The government has been ordered to rehire a former finance director of the National Social Health Insurance Fund (NHIF), whose job was affected by restructuring at the medical insurer in October 2025.

The Employment and Labour Relations Court directed SHA to facilitate the redeployment of Robert Ingasira to other roles within the Public Service Commission (PSC), without loss of his benefits until the expiry of his term.

Mr Ingasira was competitively recruited as director of financial services by the defunct NHIF in October 2023 for a fixed term of five years. His services were, however, terminated when NHIF transitioned to SHA.

“An order that the respondent (SHA) do facilitate redeployment of the petitioner to the wider public service with effect from the date of termination without loss of benefits until the end of his contract or as determined by the PSC, whichever is greater,” said the court.

The court further directed SHA to pay Mr Ingasira Sh3 million in damages for breach of his constitutional rights.

The court noted that after the six-month transition period, there was an option to redeploy Mr Ingasira until the completion of his contract, but his request was declined.

Mr Ingasira submitted that during his tenure, he consistently met or exceeded the performance targets set for his role, contributing significantly to the insurer’s operations and growth.

He said his appointment arose during the transition from NHIF, whose transitional provisions required that staff be considered for absorption, redeployment or appointment in a transparent and non-discriminatory manner.

He contended that staff of the defunct NHIF were temporarily deployed to SHA on their existing terms with effect from November 22, 2024, for a period of six months or until the lapse of their respective contracts, whichever came first.

Mr Ingasira said the transitional provisions expressly contemplated that staff not absorbed into SHA would be redeployed within the public service. However, no reasons or explanation were given for his non-shortlisting and non-absorption.

He submitted that he remained in active employment as his contract was never revoked, and that he continued to receive his salary for September and October 2025.

Later, he was informed that his contract had lapsed on October 31, 2025, a date he said was irregularly and unlawfully backdated, as no prior communication had been issued and he remained in active service.

The chief executive officer of SHA, Mercy Mwangangi, opposed the case, saying it was an afterthought and premised on a fundamental misapprehension of his employment status.

Dr Mwangangi added that following the repeal of the National Health Insurance Fund Act, Mr Ingasira did not automatically become an employee of SHA.

The CEO said Mr Ingasira was not shortlisted for the position he applied for and that he had been given the reasons.

SHA argued that his continued presence after the official conclusion of his secondment was a matter of transitional courtesy, intended to facilitate orderly handover and operational continuity, rather than an affirmation of any contractual right.

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