Game stores offers workers bonus not to pinch goods

Employees at Game stores will be paid a bonus of almost half of their salaries if they do not pinch their employers’ products and avoid mishandling fragile goods.

Under a new collective bargaining agreement that came in place last month, if workers keep shrinkage below 0.25 per cent they will get a 40 per cent bonus.

If the workers manage a 0.4 per cent shrinkage they will be entitled to an incentive of up to 30 per cent of their monthly income.

“The company endeavors to make payment of the incentive in the month following the calculation of the shrinkage results,” the CBA with the Kenya Union of Commercial and Food Allied Workers reads.

Kenyan retailers have been struggling with weak controls allowing pilferage and collusion between their staff and procurement offices and suppliers to overestimate the amount of products received, or siphoning goods, a practice called shrinkage.

Nakumatt is on record making the biggest claim of shrinkage of up to Sh18 billion, which was however questioned by its own receiver manager PKF.

Audit firm PKF said it would conduct a special audit of the retailer’s books, saying it was unconvinced that such a colossal amount could have been lost from shoplifting and petty thievery from employees.

“Enquiring of management of the significant adjustment of Sh18 billion was made in the accounts of December 31, 2018 in respect of stocks and reasons given were that they relate to pilferage, stock shrinkage, losses because of stock obsolescence over the past and a rise as a difference between stocks in the point of sale system and the stocks shown in the books of accounts,” said PKF in its audit report on the retailer.

Workers at Game supermarkets are also about to enjoy a 7 per cent bump in basic salaries under new terms agreed with the South African franchise of Wallmart.

The stores has agreed to revised estimates that will give junior entry level staff a starting salary of Sh24,500, cash office assistant and stock controllers Sh28,500 and cashiers and product coordinators Sh34,500.

The workers may also get a voluntary medical cover in October where the firm has offered to contribute half of the employees monthly premiums and a similar fraction for the workers spouses.

The supermarkets chain is still assessing viability of pension but has pledged to offer gratuity for exiting employees based on their years served.