FEE STRUCTURE [PERMANENT PLACEMENTS]



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TERMS AND CONDITIONS FOR THE SOURCING OF TALENT between MODIS PROFESSIONALS RECRUITMENT (PTY) LIMITED; REG. 2007/031577/07 and THE CUSTOMER STATED IN PARAGRAPH 1 OF ANNEXURE A HERETO 1. INTERPRETATION: In this agreement, clause headings are for convenience and shall not be used in its interpretation and, unless the context clearly indicates a contrary intention 1.1. an expression which denotes 1.1.1. any gender includes the other genders; 1.1.2. a natural person includes an artificial or juristic person and vice versa; 1.1.3. the singular includes the plural and vice versa; 1.2. Fee shall mean fees payable to Modis Professionals for professional services rendered. 1.3. Customer shall mean the person or his/her assignee that uses or intends to make use of any of the services of Modis Professionals or, the contractor as contemplated in the Labour Relations Amendment Act 66 of 1995. 1.4. Candidate shall mean the person placed with the customer by Modis Professionals, or the contracted person as contemplated in the Labour Relations Act no 66 of 1995. 1.5. Contract shall mean the terms and conditions as set out herein together with such further terms and conditions as agreed to between the parties in writing. 1.6. Modis Professionals shall mean Modis Professionals, a PTY Limited duly registered in accordance with the PTY Limited Act, with a registration number and/or any subsidiaries or associated companies. 1.7. Service shall mean the services rendered by Modis Professionals to the customer in respect of the procurement and placement of candidates with the customer and these terms and conditions will be binding on the customer in respect of all future services rendered

2. FEE STRUCTURE [PERMANENT PLACEMENTS] 2.1. A placement fee becomes payable once a candidate commences employment (of any nature) with the employer or any third party that the employee has been assigned to. 2.2. Should the customer or any other person or subsidiary or associate of the customer engage or re-engage the candidate within a period of twelve (12) calendar months from the date of introduction or termination, a full fee shall in accordance with the terms of this agreement become due and payable. 2.3. The fee shall be calculated as a percentage of the Gross Annual Income Package (as defined by the Income Tax Act No 58 of 1962) of the candidate, calculated in accordance with the Remuneration which the candidate will receive as a result of his/her employment with the customer. 2.4. It is important to note that the fee percentages are negotiable. The fee percentages are as stated in paragraph 3 of Annexure A. 2.5. The placement fee is calculated according to the guaranteed remuneration to be received by the candidate in the first year of employment with the customer. 2.6. Guaranteed remuneration will include, but not be limited to the candidate s salary; allowances; company vehicle; guaranteed bonuses; sign-on bonuses; equity and any further remuneration required to secure the candidate s employment. 2.7. Any alternative agreement will be honoured by Modis Professionals if such an agreement has been reduced to writing and signed by both parties.

3. PAYMENT & GUARANTEE: 3.1. The fee specified in paragraph 3 of Annexure A becomes due, owing and payable when a candidate commences employment. To qualify for the guarantee, full payment of the fee must be received by Modis Professionals within fourteen (14) days of Invoicing by Modis Professionals. 3.2. The guarantee period, which is validated on receipt of payment of Modis Professionals invoice, covers the customer in the event of the candidate leaving the company in the time period according to the guarantee as stated in paragraph 3 of Annexure A. 3.3. Should the candidate serve notice of termination of employment and his/her length of service with the customer falls outside the guarantee period, Modis Professionals will not be liable to replace the candidate. 3.4. The guarantee period does not apply if the termination is as a result of: retrenchment; changes in job content; changes in job title; changes in reporting lines; changes in company ownership; disablement; death; unfair dismissal; or for any reasons other than those within the candidate s control. 3.5. Should the employment be terminated for reasons other than those listed above, Modis Professionals will replace the candidate, and should the candidate s resignation fall within the guarantee period specified in paragraph 3 of Annexure A. The guarantee will only apply if Modis Professionals is afforded one calendar month s exclusivity within which to replace the candidate and providing that the vacancy remains unchanged. The guarantee remains operable from the commencement date of the original candidate s date of employment. 3.6. Written notification must be provided to Modis Professionals within fourteen (14) days of the employee leaving.

4. CONDITIONS OF SERVICE: 4.1. In the event of the customer forwarding details of the candidate to any third party or associate company, who in turn employs the candidate, the customer shall be liable for a placement fee as calculated in terms of paragraph 3 of Annexure A as if the customer himself employed the candidate. 4.2. In the event of the candidate accepting any employment whatsoever from the customer within a 12 (twelve) month period from the date on which Modis Professionals introduced the candidate to the customer, a placement fee will be charged as per paragraph 3 of Annexure A. 4.3. In the event that Modis Professionals candidate introduces further candidates to the customer, the introductions will be deemed to have been done by Modis Professionals and the appropriate placement fees paragraph 3 of Annexure A. 4.4. Should the candidate be employed on a temporary, contracting or consulting basis, the relevant fee structure as set out in clause 3 will apply. 4.5. The placement fee for a commission earner shall be negotiated according to the expected earnings of the Candidate or on the previous annual income of the candidate. 5. GENERAL CONDITIONS: 5.1. The terms and conditions herein shall be deemed to be exclusive and applicable to each and every contract entered into between the parties. Any variation thereof shall not be binding unless reduced to writing and signed by both parties. 5.2. Modis Professionals has the sole discretion to refer any dispute with the customer to arbitration, which arbitration award shall bind both Modis Professionals and the customer. 5.3. The candidate s application is confidential and is forwarded in good faith. The customer may under no circumstances contact the candidate either directly or indirectly, or the candidate s present employer without the written consent of Modis Professionals first being obtained. Should this occur the, the customer would be held liable for any damages or injuria that may arise out of such breach of confidence.

6. ANNEXURES 6.1. The parties acknowledge that the annexure attached to this agreement, which may be amended from time to time, shall form part of this agreement and shall be binding on the parties. 7. DOMICILIUM AND NOTICES 7.1. The parties choose domicilium citandi et executandi ("domicilium") for all purposes relating to this agreement, including the giving of any notice, the payment of any sum, the serving of any process, as follows - 7.1.1. the Company physical - MODIS PROFESSIONALS 0081 postal - 0081 facsimile - (086) 548 0777 7.1.2. the Customer physical - the address in paragraph 2 of Annexure A attached hereto postal - the address in paragraph 2 of Annexure A attached hereto Signed at on 2010 for MODIS PROFESSIONALS RECRUITMENT SERVICES (Pty) Limited

AS WITNESSES: 1. who warrants that he is duly authorised hereto 2. Signed at on 2010 As the Customer AS WITNESSES: 1. who warrants that he is duly authorised hereto 2.

ANNEXURE A 1 Customer name (clause 1.3) 2 Physical and postal domicilium (clause 7.1.2) 3 Fee (Negotiable) 75% Guarantee 50% Guarantee 17% 60 days 90 days