Agreement for the Allotment of Service Quarters
This Agreement for the Allotment of Service Quarters is hereby made and entered into at___________, this_____ day of___________, 20____, between ABC Ltd., a Public Limited Company incorporated under the Companies Act, 1956/2013, having its registered office at_________________________, through its Executive Director Shri_____________________________, duly authorised by the Board of Directors, vide their Special Resolution No______, dated_________, hereinafter for the sake of brevity referred to as the “Said Company” (which expression, unless it be repugnant to the context and meaning thereof, shall include the Directors, officers, agents, servants and nominees of the Company duly authorised in that behalf as well as their successors-in-office, liquidators and assigns)
DEF, the Recognised Trade union of the workmen of the “Said Company” having its registered office at__________________, through its Secretary Shri____________________________, duly authorised by the Managing Committee of the aforesaid Trade union, vide its Resolution No______, dated______, hereinafter, for the sake of brevity, referred to as the “Said Trade Union” (which expression, unless it be repugnant to the context and meaning thereof, shall include its office bearers, servants, agents and nominees as well as their successors-in-office).
WHEREAS, the “Said Company” has been engaged in the business of production, sale and distribution of various chemicals, alkalis and dye-stuffs and carries on its business affairs by engaging a number of workmen (skilled, semi-skilled and unskilled), as well as clerical and management staff, most of whom are members of the “Said Trade Union”.
AND WHEREAS, the “Said Company” and the “Said Trade Union”, in the Wage Revision Agreement executed by them on________, inter-alia, had agreed to create a mechanism for providing service quarters to the workmen working in the “Said Company” and the latter on its part has agreed to create the necessary infrastructure along with requisite amenities and facilities in conformity with the Specifications contained in the aforestated Wage Revision Agreement [Clauses____ to _____ dealing with Demands regarding Service Quarters for the workmen of the Company] a copy whereof is annexed hereto as ANNEXURE-I.
AND WHEREAS, the “Said Company” has duly completed the construction of 10 buildings comprising 190 servants’ quarters for the residence of workmen working in factory and 2 buildings comprising 30 flats for the residence of administrative and managerial staff of the “Said Company”, all equipped with the amenities and facilities as stipulated in the aforestated Annexure-I, and in conformity with the Building Plans sanctioned by the____________ Municipal Corporation/Council/Nagar Panchayat/Industrial Townships etc. A detailed description of the entire Servants’ Quarters and the appurtenant amenities is set out in the Schedule of Property.
AND WHEREAS, on_________ the__________________ Municipal Corporation/Council/Nagar Panchayat/Industrial Township etc, after duly inspecting the construction work and the appurtenant amenities and facilities has issued the Occupation Certificate for the aforestated Service Quarters, the same are now ready for occupation in all respects as acknowledged by the “Said Trade Union” in its letter dated________, bearing No._______, addressed to the “Said Company”.
AND WHEREAS, it is necessary to reduce the broad terms and conditions of the aforestated Wage Revision Settlement into an Agreement, and to add supplementary, incidental and ancillary provisions thereto, both the parties hereto have decided to execute an Agreement on the following terms and conditions, which shall govern the allotment of Service Quarters to the workmen of the “Said Company”.
NOW THIS AGREEMENT FOR THE ALLOTMENT OF SERVICE QUARTERS WITNESSETH AS FOLLOWS:-
1] The “Said Company” hereby agrees to allot the Service Quarters as described in the Schedule of Property appended hereto, for and unto the use and enjoyment of the permanent and bonafide workmen (including administrative and managerial staff) of the “Said Company” and the “Said Trade Union” on its part agrees to accept the aforestated allotment which is proposed to be made to the beneficiary allottees. The “Said Trade Union” hereby agrees and undertakes to countersign the Letters of Allotment to be issued to the beneficiary allottees, in token of the acceptance of allotment, besides the concerned allottees and such acceptance shall bind the “Said Trade Union” independently of the concerned allottees vis-à-vis the liabilities and obligations arising therefrom;
2] The “Said Trade Union”, upon a thorough and comprehensive examination of the Service Quarters and the appurtenant amenities and facilities attached thereto, hereby declares and reiterates that the said works have been duly completed in accordance with the Stipulations contained in Annexure-I in general and in conformity with the sanctioned building plans, in particular. The “Said Trade Union” hereby agrees and undertakes not to make any grievance in future vis-à-vis the quality of construction and building amenities;
3] Both the parties hereto agree and reiterate that only a bonafide workman (including member of the administrative and managerial staff) in the permanent employment of the company shall be entitled to claim the service quarters. Both the parties hereto clarify that a workman shall not be considered a bonafide workman, if he has been found guilty of a criminal charge involving serious moral turpitude, or has the criminal antecedents to his discredit or he has been declared an insolvent by a court of competent jurisdiction or has ever been found guilty of misconduct in disciplinary proceedings. However, a workman against whom disciplinary proceedings are pending may be considered eligible for allotment, subject to the condition that he/she shall vacate the Service Quarters upon being found guilty in the Disciplinary Enquiry conducted by the Enquiry Officer in accordance with the Standing Orders ratified by the parties. If any doubt arises as to whether a workman is a bonafide workman or not, the decision rendered by the Joint Committee of Management and Trade Union shall be final and binding upon the parties;
4] The “Said Company” hereby agrees to allot the Service Quarters to such of the permanent and bonafide workmen as are nominated by the “Said Trade Union” as per the List of Seniority maintained by the latter and such Seniority List shall be prepared objectively by taking into account the length of service of the concerned workman;
5] Both the parties hereto agree and reiterate that the allottee workmen shall occupy Service Quarters only during the subsistence of their employment and on superannuation, premature retirement or cessation of employment owing to whatever cause, the concerned workmen shall be liable to vacate the Service Quarters and hand over vacant and peaceful possession thereof to the Estate Officer appointed by the “Said Company”, in the same condition in which they stood at the time of allotment, due regard being had to the normal wear and tear. Both the parties hereto agree and reiterate that upon the superannuation of the allottee workman or in the event of cessation of employment owing to the death of the allottee, the concerned workman or the family of the deceased workman shall be given a grace period of 6 months to retain the Service Quarters and upon the expiry of such grace period the former workman or the family of the deceased workman shall be liable to vacate the Service Quarters. Any lapse or negligence on the part of the former workman or the family of the deceased workman in vacating the Service Quarters shall render them liable to pay a penalty of Rs________/- (Rs__________________ only) per day during the period when the default continues. Both the parties hereto agree and reiterate that the “Said Company” shall be entitled to withhold the Service dues of the outgoing workman until he/she or the family of the deceased workman vacates the Service Quarters in their possession peaceably;
6] Both the parties hereto agree and reiterate that the beneficiary allottee shall be entitled to hold the Service Quarters allotted to him/her without paying any rent/premium/royalty etc. However, the beneficiary allottee shall be liable to deposit a sum of Rs________/- (Rs_________________________ only) with the Estate Officer of the “Said Company” towards Security Deposit, which shall be appropriated in the event of any damage, loss or defacement being caused to the concerned Service Quarters. The “Said Trade Union” hereby agrees and reiterates that the deposit of Security Deposit shall be an essential pre-condition for the allotment of Service Quarters and if a workman fails to pay such deposit the amount thereof shall be deducted from the emoluments payable to him. The “Said Trade Union” further agrees and reiterates that the Estate Officer of the “Said Company” shall be competent to decide the quantum of loss, damage or defacement caused to the Service Quarters and he shall be competent to demand and levy any additional amount or to make up the shortfall thereof;
7] The “Said Trade Union” hereby agrees and undertakes that it shall ensure at all times that the Service Quarters allotted to the beneficiary allottees are used only for the residence of the workmen and their respective families and that the Service Quarters or any part thereof shall not be sub-let to any person, whatsoever and shall not be used for any purpose other than the residence of the concerned workman. The “Said Trade Union” further agrees and reiterates that if any workman or a person claiming under him/her, is ever found to have indulged in any unlawful, illegal or illicit trade or like activities from the concerned Service Quarters, such workman shall forfeit his right to hold the Service Quarters allotted to him/her and shall further be liable to vacate the concerned Service Quarters peaceably. The “Said Trade Union” further agrees that in such an event the concerned workman shall forever forfeit the right to seek any other Service Quarters in future, besides being liable to face such disciplinary action as the “Said Company” may determine;
8] The “Said Trade Union” hereby agrees and reiterates that the beneficiary allottees shall not make or cause any permanent or structural changes to be made in the Service Quarters allotted to them and that violation of this stipulation shall render the defaulting allottee liable to forfeit the Service Quarters allotted to him/her. Nevertheless, it is agreed by and between the parties that beneficiary allottee at his/her own cost may carry out such internal renovation works (including painting works) which do not interfere with the structural character of the building where the Service Quarters are located with prior permission in writing of the Estate Officer of the “Said Company”. In such an event the decision of the “Estate Officer” shall be final and binding upon the parties. Moreover, if the concerned local municipal body objects to such renovation works, the concerned workman shall be liable to restore the premises to their former position, entirely at his/her own cost and expenses;
9] The “Said Company” hereby agrees and undertakes to maintain all the buildings and structures accommodating Service Quarters as well as the appurtenant amenities and facilities, in tenantable repairs at all times and for that purpose hereby creates a permanent fund to be called the “Employees Quarters Repairs Fund” – with an initial endowment of Rs______/- . The “Said Company” hereby agrees and undertakes to contribute each year a sum equivalent to 0.5% of the net profits of the company towards the aforesaid Fund, subject to the maximum of Rs______/- (Rs______________ only). Notwithstanding the aforesaid stipulation, the company shall only be liable to contribute a sum of Rs__________/- (Rs___________ only) towards the aforesaid fund, if the company posts a net loss for any accounting year;
10] The “Said Trade Union”, hereby agrees and reiterates that nothing herein contained shall be construed to create a Tenancy or such similar right in favour of the beneficiary allottee to the detriment of the “Said Company” and that the concerned allottee or his/her family members shall be liable to vacate the Service Quarters upon cessation of the employment, subject to the stipulation contained in paragraph  above. The “Said Trade Union” further declares that a workman or his/her family members occupying/retaining the Service Quarters after cessation of employment shall be deemed to be trespassers and that in such event the “Said Company” shall be entitled to initiate such appropriate action as warranted by law to recover possession of the Service Quarters.
SCHEDULE OF PROPERTY
IN WITNESS WHEREOF, both the parties hereto have set and subscribed their respective hands to this writing on the day, month and year mentioned hereinabove.
Signed, sealed and delivered by
ABC Ltd., the withinnamed
“Said Company” through
Executive Director duly
authorised by Board of Directors,
vide their Resolution No______, dt______,
in the presence of Witness:-
Executive Director of ABC Ltd.
The “Said Company”
Common Seal of the Company.
Signed, sealed and delivered by
DEF, the withinnamed
“Said Trade Union” through
Its’ Secretary Shri______________,
duly authorised, vide Resolution No______,
dt______, of the Managing Committee
in the presence of Witness:-
Secretary of DEF
The “Said Trade Union”
Wage Revision Agreement executed on___________.