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COLLECTIVE BARGAINING AGREEMENT INCLUDING THE TERMS AND CONDITIONS OF SERVICE BETWEEN C0RDURA LTD AND CONSERVATION HOTELS, DOMESTIC, SOCIAL SERVICES & CONSULTANCY WORKERS UNION (CHODAWU) - 2014

Revised: 1st September 2014

COLLECTIVE BARGAINING AGREEMENT BETWEEN THE EMPLOYER AND EMPLOYEES OF Cordura Ltd and Conservation Hotels, Domestic, Social Services & Consultancy Workers Union (CHODAWU)

This voluntary agreement is made this First day of September 2014, Between CORDURA LIMITED, a Limited Liability Company existing under the laws of Tanzania of PO Box 2261, Dar es Salaam, (herinafter called “THE EMPLOYER”) of the one part and the Conservation Hotels, Domestic, Social Services & Consultancy Workers Union_of P O Box 90497 Dar es Salaam, (herinafter called “CHODAWU”) of the other part, both the Employer and Chodawu to be referred to as “the Parties”.

WHEREAS

The Parties in this Agreement have in their free will and mutual understanding reached into an agreement on different issues concerning the employees and their terms and conditions of work.

AND WHEREAS

Chodawu recognises that the Employer is the sole employer of the employees covered in this agreement and similarly the Employer recognises Chodawu as the sole workers’ representative on matters concerning terms and conditions of the Employment.

AND WHEREAS

Both parties recognise that this agreement applies to all staff employed by the employer, who through their agreement with the owners of the mentioned properties has asked the employees to work at either the Oyster Bay Hotel in Dar es Salaam, Mikumi Wildlife Camp in Mikumi National Park or Beho Beho in the Selous Game Reserve; except those on expatriate terms.

NOW THEREFORE THIS DEED WITHNESSETH as follows:-

1. DURATION AND COMMENCEMENT OF THIS AGREEMENT

This agreement shall come into effect on April 1st 2014, and that the Terms & Conditions of Service will be reviewed again by April 1st 2018.

Any changes, modification or additions to this voluntary agreement will only be accepted as agreed, if such changes are made in writing and signed by both parties.

This voluntary agreement and any subsequent amendments, will continue to be effective after the date of the due review, if neither of the parties has communicated with the other in writing or asked for a meeting to discuss or alter any terms agreed in the document.

2. EMPLOYMENT. PROBATION, APPOINTMENT & HOME

a) Employment shall be carried out by the General Manager and shall be given on merit without regard to race or place of origin.

b) All employees engaged shall be on probation in the first instance for a period of Six (6) months. This probation period may be extended in writing by the General Manager, if he is dissatisfied with the employee's performance.

c) On successful completion of the probationary period a confirmation letter will be given. If this letter of confirmation is accepted by the employee, the employee shall be given 2 copies of a letter of appointment and he/she will sign both copies, and return the original to the employer. The letter shall explain clearly the job and basic pay and allowances offered.

d) Delay on the part of the employer to issue a confirmation letter to an employee after completion of his/her probation period will be taken as an extension to the probationary period for One (1) month.

e) All employees shall be employed with a monthly salary, paid in arrears.

f) Casual labour will only be provided for works of emergency, building, repairs, decoration and maintenance and temporary work in the hotel or for any temporary shortage of staff such as sickness or holidays or training or probation.

g) For the purposes of this agreement and the employment contract between the / employer and employee, whether on a casual or a permanent basis, the home of an

employee will be determined in all instances as Dar es Salaam.

3. DUTIES

a) The duties of the employee shall be flexible and include the duties for which he/she is engaged and any other duties which he/she may be called upon to perform. This does not directly include work in the building operation but it may include assitance in the building operation as this may affect the operation of the hotel or camp, like repairs and maintenance and the upkeep of the properties, if it is so determined.

b) The duties of an employee shall be set out in the letter of appointment and the job descriptions he/she will be supplied.

c) The duties of an employee is to be carried out in any property, which the company supplies with labour and is operated in Tanzania.

d) An employee may not absent himself from his duties without prior written consent of the General Manager, the assistant manager or whomever is appointed to deal with such matters in their absence.

4. TERMINATION

The employment of permanent employees may be terminated according to the Employment and Labour Relations Act 2004.

A) GROSS MISCONDUCT

In the instance of gross misconduct, an employee may face summary dismissal, i.e. termination without notice or salary in lieu of notice.

i) Where the employee is absent for more than 5 days without leave and/or the written permission of the General manager, the assistant manager or whoever is appointed by the General manager, assistant manager or directors to deal with such matters in their absence.

ii) Refusal to obey a legitimate order, discourtesy to officials or staff, or is guilty of an immoral act while on or off duty, either on or off the property .

iii) Prejudicing of company's interest or damaging its property.

iv) Drinking, the use of drugs or smoking in a prohibited place or being under the influence of drink or drugs, either on or off duty in a prohibited place.

v) Theft, misappropriation, or willful damage or loss of company property.

vi) Being influenced in one's duties by bribes, presents or other benefits.

vii) Imprisonment, including concealment of past imprisonment.

viii) Failure to disclose information, destroying, altering or concealing records.

ix) Misconduct, whether in the course of duty or not, inconsistent with the fulfilment of the express or implied conditions of service.

A) NOTICE

The employment of an employee may be terminated by either party giving:-

i) If the employee has been in employment for 1 to 4 years:

One month's notice or salary in lieu of notice.

ii) If the employee has been in employment for 5 to 10 years:

Three months notice or salary in lieu of notice.

iii) If the employee has been in employment in excess of 11 years:

Four months notice or salary in lieu of notice.

B) CONTINUED ILL HEALTH

There will be premature retirement on health grounds if in the opinion of the Doctor appointed by the company the employees bad health wouldn't allow him to continue with his/her duties/work any more.

C) UNFITNESS

Unfitness, incapacity or inability to perform the required duties.

D) RETIREMENT

Every employee shall retire upon reaching the age of 60 years. However, early retirement may be allowed on grounds of ill health, which must be supported by recommendations from a qualified medical doctor.

Between the age of 55 and 59 years an employee may retire on his/her own accord.

E) RETRENCHMENT

Retrenchment will be offered only after consultation between the employer, the

In the unfortunate event of forcible redundancy the employer shall nominate the employee/s selected for redundancy which will be at the discretion of the employer and the selection will be made taking into account the following:-

i) Work Performance

ii) Ability to perform the duties required

iii) Employee’s previous work record

iv) Employee’s length of service.

G) PAYMENTS ON TERMINATION OF CONTRACT

At the end of a contract, whether at retirement, for retrenchment or other reasons except for summary dismissal the employer will pay to the employee his dues and all his benefits as listed below. This will vary according to the reason for the termination of the contract. For clarity so it is understood by everyone listed below are the payments to be made and attached is Schedule 1 show the agreed payments to be made by the employer in addition to those detailed in Law by the employer

1. Retirement / Retrenchment

i) A gratuity of 1 /6th of last months Basic pay

ii) The severance allowance as per the Labour Law.

Employers discretionary payments [See Schedule 1]

iii) An ex gratia payment of Tshsl 85,000, in lieu of transport costs of the employee.

iv) The employer will also make at its discretion a long service payment as follows

a) From 1 to 5 years a payment of Tshs 70,000

b) From 6 to 10 years a further payment of Tshs 70,000 plus a variable amount based on Tshs 10,000 for every year of service

c) Over 11 years has a further payment of Tshs 100,000 plus a variable amount based on Tshs 20,000 for every year of service

d) Over 21 years in addition to the payments made above the employee will also receive 20 bags of cement & 20 Mbati sheets or cash equivalent.

Resignation

Payment will be as detailed per 1 above, Retirement / Retrenchment, less the due notice period as scheduled in this agreement

5. DISCIPLINARY PROCEDURE

Where an employee, whose work or conduct is unsatisfactory and/or has committed an offence which in the opinion of the employer, does not warrant summary dismissal, the employee shall be issued with written warning. All warnings given to an employee, both written or verbal, shall be subject to a written appeal by the employee to the employer, within 7 days of the date of the warning. The company shall inform the employee within 7 days of the result of the appeal.

Where an employee completes six months from the date of his/her last warning, without any further offence, any warning recorded in his file will be cancelled, but held on file as information for any further evaluation of the said employee.

6. SUSPENSION

Suspension means the period an employee does not work pending the outcome of investigation into an alleged offence, which if proven, will justify summary dismissal from the date of commencement of suspension and :

a) On suspension, an employee is entitled to his basic pay. The period of suspension shall continue until the case has been resolved.

b)Where the case is under investigation by the police or is pending before a court, the employees suspension shall be extended until the result of the police investigation, court ruling or a period of 6 months, whichever is the least, and if the case is proven against the employee he/she will be terminated as per the terms outlined in this agreement under Gross Misconduct.

c) No service charge, leave or any other benefits shall be payable while on suspension.

7. GRIEVANCE PROCEDURE

a) Any employee's complaints or queries regarding working conditions must in the first instance be raised verbally and then confirmed in writing to the employer.

b) The employee if not satisfied with the reply given to his/her grievance by the employer should in the second instance consult the local CHODAWU branch at the workplace. Failure to resolve the problem after consultations between the CHODAWU local branch and the emloyer will mean that the employee may then refer his/her grievance to the regional secretary and later to the general secretary, if

8. ANNUAL LEAVE

a) On completion of 12 months service, every staff member is entitled to annual leave of 28 calendar days and this period is inclusive of Sundays and Public Holidays.

b) Leave shall be taken on such dates as approved by the General Manager, the assistant manager or whoever is appointed by the General manager, assistant manager or directors to deal with such matters in their absence and such approval will be given in writing

c) Annual leave may not be accumulated from one leave year to the next.

d) The employer will give to the employee a transport contribution on taking his or her Annual leave at a fixed sum of Tshs 50,000/- (Fifty Thousand)

e) Payment in lieu of leave shall not be granted, other than in the most exceptional cases and at the discretion and with the written approval of the General Manager.

f) Leave days are considered as actual calendar days with no regard of rest days or public holidays, and it is agreed that the employee is not entitled to qualify for service charge, when on leave .

9. SICK LEAVE

a) Any employee who is prevented by illness from duty shall immediately send word to the General Manager, during which time he/she should obtain a sick sheet from the employer and report to the medical officer designated by the company. If the absence continues for more than 48 hours, the employee must submit satisfactory written evidence as to the nature and probable duration of his/her illness.

b) The employer shall have no obligation for employees injury or illness caused by carelessness, i.e.: drug or alcohol abuse, misconduct, failure to take reasonable precaution, ignorance of stipulated guide-lines

c) Employees shall be entitled to:-

i) Full wages for a period of up to 90 days (3 months) of sickness.

ii) Half wages for a further period of 90 days (3 months) of sickness over and above the first 90 days (3 months) of sickness, which is detailed in i) above.

iii) If the employee is unable to resume work after 180 days (6 months)

of sickness, the employee may be terminated on medical grounds or at any time prior to this if it is determined that the employee will not be able to resume his work after 180 days (6 months) and if this is the case then the employee will receive pay as determined above for 180 days (6 months), plus his/her termination benefits.

10. MATERNITY & PATERNITY LEAVE

a) Female employees, who have been in permanent employment for more than 6 months, will be granted up to 84 days maternity leave provided she has had a medical check up before commencing employment and she submits this report to the Company, to state that she is not pregnant on appointment.

b) Additional leave for maternity, without pay, may be granted at the discretion of the General Manager.

c) The 84 days maternity leave will include any entitled leave cycle

d) The qualifying date for maternity leave will be six months from the date of the letter of appointment as detailed in clause2(c) of this agreement.

e) Whilst on maternity leave the employee will not be entitled to service charge, off days allowances, bonus’s, additional leave payments or any other payments or increases made to the other employees, once the maternity leave has commenced

f) Three years must elapse between periods of maternity leave

g) Paternity leave of 7 days paid leave will be granted to an employee..

11. SPECIAL LEAVE

An employee may request in writing for special leave on full pay in the following circumstances:

a) To attend any seminar, conference or other training approved by the Management.

b) To attend as a candidate an examination or any course approved by Management.

c) In the event of the death of spouse, father, mother or own child, compassionate leave is at the full discretion of the employer.

An employee may request in writing for special UNPAID leave, to attend funerals or other ceremonies or celebrations and this will be granted by the General Manager according to the circumstances and business limitations.

No service charge will be paid for any period of unpaid leave. Any period of unpaid leave may at the discretion of the General manager, be deducted from the employee’s annual leave or future annual leave. Any expenses incurred due to the granting of Special leave must be approved prior to the expenses are occurred during the leave. 

12. MEDICAL

a) Medical expenses for accidents & illnesses when at work, will be for the employer.

b) The employer will issue a sick sheet to the sick employee to allow them and their family to have access to treatment services at the recognised hospital to a value stated on the sick sheet.

c) Family in this voluntary agreement includes the employee, wife/husband, and up to four of the employee’s own biological children, registered with the employer.

d) Children in respect to this voluntary agreement means the employee’s own biological children under the age of 18 years, who have been registered, with a birth cerificate being supplied to the employer, as children of the employee.

e) The employer will pay the medical bills of the employee on condition that the employee has followed the correct procedure and used the correct medical facilities designated by the employer. If an employee decides to use a medical facility NOT approved by the employer, the employee will be responsible for all costs incurred by the employee including the purchase of medicine at that facility or prescribed by the non approved facility

f) The document (sick sheet) is the property of employer and is to be submitted to the employer for office purposes as well as the approved designated Medical facility.

g) The employer will send his food and beverage staff for medical check up every six months, and all other staff every year.

h) The employer will not be held responsible for ALL medical costs of the employee or their family and for any standard medical proceedures that can given to the employee through the Government Medical hospitals or the NSSF medical scheme.

13. CHODAWU MEMBERSHIP FEES

The employer will deduct monthly the CHODAWU fees from the salaries of the employee, which is calculated at 2% of the basic pay. The employer shall remit such money due, for the membership fees, to CHODAWU HQ every month. The parties agree that employees under this agreement have the right to be members of CHODAWU, but it is not obligatory.

14. DEATH

The employer has agreed to contribute Tshs 250,000 towards funeral of the employee, employee’s wife/husband or own biological children registered with the employer. The employer will also donate food [beans and rice] up to a value of Tshs 50,000, for the funeral ceremony.

The employer has agreed to contribute Tshs 100,000 towards funeral costs to an employee for the death of an employee’s mother, father, mother in law and father in law.

15. STAFF HOUSING

a) The employer will not provide housing to staff employed at Oyster Bay Hotel, but an employee assigned to Mikumi and Beho Beho will be provided with appropriate accommodation and food in their respective units on the company.

b) The furniture and furnishings provided are at the discretion of the Employer.

c) Items provided are the company property and must be returned upon termination.

d) Loss or wilful damage by the employee may be charged to the employee by the company for the replacement or repair as the case may be.

e) The provision of accommodation is for direct employees only, no family members or friends are allowed to live on the company premises. All visitors to the premises must be reported to the management.

16. UNIFORMS

The employer provides uniforms and protective clothing to certain employees. The uniforms given to employees will be worn and used during working hours only and will remain the property of the employer and must be returned to the employer by the employee on termination of his/her employment and prior to settlement of final payment.

17. STAFF PROPERTY

a) The employer accepts no responsibility for the property of the members of staff nor does the employer make provisions for the insurance of employees personal effects.

b) The company shall not be liable for any staff articles or documents, lost or destroyed on the company premises.

c) Staff vehicles parked on company premises are parked at the owner's risk.

18. SERVICE CHARGE

a) The employer shall operate a service charge which the company shall collect on behalf of the employees and will be payable at the end of next month and be subject to Government taxation.

b) The basis for the calculation of the service charge will be 4% of accommodation sales and 4% of all food and beverage sales at The Oyster Bay Hotel, Beho Beho and Mikumi Wildlife Camp.

c) Service charge collected shall be distributed equally to all permanent employees, with the exception of employee’s that are off duty on disciplinary grounds, absent without reason or permission, maternity leave and or annual, sick or unpaid leave.

d) The management reserves the right to reduce the Service charge for breakages and other damages caused by the direct actions or negligence of the employees.

19. ADDITIONAL EXGRATIA BENEFITS

The company will provide the following cash benefits: -

a) Employees first wedding, 100,000/-

b) Birth of first baby, 100,000/-

20. ADVANCES

Advances, which will be up to a maximum of Tshs 50,000 per calendar month, will only be considered if they are requested in writing and will be given at the discretion of the General Manager. Advances on salary may only be taken in the following circumstances:-

a) Where an employee is proceeding on leave

b) Where a permanent employee is proceeding on off days and would be absent from his work station at the end of the month.

c) In special circumstances at the discretion of the Employer. Any advance will be deducted from the salary at the end of the month.

21. LOANS

Loans are not given by the company, but exceptions can be made with the agreement of the Chairman or Board of Directors. Such loans if granted should be fully paid back to the employer on completion of the employees contract. Such loans if granted are limited in volume so they are fully repaid within 3 months of the loan being authorised or on completion of the employees contract whichever is earlier. All loan applications should be in writing and addressed to the General Manager.

22. ANNUAL INCREMENTS

The employer will as a general rule review salaries each year that may not result in increases, but as a matter of policy there will be an automatic 5% increase from April 1st of each year, unless the employer informs the employees having dicussed this matter with CHODAWU prior to informing the employees. Subject to the business trend and other factors including any Government Notice in July, the employer may also review salaries from October.

If no increment is awarded the reasons for this will be discussed with both the employees and CHODAWU.

23. CONFLICT OF INTEREST

An employee may not have a private or personal business interest which conflicts with the operation of the properties under ownership or management of the employer, whether it affects or does not affect his/her duties and or performance while employed.

24. DISCLOSURE OF INFORMATION

a) No employee shall disclose any information relating to the affairs of the employer to any unauthorised person without the written approval of the General Manager or the Board of Directors.

b) Any unproved disclosure may be considered misconduct capable of rendering the employee liable to dismissal under clause 4A (ix) of these conditions.

c) No employee shall give any statement to the press, radio or other communications media except with the prior written permission of the General Manager.

25. TRANSPORT

An employee working at the Oyster Bay Hotel and residing in Dar es Salaam, who is not provided with accommodation and transport by the employer, shall be provided with a monthly Transport contribution of Forty thousand shillings (40,000/- per month) which shall paid in monthly in arrears.

26. WORKING HOURS

The employer complies with the current labour laws with regars o hours worked in a week (45 hours) with time taken for breaks, not included. A working week is a period of 6 days. The employer abides by any public holidays or any gazetted special holidays and pays for all public holidays, whether actually worked or not worked by the employee.

This means that every employee if asked to work on a Public holiday by the employer is obliged to do so.

27. NOTIFICATION OF CHANGES

It is the responsibility of every employee to notify the Management on any:

- change of permanent address, change of marital status, change of number of own biological children, change of next of kin, legal action preferred against the employee, change of medical condition

It is the responsibility of the General manager and local branch chairman of CHODAWU to notify all employees in writing of any change to the above mentioned terms and conditions of employment, set out in this agreement and any changes must be in writing, signed by both parties, confirming their acceptance of the change.

28. VARYING. ADDING. DELETING AND CANCELLATION OF AGREEMENT

No agreement varying, adding to, deleting or cancelling this agreement shall be effective unless it is produced in writing and signed by or on behalf of both Parties, which confirms their acceptance to the amendment or cancellation of this agreement.

It is the responsibility of the General manager and local branch chairman of CHODAWU to notify all employees in writing of any change to the above mentioned terms and conditions of employment, set out in this agreement and any changes must be in writing, signed by both parties, confirming their acceptance of the change.

29. GOVERNING LAW

The agreement set out in this document shall be governed and interpreted in all aspects in accordance with the Laws of Tanzania.

30. SIGNATURES

For and on behalf of: Cordura Ltd

Charles Bailey Director

TZA Cordura Ltd - 2014

Start date: → 2014-04-01
End date: → 2018-03-31
Ratified by: → Ministry
Ratified on: → 2014-04-01
Name industry: → Hospitality, catering, tourism
Name industry: → Hotels and similar accommodation
Public/private sector: → In the private sector
Concluded by:
Name company: →  Cordura Ltd
Names trade unions: →  Conservation, Hotel, Domestic and Allied Workers’ Union (CHODAWU)

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: → 
Paid menstruation leave: → No
Pay in case of disability due to work accident: → Yes

WORK AND FAMILY ARRANGEMENTS

Maternity paid leave: → 12 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: → 7 days

EMPLOYMENT CONTRACTS

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, SCHEDULES AND HOLIDAYS

Working hours per week: → 45.0
Working days per week: → 6.0
Paid annual leave: → 28.0 days
Paid annual leave: → 4.0 weeks
Paid bank holidays: → Christmas Day (25th December), Easter Monday, Army Day / Feast of the Sacred Heart/ St. Peter & Paul’s Day (30th June), Islamic New Year / Hejira New Year (first day of Moharram), Pentecost Monday / Whit Monday / Monday of the Holy Spirit (day after Pentecost / seventh Monday after Easter)
Provisions on flexible work arrangements: → 

WAGES

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

Wage increase

Wage increase: → 5.0 %
Wage increase starts: → 2015-07

Extra payment for annual leave

Extra payment for annual leave: → TZS 50000.0

Allowance for commuting work

Allowance for commuting work: → TZS 40000.0 per month

Allowance for seniority

Allowance for seniority: → TZS 70000.0 per month
Allowance for seniority after: → 5 years of service

Meal vouchers

Meal allowances provided: → No
Free legal assistance: → 
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