A coalition of international companies, including Google and Microsoft, has publicly denounced Uganda’s recently passed anti-LGBTQ legislation. The Open for Business coalition has warned that the law, which criminalizes identifying as lesbian, gay, bisexual, transgender, or queer, could severely damage Uganda’s economy by reducing investment flows and deterring tourists. The bill also imposes the death penalty for so-called aggravated homosexuality, which includes same-sex relations with people under the age of 18 or with someone who is HIV positive, among other categories.
The coalition has stated that the new law would undermine companies’ ability to recruit a diverse and talented workforce, and it expressed concern that a provision requiring companies to report those suspected of being LGBTQ would put them in an impossible situation. Yvonne Muthoni, the coalition’s country director in neighboring Kenya, warned that companies would be forced to choose between violating the law in Uganda or going against international standards of corporate responsibility and human rights laws of the countries in which they are headquartered.
The coalition’s members, which include Google, Mastercard, Unilever, Standard Chartered, PwC, and Deloitte, all have operations in Uganda. Open for Business has previously spoken out against anti-LGBT measures in countries such as Hungary, where it criticized a plan in 2021 to ban the dissemination of LGBT content in schools.
Anti-LGBT discrimination has significant economic costs, according to a 2019 study conducted by the coalition. The study found that Kenya loses up to 1.7% of its GDP annually as a result of such discrimination. The White House has also expressed concern about Uganda’s anti-LGBTQ law, calling it one of the most extreme actions taken against the LGBTQ community in the world.
This move by major international companies to speak out against Uganda’s anti-LGBTQ legislation represents a growing trend of corporations taking a stand on social issues. As companies continue to prioritize diversity and inclusion in their workplaces, they are increasingly being called upon to advocate for these values in the countries in which they operate. While the outcome of this particular situation remains to be seen, it is clear that companies are increasingly willing to use their influence to push for positive social change.