SUPPLEMENTARY AGREEMENT Between TPS (Uganda) Limited Uganda Hotels, Food, Tourism and Allied Workers’ Union (UHFTAWU)

17™ AND 18™ JULY 2013

Supplementary Agreement Preamble

This Agreement is made between TPS (Uganda) Limited on one part hereinafter referred to as “The Employer” or The Company and Uganda Hotels, Food, Tourism & Allied Workers’ Union (UHFTAWU) jointly with, Uganda Hospitality, Leisure & Allied Workers’ Union (UHLAWU) hereinafter referred to as “The union” on the other part

It is made on behalf of unionisable employees of TPS (Uganda) Limited as a Supplementary Agreement to the Collective Bargaining Agreement between Uganda Hotel Owners Association (UHOA) and Uganda Hotels, Food, Tourism and Allied Workers’ Union (UHFTAWU) and (UHLAWU) of 1st May 2008 referred to as SCHEDULE “C”

Terms of Reference

In matters of Recognition and Negotiation procedure the Parties to this Agreement, meeting together in free and voluntary negotiation agree:-

1. That whereas Uganda Hotel Owners Association (UHOA) negotiated a Collective Bargaining Agreement in May 2008 on behalf of its member establishments with Uganda Hotels, Food, Tourism & Allied Workers’ Union (UHFTAWU; Uganda Hospitality, Leisure & Allied Workers’ Union (UHLAWU) with the approval of the Commissioner for Labour has from this day formed a joint negotiation team with Uganda Hotels, Food, Tourism & Allied Workers’ Union (UHFTAWU); as partners to negotiate this supplementary agreement and thereby committing to agree with ¿1 the contents of the said Agreement.

2. That the terms and conditions of employment stipulated in the said CBA between Uganda Hotel Owners Association (UHOA) and Uganda Hotels, Food, Tourism & AU.cdWorkers Union (UHFTAWU) and Uganda Hospitality, Leisure & Allied Workers Union (UHLAWU), shall be binding as the main CBA and together with this supplementary Agreement, they both shall be legal agreements stipulating terms and conditions of employment for all Unionisable employees of TPS (Uganda) limited.

3. Whereas UHOA negotiated the said CBA on behalf of its member establishments with UHFTAWU and by voluntary and willful enjoinment Uganda Hospitality, Leisure & Allied Workers Union (UHLAWU), Section (ii) of its preamble provides for individual Companies to negotiate with the Union supplementary agreements to the CBA on matters relating to wages and benefits.

4. To negotiate this Supplementary Agreement to regulate TPS(Uganda) Limited’s unionisable employees’ wages and benefits not determined in the CBA between Uganda Hotel Owners Association on behalf of its member establishments.

5. That reference to “The Union” in this agreement refers to Uganda Hotels, Food, Tourism & Allied Workers’ Union (UHFTAWU) and Uganda Hospitality, Leisure & Allied Workers’ union (UHLAWU) as partners.

6. That both Uganda Hotels, Food, Tourism & Allied Workers’ Union (UHFTAWU) and Uganda Hospitality, Leisure & Allied Workers’ Union (UHLAWU) shall form a committee of a minimum number of six representatives and a maximum of eight for purposes of negotiation of this supplementary Agreement and all other subsequent Agreements. And at no time will separate negotiations be entered with TPS (Uganda) Limited by Uganda Hotels, Food, Tourism & Allied Workers’ Union (UHFTAWU) or Uganda Hospitality, Leisure & Allied Workers’ Union (UHLAWU).

7. That the Employer on the other hand shall nominate not less than three Management staff members one of which must be from the Human Resource Department, who jointly with the committee from “The Union” shall form what is referred to as a Joint Consultative/Negotiation Committee that will be responsible of all Collective Bargaining Agreement matters including disputes, perceived or real to the implementation of this supplementary agreement.

8. That all grievances real or perceived shall be discussed with TPS (Uganda) Limited by the Works Committee regardless of the affected staffs’ membership or affiliation.

9. That the Employer on satisfaction of the conditions set out in this Agreement, accords Ml recognition to “ the Union” provided it is and for so long as it remains reasonably and collectively representative of the workers employed by TPS(Uganda) Limited. The Union shall be the sole body representing such employees.

10. That the Employer reserves the right to engage, transfer, promote and demote. Termination of service of any unionisable employee shall be in accordance with the negotiated terms of employment without derogation of the employer’s right to dismiss summarily for lawful cause

11. The Employer undertakes not to victimize any employee on account of his/her Union membership.

Equally the Union agrees that no employee shall be compelled to become a member of the Union and undertakes not to victimize any employee on account of non-membership of the Union.

12. The Employer undertakes to use every endeavor to ensure that all management staff are fully aware of the recognition accorded to the Union.

13. It is understood by both parties to this Agreement that any Union representatives employed by TPS (Uganda) Limited have their first and prime responsibility to carry out their duties as employees.

14. The Union on its part undertakes that its members’ representatives will carry out the duties delegated by their employer during their prescribed working hours and that such representatives will not leave their places of work for any purpose in connection with their duties as representatives without the permission, such permission shall not be unreasonably withheld.

15. TPS (Uganda) Limited will notify the Union positions which are considered to be management.

16.The Company and the Union subscribe to joint consultation with each other through the established Joint Consultative Committee and both parties agree to co-operate to bring about the maintenance of effective labour relations in the working place.

17. The Employer and the Union agree that when negotiating this Agreement, the guiding principle shall be:-

i. To regulate the relations between them in the interest of mutual understanding and co¬operation.

ii. To ensure the speedy and impartial settlement of real or alleged disputes or grievances.

iii. To obtain a continuous improvement in workers’ earnings based on the ability of the Company to pay such improved earnings and in compliance with the Uganda Government wage guidelines should this be put in place.

iv. To ensure high standards for productivity.

Supplementary Agreement Article 1: Salary

Supplementary Agreement Article 2: Service Charge

a) It must be understood that all Employees working for TPS(Uganda) Limited contribute to the generation and maximization of Service Charge in one way or the other regardless of their category or grade and are therefore entitled to a share of the same.

b) However, the management of TPS(Uganda) Limited has on its own free will decided to exclude some management positions from service charge and will provide the list of those positions.

c) TPS(Uganda) Limited will continue to operate a service charge on accommodation sales and on food sales covering all food outlets (including coffee shops and food sales on outside catering functions whether by cash or credit.

d) The service charge percentage to be levied by employer shall be 5% on sales as detailed in sub-clause (a) above.

e) A 2% service on beverages will be levied from January 2014.

f) A deduction of 10% will be retained by the employer from service charge collection for administrative purposes. The balance of 90% being distributed as per sub-clause (g) below.

g) The money collected through service charge shall be distributed equally to all employees except for Staff referred to in (b) above.

h) Management shall provide a list of positions whose terms and conditions of employment are not negotiated by the Union.

Supplementary Agreement Article 3: Night shift Allowance

Supplementary Agreement Article 4: Out of station allowance

For the duration of the agreement an Employee whose duties on any occasion may necessitate being away from their normal place of duty will be provided with transport, accommodation and meals.

Supplementary Agreement Article 5: Leave Allowance

Supplementary Agreement article 8: Casual employee Salary

i. Casual employees shall be employed by the hour or by the day.

ii. Casual employees shall be paid the equivalent of the hourly earnings for the position in which they are employed, based on the minimum salary for the position in which he/she is offered casual employment. 

Supplementary Agreement Article 9: Retirement

a. On the attainment of retirement age

An employee who has attained the age of 55 years shall retire or be retired. An employee due to retire shall be notified in writing six months before date of retirement of the impending retirement which shall An employer who has attained the age of 55 years shall retire or be retired. An employee due to retire shall be notified in writing six before date of retirement of the impending retirement which shall be six months prior to his/her the 55th birthday.

b. Early voluntary Retirement

An employee who has attained fifty (50) years may retire voluntarily by making a written request to Management for consideration two months before the intended date of retirement.

c. Retirement Benefit

On retirement the employee shall be assisted in claiming Retirement Benefits from NSSF.(PENDING MANAGEMENT FEEDBACK).

Supplementary Agreement article 10: Repatriation Allowance

An employee recruited for employment at a place which is more than one hundred kilometers from his or her home shall have the right to be repatriated at the expense of the employer to the place of engagement as in accordance with the Employment Act 2006 as following cases-

(a) On the expiry of the period of service stipulated in the contract.

(b) On the termination of the contract by reason of the employee’s sickness or accident.

(c) On termination of the contract by order of the labour officer, the industrial court or any other court ^ d) On termination of contract after an employee who has served atleast ten years regardless of where he/she was recruited.

e) An employee upon leaving employment and who is eligible for repatriation in accordance with the Employment Act 2006, shall be repatriated accordingly.

Supplementary CBA Article 11:Death expenses/benefits

a) In the case of death of an employee, the Company shall transport the deceased’s body to its place of final rest free of charge, provide a coffin, wrapping materials, a wreath, and pay all the deceased’s final dues to the Administrator General or Executor (Next of Kin) to the deceased’s estates. Such dues shall include outstanding pay, leave, off days and applicable group life insurance for permanent

employees.

b) The Management shall facilitate at least two employees to represent Management and the Union at the burial of the employee for a maximum of two days.

EFFECTIVE DATE AND DURATION OF THIS SUPPLEMENTARY AGREEMENT

This agreement shall be part and parcel of the CBA referred to in Clause 3 (three) of the preamble above and shall be effective from the 1st July 2013 and remain in force for a period of two years. It shall continue in force thereafter until such time as either party hereto shall, by giving 90 days’ notice in writing to the other, signifying its wish to terminate or amend this Agreement or the terms hereof.

Minutes signed on this Seventeenth (18th) day of July 2013.

Signed for and on behalf of the Employer:-

l. Catherine W Waruhiu (Mrs)

Homan Resource Director TPS (Eastern Africa) Limited

2.Anthony Chege

Country General Manager TPS (Uganda) Limited

Signed for and on behalf of the Union:-

Stephen Mugole

General Secretary

Uganda Hotels, Food and Allied Workers’ Union (UHFTAWU)

Frank Mugyema

General Secretary

Uganda Hospitality Leisure & Allied Workers Union (UHLAWU)