11E_Belle Fourche CBA.pdf

AGREEMENT

BETWEEN

AHNTECH INC

(BELLE FOURCHE ESS)

IN COLONY WYOMING

AND

INTERNATIONAL ASSOCIATION OF MACHINISTS

AND AEROSPACE WORKERS

DISTRICT LODGE 5

LOCAL LODGE 2525

February 24, 2011 TO June 21, 2013

PREAMBLE

The Parties have entered into this Agreement for the purpose of setting forth in writing the understandings they have reached with respect to wages, benefits and working conditions of the employees covered hereby, as well as to the rights of the Company and the Union, and to provide a peaceful means for the settlement of any disputes which may arise with respect to the interpretation or application of their understandings and agreements as set forth herein.

Neither party shall be required to reopen this Agreement during its term, except as specified in Article 31. This agreement can be changed or modified only by a document in writing signed on behalf of both parties hereto by their duly authorized representatives; provided, however, that written agreements regarding particular matters or understandings may be made between the Company and the Union and shall be binding upon the employee or employees concerned, the Company and the Union.

AGREEMENT

This Agreement is made and entered into this 24th day of February, 2011 by and between AHNTECH Inc. (hereinafter referred to as the Company or Employer) and the International Association of Machinists and Aerospace Workers District Lodge 5, AFL-CIO, (hereinafter referred to as "the Union").

This agreement shall remain in effect until midnight on June 21, 2013, without reopening rights for any purpose by either party except by mutual consent, except as provided for in Article 31.

This agreement shall automatically renew itself from year to year thereafter unless written notice of desire to terminate the Agreement is given by either party at least sixty (60) calendar days prior to any annual expiration date thereafter. If such written notice of desire to terminate is given, the parties may nevertheless mutually agree in writing to extend this Agreement for a specified length of time beyond the expiration. All economic improvements will be implemented effective October 1, 2011 and respectfully there after.

ARTICLE 1

RECOGNITION

Section 1. The Employer recognizes the International Association of Machinists and Aerospace Workers, AFL-CIO, as the exclusive bargaining agent with respect to rates of pay, wages, hours of work, and all other conditions of employment for all employees covered by this agreement in NLRB Case Number 27-RC-8329. The bargaining unit consists of all full-time and regular part-time electronic technicians, quality control, general maintenance and supply technicians excluding office clerical, professional, managerial, guards and supervisors as defined in the National Labor Relations Act, as amended.

Section 2. Should any part of this agreement or any provision herein contained be rendered or declared illegal by reason of any existing or subsequently enacted legislation or a decree of a court of competent jurisdiction, such invalidation of any such part or portion of this agreement shall not invalidate the remaining portions herein and those remaining portions shall remain in full force and effect.

Section 3. The Company and the Union, within thirty (30) days of knowledge of such an occurrence shall discuss the impact of such actions. If either party desires to negotiate a new provision regarding the affected portion, then that party may serve notice upon the other, in writing, of its desire to negotiate the provision of the Agreement affected by such legislation or court decree. The parties shall meet within thirty (30) days of the presentation of the written notice to negotiate changes to the Agreement. Any mutually agreed upon modifications or changes to this Agreement brought about by the above negotiations shall be in writing and signed by the parties.

ARTICLE 2

NON DISCRIMINATION

The Company and the Union separately and jointly recognize their obligation to abide by those state and federal laws relating to Equal Employment Opportunity, OSHA, nondiscrimination on account of veteran, disability status, Union activity, or other labor laws that may apply to this location. It is understood that wherever in this Agreement employees or jobs are referred to in the male or female gender; it shall be recognized as referring to both male and female employees. The provisions of this agreement and conditions of employment shall be applied among all employees in a fair and equitable manner.

ARTICLE 3

MANAGEMENT RIGHTS

Section 1. Except as specifically limited by this Agreement, the management of the Company and the direction of the work force, including but not limited to the service performed, the location of the work force, the schedules and fair standards of employee performance, the schedules and hours of shifts, the methods, processes, and means of providing services, materials to be purchased, determination of staffing levels, the right to hire, promote, demote, transfer, assign and reclassify employees, the establishment of reasonable rules of conduct, the discharge or discipline of employees for just cause, and the management of efficiency of employees, are the sole and exclusive rights and responsibilities of the Company.

Section 2. The Company agrees to meet and confer with the Union prior to the implementation of new policies or changes in the existing policies that directly affect the Bargaining Unit.

Section 3. The Company shall post a copy of all policies in the work area and provide the Union with a copy of its policies within 30 days of the date of this agreement.

ARTICLE 4

UNION ACCESS TO OPERATIONS

Section 1. The Company agrees that the Grand Lodge Representative and or Business Representative shall be allowed to visit employees while they are on the job in the Company's operations for the sole purpose of investigating grievances or complaints related to the provisions of this Agreement or insuring the terms and conditions of the Agreement are being complied with. Prior approval will be obtained from the Site Manager or his designee and such visits shall not interfere with production of work being performed.

Such approval shall not be unreasonably withheld. The Representative shall notify the Site Manager or his designee when they are arriving and leaving the Company's operations.

Section 2. The Company, if it desires, may have a Company Representative accompany the Union Representative while they are visiting its operations recognizing that the Union Representative is entitled to private conferences with any represented employee.

ARTICLE 5

UNION SECURITY

Section 1. Agency Shop. As a condition of employment, all present bargaining unit employees shall become members of the Union or pay an agency fee to the Union equal to the amount of monthly dues (but not both) within thirty (30) days of execution of this Agreement and all new employees shall become and remain members of the Union or pay an agency fee not later than ninety (90) calendar days of their date of hire or transfer.

Section 2. Check-off. Upon receipt of a signed authorization of the employee involved, the Company shall deduct from the employee's pay, the initiation fee, if any, and dues payable by him to the Union during the period provided for in said authorization.

Deductions shall be made on account of dues and/or initiation fees, if appropriate, from each paycheck in each month of the employee after receipt of the authorization. Employees working less than 15 days per month may pay dues directly to the Union.

The parties agree that check-off authorizations shall be on a form as approved by the Union.

Section 3. The sums deducted as stated above shall be forwarded to the designated financial officer of the Union no later than the fifteenth (15th) day of the month following the month in which deductions are made.

Section 4. The Union will indemnify and hold the Company harmless from and against any and all claims, demands, charges, complaints or suits instituted against the Company which are based on or arise out of any action taken by the Company in accordance with or arising out of the foregoing provisions of this Article, or in reliance on any list, notice or assessment furnished under any of such provisions.

ARTICLE 6

ASSIGNMENT OF SHOP STEWARDS

Section 1. It is hereby understood and agreed that the Union may assign two (2) Shop Stewards and two (2) Alternate Shop Stewards to represent the bargaining unit employees. The Alternate Shop Steward shall only act in the absence of the Shop Steward. The Union shall notify the Company in writing on of the individuals so selected in this capacity.

Section 2. It is agreed that Stewards have full-time job duties to perform as employees and that they shall keep time spent in handling grievances to a minimum. A steward shall notify and obtain permission from their supervisor before leaving their work assignment. If a steward is not released, they shall be notified as to the nature of the delay and the expected time in which they may leave. Time limits as specified in the grievance procedure elsewhere in this agreement shall be extended in relation to any delay. Grievances relative to disciplinary suspensions or terminations allow Stewards immediate time to perform their representation duties prior to the disciplined/terminated employee leaving the premises.

ARTICLE 7

SUBSTANCE ABUSE POLICY

Section 1. The Company and the Union are committed to providing employees with a drug-free and alcohol-free workplace. It is our goal to protect the health and safety of employees and to promote a productive workplace, and protect the reputation of the Company, Union and employees.

Section 2. The unauthorized use, sale, transfer or possession of alcohol, drugs, controlled substances and/or “mood altering” substances, (except the possession or use of prescribed medication, verifiable by a current, properly issued prescription) during work hours (including meal and rest periods), on Company premises, in Company vehicles, or in personal vehicles while conducting Company business is prohibited. Violation of this section of the agreement is just and sufficient cause for immediate termination.

Section 3. Employees may be scheduled for random alcohol and drug testing as directed or required. Employees will also be tested for alcohol and drug use upon reasonable probable cause, and work related accidents or injuries.

Section 4. The Company considers any violation of drug use, possession, distribution, or sale of drugs, drug paraphernalia a serious matter that will result in immediate termination of the employee regardless if it is identified on Company premises, through random sampling on or off work. The Company also considers any violation of alcohol on Company premises a serious issue that will warrant immediate termination of the employee.

Section 5. Pre-employment drug testing is a condition of employment.

ARTICLE 8

NO STRIKE/NO LOCKOUT

Section 1. It is expressly understood and agreed that the business of the Company is directly related to the important and vital work of the United States Government and the various missions of the Belle Fourche ESS, and that uninterrupted services must be furnished to those agencies who have need of and make use of the capabilities of the site. Therefore, the parties agree that during the term of this Agreement:

Section 2. The procedure provided for herein for the settlement of grievances shall serve as a means for peaceful settlement of all disputes that may arise between the Parties.

Section 3. Neither the Union, its officers or agents, shall authorize, encourage, or sanction any unauthorized strike, sit down, work stoppage, stay in, slow down, refusal to work, refusal to work overtime, picketing, or any other action (including sympathy strike or related activities) which would interrupt or interfere with any of the operations of the Company.

Section 4. Any employee or employees, individually or collectively, who shall engage in the conduct prohibited in this Article, or who shall cause or take part in any violation of this Article may be disciplined or discharged by the Company.

Section 5. In the event of a violation of this Article, the Union, its officers or agents agree that it will use its best effort to end such prohibited conduct, utilizing every possible means to include:

a. Requesting through personal contact or meeting with employees that they comply with the Agreement and not take part in any prohibited conduct.

b. Notification to all employees that such prohibited conduct is unauthorized and in violation of the Agreement.

c. Requesting those violating this Agreement to return to work and/or otherwise fully comply with the terms of this Agreement.

Section 6. The Company agrees it will not engage in any lockout of its employees.

ARTICLE 9

SECURITY

Section 1. The Union recognizes that the Company may now have, or may incur in the future, obligations with respect to the security of information and materials under contract with the Government.

Section 2. The Union agrees that nothing contained in this Agreement shall place the Company in violation of security agreements with the Government.

Section 3. It is understood by and between the parties hereto that, as a necessary condition of continued employment, employees shall be subject to investigation for security clearance or national agency check and/or unescorted entry authorization under regulations prescribed by the Department of Defense, or other agencies of the United States Government on governmental work, and that denial or withdrawal of such clearance and/or unescorted entry authorization by such governmental agency shall be cause for release from the Company due to inability to meet job requirements. All security clearance and background checks will be at the expense of the company.

Section 4. In the event an employee’s security clearance is found by appeal to have been incorrectly revoked, the Company shall reinstate the seniority of the employee and reinstate them to their previously held occupational title.

ARTICLE 10

NEW JOBS

Section 1. When new jobs are required that cannot be properly encompassed within an existing job classification, the Company shall notify the Union in writing of the requirements.

The Union shall have thirty (30) days from the date of receipt of notice in which to request collective bargaining regarding the rate of pay and benefits. If necessary, this matter is subject to the grievance procedure up to and including arbitration.

ARTICLE 11

FILLING OF VACANCIES

Section 1. If the Company determines to fill a new or existing vacancy or job within the bargaining unit, the Company will post a notice of vacancy or job opening for a period of not less than five (5) working days prior to filling the vacancy or job opening. Subject to the provisions of Section 3, any employee may submit a bid for the job to the Company’s Site Manager, in writing, during the posting period. The notice posted declaring that such vacancy or job opening is to be filled shall contain at least the following information:

a) The date the notice is posted and the date and time the notice will be removed;

b) The job to be filled and the classification;

c) Job Specifications;

d) Effective date the job is to be filled.

The Union’s Steward will be furnished a copy of any bid upon request, as long as the individual submitting the bid agrees to provide personal information to the union.

Section 2. The Company will award the job to the most senior qualified employee. Qualified as it is used in this article shall mean the employee meets the minimum qualifications of the job specifications and has the physical ability to perform the work. Qualifications shall not be applied in an arbitrary or capricious manner, but shall be based upon reasonable expectations for the work performed.

Section 3. Restrictions on Bidding. An employee who is awarded a job for which he/she bid must accept it providing the award is made within seven (7) work days of the effective date that the job is scheduled to be filled as provided in Section 1 d) of this Article, otherwise the employee shall have the option of withdrawing his/her bid.

Section 4. Disqualification of Bidder. An employee who is unable to perform the job to which he/she bid to the satisfaction of the Company within thirty (30) calendar days after being awarded the job shall be returned to the job classification and labor grade he/she held at the time of submitting the bid. The employee will be told the reasons for such disqualification in writing along with an explanation of what will be required to acquire that position.

ARTICLE 12

SENIORITY

Section 1. Probationary Period. New employees shall be on probation for ninety (90) calendar days from the initial hire date during which time they may be discharged at the sole discretion of the Company. If retained after the probationary period, their names shall be placed on the Seniority List as of their date of hire.

Section 2. Definitions. Seniority is defined as including the whole span of service with the present contractor, or successor, and with predecessor contractors, in the performance of the same work at the same federal facility (BELLE FOURCHE ESS). An employee who is transferred into the BELLE FOURCHE ESS bargaining unit from another Company site shall establish a new seniority date which is the date the transfer is effective. Employees transferring in from another Company site shall retain their original benefit date.

Seniority will not be broken for:

1) periods of approved absence with leave

2) periods of layoff due to lack of work

3) periods of absence due to workers comp injury or illness for the duration of the injury or illness.

When two or more employees are hired on the same day, the last four digits of their Social Security number shall then be used for purposes of lay off, recall and promotion, i.e., if two employees have the same seniority date, the employee that has the lowest number shall be considered to be the most senior of the employees hired on the same day.

Section 3. Seniority List. A seniority list will be maintained by the Company and will be made available to the Union upon request. The Company shall also furnish a list to the Union reflecting new hires or rehires, their classification, their date of hire, and termination or layoff dates. Employees transferring from other sites within the company retain their original seniority date for benefit and vacation purposes only. The current applicable seniority list is as attached to this Agreement.

Section 4. Employee Transfers. An employee who has established seniority rights within the bargaining unit and who is transferred to a position not covered by this Agreement shall retain seniority rights for a period of ninety (90) days. After which time their seniority shall be frozen and if returned to the unit they shall have their previous seniority reinstated.

Section 5. Steward Seniority. A Steward shall be the last employee laid off within their labor classification.

ARTICLE 13

LAYOFFS AND RECALL

Section 1. Layoff Notice. When it becomes necessary to reduce the number of employees at the work site, employees shall be laid off in accordance with their seniority (last in – first out).

Employees shall be entitled to bump and retreat rights. The company shall notify the Union and affected employees as soon as the facts are known to the Company of any potential layoffs.

Employees shall have a minimum of four weeks notice of layoff if notification is provided by the government. In lieu of being laid off employees would be asked to take a position at another location if a vacancy exists and the individual being laid off possess the minimum requirements to fill that position.

Section 2. Recall. Employees laid off will be recalled as follows:

In accordance with their seniority, the Company shall recall employees who have been laid off.

If attempts to contact the employee via telephone, in the presence of a Union official, are unsuccessful the company shall send recall notices by certified mail to the employee's last known official address. The notice will instruct laid off employees when to report to work. If the employee does not report to work within ten (10) working days after receipt of the notice, the employee will be deemed to have abandoned their job and will be removed from the Seniority List. The Company agrees that an employee may request a later return to work date for extenuating circumstances.

Section 3. Severance.

In the event that a successor contractor assumes the contract between themselves and the Customer , the Company shall provide the affected employees not receiving employment with either the Company at another of its locations or the successor contractor at the location of the Agreement a severance package as specified below;

Years of Company Seniority Severance Pay From 91 Days to the completion of Year One 80 hours Over One year through the completion of Year Five 120 hours Over Five years through the completion of year ten 160 hours Over 10 years 180 hours

Severance pay shall accrue the day following layoff and be paid by-weekly in conjunction with the normal pay cycle. Severance paychecks will be mailed to the employee’s last address on record.

Employees who are discharged from the company for reasons other than disciplinary action will be paid severance pay.

ARTICLE 14

DISCIPLINE

Section 1. Disciplinary action shall only be initiated by the Company for just and sufficient cause, and any penalty imposed will be consistent with proven offenses, and the principles of progressive discipline shall be adhered to, as set forth below.

Section 2. With the exception of suspensions, there shall be a nine (9) month reckoning period for any disciplinary action taken, after which all reference to the matter shall be removed from the employee's record, provided the employee has not committed any infraction of the same rule for which they were disciplined during the reckoning period. Suspensions will remain in the employee’s record for twelve (12) months at which time removal will be made under the same conditions as stated for other disciplinary actions.

Section 3.

a) For infractions of Company rules, such as, but not limited to, absenteeism, tardiness, and poor work performance, a four (4) step procedure will be followed of oral reprimand, written reprimand, suspension and finally discharge. However, at the final step of the procedure the Company may elect to enforce another suspension rather than a discharge without prejudice to any other incident.

b) In cases involving serious misconduct, such as but not limited to major violation of law, aggravated violence, theft, or drug/ alcohol abuse etc. the supervisor may suspend the employee immediately and if appropriate, recommend termination of the employee. An investigation of the incidents leading up to the suspension will be conducted to determine what further action, if any, should be taken. Employees whose suspension from work is upheld will not receive or accrue any employee benefits during the suspension.

Section 4. Employee(s) shall have the right to Union representation during any interview that may be disciplinary in nature or lead to any discipline. Employee(s) shall be notified of these rights prior to any such interview taking place. The Steward shall be notified and be given the opportunity to attend such interviews.

Section 5. Upon ratification of the agreement employees records shall be expunged of any existing disciplinary reference.

ARTICLE 15

GRIEVANCE PROCEDURE

Section 1 Grievances or complaints arising between the Company and its employees subject to this Agreement, or the Company and the Union, with respect to the interpretation or application of any of the terms of this Agreement, shall be settled according to the following procedure

Section 2 Employee Grievance: All grievances beyond Step 1 below, involving employee claims shall be in writing on grievance forms provided by the Union and shall be signed by all employees claiming rights there under. In an effort to adjust employee grievances by mutual agreement, they shall be presented in the following order and within the following time limits;

Step 1: The employee(s), with or without their Steward, shall promptly bring a grievance to their supervisor within five (5) working days following the event or discovery of the event-giving rise to the grievance. In the event an employee is unavoidably absent due to illness or injury, or unavailable due to vacation or other approved reasons, the employee's shop steward may bring the grievance to the supervisor. If a satisfactory decision is not reached within five (5) working days then:

Step 2: Within ten (10) working days following the Step 1 decision, a written grievance containing the article or section which is claimed to be violated and the remedy requested, must be signed by the employee and submitted by the Steward and taken up with the Site Manager or designee. A grievance meeting will be scheduled within five

(5) working days. Within five (5) working days following the grievance meeting, the Site Manager will reply in writing. If the written reply is not satisfactory then:

Step 3: Within ten (10) working days of the Step 2 reply, the grievance may be moved to Step 3 by written appeal to the PTR Program Manager or designee. The PTR Program Manager or designee, and the Business Representative or designee of the Union, shall meet within ten (10) working days after receipt of the grievance into a third step. A written reply from the Labor Relations Representative will be given to the Union within ten (10) working days after the meeting. If no agreement has been reached after the Step Three meeting the parties shall jointly request mediation through the FMCS. Should the parties fail to reach resolution through FMCS, the union or the company may submit the grievance or dispute to arbitration as covered in the “Arbitration Procedure”.

Section 3 Union grievance. Processing of grievances, which the Union may have against the Company, shall begin at Step 3 Section 2 of this article and shall be limited to matters dealing with the interpretation or application of terms of this Agreement. Such grievance shall be submitted in writing to the designated representative of the Company.

The grievance shall be in writing and signed by the designated representative of the Union and submitted within fifteen (15) working days from the date of the event or discovery of event giving rise to such grievance. The Labor Relations Representative or designee, and the Business Representative or designee of the Union, shall meet within ten (10) working days after receipt of the grievance into a third step. A written reply from the Company Labor Relations Representative will be given to the Union within ten (10) working days after the meeting. If no agreement has been reached the Union may submit the grievance or dispute to arbitration as covered in the "Arbitration Procedure" Article 16.

Section 4. A settlement made with respect to any grievance in the first or second step shall apply to that grievance only and shall not become a binding precedent in the case of other grievances nor a precedent, which shall bind the parties as an interpretation of the Agreement.

All settlements must be consistent with the terms and conditions of the Agreement.

Section 5. Any aggrieved employee and Union representative shall have the right to be present at any stage of the grievance procedure in which the grievance is being considered.

Section 6. The Union or its authorized representative shall have the right to examine time sheets and other records pertaining to the computation of compensation of any individual or individuals whose pay is in dispute or other records pertaining to a specific grievance. No loss of pay will occur for reasonable time spent discussing or investigating grievances during normal work schedules.

Section 7. It is understood that the time limits specified herein may be extended by mutual agreement of the parties hereto.

Section 8. Nothing in this article precludes the union from filing, a general grievance on behalf of an employee(s) in the event of unusual or unforeseen circumstances.

ARTICLE 16

ARBITRATION PROCEDURE

Section 1. The Union shall give written notice to the Company setting forth the matter to be arbitrated. If said notice is not served within a thirty (30) calendar day period following the Step 3 decision of the Grievance Procedure, it shall be deemed that the grievance has been satisfactorily adjusted and the right to arbitrate waived.

Section 2. In the event the Union submits a grievance to arbitration and the parties cannot mutually agree to the selection of an arbitrator, a panel of seven (7) arbitrators will be requested from the Federal Mediation and Conciliation Service. The parties will meet within fifteen (15) days from receipt of such list in order to strike for an arbitrator. Lot will determine the right to first strike a name; the other party shall then strike a name. This procedure shall continue alternately until one (1) name remains.

Section 3. The decision of the arbitrator shall be final and binding on all parties. However, the arbitrator shall not have jurisdiction or authority to add to, subtract from, modify or in any way change the provisions of this agreement. The expense and fees of the arbitration will be borne equally by both parties.

ARTICLE 17

HOURS OF WORK

Section 1. The normal workweek shall consist of forty (40) hours, five (5) consecutive eight

(8) hour days (Monday – Friday) or four (4) consecutive ten (10) hour days (Monday – Thursday), with an unpaid thirty (30) minute meal period except as designated below.

a) A daily work schedule may begin on one calendar day and end on another.

b) Determination of starting time and hours of work shall be made by the Company based on business requirements. For scheduled shift rotation, a one-week notice will be provided.

c) The Company agrees to have two fifteen (15) minute paid rest break.

d) In cases where employees are away from the main site and do not have access to the site break room for a meal period, the thirty (30) minute period shall be a paid period.

e) Schedules shall not be altered in order to evade the payment of overtime during a normal workweek.

Section 2. The Union agrees that from time to time the work schedules may need to be modified for a temporary basis in order to accommodate the Customers requirements. The Company shall notify Employees and their Steward as to such need as soon as possible but preferably with at least twenty-four (24) hour notice.

ARTICLE 18

OVERTIME

Section 1. Overtime at one and one-half (1-1/2) times the employees pay rate shall be paid for all hours worked in excess of forty (40) hours in a work week, and all non-scheduled hours worked on Friday (when on 10 hour work shift schedules), Saturdays and Sundays. Employees may choose to take compensation time at applicable rate for hours worked in excess of 40 hours per week in lieu of overtime payment. Additionally if an employee works in excess of eight (8) hours per day or in excess of ten (10) hours per day (when on 10 hour work shifts), but does not exceed a 40 hour workweek, the employee will receive one hour compensation time for each hour worked over 8 (10) in a day. This time may be banked up to forty (40) hours and taken in lieu of other paid time off. Such banked time shall be paid out on the last pay period during the month of September of each year. Work on Holidays shall be paid at the straight pay rate in addition to the holiday pay.

Section 2. There shall be no duplication or pyramiding of overtime payments.

Section 3. Available overtime shall be rotated and equalized among qualified volunteers in order of seniority.

Section 4. An employee who is scheduled to work an overtime day and reports to work as scheduled and there is no longer work available, the employee shall be compensated with a minimum of four (4) hours of overtime pay.

Section 5. Overtime requests shall be posted on official company bulletin boards not later than the beginning of the shift the day preceding the overtime day except for unforeseen emergencies or circumstances.

If employees are required to work the overtime; the Company shall first ask for volunteers starting with the most senior qualified employees. If unable to get enough volunteers the least senior qualified employee shall work the required overtime.

Once the least senior qualified employee has been drafted for overtime, he shall not be drafted for overtime again until each successive senior qualified employee has been drafted.

Employees may be excused from the draft procedure for bona fide reasons, however, no employee will be consistently excused from such overtime.

Section 6. Overtime work shall be performed by the Bargaining Unit.

ARTICLE 19

LEAVE OF ABSENCE

Section 1. Personal Leave. The Company may approve a leave of absence without pay up to sixty (60) calendar days for personal reasons. The sixty (60) day limit may be extended by the mutual agreement of the parties. Such leave must be requested in writing and approved by the Site Manager through the employee's supervisor. Said request must also state the reason for the unpaid leave. Employees must request such leave at least five (5) calendar days prior to the date the leave would commence, except in cases of emergency.

Employees may exercise their rights under the Family Medical Leave Act.

Section 2. Failure to Return to Work from a Leave of Absence. Employees who fail to report for work upon expiration of an approved leave of absence will be terminated as provided in this agreement if prior coordination and approval isn’t granted.

Section 3. Military Leave. Employees ordered to active duty for annual training with the National Guard or Reserve component of organized military reserve units, shall be granted a leave of absence not to exceed a maximum of ten (10) working days each fiscal year. The employee must furnish the Company a copy of their military orders at the time the leave is requested. Employees will be paid, upon request, the difference between their regular base pay and their military pay, provided a Leave and Earnings Statement is submitted.

In the event that a mobilization of an employee’s military unit is enacted, or a training regiment is required, their seniority shall continue to accrue. Upon their release from such mobilization the employee shall be reinstated to their previously held occupation and title.

Section 4. Jury Duty

a) Employees summoned to serve on jury duty will receive full jury duty pay for the duration of time spent on jury duty. The employee will receive the difference between gross fees received, excluding legitimate mileage, and the employee's regular earnings that would have been paid for an eight (8) hour shift at the base rate of pay, for each day of service. Notice of jury duty must be given to the Company upon receipt of a jury summons, and proof of such service must be submitted to the satisfaction of the Company before this Article shall apply.

b) Employees required to work shift work will be considered as assigned to day shift for the duration of the jury duty and shall receive payment as outlined above. Employees summoned to jury duty that are released by the Court and would not be able to work for three or more hours of his normal shift will not be required to return to work and will be paid at his applicable hourly rate.

Section 5. Union Business. Bargaining unit employees that are required to travel for official Union business or attend official Union functions shall be granted a leave of absence for performing such business. While on such leave employees shall not lose any benefit of seniority.

Employees shall submit such requests for leave accompanied by official Union communication authorizing them to travel or act in such capacity. These requests will normally be made at least fourteen (14) calendar days in advance of such requirement, if possible.

Stewards shall have their schedule modified, when requested, in order to attend a minimum of five (5) Local Lodge meetings per calendar year.

Section 6. Official Time The Company agrees to provide forty-eight (48) hours of paid time off to bargaining unit employees designated as representatives for official Union Business during the term of this agreement. Such leave requests will be accompanied by official notice authorizing such employees to act in this capacity.

ARTICLE 20

HOLIDAYS

Section 1. The following ten (10) holidays will be provided with pay:

New Year's Day Martin Luther King's Birthday President's Day Memorial Day Independence Day Labor Day Columbus Day Veteran’s day Thanksgiving Day Christmas Day

Section 2. Any holiday falling on a Saturday or Sunday will be observed on the day set by the Federal Government.

Section 3. At the discretion of the Company, employees will be allowed to "float" a holiday to another day in the same calendar year.

Section 4. In the event that the Federal Government establishes any new holiday it shall be conveyed to the employees and be incorporated into this agreement. In the event of a declared day off by the Government via executive order or else wise, the Company agrees to give the employee the time off, if the site is closed by the Government. If the site is not closed, the day off is treated as a normal work day.

ARTICLE 21

PERSONAL TIME OFF

Section 1. The vacation year for eligibility and service shall be from employee’s Company benefit date to Company benefit date. Upon ratification, for the purpose of application of this section the benefit date as outlined in Article 12, Section 2 will be used as the Company Benefit Date. Paid vacation will be awarded as follows:

Sick Leave:

Each employee will be allocated 48 hours per year for sick leave. Leave may be accumulated and carried forward up to 200 hours. Employees must notify the Site Manager when using sick leave. Sick leave balances may not be cashed out at termination. Employees will be given the 48 hours allocation of sick leave each year on 1 October.

Vacation

a) From date of hire through the completion of the fourth year of employment, the employee will be awarded 80 hours of vacation annually.

b) An employee with more than five (5) years of service will be awarded 120 hours of vacation annually.

c) An employee with ten (10) or more years of service will be awarded 160 hours of vacation annually.

d) An employee with fifteen (15) more years of service will be awarded 196 hours of vacation annually.

e) On the pay period following the employee’s anniversary date, all vacation time with the exception of 100 hours that employees may carryover from one benefit year to the next will be paid out. There will be no pay in lieu of time off for vacation except in cases of extenuating circumstances where an employees vacation requests have been denied for business operations/circumstances. The intent of this provision is to cause each employee to use the vacation awarded for time off. Vacations shall be paid at the employee’s current rate of pay at the time the vacation is taken.

f) Vacation time will be accrued and vested from the employee’s benefit date at a rate of 1/26 of their entitlement each pay period and reflect the annual rate for each employee.

Section 2. Vacation requests shall be made to site management prior to vacation start date.

After approval, the request will be annotated on site vacation calendar. The Company reserves the right to approve or deny vacation requests based on business operations. A copy of all vacation requests will be returned to the employee for retention. Once an employee’s vacation is approved it shall not be altered by either party without mutual consent. Vacation may be used in increments of no less than one (1) hour unless approved by management.

Section 3. One time during each calendar year employees shall be allowed to donate vacation and/or sick leave to fellow Belle Fourche ESS employees on a one for one transfer if both parties are paid at the same rate of pay. When donations involve individual of different rates of pay the transfer rate will be calculated by the company payroll clerk.

EXAMPLE: If an individual with a rate of pay of $10 dollars per hour wants to donate one (1) hour of sick/vacation time to someone who’s rate of pay is $20 dollars per hour, the net transfer will result in one half (.5) hour transferred. If an individual with a rate of pay of $20 dollars hour want to donate one (1) hour of sick/vacation time to someone who’s rate of pay is $10 dollars per hour, the net transfer will result in two (2) hours transferred.

ARTICLE 22

BEREAVEMENT

Section 1. In the event of death of an employee's immediate family, the employee shall be granted up to four (4) days bereavement leave with pay and may be granted further leave of choice for extenuating circumstances. One additional day of bereavement leave will be granted to attend funeral services that are more than 400 miles away from the site.

Section 2. "Immediate family" shall be considered as follows:

spouse, children, step-father, step-mother, stepchildren, brother, sister, father, mother, grand father, grand mother, uncle, aunt, nephew, niece, grand children, father-in-law, mother-in-law, sister-in-law, brother-in-law, daughter-in-law, and son-in-law or legal guardian.

ARTICLE 23

WAGE RATE SCHEDULE

Section 1. The wage rates listed below will be effective for the term of this Agreement and apply to all Bargaining Unit employees. Employees shall be compensated at the wage rate for the highest classification of work being performed and at no time shall they be compensated at any rate below the classification that they are normally assigned work. This straight time hourly rate will be increased annually as designated below. These increases will be effective on the dates indicated.

Current

Effective 10/1/2011

Electronics Tech III/Lead $30.72 $31.03 Electronics Tech II $28.85 $29.14 Electronics Tech I $26.80 $27.07

Supply Tech/Job Control $28.85 $29.14 General Maintenance Worker $25.73 $25.99

Quality Control $30.72 $31.03

Classification descriptions shall follow those established by the U.S. Department of Labor for the Service Contract Act.

An employee’s classification shall not be changed without mutual consent of the parties so long as there are same/similar tasks available to be performed at the site.

Senior Lead Tech Differential:

A differential of $0.75 per hour will be paid to the Senior Lead Tech. In the event that the lead tech is not available, the senior tech on the shift will receive lead differential pay for all hours worked. This pay is for assuming additional responsibilities in the absence of the non-bargaining unit management.

Personal Protective Clothing (PPC): In the event PPC is damaged during the performance of work assigned by the company, the company will pay for the replacement cost upon presentation of the damaged PPC and a receipt for the cost of the replacement item to site management.

Section 2. Closures Employees shall be compensated for lost time in the event of a temporary base closure by the Company or Customer for inclement weather, security reasons etc.

Section 3. Call Back Pay If an employee has left the worksite and is called back for work and returns to the worksite, they shall receive a minimum of four (4) hours pay for returning to work.

ARTICLE 24

INSURANCE

Section 1. The Company will provide a cash benefit as found below for all hours paid to be used by employees to purchase health and welfare benefits by pre tax dollars. Any unused monies will remain with the employee, unless otherwise required by law. All issues such as eligibility, enrollment, and claims will be as specified in plan documents. Employees may opt out of Company provided plan(s) in which case shall receive benefit amounts as cash-in-lieu.

Current 10/1/2011 $ 6.67 $6.87 per/hr per/hr

Section 2. The Company will continue to sponsor a Group Medical / Dental Plan with DakotaCare. The Union has the authority to negotiate with another Group Medical / Dental / Vision provider if one is found to have better coverage or rates. The Company will offer to bargaining unit members any other plans which are available to other SCA / CBA sites.

ARTICLE 25

SAVINGS

The Company’s Master Savings Plan (401K) shall be made available to those eligible employees covered by this agreement in accordance with the provisions of the plan:

a) Employees may elect to participate in the plan immediately upon hire and will become eligible for matching and discretionary profit sharing upon completion of one year of service.

The total contribution of a given employee shall not exceed the allowable maximum of that employee’s annual earnings and must be under the total annual dollar limit. After completion of one year of service with the Employer, the Employer will match fifty percent (50%) of the employee’s contribution up to a total of 6%.

b) The 401K program will be administered in accordance with the 401K Plan Summary

2003.

c) Any future improvements to the plan will be conveyed to the employees. The Union will be notified of such changes.

ARTICLE 27

BUSINESS TRAVEL

Section 1. Employees will be paid in accordance with a) and b) below when they are in temporary duty status.

a) An employee, while on travel status, will be paid for:

1) All actual work time when such work has been assigned and approved in advance; and

2) Actual travel time by any conveyance; provided, however, that hours paid under 1) and 2) of this paragraph shall not be duplicative.

On the days of travel to and from a temporary work site, the travel time shall commence when the employee departs home/hotel and cease when the employee reaches home/hotel. Should travel be necessary outside an employee’s normal daily work shift, the employee shall be paid in accordance with overtime rules as though they were at their normal duty location.

Section 2. Over Night Travel. The company shall provide its employees that work that requires an overnight stay a cash advance for applicable mileage, tolls, and maximum lodging and per-diem as specified by the Joint Travel Regulation (JTR) or other applicable regulations for the length of stay expected. Employees desiring a cash advance for a trip shall submit the required company forms in sufficient time for the payment to be made before travel is required.

Such advance shall be provided to the employee in a timely manner to allow employees to tend to financial matters.

Upon return from travel, Employees shall complete a Travel expense report providing all receipts to the Company, at which time there will be a reconciliation of expenditures. In the event of under or over payment of expenses, the employee or Company shall reimburse the other party any amounts due within thirty (30) calendar days.

The intent of the parties is to not cause an employee to incur undue personal hardship or financial distress while performing such services for the Company or the Customer.

ARTICLE 28

MISCELLANEOUS PROVISIONS

Section 1. Safety. The Company and the Union recognize the importance of safety in the workplace. The parties agree to establish a joint Safety committee to address safety concerns of the worksite consisting of bargaining unit employees and non-bargaining unit employees equal in numbers. At no time shall such committee be in or cause a violation of any other part of this agreement.

The Company shall provide to each bargaining unit employee such PPE as required for the site.

Due to the nature of work being performed at the work site and the location in which it is being performed, at no time shall an employee be required to be at the worksite by themselves.

Section 2.Change of Address. Employees are responsible for notifying the Company of their proper mailing address and current telephone number. Laid off employees are also responsible for notifying the Company of their proper mailing address and current telephone number to maintain recall rights. The Company shall be entitled to rely upon its records and shall be held harmless for any action that may arise out of said reliance.

Section 3. Bulletin Board. The Company shall provide one (1) bulletin board located in the Company’s facility and approved by the Union. The bulletin board space will be used by the Union solely for the purpose of conveying official information from the Union to bargaining unit employees. The company with coordination with the shop steward(s) may remove all rosters or documents as necessary from all bulletin boards during times when competitive companies are present.

Section 4. Bargaining Unit Work: Non-bargaining unit employees in job classifications not covered by this Agreement shall not perform work typically performed by employees in the bargaining unit, except in cases of training or emergency. The term “Emergency” is defined to mean an unforeseen combination of circumstances to include times when bargaining unit employees in a specific job category are not readily available and priority maintenance on equipment or manning operations positions must be accomplished to avoid noncompliance with the contract. This Article shall not be construed to prevent employees outside the bargaining unit from performing work normally within their regular duties. The company agrees that none of the above circumstances as listed above will cause a bargaining unit employee to be laid off, displaced or excluded from overtime. The Company agrees that there shall be no contracting out of bargaining unit work.

Section 5. Charitable Contributions. Upon receipt by the Company of a signed voluntary authorization by an employee, on a form approved by the Company and the Union, requesting that there be deductions made from their wages, in a monthly amount designated by the employee, such deductions to be forwarded to the Union for use by either Guide Dogs of America or the Union Community Fund as specified by the employee.