COLLECTIVE AGREEMENT BETWEEN ADT SECURITY SERVICES CANADA, INC. And LOCAL 636 OF THE INTERNATIONAL BROTHERHOOD OF ELECTRICAL WORKERS

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1 COLLECTIVE AGREEMENT BETWEEN ADT SECURITY SERVICES CANADA, INC. And LOCAL 636 OF THE INTERNATIONAL BROTHERHOOD OF ELECTRICAL WORKERS (A.F. ofl., C.I.O., C.L.C.) Effective: Expiring: March 1, 2011 February 28, 2015

2 Table of Contents TABLE OF CONTENTS... 2 AGREEMENT... 3 MUTUAL INTEREST CLAUSE... 3 ARTICLE 1- UNION RECOGNITION... 3 ARTICLE 2 -NO DISCRIMINATION... 4 ARTICLE 3- MANAGEMENT RIGHTS... 4 ARTICLE 4- WORKING CONDITIONS... 4 ARTICLE 5- STATUTORY HOLIDAYS... 5 ARTICLE 6 -WAGES... 6 ARTICLE 7- WAGES - OVERTIME... 9 ARTICLE 8- VACATION ARTICLE 9- LEAVE OF ABSENCE ARTICLE 10- SENIORITY ARTICLE 11 -GRIEVANCE PROCEDURE ARTICLE 12 -REPRESENTATIVES ARTICLE 13- DISCHARGE OR SUSPENSION CASES ARTICLE 14- HEALTH AND WELFARE BENEFITS ARTICLE 15 - UNIFORMS ARTICLE 16- SPECIAL PROVISIONS ARTICLE 17- TRAVELING EXPENSES ARTICLE 18- SEVERANCE PAY ARTICLE 19- STRIKES AND LOCKOUTS ARTICLE 20- HIGH VOLUME INSTALLATION ARTICLE 21- HEALTH AND SAFETY ARTICLE 22- MODIFICATION AND TERMINATION SCHEDULE 'A' SCHEDULE 'B' 2

3 AGREEMENT Agreement entered into this I st day of March, 20 II, between A.D. T. SECURITY SERVICES CANADA, INC., hereinafter referred to as "the Company", and LOCAL UNION 636 of the INTERNATIONAL BROTHERHOOD OF ELECTRICAL WORKERS, hereinafter referred to as "the Union". MUTUAL INTEREST CLAUSE The economic interest of the Employer and the Employees is better served through the expressed cooperation of the Employer and the Union. Close contact and a mutual sympathetic interest between the Employer and the Employees will develop a better working system which will tend to constantly improve distribution, production and service, while improving the relationship between the Employer, the Employees and our customers. Article 1 - Union Recognition l.oi The Company agrees to recognize the Union as the sole collective bargaining agent for such Employees of the Company at Cambridge save and except Supervisor, persons above rank of Supervisor, clerical and sales staff. It is recognized that only those Employees within the electrical protection industry are covered by this agreement No condition of work, wage rates, job classification or security, insurance arrangements or any privilege heretofore in effect will be made less favorable to the Employee though the signing of this Agreement. I.03 All new Employees shall upon date of hire by the Company, make application for membership in the Union. All applicants must become members of the Union and shall remain members of the Union as a condition of employment. If the Union has not received such application for membership at the end of thirty (30) days, the Company shall be notified and the Employee discharged The Company shall deduct a sum equivalent to monthly dues, as prescribed by the Union, from the weekly pay of each Employee, including an Employee's first pay, to whom this agreement applies. The amounts so deducted shall be forwarded to the Union no later than the 20th day of the month following the month in respect of which the dues are deducted. The submission shall be accompanied with a report by branch and by alphabetical listing of the names of each Employee on behalf of whom the deductions were made and the amount deducted on behalf of each Employee, and the information upon which deductions were calculated. It is understood that the Company does not undertake to make deductions for non-pay periods, initiation fees or special assessments. 3

4 1.05 The Company agrees to grant all members of the bargaining unit access to their personnel files during regular working hours. Such permission shall be arranged through each Employee's immediate supervisor at a mutually agreed time. Article 2 - No Discrimination 2.01 Under the provisions of this Agreement, each employee is entitled to equal treatment with respect to employment without discrimination on the grounds of race, ancestry, place of origin, color, ethnic origin, citizenship, creed, sex, sexual orientation, age, record of offences, marital status, common law relationships, same sex partnership status, family status, disability or religion Whenever the singular or masculine is used in this agreement, it shall be considered as if the plural or feminine has been used when the content of the Agreement so indicates. Article 3- Management Rights 3.01 The Company shall remain vested with full exclusive control of the management and operation of the Company and with the direction and supervision of the working forces; including the right to hire, discipline or discharge Employees for just cause, or to transfer Employees temporarily or permanently to new duties, or to relieve Employees from duty because of lack of work or for other legitimate reasons, or to schedule its operations; or to extend, limit, curtail or reschedule its operations, when in its sole discretion it may deem it advisable to do so, providing that any claim by the Union that these rights are exercised in a discriminatory manner shall be considered a grievance, and shall be dealt with in accordance with the terms of the Agreement. The rights reserved to Management, herein, are subject to the provisions of this Agreement and should be exercised in a manner consistent with them. The dismissal or discipline of probationary Employees is within the sole discretion of Management and is not subject to the Grievance Procedure. Article 4- Working Conditions 4.01 The standard working week shall be forty (40) hours. Normal working hours for Employees assigned to Serviceman I assignments shall be from Monday to Friday, 8:00 a.m. to 4:30 p.m. with one-half (1/2) hour for lunch to be taken between the hours of 11 :30 a.m. and 1 :00 p.m. If it is found necessary to schedule work at times other than normal working hours, such work shall be rotated by inverse seniority among those Employees qualified to do this type of work. Night shift and weekend shift hours shall be 4:00 p.m. to midnight, midnight to 8:00 a.m., 8:00a.m. to 4:00p.m. and 1:00 p.m. to 9:00p.m. May also include shifts of: week 1- Tuesday to Friday 1 :00 p.m. to 11 :00 p.m., week 2- Monday and Friday 1:00 p.m. to 11:00 p.m. and Saturday and Sunday 12:00 p.m. to 10:00 p.m. 4

5 4.02 With regard to mutual arrangements for temporarily exchanging days of work, all mutual arrangements must be agreeable to management. All replacements must be in the same category Employees shall be required to complete their own work reports including but not limited to the following: Service reports, Truck reports, Hours worked reports, and Faulty Equipment reports Unless notified to the contrary forty-eight (48) hours before, an Employee reporting for work shall be guaranteed work at his regular rate of pay for the full shift or if no work is provided, he shall be paid at his regular rate for the full shift Before any permanent change in the present rotating shift schedule is introduced, the change must be mutually agreed upon between the Company and the Union Each Employee shall be provided with an eating period of at least one-half (1/2) hour, or such shorter periods as necessitated by emergency conditions, at such intervals that will result in no employee working longer than five (5) consecutive hours without an eating period The Company agrees to give three (3) working days notice of a change of shift, excluding promotions or demotions. If three (3) working days notice is not given, the Company agrees to pay an additional eight (8) hours for the first shift of each change If as a result of a shift change, an employee is required to start a new shift on a scheduled day off, the Employee will be paid an additional eight (8) hours pay, as well as any entitlement for payment pursuant to Article (a) Under emergency situations, if mutually agreed, Employees may have to work longer than sixteen ( 16) consecutive hours. (b) Employees scheduled to work more than two (2) hours beyond their regular scheduled shift of eight (8) or ten (1 0) hours as the case may be, shall be afforded 30 minutes of paid eating time and a meal allowance as follows: March 1, 2011 March 1, 2012 March 1, 2013 March 1, 2014 $11.51 $11.80 $12.09 $ (a) (b) The meal allowance is repeated every four ( 4) hours thereafter until the overtime is completed, or until4.09 (a) applies, whichever comes first. ADT Unit Commission Installation Compensation Program- Commercial. Utilizes a different method of compensation for Employees involved in installation. ADT will guarantee a minimum of forty ( 40) estimated installation hours of work per week. 5

6 (c) An installer will coordinate his own schedule with ADT to coincide with scheduled installations and completion dates. (d) The installer will be responsible for reliable system installation, excluding delays incurred because of product defects or late delivery, for the first thirty (30) days after connection to the Customer Service Center (CSC). Workmanship to be in accordance with ADT standards. (e) Compensation will be forty ( 40) hours pay for completion of the forty ( 40) estimated hours, paid at the applicable installer's rate of pay. Hours in excess of the guaranteed minimum will be paid on a weekly basis. (f) Additional estimated hours competed beyond the guaranteed minimum of forty ( 40) hours per week will be paid on a straight time hourly basis. Payment in full will be based on jobs completed. (g) During the period of approved training, the installer will be paid at prevailing rates. (h) Should problems arise concerning the administration of this program, the parties will meet to discuss the problems. This meeting will take place within two weeks of being requested. (i) In the event of a lay off, the terms of the Collective Agreement will apply. Article 5 - Statutory Holidays 5.01 The following holidays shall be paid at the Employee's regular rate when not scheduled to work: New Year's Day Family Day Good Friday Victoria Day Employee's Birthday Canada Day Civic Holiday Labour Day Boxing Day *Floater Holiday Thanksgiving Day Christmas Day With mutual agreement between the Employee and the Company, a day other than the Employee's actual birthday may be designated as the Employee's Birthday for the purposes of Article 5. The day worked shall be paid at regular rates. *An additional floating holiday will be granted as a statutory holiday. While this floater is intended to be taken at a time convenient to the Company and the Employees, the Company reserves the right to schedule said date for business reasons. In the event the Federal or Provincial government declares an additional statutory holiday, it is understood that it will replace this floater Employees scheduled to work on any of the twelve (12) Statutory Holidays referred to in Article 5.01 shall be paid eight (8) hours straight time for the holiday plus time and one-half for the first eight (8) hours worked. All hours worked over eight (8) shall be paid at double time. If satisfactory to the Company and the Union, Employees who work on a statutory holiday and wish to take their holiday at a later date mutually agreed upon, can do so and they will be paid time and one-half for the hours worked and straight time for the day they take off. Employees who are not scheduled to work on a statutory holiday but are called in 6

7 to work under conditions outlined in Article 7.03 shall be paid straight time for the holiday, plus double time for the work performed. Subject to Company approval, an employee has the right to save statutory holidays for days off but must use unused days by December 31st. Employees who are assigned to the compressed work week ( 4 x 10 hours) shall be entitled to ten (1 0) hours at straight time for statutory holidays listed in Article Irrespective of the foregoing Articles 5.01 and 5.02, the new employee must complete one (1) month's service with the Company before he will be entitled to extra pay for a statutory holiday and part-time Employees working a schedule of twenty (20) hours or less per week shall be entitled to statutory holiday pay for all of the statutory holidays as per Article Formula is as per the Employment Standards Act of Ontario or as amended Employees scheduled to work on a Statutory Holiday but who do not report for work shall not be paid their Statutory Holiday pay unless their absence is through sickness or other justifiable cause. Verification or reason for absence is to be supplied, if requested When any Statutory Holiday falls on a Saturday or Sunday, the Company shall designate either the Friday before or the Monday after as a holiday. Employees whose regular schedule includes Saturday or Sunday shall continue to observe the actual holiday The holiday shall be from 12 midnight to 12 midnight on the day designated by the Company as the holiday Where a Statutory Holiday falls within an Employee's vacation period, he shall receive an extra day's pay or an extra day's vacation, whichever he selected. Article 6 - Wages 6.01 Occupational classifications and wage scales are set forth in Schedule 'A' of this Agreement Where an acting supervisor is required to be in charge of a shift, the acting supervisor shall be paid $1.75 per hour (one dollar and seventy-five cents) over Serviceman I rates Employees will be paid by cheques or direct deposit, every Thursday by 4:30p.m. except in exceptional circumstances, in which case payment will be made by Friday at noon. Where paid by cheques, the Employees who desire their pay cheques mailed to their residence must make their request in writing. Should the method of payment be changed to direct deposit, there will be no bank charge incurred by the Employee as a result and the funds will be deposited as specified by the Employee The wage rates of any new job classification originated by the Company will be negotiated between the Company and the Union. 7

8 6.05 When an Employee is required to serve on jury duty, the Company agrees to pay the Employee the difference between his hourly jury pay and his regular hourly pay. If an employee is required to and does appear in court to carry out his duty as an Employee of ADT, said Employee will receive his regular hourly pay All time spent in court as a witness pertaining to Company business on an Employee's own time will be compensated for at time and one-half (1 ~)with a minimum ofthree (3) hours Whenever necessary, Employees who cannot attend training school on "Company Time", or any other special training classes, and who are requested by the Company to attend such classes on their own time, after working hours, will be paid at their regular rate for all time spent training Bereavement Leave (a) An Employee shall be paid at his regular rate of pay if scheduled to work during absence not exceeding five (5) consecutive working days, for the purpose of attending the funeral of a member of the Employee's immediate family, defined for the purpose hereof to include the Employee's spouse, common-law spouse, same sex partner, child, mother, father, stepdaughter, stepson, stepmother or stepfather. (b) Three (3) consecutive working days shall be granted for sister, brother, stepsister, stepbrother, mother-in-law, father-in-law, grandmother, grandfather, grandson and granddaughter. (c) One (1) working day shall be granted for son-in-law, daughter-in-law, brother-in-law and sister-in-law. (d) Employee to supply pertinent information for such absence to the Manager and if not available, the Supervisor, prior to scheduled tour of duty The starting rate shall be within each occupational classification as set forth in Schedule 'A' of this Agreement and shall be increased after each six ( 6) months of service, until the Employee reaches the top rate of his classification. In the case of a promotion, the promoted Employee shall receive at the time of promotion the rate in the classification to which he is promoted consistent with his length of service with the Company. Increases or decreases in an Employee's rate of pay shall not be made effective while an Employee is absent due to sickness, accident or leave of absence No Employee's rate shall be reduced during the life of this Agreement, except where he is unable to carry on his duties or except where an allowance for reductions is otherwise set forth in this Agreement, in which case at the option of the Company he may be demoted to a lower classification and receive the rate of pay in the classification to which he is demoted consistent with his length of service with the Company. 8

9 6.11 Employees temporarily transferred or required to do work carrying higher pay shall, after working one (1) hour per pay period, receive retro-actively, the wage within the classification of the Employee replaced in accordance with the temporarily transferred Employee's length of service The company agrees to pay an additional sum per hour for the work performed on afternoon and night shift (4:00 p.m. to 8:00 a.m.) on Statutory Holidays and weekends. This additional sum shall apply only to the hours effectively worked. Effective March 1, 2011, a shift premium of $0.88 per hour will be paid for all hours worked excluding regular Monday to Friday 8:00 a.m. to 4:30p.m. hours and day shift overtime with the exception of Statutory Holidays and shift replacements. March 1, 2012 $0.90. March 1, 2013 $0.93; March 1, 2014$0.95. Article 7 - Wages - Overtime 7.01 All time worked over eight (8) hours in one (1) shift shall be overtime Overtime shall be paid on the following basis: time and one-half for the first four ( 4) hours of overtime on all regular work days and double time thereafter until relieved Double time shall be paid for all work performed at the Company's request on the Employee's day off Employees called into work outside of their regular working hours shall receive double time for such work and shall be guaranteed at least two (2) hours' work or pay for same. This paragraph covers the instance where the Employee is called into work on his time off and returns to his home immediately following completion of the work. The Employee shall be paid from the time he leaves his home until he returns Overtime is to be divided equally amongst all qualified Employees and shall be worked only by Regular Employees if available, with reasonable notice Employees called into work up to four (4) hours prior to their scheduled tour of duty, shall be paid at the double time rate for additional hours worked. Any hours worked exceeding the additional four (4) hours prior to or after the scheduled tour of duty will be paid at double time Employees called on the phone for consultation, with supervisory approval and outside their regular work hours, shall be paid a minimum of one hour at straight time for calls received during any calendar day Eligible associates will be assigned on a weekly rotating basis not to exceed seventy-three (73) hours to ASI standby duty and will be paid $ effective March 1, 2011, and $ effective March 1, 2012 and $ effective March 1, 2013 and $ March 1, In the event that the standby hours are reduced or increased during the life of the Agreement, the applicable rate in place 9

10 will be reduced/increased in direct correlation. Eligible Employees shall include all qualified Employees living within 50 km. of the Cambridge Sales and Service office. Exception to the 50 km. radius may be granted provided the Company deems it to be both efficient and cost effective to do so. Any Employee working on a standby basis will be required to carry a Company provided pager, and be prepared to respond at any time in a quick and responsible manner. Standby will not be used to cover for vacation. An Employee who is on call for an actual Statutory Holiday (not an observed holiday pursuant to 5.05) will receive a day off in lieu with pay or pay in lieu, at the Employee's option, in addition to the applicable overtime rate. The day off work will be granted at a time mutually agreed upon by the Employee and the Supervisor. Employees who have scheduled one (1) weeks' vacation or more shall not be scheduled for standby duty on the week prior to commencement of vacation. Article 8 - Vacation 8.01 Employees with less than one (1) year's service shall receive vacation pay as stipulated in the Ontario Employment Standards Act Employees who have completed the required number of years of service shall receive vacation entitlement with pay as follows: 1 year but less than 3 years 3 years but less than 1 0 years years but less than 20 years- 20 years but less than 26 years- 26 years but less than 27 years- 27 years but less than 28 years- 28 years but less than 29 years- 29 years but less than 30 years- 30 years+ 80 hours 120 hours 160 hours 200 hours 208 hours 216 hours 224 hours 232 hours 240 hours 8.03 The Shop Steward will have the vacation list as prepared by Management as of January 1st until February 28th, in which time vacations must be selected by order of seniority. Failure of Senior Regular Employees to specify choices by February 15th and after being approached by the Shop Steward, have twenty-four (24) hours to specify date of vacation or will be dropped to the bottom of the list. A completed vacation list will be posted by Management by March 31st Employees may take their vacation during the summer months of June, July and August. It is understood that during these months not more than two (2) weeks' vacation shall be taken consecutively and that no more than two (2) Commercial Employees and (1) Residential employee may be off on vacation at any one time. Additional employees may be granted vacation simultaneously with the concurrence ofthe Company. 10

11 8.05 Employees who wish to take their vacation outside the summer months noted above, may do so provided that no more than two (2) Commercial Employees and (1) Residential employee may be off on vacation at any one time. An Employee taking his vacation outside the summer months noted above will be granted time off for an uninterrupted vacation period, if he so desires. Vacation forms will be submitted for review and returned to the Employee within ten (1 0) working days. Additional employees may be granted vacation simultaneously with the concurrence ofthe Company For the purpose of defining amounts of "service" in regards to vacation, all vacations taken in one ( 1) year will be based on employment with the Company up to the anniversary date of service occurring in the calendar year the vacation is taken. An Employee, however, will be entitled only to vacation benefits earned as of the date when he takes his vacation. Additional vacation benefits to which an Employee is entitled after the anniversary date will be granted following such date By mutual consent, special arrangements can be made between the Company and the Union with respect to the vacation schedule of any Employee Employees with the greater Bargaining Unit seniority shall have preference in choice of vacation periods Relief replacements during vacation periods shall be made on the same basis as hiring of new Employees. If new or temporary Employees must be employed, they shall be hired to fill the lower classifications Employees voluntarily terminating their employment will be paid, in addition to all other money due to them, pay for unused vacation credit on a basis proportionate to their length of service. Article 9 - Leave of Absence 9.01 The Company agrees to grant leave of absence without pay to not more than two (2) Employees to attend Union meetings and conventions providing that it is mutually agreed upon between the Company and the Union Personal leave of absence may be granted to an employee at the discretion of the Company. Seniority shall accumulate during periods of personal leave of absence not exceeding one (1) year. Thereafter, such seniority shall be temporarily suspended until such time as the employee returns to work Additional leaves of absence shall be granted in accordance with the appropriate parts ofthe Employment Standards Act of Ontario. 11

12 Article Seniority A new Employee shall be considered a probationary Employee and shall have no seniority rights for the first three (3) months of employment at which time he shall be considered a regular Employee and shall be placed on the seniority list at that time with seniority from the original date of employment. The time limit in this section may be extended by mutual agreement of the Company and the Union for a period of no more than three (3) months In respect to promotions, demotions, up-gradings, or transfers of Employees, seniority and ability shall be the deciding factors in selecting the Employee who is regarded the most suitable. Where the ability is relatively equal between two (2) or more Employees, bargaining unit seniority shall be the deciding factor. (a) (b) (c) Any position becoming vacant or created by the Company shall be posted for a period often (10) calendar days. The Company also agrees to a Promotion Board consisting of three (3) members representing the Company and two (2) Employees representing the Union. One (1) of the Company representatives shall act as Chairman and will have no voting power except in the case of a tie vote. The Company agrees that the Union may select their Board members at random and that these members may change from time to time, as required. This Board will meet as necessary to consider all matters relating to promotions, demotions, and out-of-town transfers of Employees. The line of promotion will be from Serviceman II to Serviceman I, unless otherwise agreed to by the Promotion Board In all cases of lay off and re-hiring, Employees shall be laid off and rehired in order of their bargaining unit seniority within their respective department (Commercial or Residential) and shall retain seniority for a period of two (2) years from the date of lay off. For the term of this agreement, Employees hired prior to the date of ratification shall have ability to displace a junior employee in another department provided they have the skills and ability to perform the job of the junior employee. Employees hired after the date of ratification shall have no bumping rights to another department. No employees shall have bumping rights to another department after 2/28/2015. Sickness and accident benefits and group insurance will not apply during lay off. If an Employee withdraws his pension contributions during this period, he shall re-enter the pension plan immediately Any Employee laid off due to a shortage of work who has been notified in writing by registered letter at his last known address to return to work, and who within seven (7) calendar days has failed to return shall be considered to have quit his employment voluntarily and his existing seniority rights shall be terminated. 12

13 When notice of aforesaid is sent to an employee, a copy shall also be mailed immediately by registered mail to the Business Manager of the Union In the case of an employee transferred to a supervisory position or an employee who terminates their employment and is subsequently rehired by the Company, only bargaining unit seniority shall be retained by the Company providing this occurs within twenty-four calendar months, thereafter, the employee becomes a probationary employee (new hire). Company seniority with respect to vacations and benefits shall not be reduced The Company shall provide the Union with an up-to-date list of seniority standing of all Employees covered by the Agreement, showing both occupational group and department seniority and agrees to bring such lists up to date each six (6) months. Article 11 - Grievance Procedure The Union shall form from among themselves a grievance committee of not more than two (2) members Should any difference arise between the Company and the Union, such difference shall be settled in the following manner. All time periods mentioned in this Article are to exclude Saturdays, Sundays and holidays observed by the Company and the Local Union. It is understood that any alleged grievance must be presented to the Company within five (5) working days of the occurrence, otherwise, no grievance shall be deemed to exist Step 1 - Grievances of all Employees shall be discussed by a grievance committee member with the immediate supervisor concerned and such immediate supervisor shall render his decision within twenty-four (24) hours Step 2 - Failing settlement at this stage, the Grievance Committee representative shall submit the grievance in writing to the Director of Service/Support within five (5) working days or the matter shall be deemed to have been settled or abandoned. The Director or Service/Support shall reply within five (5) working days, after having received the grievance Step 3 - If the reply of the Director of Service/Support is not satisfactory, the written grievance shall be referred to the Regional General Manager within ten (1 0) working days or the matter shall be deemed settled or abandoned. After receipt of the grievance to Step 3, the Regional General Manager and the Business Representative of the Union shall meet with the Employee and the grievance committee of the Union within ten (1 0) working days to discuss the grievance. A reply to the grievance shall be given in writing within five (5) working days after the meeting has been held at this stage of the grievance procedure. 13

14 Il.06 Any of the time allowances provided in Il.03, Il.04 and Il.05 ofthis article may be extended by mutual agreement between the parties concerned If a grievance is to be referred to arbitration, it shall be so referred within ten (I 0) working days after the date of the reply referred to in II.05 above. II. 08 In the event of a group grievance, a policy grievance or a grievance respecting the discharge or suspension of an Employee, the grievance shall be in writing indicating the nature of the grievance and the remedy sought. The grievance will be processed commencing at Step 3 (Regional General Manager) of the grievance procedure When a grievance or dispute has been submitted to arbitration the party so submitting shall notify the other party in writing of its desire to do so, and the notice shall contain the names of at least three (3) possible arbitrators. Within ten (1 0) working days thereafter, the other party shall accept the name of one of the arbitrators offered or submit the names of at least three (3) other possible arbitrators If they are unable to agree upon such arbitrator within ten (I 0) working days, the parties may request the Minister of Labour of the Province of Ontario to appoint such an arbitrator. (Section 49 of the Ontario Labour Relations Act or amendment thereof) The decision of the arbitrator shall be final and binding upon the parties and the Employee(s) concerned. The arbitrator by his/her decision shall not alter, amend, or change the terms of the Collective Agreement. 11.I2 The parties will jointly share the expenses of the single arbitrator. Witness fees and allowances shall be paid by the parties calling the witnesses Union Executive and members of the Negotiating Committee shall be paid straight time for the time spent on grievances, negotiations, conciliation or mediation, providing such time is during their regular shift. The Negotiating Committee may consist of up to three (3) members but only two (2) members shall be paid by the Company The Unit representative, preferably the Unit Chairperson, will be given twentyfour (24) hours notice prior to any disciplinary meeting, and shall attend with the Employee Any letter of reprimand, suspension, or other discipline will be removed from the record of an Employee twenty-one (21) months following receipt of such letter, suspension or other discipline, provided that the Employee's record has been discipline free for such twenty-one (21) month period. Copy of the removal will be provided to the Unit Chairperson. 14

15 11.16 Any grievance settled prior to arbitration shall not set precedent nor prejudice any future matters unless agreed to in writing by the IBEW Business Agent and the Director of Labor Relations. Article 12 - Representatives The Union shall supply the Company with a list of all Executive and Committee members and shall keep such a list up-to-date The Company shall supply the Union with the names and positions of its representatives who may be called upon to administer this Agreement and shall keep such a list up-to-date. Article 13 - Discharge or Suspension Cases The Company shall notify the Business Manager immediately of the reason for the discharge or suspension of any Employee covered by this Agreement. The Employee concerned shall have the right to be present when his case is discussed If a Regular Employee with seniority rights believes that he/she has been suspended or discharged without just cause, the matter may be taken up as a Step 3 grievance under Article 11 of this Agreement. Any such grievance shall be rendered to the General Manager within three (3) working days after the Regular Employee has been advised that he/she has been suspended or discharged from the Company, and the matter shall be disposed of within seven (7) working days of the time the General Manager received notice of the grievance, except where the grievance is being referred to arbitration. Article 14 - Health and Welfare Benefits Benefits are for regular Employees and their eligible dependents only and does not include part time, temporary, casual, nor vacation relief Employees. Conditions governing the Group Insurance, sickness and Accident Benefit Plans sponsored by the Company are set forth in Schedule 'B' and 'C' of this Agreement. Conditions of the Pension Plan are detailed in a separate brochure which will be supplied to each Employee concerned Employees joining the service of the Company are required to join the Pension Plan, as a condition of employment, on the first of the month following the date on which they become eligible. Employees are eligible after: 1. Having completed one (1) year of service with the Company, and 2. Having attained the age oftwenty-one (21) years, and 3. Are not over the age of sixty-four and one-half ( 64 lh) years. The Company shall contribute to the pension plan 4% of an Employee's annual earnings and the Employee shall contribute 2%. Vesting of Company contributions remains at two (2) years of Employee plan membership. 15

16 14.03 The Company will provide a Dental Plan, for all Employees and their eligible dependents covered by this Agreement. Basic services are reimbursed at 1 00%. Fluoride treatment to be included. Major restorative services will be covered to a maximum of $1,500 per year for the Employee and each family member. Orthodontic services will be covered to a maximum of $2,000 lifetime for the employee and each family member. Both major restorative and orthodontia are reimbursed at 50% of eligible expenses and are subject to deductibles of$25 single or $50 family per year. The cost to participate in the dental plan is $4 single or $8 family per month The Company will pay one hundred percent (100%) of the cost ofthe Provincial Government Medical, Surgical and Hospital Plans for the Employees and their eligible dependents covered by this Agreement The Company will provide an Extended Health Care Plan for all Employees and their eligible dependents covered by this Agreement and their eligible dependents. The plan reimburses 80% of eligible expenses and is subject to annual deductibles of $25 single or $50 family. The plan has been expanded to include vision care coverage which reimburses the Employee and his dependents 100% of vision care costs to a maximum of $150 every 24 months. There is no deductible for this coverage. The cost to participate in the EHC plan is $4 single or $8 family per month (a) Sickness and Accident Benefit Plan Conditions governing the Sickness and Accident benefit plans sponsored by the Company are set forth in Schedule "B" of this agreement. (b) The Company will provide a Long Term Salary Continuity Plan. At the inception of the plan, Employees must have one (1) year of continuous service with the Company to be eligible. This plan will provide benefits after those of our present sickness and accident benefits outlined in Article (a) have expired. Employees are entitled to a maximum of sixty percent ( 60%) of normal earnings but in no event may the income benefit exceed $10,000 per month. Premiums will be paid by the Employee through payroll deductions which allows for the benefit to be non-taxable. While this schedule describes the basic features of the Long Term Salary Continuity Plan, the complete terms will be set further in the Master Policy to be issued by the insurance carrier. 16

17 14.07 The Company will pay to a maximum of one hundred and seventy-five dollars ($175.00) plus PST towards the purchase of prescription safety glasses for all Employees who require them to safely perform their duties. The Company will reimburse upon presentation of original invoice once every two (2) years Group Insurance Plan All Employees, present and future shall become eligible for the Group Life Policy ofthe Company. If you have completed three months or more of service, you will be insured for an amount equal to one and one half (1 112) times your basic annual salary. All Employees, present and future shall become eligible for the Group Accidental Death and Dismemberment (AD & D) policy of the Company. Upon completion of three months or more of service, you will be insured for an amount equal to one and one half (1 112) times you basic salary. The total cost of the above plans will be paid by the Company Definition of Spouse For the purposes of the benefits of this Collective Agreement, included are the definitions as per the Human Rights Code of Ontario for spouse and same sex partner provided they have been cohabitating in a conjugal relationship for a six ( 6) month period. Article 15- Uniforms The Company agrees to furnish those Employees who are required to wear a uniform in the performance of their duties with the following items of equipment: Safety Glasses Safety Boots Coveralls Cap T-shirts Coat Overcoat or Reefer Shirts Trousers 1 belt to be purchased every 2 years 2. Uniformed personnel will be required while on duty, to wear complete uniform, except that the wearing of tunics and/or winter coats shall be governed by weather conditions. The sole discretion shall rest with the Company as to the point of time uniforms are in need of replacement and the Company reserves the right to equip new Employees with items of cleaned and altered apparel. 3. The Company agrees also in its sole discretion, to have the foregoing items of apparel (excepting only uniform shirts) cleaned and maintained as necessary. 17

18 4. It is understood that Employees shall exercise normal care for the uniform equipment and shall be responsible for any damages willfully or negligently caused. 5. Upon leaving the Company's service, Employees shall surrender all items of uniform equipment to the Company. Article 16- Special Provisions The Company will provide bulletin boards for the posting of Union notices and announcements The Company shall supply all Employees with the necessary tools and equipment to perform their duties with the Company. All broken or worn out tools are to be returned and no new tools purchased without the permission of management Technical Bulletins will be made available for review by all Employees with the understanding that the Employee recognizes much of the information contained therein would be a security hazard to the Company if the information was divulged to persons outside the Company or others not authorized by the Company to receive the information Non-Union and Supervisory personnel shall not do any work normally done by Employees covered by this Agreement except for the purpose of instructions, experimenting, emergency conditions, or when an employee who normally does this work is not readily available The Company agrees that while no guarantee of employment or work can be provided to either Employees or contractors/subcontractors, the Company confirms that the use of all contractors/subcontractors is to be discontinued prior to the lay-off of any employee. In addition, no contractor/subcontractor may be called upon to do work for the Company until all Employees have been recalled to work The parties agree that during the life of the Collective Agreement, they will meet on a regular basis, but at least every three months to discuss matters of mutual interest to the parties. Said meeting will take place during the third week of every quarter and minutes will be posted within eight (8) business days following the meeting. Representation will generally include up to two (2) members of the bargaining unit and an equal number of management representatives from the Branch. Where appropriate, there will also be discussion of new business ventures being considered by the Company. Business Manager of Local Union to be notified of all times and dates of meetings. 18

19 In addition the Labor Management Committee will discuss a procedure for the equitable division of overtime pursuant to Article The company will pay the cost if it requires an employee's drivers license abstract. Article 17 - Traveling Expenses It is understood and agreed that an Employee cannot be required to use his personal automobile as a condition of employment. The use of Employee's personal automobile is strictly at the Employee's option Employees traveling on assignment for the Company and using their own motor vehicle at the Company's request, shall be paid at the rate of thirty cents ($0.30) per kilometer, thirty-one cents ($0.31) per kilometer effective March 1, 2009 and shall be guaranteed a minimum of nine dollars ($9.00) per day If through no fault of his own, the automobile of an Employee is damaged while being operated on business of the Company, for which he is receiving compensation, and he is unable to recover the cost of the necessary repairs from any other source, he shall be entitled to reimbursement "up to two hundred and fifty dollars ($250.00)" after ninety (90) days. If the Employee thereafter makes recovery from any other source, he shall tum over to the Company all sums recovered up to the amount paid to him by the Company. In no event, shall the amount paid by the Company under this item exceed the value of the car at the time the damage is sustained Living allowances for work assignments away from the city, which necessitates the Employee to stay overnight, accommodation and meals will be paid by the Company upon submission of receipts reflecting reasonable incurred expenses Employees not receiving mileage shall report to his assigned station at the beginning and end of each shift, unless his assignment is equal or less distance from his home, or at a site within a 25 km. radius from his assigned station, in which case he may, at the supervisor's discretion, report directly to the job. It is understood in this case, he shall work his full eight (8) hour shift When an Employee is working out of town and is detained at the work location by weather conditions or conditions beyond the Employer's control, and through no fault of the Employee, he is unable to return home or to his work station, he shall be compensated in accordance with his normally expected time of arrival. An Employee forced to "lay-over" due to weather or other conditions beyond his control shall be paid at straight time rates for up to eight (8) hours per day during the "lay-over", plus all reasonable expenses including accommodation and meals will be paid for upon presentation of receipts. 19

20 In the event the Employee is detained during the return journey, he/she will be compensated up to the point the journey is interrupted plus the additional normally expected time of arrival. Article 18 - Severance Pay In the event of permanent lay off, each Employee with more than five (5) years of continuous service with the Company so laid off shall receive severance pay at the rate of one (1) week's pay for each full year of continuous service. Such payment shall be based on the Employee's authorized hourly wage rate in effect at the time he is laid off If an Employee who has received severance pay is rehired and the period since the date of his lay off is less than the period for which he has received severance pay, the amount paid to the Employee in excess of the period of his actual lay off shall be considered as an advance to him by the Company and repayment shall be made through payroll deductions at the rate mutually agreed upon by the Employee and the Company but in no case shall it exceed ten percent (1 0%) of his basic weekly wage until the amount is fully repaid; and as a condition of re-employment, the Employee either before, at, or subsequent to the time he/she returns to the payroll shall, upon the Company's demand, execute any and all documents that may be necessary, desirable or proper to effectuate this provision In the event an Employee, who is laid off, is rehired within a two (2) year period, his severance pay rights shall be established on the basis of his record of continuous service An Employee who is displaced from his or her job classification due to the introduction of alarm monitoring computer equipment or other technological change in the Employer's operations covered by this Agreement, shall be given due consideration for other job openings in the bargaining unit if qualified. It is understood the Employer, may, as required fill job openings created within the bargaining unit as a result of such technological change by hiring or transferring persons from other sources provided, however, the parties also understand the desire to absorb into such opening to the full extent practicable any Employee presently engaged who is displaced due to such technological change, if qualified. If the Employer determines that an Employee is retrain-able for the new job, it will be responsible for the necessary training. Article 19 - Strikes and Lockouts It is agreed that no strike will be called by the Union or no lockout caused by the Company for the duration of the Agreement. 20

21 Article 20- High Volume Installation Utilizes a different method of compensation for all Employees who install lowend residential and small commercial systems ADT will provide said installer with a guarantee to work and to earn a minimum of $1, over a two (2) week period and this will be provided in the form of installation work (as listed below) or through commercial installation/maintenance. This will increase to $1, in the 2nd year and $1, in the 3rd year An installer will coordinate his own schedule with ADT to coincide with scheduled installations and completion dates, and as such, the provisions of Articles 4, 6, and 7 will not apply The installer will be responsible for reliable system installation excluding delays incurred because of product defects or late delivery for the first thirty (30) days after connection to the Customer Service Center (CSC). Workmanship to be in accordance with ADT standards A basic hardware system will consist of the following equipment: one (1) control set, one (1) keypad, four (4) points of protection, (i.e. two (2) door contacts, one (1) motion detector, and one (1) sounder). The telco jack, AC transformer and ground connection are also included. Commercial hardwire installations will include a total of five (5) points of protection for the basic package. (A) Employees assigned to high volume installation work (low-end residential and mini commercial) shall be paid per installation at the rate of $ in the 1st year, $ in the 2nd year and $ in the 3rd year, per basic hardwire system and $15.41 in the 1st year, $15.83 in the 2nd year and $16.26 in the 3rd year, per add-on (i.e. one (1) motion detector, one (1) door contact). (B) Prewire- $51.37 in the 1st year, $52.78 in the 2nd year and $54.23 in the 3rd year for a basic system and $5.14 in the 1st year, $5.28 in the 2nd year and $5.42 in the 3rd year per add-on, Top-off- $51.37 in the 1st year $52.78 in the 2nd year and $54.23 in the 3rd year for a basic system and $5.14 in the 1st year, $5.28 in the 2nd year and $5.42 in the 3rd year per add-on, Resale- $35.96 in the 1st year, $36.95 in the 2nd year and $37.97 in the 3rd year per unit. (C) A basic RF (wireless) system will consist ofthe following equipment: one (1) control set, one (1) keypad and five (5) points ofprotection (i.e. three (3) door contacts, one (1) motion detector and one (1) sounder). The telco jack and AC transformer are also included. (D) Employees assigned to high volume installation work (low-end residential and mini commercial) shall be paid per basic "custom" RF, wireless installation $77.06 in the 1 51 year, $79.18 in the 2nd year and $81.36 in the 3rd year per system 21

22 and $5.14 in the 1st year, $5.28 in the 2nd year and $5.42 in the 3rd year per wireless add-on and $15.41 per hardwire in the 1st year, $15.83 in the 2nd year and $16.26 in the 3 rd year per hard wire, i.e. one ( 1) motion detector and one (1) door contact Should problems arise concerning the administration of this program the parties will meet to discuss and resolve the problems. This meeting will take place within two (2) weeks of being requested In the event of a lay off, the terms of the Collective Agreement will apply Individuals will be recruited through the normal job posting procedures Employees paid per installation will receive all contractual and Company fringe benefits. Training days, jury duty, bereavement leave, vacation days and holidays will be paid at the daily rate of a Serviceman I commensurate with his length of service pursuant to the Collective Agreement The installer shall receive a commission of ten dollars; $10.27 in the 1st year, $10.55 in the 2nd year and $10.84 in the 3rd year for each add-on that he sells In the event an installer is required to perform work outside of the programme, he will be paid at the Serviceman I rate commensurate with his length of service pursuant to the Collective Agreement For installations located further than fifty (50) km distance from the Cambridge office, traveling time will be paid at Serviceman I rate commensurate with his length of service pursuant to the Collective Agreement The program is voluntary for current installers with the understanding that said installers who participate in the program will have 3 months to decide if they wish to do on a permanent basis. Otherwise, they will be transferred to commercial installations/maintenance Productivity time lost through installation complications as approved by supervision and takeovers will be paid an hourly rate of a Serviceman 1 commensurate with his length of service pursuant to the collective agreement. 22

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