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MEMORANDUM OF AGREEMENT ON TERMS AND CONDITIONS OF SERVICE

BETWEEN

KAWERI COFFEE PLANTATION LIMITED

AND

NATIONAL UNION OF PLANTATION AND AGRICULTURAL WORKERS

UGANDA

AN AGREEMENT made on this 2nd day of December Two Thousand Sixteen between KAWERI COFFEE PLANTATION LIMITED a limited liability company duly incorporated in Uganda and having its registered Offices at Plot 1 Kitemba- Mubende P.O Box 264 Mubende (hereafter called "The Employer") which expression shall where the context so permits, include its successors and assigns, of the one part.

AND

THE NATIONAL UNION OF PLANTATION AND AGRICULTURAL WORKERS (UGANDA) (hereinafter referred to as "the Union ') which expression shall, where the context so permits, include its successors and assigns, of the one part.

PREAMBLE:

The parties to this collective Agreement are interested in maintaining good and normal working relations and improving productivity and quality in the coffee Industry.

1.APPLICABILITY

This agreement shall govern the terms and conditions of service of employees with written contracts of more than one month working for Kaweri Coffee Plantation Ltd.

2.CONTRACT OF SERVICE

a)All employees shall be appointed in writing as stipulated in the employment Act 2006, and shall be issued with a contract of employment consisting of the employee's specific job title, grade and wages/ salary rates.

b)The Employee must sign documents so as to signify acceptance before starting work.

c)These documents will be written in English. However, where necessary the Company and Union will translate the documents into a language that is understood by the workers.

d)The employee may be required to undergo a medical examination.

3.WORKING HOURS

(a)Employees will normally work 45 hours spread over six days during each

working week.

(b)Normal working hours are: Monday to Friday 7am to 3pm, Saturday 7am to 12noon

(c)However, the rest day will not always be a Sunday.

(d)The starting and knocking off time shall be arranged at Plantation level.

(e)Calculation for a day’s pay worked in a month shall be the present monthly salary / wage divided by 26 working days of the month.

(f) With effect from 1st January 2010 wages for Security Guards will be computed in accordance with all other employees, based on a 45 hour week plus recorded hours of over time worked.

This replaces the previous practice of paying a consolidated wages which had included the 108 hours of overtime worked during the month.

4.PROBATIONARY PERIOD

a)The probationary period for all employees shall be three months.

b)The probationary period may be extended by three months provided that the employee and the Union are given reasons in writing for such extension to enable the employee to take corrective action, but shall not exceed three months.

c)During the probationary period either party shall give to the other seven days notice in writing terminating the services, or pay a sum equivalent to seven days salary/wage in lieu thereof.

d)After the stipulated probationary period an employee shall be confirmed in writing.

e)If it has not been satisfactory, an employee shall be informed in writing before the expiry of the probationary period that his/ her performance has been unsatisfactory. And shall be paid his or her entitlements, including accrued leave and his or her appointment will be terminated.

5.TERMINATION OF SERVICE

After the satisfactory completion of anemployee's probationary period, termination of service shall be effected by either party giving to the other a notice in writing as follows:-

a)

i) 4 months to 1 year’s service- 14days

ii)1 year to 5 years' service- 1 month

iii)5years to 9 years’ service- 2 months

iv)Over 9 years’ service- 3 months

b)

Either party will pay an equivalent of the appropriate notice period, calculated on the employees’ basic salary pay in lieu of such notice.

c)No summary dismissal shall be effected without giving reasons.

d)Management shall issue the Employee with a certificate of service.

6.GRATUITY

Upon completion of unbroken service, an employee leaving KCPL will be entitled to a gratuity pay at the following rates for each completed year of service provided he is not summarily dismissed:

1. 1 - 2 years of unbroken service-7days

2. 3 - 5years of unbroken service-10 days

3. 6 - 9 years of unbroken service-20days

4. 10 + years of unbroken service-30 days

7.OVER TIME

Overtime shall be calculated on the basis of salary/wage of the employee concerned and shall be recorded at the end of each day's work. Any hour(above 30 mins) worked in excess of the normal daily period shall be treated as overtime and shall be paid at one and half times the rate of basic salary/ wages of the employee concerned.

In the event of an employee being called to work on a normal rest day, he shall be paid overtime at the rate of 1.5 times. Any gazetted Public Holiday, an employee shall be paid overtime at the rate of two times his/her basic pay for hours of work performed.

8.PUBLIC HOLIDAYS

a)All employees covered by this Agreement shall be granted with full pay all gazetted Public Holidays. In addition, any other day or days declared by the Uganda Government as Public Holidays or Holidays shall be given.

b)In the event of public holiday occurring during the course of the employee’s weekly rest day, he / she will either be given an extra day off, or be granted an additional days pay, at the discretion of Plantation Management.

9.ANNUAL LEAVE

a)Every employee shall be entitled to annual leave of 24 working days for a completed year.

b)In the event of a public holiday occurring during the course of the employee's annual leave period, this will be deducted from the number of days of leave

taken /granted.

c)Annual leave pay shall be calculated at the basic pay an employee is earning at the time leave is taken.

d)Leave shall be taken as is agreed between the Employer and the Employee.

e)Annual leave must be applied for at least a month before the intended departure date except in the case of the genuine family emergency.

f)For operational reasons, the company may designate certain periods of the year in which employees may not choose to proceed on annual leave.

10.LEAVE TRAVEL ALLOWANCE

The annual leave travelling allowance (to and from) will be calculated for an employee proceeding on leave for self, spouse and a maximum of three registered children under the age of 18 years. The payments will be Shs 55 per Km from Mubende to the nearest registered home town plus Shs 9,000 from Mubende to the Plantation. The same amount will be paid for the return journey. This Travel Allowance to be reviewed annually to maintain its intended purpose for returning the family for leave and back.

11.COMPASSIONATE LEAVE

The Employer shall give three working days as compassionate leave on the death of an employees’ own natural mother, father, child or spouse.

12.MATERNITY LEAVE

(a)A female employee is entitled to 60 working days paid maternity leave per confinement subject to the production of a proper medical certificate, and may claim for a maximum of 3 confinements.

(b) The Company expects female employees intending to claim maternity leave to give ample notice their expected delivery date and not less than 45 days notice.

13. BREASTFEEDING

A female employee breast-feeding her newly born child will be allowed an hour a day for breast feeding until the child is six months.

14. PATERNITY LEAVE

In the event of a registered wife of an employee giving birth, such employee shall, on application and production of relevant medical documents, be granted up to four (4) consecutive day’s paternity leave.

15. SICK LEAVE

An employee shall be entitled to sick leave on production of a certificate recommending such leave from the Company or authorised Medical Officer in accordance with the laid down procedure, provided that such leave shall have been necessitated by sickness other than through the employee s own negligence or default. Subject to this provision:-

i)Every employee shall be granted up to 26 working days sick leave per annum with full pay for casual sickness.

ii)Every employee shall be entitled up to 90 working days with full pay for certified hospitalisation and there after, management may consider

additional assistance to the employee.

iii)Sick leave is not cumulative and shall not be carried forward from one

iv)Any Employee injured on Company duties shall be treated under sick leave conditions until he/she qualifies under Workers Compensation Act.

v)All Sick Leaves as mentioned above shall be certified by the Company Medical Doctor/ Officer or any qualified Medical Practitioner recognised

vi)A certificate of fitness shall be issued by the Company Doctor/ Medical Practitioner recognised by the Company to an employee for resumption of duty after illness.

16. MEDICAL

Both parties have agreed that the employer shall provide free first line medical treatment to the employee, a registered spouse and three children below the age of 18 years at the

It has further been agreed that such patients that cannot be treated at the Company Clinic shall be referred as judged appropriate by the Clime Officer or any other Officer in charge at the material time, to Mubende Hospital or any other Government referral hospitals. The company will transport the referred sick employee to the hospital and when hospitalized, provide meals/pay allowances as follows;

a)Breakfast: Ugshs:2,000

b)Lunch: Ugshs:6,000

c) Supper: Ugshs:7,000

If the employee is not hospitalised and not attended to by lunch hour, lunch allowance will be paid as above.

d)The above allowance shall apply to the attendant of the hospitalised sick employee.

17.HIV/AIDS

The Union agrees to support the Company’s established HIV/AIDS policy at the work place which is attached as Appendix I

18.FUNERAL EXPENSES

In the event of death of an employee in service, or an employee losing a registered spouse or any of the three biological registered off-springs below 18 years of age, the employer shall pay the following rates to the nominated registered dependant to cover the costs of burial:

i)Employee/Spouse- Ushs 220,000/=

ii)Registered Child below 18 yrs - Ushs 110,000/=

The Company shall transport home the body of the Employee/ Spouse/ registered child under the age of 18 years to the traditional burial ground of the family within Uganda.

Proof of registration shall be a pre-requisite before any claims under this clause can be entertained by the employer.

19.OUT OF STATION ALLOWANCE

The company will pay out of station allowance to employees travelling out of Mubende district whilst on Company duties as follows:

GRADE____DAY___DAY/NIGHT:

VI______Ushs 12.000____Ushs 53.000

VII_____Ushs 10.000____Ushs 47.000

VIII-X___Ushs 8.000_____Ushs 40.000

20.HOUSING

(a)Employees with written contracts may be offered accommodation in a Company Village. Employees who cannot be accommodated in Company House will be paid a housing allowance of Ushs 20, 000/- per calendar month.

(b)The maximum number of people allowed to occupy a Company house is 2 adults plus 3 children.

(c)Married employees not accompanied by their families, and single employees, may be requested to share a house with an employee of the same sex.

(d)Housing allowance will not be paid to an employee who has been offered a Company house but declined the offer.

21.ACTING ALLOWANCE

All graded employees when appointed to act in place of senior employees for a period of 18 working days or more, shall be paid Acting allowance. Provided that such appointments shall be made in writing and communicated to the Shop stewards within two days thereof and be copied to the Union Secretary of the Branch.

a) When the difference in salary/ wage between the basic salary/wage of the higher post and salary/wage of the acting officer is greater than half of the salary /wage of the acting acting officer, that officer shall be entitled to only half of the difference in their salary/wage as his/her acting allowance, b) If the difference between the two salaries/wages stated in (a) above is less than half of the salary of the acting officer, the officer acting shall be entitled to the full difference between his/her salary/wage of the basic salary/wage of the higher post.

22.TOOLS

The Employer shall provide the necessary tools to the employee at his/her place of work.

23.SANITARY ALLOWANCE

a)Sanitary Allowance for Toilet Cleaners

The employer shall provide all sanitary attendants with overall, a pair of gum boots and a pair of gloves for the performance of their duties.

b)In addition, the employer shall pay an allowance of 20% of basic salary / wages plus 2 bars of soap to the above category monthly.

24.BICYCLE ALLOWANCE

In the event of the employer requesting an employee to use the employee's own bicycle on Company business for a period of not less than one month, such employee shall be paid Ugshs 12,500 per month as bicycle allowance. Should the bicycle become unusable due to lack of maintenance, the allowance will be withdrawn until such time that the bicycle is in working order again.

25.LEAVE FOR TRADE UNION BUSINESS

Leave for Trade Union business requiring absence for one day per quarter or more shall be granted to Branch Officials or Shop stewards provided prior notice of seven days giving reasons there for shall have been given to management and permission given.

26.LEAVE FOR EDUCATION

The Employer and the Union recognise the desirability and necessity of workers’ education in the fields of productivity and promotion of sound industrial relations. The Employer may grant leave to employees required to attend courses or seminars sponsored by the government. National Organisation of Trade Unions, National Union of Plantation and Agricultural Workers (U) provided the Union or the employee concerned shall make the request in writing at least two weeks prior to the commencement of such courses or seminars.

27.TRADE UNION REPRESENTATION

A Shop Steward/Branch Official shall acquire full recognition by the Employer once elected and introduced by the Union Official to the Employer.

28.OCCUPATIONAL HEALTH AND SAFETY

a)The Management shall observe the provisions of Occupational Health and Safety regulations currently in force covering workplaces and residences of the employees.

b)Management and the Union agree on the formation of Occupational Health and Safety Committee on the Plantation.

c)The number of members on the committee to be determined by the plantation. The committee shall be responsible for finding and recommending ways and means to implement occupational safety and health regulations in force.

29.PROTECTIVE CLOTHING AND APPLIANCES

a)Suitable protective clothing and appliances including, gloves, footwear, goggles and head coverings shall be provided by the employer and maintained by the workers employed in any process involving exposure to heat or any injurious object or substance as stipulated in the Occupational Health and safety act of 2006.

b)In addition, suitable uniforms shall be provided to any other categories of workers who may not be covered by the provisions of the Occupational Health and Safety Act of 2006 but who work in places where such protective are necessary.

c)Such protective clothing as is deemed to be necessary may be issued to employees by the employer. It shall be a condition of employment that any such clothing shall only be worn during working hours and remain the property of the Company.

30.MEALS

The employer shall provide one solid meal to all employees whose tasks will go beyond lunch time while on duty.

31. DISCIPLINARY CODE

Disciplinary action shall be taken against employee(s) who refuse to obey lawful orders given to them by management.

Disciplinary action taken against employee(s) must follow the procedures as laid down in this agreement.

i)Absent from duty without permission:

a)First offence- Verbal warning

b)Second offence - First written warning

c) Third offence- Liable for termination of service

ii)Deserter

An employee who absents himself/herself from duty for five days consecutively without sound reason shall be regarded as a deserter. A deserter will be entitled to all his / her accrued benefits but not to termination notice pay and gratuity.

iii)Late on Duty

a)First offence- Verbal warning

b)Second offence - First written warning

c)Third offence- second written warning

d)Fourth offence - Liable for termination of service

iv)Reckless. Negligence and Failure to carry out Duties

Immediate dismissal

v)Direct refusal to carry out Lawful instructions from Accredited Management Official.

Immediate Dismissal

vi)Drunkenness on Duty or Reporting on Duty while under the influence of alcohol

Immediate Dismissal

vii)Physical Fighting at Workplace

a)First offence- Suspension for one day without pay

b)Second offence - Liable for dismissal

viii)Smoking in Prohibited areas

a)First offence- Written warning

b)Second offence - Suspension for 3 days without pay

c)Third offence- Liable for termination of service

ix)Entering Factory/Workshop/Garage/Stores without permission

a)First offence- Written warning

b)Second offence - Suspension for 3 days without pay

c)Third offence- Liable for termination of service

x)False Accusation

a)First offence- Written warning

b)Second offence - Suspension for 3 days without

c)Third offence- Liable for termination of service

xi)An Unauthorised starting/stopping of machines on duty

a)First offence- Written warning

b)Second offence - Suspension for 3 days without pay

c)Third offence- Liable for dismissal

xii)Use of abusive language and intimidating gestures:

1st breach; First written warning,

2nd breach; Second written warning,

3rd breach; Liable for Termination

xiii)Drug Abuse

No employee shall be allowed to use or smoke opium (Njaga) or other classified drugs and other intoxicating substances on duty or residential areas. Such employee if found shall be summarily dismissed.

xiv)Violence and Sexual harassment

Employees, if found guilty of violence and or sexual harassments at workplace or on the plantation will be summarily dismissed and sent out from the plantation premises. The aggrieved parties can pursue criminal proceedings on their own if they so wish.

xv)Theft

In case of theft, if caught red-handed, is a direct dismissal. If investigations are taking place when not caught re-handed, shall be liable for the following punishments;-

The offender shall be suspended for 7days while investigations are taking place; if proved guilty shall be liable for summary dismissal, but if found not guilty shall be paid for her/his days she/he has been on suspension.

xvi)Willfully damages/misuses of Buildings, Machinery, and other property used in connection with his/her works

Summary Dismissal

(vi) Being in Possession of Lethal arms/Fire-arms

No employee shall be allowed to enter farm premises/residential area with lethal arms/fire-arms. If found, an employee will be liable for instant dismissal and handed over to the authorities.

Any employee who receives a visitor who is in possession of lethal arms/fire-arms shall report to the Company Security Department immediately. Failure to do so shall render him/her liable for instant dismissal.

xvii)Theft/Forgery/Corruption/Bribery 

An employee who is suspected of committing the above offence shall be suspended instantly, on receipt of report, on half pay and, on proof after the enquiry, such employee shall be liable for dismissal. In case of dismissal, the employee shall forfeit his/her superannuating benefits All alleged offences will be investigated before the formal procedure is invoked to determine the appropriate course of action to be taken.

32. UNCOMPLETED TASKS

Payments will only be made after completion of the task

33.CRIMINAL PROCEDURES

Employees charged and acquitted to be handled according to the law.

34.VALIDITY OF WARNING

Warning shall remain valid for a period of 18 months

35.DURATION

This Agreement shall be effective for a period of two years from 2nd December 2016 and shall continue in force until revised otherwise.

Signed:

For and on behalf of KAWERI COFFEE PLANTATION LIMITTED:

MANAGING DIRECTOR

HR /ADMINISTRATION MANAGER

Joint Secretary

For and on behalf of NATIONAL UNION OF PLANTATION & AGRICULTURAL WORKERS (U)

GENERAL SECRETARY

TRADE SECRETARY

Joint Secretary

AGREEMENT

BETWEEN KAWERI COFFEE PLANTATION LTD AND

NATIONAL UNION OF PLANTATION AND AGRICULTURAL WORKERS' UGANDA

(NUPAWU)

It is hereby agreed between the two parties that effective 1st October 2016, Salaries and wages shall be increased by Five percent (5 %) across the board.

DURATION:

This agreement is effective 1st October 2016 and shall remain in force for a period of one year.

Signed for and on behalf of both parties by respective lawful representatives, this 2nd December Two Thousand Sixteen (02/12/2016).

Kaweri Coffee Plantation Ltd:

Etienne Steyn, Managing Director

Simon Sakwa, HR & Admin Manager

Jeremiah N. Mwangi, Agronomy Manager

Peter M. Ndemwa, Financial Manger

National Union of Plantation and Agricultural Workers' Uganda:

Joram B. Pajobo, General Secretary

Bruno Musinguzi, General Treasurer

Alfred Tumwine, Area Secretary

Emmanuel Kyeyune, Branch Chairman

Julian Nyachwo, CHAIRPERSON

Kaweri Coffee Plantation Ltd - 2016

Start date: → 2016-10-01
End date: → 2018-09-30
Name industry: → Manufacturing, Agriculture, forestry, fishing
Name industry: → Growing of crops, market gardening, horticulture, Manufacture of food products
Public/private sector: → In the private sector
Concluded by:
Name company: →  Kaweri Coffee Plantation Ltd
Names trade unions: →  NUPAWU - National Union of Plantation and Agricultural Workers - Uganda

SICKNESS AND DISABILITY

Maximum days for paid sickness leave: → 26 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: → No

WORK AND FAMILY ARRANGEMENTS

Maternity paid leave: → 8.5 weeks
Maternity paid leave restricted to 100 % of basic wage
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: → No
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: → No
Prohibition of screening for pregnancy before regularising non-standard workers: → No
Prohibition of screening for pregnancy before promotion: → No
Facilities for nursing mothers: → Yes
Employer-provided childcare facilities: → No
Employer-subsidized childcare facilities: → No
Monetary tuition/subsidy for children's education: → No
Paternity paid leave: → 4 days
Leave duration in days in case of death of a relative: → 3 days

GENDER EQUALITY ISSUES

Equal pay for work of equal value: → No
Discrimination at work clauses: → No
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: → Yes
Special leave for workers subjected to domestic or intimate partner violence: → No
Support for women workers with disabilities: → No
Gender equality monitoring: → No

EMPLOYMENT CONTRACTS

Trial period duration: → 90 days
Severance pay after 5 years of service (number of days' wages): → 10 days
Severance pay after one year of service ((number of days' wages): → 7 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 day: → 8.0
Working hours per week: → 45.0
Working days per week: → 6.0
Paid annual leave: → 24.0 days
Paid annual leave: →  weeks
Rest period of at least one day per week agreed: → Yes
Paid leave for trade union activities: →  days
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: →  %
Wage increase starts: → 2016-10

Premium for overtime work

Premium for Sunday work

Premium for Sunday work: → 50 %

Allowance for commuting work

Meal vouchers

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