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MEMORANDUM OF AGREEMENT BETWEEN MEDIVET PRODUCTS LIMITED (HEREINAFTER REFERRED TO AS THE 'COMPANY' OF THE FIRST PART) AND KENYA CHEMICAL AND ALLIED WORKERS UNION (HEREINAFTER REFERRED TO AS THE 'UNION' OF THE SECOND PART)

1. Subject Matter

The terms and conditions of employment set out in the agreement shall be observed by parties to it, and shall apply to all employees covered by the Recognition Agreement signed between the parties and as covered by definition given by the Union registered constitution.

2. Acting Capacity

An employee who is temporarily appointed or promoted to any acting capacity carries a higher rate of pay than the job in which he/she is normally employed and shall revert to his/her former rate of pay immediately on reverting to his/her former job provided that such employee has acted in that capacity for a period not less than fourteen days.

3. Normal Working Hours

An employee shall normally be required to work, whether on shift or otherwise, a total of 45 hours per week, exclusive of meal break time hours, provided that an employee who is wishing to work in excess of such hours shall be paid for such excess hours at the appropriate rate as provided by clause 4 of this agreement.

4. Overtime

Overtime rates shall be as follows:-

a) For hours worked on week days in excess of hours set out in clause 3 - time and a half.

b) For hours worked on Saturdays in excess of hours set in clause 3 time and a half.

c) For hours worked on Sundays and Gazetted Public Holidays will be double pay.

5. 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 as provided by clause 4 above.

6. Annual Paid Leave

a) An employee will be entitled to 28 working days paid leave after completion of 12 months service.

b) In the event of the Gazetted Public Holidays falling within the leave period such public holidays shall be added to the leave entitlement.

7. Compassionate Leave and Leave of Absence

An employee desirous of leave on compassionate grounds shall with prior arrangement with the employer be granted such leave and shall be subsequently set off against his/her annual leave. The leave taken shall be normally paid.

8. Sick Leave

An employee will be granted Fifty (50) days with full pay and further Fifty (50) days with half pay in any one calendar year.

9. Injury by Accident

In the case of an accident covered by the Work Injury Benefits Act (WIBA), full pay will be given to the employee and where the act requires the payment of half pay during a period of certified temporally disability an employee shall be paid by the company his/her wages.

10. Maternity/Paternity Leave

A woman employee shall be entitled to maternity leave with full pay as provided for by the Employment Act 2007.

A male employee shall be entitled to paternity leave as provided for by the Employment Act 2007.

11. Medical Treatment

Medical Treatment Rules to be adopted as per the Employment Act 2007.

12. Definition of Employees

It is understood and agreed that the word 'employee' in this agreement shall cover all employees regardless of sex unless specifically stated otherwise.

13. Probation

All employees shall be considered to be on probation for a period not exceeding three months from the date of engagement. Either party can terminate employment by giving 7 days notice or pay in lieu on thereof.

14. Termination of Employment

Except where an employee is summarily dismissed for gross misconduct or other lawful cause as prescribed in the Employment Act 2007 and provided the probationary period has been completed either party will be required to give one months notice on termination of service or pay in lieu thereof.

15. Certificate of Service

Every employee shall be given a certificate of service by his/her employer upto the termination date of his/her employment unless such employee has continued for a period of not less than 12 consecutive weeks and every such certificate shall contain the followings:-

a) the name of the employer and his postal address

b) the name of employee

c) the date when employment commenced

d) the nature and usual place of employment

e) the date when employment ceased

f) Such other particulars as may be prescribed by the Minister

II. Subject to subsection (1) above of this section, the employer is not bound to give any employee any testimonials, reference or certificate relating to the character or performance of an employee.

16. Redundancy

a) Definition

Redundancy means loss of employment, occupation, career by involuntary means through no fault of the employee, involving the 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, job or occupation and loss of employment.

b) Alternative Employment

In an effort to avoid redundancy, the company will endeavour to arrange suitable alternative employment within the company. This 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 entitlement outlined in (f) below.

c) Consultation

The Union will be informed of the reason(s) for and the extent of the intended redundancy, provided that nothing in this paragraph prejudices the Union from raising matter on the principles of redundancy as per the Recognition Agreement.

d) Selection of Redundant Employees

Redundant employees will be given prior consideration by the company should any vacancy arise according to their qualifications.

e) Entitlement of Redundant Employees

In the event of an employee being declared redundant he/she shall be entitled to the following:-

i) the normal notice as defined in this Agreement

ii) payment of wages, overtime and other remuneration which may be due to her/his calculated up to the date he/she ceases work.

iii) Prorata leave in accordance with the Agreement.

iv) Severance pay on the basis of 23 days for each completed year of service.

17. Leave Travelling Allowance

Every employee proceeding on his/her annual paid leave after 12 months continuous service shall be entitled to leave travelling allowance of Kshs.4,200/= for the first and further Kshs.4,500/= for the second year.

18. Baggage Allowance

An employee who is retiring from the company's service at the official age of retirement, retiring on medical grounds or declared redundant will be entitled to Kshs.10,000/= as Baggage Allowance.

19. Gratuity/Service Benefits

When an employee retires on reaching the normal age of retiring, retiring on medical grounds or terminated, he/she will be paid as follows:-

i) Up to 5 years – 22 days for each completed year of service

ii) Over 5 years – 30 days for each completed year of service

iii) Retirement benefits payable under this agreement will be in respect of the years of service since engagement

iv) In the case of death of an employee while in the service of the employer, the employer will pay the dependant relatives of the deceased the sum of money calculated in accordance with the above clause and entered in his/her record of service

v) The clause will cover an employee who will be normally terminated by the employer

20. Death of an Employee

The company will give Kshs.40, 000/= towards funeral expense

i) When the death of an employee from any cause whatsoever is brought to the notice or comes to the knowledge of his employer, the employer shall as soon as practicable thereafter give notice thereof in the prescribed form to the Labour Officer or to the District Commissioner a report in the prescribed form.

21. Uniforms, Overall and Protective Clothing

The company shall wash the uniforms and will not provide any soap. Uniforms shall be replaced when they are no longer useable.

22. Warning Procedure

An employee who is guilty of an offence other than gross misconduct or other lawful cause of dismissal may be given a written warning letter which shall be entered in his/her employment record card and shall remain valid for a period of twelve months from the date of issue. If within the 12 months period, the employee commits a similar or any other offence which does not warrant dismissal, he/she shall be issued with a second warning and entered in the employees record and shall remain valid for 12 months. If within these twelve months period an employee commits a further offence which does not warrant dismissal he/she will be issued with a final letter of warning which will render him/her liable for summary dismissal for any other offence which he/she may commit thereafter.

23. Wages Minimum Basic Rate

a) Shall be given as per the outgoing Agreement plus 9% first year and 9% second year as per attached schedule.

24. House Allowance

15% or Ksh. 3,800 whichever is higher.

25. Shift Allowance

An employee shall receive Kshs.85/= as shift allowance per night.

26. Effective Date and Duration of the Agreement

This agreement shall be effective from 1st May 2014 and shall remain in force for a period of two years from the date and thereafter until it is amended by mutual agreement between the company and the Union provided that the party desiring to amend the agreement shall give one months notice to the other party of their intention and shall set out details of the amendment or alteration which such party desires.

FOR AND ON BEHALF OF THE MEDIVET PRODUCTS LTD.

.................................

MANISH DODHIA

MANAGING DIRECTOR

FOR AND ON BEHALF OF THE UNION:

.........................................

MR. WERE DIBO OGUTU (OGW)

NATIONAL GENERAL SECRETARY

WITNESSED BY

.........................................

MR. JACKSON NGULI MUEKE

NATIONAL ASSISTANT GENERAL SECRETARY

...................................................................................................

MR. GEORGE GWAKO

RIRA

ABEL NYAMAMBA

BRANCH SECRETARY - RUIRU

................................ .........................................

MR. EDWARD ATUNGA

SHOPSTEWARD

ALFRED MAGARE

SHOPSTEWARD

IN THE PRESENCE OF;

.....................................................

L.W. KARIUKI

MANAGER, INDUSTRIAL RELATIONS

SIGNED AT NAIROBI THIS............................ DAY OF ................................... 2015

JOB TITLES / GRADING OUTGOING BASIC RATE

W.E.F

1ST MAY 2014

HOUSE

ALLOWANCE

TOTAL

BASIC PLUS

HOUSE ALLOWANCE

BASIC RATE

W.E.F

1ST MAY 2015

HOUSE

ALLOWANCE

TOTAL

BASIC PLUS

HOUSE ALLOWANCE

CATEGORY A

GENERAL LABOURERS INCLUDING CLEANERS, SWEEPERS, MESSENGERS,

TEA MAKERS, LOADERS, DELIVERY PERSONS, MAINTENANCE ATTENDANTS,

DISPENSERS, GARDENERS, PACKERS, OFF LOADERS, DAY

WATCHMEN, STORE ATTENDANTS, DELIVERY VAN ATTENDANTS, LABORATORY

WORKER ATTENDANTS, STORE CLERKS AND ANY OTHER GENERAL WORKERS

15178/= 16544/= 3800/= 20344/= 18033/= 3800/= 21833/=
CATEGORY B

ALL MACHINE ATTENDANTS INCLUDING ALL PHARMACEUTICAL MACHINERY

ATTENDANTS INCLUDING PRINTING AND LABELLING MACHINE ATTENDANTS, LIQUID

FILLING AND MIXING MACHINE ATTENDANTS, DRY POWDER AND BLENDING MACHINE

ATTENDANTS, CAPSULE FILLING AND BLENDING MACHINE ATTENDANTS, ROTARY OIL

AND CREAM MACHINE ATTENDANTS, BLISTER AND STRIP PACKING MACHINE

ATTENDANTS, MIXER ATTENDANTS AND JUNIOR CLERKS

17348/= 18909/= 3800/= 22709/= 20611/= 3800/= 24411/=
CATEGORY C

STORES ASSISTANTS, COPY TYPISTS, CARS AND LIGHT AND DELIVERY VAN DRIVERS,

QUALITY ASSURANCE OFFICERS, SUPERVISORS, ALL MACHINE

OPERATORS INCLUDING ALL PHARMACEUTICAL MACHINERY OPERATORS INCLUDING

PRINTING AND LABELLING MACHINE OPERATORS, LIQUID FILLING AND MIXING MACHINE

OPERATORS, DRY POWDER AND BLENDING MACHINE OPERATORS, CAPSULE FILLING

AND BLENDING MACHINE OPERATORS, MIXER OPERATORS

20481/= 22324/= 3800/= 26124/= 24333/= 3800/= 28133/=
CATEGORY D

QUALITY CONTROL ANALYSTS, IN - PROCESS ANALYSTS,

LABORATORY TECHNICIANS, MICROBIOLOGICAL ANALYSTS,

RAW MATERIAL ANALYSTS, FINISHED GOODS ANALYSTS

QUALITY ASSURANCE ANALYSTS, ASSISTANT SUPERVISORS

17664/= 19254/= 3800/= 23054/= 20987/= 3800/= 24787/=
CATEGORY E

MEDIUM SIXE VEHICLE DRIVERS

SALESMAN

HEAVY COMMERCIAL VEHICLE DRIVERS, SALESMAN DRIVER

23330/=

26137/=

31746/=

25430/=

28489/=

34603/=

3815/=

4273/=

5190/=

29245/=

32762/=

30793/=

27719/=

31053/=

37717/=

4158/=

4658/=

5658/=

31877/=

35711/=

43375/=

NB: NEW EMPLOYEES TO START AT 25% ABOVE THE GENERAL WAGES ORDER IN FORCE

Medivet Products Limited - 2014

Start date: → 2014-05-01
End date: → 2016-04-30
Name industry: → Manufacturing
Name industry: → Manufacture of basic pharmaceutical products and pharmaceutical preparations
Public/private sector: → In the private sector
Concluded by:
Name company: → Medivet Products Limited
Names trade unions: → Kenya Chemical and Allied Workers Union

SICKNESS AND DISABILITY

Maximum for sickness pay (for 6 months): → 42 %
Maximum days for paid sickness leave: → 100 days
Provisions regarding return to work after long-term illness, e.g. cancer treatment: → 
Paid menstruation leave: → No
Pay in case of disability due to work accident: → Yes

WORK AND FAMILY ARRANGEMENTS

Maternity paid leave: → 13 weeks
Maternity paid leave restricted to 100 % of basic wage
Job security after maternity leave: → No
Prohibition of discrimination related to maternity: → No
Prohibition to oblige pregnant or breastfeeding workers to perform dangerous or unhealthy work: → 
Workplace risk assessment on the safety and health of pregnant or nursing women: → 
Availability of alternatives to dangerous or unhealthy work for pregnant or breastfeeding workers: → 
Time off for prenatal medical examinations: → 
Prohibition of screening for pregnancy before regularising non-standard workers: → 
Prohibition of screening for pregnancy before promotion: → 
Facilities for nursing mothers: → No
Employer-provided childcare facilities: → Yes
Employer-subsidized childcare facilities: → No
Monetary tuition/subsidy for children's education: → No
Paid leave per year in case of caring for relatives: → Insufficient data days
Paternity paid leave: → 14 days

EMPLOYMENT CONTRACTS

Trial period duration: → 90 days
Part-time workers excluded from any provision: → 
Provisions about temporary workers: → 
Apprentices excluded from any provision: → 
Minijobs/student jobs excluded from any provision: → 

WORKING HOURS, SCHEDULES AND HOLIDAYS

Working hours per week: → 45.0
Paid annual leave: → 28.0 days
Paid annual leave: → 5.0 weeks
Paid bank holidays: → Ascension Day (fortieth day after Easter), Christmas Day (25th December), Army Day / Feast of the Sacred Heart/ St. Peter & Paul’s Day (30th June), Chile Independence Day (18th September), John Chilembwe Day (15th January)
Rest period of at least one day per week agreed: → Yes
Provisions on flexible work arrangements: → 

WAGES

Wages determined by means of pay scales: → No
Adjustment for rising costs of living: → 

Wage increase

Premium for evening or night work

Premium for evening or night work: → KES 85.0 per month
Premium for night work only: → Yes

Extra payment for annual leave

Extra payment for annual leave: → KES 4500.0

Premium for overtime work

Premium for overtime work: → 150 % of basic wage

Premium for Sunday work

Premium for Sunday work: → 100 %

Meal vouchers

Meal allowances provided: → No
Free legal assistance: → 
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