SHA faces court threat as union protests alleged exclusion of NHIF staff

The Kenya Union of Commercial Food and Allied Workers (KUCFAW) has raised alarm over what it terms a deliberate attempt by the Social Health Authority (SHA) to edge out employees of the defunct National Hospital Insurance Fund (NHIF) during the ongoing recruitment process.

In a statement issued Friday, KUCFAW general secretary Andrew Kinyua said the recruitment process appears to contravene provisions of the Social Health Insurance Act (SHIF) 2023, which stipulates that former NHIF employees should be given priority consideration in the staffing of the new authority.

Kinyua took on SHA for ignoring both the President’s public assurance and the law’s transitional clauses that safeguard the rights of NHIF staff, saying more than 80 per cent of the workers risk being left out. 

"Despite the explicit provisions of the SHIF Act, there is a deliberate effort to kick out most NHIF employees. This can already be seen in the appointment of the CEO, directors and deputy directors, where few if any of the former staff have been considered,” he said.

The union, which said has a recognition agreement with SHA, warned that it may move to court within 72 hours if the authority’s board fails to address the concerns raised. 

“We are contempating to move to court to seek to declare the whole process a violation of the law in the event we don't receive a favourable response from the board within 72 hours,” Kinyua added.

The union further warned that overlooking NHIF’s experienced workforce could jeopardise Kenya’s Universal Health Coverage (UHC) rollout. 

“A majority of NHIF employees possess the skills, experience and understanding of social health protection systems. Replacing them with new recruits who will require retraining risks undermining the efficiency and continuity of health insurance services,” Kinyua stated.

The Social Health Insurance Act, 2023, repealed the NHIF Act, establishing the Social Health Authority alongside three new funds - the Primary Healthcare Fund, the Social Health Insurance Fund (SHIF) and the Emergency, Chronic and Critical Illness Fund. 

The law provides that NHIF staff are eligible for absorption into SHA to ensure a smooth transition and preservation of institutional knowledge.

However, many former NHIF employees have expressed frustration that the recruitment exercise seems opaque, with few details on how merit and experience are being factored in. 

The transition, which was expected to be complete by the end of 2024, was intended to strengthen healthcare access and accountability, but KUCFAW now warns that mishandling the human resource element could derail the reform’s goals

SHA is yet to issue an official response to the union’s claims. 

In May this year, Health Cabinet Secretary Aden Duale publicly weighed in on the transition from NHIThe Social Health Insurance Act, 2023, repealed the NHIF Act, establishing the Social Health Authority alongside three new funds - the Primary Healthcare Fund, the Social Health Insurance Fund (SHIF) and the Emergency, Chronic and Critical Illness Fund. 

The law provides that NHIF staff are eligible for absorption into SHA to ensure a smooth transition and preservation of institutional knowledge

However, many former NHIF employees have expressed frustration that the recruitment exercise seems opaque, with few details on how merit and experience are being factored in. 

The transition, which was expected to be complete by the end of 2024, was intended to strengthen healthcare access and accountability, but KUCFAW now warns that mishandling the human resource element could derail the reform’s goals.

SHA is yet to issue an official response to the union’s claims. 

In May this year, Health Cabinet Secretary Aden Duale publicly weighed in on the transition from NHIF to SHA. F to SHA. 

He announced that all staff of the defunct NHIF will continue to serve under SHA for an additional six month, or until SHA completes its recruitment process, whichever comes first, in order to ensure continuity and legal compliance. 

He also assured that no NHIF staff will lose their job, and that those redeployed will retain their current grades and remuneration.

Additionally, Duale emphasised that the recruitment into SHA will be merit-based, competitive, and transparent, while qualified former NHIF staff will receive priority consideration.