Employers call for talks over NHIF row

Federation of Kenya Employers executive director Jackline Mugo. Photo/FILE  NATION

By NATION CORRESPONDENT

In Summary

• Employers have called for fresh talks with the government and the National Hospital Insurance Fund over the new rates.

Employers have called for fresh talks with the government and the National Hospital Insurance Fund over the new rates.

In the meantime, they want the implementation of the new insurance rates shelved until a Court of Appeal case challenging their implementation is heard and determined.

The Federation of Kenyan Employers (FKE) on Friday said there were pertinent concerns raised by stakeholders and which the government should deal with.

“We should all go back to the drawing board, consult and come up with the best way forward,” said FKE executive director Jacqueline Mugo.

Ms Mugo said employers and employees alike were still apprehensive about the national health insurer’s capacity to manage the multi-billion-shilling fund.

Private schemes

Employers have called for fresh talks with the government and the National Hospital Insurance Fund over the new rates.

In the meantime, they want the implementation of the new insurance rates shelved until a Court of Appeal case challenging their implementation is heard and determined.

The Federation of Kenyan Employers (FKE) on Friday said there were pertinent concerns raised by stakeholders and which the government should deal with.

“We should all go back to the drawing board, consult and come up with the best way forward,” said FKE executive director Jacqueline Mugo.

Ms Mugo said employers and employees alike were still apprehensive about the national health insurer’s capacity to manage the multi-billion-shilling fund.

Private schemes
She said employers particularly needed to be informed about the impact of the universal health cover on their health schemes.

“The fact is that many employers already have health schemes for their workers. What will happen to them?” asked Ms Mugo.

The new NHIF rates will see the contribution of high income earners in the formal sector go up by about 600 per cent from the current Sh320 to a monthly rate of Sh2,000.

The Central Organisation of Trade Unions and FKE have asked all Kenyan workers not to allow NHIF to deduct the new fees from their salaries. All employers were also warned against implementing the new rates.

At the same time, the federation has welcomed the latest move by the Salaries and Remuneration Commission to slash the salaries of top State officers.

In the new structure, the President’s pay has been cut from Sh2.3 million to Sh1.75m per month.

She said employers particularly needed to be informed about the impact of the universal health cover on their health schemes.

“The fact is that many employers already have health schemes for their workers. What will happen to them?” asked Ms Mugo.

The new NHIF rates will see the contribution of high income earners in the formal sector go up by about 600 per cent from the current Sh320 to a monthly rate of Sh2,000.

The Central Organisation of Trade Unions and FKE have asked all Kenyan workers not to allow NHIF to deduct the new fees from their salaries. All employers were also warned against implementing the new rates.

At the same time, the federation has welcomed the latest move by the Salaries and Remuneration Commission to slash the salaries of top State officers.

In the new structure, the President’s pay has been cut from Sh2.3 million to Sh1.75m per month.