09_NCA_SPFPA_CBA_FY2013_(new).pdf

I N G O D W E T R U S T

MEMORANDUM

DATE: September 27, 2012

TO: Gary Insley Acting Chief, Office of Security Contracts United States Marshals Service

FROM: Janet Gunn Vice President, Human Resources Akal Security, Inc.

SUBJECT: CBA for NCA, FY2013

For notification purposes only, we are sending the attached collective bargaining agreement, (CBA), between the International Union, Security, Police, and Fire Professionals of America and Akal Security, Inc. This CBA does not affect wages for FY2013. It is valid through October 15, 2015.

Should you have any questions or concerns please feel free to contact me via email or telephone at JanetGunn@agc-services.com, or (505) 692-6650. Thank you.

7 Infinity Loop, Espanola, New Mexico 87532 Telephone: (505) 692-6600 Fax: (505) 747-8438 i

Collective Bargaining Agreement

Between

Akal Security, Inc.

And

International Union, Security, Police and Fire Professionals of America (SPFPA) and its

Amalgamated Local 5

September 27, 2012 through October 15, 2015

Circuit: 9th Circuit

District: Northern District of California

Jobsite(s): San Francisco, Oakland, San Jose, Santa Rosa, Eureka ii

TABLE OF CONTENTS

ARTICLE 1 GENERAL PROVISIONS

ARTICLE 2 UNION SENIORITY

ARTICLE 3 JOB OPPORTUNITIES

ARTICLE 4 GOVERNMENT RIGHTS

ARTICLE 5 GOVERNMENT CREDENTIALS REQUIRED

ARTICLE 6 NON-DISCRIMINATION

ARTICLE 7 MANAGEMENT’S RIGHTS

ARTICLE 8 DISCIPLINE

ARTICLE 9 GRIEVANCE

ARTICLE 10 ARBITRATION PROCEDURE

ARTICLE 11 COMPENSATION AND FRINGE BENEFITS

ARTICLE 12 HOURS OF WORK AND OVERTIME

ARTICLE 13 WORK SHIFTS AND PAYMENT POLICIES

ARTICLE 14 VACATIONS

ARTICLE 15 UNPAID LEAVES OF ABSENCE

ARTICLE 16 MISCELLANEOUS PROVISIONS

ARTICLE 17 CONTINUITY OF OPERATIONS

ARTICLE 18 SEPARABILITY OF CONTRACT

ARTICLE 19 ENTIRE AGREEMENT

ARTICLE 20 TERMINATION OF AGREEMENT

ARTICLE 21 DURATION OF AGREEMENT

ADDENDUM

ARTICLE 1 GENERAL PROVISIONS

SECTION 1.1 Parties

This Agreement is made and entered into by and between AKAL SECURITY, INC., a New Mexico Corporation, hereinafter referred to as the "Company", and

INTERNATIONAL UNION, SECURITY, POLICE AND FIRE PROFESSIONALS OF

AMERICA (SPFPA), and their amalgamated Local 5, hereinafter referred to as the "Union". This Agreement shall be binding upon the parties, their successors and assigns.

SECTION 1.2 Bargaining Unit

This Agreement is entered between AKAL SECURITY, INC., and the

INTERNATIONAL UNION, SECURITY, POLICE AND FIRE PROFESSIONALS OF

AMERICA (SPFPA). The Company recognizes the Union as the sole and exclusive bargaining representative for the purpose of collective bargaining as defined in the National Labor Relations Act, specifically the certification issued by the National Labor Relations Board in certification 20-RC-18362 dated September 9, 2011. This agreement shall be binding upon both parties and their successors and assigns.

"Management", as used in this Agreement, refers to Site Supervisors, Contract Managers and Corporate representatives. Lead and Senior Lead Court Security Officers are not considered management

SECTION 1.3 Negotiating Committee

The Company agrees to recognize a Union Negotiating Committee composed of the President, and any other Union member appointed or elected to the Negotiating Committee. Alternates may be selected by the Union President to represent the Employees in collective bargaining negotiations. The Union will provide the names of individuals to the Company prior to the negotiations.

SECTION 1.4 Steward System –

1. The Company agrees to recognize a steward system.

2. The Union agrees that the union representatives and aggrieved employees will work at their regular jobs at all times, except when they are relieved by management to attend to the grievance procedure as outlined in this Agreement.

3. At an Employee's request, the Company will call for a union representative prior to taking any disciplinary action. The supervisor, at the request of the employee, will release the union representative as soon as possible. If no union representative is available, the employee may proceed without a representative, or reschedule the discussion.

Company agrees to maintain current practices that are in effect as of 8/1/2012.

SECTION 1.5 Union Security

1. 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 with the Union, for the duration of this Agreement.

2. Employees meet the requirement of being members of the Union, within the meaning of this Article, by tendering the periodic dues and initiation fees uniformly required as a condition of acquiring of retaining membership in the Union or, in the alternative, by tendering 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).

3. 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 as well as copies of the notices provided to the employee prior to the request for discharge. The notice shall also provide all documentation and proof that the union has met its obligation under appropriate state or federal law. 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.

4. 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.

SECTION 1.6 Dues Check Off

1. 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.

2. 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 proceeding the date that deductions are to be made.

3. 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.

4. The Union hereby agrees to indemnify and hold the Company harmless from and against any and all claims, damages, judgments, suits, liabilities, losses, or expenses of any kind or nature which the Company may sustain including legal fee’s and expenses, or which may be imposed upon it, arising out of the Company’s compliance with this Article. In conjunction with the foregoing, the Union agrees to provide and pay for the defense of any and all claims against the Company. Such defense will be provided by a lawyer approved by the Company.

5. In addition, the Union agrees to return to the Employer any erroneous or improper overpayment made to it and to hold the Employer harmless for any monies not withheld due to an unintentional error

ARTICLE 2 UNION SENIORITY

SECTION 2.1 Union Seniority Defined

Union seniority shall be the length of continuous service from the Employee's initial date of hire as a full or share time CSO, LCSO, SLCSO, SSO, LSSO, SLSSO, including any member assigned to The Courts, US Probation Offices, and US Attorney's Offices for the Employer, past or present and/or any predecessor Employer in the Northern District of California.

Seniority shall not accrue until the Employee has successfully completed the probationary period. Seniority shall be applicable in determining the filling of vacancies, order of layoff and recall, shift bidding, vacation schedules, holidays, extra work, overtime and other matters as provided for in this Agreement.

For the purposes of vacation time calculations, seniority shall accrue from the date of hire as a CSO, LCSO, SLCSO, SSO, LSSO, and SLSSO with the Employer, past or present and/or any predecessor Employer.

Any employee who is granted an approved leave of absence of less than 10 days will retain all seniority rights.

SECTION 2.2 Seniority Lists and Conflicts

The Company shall maintain a seniority list based on Section 2.1. In the event that two or more employees have the same seniority date, seniority conflicts shall be resolved by a using the day and month of birth of the Employee from the beginning of the year.

SECTION 2.3 Personal Data

Employees shall notify the Employer in writing, on the company provided form, of their proper mailing address and telephone number, or of any change of name, address, or telephone number. The Company shall be entitled to rely upon the last known address in the Employer's official records. The Company shall be entitled to use employee information available to the company in the normal course of business.

SECTION 2.4 Probationary Employees

Probationary employees will be considered probationary for a 90 day period after their hire date. The Union will still represent probationary employees for problems concerning wages, hours and working conditions, but the Company reserves the right to decide questions relating to transfers, suspensions, discipline, layoffs, or discharge of probationary employees without recourse to the grievance procedure contained in this Agreement. Probationary employees do not have seniority until the completion of the probationary period, at which time seniority dates back to the date of hire. The probationary period can be extended by the Company.

SECTION 2.5 Termination of Seniority

The seniority of an employee shall be terminated for any of the following reasons:

A. the employee quits or retires;

B. the employee is discharged;

C. a settlement with the employee has been made for total disability, or for any other reason if the settlement waives further employment rights with the Employer;

D. the employee is laid off for a continuous period of twelve (12) months;

E. the U.S. Government revokes the employee’s credentials as a CSO;

F. the employee is permanently transferred out of the bargaining unit;

G. full seniority will be reinstated should an employee who has been removed on a non-voluntary basis be re-credentialed by the USMS.

SECTION 2.6 Temporary Transfer out of Bargaining Unit

A bargaining unit employee who is temporarily promoted by the Company to a non-bargaining position will not lose his/her seniority for a period up to ninety (90) days while in that position. The period of time may be extended by mutual agreement of the Union and the Company.

ARTICLE 3 JOB OPPORTUNITIES

SECTION 3.1 Filling Vacancies

The Company will maintain a Preference List for CSOs wishing to transfer due to a vacancy at any site in the district. CSOs wishing to change sites must indicate in advance by providing a notice to the Site Supervisor of their desire to change locations by filling a newly vacant position. All shared position employees who have notified the Site Supervisor, in writing of their intent to apply for a full-time position will be considered for a position. When a vacancy occurs, the Employer will fill the position with the most qualified senior FT CSO, and if none are interested and then the most senior ST CSO who has applied for the position in writing.

All transfers of existing CSOs within the district must be determined within 72 hours of the creation of the vacancy in order to meet the USMS requirements for such transfers.

Bumping is not permitted.

SECTION 3.2 Shared Position Employees

The Company is obligated under its contract with the USMS, to fill a designated number of shared positions in order to provide full staffing level coverage, increase security levels as needed and avoid unnecessary overtime. A shared position employee may be scheduled to work more than a part time schedule, as necessary, at the Company’s discretion. The Company will give the shared position employee the maximum possible notice for the schedule changes. Failure to report to work when so scheduled or called to work may result in disciplinary action.

Shared Time do not receive any benefits if they work less than 20 hours a week on average in a year for a minimum of 1040 annual hours. All Shared time benefits are prorated based on all hours paid in the previous year.

Shared position employees shall sign the Shared Officer Agreement form.

SECTION 3.3 Layoff and Recall

In the event of layoff or recall, when full-time or shared positions are being reduced, probationary employees will be laid off first.

Should it be necessary to further reduce the work force, employees will be retained on the basis of seniority within the District. The Company will notify the Union in writing, of required reduction. The Union will respond, in writing, within three (3) business days (excluding Saturday, Sunday and Holidays) with the name or names of the least senior employee or employees. Recall of employees will be accomplished by recalling the last lay off employee first, and so on.

SECTION 3.4 Temporary Assignments

In the interest of maintaining continuous operations, the Employer may temporarily assign an employee to a vacant or new position until the job is filled in accordance with Articles 2 and 3, or assign an employee to a position that is part of a temporary security assignment directed by the USMS, including temporarily assigning an employee to a work site within or outside of the area defined by this Agreement. To the extent feasible, the assignment shall be a voluntary selection based on seniority and qualifications. In the absence of volunteers, assignments shall be made on a reverse seniority and qualifications basis. Employees so assigned will receive the higher of the base hourly wage available to employees regularly assigned to the site to which they are being transferred, or their hourly wage they receive at their regular site under this agreement whichever is greater.

SECTION 3.5 Appointment of LCSOs

The U.S. Government, in its contract with the Company creates specific guidelines for the job duties and qualifications of Lead CSOs. Based on these guidelines, all appointments of Lead CSOs will be made on the basis of suitability as evaluated by the Company. Suitability shall include an employee’s skills, experience, past performance, capabilities and the needs of the operation. If, in the Employer’s determination, employees are equally qualified, seniority will prevail. Lead CSOs will not perform supervisory duties as described by the National Labor Relations Act.

ARTICLE 4 GOVERNMENT RIGHTS

The Company and its employees are providing a service to the United States Government, which bears responsibility and authority for providing security to federal judicial facilities. Therefore, express written or verbal instructions of the USMS must be complied with.

ARTICLE 5 GOVERNMENT CREDENTIALS REQUIRED

Employment as a Court Security Officer or Lead Court Security Officer requires, as a condition of employment, that the employee maintain a current, valid driver’s license issued by his or her state of residence. Employees must be qualified to receive a Special Deputation as a Court Security Officer by the United States Marshals Service.

Employees who fail to qualify or maintain their qualifications will be considered to have resigned voluntarily.

ARTICLE 6 NON-DISCRIMINATION

There shall be no discrimination against any employees within the collective bargaining unit covered by this agreement (including, for the purpose of this anti-discrimination provision of the agreement, probationary employees) by reason of race, color, religion, sex, national origin, disability, age or any other characteristic protected by any Federal law. There shall also be no retaliation against those employees covered by this article for pursuing their rights, statutory and contractual, under this Article.

ARTICLE 7 MANAGEMENT’S RIGHTS

SECTION 7.1 Enumerated Rights

The Company reserves all rights which it heretofore had except to the extent that those rights are expressly limited by the provisions of this Agreement. Without limiting the foregoing reservations of rights, the parties consider it to be desirable, in order to avoid unnecessary misunderstanding or grievances in the future, to specify by way of illustration and without limitation some of the rights reserved to the Company, which it may exercise in it sole discretion and which might otherwise be a source of potential controversy, these rights being:

a. Hire;

b. Assign work and schedule;

c. Promote, Demote;

d. Discharge, discipline, or suspend;

e. Determine the size and composition of the workforce, including the number of, if any, employees assigned to any particular shift and the number of full-time and share-time employees;

f. Make and enforce work rules not inconsistent with the express provisions of this agreement;

g. Require employees to observe reasonable Employer rules and regulations;

h. Determine whether an employee may take unpaid leave when all forms of paid leave have been exhausted;

i. Determine the qualifications of an employee to perform work;

j. The right to determine, direct, and change the work operations and work force of the Company;

k. The right to ensure adherence to performance standards, the type of services to be rendered, and the manner in which such services are to be performed;

l. The right to determine the type and quantity of machines, equipment, and supplies to be used and the purchase, control, and use of all materials, equipment, and supplies that are purchased, used, or handled by the Company;

m. The right to sell, lease, shut down, or otherwise dispose of all or part of the Company’s assets or business operations;

n. The right to introduce changes in the methods of operations, jobs or facilities, including the right to automate, totally or partially, any or all of its business operations, even though this operates to eliminate unit jobs;

o. The right to establish job descriptions and classifications and to require employees covered by this Agreement to perform any job or task deemed necessary by the Company, as long as it is related to his principal duties provided the assignment is lawful and safe and that the employee is qualified to perform it;

p. The right to hire, promote, transfer, and lay off employees covered by this Agreement and to determine the requirements and criteria prerequisite to being hired, promoted, transferred, or laid off;

q. The right to schedule all work and hours of work, to determine the need for and amount of overtime, and to assign or require employees to work overtime in compliance with Sections 12.3 and 12.4 of this agreement.

SECTION 7.2 Retained Rights

Any 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 this Agreement and any supplemental Agreements that may hereafter be made. The Company’s failure to exercise any function reserved to it shall not be deemed a waiver of any such rights.

ARTICLE 8 DISCIPLINE

SECTION 8.1 Just Cause

No employee, after completion of his or her probationary period, shall be disciplined or terminated without just cause. It is agreed by the parties that in instances when the employee is removed from working under the USMS Contract by the USMS, or when the employee’s authority to work as a Court Security Officer under the USMS Contract is otherwise denied or terminated by the USMS, or the employee no longer satisfies the USMS’s qualifications for his or her position, the employee may be terminated without recourse to the procedures under this Agreement.

In the event of a USMS removal of a CSO, the company shall provide all documents from USMS in its possession to the Union

SECTION 8.2 Progressive Discipline

The Employer recognizes the principals of progressive discipline. Accordingly, the Employer will consider utilizing progressive steps (e.g., reprimands or warnings, followed by suspension, followed by termination), as it deems appropriate considering the circumstances. Therefore, nothing herein shall require the Employer to begin the disciplinary process at any particular level. With consideration for mitigating circumstances, it is the Employer’s right to determine what discipline to issue up to and including immediate termination is appropriate in certain situations is therefore not limited by this provision.

ARTICLE 9 GRIEVANCE

SECTION 9.1 Intent

For purposes of this Agreement, a grievance shall mean a claimed violation, misinterpretation, or misapplication of a material provision of this Agreement, except as limited by Articles 2, 3, 4 and 5.

SECTION 9.2 General Provisions

The number of days outlined in Section 9.3 for the processing and presentation of grievances shall establish the maximum time allowed for the presentation and processing of a grievance. When used in this Article, the term "days" shall mean working days, not including Saturdays, Sundays, legal holidays, or days when the local worksite or corporate office of the Company are closed.

Should the Company fail to comply with the time limits at any step of the grievance procedure, the Union may deem such failure to respond as a denial of the grievance and move the process to the next step in accordance to the provisions of Article 9. The Company shall not be required to arbitrate untimely grievances or grievances not processed in accordance with the time deadlines set forth in the procedure, unless the

Company affirmatively waives untimeliness as a defense in writing. Timeliness will be decided by a Court having jurisdiction unless the Company agrees to submit the issue to an arbitrator.

SECTION 9.3 Grievance Procedure

All grievances shall be presented and processed in accordance with the following procedures. A grievance must specifically identify the provision(s) of the Agreement claimed to have been violated and must include the specific facts supporting the grievance. The grievance and any subsequent proceedings shall be limited to the identified violations and provisions.

1. Local Step

The Union shall, not later than fifteen (15) days, set forth the facts in writing on an agreed form, specifying the specific Article(s) and paragraph(s) allegedly violated and the nature of the alleged violation. This form shall be signed by the Union representative and the employee, and shall be submitted to the Contract Manager or his designee with a copy to the Company’s HR Director. The Contract Manager or designee shall have ten (10) days from the date the grievance was presented to return a decision in writing with a copy to the aggrieved employee and the Union representative. If the Contract Manager or designee denies the grievance or does not respond within ten (10) days, the Union may timely advance the grievance to the next step.

3. Corporate Step

If the grievance is not settled at the Local Step, the grievance may be appealed in writing to the Company’s Vice-President of Human Resources or her designee not later than fifteen (15) days from the denial by the Contract Manager or designee or the expiration of the ten (10) day response period. The Vice-President of Human Resources or designee will have fifteen (15) days from the date the grievance was presented to return a decision, in writing, with a copy to the aggrieved employee and the Union representative. If the Contract Manager or designee denies the grievance or does not respond within fifteen (15) days, the Union may timely advance the grievance to the next step (arbitration).

SECTION 9.4 Grievance for Discipline

Any grievance involving discharge or other discipline may be commenced at the Corporate Step of this procedure. The written grievance shall be presented to the Company’s Vice-President of Human Resources or her designee within fifteen (15) days after the occurrence of the facts giving rise to the grievance.

SECTION 9.5 Class Action

The Union shall have the right to file a group grievance (class action) involving more than one (1) employee at the Informal Step of the grievance procedure.

SECTION 9.6 Individual Grievance

No individual may move a grievance.

SECTION 9.7 Bilateral Right

Grievances may be raised by either the Union or the Company. The Company is required to address a grievance directly with the Union’s designated representative one time before advancing an unresolved grievance to Arbitration under Article 10. When the Company files a grievance under this provision, the Company will be bound by the time limits listed in Article 9 Step 3 Corporate Step and any Company Grievance that is untimely will be considered to be settled.

ARTICLE 10 ARBITRATION PROCEDURE

SECTION 10.1 Arbitration

Grievances processed in accordance with the requirements of Section 9.3 that remain unsettled may be processed to arbitration by the Union. The Union will give the Company’s Vice-President of Human Resources written notice of its desire to proceed to arbitration not later than fifteen (15) days after rejection of the grievance at the Corporate Step or expiration of the fifteen day (15) response period. Grievances which have been processed in accordance with the requirements of Section 9.3 which remain unsettled shall be processed in accordance with the following procedures and limitations. If there is a dispute over whether a grievance is arbitrable, such issue may be resolved by any court of competent jurisdiction. Unless both parties agree, only one grievance may be heard in any arbitration proceeding.

SECTION 10.2 Selection of an Arbitrator

Within sixty (60) days providing written notice of its desire to proceed to arbitration, the Union will request that the Federal Mediation and Conciliation Service (FMCS) to supply a list of seven (7) arbitrators. An arbitrator will be selected from the list supplied by the FMCS by parties alternately striking from the list until one (1) name remains, and this individual shall be the arbitrator to hear the grievance. The party to make the first strike will be the winner of a coin toss.

SECTION 10.3 Decision of the Arbitrator

The arbitrator shall commence the hearing at the earliest possible date. Hearings shall be scheduled such that they will be completed in one continuous session, unless the hearing exceeds five (5) days, or unless mutually agreed by the parties. Any witnesses, excluding the grievant, not located within commuting distance of the hearing may testify by telephone.

The decision of the arbitrator will normally be rendered within ninety (90) days of the latter of the close of the hearing or submission of post-hearing briefs (unless extended by agreement of the parties) and shall be final and binding upon the parties to the Agreement. Any decision shall be complied with, without undue delay after the decision is rendered. Any award of back pay may not commence more than ten (10) days prior to the date of the written grievance. The burden of proving back pay is with the grievant and is limited to the amount of wages the employee would have otherwise earned, less any unemployment compensation, interim employment earnings or other appropriate off-sets. In the case of a discharge, the grievant must demonstrate he or she exercised reasonable diligence to find other employment in order to recover back pay.

It is understood and agreed between the parties that the arbitrator shall have no power to add to, subtract from, or modify any of the terms of this Agreement. The arbitrator shall not have the power to order any remedial relief not contained in the agreement, including but not limited to “front” pay and reinstatement where the employee has been removed by the government or is no longer qualified. The arbitrator may not alter or change wage rates or benefits. The arbitrator’s decision must include findings of fact and the legal basis for the decision.

SECTION 10.4 Arbitration Expense

The arbitrator’s fees and expenses, including any travel expenses and the cost of any hearing room, shall be borne by the losing party. In the event that the arbitrator rules partially in favor of the Union and partially in favor of the Company, these costs will be shared equally between the Company and the Union.

SECTION 10.5 Parties’ Expenses

Regardless of the arbitrator’s decision, each party will bear its own legal fees and costs.

Each party is responsible for all other expenses it incurs, including the compensation costs and travel expenses of any witnesses whose attendance said party requires at arbitration. Any payment to witnesses for work time missed to testify is to be paid by the party calling such witness. Any other expenses, including transcript costs, shall be borne by the party incurring such expenses. If both parties desire a transcript, the cost shall be split.

SECTION 10.6 Resolution of Grievances

At any stage, the Company may settle any grievance by providing the relief requested in the grievance or the amount of relief available under the Agreement, whichever is less.

Unless agreed by the parties, any settlement is on a non-admission, non-precedent setting basis.

ARTICLE 11 COMPENSATION AND FRINGE BENEFITS

Agreed compensation rates, fringe benefit entitlements and options, and associated policies and procedures are described in the attached Compensation and Fringe Benefit Addendum.

ARTICLE 12 HOURS OF WORK AND OVERTIME

SECTION 12.1 Workday and Workweek

For the purposes of this Article, a regular workweek of forty (40) hours of work, excluding lunch periods, shall constitute a normal full-time workweek for full-time employees.

Shifts shall be designated at the discretion of the Employer to fulfill the needs of the U.S.

Government. Nothing contained herein shall guarantee to any employee any number of hours of work per day or week.

SECTION 12.2 Overtime

An overtime rate of time and one-half (1 ½) of an employee’s base rate of pay (exclusive of health and welfare and other fringe additions to pay) shall be paid for all hours actually worked in excess of forty (40) hours in a work week.

SECTION 12.3 Overtime Requirement

If directed to work overtime or extra hours, the employee shall be required to do the work, unless the employee is excused by the Company for good cause.

SECTION 12.4 Overtime Distribution

Overtime will be distributed on a voluntary basis with the most senior employee being offered first on a rotating schedule among employees. The parties recognize that lack of notice or needs of the business may in certain cases, preclude, as a practical matter, the even distribution of all overtime assignments. The Company will not have liability for failing to do so as long it makes a reasonable effort to distribute overtime evenly among employees. Any employee, who believes he/she has been deprived of equitable distribution of overtime in violation of this section, must first bring it to the attention of Company management and afford the Company the opportunity to give an overtime assignment, in which case, there is no violation of this section.

Extra work is defined as work paid for by an agency or entity other than the U.S.

Marshals Service. Generally, extra work will not create Overtime.

SECTION 12.5 Rest Periods and Meal Periods

There shall be two (2) fifteen (15) minute paid rest periods and one (1) thirty (30) minute unpaid lunch period for each shift. These rest periods require that the employee be properly relieved before leaving their post. One rest period shall be in the first half of the shift and the second rest period shall be in the last half of the shift. On occasion, due to exceptional work requirements, employees may have to work through their unpaid lunch breaks and/or paid rest periods, and, if so, they will be compensated at the appropriate rate of pay or dismissed earlier, at the Company’s option. Any CSO failing to report a missed lunch period or break period within 48 hours will not be paid for that time unless the missed break/meal period can be verified by the Company.

SECTION 12.6 Call in Pay

Any employee not already scheduled to work who is called into work will receive a minimum of four (4) hours of work or pay.

ARTICLE 13 WORK SHIFTS AND PAYMENT POLICIES

SECTION 13.1 Payday

Payday for all hourly employees will be after 11 a.m. on Friday following the two (2) week pay period ending on Saturday, subject to change by mutual agreement.

Employees will paid by direct deposit, except where precluded by applicable law.

SECTION 13.2 Undisputed Error

Neither the Company nor the employee will be allowed to go back more 3 years to audit, adjust, or correct undisputed errors involving vacation pay, sick / PTO leave pay, or compensation.

In case of an undisputed error on the part of the company as to an employee’s pay, proper adjustment will be made in the next paycheck after the error has been brought in written form to the Company’s attention, and verified and confirmed by the Company.

SECTION 13.3 Lead CSO Rates

If additional Lead CSOs are added to the contract any time after this Agreement goes into effect, they will be paid the LCSO wage. In the case where there are multiple LCSO wages, the additional LCSO will be paid at the lowest LCSO wage for the site or location where they are assigned.

SECTION 13.4 Courthouse Closure

The Employer recognizes the fact that there are times when inclement weather, a natural disaster, or any other planned or unplanned event may close a Courthouse or

Government Building where its employees are assigned. In the event that a closing occurs, employees will be excused and may use PTO leave, vacation leave or leave-without-pay.

SECTION 13.5 Shift Bidding

Upon written request by the Union, full-time employees and shared position employees at each site may bid their shift schedules among designated full-time assignments or shared assignments in the order of seniority. The parties agree that this procedure will occur no more than once per calendar year. Shift bidding may not lead to any change in status from full-time to share- time position or vice-versa.

Additional shift bids may occur upon mutual consent of both parties.

ARTICLE 14 VACATIONS

SECTION 14.1 Eligible Full-Time Employees

Full- time employees will be entitled to annual vacation based on their continuous years of service with the Employer, past or present and/or any predecessor Employer (based on the employee’s anniversary date of employment) at their individual hourly rate of pay at the time payment is made in accordance with the following schedule:

See Addendum – to be negotiated

SECTION 14.2 Eligible Shared Position Employees

A. Eligible shared position employees, shall be entitled to pro-rated vacation per the schedule contained in the Addendum, based on their individual hourly rate, the number of hours paid in the previous year, and the employee’s anniversary date.

Any employee who works a full anniversary year, in part as a full-time position employee and in part as a shared position employee, shall receive prorated vacation benefits for that year as calculated in the Addendum (per the Service Contract Act).

SECTION 14.3 Scheduling Vacations

Vacations, insofar as reasonably possible, shall be granted at the times most desired by the employee, after the employee’s anniversary date.

If a CSO has received written permission for a specific vacation slot, that slot may not thereafter be taken by another CSO, regardless of seniority.

All vacation approvals will be contingent upon the operational needs of the site.

SECTION 14.4 Unused Vacation

Vacations shall not be cumulative from one year to the next. Any earned but unused vacation time remaining at the end of a year of service (based on the employee’s anniversary date of employment) shall be paid to the employee. Health and Welfare and other hourly benefits will not be paid on these vacation cash outs.

SECTION 14.5 Pay in Lieu of Vacation Leave

At any time during the year, employees may request in writing to be paid for earned vacation pay in lieu of taking actual vacation leave. Health and Welfare and other hourly benefits will not be paid on these vacation cash outs.

SECTION 14.6 Terminating Employees

Upon termination of employment, employees will be paid at their hourly rate vacation time earned as of their last anniversary date, but not used, as entitled under the Service Contract Act. (Example: An employee who terminates one month into the next Anniversary year is entitled to any of the previous year’s earned accrued vacation not already used, but not entitled to the additional month of vacation accrued in the new anniversary period). Health and Welfare and other hourly benefits shall not be paid on these vacation cashouts.

SECTION 14.7 Laid off Employees

Length of service with the Employer shall accrue for the purposes of vacation benefits while an employee is on laid-off status for up to one (1) year. Employees shall only accrue vacation benefits when they are working.

SECTION 14.8 Vacation Increments

Consistent with Employer approval, efficiency, and economy of operations, employees may utilize vacation benefits in segments of less than one (1) week each, but not less than eight (8) hour increment. Up to 16 hours of Vacation benefits may be used in 2 hour increments.

ARTICLE 15 UNPAID LEAVES OF ABSENCE

SECTION 15.1 Limitations

Unpaid leaves of absence may be granted at the sole discretion of the Employer without loss of seniority to the employee. Such leaves, if granted, are not to exceed 30 days, unless a special extension is approved by the Employer. Length of service with the Employer shall not accrue for purposes of vacation, holiday, or other accrued benefits for any unpaid leave of absence over 30 days. The Employer will make every reasonable effort to maintain an employee’s position while on a non-statutory unpaid leave of absence which does not exceed 30 days. Unpaid leaves of absence may be taken only with written approval of the Employer, and will not exceed 30 days unless required by law or granted by the Company.

SECTION 15.2 Medical Leave

The Family and Medical Leave Act of 1993 (FMLA) is incorporated herein. (Note that the Company will also incorporate the California Family Rights Act (CFRA) and the California Pregnancy Disability Act (PDL).The Company agrees to make a reasonable effort to accommodate an employee’s need for extended medical leave, even if the site does not qualify for FMLA under the provisions of the law. Such leaves will not exceed 30 days, unless required by law or granted by the company. CFRA leave will cover brothers and sisters

During medical leave, the employee shall be required to furnish a report from the doctor when requested periodically by the Employer. Upon the expiration of said leave, the employee shall furnish the Employer with a statement, signed by the doctor, which establishes the fitness of the employee to return to the employee’s previously held work.

Any employee who is not able to return to work with a medical clearance from a licensed physician at the end of a maximum medical leave shall be terminated from Employment.

If the employee files for medical leave on false pretext or works for another employer without pre-authorization from the company, the employee will be removed from the CSO program and from employment with the Employer.

The Company will cash out all Employees’ available accrued PTO (not vacation) upon approval of any FMLA leave.

SECTION 15.3 Military Leave

An employee of the Company who is activated, drafted, or voluntarily enters service into any branch of the armed forces of the United States under the provisions of the Selective Service Act or the Reserve Forces Act shall be granted an unpaid military leave of absence, as required under the federal law, for the time spent in full-time active duty. The period of such leave shall be determined in accordance with applicable federal laws in effect at the time of such leave.

SECTION 15.4 Union Leave

The Union Delegates (up to a maximum of 3) will be granted an unpaid leave of absence for up to a maximum of seven (7) calendar days per contract year upon written request for the purpose of attending Union conventions or other meetings of vital interest to the Union as long as staffing requirements permit. The Union delegate(s) shall submit his/her request in writing to the Supervisor (not in the bargaining unit) as soon as practicable. The Company shall respond, in writing, within five (5) days to the employee’s written request.

SECTION 15.5 Processing Unpaid Leaves of Absence

The Employer will consider requests for unpaid leaves of absence and may grant them at its sole discretion. An unpaid leave of absence must be processed in the following manner:

All requests for unpaid leaves of absence shall be submitted in writing to the Contract Manager or designee at least ten (10) days prior to the date the leave will take effect, except in cases of verified personal emergencies, and include:

1. The reasons for such leave;

2. The effective dates of such leave;

3. The estimated date of return to work.

The Company will respond to the request, in writing, within five (5) working days.

4. The written request for leave of absence shall be submitted to the Contract Manager by the Site Supervisor for final approval. If the request for the leave of absence is approved by the Contract Manager, a copy of the approved leave of absence will be given to the employee involved.

5. Extensions of the leave of absence may be granted at the sole discretion of the Employer, upon written request by the employee within ten (10) calendar days prior to the expiration of the leave of absence. Extensions, when granted, shall not total more than thirty (30) days.

SECTION 15.6 General Provisions

Seniority shall accumulate during the period of any approved leave of absence subject to the provisions of this agreement.

ARTICLE 16 MISCELLANEOUS PROVISIONS

SECTION 16.1 Bulletin Boards

The Employer will make a reasonable effort to obtain a space from the U.S. Government for Union to locate a Union-provided bulletin board that will be used by the Union for posting notices of meetings, elections, appointments, recreational and social affairs, and other Union notices. The provision of these facilities is the prerogative of the U.S.

Government, who owns and controls all worksite facilities. Notices or other postings may not disparage the client, or the Company and its management, nor contain obscene or inappropriate language.

SECTION 16.2 Physical Examinations

The Employer shall pay for one (1) physical/medical examination that is required by the Employer and/or the U.S. Government. All follow-up testing and exams required by the USMS will be paid for by the employer. The Employer has the right to choose the physician who will perform the physical/medical exam and pre-approve any expenses.

Employees must pass the physical exam prescribed by the Employer’s contract with the U.S. Government in order to be employed and to maintain employment.

The Employer will pay for the time required for the employee to take required physical exams. Time for any exams requiring more than two (2) hours must be pre-approved by the Site Supervisor. If, when the appointment is going to exceed two (2) hours, and could not have been reasonably anticipated, the employee will call into the Site Supervisor or designee to inform them of the delay and to request approval for additional time.

SECTION 16.3 Travel Expenses

Travel expenses will be paid in accordance with applicable Federal Travel Regulations.

Any workday that includes travel and totals over twelve (12) hours may require the employee to stay overnight, and the appropriate per diem will be paid. All hours in travel up to a maximum of eight (8) per day will be counted as work hours. Employees will be reimbursed for all authorized expenditures of any authorized travel within twenty (20) days from the day the Employer receives the properly completed travel voucher and all required receipts.

SECTION 16.4 Break Rooms

The Employer will make a reasonable effort to obtain from the U.S. Government break rooms for CSOs for breaks and lunch, without management using the room as an office.

The providing of these facilities is the prerogative of the U.S. Government.

SECTION 16.5 Lockers

The providing of these facilities is the prerogative of the U.S. Government.

SECTION 16.6 Union Business Prohibited On Duty

Neither Union officials nor Union members shall, during working time (excluding break and lunch periods), solicit membership, receive applications, hold meetings of any kind for the transaction of Union business, or conduct any Union activity or business other than the handling of grievances as described in this Agreement.

SECTION 16.7 Safety Policy

It is the policy of the Company to make all reasonable efforts to provide employees with places and conditions of employment that are free from or protected against occupational safety and health hazards. Under this Agreement, all worksites and facilities are the property of the U.S. Government, who is responsible for the condition and safety of the worksite.

SECTION 16.8 OSHA Standards

The Company will report to the client any safety issues observed or reported to the Company in any U.S. Government-provided CSO workstations and break rooms which pose a threat to the safety and health of employees and involves a condition under the control of the client.

ARTICLE 17 CONTINUITY OF OPERATIONS

SECTION 17.1 No Strikes

Both the Company and the Union agree that continuity of operations is of utmost importance to the Company’s security operations. Therefore, so long as this Agreement is in effect, the Union and the Company agree that there will be no strikes, lockouts, work stoppages, picket lines, hand-billing related to any employment dispute or directed at the client, slowdowns, or secondary boycotts during the term of this Agreement.

Upon notice of an unauthorized strike, slowdown, stoppage of work, planned inefficiency, or any curtailment of work or restriction or interference with the operation of the Employer, the Union shall take affirmative action and use all reasonable efforts to avert or bring such activity to prompt termination, including but not limited to directing the employee(s) involved to cease such activities.

Conduct in violation of this article is prohibited and is cause for immediate discharge.

SECTION 17.2 No Lockouts

During the life of this Agreement, the Employer shall not lockout any employees covered in this Agreement.

ARTICLE 18 SEPARABILITY OF CONTRACT

In the event that any provision of this Agreement shall at any time be declared invalid by any court of competent jurisdiction or through Government regulations or decree, the parties hereto agree to renegotiate such provision or provisions of this Agreement for the purpose of making them conform to the Government decree or statutes, so long as they shall remain legally effective. It is the express intention of the parties hereto that all other provisions not declared invalid shall remain in full force and effect.

ARTICLE 19 ENTIRE AGREEMENT

The parties acknowledge that during the negotiation which resulted in the Agreement, each was afforded the unlimited right and opportunity to make demands and proposals with respect to any matter not removed by law from the area of collective bargaining, and all agreements reached by the parties are set forth in this Agreement. Therefore, the Company and the Union shall not be obligated to bargain collectively over any matter pertaining to conditions of employment, including, but not limited to, rates of pay, wages, hours of work, disciplinary actions, training requirements, etc., including matters which were raised during negotiations but not included in this Agreement, during the term of this Agreement, except as specifically provided for in this Agreement.

ARTICLE 20 TERMINATION OF AGREEMENT

Should either party desire to terminate this Agreement or any provision thereof, it shall give written notice to the other party not less than sixty (60) days and not more than one hundred and eighty (180) days prior to the expiration. In the event such notice is given, the existing Agreement may be continued by mutual consent of both parties until a new Agreement is reached. This Agreement may also be changed or amended by agreement of both parties.

If either party fails to give notice to the other party to open the agreement, the agreement shall continue in full force and effect from year to year until such…