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SNAP-ON TOOLS OF CANADA LTD. (hereinafter referred to as “Company” or “Employer”) and UNITED STEEL, PAPER AND FORESTRY, RUBBER, MANUFACTURING, ENERGY, ALLIED INDUSTRIAL AND SERVICE WORKERS INTERNATIONAL UNION ON BEHALF OF ITS LOCAL 9042. (hereinafter referred to as “Union”)

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Page 1: UNITED STEEL, PAPER AND FORESTRY, RUBBER, … · rubber, manufacturing, energy, allied industrial and service workers ... and forestry, rubber, manufacturing, energy, allied

SNAP-ON TOOLS OF CANADA LTD.

(hereinafter referred to as “Company” or “Employer”)

and

UNITED STEEL, PAPER AND FORESTRY, RUBBER, MANUFACTURING, ENERGY, ALLIED INDUSTRIAL AND SERVICE WORKERS INTERNATIONAL UNION ON BEHALF OF ITS LOCAL 9042.

(hereinafter referred to as “Union”)

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TABLE OF CONTENTS

Article 1 PURPOSE OF AGREEMENT ............................................................. 1 Article 2 RECOGNITION AND SCOPE ............................................................. 1 Article 3 RELATIONSHIP .................................................................................. 2 Article 4 MANAGEMENT RIGHTS .................................................................... 3 Article 5 WORK STOPPAGE............................................................................. 3 Article 6 UNION SECURITY .............................................................................. 4 Article 7 UNION REPRESENTATION ............................................................... 5 Article 8 NEGOTIATING COMMITTEE ............................................................. 6 Article 9 GRIEVANCE PROCEDURE ................................................................ 6 Article 10 ARBITRATION ................................................................................ 10 Article 11 SENIORITY, VACANCIES, TRANSFERS ....................................... 10 Article 12 LEAVE OF ABSENCE ..................................................................... 16 Article 13 UNION REPRESENTATIVE’S ACCESS TO PLANT ....................... 17 Article 14 BULLETIN BOARDS ....................................................................... 18 Article 15 REPORTING ALLOWANCE ............................................................ 18 Article 16 CALL-IN-PAY .................................................................................. 18 Article 17 PAYMENT FOR INJURED EMPLOYEES ....................................... 19 Article 18 JURY AND WITNESS DUTY ........................................................... 19 Article 19 SAFETY AND HEALTH ................................................................... 20 Article 20 PLANT HOLIDAYS .......................................................................... 20 Article 21 VACATION WITH PAY .................................................................... 22 Article 22 WAGES ........................................................................................... 23 Article 23 HOURS OF WORK AND OVERTIME ............................................. 24 Article 24 INSURANCE-WELFARE BENEFITS AND PENSIONS ................... 26 Article 25 BEREAVEMENT PAY ..................................................................... 27 Article 26 GENERAL ....................................................................................... 27 Article 27 TERMINATION ................................................................................ 28 LETTER OF UNDERSTANDING NUMBER 1 .......................................... 29 LETTER OF UNDERSTANDING NUMBER 2 .......................................... 30 LETTER OF UNDERSTANDING NUMBER 3 .......................................... 31 LETTER OF UNDERSTANDING NUMBER 4 .......................................... 32 LETTER OF UNDERSTANDING NUMBER 5 ………………………...……33 LETTER OF UNDERSTANDING NUMBER 6 ….…………………………..34 WELDER CERTIFICATION FLOW CHART ………………………………35 LETTER OF UNDERSTANDING NUMBER 7 ……………………………...36 WAGE SCHEDULE …..………………………….37 SCHEDULE “B” ………………………...……38

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Article 1

PURPOSE OF AGREEMENT

1.1 The general purpose of this Agreement is to secure the full benefits of orderly collective bargaining, an amicable method of settling any difference which may arise between the parties and to set forth the conditions of employment to be observed by the Company and the Union.

1.2 The parties recognize that the success of the Company and the job

security of the employees depends upon the Company’s success in building a quality product and its ability to sell such product.

Article 2 RECOGNITION AND SCOPE

2.1 The Company recognizes the Union as the sole and exclusive bargaining

agent for all its employees in Ontario, save and except forepersons and persons above the rank of foreperson, office, sales, clerical and technical staff.

2.2 Notwithstanding the above, employees employed in the Engineering

Department will be allowed to perform work in the bargaining unit with respect to non-catalogue items.

2.3 The Union acknowledges and recognizes that non-bargaining unit

employees may perform bargaining unit work for the purpose of orientation, training and emergencies. When such an occasion arises the Union will be notified at least forty eight (48) hours in advance. No notification is required in emergency situations.

2.4 The parties agree that students may be hired at management’s discretion

to perform bargaining unit work, provided there are no bargaining unit employees on lay-off. The terms of this Collective Agreement shall not apply to students, other than where specifically referenced. Students shall only be employed from May 1 through Labour Day.

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2.5 (a) The Union agrees that the Company shall have the right to hire casual employees. The Company agrees that no casual employee will be hired while regular employees possessing the skill, ability and experience to perform the work are on lay-off.

(b) The Company agrees that at no time will casual employees make-up

more than 20% of the workforce. (c) Casual employees retained past the probation period as defined in

Article 11.1 (b) shall be deemed as bargaining unit employees and credited with service back to their most recent hire date, but until such time are excluded from the bargaining unit.

2.6 The Company agrees that the Union shall be entitled to meet with new

bargaining unit employees during orientation for up to ten (10) minutes during working hours.

Article 3 RELATIONSHIP

3.1 (a) The Company and Union agree that there shall be no discrimination

in the hiring, training, upgrading, promotion, transfer, lay-off, discharge, discipline or otherwise of employees because of race, sex, creed, religion, colour, age or national origin.

(b) The Company and Union agree to observe the provisions of the

Ontario Human Rights Code. (c) The Company agrees it shall not interfere with, restrain, coerce or

discriminate against employees in their lawful right to become and remain members of the Union and to participate in its activities.

(d) The Union agrees that, except as provided for in this Agreement,

there will be no Union activity on the premises of the Company during the employees working hours except by agreement with the Company.

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Article 4 MANAGEMENT RIGHTS

4.1 The management of the plant and the direction of the working force are

vested exclusively in the Company and, except as limited by specific provisions of this Agreement, the Company shall continue to have all sole and exclusive rights customarily reserved to management, including the right to maintain order, discipline and efficiency, the right to hire, promote, demote, suspend, discipline, transfer or discharge for proper cause, the right to relieve employees from duty because of lack of work or other proper reasons, the right to schedule operations, shifts, and hours of work, the right to assign work and require overtime work, to contract out work and the right to make and alter from time to time rules and regulations of conduct and safety to be observed by the employees.

The Company shall have the sole right to decide the process of

manufacture, types of machinery and equipment to be used, types and quantities to be made, quality of material, quantity and quality of work required. The Company also retains the right to close all or a portion of the facility covered by this agreement or to sell, relocate, transfer work or in any other way dispose of or alter such facility and the work performed therein.

4.2 The above mentioned management rights are not to be interpreted as

being all inclusive, but merely indicate the type of rights which belong to and are reserved to management. It is understood that any of the rights, power or authority the Company had prior to the signing of this agreement are retained by the Company, except those specifically abridged or modified by the agreement. The Company agrees that these rights shall not be enforced in a manner that is inconsistent with the terms of the collective agreement.

Article 5 WORK STOPPAGE

5.1 The Company agrees that it will not cause or direct any lockout of its

employees and the Union agrees that there will be no strikes or other collective action which will stop or interfere with production, and that if any such collective action should be taken it will instruct its members to carry

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out the provisions of this Agreement and to return to work and perform their duties in the usual manner.

Article 6 UNION SECURITY

6.1 The Company shall deduct from the pay of each member of the

bargaining unit, weekly, such Union dues, fees and assessments as prescribed by the Constitution of the Union.

6.2 All dues, initiation fees and assessments shall be remitted to the Union

forthwith and in any event no later than fifteen (15) days following the last day of the month in which the remittance was deducted. The remittance shall be sent to the International Secretary Treasurer of the United Steelworkers, P.O. Box 9083 Commerce Court Postal Station, Toronto, Ontario, M5L 1K1in such form as shall be directed in writing by the Union to the Company along with a completed Dues Remittance Form R115. A copy of the Dues Remittance Form R115 will also be sent to the Union office designated by the Area Coordinator.

6.3 The remittance and the R115 Form shall be accompanied by a statement

containing the following information: (i) A list of the names of all bargaining unit employees from whom

dues were deducted and the amount of dues deducted; (ii) A list of the names of all bargaining unit employees from whom

no deductions have been made and the reasons why; (iii) This information shall be sent to both the Union address

identified in Article 6.02 above, in such form as shall be directed in writing by the Union to the Company.

6.4 The Union shall indemnify and save the Company harmless against all

claims or other forms of liability that may arise out of any actions taken by the Company in compliance with this Article.

6.5 The Company, when preparing T-4 slips for the employees, will enter

the amount of Union dues paid by the employee during the previous year.

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Article 7 UNION REPRESENTATION

7.1 a) The Company acknowledges the right of the Union to appoint or

otherwise select Union Stewards for the purpose of representing employees in the handling of complaints and grievances.

b) Grievances may be investigated or settled during working hours,

provided that no employee or steward shall leave his job to investigate or handle a grievance until he has first attained permission from his Supervisor. Such permission will not be unreasonably withheld and will be provided within a reasonable timeframe.

7.2 The Company agrees to recognize a maximum of four (4) Union

Representatives (including the Unit Chairperson) on the day shift and one (1) Union Representative on afternoons. The Company agrees to recognize, when there is a third shift, an additional Union Representative to act in the capacity of a Steward.

7.3 The Company shall be notified by the Union of the names of the Union

Stewards and the areas they are representing and any changes made thereto.

7.4 The Company agrees to recognize and deal with a Grievance Committee

of not more than one (1) Steward plus the Unit Chairperson. 7.5 Union Grievance Committee members attending grievance meetings

called by the management shall be paid at their regular rate for all hours in attendance.

7.6 Union will supply name of alternate to be recognized as a Steward when

2nd shift shop Steward is absent.

Article 8

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NEGOTIATING COMMITTEE 8.1 The Company agrees to recognize and deal with a Negotiating

Committee of not more than two (2) employees, plus the Unit Chairperson, who shall be regular employees of the Company, along with a representative of the International Union.

8.2 The Negotiating Committee is a separate entity from other committees

and will deal only with such matters as are properly the subject matter of negotiations, including proposals for the renewal or modification of this Agreement.

8.3 The Company agrees to allow members of the Negotiating Committee the

day off without pay on each day the Committee is scheduled to meet with members of Management. The Company agrees to continue the pay of an employee on the Negotiating Committee and the Union shall reimburse the Company for such wage payments, including all payroll taxes and vacation charges upon receipt of a monthly statement from the Company.

8.4 The Company will grant up to two (2) days leave of absence without pay

for each member of the Negotiating Committee for the purpose of preparing for and considering revisions to proposed amendments and proof reading of the finalized Collective Agreement.

Article 9 GRIEVANCE PROCEDURE

9.1 It is the mutual desire of the Parties hereto that any complaint or cause for dissatisfaction arising between an employee and the Company with respect to the application, interpretation, or alleged violation of this Agreement shall be adjusted as quickly as possible.

9.2 The Company agrees to recognize and deal with a Grievance Committee

of not more than one (1) Steward plus the Unit Chairperson.

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9.3 It is generally understood that an employee has no complaint or grievance until he, either directly or through the Union, has first given his immediate supervisor an opportunity to adjust the complaint.

9.4 If, after registering the complaint with the Supervisor and such complaint

is not settled within five (5) regular working days or within any longer period which may have been agreed to by the parties, then the following steps of the Grievance Procedure may be invoked:

Step One Within five (5) working days the grievance shall be submitted in writing to the Plant Manager. The Plant Manager or his designate shall, within five (5) working days, hold a meeting with the employee, the employee’s Steward and the employee’s Supervisor in an attempt to resolve the grievance. The Plant Manager or his designate shall, within a further five (5) working days, give his decision in writing and return it to the employee’s Steward. Any concern or issue resolved at this step of this procedure shall be deemed to be “non-precedent” setting. Step Two If the grievance remains unsettled at the conclusion of Step One, the grievance may be appealed within five (5) working days to the President, or his designate, who shall, within five (5) working days, hold a meeting between the Union Grievance Committee and the appropriate representatives of Management, in a final attempt to resolve the grievance. A Staff Representative of the Union may be present at this meeting if requested by either Party. The President, or his designate, shall within a further five (5) working days, give his decision, in writing, to the Union on or attached to the grievance form.

9.5 If final settlement of the grievance is not reached at Step Two then the

grievance may be referred in writing by either Party to Arbitration as

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provided herein, at any time within twenty (20) working days after the decision is reached under Step Two.

9.6 When two (2) or more employees wish to file a grievance rising from the

same alleged violation of this Agreement, such grievance may be handled as a Group Grievance and presented to the employer beginning at Step One of the Grievance Procedure.

9.7 a) The Union and/or the Company shall have the right to initiate a

Policy Grievance or a Grievance of a general nature, beginning at Step Two of the Grievance Procedure.

b) When the employer does not respond within the time limits, the

Union has the right to advance the grievance to the next step including arbitration.

Discharge & Discipline

9.8 a) A claim by an employee that he has been discharged or suspended

without just cause shall be a proper subject for a grievance, if a written statement of such grievance is lodged at Step Two of the Grievance Procedure within five (5) working days after the employee receives notice that he has ceased to work for the Company or returns to work after a suspension, as the case may be.

b) The Company agrees that when an employee is given a disciplinary

notation, such an employee shall have the right to a Steward present at such meeting.

9.9 Grievances referred to arbitration shall be heard by a sole Arbitrator

except if the parties agree that a grievance be heard by an Arbitration board.

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9.10 The following Arbitrators will be selected on a rotating basis:

W. Marcotte S. Baxter D. Randall J. Johnston B. Fisher

9.11 The Arbitrator shall hear and determine the difference or allegation and

shall issue a decision which is final and binding upon the parties and upon any employee or employer affected by it. The Arbitrator may render a decision immediately.

9.12 The Arbitrator shall not be authorized, nor shall the Arbitrator assume

authority, to alter, modify, or amend any part of this Agreement, nor to make any decision inconsistent with the provisions thereof, or to deal with any matter not covered by this Agreement.

9.13 The Company and the Union shall share equally the fees and expenses

of the Arbitrator. 9.14 Prior to a grievance being presented for Arbitration either party may

request a Grievance Mediation at any time within ten (10) calendar days upon receipt of the reply at Step 2, or if no reply is received, within ten (10) calendar days following the expiration of the time period for such reply.

Grievance mediation will commence within 21 calendar days of the grievance being submitted to mediation.

The grievance mediation process is without prejudice to either party. No matter may be submitted to Grievance Mediation, which is not

properly carried through the grievance procedure, unless the time limits fixed in the grievance procedure have not been met.

9.15 All disciplinary notations on employees’ records shall be removed after a

period of fifteen (15) months.

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9.16 The Union shall receive a written copy of all disciplinary written warnings, suspensions, and discharges at the same time the employee is provided with a copy.

9.17 The Company agrees that employees will have the right to review their

personnel files upon reasonable notice to the Human Resources Manager.

Article 10 ARBITRATION

10.1 When either Party to this Agreement requests that a grievance be

submitted for Arbitration, they shall make such request in writing addressed to the other Party to this Agreement.

10.2 The Arbitration Procedure incorporated in this Agreement shall be based

on the use of a Single Arbitrator, selected by the Parties. 10.3 Except where otherwise provided for in this Agreement, each of the

Parties hereto will bear its own expense with respect to any arbitration proceedings. The Parties hereto will bear jointly the expenses of the Arbitrator on an equal basis.

10.4 The Arbitrator shall not be authorized, nor shall the Arbitrator assume

authority, to alter, modify, or amend any part of this Agreement, nor to make any decision inconsistent with the provisions thereof, or to deal with any matter not covered by this Agreement.

10.5 The decision of the Arbitrator shall be final and binding on the Parties.

Article 11 SENIORITY

11.1 (a) An employee shall be considered a probationary employee until he

has worked ninety days (90) for the Company. During such probationary period, he will have no seniority rights; however, on the successful completion of the foregoing probationary period he

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will become a seniority employee and will be credited with seniority from the first date on which he performed work for the Company in such ninety (90) day period.

(b) A work day is defined as any day other than when the plant is not in Operation, and a day of absence for any reason.

11.2 The parties acknowledge that the probationary period affords the

Company an important opportunity for assessment and that a lesser standard will apply to the release of an employee during the probationary period than that which applies to the discharge of an employee who has attained seniority. More specifically, the parties agree that the Company has the right to release a probationary employee the Company deems to be unsuitable because of conduct, quality or quantity of work, attendance, aptitude, inability to work with other employees or any other work related reason.

11.3 The Company will provide the Union with a seniority list of all employees

and shall update such list every three (3) months. The list shall be posted with a copy sent to the Union.

11.4 An employee shall lose all seniority and service and shall be deemed to

have terminated if he:

(a) resigns (b) retires; (c) is discharged and not reinstated through the grievance and

arbitration procedure; (d) the employee is laid off and fails to return to work within three (3)

workdays after he has been notified to do so by the employer by registered mail to his last known address (a copy of such notice shall be sent to the Union);

(e) an employee with 0 to 5 years of service and has been on layoff for

lack of work for a period of more than three (3) consecutive months; and

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(f) an employee with 6-10 years of service and has been on lay-off for

lack of work for period of more than six (6) consecutive months; (g) an employee with 11-15 years of service and has been on lay-off for

lack of work for period of more than twelve (12) consecutive months;

(h) an employee with more than 16 years of service and has been on

lay-off for lack of work for period of more than eighteen (18) consecutive months;

(g) if he fails to report to work for three (3) consecutive days without a

reason satisfactory to the Company; (h) if he fails to report for work at the time and date of the expiration of

any leave of absence without a reason satisfactory to the company; (i) working elsewhere while on a leave of absence.

11.5 (a) The parties recognize that job opportunity and security shall

increase in proportion to length of service. It is therefore agreed that in cases of vacancy, lay-off and recall after layoff, the senior employee, as defined in this Agreement, that has the skill, knowledge and ability to meet the job requirements shall be entitled to preference in accordance with this Article.

(b) In recognition, however, of its responsibility for the efficient

operation of the business, it is understood and agreed that in all cases referred to in paragraph (a) above the employer shall have the right to pass over any employee that cannot fulfill the full requirements of the job or does not possess the necessary qualifications, ability and skill to fulfill the requirements of the job or where there exists a legitimate and reasonable objection.

11.6 Seniority shall be maintained and accumulated during: (1) absence due to lay-off, sickness or accident; (2) authorized leave of absence.

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11.7 Preferential Seniority

(a) Two (2) Local Union Officers, as advised by the Union, shall have top plant-wide seniority in case of lay-off and shall be retained by the Company on work they are willing and able to perform.

(b) Union Stewards shall hold top plant-wide seniority on the shift they

preside over in case of lay-off provided there is work they are able and willing to perform.

(c) Local Union Officers and Stewards who are retained in employment

due to the provisions of (a) and (b) above shall only be entitled to job preference based on their natural seniority rating.

11.8 Vacant Positions

(a) A permanent vacancy shall be deemed as a vacancy which lasts or is anticipated to last more than 60 working days which the employer intends to fill.

(b) Posting Procedure

Posting for such vacant position shall be placed on the employees’ bulletin board for three (3) working days. The postings shall stipulate the qualifications, classifications, rates of pay, department and shift. A copy of which shall be provided to the Unit Chairperson and posted on the Employee’s bulletin board. The successful candidate shall be notified that he has been awarded the job within ten (10) days after the posting comes down. Management, in its sole discretion, has the right to fill or not fill positions whether it has commenced a job posting/interviewing process or not. The Company agrees that it will not cancel postings in order to eliminate candidates.

(c) Employees accepted by Management on a posted job who fail to

qualify (or feel dissatisfied with the job) within a reasonable trial period of not less than ten (10) days trial period (which may be extended by the Parties depending upon the operation) shall be returned to their former job.

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(d) The names of the successful candidate(s) shall be posted on the bulletin boards within five (5) working days of awarding of the job along with their seniority date.

11.9 Temporary Transfers

(a) An employee who is temporarily transferred to meet the Company’s convenience to another job for which the regular rate is less than that which the employee is receiving, he shall retain his former rate, and if such transfer is to a job with a higher rate, the employee shall receive the higher rate paid for such job once he has worked continuously for one (1) hour or more.

(b) Transfers, at Management’s discretion, to another job shall not

exceed (45) forty-five working days. Knowledge gained during this transfer shall not be considered should the job be posted as a permanent vacancy.

(i) Temporary Vacancies

Jobs shall not be considered permanently vacant when employees are not at work because of sickness, accident, or authorized leave of absence. However, if it is known that an employee is to be absent from work because of sickness, accident, or on leave of absence for more than forty-five (45) working days, the job shall be posted as a temporary job and the provisions of this Article shall apply. Upon completion of the temporary assignment the employee shall return to his/her former job.

(ii) Temporary vacancies exceeding (45) forty-five working days shall

be posted in accordance with article 11.8(b) 11.10 Layoff An employee laid off in one classification will be given the opportunity of

displacing an employee with less seniority in a similar or lower classification provided they have the specific work experience, skill, ability and qualifications. Employees will be paid at the classification rate. Upon

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a recall to work following a layoff, skill and ability, specific work experience, qualifications, and length of service will be the guiding factors so long as it does not prevent the Company from maintaining a workforce of employees who are qualified and willing to do the work which is available.

Notwithstanding the above, seniority shall be the determining factor in

bumping into a General Labourer Position. 11.11 Layoff Notice

When it is necessary to reduce the workforce because of a lack of work, the Company agrees to meet with and advise the Unit Chairperson 3 days prior to a lay-off or within a reasonable period of time.

11.12 It is the duty of an employee or laid off person to notify the Company

office promptly, in writing, of any change of address or phone number. If an employee or laid off person shall fail to do this, the Company shall not be responsible for the failure of a notice to reach him and any notice sent to him by the Company by registered mail to the address which appears on the Company’s personnel records. The Company’s notice shall be conclusively deemed to have been received by the employee or laid off person.

11.13 Seniority shall be on a plant wide basis and shall mean total length of

continuous service in the bargaining unit. 11.14 In the event a bargaining unit member accepts a transfer to a non

bargaining unit position he shall not continue to accrue seniority in the bargaining unit. Should they return to the bargaining unit within a four (4) month period they shall be credited with the seniority they had at the date they left the bargaining unit. After completing a four (4) month period he shall lose all bargaining unit seniority. Should the employee leave or return to the bargaining unit, the company will provide written notice to the Unit Chairperson.

11.15 (a) An employee with at least five (5) years of service who has been permanently laid off shall be entitled to notice and severance pay outlined in Sections 57, 65(1) and (5) of the Employment Standards Act (as

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amended) irrespective of the 50 employee or $2.5 million qualifiers found in the legislation. Further, each permanently laid off employee shall receive an additional $2500 (gross) payment.

11.15 (b) Upon a layoff from work, a laid off employee who maintains recall rights as per 11.4 shall retain group health benefits coverage (with the exception of Life Insurance, AD&D, Short Term Disability and Out of Province/Country Coverage) for the balance of the month they are laid off in plus an additional 2 months. (E.g. If employee is laid off on May 15, benefits continue until July 31).

Article 12 LEAVE OF ABSENCE

12.1 An employee shall be allowed up to thirty (30) calendar days leave of

absence without pay for personal reasons subject to the following: 1. they request it in writing from the Management,

2. operational requirements,

3. the leave is for a valid reason and there currently is no employee on this type of leave. Management may grant or extend such leave in emergency situations upon verification despite the fact that someone may already be on this type of leave.

12.2 Employees who have been elected or appointed by the Union to attend

Union conventions or conferences or other Union business shall be granted a leave of absence without pay by the Company. The Union will notify the Company in writing, as early as possible prior to the start of the leave, of the names of the members requiring leave. Seniority will accumulate during such period. This leave shall be limited to three (3) employees at any one time.

12.3 The Company agrees to continue the pay of any employee absent from

work on Union business which is not paid for by the Company as provided for elsewhere in the Agreement, and the Union shall reimburse the Company for such wage payments, including all payroll taxes and

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vacation charges, upon receipt of a monthly statement from the Company.

12.4 The Company agrees to grant an employee leave of absence without pay

for up to one (1) year to work in an official capacity for the Union, provided such request is made by an authorized representative of the Union.

12.5 The Company agrees to grant employees a leave of absence in the case

of pregnancy/paternal leave in accordance with the Employment Standards Act.

12.6 The Company agrees to allow leave of absence without pay for up to

eight (8) hours to an employee for the purpose of becoming a Canadian Citizen.

Article 13

UNION REPRESENTATIVE’S ACCESS TO PLANT 13.1 A Staff Representative shall be permitted access to the plant for the

following reasons:

(a) to participate in the appropriate step of the grievance procedure; (b) to post Union notices on the Union bulletin board; (c) to conduct other approved Union business.

To have access to the plant, the Staff Representative must:

(a) call the Company’s Plant Manager and schedule an appointment at

least twenty-four (24) hours in advance of the plant visit;

(b) reach agreement with the Company’s Plant Manager as to the expected time, location and purpose of the plant visit;

(c) not cause any interruption of production during the plant visit.

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The parties may waive the twenty-four (24) hour notice requirement by mutual agreement. When there are serious and urgent issues of employee safety, the Staff Representative may have immediate access to the plant.

Article 14 BULLETIN BOARDS

14.1 The Company agrees to two (2) Union bulletin boards at locations

mutually agreed upon by the Union and the Company. The boards are to be enclosed in glass and lockable for the purpose of posting meeting notices and official Union information. Notices must be approved by Management and signed by officers of the Union prior to being posted. A key will be kept by both the Human Resources Manager and the Unit Chairperson

14.2 The cost for these bulletin boards will be shared equally by the Company

and the Union.

Article 15 REPORTING ALLOWANCE

15.1 In the event that an employee reports for work on his regular shift, without

having previously been notified not to report, he will be given at least four (4) hours work at his regular rate of pay or if no work is available, he will be paid the equivalent of four (4) hours at his regular rate of pay in lieu of work. This provision shall not apply when there is a lack of work due to a situation beyond the control of the Company.

Article 16 CALL-IN-PAY 16.1 (a) An employee who has completed his shift and has left the

Company’s premises and is recalled to work shall be paid the greater of:

1. four (4) hours at his regular rate of pay, or

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2. appropriate overtime rates for all hours worked;

(b) The provisions of (a) above shall not apply when an employee is called to work immediately prior to the start or immediately following the end of his shift. In all such cases the employee shall receive the appropriate rate.

Article 17 PAYMENT FOR INJURED EMPLOYEES

17.1 In the event that an employee is injured in the performance of his duties,

he shall, to the extent that he is required to stop work and receive treatment, be paid for wages the remainder of his shift. If it is necessary, the Company will provide, or arrange for, suitable transportation for the employee to the doctor or hospital and back to the plant and/or to his home as necessary. If it is necessary for an employee to receive medical treatment subsequent to his return to work following an industrial injury, he shall be paid for any time lost from regular shift hours to attend such appointment upon medical verification, such verification shall include a form provided to the injured worker from the Company requesting the hours of operation for the facility providing treatment and whether this facility can provide treatment outside the normal working hours of the injured worker. This will apply to partial shifts only. Employees missing any full shifts as a result of receiving medical treatment in such cases are entitled to submit a further claim to the Workplace Safety and Insurance Board for such lost wages.

Article 18

JURY AND WITNESS DUTY 18.1 An employee shall be granted leave of absence with pay at his regular

hourly rate, for the normally scheduled number of hours the employee would have otherwise worked for the purpose of serving jury duty, or as a material witness subpoenaed by the Crown. Provided that the employee shall reimburse the Company to the full amount of jury pay or witness fees excluding the expense allowance received by him.

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18.2 Any employee called for jury or witness duty shall be transferred to day shift during the period he is required to serve.

Article 19

SAFETY AND HEALTH 19.1 The Company and the Union shall maintain an Occupational Safety and

Health Committee consisting of not more than three (3) members elected or appointed by the Union and not more than three (3) members appointed by the Company. The Company agrees to post the Occupational Health and Safety Act in an area visible and accessible to employees.

19.2 The Company and the Union recognize the benefits to be derived from a

safe and healthy place of employment and therefore agree to comply with the Occupational Health and Safety Act and the Workplace Safety and Insurance Act.

19.3 The Company agrees to contribute up to $140.00 per employee per year, (upon the presentation of a receipt), towards the purchase of safety shoes. To assist employees in purchasing safety shoes the Company will arrange for a safety shoe van to regularly call on the Plant and an alternate vendor approved by the union.

19.4 The Company shall supply all protective clothing and other devices

(excluding safety boots) deemed necessary to protect employees from injuries arising from their employment with the Company.

Article 20 PLANT HOLIDAYS

20.1 The Company will observe the following plant holidays:

Day before New Year’s Day Civic Holiday New Year’s Day Labour Day Family Day Thanksgiving Day Good Friday Day before Christmas Day Victoria Day Christmas Day Canada Day Boxing Day

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(a) The holiday schedule during the contract is as follows:

Holidays Observed 2015 Observed 2016 Observed 2017

Day before Christmas Day Dec 24/15 Dec 22/16 Dec 22/17 Christmas Dec 25/15 Dec 23/16 Dec 25/17 Boxing Day Dec 23/15 Dec 26/16 Dec 26/17 Day before New Year’s Day Dec 31/15 Dec 27/16 Jan 2/18 New Years Day Jan 1/16 Jan 2/17 Jan 1/18

Should one of the above statutory holidays fall on a Saturday or Sunday, another day shall be observed as the holiday by mutual agreement between the Parties.

20.2 Eligible employees shall receive pay for each holiday equal to the

employee’s regular hourly rate of pay multiplied by the number of hours the employee would be regularly scheduled to work on such day if it were not a holiday including shift premium.

20.3 To be eligible for holiday pay, the employee must work on his last

scheduled shift immediately preceding and immediately following, unless the employee was unable to work because of illness or accident, and such absence began not more than ten (10) working days prior to the day on which the holiday is observed.

20.4 The employee shall be required to supply proof of any accident or illness

if requested by the Company. 20.5 When any of the holidays are observed during an employee’s scheduled

vacation period he shall receive holiday pay as provided in Clause 20.2 above and shall be granted an additional day off upon mutual agreement.

20.6 Any authorized work performed by an employee on any of the above-

named holidays shall be paid at the rate of double time in addition to holiday pay.

20.7 Employees who have not completed their probationary period at the time

of the holiday shall receive holiday pay at the time of the holiday, in accordance with the Ontario Employment Standards Act.

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Article 21

VACATION WITH PAY 21.1 (a) An employee who has less than one (1) year of service as of June

30th of the vacation year shall be entitled to one (1) week’s vacation with pay. Vacation pay shall be four percent (4%) of the employee’s gross annual wages ending the Saturday on or after June 30th.

(b) An employee who has one (1) year of service as of June 30th of the

current vacation year shall be entitled to two (2) weeks of vacation with pay at four percent (4%) of gross annual wages.

(c) An employee who has five (5) years of service as of June 30th of

the current vacation year shall be entitled to three (3) weeks of vacation with pay at six percent (6%) of gross annual wages.

(d) An employee who has twelve (12) years of service as of June 30th

of the current vacation year shall be entitled to four (4) weeks of vacation with pay at eight percent (8%) of gross annual wages.

(e) If an employee is hospitalized for a period of (6) six days or more

during a vacation period, the employee will be considered as having been on sick leave during that period and may re-schedule vacation equivalent to the working days lost due to hospitalization provided medical documentation is provided, if requested by the Company.

21.2 If the Company schedules a complete or partial Plant Shutdown,

employees will be required to schedule all or part of their vacation to coincide with such shutdown, up to a maximum of two (2) weeks. In the absence of such a shutdown or for those employees eligible for vacation in excess of two (2) weeks, “preference” vacation dates for the balance of that vacation year may be requested by submitting a written request for such time and in accordance with the following:

• Absent such shutdown, all eligible amounts of time. • All eligible time in excess of two (2) weeks.

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• A vacation schedule will be posted by March 1st by department and employees will be advised as to what restrictions apply, e.g. how many employees may be away at any given time, periods in which no employees may be away. Employees must make their vacation choice by March 15th, and seniority will be the deciding factor where a conflict of dates occurs between employees. If an employee does not select vacation dates, they will be assigned by the Company. Employees may change their scheduled vacation to open periods.

• The Company will respond to the employee by April 15th of each

year.

Such requested preference vacation time off work will be scheduled at the mutual convenience of the employee and the Company in accordance with the employee’s seniority. Employees not submitting timely requests for preference dates will not have priority over timely submitted requests regardless of seniority status.

21.3 An employee who leaves the employment of the Company for any reason

prior to June 30th shall receive vacation pay in accordance with Employment Standards Act.

21.4 “Gross Earnings” shall mean total taxable earnings for the fifty-two (52)

week period from the Sunday after June 30th to the following year Saturday on or after June 30th.

21.5 Employees shall be paid their vacation when they take it. Vacation is accrued in the current vacation year and is taken in the following vacation year. Vacation Pay shall be paid on a separate cheque when taken in weekly increments.

Article 22 WAGES

22.1 The Company agrees to pay and the Union agrees to accept for the term

of this Agreement, the wages as set out in the Wage Schedule “A” attached hereto and forming a part of this Agreement.

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22.2 Payment of Wages

The Company agrees that all employees shall be paid weekly by direct deposit prior to 12:00 p.m. (noon) on Thursdays.

22.3 New or Changed Jobs

The Company agrees to negotiate with the Union, the rate of pay for any new or changed job prior to the rate being installed. However, if the Parties fail to agree on the new rate they shall install the new rate proposed by the Company and the Union shall have the right to grieve whether or not the rate is proper based on its relationship to related or similar jobs presently in existence.

Article 23 HOURS OF WORK AND OVERTIME

23.1 (a) The regular work week shall be one of forty (40) hours, Monday to

Friday. Notwithstanding the above, employees in the maintenance department regular work week will be Monday to Saturday, as scheduled by Management.

(b) Unpaid time off for a meal for employees working in excess of five

(5) hours shall be one-half (1/2) hour as close to midshift as possible.

(c) All employees working eight (8) hours shall be allowed a paid rest

period of fifteen (15) minutes in the first as well as the second half of a shift. These rest periods shall be taken as scheduled by Management. In instances where an employee performs authorized overtime work of at least two (2) hours in duration, the Company will schedule a paid rest period of ten (10) minutes duration.

23.2 (a) In the event an employee’s shift assignment, shift hours and/or days

of work are changed by the Company, an employee will be given, where possible, three (3) working days advance notice. In instances where the Company is unable to give sufficient notice due to

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legitimate business reasons, employees with the skill, specific experience, and ability will be asked in order of seniority to change shift assignment, shift hours and/or days of work. If the Company is unable to obtain a volunteer(s) the most junior employee(s) in the department with the skill, specific experience and ability will be required to change their shift assignment, shift hours and/or day of work.

(b) Notwithstanding the above, where a senior employee would have

been prepared to change their shift assignment, shift hours and/or days of work if not for having a legitimate conflict, they will be allowed to change after the conflict has passed.

23.3 All work performed by an employee after forty (40) hours, except Sunday,

shall be paid at time and one half (1-1/2). All work performed by an employee after forty (40) hours shall be paid at double time if performed on a Sunday.

To meet the forty (40) hour requirement, the following shall be included:

Hours actually worked, statutory holidays, scheduled vacation, jury duty, subpoenaed as a crown witness, paid bereavement leave, weekly indemnity and union business.

23.4. The parties agree that there shall be no pyramiding of overtime rates. 23.5 Overtime shall be distributed on an equitable basis by department to

those employees who have been identified as trained per the cross training matrix. In this regard, the Company and Union shall form a committee to establish, monitor and possibly make modifications to the policy for the equitable distribution of overtime, which shall be reviewed after six (6) months of implementation.

The committee shall be made up of (1) one representative selected by the

Union and one (1) representative by the Company. This committee shall meet as needed for such period as required. The committee shall jointly review the overtime policy of the Company and its application. Should the parties disagree, the Union shall have the right to grieve.

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23.6 In the event that the Company is unable to obtain sufficient employees to work overtime on a voluntary basis, the Company shall have the right to assign the required number of employees to work overtime as it requires, beginning with the employee having the least seniority in that department.

23.7 Nothing in this Article shall be so construed to mean a guarantee of hours

of work per day or per week. 23.8 Employees working overtime for three (3) hours or more at the end of

their shift without being notified prior to the commencement of their shift, shall be entitled to a supper allowance of $8.00.

23.9 All employees, who are required to work the afternoon or midnight shift

shall receive a shift premium of: Shift Premium - Afternoons - $.70 Nights- $.75

Article 24

INSURANCE-WELFARE BENEFITS AND PENSIONS

24.1 (a) The Company agrees that during the term of this Agreement they will provide the Insurance-Welfare Benefits as set out in Snap-on Tools of Canada Ltd., Your Group Benefits Plan, Hourly Employees Booklet and made part of this Agreement, for all employees and their eligible dependents.

Vision will be increased as follows:

1) Effective June 1, 2015, increases to $250.00/24 months

2) Effective May 1, 2016 increases to $260.00/24 months

3) Effective May 1, 2017 increases to $270.00/24 months.

All amounts are inclusive of 1 eye exam in a 24 month period.

(b) The Company agrees that during the term of this Agreement they will provide the Insurance Welfare Benefits as set out in Snap-on Tools of Canada Ltd. Your Group Benefits Plan, Hourly Employee’s

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Booklet and made part of this Agreement, for all employees and their eligible dependants. (Note: Dental will be increased as follows: Effective July 2, 2005, $1,250.00 per year)

(c) Employees hired after July 6, 2009 shall contribute 20% of the premium costs for the Employee Group health benefits for the first 24 months of their employment. Thereafter the company shall provide the employees the benefits at no cost.

24.2 The Company further agrees that all eligible employees shall be covered by the Group R.R.S.P. as set out in Schedule “B” attached hereto and made part of this Agreement.

Article 25 BEREAVEMENT PAY

25.1 The Company agrees that when an employee is absent from work due to

death in the immediate family, he will be granted three (3) days leave with pay in conjunction with their death. “Immediate” family shall mean siblings and parents, current spouse or common-law spouse, and their siblings, parents, grandparents, grandchildren, brother-in-law, sister-in-law, mother-in-law, father-in-law.

Article 26 GENERAL

26.1 Gender Wherever the MALE GENDER is used throughout the Articles within this

Agreement, it is agreed that the FEMININE GENDER is an acceptable substitute whenever the feminine gender is applicable.

26.2 Where the singular is used throughout the Articles within this Agreement,

it is agreed that the plural is an acceptable substitute whenever and wherever the plural gender is applicable.

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Article 27 TERMINATION

27.1 This Agreement shall become effective on the 30th day of April, 2015,

and shall continue in effect up to and including the 29th day of April, 2018.

27.2 Either Party desiring to renew or amend this Agreement may give notice

in writing of its intention during the last ninety (90) days of its operations. 27.3 If pursuant to such negotiations, an Agreement is not reached on the

renewal of amendment of the Agreement prior to the current expiration date, the Agreement shall continue in effect in accordance with the terms of the Ontario Labour Relations Act.

27.4 The Company and the Union agree that clauses in this Contract may be

changed by mutual consent and the Staff Representative shall be part of the process.

Duly Executed by the Parties hereto this 1st day of June, 2015

SIGNED ON BEHALF OF THE COMPANY ____________________________

SIGNED ON BEHALF OF THE UNION

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Below are the only Letters of Understandings recognized by the parties:

LETTER OF UNDERSTANDING NUMBER 1

Between

SNAP-ON TOOLS OF CANADA LTD. AND UNITED STEEL, PAPER AND FORESTRY, RUBBER, MANUFACTURING, ENERGY, ALLIED INDUSTRIAL AND SERVICE WORKERS INTERNATIONAL UNION ON BEHALF OF ITS LOCAL 9042.

The parties agree that during the term of this Agreement the following understanding shall apply: The Company will supply a tool belt and/or holding device for tools, which will be registered for the job to be performed. Employees will sign for the tools and tool belts/holding devices and will be responsible for any loss of same. In order to assist in securing tools and holders, management agrees to supply locks. __________________________ ___________________________ __________________________ ___________________________ ___________________________ ___________________________ __________________________

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LETTER OF UNDERSTANDING NUMBER 2

Between

SNAP-ON TOOLS OF CANADA LTD. AND UNITED STEEL, PAPER AND FORESTRY, RUBBER, MANUFACTURING, ENERGY, ALLIED INDUSTRIAL AND SERVICE WORKERS INTERNATIONAL UNION ON BEHALF OF ITS LOCAL 9042.

RE: SEVEN DAY OPERATION

The parties recognize that in order for the Company to compete and expand its business, it may be necessary for the Company to go to a seven (7) day a week operation. Prior to implementing a seven (7) day schedule and changing employees days of work etc. the Company and the Union will meet to devise a plan to implement the schedule. ____________________________ __________________________ ____________________________ __________________________ ____________________________

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LETTER OF AGREEMENT NUMBER 3

Between

SNAP-ON TOOLS OF CANADA LTD. AND UNITED STEEL, PAPER AND FORESTRY, RUBBER, MANUFACTURING, ENERGY, ALLIED INDUSTRIAL AND SERVICE WORKERS INTERNATIONAL UNION ON BEHALF OF ITS LOCAL 9042.

RE: HOURS OF WORK

The parties agree that the current practice of the afternoon shift working 4 shifts of 81/2 hours and 1 shift of 6 hours will continue unless the Company goes to a 3 shift 24 hour operation or there is a legitimate business reason. ___________________________ __________________________ ___________________________ __________________________ ___________________________

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LETTER OF AGREEMENT NUMBER 4

Between

SNAP-ON TOOLS OF CANADA LTD. AND UNITED STEEL, PAPER AND FORESTRY, RUBBER, MANUFACTURING, ENERGY, ALLIED INDUSTRIAL AND SERVICE WORKERS INTERNATIONAL UNION ON BEHALF OF ITS LOCAL 9042.

RE: LABOUR/MANAGEMENT MEETINGS

The Company and the Union agree to establish a Labour Management Committee compromising of not more than three (3) persons on each side to meet and discuss matters of mutual concern. The Committee shall meet upon request of either party but not more than once per quarter with an advance agenda that can be covered within 1.5 hours.

___________________________ __________________________ ___________________________ __________________________ ___________________________

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LETTER OF AGREEMENT NUMBER 5

Between

SNAP-ON TOOLS OF CANADA LTD. AND UNITED STEEL, PAPER AND FORESTRY, RUBBER, MANUFACTURING, ENERGY, ALLIED INDUSTRIAL AND SERVICE WORKERS INTERNATIONAL UNION ON BEHALF OF ITS LOCAL 9042.

RE: Cross-Training

The company will continue to do cross training and this will be reflected in the

matrix. The Union will be notified of the cross training ___________________________ __________________________ ___________________________ __________________________ ___________________________

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LETTER OF AGREEMENT NUMBER 6

Between

SNAP-ON TOOLS OF CANADA LTD. AND UNITED STEEL, PAPER AND FORESTRY, RUBBER, MANUFACTURING, ENERGY, ALLIED INDUSTRIAL AND SERVICE WORKERS INTERNATIONAL UNION ON BEHALF OF ITS LOCAL 9042.

RE: CWB Welding Test

The company will provide three (3) weld tests and 1 training session (to be held between the check test and the retest of the check test). The employee will attend the scheduled tests and training sessions. If the employee fails to attend a scheduled test or training session, this will be considered an event provided unless the Employee provides a reason satisfactory to the company”. If at the end of three weld tests, the employee is not qualified in the flat and horizontal positions, then he/she will be laid off from their welder’s position upon the expiry of their license with this dual qualification. A Welder who was laid off due to loss of certification and who has been recertified (providing proof of qualification to CSA standard W47.1.09 or successor standards) will return to his pre-layoff position, except where there is a layoff, and then the Welder will exercise their seniority rights as per Article 11.10. ___________________________ __________________________ ___________________________ __________________________ ___________________________

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Welder Recertification Flow Chart

This flow chart describes the process CWB follows to recertify a welder to the flat and horizontal qualification

level. It is subject to change based upon direction from CSA and/or CWB.

Check Test 1 plate

CWB issues certificate for

Flat and Horizontal

Fail flat or fail

Flat and

horizontal

CWB issues a flat certificate

and employee must perform

upgrade test to obtain

horizontal

Retest of a Check

Test - 2 plates Pass

Fail

Pass Flat and

fail horizontal

Pass

Pass

both

Fail upgrade test

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LETTER OF AGREEMENT NUMBER 7

Between

SNAP-ON TOOLS OF CANADA LTD. AND UNITED STEEL, PAPER AND FORESTRY, RUBBER, MANUFACTURING, ENERGY, ALLIED INDUSTRIAL AND SERVICE WORKERS INTERNATIONAL UNION ON BEHALF OF ITS LOCAL 9042.

RE: Material Handlers

A base test will be given to all Material Handlers not more than once per

collective agreement. The purpose will be to identify those that need additional

training. We will use an independent third party lift truck and crane training

company, along with Supervisor input, to evaluate Material Handler

competency based on the following criteria:

1) Safely and efficiently loads and unloads various types of racks of lifts, tire changers, wheel balancers and other product. 2) Safely and efficiently loads and unloads various types of trucks of lifts and other product. 3) Safely and efficiently loads and unloads shipping containers of lifts and other products. 4) Results will be pass/fail. In the event of failure, the company will provide additional on the job training/work experience including 20 days of operating a lift truck/crane. As required, this will include unloading a minimum of 3 shipping containers and/or 3 flatbed trucks. This on the job training/work experience will be provided under the guidance of a Supervisor and/or competent Material Handler selected by Management. Any Material Handler who fails a reevaluation following the additional on the job training/work experience will be laid off from their position.

___________________________ __________________________ ___________________________ __________________________ ___________________________

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Effective April 29, 2015

WAGE SCHEDULE

April 29/15 May 1/16 April 30/17

1. Electrician $29.67 $30.07 $30.32 2. Licensed Millwright $29.67 $30.07 $30.32 3. Maintenance Mechanic $24.36 $24.76 $25.01 4. Welder $23.02 $23.42 $23.67 5. Painter $21.84 $22.24 $22.49 6. Material Handler $19.83 $20.23 $20.48 7. Assembler $21.84 $22.24 $22.49 8. General Labourer/

Paint Line General $18.26 $18.66 $18.91 Labourer

9. Engineering Support $23.02 $23.42 $23.67

*New hires shall commence at 15% below the classification rate and shall progress by a minimum of 5% per year until such time that they catch up to the classification rate of pay

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Schedule “B”

SNAP-ON TOOLS OF CANADA LTD. GROUP RRSP/DPSP

Snap-on Tools of Canada Ltd., in conjunction with Reid Sexton & Co. Ltd. and Mackenzie Financial Corp. have instituted a Group Registered Retirement Savings Plan and a Deferred Profit Sharing Plan. Enrollment in the plan is completely voluntary, however you must be employed by Snap-on for three months to qualify for enrollment.

Mackenzie Financial Corp. is one of Canada’s largest mutual fund managers and have a proven track record with their Industrial, Ivy and Universal group funds.

A Mackenzie Financial Representative will be your independent financial adviser and will enroll you in the plan and will assist you in making your investment decisions.

You may contribute up to 5% of your gross earnings into the Group RRSP and for each dollar you contribute Snap-on deposits 50¢ into your Deferred Profit Sharing Plan, for example, if your 5% contribution is $100.00 per month then Snap-on adds $50.00 to your Deferred Profit Sharing Plan.

Funds are deducted pre-tax each pay period so that your taxes are instantly reduced at source.

You may contribute up to 5% of your gross earnings into the Group RRSP and for each dollar you contribute Snap-on deposits 50¢ into your deferred profit sharing plan. For example, if your 5% contribution is $100.00 per month, then Snap-on adds $50.00 to your Deferred Profit Sharing Plan.

RRSP contributions for new employees hired after July 6, 2009 shall be modified so that the company contribution for new hires is capped at 1% of gross earnings for the first 12 months, 1.5% for the 12 months and

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effective the 24th month of employment the contribution shall be 2.5% of gross earnings.

After one year in the plan the DPSP becomes vested. That is to say if you leave the employ of Snap-on anytime after one year in the plan you are entitled to the DPSP portion as well as your RRSP. If you leave before you have been in the plan one year, you are entitled to your RRSP only.

Mackenzie Financial Corp. supply two statements a year – June 30 and December 31. There are separate statements for the RRSP and DPSP. The DPSP investments are chosen by Snap-on. Both statements detail each transaction and the accumulated totals plus the change in value of the investments.

Although payroll deductions are limited to 5%, employees may make additional contributions either in a lump sum or by pre-authorized cheque up to the government limit of 18% of gross earnings or the maximum established for the current year.

If an employee wishes to consolidate other RRSPs they can be transferred to his/her Group RRSP account. There are no trustee fees for a Mackenzie Group RRSP. Should you wish to make a change in your investment purchases you may do so at anytime without charge up to twice a year.

Funds are deducted pre-tax each pay period so that your taxes are instantly reduced at source.

You may terminate your membership in the plan at any time but there is a waiting period of one year to re-enroll.

As long as the government’s First Time House Buyers Plan is in effect, the GRRSP Funds qualify for withdrawal.

RRSPs are more flexible and portable than registered pension plans plus you control the investments. If a member of the plan leaves the employment of Snap-on, it is the member’s option as to how to handle

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their RRSP and after the vesting period, their DPSP as well. The assets can be transferred to another RRSP, left with Mackenzie Financial or it can be de-registered and cashed in, but subject to tax.