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Two NHIF Employees Sue to Stop Transition to New Authority 

Two Kenyans have sued the salary and remuneration commission (SRC) over their decision to transition from National Health Insurance Fund (NHIF) to Social Health Authority (SHA).

In a petition filed under a certificate of urgency Gwaragwara Nkosi and Khadija Ali, employees of NHIF, want the court to stop the transition Committee either by themselves, their agents, representatives, or employees from submitting their report to the President , Ministry of Health, SHA and NHIF board pending hearing and determination of the petition.

The duo argue that the raising of salaries has caused disparities where the management staff are earning less than the employees they are supervising.

The employees who have also sued the Attorney General Justin Muturi, transition committee on SHA, the ministry of health, NHIF and SHA allege that the Social Health Insurance Act prioritizes NHIF staff for joining the SHA.

However, they argue, if current management issues are not resolved, salary disparities will also transition to SHA causing management problems.

They are asking the court to issue an order to the effect that by raising the salary of unionized NHIF employees without raising that of the management the respondents have violated the affected NHIF management staff rights.

“The disparity amounts to a serious payout audit query,” read the court documents.

Similarly they want the court to compel SRC to review their salary saying that there’s a clear violation of public service remuneration and benefits policy guidelines.

“An order of mandamus do issue compelling the 1st Respondent either by themselves, their agents, servants and/or employees to review the Petitioner’s salaries by percentage similar to those awarded to the unionized staff members when they negotiated CBA 2013/2017, СВА 2017/21 and 2021/2023 (whichever is higher), and, that the said amount(s) plus benefits be backdated to when the salary disparity took place and paid promptly.”

They argue that the Social Health Insurance Act provides the absorption into SHA and deployment into public service which in equal cases the disparity in salaries will affect all including the retirement as the last option.

Further they say that the disparity between the management and the unionized at NHIF resulting from increment of salaries through collective bargaining agreement (CBAs) solely for unionized members constitutes a clear violation of article 27 of the constitution.

“The above discriminatory treatment, evidenced by consistently lower salary increments for management staffs of NHIF, creates an unjustifiable gap of up to approximately Sh30,000 by the fact that they are not allowed to be members of the union which continues to make them suffer,” read the court papers

The two argue that the management staff are discriminated against in savings pension as their union counterparts save more which is blatant violation of the fair labour practices.

“Upon retirement the unionized employees negotiated a better redundancy term for its members withing HF1 to HF7 while the management staff have not been considered for better terms including voluntary early, voluntary separation incentives terms of exit and risks suffering further from discrimination,” they argue.

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