MEMORANDUM OF AGREEMENT BETWEEN KENPOLY MANUFACTURERS LIMITED AND THE KENYA CHEMICAL AND ALLIED WORKERS' UNION
SUBJECT MATTER
The terms and conditions of employment set out in this Agreement shall be observed by the parties referred to above and shall apply to all employees covered by the definition given by the Union's registered constitution and as provided for by the FKE/COTU (K) Agreement.
PART I: WAGES AND HOUSING ALLOWANCE
BASIC MINIMUM RATES
| Outgoing Minimum Wages
as at 28/2/2013 |
New Minimum Wages
w.e.f 1/3/2013 9% increase |
New Minimum Wages
w.e.f 1/3/2014 9% increase |
New Minimum Wages
w.e.f 1/3/2015 8% increase |
|
| Special
Grade I Grade II Grade III Grade IV Grade V GradeVI GradeVII– Clerical Staff Grade I Grade II Grade III |
25,921
24,093 20,665 19,825 17,345 20,665 15,318 - 24,159 20,665 19,825 |
28,254.00
26,261.00 22,525.00 21,609.00 18,906.00 22,525.00 16,697.00 - 26,333.00 22,525.00 21,610.00 |
30,797.00
28,625.00 24,552.00 23,554.00 20,608.00 24,552.00 18,199.00 - 28,703.00 24,552.00 23,554.00 |
33,260.00
30,915.00 26,516.00 25,438.00 22,257.00 26,516.00 19,655.00 - 31,000.00 26,516.00 25,438.00 |
(b) HOUSING ALLOWANCE
Every employee in service will be paid a housing allowance effective from 1st March, 2013 as outlined hereunder:
W.E.F 1.3.2013-Kshs. 4,400
W.E.F 1.3.2014-Kshs. 4,500
W.E.F 1.3.2015-kshs. 4,600
(c) GENERAL WAGE INCREASE
1st Year w.e.f 1.3.2013
Every employee who was in service as at 1st March, 2013 will be entitled to a wage increase of 9% of his/her personal basic rate which he/she was earning prior to this date.
2nd Year w.e.f 1.3.2014
Every employee who will be in service as at 1st March, 2014 will be entitled to a general wage increase of 9% on his/her personal basic rate which he/she was earning prior to this date.
3rd Year w.e.f 1.3.2015
Every employee who will be in service as at 1st March, 2015 will be given a general wage increase of 8% based on the basic rate he/she was earning prior to this date.
(d) CASUAL WORKERS RATE
An employee employed as a casual worker will be paid at a rate not less than the minimum consolidated for the grade in which he or she is employed as contained in Part I (a) of this Agreement.
PART II: OTHER TERMS AND CONDITIONS
1. PROBATIONARY PERIOD
The first three months of employment shall be treated as probationary period. For the first month of probation, any party intending to terminate services shall give 48 hours notice or pay in lieu, and the second and third months, a notice of 7 days or pay in lieu shall be given by either party.
2. WORKING HOURS
An employee shall normally be required to work, whether on shift or otherwise, a total of forty-four hours per week exclusive of meal break hours, provided that an employee who is required to work in excess of 44 hours per week shall be paid for such excess hours at appropriate overtime rates as provided by clause 3 of this Agreement.
3. OVERTIME
Overtime rates shall be as follows:
(a) for hours worked on week-days in excess of hours set out in Clause (2) - time and a half.
(b) for hours worked on an employee's normal rest days and Gazetted Public Holidays - double time.
4. GAZETTED PUBLIC HOLIDAY
An employee shall normally be granted leave with full pay on Gazetted Public Holidays, provided that an employee who is required to work on such holidays shall be paid double for time worked as provided by overtime clause.
5. ANNUAL PAID LEAVE
After each period of twelve consecutive months service with an employer, an employee with less than 5 years service shall be entitled to annual leave of 25 working days with full pay, but those employees who have been in the service of the company for 5 years and over shall be entitled to 28 working days.
In the event of a statutory public holiday falling within the leave period such holidays shall be added to the leave entitlement.
6. SICK LEAVE
An employee shall be entitled to sick leave up to a maximum of 55 days with full pay, and thereafter to sick leave up to a maximum of 55 days on half pay in each period of twelve months continuous service, subject to the employee producing a certificate of incapacity covering each period of sick leave claimed, signed by a Medical Practitioner or a person acting on his behalf in charge of a dispensary or Medical Aid Centre.
7. MATERNITY LEAVE
(a) A female employee shall be entitled to three months maternity leave with full pay, provided that a woman who has taken 3 months maternity leave shall not forfeit her annual leave in that year.
(b) Child-birth in respect of a female employee shall not be deemed to be sickness as provided for under clause 5 of this Agreement, and the employer shall not be required to meet the medical expenses.
(c) A female employee who takes maternity leave shall not incur any loss of privileges during such period.
(d) A male employee shall be entitled to two weeks paternity leave with full pay.
8. COMPASSIONATE LEAVE
(1) An employee desiring to take leave on compassionate grounds shall, by prior arrangements with the employer, be granted such leave up to his earned leave entitlement under paragraph 5 of this Agreement and the leave taken shall be subsequently set off against his annual leave.
(2) An employee may, in addition to the leave period provided for in subparagraph (1) of this paragraph, be granted five (5) days compassionate leave without pay in any one year.
9. MEDICAL TREATMENT
The Company undertakes to pay for the cost of such medical treatment and medical expenses in accordance with the provisions prescribed by the Laws of Kenya. The payment of such medical expenses will be made to all employees of the Company, provided that such illness are those covered by the Act or the current practice whichever is better.
10. UNIFORMS/OVERALLS/PROTECTIVE CLOTHING AND EQUIPMENT
(a) Uniforms and Overalls
An employee who is required to wear uniforms, over coats or overalls by nature of his/her work or in accordance with the provisions of the Occupational Safety and Health Act, shall be issued with two pairs of uniforms, overcoats or overalls free of charge by the company yearly. The pair will be issued only if the old pair of uniforms is returned. The company shall be responsible for laundering. But if this is not practicable, then the company shall supply employee with 1½ bar of soap per month for washing.
(b) Protective Clothing and Equipment
The protective clothing and equipment will be issued in accordance with the nature of work as provided by the Factories Act or as recommended by the Director of Occupational Safety and Health. When these are issued, then whoever fails to wear them will be issued with a written warning letter as provided for by the warning clause of this Agreement.
11. INJURY BY ACCIDENT
In the case of injury covered by the Work Injury Benefits Act, full pay will be given to the employee.
12. EMPLOYEE IN ACTING CAPACITY
An employee temporarily acting in a higher grade/job for a period of 14 consecutive days or more within one year, shall receive a minimum salary for that grade for those days he/she occupies the position.
13. SAFARI ALLOWANCE
An employee who is required t o perform his duties away from his principal place of work and as such is unable to take his/her breakfast, lunch or dinner at his/her home shall be entitled to the following allowances:-
Breakfast: Kshs. 215
Lunch: Kshs. 280
Dinner: Kshs. 330
If , in addition, an employee has to spend a night away from his/her home he/she shall get an extra Kshs. 750/= for accommodation.
14. LEAVE TRAVEL ALLOWANCE
An employee travelling on annual leave shall be entitled to leave travel allowance as outlined hereunder:
1st Year of the agreement -Kshs. 4,000
2nd Year of the agreement -Kshs. 4,150
3rd Year of the agreement -Kshs. 4,300
15. NIGHT TRANSPORT
Employees who start or leave work after 6.30 p.m. will be provided with transport to agreed points within the City boundaries.
16. WARNING SYSTEM
An employee who is guilty of an offence other than gross misconduct or other lawful cause justifying dismissal may be given a written warning which shall be entered in the employee's employment record and shall remain valid for a period of twelve months from the date of issue. If, within the twelve months period, the employee commits a similar or any other offence which does not warrant dismissal, he/she will be further warned in writing and such warning entered in his/her employment record card and the two warnings shall remain valid for a period of twelve months from the date of the second warning. If, within twelve months the employee commits a further offence which does not warrant dismissal he/she will be issued with a final letter of warning which will make him/her liable to summary dismissal for any other offence which he/she may commit thereafter.
A final letter of warning will remain valid for a period of one year from the date of issue. A copy of the final warning shall be sent to the General Secretary of the Union.
17. REDUDANCY
(a) Definition
Redundancy" means the loss of employment, occupation, job or career by involuntary means through no fault of an employee, involving termination of employment at the initiative of the employer where the services of an employee are superfluous, and the practices commonly known as abolition of office, or occupation and loss of employment due to the Kenyanization of Business.
(b) Alternative Employment
In an effort to avoid redundancy, the company will endeavor to arrange suitable alternative employment within the company. This employment may not be of the same grade. If the alternative employment is not acceptable to the employee concerned, he will be classified as redundant and therefore eligible for the entitlements outlined in Clause (f).
(c) Consultation
In the event of redundancy, the Company undertakes to hold prior discussions with the union concerning the reasons for and the extent of the intended redundancy.
(d) Selection of Redundant Employees
In deciding which employees are to be declared redundant the Company will assess the relative merit, ability and reliability of the affected employees, but when these factors are equal the discharge will be on the basis of seniority. Membership or non-membership of the union will not be a factor.
(e) Re-engagement
Redundant employees will be given prior consideration for re-engagement by the Company should a vacancy arise according to their qualifications.
(f) Entitlement of Redundant Employees
In the event of an employee being declared redundant he will be entitled to:-
(i) The normal notice or pay in lieu of notice as defined in the Agreement;
(ii) Payment of wages, overtime and any other remuneration due when he/she ceases work;
(iii) Cash in lieu of pro-rata leave entitlement in accordance with the Agreement;
iv) Severance pay on the basis of 29 days pay for each completed year of service.
18. TERMINATION OF SERVICE
(a) After probation period, contract shall be terminable by not less than one month's notice to be given by either party, or otherwise by the payment of either party, in lieu of notice, of not less than one month's pay, except where an employee is summarily dismissed for gross misconduct or other lawful cause. For those employees with more than 5 years service 2 months' notice or salary in lieu of such notice will be given by either party.
(b) Terminated employee will be paid their terminal dues at a rate of 26 days for each completed year of service.
19. SUMMARY DISMISSAL
This will be dealt with in accordance with Section 44(4) of the Employment Act (2007) which reads as follows;
(a) If, without any leave or other lawful cause, an employee absents himself from the place proper and appointed for the performance of his work;
(b) If, during working hours, by becoming or being intoxicated an employee renders himself unwilling or incapable properly to perform his work;
(c) If, an employee willfully neglects to perform any work which it was his duty to have performed or if he carelessly and improperly performs any work which from its nature it was his duty under his contract to have performed carefully and properly;
(d) If, an employee uses abusive language or behaves in a manner insulting to his employer, or to any person placed in authority over him by his employer;
(e) If, an employee knowingly fails, or refuses to obey any lawful and proper command which it was within the scope of his duty to obey, issued by his/her employer, or any person placed in authority over him/her by his/her employer.
(f) If, in the lawful exercise of any power of arrest given by or under any written law, an employee is arrested for a cognizable offence punishable by imprisonment and is not within fourteen days either released on bail or on bond or otherwise lawfully set at liberty.
(g) If, an employee commits or on reasonable and sufficient grounds is suspected of having committed any criminal offence against or to the substantial detriment of his/her employer or his employer's property.
20. DEATH OF AN EMPLOYEE
This will be dealt with in accordance with Section 24 of the Employment Act (2007).
The normal practice of the Company to provide coffin and Transport shall continue. Any monetary contribution made by the company shall be given to the next of kin witnessed by one of the Shopstewards and in their absence by a Union official.
21. CERTIFICATE OF SERVICE
This will be issued in accordance with Section 51 of the Employment Act (2007), which reads as follows:
(1) Every employee shall be given a certificate of service by his employer upon the termination of his employment unless such employment has continued for a period of less than four consecutive weeks, and every such certificate shall contain:
(a) the name of the employer and his postal address;
(b) the name of the employee;
(c) the date when employment commenced;
(d) the nature and usual place of employment;
(e) the date when employment ceased; and
(f) such other particulars as may be prescribed.
(2) Subject to sub-section (1) of this section, no employer is bound to give to any employee any testimonial, reference or certificate relating to the character or performance of any employee.
(3) Any employer who willfully or by neglect fails to give an employee a certificate of service in accordance with sub-section (1) of this section or who in a certificate of
service includes a statement which he knows to be false shall be guilty of an offence.
22. RETIREMENT BENEFITS
An employee who retires on old age or on medical grounds, and has completed 5 years of service and above, will be entitled to a retirement benefit of 36 days pay for each completed year of service. Normal retirement age will be 55 years.
This clause will also apply to an employee dying in the service of the company and such benefit will be paid to the next of kin.
23. NIGHT SHIFT ALLOWANCE
An employee who works on night shift will be paid a night shift allowance of Shs. 75/= per night worked.
24. EFFECTIVE DATE AND DURATION
This Agreement shall be effective from 1st March, 2013 and shall remain in force for a period of 36 months from that date and thereafter until it is amended by mutual agreement between the company and the union, provided the party desiring to amend the agreement shall give one month's notice of its intention and shall set out in details the amendments or alterations required.
SIGNED: FOR AND ON BEHALF OF THE COMPANY
…………………………………
MINAL SHAH
HEAD OF OPERATIONS
…………………………………
ASHIT SHAH
CHIEF FINANCIAL OFFICER
SIGNED: FOR AND ON BEHALF OF THE UNION
……………………………………………………
WERE DIBO OGUTU (OGW)
NATIONAL GENERAL SECRETARY
WITNESSED BY:
……………………………………
JAMES ODORO OBURA
AREA SECRETARY
..…………………………………..
BENEDICT MUTETHIA
SHOPSTEWARD
……………………………
GEORGE GWAKO
& IR
ASSISTANT
…..……………………………
SAMSON MUSEMBI RECRUITMENT
SHOPSTEWARD
IN THE PRESENCE OF:
……………………………………………..
L. W. KARIUKI
HEAD OF INDUSTRIAL RELATIONS SERVICES
FEDERATION OF KENYA EMPLOYERS
SIGNED IN NAIROBI THIS ………………… DAY OF ……………… 2013
APPENDIX A
JOB DESCRIPTION AND ALLOCATION OF DUTIES WITHIN GRADE:
GRADE (I)
This grade will cover skilled staff carrying out work requiring experience, and skilled operation with a minimum of supervision.
DUTIES GRADE (I)
Within this grade will come Engineering Staff with technical qualifications and long experience e.g. Electricians, Fitters and Tanners., This grade will further be classified into three:
(a) Employees with Trade Test Certificate Grade I
(b) Employees with Trade Test Certificate Grade II
(c) Employees with Trade Test Certificate Grade III
GRADE (II)
This will cover skilled staff carrying out work requiring experience and technical ability with moderate supervision.
DUTIES GRADE (II) (a)
(a) Senior Injection and blow moulding machine operators responsible for adjustments to moulding conditions on their own and other employees machines to maintain the condition set by machine setter.
(b) Senior extrusion supervisors able to carry out adjustments to extrusion conditions, to maintain quality standard and where set by machine setter.
(c) Skilled employees who in the engineering section fitters and welders, quality controllers whose qualifications or experience do not qualify them for entry to the grade (I).
(d) Other employees who although not employed on full time Grade (1) work possess special qualifications which the company feel are to their benefit and are therefore prepared to give recognition to.
GRADE (II) (b)
Junior Injection, blow and extrusion supervisors and similar categories.
GRADE (III)
This grade will cover those employees whose duties require some degrees of skill and/or experience. This grade will be appropriate to those employees gaining the necessary qualification for appointment to Grade (II) and such employees will normally be expected to carry out Grade (II) duties with extra supervision during the absence of Grade (II) employees.
DUTIES GRADE (III)
(a) Those employees who are capable of, and would normally be required to assume Grade (II) duties in the absence of the normal Grade (II) Operator, mould fixers.
(b) Employees in position requiring some degree of skill but not of the level required for a Grade (II) Operator. Such capacity employees would include a competent operator on the Injection and Blow Machines or the Senior employees engaged on packing of finished goods.
(c) Any other employee who in the estimation of the company possesses a skill, experience or other special attribute worthy of recognition although the employee concerned is not normally engaged on Grade (II) duties.
(d) Newly employed engineering staff who have experience but who require sometime to acquire the required experience.
GRADE (IV)
This grade will cover personnel directly working on manual and semi automatic machines, cook/or night-watchman, mixers and thread twisting.
DUTIES GRADE (IV)
(a) All employees not covered above.
(b) Machine attendants who are capable to run their machines without much trouble.
GRADE (V)
(a) Car and Light Vans
(b) Medium Sized Vehicles
(c) Heavy Commercial Vehicles
DUTIES GRADE (V)
DRIVERS
(a) Car and Light Vans not exceeding 2 ton T.W.
(b) Medium sized vehicles - over 2 tons and less than 8 tons T.W. with or without Trailer.
(c) Heavy Commercial Vehicles - 8 tons T.W. with or without trailer.
GRADE (VI)
This grade will cover all unskilled and newly recruited casual labour working as cleaning, sweeping, labouring, packing, winding, tea making, drivers mate, labeling, wire bending, gardener, day-watchman, messenger etc.
DUTIES GRADE (VI)
(a) All newly employed unskilled staff.
(b) All those employees engaged in unskilled work and all those newly recruited casual labourers working in cleaning, labouring, packing, thread twisting, tea making, driver's mate etc.
CLERICAL GRADE (I)
Senior Clerks carrying out responsible work, Dispatch/Store Clerks responsible for stock cards system with stocks responsible for Company’s cash in keeping and giving out and entering into petty cash books. Preparing delivery notes entering and invoicing with respective details with minimum of supervision.
GRADE (II)
General Clerks carrying out any general work with moderate supervision and copy typist with minimum of 60 w.p.m., telephone operator/receptionist, store keeper.
GRADE III
Junior Clerks with little or no experience to carry out work with extra supervision or newly employed clerks, payroll clerk.
