Chandarana Group of Supermarkets staff are set to get a 10 per cent pay rise in the second phase of a collective bargaining agreement (CBA), which is set to raise the retailer’s wage bill by a similar margin.
The retailer has 761 unionisable employees who will benefit from the pay increase.
The second phase of a two-year CBA, backdated to March this year, will see the highest paid employees comprising cashiers and heavy commercial vehicle drivers earn Sh29,288 every month exclusive of house allowance.
The unionisable employees will get a housing allowance equivalent to 17 per cent of the basic salary.
The pay deal was signed a week ago between the Kenya Union of Commercial, Food and Allied Workers (Kucfaw) and the Chandarana Group of Supermarkets.
“All unionisable employees confirmed in the appointment by 28th February, 2017 shall get a general wage increase of 10 per cent.
All employees confirmed in the appointment by 28th February, 2018 shall get a wage increase of nine per cent,” reads the CBA co-signed by Chandarana managing director Dipan Thakkar.
“This agreement shall remain effective from 1st of March, 2017 and it shall remain in force for a period of 24 months.
Thereafter, it shall continue in force until it is amended by mutual agreement between the two parties.”
According to the new deal, category five employees made up of salesmen and crawler tractor drivers will earn Sh24,342 as general clerks, telephone operators, receptionist and storekeeper receive Sh20,027.
Shop assistants, copy-typists and light duty car drivers will earn Sh17,565 as general labourers, cleaners and messengers receive Sh13,027 every month.
Night shift meal allowance will rise to Sh120 up from Sh100 as those who work overtime will be paid at 1.5 times the normal hourly rate.
Safari allowance per employee a day will be Sh1,765, breakfast, lunch, dinner and accommodation inclusive.
Employees on Chandarana’s payroll will also be entitled to an annual paid sabbatical of 26 days and a leave travelling allowance of Sh3,300.
Chandarana will also be expected to provide a coffin, transport and make a contribution of Sh20,000 following the death of its employee.
Chandarana is a family-owned retailer operating nine outlets in Kenya. It has grown from a tiny grocery store started in 1964 in Eastleigh, Nairobi.