Hotel Consultative Forum Founding Agreement

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HOTEL CONSULTATIVE FORUM FOUNDING AGREEMENT

BETWEEN

South of Africa

and the

Management, Professional and Administrative

Employee Interest Group and the

Non-management Bargaining Unit

Employee Interest Group

HotelConsultativeForumFoundingAgreement.doc

Initials: …………… …………… ……………. …………… …………… ……………

CONTENTS / PageNo.
1 / AgreementtoEstablishaHotelConsultativeForum………………… / 3
2 / Purpose ………………………………………………………………………… / 3
3 / Parties ………………………………………………………………………….. / 3
4 / Scope …………………………………………………………………………… / 3
5 / Date ofComing Into Force of this Founding Agreement ……………… / 3
6 / Duration ………………………………………………………………………… / 3
7 / HCF Protocols ………………………………………………………………… / 4
7.1 / Representatives ………………………………………………………………. / 4
7.1.1 / Number of Representatives ………………………………………………… / 4
7.1.2 / Appointment as a Representative …………………………………………. / 4
7.1.3 / Alternates toRepresentatives ……………………………………………… / 4
7.1.4 / Terminationas a Representative ………………………………………….. / 5
7.1.5 / Replacement of a Representative …………………………………………. / 5
7.2 / Meetings ……………………………………………………………………….. / 5
7.2.1 / Frequencyof OrdinaryMeetings of the HCF……………………………. / 5
7.2.2 / Additional OrdinaryMeetings of the HCF ……………………………….. / 5
7.2.3 / HCFWorking Group Meetings …………………………………………….. / 5
7.2.4 / Duration ofMeetings ………………………………………………………… / 5
7.3 / Meeting Procedures …………………………………………………………. / 6
7.3.1 / Chairing ofMeetings ………………………………………………………… / 6
7.3.2 / Quorum ofMeetings ………………………………………………………… / 6
7.3.3 / Agendas of Meeting ……………………………………………………….. / 6
7.3.4 / Minutes of Meetings ………………………………………………………… / 6
7.3.5 / Observers ……………………………………………………………………… / 6
7.3.6 / Facilities and Expenses …………………………………………………….. / 7
8 / Dispute Resolution ………………………………………………………….. / 8
8.1 / DisputesRelating to Matters Covered bythe Employment
EquityAct, 1998 ……………………………………………………………… / 8
8.2 / DisputesRelating to Matters Covered bythe SkillsDevelopment
Act, 1998 …………………………………………………………………….. / 8
8.3 / All other Disputes ……………………………………………………………. / 8
9 / Attestation …………………………………………………………………….. / 8

1. Agreementto EstablishaHotel Consultative Forum

At a working meeting of representatives of various employee interest groupings and representativesoftheSouth of Africa heldat on

20___therepresentativespresentunanimouslyagreedtoestablishaHotel

ConsultativeForum(HCF) meeting structure tooperate within theSouth of Africa .

2. Purpose

ThepurposeoftheHCFistopermitrepresentativesofvariousemployeegroupingstomeetwith representatives of the South of Africa in order toconsult overmatters that:

2.1Legislationrequiresthatconsultationtakeplacebetweentheemployerandemployees(i.e.in terms of theEmployment Equity Act 1998, the SkillsDevelopmentAct 1998 and the like); and

2.2Anyothermatterthatimpactsontheworkinglivesofallemployeesoronthebusinessofthe companywhereallpartiestotheHCFagreethatitwouldbebeneficialfortheHCFtoconsult over such matter.

3. Parties

The parties tothe HCF are:

South of Africa (the“company”);

South of Africa Management,ProfessionalandAdministrativeEmployee

Interest Group (the management group”); and the

South of Africa

Non-managementEmployeeInterestGroupEmployees

(the non-management bargaining unit).

4. Scope

The HCF representstheinterests of all employeesemployed bythecompany withinthe borders of theRepublicofSouthAfrica,engagedintheLiquorandCateringTrade(commonlyreferredtoasthe HospitalitySector).

5. Date ofComingIntoForceofthisFoundingAgreement

This founding agreementto establishtheHCF will comeintoforce from the dateon which theparties signthis foundingagreement.

6. Duration

Thisfoundingagreementwillremaininforceindefinitelyoruntilsuchtimeas:

6.1Thepartiesagreetoamendallorpartofthisfoundingagreement,providedthatanysuchagreed amendment is in writing and is signed by the parties in the same manneras this founding agreement;or

6.2 Anypartygivesnoticeofterminationintermsofsection23(4)oftheLabourRelationsAct,1995.

7. HCFProtocols

7.1 Representatives

7.1.1 NumbersofRepresentatives:

Theparties totheHCFshallhavethefollowingnumbersofrepresentatives:

7.1.1.1 the companyrepresentatives tothe HCFshall number4 being 3 representatives in thefull-timeemploy ofthecompanytogetherwiththecompany human resources consultantwhenavailable;

7.1.1.2 themanagementinterestgrouprepresentativestotheHCFshallnumber2;and

7.1.1.3 thenon-managementbargainingunitrepresentativestotheHCFshallnumber2 being2shopstewardswhoareinthefull-timeemployofthecompany.

Note: Fromtimetotimethenumbersofrepresentatives mayvary subjectto changingcircumstancesbutrepresentationshallnot belessthanthat detailed above,subjectto therepresentativesofinterest groupsbeing diverseintermsofgender,race,disabilityand anyotherfactorof importance.

7.1.2 AppointmentAsARepresentative:

Subjecttothenote under 7.1.1.3above,therepresentativesof partiesshallbeappointedas follows:

7.1.2.1 Thecompanyshallappointits2personstorepresenttheCompanyintheHCFfrom amongst its Senior Management and/ or General Manager, together withthe Company’sHumanResourcesConsultant.

7.1.2.2 The middle management interest group representatives to the HCF shall be selected by the company using the criteria of adequate representation from amongstthedesignatedgroups,non-designatedgroups and all occupational categories and/orlevelswithinthemiddlemanagement, professional and administrativeinterestgroup;and

7.1.2.3 Wherethereexistsamajorityrepresentativetradeunioninthenon-management bargainingunittheUnionshallappoint thenon-management representativestothe HCF and such representatives shall bethe 2shop stewards who are inthefull-time employofthecompany.

7.1.2.4 Where the workplaceis not unionized,the Company shall facilitate the electionof non-management representativestotheHCFfromamongsttheHotel’sfull-time employees.

7.1.3 Alternates toRepresentatives:

Each partytothe HCFmay designate asinglealternate whoshall receive copies of all minutes andcommunications in respect of the HCF in orderthatsuch alternate is kept informed/ updated and may,atshortnotice,attendmeetingsoftheHCFin theabsenceofa party’srepresentativetotheHCF.

7.1.4 TerminationasaRepresentatives:

A representative of a party shall ceasetobe a representative inany ofthefollowing circumstances:

7.1.4.1 Resignationasanemployeeofthecompany;

7.1.4.2 Terminationof employmentwiththecompanyinthecaseofa representativewhois anemployeeofthecompany;

7.1.4.3 Resignation as a representativetothe HCF providedthat such resignationisgiven inwritingtotheHCFwithaminimumnoticeperiodof30calendardays;

7.1.4.4 Promotionofarepresentativewhoisafull-timeemployeeof thecompanytoajob positionoutsideoftheinterestgroupforwhichthepersonwasarepresentative;

7.1.4.5 Termination asa result of representationby 50% or more of employees engagedin the Management, Professional,Administration InterestGroup or by 50% or more of UnionmembersengagedintheNon-ManagementBargainingUnitInterest Group whilsttheUnionretains50%ormorerepresentivity amongstemployeesinthe Non- ManagementBargaining Unit Interest Group.Shouldthe Union’s representivity fall below 50% of the employees in the Non-ManagementBargaining UnitInterest Groupthenthepartiesshallmutuallyagreeastotherepresentationthatwillapply.

7.1.4.6 Extendedtemporarydisablement,permanentdisablementordeath.

7.1.5 ReplacementofaRepresentative:

Whenever anappointed representativehas tobe replacedthe party responsibleforthe appointment shall be responsible interms of 7.1.2 aboveforthe appointment of a replacementwithin30calendardaysoftheterminationofarepresentative.

7.2 Meetings

7.2.1 FrequencyofOrdinaryMeetingsoftheHCF:

TheminimumnumberofordinarymeetingsoftheHCFwillbe3peryear

7.2.2 AdditionalOrdinaryMeetingsoftheHCF:

The parties may agreeto hold additionalordinary meetings of the HCF in excessofthose prescribed in7.2.1 aboveprovided that all partiesagree that there are matters for consultationthatjustifytheholdingofadditionalordinarymeetingsoftheHCF.

7.2.3 HCFWorkingGroupMeetings:

The partiestothe HCFmay mutuallydelegateanyaspect ofmattersforconsultationto one ormoreHCFworkinggroupsmadeupofrepresentativesfromtheHCFprovidedthat all partiesagreethatanymatterforconsultationwillbeexpeditedbysuchdelegation.

7.2.4 DurationofMeetings:

The partiestoany meetingdetailed in 7.2.1to 7.2.3 above shall agree as to the duration of anymeetingscheduled.

7.3 MeetingProcedures

7.3.1 ChairingofMeetings:

MeetingsoftheHCFshallnotfunctionwithaformalchairperson,however, eachpartyshall appoint one of its representatives as its principal spokesperson for the purpose of such principalspokespersonto:

7.3.1.1 maintaincourtesy,respect,disciplineandorderinmeetings,whenrequiredtodo so;andto

7.3.1.2 co-ordinateofhis/herparty’srepresentativesregardinganyworkoradministration thatisrequiredoutsideofmeetings;andto

7.3.1.3 liaise between the principal spokespersons of the parties outside of meetings whenever thisproves necessary for the smooth operation ofthe HCF or for workof theHCFtobeprogressed.

7.3.2 Quorumofmeetings:

The minimum number of representatives ofthe parties that are requiredinorder fora meetingtoprecedewillbe:

7.3.2.1 Twointhecaseofthecompanyrepresentatives;

7.3.2.2 Twointhecaseofthemiddlemanagementgrouprepresentatives;and

7.3.2.3 Twointhecaseofthenon-managementbargainingunitrepresentatives.

7.3.3 AgendaofMeetings:

The Company shall, with reference to the Minutes/ Notes of the previousHCF Meeting andtakingcognisanceofanyinputssubmittedbyanyparty,compileaproposed agenda foranymeetingheldintermsof7.2above,subjecttotherepresentativesinattendance atanysuch meetingbeingrequiredtoconfirmtheactualagenda atthestartofanysuch meeting.

7.3.4 MinutesofMeetings:

Thecompanyshallberesponsibleforthetakingofnotesandtheproductionofsummary minutesofeverymeetingdetailedin7.2.above.

7.3.4.1 Thecompanyshallattempttocirculatethesummaryminutesofanymeetingas soonasispracticablypossibleafterthecloseofthemeetingbutbeforethestartof thenextmeeting,ifpracticablypossible.

7.3.4.2 Giventhelimitedtypingfacilitieswithinthecompanywherethecompanyisunable tocomplywiththeaboverequirementsitshallreportitsinabilitytoconcludeand circulatethesummaryminutesatthenextmeeting.

7.3.5 Observers:

Theparties toanymeetingdetailedin7.2abovemaymutuallyagreetoallow theattendance ofanypersonorpersonsinanobserverstatusandmay:

7.3.5.1 allowanobservertobeinattendanceforthetotaldurationofthemeetingortolimit suchattendancetoaspecifictimeortothediscussionofaspecificagendaitem; and/or

7.3.5.2 allowanobservertoinformallyaddressthemeetingiftherepresentativespresent agreethatinputfromtheobservermayassisttherepresentativesonanymatter.

7.3.6 FacilitiesandExpenses:

7.3.6.1 Atanymeetingheldintermsof7.2.abovethecompanyshallberesponsiblefor makingthearrangementsnecessaryforthe:

a) venuetobeusedforanymeeting;

b) refreshments;

c) releaseofrepresentativestoattendanymeeting;and

7.3.6.2 Thecompanyshallberesponsibleforpaymentofthe:

a)salariesofrepresentativeswhoarefull-timeemployeesofthecompanyforthe ordinaryhoursofworkspentattendinganymeeting;

b) costofanyvenueusedforanymeeting;

c)costofanyrefreshmentsandmealsprovidedatanymeetingwheresuchmeetingis beingconductedoveranormalmealtime(i.e.breakfast,lunchorsupper);and

8. DisputeResolution

In all cases where a dispute is declaredby any party individually or by one or more parties together concerning the interpretation or application ofthisfounding agreement or adispute concerning any matterthat thepartieshaveagreedtoconsultuponthenat themeetingat whichthedisputeis declaredtheRepresentativespresentwillarrangeorscheduleadisputemeetingoftheHCF.

TheRepresentativesin attendanceatsuchdisputemeetingwillattempttoresolvethedisputeandto this end mayschedulefurther disputemeetings.If,however,the parties failtoresolve the dispute theyshalldecideastowhichofthefollowingdisputeresolutionmechanismstofollow:

8.1 DisputesRelatingtoMattersCoveredbytheEmploymentEquityAct,1998

Theparties shalladhere to theprovisionsfordispute resolution in theEmployment Equity Act, 1998 andspecificallytosection10orsection52 readwithsections46to50inclusive.

8.2 DisputesRelatingtoMattersCoveredbytheSkillsDevelopmentAct,1998

The parties shall adhere to the provisionsfor dispute resolution in the Skills Development Act, 1998 andspecificallytosection19orsection21therein.

Note:Employees, either individually or collectively, may refer any actual or perceived contraventionof the provisions of eitherthe Employment EquityAct, 1998 orthe Skills DevelopmentAct,1998toarepresentativeto theHCFwhowilleither:-

(a) addressthematterdirectlywith theemployee(s);or

(b) raisethematterattheHCF.

8.3 AllotherDisputes

The parties shall referthedisputeto the Commission for Conciliation andArbitration (CCMA) in termsoftheLabourRelationsAct,1995.

9. Attestation

ThisSouth of Africa HotelConsultativeForumFoundingAgreementhaving beenagreedbetweenthepartieshereto willcomeintooperation witheffectfromthedateof signingbytheparties.

DATEDAT ONTHIS DAYOF 20 .

ForandonbehalfoftheSouth of Africa (theCompany)

forandonbehalfoftheManagement,ProfessionalandAdministrativeEmployee InterestGroup

forandonbehalfofthe UnionandtheNon-managementBargaining

UnitInterestGroup

forandonbehalfofthe UnionandtheNon-managementBargainingUnit

InterestGroup

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