The Kenya Chemical and Allied Workers Union (Kcawu) has obtained the services of an auctioneer, in preparation of auctioning East Africa Portland Cement Company’s (EAPCC) property to recover Ksh1,401,585,364 the company owes to workers.
This follows the cement manufacturer failure to fully implement 2013–2015 Collective Bargaining Agreement (CBA) covering 600 workers.
In a court case filed by Kcawu, they required payment of Ksh1 billion to over 600 contract staff since 2013 being CBA arrears for the period 2013 to 2015, which up to date have risen to Ksh1.4 billion.
In the court case, the manufacturer of Blue Triangle cement brand had conceded that the dues paid to staff on contract are different from that paid to staff who are permanent employees though unionisable.
The reason EAPCC advanced for this was that putting the wages on the same level is unsustainable and if implemented it would require Ksh71.3 million per month which funds are not available.
The firm added that this can lead to redundancies being undertaken, which can lead to loss of employment of over 632 contract staff.
Justice Wasilwa, however, said that by conceding that they are paying staff on contract less than those on permanent basis, EAPCC have breached the terms of the CBA.
EAPCC and Kcawu have negotiated CBAs since 1961. However, the contract employees were not covered by the CBA until 2011.
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