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MEMORANDUM OF AGREEMENT BETWEEN UNI-PLASTICS LIMITED OF THE FIRST PART AND KENYA CHEMICAL AND ALLIED WORKERS’ UNION - 2015

MEMORANDUM OF AGREEMENT BETWEEN UNI-PLASTICS LIMITED (HEREINAFTER CALLED THE “COMPANY”) OF THE FIRST PART AND KENYA CHEMICAL AND ALLIED WORKERS’ UNION (HEREINAFTER CALLED THE “UNION”) OF THE SECOND PART

PART 1: TERMS AND CONDITIONS OF SERVICE

1. SUBJECT MATTER

The terms and conditions of employment set out in this Agreement shall be observed by the parties to it, and shall apply to all employees covered by the Recognition Agreement signed between the parties.

2. EMPLOYEES IN ACTING CAPACITY

An employee who is temporarily appointed or promoted to any acting capacity for a minimum period of 14 days in any period of 12 consecutive months, shall receive such rate of pay, where such acting capacity carries a higher rate of pay than the job in which he/she is normally employed, and shall revert to his/her former rate of pay immediately on reverting to his/her former job.

3. WORKING HOURS

An employee shall normally be required to work, whether on shift or otherwise, a total of forty-four hours per week, exclusive of the meal break hours, provided that an employee who is required to work in excess of such hours shall be paid for such excess hours at the appropriate rate as provided by clause 4 of this Agreement.

4. OVERTIME

(a) For hours worked on weekdays in excess of hours set in clause 3 – Time and half.

(b) For hours worked on Saturdays in excess of hours set in Clause 3 – Time and half

(c) For hours worked on Sundays and Gazetted Public Holidays – Double Time.

5. GAZETTED PUBLIC HOLIDAYS

An employee shall normally be granted leave with full pay on Gazetted Public Holidays, provided that an employee who is required to work on such holidays shall be paid double as provided by clause 4 above.

6. ANNUAL PAID LEAVE

(a) Employees of the company will be entitled to annual paid leave of 24 working days after every 12 completed months of service.

(b) In the event of the Gazetted Public Holidays falling within the leave period, such public holiday shall be added to the leave entitlements.

(c) The date of an employee’s leave shall normally fall after the completion of every 12 months service from his/her date of engagement but will be taken at the convenience of the company.

7. COMPASSIONATE LEAVE AND LEAVE OF ABSENCE

An employee may be given compassionate leave or leave of absence at the discretion of the company. Such leave, which shall not be unreasonably refused nor unnecessarily delayed, shall not normally be paid but may be paid at the discretion of the company.

8. SICK LEAVE

An employee who is unable to carry out his/her duties by reason of sickness or injury falling without the provisions of the Work Injury Benefits Act 2007 shall be entitled in any period of twelve months to full pay for the first 30 days absence from work and half pay for the next 30 days absence from work, subject to the production of a medical certificate testifying to the need for such absence. Sick leave with pay may be extended beyond the period stipulated above at the discretion of the company. The medical certificate will be acceptable only from Government or Local Authority Hospital or Health Centre.

9. INJURY BY ACCIDENT

In the case of accident covered by Work Injury Benefits Act, 2007, full pay will be given to the employee during a period of certified temporary disability.

10. SAFARI ALLOWANCE

An employee who is absent from his normal place of work on company’s business, shall be granted a safari allowance of Kshs.890/- per day to cover lodgings, meals and expenses appropriate to the employee’s employment with the company where such expenses are incurred, broken down as follows:-

Breakfast- Kshs.170.00
Lunch- Kshs.180.00
Supper- Kshs.190.00
Accommodation- Kshs.350.00

This Safari Allowance will stay the same for the duration of the Agreement.

11. CERTIFICATE OF SERVICE

On ceasing to be an employee of the company, an employee shall be issued with a certificate of service, which shall contain the following information, provided that the company shall reserve the right to withhold any information which it considers may be prejudicial to the interest of either the company or the employee:

Name

Identity

The date of first appointment

Trade or occupation

Date of Termination of Appointment

Total Service Rendered

12. TERMINATION OF EMPLOYMENT

Except where an employee is summarily dismissed for gross misconduct or other lawful cause as prescribed in the Employment Act and provided the probationary period has been completed, either party will be required to give one month’s notice of termination of service or pay in lieu thereof.

13. WARNING SYSTEM

An employee who is guilty of an offence other than gross misconduct or other lawful cause of dismissal may be given a written warning which shall be entered in the employee’s employment record card and shall remain valid for a period of 12 months from the date of issue. If, within the 12 months period the employee commits a similar or any other offence which does not warrant dismissal, he will be further warned in his employment record card and the two warnings shall remain valid for a period of 12 months from the date of issue. If within these 12 months period the employee commits a further offence which does not warrant dismissal, he will be further warned in his employment record card and the three warnings shall remain valid for a period of 12 months from the date of issue. If within these 12 months period the employee commits a further offence which does not warrant dismissal he will be issued with a final letter of warning which will make him liable to summary dismissal for any other offence which he may commit thereafter. A final letter of warning will remain valid for a period of one year from the date of issue. A copy of final warning shall be sent to the General Secretary of the Union.

14. PROBATION

All employees shall be considered to be on probation for a period not exceeding three months from the date of engagement and during the first month, services will be terminable by either party by giving 48 hours notice or pay in lieu thereof. During the 2nd and 3rd months, services will be terminable by 7 days notice or pay in lieu thereof.

15. MATERNITY LEAVE/PATERNITY LEAVE

The provision of the Employment Act 2007 shall apply.

16. DEFINITION OF EMPLOYEE

It is understood and agreed that the word “employee; in this Agreement shall cover all employees regardless of sex unless specifically stated otherwise.

17. LEAVE TRAVELLING ALLOWANCE

An employee proceeding on authorized annual leave will be paid leave travel allowance of Two Thousands Six hundred (Shs.2,600/-) p.a. for the duration of the Agreement.

18. UNIFORMS, OVERALLS AND PROTECTIVE CLOTHING

The company shall issue an employee who is required to wear uniforms or overalls by nature of his/her work or in accordance with the provisions of the Occupation Safety and Health Act with two pairs of uniforms or overalls free of charge. Such uniforms or overalls shall be replaced with new pairs annually. The company shall supply the employees with reasonable washing materials.

19. MEDICAL TREATMENT

The company undertakes to pay the cost of such medical treatment and medical expenses in accordance with the provisions prescribed by the Laws of Kenya relative to Employment of Persons Medical Treatment Rules. The payment of medical expenses will be made to all employees of the company, provided that such illness are those covered by the Act, and treatment carried out in any recognized medical institution.

20. REDUNDANCY PROBLEMS

(a) Definition

“Redundancy” means the loss of employment, occupation, job or career by involuntary means through no fault of an employee involving termination of employment at the initiative of the employer when the services of an employee are superfluous, and the practices commonly known as abolition of office, job or occupation and loss of employment due to the Kenyanisation of a business.

(b) Alternative Employment

In an effort to avoid redundancy, the company will endeavour to arrange suitable alternative employment within the company. This employment may not be of the same grade. If the alternative employment is not acceptable to the employee concerned, he will be classified as redundant and, therefore, eligible for the entitlements outlined in clause (f).

(c) Consultation

In the event of redundancy, the company undertakes to hold prior discussions with the union concerning the reasons for and the extent of the intended redundancy.

(d) Selection of Redundant Employees

In deciding which employees to be declared redundant, the company will assess the relative merits, ability and reliability of the affected employees, but when these factors are equal, the discharge will be on the basis of seniority. Membership or non-membership of the Union will not be a factor.

(e) Re-engagement

Redundant employee will be given prior consideration for re-engagement by the company should a vacancy arise according to their qualifications.

(f) Entitlement of Redundant Employees

In the event of an employee being declared redundant, he will be entitled to:-

(i) The normal notice or pay in lieu of notice as defined in the Agreement.

(ii) Payment of wages, overtime and any other remuneration which may be due to him calculated up to the date on which he/she ceases work.

(iii) Pro-rata leave and leave allowance entitlement in accordance with the Agreement.

(iv) Severance pay on the basis of ½ month’s pay for each completed year of service. Provident Fund and other retirement benefits are not way affected by those arrangements.

21. RETIREMENT BENEFITS/GRATUITY

An employee may be retired by the company when he/she attains the age of fifty five or is declared medically unfit to perform his/her duties by a recognized medical institution, shall be entitled to a gratuity of fifteen days (15) for each completed year of service to be based on his/her current earnings per month.

Provided that:

(a) The service of the employee for this purpose shall be deemed to have commenced on 1st January 1984.

(b) The employee has completed continuous service for 10 years.

(c) An employee who resigns or is dismissed for misconduct, viz. disobedience, dishonest, insolvency, negligence, incompetence or absence from duty without the company’s permission, etc, shall not be entitled to benefits under this clause.

(d) Should the company effect a pension scheme acceptable to the Union, this clause on gratuity shall cease to be effective and gratuity shall become payable in accordance with the rules of the Pension Scheme.

22. DEATH OF AN EMPLOYEE

(a) When the death of an employee, from any cause whatsoever, is brought to the notice or comes to the knowledge of his employer, the employer shall as soon as practicable, thereafter give notice thereof in the prescribed form to the Occupational and Health Safety Officer. If there is no Occupational and Health Safety Officer, to the County Commissioner of the County in which the employee is employed.

(b) The employer shall pay to the Occupational and Health Safety Officer or County Commissioner, as the case may be, all the wages due to the employee at the date of his death and shall deliver to him all property belonging to the deceased employee for transmission to the person legally entitled thereto.

(c) Should any employee, during the course of his employment, be killed or incapacitated by injury for a period exceeding three days, his employer shall, as soon as practicable, send to the Occupational and Health Safety Officer, or if there is no Occupational and Health Safety Officer, to the County Commissioner, a report in the prescribed form.

(d) The employer shall provide transport for the deceased to his/her home.

23. NIGHT TRANSPORT

Night transport shall be provided to outgoing second shift workers and in-coming third shift workers only.

24. SHIFT DIFFERENTIAL/ALLOWANCE

Shift workers who work on the 2nd or 3rd shifts shall be paid a compensatory allowance of Kshs.600/- per month for the entire period of this Agreement.

25. HOUSE ALLOWANCE

All existing employees will receive house allowance increase of Kshs.250/- first year, another increase of Kshs.250/- second year and Kshs.250/- for the third year of the agreement.

26. WAGE INCREASE

Employees of the company whose salaries/wages are above minimum rates of pay of their respective grades shall get a general increase as follows:

(i) Those earning less than Kshs.20,000/- per month will receive 11% increase in the 1st year, 11% increase in the 2nd year and 11% increase in the 3rd year.

(ii) Those earning more than Kshs.20,000/- per month will receive 8% increase in the 1st year and 8%, increase in the 2nd year and 8% increase in the 3rd year.

27. CASUAL EMPLOYEES RATE PER DAY

A casual employee will be paid wages based on the existing Wages Order for the term of this agreement.

28. EFFECTIVE DATE

This agreement shall be effective from the 1st day of January 2015 and it shall remain in force for a period of three years and thereafter until it is amended by mutual agreement between the two parties, provided that the party desiring to amend or terminate the agreement shall give in writing one month’s notice of their intention and shall set out in detail the amendments or alterations which it desires to make.

SIGNED: FOR AND ON BEHALF OF UNIPLASTICS LIMITED

……………………………….

JITENDRA H. SHAH

DIRECTOR

SIGNED: FOR AND ON BEHALF OF KENYA CHEMICAL AND ALLIED WORKERS UNIONS

…………………………

WERE D. OGUTU, OGW

NATIONAL GENERAL SECRETARY

WITNESSED BY:

…………………………………………........

HEZRON OPIYO GEORGE GWAKO

DEPUTY NATIONAL GENERAL RIRA

SECRETARY

…………………………………………………….

CHARLES OMONDIANTHONY MUSYOKA

SHOPSTEWARDSHOPSTEWARD

IN THE PRESENCE OF : ……………………………………………………….

L.W.KARIUKI

MANAGER INDUSTRIAL RELATIONS - F.K.E.

DATED AT NAIROBI THIS DAY OF 2015

/jan

APPENDIX ‘A’

JOB GRADING

SPECIAL GRADE

This grade covers highly experienced employees who have been awarded full responsibility of running the machinery with range of production and mechanism e.g.:

(a) Extruder

(b) Printing Machine

There are employees who require no supervision – fitter and artisans with Grade I Government Trade Test Certificate or equivalent experience will be classified in this grade.

GRADE I

This grade covers employees with 3 years experience and capable of working on their own initiative and whose duties require minimum supervision, e.g. Machine Operator with three years experience:-

(i) Extruder Machines

(ii) Printing Machines

(iii) Artisans with Grade II Government Trade Test Certificate will be classified in this grade.

People in Grade I should be able to set the machines, take out correct sizes and gauges, be able to change dies, crossheads and carry out minor repairs to the machines. In printing they should be able to set the stereos and do the quality printing as instructed.

GRADE II

This grade covers experienced employees capable of running the following machines with minimum supervision and with 2 years practical experience.

(i) Extruder Machines

(ii) Printing Machines

(iii) Bag Making Machines

These only need frequent visiting for any abnormalities and Artisans Grade III will be classified in this Grade. Covers Bag Making Machine Attendants who are able to set the sizes, temperature, printing and can produce the required work as per instructions with a very minimum supervision. The Slitting Machine Operators are also included in this grade.

GRADE III

This covers Packers, Sealing Machine, Stereo Mounter and Hoppers Feeder, these should at least have one year’s experience and include Van Labourers, Labourer, (stores) tea makers and cleaners.

WAGES

NAME OF EMPLOYEE CURRENT MONTHLY PAY 1ST YEAR 2ND 3RD YEAR
MURAMBA MWENI TSANGA 22,143 23,914 25,827 27,893
DANSON MAGONDU MUGUONGO 22,143 23,914 25,827 27,893
PULU FESTUS MWANGA. 19,082 21,181 22,876 24,706
DANIEL ODUOR OBONYO 19,082 21,181 22,876 24,706
SAFARI CHARO BIRYANI 19,082 21,181 22,876 24,706
PERMINUS WAMBUA NGOVI 21,878 21,181 22,876 24,706
SIMION SUMBA KARIUKI 21,878 23,628 25,518 27,560
PATRICK OLOO JUMA 21,878 23,628 25,518 27,560
ANTONY MUSYOKA MATHEKA 21,878 23,628 25,518 27,560
WASHINGTON OMBETE OTAYA 16,091 23,628 25,518 27,560
MUTSYA DAUDI 16,091 17,861 19,826 22,007
GEORGE OTIENO MAKOMERE 16,091 17,861 19,826 22,007
BERNARD BARASA EGESA 21,878 17,861 19,826 22,007
JOSEPH MATIKA EKONGO 16,091 23,628 25,518 27,560
KATANA FREDY POLA 16,091 17,861 19,826 22,007
JOSEPH KIMANI MUNGAI 16,091 17,861 19,826 22,007
MUSYOKA MULANDI 16,091 17,861 19,826 22,007
ISAAC KARISA KENGA 21,878 17,861 19,826 22,007
GOSPELLAH LIAKA BARASA 21,878 23,628 25,518 27,560
PAUL KAMAU NYUTU 21,878 23,628 25,518 27,560
ERICK OCHIENG OWINDO 21,878 23,628 25,518 27,560
CHARLES MWANGI THUO 21,878 23,628 25,518 27,560
CHARLES OMONDI OBUMBA . 16,091 17,861 19,826 22,007
ROBERT KAMAU 21,878 23,628 25,518 27,560
ELIUD MOI NYOLO 16,091 17,861 19,826 22,007

HOUSE ALLOWANCE

NAME OF EMPLOYEE OUT GOING 1ST YEAR 2ND 3RD YEAR
MURAMBA MWENI TSANGA 3,575 3,825 4,075 4,325
DANSON MAGONDU MUGUONGO 3,595 3,825 4,075 4,325
PULU FESTUS MWANGA. 3,575 3,825 4,075 4,325
DANIEL ODUOR OBONYO 3,575 3,825 4,075 4,325
SAFARI CHARO BIRYANI 3,575 3,825 4,075 4,325
PERMINUS WAMBUA NGOVI 3,575 3,825 4,075 4,325
SIMION SUMBA KARIUKI 3,575 3,825 4,075 4,325
PATRICK OLOO JUMA 3,575 3,825 4,075 4,325
ANTONY MUSYOKA MATHEKA 3,575 3,825 4,075 4,325
WASHINGTON OMBETE OTAYA 3,575 3,825 4,075 4,325
MUTSYA DAUDI 3,575 3,825 4,075 4,325
GEORGE OTIENO MAKOMERE 3,575 3,825 4,075 4,325
BERNARD BARASA EGESA 3,575 3,825 4,075 4,325
JOSEPH MATIKA EKONGO 3,575 3,825 4,075 4,325
KATANA FREDY POLA 3,575 3,825 4,075 4,325
JOSEPH KIMANI MUNGAI 3,575 3,825 4,075 4,325
MUSYOKA MULANDI 3,575 3,825 4,075 4,325
ISAAC KARISA KENGA 3,575 3,825 4,075 4,325
GOSPELLAH LIAKA BARASA 3,575 3,825 4,075 4,325
PAUL KAMAU NYUTU 3,575 3,825 4,075 4,325
ERICK OCHIENG OWINDO 3,575 3,825 4,075 4,325
CHARLES MWANGI THUO 3,575 3,825 4,075 4,325
CHARLES OMONDI OBUMBA . 3,575 3,825 4,075 4,325
ROBERT KAMAU 3,575 3,825 4,075 4,325
ELIUD MOI NYOLO 3,575 3,825 4,075 4,325

KEN Uni-Plastics Limited - 2015

Start date: → 2015-01-01
End date: → 2017-12-31
Ratified by: → Other
Ratified on: → 2015-01-01
Name industry: → Manufacturing
Name industry: → Manufacture of rubber and plastic products
Public/private sector: → In the private sector
Concluded by:
Name company: →  Uni-Plastics Limited
Names trade unions: →  COTU - Kenya Chemical and Allied Workers Union

SICKNESS AND DISABILITY

Maximum for sickness pay (for 6 months): → 25 %
Maximum days for paid sickness leave: → 60 days
Provisions regarding return to work after long-term illness, e.g. cancer treatment: → No
Paid menstruation leave: → No
Pay in case of disability due to work accident: → Yes

WORK AND FAMILY ARRANGEMENTS

Maternity paid leave: → -9 weeks
Job security after maternity leave: → No
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: → No
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: → No provision days
Paternity paid leave: → Not specified days

EMPLOYMENT CONTRACTS

Trial period duration: → 90 days
Severance pay after 5 years of service (number of days' wages): → 75 days
Severance pay after one year of service ((number of days' wages): → 15 days
Part-time workers excluded from any provision: → No
Provisions about temporary workers: → No
Apprentices excluded from any provision: → No
Minijobs/student jobs excluded from any provision: → No

WORKING HOURS, SCHEDULES AND HOLIDAYS

Working hours per week: → 44.0
Paid annual leave: → 24.0 days
Paid annual leave: →  weeks
Paid bank holidays: → 
Provisions on flexible work arrangements: → No

WAGES

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

Wage increase

Wage increase: → 11.0 %

Extra payment for annual leave

Extra payment for annual leave: → KES 2600.0

Premium for overtime work

Premium for overtime work: → 150 % of basic wage

Premium for Sunday work

Premium for Sunday work: → 200 %

Meal vouchers

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