Chandarana Foodplus Supermarket is set to have a higher wage bill following the signing of a fresh two-year collective bargaining agreement (CBA) whose first phase will see more than a thousand of its unionisable staff get an eight percent pay increase.
The retailer’s about 1,100 unionisable employees will then receive a salary raise of nine percent during the second phase that kicks in February 2020.
The first phase of the 12th CBA, which has been backdated to February 28 this year, will see the highest paid workers (Category 6) comprising cashiers and heavy-duty commercial vehicle operators earn Sh2,462.20 more to take home Sh33,239.65 minimum monthly basic wages exclusive of housing allowance.
The second highest earning employees (salespeople and crawler tractor drivers) will now earn not less than Sh27,631 up from Sh25,585. The lowest earning employees (Category 1) will earn Sh14,957.96 in basic wages exclusive of the housing allowance, a Sh1,235 increase.
Housing allowance equivalent to 17 percent of the basic salary remains unchanged.
The pay deal was signed on Wednesday between the Kenya Union of Commercial, Food and Allied Workers, Chandarana Supermarket Limited and the Federation of Kenya Employers.
“The Group and the Union meeting together in a free and voluntary association agree and enter into foregoing agreement negotiated between them at the joint negotiating committee,” reads the CBA co-signed by Chandarana managing director Dipan Thakkar.
The family-owned retailer’s contribution towards the demise of an employee has also been revised upwards by Sh5,000 to Sh25,000.
It is also expected to provide a coffin, transport and send at least four employees to represent the retailer.
The firm is also expected to provide a pair of uniform to the staff every year and provide a bar soap every month to help the employees keep them clean.
Employees shall also receive a two week’s notice before they are transferred across towns to another branch.