Bonus rates are determined by the factory’s income for the year, the quality of leaf delivered to the factory, the cost of production and the average price of tea that the factory fetched at the market. These costs are then deducted from the factory’s income and the balance paid to farmers as bonus.
How much does Ktda pay per kilo?
The Kenya Tea Development Agency, KTDA, has released the 2020 tea bonuses payout per kilo. This year’s bonuses show a significant drop per kilo compared to 2019. The highest paid farmer in Nyeri County will be from Gitugi tea factory and is set to get Sh26. 35 per kilogramme of green leaf.
How much do tea farmers get paid in Kenya?
The payout represented an average return of 67 per cent of the total tea revenue, with farmers receiving an average of Sh41. 27 per kilo of green leaf delivered. Last week, Agriculture Cabinet Secretary Peter Munya said payments to small scale farmers has dropped from Sh58. 76 in 2016 /17 to Sh36.
What is the bonus of KTDA?
The Kenya Tea Development Agency Management Services Limited announced that it has released Sh21. 6 billion as tea bonuses to farmers, for the financial year ending June 30, 2021. In a statement Wednesday, KTDA said farmers can expect to receive the payments by the end of the week.
What are the causes to pay bonus?
In workplace settings, a bonus is a type of compensation an employer gives to an employee that complements their base pay or salary. A company may use bonuses to reward achievements, to show gratitude to employees who meet longevity milestones, or to entice not-yet employees to join a company’s ranks.
How are tea farmers get paid?
Payment to smallholder tea farmers is done in two tranches, with an initial payment made every month while a final payment is made after the close of the financial year, usually around October. This second payment – known as the tea bonus – is popular and usually brings life to tea-growing regions.
Is there tea mini bonus this year?
The Board of Kenya Tea Development Agency Holdings on Thursday announced that farmers affiliated to KTDA MS managed factories, will be paid a mini bonus in July 2021. The payment will range between Sh2 and Sh5 per kilogram of green leaf delivered for six months between July 2020 and December 31, 2020.
What month is tea bonus?
Bonus is the second and final payment paid to farmers in the month of October. Farmers first receive a mini-bonus in the month of July every year. The rates for these two payouts vary from one factory to another.
Who are not eligible for bonus?
Or whereon 20 or more workers are working or were working on any day of preceding 12 months without the aid of power. Calculation of bonus: Salary/wages and dearness allowance (DA) are included while calculating bonus. However, other allowances such as over-time, house rent, incentive or commission are not included.
What tea is Fairtrade?
Fairtrade ‘tea’ refers to all teas which stem from the leaves and buds of the Camellia sinensis plant. Grown year-round, this is the source of all white tea, green tea, oolong tea, black tea, and pu’erh tea. (Fairtrade also works with herbs and spices, which form the basis of many herbal teas.)
What is the maximum amount of bonus?
The minimum bonus of 8.33% is payable by every industry and establishment under section 10 of the Act. The maximum bonus including productivity linked bonus that can be paid in any accounting year shall not exceed 20% of the salary/wage of an employee under the section 31 A of the Act.
