Unions want new NHIF rates halted

What you need to know:

  • Under the banner of Trade Unions Congress of Kenya (TUC-K), they want monthly contributions to be varied and pegged at 1.5 per cent of an employee’s basic salary.
  • The meeting was called by the NHIF last week after TUC-K warned of industrial action unless the deductions are stopped and the extra amount deducted from teachers’ pay in April refunded.
  • Mr Sossion, who is also the Kenya National Union of Teachers secretary- general, said the composition of the board should be based on the principle of corporate governance, and free from State interference.

Teachers, lecturers, civil servants and dock workers yesterday teamed up to reject the enhanced National Hospital Insurance Fund rates, which were effected last month.

They are now demanding that the NHIF revoke the gazette notice issued on February 6, until an agreement is reached on some contentious issues.

Under the banner of Trade Unions Congress of Kenya (TUC-K), they want monthly contributions to be varied and pegged at 1.5 per cent of an employee’s basic salary.

They also want the government to pay twice what the members contribute or at least three per cent of the contribution.

Speaking at the NHIF headquarters in Nairobi, TUC-K Secretary-General Wilson Sossion said the board of management of the fund had until Tuesday next week to heed to the demands.

The meeting was called by the NHIF last week after TUC-K warned of industrial action unless the deductions are stopped and the extra amount deducted from teachers’ pay in April refunded.

The union officials maintained that they were not consulted before the new rates were effected.

“Labour centres should be allocated slots based on the principle of equality and proportion according to their contributory strength,” said Mr Sossion.

He said it was unfair for a person earning Sh1 million to contribute Sh1,700, saying high earners must be prepared to pay for the health care of those who cannot afford it.

He said NHIF should stop the deductions until their concerns are addressed.

TUC-K is also demanding that NHIF be one among other health insurance schemes to encourage competition and quality service.

Mr Sossion, who is also the Kenya National Union of Teachers secretary- general, said the composition of the board should be based on the principle of corporate governance, and free from State interference.

“Amend the Act to provide for equitable representation and exemption of existing schemes.”

He demanded that hospitals, clinics and other centres providing health care services be properly equipped before the implementation of the higher rates.