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COLLECTIVE AGREEMENT

This Collective Agreement is hereby concluded by and between the Sheraton Addis Hotel (hereinafter cited as “the Undertaking”) and the Basic Trade Union of Workers of the Sheraton Addis Hotel established in accordance with the provisions of the Labour Proclamation No.

377/2003 (hereinafter cited as “the Trade Union”) this

— day of the year 2011.

Article One

Definitions and Related matters

1.1.Definitions.

Unless the context expressly provides otherwise, words and expressions stated in this Collective Agreement shall have the meanings provided in this Article.

1.1.1.“Proclamation” means the Labour Proclamation No. 377/2003.

1.1.2.“Undertaking” means the Sheraton Addis Hotel.

1.1.3.'Trade Union" or "Union" means the basic trade union established by the workers of the Sheraton Addis Hotel.

1.1.4. “Starwood” means the international organization (hat runs the management of the Undertaking.

1.1.5.“Worker” means a person who has an employment relationship with the Undertaking in accordance with the provisions of Article 4 of the Proclamation.

1.1.6.“Managerial Employee" means a person who, by law or by the power delegated to him by the

Undertaking according to the nature of business of the latter, is vested with powers and responsibilities of formulating management policies or of implementing such policies including, but not limited to, the power to hire, transfer, suspend, dismiss, assign or take disciplinary measures. The expression also includes the Head of the Legal Services who is entrusted with the task of soliciting advice on managerial measures to be taken by the Undertaking with a view to protecting the interest of the latter.

1.1.7."Union Leader" means only a person who is a member of the Executive Committee or of the Audit Committee of the Trade Union that is registered with and accorded legal personality by the Ministry of Labour and Social Affairs representing the generality of workers in the Undertaking.

1.1.8."Salary" means the remuneration due to a worker for the services he renders to the Undertaking according to his contract of employment; but shall

not include the following:

a.Overtime pay.

b.Per diem, hardship allowance, transportation allowance and similar dues.

c. Bonus paid by the Undertaking.

d.Commission pay.

e.Incentives paid in recognition of additional work results.

f.Service charges.

1.1.9."Overtime Pay" means the remuneration to be made to a worker by the Undertaking in consideration of the services he renders to the latter out of the regular working hours determined by the provisions of the Proclamation and those of this Collective Agreement.

1.1.10."Service Charge" means the sum of money that the Undertaking collects from its customers with a view to paying it back to the concerned workers having a permanent contract of employment with the Undertaking; but shall not include bonus payments and tips.

1.1.11."Grievance" means any complaint made in relation to the interpretation or implementation of provisions laid down in the directives, rules and procedures of the Undertaking, this Collective Agreement or the provisions of laws relevant thereto.

1.1.12.‘‘Leave” means the period of regular working hours in which a worker does not report to duty, with or without salary, on the basis of permission granted to him by the appropriate managerial employee.

1.1.13."Year" or “The Year” means the Gregorian Calendar that is adopted as the fiscal year of the Undertaking.

1.1.14."Premises of the Undertaking” means the main compound of the Sheraton Addis Hotel and any

other place in which the Undertaking carries on its activities.

1.1.15."Workers Entitled to Benefits” means only workers with contracts of employment for an indefinite period of time.

1.1.16.“Agreement” means this Collective Agreement.

1.2.

Change of the name of the Undertaking implies the corresponding change of the name of the Trade Union.

1.3.

Unless the context provides otherwise, expressions set out in the masculine gender in this Agreement shall imply the feminine gender.

1.4.

The undertaking may cause the translation of this collective Agreement into any other language of its choice provided, however, that the Amharic version shall prevail in the event of incompatibility between the Amharic and the translated version.

Article Two

Objectives of the Agreement

2.1.

To protect, strengthen and foster the rights, benefits, integrity and welfare of the Undertaking and its workers.

2.2.

To create a reliable atmosphere that will enable the Undertaking to be competitive and profitable in a free

market and to ensure permanent job security to its workers.

2.3.

To determine work rules through collective bargaining in a manner that takes into account the rights, duties and work conditions to the negotiating parties.

2.4.

To lay down a conducive climate that would bring about the desired industrial peace for the stable and continuous resumption of the services provided by the Undertaking by creating positive and harmonious relationship between the Undertaking and its workers.

2.5.

To define the relationship of the Undertaking and its workers on appropriate rights and obligations that would create peaceful relations for the common betterment of both parties.

2.6.

To create awareness an the modalities of submitting grievances and on the manners of taking disciplinary measures; to ensure the full and overall management of the Undertaking; to create smooth working atmosphere between the Undertaking and its workers on the basis of defined and appropriate rights and obligations of the parties.

2.7.

To recognize the worker as the cornerstone of the existence of the Undertaking and, to this end, to promote conditions for the protection of his health as well as his mental and physical well being, to guarantee the appropriate remuneration commensurate to the work he performs in the Undertaking, to uphold his human dignity and establish appropriate mechanisms in which he takes part in the operation of the Undertaking,

2.8.

To motivate and encourage the worker to enable him raise his productivity by inculcating a sense of love for his duties and fostering good working moral.

Article Three

Scope of the Agreement

3.1.

This Collective Agreement shall remain valid for a period of three (3) years commencing from the date of signature put unto it by the Sheraton Addis Hotel and the Basic Trade Union of workers of the Sheraton Addis Hotel.

3.2.

This Collective Agreement shall be applicable on all the workers of the Undertaking provided, however, that it shall not be applicable on the following personnel.

a.The General Manager

b. The Deputy General Manager.

c.The Director of the Engineering.

d.The Director of the Finance.

e. The Director of Food and Beverages.

f. The Director of Guest Services.

g.The Director of Human Resources.

h.The Director of Operational Innovation (Black Belt)

i. The Director of Revenue Management.

j. The Director for Sales and Marketing.

k. The Director of Security.

l. The Director for Information Technology.

m.The Personal Assistant to the General Manager.

n. The Training Manager.

o. The Assistant Director of Human Resources. p. The Assistant Director of Finance.

q. The Executive House Keeper.

3.3.

Parties to this Collective Agreement shall commence negotiation on the amendment or replacement of the same three (3) months ahead of the expiry of the period of time for which it is in force. In the event the negotiation does not come to an end three months following the expiry of the period for which this Agreement is in force, the provisions on salary and benefit schemes of the expired Agreement shall not be applicable. Parties to the

Agreement have, however, agreed that they will hold a mutual consultation on salary issues in January of the new year and the agreed upon decision shall be executed in February of the same year.

3.4.

Unless the context provides otherwise, provisions of this Collective Agreement shall be deemed to constitute part of the employment contract of every worker.

3.5.

Where provisions of this Collective Agreement are more beneficial to the worker than what is provided under the law, the former shall prevail. The law shall, however, prevail where its terms are more favorable to the worker.

Article Four

Rights of the Undertaking

Without prejudice to the rights and benefits of workers stipulated in this Collective Agreement, the following rights of the Undertaking are hereby recognized by the parties when carried out by its appropriate authorities or its agents.

4.1.

To plan, organize, reform, alter, administer, manage, supervise and carry out the activities of the Undertaking as well as to determine and fix job classifications and the corresponding salaries and ensure their implementation.

4.2.

To hire, suspend, fire and promote workers as well as take disciplinary actions on them in accordance with the provisions of the Collective Agreement

4.3.

To transfer a worker to a similar job position and to issue to him the appropriate job description.

4.4.

To terminate the contract of employment of a worker upon serving due notice on him where, in accordance with the relevant provisions of the Proclamation, the position held by the employee is no more relevant to the Undertaking for good cause and where it is not possible far the Undertaking to place the worker to another position.

Article Five

Obligations of the Undertaking

The following shall be the obligations of the Undertaking.

5.1.

It shall duly observe and ensure the implementation of all work conditions outlined under this Collective Agreement, the Proclamation and other laws as well as regulations and directives of the Government relevant to employment relationship.

5.2.

It shall issue to every single worker job description that outlines his dities and responsibilities. It may not, however, compel a worker to perform a duty other than those specified in the job description and the contract of employment.

5.3.

It shall protect the human dignity of the worker.

5.4.

It shall take all necessary measures to create a healthy work environment Furthermore, it shall provide the equipments required for the protection of the health and safety of the worker and the prevention of hazardous situations; it shall provide the appropriate sanitary facilities and ensure their proper cleanliness; it shall also make available basic provisions for the protection of workers' personal hygiene.

5.5.

It shall provide the standard safety protection devices to workers depending on the nature of the activity to be carried on by the latter.

5.6.

It shall maintain a personal file to each worker that shows the date of employment, his salary, the times of promotion, educational qualification, letters of appreciation, the results of his yearly performance evaluation, disciplinary actions and other related matters. It shall, when so requested, enable the worker to consult his personal file in the presence of the personnel head or his representative.

5.7.

It shall cooperate in efforts made for strengthening workers thrift and credit association and sporting activities by providing moral and material support

5.8.

It shall allocate an amount up to Birr 250,000.00 (Two Hundred and fifty thousand) to cover the educational and training expenses of its workers who take courses on their own free times, with a view to upgrade their skills and performance capabilities. The implementation of this provision shall be subject to further negotiation and agreement between the Undertaking and the Trade Union.

5.9.

It shall cause the presence of a representative of the Union when it conducts investigations on alleged faulty conduct of workers.

5.10.

It shall provide, free of charge, standard meals, as per existing practice, to workers who are on duty during breakfast, lunch, dinner and late night dinner hours owing to instructions or schedules of the Undertaking.

5.11.

It shall grant paid leave to a worker who is a party to a trade dispute to attend proceedings of the same or to one who is summoned in writing by the appropriate judicial organ to appear as a witness or as an expert. The worker shall produce the required evidence to that effect from the relevant organ.

5.12.

It shall conduct trainings by professionals on safety precautions and the handling of equipments to concerned workers. It shall likewise ensure that such trainings are conducted at least once a year and shall, where appropriate, issue certificates evidencing the same. Such trainings shall comply with the safety rules issued by Starwood as per the provisions of Article 12 (3) of the Proclamation.

5.13.

It shall distribute, free of charge, a copy of this Collective Agreement to each and every one of its workers.

5.14.

It shall cause the education or training of workers on a merit and competitive bask where such training opportunities are available within or outside the Undertaking.

5.15.

It shall provide an office to the Trade Union, within its main premises and with the required facilities, which may only be employed for the business of the latter. It shall also affix a notice board at a place convenient for workers to have a look at.

5.16.

It shall, from time to time and in consultation with the Trade Union, devise mechanisms on work procedures that motivate, its workers to be competitive.

5.17.

It shall, in accordance with guidelines to be issued for motivating and encouraging workers and in consultation with the Trade Union, award prizes to meritorious workers who have registered outstanding performances.

5.18.

It shall supply to the Trade Union copies of new policies that directly affect workers such as those on promotion, transfer, and disciplinary measures.

5.19.

It shall conduct studies on upgrading the productivity of workers jointly with the Trade Union, negotiate on the same with the latter and, where appropriate, cause its implementation.

5.20.

It shall refrain from employing workers from outside the Undertaking for vacant positions for which there are workers within it who fulfill the required qualification and experience. It shall only do so where there are no candidates from within.

5. 21.

It shall take the necessary measures to do away with redundancy of workers in the event where it introduces new work procedures or where it causes the installation of new equipments that would bring about more efficiency to its operation. The relevant provisions of the Proclamation shall apply where such efforts do not bear fruits.

5.22.

It shall grant a half-day paid leave for all its workers to enable them attend General Meeting of the Trade Union. It shall in addition provide such meeting with an assembly hall in a manner that does not affect the smooth operation of its activities.

5.23.

It shall provide free meals to two employees of the Trade Union in the dining room of its workers.

5.24.

The Undertaking:

a.Shall refrain from my and all acts that violate or restrict the rights of a worker.

b.Shall not commit acts of retaliation on workers or their representatives for taking lawful actions

with appropriate authorities against hose responsible for violation of their rights.

c. Shall not discriminate against or do inappropriate acts on workers who are members of the Trade Union or those who conduct lawful activities in the name of the Trade Union.

d.Shall not cause the multiple punishment of a worker for a single act.

e.Shall not take multiple penalties on acts done with the intent of committing a single offense.

f.Shall not collectively punish workers unless it is proven that they are all responsible for the offense.

g.Shall not cause the transfer of a worker with the intention of depriving him of a forthcoming promotion due to him had he stayed in the position.

h.Shall not issue instructions that compel a worker to stay in work outside the regular work hours or to perform works beyond his capacity; or instructions thatclearly violate the provisions of this Collective Agreement or international labour Conventions to which the country is a State Party; or that cause injuries to life or bodily integrity of workers or properties of both the Undertaking and its workers.

i.Shall fill replaceable vacant positions within a period of two months taking into account procedures relevant to internal transfer

5.25.

It shall issue a certificate of termination to a worker whose contract of employment is terminated within a period of seven days following the date of completion of clearance procedure by the worker by

stating the job, profession, the period of service, salary and the reason for termination.

Article Six

Rights Due to Workers

Workers of the Undertaking shall have the following rights in this Collective Agreement.

6.1.

The Undertaking hereby recognizes the rights of workers to refuse performance of works that cause or that are likely to cause hazards on their lives or health, which hazards have been ascertained and are brought to the attention of the Undertaking and its workers by an appropriate organ.

6.2.

A worker shall not be compelled to perform works that arc not equivalent to or not at par with his position unless such instruction is deemed desirable for the purpose of preventing hazardous circumstances that may befall upon the Undertaking.

6.3.

Every worker has the right to make inquiries on matters pertaining to promotion, transfer, education, training and similar other matters and, in the event he has grievances, he has the right to make inquiries and get explanations on its applications.

6.4.

Every worker is entitled to claim compensation for occupational injuries he sustains in accordance with the law, provided, however, that the Undertaking shall assume no responsibility for injuries the worker intentionally inflicts upon himself.

6.5.

A worker has the right to file petition with supporting evidence to the Undertaking on matters relating to salary adjustment or undue work load.

6.6.

Workers assigned to the same work unit are entitled to fair and equitable assignment and distribution of work within that unit.

Article Seven

Obligations of a Worker

7.1.

Every worker of the Undertaking shall be obliged to the following duties.

a.To observe work orders and directives issued in accordance with the Proclamation, other appropriate laws and this Collective Agreement.

b.To refrain from committing intentional or reckless acts that are likely to cause harm or other perils on himself or fellow workers.

c.To inform, at the earliest convenient time, facts that are likely to affect his family status such as death, birth, marriage or divorce; and to present documents relating to his education, work experience, letters of appreciation and other relevant documents to the Undertaking to be kept

in his personal file.

d.To immediately handover to the Undertaking forgotten and lost properties that come into his possession by virtue of his work assignment. Such

properties shall be subject to the policy of the Undertaking on Lost and Found Property where the owners fail to show up and claim them within a period of six months.

7.2.

It is prohibited for a worker to perform the following activities.

1.Repeated and unjustified late reporting to duty with or without prior warning.

2.Unjustified absence from work for five (5) consecutive work days or for a period of ten (10) days within a single month or a period of thirty (30) workdays within a year.

3.Failure to report absence from duty on time.

4.Commission of deceitful or fraudulent acts while on duty.

5.Taking undue possession of monies or properties belonging to the Undertaking; to take any property of the Undertaking without prior authorization of the concerned official; to appropriate properties of customers or fellow workers with the intention of procuring unlawful gain to oneself or to third parties.

6.Registering repeated below-standard- performance measured against the criteria set by the Undertaking with respect to quality and quantity of work in spite of one's potential otherwise.

7.Demonstration of unbecoming behavior to customers, guests and fellow workers contrarily to the nature of one’s duty, including rudeness, insult or aggressive behavior.

8.Commission of acts of brawl or quarrel while on duty, or to cause bodily injury on one's immediate supervisor, fellow workers, guests or invitees of the Undertaking.

9.Raving personal relationship with customers or perform personal business with them in the Hotel rooms or within the premises of the Undertaking unless such relationship is warranted by the work flow of the latter.

10.Unauthorized or unwarranted presence in places, rooms, dining or wining quarters of customers.

11.Criminal conviction that renders the worker unfit for the position he holds.

12.Causing harm on anyone's life or property, intentionally or by gross negligence, when performing one's duties in the Undertaking. For the purpose of this sub-Article, the expression “property” covers properties belonging to the Undertaking, other workers and customers.

13.Failure to observe and abide by rubs and procedures relating to safety precautions on occupational hazards.

14. Absence from duty for more than 30 days on account of a court sentence passed on a worker.

15.Eon-discharge of duties and responsibilities spelt out on one’s job description or non- compliance with instructions of one's supervisor made in accordance therewith.

16.Signing or making marks on attendance punch cards or attendance sheets on behalf of another worker or performing any other act similar thereto.

17.Handing over in any form confidential documents of or divulge information belonging to the Undertaking to an unauthorized person.

18.Loss of capacity to perform duties to which a worker is assigned; or his lack of skill to continue his work as a result of his refusal to take part in trainings prepared by the employer to upgrade his skill; or his inability to acquire the necessary skill after having undergone such training.

19.Permanent inability to carry out duties specified in one's contract of employment for reasons of health or disability.

20.Refusal to accept transfer to a place where the Undertaking carries out its activity.

21.Responsibility ior causing acts detrimental to peaceful and safe working climate necessary for the operation and productivity of the Undertaking.

22.Unauthorized operation and use of personal mobile telephones while on duty.

23.Making sexual advances to other workers, customers or suppliers, directly or otherwise, or lay down such acts as preconditions to any service.

24.Responsibility for acts of discrimination against customers, suppliers or workers on grounds of race, color, age, sex, sexual orientation, nationality, marital status, religion or disability.

25.Distribution of unauthorized literature in work places or posting notices and posters on the Hotel's walls or other inappropriate places.

26.Non-observance of rules and procedures on cash handling or performing such duties in a manner that violates rules of proper accountability.

27.Inability to discharge one's duties and responsibilities in an effective manner.

28.Failure to disclose any kind of personal injury sustained during work.

29.Failure to maintain the highest possible personal hygiene, to wear proper uniform and put on the required badges and pins, to observe rides of the work unit or of the Undertaking relating to the use of jewelries, dressing and hair style.

30.Fund raising in the premises of the Undertaking, sale of lotteries or merchandise of any kind, soliciting donations, or performance of any other similar acts not authorized by the

31.Taking part in whatever form in any act of gambling conducted within the premises of the Undertaking.

32.Disclosing information relating to the Undertaking to news media without the knowledge and approval of the General Manager.

33.Commission of acts of shouting and nuisance, to singing, whistling or causing disturbance around office quarters or around places where customers are being served.

34.Vacating one's place of assignment without due authorization from the concerned supervisor, unduly roaming around the premises of the Undertaking or sleeping or taking nap on duty.

35.Giving or printing wrong, malicious and fraudulent information regarding any worker, customer, immediate supervisor or the Undertaking,

36.Parking vehicles in unauthorized places.

37.Bringing arms, knives or similar other materials to the premises of the Undertaking.

38. Keeping property belonging to the Undertaking in one's locker without the required authorization.

39.Prohibition of search of sealed items, boxes, desks and offices; or refusal to conduct searches on gates.

40.Non-observance of instructions and directives issued in relation to one's duties.

41.Unauthorized possession, duplication or handing over of hotel keys or deliberate or negligent loss of these keys.

42.Dining or drinking in unauthorized places as well as smoking in prohibited a m and chewing gums.

43.Supplying incorrect educational or work experience, credentials during one's tenure of employment.

44.Unauthorized use of items designed for customer services or use of Hotel telephones for personal matters.

45.Possession, use, sale, transfer, or keeping of drugs or items destined for drug use or substances subject to close monitoring by the concerned organ within the premises of the Undertaking or in its vehicles during one's term of employment; or consumption of alcohol in work places during work hours.

46.Watching television or reading newspapers on duty unless such behavior is warranted by the needs of the work an which a worker is assigned.

47. Use of Automatic Teller Machines (ATMs) in places and times other than those authorized for workers.

48.Use of computers of the Undertaking outside the time allotted for workers; violation of policies and procedures on the use of the Undertaking's information technology resources; against policies an utilization of computers; and policies on accessing, watching, downloading, saving, receiving or sending any and all kinds of indecent and inappropriate videos.

49.Failure to observe the provisions of the Proclamation, related laws and regulations as well as this Collective Agreement and amendments thereto.

50.Improper handling by a worker of equipments and tools given to him for the discharge of his duties,

51.Refusal to take part in meetings and training exercises designed to upgrade one's knowledge and working skills.

52.Failure to serve the Undertaking for a defined period in one's area of specialization after having

undergone training on the same within or outside the country at the expense of the Undertaking.

53.Unauthorized duplication of the Hotel's Master Key.

54.Supplying incorrect information regarding oneself, family members or other matters during his term of employment.

Article Eight

Rights of the Trade Union

8.1.

Without prejudice to rights of trade unions recognized under the Proclamation, this Collective Agreement and other appropriate laws on trade unions, the Undertaking hereby recognizes the right of the Trade Union to freely conduct its activities in line with the objectives for which it is established; to negotiate collective agreements with the Undertaking on behalf of workers in accordance with its internal bylaws and rules; and to represent workers in matters pertaining to their contract of employment with the Undertaking as per appropriate laws and regulations.

8.2.

The right of the Trade Union to submit problems relating to work conditions and performances; and to seek rectification measures in periodic consultative meetings with representatives of the Undertaking is

hereby reserved.

8.3.

The Undertaking hereby recognizes that only the Trade Union has the right to call general meeting of

members or that of the Executive Committee; to cause election of representatives of the Union to any forum and to supervise their activities or cause their replacement.

8.4.

The Union shall take part in the administration of the Undertaking by supplying its comments and suggestions through its representatives when policies are formulated or implemented and shall further have a say in the evaluation of the effectiveness of such policies. Such participation, however, docs not include involvement in the financial activities of the Undertaking other than matters relating to service charges due to workers.

8.5.

The undertaking shall supply to the Trade Union a monthly statement on the total amount of service charges due to workers, the number of workers entitled thereto as well as changes observed on the same. The Trade Union shall further seek clarification if it has justifiable, doubts on the contents of the statement. Where explanations made by the Undertaking arc not to the satisfaction of the Trade Union and such doubts cannot be resolved by negotiations, the latter shall cause the auditing of the statement for a maximum of three times a year. The Trade Union shall cover the audit cost unless the audit report reveals discrepancy in the statement supplied by the Undertaking. The Undertaking shall further handover a portion of the annual report of its external auditor relating to utilization of service charges

Article Nine

Rights of Trade Union Office Holders

9.1.

The Undertaking shall not discriminate against elected officials of the Trade Union nor perform acts detrimental to them by reason of their participation in lawful activities therein.

9.2.

The Undertaking shall, in accordance with the Proclamation and this Collective Agreement, take the time passed by officers of the Union to carry out their Union duties for time spent on duty.

9.3.

Subject to rights of union officials specified in the Proclamation, this Collective Agreement or other appropriate laws, the Undertaking shall grant a one- day weekly leave for union duties to elected union officials with full pay and benefits. Similar leave shall be granted to members of the Executive Committee of the Union where conducting an urgent meeting becomes necessary and upon prior notification of the same to the Undertaking, provided, however, that several persons from the same unit cannot be granted such leave at the same time.

9.4.

During the term of his office, an elected Union official shall be entitled to salary increments and other benefits to which his fellow workers are entitled. The term of union service shall also be included in the duration of service rendered to the Undertaking

Article Ten

Obligations of the Trade Union

10.1.

The Union shall create awareness of its members on their rights and obligations specified in the Proclamation, other relevant laws on employment relations and this Collective Agreement and do its best for the positive resolution of trade disputes.

10.2.

The Union shall, in cooperation with the Undertaking, exert every possible effort to let workers be informed of the spirit and execution of this Collective Agreement.

10.3.

The Union shall encourage workers at all levels to properly discharge their duties and responsibilities in a prudent and faithful manner.

10.4.

The Union shall, in collaboration with the Undertaking, take measures required to promote the efficiency and diligence of workers, to raise their level of individual and collective productivity as well as the profitability of the Undertaking.

10.5.

The Union shall, in cooperation with the Undertaking, cause the proper handling of work equipments and tools.

10.6.

The Union shall give prior notification to the Undertaking when it invites persons other than workers of the Undertaking to the premises of the latter.

Article Eleven

Unlawful Acts

11.1.

Commission of the following acts by the Undertaking is unlawful.

a.To impede in any manner workers from enforcing their rights or take actions against them for reasons related to enforcement of their rights.

b.To commit acts contrary to the provisions of this Collective Agreement or of the Proclamation.

c.To compel a worker to carry out his duties under conditions that are likely to cause hazard on his life.

d.To discriminate between workers on the ground of ethnicity, sex, color, religion, political orientation and similar other reasons.

11.2.

Commission of the following acts by any worker is unlawful.

a.To intentionally commit acts that endanger life and property at the place of work.

b.To take away property from work place without an express authorization of the employer.

c.State of intoxication while on duty.

d.Refusal to submit to medical examination where required by law or by the employer for good cause, except in the case of HIV/AIDS test.

e.Refusal to observe safety and accident prevention rules and refusal to take the necessary safety precautions.

Article Twelve

Joint Consultation

12.1.

The purpose of a joint consultation is to strengthen the relationship between the Undertaking and the Union by creating a smooth work atmosphere and to promote productivity.

12.2.

The Undertaking and the Union shall hold consultative meeting once every three months to deliberate on matters relating to work conditions that are specified in this Collective Agreement or matters not covered herein as well as on policies, rules or work practices of the Undertaking, or on issues that affect the majority of workers provided, however, that any one of the parties may call emergency meetings whenever the need for so doing arises.

12.3.

Each party shall be represented by two to four members at such meetings. Where both parties agree to that effect, the number of representatives may be more than this figure on the condition that a person attending such meeting shall have the lawful authority to vote on motions for decision.

12.4.

a. The date and time of the meeting shall be jointly fixed by the Union and the Undertaking and they shall exchange the agenda items to be deliberated at the meeting once week ahead of the date of the meeting.

b.Where an emergency meeting is called, the party calling the meeting shall handover the agenda item to the other party at least three days before the date of the meeting and the meeting shall be held on the next day.

12.5.

Matters not included in the agenda shall not be deliberated upon in the meeting unless both parties agree to do so.

12.6.

In the went one of the parties cannot be present at the meeting, it shall in writing request postponement of the meeting for a period not exceeding one week provided, however, that a meeting cannot be postponed more than once upon the unilateral request of one party.

12.7.

Minutes of consultative meetings shall be drawn up by the designated secretary and shall be ready for approval and signature of the parties within five working days following the date the meeting was held. The approved minutes shall be appended to this

Collective Agreement in accordance with the relevant provisions of the Proclamation and other appropriate laws and shall be considered as an integral part thereof.

Article Thirteen

Employment, Promotion and Training

13.1. Employment

a. The Undertaking shall cause notice for employment of workers from outside only and only if the vacancy cannot be filled by workers from within after an internal notice to this effect is publicized.

b. The Undertaking shall give a letter specifying the work position, salary and job description to a newly employed worker.

13.2. Promotion

a. Promotion of a worker to a higher position shall be based on qualification, experience and skill required for the position and on a competitive basis.

b. In the event of a vacancy in any unit of the Undertaking, priority shall be given to workers in that unit whose position is immediately below the vacant one; failing which a notice to that effect shall he posted on a notice hoard provided by the Undertaking so that other interested workers of the Undertaking may apply to be considered for the same.

c.1.The amount of salary increment due to a promoted worker shall be the difference between his salary and the initial salary set for the vacant position or an increment of 15% of his existing salary, whichever is higher.

2 The salary of a worker who is transferred to a lower position upon his own request shall be set on the basis of the initial salary set for the new position plus the sum of the annual increments he would have been entitled in during his service years had he been on that position.

d.1.Promotion shall be effective as of the date of the letter to that effect.

2 A promoted person who has fulfilled the requirements for the new position shall not be detained in the previous position for a period exceeding one week following the date specified in the letter of promotion.

e.The effective date of a laterally transferred worker or one who is assigned to a lower position shall commence an the date specified in the letter to that effect.

f.No probation period requirement shall apply on a promoted worker.

13.3. Training

a. The Undertaking shall conduct training to its workers within or outside the country with a view to furthering their productivity in line with its goals and objectives.

b. A worker is obliged to take part in such training whenever he is required to do so.

c. A worker who takes part in trainings organized by the Undertaking, at home or abroad is entitled to full salary and benefits during the training period. Fees and costs of the training shall be covered by the Undertaking. The worker shall give service to the Undertaking in accordance with the terms and conditions stipulated in the training agreement.

d. Selection of workers for training at home or abroad shall be made by the Undertaking in a fair and just manner.

Article Fourteen

Vacant Positions

14.1.

A worker applying for a vacant position shall fulfill the requirements on qualification, education and other criteria.

14.2.

Even if a worker meets the requirements of a vacant position in a manner better than any other applicant, he shall be placed to the position only upon undergoing the procedures set for competing to the post.

14.3.

The Union shall take part in the deliberations of examinations administered for promotion and transfer of non-managerial workers in an observer capacity and where there are complaints on the outcome of the process; it shall solicit solutions by filing its grievance to the Human Resources Department.

14.4.

The name of the person promoted or assigned to the advertised position shall be disclosed to workers on the Undertaking’s notice board. A worker aggrieved by the outcome of the competition shall file his grievance in writing within a period of ten days following the date of the notice.

Article Fifteen

Performance Evaluation

15.1. Objectives

a.Performance evaluation aims at bringing about efficiency of the work force to enable them contribute their share to the progress of the Undertaking by inculcating ethical values, developing their strengths and correcting their weak points.

b.It also helps workers to appreciate their own capabilities, know their strengths and improve areas that deserve to do so.

c.To identify, prepare, encourage and train highly capable and efficient workers for better positions.

15.2.

The following support shall be accorded to workers who do not meet the required expectation by scoring “D” in performance evaluation.

1.Performance upgrading plan will be devised to them in one month’s time.

2.Relevant training will be provided to them within the next five months.

3.Performance evaluation for the first half year will be made at the end of the sixth month.

4.If the worker still registers unsatisfactory performance, the relevant department head shall supply additional assistance to the worker.

5.If the worker is not satisfied with the support accorded to him during the first half of the year, he has the right to submit a request to the department head and to the head of the training department.

6.The contract of employment of the worker shall be terminated where he scores D (Did not meet expectations) upon evaluation at the end of the subsequent year after having been provided with the support specified in this Article.

Article Sixteen

Work Positions and Promotion Ranks

The Undertaking has the right to draw up work positions and promotion ranks. Such work positions and promotion ranks shall be notified to the Union as soon as they are ready. The same shall be done when changes are made on existing promotion ranks.

Article Seventeen

Hours of Work

17.1.

Normal hours of work shall not exceed eight (8) hours a day or forty-eight (48) hours a week. The hours shall be counted as of the time fixed for the worker to commence his duties.

17.2.

The 30 and 15 minutes allotted for shift workers during meal and tea breaks respectively shall be included in the normal work hours.

17.3.

Only the Undertaking shall fix the work hours of shift workers taking into account the nature of the work in which they are assigned.

Article Eighteen

Weekly Rest

Weekly days of rest shall be as provided under Articles 69 and 70 of the Proclamation. The Undertaking and the Union shall hold consultation on its implementation with a view to settle problems arising therefrom.

Article Nineteen

Conditions for Overtime Work

No worker shall be compelled to work overtime, provided, however, that the Undertaking may require him to work overtime when the conditions specified under the Proclamation arise.

Article Twenty

Public Holidays

20.1.

Public holidays observed under the relevant law shall be paid holidays.

20.2.

The provisions of Article 21 of this Collective Agreement shall apply with respect to payment due to a worker who is assigned to duty on public holidays.

Article Twenty-One

Overtime Pay

21.1.

Overtime pay shall be effected in the manner provided hereunder.

a.In the case of works done between six o’clock (6:00 a.m.) in the morning and ten o’clock (10:00 p.m.) in the evening, at the rate of one point eighty-five (1.85) multiplied by the ordinary hourly rate.

b.In the case of night time work between ten o’clock (10:00 p.m.) in the evening and six o’clock (6:00 a.m.) in the morning at the rate of two (2) multiplied by the ordinary hourly rate.

c.In the case of works done during weekly rest days at the rate of three (3) multiplied by the ordinary hourly rate.

d.In the case of works done during public holidays, at the rate of three (3) multiplied by the ordinary hourly rate.

21.2.

Overtime work done in accordance with Articlc 19 of this Collective Agreement shall be paid within the month in which it is performed.

22.3.

Overtime work shall be converted into leave upon the request of the worker and acceptance of the Undertaking.

Article Twenty-Two

Shift Work

22.1. Shift Work Schedule

a.Workers assigned to shift work may exchange work hours upon satisfaction of the condition laid down for so doing by the Undertaking provided they are in the same work position, competence and responsibility. The immediate supervisor shall ensure the fulfillment of these conditions and may not accept the request if these requirements are not met. The workers exchanging shift hours shall reduce their agreement into writing by filling in the form designed for this purpose. They shall inform their agreement to their supervisor by phone in the event they cannot personally show up to do so.

b.A worker shall not be obliged to perform night time shift work continuously for a period exceeding one week unless the nature of the work or other circumstances require otherwise.

c.The Undertaking shall assign the required manpower for shift work.

22.2. Night time shift allowance

a.Workers assigned during night time shift shall be entitled to an hourly allowance of Birr 2.50 (two and fifty cents).

b.Shift workers who do overtime work shall be entitled to the appropriate shift allowance in addition to their overtime pay.

Article Twenty-Three

Transport

The Undertaking shall provide transportation from and to their homes for night time shift workers as long as the road is suitable for its vehicles. The same shall also be provided to workers who go out of work after eight o’clock (2:00 p.m.).

Article Twenty-Four

Annual Leave

24.1.

Where a worker is entitled to paid annual leave according to the provisions of this Article, he shall divide such leave into three upon his request to that effect and agreement of the Undertaking or upon the request of the latter and his full consent thereto.

24.2.

The duration of the leave shall be as stated herein.

Year(s) of Service Number of Leave (working) Days
1-2 18
3-5 20
6-10 24
11-15 29
16-20 34
20-22 35

A worker who served for more than 22 years shall be entitled to an annual leave of 35 days plus one more day for every year of service above 22.

24.3.

Where the worker does not divide his annual leave, he shall be paid the salary due to the leave period prior to commencing the leave.

24.4.

The salary due to a worker on annual leave shall be equal to the salary he gets while on duty.

24.5.

Subject to Article 25 of this Collective Agreement, a worker whose contract of employment is terminated according to the provisions of the Proclamation shall be paid for the accumulated leave period he has not utilized.

24.6.

A worker who has served for less than one year shall be entitled to leave proportional to his service period.

24.7.

The leave schedule to be drawn up by the Undertaking shall take into account:

a.The wish of the worker; and

b.The need for maintaining the normal functioning of the Undertaking.

Article Twenty-Five

Postponement of Annual Leave

25.1.

Annual leave may be postponed upon the agreement of a worker and the Undertaking.

25.2.

The Undertaking may postpone the date of leave of a worker when dictated by the conditions of the work provided, however, that such postponement shall not extend beyond the next two consecutive years.

25.3.

Where a worker gets sick while on annual leave, the sick leave granted to him shall not be included in the annual leave.

Article Twenty-Six

Recalling of a Worker on Annual Leave

26.1.

A worker who is on annual leave may be recalled only where unforeseen circumstances require his presence at his post.

26.2.

A worker who is recalled from leave shall be entitled to payment covering the remainder of his leave, excluding the time spent for the trip back to work.

26.3.

The Undertaking shall cover transport expenses incurred by a worker as a direct consequence of his being recalled and the per-diem thereon.

Article Twenty-Seven

Special Leave

27.1. Leave for Family Events

27.1.1. Where:

a.The worker concludes his first marriage he is entitled to a paid leave of 5 days.

b.The spouse, parent, child, sister or brother of a worker dies he is entitled to a paid mourning leave of three working days.

c.The parent, child, brother or sister of the spouse of a worker dies he is entitled to a paid leave of three working days.

d.The grandchild, uncle, aunt or grandparent of a worker dies he is entitled to a paid leave of three working days.

e.Workers of the Undertaking shall be granted leave to attend the funeral of a worker who passes away in a manner that does not affect the operation of the Undertaking. The Undertaking shall provide transportation for those attending the funeral. The funeral shall be conducted jointly by the Undertaking and the Union.

f.An additional mourning leave of 2 days shall be granted in the event the mourning is to be held outside Addis Ababa in the cases provided under paragraphs (a) to (d) hereof. This fact shall be verified by the concerned supervisor and one fellow worker or the Trade Union.

g.A worker shall be entitled to a one day paid leave where someone dies in his home regardless of his relationship with the deceased person.

27.1.2.A worker shall be entitled to a leave without pay for up to five consecutive days in the case of exceptional and serious events.

27.2. Leave for Miscellaneous Purposes

27.2.1.A worker who appears at hearing before bodies competent to hear labour disputes or to enforce labour laws shall be granted leave with pay only for the time utilized for such purposes.

27.2.2.A worker who exercises his civil rights or duties shall be granted leave with pay only for the time utilized for the said purpose.

27.2.3.A worker who graduates with first degree or above from a recognized educational institution shall be entitled to a one day leave with pay.

27.3. Leave for Union Activities

Union leaders shall be granted leave with pay and full benefits to attend general meetings, seminars and trainings conducted by industrial trade unions. The invitation shall be communicated to the Undertaking three working days in advance and no more than one person shall be granted leave from the same work unit for this purpose.

27.4. Notification

27.4.1. A worker intending to take leave in accordance with the provisions of this Collective Agreement shall notify the Undertaking in advance and present the necessary supporting evidence when so requested by the latter.

27.4.2. Where it is not possible to supply the evidence required under sub-Article 27.4.1 hereof, the issue shall be resolved by the Undertaking and the worker; failing which the case shall be investigated by the Union which shall submit its findings in writing to the Undertaking.

Article Twenty-Eight

Sick Leave

28.1.

A worker who has completed his probation and who cannot report to duty owing to sickness other than those resulting from employment injury shall be entitled to sick leave. The leave shall only be granted when the worker supplies a sick leave certificate granted to him by a Government recognized medical institution.

28.2.

Sick leave shall be granted in the following manner.

Year(s) of Service Full Pay Half Pay No Pay
0-1 30 days 60 days 90 days
2-5 45 days 60 days 75 days
6-10 60 days 90 days 60 days
11-15 60 days 90 days 60 days
16-20 90 days 120 days 60 days
Above 21 120 days 150 days 60 days

28.3.

A worker who intends to have his illness treated by a traditional therapist or through the use of holy water is entitled to a paid sick leave of a maximum of seven (7) days provided his illness is confirmed by a physician designated by the Undertaking.

Article Twenty-Nine

Pregnant Workers and Maternity Leave

29.1.

No pregnant worker shall be given an assignment between six o’clock (6:00 p.m.) in the evening and six o’clock (6:00 a.m.) in the morning; nor an overtime

work assignment.

29.2.

No pregnant worker shall be given an assignment outside her place of work stated in her contract of

employment provided, however, that she shall be transferred to another place of work if her job is dangerous to her health or to her pregnancy as ascertained by a medical doctor.

29.3.

With the exception of the grounds specified under Article 25, 27 and 29(3) of the Proclamation, the Undertaking shall not terminate the contract of

employment of a pregnant worker during her

pregnancy and until four months of her confinement.

29.4.

The Undertaking shall grant paid leave to a pregnant woman to undergo medical examination and check up relating to her pregnancy upon presentation of a medical certificate to that effect.

29.5.

A pregnant worker shall, upon the recommendation of a medical doctor, be entitled to leave with pay prior to delivery.

29.6.

A pregnant worker shall be granted 30 consecutive days of leave with pay before her presumed day of confinement and a period of 60

consecutive days of leave with pay after her confinement.

29.7.

Where a pregnant worker does not deliver within the thirty (30) days of her prenatal leave, she is entitled to an additional leave in accordance with sub-Article 29.5 hereof. If delivery takes place before the thirty (30) days period has elapsed the postnatal leave under sub-Article 6 hereof shall commence.

29.8.

The Undertaking shall cover the cost of the postnatal and prenatal medical expenses, excluding the expense for the first cesarean delivery, up to a maximum of Birr 3,000.00 (three thousand). The refund for such payment shall be evidenced by a valid medical certificate.

Article Thirty

Service Charges and Banquet Tips

30.1.

a. The Undertaking shall collect an additional service charge of 10% from its customers on services over which service charges are to be paid.

b.The following are services liable to payment of service charge.

1.Rooms.

2.Food in outlets.

3.Food in banquets.

4.Deserts/cakes sale-pastry shop.

5.Bread sales in pastry shop.

6.Beverage sales in outlets.

7.Beverage sales in banquets.

8.F & B other cover-charges.

9.Laundry/dry cleaning.

10.Pool and health club.

11.Business Center secretarial services only.

12.Telephone and internet revenue.

30.2.

Services charges shall be equally distributed every month only to workers covered by the Collective Agreement subject to deduction of the tax thereon. Employees who are excluded from the definition of workers in this Collective Agreement are not entitled to this benefit.

30.3.

Daily labourers and persons engaged for a fixed period and for unspecified work are not entitled to this benefit.

30.4.

In the event the service charge is found to be uncollectible, the Undertaking shall pay the same from its own sources. The service charge payable thereon shall be deducted from the service charges due in the coming month.

30.5.

A worker who has been dismissed or suspended from the work on account of disciplinary faults committed by him shall not be entitled to service charge pay due to the period of suspension where the suspension is lifted or he is reinstated on pardon granted to him by the Undertaking.

30.6.

Distribution of tips shall be made in accordance with the existing practice and grievances relating thereto shall be resolved by negotiations between the Undertaking and the Union.

Article Thirty-One

Insurance

31.1.

A worker shall have a twenty-four hours insurance cover for accidents he sustains on or out of duty.

31.2.

The Undertaking has also agreed to provide life insurance policy to its workers in addition to the cover specified under sub-Article 1 hereof. It shall also cover the annual premium payable thereon.

31.3.

Copy of the insurance policy of each worker shall be supplied to the Union.

31.4.

Where a worker is disabled owing to an accident he sustains, the undertaking shall facilitate payment of compensation due to him or, upon his death, to his lawful beneficiaries in accordance with the relevant law.

Article Thirty-Two

Payment for Covering the Cost of Funeral Services of a Deceased Worker

32.1.

The Undertaking shall provide a sum not less than two-month’s salary of a deceased worker who dies as a result of injuries he sustains on duty. The payment shall not, however, be less than Birr 7,000.00 (seven thousand). For the purpose of this Article, salary shall mean the amount of salary payable to the worker at the time of the injury.

32.2.

Where a worker dies due to reasons other than occupational injury, the funeral pay due to members of his family shall be Birr 5,000.00 (five thousand).

32.3.

Where the funeral service of a deceased worker is to be held outside Addis Ababa, the Undertaking shall pay a sum amounting to Birr 3,000.00 (three thousand) in addition to the amount specified under sub-Article 32.1hereof.

Article Thirty-Three

Medical Services to be Provided for a Worker Who Sustains Occupational Injury

33.1.

The Undertaking shall discharge the following duties.

a.It shall forthwith provide first aid to a worker who sustains occupational injury.

b.It shall take the injured worker to the nearest medical institution by a suitable means of transport.

33.2.

The Undertaking shall cover the following medical expenses of a worker who sustains occupational injury.

a.Expenses for general and special treatment and those of surgical services.

b.Hospital fees and expenses for purchase of medicine.

c.All the necessary man-made supports, artificial limbs and fees for orthopedic treatment.

33.3.

The medical services of a worker who sustains occupational injury shall only be terminated upon a decision of a medical board.

33.4.

The provisions of Article 109(3) (a) & (b) of the Proclamation shall govern the amount of disability payment due to a worker who sustains occupational injury that makes him incapable of resuming his work.

33.5.

Where it is ascertained by an authorized medical board or by a medical doctor designated by the Undertaking that a worker cannot resume his previous work owing to a lasting occupational injury, but is capable of doing other works in the Undertaking, the latter shall do its best to assign him to such works and pay him the salary due to his assigned position.

33.6.

The cost of medical examination of possible occupational illnesses identified by the relevant authority shall be borne by the Undertaking. The healthiness of equipments used by the Undertaking shall also be inspected at its own cost.

Article Thirty-Four

Medical Services to be Provided for Non-Occupational Illnesses

34.1.

The cost of non-occupational medical expenses shall be borne by the Undertaking from the insurance policy it subscribes for this purpose to the tune of Birr 7,000.00. The worker shall cover 10% of the medical expenses where it exceeds Birr 2,000.00. Where the treatment requires surgical treatment and the expense exceeds the cost to be covered by insurance, the Undertaking shall share 50% of the extra payment provided, however, that this extra payment by the Undertaking shall not exceed Birr 10,000.00 (ten thousand).

34.2.

The Undertaking shall cover up to Birr 1,000.00 for the purchase of eye glasses.

34.3.

First aid medical assistance shall be provided by the undertaking’s clinic to workers who get sick at work.

34.4.

A worker who sustains accident or who requires emergency treatment may be treated by any clinic or hospital in situations where he cannot go to the

Undertaking’s clinic or in times when the clinic is out of service. The cost of such treatment shall be reimbursed to the worker from the insurance fund upon submission of a valid certificate.

34.5.

The Undertaking shall conclude a medical service contract with an accredited medical institution to be availed to its workers. It shall consult the Union in so doing.

Article Thirty-Five

Provident Fund due to Workers

35.1.

Provident fund destined to the benefit of workers shall be constituted of contributions made by the Undertaking and the worker from his salary on the basis of an agreed upon percentage of the worker’s salary. The accumulated provident fund shall be paid to the worker with up-to-date interest thereon when he terminates his services to the Undertaking, or he shall be provided with the opportunity to withdraw a certain portion of the sum while in the service of the Undertaking.

35.2.

The existing contribution of 20% and 15% of the Undertaking and the worker respectively from the monthly salary of the worker is hereby agreed to be raised to 25% by the Undertaking and 20% by the worker. The newly agreed upon provident fund contribution plan shall be effective as of January 2012.

35.3.

The 45% contribution shall be governed by the provisions of this Collective Agreement on provident fund.

35.4.

Membership in the provident fund scheme shall be voluntary.

35.5.

A worker who has not objected to membership in writing during his probation period shall be automatically eligible.

35.6.

A worker may terminate his membership of the provident fund at any time.

35.7.

A worker who terminates his membership from the provident fund shall be paid the sum accumulated in his name.

35.8.

A worker who has resigned from membership may not be considered for readmission.

35.9.

The amount due to each worker by way of contribution to his fund shall be maintained in an interest bearing account to be opened in his name in a bank to be designated by the Undertaking.

35.10.

Accounts opened in the names of each worker shall remain blocked until the conditions for making withdrawals therefrom are fulfilled.

35.11.

Each member shall collect a statement relating to his account from the Undertaking’s Finance Department every three months.

35.12.

The Undertaking shall deduct the contribution of a worker from his monthly salary and shall, with its share of the contribution, deposit it in the bank account opened in the name of each worker.

35.13.

The Undertaking shall maintain a statement evidencing deposit of contributions made by itself and the worker to the provident fund accounts.

35.14.

The undertaking shall pay the sum shown on the balance sheet of the account of a worker when the latter’s contract of employment is terminated, provided, however, that the payment shall be subject to deductions due to the Undertaking by the worker.

35.15.

A worker who has served for not less than two years may take 50% of the provident fund amount accumulated during the subsequent years and this shall take place every two years, provided, however, that the payment shall be subject to deductions due to the Undertaking.

Article Thirty-Six

Salary

36.1. Monthly salary

a. Salary shall be paid in one of the last three days of the month in the Gregorian calendar.

b. The Undertaking shall not deduct from, attach or set-off the salary of a worker except where it is approved otherwise by law or this Collective

Agreement or work rules or in accordance with a court order or a written agreement of the worker.

c. A worker shall be entitled to his salary if he was ready to work but, because of interruptions in the supply of tools or row materials and for reasons not attributable to him, was not able to work.

36.2. Salary increment

Nine percent (9%) salary increment shall be due to a worker who has served for more than one year and whose performance evaluation result is equal or greater than an (M) score, where the Undertaking meets 90% of the planned annual gross profit. Workers whose results are ‘M’, ‘E’, and ‘O’ are likewise entitled to 2%, 4% and 6% salary increment respectively. Salary increment shall not be due to workers employed after September 30 of the fiscal year but those hired before that shall be entitled to a proportional salary increment.

Article Thirty-Seven

Bonus

The Undertaking shall pay to each worker bonus equal to his one month’s salary where its adjusted gross profit for the fiscal year reaches 100%.

Article Thirty-Eight

Manner of Taking Disciplinary Action

38.1.

Before taking disciplinary action, the gravity of the offense, the circumstances around it, as well as the reasons thereof and its consequences should be thoroughly investigated.

38.2.

When taking a disciplinary action on a worker, the Undertaking shall notify the worker the offense committed and the corresponding penalty with a copy to the Union.

38.3.

a. Penalties prescribed to the offenses specified under sub-Article 38.6 items one to four hereof shall be employed as aggravating circumstances to apply the next higher penalty for a period of nine months following the date the measure is taken when a further offense is committed by the worker concerned. They shall not serve for that purpose after the end of the ninth month and shall be deleted from the record. The worker is entitled to request a letter to that effect provided, however, that nothing in this sub-Article shall affect the provisions of Article 15.2 hereof.

b. Where a worker commits a higher offence for the first time and is further found to be responsible for a lighter offense committed before the end of the ninth month provided for the first offense, the penalty for the second offense shall not be aggravated to the next

higher level. Only the penalty prescribed for the first time commission of the second offence shall be applied on him.

c. Where a worker who is found responsible for an offence further commits another offense in the same category or the same offense, the penalty shall be aggravated such that the next higher penalty shall be applied on him.

38.4.

Grievances on disciplinary actions shall be subject

to the grievance procedures specified in this Collective Agreement.

38.5.

The Undertaking has the right to terminate the

contract of employment of a worker without any notice on the following grounds.

1.Absence from work for five (5) consecutive work days or for a period of ten (10) days within a single month or a period of thirty (30) work days within a year.

2.Commission of deceitful or fraudulent acts, depending on the gravity of the offense.

3.Taking undue possession of monies or properties belonging to the Undertaking; taking any property of the Undertaking without prior authorization of the concerned official; appropriating properties of customers or fellow workers with the intention of procuring unlawful gain to oneself or to third parties.

4.Commission of acts of brawl or quarrel while on duty, depending on the gravity of the offense.

5.Criminal conviction that renders the worker unfit for the position he holds.

6.Causing harm on anyone’s life or property, intentionally or by gross negligence, when performing one’s duties in the Undertaking. For the purpose of this sub-Article, the expression “property” covers properties belonging to the Undertaking, other workers and customers.

7.Failure to observe and abide by rules and procedures relating to safety precautions on occupational hazards.

8.Absence from duty for more than 30 days on account of a court sentence passed on a worker.

9.Handing over confidential documents or divulging information to an unauthorized person in any form contrary to the work practice of the Undertaking.

10.Direct or indirect commission of sexual offense against other workers, guests or suppliers.

11.Disclosure of documentary or oral information relating to the Undertaking to news media without the knowledge and approval of the General Manager.

12.Bringing arms, knives or similar other materials to the premises of the Undertaking.

13.Unauthorized duplication of the Hotel’s Master Key.

14.Supplying incorrect educational or work experience credentials during one’s tenure of employment.

15.Possession, sale, use, transfer, or keeping of drugs or items destined for drug use or substances subject to close monitoring by the concerned organ within the premises of the Undertaking or intoxication on duty.

38.6.

The following acts shall entitle the Undertaking to terminate the contract of employment of a worker upon serving notice.

The corresponding degrees of penalties are as specified hereunder.

1st degree offenses: - Oral warning supported by a written document.

2nd degree offenses: - First written warning.

3rd degree offenses: - Second written warning and reduction of three days’ salary.

4ih degree offenses: - Reduction of seven days’ salary and deprivation of service charges dues.

5th degree offenses: - Termination of contract of employment.

38.6.1. Offenses commencing from first degree penalties:

1. Keeping property belonging to the Undertaking in one’s locker without the required authorization and failure to keep one’s locker clean.

2. Failure to notify absence from duty on time.

3. Unauthorized late reporting to duty for more than five minutes.

4.Failure to maintain the highest possible personal hygiene, failure to wear proper uniform and put on the required badges and pins, failure to observe rules of the work unit or the Undertaking relating to the use of jewelries, dressing and hair style while on duty.

5.Commission of acts of shouting and nuisance, singing, whistling or causing disturbance around office quarters or around places where customers are being served.

6.Parking vehicles in unauthorized places.

7.Dining or drinking in unauthorized places as well as to smoking in prohibited areas and chewing gums.

8.Watching television or reading newspapers on duty unless such behavior is warranted by the needs of the work.

9.Use of Automatic Teller Machines (ATMs) in places and times other than those authorized for workers.

10.Unauthorized operation and use of personal mobile telephones while on duty.

11.Fund raising in the premises of the Undertaking, sale of lotteries or merchandise of any kind, soliciting donations, or performance any other similar acts not authorized by the Undertaking.

12.Demonstration of unbecoming behavior to customers, guests and fellow workers contrarily to the nature of one’s duty.

13.Unauthorized use of Hotel telephone for personal matters.

38.6.2.Offenses commencing from second degree penalties.

1.Failure to disclose any kind of personal injury sustained during work.

2.Unauthorized absence from duty.

3.Registering repeated below-standard- performance measured against the criteria set by

the Undertaking with respect to quality and quantity of work in spite of one’s potential otherwise.

4.Insult or demonstration of aggressive behavior committed against customers, guests and fellow workers.

5.Having personal relationship with customers or performing personal business with them in the Hotel rooms or within the premises of the Undertaking unless such relationship is warranted by the work flow of the latter.

6.Non-discharge of duties and responsibilities spelt out on one’s job description or nom compliance with instructions of one’s supervisor made in accordance therewith.

7.Vacating one’s place of assignment without due authorization from the concerned supervisor, unduly roaming around the premises of the Undertaking or to sleeping or taking nap on duty.

8.Non-observance of instructions and directives issued in relation to one’s duties.

9.Unauthorized use of items meant for customer services.

10.Use of computers of the Undertaking outside the time allotted for workers; violation of policies and procedures on the use of the

Undertaking’s information technology resources; policies on utilization of computers; on accessing, watching, downloading, saving, receiving or sending of any and all kinds of indecent and inappropriate videos.

11.Improper use of equipments and tools given for the discharge of his duties.

12.Refusal to take part in meeting and training exercises designed to upgrade one’s knowledge and working skills.

13.Unauthorized possession, duplication and handing over of hotel keys or deliberate or negligent loss of these keys.

14.Subject to the provision of sub-Article 38.5.14 hereof, unauthorized possession, duplication, handing over of hotel keys or deliberate or negligent loss of these keys.

38.6.3.Offences commencing from third degree penalties.

1.Responsibility for causing acts detrimental to peaceful and safe working climate to the operation and productivity of the Undertaking.

2.Repeated and unjustified late reporting to duty with or without prior warning.

3.Signing or making marks on attendance punch cards or attendance sheets on behalf of another worker or perform any other act similar thereto.

4.Loss of capacity to perform duties to which a worker is assigned; or his lack of skill to continue his work as a result of his refusal to take part in a training prepared by the employer to upgrade his skill; or his inability to acquire the necessary skill after having undergone such training.

5.Permanent inability to carry out duties specified in one’s contract of employment for reasons of health or disability.

6.Refusal to accept transfer to a place where the Undertaking carries out its activity.

7.Distribution of unauthorized literature in work place or posting of notices and posters on the Hotel’s walls or other inappropriate places.

8.Non-observance of rules and procedures on cash handling or performing such duties in a manner that violates rules of proper accountability.

9.To take part in whatever form in any act of gambling conducted within the premises of the Undertaking.

10.Giving or printing wrong, malicious and fraudulent information regarding any worker,

customer, immediate supervisor or the Undertaking

11.Prohibition of search of sealed items, boxes, desks and offices; or refusal to conduct searches on gates.

12.Failure to serve the Undertaking in one’s area of specialization after having undergone training on the same at the expense of the Undertaking within or outside the country contrary to the agreement thereon.

13.Responsibility for acts of discrimination against customers, suppliers or workers on grounds of race, color, age, sex, sexual orientation, nationality, marital status, religion or disability.

Article Thirty-Nine

Suspension

39.1.

A worker shall be suspended from duty, salary and all other benefits he is entitled to, except medical treatment, pending appropriate administrative action and for a period of 30 days, where it is believed by the Undertaking that he is responsible for commission of one or several of the offenses specified in this Collective Agreement and the provisions of Article 27 of the Proclamation.

39.2.

A worker suspended in accordance with sub- Article 1 hereof shall be entitled to salary and other

benefits due to him during the period of suspension where he is absolved of responsibility for the offense he was alleged to have committed.

Article Forty

Grievance Procedure

The parties to this Agreement hereby agree to adopt the grievance procedures spelt out hereunder with a view to a speedy resolution of trade disputes.

40.1.

A worker with a grievance may submit it in writing within a period of seven working days to his Department Head or, in his absence, to his representative. The official receiving the grievance shall give a written response on the same in not more than five working days.

40.2.

In the event the official fails to respond within the time specified above or the worker disagrees with the response, he may submit the case to the Human Resources Administration Department. The official receiving the grievance shall give a written response on the same in not more than five working days.

40.3.

In the event the Human Resources Administration Department fails to respond within the time specified above or the worker disagrees with the response, he may submit the grievance to the General Manager or, in his absence, to his delegate. The official receiving the grievance shall give a written

response on the same in not more than five working days. Said decision shall be final.

40.4.

In the event the General Manager or his delegate fails to respond within the time specified above or the worker disagrees with the response, the worker may submit the case to the Trade Union.

40.5.

The Trade Union shall do its best to bring about amicable settlement of the dispute in accordance with the practice in place.

40.6.

The Undertaking shall give a written response to a request made to it by the worker or the Union.

Article Forty-One

Work Uniforms and Hazard Preventions

41.1.

The Undertaking shall provide at own cost work uniforms, hazard prevention devices and work tools to workers who are assigned to duties that require so owing to the nature of the work.

41.2.

The Undertaking shall replace work uniforms whenever the need for so doing arises.

41.3.

The undertaking shall provide, free of charge, laundry services to all workers for cleaning work uniforms.

41.4.

The Undertaking shall replace hazard prevention devices and tools whenever the need for so doing arises.

Article Forty-Two

Place and Time for Dining

42.1.

The Undertaking shall provide food and dining place to workers on duty. Any worker on duty shall only dine at such place.

42.2.

The Undertaking shall assign personnel who ensure that the dining place has the required staff and the food is provided in sufficient quality and quantity. The Trade Union shall bold consultations on matters relating to the quality and quantity of such food and shall submit suggestions for improvement.

42.3.

Equipments for the dining place shall be provided by the Undertaking in a sufficient manner.

42.4.

Dining time of workers is as specified hereunder.

a.Breakfast: - 6:30 to 7:30 a.m.

b.Lunch: -11:00 a.m. to 1:30 p.m.

c.Dinner: - 5:00 to 9:00 p.m.

d.Late Night Dinner: - 12:30 p.m. to 2:00 a.m.

42.5.

Workers’ tea break shall be as follows.

a.Morning: - 9:00 to 10:00 a.m.

b.Afternoon: - 3:00 to 4:00 p.m.

c.Evening: - 10:00 to 11:00 p.m.

d.Late Night: - 3:00 to 4:00 p.m.

42.6.

A worker who cannot dine in the times stated above due to work load is entitled to dine at convenient times upon notification of the same to his immediate supervisor.

Article Forty-Three

Miscellaneous Provisions

43.1.

The Undertaking shall allocate an annual amount of Birr 75,000.00 (seventy-five thousand) for promoting sporting activities. The utilization of the fund shall be subject to consultation by the Undertaking and the Union. The Undertaking will further closely follow up the fund utilization.

43.2.

The Undertaking shall hold a day of entertainment for its workers every year and shall cover the cost thereof. It shall further allocate an amount up to Birr 250,000.00 (two hundred fifty thousand) for entertainment programs outside Addis Ababa.

43.3.

A monthly cash indemnity allowance shall be provided to cashiers in the following manner.

a. Chief cashier: - Birr 300.00 (three hundred).

b. Receptionists: - Birr 200.00 (two hundred).

c. Micros coordinators: Birr 200:00 (two hundred)

Article Forty-Four

Cooperation

44.1.

Where a worker buys an item whose value is greater than Birr 15,000.00 (fifteen thousand) on credit, or where he takes loans exceeding that amount from a bank or a financial institution, the Undertaking shall deduct the installment amount from the monthly salary of the concerned worker and effect payment thereof to the creditor during the period in which the contract of employment is in force. The Undertaking shall notify the creditor when the worker’s contract of employment is terminated. The sum to be deducted shall not in any way be greater than 1/3 (one-third) of the monthly income of the concerned worker.

44.2.

Where a worker intends to stand surety to another person, the Undertaking shall write the required letter to whoever is concerned.

Article Forty-Five

Duration of the Collective Agreement

This COLLECTIVE AGREEMENT shall remain in force for three years commencing on March 11, 2011. IN WITTNESS WHEREOF representatives of the UNDERTAKING and THE UNION have hereby put their

signatures unto it this — day of the year 2011.

For and On behalf of

The Undertaking

For and On behalf of

The Union

ETH Sheraton Addis Hotel - 2011

Start date: → 2011-03-11
End date: → 2013-03-11
Name industry: → Hospitality, catering, tourism
Name industry: → Hotels and similar accommodation
Public/private sector: → In the private sector
Concluded by:
Name company: →  Sheraton Addis Hotel
Names trade unions: →  UNKNOWN - Basic Trade Union of Workers of the Sheraton Addis Hotel

TRAINING

Training programmes: → Yes
Apprenticeships: → No
Employer contributes to training fund for employees: → Yes

SICKNESS AND DISABILITY

Maximum for sickness pay (for 6 months): → 100 %
Maximum days for paid sickness leave: → 150 days
Provisions regarding return to work after long-term illness, e.g. cancer treatment: → 
Paid menstruation leave: → 
Pay in case of disability due to work accident: → Yes

WORK AND FAMILY ARRANGEMENTS

Maternity paid leave: → 13 weeks
Maternity paid leave restricted to 100 % of basic wage
Job security after maternity leave: → No
Prohibition of discrimination related to maternity: → Yes
Prohibition to oblige pregnant or breastfeeding workers to perform dangerous or unhealthy work: → Yes
Workplace risk assessment on the safety and health of pregnant or nursing women: → No
Availability of alternatives to dangerous or unhealthy work for pregnant or breastfeeding workers: → No
Time off for prenatal medical examinations: → Yes
Prohibition of screening for pregnancy before regularising non-standard workers: → No
Prohibition of screening for pregnancy before promotion: → No
Facilities for nursing mothers: → No
Employer-provided childcare facilities: → No
Employer-subsidized childcare facilities: → No
Monetary tuition/subsidy for children's education: → 

GENDER EQUALITY ISSUES

Equal pay for work of equal value: → No
Discrimination at work clauses: → Yes
Equal opportunities for promotion for women: → No
Equal opportunities for training and retraining for women: → No
Gender equality trade union officer at the workplace: → No
Clauses on sexual harassment at work: → Yes
Clauses on violence at work: → No
Special leave for workers subjected to domestic or intimate partner violence: → No
Support for women workers with disabilities: → No
Gender equality monitoring: → 

EMPLOYMENT CONTRACTS

Trial period duration: → Not specified days
Part-time workers excluded from any provision: → 
Provisions about temporary workers: → 
Apprentices excluded from any provision: → 
Minijobs/student jobs excluded from any provision: → 

WORKING HOURS, SCHEDULES AND HOLIDAYS

Working hours per day: → 8.0
Working hours per week: → 48.0
Paid annual leave: → 18.0 days
Paid annual leave: → 3.0 weeks
Rest period of at least one day per week agreed: → Yes
Provisions on flexible work arrangements: → 

WAGES

Wages determined by means of pay scales: → No
Adjustment for rising costs of living: → 1

Wage increase

Wage increase: → 9.0 %

Premium for evening or night work

Premium for evening or night work: → ETB 2.5 per month
Premium for night work only: → Yes

Premium for overtime work

Premium for overtime work: → 200 % of basic wage

Premium for hardship work

Allowance for commuting work

Meal vouchers

Meal vouchers provided: → Yes
Meal allowances provided: → No
Free legal assistance: → 
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