FTZ & GSEU and Next Manufacturing Ltd entered into a Collective Agreement

HOME NEXT CA – BRIEF This collective agreement is entered between NEXT MANUFACTURING (PRIVATE) LIMITED and FREE TRADE ZONES AND GENERAL SERVICES EMPLOYEES UNION on 22nd October 2021 and is valid until 21st October 2023 (two years).

The company will engage in collective negotiation on the terms and conditions and consultation on the probable developments and measures, proposed changes that may lead to changes in the· Company's structure and organization, subject to the rights of the union to raise objections on decisions that are detrimental to the interest of the members and pursue those objections with the company; and disciplinary issues of the members. Consultation and Negotiation will be taken place setting up a Joint Negotiating and Consultation Committee (‘JNCC’) consisting of representatives of both sides. The JNCC must consist of 06 representatives of the company and Six Branch Union Representatives which include representatives from each of the divisions in the Company and two officials from the parent union.

For the annual consultation, the union and the company will meet six-monthly and if ad-hoc consultation is needed the Company will notify the Union or vice versa orally or in writing with reasonable notice. The annual negotiations (annual review) will be in October each year. Unless the parties agree otherwise the ad hoc consultation or negotiation process will not exceed 4 weeks in duration. Any future amendments implemented by the Company after the date of this Agreement to the wages, holidays, leave, Health & Safety, Education and training, Trade Union facilities, Production incentive, Bonus, Welfare, Benefits and loans, Meals, transport and other existing privileges and the Demands submitted by the branch union from time to time, shall be the subject of negotiation.

The company shall provide check-off facilities to the Union provided that the Union submits the written consent of each member to implement such facility and consent to deduct from their salary the monthly Trade Union membership fee and remit to the parent union.

Trade union representatives will be permitted two hours every month of paid time off work during working hours to take part in the Branch Union Committee meeting. For trade union representatives and will permit upon prior notice of one month and due verification of the authenticity of the education and training programme, paid time off to attend such appropriate trade union education and training programs, a half a day paid time off during working hours once every two months to attend the Meetings of the Parent Union, a half-day duty leave for the branch union members to attend the Annual General Meeting of the Union and the company will provide the facilities to hold this meeting at the factory premises if requested by the Union with prior notice of one month.

HOME NEXT CA – BRIEF Meetings of Union members may be held on the Company’s premises outside working hours within 1 hour before working hours commence and 2 hours after working hours. Meetings are not permitted on the Company’s premises on weekends (Saturday and Sunday) and public holidays. Such meetings will be open to all employees who are members of the Union. Union meetings may be held on the Company’s premises inside working hours up to two hours per month, provided that prior consent for such meetings shall be obtained from the Company by the Union with prior written notice of five working days.

The Union shall provide the Company with a timetable of regular Union meetings or give at least three working days’ notice of the intention to hold a meeting. Trade Union Representatives will be granted reasonable time off to attend the Parent union meetings and JNCC meetings for which they will receive their normal contractual pay, including normal daily bonus/allowances provided prior written notice of five working days are given to the Company. The Company reserves the right to deny the request if it is believed that the granting of such time off will interfere with business requirements.

The Company and the Union acknowledge that there may be occasions when either a temporary or a permanent change in circumstances necessitates the re-deployment of staff or that they are considered for redundancy. The Company and the Union will jointly deal with circumstances necessitating re­deployment and/or redundancy in agreement and on the strict principle of first coming last to go.

The Company and the Union are committed where appropriate to enter into joint procedural agreements for the benefit of the employees and acknowledge any joint agreements included in the appendices.

The Company and the Union agree that all new joint procedural agreements entered into after the date of this Agreement and the renewal of this agreement will be supplemental to this Agreement as appendices. A copy will be kept by the Company and the union and will be available for review at any time on request.

The Company and the Union are fully committed to the settlement of all the disputes that arise out of the agreement by voluntary agreement and will apply all their best efforts to that end in good faith. Both parties agree that the avoidance of disputes is of the paramount importance of both parties and that, whenever disputes arise, they should be promptly pursued and resolved through clear and effective procedures. Until the procedures outlined below are exhausted, up to and including the involvement of the Labour Commissioner, no sanction of either a partial or general nature shall be applied either by the Company or the Union including strike action, which would interfere with or prevent normal working and the status quo shall prevail.

In the event of a failure to agree following Collective Negotiation, either party may serve written notice on the other, invoking this Procedure and setting out the nature of the failure to agree. Within 10 working days, a maximum of 06 representatives from the company and the maximum 06 representatives from the branch union will meet and resolve the dispute. The timeframe for calling meetings (i.e., 10 working days) will apply wherever practicable. Where meetings cannot be arranged for justifiable reasons, a variation will be agreed upon by mutual consent. If the Branch Union and the Company is unsuccessful in resolving any dispute, representatives from the Parent Union must be invited for negotiations. If this Procedure specified above proves unable to deliver a settlement within 30 days, the matter may be referred with the agreement of both parties to the Labour Commissioner.

The Union agrees to provide prior written notice to the Company of seven working days, should they resort to any form of Industrial Action, including but not limited to: strikes, work to rule, overtime bans and go-slows.

The company will provide A Union filing cabinet, A space with desk and chair for the use of Union Representatives for trade union work only; The use of a telephone; The provision of two specific Union notices boards, The use of Company meeting rooms, following the Company meeting room booking process, Items that the Company and the Union shall agree from time to time.

The Company and the Union agree not to discuss any issue in respect of which Collective Negotiation or the Collective Consultation is to take place or is taking place between them, or any other issue which may be the subject matter of discussion between the parties from time to time, with any third party (including, for the avoidance of doubt, any form of media) other than their own advisors (including Global unions and alliances in which the union is affiliated), as required by law.

This Agreement may only be amended through discussion and the amendments being agreed upon in writing by both the Union and the Company. A review of the operation of the Agreement shall take place annually.

This agreement signed by,

On behalf of the company – David Reay, Director – Manufacturing, Next Manufacturing (Pvt) Ltd.

On behalf of the union – Anton Marcus, Joint Secretary, Free Trade Zone & General Services Employees Union.

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