The Kenya Union of Commercial Food and Allied Workers (KUCFAW) has issued a stern warning to the Social Health Authority (SHA), accusing it of locking out former National Hospital Insurance Fund (NHIF) employees from ongoing recruitment despite clear legal provisions protecting their rights.
KUCFAW general secretary Andrew Kinyua said on Friday that the hiring process being conducted by SHA goes against the Social Health Insurance Act (SHIF) 2023, which directs that staff from the defunct NHIF be given first priority in the formation of the new authority.
According to Kinyua, SHA has disregarded both the President’s commitment and the law’s transitional clauses, leaving the majority of NHIF workers facing the threat of job loss.
"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.
He said more than 80 percent of NHIF’s workforce could be sidelined in the recruitment, a move the union described as unlawful and unfair. Kinyua said the union, which has a recognition agreement with SHA, would not hesitate to take legal action if the board fails to intervene.
“We are contemplating 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,” he added.
Kinyua warned that excluding experienced NHIF staff could destabilize the rollout of Universal Health Coverage (UHC) and disrupt the country’s health financing systems.
“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, enacted in 2023, abolished the NHIF and established 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 — as part of reforms to strengthen UHC delivery.
The union insists that the SHA board must immediately review its recruitment approach to align with the law and uphold fair transition for NHIF staff, warning that failure to do so could plunge the new health system into avoidable administrative chaos.
