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COLLECTIVE AGREEMENT BETWEEN NEAT FOODS GHANA LIMITED AND UNION OF EDUCATION, AGRICULTURE & GENERAL SERVICES WORKERS (UNEAGES) of GFL

1ST EDITION - 2012

Dated in Accra this 14th day of September 2012

SECTION A: INTRODUCTION

PREAMBLE

This Collective Agreement is made this 14TH day of SEPTEMBER 2012 between the Management of NEAT FOODS GHANA LIMITED hereinafter referred to as the Employer and Union of Education, Agriculture & General Services [UNEAGES] hereinafter referred to as the Union.

ARTICLE 1: COVERAGE

This Collective Agreement shall apply to staffs of the company who are members of the Union of Education, Agriculture & General Services Workers in the time being and other staff of the company who would be engaged thereafter and become members of the Union.

ARTICLE 2: PURPOSE

i. It is the desire and purpose of both the employer and the Union that the content of this Collective Agreement shall promote and improve harmonious working relationship towards the realization of the cooperate goals of the company and improved socio-economic wellbeing of the workers of the company who are covered by this Agreement.

ii. This Collective Agreement is also intended to create the platform and atmosphere [through the medium of dialogue] to resolve all likely labour related conflict and or misunderstandings that may arise in the course of the work through processes and procedures provided by the Labour Act 2003, Act 651 and those provided for under this Collective Agreement.

ARTICLE 3: DURATION

This agreement shall come into effect on 1ST OF JUNE 2012 and shall remain in force for a period of two years on the effective date. Twenty-two [22] months after its operation, either party to this agreement may serve the other party a one month written notice of its intentions to review the agreement. In either case, the two parties shall meet to negotiate, but until a new agreement is negotiated and signed into effect, the existing Collective Agreement shall continue to prevail on both parties.

ARTICLE 4: DEFINITIONS

For better understanding and effective implementation of the articles of this CA, the following shall mean:

i. Employer shall mean the NEAT FOODS GHANA LIMITED or the company registered under the laws of Ghana to operate as a corporate entity.

ii. Employee shall refer to a permanent, casual, Temporary worker of Neat Foods Ghana Limited and classified under the Collective Bargaining Certificate to be covered by this agreement

iii. Management shall refer to the team of managers duly appointed by the employer to implement its policies and to ensure the effective implementation of the articles on all matters of employment and non-employment contained in this Collective Agreement and all relevant laws of this land.

iv. Union means the national union certified under the Labour Act 2003, Act 651 as the Union of Education, Agriculture & General Services Workers

v. Members shall refer to those employees who exercise their rights under the law to join the union to promote and protect their socio-economic interest while in the employment of the Neat Foods Ghana Limited

vi. Basic Pay means the Consolidated Salary of an employee without any deductions or additions of other incentives or allowances.

vii. Off Duty shall refer to the statutory two [2] days rest period for a worker guaranteed by the law after working for a period of forty [40] hours in a week of five days.

viii. Net Pay shall refer to the earnings of an employee at the end of the month after all statutory deductions including union dues have been effected,

ix. Probation means the period of observation of a newly engaged worker to determine his/her level of competence and commitment to work for confirmation as a permanent employee.

SECTION B: ENTERING THE JOB

ARTICLE 5: ENGAGEMENTS

A successful applicant who is offered employment by Neat Foods Ghana Limited shall be served with an appointment letter which shall contain the following among essentials of employment;

- Date of Employment

- Nature of Employment

- Salary at the point of Employment

- Period of Probation

- Job Title and Description

- Hours of Work

ARTICLE 6: EMPLOYMENT DATA

Upon request, the newly engaged worker shall furnish the employer with detailed personal data covering his/her full name, date of birth, age, family profile, previous employment. Educational/Academic qualifications, next of kin, medical history disciplinary records, referee etc.

ARTICLE 7: MEDICAL EXAMINATION

An employee to be considered for employment by the Neat Foods Ghana Limited shall on the request of the employer undergo medical examination to check the health status and determine his/her level of fitness for the job.

ARTICLE 8: APPOINTMENT LETTER

The employer shall issue appointment letter to any newly engaged worker clearly indicating the date of appointment, job title, department/section of work, probationary period, salary range, hours of work etc. Such letter of appointment shall be issued to the worker not later than two months of the date of employment

ARTICLE 9: PROBATION

i. The employer shall subject newly engaged workers to a minimum of three months and maximum of six months’ probation during which period the employee shall be carefully observed regarding his/her suitability for the assigned job.

ii. On completion of the probation, the employer shall write to either confirm or terminate the appointment of a probationer based on either proven satisfactory or unsatisfactory performance on the job during the period of probation as provided for in Section 15 of the Labour Act, 2003, Act 651

iii. Any probationer who serves more than six months without any written confirmation may be deemed to have been made permanent on his/her job.

SECTION C: ON THE JOB [GENERAL CONDITIONS OF WORK]

ARTICLE 10: INDUCTION/JOB ORIENTATION

In order to promote teamwork among workers for higher productivity and harmonious working relationship at work, newly employed workers of the company shall undergo an orientation to introduce them to the cultural norms and work ethics of the company. The period of such orientation shall not exceed two weeks depending on the reality on the ground.

ARTICLE 11: APPRAISALS

i. In line with its corporate policy, the employer shall undertake Annual Performance Appraisal of all employees covered by this Agreement to determine salary incremental jumps, promotions, upgrading, transfers, incremental withholdings.

ii. An Appraisal Scheme shall be designed by the HR Department to be administered by the Departmental/Sectional Heads of the Company.

iii. The Departmental/Sectional Heads shall constitute an Appraisal Interview platform where the Appraised shall be given an opportunity to discuss and sign his/her own appraisal report.

iv. The Neat Foods Ghana Limited shall institute an Appraisal Review Committee made up of the head of HR Department, Head of Department and Local Union Chairman.

ARTICLE 12: HOURS OF WORK

I. The standard hours of work for pay shall be eight [8] hours a day and or forty [40] hours a week of five [5] days duration. In all cases, the period of work shall be regulated by the employer to meet the needs of the work but in line with laws regulating hours of work.

II. Every worker shall be entitled to two [2] days off duty in a week. The off duty days shall however be regulated in the interest of the work.

III. Any hours of work beyond the stipulated hours of work shall be considered as an overtime which shall attract extra pay under overtime rate.

ARTICLE 13: OVERTIME/OVERTIME RATE

I. Overtime work shall not be compulsory except under emergency circumstances of disaster or accident that may require hands on action to save Neat Foods Ghana Limited from eminent danger.

II. Should a staff work beyond his/her normal hours of work either on a working day, off days and or public holiday, he/she shall be paid Double Time the number of hours worked.

Normal Working Days: Time and a half

Off Days: Double time [2]

Public Holidays: Double time [2]

ARTICLE 14: UNIFORM/WORK CLOTHING

i. In the interest of the work, the employer shall provide appropriate uniform/work clothing to employees in accordance with the exigencies of the work. Such uniform/work clothing shall remain the property of the employer and shall be maintained at the expense of the employer.

ii. In circumstances where the employer is unable to provide uniform/work clothing the beneficiary employee shall be paid an amount of GH¢200 per annum to cover the cost of work clothing.

iii. Worn out uniform/work clothing shall be presented to the head of the department for replacement.

ARTICLE 15: LEGAL ASSISTANCE

In the event of legal proceedings being taken against an employee by a third party in the course of performing his/her lawful duties for and on behalf of the company, the employee involved shall be provided with a full legal assistance for his/her defense. But if the employee is found guilty shall be made to refund the legal fees involved.

ARTICLE 16: NIGHT ALLOWANCE

Employees who are authorized to attend night duty shall be paid an allowance of GH¢20.00 per month of regular work.

ARTICLE 17: ANNUAL LEAVE

i. Employees who have served the Neat Foods Ghana Limited for a continuous period of twelve months shall be entitled to an annual leave as follows:

Less than 3 years service: 15 working days

3 years and above: 25 working days

ii. Annual leave shall be taken at the convenience of the employer. Notice of an employee’s annual leave shall be served one calendar month to the time of the leave.

iii. Every employee shall enjoy an unbroken period of leave, but when the need arise for the employer to interrupt the leave of the employee to return to duty, the employee shall be entitled to the remaining leave days.

iv. The employer shall bear the cost of transporting the employee back to post and pay him/her a Call –in allowance equivalent to GH¢50.

ARTICLE 18: CASUAL LEAVE

The employer may grant a maximum of seven [7] working days casual leave to an employee to attend to very urgent personal matters such as; bereavement, child birth/deliveries, marriage/wedding ceremonies, health needs of registered dependents

ARTICLE 19: MATERNITY LEAVE

I. A female employee covered by this Agreement who in the course of her employment with Neat Foods Ghana Limited is certified by a Medical Doctor to be pregnant shall be entitled to three months [3] leave with full pay as maternity leave.

II. The period of the maternity leave shall be determined on the recommendation of the medical doctor in consultation with the head of department and the pregnant employee.

III. A pregnant worker who fall sick and is declared unfit to work by a medical doctor during the period of her pregnancy shall be granted sick leave with pay for the period. Such paid sick leave shall not form part of her maternity leave days.

IV. A nursing mother who returns to work after delivery shall be granted two [2] hours’ time off daily for nine [9] months to attend to her baby. The period shall be determined by the head of department and the nursing mother.

ARTICLE 20: SALARY ADMINSTRATION

i. Salary Structure

The employer shall design a Salary Structure relative to the job assignment and qualifications of employees of Neat Foods Ghana Limited for negotiations and approval for implementation by the Standing Negotiating Committee to be attached to this Agreement as appendix “A”.

ii. Rate of Pay

Any employee covered by this agreement shall receive salary increase commensurable to his/her qualification and performance as contained in the salary structure in appendix “A”.

iii. Salary Review

The management of Neat Foods Ghana Limited and UNEAGES, at the standing negotiating committee level shall determine the salary level on yearly basis during the two year life of this agreement..

iv. Merit Increment

On the basis of good performance through the Annual Appraisal Report, the head of HR Department shall on the recommendation of the head of department award merit increment in line with the salary structure to deserving employees at the beginning of the year to reward hard work.

v. Salary Advance

The employer shall grant Salary Advance equivalent to the monthly basic salary to an employee in financial difficulties. Upon request from the needy employee, the head of department shall recommend to the head of finance to effect payment. Such advance shall be recovered fully in a period of two months.

vi. Special Advance

In a special circumstances, the employer shall grant a minimum of three month basic salary to an employee who in urgent necessities demands for such assistance. If the head of department is satisfied with the reason for the request, shall recommend to the head of finance for payment. Recovery of such assistance shall be spread over twelve months period.

ARTICLE 21: UNION RECOGNITION

i. The management and board of Neat Foods Ghana Limited shall recognize the existence of UNEAGES as the official representative of workers classified under the Collective Bargaining Certificate and a Social Partner to the development and advancement of corporate goals of the company. It shall endeavor to secure the maximum cooperation of all parties to promote harmonious working relationship for the betterment of the work and the workers.

ii. Union Notice Board

The management shall provide notice boards properly placed on the premises of the company where management and union information shall be placed for the knowledge and attention of employees under this agreement.

iii. Union Activities

• The employer shall in accordance with the Labour Act 2003, Act 651 grant local union executive and shop stewards of Neat Foods Ghana Limited reasonable time to attend union meetings and training programs that facilitates their effective service delivery to the rank and file members.

• Sufficient time notice at least 48hours shall be given to the head of department to arrange for his/her proper release and replacement.

iv. The employer shall facilitate the work and the role of the union in the

promotion of hard work and discipline among workers with the provision of an office to keep official records and documents and for other relevant purposes.

v. Executive or shop stewards

a. In line with the labour act, the employer shall recognize the existence of branch executives as official representatives of the union

b. Departmental and sectional heads, managers and supervisors may where necessary also recognize the existence of shop stewards at various departments and sections as representatives of the branch executives who shall consult and be consulted on matters involving union members in their respective sections and departments

c. The union shall assist in the resolution of labour conflict that may arise from time to time in the course of work.

vi. Union membership

a. Employees covered by this agreement shall be deemed to be paid up members of the union. They shall pay union dues levied on every member as provided for by the union’s Constitution.

b. New employees of the company engaged after the coming into effect of this agreement may be recruited into the membership of the union.

vii. Check-off Dues Payment

In accordance with Section 111 of the Labour Act 2003, Act 651, the Union shall request in writing with the consent of the union members to the employer to deduct the agreed percentage of dues from the salaries of employees who are members of the union and pay same to the union as directed by it.

ARTICLE 22: DISCIPLINE

In the exercise of its rights and responsibilities under the Labour Act 2003, Act 651, the employer shall reserve the right to discipline any employee who is proven to have misconducted him/herself while in the service of the employer

a. Any proven misconduct or offence committed by a worker may be punishable by any of the following:

i. Verbal or Written Warning

ii. Suspension

iii. Demotion in rank and salary

iv. Freeze on Promotion [for specific period]

v. Termination with/without notice

vi. Dismissal

b. Disciplinary Committee

i. The Management and Union shall constitute a Standing Disciplinary Committee made up of the: Human Resource Manager, Departmental Head in whose department the offence occurred representing the employer and the Branch Union Chairman/Secretary and the Shop steward from the Department from which the offence was committed.

ii. In a situation where the offence cannot be proven immediately, the Disciplinary Committee shall convene to investigate the case and make appropriate recommendation for the consideration and action of the management.

iii. In all cases of discipline, the alleged offender shall be given ample opportunity either by the Management or the Disciplinary Committee to defend him/herself before any action is taken on him/her.

ARTICLE 22: GRIEVANCE PROCEDURE

i. The first point of call for any manner of grievance of a worker shall be the head of Department who would endeavor to resolve the grievance satisfactorily. However, if the grievance involves the head of department, the employee shall formally complain to the Union Secretary to discuss the matter with the head of department for possible solution.

ii. If the aggrieved employee is dissatisfied with the outcome, he/she would report the matter to the Human Resource Manager who would chair a meeting involving the head of department, the complainant and the local union. The committee shall make recommendations based on the outcome of the investigation into the matter.

iii. If the matter remains unresolved, the local union shall formally submit comprehensive report to the National Union for further investigation. If the national union is satisfied of a bona fide case, the union shall write to the Chairman to convene the Standing Negotiating Committee to resolve the matter.

iv. If the Standing Negotiating Committee fails to resolve the matter, the aggrieved worker may report the matter to the National Labour Commission for final determination. The decision of the National Labour Commission shall be final and binding on all parties to the dispute.

SECTION D: BENEFITS

ARTICLE 23: LONG SERVICE AWARD

Neat Foods Ghana Limited Neat Foods Ghana Limited shall acknowledge, appreciate and reward long and dedicated service of its employees with the following awards:

5 years of Service - One [1] Month Basic Pay and Assorted Company

Product and Certificate

10 years of Service - Three ]3] Months Basic Pay and Assorted Company

Products and Certificate

ARTICLE 24: PROVIDENT FUND [3RD TIER PENSION]

i. A contributory 3rd Tier Provident Fund Scheme shall be instituted in line with Pensions Act 2008, Act 766 to provide enhanced lump sum end of service benefit to employees at the end of their service with the employer as follows:

Employee -5% Basic Salary per worker per month

Employer-5% Basic Salary per worker per month

ii. The Fund shall be managed independently by a Board of Trustees in line with the rules, regulations and guidelines of the Pensions Act 766.

ARTICLE 25: MEDICAL FACILITIES

i. Neat Foods Ghana Limited shall provide free Medical Care to all employees and their registered dependents made up of a wife and four children of school going age up to 18years.

ii. The facility shall include all medical care covered by the National Health

iii. Insurance Scheme. However, Neat Foods Ghana Limited shall institute a Top Up Medical Scheme to cover other health care needs that the HHIS is unable to cover for the employees and their dependents

iv. Due to the sensitive nature of the work of the Food Industry, the employer shall carry out periodic medical check up [twice yearly] at the expense of the employer to ensure the physical fitness of the employees to work.

ARTICLE 26: ANNUAL BONUS

I. As part of its effort to motivate hard work among workers, the employer shall institute Annual Bonus incentive which shall be paid to employees in the month of December each year.

II. The Annual Bonus shall be the equivalent of each employee’s monthly basic pay.

In addition, the employer shall organize End of Year Get together to fraternize.

III. Employees who are six months old in the service of the company in the month of December shall be entitled to full bonus. Those below six months shall earn pro-rata bonus.

ARTICLE 27: FUNERAL GRANT

1. Deceased Employee

i. In the event of death of an employee, the employer shall make donation to the bereaved family as follows:

a. Cash donation of GH¢1,000 to the immediate family made up of the registered wife/husband and children.

b. Cost of mortuary for a maximum of 14working days

c. Coffin/shroud or GH¢800 in lieu.

d. Hearse/Ambulance to carry the corpse to the place of burial within Ghana.

e. Donation of assorted drinks including Beer, Guinness, Malta Guinness, Soft Drinks and Schnapps to the immediate and extended families for the funeral.

f. Vehicle to convey employees to and from the burial and funeral rites of the deceased

2. Bereaved Employee

I, When an employee is bereaved of a registered dependent including wife/husband, children and parents, the employer shall make an all-inclusive donation of GH¢600 to the bereaved employee

ARTICLE 28: TRANSPORT

In the interest of punctuality of workers at work and high productivity, the employer shall provide adequate and safe means of transport to convey workers to and from work. The designated picking points shall be determined by the employer in consultation with the local union in the interest of both parties.

ARTICLE 29: MEALS

The employer shall provide one free meal daily to employees on duty.

SECTION E: LEAVING THE SERVICE

ARTICLE 30: TERMINATION

1. An employee whose service is fairly terminated under the Labour Act 2003, Act 651 other than Redundancy by the employer shall be served with one month written notice or payment of one month basic pay in liew of notice.

2. A fairly terminated employee shall be entitled to all earned and accrued benefits due him/her during the period of his/her employment.

3. In the event of Dismissal as stipulated under Article 22a [iv], the dismissed employee shall not be entitled to any notice of termination but shall be entitled to all earned and accrued benefits and entitlements. However, the employer shall surcharge the dismissed employee with the cost of damage or loss caused by the dismissed employee when proven to have been caused by him/her.

ARTICLE 31: RESIGNATION

1. An employee who intends to withdraw his/her services from Neat Foods Ghana Limited shall be required to notify the Management one month to the effective date. Failure to serve the required notice, the employer shall deduct one month basic pay from the entitlement of the resigned.

2. A resigned employee shall be entitled to all earned and accrued benefit under the Collective Agreement.

ARTICLE 32: REDUNDANCY

1. In a situation where the employer intends to embark on Redundancy exercise, Lay-off or Retrenchment of any number of employees, the employer shall fully comply with Section 65 of the Labour Act 2003, Act651.

2. The employer shall pay to the affected employee under 32 [1], a Severance Pay equivalent to three months’ basic salary per each year of service. Additionally, affected employees shall receive all earned and accrued benefits and entitlements at the time of the exercise.

ARTICLE 33: RETIREMENT

1. Employees covered by this Collective Agreement shall retire under the laws of the Pensions Act 2008, Act 766

2. An employee due for retirement shall be served six [6] calendar months’ notice prior to the date of retirement during which period all benefits and entitlements shall be worked out and paid to the retiree before his/her last day in employment.

3. To reduce the effect of unplanned pension, the Management in collaboration with the Union shall organised Sensitization workshops for potential retirees to condition them for happy and enjoyable pension. Such workshops shall be held for employees who would be left with two years to retire. The module and frequency of training and orientation shall be determined by the Management and Union to suit the needs and expectations of potential retirees.

ARTICLE 34: AMENDMENT TO & VALIDITY OF AGREEMENT

This Agreement shall come into effect on 1ST JULY 2012 and shall remain in force. No individual party to this agreement has the power and or the right to alter, amend, insert, or change any part of this agreement except by the Standing Negotiating Committee to do so However, either party to this Agreement may express its intention or desire to change, modify or amend the Agreement not later than thirty [30] days to the expiration of the Agreement. Until a new Agreement is negotiated and signed into effect, the existing Collective Agreement shall remain in force.

ARTICLE 35: OBLIGATIONS ON PARTIES TO THIS AGREEMENT

The Board of Directors and Management of Neat Foods Ghana Limited and the National Executive Council of the Union of Education, Agriculture & General Services Workers [UNEAGES] agree to respect and uphold the articles and provisions of this Agreement in the spirit and letter upon which it was written.

SIGNED FOR AND ON BEHALF OF

NEAT FOODS GHANA LIMITED

…………………………………………

GENERAL MANAGER

SIGNED FOR AND ON BEHALF OF

UNION OF EDUCATION AGRICULTURE & GENERAL SERVICES

…………………………………….…

GENERAL SECRETARY

And witnessed by:

…………………………………….…

...……………………………………..

Dated in Accra this _14TH day of SEPTEMBER 2012

Neat Foods Ghana Limited - 2012

Start date: → 2012-06-01
End date: → 2014-05-31
Ratified by: → Other
Ratified on: → 2012-09-14
Name industry: → Manufacturing
Public/private sector: → In the private sector
Concluded by:
Name company: → Neat Foods Ghana Limited
Names trade unions: → Union of Education, Agriculture & General Services Workers (UNEAGES of GFL)

TRAINING

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

WORK AND FAMILY ARRANGEMENTS

Maternity paid leave: → 13 weeks
Maternity paid leave restricted to 100 % of basic wage
Job security after maternity leave: → Yes
Prohibition of discrimination related to maternity: → No
Prohibition to oblige pregnant or breastfeeding workers to perform dangerous or unhealthy work: → 
Workplace risk assessment on the safety and health of pregnant or nursing women: → 
Availability of alternatives to dangerous or unhealthy work for pregnant or breastfeeding workers: → 
Time off for prenatal medical examinations: → 
Prohibition of screening for pregnancy before regularising non-standard workers: → 
Prohibition of screening for pregnancy before promotion: → 
Facilities for nursing mothers: → Yes
Employer-provided childcare facilities: → No
Employer-subsidized childcare facilities: → No
Monetary tuition/subsidy for children's education: → No
Paid leave per year in case of caring for relatives: → 7 days

EMPLOYMENT CONTRACTS

Trial period duration: → 180 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: → 40.0
Working days per week: → 5.0
Paid annual leave: → 15.0 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: → 0

Once only extra payment

Once only extra payment due to company performance: → 

Premium for evening or night work

Premium for evening or night work: → GHS 20.0 per month
Premium for night work only: → Yes

Premium for overtime work

Premium for overtime work: → 150 % of basic wage

Premium for Sunday work

Premium for Sunday work: → 200 %

Meal vouchers

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