EFFECTIVE JUNE 1ST 2013 – 31st MAY 2015

COLLECTIVE BARGAINING AGREEMENT BETWEEN THE MEMBERS OF THE SISAL GROWERS AND EMPLOYERS ASSOCIATION (KENYA) AND THE KENYA PLANTATION AND AGRICULTURAL WORKERS’ UNION

1. SUBJECT MATTER

The terms and conditions of employment provided for in this Agreement shall apply to all those categories of employees shown in Appendices “A’, ‘B’, ‘C’ and ‘D’ to this Agreement.

Provided that the terms of this Agreement shall not apply to Supervisory Staff, who, for the purpose of this Agreement, shall be defined as those who exercise confidential, directive, administrative, representational and supervisory functions and the lowest level of management to whom disciplinary matters are referred and those others who have no effective power to hire and fire.

Agency fee to be implemented as per the law.

2. PAYMENT OF WAGES

(i) Wages accrued in a given month shall be paid as soon after the end of that month as is practicable. Wages will be paid once per month only.

(ii) Provided that any time during the month advances may be made by mutual arrangement, between the employer and an employee.

3. HOURS OF WORK

(i) The normal hours of work in respect of Watchmen, Stockmen and Herdsmen shall consist of 56 hours of work spread over six days of the week.

(iv) In case of breakdown of machinery or inclement weather conditions, the provisions of paragraph 5 (4) of the Agricultural Industry Order issued under the Regulation of Wages and Terms and Conditions of Employment Act (Cap.229) shall apply.

4. RATES OF OVERTIME

Overtime shall be paid as follows:

(iii) This clause shall not apply to those employees engaged in task work where they have failed to complete the standard task within the agreed hours of work.

5. PUBLIC HOLIDAYS

(ii) Where an employee is required to work on a public holiday listed in sub-paragraph (i) he shall be paid in respect of any time worked at twice the basic hourly rate.

6. ANNUAL LEAVE

(ii) Where employment is terminated after completion of two or more consecutive months of service during any twelve months’ leave earning period an employee shall be entitled to not less than the pro-rata rate of the applicable days leave with full pay in respect of each completed month of service in such period to be taken consecutively.

(iii) The leave referred to in (i) must be taken when granted and cannot be accumulated. An employee becoming ill whilst on paid leave shall not be granted additional paid leave unless he produces a certificate from a properly qualified Medical Officer giving details and period of such illness.

(iv) Leave schedules shall not be changed at the request of the employee except in extra-ordinary circumstances. An employee shall be advised by the employer when leave is due.

(v) Leave pay shall be calculated at the consolidated daily rate of pay earned by the employee working standard hours of work. An employee on temporary assignment for an entire year shall receive leave pay at the rate of payment for the assignment.

(vi) If at the request of the employer an employee foregoes his/her leave, he/she shall be paid leave pay in addition to his/her normal pay. Sympathetic consideration will be given on request to commute leave on compassionate grounds.

(vii) The employer will be responsible for Annual Leave fares for an employee and registered spouse who is normally residing with the employee on estate to the place of domicile and return fare if returning to work for the same employer. This return fare will be payable on the date the employee returns back to work after leave. All fares will be at the rate applicable to the cheapest form of public transport. Where a railway line or bus transport are not available, a ‘Matatu” may be used.

In addition to fares an employee shall be entitled to Kshs.1,500/- when proceeding on annual leave and payable in advance.

7. SICK LEAVE

(ii) An employee’s absence from duty on account of illness shall not be taken as a reason for his discharge.

(iii) An employee who has exhausted his sick leave entitlement be retired on medical ground after consultation with the Medical Board or a Doctor.

8. DEATH OF AN EMPLOYEE

9. MATERNITY/PATERNITY LEAVE

10. REGULARITY OF ATTENDANCE AT WORK

(i) Every employee is expected to work throughout the recognized working hours (based on a total of forty-six hours per week) on every working day in the month unless granted leave of absence by the employer or absent for reasons recognized as legitimate (e.g. genuine sickness).

(ii) If an employee absents himself/herself from work without legitimate reasons for any single working day, he/she shall be given a formal warning in writing. After receipt of three such warnings and on his/her absence on the fourth day he/she shall be liable to summary dismissal. However, in the event of an employee absenting himself/herself without permission for three continuous working days, he/she be liable to summary dismissal without a warning.

11. WARNING PROCEDURE

An employee whose work or conduct is unsatisfactory or who otherwise commits a misdemeanor which, in the opinion of the employer, does not warrant instant dismissal shall be warned in writing and the following procedure shall apply:-

(i) The first and second warnings shall be entered in the employee’s employment record and the Union representative informed accordingly.

The Second warning shall be copied to the Branch Secretary of the Union.

(ii) The employee who has already received two warnings committing third misdemeanor is liable to dismissal.

Provided that an employee completing (241) two hundred and forty-one consecutive days’ work from the date of the second warning without incurring a third warning shall have both warnings cancelled.

12. TERMINATION OF SERVICE

(a) Every contract of employment shall be terminated in the following manner.

(i) In case of an employee who has completed one to three years’ continuous service with the employer by not less than one month’s notice to be given by either party in writing or otherwise by payment of either party, in lieu of notice, of not less than one month’s wages.

(ii) In case of an employee who has completed over three years to five years’ continuous service with an employer by not less than two months’ notice to be given by either party in writing or otherwise by the payment of either party in lieu of notice, of not less than two months’ wages.

(iii) In case of an employee who has completed over five years’ continuous service with an employer by not less than three months’ notice to be given either in writing or otherwise by the payment by either party in lieu of notice, of not less than three months’ wages.

(b) Notwithstanding the provisions of sub-paragraph (a) of this paragraph, the first two months of employment with an employer may be treated as a probationary period and during such probationary period, the contract may be terminated by either party by seven (7) days notice.

(c) Nothing in this paragraph shall prejudice the right of either party to terminate a contract summarily for lawful cause.

13. HOUSING

The employer shall provide housing for all permanent employees. If an employee resides on his own free will off the estate he shall not be entitled to house allowance.

If a permanent employee requires housing and none is available the employer shall pay housing allowance equivalent to 15% of his basic minimum wage of his grade.

14. VACATION OF QUARTERS

Any employee whose services with the employer are terminated shall vacate the company’s quarters not later than 7 days after the date of dismissal.

15. REDUNDANCY

In the event of redundancy, the following principle shall apply:-

(i) The Union and the Ministry of Labour shall be informed of the reasons for and the extent of intended redundancy; at least 30 days before the intended date of redundancy.

(ii) The Principle shall be adopted of “First in last Out” in the particular category of the employees affected subject to all other factors such as skill, relative merit, ability and reliability being equal.

(iii) A redundant employee shall be entitled to appropriate notice provided for in Clause 12 of this Agreement or to appropriate wages in lieu.

16. SUBSISTENCE ALLOWANCE

An employee who is required to perform work away from his principal place of employment shall be entitled to be paid the following allowance:-

(i) for any period not exceeding his normal daily hours of work shs.850/-.

(ii) for any period exceeding his normal daily hours of work and including an overnight stop elsewhere than Nairobi Sh.1850/-.

(iii) For any period exceeding his normal daily hours of work and including an overnight stop in Nairobi Shs.2,500/-.

17. COMPASSIONATE LEAVE

(iii) The employer shall grant shopstewards paid leave to attend Union affairs and shall facilitate transport.

18. TRANSPORT TO WORKING PLACES

19. PROTECTIVE CLOTHING

20. WORKING TOOLS

(a) The employer shall provide basic working tools to their permanent employees who have completed the probationary period.

(b) Those employers who have been deducting deposits or nominal amounts as costs of the tools supplied to the employees during the last three years counting backwards from the effective date of this Agreement shall continue to so deduct or retain such deposits or return to employees in the event of termination of service, retirement or when the employee is proceeding on leave subject to the production and surrender of the working tools which had been issued to the employee.

(c) Where a tool is worn out, broken or has been subjected to normal wear and tear it shall be replaced on production of the old one when necessary.

(d) Where an employee has lost, misplaced or fails to produce any working tool issued to him, he shall be issued with a new one and the employee shall be charged with cost at the market price.

Where an employee is not provided with tools and he/she uses his/her own tools shall be entitled to a monthly allowance as follows:-

(i) Handtool-500/-

(ii) Artisans toolkit-500/-

21. ACTING APPOINTMENT

When an employee is required to act in a classification or grade higher than the one in which he/she is normally employed, he/she shall in the first instance be required to work for 6 days at his/her normal rate of pay. Thereafter, and on any subsequent occasion, if required to act on a higher grade, the employee shall receive the rate of pay applicable to the job, and classification in which he/she is required to act. He/she shall receive any benefits and privileges of that grade whilst performing such duties in that grade.

22. GRATUITY

After completion of 2 years continuous service, an employee whose services are terminated for reasons other than for gross misconduct or resignation shall be entitled to gratuity calculated at the rate of 18 days’ salary per each completed year of service based on the employee’s salary at the time of such termination.

23. CHANGE OF HANDS OF A FIRM

In the event that there is change of ownership of the company prior information shall be given to the Union in good time.

24. CHILD LABOUR

The employer shall endeavour to ensure that no person under the age of 18 years is employed.

25. UNION’S OBLIGATION TO EXPLAIN TERMS AND CONDITIONS TO UNION MEMBERS

(a) The Union undertakes to explain the terms of this Agreement in detail to all Union members employed by members of the Association having particular regard to the changes brought about by any Presidential Order, the relevant Regulation of Wages Orders, the Employment Act, 2007 and any other differences there may be between this and previous Agreements.

Irrespective of the contents of this Agreement any orders, regulations and/or directives emanating from the Government shall be paramount.

26. MEDICAL ATTENTION

The employer shall provide:

(b) There shall be no discrimination in provision of medical attention. See Section 5 Clause 34 (1,2,3 and 4) of the Employment Act.

(c) The Company’s medical personnel may, at their discretion, refer such persons mentioned in (a) above to any government institution for further treatment.

(d) The Employer shall provide transport, or pay for transport, from the place of work to the government medical institution to which any patient has been referred by the Company’s medical personnel.

27. RETIREMENT AGE

The normal age for retirement from the service of the company shall be on the attainment of age (60) years for both men and women. Earlier retirement will be on attainment of 55 years and will be at the discretion of either the employee or the employer.

28. CERTIFICATE OF SERVICE

(1) An employer shall issue to an employee a certificate of service upon termination of his employment, unless the employment has continued for a period of less than four consecutive weeks.

(2) A certificate of service issued under subsection (1) shall contain

(a) the name of the employer and his postal address;

(b) the name of the employee;

(c) the date when employment of the employee commenced;

(d) the nature and usual place of employment of the employee;

(e) the date when the employment of the employee ceased; and

(f) such other particulars as may be prescribed.

(3) Subject to subsection (1), no employer is bound to give to an employee a testimonial, reference or certificate relating to the character or performance of that employee.

29. EFFECTIVE DATE

This Agreement shall be effective from 1st June 2013 and continue in force for the period of two years. Thereafter it shall remain in force until amended. Provided that a party wishing to amend the Agreement shall give one month’s notice specifying clearly the amendments required.

SIGNED: FOR AND ON BEHALF OF THE SISAL GROWERS AND EMPLOYERS ASSOCIATION:

……………………….……..…………..……………..

R.BOYD- MOSS P.KYRIAZI

CHAIRMAN EXECUTIVE COMMITTEE MEMBER

……………………………………………

BETTY CHEPKOECH BUNDOTICH

EXECUTIVE COMMITTEE MEMBER

SIGNED FOR AND ON BEHALF OF THE KENYA PLANTATION AND AGRICULTURAL WORKERS UNION:

……………………………

FRANCIS ATWOLI

NATIONAL GENERAL SECRETARY

……………………………

THOMAS KIPKEMBOI

DEPUTY GENERAL SECRETARY

……………………………………………………..

RICHARD JUMADALPHINE MUUNDE

FIRST TRUSTEEMOMBASA BRANCH

……………………………………………………..

FRANCIS MUNGATA MATHIAS KALUME

DWA ESTATETEITA ESTATE

……………………………

JOSEPH OUMA

REA VIPINGO ESTATE

……………………………..

L.W. KARIUKI

SECRETARY

SIGNED AT NAIROBI THIS ……………….. DAY OF ……………… 2013

APPENDIX ‘A’

APPENDIX ‘A’ TO THE COLLECTIVE BARGAINING AGREEMENT

1. The following rates apply to those employees who complete the stipulated task:-

Type of Work	Number of Bundles	Consolidated Rate Per Day Worked
11% 1st year 11% 2nd year	- 100 125 150 175 200	1st year 348.84 436.38 521.44 607.98 695.04	2nd year 387.21 484.38 578.80 674.85 771.49

2. In all cases in paragraph 1 and 2 above a ‘bundle’ consists of twenty seven (27) leaves.

3. CONDITIONS OF PAYMENT OF WAGES RATES

(i) The above rates are Daily Wage rates and are for days worked only.

(ii) No employee shall receive any pay for rest day unless he actually works when he is paid at the agreed overtime rate.

(iii) An employee who works for six consecutive days a week shall receive attendance bonus per week payable at the end of the month as follows:

(a) Cutters, Transporters and Decorticators Shs.120/- per week.

(b) All other employees – Shs.80/- per week.

(iv) The above increases should represent a total wage increase of 22% during the two-year period of Agreement.

APPENDIX “B”

APPENDIX “B” TO THE COLLECTIVE BARGAINING AGREEMENT MADE BETWEEN THE MEMBERS OF THE SISAL GROWERS AND EMPLOYERS ASSOCIATION AND THE KENYA PLANTATION AND AGRICULTURAL WORKERS’ UNION SETTING OUT WAGES TO BE PAID TO UNSKILLED WORKERS’ EMPLOYED ON SISAL ESTATES IN THE UNDER MENTIONED CATEGORIES

Type of Work pER	Standard Daily Task	Consolidated Rate Day Worked
		1st Year 11%	2nd Year 11%
Decortication	Approx. 8 hours a day during Which each man employed on Decortication will complete a task of not less than 5 tons of Sisal Leaf per day.	303.33	336.70
Brushing	156 kg line fibre and brush tow per man per day 250 kg line fibre and brush tow per man per day	305.15 494.63	338.72 549.04
Rope Maker		340.32	377.76
Rope Joiner
Leaf Loading And unloading	4 x 2 ton truck per Man per day	300.85	333.94
Baling9 bales per man		301.17	334.33

NOTE:Decortication and Brushing – This task set out will not apply where on certain estates mechanical improvements increase the capacity of the machine. In such cases the daily task will be set by Management in accordance with the improved efficiency of the machine in question based on the tonnage which a man could reasonably be expected to complete in an 8 hour day under those specified circumstances. The Union may be informed of these changes in advance.

1. TRANSPORT

It is accepted that where leaf unloading is not performed, a corresponding adjustment will be made by the Management to the task with the prior consultation with the Union if there is any alteration of the working method.

2. CONDITIONS OF PAYMENT OF ABOVE RATES

(i) The above rates are daily wage rates and shall be paid for days worked only.

(ii) No employee shall receive any pay for a rest day unless he actually works on such a rest day when he will be paid at the agreed overtime rate. An employee who works for six consecutive days a week shall receive attendance bonus per week payable at the end of the month as follows:

(a) Cutters, Transporters and Decorticators – Shs.120/- per week.

(b) All other employees – Shs.80/- per week.

(iii) The above increases should represent a total wage increase of 22% during the two-year period of the agreement.

APPENDIX “C”

APPENDIX “C” TO THE COLLECTIVE BARGAINING AGREEMENT MADE BETWEEN MEMBERS OF THE SISAL GROWERS AND EMPLOYERS ASSOCIATION (KENYA) AND KENYA PLANTATION AND AGRICULTURAL WORKERS’ UNION SETTING OF INCREMENTS TO BE AWARDED TO THE UNDER NOTED CATEGORIES OF EMPLOYEES:

•Estate Foremen

•Section Foremen

•Estate Clerk

•Estate Artisan

•Tractor Driver

•House Servant and Cooks

•Qualified Dressers

•Car and Lorry Driver

WAGE INCREASES

Those employees falling within the above categories shall receive wage increases of 11% for the first year w.e.f. 1/6/2013 and 11% for the second year w.e.f. 1/6/2014.

CONDITIONS OF PAYMENT OF THE NEW RATES

(i) The above wage increase shall be applicable during the two year period of the Agreement.

(ii) The above wage increase shall be calculated on the present wage of an employee whether such wage is paid daily or at the end of the month.

(iv) Except in the case of those employees paid by calendar month no employee shall receive any pay on a rest day unless he actually works on such rest day when he will be paid at the agreed overtime rate.

(v) No bonuses in cash or kind will be paid to these categories of employees and any bonus previously paid as ration allowance or other incentive shall automatically cea se.

APPENDIX “D”

APPENDIX “D” TO THE COLLECTIVE BARGAINING AGREEMENT MADE BETWEEN MEMBERS OF THE SISAL GROWERS AND EMPLOYERS ASSOCIATION (KENYA) AND KENYA PLANTATION AND AGRICULTURAL WORKERS’ UNION SETTING OUT INCREMENTS TO PAID TO UNSKILLED WORKERS ON SISAL ESTATES IN THE UNDER MENTIONED CATEGORIES.

•Herdsmen & Stockmen

•Milkers

•Watchmen

•Weeders & Field Upkeep Labour

•General non-production sisal estate labour not covered in Appendices A,B or C.

1. The following rates apply to those employees who fall under the categories given below:-

Type of Work	Standard Daily TASK	Consolidated Rate Per DAY WORKED
		1st Year 11%	2nd Year 11%
	Watchmen 56 hour week	288.61	320.35
Non-specified General Labour46 hour week		285.96	317.42

GENERAL LABOURER

A non-specified (General) labourer who is at present earning consolidated wage rate of Shs.285.96 per day in the first year and Shs.371.42 per day in the second year, can by mutual agreement, for a required period, work as a cutter (Appendix A). For each day so worked his standard daily task will be adjusted, as per Appendix ‘A’.

2. CONDITIONS OF PAYMENT OF ABOVE RATES

(i) The above rates are daily wage rates and shall be paid for days worked only.

(ii) No employee shall receive any pay for a rest day unless he actually works on such a rest day when he will be paid at the agreed overtime rate.

(iii) An employee who works for six consecutive days a week shall receive attendance bonus per week payable at the end of the month as follows:

(a) Cutters, Transporters and Decorticators – shs.120/- per week.

(b) All other employees – shs.80/- per week.

(iv) The above increases should represent a total wage increase of 22% during the two-year period of the agreement