lenco_10a-ex1011.htm

 

    
      

    

    Exhibit 10.11

     

    
      EMPLOYMENT
AGREEMENT


       

      Entered
into by and between

      


       

      CAPITAL
SUPREME (PROPRIETARY) LIMITED

      (REGISTRATION
NUMBER 2004/001519/07)

      Trading
as MULTIMEDIA SOLUTIONS


       

      (Hereinafter
referred to as "the EMPLOYER")


       

      And


       

      EDWARD GORDON
GROENEWALD

       

      Identity
number_________________

       

      (Hereinafter
referred to as "the EMPLOYEE")

      


       

      WHEREAS THE PARTIES HERETO
HAVE ENTERED INTO A CONTRACT OF EMPLOYEMENT AND ARE DESIROUS TO REDUCE THE TERMS
AND CONDITIONS THEREOF TO WRITING.

       

      NOW THEREFORE THE PARTIES HAVE
AGREED TO THE FOLLOWING TERMS AND CONDITIONS

       

      
        	
                 
      

              	
                1.

              	
                JOB
      TITLE / OCCUPATION

              


      

       

      The
employee shall be / is employed as Chief Executive Officer.

       

      
        	
                 
      

              	
                2.

              	
                DATE
      OF COMMENCEMENT

              


      

       

      Notwithstanding
the date of signature of this contract the parties agree that the effective date
of this contract for purposes of calculation of length of service, leave and
sick leave cycles shall be 01 October 2006.

       

      
        	
                 
      

              	
                3.

              	
                DUTIES

              


      

       

      3.1           The
EMPLOYEE shall be expected to satisfactorily carry out all the tasks and duties
normally associated with the position.  The EMPLOYEE agrees and
undertakes to obey all reasonable and lawful orders and instructions which may
be given by any person employed by the EMPLOYER who is in a managerial or
supervisory position.  The EMPLOYEE confirms that he / she is capable
and competent to perform the duties for which he / she has been employed, and
that he / she has the necessary skills and knowledge to perform competently and
to the satisfaction of the EMPLOYER.  It is expressly agreed by the
EMPLOYEE that should the word as set out in the job description, be unavailable
he / she will be prepared to perform any other suitable work which falls within
his / her vocational abilities provided that it shall be without loss or
remuneration.  The performance of any other suitable work under these
circumstances will not be seen as a right of the EMPLOYEE and the EMPLOYER
reserves the right to retrench the EMPLOYEE under such
circumstances.

       

       

      
        
          
          

        

        
          1

          
            

          

        

        
          
          

        

      

       

      
        	
                 
      

              	
                4.

              	
                PROBATION/EVALUATION
      OF PERFORMANCE

              


      

       

      4.1           The
EMPLOYEE agrees and understands that he/ she shall be employed on a probationary
basis during the first three months employment with the EMPLOYER and that the
EMPLOYER shall assess the EMPLOYEE's performance during this
period.  The EMPLOYER shall follow the guidelines as contained in
Schedule 8 to the Labour Relations Act 66 of 1995, which provides for
counseling, training or disciplinary action, as the need arises, prior to
extension of the probationary period or termination of the contract of
employment preceded by an opportunity for the EMPLOYEE to make
representations.

       

      4.2           During
the duration of this agreement the EMPLOYEE'S performance, skills, conduct,
compatibility, and knowledge will be evaluated by the EMPLOYER, and any failure
by the EMPLOYEE to comply or meet with the required conditions or standards,
shall be dealt with in terms of the provisions of The Labour Relations Act,
which may include disciplinary action in instances of severe non-compliance,
which may lead to the EMPLOYEE'S eventual dismissal.

       

      
        	
                 
      

              	
                5.

              	
                REMUNERATION

              


      

       

      5.1           The
EMPLOYEE'S basic salary be R____________________ per month and payments shall be
made monthly in arrears not later than the last day of each month.

       

      5.2           Payment
of the EMPLOYEE'S salary shall be made either by cheque or be paid into the
EMPLOYEE'S account at a financial institution of his / her choice.

       

      5.3           Salary
increments will be considered on ground of merit or otherwise once per year
based on the EMPLOYER's financial position.

       

      5.4           The
EMPLOYER shall deduct all statutory deductions such as UIF, PAYE from the
EMPLOYEE's salary.

       

      
        	
                 
      

              	
                6.

              	
                INCREASES

              


      

       

      Future
increases will be based on the EMPLOYEE'S individual performance as well as on
the overall financial performance of the EMPLOYER'S undertaking during the
preceding financial year.  Such granting of increases (when
applicable) will be entirely at the discretion of the EMPLOYER.  The
EMPLOYEE agrees that any increases granted in terms of this clause will be set
off against any wage increase, which may become due and payable according to any
wage regulating measure or other agreement if such increase takes effect within
11 months of the granting of the aforesaid increase.

       

       

      
        
          
          

        

        
          2

          
            

          

        

        
          
          

        

      

       

      
        	
                 
      

              	
                7.

              	
                ANNUAL
      BONUS

              


      

       

      Any bonus
that may be paid to the EMPLOYEE will be determined on merit.  Bonuses
will not be a right of the EMPLOYEE and bonuses will be paid at the sole
discretion of the EMPLOYER.

       

      
        	
                 
      

              	
                8.

              	
                MEDICAL
      AID

              


      

       

      8.1           The
EMPLOYEE shall be entitled to become a member of a medical aid stipulated by the
EMPLOYER, after completion of the three month probation period or an extended
probation period, provided that he/she is appointed permanently.  In
such instance the EMPLOYER shall be entitled to deduct an amount equal to 50% of
the EMPLOYEE's monthly contribution as the EMPLOYEE's contribution to the
medical aid.  The EMPLOYER shall contribute a further 50% to said
fund.  In the instance where the EMPLOYEE declines the opportunity to
become a member of the Company medical aid he/she will not be entitled to be
compensated with the 50% contribution that the EMPLOYER would have made to the
medical aid.

       

      
        	
                 
      

              	
                9.

              	
                ANNUAL
      LEAVE

              


      

       

      9.1           The
EMPLOYEE will be entitled to fifteen working days paid leave per
annum.  Such leave shall be taken in accordance prescribed leave rules
and regulations and shall not be granted unless applied for at least two weeks
in advance.

       

      
        	
                 
      

              	
                10.

              	
                SICK
      LEAVE

              


      

       

      10.1          The
EMPLOYEE is entitled to paid sick leave equal to the number of days the EMPLOYEE
would normally work during a period of 6 weeks during every cycle of 36
months.  Sick leave not taken will not be paid out.  If more
than 2 continuous days sick leave are taken the EMPLOYEE will be required to
submit an acceptable doctor's certificate.  If continual illness
occurs, the EMPLOYER may insist on a doctor's certificate for every day
off.  In the instance where the EMPLOYER is of the reasonable opinion
that the EMPLOYEE is abusing his/her sick leave, the EMPLOYER have the right to
refer the EMPLOYEE to a medical practitioner of his/her choice to undergo a
medical examination, at the cost of the EMPLOYER.

       

      10.2           During
the first six months of employment, the EMPLOYEE will be entitled to one days
paid sick leave for every 26 days worked.

       

      10.3           If
the EMPLOYEE is absent for an unreasonably long time, due to illness, the
employer is entitled to terminate the contract after a procedurally fair
investigation into the health position of the EMPLOYEE which leads to the
substantiated conclusion that the EMPLOYEE shall not be fit to perform his or
her duties or to be employed in an alternative position or that no alternative
position is available.

       

      
        	
                 
      

              	
                11.

              	
                MATERNITY
      LEAVE (Unpaid leave)

              


      

       

      11.1          The
EMPLOYEE shall be entitled to 4 (four) month's unpaid maternity
leave.

       

       

      
        
          
          

        

        
          3

          
            

          

        

        
          
          

        

      

       

      11.2          Maternity
leave will commence at any time from four weeks before the expected date of
birth, unless otherwise agreed or when a medical practitioner or midwife
certifies that it is necessary for the EMPLOYEE'S health or that of her unborn
child.  (S.25 (2) b of the Basic Conditions of Employment Act
refers).

       

      11.3          The
EMPLOYEE must commence maternity leave 4 weeks prior to the expected date of
birth and may not resume her duties within 6 weeks after the birth of the baby,
unless a medical practitioner or midwife certifies that she is fit to
work.  The EMPLOYEE is entitled to at least four consecutive month's
maternity leave.

       

      11.4          The
EMPLOYEE will notify the EMPLOYER in writing, unless the EMPLOYEE is unable to
do so, of the date on which she intends to commence with maternity leave and
furthermore when she expects to return to work, at least four weeks before such
date.

       

      11.5          The
EMPLOYEE understands that she will be considered as having deserted if she does
not report for duty within five days after the stipulated date.  A
disciplinary investigation will be held regarding the reasons for the
absence.

       

      
        	
                 
      

              	
                12.

              	
                FAMILY
      RESPONSIBILITY LEAVE

              


      

       

      Where the
EMPLOYEE has completed four months service and worked for at least four days a
week, the EMPLOYEE will be entitled to three days paid leave per leave
cycle:

       

      When the
EMPLOYEE'S child is born;

       

      When the
EMPLOYEE'S child is sick;

       

      Or in the
event of the death of:

       

      (i)           the
EMPLOYEE'S spouse or life partner;

       

      (ii)          The
EMPLOYEE'S parent, adoptive parent, grandparent, child, adopted child,
grandchild or sibling.  (S.27)

       

      
        	
                 
      

              	
                13.

              	
                PUBLIC
      HOLIDAYS

              


      

       

      The
following public holidays will be paid and will be exchangeable for any other
day:

       

      New
Year's Day, Human Rights Day, Good Friday, Family Day, Freedom Day, Worker's
Day, Youth Day, National Women's Day, Heritage Day, Day of Reconciliation,
Christmas Day, Day of Goodwill.  When one of the public holidays falls
on a Sunday, the following Monday shall be a public holiday.  The
EMPLOYEE agrees that any public holiday shall be exchangeable for any other day
which the EMPLOYER chooses.  The EMPLOYEE will not be entitled to
public holidays during strikes.

       

      The
EMPLOYEE agrees to word on any public holiday should this be required by the
EMPLOYER.

       

       

      
        
          
          

        

        
          4

          
            

          

        

        
          
          

        

      

       

      
        	
                 
      

              	
                14.

              	
                TERMINATION
      OF EMPLOYMENT

              


      

       

      14.1           The
EMPLOYEE'S service may be terminated by either him/her or by the EMPLOYER by
giving not less than four weeks written notice.

       

      14.2           This
agreement may be terminated by the EMPLOYER without any notice or any payment in
lieu of notice in the case of gross misconduct or dishonesty on the part of the
EMPLOYEE.  The EMPLOYER will in such event follow the procedure laid
own in the disciplinary code and procedure.

       

      
        	
                 
      

              	
                15.

              	
                HOURS
      OF WORK/OVERTIME/AFTERNOON OFF

              


      

       

      15.1           The
EMPLOYEE'S ordinary hours of work shall from 08:00 to 17:00 on Mondays to
Fridays.  The EMPLOYEE will be entitled to a lunch break of one
hour.

       

      15.2           Overtime
is a condition of employment and the EMPLOYEE undertakes to work the statutory
prescribed maximum overtime, currently 3 hours per day and ten hours per week,
provided that:

       

      (i)           the
EMPLOYER notifies the EMPLOYEE during the preceding day that he/she is required
to work overtime; and

       

      (ii)           Nothing
in this Agreement shall limit the EMPLOYER'S right and the EMPLOYEES obligation
to work emergency overtime at short notice.

       

      
        	
                 
      

              	
                16.

              	
                DESERTION
      AS BREACH OF CONTRACT

              


      

       

      The
EMPLOYEE agrees that should he fail to report for work for more than five
consecutive days without notifying the EMPLOYER and providing the EMPLOYER with
satisfactory proof, it will constitute serious breach of contract and he/she
shall be deemed to have deserted.

       

      
        	
                 
      

              	
                17.

              	
                CONFIDENTIALITY

              


      

       

      The
EMPLOYEE shall not divulge any information either in writing, orally or by means
of any form of electronic media to any unauthorized persons or bodies relating
to any aspect of his/her work or to any of the operations or processes of the
EMPLOYER.  Such information shall include methods, processes, computer
software, documentation, client lists, programs, trade secrets, technical
information, chemical formulae, drawings, financial information, or any other
information which could be damaging to the EMPLOYER'S operations or which could
benefit other parties to the detriment of the EMPLOYER.  Such
restrictions shall apply during and after the EMPLOYEE'S employment with the
EMPLOYER.

       

      
        	
                 
      

              	
                18.

              	
                RULES
      AND REGULATIONS

              


      

       

      The
EMPLOYEE will observe and obey all the rules, regulations and procedures which
have been or may be drawn up by the EMPLOYER, or where applicable, the
Bargaining Council or any relevant legislation.  The EMPLOYER will
endeavour to ensure that the EMPLOYEE is made familiar with such rules,
regulations and procedures.  The EMPLOYER reserves the right to change
or add any of its rules, regulations and procedures at any time at its
discretion, subject to reasonable notice to the EMPLOYEE.  The
EMPLOYEE confirms that he/she has been given a copy of the disciplinary code
with this contract and that it has been explained to him/her.

       

       

      
        
          
          

        

        
          5

          
            

          

        

        
          
          

        

      

       

      
        	
                 
      

              	
                19.

              	
                LIST
      OF ANY RELEVANT DOCUMENTATION (NOT INCLUDED IN THIS
    DOCUMENT)

              


      

       

      Will be
available at the companies' offices where a copy may be
obtained.  Code of Conduct, Grievance Procedure and Disciplinary
Procedure.

       

      
        	
                 
      

              	
                20.

              	
                WORK
      OUTSIDE EMPLOYMENT

              


      

       

      The
EMPLOYEE shall not be entitled to work, during or outside normal working hours,
for any other employer, or conduct his/her own business, or be associated with
any person other than the EMPLOYER's business unless the nature of his/her
involvement has been revealed to the EMPLOYER and the written consent of the
EMPLOYER has been obtained.  A further condition is that the
undertaking of the other party's business shall not, directly or indirectly, be
in competition with the undertaking of the EMPLOYER and the EMPLOYEE'S
involvement may not in any way whatsoever detrimentally affect the EMPLOYEE'S
work or his/her working relationship with the EMPLOYER.

       

      
        	
                 
      

              	
                21.

              	
                SAFETY
      AND SECURITY

              


      

       

      21.1          The
EMPLOYEE agrees to observe and obey all the safety and security rules and
regulations as prescribed by the EMPLOYER, and / or the Occupational Safety and
Health Act.

       

      21.2          The
EMPLOYEE declares that he/she has never been convicted of a Schedule One
criminal offence as contained in the Criminal Procedure Act No. 51/77, such
offences being theft, fraud, assault, rape, arson etc.  The EMPLOYEE
agrees that should this statement be proved to be false, or should the EMPLOYEE
fail to declare a future Schedule One offence, the EMPLOYER fail to declare
a future Schedule One offence, the EMPLOYER will reserve the right to
summarily terminate the EMPLOYEE'S service.

       

      
        	
                 
      

              	
                22.

              	
                TRAINING

              


      

       

      The
EMPLOYER may require the EMPLOYEE to attend from time to time, training courses
or development programs in order to improve the EMPLOYEE'S skills, knowledge or
experience.  Attendance at these courses or programs will be at the
discretion and expense of the EMPLOYER.

       

      
        	
                 
      

              	
                23.

              	
                DEDUCTIONS

              


      

       

      The
EMPLOYEE authorizes the EMPLOYER to deduct from his/her earnings, any monies
owing to the EMPLOYER for whatever reason, irrespective whether the EMPLOYEE is
in the employ of the EMPLOYER at the time of such deductions.

       

      
        	
                 
      

              	
                24.

              	
                CHANGE
      OF STATUS

              


      

       

      The
EMPLOYEE shall, within a reasonable period, notify the EMPLOYER of any change in
his/her status, such as address, dependents, marital, telephone number,
qualifications or any other relevant changes.

       

       

      
        
          
          

        

        
          6

          
            

          

        

        
          
          

        

      

       

      
        	
                 
      

              	
                25.

              	
                DOMICILIA

              


      

       

      Should
either party serve any notice on the other, this shall be done in writing, which
may be delivered by hand or sent by registered post to the address hereunder and
such address will be accepted as the address (domiciliurn citandi et executandi)
for all legal intents and purposes concerning this Contract.

       

      For the
EMPLOYEE: __________________________________________________________________________________________

      __________________________________________________________________________________________________________

      
        __________________________________________________________________________________________________________

        
           

        

      

      
        For the
EMPLOYER: __________________________________________________________________________________________

        
          __________________________________________________________________________________________________________

          
            __________________________________________________________________________________________________________

          

        

      

    

    
      


       

      
        	
                 
      

              	
                26.

              	
                OFFENCES

              


      

       

      The
EMPLOYEE undertakes immediately to notify the EMPLOYER in the event of the
endorsement of his driver's license or any criminal offence with regard to
dishonesty or violence.

       

      
        	
                 
      

              	
                27.

              	
                IN
      GENERAL

              


      

       

      27.1           This
Contract shall be the entire agreement between the parties and no variation,
alteration and / or addition will be of any force or effect unless placed in
writing and signed by both parties.

       

      27.2           No
indulgence, leniency or extension of time which the parties may grant each
other, in the event of claims and/or disputes, shall in any way whatsoever
prejudice either of them, preclude wither of them from exercising their rights
or constitute a waiver or limitation of any of their respective
rights.

       

      
        	
                 
      

              	
                28.

              	
                GUARANTEE
      BY EMPLOYEE

              


      

       

      The
EMPLOYEE confirms that all documentation. information and credentials presented
to the EMPLOYER in support of his/her application for employment are authentic
and it is agreed that in the event of any of the above subsequently proving to
be false, this will be ground for summary termination of the EMPLOYEE'S
services.

       

      
        	
                 
      

              	
                29.

              	
                ACCESS

              


      

       

      The
EMPLOYEE agrees that any legal right he/she has to be on the EMPLOYER'S premises
is dependent upon the adequate performance of the duties allocated to him by the
EMPLOYER.  It is therefore specifically agreed that should the
EMPLOYEE, for whatever reason, decide not to proceed with the performance of
his/her allocated duties he shall at the request of the EMPLOYER leave the
EMPLOYER'S premises in an orderly manner within 20 (twenty) minutes after being
requested to do so and that refusal or failure to do so will be regarded as
breach of contract.

       

       

      
        
          
          

        

        
          7

          
            

          

        

        
          
          

        

      

       

      
        	
                 
      

              	
                30.

              	
                RESTRAINT
      OF TRADE

              


      

       

      30.1           The
employee, in order to protect the goodwill of the business and the interests of
the Employer in the goodwill of the business, agrees and undertakes in favour of
the Employer and the business that it will not within the areas referred to in
clause 30.2 and for a period of 2 (two) years after the effective date, either
as principal, agent, partner, representative, shareholder, director, employee,
consultant, adviser, financier, or in any other like or similar capacity,
directly or indirectly be associated or concerned with, interested or engaged in
any firm, business, company or other association of persons which carries on a
business or activity similar to the business carried on by the Employer on the
effective date, or any new but similar business established by the employee
after the effective date.

       

      30.2          The
areas covered by these restraints are -

       

      30.2.1                      the
Province of Gauteng;

       

      30.2.2                      the
Province of Free State;

       

      30.2.3                      the
Province of Western Cape;

       

      30.2.4                      the
Province of Kwa Zulu/Natal;

       

      30.2.5                      the
Province of Northern Cape;

       

      30.2.6                      the
Northern Province;

       

      30.2.7                      the
Province of North West;

       

      30.2.8                      the
Province of Eastern Cape;

       

      30.2.9                      the
Province of Mpumalanga.

       

      30.3          The
employee agrees that

       

      30.3.1                      the
restraints imposed upon it in terms of this clause are reasonable as to subject
matter, area and duration and are reasonably necessary in order to preserve and
to protect the goodwill of the business;

       

      30.3.2                      Notwithstanding
the manner in which the restraints in clause 30.1 and the areas in clause 30.2
are grouped together or linked geographically, each of them constitutes a
separate and independent restraint, severable from each of the other
restraints.

       

       

      
        
          
          

        

        
          8

          
            

          

        

        
          
          

        

      

       

      Signed at
Ruimsig on this 16 day of July 2007

       

      I
understand the conditions of the contract as explained and interpreted to me and
accept it voluntary.

       

      
        	
                WITNESSES:

                 

                1) __________________________________________

              	
                 

                 

                /s/ Edward Gordon
      Groenewald   

                EMPLOYEE

              
	
                 

                2)
      __________________________________________

              	 
      


      

       

       

       

       

      Signed at
Ruimsig on this 16 day of July 2007

       

      
        	
                WITNESSES:

                 

                

                  1) __________________________________________

                

              	
                 

                 

                _______________________________

                EMPLOYER

              
	
                 

                

                  2)
      __________________________________________

                

              	 
      


      

      


       

       

       

      
        
          
          

        

        
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