Trade unionist and politician Seth Panyako has been removed from his position as a member of the Local Authorities Provident Fund (LAPFUND) Board in the latest changes within President William Ruto’s administration.
The revocation was announced on Friday, January 23, by Treasury Cabinet Secretary John Mbadi, who said the decision took effect immediately.
Mbadi cited Section 5 of the Local Authorities Provident Fund Act, which grants the Treasury CS powers to appoint and revoke the appointment of LAPFUND board members.
“In exercise of the powers conferred by Section 5(1)(d) of the Local Authorities Provident Fund Act, the Cabinet Secretary for the National Treasury revokes the appointment of Seth Panyako as a member of the Local Authorities Provident Fund Board,” read part of the notice.
The Treasury CS did not provide reasons for Panyako’s removal.
Panyako, who is also the Secretary-General of the Kenya National Union of Nurses (KNUN), was appointed to the LAPFUND board in March 2023 by former Treasury Cabinet Secretary Njuguna Ndung’u.
LAPFUND is mandated to receive, invest, and manage contributions from employees and employers, with the aim of providing a secure financial base for members upon retirement.
His removal comes amid ongoing changes in state-linked institutions as the government continues to reform boards and leadership structures across various ministries and agencies.
During his tenure, Panyako’s position attracted controversy after sections of the public threatened legal action over his bid to contest the Malava parliamentary seat while serving on the LAPFUND board.
At the time, Panyako maintained that LAPFUND was not a state corporation and argued that his role as a workers’ representative did not amount to holding a public office.
The development comes weeks after Panyako lost the Malava parliamentary by-election held on November 27, 2025.
He vied on a DAP-Kenya ticket and garnered 20,210 votes, losing to United Democratic Alliance (UDA) candidate David Ndakwa, who won with 21,564 votes in the closely contested race.
