MEMORANDUM OF AGREEMENT BETWEEN MACTER INTERNATIONAL LTD AND MACTER INTERNATIONAL EMPLOYEES UNION - 2013

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NAME OF PARTIES

a) EMPLOYERS: MACTER INTERNATIONAL LTD. F – 216, S.I.T.E KARACHI (HEREINAFTER REFERRED TO AS THE “COMPANY”) WHICH EXPRESSION WHEREVER THE CONTEXT SO ADMITS SHALL MEAN AND INCLUDE ITS SUCCESSORS AND ASSIGNS

AND

b) WORKERS:MACTER INTERNATIONAL EMPLOYEES UNION HAVING C.B.A CERTIFICATE NO. 6/2013 C/O MACTER INTERNATIONAL, F-216, S.I.T.E KARACHI (HEREINAFTER WHEREVER TO AS THE “C.B.A UNION”)

RESPRESENTING EMPLOERS:

1. Mr. Zubeid Qureshi - Executive Director

2.Mr. Mahmood Yusuf - Manager Admin. IR and Security

REPRESENTING THE WORKERS:

1.Mr. Yousaf - President

2.Mr. Mohib ullah - General Secretary

SHORT RECITAL OF THE CASE

a) Whereas the Company is a Trans-Provincial establishment having its registered office F – 216, SITE Karachi, and branches through-out the country.

b) And whereas Macter International Employees Union the C.B.A Union, submitted a Charter of Demands dated 30th May, 2013 upon the country.

c) And whereas both parties held bilateral negotiations on the Charter of Demands. During the bilateral negotiations C.B.A Union explained the reasoning and the justifications of its charter of demands.

d) As a result of bilateral negotiations on the charter of demands served by the C.B.A Union, it is agreed between the Company and the C.B.A Union to incorporate all terms and conditions agreed between the Company and the C.B.A Union into full and final settlement of their charter of demands.

e) Now therefore, the parties above named realizing and accepting the viewpoints of each other, have been able to reach this settlement on the following terms and conditions, as on June 12th, 2013.

TERMS OF SETTLEMENT

In view of all round inflationary trend & increases in the cost living and in order to provide relief to the permanent workmen/workers from such rise, the following is agreed between the parties to this agreement.

1. INCREASE IN SALARY & INCREMENT

It is agreed that:

a. During 1st year of this agreement all permanent workers/workmen who are on company’s payroll will get an increase as per below:

I. Supervisor / Skilled staff Rs. 1424/- per month in gross salary.

II. Functional Assistant staff Rs. 1164/- per month in gross salary.

III. Operator level staff Rs. 1057/- per month in gross salary.

IV. GW/Low skilled staff Rs. 1000/- per month in gross salary.

The above is in w.e.f. 01-07-2013. In case if the Government increases the minimum wages by less than the above workers will continue to receive the increase granted under this clause. However, the increase by the Government will be set off.

b. During 2nd year of this agreement a minimum increase of Rs. 800/- per month will be given to all permanent workers w.e.f. 01-07-2014. However, during the second year this increase can be further enhanced depending upon overall performance of the company, therefore all workers will put in their best efforts to achieve the higher level of excellence in order to boost the overall performance of the company, which will ultimately be beneficial to all.

2. TRANSPORT

It is agreed that the company will ensure to ply commuter buses/other transport on already specified and mutually agreed 10 routes for the transportation on permanent workers/workmen who are on company’s payroll to/from the factory premises free of any charges of costs.

3. OVERTIME

It is agreed that all permanent workers/workmen who are on company’s payroll will get the amount based on twice of the ‘ordinary rate of pay’ (according to the relevant laws) as overtime on hourly basis against rendering assigned duties.

4. MEAL ALLOWANCE

It is agreed that all permanent works/workmen who will be required to perform over time duty after normal working hours and will stay till 8.30 p.m. shall be paid a sum of Rs. 40/- as meal allowance.

5. NIGHT SHIFT ALLOWANCE

It is agreed that all permanent workers/workmen who are on company’s payroll and will stay in factory under supervisor written instructions (as per company rules) and perform assigned duties on overtime till 0800 am, will get Rs. 100/- as night shift allowance and Rs. 40/- as breakfast allowance.

6. STAFF LOAN/ZAKAT

a. Loan:it is agreed that all permanent workers/workmen who are on company’s payroll can get loan easy terms as per Company policy.

b. Zakat:It is agreed that Zakat from Zakat Fund will be allowed to deserving workers/ workmen on case to case basis, under the defined rules.

7. MACHINE OPERATOR/STERILE ALLOWANCE

It is agreed that all permanent workers/workmen who are on company’s payroll will get the following allowances:

a. Machine Operator Allowance

(1) Senior Operator - Rs. 1250/- per month.

(2) Skilled Operator - Rs. 950/- per month.

(3) Junior Operator - Rs. 650/- per month.

b. Sterile Allowance - Rs. 500/- per month.

8. SPECIAL DAY EID BONUS

It is agreed that:

a.All permanent Muslim workers/workmen who are on company’s payroll will get a fixed amount of Rs. 2000/- as Eid-ul-Fitr bonus once in a year.

b.All permanent non-Muslim workers/workmen who are on company’s payroll will get a fixed amount of Rs. 2000/- as special day bonus once in a year.

9. GRATUITY

It is agreed that one gross salary shall be accrued as gratuity to all permanent workers/workmen after completion of one year of service, which is payable on the discharge of a workman, except when a worker is dismissed for misconduct. The amount of gratuity shall be worked out as per the applicable laws.

10. HAJJ AND UMRAH POLICY

It is agreed that the company will allow one permanent worker to perform Hajj & one to perform Umrah, on yearly basis. The selection of the worker for Hajj/Umrah shall be made through a ballot under the company policy on the subject.

11. DEATH GRANT

In case of death of a permanent worker/workman who is on company’s payroll, the balance amount of loan will be deducted from his full and final terminal benefits receivable from the company.

12. MEDICAL FACILITY / SESSI

It is agreed that:

(a) All permanent workers/workmen who are on company’s payroll will be registered in SESSI and accordingly cards will be prepared and issued to them.

(b) Eye test of workers working at departments requiring accurate eye sight will be conducted by qualified Eye specialist within factory premises during working hours at company’s expense.

(c) An emergency vehicle will be on stand-by in the factory premises, in order to cater for any emergency situation.

13. CANTEEN

It is agreed that food will be given free of cost to all the workers and the exiting menu of canteen will be improved. Meat will be included one extra time in a month, as compared to the existing menu.

14. FAMILY WELFARE SCHEME

It is agreed that in case of death of a permanent worker/workman during employment, the company will offer the employment to one of the children of the deceased, if he/she meets the company policy for appointment and fulfills the criterion for a particular available post/job.

15. YEARLY GET TOGETHER

It is agreed that company will arrange an annual get together of all workers/workmen who are on company’s payroll after “Eid-ul-Fitr Party”.

16. UNIFORM

It is agreed that following dress items will be issued by the Company in a year starting w.e.f. 1st of July each year.

a. 3 uniforms after completion of 2 years to the workers of Maintenance Deptt. Electrical Deptt. Canteen, Messengers and Liquid Packing Department.

b. 2 x Lab Coats, 2 x cap /scarf and 1 x pair slippers to the workers assigned for work in Production Department.

17. MILK FACILITY

It is agreed that company will provide a glass of milk in a day to Manufacturing staff of Powder department.

18. IFTAR

It is agreed that Iftar / dinner will be served to all the workers on duty during the Holy Month of Ramzan.

19. SOFT TIMINGS DURING RAMZAN

It is agreed that during the Holy month of Ramzan soft timings will be observed in the company with the mutual consent as per laid down policy/guidelines.

20. MISCELLANEOUS WELFARE MEASURES

It is agreed that following measures will be ensured for the general welfare of employees.

a. Award of gift and arrangement of tea session on retirement would be done in order to see off outgoing employee in a respectable manner.

b. Arrangement will be made for availability of suitable prayer area separately for the ladies and gents within the factory premises.

c. Suitable break will be given for the prayers falling during the working hours.

d. Availability of required Medicines produced in Macter of cost basis.

e. Availability of proper change rooms and washroom separately for females/males at appropriate locations in the factory will be ensured.

f. Maintenance and proper seating arrangements at the canteen for all workers will be ensured.

g. Installation of water coolers at suitable places within the factory will be ensured.

h. Provision of filtered water and installation of filter at drinking water source in canteen will be ensured.

i. Balance of the Casual and Sick leaves not availed during the years and verified by HR department will be enchased at the end of each financial year.

j. Proper and timely distribution of 10 C bonus as per relevant law will be ensured.

k. Proper and timely distribution of share of workmen for Workmen Profit Participation Fund (WPPF) will be ensured as per relevant law.

l. Arrangements for Group Life Takaful will be made as per relevant law.

m. Arrangements/payments of EOBI for all permanent employees will be done as per relevant law.

21.

It is agreed that all permanent employees as on 1st June 2013, will ensure timely attendance with punctuality at work place and deliver 100% efforts to achieve goals of the company.

22.

It is agreed that late coming and absenteeism will be addressed as per company policy/ guidelines and labour laws.

23.

It is agreed that any damage to the property or fixtures or material including finished goods, knowingly by any worker with intent will be addressed in line with company guidelines and labour laws.

24.

It is agreed that use of any “go slow” methods, individually or as pa group, is prohibited an if found to be happening, it will be addressed as per company guidelines and labour laws.

25.

Any attempt of rioting, creating unrest of disturbing the peace and harmony at the work place, misbehavior with the management etc. will result in suspension / termination of involved employee in line with company policies and laws of the country.

26. EXISTING FACILITIES

It is agreed that subject to terms and conditions incorporated in this Settlement, all terms and conditions of service, facilities accrued from time to time and existing prior to this settlement will continue to remain applicable in the manner and conditions as were applicable, save to the extent that all or any of such terms and conditions of service, facility and benefits are not withdrawn, altered, modified or revised under this settlement.

27. DURATION

This settlement will come into effect form 12th June, 2013 and shall remain in force and binding upon the parties for the period of two years i.e. till 11th June, 2015.

28. FINALITY

It is agreed that the MIEU – C.B.A Union shall not raise any fresh and / or further demand(s) having direct or indirect financial implication upon company during the operative period of this settlement.

It is agreed that this settlement full and final settlement of all the claims and demands upon the company including the demands raised by the MIEU – C.B.A Union as per the Charter of Demand dated 5th June, 2013 and that all the said demands shall be deemed to have been settled, modified and / or withdrawn or included in this settlement.

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Memorandum of Agreement between Macter International Ltd and Macter International Employees Union - 2013

Start date: → 2013-06-12
End date: → 2015-06-11
Ratified by: → Other
Ratified on: → 2013-06-05
Name industry: → Manufacturing
Name industry: → Manufacture of basic pharmaceutical products and pharmaceutical preparations
Public/private sector: → In the private sector
Concluded by:
Name company: →  Macter International Ltd
Names trade unions: → 

WAGES

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

Wage increase

Wage increase: → PKR 1000.0
Wage increase starts: → 2013-07

Once only extra payment

Once only extra payment: → PKR 2000.0 %
Once only extra payment due to company performance: → No

Premium for evening or night work

Premium for evening or night work: → PKR 3000.0 per month
Premium for night work only: → Yes

Premium for overtime work

Allowance for commuting work

Meal vouchers

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