MEMORANDUM OF SETTLEMENT BETWEEN FEROZSONS LABORATORIES LIMITED AND FERSROZSONS WORKERS UNION - 2000

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EFFECTIVE FROM 01-09-2000 to 31-08-2002

FEROZSONS LABORATORIES LIMITED, NOWSHERA

SHORT RECITAL OF THE CASE:

(i) Whereas the Ferozsons Workers Union (Regd.) C.B.A of Ferozsons Laboratories Limited, Nowshera (herein referred to as ‘ C.B.A ‘ ) served charter of demand under section 26 (1) of I.R.O 1969, on the ‘Management” their letter No. 220/295 G.S.F.W.U dated 01-09-2000.

(ii) And Whereas the Management of Ferozsons Laboratories Limited, Nowshera herein referred to as ‘ Management ‘ Served their charter of Demand under section 26 (1) of the I.R.O. 1969 through their letter dated 08-09-2000

(iii) And whereas through tripartite negotiations held on various dates during the period 27-11-2000 to 15-02-2001 through Conciliator directorate of Labour, N.W.F.P, the following settlement has been arrived at between the parties and all other demands contained in the above referred demand notices stand withdrawn and dropped.

PACKAGE DEAL:

(i) In pursuance of section 26 (1) of I.R.O. 1969 and to provide relief in view of continuing rise in cost of living, the management agrees to grant Rs.450 (Rupees four hundred and fifty only) per worker per month to all workers upto Supervisor grade as a package against all financial demands submitted by the C.B.A in their charter of demands effective from 01-09-2000. Any increase announced by the Government in wages, allowances and benefits in the form of COLA or any other form during the operative period of this settlement, will be adjusted by the Management against the increase given under this settlement.

(ii) The amount of package has been distributed and adjusted against existing pay and allowances of workers after agreement with “C.B.A” any other financial impact increase, due to the distribution of package amount into various allowances and basic pay shall be appropriated from the package amount,, so that the overall increase in total emoluments of a worker in no way shall exceed thee agreed amount of Rs.450/-

(iii) The package amount of Rs. 450/- per worker per month will be distributed/adjusted as under :

(a) INCREASE IN BASIC PAY:

(i) One special increment will be given to all workers in their old grades.

(ii) New grades for all workers upto Supervisors will be given and any increase in Basic Pay due to grade refixation will be deducted from the package amount of Rs. 450/- The new grades will be as under:

Worker 550-40-910-50-1310
Grade III 600-45-960-55-1400-75-1925
Grade II 650-60-1130-70-1690-85-2370
Grade I 700-70-1260-85-1940-100-2740
Supervisor 750-80-1390-95-2150-120-3110

(b) MEDICAL ALLOWANCE:

Existing medical allowance of Rs.200/- is increased to Rs.4000/- (four hundred only) per worker per month.

(c) HOUSE RENT:

House rent of all workers will be increased by Rs 100/- (one hundred only)

(d) SPECIAL PAY

Any left over amount from the package of Rs. 450/-after above mentioned distribution/adjustment will be added to the existing special pay of the worker.

3. NOTIFICATION VIDE LETTER NO. SRO 876 (1) 2000 dated 11-12-2000

Rs 100/- (Rupees one hundred only) announced vide notification number SRO 876 (1) 2000 dated 11-12-2000 will be given to all workers as per notification only in addition to the package deal w-e-f 1-09-2000.

4. WORKING HOURS OF THE FACTORY

Every worker up to Supervisor grade will work for seven hours and thirty minutes per shift of eight hours thirty minutes. Therefore there will be only two breaks per shift of eight hours and thirty minutes. The two breaks will be distributed as under:

TEA BREAK - FIFTEEN MINUTES ONLY

LUNCH AND PRAYER BREAK - FORTY FIVE MINUTES ONLY

5. WASHING ALLOWANCE/FREE DISTRIBUTION OF SOAP

Free Soap will be given to all workers uptil 31st December 2000. That is 18 cakes of Bonus Laundry Soap and 12 cakes of additional Bonus Soap in lue of 8 cakes of Carbolic Bath Soap will be given to all workers per month uptil 31st December 2000 only. After 31st December 2000 each worker will be given Rs 195 per month in place of soap. This amount will be added to the existing washing allowance with effect from January 2001.

6. SPECIAL ASSISTANCE FOR BURIAL

Special assistance on the death of wife, husband or child of a worker will be increased from Rs. 700/- to 900/-

7. HAJJ SCHEME

As per prior settlement the company will continue to send one worker per year for the performance of Hajj on company expense.

8. OTHER CONDITIONS OF THE SETTLEMENT.

(i) It has been agreed by the parties that the settlement shall remain valid, in operation and binding upon the parties for the period of two years commencing from 01-09-2000 and ending on 31-08-2002.

(ii) The CBA has agreed and undertaken that during the period of validity of this settlement the CBA will not raise any fresh demand involving financial implication directly or indirectly or revive any of the demand or any matter contained in the above charter of demands that has been settled, withdrawn or dealt with under this settlement.

(iii) It has been agreed between the parties that any change in office bearers, member of the CBA in the event of their dissolution or creation of any body or union or declaration of new CBA shall not in any manner whatsoever effect the validity, operation, binding nature of this settlement or terms thereof.

(iv) The above benefits will be restricted to the workers in the grade of 550-40-910-50-1310 to 750-80-1390-95-2150-120-3110.

(v)In token of the above settlement the representatives of the CBA and Management, along with Conciliator, Directorate of Labour, N.W.F.P herewith affix their signatures below on this 15 day of February, 2001.

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Memorandum of Settlement between Ferozsons Laboratories Limited and Fersrozsons Workers Union - 2000

Start date: → 2000-09-01
End date: → 2002-08-31
Ratified by: → Other
Ratified on: → 2001-01-15
Name industry: → Manufacturing
Name industry: → Manufacture of basic pharmaceutical products and pharmaceutical preparations
Public/private sector: → In the private sector
Concluded by:
Name company: →  Ferozsons Laboratories Limited
Names trade unions: →  Fersrozsons Workers Union

WORKING HOURS, SCHEDULES AND HOLIDAYS

Working hours per day: → 7.5
Provisions on flexible work arrangements: → No

WAGES

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

Wage increase

Wage increase: → PKR 450.0

Once only extra payment

Once only extra payment: → PKR 450.0 %
Once only extra payment due to company performance: → No

Meal vouchers

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