We, Tanzania Mines,Energy,Construction And Allied Workers Union (TAMICO) ,hereafter referred to as the Union and Tanzaniteone mining ltd the Employer do hereby confirm that, on our own will and mutual understanding between us, have reached an agreement on the following areas of service and employment.


a) Tanzania Mines,Energy,Construction And Allied Workers Union (TAMICO) recognizes and respect Tanzaniteone mining Ltd as the Employer of all workers of Tanzaniteone and has a responsibility to improve safety and occupational health, sustainable productivity, harmony in workplace and better working condition to all workers.

b) Simirarly, the Employer, Tanzaniteone mining LTD, respect TAMICO as the sole workers trade Union representing their interests in any matter concerning Terms and Conditions of Employment on site and responsible for workers compliance to terms and conditions of employment in respect of this Agreement and Labour Laws and law of the land.


a) All rights and privileges contained in this agreement shall apply to all Employee of Tanzaniteone mining Limited employed below the HOD,who falls within the Bargaining Unit as per recognition agreement.

b) Each individual member of TAMICO is responsible for the contents of this agreement entered on her/his behalf by TAMICO Officials.

c) This agreement shall not apply to Expert employees and members of Management Staff responsible for making policy on behalf of employers ( HOD)


TANZANITEONE Management recognizes the right for every employee to join the Tanzania Mines,Energy,Construction And Allied Workers Union (TAMICO) .The Management also recognizes the Union right to run its own affairs in accordance with its constitution and to work for improved condition of employment for its members. In so doing the Union shall comply with the terms of this agreement and other obligations imposed by Labour law.


TAMICO membership is voluntary and no any Employee Employed by TANZANITEONE shall be forced to join or participate in the Union activities. The prescibed form no. 6, dully filled by the employee shall be taken as valid declaration of an Employee to join the union.



The parties to this agreement identifies the legal responsibility of a recognized trade Union to fairly represent all employees within the recognized bargaining unit[(under S.72(2) & (4) of ERLA, 2004 read together with Rule: 57 & 58 Code of Good Practice]. Accordingly, the parties agree that all TANZANITEONE Employees who are within the Bargaining Unit but are not Union members shall pay an agency shop fee to the Union. The Employer shall be responsible for deduction of agency shop fee every month and pay the Union.

a) An agency fee deducted from the the remuneration of a non-Union member shall be equivalent (in percentage) to Union dues deducted by TANZANITEONE from the remuneration of a Union members to avoid conflict and maintain harmony.

b) The amount so deducted from non-union members shall be remited to the Union Branch Bank account in the manner stipulated Under section 72(3)(d) of ELRA and Rule 58(2)(a) of Code of Good Practice.


Workers day shall be respected. The worker shall be represented during the climax of such celebrations from every department. The Union and management shall meet to discuss the selection/nomination of best workers in all categories under agreed criterias, the nomination process shall be fair and transparent. The workers attending May Day preparations meetings and climax shall be deemed to be on company business trip.

The company management shall be represented by a person(s) of their choice and such a person shall read the group in corraboration with Union leaders to maintain security and discipline. Transport shall be offered by the company to the district or Region and venues of the event.

The best workers shall be awarded by the company as per set out category and value.


The parties hereby acknowledge the needs to increase the parcentage of women in the workplace. An environment should be created that facilitates the employment of women and which seeks to remove obstacles to their employment.Measures shall be taken to ensure that the special needs of female empoyees are taken into account in reation to Pregnancy, breastfeeding and reproductive health, through minimizing exposure to hazards. The company shall develop a policy on above areas of women concerns including sexual harrasment and ensure the policy is implimented.


A. Pre-Employment Medical Examination

A. All employees will be required to undergo a pre-employment medical at the Government hospitals or at any other medical facility as instructed by and at the cost of the Company. All employees need to be fit for work.

B. the Company reserves the right to refuse employment to any employee who fails the pre-employment medical examination.


i/ Every employee will be given a copy of their contract of employment and shall have enough time to read and understand its contents before signing such contract.

ii/ Every employee will sign his/her offer of contract of employment acknowledging that he/she has read, understood and accepts the appointment in accordance with the terms and conditions detailed in the contract.

Point of Recruitment

The Company will register the employee’s point of hire at the time of their engagement.The contract of employment shall state the place of recruitment that shall be the place where the employee is coming from before employed and not the village where the company/tanzanite one is found.

Place of Domicile

All Employees will register with the Company their place of domicile upon commencement of his / her employment


The Company shall provide employees with transport to and from work . And such transport shall be reliable and shall not abuse the employee’s time to have sufficient rest.

Nomination of Next of Kin (Beneficiary)

All employees shall at the time of their engagement provide the name and address of the nominee whom they wish to receive any outstanding salary payments or benefits due to the employee in the event of death or total incapacity.

All employees will have the right to change the name of their Next of Kin and such changes must be provided to the Company on the appropriate forms.

Registration of Dependants

Dependants will be deemed to be one legal nominated spouse, five dependant children below 18 years of age. Dependent children shall mean children over whom the Employee has legal guardianship and who are under 18 and rely on the employee for financial support. Dependents between the ages of 18 to 26 in full time accredited study are eligible for registration, subject to proof of full time study.

All employees will register their dependants upon commencement of employment. Updating details as dependent details change is the responsibility of the employee.

All employees shall provide the Company with proof of their registered dependants.

Probation Period

The probation period will be the first three months of employment for newly recruited employees and during that period the performance of the employee shall be monitored and reviewed. At the end of the probationary period and employee shall be notified in writing whether or not he/she will be confirmed to the appointment.

Where there is doubt about the employee’s suitability and capability, the Company reserves the right to extend the probationary period for a further period, which will be decided by the relevant departmental manager. This decision will be communicated to the concerned employee in writing, but the same shall not exceed six months. No employee shall serve more than under probation period.


For safety reasons and in the interests of the employees The Company shall require employees to undergo a periodic medical examination. Refusal to undergo a medical examination may result in disciplinary action. This shall be done after every two years.


Employees shall undergo a post employment medical examination at the end of their employment. Should a medical condition be diagnosed during a post employment medical examination, the employee will receive treatment in line with the medical insurance and other benefits as per this agreement.

The Company shall provide medical cover for work related injuries and illness subject to this agreement and occupation and safety Act.

The Company shall pay for all the above medical examinations

Relocation Expenses

The Company shall bear the costs of repatriating all departing employees from site to their place of domicile. Only departing employees who have registered their dependants (maximum 1 spouse and 5 Children) will be entitled to receive payment in lieu of transportation costs for the registered dependants who are travelling with them.

The company shall bear the cost for transporting the employee’s belongings not exceeding 7 tons to his place of domicile.

For the purpose of transportation of the employee, his family and belongings, the rate of pay shall be reviewed from time to time in consideration of the current market prices.


The parties agree to give reasonable and equal support to all pension organizations with members on site to operate smoothly and offer benefits to their members, the workers.


The Company’s organizational structure determines the job levels and number of jobs required to operate the business.

Job level determination

The job level for all jobs in the Company structure is determined by using the Hay Method of job evaluation.

Determination of Rates of Pay

Salary structures are determined from skills, experience in work and job level and are expressed in legal tender monthly.

The Salaries expressed in legal tender per month includes: Basic Pay, and the following where applicable; Transport allowances, risk allowances , overtime, Housing Allowances, Medical Allowances, Annual leave transport allowance standby allowance and Underground allowance. The Contract of Employment will stipulate an employee’s base salary and all applicable allowances.

The Company reviews its pay rates annually and any adjustments are dependent on the Company’s business performance, employee’s work performance, labour market conditions and the economic situation, e.g. inflation rate in Tanzania.


The parties agree that there should be no unfair discrimination in the payment of bonuses and allowances and where it does exist, it should be identified and eliminated.

The employer shall pay all TANZANITE ONE Employees the following allowance in monthly basis.

Housing Allowances, Medical Allowances, Annual leave transport allowance standby allowance underground allowance risk allowances and transport allowances. The Contract of Employment will stipulate an employee’s base salary and all applicable allowances. All allowances shall be reviewed from time to time in terms of PERCENTAGES to catch up economical changes within the land and the mining sector market and shall further be an attracting fringe benefit to keep employees from leaving TANZANITEONE.


The parties agree that the safety and production bonus shall be exercised to promote safe work altitude as well as increased productivity by recognizing the individual and group performances in safety and production in relation to cost.


The Company may pay a periodic bonus to employees subject to the achievement of set targets. Reasonable Targets will be established by Management and communicated to the Union on a regular basis. The bonus scheme will be reviewed on a regular basis by Management and the Union in line with operational requirements.

These bonuses will not subject to taxation in line with Tanzanian tax legislation as well as NSSF deductions.


The parties agree that safety is a shared responsibility and that every individual employee shall be responsible for his own safety, safety of fellow employees and the equipment.

Further, the parties agree that the company shall award safety achievements to all TANZANITEONE and contractors employee who were at work on a given period of three months.


Employees will be required to work in accordance with the roster stipulated by the Company and labour law.

If an employee works on a roistered day off they will be paid overtime at a rate of 3 times of their normal hourly rate per hour worked.

When an employee returns from roistered time off his/her new working roster cycle will commence with effect from his/her first shift back. Roistered time off is exclusive from annual leave.

The Company in consultation of the Union {TAMICO} alters or amend rosters based on the needs of the business or to adhere to legal standards as defined by the relevant legislation(s). Details of rosters will be communicated to Employees by Departmental Manager.



Employees will be required to work on daily shift of 9 hours which are considered to be working hours. The exceeding hours shall be paid as overtime as described under the labour law.

All employees will be required to clock in at 08.00hrs their designated clocking point when they start their shift and clock off at 16.00hrs the end of their shift. The working days shall start from Monday to Friday in a week circle.


Due to the nature of company activities any standby employee will be paid standby allowances and two day off which shall start from Thursday. The reason behind is that this employee start his or her duties Monday to Monday for 24 hours and then continues up to Wednesday which is more than seven days as in the law of the land.


Employer will provide meal to all workers. The meal must be taken at an appropriate time to ensure the continuous operation is not disrupted.

A midday / mid-shift meal shall be provided by the company.



The Company shall provide, a mid-month advance on or around the 15th of the month, of up to 40 % of the employee’s monthly basic pay and that amount is then deducted from his or her gross pay at the end of the month. The locally available banking facilities shall be used to pay the mid month paid into the employee’s bank accounts.


Annual Salary adjustment shall be discussed between the Union and Management in accordance to recognition agreement


Public Holidays

A. All employees will be advised by the Company of Public Holidays gazetted each calendar year.

B. No employee shall be forced to work on public holidays but as per operational requirements certain employees will be required to work on Public Holidays and shall be paid at the rate of 3times of the basic wage for each hours worked on that day even if their rosters shows they are supposed to work.


The Company will pay, on application and subject to appropriate management approval, payments as per diem to employees who are away from the mine on Company related business and/or medical referrals for work related injuries or illness. The rules pertaining to this are stipulated in the per diem policy. Such Payments should be reviewed annually and shall be equal to all irrespective of positions.


An employee who is required to act for and carry out the majority or all duties and responsibilities of a supervisor level job for a consecutive period of more than 20 days, shall be paid an Acting in Higher Payment of 15% of the employee’s rate of pay for the days that he/she acts in the job. The departmental manager will approve payment of acting allowance. Where the position of a senior officer of a given section within a department is not filled immediately, the person carrying out his/her responsibility shall automatically qualify for acting allowance without appointment.


When employee pass away /died the company/employer shall bear the following cost

{a}Provide or pay for the coffin and its accessories.

{b}Provide condolence of Tsh 1,000,000/= to the employee family.

{c}The employer shall transport the body to the place of domicile and

{d}Four employee should represent the company at the funeral.


An employee shall be entitled to assistance in the event of the death of their spouse or dependent children or PARENTS. On presentation of official documentation to that effect, the Company will provide the Compassionate Payment of Tsh 800,000/= to the employee.

In order to attend funeral spouse,employer should grant a 10days leave to employee which are not deducted from annual leave.


Employee Training and Development

The Parties agreed that Training and Development Department is accountable for determining both Company and employee training and development needs and for establishing standards for training programs in order to support its business needs and to developing world-class competencies in all employees.

Succession Plan

The parties agree that the Succession and localization programmes is a legal necessity to empower Tanzanians to hold top positions in the industry and that it is time to asses the success of the plan and address the challenges. Fringe benefits an d better salary packages must be put in place to attract attention and participation of Nationals in holding top positions.


Annual Leave

Employee will be afforded 36 paid calendar days leave as per annum An employee’s annual leave will be scheduled by each Department .

When proceeding on annual leave, Tanzanian employees shall be provided with an annual leave travel allowance of Tsh.1,000, 000/=, paid at the end of month with the payroll and such allowance shall be reviewed from time annually to suit the current economic environment.

Sick Leave

Paid sick leave shall be granted by the Company to any employee subject to him/her providing proof [medical certificate] from government hospital or an appropriate medical practitioner acceptable to the employer.

Sick leave benefits per leave cycle (36 months as per ELRA) are as shown below:

A period of 90 days paid sick leave shall be granted to employees on full pay and 36 days half pay per laeve circle.

Period of Absence Paid Sick Leave
The First 90 days

The second 36 days

Full wage (monthly salary without O/T)

Half wage (monthly salary without O/T)

C. In case of employee’s failure to return to his/her normal work due to illness the Management shall consult the Union for alternative job or termination process.

Compassionate Leave

An Employee shall be entitled to 10 days paid compassionate leave per leave cycle (36 months as per this agreement) for sickness or death of an employee’s child, spouse, parent, grandparent, grandchild or sibling. Documented proof must be provided prior to the payment of the compassionate leave.

Maternity Leave

A female employee shall give notice of her intention to take paid maternity leave at least three (3) months before the expected date of birth. The employee must be seen by a specialist doctor, approved by the TANZANITEONE Medical Clinic, for official confirmation of the pending birth. Paid maternity leave shall be 100 days and 110 days per leave cycle 36 months, and if an employee gives birth to more than one child.

Family Responsibility leave

A female employee may take 5 days paid family leave per annum for the first two years after the birth of her child. The purposes of this are to deal with the sickness of the child and the employee should provide the employer with reasonable proof of an event for which leave was required.

Paternity Leave

A male employee shall be entitled to 7 days paid paternity leave per leave cycle (36 months as per this agreement) if the leave is taken within seven days of the birth of the child and upon submission of proof that the employee is the father of the child.


Lay-off measures shall be taken when it is inevitable and the employer shall consult and discussed with TAMICO the appropriate way to do so. During the event of lay-off, the company shall continue to pay all workers their salaries and all other benefits as if they are on duty. The Union leaders shall be transferred to the operating sections till such times their section comes to full operations.


Medical Insurance Cover for Employees and Registered Dependents

All employees and their registered dependants (1 spouse and a maximum of 5 dependent children) will be provided with a medical insurance benefit.

Medical Referrals on injury or illness

Work Related Injuries

All medical referrals must be initiated by the government ,registered Medical Clinic or other recognized and authorized medical facility. The travel for medical treatment will be considered business travel. Therefore any reasonable out-of-pocket expenses incurred by the employee for accommodation, meals and travel whilst on medication on work related injury or illness will be covered by the company. The Company’s Medical Insurance Plan may change from time to time. The Company policy on occupational injury and illness subject to occupational and heath safety act shall be adhered to.

Work related illness

The company shall make a policy to cater for all occupational illnesses and the manner employee shall taken care of medical while at work, alternative jobs if recommended .

Medical Incapacitation

The company shall make reasonable endeavours to provide appropriate rehabilitation programmes direct towards restirring the physical, mental and social well being of its employee who have been medical incapacitated and who are unable to perform their normal work due to occupational diseases or injuries sustained on duty.

The company shall further endeavour to identify suitable alternative work for it medical incapacitated employees and relevant information in this regard should be disclosed to the employee and TAMICO. Also the Company shall find alternative employment

If the cause of incapacity is due to the employment related and is incurable disease/cause the employee will be paid compensation of 12 months salary for every year of service he/she worked for the company. This shall not apply to those workers who lost parts of their body at work.

Accident/illness and Workmen’s Compensation

The Company will pay compensation to employees involved in injury/illness accordance with the incapacity occur due to injury. The compensation for employee who lost parts of their bodies at work shall be as follow.

1. Employer shall continue to pay his /her monthly salary for more than ten years .

2. Pay for all his/her medical bill

3. Assist all employee dependants who are studying for their fee up to the end of their studies.

4. To grant alternative light duty if he /she can perfom.


Employee Obligations [Duties]

Every employee is obliged to ensure their own safety and that of their fellow workers. Moreover, all employees must at all times observe or comply with prescribed work and safety regulations in line with the Health and Safety policies.

Employer Obligations [Duties]

The employer has a duty to ensure the safe work place and all required safety equipments as well as reliable periodical training to all employees to their own Language. And make assessment to ascertain competence of employee’s safety knowledge from time to time.


The company policy and the Labour laws shall be adhered to in regards to termination and resignation.


A. Compulsory retirement age shall be 65 years with voluntary retirement from 55 years for all employees. The compulsory retirement age may be extended by mutual agreement.

B. Retiring employees shall qualify for: -

1 1 to 5 (i) Repatriation expenses, which will be paid by the Company.

(ii) Pension or any other Social Security benefits applicable.

(iii) At least TWO month’s salary for five years of service

Iv) 50 bags of cement and 50pcs iron sheet

2 5 to 10 Repatriation expenses, which will be paid by the Company.

(ii) Pension or any other Social Security benefits applicable.

(iii) At least FOUR month’s salary for ten years of service

Iv) 50 bags of cement and 50 pcs Iron sheet.

3 10 to 15 Repatriation expenses, which will be paid by the Company.

(ii) Pension or any other Social Security benefits applicable.

(iii) At least SIX month’s salary for 15 years of service

Iv) 100 bags of cement and 100 pcs Iron sheet


4 above 15 years

WILL BE DISCUSSED between Tamico &management.


a) Retrenchment shall be exercised, in the manner stipulated under section 38 of ELRA and Rule 23 G.N. 42 of Employment and Labour Relations Act (Code of Good Practice], only when it is inevitable after discussion between the employer and TAMICO Branch committee, TAMICO Regional and TAMICO Head Office on the necessity to restructure. The rule of FILO shall be applied. Other factors such as: skills, altitude of an employee shall be considered.

b) Retrenchment Packages apart from other terminal benefits and rights which provided under the labour laws shall be classified as follows:





1 to 4

1 to 8

1 to 12

above 12 years

4 months salary for every year served

6 months salary for every year served

8months salary for every year served

12 months salary for every year served

b) Union Leaders shall be the last to be retrenched { TAMICO branch committee.}

c) Other retrenchment benefits shall be discussed with TAMICO before retrenchment implementation.

d) Employer shall provide transport to retrenched employee with his/her dependant with their properties to their place of domicile.


All parties agreed that employee shall be paid the following allowances according to the economical change, production level and change in Tanzanite market world wide.

1. Housing allowances 30% per month of the basic salary

2. Medical allowances 30% per month of the basic salary

3. Annual leave allowances 1000,000/=in a year

4. Transport allowances 40% per month of the basic salary

5. Standby allowances 30% per month of the basic salary.

6. Underground allowances 30% per month of the basic salary.

7. Out of station allowances will be as follow

Any employee who is required to travel on duty from his/her station shall be paid as follow:

{a}Major cities Tsh 70,000/= per night.

{b}district head quarters Tsh 50,000/= per night.

{d}Villages Tsh 30,000/= per night.

{e}On transit allowances 20,000/= per night.

{f}African countries USD 400 per night.

{g}Other countries USD 600 per night.


a) It is agreed that all DISPUTE SETTLEMENT shall be dealt as stipulated under the Recognition agreement.

b) Both parties agrees that shall play a role of maintaining harmonious Industrial Relations so as to avoid unnecessary labour conflicts therefore parties must use peaceful and lawful means to resolve dispute and maintain existing good relationship.


The parties agreed that this agreement shall be read together with recognition agreement.


1. No relaxation or indulgence which the employer or the union may grant to the other party shall constitute by the former of any of its rights under this agreement.

2. This agreement constitute the entire agreement between the parties and no amendments shall be binding unless the amendment is reduced to writing and signed by both parties.

4. Either of the parties seeking to amend the agreement shall put forward its proposed amendments in writing, stating the nature, extent and reasons for the proposed amendment.

5. Negotations concerning the proposed amendments shall commence within one month after receipt of the proposal.


1. This agreement shall come into operation effective on the date of signing.

2. This agreement may be terminated as follow

[a] After the expiry of three calendar months of either party giving the other Written notice of termination of the agreement.

[b] If a party {the defaulting party} fails to fulfil any of its obligations in terms of this agreement and subsequently fails to remedy, the breach five Days of receiving written notice of the breach from the other party {the aggrieved party}, the aggrieved party shall be entitled to refer a dispute to mediation by the commission. If mediation is unsuccessful, either party may refer the dispute to the labour court


If there is any company wish to succeed Tanzanite one the notice of three month shall be given to TAMICO. All the employees contract of employment, Recognition Agreement, the existing Collective Bargaining Agreement and any other rights conferred by Tanzanite one to employees shall be transferred and adhered by the successor company.


The parties agreed that this agreement shall be read together with recognition agreement.


We here by confirm/conclude this agreement by signing hereunder

On behalf of Tanzanite one on behalf of TAMICO

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Collective Bargaining Agreement Between Tanzania Mines, Energy ,Costruction And Allied Workers Union (Tamico) And Tanzaniteone Mining Ltd

Start date: → Not specified
End date: → Not specified
Ratified by: → Other
Name industry: → Extraction, mining, quarrying
Public/private sector: → In the private sector
Concluded by:
Name company: →  Tanzaniteone Mining Ltd
Names trade unions: →  TAMICO


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


Maximum for sickness pay (for 6 months): → 50 %
Maximum days for paid sickness leave: → 126 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


Maternity paid leave: → 13.0 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: → Yes
Workplace risk assessment on the safety and health of pregnant or nursing women: → No
Availability of alternatives to dangerous or unhealthy work for pregnant or breastfeeding workers: → No
Time off for prenatal medical examinations: → No
Prohibition of screening for pregnancy before regularising non-standard workers: → No
Prohibition of screening for pregnancy before promotion: → No
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: → 5 days
Paternity paid leave: → 7 days


Equal pay for work of equal value: → No
Discrimination at work clauses: → Yes
Equal opportunities for promotion for women: → No
Equal opportunities for training and retraining for women: → No
Gender equality trade union officer at the workplace: → No
Clauses on sexual harassment at work: → Yes
Clauses on violence at work: → No
Special leave for workers subjected to domestic or intimate partner violence: → No
Support for women workers with disabilities: → No
Gender equality monitoring: → 


Trial period duration: → 180 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 per day: → 9.0
Working days per week: → 5.0
Paid annual leave: → 25.0 days
Paid annual leave: → 5.0 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), Good Friday
Rest period of at least one day per week agreed: → Yes
Provisions on flexible work arrangements: → 


Wages determined by means of pay scales: → No
Wages specified according to skill level: → 0
Wages specified according to job title: → 0
Adjustment for rising costs of living: → 0

Payment for standby work

Payment for standby work: → 30 % of basic wage
Payment for standby work Sundays only: → No
Payment for standby work all days per week: → Yes

Extra payment for annual leave

Extra payment for annual leave: → TZS 1000000.0

Premium for overtime work

Premium for overtime work: → 300 % of basic wage

Allowance for commuting work

Allowance for commuting work: → 40 % of basic wage

Meal vouchers

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