COTU Defends Higher Health and Pension Deductions Claims Only High Earners Affected.
The Central Organisation of Trade Unions (COTU) has justified the recent increase in health and pension deductions, asserting that these changes primarily affect high-income earners who do not belong to its membership.
According to COTU, the shift from the National Health Insurance Fund (NHIF) to the Social Health Insurance Fund (SHIF) has been advantageous for most of its members. This transition has led to reduced deductions, ultimately improving their payslips.
Legal Action for Proper Management
COTU clarified that its legal action was not intended to oppose the changes but rather to ensure that a competent and accountable managing trustee was in place.
The organization emphasized that funds under the National Social Security Fund (NSSF) remain secure as personal savings that cannot be misappropriated.
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The Central Organisation of Trade Unions (COTU) reassured workers that financial oversight is in place, with the organization itself, the Federation of Kenya Employers, and the Minister of Labor actively monitoring the fund’s administration.
This structure, they argued, guarantees that workers’ savings remain protected and properly managed.
COTU Defends Higher Health and Pension Deductions Claims Only High Earners Affected.
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