MiWay CEO responds, dismisses racist email as 'fake news'

MiWay, a subsidiary of Sunlum, found itself at the center of a controversy after a racist email referring to black clients as 'baboons' and claiming a decision to reject 90% of black client claims circulated on Twitter. The company quickly dismissed the email as 'fake news', attributing it to a disgruntled customer. CEO Rene Otto joined CNBC Africa to address the issue. In the interview, Otto acknowledged that the email had caused concern among some black clients, leading to inquiries about canceling their insurance policies. However, he reassured that the majority of clients had accepted the company's explanation and opted not to cancel. While specific numbers were not provided, Otto expressed gratitude that most clients had chosen to stay with MiWay. Reflecting on the incident, Otto expressed a desire to understand the motives behind the hoax and emphasized the importance of maintaining a calm and rational approach in the face of adversity. He highlighted the need to prioritize the well-being of employees and reassured that the company would welcome back any clients who had canceled their policies due to emotional reasons. Addressing concerns about reputational damage, Otto affirmed that the company was actively engaging with customers to communicate its values and reassure them that the racist email did not reflect MiWay's true culture. He mentioned ongoing efforts to respond to queries on social media platforms and emphasized the company's commitment to promoting freedom and equality for all. Otto pointed out that MiWay had conducted a recent survey indicating strong popularity among black customers, reflecting a significant presence in that market segment. He remained confident in the company's ability to rebuild trust and restore its reputation, emphasizing the positive feedback received prior to the incident. As MiWay navigates the fallout from the controversial email, Otto emphasized the importance of transparency, communication, and a proactive approach to addressing customer concerns. The company's focus on building trust and fostering inclusivity will be key in mitigating the impact of the incident and regaining the confidence of its clients and stakeholders. While challenges lie ahead for MiWay in rebuilding its image and standing firm against misinformation, Otto's commitment to upholding the company's values and fostering a culture of respect and diversity bodes well for its long-term reputation and relationships with customers.