Workers house and social security properties
  • 19% (2020: 6%) saving on water consumption for both workers house and social security properties
  • 70% (2020: 27%) reduction in paper consumption

During the year, the Fund acquired a 5% reduction in the annual energy bills for both Workers House and Social Security House from UGX 1 Bn in 2020 to UGX 0.958 Billion in 2021. Total consumption of paper in our various offices reduced by 61.5% from 650 realms in 2019 to 250 realms in 2021.

Endorsement

Environmental impact assessment on real estate projects

During the year, the National Environment Management Authority (NEMA) conducted an Environmental impact assessment on all the Fund’s construction projects in compliance with Regulation 37 of the environmental assessment regulations, Statutory instrument No.13 of 1998. The audit revealed that the Fund was compliant in a number of areas as highlighted below:

  • Environmental Management and Monitoring Plans were implemented as per the project brief.
  • There was minimal dust generated at the construction sites and water sprinkling was being done for areas generating dust.
  • The Fund was found to be compliant to the Occupational Safety and Health Act, 2007 which ensures that adequate occupational health and safety measures and procedures are put in place including provision of appropriate protective gear to be used by the entire workforce

The assessment helps the Fund to be aware of the impact of its activities, reduce risks and generate opportunities in conserving the environment, using technologies to assist in the prevention, mitigation or adjustment of negative impacts.

Our approach

The Fund has a water and energy management policy, which is aligned to the international standard ISO 14001:04 that aims to ensure efficient use of resources and aiding in monitoring and controlling the use of resources impacting the environment.

During the year, the Fund controlled the identified potential environmental impacts of the projects in the following ways:

Demolition and construction phase

POTENTIAL IMPACT

Loss of vegetation cover

MITIGATION

Planted indigenous plant species to improve and compensate for the lost greenery

POTENTIAL IMPACT

Generation of debris

MITIGATION

Ensured appropriate PPE (helmets, gum boots, overalls and hand gloves) during demotion

POTENTIAL IMPACT

Noise, dust and vibration from demolition and construction

MITIGATION

Noise control devices such as noise barriers and deflectors were used

POTENTIAL IMPACT

Soil erosion

MITIGATION

  • Ensured structural slope stability to reduce sediment washing
  • Contouring and minimising length and steepness of slopes where construction was eminent
  • Re-vegetated exposed areas
  • Designed channels and ditches for post construction flows
  • Lining steep channel and slope (e.g. used jute matting to facilitate growth and prevent further erosion)

POTENTIAL IMPACT

Air quality concerns

MITIGATION

  • Minimised dust from material handling sources, such as conveyors and bins, by using covers and/or control equipment (water suppression, bag house, or cyclone)
  • Minimised dust from open area sources, including storage piles, by using control measures such as installing enclosures and covers
  • Selectively removing potential hazardous air pollutants, such as asbestos, from existing infrastructure prior to demolition
  • Managing emissions from mobile sources
  • Avoiding open burning of solid material

POTENTIAL IMPACT

Hazardous materials concerns

MITIGATION

Trained truck drivers and mechanics on the correct transfer and handling of fuels and chemicals and the response to spills in cases of any breakdown of trucks on site.

Operational Phase

POTENTIAL IMPACT

Solid waste concerns

MITIGATION

Improvising of labelled dust bins at convenient areas within the area for disposing of the solid waste and should be emptied regularly.

POTENTIAL IMPACT

Waste water discharges

MITIGATION

  • Ensured safe containment of sewage transport network within the area and undertake periodic upgrades
  • Directed all wastewater to sewer lines
  • Maintained all sewage and drainage systems

Energy efficiency and management

The Fund is committed to continual improvement in energy management performance through prevention of energy wastages. Electricity is the major source of energy supply to buildings owned by the Fund. This electrical power is supplied directly to the buildings by an UMEME distribution feeder. The feeder then distributes the power through three transformers. When the electrical supply to the building is cut-off, two diesel generators provide standby power.

The Fund undertook the following activities during the year to ensure energy savings:

  • Increased use of daylight in all our buildings, which include Worker house, Social Security house, Jinja and Mbarara
  • Increased de-lamping especially in tenants ‘offices
  • Re-lamping in areas with low lux levels
  • Improved lighting controls such as occupancy sensors and daylight level sensors
  • Replacement of the existing water-cooled chiller system, with a variable refrigerant flow system
  • Increased use of variable frequency drives on the lift motors
  • Grouping of lifts in odd or even numbers

During the year, the Fund acquired a 5% reduction in the annual energy bills for both Workers House and Social Security House from UGX 1 Bn in 2020 to UGX 0.958 Billion in 2021. Total consumption of paper in our various offices reduced by 61.5% from 650 realms in 2019 to 250 realms in 2021.

Water resources management

Water and waste handling, treatment, and disposal are conducted in accordance with regulations, as identified in Section 4.2, Global Environmental Health and Safety (GEHS), which help in water monitoring and management. Waste management at the Fund properties was in line with the Kampala Capital City statutory regulation 243. Management considers waste and sewage management as a key aspect to foster sanitation. Our waste management process involves dealing with the waste generated from day to day-operational activities, food consumption, physical wear and tear of computer and office equipment, obsolete furniture and fixture and newspapers. Being a financial institution, the Fund does not deal with any hazardous waste.

Our waste is managed through the following ways:

  • Both sides of papers are used and wasted papers are collected using bins after shredding
  • Toner, cartridges and newspapers disposed of through community cleaners
  • Kampala City Council manages human waste from buildings owned by National Social Security

Creating a Paperless environment

The Fund implemented an Electronic Document & Records Management System (EDRM), aimed at having a central repository for all Fund`s Records and streamlined workflow processes. The automation has aided in enhancing access and sharing of information among Fund staff and promoting a clean desk policy within the Fund.

The Fund has enjoyed several tangible and intangible benefits below because of using system:

  • Savings on paper costs. There has been great reduction in paper consumption as the Fund adopted paperless office with the use of records system that has greatly streamlined document management via workflow processes control. The automation has reduced the rate of printing and photocopying Turnaround time (TAT) on handling correspondence has been reduced by at least 90%, attributed to the automated workflow in ADA system, which provides an electronic means of uploading and routing correspondence for review and approval.

Financial Capital Contribution to the Economy

SDG DESCRIPTION

Financial Capital Contribution to the Economy

Impacting

NSSF STRATEGY

  • Expansion strategies
  • Increasing investment opportunities
  • Increasing employment opportunities

The Fund continues to make a vast contribution and impact on Uganda’s economic frontier. The Fund is the largest investor in Uganda’s bond and equity markets and has a large footprint in the real estate market. These investments, and the returns they generate, additionally contribute to Uganda’s fiscal revenue by way of various taxes paid, interest paid to members, salaries of our employees, and payment to suppliers of goods and services provided to the Fund.

Our Value added statement

Our value added statement shows the wealth created by the Fund and how it was distributed among the key stakeholders. The stakeholders include the members, government, and NSSF employees:

Year Ended 30 June 2021 2021 2020 2019 2018 2017
UGX Billions UGX Billions UGX Billions UGX Billions UGX Billions
Investment Income 1,675 1,472 1,254 1,041 845
Other Income (Loss) (303) (54) (213) 387 27
Net Increase in Value of Investments 444 97 (129) 238 46
Less Expenses (Excluding staff costs & Depreciation) (67) (78) (68) (53) (48)
Wealth Created 1,749 1,437 844 1,613 870
Distribution of wealth created to stakeholders (Amounts)
Members (Interest credited to accounts) 1,516 1,154 978 1,100 681
Employee Salaries, Wages and Other benefits 97 76 71 56 42
Government Direct Tax 167 153 172 145 130
Retained Earnings for Future growth (1) (3) (404) 240 11
Distribution of wealth created to stakeholders (Percentage)
Members (Interest credited to accounts) 85% 84% 120% 71% 78%
Employee Salaries, Wages and Other benefits 5% 5% 9% 4% 5%
Government Direct Tax 9% 11% 21% 9% 15%
Retained Earnings for Future growth 0% 0% -49% 16% 1%