70RFPW18RW900003_Amendment_0003.pdf

REGISTER OF WAGE DETERMINATION UNDER | U.S. DEPARTMENT OF LABOR

THE SERVICE CONTRACT ACT |EMPLOYMENT STANDARDS ADMINISTRATION

By direction of the Secretary | WAGE AND HOUR DIVISION of Labor | WASHINGTON D.C. 20210 | Wage Determination No.: CBA-2017-10831

Diane Koplewski Division of | Revision No.: 0 Director Wage Determinations| Date Of Last Revision: 11/27/2017 State: California

Area: San Diego

Employed on Department of Homeland Security contract for Protective Security Officer Services (PSO).

Collective Bargaining Agreement between contractor: Paragon Systems Inc., and union:

International Union, SPFPA Local 52, effective 12/1/2017 through 11/30/2021.

In accordance with Section 2(a) and 4(c) of the Service Contract Act, as amended, employees employed by the contractor(s) in performing services covered by the Collective Bargaining Agreement(s) are to be paid wage rates and fringe benefits set forth in the current collective bargaining agreement and modified extension agreement(s).

Attachment 5

AGREEMENT

by and between

PARAGON SYSTEMS INCORPORATED

and

INTERNATIONAL UNION, SECURITY,

POLICE AND FIRE PROFESSIONALS OF

AMERICA (SPFPA)

and its affiliated

Local #52

TABLE OF CONTENTS

By Article

Article Title Page Preamble 3 Article: 1 Recognition 3 Article: 2 Union Security 5 Article: 3 Union Rights 7 Article: 4 Management Rights 9 Article: 5 Nondiscrimination 10 Article: 6 Hours of Work 11 Article: 7 Wages 14 Article: 8 Leave of Absence 16 Article: 9 Holiday 19 Article: 10 Vacation 20 Article: 11 Health and Welfare Benefits 21 Article: 12 Discharge and Discipline 22 Article: 13 Grievance, Mediation and Arbitration Procedure 26 Article: 14 Seniority 29 Article: 15 Continuity of Operations 32 Article: 16 Labor Management Meetings 33 Article: 17 Scope of Agreement 33

PREAMBLE

THIS AGREEMENT is made and entered into this 15th day of November, 2017 by and between Paragon Systems, Inc. (hereinafter referred to as the "Company") and the International Union, Security, Police and Fire Professionals of America (SPFPA) and its affiliated Local 52 (SPFPA) (hereinafter referred to as the Union). The effective dates are December 1, 2017 through November 30, 2021.

ARTICLE 1: RECOGNITION

SECTION 1.1 - Recognition of Union

The Company hereby recognizes the Union as the sole and exclusive bargaining representative of "employees" as defined in Section 1.2 of this Agreement.

SECTION 1.2 - Employees

Whenever used in this Agreement, the term "employees" shall mean all security officers employed by the Company in the counties of San Diego, San Bernardino, Riverside and Imperial, California, who are employed pursuant to Contract No. HSHQW9-13-D-00004 between the Company and the United States Department of Homeland Security, Federal Protective Services ("DHS/FPS") Contract, and its successor(s), excluding temporary personnel as defined in Section 1.4 of this Agreement, Irregular part-time personnel as defined in Section

1.6 of this Agreement, office clericals, managerial personnel, confidential personnel, supervisors as defined by the National Labor Relations Act, and all other personnel. It is expressly agreed and understood between the parties that persons enrolled or participating in pre-assignment training programs offered by the Company shall not be considered employees under this section 1.2. Notwithstanding the above, individuals in the position of Lead Security Officers (Sergeants), if any, shall be considered employees for the purposes of this Agreement.

Salaried employees shall not perform the work of the employees covered by this Agreement.

Supervisory and other non-bargaining unit employees shall not perform the duties of Officers covered by this Agreement except when such work is necessary for instruction and/or training purposes without relieving the Officer from duties; and provide comfort, meal or emergency relief of Officers when other qualified Officers are not readily available.

SECTION 1.3 - Probationary Employees

All employees newly hired, or rehired after termination of their seniority, shall be classified as probationary employees for a period of ninety (90) calendar days from the date of hire or rehire. The date of hire shall be considered the first day standing post.

During the probationary period, employees shall be paid at a rate that is two dollars per hour less than the straight-time rate set forth in Article Seven. During their probationary period, the employment relationship between the Company and the probationary employee shall be at will and the probationary employee may be subject to discipline or discharge at the discretion of the Company without regard to the provisions of Article 12 of this Agreement.

It is agreed between the parties that probationary employees shall not be used by the Company in an overtime status unless all other full and part-time employees are working or otherwise unavailable. Probationary employees may only be used to fill overtime hours as a last resort to prevent an open post.

SECTION 1.4 - Temporary Personnel

"Temporary personnel" are persons hired by the Company for a period not to exceed ninety

(90) calendar days in a calendar year and, who, prior to the commencement of actual work, have executed a written statement acknowledging such duration of employment. A person initially hired under such conditions may not actually work in excess of one hundred and twenty

(120) calendar days in a calendar year, except by the mutual agreement of the Company and the Union. The Company, under its contract with the DHS/FPS or other applicable government agency, may provide, hire and use temporary personnel in order to provide full staffing level coverage, increase security levels as needed and avoid overtime; provided it is not the intent of the Company to replace existing full-time vacancies/jobs with part-time employees.

In addition, probationary employees receiving the reduce pay rate shall not be utilized to offset the current part-time personnel. Operational hours shall be distributed by seniority among operational officers.

SECTION 1.5 - Part-time Personnel

The Company, under its contract with the DHS/FPS or other applicable government agency, may provide part-time positions in order to provide full staffing level coverage, increase security levels as needed and avoid overtime. The part-time employee may be scheduled to work more than a part-time schedule, SECTION 1.6 - Irregular Part-time Personnel

"Irregular part-time personnel" are persons employed by the Company who work less than one hundred (100) hours per calendar month. The Company, under its contract with the DHS/FPS or other applicable government agency, may provide hire and use irregular part-time personnel in order to provide full staffing level coverage, increase security levels as needed and avoid overtime.

SECTION 1.7 - Lead Security Officers (Sergeants)

Lead Security Officers shall perform those duties assigned by the Company, including, but not limited to, preparing work schedules, reviewing duty logs for accuracy, assessing working conditions, gathering information for investigations, informing management concerning employee performance and disciplinary matters, completing reports, and other tasks as assigned. At the time of this agreement, the Company intends to generally maintain the status quo with respect to the duties of Lead Security Officers; in the event substantive changes are planned in such duties, the parties agree to meet and confer regarding whether the Lead Security Officers should be excluded from the bargaining unit on any grounds. It is not the intention of the Company to erode the bargaining unit by replacing employees cowered by this Agreement with supervisory personnel who routinely and consistently man posts.

SECTION 1.8 - Successors

This Agreement shall be binding upon the parties, their successors and assigns. In the event of a sale or transfer of the business of the Employer, or any part thereof, the purchaser or transferee shall be bound by this Agreement.

SECTION 1.9 - Employee File Access

The union stewards or President of the local, at the direction of an employee and with written consent, may review personnel files as it pertains to disciplinary actions, at the company's office. A written notice of at least two weeks must be sent to the Company's office for these files to be produced for review.

ARTICLE 2: UNION SECURITY

SECTION 2.1 - Union Membership

A. Membership - All employees covered by this Agreement shall become and remain members of the Union within thirty-one (31) days after employment or the effective date of this Agreement, whichever is later, and as a condition of continued employment shall maintain their membership In the Union. Membership, for purposes of this provision, will be deemed satisfied by the employee by (i) becoming a member in good standing by paying the uniform Initiation fee and monthly dues and charges pursuant to the Union's Bylaws, or (II) becoming a financial core member and paying an amount equal to the uniform initiation fees and monthly dues without joining the Union or (ill) paying a service fee which shall be equal to the percentage of the Union initiation fee and monthly dues which reflects the proportion of the amount the Union's collective bargaining expenditures bear to the Union's total expenditures; provided that employee choosing this option must notify the Union in writing.

B. An employee who is not a member of the Union at the time this Agreement becomes effective shall as a condition of continued employment, become a member of the Union within ten (10) days after the thirtieth (30th) day following the effective date of this Agreement or within ten (10) days after the thirtieth (30th) day following employment, whichever is later. Also as a condition of continued employment, an employee shall remain a member of the Union, to the extent of paying an initiation fee and the membership dues uniformly required as a condition of acquiring or retaining membership in the Union, for the duration of this Agreement.

C. Employees meet the requirement of being members in the Union, within the meaning of this Article, by tendering the periodic dues and initiation fees uniformly required as a condition of acquiring or retaining membership in the Union, or in the alternative, by tending to the Union financial core fees and dues, as defined by the U.S. Supreme Court In NLRB v. General

Motors Corporation, 373 U.S. 734 (1963) and Beck v. Communications Workers of America, 487 U.S. 735 (1988), D. in the event the Union requests the discharge of an employee for failure to comply with the provisions of this Article, it shall serve written notice on the Employer requesting that the employee be discharged effective no sooner than two (2) weeks after the date of that notice.

The notice shall also contain the reasons for the discharge. In the event the Union subsequently determines that the employee has remedied the default prior to the discharge date, the Union will notify the Employer and the employee, and the Employer will not be required to discharge that employee.

E. An employee shall not be required, as a condition of employment, to pay money to the Union, or to become a member of, or continue membership in, the Union, if he/she Is employed in any state, in any location other than an enclave wherein exclusive federal jurisdiction applies, which prohibits or otherwise makes unlawful payment to a labor organization or membership in a labor organization as a condition of employment.

F. Enforcement - In the event the Union requests the discharge of an employee for failure to comply with the provisions of this Article, it shall serve written notice on the Employer requesting that the employee be discharged effective no sooner than two (2) weeks after the date of that notice. The notice shall also contain the reasons for discharge. In the event the Union subsequently determines that the employee has remedied the default prior to the discharge date, the Union will notify the Employer and the employee, and the Employer will not be required to discharge that employee.

G. Indemnification - The Union agrees to indemnify and hold harmless the Company for any and all costs, expenses (including but not limited to, reasonable attorney's fees), suites, judgments, liabilities, damages, and penalties, that the Company may sustain, incur or be required to pay as a consequence of any claim arising out of its enforcement of Section 2.1.

SECTION 2.2 - Dues Check-off

A. The Employer will deduct initiation fees, union dues and financial core fees from the wages of employees who voluntarily authorize the Employer to do so on a properly executed payroll deduction card in the form attached as Appendix C. Such deductions shall be made from the first paycheck of each month, or the first pay received in that month in which the employee has sufficient net earnings to cover the Union membership dues or payments. Funds deducted with a monthly summary showing name, address, date of hire, hourly rate, dues or service fee paid or not paid, and employees who have been terminated or placed on leave of absence shall be remitted to the Secretary- Treasurer of the International Union, SPFPA within fifteen (15) days after the first regular payday of the month.

B. The Union will promptly furnish to the Employer a written schedule of the Union dues, initiation fees, and financial core fees. The Union also agrees to promptly notify the Employer in writing of any changes to these amounts. Union authorization cards must be submitted prior to the fifteenth (15th) of the month preceding the date that deductions are to be made.

C. Upon timely demand received from the Employer, the Union agrees to represent and indemnify the Employer against any loss or claim, which may arise as a result of the Employer's compliance with the Union membership or check off articles. In addition, the Union agrees to return to the Employer any erroneous or improper overpayment made to it.

D. Indemnification - The Union accepts full responsibility for the authenticity of each dues authorization card submitted by it to the Company and any authorization that is incomplete or in error shall be disregarded by the Company and shall be returned to the Union for correction. The Union agrees that, upon receipt of proper proof, it will refund to employees any deduction erroneously or illegally withheld from an employee's earnings by the Company which has been transmitted to the Union by the Company. The Union further agrees to indemnify and hold harmless the Company from any and all costs, suits, expenses (including but not limited to, reasonable attorney's fees), judgments, liabilities, damages, and penalties, that the Company may sustain, incur or be required to pay as a consequence of any claim by an employee for the wrongful withholding of wages under this Article.

ARTICLE 3: UNION RIGHTS

SECTION 3.1 - Stewards

A. Recognition - Ten (10) shop stewards will be recognized by the Company so long as the number of stewards is not more than what is minimally necessary to service the bargaining unit. The Union will inform the Company of the names of the Union office holders.

B. Steward Authority - The authority of Stewards shall be limited to, and shall not exceed, the following duties and activities: (1) representation of employees in disciplinary interviews consistent with Section 12.5 of this Agreement and as permitted under the National Labor Relations Act; (2) the investigation and presentation of grievances in accordance with this Agreement; (3) the transmission of such information and messages to and from the Union, which shall originate with and are authorized by the Union's Officers, provided such messages have been reduced to writing; and (4) the right to bring a grievance to the Company's attention at the time of the occurrence in accordance with the terms of this Agreement. Such duties shall be conducted during non-working time and may not interfere with the operations of the Company. Such activities may be conducted during working time, in exceptional cases, where agreed upon by the Company, but neither the Steward nor the employee shall depart from their normal job assignment without informing their immediate supervisor and disclosing the reason for such departure. Stewards or other employees who conduct Union business on working time, in violation of this provision, shall be subject to discipline under Article 12 of this Agreement. Provided that, it is expressly agreed and understood between the Parties that the Company may schedule disciplinary interviews consistent with Section 12.5 of this Agreement during working time.

C. Compensation - Stewards shall not be compensated by the Company for performing their duties as a shop steward, unless the steward is directed to act by the Company

D. Union Leave - Upon receipt of a written request, from the Local Union the Company will permit five (5) representatives of the Local to be temporarily placed in a leave without pay status, to attend conventions, negotiations or conferences of the International Union and upon receipt of a written request from the international Union the Company will permit the International Regional Director, if an employee, to be temporarily placed in a leave without pay status, for the purpose of conducting business for the International Union or the Local Union. Such requests for Union leave shall be submitted at least ten working days prior to the effective date of release from duty and such releases shall be for a minimum of two working days and a maximum of thirty working days. Leave to be subject to operational necessity and approval which shall not be unreasonably withheld.

SECTION 3.2 - Union Postings

The Company shall utilize its best efforts to secure space at the workplace for the Union to post a bulletin board. The decision of whether to allocate bulletin boards, allow posting of notices or permit such communications shall be at the sole discretion of the DHS. All Union notices posted shall be signed by an Officer of the Union or Chief Shop Steward. Copies of Union notices shall be provided to the Company's Regional Program Manager in advance of posting. If a bulletin Board is not provided a Union binder shall be allowed at each location to provide Union Information, provided the Government approves.

SECTION 3.3 - Union Activities

Neither Union officials nor employees shall, during the working time of any employees participating, solicit membership, receive applications, hold meetings of any kind for the transaction of Union business, or conduct any Union activity other than the handling of grievances to the extent such work time activity is specifically allowed by the Company.

SECTION 3.4 - Government Cooperation

The Union acknowledges and agrees that the terms and conditions of this Agreement, and the employee's employment with the Company, are subject to certain priorities, rules, procedures and restrictions of the DHS and United States government ("Government"). The Union agrees to cooperate with the Company in all matters required by the government and to comply with all such government priorities, rules, procedures and restrictions. The Union further agrees that any actions taken by the Company pursuant to a requirement imposed by the DHS or other Government agency shall not constitute a breach of this Agreement. Any action that OHS or any other Government agency requires or directs the Company to take Immediately, may be taken without prior notice to or discussion with the Union. However, whenever such action affects a term or condition of employment, the Company agrees to notify the Union of the effects of that action, including providing the Union documentation provided by DHS or any other Government agency in support of its action/direction.

ARTICLE 4: MANAGEMENT RIGHTS.

Section 4.1 - The Union recognizes that any and all rights concerned with the management of the business and the direction of work force are exclusively those of the Company unless expressly restricted by other provisions of this Agreement. The Company retains all of its normal, inherent common law and statutory rights to manage the business, whether or not exercised, as such rights existed prior to the time any union became the bargaining representative of the employees covered by this Agreement, except as expressly limited by, and consistent with the rights of the Union and its represented employees as set forth in this Agreement or as established by law, statutes, and government regulations. The rights of management shall include the right to: hire, assign, schedule, lay off, recall, promote, demote, transfer, suspend, discharge, or otherwise discipline employees for just cause; determine, establish and implement new operational methods; determine, establish, and implement new terms and conditions of employment during the term of this Agreement in the manner that the Company deems necessary for the efficient operation of its business ; determine, establish, or continue reasonable policies, practices, and procedures for the conduct of the business and, from time to time, to change or abolish such policies, practices, or procedures in order to prevent any redundancy or duplication of work or for any other reason provided such rights and policies are not in conflict with any provision of this Agreement and do not abridge the rights and benefits of employees as conferred by this Agreement or otherwise; determine and select the uniform and equipment to be used in the Company's operations and, from time to time, to change or to discontinue the use of any uniform or equipment and to select new uniforms or equipment for its operations, including equipment for new operations; reassign or relocate employees; to set the levels of satisfactory work performance, including quality and quantity of work; institute security measures, security checks or searches designed to deter or detect theft or misuse of Company or client property, resources or assets; set and alter the frequency of pay periods; determine the number of hours per day or week that operations shall be carried on; establish day and night shifts, set the hours of work and the number of employees for such shifts, and from time to time, to change the shifts and the hours of employees thereof; determine the fact of lack of work; make and enforce safety rules and rules governing the conduct of employees within the work site and for the maintenance of discipline; and take any other measures which are reasonable and necessary for the orderly, efficient, and profitable operation of its business.

Section 4.2 - The Company shall have the right at any time to establish, administer or alter the practices or customs of break periods, and telephone calls by employees and to limit or restrict such practices or customs as the Company may determine necessary.

Section 4.3 - The Company shall have the right to require of any employee at any time a physical examination by a physician of its choosing to determine said employee's physical and mental ability to perform their job assignment efficiently and safely. The Company will bear all costs associated with all company mandated physical examinations. The Employee will bear the cost of follow-up treatment. The Company shall have the right to evaluate the ability of the employee to perform their job assignment efficiently and safely. The Company may promote, demote, lay off, transfer, or discharge said employee as a result of such evaluation. This Section shall be interpreted in accordance with applicable federal and state law.

Section 4.4 - The Company shall have the right to evaluate the work performance of the employees by this Agreement, and shall have the right to transfer, or discharge employees for inefficiency, incompetence, or inability to perform the work assigned to them. The Company shall have the right to transfer and/or reassign employees, regardless of seniority, in lieu of or in addition to disciplinary action for documented performance issues. Any such action shall be provided to the Union.

Section 4.5 - The Company shall have the right to establish, administer, or change a drug and alcohol abuse prevention program in accordance with federal and state regulations. The Company shall have the right to test employees for drugs or alcohol upon reasonable suspicion, and to discipline employees based on the results of such tests.

Section 4.6 - The Company's failure to exercise any right, prerogative, or function hereby reserved to it, or the Company's exercise of any such right, prerogative, or function in a particular way, shall not be considered a waiver of the Company’s right to exercise such right, prerogative, or function or preclude it from exercising the same in some other way not in conflict with the express provisions of this Agreement.

Section 4.7 - The above rights of management are not inclusive of all manners or rights which belong to management. Any other rights, powers or authority the Company had prior to signing this Agreement are retained by the Company, except those which violate express provisions of this Agreement.

Section 4.8 - The Company agrees to notify the Union in writing prior to any change in policy or work rules affecting the terms and conditions of employment of the Bargaining Unit Employees, in order for the Union to register any suggestions or objections prior to implementation. This applies to permanent or extended policy or rules and not immediate or temporary policy or rules required to handle imminent or emergency situations.

ARTICLE 5: NONDISCRIMINATION

The parties hereto agree that there will be no discrimination against any employee or applicant for employment because of race, color, religion, sex, national origin, or membership or nonmembership in any labor organization, or other protected status as provided by law. The Company shall give due consideration to qualified Vietnam era veterans and to disabled individuals as provided by law. The Company and the Union agree that they shall comply with all federal, state and local employment discrimination laws, which are incorporated herein in their entirety, and will not discriminate against any employee with regard to race, color, religion, age, sex, national origin, disability or other protected status in violation of such laws.

It is expressly agreed and understood that the dispute resolution procedures set forth in Article 13 of this Agreement shall be the sole and exclusive forum for resolving all claims, demands or actions arising under state or federal law arising from the employment relationship between the Company and its employees to the fullest extent permitted by such laws. Such laws shall include, but not be limited to, the Age Discrimination in Employment Act (29 U.S.C. § 621 at seq.), Title VII of the Civil Rights Act of 1864 (42 U.S.C. § 2000e et seq.), the Rehabilitation Act (29 U.S.C. § 793 at seq.), the Civil Rights Act of 1866 and 1871 (42 U.S.C. § 1981 & 1983), Executive Order 11246, the Americans with Disabilities Act (42 U.S.C. § 12101 et seq.), the Civil Rights Act of 1991 (Pub. L. 102-68), the Family and Medical Leave Act of 1993 (29 U.S.C.

§ 2601 at seq.), the Equal Pay Act (29 U.S.C. § 201 et seq.), and Disabled & Vietnam Veterans Act (38 U.S.C. § 4212), the California Family Rights Act (Government Code § 12945 at seq.);

the California Fair Employment and Housing Act (Government Code Sections 12940, 12941, 12926 at seq.). California Labor Code provisions, any other applicable state employment and wage and hour laws or wage orders, the Fair Labor Standards Act, the National Labor Relations Act and any other state or federal law relating to employment discrimination or termination, statute or common law.

ARTICLE 6: HOURS OF WORK

SECTION 6.1 - Purpose of this Article

The sole purpose of this Article is to provide a basis for the computation of straight time, overtime and fringe benefits, and nothing contained in this Article or Agreement shall be construed as a guarantee or commitment by the Company to any employee of a minimum or maximum number of hours of work per day, per week or per year. It is expressly agreed and understood by the Parties that such scheduling and personnel needs shall be the sole prerogative of the Company.

SECTION 6.2 - Workweek

The Company's workweek shall consist of seven (7) days beginning on Friday at 0001 a.m. and ending the following Thursday at 2400.

SECTION 6.3 - Workday and Shifts

A workday shall be defined as from 0001 hours until 2400 hours as used throughout this Agreement the term "actual work" shall be synonymous with "work time" or 'Working time" as those terms are defined under the Fair Labor Standards Act.

SECTION 6.4 - Overtime Work

Employees may be required to work reasonable overtime assignments at the discretion of the Company. An employee not excused by the Company from performing reasonable assigned overtime, and who refuses to work overtime, will be subject to appropriate discipline. In accordance with Article 14 of this Agreement, opportunity to work overtime shall be provided consistent with the Company's needs and circumstances and must be authorized in advance by the Company. Employees must record all time worked using whatever timekeeping procedures and forms that the Company puts in place for timekeeping purposes.

If requested to work overtime (i.e. over forty (40) hours in a workweek or extra hours), and the seniority system is not invoked due to shortness of notice, the Employee who is subject of the request shall be required to work the overtime. In the event an employee is held over due to shortness of notice earlier in the workweek, or called in on short notice to cover another employee’s absence or lateness, the affected employee’s regular work schedule will not be adjusted later in the workweek to prevent him from going into overtime status as a result of the holdover.

Nothing in this section or this Agreement shall be interpreted to require the Employer to incur overtime, when such additional work hours can be covered by employees in a non-overtime status. The purpose of this section is to govern the assignment of overtime hours when such overtime is not avoidable by the Employer.

SECTION 6.5 - Full-Time Employment

For purposes of this Agreement, full-time employment is defined as thirty-six (36) working hours during a workweek. For purposes of health insurance benefits under the Affordable Care Act only, full-time employment is defined as thirty (30) hours in paid status during a workweek.

SECTION 6.6 - Meal & Rest Periods

A. Rest Periods - Employees shall be permitted to take rest periods during the workday at a rate of ten (10) minutes of continuous rest time per four (4) hours of work or major fraction thereof, To the extent practicable, the ten (10) minute rest period should be taken in the middle of the four (4) hour period of work. Authorized rest periods shall be counted as hours worked and will be paid without any deduction in wages. In those instances where self-relieving breaks are permitted, an employee shall notify the proper government authority when the employee takes the rest break as set forth herein. in the event that an employee believes that s/he has not been permitted to take the authorized rest period in accordance with this Section, the employee shall be required to complete a Rest Period Report at the end of the workday and submit the Rest Period Report to the Company's Vice-President of Operations within seventy-two (72) hours of not receiving the rest period.

B. Meal Periods At Multi-Guard Locations - The Parties acknowledge and agree that the Company provides guard services at a variety of locations and that the number of guards required at particular locations varies depending upon the number of posts that need to be manned and the number of shifts required at the locations. In this regard, there are locations at which the Company requires multiple employees to be working at a variety of different posts simultaneously, and such locations are referred to herein as "Multi-Guard Locations". At Multi- Guard Locations, the Company shall arrange schedules so that a guard or supervisor is available to give each employee who works a shift in excess of six (6) hours a 30-minute uninterrupted meal period in which the guard is relieved of all duties. This meal period shall be scheduled to occur roughly in the middle of the employee's shift and will be unpaid time. Each guard post at Multi-Guard locations will have at the post a Tracking Sheet for Receipt of Daily Meal Periods, together with Exceptions Sheets for use when an employee is unable to take a 30- minute uninterrupted meal period. Employees shall record their meal period times on the Tracking Sheet at the times that their meal periods begin and end, and employees shall fill out the Exceptions

Sheet on the same day that the uninterrupted meal period does not occur. Each separate failure by an employee to follow these procedures for tracking meal period receipt shall be grounds for progressive discipline even if multiple violations are discovered during the same subsequent investigation of a potential violation.

C. Meal Periods At Single/Double Guard Locations - The Parties acknowledge and agree that the Company provides guard services (covered by this Agreement) at a number of locations that are single guard posts and where there are not multiple guards on site during the shifts that are covered by this Agreement. There are also locations at which two guards will be assigned to man posts, but the posts are not set up in a manner that would allow either guard to take an uninterrupted 30-minute meal period. Such locations are referred to herein as "Single/Double-Guard Locations". The Parties acknowledge and agree that, because of the nature of the specialized armed security work undertaken by employees at Single/Double-Guard locations, and because of the requirements of applicable federal contracts, and because of the duties assigned to such employees (including the possession of firearms and other dangerous weapons), and because of applicable laws regulating the possession of firearms, employees at Single/Double-Guard Locations cannot usually be relieved of all duty in order to take an uninterrupted 30-minute meal period during a work shift. For this reason, the Parties agree that, in consideration of the employee's waiver of a 30-minute off-duty unpaid meal period during which the employee would be relieved of all duties, the Company shall provide employees at Single/Double-Guard Locations with a paid on-duty meal period that may be taken by the employee at whatever point at which the employee determines that the taking of such meal period will not interfere with assigned duties and responsibilities.

D. It is expressly agreed that in no event shall an employee be denied the opportunity to eat a meal. It is additionally agreed that such time at a Single/Double Guard Location shall be considered hours worked for which the employee will be paid. In the event that an employee at a Single/Double-Guard Location believes that he/she has not been permitted to have a meal during the course of a shift, the employee shall be required to so notify the Company's Senior Vice President of Operations, in writing, within seventy-two (72) hours of not receiving the meal period.

E. Arbitration Of All Meal Period And Rest Period Claims - The Parties agree that the grievance and arbitration procedure set forth in Article 13 of this Agreement shall be the exclusive forum for resolution of any disputes concerning meal or rest period Issues, regardless of whether the employee's claim would otherwise be one that could be brought under a federal law, such as the Fair Labor Standards Act, or under California or local laws, statutes, Labor Code provisions, California Business and Professions Code provisions, regulations or Industrial Welfare Commission Wage Orders. This includes, for example and not by way of limitation, any claims that an employee may wish to pursue under California Labor Code Sections 226.7, 512-516 or 2699 et. seq.

ARTICLE 7: WAGES

SECTION 7.1 - Straight-Time Rate of Pay

The Company agrees to pay employees at the rate of pay set forth below as the straight time rate of pay for employees:

Current: $31.47 per hour Effective October 1, 2018 $32.18 per hour Effective October 1, 2019 TBD Effective October 1, 2020 TBD

Unless stated otherwise, when this Agreement requires the Company to pay the straight time rate of pay, the employee shall not accrue or otherwise receive those benefits set forth in Article 11 hereto.

Notwithstanding any other provision contained herein, the parties may agree to mutually re-open negotiations regarding the terms contained in Article 7 for years "TBD" at least 60 days in advance of October 1 of each respective year. This reopening of negotiations does not diminish the no-strike obligations set forth in Article 15.

Lead Security Officers (Sergeants) shall receive an additional $0.75 per hour straight-time pay.

SECTION 7.1.1 - Top-Secret and Secret Posts

Effective October 1, 2018, all work performed at a post requiring a Top-Secret clearance will be paid an additional $2.00 per hour. Effective October 1, 2018, all work performed at a post requiring a Secret clearance will be paid an additional $1.00 per hour.

SECTION 7.2 - Overtime Pay

Overtime pay is calculated at one and one-half (1+1/2) times the employee's “regular” rate as that is defined in the CFR for all hours of work in excess of forty (40) hours of actual work in any single workweek. No additional overtime premium will be paid on a daily basis for hours worked in excess of eight (8) hours in a workday since a premium for such excess hours already has been incorporated into the rate for the first eight (8) hours of work in the workday as part of the negotiations between the parties. There will not be any pyramiding of hours worked. Only hours actually worked will be recognized in determining overtime eligibility.

SECTION 7.3 - Payroll Dates

Employees shall be paid biweekly (every other Thursday or previous non-holiday business day), subject to change by mutual agreement of the parties.

SECTION 7.4 - Undisputed Error

In case of an undisputed error on the part of the Company as to an employee's pay, proper adjustment will be made within one (1) week for undisputed errors over $150.00 after the Company is given written notification of the error. All other such undisputed errors will be made on the next paycheck. Employees shall notify the Company of all errors on the part of the Company as to an employee's pay within two working days of learning of the error. It is expressly agreed and understood that this Section 7.4 shall apply, without limitation, to those instances where an employee has separated from employment and believes that his/her final pay was incorrect.

SECTION 7.5 - Direct Deposit

All employees shall be offered the option of payment of wages by direct deposit.

SECTION 7.6 - Personal Data

Employees shall promptly notify the Company's Director of Human Resources in writing on a Company-provided form of their proper mailing address and telephone number, and of any change of name, address, or telephone number within thirty (30) business days such change. The Company shall be entitled to rely upon the last known address in the Company's official records.

SECTION 7.7 - Training Time

Employees undergoing the training set forth in the Government Contract Statement of Work, that is provided by the Company and scheduled by the Company, shall be paid a minimum of four (4) hours at the straight time rate of pay plus applicable fringe benefits, as set forth this Agreement. This includes the Federal Contract course of firearms; the 40-hour Smartbook refresher; baton training; and OC spray training. Any other training that is both provided by Company personnel and scheduled as a mandatory training event by the Company shall also be paid at the straight time rate of pay plus applicable fringe benefits.

Any training that the employee obtains on his or her own time, through third-party vendors not associated with the Company, shall not be paid. However, the Company shall reimburse employees for any out-of-pocket costs or fees associated with any training required to maintain an employee’s State licenses and certifications in good standing.

Notwithstanding the foregoing, in the event that an employee fails firearms qualification and testing, the employee will be dismissed until the employee completes such qualification.

The Company shall not be required to pay for firearms qualifications courses; training additional weapons range time or other costs incidental to such training, certification or qualification, for employees who fail firearms qualification and testing.

SECTION 7.8 - Travel Time

In the event that a full-time employee is required to work a temporary assignment, other than his/her normal assignment, which is farther from the employee's residence than the normal assignment and which is more than twenty five (25) miles distant from his/her normal assignment, then he/she shall be reimbursed for automobile mileage at the rate of $.48 for each mile traveling to/from the temporary assignment that is in excess of the commuting distance to/from the employee's normal assignment. In addition, such travel time shall be considered working time and the employee shall be compensated for such travel time at his/her straight time rate of pay as set forth in Section 7,1 hereto, but shall not accrue or otherwise receive those benefits set for in Article 11 hereto. It is expressly agreed and understood that such travel time shall only be compensable to the extent that automobile mileage is compensable as set forth in this Section 7.8.

Part-time employees are not considered to have any normal assignment and, thus, are not eligible for such reimbursement. Employees shall receive travel time or mileage reimbursement for travel to or from mandated training, testing or other qualification.

The Company will reimburse employees reasonable pre-approved expenses for overnight travel on Company business. The Company will provide advance payments for approved hotel room expenses if requested by an employee, when reasonably possible after timely notice. The Company will make the necessary hotel reservations and arrangements.

Employees who incur Company-related travel expenses without having sought and received advance authorization in writing by the employee's supervisor or other Company-designated manager shall be subject to discipline up to and including termination of employment.

Employees who incur Company-related travel expenses will be required to submit a completed Company expense form, including all receipts, within two weeks after incurring the expense. Authorized expenses will be paid promptly after the Company's Finance Department has received a fully completed expense form and who elect at their own cost and who elect at their own cost and time to re-take any training or testing sessions.

ARTICLE 8: LEAVES OF ABSENCE

SECTION 8.1 - Court Leave

An employee who has completed his or her probationary period and who is required to report for jury duty shall be entitled to leave with pay from regularly scheduled hours of work for the time spent in such service up to a maximum of ten (10) work days; provided, however, the employee to be eligible for compensation, the employee must have notified the Company within seventy-two (72) hours of receiving the jury duty questionnaire or notice that he or she is subject to a jury duty call, For each hour of such leave taken, the employee wilt be compensated by the Company in an amount equal to his/her straight-time rate of pay, less the amount received by the employee from the court or government agency. Upon completion of jury duty, an employee shall immediately contact his or her supervisor and inform him or her that they have completed jury service. The employee and his or her supervisor will then discuss the employee's return to work. If an employee is released from jury duty on a day when the employee has not competed 8 hours of jury service, and the employee's supervisor does not require the employee to return to work for that day, the employee shall receive compensation, at his/her straight time rate of pay, for 8 hours of jury service for that day so long as the employee is otherwise eligible for leave with pay under this Section.

SECTION 8.2 - Military Leave

The Company will comply with the provisions of the Uniformed Services Employment and Reemployment Rights Act of 1994, 38 U.S.C. § 4301 at seq. ("USERRA"), Leave taken under USERRA shall be unpaid; provided that, an employee may elect to use any accrued vacation in lieu of unpaid military leave.

SECTION 8.3 - Bereavement Leave

An employee shall be entitled to leave with pay, at his/her straight time rate of pay, for a maximum of twenty-four (24) scheduled work hours lost in the event of the death of the employee's parent, sibling, child, stepparent, stepchild, stepsibling or spouse. An individual who served in the capacity of the employee’s legal guardian for their entire childhood, essentially being in the status of “parent,” shall be considered a parent for purposes of this section. Employees shall be entitled to leave without pay for a maximum of twenty-four (24) scheduled work hours lost in the event of the death of the employee's in-law, uncle, aunt or grandparent. Leave under this section shall be conditioned upon the employee submitting to the Company, if the Company so requests, proof of the death of the deceased and the employee's relationship to the deceased. Employees may use accumulated vacation, sick leave or unpaid leave in conjunction with bereavement leave.

SECTION 8.4 - Family and Medical Leave

A. Leave Entitlement - An employee who has been employed by the Company for 12 months and who completed 1250 hours of work during the 12-month period immediately preceding the commencement of such leave, will be entitled to leave under the Family and Medical Leave Act ("FMLA") and the California Family Rights Act ("CFRA") in accordance with its provisions. Leave under this Section shall run concurrent with any paid time off, such as court leave, bereavement leave, vacation time or personal time under Articles 8 or 10 of this Agreement.

B. Year for Purposes of Determining Leave Entitlement - For purposes of determining an employee's leave entitlement under the FMLA or CFRA, the 52-week period immediately preceding the commencement of leave under the FMLA or CFRA shall be the applicable measuring period.

SECTION 8.5 - Sick & Personal Leave with Pay

A. Effective October 1, 2018, all non-probationary, full-time employees employed as of that date will be granted fifty-six (56) hours of sick/personal leave annually.

B. Effective October 1, 2019, all non-probationary full-time employees employed as of

C. Effective October 1, 2020, all non-probationary full-time employees employed as of

D. Eligible part-time employees shall be entitled to prorated sick/personal leave at their straight-time rate based on the number of hours worked in the previous year, divided by 1872 (to a maximum of 56 hours). Employees who commence service on the contract between the eligibility dates set forth above shall be entitled to accrue sick/personal leave at the rate of one (1) hour of sick leave for every thirty (30) hours of duty time, to a maximum of 56 hours, until they reach the following eligibility date.

E. Employees may take this time as sick leave for their own illness or for the purpose of caring for a family member. Employees may take this time as personal leave only by prearrangement with the employer; personal leave must be requested at least fourteen

(14) days in advance unless otherwise authorized by the employee’s supervisor, and must be granted in writing in order to be authorized. The Company reserves the right to deny the use of personal leave contingent upon manning requirements at the site, but will not unreasonably deny such requests.

F. Employees taking the time as sick leave, without preauthorization, shall be compensated at the probationary wage rate set forth in Article 1. Employees taking the time as personal leave by prearrangement with the Employer shall be compensated at the straight-time rate of pay set forth in Article 7 that was in effect at the time such leave accrued. Unused sick/personal leave shall be paid out in cash each October, and shall be paid at the straight time rate of pay set forth in Article 7 that was in effect at the time such leave accrued. Only time actually used as sick leave without preauthorization shall be paid at the probationary wage rate.

G. Sick and personal leave shall not be deemed hours of work for the purposes of computing overtime or other premium pay under this Agreement, nor shall fringe benefits accrue during such leave. An employee may not take sick or personal leave in increments less than eight (8) hours.

H. An employee with sick/personal leave remaining on the books may not use vacation time to compensate for time lost due to illness or injury. An employee must exhaust his or her sick leave before using vacation time for that purpose.

I. An employee who has been absent due to illness for three (3) consecutive duty days shall be required to provide verification from a physician licensed by the state of the employee’s residence confirming the employee's illness and authorization for absence from work. Failure to provide the required physician's verification shall be grounds for discipline up to and including termination and such leave shall not be reimbursed.

J. Nothing in this Section shall be construed to affect any personal or sick leave vested in an employee prior to the effective date of this Agreement under the terms of the prior Collective Bargaining Agreement between the parties.