MEMO OF AGREEMENT BETWEEN EXIDE PAKISTAN LTD (BATTERY DIVISION) AND EXIDE BATTERIES EMPLOYEES UNION - 2013

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FORM ‘X’ (RULES 70)

Name of Parties

1. EXIDE Pakistan Ltd. (Battery Division) A – 45, Hill Street, Manghopir Road, SITE Karachi

2. EXIDE Batteries Employees Union

National Trade Union Federation (NTUF)

Mashriq Center, Gulshan-e-Iqbal

Block – 14, Karachi.

REPRESENTING EMPLOYER

1. Mr. Arif Hashwani - Chairman

2. Mr. Arshad Shahzad - Managing Director

3. Syed Zulqarnain Shah - General Manager Personnel

REPRESENTING WORKERS

1. Mr. Sardar Khan - President

2. Mr. Wajid Ali - Vice President

3. Mr. Liaqat Ali - General Secretary

4. Mr. Sakhi Bux - Joint Secretary

5. Mr. Mian Rehmat Shah - Publicity Secretary

6. Mr. Malang Khan - Treasurer

SHORT RECITAL OF THE CASE

WHEREAS both the parties simultaneously raised their Charter of Demands on July 1, 2013 to each other, vide Annex “A” & “B” respectively. The Union enjoys the status of C.B.A for the workers employed by the company under Section 24 of SIRA, 2013.

AND WHEREAS the parties held several meetings on the demands raised against each other, Bilateral negotiations between the parties held from time to time and demands raised by them were discussed at length. After deliberate discussion/negotiations and as a result of mutual consent, the parties have reached to a settlement on all the demands contained in their Charter of Demands both dated 01.07.2013 raised by the C.B.A Union as well as the management.

NOW THIS SETTLEMENT WITHNESSTH AS FOLLOWS:

TERMS OF SETTLEMENT

1. GENERAL

a) The Company and C.B.A Union have settled all the demands raised by them in their Charter of Demands dated 01.07.2013, which is as follows:

b) The demands of the C.B.A Union which are not specifically agreed to in this settlement shall deemed to have been withdrawn for which the union has agreed not to press the same in any manner whatsoever.

c) That the provisions of this settlement shall be applicable to permanent workmen only who are employed in the factory (Battery Division) situated at A – 45, Hill Street, Manghopir Road, Karachi and any other worker who is not working in the said factory shall not be entitled to get these facilities.

2. SALARY & BENEFITS

a) INCREASE IN BASIC WAGES/SALARIES

The company has agreed to grant one-time flat increase of Rs. 500 (Rupees Five hundred only) per month in the basic wages salary of all permanent workmen of the company w.e.f. 01.07.2013.

b) INCREASE IN THE EXISTING PAY SCALE

The Company has agreed to enhance the minimum and maximum ceiling of all grades/pay scales by Rs. 250/- (Rupees Two hundred and fifty only) w.e.f. 1st July, 2013.

No extra benefit whatsoever will be allowed because of the revision of grades/scales of pay and no adjustment within the revised scales will be made. The revised grades are as per Annex “C”.

c) INCREASE IN RATE OF ANNUAL INCREASE

The Company has agreed to increase the rate of Annual Increment of all permanent workers’ grades/pay scales by Rs. 20/- (Rupees twenty only) w.e.f. 1st July, 2013 and the same shall be effective from their due date of annual increment.

d) CONVEYANCE ALLOWANCE

The company has agreed to increase the entitlement of Conveyance Allowance by Rs. 740/- (Rupees Seven Hundred forty only) per month all permanent workers. As such conveyance allowance stand revised from Rs. 2053/- per month to that of Rs. 2793/- per month w.e.f. 1st July, 2013.

e) HOUSE RENT SUBSIDY

The Company has agreed to increase the House Rent Subsidy by Rs. 740/- (Rupees Seven hundred forty only) per month all permanent workmen w.e.f. July 1st, 2013. As such the House Rent Subsidy stands revised from Rs. 2695/- (Rupees Two thousand six hundred ninety-five only) to that Rs. 3435/- (Rupees three thousand four hundred thirty-five only) per month w.e.f. 1st July, 2013. All other provision of the Rules remains unchanged.

f) WOOLEN JERSEY ALLOWANCE

The Company has agreed to raise the entitlement of woolen jersey allowance from Rs. 805/- (Rupees Eight hundred thirty-five only) to that of Rs. 1000/- (Rupees one thousand only) once after a period of two years.

g) SHOES SUBSIDY

The Company has agreed to raise the shoes subsidy from Rs. 835/- (Rupees Eight hundred thirty-five only) to that of Rs. 1000/- (Rupees one thousand only) yearly entitlement for Maintenance. L.S.P Department/Security Staff and Drivers these categories shall however, not be entitled to get shoes as provided issued to other workers of the factory.

h) LEAVE FARE ASSISTANCE

The Company has agreed to raise the entitlement of Leave Fare Assistance from Rs. 3500/- (Rupees three thousand five hundred only) to that of Rs. 4500/- (Rupees four thousand five hundred only) per annum to the workmen on the same terms and conditions as agreed in the previous memo of agreement dated 01.09.2005.

i) RETIREMENT BENEFITS

The Company has agreed to enhance retirement benefit from Rs. 24000/- (Rupees twenty-four thousand only) to that of Rs. 25000/- (Rupees twenty-five thousand only) on retirement of permanent workman/employee who attained the superannuation age in addition to his legal dues.

j) MEAL ALLOWANCE

The Company has agreed to enhance Meal Allowance subsidy from Rs. 50/- to Rs. 60/- (Rupees sixty only) w.e.f. 1st July, 2013 only when the factory canteen remains closed i.e. on Sundays and other holidays. All other Meal Allowance terms and conditions shall remain unchanged.

k) NIGHT SHIFT ALLOWANCE

The company has agreed to increase in Night Shift Allowance from Rs. 15/- to Rs. 25/- per shift per worker w.e.f. 1st July, 2013. All other Night Shift Allowance rules shall remain unchanged.

l) SPECIAL ALLOWANCE

The company has agreed to introduce special allowance that will be paid @ Rs. 1500/- per month to all permanent workmen who perform physical work in the factory or granted leave with pay by the competent authority but the same shall not be allowed in the event of leave without pay or absence.

m) PROFIT BONUS

The management has agreed to pay bonus in the following manner in the event of net profit during the financial year to all permanent workers on the conditions mentioned hereunder:

a) Five (5) bonuses on the basis of pay only with COLA.

b) Two (2) bonuses on the basis of pay only without COLA.

3. INDUSTRIAL PEACE, DISCIPLINE & PRODUCTIVITY

It is understood and agreed between the parties that in view of signing this agreement.

a) The C.B.A Union/workers have agreed to continue and maintain industrial peace existing production targets and harmony so that both the workers and the Company may devote their full attention and endeavor towards obtaining further and better results through improvement in efficiency/discipline which is undisputedly accepted as the need of the hour due highly competitive environment.

b) The union and workers shall continue to extend full cooperation to the Company for maintaining discipline at all levels at all times.

c) In order to achieve the above objective, the C.B.A Union has undertaken to extend its full cooperation.

d) The C.B.A Union has further agreed not to resort to any strike, work stoppage, go-slow or curtailment of production due to any cause or reason and shall maintain requisite targets and to extend full cooperation with the management personnel at all levels.

e) The C.B.A further agreed to ensure to maintain discipline and observance of existing Company’s Rules and Regulations in letter to spirit.

f) All the terms and conditions of services of employees covered by the settlement and under existing service rules and union/management’s settlement in effect prior to signing this settlement (excluding the changes where effect and agreed) shall continue to remain in force save to extend amended, varied rescinded or superseded through this settlement.

4. PERIOD OF SETTLEMENT AND APPLICABILITY

i) This settlement shall come into force w.e.f. July 1st, 2013 and shall continue for a period of two years i.e. up to June 30, 2015 and it shall be applicable only to the employees/workmen employed in EXIDE Pakistan Ltd. (Battery Division) situated at A – 45, Hill Street, Manghopir Road, SITE, Karachi and on the roll of the company at the time of signing of this agreement.

ii) The C.B.A undertake not to raise any demand involving direct or indirect financial consequences to the Company during the currency of this settlement.

iii) The management shall not press the demands raised by the company vide its charter of demands dated 1st July, 2013 in view of above settlement and as agreement of goodwill.

In witness whereof, the parties have signed this settlement on 26th September, 2013.

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Memo of Agreement between Exide Pakistan Ltd (Battery Division) and Exide Batteries Employees Union - 2013

Start date: → 2013-07-01
End date: → 2015-06-30
Ratified by: → Other
Ratified on: → 2013-09-26
Name industry: → Manufacturing
Name industry: → Manufacture of electrical equipment
Public/private sector: → In the private sector
Concluded by:
Name company: →  Exide Pakistan Ltd
Names trade unions: → 

WAGES

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

Wage increase

Wage increase: → PKR 42.0
Wage increase starts: → 2013-07

Once only extra payment

Once only extra payment: → PKR 18000.0 %
Once only extra payment due to company performance: → No

Premium for evening or night work

Premium for evening or night work: → PKR 750.0 per month
Premium for night work only: → Yes

Extra payment for annual leave

Extra payment for annual leave: → PKR 4500.0

Allowance for commuting work

Allowance for commuting work: → PKR 2793.0 per month

Meal vouchers

Meal allowances provided: → Yes
→ 60.0 per meal
Free legal assistance: → No
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