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MEMORANDUM OF AGREEMENT

BETWEEN

SMART PRINTERS LIMITED (EMPLOYER)

AND

THE KENYA UNION OF PRINTING, PUBLISHING, PAPER MANUFACTURERS AND ALLIED WORKERS

1.PREAMBLE

(a)Both parties to this agreement meeting together in a free heart and voluntary association have agreed to enter into the following common Agreement in matters of Wages and other Terms and Conditions of Employment (services) to be negotiated between them to cover unionisahle employees.

(b)Any other worker or any category of employees who are not union members by virtue of their faith or other reasons and wish to be covered or enjoy the benefits achieved and accrued out of the CBA shall have to pay a service charge of 2% per month of their basic salary.

2.WAGES AND SALARIES

The following increase shall apply on the current basic salary:-

Low income earners group

(Those earning below Kshs. 15,000/-)

Upper income earners

(Those earning above 15,000/-)

First year 12% w.e.f. 1st Oct. 2012

Second year 12% w.e.f. 1st Oct. 2013

First year 8% w.e.f. 1st Oct. 2012

Second year 8% w.e.f. 1st Oct. 2013

3.HOURS OF WORK

The normal working week shall consist of 45 hours spread over six days in a week.

4.OVERTIME

(a) Over time shall be paid as follows, in respect of hours worked over the

above normal working hours per week

Normal day - one and half

Rest day and gazetted public holidays – two times

(b) The basic hourly rate for any employee shall be calculated by the following formula:-

(Employee's basic salary per month x 12) / 2340

5. ANNUAL LEAVE

a. After completion of each period of twelve (12) months of continuous services, an employee shall be entitled to twenty Four (24) working days leave

b. The time of taking leave shall, whenever possible, be arranged mutually between the employer and employees. An employee intending to go on annual leave shall give 30 days’ notice in advance.

c. Annual leave may be accumulated to a maximum of forty six (46) days on completion of 1½ years service

d. An employee who fails to resume duty after leave without permission or satisfactory reason will be regarded as being absent without permission and will be liable to summary dismissal as provided for by Section 44(4) of the Employment Act, 2007.

6. LEAVE TRAVELLING ALLOWANCE

An employee proceeding on authorized annual leave shall be entitled to 3,500/- (three thousand Five Hundred shillings) payable in advance.

7.SICK LEAVE

a. Employees will be entitled to 30 days sick with full pay and further 20 days on half pay per annum subject to a registered medical practitioner's certificate for approval.

b. In case of actual continuous hospitalization, the sick leave will be extended to include individual's prorata leave due, subject to medical verification thereof. It will be at the management’s discretion to continue the employment or terminate the same.

c. An employee shall not be entitled to sick leave unless he produces a medical certificate of incapacity covering the period of sick leave claimed; signed by a company medical practitioner or a person acting on his behalf.

d. An employee shall not be eligible for sick leave in respect of incapacity due to gross neglect on his/her part.

c. Time spent at the medical centre in excess of such time as may be reasonably required for treatment or certification will be considered as sick leave.

8. COMPASSIONATE LEAVE

a. An employee desiring to take leave on compassionate grounds shall by prior arrangement with the company be granted such leave up to his earned leave entitlement and the leave shall subsequently be set off against his/her annual leave.

b. An employee may, in addition to leave provided in sub-paragraph (a) above be granted 5 days compassionate leave without pay in any one year.

9.WARNING SYSTEM

a. Any employee who is guilty of an offence other than gross misconduct or other lawful cause for dismissal may be given a written warning which shall be entered in the employee's record and shall remain valid for period of twelve (12) months from the date of issue.

b. If within the twelve (12) months period the employee commits a similar offence which does not warrant dismissal he will be warned in writing and the warning will be entered in his file.

c. If within twelve months period the employee commits a further offence which does not warrant dismissal, he will be issued with a final letter of warning which will make him liable to dismissal for any other offence he may commit thereafter. A final letter or warning will remain valid for a period of one year from the date of issue.

d. An employee who has been warned once, twice or thrice and who completes a period of 365 days of service without a further fault shall have any warning(s) recorded cancelled.

10.TERMINATION OF SERVICES

a. After completion of satisfactory probationary period; service will he terminable by either party giving notice or pay in lieu thereof as outlined hereunder

b. Employees with 1 to 10 completed years of service 1 month

c. Employees with over 10 completed years of service 2 months

An employee who has served the company for a minimum of ten continuous years and wishes to voluntarily resign from the company will be paid 7 days basic pay for each completed year of service as gratuity. However, this does not prejudice the employer to summarily dismiss an employee for gross misconduct as provided for by Section 44(4) of the Employment Act, 2007.

11.INJURY

In case of sustained injury while on normal duties, the provisions of the Work Injury Benefits Act 2007 shall apply

12.MATERNITY LEAVE/PATERNITY LEAVE

The provisions of the Employment Act, 2007, shall apply. However, paternity leave shall cover the registered wife and the employee shall give 30 days prior notice

13.RETIREMENT BENEFITS

a. Retirement age shall be 55 years

b. Any employee who is dismissed summarily for gross misconduct shall not be entitled to any benefits under this clause.

c. An employee who qualifies for retirement shall be paid 17 (seventeen) days pay for each completed year of service.

14.PAYMENT OF WAGES AND SALARIES

a. Salaries shall continue to be paid in arrears at the last day of the month

b. Mid month advances shall be paid on the l 5th day of the month

c. In case of need to extend normal pay day, employees need to be notified in advance

d. All payments/deductions will be made on the pay slips

15.PROBATION

A newly engaged employee shall serve a probation of three months. Either party may terminate probation by giving 7 days notice in writing or by payment in lieu of such notice.

16.ACTING ALLOWANCE

Where an employee is required to work for a period of not less than one month in a grade or occupation which the basic minimum wage is higher than the basic wage normally earned by the employee, he shall be paid an acting allowance at a rate not less than the difference between that higher basic minimum wage and his/her basic wage.

17.GAZETTED PUBLIC HOLIDAYS

The company shall observe all public holidays in the Republic of Kenya. Annual leave may be extended by the number of public holidays as above that fall within the authorized leave period.

18.TRAINING

The Company shall grant leave of absence to Shopstewards/members with full pay to attend seminar/training sponsored or through the union

19.CHECK-OFF SYSTEM

Check off system will continue to be operated by the company in accordance with the provisions of the Labour relations Act, 2007.

20.PROTECTIVE CLOTHING

The company shall provide two (2) overalls/dust coats per year and shall provide a bar of soap per month for washing them.

21.REDUNDANCY

(a) Redundancy shall mean loss of employment, occupation, job or career by involuntary means at no fault of the employee, involving a 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) The Union shall be informed one month in advance of the reasons and extent of the intended redundancy.

(c) In the event of an employee being declared redundant, he/shall be entitled to:

(i) Severance pay at the rate of Eighteen (18) days wages for every completed year of service based on the basic wages being earned at the time

(ii) 1 (one) month notice or one month’s basic pay in lieu of notice, as defined in the agreement

(iii) Pro-rata leave and leave allowance entitled in accordance with the agreement

(iv) In deciding which employee shall be declared redundant, the company will assess the relative merits, ability and reliability of the affected employees, but when these factors are equal, the discharge will be on the basis of seniority. Membership and non-membership of the Union will not be a factor.

22.NIGHT SHIFT ALLOWANCE

Payment will be made as follows:-

(i) Heavy machines Kshs.300/= per night.

(ii) Plate making/CTP numbering folding, polar and die cutting, 201 & 313 machines Kshs. 150/= per night.

(iii) All other machines Kshs. 100/= per night.

23.SHIFT DIFFERENTIAL

The current provision shall continue to apply.

24.HOUSE ALLOWANCE

Employees not housed by the company shall be entitled to a housing allowance of' Three Thousand Five Hundred (3,500/-). However, employees earning more than three thousand as house allowance shall continue enjoying the same.

25.MEDICAL TREATMENT

The provision of Section 34 of the Employers Act 2007 shall apply.

26.SUSPENSION

An employee be suspended for a period of two weeks on half pay for purposes of investigation for disciplinary action.

27.PROMOTION

Where a vacancy exists in the company the Management will give due consideration to the existing employees provided that those to be considered posses the relevant minimum qualifications.

28.TRANSPORT ALLOWANCE

Where an employee may be required to work between 6.30p.m. and 9.30p.m such an employee will be paid Kshs. 150/= for purposes of transport.

29.SAFARI ALLOWANCE

An employee travelling for duty from his appointed place of work will be paid as follows :-

Breakfast -100/-

Lunch -100/-

Dinner-200/-

Accommodation-500/-

30.DEATH

When an employee dies while in service, an employer shall contribute Kshs.50,000/- towards funeral expenses.

31.CERTIFICATE OF EMPLOYMENT/SERVICE

(a) Letters of confirmation to be issued to employees who have satisfactorily completed their probation period indicating their duties, designationand other responsibilities.

(b) On termination, retirement or resignation a certificate of service shall be issued to the concerned employees

32. EFFECTIVE DATE AND DURATION OF AGREEMENT

This agreement shall come into operation from1st October 2010 and shall remain for a period of two years. Thereafter it shall be observed until amended.

Any party wishing to amend the agreement shall be required to give three months written notice giving details of the desired amendment.

MINIMUM BASIC RATES

TITLE MINIMUM BASIC WAGE
SM 74 35,000.00
SM 52 30,000.00
GTO 52 17,000.00
MOE 5201*2 17,000.00
PLATE PROCESSOR 12,000.00
POLARS MICS 12,160.00
GUILLOTIN M/CS 12,160.00
COLLECTION M/CS 12,160.00
STITCHING M/CS 12,160.00
PERFORATION M/CS 12,160.00
GESTENER M/C 12,160.00
NUMBERING FOLDING, DIECUTTING M/CS 11,500.00
MEDIUM SIZE VEHICLE 11,500.00
UNGRADED ARTISAN 12,160.00
ARTISAN GRADE III 12,000.00
ARTISAN GRADE II 13,000.00
ARTISAN GRADE I 15,500.00

SIGNED FOR AND ON BEHALF OF THE COMPANY

……………………..…………………………..

DIRECTORGENERAL MANAGER

SIGNED FOR AND ON BEHALF OF THE UNION

…………………………..…………………………..

GENERAL SECRETARYDEPUTY GENERAL SECRETARY

……………………………………………………………..

BRANCH SECRETARYSHOPSTEWARD

IN THE PRESENCE OF

………………………………….

A.O. AMBENGE

SENIOR EXECUTIVE OFFICER, FKE

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

Smart Printers Limited - 2010

Start date: → 2010-10-01
End date: → 2012-09-30
Name industry: → Manufacturing, Publishing, printing, media
Public/private sector: → In the private sector
Concluded by:
Name company: → Smart Printers Limited
Names trade unions: → Kenya Union of Printing, Publishing, Paper Manufacturers and Allied Workers

TRAINING

Training programmes: → Yes
Apprenticeships: → No
Employer contributes to training fund for employees: → No

SICKNESS AND DISABILITY

Maximum for sickness pay (for 6 months): → 50 %
Maximum days for paid sickness leave: → 50 days
Provisions regarding return to work after long-term illness, e.g. cancer treatment: → 
Paid menstruation leave: → 
Pay in case of disability due to work accident: → Yes

WORK AND FAMILY ARRANGEMENTS

Maternity paid leave: → 13 weeks
Job security after maternity leave: → Yes
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: → No
Employer-subsidized childcare facilities: → No
Monetary tuition/subsidy for children's education: → 
Paid leave per year in case of caring for relatives: → 1 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
Working days per week: → 6.0
Paid annual leave: → 24.0 days
Paid annual leave: → 4.0 weeks
Paid bank holidays: → Easter Monday, Army Day / Feast of the Sacred Heart/ St. Peter & Paul’s Day (30th June), Chile Independence Day (18th September), John Chilembwe Day (15th January), Human Rights Day / Vernal Equinox Day (21st March)
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
Wages specified according to skill level: → 0
Wages specified according to job title: → 1
Provision that minimum wages set by the government have to be respected: → 
Adjustment for rising costs of living: → 0

Wage increase

Wage increase: → 8.0 %
Wage increase starts: → 2012-10

Premium for evening or night work

Premium for evening or night work: → KES 300.0 per month
Premium for night work only: → Yes

Extra payment for annual leave

Extra payment for annual leave: → KES 3500.0

Premium for overtime work

Premium for overtime work: → 150 % of basic wage

Premium for Sunday work

Premium for Sunday work: → 200 %

Allowance for commuting work

Allowance for commuting work: → KES 150.0 per month

Meal vouchers

Meal allowances provided: → Yes
→ 100.0 per meal
Free legal assistance: → 
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