KD Sacco Human Resource Policy

KYABUGIMBI DEVELOPMENT SAVINGS AND
CREDIT COOPERATIVE SOCIETY (KD SACCO)

LIMITED
HUMAN RESOURCE POLICY MANUAL

SACCO Human Resource Policies and Procedures
TABLE OF CONTENTS
1.0 HUMAN RESOURCE POLICY page number
1.0 Introduction ------------------------------------------------------- 3

2.0 Staff Recruitment---------------------------------------------------------- 3
3.0 Contract of service---------------------------------------------------------4
4.0 probationary/training periods--------------------------- 5
5.0 staff promotion ……………………………………………………..5
6.0 transfers to parallel position………………………………………………6
5.0 Office hours, public holidays, overtime--------------------------- 3
5.1 Absence from work-------------------------------------------------7

5.2 Office hours------------------------------------------------------------7
5.3 Public holidays--------------------------------------------------------8
5.4 Compassion leave--------------------------------------------------8
5.5 Annual leave----------------------------------------------------------8
5.6 Sick leave---------------------------------------------------------------8
5.7 Maternity leave-------------------------------------------------------8
5.8 Paternity leave--------------------------------------------------------9
5.9 Study leave-------------------------------------------------------------9
6.0 Remuneration, incentives, and separation--------------------------9
6.1 Salaries and wages--------------------------------------------------10

6.2 Incentive/ Bonuses---------------------------------------------------10
6.2 Allowances--------------------------------------------------------------11
6.4 Staff Development---------------------------------------------------12
7.0 Separation/Termination---------------------------------------------------13
8.0 Disciplinary procedures--------------------------------------------------15
8.1 Conduct------------------------------------------------------- --------15
9.0 Confidentiality action-----------------------------------------------------21
9.1 Basis for disciplinary action---------------------------------------21
9.2 Disciplinary procedures-------------------------------------------21
10.0 Grievances-----------------------------------------------------------------------22
10.1 Grievances handling---------------------------------------------------------22
Appendices 23-37
1.0 Introduction
2
The Board shall recruit, retain and terminate management and staff following these
human resource policies and procedure, the SACCO bye laws and the relevant laws of
Uganda
2.0 STAFF RECRUITMENT
I. For certain job positions, local knowledge of culture, landscape and language
shall be considered.
II. SACCO shall give equal opportunity to candidates without discrimination on the
grounds of race, sex or religion.
III. Prior to recruitment to any post the Board must prepare a detailed job description
stating duties, responsibilities which must be performed, essential qualifications,
salaries and wages for the post.
IV. Vacant posts shall be advertised publicly and/or internally and recruitment may
also take place through internal promotion.
V. Applicants shall then be short listed and interviewed against specific criteria
panel. The panel is free to co-opt relevant people with the required expertise.
The most suitable and qualified/ experienced person shall be offered the post on
probation.
VI. References and verification of information (written or by phone) should be sought

from previous employers prior to appointment.
VII. No person shall be employed by SACCO unless such a person
a) Has attained the age of 18 and is less than 65 years.

b) Has appropriate documentary evidence i.e. qualifications for the post as specified
by the SACCO.
c) Is of sound mind
d) Shall not have been convicted of civil or criminal offence.
VIII. The appointment of an employee shall be approved by the Board and
communicated to the employee in writing.
2.1.0. Contract of service
3.1 On appointment every member of staff shall receive a letter of

appointment, which will state the position, salary and benefits, and
duration. The letter of appointment signed by both the employee
and the SACCO constitute part of contract of employment of the
employee in the SACCO.
3.1.2. Before taking employment, all employees will be required to;
3
a) Sign a contract acknowledging and accepting the terms and conditions as set out
by the SACCO.
b) Sign acknowledgement and accepting the conditions set out in the code of
conduct and complete the personal history form honestly (a personal history form,
records all information including previous employment, education family
members etc.). It is an act of misconduct to withhold or to declare false
information regarding previous convictions dismissal or reasons of dismissals on
the personal history form.
c) Resign from any other job or any other employment
3.2.0 Terms of employment shall cover the following:
a) Probationary: Staff will serve on probation for a period of 3 to 6 months after

which they will be appraised. Staff on probation shall not be eligible for
promotion. Confirmation in the post, extension of probation or termination of
employment will be done after the appraisal.
b) Contracts: Staff can be appointed on contract terms whose duration will depend
on the necessity of post or task. Terms of contract will be signed on standard
contract form designed by the Board.
3.2.1. Job Description: The newly appointed staff terms and conditions
shall include his or her job description.
3.2.2. The minimum staffing of the SACCO shall include the manager,
the cashier and the loans/credit officer whose job description are
shown in (Appendix 1)
4. PROBATIONARY/TRAINING PERIOD
4.2. All newly recruited employees shall be considered to be on trial for a

period of three (3) months from the date of hiring. During this period,
employment of such employees may be terminated without the necessity
for written notice on either side and without any recourse whatsoever.
4.3. All newly recruited employees shall be given a training period of not less
than thirty (30) days.
4
4.4. During probation period, the supervisor should observe the employee to
determine his/her aptitude for his work, level of competency and
professionalism, his/her attitude towards co-workers, together with his/her
record of punctuality. At the same time, the employee will have the
opportunity to decide whether or not he/she likes the new job.
4.5. If this evaluation shows that the new employee is well placed and
adjusting, then the Board will confirm in writing his/her appointment.
4.6. If the employee has not successfully completed his/her probation then the
period can be extended for one month. On the other hand in the opinion of
the Board, if it does not seem likely that the employee will adjust to the
needs of the SACCO, his/her services are terminated.
5. STAFF PROMOTION:
5.2. The SACCO shall promote employees on the basis of competence and
potentiality. The promotion shall depend upon the recommendations to the
Board from the manager as well as existence of an open position to be
filled.
5.3. Persons promoted must, however, meet approved qualifications standards for
the position to which they are promoted and shall have rendered fully
satisfactory service in the position from which currently serving in.
5.4. The Board may, in its discretion, assign an employee to fill a higher grade
vacancy on a trial, or trainee basis, provided he/she is fully qualified to
perform all of the duties of the position.
5.5. Any employee trying out for promotion will be permitted to return to his/her
former position if he/she fails to qualify.
6. TRANSFERS TO PARALLEL POSITION
I) KD SACCO reserves the right to transfer an employee from one

department or area to another as long as the job transferred to, is within
the employee's competence, training and qualification and the job is
similar or equal in responsibilities.
ii) No salary increase shall be provided in relation to transfers.
iii) A probationary period not exceeding three (3) months may apply.
iv) Transfers should be viewed by the employee as a means of personal

development and a broadening of job knowledge and experience.
7. STAFF APPRAISAL
5
7.2. Staff appraisal shall be done annually. Members of the staff shall fill in an
appraisal form (Appendix 3) the content of which shall be discussed
openly with the immediate supervisor. The Board will appraise the
manager.
7.3. The management shall discuss with the members of the staff about their
appraisal clearly pointing out the concerned person’s weaknesses and
strength.
7.4. For serious cases such as misconduct, indiscipline, incompetence,

dishonesty, fraud, the advice shall be in writing. Every effort shall be
made to ensure that a member of staff reported on fully understands how
his/her work falls short of required standards to enable him/her use this
opportunity to rectify his/her short comings.
7.5. The manager/Board must record it on file that the member of staff has
been advised on his or her performance. Such comments on members of
staff shall be made objectively.
7.6. Relevant actions such as merit awards; promotions, demotions, salary

increments shall be taken based on such management/Board comments.
8. OFFICE HOURS, PUBLIC HOLIDAYS AND OVER TIME
3.1. Absence from work
a) Management must be given prior notice and permission sought for absence from
work
b) Managements must be informed on absence from duty through illness or other
unexpected/ unavoidable occurrences(s)
c) Absence from the work from more than 2 days to illness must be evidenced with
the medical certificate on resumption of duties.
3.2. Office hours

a) The normal working hours shall be:
b) Monday- Friday 8:00am to 4:00pm
c) Lunch Break 1:00- 2:00pm
d) Saturday 8:30-1:00pm
e) However the SACCO staff shall always have their lunch at the SACCO premises
to enable them serve their clients even during lunch break.
f) The loans/ credit officer shall plan their time to achieve their goals whilst
recognizing the need of clients who are only available in the evenings or on
weekends.
6
g) Punctuality is an absolute requirement

h) Every employee shall, if so required by manager be on duty at times other than
those stipulated above.
i) overtime
As a general rule the SACCO does not pay for overtime work since an employee
required to work outside the normal hours can, by arrangement have the time adjusted
at a later, convenient time. If however, it becomes necessary to pay for overtime work
such payment can only be made in respect of overtime work which has been
authorised and scheduled by your supervisor.
The working hours for staff in the projects can be different from those stipulated
above and the employee shall be required to work a total of eight hours per day.
8.3 Public holidays

SACCO shall be closed during public holidays that are formally recognized by the
government of Uganda.
8.4 Compassionate Leave

Compassionate leave of not more than 7 days may be granted to attend personal business
such as funerals of biological children, siblings, spouse and parents.
8.5 Annual Leave

I. After completion of the first twelve (12) months of continuous service, all
members of staff shall be eligible to take 21 working days of leave earned during
the financial year.
II. Leave shall be granted at a time conveniently agreed upon by the SACCO and
member of staff. Management shall schedule leave time table.
III. Leave shall be mandatory and shall not be deferred.
IV. Staff shall be paid full salary and appropriate allowance for all earned leave.
V. Days of sickness shall not be counted as days of leave, provided always that
member shall present the medical certificates on resumption.
VI. Management may, depending on the needs of the SACCO recall staff from leave
not withstanding that the staff’s approved leave has not expired.
8.6 Sick leave
I. Staff shall be entitled to sick leave on recommendation of medical doctor.

II. In case of long illness, the SACCO shall allow the staff sick leave:
a. One month on full pay
b. 2-3 months on half pay
c. 3-6 months no pay
d. More than 6 months- termination.
7
8.7 Maternity leave

a) Maternity leave for 30 working days on full pay shall be granted to confirmed
staff (part of the maternity leave may be taken before delivery)
b) The female staff shall still be entitled to her annual leave of that year.
8.8 Paternity leave

Any male employee, whose wife has delivered a newly born baby, shall be
entitled to 2 days paternity leave with full pay for only one spouse per year.
8.9 Study leave

SACCOs undertake training employees as part of their competence building. If a
staff wants to go for further studies not arranged by the SACCO, he/she will have
to resign as no study leave will be given.
9. REMUNERATION AND INCENTIVES

9.1. Remuneration (salaries and wages)
a) SACCOs shall endeavor to pay competitive salaries and wages, which will enable
it to attract and retain staff caliber for effective and efficient operations of the
institution.
b) The following conditions, among others, shall be taken into account while
revising the compensation package of the SACCOs.
I. Prevailing salary structures of the SACCOs in the micro finance industry.
II. The SACCOs ability to pay.
c) Salary shall be paid on monthly basis throughout the year. Salary shall be paid
according to the salary scale based upon established grades
d) Members of the staff may operate individual saving salary account with their
employer SACCO and when it is done;
e) Staff shall not draw money in excess of available balances on their accounts
f) Management shall regularly scrutinize all staff accounts.
g) Salary shall be paid through direct credit to the employee’s personal account.
9.2. Salary increment: The board shall, in each financial year. Decide on a budget
provision for a salary increment to be given to the employees. Salary increments
including merit increases shall be paid at the beginning of the financial year.
9.3. Statutory deductions; The SACCO shall be responsible for deductions from the
staff salaries which shall include:
a. Pay As You earn (PAYE)

b. NSSF
c. Salary advances and loan recoveries.
8
9.4. Salary Structure: The SACCO Board shall determine the respective salary
structures depending on their ability to pay.
9.5. Staff Advances: Payment of salary advances will be at the discretion of the
manager.
i) The member staff must request for advances in writing. The
advances shall not amount to more than the employee’s gross
monthly salary and shall be recovered in a period of three
months. Depending on the needs of staff and the manager is
satisfied beyond reasonable doubt, a staff shall get maximum
advance of 3 months gross pay recoverable in 6 months.
Failure to recover shall be the responsibility of the manager.
ii) The Board shall approve the salary advances to the manager.
Failure to recover shall be a responsibility of the Board.
iii) The employees will be given advances if he/she has no other

advance outstanding.
iv) The manager shall approve the staff advances taking into the
consideration the capacity of individual within contractual
period.
9.6. A) Staff loans: The Board shall determine eligibility for members of staff to
benefit from staff loans.
B) On leaving the services of the SACCO, the borrowing staff must pay all
the money loaned to him/her and acknowledgement made, a copy of which shall
be put on his/her personal file and the file shall be closed and kept safely. In case
of failure to refund, legal action should be taken.
9.7. INCENTIVES/BONUSES
i) Each year the manager shall recommend to the Board a provision for performance
incentives to staff for motivation purpose.
ii) Performance incentives shall be in form of;
a) Employee of the year award: to be given a staff that makes “outstanding”
achievement in any field of the SACCO operations in the year. The outstanding
achievements may be in the following areas:
 Improving customer services
 Prompt response to the customers’ complaints
 Enhancing SACCO operational/administrative efficiency
b) Group incentives shall be given to the group of employees for achieving out
standing results in the SACCO operations such as
9
i) Improved repayment rates

ii) Improving customer services
Iii) Speedy handling of customer grievances.
iv) Enhancing the SACCOs operational efficiency.
c) Long service award: In calculating long service award, the staff’s salary at the
time of qualifying for the award will be taken as the basis for the award. The
SACCO shall pay long service award to its staff as follows:
0-5 years no award

5-10 years 3 months pay
20 and above 12 months pay
 In the event of death, an employee or his/her spouse, the SACCO shall provide a
coffin, transportation of body to the place of burial and a cash contribution
(equivalent to one month salary) to help the burial expenses.
10. ALLOWANCES:
 Depending on what the SACCO can afford to pay, the following allowances shall
be payable to the manager and staff after authorization and approval by the Board.
a) Travel expenses (travel, food and accommodation) in and outside the

country.
The travel expenses shall be calculated at the bus rate and accommodation
shall be determined by the Board and approved by the members at AGM.
b) Out of pocket expense (the rate per day to be determined by the Board
and approved by at the AGM). Any expenditure over and above these
allowance entitlements shall be accounted for by submitting verifiable
supporting documents together with a written explanation justifying why
the SACCO should meet the extra cost.
c) Acting allowances: an employee who acts in a senior position for a
minimum period of four (4) weeks will be paid the minimum salary for the
grade in which he acts or an additional 10% of his salary whichever is
lower.
11. STAFF DEVELOPMENT
i) The SACCO shall maintain an open policy of staff development but largely based
on the following.
a. performance of each employee
10
b. identified training needs of each employee

ii) Employee performance shall be monitored on a daily basis by the manager
iii) Performance appraisal for each employee shall be carried out quarterly within two
weeks of the end of the quarter with clear recommendations and actions to be
taken.
iv) Staff development, rewards and appreciations shall be given.
v) A record of each employee’s appraisal shall be kept and signs of improvement or
deterioration noted and recorded (an employee warned about deteriorating
performance and showing no effort to improve over a period of 3-6months shall
be asked to leave the SACCO.
vi) The SACCO shall budget and plan for training plans and approved by the Board.
The objective of the SACCO training plans shall include among others, the
following:
d) Make staff go through foundation courses to enable them internalize the

SACCO mission and vision.
e) Enable employees understand their jobs better and improve performance.
f) Familiarize the employees with policies, procedures and plans of the
SACCO.
g) Raise the level of professional and technical competence of the staff.
h) Equip staff with appropriate skills and attitudes.
12. SEPARATION/ TERMINATION
i) Every notice to terminate employment shall be in writing and shall be sufficiently

served on the SACCO or forwarded to any employee.
The period shall be one calendar month
Termination of service may take any of the following forms:
a) Death of an employee or incapacity to continue in employment

b) Resignation, whether stated or implied
c) Compulsory retirement, termination on abolition on offices (S)
d) Compulsory termination or retirement in the SACCO’s interests
e) On compulsory retirement where an employee is declared redundant in order to
facilitate improvement in the SACCO service or to improve cost effectiveness.
f) On medical grounds
g) On expiry of a specific period of employment stated in the contract of service.
ii) Termination without notice: in case of growth misconduct, the employment

contract may be terminated with immediate effect. Growth misconduct includes
(but not limited to):
a) Theft of SACCO property
b) Forgery
c) Harassment, intimidating or assault
d) Sabotage or will full damage of the SACCO property
11
e) Acceptance of bribe
f) Working under the influence of alcohol
iii) The SACCO reserves the right to terminate the services of an employee in
accordance with staff regulations in force. Employees may terminate their
services in the same manner.
iv) On termination the employee shall be entitled to terminal benefits in accordance
with the regulations equivalent to accrued salary, if any, for the number of days
worked up to the effective date of termination.
13. RESIGNATION
 Any employee who resigns from SACCO shall give a notice of one calendar
month. In the absence of notice, the staff member resigning shall be required to
pay a one month’s salary to the SACCO.
 Those who resign before they complete one year with the SACCO will not be
granted any benefits.
 Acceptance of resignation shall inter-lia, be subject to proper handing over to
office and settlement of outstanding indebtedness, provided that no resignation
shall be accepted in case of an employee under investigation.
14. DISMISSAL
i) Any employee of the SACCO may be dismissed for growth misconduct under
major offences or poor performance or on criminal conviction in the court of law.
It shall take immediate effect and no prior notice will be required.
ii) An employee who is dismissed shall be required to settle in full all outstanding
financial obligations to the institution.
iii) Summary dismissal may be due to:
a) Theft
b) Misappropriation of funds
c) Insubordination
d) Breach of declaration of secrecy
e) Any other vice that might be construed as growth misconduct.
15. REDUNDANCY
i) Where there is a short fall in funds and the SACCO is unable to sustain all staff
on the payroll, the SACCO shall terminate the services of some of the staff.
ii) The Board shall determine the criteria by which staff shall be terminated and its
decision shall be final.
iii) Staff declared redundant shall be given severance pay of three months gross
salary.
12
16. DEATH
i) Upon death of SACCO employee, the benefits shall be paid to the dependants
(named in the personal data from the deceased).
ii) The death gratuity shall be terminated by the Board based on recommendations
from the manager.
17. RETIREMENT
i) Every employee shall retire immediately he/she attain the age of 65 years.
ii) Any employee may voluntarily retire at any time and receive accrued salary for
number of days worked provided he/she does not do so to avoid being disciplined
for misconduct.
iii) He/she shall give notice as provided for in these regulations and must be approved
by management.
iv) Management may deem it necessary to retire an employee before he attain the age
of 65 for reason of ill health.
v) Upon retirement, the employee shall receive retirement benefits.
18. ABSCONDING FROM DUTY

i) A staff who shall absent him/her duty without authorization shall be liable to
disciplinary action.
ii) After he/she has been off for fourteen days, he/she shall be immediately stopped.
Letter should be written and be taken to his/her place of residence and signed by
the recipient.
iii) After 2 months of his/her absence and unless there are special circumstances,
he/she shall be dismissed on the grounds of absconding. The dismissal shall take
effect from the first day of the staff member’s unauthorized absence. A staff
dismissed in this manner shall lose all the benefits and allowances due to him/her
including gratuity.
19. CONTRACT STAFF
i) The SACCO may employ staff on contract terms with mutual agreements to
renew the contract.
ii) End/expiry of contract shall automatically terminate the staff employment.
iii) The staff shall be entitled to all the benefits specified in the contract.
20. DISCIPLINARY PROCEDURES
Conduct
i) Employees are required to perform their duties with diligence and honesty, to
obey implicitly the lawful directions of their superiors and to treat the public and
their colleagues with civility and courtesy.
13
ii) Any employee in position of authority is expected to use such authority as a trust,
influence and example and to maintain a high standard of duty and conduct.
iii) An employee of the SACCO is expected to conduct himself both in public and
private so as not to bring the SACCO into disrepute. It may constitute sufficient
grounds for disciplinary action if any employee conduct in office or after office
hour is deemed to be an embarrassment to the SACCO.
iv) All employees are expected to be neat in terms of appearance. Proper dress will
be considered to be clean and decently fitting office attire that reflects the
professional nature of the employee’s position.
v) All employees who know of, or suspect, some kind of malpractice, misconduct,
fraud, error or any concealed practice against policies and procedures of the
SACCO should immediately give such information to the chairman of the Board.
vi) If any employee in the course of his job is called upon to deal with any matter in
which her/his spouse have or may have personal interest, such interest shall
immediately be disclosed to the immediate supervisor.
vii) No employee shall, without permission from the chairman of the Board
contribute articles to any news paper, journals or magazine or contribute to the
press any matter the subject of which has relevance in his work, in his capacity as
an employee of the SACCO.
viii) The chairman of the Board and the manager shall be official spokesperson of
the SACCO. As such no other employees are authorized to communicate to the
press or media any matter on behalf of the SACCO.
ix) No employee shall stand surety or give any security for obligation of any other
person or any transaction with the SACCO by any such person.
x) An employee in his official capacity shall not knowingly give an opinion in the
affairs or policy of the SACCO to any person desiring to use such opinion in
evidence incur of law or else where without first obtaining permission from the
chairman or manager.
xi) Members of staff shall avoid engagement in business, trade or other profession
that conflicts with the SACCO’s business.
xii) Voluntary public work may be undertaken provided it does not interfere with
SACCO duties.
xiii) Members of the staff must not demand any monetary and other benefits,
gifts and presents in the course of their duties as these are likely to compromise
their judgment during execution of their duties. When this is done and known by
management, such a member of staff is liable to disciplinary action.
xiv) The staff of the SACCO neither engages in any form of political activity nor
allows its premises to be used for any political campaigning or electioneering.
xv) Offences liable to disciplinary action include:
a) Staff knowingly refusing or failing to obey a lawful and proper request by his/her
supervisor
b) Staff consistently reporting late for work
c) Absenteeism without leave
d) Use of abusive/loose or offensive language
e) Abuse or misuse of ones office
14
21. EMPLOYEE DISCIPLINARY CODE AND PENALTIES
Offences PENALTIES
1st Offence 2nd Offence 3rd Offence
1. Failure to honour valid debts or Counsel, Warning Termination
legal obligations caution
2. Deliberate delay or refusal to carry Warning Warning Termination
out work assignments
3. careless work or negligence, Warning Warning Termination
spoilage, waste or delay in work
4. Refusing to honour or make Warning Warning Termination
arrangements to meet obligations
5. Disrespectful, insolent or offensive Warning Terminatio
behaviour n
6. Failing to carry out policies Warning Terminatio
established by the Board n
7. Disclosing personal business of Termination
associates and clients to
unauthorized persons.
8. Repeated absence without Warning Terminatio
permission falsifying reason, n
failure to notify
9. Making false or malicious Termination
statements, or unauthorised
disclosures against employees,
supervisors, Board Members,
clients, etc., with intent to harm
or destroy reputation or standing
10. Wilful destruction of or damage Refund, Refund,
to equipment warning Dismissal
11. Drinking alcohol while on duty or Warning Warning Termination
reporting to work impaired by
intoxicants
12. Fighting, threatening to do Termination
bodily harm, resisting
authority, violent act, indecent
language, immoral conduct,
intimidation of fellow
employees
13. Theft, embezzlements (Penalty Refund,
determined by value of property Termination
other than money and
circumstances)
14. Deliberate falsification for Termination
personal gain (not just an
error)
15. Faking sickness and getting sick Termination
leave
15
EMPLOYMENT CODE OF CONDUCT
Every employee must familiarize himself/herself with the following Employee

Code of Conduct understand and abide by it fully.
i) Tardiness: Any employee, not specifically excused, arriving at his/her

workstation after 8:30 a.m. is considered tardy. Anyone leaving before
5:00 p.m. will be considered in the same category. Repeated tardiness or
leaving early may attract disciplinary action, and will be a factor in
determining salary/wage increases or promotions.
ii) Work time: Regular attendance to work is important. If you know that
you are going to be late or absent, call or send a message to your
supervisor and/or department head as early in the morning as possible
explaining the reason for your lateness or absence. If you find it necessary
to leave during working hours, consult your superior.
iii) Smoking: There shall be no smoking in the office, or while working with
clients in the field. Good judgement should be employed at all times when
smoking.
iv) Dress/Grooming: KDSACCO work requires a great deal of public

contact, proper appearance is of prime importance. Therefore,
employees should dress neatly.
v) Telephones: The office telephones are for business use. Personal call
should be restricted.
vi) Personal Conduct: All employees are expected to conduct themselves in

an orderly manner and be considerate of others. Our relationships with one
another are very important keys to success, satisfaction and progress on
the job.
vii) KD SACCO expects from employees -
 Complete honesty
 Punctuality
 Accuracy in so far as is humanly possible
 No tie-in with outside businesses causing a conflict of interest.
 Neatness in appearance and work habits
16
 Confidentiality concerning KDSACCO information and of our

development partners that the employee may come across in the
course of work
 Do your personal matters outside KDSACCO office and time
 Courtesy and helpfulness to fellow employees

 To understand that as employees, are not here to be served, but
rather to precisely serve our clients.
viii) Drinking: The SACCO has no desire to regulate the personal life of any
employee, but the use of intoxicants cannot be permitted to interfere with
the duties of any employee. Employees may not drink any intoxicating
beverage while on SACCO work/assignments
ix) The SACCO’s funds: Employees must follow prescribed practices for
handling and protecting KDSACCO funds.
x) Use of KDSACCO property and facilities: No equipment, or facilities

of the SACCO should be used for personal activities; employees must care
for and preserve the properties at all times.
xi) Conflict of interest: The SACCO, employees must not engage in

activities and have no relationship that might impair their independence of
judgement. They must not accept gifts, benefits, or unusual hospitality that
might influence the performance of their duties.
xii) Confidentiality: Employees must not divulge any communication, or

even that it exists, to any but authorized persons.
21.2. Causes for immediate dismissal
i) Falsifying information to obtain employment, additional pay or other

compensation.
ii) Dishonesty, fraud or embezzlement.
iii) Violating confidentiality regarding office transactions, which are held in

confidence and trust.
iv) Stealing KDSACCO property, equipment, or the personal property of a

fellow employee.
v) Drinking or drunkenness during working hours.
17
vi) Insubordination or wilful disobedience of instructions or directions issued

by supervisory employees.
vii) Using profane or abusive language toward fellow employees, clients, or

fighting or threatening bodily harm to other employees.
viii) Wilful neglect of duties.
ix) Wilful damage of KDSACCO property or equipment.
x) Fronting for other employees.
xi) Convictions on morals charge, or violation of the criminal code.
21.3. Confidentiality
i) The SACCO requires that all the employees maintain the confidentiality of
trade/services secrets and all other official information pertaining to the SACCO
that may come to their knowledge during the course of their work.
ii) Employees shall not communicate or allow to be communicated to an authorized

person(s) any information made available to them or which may come to their
notice in their capacity as employees of the SACCO whether that information
relatedness directly to the affairs of the SACCO or not.
iii) Employees shall not seek personal gain, financial or other wise by making use
either directly or indirectly information acquired in the course of his duties.
iv) An employee shall not assist any unauthorized person(s) to have access to the
books or documents or information belonging to the SACCO.
v) To this end, all employees shall take the oath of secrecy/allegiance and sign
declaration of secrecy in a prescribed form. (Appendix 2)
21.4. Basis for disciplinary action
In order for disciplinary action to take place, it shall:

a) Be with good reason and clear evidence
b) Be appropriate, fair and to the magnitude of the offence that has been
committed.
c) Be consistent with the previous discipline for similar offences
d) Follow the principle of immediacy (offence must not be remote)
21.5. Disciplinary procedures

The following disciplinary measures against the employee shall be taken in case of
indiscipline (e.g. breach of contract, non compliance to guide lines/rules and regulations
of the SACCO or any other as may be determined by committee).
18
i) Verbal warning: the immediate supervisor/board of director shall give the staff
member an informal warning explaining the nature of the offence; the importance
of repeating it and penalties that can be applied if it is repeated.
ii) On second offence or new offence is felt be the supervisor be more serious, the
manager or Board may give formal warning to the staff member explaining the
nature and seriousness of the offence. The staff will be required to sign in
acknowledgement of the receipt and a copy of the warning letter will be filed on
the staff’s personnel file.
iii) Final written warning: A final warning is given if the staff member ha failed to
improve or if another offence is committed. The staff member being disciplined
must also countersign the final warning letter. Depending on the seriousness of
the matter, this warning may be accompanied by suspension after discussion,
pending a final management/Board discussion.
iv) Dismissal: If the same offence (s) occurs after issuance of the final warning or if
fresh ones occur, the Board will dismiss the staff member.
v) Summary dismissal: Where gross misconduct is involved, the staff member

involved shall be summarily dismissed without following the procedure outlined
above
22. GRIEVANCES
22.1. Grievance Handling
i) The SACCO shall deal promptly with all grievances raised by the employees.
ii) Whenever a supervisor aggrieves a staff, the aggrieved staff shall first raise the
complaint with the supervisor in question with a view of resolving the issue
amicably
iii) If the issue is not handled fairly by the supervisor, aggrieved shall raise the matter
in writing to the manager. He/she shall state the nature of the complaint, issues
discussed with the supervisor and the decisions made.
iv) If the staff still feels aggrieved, he/she shall write the committee.
19
APPENDIX 1A
SACCO MANAGER
JOB DESCRIPTION
1. Job Title: Manager

2. Responsible to: The board
3. Responsible for all SACCO staff:
23. Job function:
To be overall responsible for the day-to-day management of all operations at the SACCO.
24. Main Tasks
20
a) To implement and enforce all policies.

b) To prepare and propose to the committee policies and policy changes, internal
practices and administrative procedures.
c) To prepare and operationalise a business plan and budget.
d) Represent the society in business transactions
e) Present to committee reports of performance and budget, compliance, monthly
quarterly, and annually.
f) Authorize and effect budgeted expenditures, and sign all society instruments for
the disbursement of the society funds.
g) Maintain records of assets and liabilities and meet the requirements for the
insurance coverage.
h) Prepare and forward to the registrar of cooperatives such reports as may be
required.
i) Keep society’s books and records according to generally accepted accounting
principles and statutory provisions.
j) Manage human resources according to approved policies, plans and budgets as
well as labor legislation.
k) Implement the annual general meetings’ decisions and recommendations made by
the supervisory committee, external auditors and the registrar of cooperatives.
l) Direct and supervise the administration and processing of the loan application by
the loan officers.
m) Establish a pricing strategy for products and services.
n) Carry out any other duties assigned by the committee.
21
Appendix 1B
SACCO LOANS OFFICER
JOB DESCRIPTION
1. Job title: Credit officer

2. Responsibility to: Manager
3. Job function:
To ensure that the loan portfolio under his/her control is maintained at the highest
possible quality and attains a growth rate that is consistent with the SACCO expectations.
5Main Tasks:
i) Receiving and making preliminary appraisals of all loan applications from
intending borrowers and making necessary reports to the manager.
ii) Acting as secretary to the loans committee and management team on loan matters
including discussions on the preliminary loan appraisal reports and preparing loan
performance reports.
iii) Training borrowers on loan utilization and repayment procedures.
iv) Making necessary follow up on the borrowers and enforcing timely and fully
repayments with a target of achieving a recovery rate of at least 95%.
v) Liaising with relevant authorities to ensure recovery of all overdue loans.
vi) Attend to clients’ queries and bear overall responsibility for receiving and
processing loan applications from his/her area of responsibility, giving client
timely feed back as appropriate;
vii) To be responsible for the timely processing of all disbursements for approved loan
falling in his area of responsibility, including receiving, checking and filling all
documentation that is part of the conditions for disbursement as stipulated in the
loan agreement.
viii) To carryout regular client monitoring visit with the view to ensuring loans
are used to the purpose for which they are granted and that the clients are
continuously reminded to their repayment obligations, and to provide technical
support to clients as and when needed.
ix) Prepare submit loan portfolio reports to the manager within the prescribed time
frame in order to facilitate time management action;
x) Prepare and submit, on timely basis, any other reports as may be required by
management and donors to the SACCO.
xi) Initiate and, with the approval of the manager, have responsibility for recovery
proceedings against any loan defaulters that may exist in his/her portfolio;
xii) To be responsible for the day maintenance of all clients files under his control;
xiii) Attend to any other matter that shall from to time be delegated by the
manager.
22
Appendix 1C
SACCO LEDGER KEEPER
JOB DESCRIPTION
1. Job title: Ledger keeper

2. Responsible to: the manager
3. Job function
To be responsible for posting and balancing the SACCO books of accounts including the
general ledger and the clients’ Ledgers, and for listing and balancing the ledgers on a
weekly basis.
23
5 Main Tasks
a) To be responsible for posting the SACCO books of accounts including the general
ledger and the clients ledger
b) To ensure that all vouchers are properly completed and authorized before they are
posted to the SACCO books of accounts.
c) To compile the waste sheet and/or day sheet on a daily basis.
d) To balance the general ledger and the clients ledgers and produce the end of day
balance report on a daily basis.
e) To attend to any other matters as may from time to time be delegated by the
manager.
APPENDIX ID
SACO CASHIER
JOB DESCRIPTION
1. Job Title: cashier

2. Responsible to: manager
3. Job function:
To be responsible for receiving cash deposits and for paying out cash against properly
authorized disbursement vouchers, and cash payment vouchers and for safety of all the
cash in the till under his/her control.
24
5 Main Tasks:
a) To be responsible for receiving all cash deposits made by SACCO members, and
for seeing to the correctness of the cash so deposited and the deposit slip against
which the deposit is made.
b) To be responsible for paying out cash to clients against their disbursement,
document, seeing to the correctness and proper authorization of such
documentation.
c) To be responsible for paying out cash in respect of the SACCO own purchases
and other disbursements and for ensuring that such payments are properly
authorized.
d) To be responsible for the safety of all cash in his/her till and counter, and for
ensuring that his/her cubicle is securely locked whenever he/she is moving out of
it for any reason.
e) To answer queries whenever approached, and to render any advice to them as
appropriate with a professional smile.
f) To balance his/her cash at the end of the day, and complete and submit the end of
the day cash balancing report to the accountant within the prescribed time limit.
g) To attend to any other matters as may from time to time be delegated by the
manager.
25
APPENDIX IE
SACCO ACCOUNTANT
JOB DESCRIPTION
1. Job Title: Accountant

2. Responsible to: Manager
3. Responsible for: ledger keeper and cashier
4. Job function:
To be responsible for maintaining the SACCO books of accounts, for posting to the
general ledger and to customer ledgers, and for all financial reporting in the
institution.
5 Main tasks:
a) To bear the primary responsibility for the processing of all accounting
transactions in the SACCO ;
b) To check all posting to the SACCO books of account and to maintain the
books up to date all the time;
c) To post all control ledger
d) Responsible for all cash whether on premise or in transit
e) To check cashier’s till sheet and end of day balancing report before accepting
their cash into the strong room;
f) To be responsible for reserve cash, as a co-custodian, including all
withdrawals from, deposits into reserve;
g) To maintain the SACCO’s bank accounts and on regular basis reconcile the
accounts at least monthly and promptly sort out any discrepancies arising;
h) To be responsible for writing and balancing the SACCO’s waste sheet on
daily basis.
i) To ensure that the SACCO’s day sheets are properly compiled and ledgers
posted before the end of the day.
j) To check all postings general ledger and customer ledgers;
k) To check all cash payment vouchers before any disbursement are made;
l) To carry out all trial balances of all customer ledgers and general ledger, and
balance them on a weekly basis;
m) On monthly basis prepare financial reports including budget performance
reports including budget performance, profit and loss account, and the balance
sheet;
n) To attend any other matters as may from time to time be delegated by the
manager finance
APPENDIX 2
OATH OF SECRECY
26
Declaration of secrecy
Date……..
Name
………………………………………………………………………………………………
………………………………………………………………………………………………
I………………………………………………………………………, the undersigned

committee member/staff member of………………………………….............................
………………………………………………………………………………………………
declare that I will observe secrecy regarding all transactions of the institution, those of its
clients and shareholders and the state of their accounts in all matters relating thereto, and
I here by pledge myself never to reveal or make known to any person(s) whom so-ever,
both during the period of my service with this institution and thereafter, any matters,
which may come notice or knowledge in discharge of my duties, accept when required to
do so by the board committee or other duly authorized persons, or by a court of law.
Signed…………………………………………………………….Date………………
Name……………………………………………………………….
Witnessed by: Sign…………………………………………………
Name………………………………………………Date……………
27
APPENDIX 3
KD SACCO
Performance Appraisal Form:

Employee Evaluation
(FOR ALL POSITIONS)
Instructions:
Carefully evaluate employee work Performance in relation to the following:
1. Current job functions, Roles and responsibilities
2. SACCO Restructuring objectives
3. Implementation of Recommendations of Supervisory Committee, Auditors and Registrar
4. Mandate of the SACCO
5. Annual work plans/strategic decisions
6. Board policies and Resolutions
7. AGM Resolutions
8. SACCO Byelaws
Note: SACCO performance evaluations are scheduled quarterly by every end of March, June, September and December.
(Part A to be filled by the employee. Part B to be filled by the Supervisor
Results to be discussed with the Supervisor)

PART A
Name of Employee
Job Title
Department
Employee payroll No
Date Employee begun present position
Date of Evaluation _________________________________
Date of last Appraisal ______________________________
Next scheduled appraisal date _____________________________
Evaluator/Appraisal _____________________________________ Job Title ______________________________

________________________________________________________________________________________
Employee performance is rated using the levels below:
Below expectations 2 Meets expectations 3 Above expectations 4

Unsatisfactory 1 Improvement needed
49% and below (50 59) Good (60 – 69%) Very Good (70 – 89%)
Exceptional 5
Outstanding (90 – 100%)
29
Definition of Performance Levels
Exceptional (Outstanding 90 – 100%)
Consistently performs all duties in an exceptional manner and is recognised as being far superior to others.
Exceeds expectations and goes regularly beyond what is required of the job.
Work is of the highest quality and quantity. Highly responsive.
Requires no supervision.
Above Expectations (Very Good 70 – 89%)
Works in a manner considerably above the normal expectations for the position - unusually high quality and quantity of work. Frequently exceeds what is expected
of the position. Very responsive. Requires minimal supervision.
Meets Expectations (Good 60 – 69%)
Performs all duties in a competent and dependable manner and consistently meets target all expectations for the position. Has a normal response time for work and
requires normal time and attention from the supervisor.
Below Expectations (Improvement needed 50 – 59%)
Meets some expectations for the job, but requires improvement in quality and/or quantity of work to cover deficiencies in certain areas. Requires extra attention
from Supervisor.
Unsatisfactory – (49% and below) Results are generally unacceptable and require immediate improvement. No merit increase should be grated to an employee with
this rating
Assign points for each rating within the scale and indicate in the corresponding box points jointly agreed targets shall constitute 90% while any other assignments performed
outside set targets will account for 10% to make total of 100%
Tick the Appropriate Box. Note that: 1: is Unsatisfactory 2: Below Expectation, 3: Meets Expectation, 4: Above Expectation and 5:
Exceptional
<50% 50-59 60-69 70-79 80-100%
30
Supporting Evidence
Area of evaluation 1 2 3 4 5
(Comments explaining reason for the
rating)
1. Have gained full knowledge of
goals and targets of the Position
Job knowledge:
The practical/ Technical skills,
knowledge used on the job
2. Quality: The accuracy,
thoroughness and acceptability of
work performed
3. Productivity: The quality and

efficiency of work produced in a
specified period.
4. Reliability: The extent to which an

employee can be relied upon
regarding task completion.
5. Articulate and relates well with

members and stakeholders
6. Relates well with workmates and

is a
team player
31
7. Punctual and manages time.

(observes prescribed work/break
periods and the overall attendance
record.)
8. Willing to learn, a good listener
9. Ability to work with minimum

or no
Supervision.
Independence
10. Comments and gives useful

feedbacks and suggestions
11. Ability to take on and cope

with
challenges (problem situation
12. Handles well confidential

information. Maintains
professional relations with other
entities (organizations and
persons) we interface with.
32
PART B
Names of Supervisor…………………………………………. Title……………………………_
Area of evaluation by Supervisor Comments (if any)
1. Has gained full knowledge of _____%

goals
and targets of the Position
2. Quality: The Accuracy,

thoroughness and acceptability of
work performed _______%
3. Productivity: The quantity and
efficiency of work produced in a
specified period.
4. Timely completion of Work plans,
contractual arrangements,
monitoring, and implementation. – ______%
meets deadlines
5. Articulate and relates well with _____%

members and stakeholders
33
6. Relates well with workmates ______%

and is a
team player
7. Punctual and manages time ______%
8. Willing to learn, a good listener _______%
9. Availability - Punctual and _______%

manages time (observes
prescribed work/break periods and
the overall attendance records)
10. Comments and gives useful ________%

feedbacks and suggestions
11. Independence ability to work _______%

with minimum or no supervision.
34
12. Handles well confidential _______%

information. Maintains
professional relations with other
entities (organizations and
persons) we interface with.
Summary: Overall rating……………% (Sum the 10 scores and divide by 10 to get the overall rating)
Head of Department’s Comments:

______________________________________________________________________
________________________________________________________________________
Head of Human Resource and support service comments:
________________________________________________________________________
________________________________________________________________________
Chief Executive Officer’s comments (for staff below hire)
________________________________________________________________________
________________________________________________________________________
Reviewed by:
Human Resource Committee: Minute No: ______________________
Signature: ______________________
Reviewed by SACCO Board Minute No: _____________________
Signature _______________________
35
SET GOALS/OBJECTIVES FOR PERIOD_______________ TO _________ YEAR
_______________
The set goals /objectives should meet the SMART criteria i.e. SPECIFIC,
MEASURABLE, ATTAINABLE, REALISTIC AND TIME BOUND AND
SHOULD BE LINKED TO SACCO STRATEGIC GOAL.
Objectives should be agreed upon jointly by the employee and his/her supervisor and
should be used as the basis for measuring and assessing employee performance.
Set Measurabl Time Ranking Self Appraiser’

Goals/target e indicator frame scale (self Appraisal s
s appraisal) Ranking Ranking
CONFIRMATION THAT THE TARGETS WERE JOINTLY SET
I confirm that the above targets were jointly set,
Name and Signature of the Supervisor

________________________________________________________________________
_
APPRAISAL FEEDBACK (Appraise)
How well was appraisal discussion handled?

________________________________________________________________________
________________________________________________________________________
Provide your own comments on the appraisal discussion just concluded
________________________________________________________________________
________________________________________________________________________
Do you agree with the goals/objectives set for the next review period?
________________________________________________________________________
________________________________________________________________________
APPRAISER’S RECOMMENDATIONS (Here specific action the employee needs to

take to improve performance, merit awards, recommendation for training to acquire skills
lacked, decision to terminate contract may be given here.)
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
SIGNATURES
This report is based on my observation/discussion and knowledge of the employee and

the job. My signature indicates that I have discussed this appraisal with my supervisor. I
do agree/disagree with the results.
Supervisor Date Employee

Date
______________________ ______________ ___________________
37

KD Sacco Human Resource Policy

Uploaded by

Copyright:

Available Formats

KD Sacco Human Resource Policy

Uploaded by

Document Information

Original Description:

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

KD Sacco Human Resource Policy

Uploaded by

Copyright:

Available Formats

KYABUGIMBI DEVELOPMENT SAVINGS AND

CREDIT COOPERATIVE SOCIETY (KD SACCO)

HUMAN RESOURCE POLICY MANUAL

1.0 HUMAN RESOURCE POLICY page number

1.0 Introduction ------------------------------------------------------- 3

6.0 transfers to parallel position………………………………………………6

5.0 Office hours, public holidays, overtime--------------------------- 3

5.1 Absence from work-------------------------------------------------7

6.1 Salaries and wages--------------------------------------------------10

2.0 STAFF RECRUITMENT

VI. References and verification of information (written or by phone) should be sought

VII. No person shall be employed by SACCO unless such a person

a) Has attained the age of 18 and is less than 65 years.

3.1 On appointment every member of staff shall receive a letter of

3.1.2. Before taking employment, all employees will be required to;

c) Resign from any other job or any other employment

3.2.0 Terms of employment shall cover the following:

a) Probationary: Staff will serve on probation for a period of 3 to 6 months after

4.2. All newly recruited employees shall be considered to be on trial for a

6. TRANSFERS TO PARALLEL POSITION

I) KD SACCO reserves the right to transfer an employee from one

ii) No salary increase shall be provided in relation to transfers.

iv) Transfers should be viewed by the employee as a means of personal

7.4. For serious cases such as misconduct, indiscipline, incompetence,

7.6. Relevant actions such as merit awards; promotions, demotions, salary

8. OFFICE HOURS, PUBLIC HOLIDAYS AND OVER TIME

3.1. Absence from work

3.2. Office hours

g) Punctuality is an absolute requirement

8.3 Public holidays

8.4 Compassionate Leave

8.5 Annual Leave

8.6 Sick leave

I. Staff shall be entitled to sick leave on recommendation of medical doctor.

8.7 Maternity leave

8.8 Paternity leave

8.9 Study leave

9. REMUNERATION AND INCENTIVES

a. Pay As You earn (PAYE)

iii) The employees will be given advances if he/she has no other

i) Improved repayment rates

0-5 years no award

a) Travel expenses (travel, food and accommodation) in and outside the

11. STAFF DEVELOPMENT

b. identified training needs of each employee

d) Make staff go through foundation courses to enable them internalize the

12. SEPARATION/ TERMINATION

i) Every notice to terminate employment shall be in writing and shall be sufficiently

a) Death of an employee or incapacity to continue in employment

ii) Termination without notice: in case of growth misconduct, the employment

18. ABSCONDING FROM DUTY

19. CONTRACT STAFF

20. DISCIPLINARY PROCEDURES

21. EMPLOYEE DISCIPLINARY CODE AND PENALTIES

EMPLOYMENT CODE OF CONDUCT

Every employee must familiarize himself/herself with the following Employee

i) Tardiness: Any employee, not specifically excused, arriving at his/her

iv) Dress/Grooming: KDSACCO work requires a great deal of public

Evaluator/Appraisal _______ Job Title