Another whiff of scandal is blowing at the much tainted Kenya Medical Supplies Authority (Kemsa) involving Human Resource spending after it emerged the agency is spending Sh45million monthly on sacked employees.
Some board members are said to be opposed to the proposed restructuring strategy arguing it is not feasible.
Cumulatively, the national drug supplies authority is spending Sh90 million monthly to pay its 912 employees but half of the staff are idling at home following the abortive board’s decision to restructure the agency through massive redundancies.
Kemsa Chief Executive Officer (CEO)Terry Ramadhani who also once served as a director of the board at the agency told National Assembly Health committee chaired by Endebess legislator Robert Pukose that more than 400 employees who were asked last year to work from home had obtained court orders requiring the agency to pay them full salaries, allowances and benefits.
So far, the sacked employees whom Ramadhani accused of sabotage have filed eight lawsuits, six seeking to block the restructuring that will see hundreds of staff declared redundant.
The national drug supplies agency was expected to advertise 378 jobs in November last year but the staff blocked the hiring.
The Employment and Labour Relations Court in November 2021 barred the authority from declaring redundancy or terminating the services of its staff.
Ramadhan lamented that the courts had held its administration captive as would-be affected staff had secured various court orders at the Employment and Labour Court and the High Court.
Last year, Kemsa came under sharp spotlight in the wake of the Sh8.8billion Covid-19 kits purchase scandal done through flawed procurement processes and exaggerated prices and in some instances there was no proof of delivery of items despite payment of colossal amounts of money to the tenderpreneurs who are walking scot free till to date.
“We are paying about Sh90 million monthly to all our employees, including those who are working at home. We intended to have a staff complement of only 378 but those we sent home moved to court and stopped the entire exercise.” Ramadhani told MPs during an inspection visit of Kemsa headquarters in Nairobi.
