COLLECTIVE AGREEMENT BETWEEN NATIONAL PENSION SCHEME AUTHORITY AND ZAMBIA UNION OF FINANCIAL INSTITUTIONS AND ALLIED WORKERS

Untitled Document

JANUARY 2020

THIS AGREEMENT is made the .............................................. BETWEEN THE NATIONAL
PENSION SCHEME AUTHORITY (hereinafter called "the Authority") having its Corporate Office at NAPSA House Church Road Lusaka of the one part and THE ZAMBIA UNION OF FINANCIAL INSTITUTIONS AND ALLIED WORKERS (hereinafter called "Union") having its Head Office at Luangwa House Cairo Road Lusaka of the other part.

WHEREAS:

The Authority at the request of this Union has agreed to offer the following conditions of service to its employees. IT IS HEREBY AGREED as follows:

  1. This Agreement shall come into force on the 1st day of January 2020 except where stated otherwise, and shall remain in force until 31st December 2021 unless amended as provided hereinafter.
  2. This Agreement shall be amended, varied or withdrawn as and when both parties agree.
  3. The provisions of this Agreement shall bind the Authority provided that they shall not apply to employees out of the services of the Authority for the reasons other than death by the first day of its implementation.

IN WITNESS WHEREOF the parties have hereunto set their hands at NAPSA House Church Road Lusaka on the day and year first before written.

SECTION I : GENERAL PROVISIONS

1.0 PRELIMINARY

This Agreement may be cited as the National Pension Scheme Authority Collective Agreement.

In this Agreement, unless the context otherwise requires: -

"Act" means the National Pension Scheme Authority Act.

"Basic Salary' means monthly payments for regular employment determined on a yearly basis excluding allowances.

"Authority/Employer” means the National Pension Scheme Authority.

"Employee" means all those who undertake to join the Authority and therefore, render service to the above mentioned Authority and are defined as established employees by the Industrial and Labour Relations Act (CAP 269 of the Laws of Zambia).

"Employer" means the National Pension Scheme Authority and all its branches.

"Union” means the Zambia Union of Financial Institutions and Allied Workers.

"Bargaining Unit" means a body established jointly by Management and the Union for the purpose of carrying out collective bargaining.

"Registered Dependants” shall mean the spouse of an employee and only one such spouse shall be nominated at any time, plus the biological/legally adopted children of the employee, biological father or mother, guardian, sibling, grandchild, grandparent of an employee.

"Flexibalisation” means an employment practice characterized by different aspects of human resource management, such as pay flexibility, contractual flexibility which includes non-permanent contracts of service, task flexibility and working hours’ flexibility

"Night” means the period between 18:00 hours in the evening and 06:00 hours in the morning;

"Premature child” means a child born before thirty-seven weeks of gestation counting from the first day of the last menstrual cycle.

2.0 OBJECTIVES

2.1 It is hereby realised and agreed that the advancement of Employees and their livelihood depends on the success of the Authority. The Authority must look to its employees to manifest loyalty and devotion and to maintain a high standard of efficiency and hard work. The Authority in return is concerned with the well-being and security of all its employees. To this end both the Union and the Authority have mutual obligations which may be summarised as follows:-

2.1.1 Determination and implementation of an equitable pay structure.

2.1.2 Promotion of the Employees' participation in the management of the affairs of the Authority through the Union.

2.1.3 Promotion of Employees’ morale to ensure high productivity and efficiency.

2.1.4 Reduction in labour turn over by combating indiscipline such as idleness and absenteeism and other vices of unproductive nature.

2.1.5 Promotion of increased work output performance.

3.0 DISCIPLINE AND APPLICATION OF THIS AGREEMENT

3.1 DISCIPLINE

3.1.1 The Union acknowledges that it is the function of the Employer to maintain order, discipline, and efficiency and to discharge, suspend or penalise employees for proper cause.

3.1.2 In pursuance of this, it is hereby agreed by both parties that the Authority shall deal with any infringement by an employee in accordance with the Code of Discipline and Procedures that has been published separately, and as amended from time to time.

3.2 APPLICATION OF THIS AGREEMENT

3.2.1 The Conditions of Service contained in this Agreement shall apply to Employees represented by the Union in accordance with the Industrial and Labour Relations Act except such Unionised Employees out of employment of the Authority for reasons other than death on the first day of implementation of this agreement.

4.0 EQUAL OPPORTUNITY EMPLOYMENT POLICY

4.1 The Authority is an equal opportunity employer. By this, it means that the Authority does not discriminate in the employment, development and advancement of any Zambian national on the basis of colour, nationality, tribe or place of origin, language, race, social origin, religion, belief, conscience political or other opinion, sex, gender, pregnancy, marital status, ethnicity, family responsibility, disability, status, health, culture or economic grounds

4.2 The Authority does, however, give preference in employment, development, advancement and retention to properly qualified and capable Zambian nationals, over any foreign national. Provided, however, that the Authority reserves the right to employ foreign nationals in key posts where the employment of such persons is expected to result in significantly higher levels of performance than from any Zambian National who may be available at that time.

4.3 Notwithstanding the above provision, any person employed, either on probation or after confirmation, who is found to have given false information or withheld material information concerning their financial situation as required by the Authority shall be liable to be disciplined in accordance with provisions of the NAPSA Disciplinary Code and Grievance Procedure.

5.0 RECRUITMENT AND TERMS OF APPOINTMENT

5.1 Recruitment of personnel shall remain the prerogative of Management of the Authority and priority for employment shall be given to Zambian applicants but non-Zambians may be considered for appointment where a qualified Zambian is not available.

5.2 Employees who are required to travel for interviews from other parts of the country to any town designated as an interview centre shall be entitled to Subsistence Allowance and transport money for the cheapest appropriate mode of transport.

5.3 On first appointment, an Employee shall be appointed on probation unless the Authority expressly appoints him or her as an Established Employee or on a contract of service for a determined period.

5.4 The probationary period of an Employee shall be three (3) months on both first appointment and on promotion, for the purpose of determining that employee’s suitability for appointment. However, the probation period may be extended for a further period not exceeding three months depending on performance assessment for confirmation purpose.

5.5 An assessment of an employee shall be taken by the employer during the probationary period and the result of the assessment shall be communicated to the employee before the end of the probationary period.

5.6 Where, during the probation period on first appointment, an employer determines after an assessment that an employee is not suitable for the job, the employer shall terminate the contract of employment by giving the employee at least twenty-four hours’ notice of the termination.

5.7 Similarly, an employee on probation may terminate the contract of employment by giving the employer at least twenty-four hours’ notice of the termination.

5.8 An employer who is satisfied with the performance of an employee after a probation period shall notify the employee, in writing, of the confirmation of employment, except that where the employer does not notify the employee, in writing, of the confirmation, the employee shall be confirmed in the position from the date of the expiry of the probation period.

5.9 The effective date of confirmation shall be the date of communication of a successful performance appraisal in either case of first appointment or promotion.

5.10 An Employee shall not be appointed or confirmed as an established Employee unless he/she has been examined and declared fit by a medical practitioner who is registered with the Medical Council of Zambia. The cost of such an examination will be borne or reimbursed by the Authority.

6.0 TRAVELLING AND REMOVAL EXPENSES ON FIRST APPOINTMENT

6.1 The Authority shall meet travelling and removal expenses of an Employee on first appointment to the Authority’s establishment.

7.0 SALARY

7.1 Grades and salary scales shall be determined by the Authority. It shall be competent for the Director-General to appoint an Employee to a particular grade and to determine salary in that grade.

7.2 On the expiry of the existing Collective Agreement and the commencement of a new one, salary awards shall be determined by the Bargaining Unit.

7.3 The parties have agreed to effect a salary increase which also takes into account the merger to the previous basic salary of Housing Allowance as shown in Schedule 1 of this Agreement. From now going forward the separate payment of Housing Allowance has ceased.

7.4 An employee shall be assessed annually in accordance with objectives that are Specific, Measurable, Attainable, Realistic and Time Bound (SMART) beginning 1st January of each year and appropriate increments shall be given to those employees who exceed or meet performance objectives in accordance with the Performance Management System and this shall be determined by Management.

7.5 Depending on the economic circumstances prevailing at the time either party may request for the convening of the Bargaining Unit to review the salaries on an annual basis.

8.0 HOURS OF WORK AND OVERTIME

8.1 The basic working hours shall be eight hours per day per five-day week or forty hours per five-day week. This is notwithstanding the possibility of flexibalisation on need basis as provided for in the Employment Code Act No.3 of 2019

8.2 Except in special circumstances and subject to prior approval by the Supervisor or any designated Superior, the Authority shall pay an employee who works in excess of the Authority’s prescribed hours of work overtime pay in line with the provisions of the Employment Code Act No.3 of 2019.

8.3 In case of Employees engaged in shift work the basic working hours shall be at an average of forty hours per week over a shift cycle irrespective of the days worked including Saturdays, Sundays and public holidays.

8.4 Overtime shall be administered in line with the provisions of the Authority’s Overtime Guidelines.

9.0 MEAL AND HEALTH BREAKS

9.1 The Authority shall grant to the employee Meal and Health Breaks on each working day in line with the provisions of the Employment Code Act No.3 of 2019 as follows:

  1. Employees shall be entitled to a flexi meal break of one hour in liaison with the Line Manager/Supervisor.
  2. Employees shall be entitled to an uninterrupted health break of 20 minutes or two health breaks of at least ten minutes each in liaison with the Line Manager/Supervisor.
  3. The employee shall take the health break within working time.
  4. The meal and health breaks shall not be cumulative and will therefore be forfeited if not taken.

10.0 PUBLIC HOLIDAYS

10.1 Public Holidays declared by the Government of the Republic of Zambia shall be holiday with pay.

11.0 TRANSFERS

11.1 An Employee shall be liable to be transferred by the Director-General at any time from the post which he or she occupies to any other post in the Authority's administration provided that he or she shall not thereby suffer any reduction in his or her emoluments as provided in this Agreement.

12.0 STAFF PENSION SCHEME

12.1 An established Employee shall be eligible for membership of the National Pension Scheme Authority Staff Pension Scheme which shall provide benefits as specified in the Pension Rules amended from time to time and obtainable from the Human Resources Department.

13.0 STAFF GROUP LIFE ASSURANCE SCHEME

13.1 An Employee serving the Authority whether on established or contract terms shall be eligible for the Group Life Assurance Scheme of the Authority which shall provide a lump sum benefit equal to three and half (3.5) times of one’s annual salary subject to the limits provided in the Insurance policy cover.

13.2 Where the deceased Employee has left no Will, the lump sum benefit shall be distributed in accordance with the Intestate Succession Act.

13.3 The regulations governing the Scheme will be maintained by the Human Resources Department and can be obtained on demand.

SECTION II : ALLOWANCES

14.0 HOUSING OF EMPLOYEES

14.1 The Authority shall provide an employee housing arrangements in line with the provisions of the Employment Code Act No.3 of 2019

15.0 TRANSPORT, MEAL AND EDUCATION ALLOWANCES

15.1 The Transport, Meal and Education Allowances were merged to the salary effective 1st March 2004.

15.2 The bus and booking fares for an employee who is duly authorized to work over the weekend or from 18:00 hours and beyond during the week shall be K70 and K180 respectively to be revised depending on the prevailing circumstances.

16.0 MEDICAL ALLOWANCE

16.1 The Authority shall maintain a contributory Medical Scheme to be premised on health insurance principles and will be managed by an external Health Insurance service provider.

16.2 The Medical Scheme will be managed by a Health Insurance provider whose contract will be subject to tender.

16.3 The premiums will be based on a cost-sharing basis whereby the Authority shall pay eighty percent (80%) and employees twenty percent (20%). Recoveries of the premiums will be made from the employee’s monthly basic salary which will be remitted to the provider at agreed intervals as per contract.

16.4 The scheme rules shall be enforced by the Human Resources Department.

16.5 Employees who exhaust their entitlements before the end of the year have to make their own arrangements to pay for the medical bills that they may incur.

16.6 Thu Cust Sharing iri relation to premiums will be revised on the basis of what the Medical Scheme provider will advise.

17.0 ACTING DUTY ALLOWANCE

17.1 An Employee appointed to act in any position higher than substantive post for a period of not less than fourteen (14) consecutive working days shall be entitled to an Acting Allowance equal to 16% of incumbent’s salary.

17.2 The said allowance shall not in any way form part of the basic pay but shall be taxable.

18.0 RESPONSIBILITY ALLOWANCE

18.1 An Employee appointed to perform duties of another Officer in the same grade for a period of fourteen (14) working days or more shall be entitled to a Responsibility Allowance of equal to 11% of incumbent’s salary. 

19.0 OUT-OF-POCKET ALLOWANCE

19.1 An employee will be entitled to an Out of Pocket Allowance in the following instances:

  1. On training on residential basis (participants accommodated) within and outside station.
  2. On Authority business and accommodated within or outside station.

19.2 Out of Pocket Allowance shall be paid per night as follows:

NPS 05 - K390
NPS 06 - K375
NPS 07 - K360

20.0 SHIFT ALLOWANCE

20.1 An Employee who is engaged in shift work shall be paid shift allowance which shall be equal to twenty five per cent (25%) of basic monthly salary.

21.0 KILOMETRE ALLOWANCE

21.1 Where an Employee is granted permission to use his or her personal vehicle and is required to perform Authority duties outside the twenty five (25) kilometre radius from duty station an allowance at the rate of cost of fuel per litre per kilometre and vehicle maintenance allowance of Seven Hundred Kwacha (K700) per month or a proportion thereof will be paid to the Employee.

22.0 LEAVE AND HOLIDAY ALLOWANCE

22.1 The Authority shall pay a Holiday and Leave Allowance of 17% of annual basic salary and 15 working days shall be the minimum leave entitlement to qualify for payment of leave allowance regardless of whether travelling out of station or not. This shall however not apply to Employees who are proceeding on maternity leave.

22.2 In the case of new entrants, annual leave will only apply after an employee has served for a minimum period of twelve (12) months. Employees are however entitled to other forms of leave as provided for in the law and their conditions of service.

23.0 UPSET ALLOWANCE

23.1 Where an Employee is transferred by the Authority from one station to another in accordance with Article 9 of this Agreement the Employee shall be entitled to an upset allowance of Kwacha Sixteen Thousand (K16,000) across the board which will be grossed up for tax plus transport for the employee, spouse, children registered with the Authority. The employee shall be paid Subsistence Allowance for fourteen (14) days whilst looking for accommodation at the new station and this period shall not be extended.

23.2 The Authority shall comprehensively insure the Employee’s goods on transfer to any destination within Zambia.

24.0 LUNCH ALLOWANCE

24.1 A Lunch allowance of Kwacha One Hundred and Eighty (K180) shall be paid to:

  1. An Employee who is required to be away from duty station on official business for a period of not less than eight (8) hours.
  2. An Employee who works throughout lunch time.
  3. Cashiers who will be required to work during peak period only.

24.2 In all the cases in 21.1, the supervisor shall approve the work in advance.

24.3 This Allowance will be paid both on the outward and return journeys for Employees who are required to be away from duty station beyond one night.

25.0 ALLOWANCES PAID WHILE TRAVELLING ON DUTY WITHIN ZAMBIA

25.1 An Employee who is required to travel on duty shall be paid Subsistence Allowance in line with the prevailing rules in accordance with Schedule II in this Agreement.

25.2 If an Employee in exceptional circumstances is required to incur expenditure greater than the appropriate entitlement shown in Schedule II the Employee may seek re-imbursement of actual expenditure incurred provided that the claim is supported by receipt vouchers and a full explanation of the circumstances which gave rise to the claim.

25.3 Married Employees who travel with their spouses would be entitled to one and half times the single rate provided prior permission from the Director- General is granted to the Employee to be accompanied by the spouse.

26.0 TRAVELLING ALLOWANCE WHILE ON DUTY OUTSIDE ZAMBIA

26.1 An Employee who travels outside Zambia shall be entitled to allowances as directed by Government from time to time.

SECTION III: LEAVE AND LEAVE ENTITLEMENT

27.0 ANNUAL LEAVE

27.1 An Established Employee shall be entitled to accrued leave days upon commencement of duties with the National Pension Scheme Authority.

27.2 Employees in grades NPS 05, NPS06 and NPS07 shall be entitled to three (3) leave days for each completed month of unbroken service.

27.3 Upon written request and supported by documentary evidence an Employee may be granted a compassionate commutation.

27.4 15 working days shall be the minimum annual leave entitlement and 15 working days shall be the maximum number of days to be commuted. A maximum of 6 days shall be carried over to the following year. 

27.5 Saturdays, Sundays and Public holidays falling within the period of annual leave shall not be counted as days on leave.

27.6 An Employee shall be allowed to accumulate a maximum of thirty six (36) days in a financial year for Staff in NPS 05, NPS06 and NPS07. An employee shall be required to proceed on annual leave once per year. Any leave days in excess of six not utilized by the end of each year will be commuted for cash and be paid along with the December Salary.

27.7 Commutation formula shall be as follows:

Basic Pay x 12 Months x No. of Days / 250

27.8 In consultation with the employee, Supervisors shall prepare an annual leave plan at the beginning of each year specifying when annual leave is to be taken by each employee under their jurisdiction.

28.0 LOCAL LEAVE

28.1 Saturdays, Sundays and Public Holidays falling within the local leave shall not be included as leave days when an Employee proceeds on leave for less than thirty (30) days.

29.0 SICK LEAVE

29.1 An Employee may be granted sick leave as follows:-

  1. A maximum period of three months on full pay and three months on half pay during the first year of service.
  2. In the subsequent years of service, a maximum period of six months on full pay and six months on half pay and thereafter a registered Medical Board of Inquiry will determine the Employee’s suitability for continued employment.
  3. Provided the illness or injury is not attributed to own negligence or misconduct of the Employee and that such payments which may be made shall not be less than an amount equal to any compensation from any source for the loss of pay due to or received by the Employee as a result of the illness or injury.

29.2 Granting of sick leave must be supported by a valid medical certificate from a Medical practitioner registered with the Medical Council of Zambia. If the Employee's absence is not supported by a medical certificate it shall be treated as absence from duty and the Code of Discipline and Grievance Procedures shall be enforced.

29.3 Where the incapacity or injury arises from an occupational related accident or diseases provided for under the Workers Compensation Act, 2019 the provisions of Workers Compensation Act will apply.

29.4 Employees covered under the provisions of Workers Compensation Act will have wages payable reduced by the amount of any compensation received by the employee during the period of incapacity.

30.0 COMPASSIONATE LEAVE

30.1 An Employee may be granted paid compassionate leave often (10) working days for the purpose of attending a funeral of a spouse, child or parent on production of documentary or other proper evidence.

30.2 An Employee may further be granted paid compassionate leave of five (5) working days for the purpose of attending a funeral of a brother, sister or registered dependant on production of documentary or other proper evidence.

30.3 On justifiable compassionate ground, an employee may be granted paid compassionate leave of atleast five (5) working days subject to approval by the Director General or Director Human Resources and Administration.

30.4 Days taken under this section are neither cumulative nor deducted from the employee’s accrued leave days

31.0 FAMILY RESPONSIBILITY LEAVE

31.1 An Employee who has worked for a period of six months or more may be granted paid family responsibility leave often (10) working days for the purpose of nursing a sick spouse, child or parent on production of documentary or other proper evidence from a Medical Officer certifying that the spouse, child, parent is sick and requires special attention.

31.2 An Employee may further be granted paid family responsibility leave of five (5) working days for the purpose of nursing a sick brother, sister or registered dependant on production of documentary or other proper evidence from a Medical Officer certifying that the dependant is sick and requires special attention.

31.3 An employee shall be entitled to three paid leave days per year to cover responsibilities related to the care, health or education forthat employee’s child, spouse or dependant subject to producing documentary evidence.

31.4 Days taken under this section are neither cumulative nor deducted from the employee’s accrued leave days

32.0 SPECIAL LEAVE

32.1 An Employee may be granted special leave in the following circumstances on such terms and conditions as the Director-General may determine:-

32.1.1 for the purpose of preparing and sitting as a candidate for an approved examination, an employee may be granted a maximum period of Ten (10) working days.

32.1.2 for the purpose of attending court proceedings as a witness.

32.1.3 for the purpose of attending to authorised Union duties.

32.2.4 for any other purpose approved by the Director-General.

33.0 MATERNITY LEAVE

33.1 A confirmed Female Employee on completion of two (2) years continuous service regardless of her marital status shall be granted paid maternity leave for a period of four calendar months. The maternity leave may be taken before the estimated date of delivery as long as atleast 6 weeks should be taken after delivery or opt to take the entire four months after delivery. Any additional leave taken by the employee shall count against her annual/local leave.

33.2 A female employee shall give notice in writing, as may be reasonable in the circumstances, regarding her intention to proceed on maternity leave on a specified date and to return to work thereafter.

33.3 In the case of a multiple birth, maternity leave shall be extended by four (4) weeks.

33.4 In the event of premature birth, the female employee shall be entitled to extension of maternity leave for a period that shall be recommended by the Medical Officer.

33.5 In the event of a miscarriage during the third trimester (7 to 9 months of the gestation period) of pregnancy or still born child, the female employee shall be entitled to six weeks leave on full pay immediately after the miscarriage or still birth; the miscarriage or still birth shall be duly certified by a Medical Officer.

33.6 A Female Employee shall qualify for paid maternity leave only at the interval of two years effective the start date for the previous paid maternity leave application.

33.7 A female employee who remains in continuous service for a period of twelve months and suffers a miscarriage during the third trimester (7 to 9 months of the gestation period) of pregnancy or bears a still born child is entitled to six weeks leave on full pay immediately after the miscarriage or still birth, except that the miscarriage or still birth shall be duly certified by a Medical Officer.

33.8 Upon expiry of a female employee’s maternity leave, the employee shall return to the job which the employee held immediately before the maternity leave or to a reasonably suitable job on terms and conditions not less favourable than those which applied to the employee before the maternity leave.

33.9 A Female Employee who becomes temporarily incapable of performing her official duties on the grounds of her pregnancy shall be entitled to sick leave in accordance with the provisions of this Agreement.

33.10 Maternity leave shall apply with full pay in the absence of provision of maternity benefits under a written law.

33.11 Where an employee is entitled to claim maternity benefits from a third party scheme, the Employer shall claim reimbursement as prescribed in the Employment Code Act No. 3 of 2019 or any relevant law as applicable.

34.0 FITNESS TO RESUME WORK SECTION

34.1 Following delivery of a child, a female employee shall not resume work within six weeks from the date of delivery unless on production of certificate from a Medical Officer certifying that the employee is fit to resume work.

35.0 NURSING/BREASTFEEDING BREAKS

35.1 Breast-feeding mothers will be given 1 hour 45 minutes, that is, from 11.00 hours to 12.45 hours every working day if required.

35.2 The nursing/breastfeeding break specified above shall be for a period of six months from the date of delivery and not to be deducted from the number of paid hours of work of that female employee.

35.3 Employees are therefore expected to liaise with their respective Line Managers and Supervisors in the facilitation of this process for the stipulated period when it is applicable to the female employee.

36.0 PATERNITY LEAVE

36.1 A male employee regardless of his marital status shall be granted paid paternity leave on the birth of his child/twins or more at any one occasion in line with the provisions of the Employment Code Act No.3 of 2019. Any additional leave taken by the employee shall count against his vacation leave.

36.2 This paternity leave must be taken within a week of the birth or it shall be forfeited. Evidence of record of birth and parentage must be produced prior to proceeding on paternity leave.

36.3 An employee shall qualify for paid paternity leave upon being in continuous service of twelve months immediately preceding the beginning of paternity leave.

37.0 MOTHERS DAY

37.1 A Female Employee shall be granted one (1) day in a month as Mothers’ Day. Supervisors must be notified well in advance about this so that adequate staffing arrangements are made.

38.0 LEAVE WITHOUT PAY

38.1 An Employee may be granted leave without pay with the consent of the Director-General. Such leave shall not accrue leave days and shall not count towards service benefits.

SECTION IV: STAFF LOANS AND OTHER FINANCIAL ASSISTANCE

39.0 PROVISION OF HOUSE LOANS

39.1 The provision of in-house loans relating to homeownership has been re-introduced.

39.2 The Authority will make arrangements outside the Bargaining Unit to discuss and agree how the Loan Scheme is to be operationalized.

40.0 SALARY ADVANCE

40.1 An Employee may be eligible for a salary advance of up to one month’s basic pay of which maximum repayment period shall be three (3) months. Salary advances may be accessed in needy circumstances up to four times in a year.

40.2 A Salary Advance will only be given for unexpected contingencies that may arise and not as a result of poor budgeting.

40.3 A Salary Advance is not a right and Management will exercise due prudence in determining whether this should be given or not.

40.4 The Salary Advance will only be granted subject to the employee’s ability to service it.

40.5 Once recoveries for salary advance are effected they will run the full course of three months.

40.6 An employee will only be assisted if need arises up to four salary advances in any given year.

41.0 FUNERAL GRANTS

41.1 The Authority shall continue to pay for the funeral expenses of a deceased member of staff, his/her spouse, biological children, and biological father/mother as stipulated in Schedule III until a Funeral Insurance Scheme is established.

41.2 The Authority shall also provide a Casket in the case of the employee and spouse and a Standard Coffin (as per quotation from a service provider/supplier) for dependants.

41.3 Adequate transport shall be provided in all cases above to the graveyard within the same town.

SECTION V: SEPARATIONS

42.0 NORMAL RETIREMENT

42.1 An Employee shall retire from the Authority’s service in line with the provisions of the Law or on account of any infirmity of mind or body confirmed by a registered medical practitioner refer to NPS(amendment) Act No. 7 of 2015

42.2 The Employee under normal retirement shall be entitled to a pension as stipulated in the Staff Pension Rules.

42.3 The Authority shall give such an Employee six (6) months notice to retire or six (6) months basic salary in lieu of notice.

43.0 PREMATURE RETIREMENT

43.1 An Employee may apply to the Authority for Early separation upon attaining the age of forty-five (45) years or upon completion of fifteen (15) years of continuous service with the Zambia National Provident Fund and/or National Pension Scheme Authority.

43.2 The Authority may also prematurely retire an Employee who attains the age of forty-five (45) years or who completes fifteen (15) years of unbroken service with Zambia National Provident Fund and/or National Pension Scheme Authority.

43.3 The Employee under premature retirement shall be entitled to a lump sum retirement benefit calculated thus:-

Length of service X final annual salary X commutation factor X V45

43.4 The Employee under premature retirement shall give or be given a six (6) months notice to retire or six (6) months basic salary in lieu of such notice.

44.0 REDUNDANCY

44.1 Where absolutely necessary, the Authority shall reduce the number of its Employees by declaring some of them redundant in accordance with the Employment Act and upon the following terms.

44.2 COMPENSATION

  1. The Authority shall pay four and half (4.5) months basic salary for each year served in Zambia National Provident Fund and/or National Pension Scheme Authority to an Employee declared redundant.

44.3 GRATUITY

44.3.1 The Authority shall pay the following for an Employee declared redundant:-

(i) Below five (5) years of continuous service in Zambia National Provident Fund and/or National Pension Scheme Authority- two (2) months basic salary
(ii) Five (5) years and below ten (10) years of continuous service in Zambia National Provident Fund and/or National Pension Scheme Authority - two and half (2.5) months basic salary.

(iii) Ten (10) years and below fifteen (15) years of continuous service in Zambia National Provident and/or National Pension Scheme Authority three (3) months basic salary.

(iv) Fifteen (15) years and below twenty (20) years continuous service in Zambia National Provident Fund and/or National Pension Scheme Authority - three and half (3.5) months basic salary.
(v) Twenty (20) years and above of continuous service in Zambia National Provident Fund and/or National Pension Scheme Authority- four (4) months basic salary.

44.4 NOTICE OF REDUNDANCY

44.4.1 The Authority shall give:-

  1. Six (6) months notice or payment of six (6) months basic salary in lieu of notice to an Employee to be declared redundant.

45.0 REPATRIATION EXPENSES

45.1 Where an employee was recruited from a place within the Republic of Zambia to a place of employment allocated by the Authority or by an employment agency acting on behalf of the Authority, the Authority shall pay such an employee the prescribed repatriation expenses to the destination within Zambia from which the employee was brought.

45.2 A repatriation fee of Kwacha Fifteen Thousand (K15,000) grossed up for tax shall be payable to the employee or the family and, in addition, Kwacha Two Thousand Five Hundred (K2,500) will be paid for food while traveling.

45.3 With the foregoing, the Authority shall be responsible for repatriating an employee under the following circumstances:

  1. where the Employee is being medically discharged
  2. where the Employee is being declared redundant by the Authority
  3. where the Employee is retiring from the Authority’s service (both premature and normal retirements)
  4. where the Employee dies in service in which case the benefits are payable to the family of the deceased Employee.
  5. upon expiry of the period of service that is specified in the contract of employment;
  6. or termination of Contract of employment for reasons stipulated in the Employment Code Act.

45.4 However, going forward with effect from 7th April 2020, the Authority shall only pay for repatriation expenses to employees that are actually being repatriated back to their place of hire upon retirement, early separation, being declared redundant, expiry/termination of employment of contract or the surviving dependents upon an employee's death in line with the provisions of the Employment Code Act No.3 of 2019. This change shall only apply to unionized- employees that will join the Authority effective 7th April 2020.

46.0 RESIGNATION

46.1 An Employee who intends to resign shall give notice of his intention to resign to the Director-General and such notice shall not be less than one calendar month. Where a shorter period of notice has been given the Employee shall forfeit one month's basic salary in lieu of the short notice provided that:

  1. The Direului-Geneial may permit an employee to resign without giving notice in writing or at such short notice as he/she may determine
  2. Any period spent on vacation leave shall not without the Director- General’s prior approval form part of the period of notice.

46.2 The Terminal Benefits shall be as follows:-

  1. Commutation of leave days
  2. Employees and Employers contributions towards NPF/NAPSA Staff Pension Scheme shall be refunded plus interest and such refund shall be subject to the current national tax regime or as approved by Parliament.
  3. The Employee’s indebtedness will be recovered from the total sum of (i) plus (ii) or (iii) whichever is applicable.

47.0 DISCHARGE

47.1 An Employee may be discharged from the Authority's service by giving one month's notice or payment of a month's salary in lieu thereof. In this instance, the Employer shall give reasons to the employee for the termination of the employment in line with Section 5 of the Employment (Amendment) Act, 2015. In addition, such Employee shall be entitled to the following:-

  1. TERMINAL BENEFITS
    1. Commutation of accrued leave days
    2. Employee’s and Employer’s contributions towards NPF/NAPSA Staff Pension Scheme shall be refunded plus interest and such refund shall be subject to the current national tax regime.
    3. An Employee's indebtedness will be deducted from the total sum of (a) plus (b) (where applicable).

48.0 SUMMARY DISMISSAL

48.1 TERMINAL BENEFITS

48.1.1 The Terminal Benefits for such Employees shall be as follows:-

  1. Commutation of accrued leave days
  2. Employee's and Employer's contributions towards NPF/NAPSA Staff Pension Scheme shall be refunded plus interest and such refund shall be subject to the current national tax regime.
  3. Employee's indebtedness will be deducted from the sum total of (a) plus (b).

49.0 MEDICAL DISCHARGE

49.1 An employee may be discharged from the Authority on medical grounds on a recommendation from a duly and recognized Medical Doctor where the employee does not recover from the illness or injury after twelve months from the date of the illness or injury and the employee’s entitlement to sick leave shall cease.

49.2 An employee whose employment is terminated on medical grounds, in addition to any other accrued benefits, shall be entitled to four month’s basic pay for each year served as terminal benefits.

SECTION V: OTHER CONDITIONS

50.0 PROVISION OF TOOLS

50.1 The Authority undertakes to provide tools for use on Authority work by new entrant trade tested Employee and such tools shall remain the property of the Authority.

51.0 PROTECTIVE WEAR AND UNIFORMS

51.1 An Employee who is required to wear uniforms and protective clothing shall be entitled to the same as defined in Schedule IV of this Agreement.

52.0 LONG SERVICE AWARD

52.1 An established Employee shall be entitled to a Long Service Award of two months basic salary grossed up for tax upon completion of a continuous service of fifteen (15) years in Zambia National Provident Fund and/or National Pension Scheme Authority in appreciation of the contributions rendered. The revised rate of two months basic salary shall be with effect from 1st January 2019.

52.2 An established Employee shall be entitled to a Long Service Award of two and a half month's basic salary grossed up for tax upon completion of a continuous service of twenty (20) years in Zambia National Provident Fund and/or National Pension Scheme Authority in appreciation of the contributions rendered.

53.0 CERTIFICATE OF SERVICE

53.1 An Employee leaving the service of the Authority shall be entitled to a certificate of service stating:-

  1. Name of employee
  2. Name of employer
  3. Date of engagement
  4. Nature of employment and last position held
  5. Salary and grade on termination
  6. Date of termination
  7. National Registration Card Number
  8. National Pension Scheme Authority’s Account Number
  9. A statement showing the amount of Statutory Contributions paid by the employer to National Pension Scheme Authority.
  10. Social Security Number

54.0 INTEREST OF EMPLOYEE CONFLICTING WITH OFFICIAL DUTIES

54.1 If an Employee, any relation of an Employee or the spouse of an Employee:-

54.1.1 Acquires or holds any direct or indirect pecuniary interest in any firm or company applying or negotiating for a contract with the Authority and any such contract relates to matters falling within the function of the office in which he/she works, or

54.1.2 Owns any immovable property in or has any direct or indirect pecuniary interest in any firm or company and such ownership or interest results in private interest of the Employee coming into or appearing to come into conflict with official duties, the Employee shall forthwith report the facts to the Director-General and shall thereafter comply with lawful directions in connection therewith as the Director- General may from time to time give him/her.

APPENDICES

SCHEDULE I

Salary Structure 2020 - TO BE ADVISED

SCHEDULE II:

ALLOWANCES PAID WHILE TRAVELLING ON DUTY WITHIN ZAMBIA

SALARY GRADE ALLOWANCE (K)
NPS 05 1,205
NPS 06 1,190
NPS 07 1,145

SCHEDULE III

FUNERAL GRANTS

Funeral Grant Funeral Services
Employee K8,000 K3,000
Spouse/ Biological Child K6.500 K2,500
Bilogical Parents K6.000 K2.000

SCHEDULE IV

PROTECTIVE WEAR AND UNIFORMS

Drivers

1 x 2 Piece suit each financial year
2 x Tie per financial year
3 x Pairs of shoes per financial year
4 x Shirts per financial year
5 x Pairs Trousers every financial year
1 x Work Suit per financial year
1 x Rain Coat per financial year

Security Assistants

1 x Jersey every financial year
1 x Neck Tie/Scarf every financial year
2 x Blazers every financial year
2 x Skirts/Trousers for female/male Security Assistants every financial year
2 x Shirts for female/males each financial year
2 x Pairs black shoes every financial year
1 x Raincoat every financial year

Office Assistants - Males

2 x Pairs Trousers every financial year
2 x Shirts every financial year
1 x Jersey every financial year
2 x Pairs shoes every financial year
1 x Neck Tie every financial year
2 x Rain coat every financial year
3 x Dust Coat every financial year

Office Assistants - Females

4 x Pairs Skirts every financial year
5 x Shirts every financial year
1 x Jersey every financial year
2 x Pairs flat shoes every financial year
1 x Scarf every financial year
1 x Raincoat every financial year
1 x Dust Coat every financial year

Front Desk - Females (customer facing staff)

2 x Suits (skirt or dress) per financial year
2 x shirts every financial year
2 x Pairs of shoes per financial year
2 x Scarfs every financial year

Front Desk - Males (customer facing staff)

2 x Suits per financial year
2 x Pairs of shoes per financial year
2 x Shirts per financial year
2 x Ties per financial year

Inspector/Prosecutor - Females

2 x Suits skirt or dress) per financial year
2 x shirts every financial year
2 x Pairs of shoes per financial year
2 x Scarfs every financial year
2 x Shirts for court every financial year (Prosecutors only)
1 x Suit for court every financial year (Prosecutors only)
1 x Umbrella every financial year

Inspector/Prosecutor - Males

2 x Suits per financial year
2 x Pairs of shoes per financial year
2 x Shirts per financial year
2 x Ties per financial year
2 x Shirts for court every financial year (Prosecutors only)
1 x Suit for court every financial year (Prosecutors only)
1 x Umbrella every financial year

Maintenance

2 x Pairs of safety boots every financial year
3 x Work Suit every financial year
1 x Rain coat per financial year
2 x Jersey every financial year
3 x Dust Coat every financial year

Records Staff

4 x Dust Coat every financial year
5 x Pairs of safety boots every financial year

AGREED POSITIONS FOR THE 2020-21 COLLECTIVE AGREEMENT (SELECTED CLAUSES)

Current provision Union s Demands Management’s Counter Proposal Agreed Positions

Salary

The item is still under negotiation by the Bargaining Unit.

Transport Allowance

K50 over the weekend

KI 50 from 18:00 hours and beyond during the week

K120 over the weekend

K250 from 18:00 hours and beyond during the week

Status quo

K70 over the weekend

K180 from 18:00 hours and beyond during the week

Acting Allowance

An Employee appointed to act in any position higher than substantive post for a period of not less than fourteen (14) consecutive working days shall be entitled to an Acting Allowance equal to 16% of incumbent’s salary

20% of incumbent’s salary and should not be prorated * Status quo Status quo

Responsibility Allowance

An Employee appointed to perform duties of another Officer in the same grade for a period of fourteen (14) working days or more shall be entitled to a Responsibility Allowance of equal to 11% of incumbent’s salary

18% of incumbent’s salary Status quo Status quo

Out of Pocket

An employee will be entitled to an Out of Pocket Allowance per night in the following instances:

  • On training on residential basis (participants accommodated) within and outside station.
  • On Authority business and accommodated within or outside station.

NPS 05 - K330
NPS 06 - K315
NPS 07 - K306

NPS 05 - K500
NPS 06 - K485
NPS 07 - K470
Status quo NPS 05 - K390
NPS 06 - K375
NPS 07- K360

Kilometer Allowance

Where an Employee is granted permission to use his or her personal vehicle and is required to perform Authority duties outside the twenty five (25) kilometer radius from duty station an allowance at the rate of cost of fuel per litre per kilometer and vehicle maintenance allowance of Six Hundred Kwacha (K600) per month

K1,000 per month K700 per month K700 per month

Upset Allowance

Where an Employee is transferred by the Authority from one station to another in accordance with Article 9 of this Agreement the Employee shall be entitled to an upset allowance of Kwacha Fourteen Thousand (K14,000) across the board which will be grossed up for tax ........ 

K20,000 K15,000 K16,000

Lunch Allowance

Kwacha One Hundred and Seventy (K170)

K250 Status quo K180

Provision of House Loans

The Authority will make arrangements outside the Bargaining Unit to discuss and agree how the Loan Scheme is to be operationalized

The Authority will make arrangements WITHIN the Bargaining Unit to discuss and agree how the Loan Scheme is to be operationalized

Status quo

(xi) Maternity shall apply with full pay in the absence of provision of maternity benefits under a written law. Where an employee is entitled to claim maternity benefits from a third party scheme the employer shall claim reimbursement as prescribed in the Employment Code Act or any other relevant law.

Nursing / Breast Feeding Breaks - Section 45

A breast-feeding female employee will be given breast­feeding time from 11:00 hours to 12:45 hours every working day if required and the duration of this breast-feeding arrangement shall not exceed six months after delivery of the child.

In line with the Employment Code Act No.3 of 2019
Protective Wear and Uniforms An Employee who is required to wear uniforms and protective clothing shall be entitled to the same as defined in Schedule IV of this Agreement Clause to be amended to replace uniforms with branded corporate attire Status quo
Christmas Bonus NEW CLAUSE An amount of K5,000 net to be paid across the board for all Unionised Employees Maintain status quo for consideration at Management’s discretion Status quo

SCHEDULE I

FUNERAL GRANTS

CURRENT PROVISION
Funeral Grant Funeral Services
Employee K5,500 K2,500
Spouse/Biological Child K4.800 K2.000
Biological Parents K4,500 K2.000
UNION’S DEMAND
Employee K10.000 K4.000
Spouse/Biological Child K8,000 K3,500
Biological Parents K6,000 K3,500
MANAGEMENT’S COUNTER PROPOSAL
Employee K6,500 K2.500
Spouse/Biological Child K5,800 K2.000
Biological Parents K5,500 K2,000
AGREED POSITION
Employee K8.000 K3,000
Spouse/Biological Child K6.500 K2.500
Biological Parents K6.000 K2,000

COLLECTIVE AGREEMENT BETWEEN NATIONAL PENSION SCHEME AUTHORITY AND ZAMBIA UNION OF FINANCIAL INSTITUTIONS AND ALLIED WORKERS JANUARY 2020 -

Start date: → Not specified
End date: → Not specified
Public/private sector: → 
Concluded by:
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