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COLLECTNE AGREEMENT BETWEEN JOHN CRANE CANADA INC. -AND- UNITED STEELWORKERS OF AMERICA (Local16506-34) August 17, 2002- August 16, 2005

COLLECTNE AGREEMENT BETWEEN JOHN CRANE CANADA INC. · Shop Committee and in either case that the foreman has had the opportunity of adjusting the complaint. The foreman shall render

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Page 1: COLLECTNE AGREEMENT BETWEEN JOHN CRANE CANADA INC. · Shop Committee and in either case that the foreman has had the opportunity of adjusting the complaint. The foreman shall render

COLLECTNE AGREEMENT

BETWEEN

JOHN CRANE CANADA INC.

-AND-

UNITED STEELWORKERS OF AMERICA

(Local16506-34)

August 17, 2002- August 16, 2005

Page 2: COLLECTNE AGREEMENT BETWEEN JOHN CRANE CANADA INC. · Shop Committee and in either case that the foreman has had the opportunity of adjusting the complaint. The foreman shall render

OFFICE OF

APR 0 1 2004 COLLECTIVE BARGAINING

INFORMATION

- ... ...... FIL£ No. 3 'i? •• CJ.. :::: oo~7

CERT. FILE ..........

CERT.DATE . -· _,

TOTAL EMPS 7u "'

,_ _EFF. DATE~~ i _-l[_C:?-

=

EX~. DATE Pr~ c~.I.~s 0

CODING CONTROL . DA1t -C~<:if\ : -- .. :

!DENT COOEDffr S D~ (2_

RECEIVED-

UNION 1/ J EMPlOYER tl OTHER ' .....

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1 A E C E IV ED MAR 1 1 2004 TABLE OF CONTENTS

ARTICLE 1 ----------------------------------------··-··-·-----------4 Purpose Of Agreement

ARTICLE 2 -------------------------------------·-----------·----------··------- 4 Union Recognition

ARTICLE 3 ···------·---·-------------------------------------------------- 5 Freedom From Discrimination

ARTICLE 4 --------······------···-----·--------·····------------·----·--------- 6 Management's Rights

ARTICLE 5 ----·--------------------·------------------------------····- 6 Strikes and Lockouts

ARTICLE 6 ···-···-···----------------------------·-·--------------------------------·- 7 Union Activity

ARTICLE 7 ---------------------------------------------------------------- 7 Grievance Procedure

ARTICLE 8 -------------------------------------------------···--------------------------- 9 Arbitration

ARTICLE 9 ------------------------------------------------------·-··--------------10 Discharge Case

ARTICLE 1 0----------------------------------·------------------------------------·----··1 0

Seniority

Vacancies

ARTICLE 11-······---------·-···-----------------------------·---------------13

Lay-Off Notice

ARTICLE 12 ····------··-----------·--·-----····--------·-··-----··------·······------13 Temporary Transfers

ARTICLE 13 ---------··--····------------------··-······----------------14 Bereavement Pay

ARTICLE 14-----······----·--······----------------------······-·-····--··14 Jury Duty

ARTICLE 15-·····----------------···-------------------------------------·--··15 Bulletin Boards

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ARTICLE 16---------------------------------------------------------------------------------15

Leave of Absence

ARTICLE 17----------------------------------------------------------------------15

Safety and Health

ARTICLE 18-------------------------------------------------------------------------------------------------17

Union Representation

ARTICLE 19----------------------------------------------------------18

Handicapped Employees

ARTICLE 20-------------------------------------------------------------------------------18

Paid Holidays

ARTICLE 21------------------------------------------------------------------------------------------19

Hours of Work ARTICLE 22-------------------------:.. _____ _; ___________________________________________ 20

Rest Periods

ARTICLE 23------------------------------------------------------20

Overtime

Saturday and Sunday Work

ARTICLE 24--------------------------------------------------- -20

Reporting Allowances

ARTICLE 25------------------------------------ ----------21

Vacations with Pay

ARTICLE 26-------------------------------------------------------------------------------------------------2 2

Wash Up Period

ARTICLE 27-------------------------------------------------------------------------22

Overtime and Meal Allowance

ARTICLE 28------------------------------------------------------------------------------23

Welfare Programme

ARTICLE 29 ------------------------------------------_;_·----------------------------------23

Wage Schedules

ARTICLE 30 -----------------------------~----------------------------------------------------------------------23 Union Security

ARTICLE 31---------------------------------------------------------------------------------24

Cost of Living Adjustment

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ARTICLE 32--------------------------------------------------------------------------------------------26

Duration of this Agreement

SCHEDULE "A"-------------------------- -----21· HEALTH AND WELFARE PLAN ---.:~---------------------------------------------------------------27

A.1 Bargaining Unit Employees --------------------------------------------------------------------------------27 A.2 Bargaining Unit Employees and Dependents --------------------------------------------------------28

ELIGIBLE EXPENSES -------------------------------------------------------------------------------31 Outline of Dental Codes Applying to the Dental Benefit Plan-----------------------------------------31 Pred ete rm in ation Feature: --------------------------------------------------------------------------------------- 32

INELIGIBLE EXPENSES-------------------------------------------------------------------------------33

SCHEDULE "B"------------------------- -------------------34 WAGES EFFECTIVE AUGUST 17, 2002 ----------------------------------------------------------34 WAGES EFFECTIVE AUGUST 17, 2003 ----------------------------------------------------------35 WAGES EFFECTIVE AUGUST 17, 2004 ----------------------------------------------------------36

Letter #1 ------------------------------------------------------------38 Article 23 - Overtime Assignment

Letter #2 -----------------------------------------------------------------------------------------39 Lead Hand

Letter #3 ---------------------------------------------------39 Job Descriptions

Letter #4 ----------------------------------------------------------------------------------------------40 Technological Change

Letter #5 ---------------------------------------------------------------------------------------------------41 Letter #6 -----------------------------------------------------------------------------------------42

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THIS AGREEMENT made as of the 16th day of August, 2002

BETWEEN:

-AND-

JOHN CRANE CANADA INC. (hereinafter referred to as "the Company")

OF THE FIRST PART

UNITED STEELWORKERS OF AMERICA (Local16506-34) (hereinafter referred to as "the Union")

OF THE SECOND PART

ARTICLE 1

Purpose Of Agreement

1.01 The general purpose of this Agreement is to secure for the Company, the Union and the employees the full benefits of orderly collective bargaining, to ensure efficiency and economy of operation, to provide machinery for the adjustment of grievances which may arise between the parties hereto, and to promote and strengthen good will between the Company, the Union and the employees.

ARTICLE 2

Union Recognition

2.01 The Company recognizes the Union as the sole and exclusive bargaining agent for all of its employees at the City of Stoney Creek, Ontario, save and except foremen, foreladies, persons above the rank of foreman or forelady, office and sales staff and students hired for the school vacation period.

2.02 The terms and conditions of this Agreement shall have full force and effect for all employees in the bargaining unit as described above.

2.03 It is agreed that the terms and conditions of this Collective Agreement shall apply to any new location of the Company in the event that the Stoney Creek plant is relocated during the term of this Agreement.

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2.04 Forepersons, other supervisors and any other employee(s) not covered under the terms of this agreement will not perform work which is done by employees in the bargaining unit, except:

a) in cases of emergency b) when giving instructions or performing development work

No employee shall be made redundant or suffer loss of earnings through management officials performing work normally done by employees in the bargaining unit.

"Emergency", as used herein, is an unanticipated occurrence of short duration where bargaining unit employees are unavailable to perform the work and may include absence or tardiness, where present employees cannot be transferred to fill in and the job requirement is such that the supervisor must assist in the operation.

Nothing herein shall be used to avoid recalling proper employees or to avoid the payment of overtime in the proper classifications where the emergency can be handled by doing so. The above-reference to the emergency language are examples and are not intended to be all inclusive but indicate how specific situations would be handled.

ARTICLE 3

Freedom From Discrimination

3.01 The Company and the Union agree that there will be no discrimination or harassment against any employee contrary to the Human Rights Code, (Ontario). Every employee has the right to equal treatment by the Company with respect to all aspects of the exercise of managerial authority by the Company, which equal treatment shall be without discrimination because of race, ancestry, place of origin, colour, ethnic origin, citizenship, creed, religion, political affiliation, sex, record of offenses, age, marital status, family status, handicap, sexual preference, and membership or office in the Union.

3.02 The Company shall maintain a working environment which is free of sexual harassment.

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ARTICLE 4

Management's Rights

4.01 The Union recognizes that it is the exclusive right of the Company, except where specifically abridged by the terms of this Agreement, to hire, promote, demote, transfer, suspend or otherwise discipline or discharge any employee for just cause subject to the terms of this Agreement. The Company shall notify the representative of the Union or the Shop Committee, if available, at the time of discharge or suspension of any employee, but in the absence of the representative or Shop Committee, notification shall be given as soon as possible after discharge or suspension.

4.02 The Union further recognizes the undisputed right of the Company, except where specifically abridged by the terms of this agreement, to operate its business in all respects in accordance with its commitments and responsibilities. The location of equipment, the products to be manufactured, number of employees, schedule of production, the methods, processes, and means of manufacturing are exclusively the responsibilities of the Company.

4.03 The Company agrees that it shall not exercise its right as detailed above in a discriminatory manner.

4.04 Disciplinary measures should be appropriate to the degree of the severity of a singular infraction and/or repeated infractions.

4.05 The Company also has the right to make and alter, reasonable rules and regulations to be observed by its employees; such rules and regulations shall not be inconsistent with the provisions of this Agreement. The Company agrees to provide the Union with prior notice before the implementation of a new or altered rule or regulation.

ARTICLE 5

Strikes and Lockouts

5.01 The Company agrees that it will not lock out the employees.

5.02 The Union agree that it will not call, authorize, encourage or support any unlawful strike, stoppage of work, or slowdown, partial or complete, by individual or collective action.

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5.03 No employee or employees shall instigate or participate in any unlawful strike, stoppage of work, or slow down which would be detrimental to the production of the Company.

ARTICLE 6

Union Activity

6.01 The Union agrees that there will be no Union activity of any kind on the Company's premises during working hours except that which is necessary in connection with the handling of grievances and the enforcement of this Agreement, and that there will be no collection Union activity on the Company's premises unless specific permission is granted by the Company in writing.

ARTICLE 7

Grievance Procedure

7.01 It is the mutual desire of the Parties hereto that all complaints shall be adjusted as quickly as possible. It is understood that an employee has no grievance until he has personally presented same to his foreman or, in the alternative that his grievance has been presented to his foreman on his behalf by a member of the Shop Committee and in either case that the foreman has had the opportunity of adjusting the complaint. The foreman shall render his decision not later than the work day following presentation of the grievance. The Union shall have the right to initiate a policy grievance at step two of the grievance procedure and all provisions of the grievance and arbitration procedures will apply to such grievances.

7.02 Should an employee have a complaint that he has been unable to settle with the foreman, the complaint may be taken up within 2 full working days by the aggrieved employee, who shall be accompanied by a member of the Shop Committee, with the Operations Manager, or his representative, who shall render his decision in writing not later than 3 full working days following presentation.

7.03 Failing settlement of the grievance with the Operations Manager, or his representative, the matter may be taken up within 3 working days between the Union Shop Committee and the General manager or his representative. An International Staff Representative of the Union may attend the meeting between the Union Shop Committee and the General manager or his representative. Issues in dispute involving terminated employees can be automatically entered at this step. The General Manager or his nominee shall give his decision in · writing not later than 3 working days following the meeting.

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7.04 An International Staff Representative of the Union shall have the right of access to the workers at any time for the purpose of discussing Union business, provided that he first identifies himself at the office of the Company and provided also that the work in the plant is not thereby interfered with. The Union representative shall be escorted to and from the department he desires to visit.

7.05 Any difference or grievance arising directly between the Company and the Union may be submitted at a meeting between representatives of the Company and the Union called by either party on 5 days' notice for that purpose.

7.06 At any stage of the Grievance Procedure, including arbitration, the conferring parties may have the assistance of the employee or employees concerned and any necessary witnesses, and all reasonable arrangements will be made to permit all conferring parties to have access to the plant to view disputed operations and to confer with the necessary witnesses.

7.07 Any and all time limits set forth in this Article and Article 8 may, at any time, be extended by mutual agreement between the Parties hereto.

7.08 A grievance shall not be considered if 7 days have elapsed from the time when the matter in dispute occurred up to the time of presentation of the grievance to the. foreman. Only under unusual circumstances will any grievance be considered by the Company when presented after this 7 day period. For this purpose, unusual circumstances are defined to be restricted to plant shutdown, vacation period, absence from work due to leave of absence, personal illness or personal illness of foreman to whom the grievance must be presented. When any such unusual circumstances exist, the grievance must be presented no later than 21 days after the occurrence of the matter in dispute.

7.09 All decisions, which shall be rendered in writing, at each level arrived at between the Company and the Union representatives shall be final and binding upon the Company, the Union and the employee or employees concerned.

7.10 The Company has the right to present a grievance against the Union, its officers, its members in the bargaining unit or other representatives for failure to comply with the terms of this Agreement. Any grievances presented by the Company shall be in writing to the representative of the Union for the plant with a copy of the written grievance sent to the Secretary of the Union, and in the event that any grievance so presented by management is not settled within 5 working days after presentation, it will be subject to arbitration in the same manner as a grievance presented by an employee, a group of employees or the Union. Any grievance submitted by the Company shall be presented in writing within 5 working days from the time the act complained of did occur.

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7.11 When a derogatory notation is placed against the record of an employee, notice of such notation shall be given to the employee and the committeeman in his department.

7.12 When an employee is called to be disciplined, he shall be entitled to have a steward present if there is then a steward available.

7.13 An employee's record shall be deemed to be cleared of all disciplinary notations which are more than 12 months old.

7.14 Active employees can access their personal files only after establishing an appointment to do so.

ARTICLE 8

Arbitration

8.01 Failing settlement under the Grievance Procedure of any difference concerning the interpretation or any alleged violation of this Agreement, the matter in dispute may be taken to arbitration, provided that if no written request for arbitration is received within 15 working days after the final decision is given under the Grievance Procedure, it shall be deemed to have been settled or abandoned.

8.02 When either Party requests arbitration, as hereinafter provided, it shall make such request in writing, addressed to the other Party of this Agreement, giving full details of the matter to be arbitrated and at such time submit the name of an arbitrator.

8.03 Failing agreement on the selection of an arbitrator, either Party may then request the Minister of Labour for Ontario to assist them in selecting an impartial arbitrator.

8.04 No person may be appointed arbitrator who has been involved in an attempt to negotiate or settle the grievance.

8.05 No matter may be submitted to arbitration which has not been properly carried through all steps of the Grievance Procedure.

8.06 The arbitrator shall not be authorized to make any decision inconsistent with the provisions of the Agreement, nor to alter, modify or amend any part of this Agreement.

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8.07 The proceedings of the arbitration will be expedited by the Parties as is practical hereto and the decision of the arbitrator shall be final and binding upon the Parties hereto.

8.08 The Parties shall jointly bear the expenses, if any, of the arbitrator.

8.09 In the event that there is a dispute involving work standards, any arbitrator appointed or selected shall be a person who is technically qualified to deal with the matters in dispute.

ARTICLE 9

Discharge Case

9.01 A claim by a permanent employee that he has been unjustly discharged shall be treated as a grievance, provided a written statement of such grievance, signed by the discharged employee, is lodged with the Company within 5 days after the employee ceased to work for the Company.

9.02 Such grievance shall be settled by confirming the Company's action in dismissing the employee or by reinstating the employee with or without compensation for lost time and full retention of seniority.

ARTICLE 10

Seniority

10.01 The purpose of seniority regulations is to provide a policy governing lay-offs and rehiring. In the event of the reduction of the working forces covered by this Agreement, the Company shall follow the principal, "last on, first off', if the senior employee has the necessary skills, ability, efficiency and qualifications to fill the work available. Following lay-off, rehiring shall be executed conversely to the lay-off procedure. In exercising its rights, the Company shall not act in a discriminatory manner. If an employee alleges that he has been discriminated against by the Company, he may grieve.

10.02 (a) Seniority shall include all persons working within the bargaining unit, provided, however, that the employees shall be considered probationary for a period of 45 working days of employment and shall not be placed on the seniority list until they have completed their probationary period. When placed on the seniority list, an employee's seniority shall date back to the date of hiring.

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10.03

10.04

10.05

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(b) Notwithstanding any other provision of this Agreement, the employment of a probationary employee may be terminated for any reason during his probationary period at the sole discretion of management and such termination shall not constitute a difference between the Parties.

In effecting any lay-offs, the Company shall consider the seniority of the employees and in the event the skill, ability, efficiency and qualifications of two or more employees are approximately equal, then seniority shall be the determining factor. Employees will be allowed up to a five (5) working day re-familiarization period when bumping. In exercising its rights, the Company shall not act in a discriminatory manner. If an employee alleges that he has been discriminated against by the Company, he may grieve.

In the event an employee is promoted outside of the bargaining unit and is then returned to a job classification covered by the bargaining unit, his seniority shall not accumulate during the period he was not covered by the terms of the Agreement.

An employee shall lose his seniority standing, his name shall be removed from the seniority list and his employment shall be deemed to be terminated for any of the following reasons:

(a) if the employee voluntarily quits;

(b) if the employee is discharged and is not reinstated pursuant to the Grievance Procedure;

(c) if an employee has been laid off and failed to return within 5 working days after the date on which the Company has mailed to him notification to return. Such notification is to be sent by registered mail to the last known address of the employee as indicated on the Company's records. A copy of the recall notice will be forwarded simultaneously to the recording secretary of the local union. It shall be the responsibility of the employee to at all times keep the Company informed as to his current home address.

(d) if an employee overstays a leave of absence granted by the Company without securing an extension in writing from the Company of such leave of absence;

(e) if an employee is absent from work for more than 3 consecutive working days without securing leave of absence. It is understood that an employee shall not be removed from the seniority list for such an absence if the absence is due to his personal illness or accident or for any other reason acceptable to the Company;

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(f) if an employee with less than 15 years service is laid off for a period equal to his seniority up to a maximum of 18 months; employees with 15 years of service or more can be on lay~off for up to 24 months;

(g) if an employee retires or is retired pursuant to the pension plan.

10.06 Seniority lists shall be established on a plant-wide basis. The Company will provide an employee list annually or when there is an addition or deletion to the seniority list.

Vacancies

10.07 (a) In the event that a vacancy occurs within the bargaining unit or a new position is created which is covered by this Collective Agreement, a notice will be posted of the vacancy or new position on the plant bulletin board describing the job classification. The Company agrees that in filling such vacancy (or first subsequent vacancy) or new position, it shall give preference to applications received from employees on the seniority list. In the event the skill, ability and qualifications of two or more such employees are approximately equal, then seniority shall be the determining factor. Such notice shall be posted for a period of 3 working days. It is agreed, however, that the Company shall have the right to temporarily appoint a person to fill such vacancy or new position until such time as the vacancy or new position is filled on a permanent basis. While the Company recognizes this obligation to give preference to applications received from employees on the seniority list, as stated in this clause, in the event the Company is unable to fill a vacancy or new position with a present employee having the skill and ability to perform the work required, the Company shall have the right to hire a new employee to fill the vacancy or new position after the period of posting, outlined above, has expired. Any employee who has been transferred to fill a vacancy or new position which has been posted shall not be eligible to fill another posted vacancy until at least 6 months have elapsed, provided that an employee may bid upward to a higher rated job classification at any time.

(b) Experience gained during temporary transfers and modified work assignments shall not apply under Articles 10.07, 11.0 and letter #1 (overtime assignment).

10.08 A copy of each notice posted pursuant to Article 10.07 and the..name of the employee who was placed in the vacancy or new position shall be supplied to the Union.

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10.09 A successful applicant for a vacancy or new position will be placed in the job for a trial period not exceeding 45 working days. If there is a difference between the applicable rates of pay the successful applicant will be paid the next higher of the two rates for all time spent in the higher paid job. Where an employee applies for an equal or lesser paying job, he/she shall be paid no lower than the sixth month rate for that job provided that the job posted to is "machine or drill operator or lower" on Schedule B. If he successfully completes his trial period, he will be classified into his new job and the seniority· list will be amended accordingly. If the employee is unable to perform all the functions of the new job during his trial period or if, during his trial period he requests that he be returned to his former job, then in either case he will return to his former job at his former rate of pay (subject to any automatic progressive increase he would have been entitled to in the meantime), as will any other employee in the bargaining unit who was promoted or transferred by reason of such placing.

10.10 Employees hired on the same day will be placed on the seniority list in alphabetical order.

ARTICLE 11

Lav·Off Notice

11.01 In the event of a lay-off due to lack of work, all employees affected by the lay·off shall be given two week's notice in advance whenever it is possible or practicable for the Company to give such advance notice. The Union Committee shall be provided with any notice so given.

ARTICLE 12

Temporary Transfers

12.01 If an employee is transferred from one job to another for the convenience of the Company, and there is a difference between the applicable rate of pay, he shall be paid the higher of the two rates.

12.02 Such need may be filled for a period of up to 4 months at which time the transfer will be reviewed by the Company and the Union.

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ARTIClE 13

Bereavement Pay

13.01 The Company recognizes the need for bereavement leave in the event of the death of a member of an employee's immediate family, whether or not the employee attends the funeral. Accordingly, the Company will grant up to 3 consecutive working days off work to an employee with pay at his regular straight time hourly rate in case of such a death, having regard to the circumstances of each particular case. For the purpose of this Article, .the expression "immediate family" means father, mother, son, daughter, spouse, brother, sister, mother-in-law or father-in-law, stepmother, stepfather, stepchild and grandchild of employee.

13.02 In the case of a death of an employee's grandparent, or grandchildren of the spouse, the Company shall grant him two working day's leave of absence with pay, having regard to the circumstances of each particular case. In the case of a death of an employee's brother-in-law or sister-in-law, or grandparent of spouse, the Company shall grant him one working day leave of absence with pay, having regard to the circumstances of each particular case.

13.03 Upon request, the employee will furnish information as to the relevant facts involved.

13.04 Bereavement days shall be taken during the work days immediately surrounding the funeral, which includes the day of the funeral.

ARTICLE 14

Jury Duty

14.01 The Company agrees that it shall pay to each employee covered by this Agreement who is required to perform jury duty, or who is subpoenaed as a witness by the Crown, the difference between his average straight time hourly rate for the number of hours of work he would normally have worked on his regular shift and the payment he received for conduct money or for jury duty. The employee will present proof of jury duty requirements or the subpoena and the amount of pay received there from. It is understood that any employee who is called as a witness or for jury duty shall be responsible to report to work when not required to be in attendance at Court.

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ARTICLE 15

Bulletin Boards

15.01 The Company agrees that the Union may use a bulletin board designated for the purpose provided that its use shall be restricted to the posting thereon only of such notices as have received the prior approval of the Company and such notices shall pertain to meetings, social activitie~. and Union business. It is agreed that a reasonable but adequate space on the bulletin board will be kept reserved for the exclusive use of the Union. The Company will provide the Union access to a locked bulletin board.

ARTICLE 16

Leave of Absence

16.01 An employee will be allowed reasonable leave of absence without pay for legitimate personal reasons if he requests such leave of absence from management in writing. It is understood that management will not discriminate in refusing to grant such leave of absence when requested, provided, however, that such leave of absence will not be granted if it will result in any interference with the operations of the Company.

16.02 Any leave of absence will be granted in writing and a copy of such writing will be sent promptly to the Union's Recording Secretary. Any such leave of absence may be extended by the Company in writing for legitimate personal reasons and a copy of such writing will also be sent promptly to the Union's Recording Secretary. The requirement for writing in this Article will not apply when an employee is granted casual time off for less than 3 consecutive working days.

ARTICLE 17

Safety and Health

17.01 The Company and the Union agree that they mutually desire to maintain high standards of safety and health in the plant in order to prevent industrial injury and illness.

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17.02 (a)

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There shall be a Health and Safety Committee composed of 3 bargaining unit employees to be selected by the Union and 3 representatives of management. This Committee shall meet once each month at a mutually agreeable time. The Health and Safety Committee shall meet during working hours and it's function shall be to investigate and submit recommendations calculated to relieve any unsafe or unhealthy condition that may exist. The Company will make reasonable efforts to remove any hazard or unhealthy condition. The Committee shall co-operate with and support the Company in discouraging frivolous complaints. Accordingly, the Parties to this Agreement will abide by the majority decision of the Health and Safety Committee and an Inspector, within the meaning of the Employee's Health and Safety Act, 1976 as to whether or not an allegation of an unsafe condition is substantiated or is frivolous.

(b) Minutes of meetings of the Health and Safety Committee will be kept and distributed to each member of the Committee.

17.03 If an employee suffers an industrial injury during his hours of work, he shall be paid for the time lost on the day of his injury at his normal hourly earnings.

17.04 The Company will pay a safety boot allowance to employees upon successful completion of their probationary period. The Company will pay him/her an allowance on two occasions during the term of this Agreement toward the purchase of safety boots. The first $125.00 of such allowance will be paid in the first eighteen month period commencing August 17, 2002 and the second $125.00 of such allowance will be paid in the 18 month period commencing February 1, 2004. Such allowance will be paid upon the employee producing proof of purchase of safety boots.

17.05 The Company shall make reasonable provision for the safety and health of employees during the hours of their employment. Cleanliness and privacy in washrooms and toilets are to be maintained at all times.

17.06 (a) Modified Work Program

The Parties agree that the objectives of the program is to provide meaningful work opportunities to assist in the rehabilitation of employees who are considered medically to be permanently disabled or temporarily disabled as a result of occupational or non-occupational injury and/or illness. The primary aim is to return employees to their regular work functions without physical restrictions. Failing this, the secondary aim is to explore the availability of other work functions, and/or initiatives that will permit disabled employees to return to work with the Company.

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(b) The Union shall designate one of its members who shall be permitted to participate in any meetings held to determine the suitability of any work functions within the workplace for disabled employees.

(c) The Company shall provide the Union with copies of any notices and/or correspondence it receives with respect to an employee's fitness to return to work and/or ability to participate in a rehabilitation program.

17.07 The Company and Union will observe the Day of Mourning on such date as officially established each year. Employees will be offered an opportunity to observe a "one minute of silence" at 11:00 a.m.

ARTICLE 18

Union Representation

18.01

18.02

18.03

18.04

18.05

The Union shall appoint a Union Shop Committee consisting of a maximum of 3 employees. The Union will furnish the Company with an updated copy of the list of the members of the Committee.

This Committee shall function for the purpose of meeting with the Company to discuss grievances and to conduct negotiations for renewal of this Agreement It is understood that members of the Union Committee have regular duties to perform in connection with their employment. Therefore, they will not conduct their affairs in an unreasonable manner which would disrupt production.

The members of the Shop Committee as described in Article 18.01 above, shall be paid for the time spent at scheduled meetings held at the Employer's premises at their regular rate as is proper.

On the request of either party, the Company and the Shop Committee shall meet for the purpose of discussing issues related to the workplace which affect the parties or any employee bound by this Agreement.

Each party shall submit a written agenda to the other party of the matters to be discussed at least three (3) working days prior to the meeting.

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ARTICLE 19

Handicapped Employees

19.01 In the event of employees sustaining injuries at work or becoming affected by occupational diseases during the course of their employment and becoming physically handicapped as a result thereof, every reasonable effort will be made by the Company to give the handicapped employee such suitable employment as is available.

19.02 The Company shall inform and provide particulars to the Union when it becomes aware of, and, prior to making a decision with regards to making a determination, modification or award of more suitable employment for handicapped employees as circumstances may arise as mentioned in the preceding clause.

ARTICLE 20

Paid Holidays

20.01 Employees shall be given the following holidays with pay:

New Year's Day Good Friday Victoria Day Dominion Day Civic Holiday

Labour Day Thanksgiving Day Christmas Day Boxing Day Last work day before New Year's Day or first work day after New Year's Day or a date mutually agreed upon by the parties.

An employee's birthday is a floating holiday. All employees must request approval from their supervisor before taking their birthday holiday. The employee's request must be at least seven days in advance. An employee with a birthday falling in November or December may request their birthday holiday as early as November 1.

20.02 In the event any employee is required to work on any of the aforementioned holidays, he shall be paid in addition to his holiday pay, time and one-half his regular rate for time worked.

20.03 When any one of the observed holidays falls on a Saturday or Sunday either the preceding Friday or the next following work day will be presented as the holiday.

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20.04 An employee shall be eligible to receive holiday pay only if he is available for work and actually does work the scheduled work day immediately prior to and subsequent to any paid holiday.

20.05 An employee shall not be disqualified under Clause 20.04 if he is unable to work as scheduled on either or both of the days specified in Clause 20.04 due to personal illness, provided that the Company, in such an event, has the right to request a medical certificate of such personal illness. Any employee who is receiving weekly indemnity under the Health and Welfare Plan provided by the Company or who is receiving Workmen's Compensation or who received bereavement pay for the day of a paid holiday shall not also qualify for holiday pay.

20.06 Employee suspension shall not disqualify the individual from payment of statutory holiday pay.

ARTICLE 21

Hours of Work

21.01 The standard work week shall consist of 40 hours, made up of 5 days from Monday to Friday of 8 hours per day. It is understood, however, that the Company does not guarantee that employees will have work for their full normal hours of work per day or per week.

21.02 In the event a second or third shift is added, each employee who is assigned to either of those shifts shall receive:

(a) 'a 20-minute paid lunch period to be taken approximately at mid-shift, and,

(b) the shift premium set out in Schedule ''Bn.

An employee who is assigned to the first shift on a two or three shift operation shall receive a 20-minute paid lunch period to be taken approximately at mid­shift.

21.03 If an employee is required to change shifts during the standard work week, the first shift worked following such change will be paid for at the rate of time and one-half, unless such shift change takes place on a Monday and if Monday is a holiday, then on the next working day.

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ARTICLE 22

Rest Periods

22.01 Each employee who is working on the day shift and who is not assigned to either a 2 or 3 shift operation will be granted a rest period of 10 minutes each morning and each afternoon commencing at 9:20a.m. and 2:00p.m., respectively, provided, however, that the time for starting the rest periods could be altered by mutual agreement of the Parties hereto.

22.02 Each employee on a second or third shift operation will receive a ten (10) minute paid r~st period at a mutually convenient time which is conducive to uninterrupted machine operation.

ARTICLE 23

Overtime

23.01 The Company shall pay an employee one and one-half times his or her regular hourly rate for all hours he or she shall be required to work in excess of 8 hours per day.

23.02 When scheduling overtime work requirements, the Company shall give prior notice to employees affected of such requirements, whenever possible.

Saturday and Sunday Work

23.03 The Company shall pay time and one-half the regular hourly rate for all work performed on Saturdays. The letter of understanding (Letter #1 ). Article 23 regarding overtime assignment and opportunity equalization, will apply.

23.04 The Company shall pay two times the regular hourly rate for all work performed on Sundays.

ARTICLE 24

Reporting Allowances

24.01 An employee who reports for work and is sent home by the Company because there is no work available shall be paid the equivalent of 4 hours' work at straight time, provided he or she has not been notified that his or her services will not be required by the Company at least 2 hours before the start of a regular shift.

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24.02

24.03

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It is understood, however, that payment of the above allowance shall not be required if lack of work is due to circumstances beyond the control of the Company. Whenever this Article is invoked, the Company reserves the right to call/recall employees based on skill and ability to perform the work required for a period up to five working days. Extensions may be granted by mutual agreement.

An employee who has completed his full normal work day, as scheduled, and who has left the premises of the Company and who has then been called back to return to work, shall, upon reporting back to do the work assignment, be paid a minimum of 4 hours' pay at straight time.

ARTICLE 25

Vacations with Pay

25.01 Entitlement to vacation shall be calculated as of the first day of July in each year. An employee who on that date has the length of service with the Company as shown below in this Article, shall receive the corresponding vacation benefits. An employee with:

(a) one year or less than one year of continuous service with the Company shall receive one day's vacation with pay for each 2 months of service in amount equal to 4% of the total pay of the employee for the period of 12 months between the 1 "' day of July and the 301

h day of June;

(b) more than one year but less than 5 years of continuous service with the Company shall receive 2 weeks vacation with pay equal to 4% of his total pay for the period of 12 months between the 1 "' day of July and the 30'h day of June following;

(c) 5 years or more than 5 years of continuous service with the Company shall receive 3 weeks vacation with pay based on 6% of his total pay for the period of 12 months between the 1 "' day of July and the 301h day of June following;

(d) 12 years of continuous service with the Company shall received 4 weeks vacation with pay based on 8% of his total pay for the period of 12 months between the 1 "1 day of July and the 301

h day of June following;

(e) 20 years of continuous service with the Company shall receive 5 weeks vacation with pay based on 10% of his total pay for the period of 12 months between the 1 "' day of July and the 301

h day of June following;

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25.02

25.03

25.04

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(f) 25 years of continuous service with the Company shall receive 6 weeks vacation with pay based on 12% of his total pay for the period of 12 months between the 151 day of July and the 301

h day of June following.

A questionnaire will be circulated among the employees on or before February 1 "1 of each year and the annual vacation schedule will be prepared and posted on or before March 1 "1 in each year. The normal vacation period will be during the months of July and August. While the Comp~ny anticipates that its plants will be partially closed during the last week in July and the first week in August, such closing cannot be guaranteed. It is the desire of the Company that the employees will be given the opportunity to take their vacation in consecutive weeks, wherever practicable. Accordingly, employees with the greatest seniority will be entitled to the first choice of vacation dates, subject to the Company's right to maintain a qualified working force.

If an observed paid holiday falls within an employee's annual vacation, an extra day with pay will be provided at the beginning or end of the vacation or at some time, whatever is agreeable to the Company, having regard to the Company's right at all times to maintain an efficient working force.

All vacations shall be taken in the year of entitlement and shall not be accumulative.

ARTICLE 26

Wash Up Period

26.01 The Company agrees to continue its present practice of having a 5-minute wash­up period at the end of the working day for all employees, provided that employees working on grease, carbon and graphite jobs shall receive a 10-minute wash-up period.

ARTICLE 27

Overtime and Meal Allowance

27.01 Any employee who is required to work overtime 3 hours or more beyond the end of his regularly scheduled shift shall be granted a meal allowance equal to one hour of pay at straight time.

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ARTICLE 28

Welfare Program me

28.01 Attached hereto and forming part of this Agreement is Schedule "A" outlining the Health and Welfare benefits under this Agreement.

ARTICLE 29

Wage Schedules

29.01 Attached hereto and forming part of this Agreement is Schedule "B" setting out the job classifications and rates of pay under this Agreement.

ARTICLE 30

Union Security

30.01

30.02

30.03

30.04

30.05

Employees hired prior to the effective date of this Agreement and covered by it, who are members in good standing of the Union on the date on which this Agreement becomes effective or who subsequently become members in good standing, shall, during the term of this Agreement, maintain membership in good standing as a condition of continued employment.

All employees of the Company covered by this Agreement shall, as a condition of continued employment, pay regular Union dues through a check-off of dues deducted from wages whether or not they are members of the Union.

All deductions of Union dues are to be taken from each bi-weekly pay cheque.

After a new employee has acquired seniority, the Company will deduct from his wages the regular Union initiation fee. Such deduction shall be made in the second pay period following the month in which the employee acquires seniority.

(a) The total deductions of Union dues shall be remitted to the International Secretary-Treasurer of the Union within 10 days after the date on which the deductions are made.

(b) Sums deducted for the regular Union initiation fees may be remitted to the Union together with the Union dues under Clause (a) of this paragraph.

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30.06 The requirement for deduction of Union dues and initiation fees, as specified above, applies to all employees affected, notwithstanding the fact that any employee has not signed a dues deduction authorization card nor become a member of the Union as permitted under this Agreement.

30.07 The Union will indemnify the Company against any claims by employees made against the Company by reason of its compliance with the above clauses of this Article.

ARTICLE 31

Cost of Living Adjustment

31.01 There will be a cost of living adjustment for each employee covered by this Agreement which shall be calculated in the manner set out in this Article and upon the basis that the year 1981 = 100. Any cola adjustment is triggered at $0.32 per contract year.

31.02 The Parties agree that, for the purpose of this Article, the Consumer Price Index (C.P.I.) for the month of May, 2002 shall be the current index for the first year of the Agreement. Commencing with the month of August, 2002 and on each adjustment date shown in this Article, a cost of living adjustment equal to one cent per hour for each two-tenths of a point (0.2) change either above or below the current index shall be made for all hours worked by an employee until the next adjustment date.

The Parties agree that, for the purpose of this Article, the Consumer Price Index (C.P.I.) for the month of May, 2003 shall be the current index for the second year of the Agreement. Commencing with the month of August, 2003 and on each adjustment date shown in this Article, a cost of living adjustment equal to one cent per hour for each two-tenths of a point (0.2) change either above or below the current index shall be made for all hours worked by an employee until the next adjustment date.

The Parties agree that, for the purpose of this Article, the Consumer Price Index (C.P.I.) for the month of May, 2004 shall be the current index for the third year of the Agreement. Commencing with the month of August, 2004 and on each adjustment date shown in this Article, a cost of living adjustment equal to one cent per hour for each two-tenths of a point (0.2) change either above or below the current index shall be made for all hours worked by an employee until the next adjustment date.

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31.03 Each such cost of living adjustment will be made during the second pay period falling after the date of publication of the C.P.I. for each of the adjustment dates shown below and shall be calculated upon the C.P.I. published for the corresponding month upon the basis of Article 31.

ADJUSTMENT DATES CONSUMER PRICE INDEX

PUBLISHED F.OR THE MONTHS OF:

First Year (Term: August 17, 2002 -August 16, 2003) August, 2002 May, 2002

November, 2002 August, 2002 February, 2003 November, 2002

May, 2003 February, 2003

Second Year (Term: August 17, 2003- August 16, 2004) August. 2003 May, 2003

November, 2003 August, 2003 February, 2004 November, 2003

May, 2004 February, 2004

Third Year (Term: August 17, 2004 -August 16, 2005) August, 2004 May, 2004

November, 2004 August, 2004 February, 2005 November, 2004

May, 2005 February, 2005

31.04 Notwithstanding any other provision of this Article, cost of living adjustments as provided herein shall not exceed 25 cents per hour per year.

31.05 Any upward cost of living adjustment under this Article shall be considered an "add on" and shall not be deemed part of an employee's regular hourly rate but shall be included in such regular hourly rate of pay only for the purpose of calculating pay for hours actually worked.

31.06 If the C.P.I. is discontinued or amended by Statistics Canada, the Parties shall negotiate an appropriate adjustment or conversion factor to assure that employees will be entitled to that cost of living adjustment which would have resulted had the C.P.I. not been discontinued or amended.

31.07 The Cost of Living Adjustment shall be factored into the base hourly rates at the end of this three year Agreement.

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ARTICLE 32

Duration of this Agreement

32.01

32.02

32.03

This Agreement shall be for a term of three years, commencing August 17, 2002 and ending August 16, 2005. It shall be renewed automatically from year to year thereafter unless either Party gives notice of amendment to the other Party within 90 days prior to the expiry date or within 90 days prior to any subsequent anniversary date in any year.

In the event that either Party serves notice to the other Party in writing for amendments, this Agreement shall remain in full force and effect until a new Agreement is signed between the Parties, or until conciliation proceedings as required by legislation have been completed.

The Company agrees it will incorporate all Letters of Understanding agreed upon during these negotiations to be incorporated into the new Labour Agreement.

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This is Schedule "A" referred to in the annexed Collective Agreement.

SCHEDLILE"A"

HEALTH AND WELFARE PLAN

A.1 Bargaining Unit Employees

The Company will continue the Group Life and Accidental Death and Dismemberment Insurance Program.

*The Company will provide weekly indemnity insurance as follows:

1st day of accident, 6th day of sickness (1"t day if employee is hospitalized) for a period of 26 weeks on each separate illness, present offsets to be retained

66-2/3% of the employee's average hourly earnings up to the maximum benefit provided from time to time. (Yr. 1 = $425; Yr. 2 = $450; Yr. 3 = $475)

*The Company will provide long term disability insurance as follows:

A totally disabled employee will receive 60% of his average hourly earnings up to a maximum of $1 ,200 per month from all sources to age 65, less the usual offsets:

*The Company will arrange with its group insurers to deduct income tax from the benefits payable under these policies of insurance at the time payment of benefits is made.

The Company will continue the Pension Plan which contains the following features:

• normal retirement - at age 65

• unreduced retirement - at age 62, 1 0 years of service at age 65

• vesting - after 2 years

• early retirement - at age 55 with 1 0 years of service at the election of the employee

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• credited service - employees will be eligible for entry to the Pension Plan after one year of service. Service will then be dated back to date of hiring.

• One ( 1) year of credited service will be calculated as 1900 hours for this purpose commencing January 1, 1999.

• survivor option - at 90% - 55%. Also for employees who die before retiring survivor option at 90% - 55%

• benefit- $27.00 per month, per year, past and future service; August, 2003 - $29.00; August, 2004 - $32.00

• supplement- $9.00 x all years of service per month.

A.2 Bargaining Unit Employees and Dependents

• The Company will continue to pay the full cost of the Ontario Hospital Insurance Plan.

• The Company will provide Vision Care with a $250.00 per family maximum for the term of this Agreement. This program excludes contact lenses.

• The Company will provide a drug plan under which the first $20.00 of expense per annum will be paid by a married employee and the first $10.00 of expense per annum will be paid by a single employee. There will be no co-insurance feature in the drug plan.

• The drug plan will use the Drug Card System with a stipulation of drug card formulary having generic drugs as first option. When a generic equivalent is not available, the doctor specified drug will be first option.

• Except as may be altered by this Schedule, the Company will continue the present Medicare Supplement Plan.

• The Company will continue the dental plan which was introduced August 1, 1979. There will be a deductible sum of $25.00 per family per year with a maximum benefit of $1,100 per person per year. The specifications of the dental plan shall be the same as those attached to this Schedule.

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• Effective on the dates shown below, the level of benefits under the Dental Plan will be amended by adopting the Ontario Dental Association's schedule of fees which has been published for the corresponding year:

Effective Date Year

August 17, 2002 2001 August 17, 2003 2002 August17, 2004 2003

A.3 The Company will pay the full cost of the foregoing group insurance benefits and the Pension Plan will be non-contributory.

A.4 An employee will be qualified for the group insurance and statutory benefits set out in this Schedule upon completing 45 working days of continuous service, provided the employee is actually at work on a full time basis on the date he qualifies, and if he is absent from work on that date, he will qualify on the date he returns to full time active employment.

A.S When an employee who is eligible for the benefits set out in this Schedule is laid off, the Company will provide health benefits for the first 30 days of lay-off. All benefits cease on the date of termination of employment, save as may be provided in the Pension Plan.

A.6 Students and part-time employees are not entitled to any of the benefits set out in this Schedule.

A.7 When an employee is granted leave of absence, the Company will continue to provide health benefits for the first 90 days of such leave of absence and the premium costs of the other group benefits in this Schedule for the first 30 days of such leave of absence; provided that if an employee obtains leave of absence to seek other employment, the Company shall not be obliged to provide health benefits during the leave of absence.

A.8 Where an eligible employee has not been covered for any of the group benefits set out in this Schedule because of duplication of the same or similar benefits arising out of any such coverage of the spouse of that employee, and such duplication of coverage subsequently ceases, the ·following shall apply:

the employee shall become covered for the benefits which previously did not apply because of such duplication;

such coverage shall not be automatic, but will only become effective on the first day of the month following receipt by the Company of notice in writing from the employee that such duplication of coverage has ceased,

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and the Company may require the employee to produce further evidence to that effect.

In any event, nothing in this Clause shall deny to any eligible employee coverage for the following:

group life and accidental death and dismemberment insurance;

weekly indemnity insurance;

long term disability insurance;

benefits under the Pension Plan.

A.9 The Company will provide life insurance coverage of $2,500 for each employee who retires under the provisions of the Pension Plan during the term of this Agreement.

A.1 o The Company will continue the present policy of supplying employees with safety glasses and, where required, prescription safety glasses and standard safety glass frames.

A.11 An employee may be required by the Company or the Insurance Carrier to produce a certificate from a medical practitioner for an accident or illness certifying that he/she was unable to carry out his/her duties due to accident or illness. Should the employee be required to pay for such certificate, the Company will reimburse the employee upon proof of payment up to a maximum of $25.00.

A.12 The Company will reimburse an employee $300 for orthotic devices purchased in this 3 year contract.

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Page 1 of attachment referred to in Section A.2 of Schedule "A"

ELIGIBLE EXPENSES

Eligible expenses are the usual, customary and reasonable expenses incurred up to the amount specified in the suggested fee.guide for a general practitioner which is current on the date of treatment in the Province of residence of the insured person incurring such expense. Only those items listed are eligible.

Outline of Dental Codes Applying to the Dental Benefit Plan

1. Oral Examinations (00000- 01999)

(a) Initial examinations (021 00 and one of 01110, 01120 or 01130) -Limited to one during any 24 month period

(b) Recall examinations (01200) -Limited to two per Benefit Year separated by an interval of at least 5 months

(c) Emergency or Specific examinations (01300, 01400)

2. Radiographs and Radiographic Interpretations (02000 - 03999)

(a) Complete series of radiographies (021 00) -Limited to one during any 24 month period

(b) Sets of bitewing radiographs (02141 - 02144) -Limited to two per Benefit Year separated by an interval of at least 5 months

(c) Radiographs to diagnose a symptom or examine progress of a particular course of treatment.

3. Required consultation with another dentist (931 00)

4. Prophylaxes and Topical Fluoride applications -Limited to two such treatments per Benefit Year separated by an interval of at least 5 months (111 00 - 12500)

5. Emergency or Palliative Services

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Page 2 of attachment referred to in Section A.2 of Schedule "A"

6. Diagnostic Tests and Laboratory Examinations (04000- 04999)

7. Removal of Impacted Teeth (72220, 72230, 72240) and related anaesthesia

8. Provision of space maintainers for missing primary teeth (15100, 15401)

9. Fillings (20000- 23999)- amalgam, composite, acrylic or equivalent

10. Removal of Teeth (70000- 71000; 72310, 72410, 72411, 72412)

11. Stainless Steel Crowns and Repairs to Stainless Steel Crowns (27401, 27403, 27411, 27413; 29100- 29300)

12. Endodontics (30000 - 39999) - root canal therapy and filling, treatment of disease of the pulp tissue

13. Periodontics (40000- 49999)- treatment of the gum and other supporting tissues of the teeth

14. Surgery and related Anaesthesia (73000- 79999) and related 92120 to 92330 other than:

(a) implants (72430) and transplants, or

(b) repositioning of the jaw

Predetermination Feature:

On a course of treatment that would exceed $200.00, an employee may submit details of the treatment to the Claims Department for prior approval of the amount and advice on any procedure that may not be covered under the plan.

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Page 3 of attachment referred to in Section A.2 of Schedule "A"

INELIGIBLE EXPENSES

Payment will not be made under this Dental Insurance Plan for:

1. Dental care paid for under the insured person's Provincial Hospital or Medicare Plan, except, if permitted thereby for any excess of the amount paid for under the provincial plan.

2. Dental care provided solely for cosmetic purposes.

3. Charges for dentures lost, misplaced or stolen.

4. Any charge in excess of the usual, customary and reasonable charge for the least expense alternate service or material consistent with adequate dental care. when such alternatives are customarily provided.

5. Charges for appointments not kept.

6. Charges for completion of claim forms.

7. Charges for services or supplies of the type normally used for home use, or sports (e.g. mouth..guards ).

8. Charges for dental care due to or resulting from:

(a) war or related causes,

(b) participation in a riot or civil commotion,

(c) commission of a criminal offence,

(d) any cause for which indemnity or compensation is provided under Worker's Compensation or similar legislation.

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Page 1 of Schedule "B" referred to in the annexed Collective Agreement

SCHEDULE "B"

WAGES EFFEC1WE AUGUST 17, 2002

HOURLY RATES OF PAY:

Starting After 3 months After 6 months After 9 months After 15 months

Continuous Continuous Continuous Continuous Classification Rate

Service Service Service Service

Machinist!CNC Operator/Set-Up $20.7748 $21.0521 $21.4181 $21.7508 $22.0725

Machinists- Grade "A". General Machinists & Handyman Mechanic "A" $20.4198 $20.6083 $20.7748 $21.0521 $21.4181

C.N.C., Set-Up Operator $19.5658 $19.7322 $19.9651 $20.3089 $20.6083

Machinists - Grade ·e· Mill & Precision Lathe Operators & Handyman Mechanic ·e· $19.1887 $19.4216 $19.5880 $19.7654 $19.9872

Machine & Drill Operations Seal Repair Lapping Operations Raw Material Operator $18.2681 $18.4232 $18.5120 $18.6452 $18.7782

Packing Manufacturing (includes Press, Winder, Braider Cutting Mixing, Lubricating and Forming) Teflon Moulding $17.8577 $17.9686 $18.1017 $18.2237 $18.3679

Shipping & Receiving $17.8577 $17.9686 $18.1017 $18.2237 $18.3679

Apprentice Machinist $17.4806 $17.7024 $17.8798 $18.0796 $18.3014

Seal Assembly $17.3030 $17.4916 $17.6691 $17.8466 $18.0240

Janitor & Lunch Room Attendant $16.1495 $16.4934 $16.8483 $16.8483 $16.8483

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Page 2 of Schedule "8" referred to in the annexed Collective Agreement

SCHEDULE "B"

WAGES EFFECTIVE AUGUST 17, 2003

HOURLY RATES OF PAY:

Starting After 3 months After 6 months After 9 months After 15 months

Continuous Continuous Continuous Continuous Classification Rate Service Service Service Service

MachinistJCNC Operator/Set-Up $21.3980 $21.6837 $22.0606 $22.4033 $22.7347,

Machinists - Grade • A • General Machinists & Handyman Mechanic "A" $21.0324 $21.2265 $21.3980 $21.6837 $22.0606

C.N.C., Set-Up Operator $20.1528 $20.3242 $20.5641 $20.9182 $21.2265

Machinists - Grade ·s· Mill & Precision Lathe Operators & Handyman Mechanic "B" $19.7644 $20.0042 $20.1756 $20.3584 $20.5868

Machine & Drill Operations Seal Repair Lapping Operations Raw Material Operator $18.8161 $18.9759 $19.0674 $19.2046 $19.3415

Packing Manufacturing (includes Press, Winder, Braider Cutting Mixing, Lubricating and Forming) Teflon Moulding $18.3934 $18.5077 $18.6448 $18.7704 $18.9189

Shipping & Receiving $18.3934 $18.5077 $18.6448 $18.7704 $18.9189

Apprentice Machinist $18.0050 $18.2335 $18.4162 $18.6220

Seal Assembly $17.8221 $18.0163 $18.1992 $18.3820

Janitor & Lunch Room Attendant $16.6340 $16.9882 $17.3537 $17.3537 $17.3537

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Page 3 of Schedule "8" refe"ed to in the annexed Collective Agreement

SCHEDULE "B"

WAGES EFFECTIVE AUGUST 17 I 2004

HOURLY RATES OF PAY:

Starting After 3 months After6 After 9 months After 15 months

Continuous months Continuous Continuous Classification Rate

Service Continuous Service Service Service

MachinisVCNC Operator/Set-Up $21.9330 $22.2258 $22.6121 $22.9634 $23.3031

Machinists- Grade "A" General Machinists & Handyman Mechanic "A" $21.5582 $21.7572 $21.9330 $22.2258 $22.6121

C.N.C., Set-Up Operator $20.6566 $20.8323 $21.0782 $21.4412 $21.7572

Machinists- Grade "B" Mill & Precision Lathe Operators & Handyman Mechanic "B" $20.2585 $20.5043 $20.6800 $20.8674 $21.1015

Machine & Drill Operations Seal Repair Lapping Operations Raw Material Operator $19.2865 $19.4503 $19.5441 $19.6847 $19.8250

Packing Manufacturing (indudes Press, Winder, Braider Cutting Mixing, Lubricating and Forming) Teflon Moulding $18.8532 $18.9704 $19.1109 $19.2397 $19.3919

Shipping & Receiving $18.8532 $18.9704 $19.1109 $19.2397 $19.3919

Apprentice Machinist $18.4551 $18.6893 $18.8766 $19.0876 $19.3217

Seal Assembly $18.2677 $18.4667 $18.8416 $19.0288

Janitor & Lunch Room Attendant $17.0499 $17.4129 $17.7875 $17.7875 $17.7875

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37

Page 4 of Schedule "B" referred to in the annexed Collective Agreement·

When an employee is successful when applying for a lead hand position, he will be paid a premium of $0.50 per hour over and above his prevailing hourly rate of pay during the period or periods of his appointment.

Article 10 does not apply to the selection of a Lead Hand.

When an employee who is classified either as Machinist- Grade "A" or Grade "B" or as an Apprentice Machinist, is assigned by the Company to work on the carbon lathe or carbon mill, he shall be paid a premium of $0.75 per hour.

An employee may be assigned to the second shift within a work group such as carbon machining, teflon machining, type 37 machining, general machining and repair machining. In the event that demonstrated skill and ability are equal, the junior employee will be transferred to the shift. Rotation will commence in reverse order of seniority within the affected work group.

When an employee is assigned to work on the second or third shift, the Company will pay him a premium of $0.70 for each hour worked on either of these shifts.

The Company will review the performance of each employee who is classified as Apprentice Machinist at intervals of approximately 6 months, but in any event, not longer than 28 weeks. As part of such reviews, the Company will carry out tests of the skills and abilities of each Apprentice Machinist on work previously performed by him. Such tests may be written or may consist of specific work assignments or a combination of written tests and specific work assignments. Following such review and tests, the Company may in its discretion accelerate an Apprentice Machinist through one or niore of the applicable pay progressions set out in this Schedule for that job classification.

After successful completion of 21 months training, Apprentice Machinist will be promoted to the job classification of Machinist - Grade "B" and will be paid at the starting rate for that job classification.

After successful completion of 21 months in the classification of Machinist- Grade "B" the employee will be promoted to the job classification of Machinist - Grade "A" and will be paid at the starting rate for that classification.

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38

Letter #1 referred to in Article 23 (23.03) of the annexed Collective Agreement

Letter#1

Article 23 - Overtime Assignment

1. Overtime opportunities shall be considered equalized for all employees who are transferred out or laid off from a job classification.

2. Employees transferred into a job classification shall be considered equalized with the employee having the highest number of overtime opportunities at the time of such transfer.

3. The employee shall be charged with the appropriate overtime opportunities they would have worked while they were absent, on leave, or on vacation.

4. Employees that are not interested in being considered for overtime must sign a waiver to this effect. Any changes to this status must be requested by the employee through his/her supervisor for the waiver to be revoked.

5. The Company shall pay time and one-half the regular hourly rate for all work performed on Saturday except if an employee has not worked forty (40) hours during the week, then the employee will be paid at straight time on Saturday and Sunday until forty (40) hours are reached. Employees will be allowed a grace of one instance of absence per quarter and approved leaves will not count towards this provision.

6. Overtime shall be distributed among those who normally perform the work or who have been performing the work during the regular work hours.

7. Overtime is offered in the following sequence:

i) by seniority from those who normally perform the work;

ii) by seniority rotation from other employees in the same job classification;

iii) by seniority rotation from other employees in the plant.

In all cases, to qualify for overtime opportunities, the employee must be qualified and have demonstrated skill and ability.

8. The employee performing the work on days during the week will be offered Saturday overtime first.

9. Overtime fist will be available to the Union upon request, but only once per quarter.

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39

Letter#2

Lead Hand

The Company will provide a copy of the current Lead Hand job description and further, provide

any revisions made during the term of this Agreement to the Union.

Further, the Company will provide the Union with the name(s) of employees promoted to or

demoted from the Lead Hand classification.

Letter#3

Job Descriptions

The Company will work co-operatively with designated Union representatives in an effort to

maintain current job descriptions.

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40

Letter#4

Technological Change

1. Both parties recognize the importance of lessening as much as reasonable, the effects technological change may have upon the job security of an employee.

2. The Company will notify the Union as soon as possible in advance of any technological change which may cause a displacement of employees from their jobs. The Company will meet and inform the Union of the planned change and will hold further meetings with the Union, if requested, for the purpose of discussing general matters of mutual concern affecting the interest of the employees affected.

3. Technological change shall mean the automation of equipment, or the mechanization or automation of duties.

4. If an employee is displaced because of technological change, that employee may:

(a) Exercise their plant-wide seniority and displace the least senior employee in a job classification that in the Company's opinion the employee should be able to perform, with training if necessary, within 30 working days or less. The Company will make every reasonable attempt to place the employee in a job classification that comes as close to his/her former rate of pay as is practical.

(b) The employee displaced by the application of (a) shall be governed by the provisions of Article 10.

Page 43: COLLECTNE AGREEMENT BETWEEN JOHN CRANE CANADA INC. · Shop Committee and in either case that the foreman has had the opportunity of adjusting the complaint. The foreman shall render

November 8, 1993

United Steelworkers of America 1031 Barton Street East., Local6049 Hamilton, Ontario L8L 3E3

Dear Sirs:

41

Letter#5

RENEWED AUGUST 15, 2002 WITH AMENDMENT

This letter will confirm the Company's policy as stated to the Union during the recent negotiations, which were successfully concluded on November 8, 1993

Whenever an employee attends a course of instruction for which he has received the Company's prior approval, the Company will reimburse that employee a portion of the tuition fees paid by him for such courses as follows:

if the employee passes the course successfully, the Company will reimburse him 50% of his tuition fees.

if the employee passes the course with an overall mark of 75% or over, the Company will reimburse him 75% of his tuition fees.

It is emphasized that reimbursement of any part of the tuition fees by the Company is conditional upon the employee having received the prior approval of the Company of the course of instruction.

Yours truly, John Crane Canada Inc.

John Putnins General Manager

Page 44: COLLECTNE AGREEMENT BETWEEN JOHN CRANE CANADA INC. · Shop Committee and in either case that the foreman has had the opportunity of adjusting the complaint. The foreman shall render

August 16, 1990

United Steelworkers of America 1031 Barton Street East., Local6049 Hamilton, Ontario L8L 3E3

Attn: M. Duguid

Dear Sir:

42

Letter#6

RENEWED AUGUST 15, 2002

This letter will serve to confirm the Company's agreement with the Union's proposal as put forward during the recent negotiations, which were successfully concluded on August 16, 1990 to provide a forty cent ($0.40) deduction per work week from each employee's pay. The deduction will be for the Steelworker's Humanity Fund and will be sent no later than 30 days after collection to the U.S.W.A. Humanity Fund.

An employee wishing to withdraw or not participate in the Humanity Fund payroll deduction plan may do so by written request to the Company.

Yours truly, John Crane Canada Inc.

John Putnins General Manager

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.. .,,

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