[Uganda] Auditor General announces special audit on pension processes

[Uganda] Auditor General announces special audit on pension processes
24 Apr 2024

In Uganda, the Office of the Auditor General (OAG) has announced a special audit on pension and gratuity management processes, which will include the headcount of the nation’s pensioners, Monitor reports.

In their April 22 public notice, the OAG said that - following a request from the Finance Ministry - it had embarked on an exercise aimed at “establishing the effectiveness” of the processes and “recommend remedial measures.”

The OAG reportedly said its auditors would establish whether bonafide pensioners are on the payroll and are being paid the correct rates.

During this audit, the OAG said it will also validate and confirm the numbers and retirement benefits, provide “input in establishing a comprehensive database for Government of Uganda pensioners,” and “make a projection of the gratuity and pension bill for the 2024/2025 financial year including accumulated arrears.”

“The Office of the Auditor General is currently undertaking review and analysis of documents to understand the Pension and Gratuity Payroll management processes and obtain evidence to support findings and conclusions,” the notice stated.

The documents under review include the entity pension payroll and gratuity payments, pensioners’ lists, payment files, pensioners’ personal files, and budgets and work plans.

The audit will cover the Pension and Gratuity payroll from Financial Year 2019/2020 to December 31, 2023, however earlier or later periods could reportedly be referred to, for purposes of clarity of some aspects of the audit, according to the OAG.

The special audit follows reports that some pensioners face uneding struggles to access their pensions, affecting their quality of life after retirement.

In his report to Parliament for 2019/2020 Financial Year, Mr John Muwanga - the Auditor General - said of 174 Local Governments, 11 had not paid pension and gratuity to pensioners, resulting in pension and gratuity arrears to the tune of Shs5.8billion.

In the report, Mr Muwanga said, “Accumulation of pension and gratuity arrears poses challenges to the claimants and beats the purpose for which gratuity and pension is paid after retirement.”

Following the review and analysis (Phase I) - to be completed by the end of May 2024 - the OAG said a Phase II where “a physical headcount of pensioners will be conducted on dates to be communicated” would commence.

“The head count will involve the physical attendance improvements in policy and management of pensioners or beneficiaries and presentation of processes relevant documents. Pensioners or beneficiaries will be required to appear at the nearest validation centres irrespective of where they retired,” the notice read.


Source: Monitor

(Quotes via original reporting)

In Uganda, the Office of the Auditor General (OAG) has announced a special audit on pension and gratuity management processes, which will include the headcount of the nation’s pensioners, Monitor reports.

In their April 22 public notice, the OAG said that - following a request from the Finance Ministry - it had embarked on an exercise aimed at “establishing the effectiveness” of the processes and “recommend remedial measures.”

The OAG reportedly said its auditors would establish whether bonafide pensioners are on the payroll and are being paid the correct rates.

During this audit, the OAG said it will also validate and confirm the numbers and retirement benefits, provide “input in establishing a comprehensive database for Government of Uganda pensioners,” and “make a projection of the gratuity and pension bill for the 2024/2025 financial year including accumulated arrears.”

“The Office of the Auditor General is currently undertaking review and analysis of documents to understand the Pension and Gratuity Payroll management processes and obtain evidence to support findings and conclusions,” the notice stated.

The documents under review include the entity pension payroll and gratuity payments, pensioners’ lists, payment files, pensioners’ personal files, and budgets and work plans.

The audit will cover the Pension and Gratuity payroll from Financial Year 2019/2020 to December 31, 2023, however earlier or later periods could reportedly be referred to, for purposes of clarity of some aspects of the audit, according to the OAG.

The special audit follows reports that some pensioners face uneding struggles to access their pensions, affecting their quality of life after retirement.

In his report to Parliament for 2019/2020 Financial Year, Mr John Muwanga - the Auditor General - said of 174 Local Governments, 11 had not paid pension and gratuity to pensioners, resulting in pension and gratuity arrears to the tune of Shs5.8billion.

In the report, Mr Muwanga said, “Accumulation of pension and gratuity arrears poses challenges to the claimants and beats the purpose for which gratuity and pension is paid after retirement.”

Following the review and analysis (Phase I) - to be completed by the end of May 2024 - the OAG said a Phase II where “a physical headcount of pensioners will be conducted on dates to be communicated” would commence.

“The head count will involve the physical attendance improvements in policy and management of pensioners or beneficiaries and presentation of processes relevant documents. Pensioners or beneficiaries will be required to appear at the nearest validation centres irrespective of where they retired,” the notice read.


Source: Monitor

(Quotes via original reporting)

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