News

Panic as 378 Kemsa workers stare at dismissal over pay

Tuesday, July 26th, 2022 01:03 | By
Kemsa headquarters in Nairobi. PHOTO/PD/Print
Kemsa headquarters in Nairobi. PHOTO/PD/Print

The Kenya Medical Supplies Authority (Kemsa) will this week send 378 employees packing under a new organisational structure.

Chief executive Terry Ramadhani said the move is aimed at controlling the inflated wage bill coming in the wake of Covid-19 scandal that hit the agency two years ago.

“The new redefined roles and functions will be advertised this week and competitively filled to ensure compliance with the approved staff establishment level. Unsuccessful staff members impacted by the new structure will be declared redundant,” Ramadhani said.

Last week, Ramadhani called the affected staff to notify them of the redundancy plans. “Further to the engagement and close of notice of redundancy, all members of the staff are invited to a virtual conference on Friday, July 22 at 9am. The aim of the conference will be to announce the next steps of our reform process,” a notice by Ramadhani read.

But staff members who spoke to People Daily, however, vowed to resist the move and vowed not to sign the redundancy letters. “We must be told why we are being sacked, the management is not giving any explanation. We are being asked to sign the letters on their own terms,” an affected staff member said.

New employees

Ramadhani said the vacancies will be filled competitively, including by non-Kemsa workers, an indication that new employees were likely to be recruited.

“No staff member has been declared redundant at this juncture. Redundancies will only apply once the advertised roles have been sufficiently filled,” Ramadhani added.

  However, the affected workers have stuck to their guns, maintaining that they will not fall into the trap set by the employer to have them sign the redundancy letters and lose their dues.

“We will be moving to court immediately the letters are issued. The move by the management is not unconstitutional but denies workers their rights as per Labour laws,” the source said.

Kemsa Board, while declaring the restructuring programme, said the agency had more than double its required staff size, resulting in the ballooning wage bill.

Auditor-General Nancy Gathungu also waded into the debate, and in her audit report in the year ended June 2020, said Kemsa had 912 employees against an approved number of 341.

In the report, which is currently before Parliament, the Auditor said that no approvals were given to allow the employment of the extra 571 workers.

Gathubgu said that five officers seconded to the agency by the Ministry of Health have served the organisation for a period of more than six years contrary to the law. 

The law requires that officers on secondment serve for a three-year renewable term. It is this bloated workforce that has now pushed the agency to trim its workforce in a new structure that aims to bring down operations efficiency and reduced costs. Under the new terms, Kemsa will pay workers a minimum of 15 days on basic salary for each year worked.

 Covid-10 kit scandals led to the suspension of funding by international donors, who included The Global Fund.

Graft allegations

Global Fund said Kenya risks losing Sh48 billion if corruption investigations at the agency are not completed and changes made to ensure transparency.

 Fund mobilises and invests money to accelerate the fight against Aids, tuberculosis and malaria epidemics.

 Donors at the Global Fund said it was concerned about graft allegations at Kemsa and that they wanted commitment that the claims will be addressed.

Consequently, the Globa Fund issued a number of demands that must be met for Kenya to continue receiving grants, which included Kemsa finishing the implementation of reforms so that they can make urgent interventions, including addressing recent disruptions in the supply of critical HIV drugs.

  Following the rot at the authority, donors turned down a request of an additional Sh3 billion to boost the Covid-19 response.

More on News


ADVERTISEMENT

RECOMMENDED STORIES News


ADVERTISEMENT