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MEMORANDUM OF COLLECTIVE BARGAINING AGREEMENT BETWEEN KENYA HOTELS AND ALLIED WORKERS UNION AND THE ACK GUEST HOUSE - NAIROBI - 2014

IN

MATTERS OF TERMS AND CONDITIONS OF EMPLOYMENT

YEAR 2014 AND 2015

MEMORANDUM OF AGREEMENT BETWEEN THE ACK GUEST HOUSE - NAIROBI (Hereinafter called the management) AND THE KENYA HOTELS AND ALLIED WORKERS’ UNION (Hereinafter called the Union)

PREAMBLE:

The parties to this Collective Bargaining Agreement meeting together in a free voluntary atmosphere of association, have determined the TERMS AND CONDITIONS OF SERVICE, whereby it is agreed to provide as follows:-

(a) The terms and conditions of employment set out in this Agreement shall be observed by both parties and shall apply to all unionisable employees covered by the Recognition Agreement between both parties. .

(b) No employee already in the service of THE ACK GUEST HOUSE - NAIROBI shall receive terms and conditions of service subsequent to the signing of this Agreement less favourable than the terms and conditions of his/her service at that date.

CLAUSE 1- DURATION OF AGREEMENT:

(a) This Collective Bargaining Agreement commencing on 1st January, 2014 and shall remain in force for a period of two (2) years, to expire on 31s t December, 2015. Employees who benefited from the salary review will not benefit from the retrospective review of the remuneration.

(b) (i) Either party wishing to amend any clause in the Collective Bargaining Agreement (CBA) shall give the other three (3) month’s notice in writing prior to the expiry date of the agreement (CBA).

(ii) Discussions on the proposed amendments shall not commence later than three (3) months before the expiry date of this Collective Bargaining Agreement.

(iii) The Collective Bargaining Agreement will remain in force until reviewed or amended.

CLAUSE 2 - UNION MEMBERSHIP:

Both parties to this Collective Bargaining Agreement shall be committed to the harmonization of better working industrial relations between the employer and the employees.

CLAUSE 3 - CASUAL EMPLOYEE

The provision of the Employment Act 2007 shall apply.

CLAUSE 4 – PROBATION:

(a) A newly engaged employee shall serve a three (3) months probation period.

(b) During the probation period, either party may terminate employment by giving 7 days notice in writing or pay in lieu thereof.

(c ) On successful completion of probation an employee will be confirmed in appointment.

CLAUSE 5 – HOURS OF WORK:

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

(b) Normal eight (8) consecutive working hours, exclusive of meals time, shall constitute a working day.

(c) Normal hourly Rate Calculation:-

Basic Wage or Salary/Ave. Hrs Per month = Hourly Rate

CLAUSE 6 – WEEKLY REST DAYS/ PUBLIC HOLIDAYS:

(a) Each and every employee shall have one day rest per week with full pay.

(b) Any Gazetted holiday shall be a holiday with full pay.

(c) Where an employee works on a public holiday which is not his/her rest day he/she shall be paid overtime at double rate his/her hourly rate.

(d) Where an employee works on a public holiday, which is also his/her rest day, then he/she shall be paid for all hours worked at double rate plus one day off.

CLAUSE 7 - OVERTIME:

(a) Hours worked in excess of the normal working hours (45 hours per week,) shall be payable at one and half (1 ½) times the hourly rate.

Basic Wage / Salary/Av. Hrs per month X 1 ½ = 1 ½ Hourly Rate.

(b) Hours worked on weekly rest days and Gazetted Public Holidays, shall be payable at the rate of two (2) times the hourly rate. Overtime hourly rate calculation:-

Basic Wage or Salary/Av. Hrs per month X 2 = Double Hourly Rate.

CLAUSE 8 – ANNUAL LEAVE:

(a) All employees are entitled to 26 working days leave on completion of twelve (12) consecutive months of service.

(b) Where employment is terminated before the completion of twelve (12) consecutive months of service, the employee shall be entitled to pro-rated leave of 2.16 days for each completed month of service.

CLAUSE 9 – LEAVE TRAVELLING ALLOWANCE:

(a) An employee proceeding on leave, shall be entitled to 50% of the basic salary prior to the commencement of the leave period in respect of leave traveling allowance provided the annual leave taken is more than half leave entitlement.

(b) In the event of termination of an employee before the completion of twelve (12) consecutive months of service, leave traveling allowance shall be paid on prorated basis.

CLAUSE 10 – COMPASSIONATE LEAVE:

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

CLAUSE 11- MATERNITY LEAVE:

(a) Female employees shall be entitled to a three (3) months maternity leave with full pay.

(b) Female employee who have taken such maternity leave entitlements, shall not forfeit their Annual Leave due in that year.

(c) Male employees shall be entitled to 14 days paternity leave alongside (a) above with full pay.

CLAUSE 12 – MEDICAL BENEFITS:

The current medical treatment benefit shall be maintained.

CLAUSE 13 – SICK LEAVE:

After the probationary period an employee will be entitled to sick leave in every period of 12 months consecutive service as follows :-

(i) The first 90 days with full pay.

(ii) Thereafter 90 days with half pay.

(iii) Thereafter leave without pay.

Any staff claiming sick leave must produce a medical certificate signed by a qualified medical practitioner.

CLAUSE 14 – WARNINGS:

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

(a) The first warning shall be entered in the employees employment record and copies of the warnings shall be forwarded to the shopsteward of the union and that the warning shall be valid for 9 months.

(b) The 2nd and 3rd warning shall be copied to the shopsteward and branch secretary of his union.

(c) If an employee with three warnings commits a further default within 292 working days the employer shall be entitled to summarily dismiss him/her.

Provided that if an employee commits 292 working days from the date of the third warning without committing any further default any warning entered in his/her employment record shall be cancelled and cease to be valid.

CLAUSE 15 – SUSPENSION/INTERDICTION

The employer reserves the right to suspend with half pay an employee from employment upto a maximum of 14 days pending investigations into alleged misconduct or other offences. Should the employee be found innocent for the misconduct or other offence, s/he shall be reinstated forthwith and the recurring half pay shall be payable. Should the investigations reveal that an offence/misconduct has been confirmed the employee shall be summarily dismissed.

CLAUSE 16 - TERMINATION OF EMPLOYMENT:

(a) After completion of the probationary period, employment shall be terminated by either Party by giving written notice or by the payment of wages in lieu of notice as follows:-

(i) Employees having up to five (5) years continuous service one (1) month notice or pay in lieu.

(ii) Employees over five (5) years but less that 10 years continuous service two (2) months notice or pay in lieu.

(iii) Employees up to ten (10) years and above three (3) months notice or pay in lieu.

CLAUSE 17 - SUMMARY DISMISSAL:

The provisions of The Employment Act, 2007, Laws of Kenya shall apply.

CLAUSE 18 – ACTING ALLOWANCE:

Where an employee is required to work on a higher grade for 10 days and above s/he will be entitled to acting allowance at a rate not less than the difference between such higher basic minimum wage and his/her basic wage.

CLAUSE 19 – LEAVE FOR VACATIONAL AND UNION TRAINING:

Whenever union officials at plant level will be required to attend seminars or courses sponsored by the union; the union will seek prior permission to management by giving (7) seven days notice to enable management re-organize operations. Such permission will not be unreasonably withheld.

CLAUSE 20 - LONG SERVICE AWARD

With effect from the implementation of this Agreement (1st January 2012) all employees who are in the service of THE ACK GUEST HOUSE - NAIROBI and who have completed five (5) years or more will get one and for all payment as a long service allowance as follows:-

(i) 5 years - Kshs 400.00

(ii) 10 years - Kshs 450.00

(iii) 15 years - Kshs 490.00

(iv) 20 and above years - Kshs 510.00

CLAUSE 21 – RETIREMENT:

(a) An employee who has reached the age of 60 years may retire or be retired.

However, an employee may retire voluntarily at the age of 55 years.

(b) All employees shall be members of the pension scheme and shall be paid retirement benefits in accordance with the pension scheme rules.

(c) Retirement notice shall comply with the termination clause.

CLAUSE 22 – NIGHT TRANSPORT AND SHIFT ALLOWANCE:

The current practice at the workplace shall apply.

CLAUSE 23 - INJURY

The provision of the work Injury Benefits Act 2007 and amendment shall apply.

CLAUSE 24 – HOUSE ALLOWANCE:

The current practice on house allowance will be maintained.

CLAUSE 25 – GENERAL WAGE INCREASE:

All the unionisable employees in the service as at 31st December, 2013 shall be awarded a General Wage Increment of ten per cent (10%) for the first year period , and a further increment of ten per cent (10 %) for the seconded year period.

CLAUSE 26 – CERTIFICATE OF SERVICE:

At the termination of employment, the management shall give to the employee a CERTIFICATE OF SERVICE as prescribed in Section 51 of The Employment Act, 2007, Laws of Kenya.

CLAUSE 27 – DEATH OF AN EMPLOYEE:

In the event of the death of an employee, the employer will provide a casket and transport to his/her estate, or to the next of kin.

CLAUSE 28 – UNIFORMS AND PERSONAL PROTECTIVE EQUIPMENT:

(a) While recognizing that some jobs and grades do not need uniforms except where the nature of work to be performed requires it, the Management shall provide at all times appropriate uniform, not torn or tattered, two pairs of uniforms or protective clothing, including foot wear, which shall be worn and used during working hours.

(b) The final decision as to the job grade and type of uniform shall be the responsibility of management.

(c) The employer will arrange for maintenance of such uniforms according to the prevailing circumstances, provided that the employee shall be responsible for any loss or willful damage to the uniform and PPES.

SIGNED FOR AND ON BEHALF OF ACK GUEST HOUSE - NAIROBI

(1) NAME FRANCIS MUEKE

SIGN.................................................................

(2) NAME.................................................................

SIGN...................................................................

SIGNED FOR AND ON BEHALF OF THE UNION (KHAWU)

(1) SECRETARY GENERAL ..................................................

JOANNES OKOTCH

(2) BRANCH SECRETARY..................................................

JOSEPHAT A LWENYA

(3)CHAIRMAN …………………………….

KEFA A. NYAMWARO

WORKS COMMITTEES

IN THE PRESENCE OF :-

……………………………………………………..

ABISAI AMBENGE

SENIOR EXECUTIVE OFFICER

FEDERATION OF KENYA EMPLOYERS

DATED …………THIS DAY OF …………2014

The Ack Guest House - Nairobi - 2014

Start date: → 2014-01-01
End date: → 2015-12-31
Ratified by: → Other
Ratified on: → 2014-01-01
Name industry: → Hospitality, catering, tourism
Name industry: → Hotels and similar accommodation
Public/private sector: → In the private sector
Concluded by:
Name company: → The Ack Guest House - Nairobi
Names trade unions: → Kenya Hotels and Allied Workers Union

SICKNESS AND DISABILITY

Maximum for sickness pay (for 6 months): → 75 %
Maximum days for paid sickness leave: → 180 days
Provisions regarding return to work after long-term illness, e.g. cancer treatment: → No
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: → No
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: → No
Provisions about temporary workers: → No
Apprentices excluded from any provision: → No
Minijobs/student jobs excluded from any provision: → No

WORKING HOURS, SCHEDULES AND HOLIDAYS

Working hours per day: → 8.0
Working days per week: → 6.0
Paid annual leave: → 26.0 days
Paid annual leave: →  weeks
Rest period of at least one day per week agreed: → Yes
Paid leave for trade union activities: →  days
Provisions on flexible work arrangements: → No

WAGES

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

Wage increase

Wage increase: → 10.0 %
Wage increase starts: → 2013-12

Once only extra payment

Once only extra payment due to company performance: → No

Premium for evening or night work

Premium for night work only: → Yes

Extra payment for annual leave

Extra payment for annual leave: → 50.0 % of basic wage

Premium for overtime work

Premium for overtime work: → 150 % of basic wage

Allowance for seniority

Allowance for seniority: → KES 400.0 per month
Allowance for seniority after: → 5 years of service

Meal vouchers

Meal allowances provided: → No
Free legal assistance: → No
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