UHC workers set for permanent jobs as counties agree to absorb them

Deputy President Kithure Kindiki arrive for Inter- Governmental Budget and Economic Council meeting on August 31, 2026. [DPCS] 

The decision was reached during a special Intergovernmental Budget and Economic Council (IBEC) session chaired by Deputy President Kithure Kindiki, bringing relief to thousands of health workers who have been serving under contracts as part of the government’s UHC programme.

Under the agreement, counties will absorb eligible UHC workers into their establishments and place them on permanent and pensionable terms. The transition will be financed through the County Governments Additional Allocations (CGAA) for the 2026/27 financial year.

The Ministry of Health will also be reimbursed for payments it has already made to the workers for July and August, as the responsibility for their employment shifts to county governments.

The Ministry of Public Service, Human Capital Development and Special Programmes will facilitate the transfer of eligible workers’ payrolls to the counties. County Public Service Boards will then undertake the formal absorption of the workers.

The Public Service Commission is expected to issue uniform guidelines to the County Public Service Boards to ensure the transition is undertaken in accordance with the law and follows a common framework across the country.

The arrangement also seeks to protect county governments from financial pressure arising from the absorption of the workers. IBEC resolved that the personnel costs associated with the transition be factored into the Commission on Revenue Allocation’s revenue-sharing recommendations for the 2027/28 financial year.

This is intended to ensure counties do not lose part of their equitable share because of the additional wage bill created by absorbing the UHC workforce.

The decision comes amid growing pressure from health workers’ unions over employment conditions and staffing in public hospitals.

The Kenya National Union of Nurses and Midwives (KNUNM) has been pushing for the absorption of UHC workers, among other demands, arguing that contractual arrangements have left many health workers facing uncertainty despite their critical role in delivering healthcare services.

The nationwide nurses’ strike began on July 29 following unresolved employment grievances, including implementation of collective bargaining agreements (CBAs), career progression guidelines and the absorption of UHC health workers.

KNUNM has maintained that the strike will continue until the outstanding issues are addressed.

The IBEC meeting also directed the Ministry of Health, the Council of Governors and the nurses’ union to urgently resolve the ongoing strike.

The absorption of UHC workers is therefore expected to form part of broader efforts to address the grievances that have disrupted services in public health facilities.