National government, county reach agreement on UHC
The Kenyan national and county governments have reached an agreement to absorb Universal Health Coverage (UHC) workers into permanent and pensionable employment. The transition will be funded through the 2026/27 financial year, resolving a long-standing dispute over payroll and employment status.
Why it matters
This agreement ensures the stability of the healthcare workforce and prevents potential service disruptions, which is critical for public health infrastructure in Kenya.
The national and county governments have reached a breakthrough agreement on the absorption of Universal Health Coverage (UHC) workers into permanent and pensionable terms, bringing an end to months of wrangling over their payroll, funding and employment status.
The agreement was reached on Monday during a special session of the Intergovernmental Budget and Economic Council (IBEC), chaired by Deputy President Kithure Kindiki at his official residence in Karen, Nairobi.
The meeting brought together governors, Cabinet and Principal Secretaries and other senior officials to resolve outstanding issues surrounding the transfer of UHC workers to county governments and the remittance of Social Health Authority (SHA) deductions by counties.
Under the agreement, eligible UHC workers will be absorbed by county governments and retained on permanent and pensionable terms, with the transition financed through the County Governments Additional Allocations (CGAA) for the 2026/27 financial year.
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