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CONSERVATION, HOTELS, DOMESTIC AND SOCIAL SERVICES UNION (CHODAWU) LSG SKY CHEFS- BRANCH AND THE MANAGEMENT OF LSG SKY CHEFS - 2014

1. INTRODUCTION:

We the conservation, Hotels, Domestic, Social Services and Consultancy Workers Union, (CHODAWU) referred to hereinafter as "the Union" and the management of LSG Sky Chefs referred to hereinafter as “the employer”, certify by words and signatures that we have willingly "agreed on the following in this collective bargaining contract:

2. RECOGNITION:

2.1 The management recognizes CHODAWU, (the union) as the workplace representatives, representing the entire staff of LSG Sky Chefs LTD

2.2 CHODAWU on the other hand, recognizes LSG Sky Chefs as the only employer who has the authority to employ, instruct and lead all employee's of LSG Sky Chefs.

3. COVERAGE:

3.1 This contract covers all Union members and is extended to non members, employed by LSG Sky Chefs LTD.

3.2 This contract does not cover the employees who are employed as, temporary contract, and senior management employees The senior management can be members and contribute to the Union, but shall not be part of the bargaining unit.

4. EFFECTIVE DATEANDDURABILITY OF THIS CONTRACT:

4.1 Both Parties agree that this contract starts effective 01April 2014, and will last up to 31 March 2016 Any party that wishes to change any of the contents of this contract must give the counter part one month prior notice and the reasoning behind. The proposed change(s) will be subject to discussion between the Parties to this contract.

4.2 These changes will be amended upon renewal of this contract.

4.3 The contract will expire upon substitution by new contract properly signed by both parties and registered by the Labour court, otherwise it will be respected.

4 4 It was agreed that all future contracts will start from the 01 April of any given year.

5. EMPLOYMENT STATUS:

5.1Employees of LSG Sky Chefs will be paid on permanent basis after the probation period.

An employee will be on probation for three months before permanent.

5.2 Temporary employment shall not last more than three months of employment and should only be for emergency situations. Those on fixed term contract, hired for specific assignment requiring special skills are not subject to this provision. The duration and end of their assignment depends on the pre-agreed commencement and expiry dates.

5.3 Staff that are promoted will be on a probationary period for three months. On completion of the probationary period the promoted staff will be evaluated by Management and if successful they will be entitled to a salary review. If the promoted person does not successfully complete the probationary period, then he/she will be reinstated back to his/her previous position.

6. ACTING ALLOWANCE

6.1 When an employee is required to temporarily act in a position different to his job

description, an acting allowance will be payable as per Managements discretion, provided that the Employee takes total responsibility for the post over a period of not less than ten (10) days. This arrangement should be agreed upon in writing between the Employer and Employeein advance.

7. TERMINATION

7.1In any event of termination, the following should be considered:

Time in employment:....Termination Notice:....Payment in Lieu of notice

- Six month and above ..Two month................Two months

7.2 Terminated staff will be entitled to receive the following benefits:

a. One month salary for every completed year in service.

b. Transport of his/her family (him/her, wife, Husband and four children under twenty one years of age provided they are still at school, recognized by the employer, to the domicile.

c. Transport of belongings not more than five tons.

d. Other statutory terminal benefits as prescribed by law.

7.3 An employee wishes to stop his / her employment will follow the terms as per CAP 7.1 of this contract.

8. RETRENCHMENT

8.1Both sides agree on punctuality and responsibility of restricting existing workforce to retrenchments.

8.2 Retrenchment should take place after the management of LSG Sky Chefs consults the CHODAWU branch and regional level for solution other than retrenchment.

8.3 If the solution as in CAP 8.2 fails, the FILO system (first in last out) shall be applied

8.4 Retrenched employees shall receive first preference should a position become vacant within the two years of retrenchment.

8 5 The retrenched employees will be paid as follows -

a. One month salary for every completed year in service.

b. Transport of his/her family (him/her, wife, Husband and four children under twenty one years of age provided they are still at school, recognized by the employer, to the domicile.

c. Transport of belongings not more than five tons.

d. Other statutory terminal benefits as prescribed by law.

9. SALARY AND SALARY INCREMENT

Both Parties have agreed Tsh 1500,000 ( one million and five hundred thousand as the minimum wages for the next two years 

9 1 Salaries for all other employees will be upgraded based on such factors as: positions held in the organization, number of years in service, performance rating and qualification. Therefore, the exact percentage increase for each Staff will depend on the above factors.

9.2 Salary increase will be once in two years time and will commence on the 1 April of each year

9.3 All future increments will depend on the employer's business performance and Country’s economic performance, e.g. inflationary rates. Should the official inflation of April 2014 be above 9%, Management undertakes to do a salary adjustment to counter the effect of this (ie If the inflation rate will be 11%, the management will give a difference of 3% on the 01 April, 2015. If the inflation rate will be below 9%, no increase will be given on the 01 April, 2015.

9.4 Bonus may be paid to employees based on company's business and individual performance at the end of each year after management and union consultation.

9.5 Service charge 5% of monthly sales of company will be distributed equally to all employees on 15th of the month

10. WORKING TIME

10.1 LSG Sky Chefs operation has seven working days per week. Working hours per week is forty hours only. It was agreed that Management should implement this without increasing the current manpower structure. Holidays and public holidays recognized by the government will be off days.

10.2 Extra time exceeding forty hours per week will be compensated with equal time off or payments depending on agreement between employee and Supervisor. Payments will be calculated as follows:

Working days:

Holiday as per CAP 10.1 in this contract

The law restrictions will be applicable in terms of excessive overtime. 

10.3 Both sides agree to create strategies for the good result of the company LSG Sky Chefs and give training to the employees on economical strategy and their responsibility to boost the company's income.

10.4 We agree that competent staff can create goals on implementation and come up with ■ acceptable business plans.

10.5 Night Work Allowance: An Employee shall be paid 25% of his/her per hourly wage for each hour worked at night between 20h00 and 06h00.

11 RETIREMENET

'We agree that the retirement age will be sixty years (60). An Employee who has been diagnosed unfit for work by the Company Physician recognized by the Government will be categorized as being terminally ill and therefore will qualify for Early Retirement

An employee ready for retirement has the right to receive six months notice in writing.

12 GRATUITY

12.1 An employee retiring according to CAP 11.0. will be paid thirty percent (30%) of His/ Her annual salary of his/her retiring year in service.

12.2 Retired staff will be paid all his statutory terminal benefits together with transport as outlined here below:

a. One month salary for every completed year in service.

b. Transport of his/her family (him/her, wife, Husband and four children under twenty one years of age recognized by the employer, provided they are school going, to the domicile.

c. Transport of belongings not more than five tons.

d. Other statutory terminal benefits as prescribed by law.

13 ANNUAL LEAVE:

On employment of twelve months, an employee is entitled to have thirty two consecutive days paid leave (32). Any retained leave will result from an employee written request to the management and accepted or request from the management due to workforce.

13.1 An Employee going on annual leave will be entitled to the following benefits:

a. He/she will be paid One month basic salary.

b. He/she will be paid transport assistance for his/her Wife/Husband together with four children under twenty one years of age, provided they are School going.

c. The employee is bound to submit the receipts for the amount of leave travel fare within one month period from the date of return from leave.

14 COMPASSIONATE LEAVE:

• We agree that paid compassionate leave of 7 days will be granted to an employee resulting from sickness of a child or spouse, bereaved by child/ father / mother / sister /brother/ wife / husband and Grand parents.

14.1On birth of a child, legal Father, proof should be submitted to the management.

14.2 The employee shall bring in the confirmation to management within or immediately after the incidence.

15. OCCUPATIONAL HEALTH AND SAFETY

15.1 Employee of LSG Sky Chefs will undergo medical check up before employment by the physician recognized by the employer. The employer will carry medical attention to family of the employees consisting of the employee, wife/husband/ children under twenty one years of age provided they are school going and dependant, recognized by employer.

The employee shall attend medical affairs (treatments) at the Hospital under contract with the employer upon presentation of employer’s sick sheet or medical identity issued by the Hospital on employers request. The employer has the right to carry out medical check ups any time to its staffs on his/her decision.

15.2 The employer will provide equipment to the employees depending on working environments (needs of his/her work)

15.3 The employer will provide uniform. The uniforms shall be provided annually and each employee shall receive pairs of the uniform depending on department heads proposals.

15.4 The employer in consultation with the Union shall make arrangement for checking work place environments on routine basis. This will prevent and or minimize any hazards at work place.

15.5a The employer shall avail insurance scheme to its employees. Also insurance training should be established to all employees by the insurance company under contract with LSG Sky Chefs.

15.5b In case of injury on duty the injured person will attend medical treatment until recovery and paid salary payable by insurance or NSSF.

15.6 HIV AIDS

The Tanzanian Government has announced HIV / AIDS as a National major problem disease and the government had warned everybody to be aware of the disease, which does not have a cure. We LSG SKY CHEFS Dar Es Salaam Unit and CHODAWU and other non government organization together we join the government to fight on the disease so as to improve our production and prolong staffs and their family life of those who are effected with the disease. In order to achieve that CHODAWU and LSG SKY CHEFS Management we agree that:

l. We shall advise staff members to check their health always.

2. Staff who is able to reveal their HIV status will be provided with TSH. 500,000/- to help them sustain their condition. This provision will be used by the Employee to empower themselves in terms of increasing the understanding of their status therefore encouraging their fellow workers.

1. The Employer will assist to link the Infected Employee together with his/her spouse and children to a NGO to provide the necessary support and guidance.

2. There will be no staff who will be discriminated against due to their infected status, The infected staff will continue working until they are certified unfit to work by the Company Physician.

3. In any circumstance where HIV/AIDS Virus infects an employee of LSG Sky Chefs, the company will not terminate this employee until the employee is incapable to perform his/her responsibility. At that point the employer will consider the said employee for early retirement and pay the employee terminal benefits as per CAP

12.1 and 12.2.

16. SICK LEAVE

Sick leave will be granted depending on company physician advises and will be as follows First Three months: Full monthly salary and Next Three months: Half monthly salary

16.1 After six months as in CAP 12.0. of this contract if the employee has not recovered then this staff member will be considered as retiring from service and will be entitled to retirement payments as per company policy and the physicians advise.

17. MATERNITY LEAVE

Maternity leave of eighty four days for a single child and one hundred days for more than one child will be of full payment and will be provided before or after delivery depending on the company physician, once in 3 years and maximum of 4 maternity leave with one employer.

17.1 After delivery, the delivered employee will be working for six hours for a period of 30 days to facilitate feeding and close care of the new born.

17.2 A male employee will be entitled to 3 days paternity leave upon the birth of a Child. The days should be taken within seven days of the delivery or otherwise if agreed with Management for business operational reasons.

18. CHODAWU CONTRIBUTION

We have agreed that all the CHODAWU Contribution deducted from its member and union service charges dedacted 2% of basic salary from non members will be submitted at the end of month to the general secretary as follows:-

90% to the general secretary

5% to the branch secretary,

5% to Trade Union Congress of Tanzania (TUCTA),

19. LOANS:

The employer will grant to the employees loans whenever possible according to availability of funds, to help the employees in the following:

o School fees

o Home rebuilding after a disaster

o Home improvement.

o The employer may facilitate bank credit schemes in favour of Employees assuring repayment by monthly installments and channeling the final benefits through the bank if any for settling of any loan balances.

19.1 The loan amount is subject to approval by the General Manager.

19.2 The maximum time frame for the loan repayment will be twelve months (12). The loan amount shall not exceed three times the Employees monthly remuneration.

19.3 Both Parties agree that this current practice will be replaced by Staff owned scheme known as Savings and Credit Cooperative Society (SACOS). However, it has mutually been agreed that the practice will remain applicable until the proposed SACOS is fully established and running.

20. MEALS:

20.1Meals will be provided by the employer free of charge.

20.2 The Management will explore the possibility of providing suitable fruits and cold beverages aside from water whenever possible.

21. GRIEVANCE / CONFLICTS PROCEDURE:

21.1 Any dispute may happen at work place between the employer and employee. Such disputes will be executed in accordance to the provisions of Employment and labour relations act number 6 of 2004, code of good practice.

22. THE UNION:

22.1 The employer will provide the Trade Union access to office facilities as per laws CAP 8 (c) chapter 574.

22.2 The trade union representatives together with heads of departments will select the best worker from each department and an overall winner will be voted by the entire staff and the best worker will represent the company at the May Day venue.

22.3 The over all winners will be awarded with TSH 2 000,000 (In words; Two million shillings only) by the guest of honor at the May Day venue while the rest will be awarded with Tshs 1000,000/- (In words; One million only) each, on special occasion planned by the employer.

22.4 The Employer and the Union will select three names of best workers of trade union branch committee, and thereafter the general workers meeting will vote and announce one of the three to be the best “Trade Unionist" of the year. The Employer will award the Winner TZS 1000, 000.00 (In words, One million only).

23. LONG SERVICE AWARD:

The employer will award the Employee for five consecutive years of service as follows:-

1. Employees one months basic salary

2. Wall clock

The employer will award the Employee for ten consecutive years of service as follows:-

1. Employees two months basic salary

2. Wall clock

The employer will award the Employee for fifteen consecutive years of service as follows;-

1. Employees three months basic salary

2. Wall clock.

The employer will award the Employee for twenty consecutive years of service as follows:-

1. Employees four months basic salary

2. Wall clock.

The employer will award the employee for twenty five consecutive years of service as follows

1 Employees five months basic salary

2 Wall clock

24 LIFE INSURANCE

Both management and CHODAWU believe in the importance of having in place a cover to employee in case of unforeseen incident which may result to death of employee at work or else where while in the employment of the company It is agreed that management and CHODAWU

will organized life insurance cover for all employees which will be contributed for by both • employee and employer on monthly basis

25. DEATH / FUNERAL:-

We agree that on an employees death, the employer will provide with Coffin/ shroud/ wreath of flowers and meet all other expenses together with transportation of the body to domicile, Also an employer and union will select four employees to represent the company in funeral ceremony if they said the ceremony is out of Dar es salaam regional and if ceremony is within Dar es salaam regional employer will organize transport for the staff to attend funeral ceremony Employer will award condolence of Tanzania shillings 2,000,000/- to the latte’s family

The employer should also provide the following:

a. Transport for family he/her and parents to domicile.

b. Transport of belongings to domicile

c. Pay all other terminal benefits as per retired employee.

24.1 Should a spouse, die a condolence of Tanzania shillings 500,000/- will be paid by the Company and Tanzania shillings 2,000,000/- payable by insurance.

24.2 Should a Child die a condolence of Tanzania shillings 500,000/- will be paid by the Company and Tanzania shillings 2,000,000/- payable by insurance

24.3 Should an Employees Parent die a condolence of Tanzania shillings 2000,000/- will be paid to employee by the Company

24.4 In case employee bereaved by parents, spouse or child out of Dar es salaam the employer and union will select two employee to represent the company to the place of funeral ceremony and if the funeral within the Dar es salaam regional Employer will organize transport for staff will attend funeral ceremony 

MARRIAGES

25.1 In case of marriages the company will contribute a wedding cake for its employee.

26. STAFF TRAVEL

26.1 If an employee has to attend or represent the company on meeting, sports, seminar, and training, Labour court, etc outside the airport parameters the management will pay the costs involved as per Company policy and an out of station allowance of TZS 80,000.00 for local travels and USD 100 for international travel. This is subject to changes as per

Company policy changes.

27. DISCIPLINARY PROCEDURE

27.1 The Employer and the Union recognizes that a disciplinary procedure is essential for the conduct of the Company's affairs and for the safety and well-being of all members of staff, and the public. Disciplinary procedures help to promote fairness and order in the treatment of individuals and in the conduct of industrial relations.

27.2 The key principle underlying this disciplinary code is that Employer and Employees should treat one another with mutual respect. It places a premium on both employment justice and efficient operation of the business.

27.3 While Employees should be protected from arbitrary or other unfair actions, the Employer is entitled to satisfactory conduct and work performance from the Employees. The procedure is therefore intended to operate in cases where it is alleged that the conduct or behavior of a member of staff falls below acceptable standards.

27.4 All disciplinary measure should be taken in line with the code of good practice on Disciplinary Procedures from the section 99 of the Employment and Labour Relations Act of 2004 and incorporates the Cardinal principles of natural justice. They also reflect to overall Company's Human Resources policy.

27.5 The Company recognizes the role, purpose, and rights of staff Trade Unions in the

disciplinary process. 

27.6 Any disciplinary sanction beyond verbal warning/ reprimand and counseling should be done having given the opportunity to the employee to make his representation. For example, before issuing a written warning employee should be informed of the reasons and have time to defend himself assisted by a representative.

27.7 Repeated written warnings on the same misconduct and or such serious misconducts that may warrant final written warning or termination or dismissal should be preceded by formal hearing chaired by Senior Manager.

27.8 Any decision made on the disciplinary process should be based on both procedural and substantive fairness. The employee will have the right of appeal when aggrieved by any decision to the higher level of Management and or any other labour tribunals as per ELRA provisions

28. APPLICATION

28.1 The provisions of this contract are applicable and binding to all Employees of LSG Sky Chefs covered herein as per section 3 sub sections 3.1.

28.2 Should there be any conflicting provision with any other agreements between Employees and the Employer including those in the employees’ contracts of employment, the terms of this agreement shall supersede all other prior agreements.

28.3 If any one of the aforementioned clauses of this agreement are deemed invalid or unenforceable, this shall not affect the rest of the provisions, and the clause thus deemed invalid or unenforceable shall be interpreted in a manner which reflects as closely as possible the intentions expressed by the parties in the relevant clause.

28.4 The terms set out in the Basic Conditions of the Tanzanian Employment and Labour Relations Act of 2004, will be complied with, in respect of any matter not expressly provided for in this contract of employment or may have been unforeseen and supersede any clause that would be found to conflict with the provisions of the law of the country.

On behalf of LSG Sky Chefs management.

General ManagerGeneral Manager

LSG - Dar es salaam, TanzaniaLSG - Sub Saharan Africa.

Human Resources Director LSG Sub Saharan AfricaHuman Resources Manager LSG - Dar es salaam, Tanzania.

On behalf of Conservation, Hotel, Domestic and Allied Workers Union

Union Branch Chairman or Secretary CHODAWU

•General Secretary CHODAWU - Head Office

TZA LSG Sky Chefs - 2014

Start date: → 2014-04-01
End date: → 2016-03-31
Ratified by: → Ministry
Ratified on: → 2014-04-01
Name industry: → Hospitality, catering, tourism
Name industry: → Other food service activities
Public/private sector: → In the private sector
Concluded by:
Name company: →  LSG Sky Chefs
Names trade unions: →  Conservation, Hotel, Domestic and Allied Workers’ Union (CHODAWU)

TRAINING

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

SICKNESS AND DISABILITY

Maximum for sickness pay (for 6 months): → 75 %
Maximum days for paid sickness leave: → 60 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: → No

WORK AND FAMILY ARRANGEMENTS

Maternity paid leave: → 12 weeks
Maternity paid leave restricted to 100 % of basic wage
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: → Yes
Paid leave per year in case of caring for relatives: → 7 days
Paternity paid leave: → 3 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: → 40.0
Paid annual leave: → 32.0 days
Paid annual leave: → 4.0 weeks
Provisions on flexible work arrangements: → 

WAGES

Wages determined by means of pay scales: → No
Provision that minimum wages set by the government have to be respected: → No
Agreed lowest wage per: → Months
Lowest wage: → TZS 1500000.0
Adjustment for rising costs of living: → 

Wage increase

Wage increase: → 9.0 %
Wage increase starts: → 2015-04

Once only extra payment

Once only extra payment due to company performance: → Yes

Premium for evening or night work

Premium for evening or night work: → 25 % of basic wage
Premium for night work only: → Yes

Extra payment for annual leave

Allowance for seniority

Allowance for seniority after: → 5 years of service

Meal vouchers

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