Kenya: KUSPAW branch reaches collective agreement at Nzoia Sugar Company
On 24 September 2014, an agreement for Nzoia Sugar was concluded at Kisumu during the joint industrial council, covering a total of 931 unionisable employees, including 75 women.
Seventy eight temporal employees will also benefit from the agreement, although they fail to pay agency fees. Seasonal workers do not receive monetary benefits from the agreement, although the agreement highlights conditions on the tasks they performed in a day
Main monetary issues agreed are:
- Wage increment was 13.5% spread in two years; with 7.5 percent in Year One (2013), followed by 6 percent in Year Two (2014).
- House allowance of 15 percent of the new basic pay.
- Leave allowance KES 4,000.00, which will be reviewed as soon as the company’s financial situation improves. (USD 1.00 = KES 87.60)
- Commuter allowance of KES 5,000.00, also to be reviewed when the financial situation improves.
- Night shift allowance of KES 9.50 per hour.
- Bicycle allowance KES 850.00 per month.
- In case an employee loses a family member, the Company will provide financial support amounting to KES 2,700.00 in food and accommodation allowances. In case there’s a need to travel to cities, the employees will get an additional 30 percent on the allowance.
- Canteen meals allowances for three meals daily for total of KES 640.00.
The agreement includes a clause binding the employer to support the running of Child Care facilities in the company premises, an initiative launched by the Nzoia Women’s Group, which has received the support of the IUF Global Sugar Program.
The Nzoia agreement covers a period of four years, from May 2013 to April 2017. This four-year period follows the guidelines of the Salaries and Remuneration Commission, applicable to all para-estatal companies. The agreed monetary conditions run from May 2013 to April 2014, and the parties will negotiate next year for the period from May 2015 to April 2017. (With information from Miriam Wanyama.)