More than 1,000 Nandi County workers who had been dismissed by Governor Stephen Sang in October last year have signed new contracts with his administration.
Mr Sang gave in to pressure from different factions in the county after three suicide cases were linked to the sacking.
The governor said the county executive committee had decided to reinstate all workers who had been dismissed.
"The committee is now in agreement that all workers who had been sent home should be reinstated. They will therefore sign new contracts," Mr Sang said.
However, he said senior officers who were reported to have been involved in improper employment of county workers will stay suspended.
"Several senior county officers who were engaged in unlawful engagement of casual workers are currently facing the disciplinary process. County workers should not be punished for other people's mistakes," he added.
However, Senator Samson Cherargei, who had termed the dismissals unfair, said the county workforce was already bloated.
The senator said workers had been sacked unfairly. "Workers were victimised and termed loyalists of former governor Cleophas Lagat and dismissed or transferred irregularly," Mr Cherargei said.
The suicides late last year sparked protests from Anglican Bishop Paul Korir, the senator and Mr Lagat who called on Mr Sang to be fair in his dealings with workers.
"The Nandi County government should be a blessing to the electorate. Leaders are not elected to conduct revenge missions on workers," the bishop said.