EXHIBIT 10.5
COASTCAST CORPORATION
AND
UNITED STEELWORKERS OF AMERICA
LOCAL 2018
INDEX
SECTION PAGE
AGREEMENT.....................................................................3
ARTICLE 1 Recognition........................................................3
ARTICLE 2 Union Security.....................................................3
ARTICLE 3 Check Off..........................................................4
ARTICLE 4 Management Rights..................................................5
ARTICLE 5 Wages..............................................................5
ARTICLE 6 Probationary Employees.............................................6
ARTICLE 7 Hours of Work......................................................7
ARTICLE 8 Shift Premium......................................................8
ARTICLE 9 Paid Rest Periods..................................................8
ARTICLE 10 Seniority..........................................................9
ARTICLE 11 Leaves of Absence.................................................12
ARTICLE 12 Safety and Health.................................................14
ARTICLE 13 Holidays..........................................................15
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ARTICLE 14 Vacations.........................................................16
ARTICLE 15 Group Health and Welfare Insurance................................18
ARTICLE 16 Pension Plan......................................................18
ARTICLE 17 Strikes and Lockouts..............................................18
ARTICLE 18 Grievance Procedure and Arbitration...............................19
ARTICLE 19 Bulletin Boards...................................................20
ARTICLE 20 Union Representation..............................................21
ARTICLE 21 Union Committee and Stewards......................................21
ARTICLE 22 Separability......................................................21
ARTICLE 23 Termination.......................................................22
ARTICLE 24 Waiver and Entire Agreement.......................................22
APPENDIX A Company Rules of Conduct..........................................23
APPENDIX B Section 1 Group & Job Classification and Starting Rates of Pay....26
SIGNATURE PAGE...............................................................27
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AGREEMENT
THIS AGREEMENT is made and entered into this 12th Day of May 1997,
between COASTCAST CORPORATION, referred to hereinafter as the "Company", and
UNITED STEELWORKERS OF AMERICA, referred to hereinafter as the "Union".
ARTICLE 1 - RECOGNITION
The Company recognizes the Union as the sole collective bargaining agent
on all matters pertaining to wages, hours and conditions of employment for
all its production and maintenance employees employed by the Company at its
14831 Maple Avenue, Gardena, California 90247 plant. The agreement does not
cover office employees, engineers, technicians, salesmen, tool room/die shop
personnel and supervisors or foremen having the authority to hire or
discharge, or recommend such action.
There shall be no discrimination, interference, restraint, or coercion
by the Company or any of its agents or by the Union or any activity in the
Union, or any of its members because of sex, race, color, creed, qualified
handicapped, or Vietnam era veteran status.
ARTICLE 2 - UNION SECURITY
All present employees in the unit who are not members of the Union and
all employees who are hired hereinafter shall become and remain members in
good standing of the Union as a condition of employment on and after the 31st
day following the effective date of this agreement, or after completion of 60
days of employment, whichever is the later. All such employees shall remain
members in good standing during the life of this Agreement.
The above provisions shall be effective where, when and only to the
extent that they are consistent with and not in violation of state and
federal laws.
For the purpose of this Article, an employee shall be deemed to be a
member of the Union in good standing so long as they tender the periodic dues
and initiation fees uniformly required as a condition of acquiring and
maintaining membership.
The Union will indemnify, defend and hold the Employer harmless against
all claims, demands, suits or other forms of liability that shall arise out
of or by reason of action taken or not taken by the Employer an account of a
payroll deduction of Union dues.
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ARTICLE 3 - CHECK OFF
1. The Company will check off monthly dues, assessments and initiation
fees each as designated by the International Treasurer of the Union, as
membership dues in the Union, on the basis of individually signed check-off
authorization cards in forms agreed to by the Company and the Union.
2. At the time of employment the Company will suggest that each new
employee voluntarily execute an authorization for the check-off of the Union
dues in the form agreed upon. A copy of such authorization card for the
check-off of Union dues shall be forwarded to the Financial Secretary of the
Local Union along with the membership application of such employees.
3. New check-off authorization cards other than those provided for
above will be submitted to the Company through the Financial Secretary of the
local union at intervals no more frequent than once each month. On or before
the last day of each month the Union shall submit to the Company a summarized
list of cards transmitted in each month.
4. Deductions on the basis of authorization cards submitted to the
Company shall commence with respect to dues for the month in which the
Company receives such authorization card or in which such card becomes
effective, whichever is later. Dues for a given month shall be deducted from
the fourth payroll period of each month.
5. In cases of earnings insufficient to cover deduction of dues, the
dues shall be deducted from the next pay in which there are sufficient
earnings, or a double deduction may be made from the first part of the
following month, provided, however, that the accumulation of dues shall be
limited to two months. The International Secretary Treasurer of the Union
shall be provided with a list of those employees for whom double deduction
has been made.
6. The Union will be notified of the reason for non-transmission of
dues in case of inter-plant transfer, layoff, discharge, resignation, leave
of absence, sick leave, retirement, death or insufficient earnings.
7. Unless the Company is otherwise notified, the only Union membership
dues to be deducted for payment to the Union from the pay of the employee who
has furnished an authorization shall be the monthly Union dues. The Company
will deduct initiation fees when notified by notation on the lists referred
to in Paragraph 3 of the subsection and assessments as designated by the
International Secretary Treasurer. With respect to check-off authorization
cards submitted directly to the Company, the Company will deduct initiation
fees unless specifically requested not to do so by the International
Secretary Treasurer of the Union after such check-off authorization cards
have become effective. The International Secretary Treasurer of the Union
shall be provided with a list
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of those employees for whom initiation fees have been deducted under this
paragraph.
8. The provisions of this section shall be effective in accordance and
consistent with applicable provisions of federal law.
ARTICLE 4 - MANAGEMENT RIGHTS
1. All management rights, powers, authority, and functions, whether
heretofore or hereafter exercised, and regardless of the frequency or
infrequency of their exercise, shall remain vested exclusively in the
Company. It is expressly recognized that such rights, powers, authority and
functions include, but are not limited to, the full and exclusive control,
management, and operation of its business; the determination of the scope of
its activities, materials to be acquired, products to be produced, the
location of such production, and the methods pertaining thereto; the
determination of schedules of work, production schedules, and reasonable
standards of production; the right to establish or change job classifications
and descriptions, subject to the provisions of this Agreement, the right to
introduce new or improved procedures, machinery, or facilities; the right to
maintain order and efficiency; the determination of the number, size and
location of its plants, and the extent to which and the means and manner by
which, its plants or any part thereof shall be operated, relocated and shut
down; the right to make and enforce reasonable shop rules; the determination
of the number and the assignments of duties and personnel, and the direction
of the working force including, but not limited to, hiring, suspending,
discharging, laying-off, recalling, promoting, demoting, assigning, or
transferring of its employees.
It is the intention of the Company and the Union that the rights,
powers, authority, and functions referred to herein shall remain exclusively
vested in the Company, except insofar as specifically surrendered by the
express provisions of this Agreement, provided that the exercise of such
rights shall not conflict with the provisions of this Agreement.
2. The Company's operating regulations, basic rules of conduct, and
employees' responsibilities and other standards, as revised from time to
time, shall be made available to the employees or the Union upon request.
Appendix A to this Agreement outlines the Company Rules of Conduct.
Employees will be governed by such rules and regulations and all other orders
issued by the Company which are not in conflict with an express provision of
this Agreement.
ARTICLE 5 - WAGES
1. Job Rates: Set forth in Appendix B of this Agreement are the Job
Rates for each Labor Group.
2. Employee Classifications: All non-probationary employees on the
active payroll of
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the Company, shall be classified in accordance with the Schedule of Job
Classifications and Groups, as set forth in Appendix B of this Agreement, and
shall be paid in accordance with the provisions thereof. All new employees
shall be classified upon completion of 60 days.
3. The Company shall have the right to establish new job
classifications and to assign appropriate labor grades to such
classifications; and when changes in job content warrant, to change the labor
group of any existing classification, provided such an action shall not be
directed toward changing the labor grade of a job in which no substantial
change has occurred.
When the Company establishes a new job classification or changes the
labor group of an existing classification, it shall notify the Union in
writing within forty-eight (48) hours after any such action has been taken.
Such notification shall state the basis on which the labor group was
determined. The Union shall have the right within five (5) days of receipt
of such notice from the Company to file a grievance beginning at the third
step of the grievance procedure. In the event that the Company and the Union
are unable to resolve the grievance, it may be appealed to arbitration. The
Arbitrator's decision shall be limited to a determination of proper labor
grade.
4. Effective May 12, 1997, each non-probationary employee in the
bargaining unit who was on the Company's roster as of midnight, February 28,
1997, and who received less than $0.10 cents increase on March 1, 1997 as a
result of the minimum wage increase shall have his hourly wage rate
increased by three percent (3%).
Effective May 12, 1998, each non-probationary employee in the
bargaining unit who is on the Company's roster as of midnight, February 28,
1998, and who received less than $0.10 cents increase on March 1, 1998 as a
result of the minimum wage increase, shall have his hourly wage rate
increased by two and one half percent (2.5%).
Effective May 12, 1999, each non-probationary employee in the
bargaining unit who is on the Company's roster as of midnight, May 11, 1999,
shall have his hourly wage rate increased by two percent (2.0%).
ARTICLE 6 - PROBATIONARY EMPLOYEES
No employee shall have seniority rights until they have completed sixty
(60) calendar days of employment with the Company during which time they
shall be considered a probationary employee. Upon completion of this period,
seniority shall date from the time of the date of hire. Neither the
probationary employee or the Union may bring any grievance or arbitration
under the provisions of this Agreement concerning the discharge, discipline,
demotion, transfer, or work assignment of any probationary employee.
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ARTICLE 7-HOURS OF WORK
1. The normal hours of work shall be eight (8) per day and forty (40)
per week. The daily hours of work shall be consecutive except for such
rest period and lunch periods as may be provided in accordance with the
practice established in the Company, and as mutually agreed to.
2. The normal starting time of various shifts shall be as follows:
Day Shift 6:00 a.m. to 8:00 a.m.
Swing Shift 3:00 p.m. to 5:00 p.m.
Night Shift 11:00 p.m. to 1:00 a.m.
Any employee who is required to come to work prior to the hours set
fourth or to remain at work after the hours set forth, as part of his regular
shift, shall be paid time and a half their regular rate for the actual hours
that they worked prior to or after the regular shift hours set forth above.
Any employee who is late punching-in for work will be charged in tenths of an
hour.
3. The normal work week will be the calendar week beginning at 12:01
a.m. Monday.
4. a. Hours worked in excess of eight (8) in any one day or forty (40)
in any one week shall be paid for at the premium rate of one and one-half
(1-1/2) times the regular rate, including shift differentials.
b. The provisions of 4a shall not apply in those instances when a
majority of the employees in any department, during peak season or seasonal
periods, shall agree to work a less than five (5) day week but more than eight
(8) hours on any one day. In such an event, overtime premium rates will be
paid only for those hours in that week in excess of forty (40) at one and
one-half (1-1/2) times the regular rate.
c. The provisions of 4a shall not apply in any situation where any
individual employee because of absence during any work day that week seeks to
and is granted the opportunity to work more than eight (8) hours on any other
day during that week. In such an event, overtime will only be paid at time
and a half for any hours worked in excess of forty (40) during that week.
d. With the exception of 4b and 4c, any employee who is not given
the opportunity to receive two (2) consecutive days off each week shall
receive time and a half pay for the day they work which causes their failure
to receive two (2) consecutive days off.
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5. Hours worked on the seventh (7th) consecutive day which began on the
normal work week (refer to Section 3 under this article) shall be paid at the
rate of two (2) times the regular rate. Hours worked on the sixth (6th)
consecutive day of the normal work week (refer to Section 3 under this
article) shall be paid at the rate of one and one half (1-1/2) times the
regular rate. Saturday and Sunday shall not be overtime days as such.
6. Time lost by an employee due to their own reasons, shall not be
considered as time worked for the purpose of computing overtime pay on the
sixth and/or seventh consecutive day. In computing days worked, holidays
herein mentioned and absence for the following reason will be considered as
days worked and paid for as such: The first day injured while working for
the Company.
7. Employees are expected to work overtime when production requires.
Employees will not unreasonably refuse to work overtime but when the facts
are known to the Company in advance, employees shall be given notice as
follows: Two (2) hours notice for required daily overtime, two (2) days
notice for required weekly overtime. The Company has the discretion of
selecting personnel for overtime work in accordance with production
requirements. Whenever possible, the Company will distribute overtime among
all employees qualified to perform the work in question by rotating employees
starting the rotation in order of seniority.
8. Whenever employees report for work at their regular specified times,
or are called in to work by the Company, they shall be guaranteed four (4)
hours work or four hours pay at their regular straight time rate of pay,
unless they absent themselves from work of their own volition or refuse other
work assignment.
9. The provisions of 4a and 8 shall not apply in any instance wherein,
through no fault of the Employer, an emergency situation arises through an
Act of God.
ARTICLE 8-SHIFT PREMIUM
All employees who work on the second shift shall receive an additional
twenty five cents ($0.25) per hour for all hours worked. All employees who
work on the third shift shall receive an additional forty five cents ($0.45)
per hour for all hours worked.
ARTICLE 9-PAID REST PERIODS
The employee shall have a 10 minute rest period in the first half of
each work day and a 10 minute rest period in the second half of each work
day. The time set aside for the rest period shall be at the sole discretion
of the Company and may be changed from time to time.
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ARTICLE 10-SENIORITY
1. Recognition of Seniority: The parties recognize the principal of
seniority in promotional opportunities and in employment security. In
furtherance of this recognition it is agreed that in the promotion of
employees and in the increase or decrease of the working force, will be
governed in accordance with the application of seniority as outlined in
paragraph 3a, b, c, d, of this Article.
2. Definition: Seniority shall consist of an Employee's length of
continuous service from the employee's date of most recent hire or re-hire,
whichever is later, with the plants covered by this Agreement. One seniority
list is maintained at the Gardena plant.
3. Application of Seniority: In all cases of promotion, demotion,
reduction, or recall, the following factors shall be considered:
a. Ability and skill to perform the work in question.
b. Physical fitness.
c. Work record.
d. Seniority (by classification in cases of reductions and
increases of work force). When it is determined that factors (a), (b), and
(c) above are substantially equal, then length of continuous service shall
prevail.
4. Probationary Employees: New employees of the Company shall be
considered probationary employees until they have been in the employ of the
Company for sixty (60) consecutive calendar days. Upon the completion of
such sixty (60) calendar day period they shall cease to be probationary
employees, shall be entered upon the seniority list and shall have seniority
from the date of their last hiring by the Company. For the purpose of
seniority, employees who are hired on the same calendar day shall establish
their seniority dates in order of employee identification number (clock
number) assignment. The Company expressly reserves the right to reject any
new employee at anytime prior to the completion of his probationary period.
There shall be no seniority among probationary employees and there shall be
no responsibility for the re-employment or recall of probationary employees
who have been discharged or laid off during their probationary period.
5. Promotions:
a. When the Company fills job openings by promotion in a production
department, the following procedure will be used and employees will be
considered in the following manner:
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1. Job openings will be posted plant-wide and may be bid by any
employee who has completed his probationary period. The job opening and
successful bidder will be determined by application of the provisions of
Section 3 (Application of Seniority) of this Article, with first preference
given to bidders within the Department first, then plant where opening
exists, and last preference to all other bidders.
2. If after a reasonable time, not exceeding (60) days worked on
the job, a promoted employee fails to perform satisfactorily the duties of
the position to which the employee has been promoted, the Company shall have
exclusive right to remove such employee from such position and return the
employee to the employee's former job classification and shift.
b. All permanent job openings and newly created jobs which occur
within a production department shall be posted for a period of three (3) days
excluding Saturdays, Sundays, and Holidays. Any employee who wishes to apply
for such job opening will sign the bid form provided by the Company. All
employees will be given full consideration for such jobs in accordance with
Section 5(a)1, and (2) above, before the Company seeks applications to fill
such openings from other sources. The name of the successful bidder will be
posted throughout the plant.
6. Reduction in the Work Force: When the Company determines a
reduction of the working force within a job classification in a department
within a plant is necessary, those employees who are effected shall be
entitled to displace other employees in accordance with the principal of
seniority and the following procedures:
a. Probationary employees in the job classification in which the
reduction occurs will be the first to be laid off.
b. Then, in the event employees who have established seniority with
the Company are to be affected by the reduction, those employees having the
least amount of seniority in the affected job classification will be reduced.
c. Any employee selected for reduction under Paragraph 6(b) above,
shall be entitled to displace the least senior employee in the same
classification in Gardena provided he or she is qualified to perform the job
without training. An employee who is laid off from his/her job
classification may bump the least senior employee in a previously held
classification if the job is relatively the same as that previously held.
d. The Union and the employees who will be affected will be
notified as far in advance as possible of any curtailment in operations
requiring a reduction in the working force.
e. Seniority provisions will not apply in cases of temporary
layoff. A temporary layoff
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is determined as a layoff not exceeding three (3) working days from day
of occurrence.
7. Recall: When the work force is again increased, employees reduced
from job classifications will be recalled to their previously held job
classifications in order of seniority.
8. Seniority Lists: The Local Union shall be provided with an
up-to-date seniority list upon request, not to exceed 4 times per year.
9. Shift Preference: It is the intent of the Company to place senior
employees within a job classification and department on shifts of their
preference; therefore, shift assignments will be made by the Company in
accordance with production requirements and as openings occur in the
following manner:
a. Permanent Shift Assignments: When it is necessary to permanently
transfer employees between shifts, the Company shall apply the principle of
seniority to employees in the same classification and in the same department
from which transfers are being made. The following procedure shall apply
within the department when openings exist:
1. Employees who have on file a valid shift transfer request (limited
to one request every six months) shall first be transferred in order of
seniority.
2. The Company shall then ask for volunteers who shall be transferred
in order of seniority.
3. If the vacancies cannot be filled in accordance with 1 and 2 above,
employees shall then be transferred in accordance with skills and ability to
perform the required job.
10. Transfer Out of the Bargaining Unit: Employees promoted or
transferred out of a bargaining unit will retain such seniority as acquired
prior to such promotion or transfer.
11. Department Transfers: Senior employees within a job classification
will be given preferential consideration, in accordance with production
requirements, for a transfer to other departments by completing a request for
department change and filing such request with the Personnel Department. A
copy of such request will then be given to the Union.
12. An employee shall lose all continuous service and department
seniority if the employee:
a. Quits
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b. Is discharged for just cause.
c. Is absent for three consecutive working days while regularly
employed without notifying the Company.
d. Does not return to work when called while laid off within
seventy-two (72) hours of either: a telephone call where contact is made with
the employee, or receipt of written notice by certified mail to return to
work. It is the responsibility of each employee to keep the Company advised
of his correct mailing address at all times.
e. Overstays a leave of absence or accepts other employment while
absent on leave.
f. While on layoff does not contact the Company at three (3) month
intervals.
g. While on sick leave does not contact the Company at three (3)
month intervals.
h. Layoff or absence for any reason for a period of six (6) months
by an employee of less than 5 years, or twelve months by an employee of more
than 5 years.
ARTICLE 11 - LEAVES OF ABSENCE
1. Authorized Leaves of Absence without pay, but with seniority
accumulation uninterrupted, will be granted to employees who have established
seniority with the Company in accordance with the provisions of this Article.
2. Medical Leaves.
a. Non-Occupational Illness or Injury and Maternity Leaves. The
company will grant leave of absence for medical reasons to employees who have
six months seniority. Such leaves will be granted for up to a maximum of
seven (7) months upon presentation of medical evidence satisfactory to the
Company. Where applicable, employees will be entitled to leaves of absence
in accordance with the Family and Medical Leave Act of 1993 and the Americans
with Disabilities Act of 1990.
b. Occupational Injury Leaves.
1. Employees absent because of any industrial injury sustained in
the employment of the Company shall accrue continuous service and
departmental seniority for up to one (1) year from the last day worked.
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2. Any employee injured while on duty and leaving work with approval of
the Company shall receive full pay for lost time in going to and returning
from the doctor on the day they receive such injury, and if instructed by the
doctor not to work the remainder of the shift. If a separate person is
required for transportation to the clinic, that person would be paid. Company
will pay for a maximum of (3) three follow-up visits or a total of six (6)
hours where it is a Company approved clinic or doctor and the individual
can't be scheduled through the Company during non-working hours.
c. Return to Work. Before returning to work from Medical Leaves of
Absence, employees must present to the Personnel Department a written
statement from their doctor attesting to their fitness to return to work
satisfactory to the Company.
3. Personal Leaves. Employees upon written application may be granted up
to thirty (30) calendar days Leave of Absence for personal reasons when, in
the judgment of the Company, good and compelling reasons exist and business
operations permit. Such leaves may be extended at the option of the Company.
4. Union Business Leaves.
a. Upon written request by the International Union, the Company
will grant, if operating conditions permit, and reasonable notice has been
provided, leaves up to two (2) weeks to the Bargaining Committee Chairman,
for the purpose of attending Union district conferences of International
Union conventions.
b. Absences from work of all other Bargaining Unit employees who
are Local Union Officers, or who are required to perform official Union
business will be excused, if operating conditions permit, provided request
for such absence is received by the Company's Personnel Department as much in
advance of such absence as is possible.
5. Seniority Accumulation. Employees who are granted authorized Leaves
of Absence under the provision of this Article shall continue to accumulate
seniority while on such leaves and shall be reinstated to the active payroll
upon conclusion of their Leaves of Absence in accordance with the provisions
of Article 10, Seniority.
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ARTICLE 12 - SAFETY AND HEALTH
1. The Company will provide all required safety equipment and personal
protective gear to employees as required by departmental operations. Safety
shoes will be provided for all individuals assigned to the Casting
Department, Shell Department, and Caustic Wash-Out areas. All other employees
desiring to purchase safety shoes may do so through payroll deduction. If an
individual does not desire to purchase safety shoes, they will be provided
with "Clip-On" toes guards a no expense.
2. The Company reserves the right to implement a Drug and Alcohol
testing policy designed to provide a drug free work-place in accordance with
Federal Law and Regulations. Employees will be provided with a detailed
policy and will be required to comply with the provisions of the same as a
condition of employment.
3. The Company's Drug and Alcohol testing policy will include screening
for the use of controlled substances and/or alcohol by testing of blood,
urine, and/or other body fluids under the following circumstances:
a. All applicants for employment will provide urine specimens for
laboratory testing at the time of any pre-employment physical examination,
or, if no pre-employment physical is required, at a time designated by the
Company.
b. Current employees who are involved in an industrial accident, as
defined in the Safety Policy, and who are reasonably suspected of using or
being under the influence of controlled substances and/or alcohol, will be
required to provide samples of blood, urine, and/or other body fluids for
laboratory testing as soon as possible after the accident.
c. Current employees who are reasonably suspected of using or being
under the influence of controlled substances and/or alcohol during working
hours will be required to provide samples of blood, urine, and/or other body
fluids for laboratory testing as soon as possible after the reasonable
suspicion arises.
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ARTICLE 13 - HOLIDAYS
1. The following holidays will be paid for at the employee's basic
straight-time hourly rate of pay (eight hours) when not worked, subject to
all the provisions of this Article:
New Year's Day Labor Day Memorial Day
Thanksgiving Good Friday Christmas Day
Independence Day 1 Floating Holiday
* The Floating Holiday shall be observed in each year on a day selected by the
Company. The Company will advise the Union in each year of the selection at
least thirty (30) days before the selected day.
2. It is the intent of this Article to pay holiday pay for time not
worked only to employees who have been in the employ of the Company for at
least sixty (60) days or more prior to the observed holiday.
3. To be eligible for holiday pay, when not worked, an employee must
have worked the scheduled work day of the plant immediately prior and
immediately following such holiday, unless absent as a result of a verified
illness or injury that lasts no longer than two (2) calendar weeks, unless
such absence is for a good and sufficient reason, acceptable to Management.
4. Any employee who works on any of the above holidays shall be paid
their overtime rate of time and one-half their regular straight-time hourly
rate of pay for all work performed on the holiday, plus the eight (8) hours'
holiday pay.
5. Any employee who is scheduled by the Company to performs work on a
holiday, who agrees to report, and fails to report, shall not receive pay for
the unworked holiday, unless their failure to report is for a reason clearly
beyond control of the employee.
6. Should one of the above-enumerated holidays occur during the regularly
scheduled vacation period of an employee, the employee shall receive an extra
day's pay computed at the employee's basic hourly rate of pay.
7. Should one of the above-mentioned holidays occur on a Saturday or on
a Sunday, the Company retains the right to observe said holidays on either
the Friday immediately preceding the holiday or on the Monday immediately
following the holiday, or an additional day's pay (eight hours) may be paid
to the employee at his basic straight-time hourly rate of pay without
specifically
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observing said holiday.
8. An employee who is not on the active payroll of the Company
(including Leave of Absence or Layoff) at the time the holiday occurs, shall
not receive holiday pay for such holiday unless the absence commenced in the
calendar week in which the holiday falls.
ARTICLE 14 - VACATIONS
1. After completion of six (6) months of full time continuous
employment. Employees will earn paid vacation as follows:
Length of Service Vacation Accrual Rate
----------------- ---------------------
a. Less than six (6) months. Accrual Rate: -0- hrs. No vacation time accrues.
b. More than six (6) months but Accrual Rate: 0.219 hrs. per day. Equal to one
less than one (1) year. week (40 hours) by the end of the 1st year.
c. More than one (1) year but Accrual Rate: 0.219 hrs. per day. Equal to two
less than seven (7) years. weeks (80 hours) by the end of each full year of
continuous employment.
d. More than seven (7) years. Accrual Rate: 0.329 hrs. per day. Equal to three
weeks (120 hours) by the end of each full year
of continuous employment
2. Employees whose length of service from their hire date, as defined in
paragraph 6 of this Article, was greater than seven (7) years as of July 21,
1987, and who have had no break in service since July 21, 1987, as defined in
paragraph 6 of this Article, will be eligible to accrue vacation at a rate of
0.438 hours per day, equal to four weeks (160 hours) by the end of each full
year of continuous service after 15 years.
3. Vacation pay will be computed by multiplying each employee's basic
straight-time hourly rate by all vacation hours requested. Vacation pay will
be paid to the eligible employee on the last regularly scheduled pay period
immediately prior to the scheduled vacation.
4. The Company reserves the exclusive right to close the plant for an
annual vacation period to permit all eligible employees to take their
vacations at the same time. In the event the Company elects to close the
plant for vacation purposes, the Company agrees to give the employees at
least thirty (30) day written notice in advance of such closing. In the event
the Company elects not
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to close the plant for annual vacation, it is understood and agreed that
vacation time off shall, insofar as possible, be granted at the time most
desired by the employee; however, final right to allotment of vacation
periods is reserved exclusively by management in order to ensure the orderly
operation of the plant. Any individual entitled to vacation time may take up
to the number of days he/she has accrued. Individuals requesting vacation
must do so by completing the necessary form at the Personnel office not later
than two weeks prior to the beginning of the vacation.
5. Time not worked but paid for, in accordance with this Agreement, shall
be included in vacation pay computation.
6. An employees' period of service shall be determined by the employee's
first employment in the Company and shall be presumed to have been continuous
unless interrupted by resignation or discharge. In cases of re-employment
after an interruption of service continuity, such employee's period of
service shall begin as of the date of last re-employment.
7. In the event it is mutually agreeable to both the employee and the
Company, the employee may work their vacation time, providing they receive
their vacation pay in addition to regular compensation for time worked.
8. It is agreed that the intent of this section is to provide full
vacation to eligible employees who have earned vacation by consistently
working. Accordingly, vacation will not be earned or accrued for the entire
period of a personal leave of absence or a non-job related injury or illness
disability for more than two (2) weeks. In the case of a job related injury
or illness disability, vacation will not be earned or accrued after the
fourth (4th) week of absence. It is understood that an employee who has not
been on a leave of absence for a period of more than two (2) weeks is
considered to be consistently working.
9. Notwithstanding the accrual rates set forth in paragraph 1 of this
Article, no employee shall accrue more than the number of vacation hours
normally accrued during one and a half years. Accordingly, employees will
cease to accrue vacation after accrual has reached the maximum accrual as
indicated below until such time as he or she is paid for vacation:
Annual Accrual Maximum Accrual
-------------- ---------------
2 Weeks (80 Hours) 3 Weeks (120 Hours)
3 Weeks (120 Hours) 4 & 1/2 Weeks (180 Hours)
4 Weeks (160 Hours) 6 Weeks (240 Hours)
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ARTICLE 15 - GROUP HEALTH AND WELFARE INSURANCE
The Company shall maintain medical and hospitalization insurance
benefits for its employees who have completed their probationary period.
The cost of the insurance to the employee will be as follows:
Employee only 0.00
Employee and Dependents 1/3 of the cost to the company of
dependent coverage. Effective
10/1/96 the cost for dependent
coverage is $14.36 per week.
It is agreed that in the event that a mandated National Health Insurance
Plan is enacted, this article may be open for negotiation upon the written
notification by registered mail of one party to the other of the desire to do
so.
The Company shall administer a voluntary dental plan for its employees
who have completed their probationary period. Employees will pay the full cost
of coverage for themselves and for their dependents through payroll deduction.
ARTICLE 16 - PENSION PLAN
The Company shall provide a Pension Plan for all eligible employees.
Employees who may have earned a greater amount under the old plan will have
that greater amount secured. The plan shall provide a monthly benefit after
vesting as listed below for each year of accredited service up to 35 years.
Effective May 12, 1997 $10.40 @ month
Effective May 12, 1998 $10.60 @ month
Effective May 12, 1999 $10.85 @ month
ARTICLE 17 - STRIKE AND LOCKOUTS
1. During the term of this Agreement, neither the Union, its officers,
agents, members, nor any employee of the Company, will authorize, instigate,
aid, condone, participate in, or engage in a strike, work stoppage, slowdown,
boycott, picket line, sympathy strike, or other interruption, or interference
of work or any impeding of production or business of the Company, regardless
of
18
whether there is a claim by the Union of a breach of this Agreement or of
state or federal law by the Company be discharged or otherwise disciplined;
provided; in such case the only arbitrable issue will be whether the
employee or employees so discharged or disciplined in fact engaged in the
prohibitive conduct.
2. In the event of occurrence of a wildcat or unauthorized strike, the
Union shall immediately:
a. Notify the employees that such wildcat strike is unauthorized;
b. Promptly order its members to return to work;
c. Do whatever it can to prevent or stop such unauthorized acts.
3. During the term of this Agreement, the Company shall not cause,
permit or engage in any lockout of its employees.
ARTICLE 18 - GRIEVANCE PROCEDURE & ARBITRATION
The purpose of this Article is to provide an efficient and orderly
method for the settlement of disputes between the Company and the Union over
the interpretation, meaning, application, compliance or claimed violation of
any of the provisions of this Agreement.
STEP 1: The aggrieved employee within three working days, or when the
employee should reasonably have been aware of the event, will orally present
the dispute to their immediate supervisor. The employee shall have the right
to seek the assistance of a Union committee person. Upon request, an employee
shall have the right to have a union committee person present during any
investigatory meeting which may lead to discipline.
STEP 2: If the grievance is not settled in Step 1, the grievance shall
be reduced to writing by the employee or the Union within five (5) working
days from the time of the occurrence which gave rise to the dispute. The
Company's Personnel Manager, a Union Committeeman, the Union's Business
Representative/Agent shall meet to resolve the dispute.
STEP 3: If the grievance is not settled in Step 2 within five (5)
working days it shall be referred for settlement meeting to the Company's
Personnel Manager, a Union Committeeman who may represent the local union,
and the International Representative. The request for a settlement meeting
must be made in writing to the Company's Personnel Manager within 5 working
days after the receipt of the Company's answer.
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STEP 4: If the grievance has not been mutually resolved in Step 3 it
may be appealed to arbitration by written notice by the Union to the Company
within five (5) working days following the settlement meeting and the receipt
of the Company's answer.
Time Limitations: The time limitations set forth in this Article are of
the essence to this Agreement. No grievance shall be accepted by the Company
unless submitted or appealed within the time limits set forth in this
Article. If the grievance is not timely submitted at any of the steps above,
it shall be waived.
Arbitration: If the Company or the Union chooses to arbitrate as set
forth in this Article, The American Arbitration Association shall be asked to
submit a list of at least nine (9) arbitrators from whom the company and the
Union will choose to hear the dispute. The function of the Arbitrator shall
be of judicial nature and not have the power to add to, ignore or modify any
of the terms and conditions of this contract. The decision of the Arbitrator
shall not go beyond what is necessary for the interpretation and application
of this contract or the obligations of the parties under this contract to the
specific grievance under arbitration. No decision shall decide issues not
directly involved in the case.
The Arbitrator's decision shall be binding upon the parties. The
parties shall equally divide and pay the fees and expenses of the Arbitrator.
Grievances regarding only alleged improper discharge must be filed in writing
with the Personnel Manager within five (5) working days after the discharge
at which time it shall begin at Step Two (2) of the grievance procedure.
Other grievances shall follow the steps outlined above.
The parties intend that this grievance and arbitration Article shall be
the exclusive means by which disputes are resolved in all matters arising out
os this Agreement or any matter arising from an employee's employment with the
Company including, but not limited to, claims that the employee has been
discriminated against on the ground of age, sex, race, religion, national
origin, medical condition, handicap, sexual preference or any claim of
sexual harassment or any claim under the Americans With Disabilities Act, as
long as it does not infringe upon the employee's individual rights.
ARTICLE 19 - BULLETIN BOARDS
The Company shall provide space for a bulletin board in each plant for
posting of Union notices and general information pertaining to the activities
of the Union as are approved by the Company.
20
ARTICLE 20-UNION REPRESENTATIVES
The authorized representatives of the Union (Local Business Agent and/or
United Steelworkers of America Staff Representative) shall have the privilege
of appearing upon the Company property during the regular working hours in
order to meet with the Company's Director of Personnel in his/her office.
The authorized representatives of the Union will be granted access to such
other areas of the Company's premises and for such purposes and at such times
as the Director of Personnel may approve in advance of such visits. Such
access or approval will not be unreasonably denied.
Except as provided in this Article, non-employee representatives or
agents of the Union may not enter upon the Company's premises at any time.
ARTICLE 21-UNION COMMITTEE AND STEWARDS
It is agreed that a committee of six (6) employees shall be selected by
the members of the Union and shall be known as the Union Committee or
Stewards. Said Committee may meet with the Company at times fixed by mutual
interest and to settle differences concerning the meaning, application or
interpretation of this Agreement. The Company shall not be required to
recognize any employee as Steward unless the Union has informed the Company,
in writing of the employee's name, department and designation as a Steward.
The Committee Chairman at Gardena, may be permitted to visit other
departments for the purpose of conducting Union business, providing he
receives permission from his supervisor or the supervisor of the department
that he visits. Neither the Committee Chair nor any steward may conduct
Union business during any employee's working time.
Except as necessary to attend a grievance step as set forth in Article
18, a Union committee member or steward shall not be compensated by the
Company for his Union activities and shall perform such duties during times
when he is not scheduled to work for the Company.
ARTICLE 22-SEPARABILITY
Every clause of the Agreement shall be deemed separable from every other
clause of the Agreement and in the event that any clause or clauses shall be
finally determined to be in violation of any law by judgement or decree of
any court of competent jurisdiction then any such clause or clauses only, to
the extent only that any may be in violation, shall be deemed unenforceable
without impairing the validity and enforceability of the rest of the
Agreement.
21
ARTICLE 23-TERMINATION
This Agreement shall continue in full force and effect until midnight
May 11, 2000, and shall thereafter be renewed automatically for further
periods of one (1) year each, unless sixty (60) days prior to the expiration
date of this Agreement or any renewal thereof, notice in writing by
registered mail is given by either party to the other of a desire to
terminate this Agreement, or any renewal thereof, and upon the mailing of
such timely notice, this Agreement or any renewal thereof, shall terminate at
its expiration date.
ARTICLE 24-WAIVER AND ENTIRE AGREEMENT
The parties acknowledge that during the negotiations resulting in this
Agreement, each had the unlimited right and opportunity to make demands and
proposals with respect to any and all subjects or matters not removed by law
from the area of collective bargaining and that the understandings and
agreements arrived at by the parties after exercise of that right and
opportunity are set forth in this Agreement. Therefore, the Company and the
Union each voluntarily and unqualifiedly waives the right, and each agrees
that the other shall not be obligated, to bargain collectively with respect
to any subject or matter referred to or covered in this Agreement even though
such subject or matter may not have been within the knowledge or
contemplation by either or both of the parties at the time that they
negotiated or signed this Agreement. All rights and duties of both parties
are specifically expressed in this Agreement and such expression is
all-inclusive. Any benefit existing prior to this Agreement is negated
unless specifically incorporated into this Agreement. This does not apply to
written policies the Company has presently in effect and not in conflict with
the collective bargaining agreement.
22
APPENDIX A
COMPANY RULES OF CONDUCT
It is essential that all rules of good conduct be observed to maintain good
working relations among all. Violations may result in disciplinary action.
I. Violation of any of the following rules or conduct may result in
discharge without prior warning:
a. Fighting on Company property.
b. Gambling on Company property.
c. Immoral or indecent conduct.
d. Stealing from the Company or fellow employees.
e. Refusal to carry out work assignments.
f. Falsification or misuse of Company records.
g. Knowingly punching the time card of another employee.
h. Reporting for work under the influence of alcohol or narcotics,
or using, possessing or selling intoxicating beverages or illegal
narcotics on Company property.
i. Willful damage to company property or that of another employee.
j. Possession of firearms or other harmful weapons on Company
property.
k. Use of abusive language toward fellow employees or supervisors.
l. Two wage garnishments within a twelve (12) month period.
m. Deliberate or repeated negligence in reporting production
quantities, operation or work performed, and other reports.
n. Performing personal work during working hours.
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2. Violations of any of the following rules of conduct may result in
written warning, disciplinary layoff, or discharge:
a. Violations of Safety Rules.
b. Quitting work early without permission of your supervisor.
c. Misuse or tampering with fire protection or safety equipment.
d. Excessive tardiness or absences from work.
e. Absence from assigned work station without permission.
f. Failure to punch your time card.
g. Failure to report to your supervisor any damage you may have
caused to Company's or co-worker's property.
h. Horseplay.
i. Coercion or intimidation of another employee.
j. Malicious or idle gossip detrimental to the Company or its
employees.
k. Creating or contributing to unsanitary working conditions.
l. Unauthorized solicitations for any purpose during working hours
on Company property; unauthorized distribution of literature in
working hours.
m. Deliberate ridicule of your fellow employee's race, color,
religion and/or disability.
n. Failure to achieve or sustain minimum quality and quantity
standards.
o. Discarding litter on Company premises or parking lot.
p. Parking on "reserved" or "no parking" areas; blocking exits,
fire hydrants, etc.
q. Negligence contributing to the damage to tools, equipment, or
other property of the Company or fellow employees.
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r. Working another job while employed full time with Coastcast
Corp. is prohibited without the express permission of the Company.
s. Failure to report to supervisor or personnel department on
absenteeism or excessive tardiness.
25
APPENDIX B
SECTION I -- GROUP AND JOB CLASSIFICATIONS AND STARTING RATES OF PAY:
GROUP I
Cone Assembler Inspector
Dewax Operator Janitor
Deburrer Wax Set Up Person
Finishing Machine Operator Wax Base Runner
Grinder Wax Preparer
Injector Wax Painter
Shell Dipper B
Starting Rate of Pay: 12/4/96: $4.75; 3/1/97: $5.00; 9/1/97: $5.15;
3/1/98: $5.75
GROUP II
Caustic Wash Out Heat Treat Operator
Knock-Out Operator Shell Dipper A
High Pressure Wash-Out Straightener
Cut-Off Trainee Shell Robot Operator
Forklift Operator Truck Driver
Foundry Helper Vacuum Furnace Op Trainee
Foundry Welder Welder
Starting Rate of Pay: 5/12/97: $5.40; 9/1/97: $5.50 3/1/98: $6.10
GROUP III
Melter Maintenance Electrician B
Vacuum Furnace Operator Maintenance Mechanic B
Cut-Off Operator
Starting Rate of Pay: 5/12/97: $7.00
GROUP IV
Maintenance Mechanic A Senior Vacuum Furnace Operator
Maintenance Electrician A
Starting Rate of Pay: 5/12/97: $9.00
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Executed by the parties the day and year first above written:
UNITED STEELWORKERS OF AMERICA COASTCAST CORPORATION
AFL-CIO/CLC
/s/ George F. Becker /s/ Richard W. Mora
- ------------------------------------- --------------------------------------
George F. Becker Richard W. Mora
International President President & COO
/s/ Leo W. Gerard /s/ Jon Kuartzer
- ------------------------------------- --------------------------------------
Leo W. Gerard, International Jon Kuartzer
Secretary/Treasurer Vice-President of Operations
/s/ Richard H. Davis /s/ Robert C. Brunning
- ------------------------------------- --------------------------------------
Richard H. Davis, International Robert C. Brunning
Vice-President, Administration Chief Financial Officer
/s/ Leon Lynch /s/ Roberto Roman
- ------------------------------------- --------------------------------------
Leon Lynch, International Roberto Roman
Vice President, Human Affairs Director of Human Resources
/s/ Jack R. Golden
- -------------------------------------
Jack R. Golden, Director, District 12
/s/ Wayne A. Clary
- -------------------------------------
Wayne A. Clary, Sub-District Director
/s/ James Jaurnett
- -------------------------------------
James Jaurnett, Business Representative
/s/ Jose L. Valencia
- -------------------------------------
Jose L. Valencia, Committee Member
/s/ Javier Vera
- -------------------------------------
Javier Vera, Committee Member
/s/ Rafael Macias
- -------------------------------------
Rafael Macias, Committee Member
/s/ Obdulia Diaz
- -------------------------------------
Obdulia Diaz, Committee Member
/s/ Florencio Bermudez
- -------------------------------------
Florencio Bermudez, Committee Member
27