Over Half of Employers in Eldoret Don’t Pay NHIF, NSSF for Employees – COTU

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Employers in Eldoret town have been put on notice for failing to pay National Hospital Insurance Fund (NHIF) and National Social Security Fund (NSSF) fees for their employees.

The Central Organization of Trade Unions (COTU) says up to 60 percent of the employers in the Uasin Gishu’s capital have not been remitting the payments.

COTU Uasin Gishu branch chairman Peter Odima says the move is against labor laws.

COTU Uasin Gishu chairman Peter Odima.

He wants labor officers to enhance their surveillance and ensure every employer pays for their employees NHIF and NSSF.

Whoever is not paying those fees must be charged. Labor officers or whoever is in charge of enforcing that at the county level should visit all employers and ensure they are compliant, if not, those operating against the law should face the full force of the law,” Odima said.

Kenya’s National Health Insurance Fund (Amendment) Act, 2022 (NHIF) which took effect on 22 January 2022, expanded healthcare coverage and requires employers to pay matching NHIF contributions for their employees unless they offer equal or better private medical coverage.

The COTU Uasin Gishu boss further challenged employers to ensure they implement a 12 percent salary raise that President Uhuru Kenyatta announced during the 2022 Labor Day celebrations.

President Uhuru Kenyatta and COTU boss Francis Atwoli during the Labour Day celebrations at the Nyayo National Stadium in Nairobi on May 1, 2022. Photo Source/PSCU.

Odima noted that so far, a majority of the employers are yet to increase the minimum wage for their employees.

Our spot check shows that most of the employers are still paying the old salary despite the president announcing a 12 percent raise. We want them to effect the raise latest by July 1,” said the unionist.

Speaking during the Labor Day celebrations at Nyayo National Stadium, the Head of State said, “I today declare an increase of minimum wage by 12pc points with effect from today.

This was the first time in over three years that the government had announced a pay rise.

The minimum wage, currently at KshSh13,500 was last reviewed in 2018.

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