Atch_08b_Anchorage_ILU_2011-2015.pdf

A G R E E M E N T

LONGSHORE

By and Between

NORTH STAR TERMINAL & STEVEDORE CO., LLC

and

ANCHORAGE INDEPENDENT LONGSHORE UNION, LOCAL NO. 1

AFFILIATED WITH TEAMSTERS LOCAL NO. 959

July 1, 2011-June 30, 2015

NORTH STAR TERMINAL & S T E V E D O R E CO. , LLC

L O N G S H O R E

TABLE OF CONTENTS

Page

ARTICLE 1 P R E A M B L E 1

ARTICLE 2 P U R P O S E S OF THIS A G R E E M E N T 1

ARTICLE 3 JURISDICTION 1

ARTICLE 4 RECOGNITION 2

ARTICLE 5 MEMBERSHIP RIGHTS 2

ARTICLE 6 D ISCHARGE AND P R O P E R NOTICE 2

ARTICLE 7 ACCIDENT BOARD 3

ARTICLE 8 GRIEVANCE P R O C E D U R E 3

ARTICLE 9 AUTHORIZED REPRESENTATIVE 4

ARTICLE 10 EXAMINATION OF R E C O R D S 5

ARTICLE 11 G A N G S T R U C T U R E 5

ARTICLE 12 REGISTRATION AND DISPATCH P R O C E D U R E 7

ARTICLE 13 W A G E S 10

ARTICLE 14 PENALTY C A R G O PREMIUM 11

ARTICLE 15 WORKING R U L E S 12

ARTICLE 16 REMUNERATION 14

ARTICLE 17 CONDITIONS 14

ARTICLE 18 HOLIDAYS 15

ARTICLE 19 ELECTIONS 16

ARTICLE 20 PROTECTION OF RIGHTS 16

ARTICLE 21 SUBCONTRACTING 17

ARTICLE 22 UNION LABEL 17

ARTICLE 23 S A F E T Y AND LIABILITY 17

ARTICLE 24 NEW EQUIPMENT 18

ARTICLE 25 A L A S K A T E A M S T E R - E M P L O Y E R W E L F A R E PLAN 18

ARTICLE 26 A L A S K A T E A M S T E R - E M P L O Y E R PENSION TRUST 20

ARTICLE 27 C H E C K O F F 21

ARTICLE 28 DELINQUENCIES 22

ARTICLE 29 VACATION /LEAVE 22

ARTICLE 30 PAYROLL R E P O R T S 23

ARTICLE 31 REOPENING FOR UNION SECURITY 24

ARTICLE 32 REOPENING IF INVALIDATED BY C O U R T 24

ARTICLE 33 HEIRS AND ASSIGNS 24

ARTICLE 34 T E R M OF A G R E E M E N T 24

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ARTICLE 1

PREAMBLE

1.01 THIS A G R E E M E N T made and entered into this 1st day of July 2011, by and between North Star Terminal & Stevedore Co., LLC, hereinafter called the Employer, the party of the first part, and the Anchorage Independent Longshore Union, Local No. 1, hereinafter called the Union, the party of the second part, witness to:

ARTICLE 2

PURPOSE OF THIS AGREEMENT

2.01 The purpose of this Agreement is to promote the settlement of labor disagreement by conference, to prevent strikes and lockouts, to stabilize work conditions in the area affected by this Agreement, to prevent avoidable delays and expense, and generally encourage a spirit of helpful cooperation between the Employer and the Longshoremen groups to their mutual advantage.

a. All reference to Longshoremen or Longshoreman in this Agreement designates both sexes and wherever the male gender is used it shall be construed to include male and female Longshoremen.

ARTICLE 3

JURISDICTION

3.01 The Company, its subsidiaries, and affiliates recognize the jurisdiction of this Union within the state of Alaska, specifically, but not limited to, Anchorage and adjacent waters thereto.

3.02 The provisions of this Agreement shall apply in the City Docking Area including the POL Dock and the face of the City Dock and Warehouse, the area behind the Warehouse, and the new area when completed which will extend beyond the rear of the present dock east covering the leased areas and north to the North approach and beyond to include that area behind the new dock extension when completed. This Agreement shall also cover Horizon Lines of Alaska, LLC's new yard.

3.03 This Agreement shall also cover the Anderson Dock Area, the Whittier Dock, Point McKenzie, or any new Docking Facility with the jurisdiction of this Union where the Employer would be the Stevedoring Contractor.

3.04 This Agreement shall cover the transfer and/or back load of cargo from vessel to railroad car, truck, and chassis, van flatbed, the handling of cargo in the City Dock Warehouse, and any new warehouse to be built in the dock area. It shall also include the sorting and piling of cargo on the dock and in the City Warehouse. It is understood and agreed that if the Employer shall subcontract the work as defined herein that the subcontractor shall continue to hire Longshoremen pursuant to this Agreement.

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3.05 It is recognized by the Union and agreed to by the Employer that certain practices generally prevailing in the loading and discharge of ships and/or barges in Alaska will be adhered to.

3.06 At such time as the Port of Anchorage completes the new staging/intermodal area, the Longshoremen claim jurisdiction, pursuant to the jurisdictional limitations as set forth in Section 3.04, over all equipment to be used in transferring of freight to and from the areas and all equipment used in the handling and loading of containers and all other types of freight at the appropriate rate of skill pay.

ARTICLE 4

RECOGNITION

4.01 The Employer hereby recognizes the second party as the collective bargaining agency for such of his Longshoremen as may be employed as Slingman, Holdmen, Longshore Walking Bosses, Hatch Tenders, Winch Drivers, Jitney Drivers, Forklift Operators, Boom Men, Gear Tender, Checkers, Dock Men, Dispatchers, Donkey Drivers, Warehousemen, Freight Handlers, Crane Operators, Straddle Buggy Operators, Trucks, other special vehicles and Bull Dozer Operators when Bull Dozers or cranes are used aboard ship.

a. Any new technology affecting the status quo shall be mutually agreed upon prior to implementation. Any unresolved disputes shall be referred to Article 8 of this Agreement.

ARTICLE 5

MEMBERSHIP RIGHTS

5.01 The Union assumes all obligations and responsibility for the continued membership of their members and the collection of their dues, and the Union shall retain the right to discipline its members at all times. No Longshoreman shall be discriminated against for the upholding of Union principles, and any Longshoreman who works under the instructions of the Union principles, and any Longshoreman who works under the instructions of the Union or who serves on a committee shall not lose his position or be discriminated against for this reason.

ARTICLE 6

DISCHARGE AND PROPER NOTICE

6.01 Longshoremen may be summarily dismissed for the following causes:

a. Intoxication or under the influence of nonprescription drugs.

1. Any Longshoremen involved in an accident or suspected to be intoxicated or under the influence of drugs, when mutually agreed upon between the Union and the Company, shall immediately be tested for intoxication or nonprescription drugs. At such time the involved party shall be required to submit to a formal urinalysis at a facility capable of

07/01/11-06/30/15 -2- LONGSHORE/North Star/042012 North Star CBA Final administering such tests. Refusal to be tested will result in a Longshoreman's dismissal. The Longshore Lead Walking Boss, or in his absence a Union representative, and one (1) Company representative, shall provide transportation to the above mentioned facility.

b. Willful neglect of duty.

c. Broaching of cargo or theft.

d. Willful violation of the provisions of this Agreement.

e. Insubordination.

6.02 When a Longshoreman is dismissed for any of the above causes or for any reason, then Article 8.01 shall apply.

ARTICLE 7

ACCIDENT BOARD

7.01 Each Employer shall have an Accident Board. The Accident Board shall consist of two (2) members chosen by the authorized Union representative and two (2) members chosen by the Employer. The Accident Board shall investigate all accidents and shall render a decision as to whether it is a chargeable or non-chargeable accident within seven (7) days following said accident. No disciplinary action shall be taken against any Longshoreman involved in an accident until the Accident Board has thoroughly investigated said accident. The recommendations of the Accident Board shall be followed, unless the Longshoreman wishes to dispute the recommendations of the Accident Board, in which case the dispute shall be referred to the Grievance Procedure for further action.

7.02 The Employer agrees that prior accidents, reprimands, or disciplinary action will not be considered at Accident Board hearings.

ARTICLE 8

GRIEVANCE PROCEDURE

Any grievance, complaint, or dispute arising as a result of the Longshoremen's employment, shall be handled in the following manner:

8.01 The Longshoreman shall report to their business representative as may be designated by the Union any grievance, complaint, or dispute that arises between the Longshoreman and the Employer. The designated Union representative will attempt to resolve the matter between the parties immediately. (Step 1)

8.02 Failing to agree, the designated Union representative shall report the matter to the Union. (Step 2) '

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8.03 Any dispute that arises between the Longshoreman and Employer or any complaint or grievance on the part of both or one, said grievance, complaint, or dispute shall be submitted within thirty (30) days to be considered as a valid grievance. After submittal, the grievance shall either be resolved or advanced within thirty (30) days.

8.04 Should any dispute, grievance, or complaint arise which cannot be negotiated and settled within the scope of the foregoing paragraphs of this Article, the Employer and the Union agree to submit the matter to a Board of Arbitration. In the event that arbitration becomes necessary, the Board of Arbitration will be composed of the following: Two (2) members appointed by the Union and two (2) members appointed by North Star Terminal & Stevedore Co., LLC. The above said four (4) members will select a fifth (5th) member, mutually agreed upon, who will serve as Chairman. The Chairman will not be entitled to vote under any circumstances. His sole duty will be to maintain order, certify the results of polls of the Board on questions which are voted upon, and any other purely administrative duties that are delegated to him by the Board. The decision of three (3) of the four (4) members will bind the parties. (Step 3)

8.05 Employer representatives selected to serve on Boards of Arbitration will not be selected from among the Employer's managerial staff.

8.06 The decision of the Board of Arbitration will be binding upon all parties thereto.

8.07 In the event the parties fail to reach a majority decision at Section 8.04, the matter shall be referred to Third Party Arbitration for resolution. If the parties cannot agree on a neutral Arbitrator the parties shall request of the American Arbitration Association a recommended list from which one (1) shall be selected. Expenses of the Arbitrator shall be shared equally by the Company and the Union. The decision of the Arbitrator shall be binding on the parties. (Step 4)

8.08 If the Employer wishes to process a grievance arising out of this Agreement, the Employer shall initiate the procedure by submitting the grievance in writing to a Union representative. Processing of such grievances will follow the steps beginning at Step two (2) outlined above.

ARTICLE 9

AUTHORIZED REPRESENTATIVE

9.01 The Union shall have as its representative, a business representative who shall be authorized to speak for the Union in all matters covered by this Agreement, and shall be permitted to visit any project at any time. The business representative shall be allowed to handle requests, complaints, and grievances arising under this Agreement, and shall be compensated for all time spent in the pursuit of his Union duties.

9.02 Shop stewards may be appointed by the Union from the normal dispatch at the Union's discretion and assigned to work the Employer's job with each initial dispatch.

The steward shall remain on the job until the job is completed. In the absence of the business representative the shop steward shall be allowed to handle requests, complaints, and grievances arising on the job under this Agreement and shall coordinate

07/01/11-06/30/15 -4- LONGSHORE/North Star/042012 North Star CBA Final with the business representative in the settling of such matters. The shop steward shall suffer no loss of compensation for time spent in the pursuit of his shop steward duties.

The shop steward will work when not on Union business.

9.03 Longshoremen serving on the negotiations committee shall be paid for all time spent for across the table negotiations.

ARTICLE 10

EXAMINATION OF RECORDS

10.01 The Local Union representative shall have the right to examine all records pertaining to the Longshoremen's wages, hours, and conditions covered by this Agreement on proper notification in advance to the Employer. The Employer upon notice from the Union representative shall make available original or copies of the original records for examination by the authorized Union representative within the next eight (8) normal office working hours.

ARTICLE 11

GANG STRUCTURE

11.01 It is agreed that one (1) Walking Boss shall be employed on each ship and/or barge. A Walking Boss shall also be employed on the dock when four (4) or more Longshoremen are employed on the dock. The same provisions shall apply when four (4) or more Longshoremen are employed in a yard area away from the dock. The duties of the Walking Boss shall be to keep the time and direct the work of the Longshoremen, according to the working rules of the Union and on the instructions of the Employer.

11.02 Aboard ship, it is further agreed that in the event break bulk or general cargo is being loaded or discharged, there shall be a minimum of eight (8) Longshoremen and one(1) Hatch Tender per gang. If packaged lumber, containerized cargo, or similar cargo is being loaded or discharged, there shall be used one (1) Hatch Tender and six (6) Longshoremen.

11.03 After January 1, 1975, the following gang structure shall prevail on ship or bargeside when handling four-man hook-up cargo or completely containerized vessels:

One (1) Walking Boss, one (1) Hatch Tender, and four (4) Longshoremen under each crane used. If a forklift is used, the Forklift Operator shall be in addition to the foregoing, unless mutually agreed otherwise. The Forklift Operator shall receive Forklift scale for the entire shift. The Employer and the Walking Boss shall agree when additional Longshoremen are needed as a part of the above gang for lashing, unlashing, or for cargo that is not four-man hook-up.

11.04 One (1) Walking Boss, one (1) Hatch Tender, or one (1) Forklift Operator, and three (3) Longshoremen shall be used on the deck of Power Scows and/or Shuttle Barges. If the job is a Survey Job and additional lashing is needed, two (2) extra Longshoremen will be required and these Longshoremen will be retained until the job is completed.

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LO NG SHO RE

11.05 On the dock, when loading or unloading a completely containerized barge or ship, there shall be used three (3) Longshoremen, one(1) Forklift Operator, and one(1) Checker for each crane used. Their duties shall be to assist in landing vans, locking and unlocking of vans on chassis, and checking to see that vans being back loaded to the ship, and if loaded, are properly sealed and that there is no cargo left in vans that are classified as empties.

11.06 Also on the dock, in the event break bulk (general cargo), package lumber, or similar cargo (palletized freight, etc.) is being discharged or loaded, there shall be not less than four (4) Longshoremen including two (2) Slingmen for each hatch. The other two (2) Longshoremen shall be paid as Forklift Operators and shall act as Slingmen or Forklift Operators as required. An additional two (2) Slingmen shall be employed when a Breasting Barge is used in the operation to convey cargo to or from the dock.

11.07 When loading ship to barge or vice versa, the four (4) Longshoremen and their Walking Boss may be transferred to the barge to land freight if only one (1) gang is working. However, if two (2) gangs are being used and one(1) Dockside Gang is transferred to barge, then there shall be an additional Walking Boss hired. If the job entails other than landing freight at place of rest, extra Longshoremen shall be brought in.

11.08 When a job has a maximum of twenty (20) lifts which do not require four-man hook-up, a Short Crew shall be called consisting of one (1) Walking Boss, one (1) Forklift Operator, and four (4) Longshoremen. If after a call out, it is found there are more lifts than allowed, or four-man hook-up cargo, then a full power scow gang shall be paid for the call out.

11.09 The loading and unloading of freight from vans railroad cars, and flats shall be according to past Port practice.

11.10 There shall be two (2) Longshoremen classified as Crane Operators employed for each crane used on the City Dock or any new Docking Facility within the jurisdiction of this Union. Their sole duty shall be to operate the cranes.

11.11 A Gear Tender/Forklift Operator shall be employed to make up and repair gear and to check the safe condition and operation of such gear. A Gear Tender shall be used at all times when discharging or backloading a ship or barge.

11.12 When working a ship or barge, not less than one (1) Stickman shall be used for every two (2) forklifts. On a loadout operation, one (1) Stickman shall be used for every forklift unless mutually agreed otherwise.

11.13 When working general cargo ships, there shall be one (1) Checker with each gang needed for discharging or backloading of cargo. When there are two (2) or more Checkers needed, there shall be a Head Checker dispatched whose duties shall be to supervise the checking and correlate the information gathered by the Checkers.

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11.14 When working a barge, and a government or Company checker is being used, there shall be a Longshoreman hired as a Checker.

11.15 There shall be an additional "extra Longshoreman" employed for each working crane who shall act as a relief for the Slingman, Forklift Operator, and the Checker if used between October 20 and April 1 annually on all ships and barges. If adverse weather conditions exist from October 1st through October 19th, the winter manning schedule shall be used. He shall draw the pay scale as hereinafter provided for Forklift Operator.

11.16 In the handling of cargo on the dock and ship, the direct transfer of cargo from vessel to rail car, truck, flatbeds, lowboys, or flat racks, and/or vice versa, a crew of not less than four (4) Longshoremen, including the dockside Slingmen, shall be used.

11.17 In the loading and unloading of loose freight to and from railroad cars and vans, freight to be loaded on or coming from barges, manning shall be in accordance with past Port practice.

11.18 For a roll-on/roll-off operation, up to and including four (4) pieces, the crew shall consist of one (1) Equipment Operator. For five (5) to ten (10) pieces the crew shall consist of two (2) Equipment Operators. For eleven (11) pieces and above, the crew shall consist of two (2) Equipment Operators and one (1) working Walking Boss. The above manning is a minimum manning schedule and is not intended to limit additional manning requirements, when mutually agreed upon between the Union and the Employer.

11.19 For a pass-pass (forklift transfer) operation, the crew shall consist of one(1) Walking Boss, sufficient Forklift Operators, and Lashers / Stickmen to accomplish the work.

ARTICLE 12

REGISTRATION AND DISPATCH PROCEDURE

12.01 Classification of Longshoremen. The Longshoremen in each Port shall be classified as follows: Registered persons, regular Casuals, and Casuals.

12.02 Registered Persons. A list of Registered Longshoremen shall be immediately prepared and issued by the Union. Additions to and deletions from the list of Registered Longshoremen shall be made by the Union. Registrations may be for an indefinite period or may be temporary, as the Union may determine in each case. The Union shall ensure there are sufficient Registered Longshoremen to meet the normal needs of the Port.

a. The Union, in determining who are regular and experienced Longshoremen and in assigning numbers to the Registered Longshoremen, shall consider the following factors, but shall not consider membership or non-membership in any Labor organization as a factor; the quality of the work performed in the past and the length and continuity of services performed for the Employer in the Port within the scope of the Anchorage Longshore Agreement. Provided, however, that in

07/01/11-06/30/15 -7- LONGSHORE/North Star/042012 North Star CBA Final making such determination and in assigning numbers to the Registered persons, the Union may, in its discretion, make allowances for temporary breaks in employment caused by illness, reasonable vacation periods, military service, and leaves of absence for such causes as the Union deems reasonable.

12.03 Regular Casuals and Casuals. In determining who shall be considered regular Casuals, there shall be a seven hundred fifty (750) annual hour requirement that will be met that shall run from January 1st through December 31st of each calendar year.

Persons who satisfy this criteria will not be required to register with the Union as per Casual sign up procedures and requirements for the remainder of that year. Those Casuals, who have exceeded seven thousand five hundred (7,500) compensable hours with companies signatory to an Anchorage Independent Longshore Union No. 1 Collective Bargaining Agreement, shall be permanently exempted from sign-up requirements. Hours shall be verified prior to May sign-up periods, and those Casual Longshoremen, who have satisfied the hours requirement, will be notified by letter. The Union shall review compensable hours of all Casual Longshoremen each January to determine who shall qualify for regular Casual status. Notification shall be annually by hand delivered notice, or when possible by a scheduled meeting to those who qualify.

All other Articles in either current Longshore Agreements or the Anchorage Independent Longshore Union, Local No. 1 Constitution that refer to Casual Longshoremen shall continue to apply. All other Longshoremen who make themselves available for employment shall be considered Casuals.

12.04 De-Registration. A Longshoreman may be removed by the Union from the list of Registered Longshoremen or as the case may be for any of the causes specified in Article 6 of this Agreement, or when his work record indicates that he is no longer making himself available for employment.

a. A Registered Longshoreman shall automatically be placed at the bottom of the list upon which his name appears, if without reasonable excuse, he fails to make himself available to work and be compensated for at least one (1) dispatch in any one hundred eighty (180) day period. Determination of what constitutes a reasonable excuse shall be made by the Union. Failure to work and be compensated for at least one (1) dispatch in a one (1) year period shall result in removal from the Longshore Registered list.

b A Longshoreman may be removed by the Union from the list on which his name appears, if he accepts employment in a non-bargaining unit or management position for a period in excess of one hundred eighty (180) days from his date of hire.

c. A Casual Longshoreman shall automatically be placed at the bottom of the list upon which his name appears, if without reasonable excuse fails to make himself available to work and be compensated for at least one (1) dispatch in any one hundred eighty (180) day period. Determination of what constitutes a reasonable excuse shall be made by the Union. Failure to work and be compensated for at least one (1) dispatch in a one (1) year period shall result in removal from the Longshore Registered list.

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d. Upon written notice to the president of the union and payment of withdrawal and reinstatement fees to be set by the Union Executive Board, a Longshoreman shall be entitled to three hundred ninety (390) consecutive days' leave without penalty, except that the member will not numerically advance in seniority.

12.05 Dispatcher. A Port Dispatcher shall be selected by the Union. The Dispatcher will follow the dispatch provisions pursuant to this Agreement.

a. It is agreed that the selection of Longshoremen for employment and dispatching of Longshoremen to jobs shall not be based on race, color, religion, age, sex, national origin, Vietnam era veterans or disabled veterans, physical handicap, marital status, change in marital status, pregnancy, or parenthood, nor in any way affected by Union membership, bylaws, rules, regulations, constitutional provisions, or any other aspect or obligation of Union membership, policies, or requirements.

b. The Union and the Employer shall post in places where notices to all Longshoremen and applicants for employment are customarily posted, all provisions relating to the hiring in this Agreement.

c. The Union will dispatch regularly at 8:30 a.m. and 3:30 p.m. However, it will furnish replacements or additional Longshoremen in between those hours, when possible, to accommodate the needs of the Employer. However, the Employer agrees to order Longshoremen for the morning dispatch before 3:30 p.m., the previous evening and 8:30 a.m., for the afternoon dispatch whenever possible. If dispatch is canceled, at least four (4) hours' notice shall be given prior to dispatch time. If Longshoremen cannot be contacted, Longshoremen will be paid four (4) hours' show up time at the prevailing rate.

(See Letter of Understanding #10).

d. There shall be no dispatches made between 10:00 p.m. and 8:00 a.m.

(See Letter of Understanding #10).

e. In dispatching Longshoremen who make themselves available for employment, the following preferences shall be observed:

1. All Registered Longshoremen who make themselves available shall be dispatched first in the numerical order assigned to them as provided above, except on ship tie ups and let goes where each Registered Longshoreman will be dispatched in rotation.

2. After all the Registered Longshoremen who make themselves available have been dispatched, the Dispatcher will use casual Longshoremen to fill out Longshore gangs.

3. No Longshoreman on the Registered List shall be bumped by any other man on the Registered List on the date of dispatch to a job.

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However, if same job continues into another day or past 12:00 midnight, a new dispatch shall be made by seniority.

4. Subject to the limitations hereinafter set forth, any Registered Longshoreman may bump a non-7500 casual Longshoreman. However, once assigned to employment, no Longshoreman shall be bumped by a Longshoreman of higher classification until he has an opportunity to work or be paid for at least four (4) hours after his employment commenced. If extra Longshoremen are hired other than through the dispatching office and at a time when the dispatching office is closed, the preference outlined above shall be observed.

5. Any Longshoreman who wishes a replacement after reporting for work must notify the Walking Boss or Dispatcher at least two (2) hours prior to the meal break. Failure to do so will disqualify the man for any other dispatch for the balance of that day and the following day; emergencies excepted, and will be determined by the Union. Those Longshoremen, who have been replaced, shall be ineligible to work for the balance of that day.

6. The Dispatcher shall receive two (2) hours' straight time pay for each dispatch made, when three (3) or more Longshoremen are called.

ARTICLE 13

WAGES

13.01 The wage scale shall be as follows:

Effective: 01/01/12 07/01/13 07/01/14 01/01/15

Increase: $0.50 $0.75 $0.75 $0.75

Code #:

4 Lead Walking Boss/ Crane Operator 38.30 39.05 39.80 40.55

3 Walking Boss, Head Checker, Barge F/L Operator 37.93 38.68 39.43 40.18

2 Gear Tender, Hatch Tender, F/L Operator, Winch Operator, Bull Dozer Operator, Special Equipment Operator, Hustler Drivers, Checkers, and Dispatcher 37.38 38.13 38.88 39.63

1 Longshoreman and Utility Person 36.80 37.55 38.30 39.05

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13.02 The Employer agrees that, unless otherwise specified, he will be governed by the above schedule of wages in dealing with his Longshoremen who come under the provisions of this Agreement. In the event that work done by the Longshoreman and can be construed as placing the Longshoreman in one or more of these classifications, then the Employer agrees to pay such Longshoreman according to the highest classification set forth until the Longshoreman is reassigned by the Union Dispatcher or until the Longshoreman completes a five (5) hour rest period.

13.03 The first six (6) hours worked for the Company between 8:00 a.m. and 5:00 p.m., Monday through Friday, shall be at the straight time rate.

a. All work in excess of the six (6) hours and all work between 5:00 p.m. and 8:00 a.m. and all work on Saturday, Sunday, and holidays shall be at the overtime rate and/or penalty or double time rate where indicated in this Agreement.

13.04 Considering the Company provides labor to multiple customers, it is recognized and understood that when Longshoremen are dispatched through North Star Terminal & Stevedore Co., LLC specific Articles of this Agreement, pertaining to the Longshoremen's hours worked, codes, and prevailing rates, will not apply for the purpose of calculating rates of pay only.

ARTICLE 14

PENALTY CARGO PREMIUM

14.01 In addition to the basic wages for longshore work as provided in Article 13, additional wages to be called penalties shall be paid for the types of cargo, conditions of cargoes, or working conditions as specified in the Addendum No. 1, attached hereto.

14.02 Penalties shall not apply to damaged containers that can be lifted off the ship intact without having to handle or come in contact with the contents.

14.03 Penalty cargoes and penalty cargo rates under this Contract shall be the same as those provided for in the Addendum to this Agreement. Whatever penalty cargo rates are renegotiated, during the life of this Agreement, they shall also be made applicable in this Contract.

14.04 Where skill differentials and penalties both apply, the allowance for both the skill differentials and the penalty shall be added to the basic rate and skill differentials and/or penalties shall be augmented by the normal overtime allowance during the overtime hours.

14.05 The said penalty cargo rates, and said differentials for skill, shall be the only penalty cargo rates and differentials for skill payable and none of such differentials shall hereafter be subject to alteration or amendment, except by agreement of the parties hereto. The penalty cargo rates shall apply to all members of the Longshore gang, including dockmen, except wherein otherwise specified. Where two (2) penalty rates apply, the higher penalty rate shall apply and in no case shall more than one (1) penalty rate be paid. See Addendum No. 1 attached.

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14.06 Longshoremen working commodities listed in Addendum No. 1 to this Agreement shall receive penalty pay as outlined in the Addendum with a minimum of two and one-half (2-1/2) hours guaranteed.

14.07 Longshoremen working Class A explosives as defined by Interstate Commerce Commission, radio-active material, or bulk acids shall be paid at the rate of two (2) times the prevailing rate of pay for actual time worked. All Longshoremen working in connection with a ship or barge, which is loading or unloading explosives or radio-active material, shall receive the penalty pay.

14.08 When new or unlisted commodities for which rates of penalty pay are not established by this Agreement are brought to the attention of the Employer after July 1, 1975, such commodities and the rate of penalty governing such commodities shall be subject to negotiation between the parties. Rates agreed upon or awarded shall be effective as of the date the commodity was worked. In the event that negotiations cannot be finalized to the satisfaction of both parties, the latter shall be referred to the grievance procedure.

14.09 Employers shall provide proper protective clothing, gear, tools, and safety equipment for items referred to in this Article, as deemed necessary by the Union and the Company.

ARTICLE 15

WORKING RULES

15.01 For all work performed on Saturday and Sunday, one and one-half (1-1/2) times the basic rate of pay shall be paid.

15.02 Penalty Time. In the event Longshoremen are required to perform work in excess of five (5) hours without a meal hour, or are required to work through a designated meal hour, they shall be paid one and one-half (1-1/2) times the prevailing rate at the time the penalty time occurred. The full meal hour shall be paid at the penalty time rate if any part of the meal hour is worked. When Longshoremen have completed the meal hour penalty, they shall be allowed the regular meal time which is one (1) hour and fifteen (15) minutes before returning to work.

a. Noon, 6:00 p.m., and Midnight Penalty Time. When Longshoremen work through the noon, 6:00 p.m., or midnight meal hour, they will work a maximum of two (2) hours' at the penalty time rate. Any time worked in excess of the two (2) hours' penalty time shall be paid at one and one-half (1-1/2) times the prevailing rate. Hours worked beyond the next designated meal hour shall also be at one and one-half (1-1/2) times the prevailing rate.

b. When Longshoremen are working at the overtime, double (2 times) time, or double (2 times) the overtime rate prior to 7:00 a.m., and continue working past 8:00 a.m., they shall continue to be paid at said overtime rate, which applies until they are relieved.

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c. The Employer shall give two (2) hours' minimum notice if it plans to work meal hour penalty. If called for, Longshoremen shall be paid penalty time whether worked or not. If Longshoremen are called back to work by the Employer prior to five (5) hours' rest period after working past midnight, Longshoremen shall continue at the double (2 times) the overtime rate. (See Letter of Understanding #11).

d. When handling bulk material that requires continuous loading (shift work), the rates of pay/conditions shall be as follows:

1. 0700-1800 straight time/overtime rates of pay when applicable.

2. 1900-0600 overtime rate of pay when applicable.

If meal breaks are to be staggered, penalty rates of pay shall be applied to those longshoremen dispatched. Longshoremen shall not be allowed to accept a dispatch for consecutive shift without having taken the minimum five (5) hour rest period.

15.03 Whenever Longshoremen are ordered to work and report, they shall receive not less than four (4) hours' pay, straight time, and/or overtime as the case may be, whether or not work is started. Any new starts between 8:00 p.m. and 12:00 midnight the Longshoremen shall receive not less than five (5) hours' overtime.

a. Any new starts of work after the midnight meal hour, between 1:00 a.m. and 5:00 a.m., will entitle the Longshoremen to not less than four (4) hours' pay at double (2 times) the overtime rate. Any resumption of work after the midnight meal hour will entitle the Longshoremen to not less than four (4) hours' pay at double (2 times) the straight time rate of pay. Resumption of work applies to the ship/barge being worked prior to midnight. Work transferred to any other ship/barge will be considered a new start. Further, there will be no new starts or resumption of work between 5:00 a.m. and 7:00 a.m. (See Letter of Understanding #6).

b. Longshoremen working less than two (2) hours before and/or after meal time shall be paid for two (2) hours.

15.04 When tying up tankers at the POL Dock, there shall be eight (8) Longshoremen used to tie up the vessel. When tying up cargo ships, not less than six (6) Longshoremen shall be employed. These Longshoremen shall be paid a minimum of four (4) hours. When letting tankers go, there shall be six (6) Longshoremen used.

These Longshoremen shall be paid a minimum of four (4) hours. When letting a cargo ship go, four (4) front Longshoremen who have been working the ship shall standby to let lines go. Their time shall continue on the payroll until the ship is let go. If Longshoremen are called back for a separate let go, they shall be paid a minimum for four (4) hours at the appropriate rate.

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a. When tying up ro-ro ships, eight (8) Longshoremen shall be used and six (6) Longshoremen used to cast off.

b. When tying up 300-foot long vessels or less, four (4) Longshoremen tie up and four (4) Longshoremen let go shall be used.

15.05 When setting ramps the crew shall consist of four (4) Longshoremen as follows:

One(1) Walking Boss, one (1) Driver, one(1) Forklift Operator, and one(1) Longshoreman.

15.06 Non-bargaining unit employees or Supervisors shall not perform work or drive any equipment covered by this Agreement. Violation of this clause shall require the Employer to pay a penalty of eight (8) hours (6 and 2) or lost compensation, whichever is greater, to displaced Longshoremen per violation.

15.07 The Employer shall designate one(1) Supervisor to issue instructions to the Walking Boss to prevent duplication and confusion of orders.

15.08 The hours, wages, and working conditions for out-port operations shall be negotiated and set forth in a separate Agreement.

15.09 When a Longshoreman is injured on the job and is unable to complete the shift because of the injury, he shall receive a minimum of eight (8) hours' pay at the prevailing rate or if the job is less than eight (8) hours, the Longshoreman will be paid for the actual hours the job is worked. When he has worked more than eight (8) hours then he will receive pay for the actual time worked.

ARTICLE 16

REMUNERATION

16.01 It is understood and agreed by the parties that no Longshoreman shall suffer a reduction in the wages or remuneration he now receives, by reason of the fact this Agreement has been executed.

16.02 Time Cards. Time sheets of a Longshoreman shall not be changed without first consulting with the Longshoreman involved and/or authorized Union representative.

ARTICLE 17

CONDITIONS

17.01 Meal hour shall be between 6:00 a.m. to 7:00 a.m., 12:00 p.m. to 1:00 p.m., 6:00 p.m. to 7:00 p.m., and 12:00 a.m. to 1:00 a.m.

17.02 A fifteen (15) minute break shall be permitted every two and one-half (2-1/2) hours, or at such time as coincide with the Sailor's "coffee time".

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NORTH STAR TERMINAL & S T E V E D O R E CO., LLC

17.03 At the option of the Longshoremen, and in lieu of said fifteen (15) minute coffee breaks, Longshoremen may leave fifteen (15) minutes to the meal hour. (See Letter of Understanding #2).

17.04 Wages shall be due and payable within forty-eight (48) hours after each vessel has completed discharge and/or loading, Saturday, Sunday, and holidays to be excepted.

However, wherein the Employer has an established weekly payday, it shall be within four (4) days after pay period ends and not later than 11:00 a.m. of Thursday.

17.05 Upon failure of the Employer to pay the Longshoremen as described herein, shall entitle the Longshoremen to wait time pay of eight (8) hours' pay for each twenty-four (24) hour period thereafter, Saturday and Sunday inclusive, at the appropriate overtime rate, to commence on the day following the established payday.

17.06 Pay Shortages. Proven pay shortages shall be paid promptly within two (2) days after receipt of the Longshoremen's proven complaint. If not paid within the prescribed period, the penalties set forth in Article 17, Section 17.05 shall apply.

17.07 If W-2 Forms are not available on due date, the local office will have them ready within two (2) working days after due date.

17.08 Year to date hours shall be included with weekly payroll.

ARTICLE 18

HOLIDAYS

18.01 Holidays recognized are:

New Year's Day Martin Luther King, Jr. Day Washington's Birthday Seward's Day Easter Sunday Memorial Day Independence Day

Labor Day Columbus Day Thanksgiving Day Veterans Day Christmas Day Longshoreman's Birthday

18.02 Longshoremen who work on any of the above-named holidays shall be paid at the rate of one and one-half (1-1/2) times their basic rate of pay, in addition to the holiday allowance set forth in this Agreement.

18.03 Work shall be on a voluntary basis on New Year's Day from 2400, December 31 until 0700 January 2, and on Christmas Eve from 1900, December 24 until 0700 December 26, excluding line handling.

18.04 New Year's Day, Independence Day, Labor Day, Thanksgiving Day and Christmas Day, shall be considered no workdays; if worked, the Longshoremen shall be paid at the rate of three (3) times their basic rate of pay, in addition to the holiday

07/01/11-06/30/15 -15- LONGSHORE/North Star/042012 North Star CBA Final allowance set forth in this Agreement. On Christmas Eve from 1900, Longshoremen shall be entitled to not less than five (5) hours at three (3) times the basic rate of pay.

18.05 Whenever a legal holiday falls on a Saturday or Sunday, the following Monday shall be observed as a holiday.

18.06 To be qualified for the holiday pay a Longshoreman must have sixty (60) hours of work with the Employer in the preceding month (thirty (30) day period). The payment of holiday allowance shall be at current rates and based on six (6) hours' straight time and two (2) hours' overtime for each holiday.

18.07 Statewide Elections Day, excluding statewide initiatives, shall also be considered a holiday, but shall not be considered a paid holiday. The rate of one and one-half (1-1/2) times their basic rate of pay only shall apply (no holiday allowance).

ARTICLE 19

ELECTIONS

19.01 Elections. It shall be the responsibility of the Employer to provide time during normal working hours (8:00 a.m. through 5:00 p.m.), without loss of pay to the Longshoreman, for each regular Longshoreman qualified to vote in federal, state, and municipal elections.

19.02 Union Meeting. On the second Monday of each month, there will be a no-work Union meeting. This will preclude Port activity between the hours of 7:00 p.m. and midnight on those days. (See Letter of Understanding #5).

19.03 Jury Duty. Longshoremen required to serve on jury duty or subpoenaed as a witness shall suffer no loss in earnings, if dispatched to Employer's job on that date, up to a maximum of forty (40) hours straight time equivalency per week. To be qualified for jury duty pay, a Longshoreman must have sixty (60) hours' of work with the Employer the preceding thirty (30) day period. Fees paid the juror while serving such inexcusable jury duty shall be credited to the Employer for the purpose of computing the daily wages.

ARTICLE 20

PROTECTION OF RIGHTS

20.01 Picket Line. It shall not be a violation of this Agreement, and it shall not be cause for discharge or disciplinary action, in the event a Longshoreman refuses to enter upon any property involved in a primary labor dispute, or refuses to go through or work behind any primary picket line, including primary picket lines at the Employer's places of business.

20.02 Struck Goods. It shall not be a violation of this Agreement, and it shall not be cause for discharge or disciplinary action, if any Longshoremen refuses to perform any service which his Employer undertakes to perform as an ally of an Employer or persons whose employees are on strike, and which service, but for such strike, would be

07/01/11-06/30/15 -16- LONGSHORE/North Star/042012 North Star CBA Final performed by the employees of the Employer or person on strike, nor shall the exercise of any rights permitted by law be a violation of this Agreement.

20.03 Lost or Damaged Property. Longshoremen shall not be responsible for lost, stolen, damaged cargo or property, except in case of proven carelessness. If or when a Checker is used, the Employer must provide an adequate checking system to protect the Employer and Longshoremen; said checking system must be mutually agreed to by the Union and the Employer.

ARTICLE 21

SUBCONTRACTING

21.01 For the purpose of preserving work and job opportunities for Longshoremen covered by this Agreement, the Employer agrees that no work or services of the kind, nature, or type covered by, presently performed, or hereafter assigned to the collective bargaining unit will be subcontracted, transferred, leased, assigned, or conveyed in whole or in part to any other plant, vendor, person, or non-bargaining unit employee.

21.02 In order to preserve and maintain the work of the bargaining unit, the Employer agrees that stevedoring work contracted by the Employer shall be the work of the bargaining unit.

ARTICLE 22

UNION LABEL

22.01 The Employer agrees that all equipment owned by the Company operated by members of the Anchorage Independent Longshore Union, Local No. 1, shall bear the Union label. Labels will be furnished by the Union.

ARTICLE 23

SAFETY AND LIABILITY

23.01 The regulations concerning the safety and equipment standards of the Longshoremen shall be governed by the State and Federal Governmental Agencies Rules. The Union representative shall have the authority to inspect any and all equipment and deadline any equipment he deems unsafe for operation; he shall also be allowed, upon twenty-four (24) hours' notice, to hold a safety meeting on the Company time with Longshoremen. All equipment which is unsafe shall be appropriately red tagged and put out of service until the equipment has been adequately repaired and cleared by the Union representative or a properly qualified mechanic. No Longshoreman shall be discriminated against, terminated, etc., because he refuses to operate unsafe equipment or operate any equipment in an unsafe manner. Should the Employer fail to comply with or violate this safety and liability regulation, the Union may take any economic action it deems necessary. Longshoremen shall be required to turn in Equipment Condition Reports.

23.02 The Employer shall furnish adequate first aid equipment at all times when Longshoremen are working on the dock. The Employer shall maintain safe working

07/01/11-06/30/15 -17- LONGSHORE/North Star/042012 North Star CBA Final conditions at all times, and the Union shall abide by the safety rules set up mutually by the Union and the Employer. The appropriate safety regulations governing the Company's longshore operation to be the guide and shall be posted at the job site or sites.

23.03 The Employer shall provide medical, surgical, and hospital care and transportation, if necessary, for any Longshoreman injured on the job.

23.04 No Longshoremen shall be asked to work in an unsafe place and/or under unsafe conditions, nor shall any Longshoremen jeopardize himself or his fellow Longshoremen by an unsafe practice on his part.

23.05 The Employer shall furnish and maintain all safety items required by state or federal safety regulations.

23.06 The Employer, if he owns or is responsible for conditions aboard ship, shall maintain clean conditions and adequate lighting aboard ship.

23.07 The Employer shall furnish a Jacobs Ladder at all times.

ARTICLE 24

NEW EQUIPMENT

24.01 Where new types of equipment and/or operations for which rates of pay are not established by this Agreement are put to use after July 1,1975, within operations covered by this Agreement, rates governing such operations shall be subject to negotiations between the parties. Rates agreed upon or awarded shall be effective as of the date the equipment is put to use. In the event that negotiations cannot be finalized to the satisfaction of both parties, the matter shall be referred to the Grievance Procedure.

24.02 The effects of an elimination of an established operation or introduction of technology, which would adversely affect the Longshoremen's hours, wages, and conditions, shall be the subject of negotiations between the parties prior to the elimination or introduction of any such operation. In the event that negotiations cannot be finalized to the satisfaction of both parties, the matter shall be referred to the grievance procedure.

ARTICLE 25

ALASKA TEAMSTER-EMPLOYER

WELFARE PLAN

25.01 Effective July 1, 2009, the Employer shall contribute to the Alaska Teamster-Employer Welfare Trust Fund, seven dollars sixty-four cents ($7.64) for each hour of compensation earned by and/or paid to each Longshoreman who performs work covered by this Collective Bargaining Agreement during a given month. The Employer and the Union agree to be bound by the Agreement and the Declaration of Trust of the Alaska Teamster-Employer Welfare Trust Fund and all lawful amendments thereto, and do further agree to accept as their representatives the employer-trustees and union-trustees who constitute the Board of Trustees of said Trust Fund and their lawful successors.

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The required contributions shall be paid to the Trust Fund for all compensable hours by the fifteenth (15th) day of the month following the month in which the employee(s) worked. The Trust Fund will furnish the transmittal forms.

25.02 It is the intent of the parties to maintain the existing level of benefits provided by the Alaska Teamster-Employer Welfare Trust. To maintain the existing level of services, the parties have attempted to anticipate the costs of providing those services. However, the parties agree that increases in the cost of providing services may exceed the contribution amounts specified in the above paragraphs. In recognition of this, the Employer agrees to pay such amount in excess of the stated contribution rate, as the Board of Trustees of the Alaska Teamster-Employer Welfare Trust determine is required to maintain the existing level of benefits.

25.03 If a Longshoreman is absent due to an on the job injury, the Employer shall continue to make contributions for said Longshoreman currently eligible based on twenty (20) hours per week, as if they were at work, for a period of one hundred twenty (120) days.

25.04 Further, if the Employer's delinquency results…