**Exhibit10.2**

 

**WORKINGAGREEMENT**

**between**

**VINCENTBACH**

**Divisionof Conn-Selmer, Inc.**

**and**

**UNITEDAUTOMOBILE, AEROSPACE**

**ANDAGRICULTURAL IMPLEMENT**

**WORKERSOF AMERICA**

**LocalNo. 364**

**(U.A.W.)**

** **

**PREAMBLE**

** **

This agreement entered into and concluded at Elkhart,Indiana, this 1st day of April, 2003 by and between the Vincent BachDivision of Conn-Selmer, Inc. located at 500 Industrial Parkway, Elkhart,Indiana, or its successors, hereinafter known as the Company, and theInternational Union, United Automobile, Aerospace and Agricultural ImplementWorkers of America (U.A.W.) and its affiliated Local Union No. 364 (U.A.W.)hereinafter known as the Union.

 

For purposes of this agreement, certain words andphrases, wherever they appear in this agreement, shall be deemed to mean thefollowing:

 

a)              **employees:**  All persons in the employ of the VincentBach Division of Conn-Selmer, Inc. located at 500 Industrial Parkway, Elkhart,Indiana, under the jurisdiction of Local No. 364 (U.A.W.), Elkhart, Indiana,more than 60 days, except salesmen, clerical, engineering, chief inspector, andsupervisory employees.

 

Wherever reference ismade herein by words of masculine or feminine gender, such reference shallinclude the opposite gender.

b)             **supervisor:**Supervisor who is in charge of production or maintenance department, and who:

1.               Hires or dischargesemployees, or

2.               Recommends thehiring or discharging of employees, or

3.               Distributes work or

4.               Receivesinstructions direct from the management for the operation of work in adepartment.

c)              **seniority**:  An employee’s status in relation to otheremployees based on length of service. See Article IX.

d)             **steward**:A representative of employees, as provided for in Article V.

e)              **bargainingcommittee:** The committee ofemployees created in accordance with the provisions of Article V.

f)                **companyexecutives:**  Any executive or other representative of theCompany who may be designated to represent the Company in carrying out theprovisions of this agreement.

 

1

----

 

g)             **grievance:**  Any act or condition which an employee feelsto be in violation of the terms of this agreement, or unfair or improper inconnection with wages, hours, and working conditions.

h)             **probationaryworker:** A person who has beenemployed less than sixty-one days.

i)                 **averageemployee**:An employee skilled and experienced in the type of work in which he is engagedand who shows willingness and ability to produce a reasonable volume of outputof standard quality work.

j)                 **insubordination:**Willful disobedience of order by management.

k)              **to quit:**An employee shall have been deemedto quit if he notifies his supervisor in writing in the presence of thePresident and/or designee of his intent to terminate his employment with theCompany.  The employee will beterminated if he is not on the job at the beginning of working hours the secondday after giving notice of the intention to terminate employment.

l)                 **trainee:** An employee who is being trained because of a bump, job elimination,physical disqualification, or open bid.

m)           **Straight Time Average Hourly Earnings:**All regular earnings averaged over a periodof time excluding overtime premium pay.

n)             **disqualifications: **An employee to fall below an establishedquality and/or quantity Companystandard.

 

2

----

 

**ArticleI**

**RECOGNITION**

** **

**Section 1**

The Company recognizes the Union as the exclusivebargaining agent for all its employees (exclusive of salesmen, clerical,office, technical and engineering, chief inspector and supervisory employees)for the purpose of collective bargaining with respect to wages, hours, andother conditions of employment.

 

**Section 2**

“There will be no individual bargaining”

 

**Section 3**

So long as permitted by applicable laws, decisions andregulations, all employees covered by this agreement shall as a condition ofcontinued employment be required to be members of the Union on the effectivedate of this agreement.  Forprobationary employees, and for new hires, they shall become members of the Unionbefore being transferred to the active seniority list.

 

**Section 4**

The Company shall deduct all regular dues andinitiation fees levied in accordance with the International Union Constitutionfrom the pay of each member who has voluntarily signed an authorizationpermitting and instructing the Company to make such deductions.  Such deductions shall be made from the 3rdpay of the employee each month and remitted to the Financial Secretary of Local364 (U.A.W.) not later than the****fourthpay period.  The Union shallfurnish to the Company a schedule of the current dues and initiation fees andnotify the Company officially in writing of any change in such dues.

 

**ArticleII**

**PURPOSE AND INTENT**

 

The purpose of this contract is to provide a workingagreement which will enable the Company, its employees, and the Union toperform their daily routine production in an efficient, peaceful, and orderlymanner with fairness to all.  It is theintent of all parties to gain benefits through cooperation and good will in thefulfillment of their respective obligations as set forth in the contents ofthis agreement.

 

**ArticleIII**

**RESPONSIBILITIES OF THE PARTIES**

 

Each of the parties hereto acknowledges the rights andresponsibilities of the other party and agrees to discharge itsresponsibilities under this Agreement. In addition to the responsibilities that may be provided in thisAgreement, the following shall be observed:

1.               There shall be noUnion activity on Company time except as may be permissible under the grievanceprocedure set out herein.

 

3

----

 

2.               All grievancesshall be considered carefully and processed promptly in accordance with theapplicable procedures of this Agreement.

3.               There shall be nodiscrimination, restraint, or coercion by the Union against any employeebecause of membership or non-membership in the Union.

4.               There shall be nodiscrimination against any person by the Company and the Union because of race,creed, color, sex, age, handicap, or marital status.  However, any and all persons who are in any way affiliated withany organization, at present or in the future, whose activities may be deemedto be un-American by any authorized government agency with the power to makesuch determination shall be denied employment with this Company.

5.               Upon mutualagreement of the parties hereto, any employee who belongs to a religiousorganization whose tenets forbid membership in a Labor Union may be relieved ofthe necessity of active membership in the Union.

6.               All employees will be treated fair andequitable by the Company and the Union.

 

**ArticleIV**

**MANAGEMENT**

 

*Themanagement of the plant and the direction of the working force remains anexclusive management function.  Thisright of management includes, but is not limited to, such functions as theright to plan, schedule, direct and control operations, the right to designatea specific number of employees on specific equipment, to study or introduce newproduction methods or facilities, to establish process and product qualitystandards, to discontinue present jobs; to maintain or establish new orimproved rules and regulations covering the operations of the plant, to hire,promote, demote, assign and transfer employees; to layoff employees because oflack of work; and to suspend; discharge or otherwise discipline employees forproper cause. The Company shall have the exclusive right to determine thesource or sources from which applicants for work shall be secured and shall bethe sole judge of requirements and qualification for employment.  All the above shall be true so long as itdoes not conflict with other provisions herein.*

* *

Supervisors and othersalaried employees not under jurisdiction of the U.A.W. Local #364 shall notperform bargaining unit work except for the following:

1.               Experimental,developmental, or prototype work

2.               Emergencies – An unforeseen combination of circumstances orthe resulting state that calls for immediate action.

3.               Instruction andtraining of bargaining unit employees

4.               Diagnosis of equipmentfor operational problems

 

Bargaining unit employeeswill not assist supervisors in performing supervisory duties.

 

4

----

 

**ArticleV**

**REPRESENTATION**

** **

**Section 1 - Stewards**

To assist employees in presenting grievances, theUnion shall elect a steward for areas and all shifts mutually agreed upon byboth parties.  The Union shall electthree (3) committee people (one of which will serve as the chief steward) whowill assist and direct their stewards according to the grievance procedure

 

**Section 2 - Bargaining Committee**

**Employeesshall be represented further by a Bargaining Committee of not more than five(5) employees selected by the Union who shall confer and negotiate with theCompany.**

** **

**Section 3 - Listing**

*The Unionshall maintain with the Personnel Department an up-to-date list of all itsofficers including the Bargaining Committee, Executive Board and Stewards.*

* *

**ArticleVI**

**GRIEVANCE PROCEDURE**

 

**1.****                  Representation**

For the purposes of collective bargaining the employeesshall be represented by a Bargaining Committee of not to exceed five (5)members, two (2) of whom shall be the President and Vice President of theUnion, plus any International Representatives who may accompany them.

 

The Company will recognize members of the BargainingCommittee or their alternates in their absence, as representatives of theUnion, as well as stewards and their alternates, for the following purposes:

 

a)              Handlingsafety and health complaints and settling grievances with supervision or theirrepresentatives in those portions of their areas where it is agreed they shallact as stewards, and

b)             Settlingthe grievances of employee(s) with management above the supervisor level.

 

The Company will recognize stewards selected asrepresentatives of the employees for the purpose of handling complaints andsettling grievances with supervisors or their representatives.

 

Union representatives will not be recognized beyondthe area designated or the extent of authority delegated to them except in emergenciesand then when properly authorized by the Union.

 

Members of the Bargaining Committee and stewards shallrepresent the respective plant and areas within their jurisdiction and will bepermitted to leave their work during the working hours to perform the followingduties:

 

5

----

 

1.               Topresent complaints, safety and health problems or grievances as provided in theGrievance Procedure.

2.               Toinvestigate in order to determine the facts with respect to a specificcomplaint or grievance arising in the area for which they are recognized.

3.               Tomeet with representatives of management for the purpose of adjustinggrievances.

4.               Atthe request of either party, the President, Vice President and/or designee(during Company paid hours) may be called in to help adjust any controversythat may exist between the parties.

5.               Shouldthe Union feel it necessary, they reserve the right to call in theInternational Time Study.

 

No representative shallleave his/her department without notifying their supervisor in person or byvoicemail.

 

**2.****                  Stewards**

The Union shall be entitled to a sufficient number ofstewards so that each employee has the opportunity of being represented asprovided in the Grievance Procedure of this Agreement.  The Union assumes the responsibility forassigning the duties of the Bargaining Committee and stewards, but BargainingCommittee members or stewards will not be discriminated against because theyperform duties assigned to them as provided in this agreement.

 

# ***3.*****                 ****Time Limits**

No complaint will beconsidered a grievance unless the incident causing the complaint is reportedwithin ten (10) working days of the time it became known to the person makingthe complaint.

 

Time limits will be strictlyadhered to in all five steps. If the Company fails to meet the negotiated timelimit in the grievance procedure, the specific adjustment requested will beawarded to the grievant, provided such adjustment is allowed by our workingagreement and is compliant to the present contract language.  Should the Union fail to meet the limits setforth in our working agreement, the Company’s last answer will service assettlement to the grievance, providing such answer is compliant to our contractlanguage.  Extensions to the time limitsmay be mutually agreed to in writing.

 

**4.****                  Compensationof Union Representatives**

In providing herein for the compensation of thePresident of the Union, Vice President, designated bargaining committeepersons,and stewards for time spent in Company negotiations, the investigation ofcomplaints or grievances, the intent is to compensate such representatives, (ortheir alternates when the need arises) as employees for time necessarily lostfrom work in handling grievances of employees of the Company as theirrepresentatives.  Incentive unionrepresentatives will be paid 125% of their applicable maximum incentive baserate.  Non-incentive unionrepresentatives will be paid their applicable hourly rate.  Night premium will be paid where applicable.

 

6

----

 

If Bargaining Committee members are requested bymanagement to stay beyond their normal shift or come into the plant afternormal working hours, premium time will be paid for time spent in suchmeetings.  When the Company agrees thatan employee may attend a grievance meeting, incentive employees will be paid125% of their applicable incentive base rate and non-incentive employees willbe paid their applicable hourly rate.

 

As used in this agreement, the term “Grievance” shallmean any misunderstanding, difference, or dispute between the Company and theUnion, or one or more of the employees represented by the Union arising out ofthis agreement thereto, or concerning or relating to the interpretation and applicationthereof and filed subsequent to the effective date of this agreement.

 

The Bargaining Committee may write and sign agrievance in behalf of any employee or group of employees on a grievance form,which shall be supplied by the Union. If the issue raised is not appropriate for resolution at the first orsecond step, the grievance may be referred by the Bargaining Committee directlyto the third step.

 

5.                   **Steps tothe Grievance Procedure**

 

**1stStep**

An employee having a grievance, or one designated employeeof a group having a grievance will first take up the grievance with the stewardand the supervisor who will attempt to adjust the problem.

 

If the grievance is not adjusted by the supervisor, itwill be reduced to writing on forms provided by the Union and signed by theemployee or employees involved.  TheSupervisor will write an answer within five working (5) days, excludingSaturdays, Sundays and holidays after receipt of the grievance.

 

**2ndStep**

If the supervisor’s answer is unsatisfactory, the grievancemay be forwarded to the Bargaining Committeeperson of that area or the ChiefSteward.  He/she may then appeal thegrievance to the Zone Manager (oralternate when the need arises) within five (5) working days. They will meet,within five (5) working days**,**in an attempt to settle the grievance andthe Zone Manager (or alternate when theneed arises) will write an answer within five (5) working days,excluding Saturdays, Sundays, and holidays, after the meeting.

 

**3rdStep**

If the grievance remains unsettled, it may beforwarded by a member of the Bargaining Committee, within five (5) workingdays, to the Plant Manager**(**oralternate when the need arises)****who will attempt to resolve the matterwith the Bargaining Committee.** **ThePlant Manager (or alternate when theneed arises) and the Bargaining Committee will meet on the grievance(s)within five (5) working days.  The Plant Manager (or alternate when the needarises) has to give an answer within****five(5) days,****excluding Saturdays, Sundays, and holidays from the finalmeeting and the discussion of the matter**.**

 

7

----

 

**4thStep**

If the grievance remains unsettled, it may be appealedto step four by filing a written appeal within five (5) working days of thestep three answer.  The InternationalRepresentative, the Bargaining Committee and the****Director of Human Resources (or alternate when the needarises) will meet and attempt to resolve the grievance no later than thirty(30) calendar days.

 

The Director of****HumanResources (or alternate when the need arises) will give it’s decision inwriting with respect to the grievance within ten (10) working days**,**excludingSaturdays, Sundays, and holidays from the final meeting and discussion of thematter.

 

The union representatives or the management will havethe right to call as witness any employee to testify as to the facts concerningany disputes during the hearing of a grievance or complaint.  This applies to all steps of the grievanceprocedure.

 

**5thStep:   Arbitration**

Any grievance which is not satisfactorily settled instep four of the grievance procedure may be submitted to arbitration by theInternational Union by providing the Company with a written notice of itsintent to arbitrate within thirty (30) working days of the receipt of theCompany’s answer in step four.

 

The International Union and the Company will agreeupon an arbitrator selected from a panel of seven arbitrators obtained from theFederal Mediation and Conciliation Service, or by any other method mutuallyagree to.  The cost of such panel willbe split between the parties.  Selectionshall be made by the Company and the Union from the Federal Mediation andConciliation Service panel, eliminating one name until only one name remains onthe list.  The name remaining shall bethe arbitrator.  The right to strike thefirst name on the panel shall be rotated between the Company and the Union.

 

The arbitrator’s power shall be limited to theapplication and interpretation of the agreement to settle the grievance beforehim.  The arbitrator shall at all timesbe governed wholly by the terms of this agreement and shall have no power to,or authority to, amend, alter, or modify this agreement in any respect. Thearbitrator’s fees for the hearing shall be paid by the losing party.  The Company and the Union each shall pay theexpenses of it’s own representatives and witnesses.  Should either party choose not to use the first panel of arbitrators,that party that chooses to send for a new panel will bear the total expense ofsaid panel.  Should either party requesta stenographer, said party will bare the total expense of thestenographer.  If the arbitrator rendersa split decision, the arbitrator shall make as part of her decision a ruling asto how the cost of her services and expenses shall be prorated.

 

**Note:**                   The Union retains the right towithdraw any grievance at any time in the grievance procedure.

 

8

----

 

**Lockoutand Strikes**

The parties hereto agreethat at no time during the life of this agreement shall there be any strike,sympathy strike, walkout, slow-down, lockout or other stoppage of work in theplants of the Company.  During the termof the Agreement, the Company agrees that it will not lockout its employees**.**

 

9

----

 

**ArticleVII**

**SHOP RULES AND DISCIPLINE**

 

Inevery business where many people work together, some specific rules andregulations are necessary to define acceptable conduct and to promote thesmooth functioning of the business as a whole.

 

Thepurpose of the following rules is to insure all employees’ safety and fairnessin their cooperative efforts.  TheCompany feels that the great majority of employees are conscientious and followacceptable work habits. Unfortunately, there are a few individuals who abusethe rules. For this reason, we have set forth acts of misconduct, which, ifcommitted, will result in appropriate disciplinary action.

 

Whenan employee is being counseled for a disciplinary problem, the steward will beinvolved at the department level and the President/Committee person or designeeat the Human Resources level.

 

# ***Infractions of AMinor Nature***

1.                           Loafing, neglect or failure to performassigned duties.

2.                           Violation of safety rules

3.                           Failure to be in assigned area or at workstation at required time

4.                           Leaving the department or job prior toauthorized time

5.                           Use of the telephone during working hourswithout permission

6.                           Creating or contributing to unhealthful orunsanitary conditions, or displaying signs, obscene pictures or literature, ordistributing them.

7.                           Negligence resulting in inferior work, scrap,or waste. A valid Quality Variation Reports will be considered.

8.                           Creating a condition hazardous to theindividual or fellow employees such as horseplay, yelling, running, shoving orthrowing articles.

9.                           Failure to wear or use safety equipment asrequired by PPE standards

10.                     Solicitation of employees for donations ormembership in outside organizations, circulation of petitions or magazines inthe Plant without specific approval of the Human Resources Department (Unionexcluded)

11.                     Being in an unauthorized area of the Plant orCompany property

12.                     Being on Company property while under theinfluence of alcohol, or any other illegal or controlled substance

13.                     Gambling of any type

14.                     Changing a certain phase of a set operatingprocedure without proper authorization

15.                     Posting of notices or signs or writing in anyform on official bulletin boards or removal of approved notices without approvalof the Human Resources Department. Union bulletin boards excluded.

16.                     Leaving the Plant at break or lunch periodand not returning without permission or notification

17.                     Entering or leaving the Plant by other thanthe designated employee entrances

 

10

----

 

18.                     Subtle forms of harassment, intimidation, orinappropriate language or behavior.

19.                     Smoking in non-designated areas

20.                     Loitering, roaming about or visitingthroughout the Plant

 

ANYEMPLOYEE COMMITTING ANY OF THE ABOVE OFFENSES is subject to the following:

 

**1st Offense -**Written warning in the presence of theemployees’ steward. An entry noting the date and detailed reason for thereprimand will be placed in the employees’ personnel file and a copy providedto the union.

 

**2nd Offense -**Written warning given in the presence of thePresident/Committee person or designee. An entry noting the date and detailedreason for the reprimand will be placed in the employees’ personnel file and acopy provided to the union.

 

**3rd Offense -**Final Written Warning with counseling fromthe Human Resources Department in the presence of the President/Committeeperson or designee. An entry noting the date and detailed reason will be placedin the employees’ personnel file and a copy provided to the union.

 

**4th Offense- Discharge**

ALL WARNINGS WILL REMAIN IN EFFECT TWELVE [12] MONTHS FROM THE TIME OFINFRACTION.

 

## **Infractions of A Major Nature**

1.                           Insubordination [willful disobedience of anorder by management]

2.                           Theft

3.                           Bringing, having, or consuming intoxicatingbeverages or narcotics in the Plant or on the Plant property.

4.                           Smoking in high fire hazard areas.

5.                           Willful damage to or unauthorized removal ofproperty belonging to the Company or another employee.

6.                           Walking off the job.

7.                           Swiping another employees’ badge in or outresulting in pay for time not worked.

8.                           Falsification of personnel records.

9.                           Possession of firearms or any type of weaponon Company property.

10.                     Physical violence, aggressive retaliatoryactions, verbal threats, patterns of continued intentional harassment, sexualharassment, or any violation of discrimination laws.

11.                     Flagrant violation or reckless disregard ofany safety rule or policy which places the employee or others in danger.

12.                     Falsifying incentive earnings, productioncounts, or time entries.

 

*Anyemployee committing any of the above offenses is subject to discipline up toand including discharge without any previous steps issued.*

* *

Suspension or discharge must be for “just cause”.  All discipline will be graded to fit theoffense.

 

11

----

 

**ArticleVIII**

**HOURS OF WORK**

 

**Section 1 – Work Day/Work Week**

Forthe purpose of defining the weekly payroll period, an employee’s work week willbegin on Monday at the regular starting time of the shift to which the employeeis assigned, except for those employees whose regular work week begins oncalendar Sunday night, in which case their regular work week will begin attheir regular starting time on calendar Sunday night.

 

**Section 2 - Hours of Work**

RegularStarting Times are defined as follows:

 

| UAW Local 364 – Bach Facility  - | First Shift  - 5:45 a.m.    |
|--------------------------------------------|----------------------------------|
|                                       | *Second Shift – 2:30 p.m.*  |
|                                       | Third Shift – 9:00 p.m**.** |

 

*Senior employees shall have preference of first, second, andthird shifts.  No one may exercise shiftselection more often than once a year, which shall be on April 1 of eachyear, except for that opportunity to exercise their shift preference byseniority, when an opening occurs in their job classification.  When an opening occurs in a jobclassification which is worked more than one shift, that opening shall beoffered first for purposes of shift selection to those working in theclassification.  The remaining opening willbe posted and awarded by the open shift. Elimination of a shift will automatically constitute a layoff for theemployee(s) working on that shift.  Whenan employee wants to exercise a shift selection, once a year he/she must puthis request in writing at least five working days in advance of the week ofApril 1.  Such shift change willbegin at the regular starting time of the first day of the first week followingthe five days of advance notice.*

* *

**Section 3**

a)              TheCompany will pay one and one half (11⁄2) times the regular hourly rate for all hoursworked in excess of eight (8) hours in a day and time and one-half for allhours worked on Saturday.

b)             TheCompany will pay two (2) times the regular hourly rate for all hours worked onSundays and holidays.  This payment isin addition to any holiday pay for which the employee may have qualified.

c)              TheCompany will pay twice the regular hourly rate to non-incentive employees andtwice the average hourly earnings of the incentive employees for all hoursworked Sunday.

d)             TheCompany will pay twice the regular hourly rate to non-incentive employees andtwice the average hour earnings of the incentive employees for all hours workedon paid holidays.  This will be inaddition to the regular holiday pay.

e)              Premiumtime average earnings calculations for incentive employees under this Sectionwill include all incentive and non-incentive earnings during the full shiftcalculation period.

f)                Any unqualified workers or workers inprogression may be excluded from scheduled overtime.

 

12

----

 

**Section 4**

There shall be nopyramiding of overtime or premium pay.

 

**Section 5**

The Company will notifyall employees before they leave the premises if they are not to report to workthe following day.  When an employeereports to work at the regular starting time and regular work is not available,he shall be transferred to work he is capable of doing, and be guaranteed atotal of four hours pay**. **Incentiveemployees will be paid as provided for in Articles XXX.  The rate of pay for an incentive employeeassigned to a non-incentive classification will be the higher of the two rates(regular job classification or the temporary assignment).  Incentive employees temporarily assigned toanother incentive job classification will work at the higher of the twoincentive base rates with a guarantee of 120% of the employee’s incentive baserate.

 

**Section 6**

Employees who receiveemergency calls to return to work between the hours of 4:00 P.M. and midnightshall receive time and one-half of theirapplicable base rate and shall not receive less than two hours of pay.  Employees who receive emergency callsbetween the hours of 12:00 midnight and 6:00 A.M. shall receive two times theirapplicable base rate for all hours worked prior to 6:00 A.M. and shall notreceive less than two hours pay at two times their applicable base rate.  Incentive employees will receive theiractual incentive earnings in the calculations set forth in this Section ifhigher than their incentive base rate. Any guarantee payment for time not worked will be at the incentive baserate.

 

**Section 7**

An employee shall informthe personnel department immediately of a change in address and also submit aphone number where he may be reached or forfeit his right to claim call-in payupon failure to do so.  A copy of suchchanges of address shall be given to the Financial Secretary of the Union.

 

### **Section 8**

Two ten (10) minutebreaks will be provided to each employee during the normal workday – one (1)during the first portion of the shift, and one (1) during the latter portion ofthe shift.  If the workday exceeds tenhours, a ten-minute break will be provided at the end of the eighth hour ofwork.

 

These breaks may bescheduled by the Company as fixed, staggered, as needed, or subject to relief,depending upon the requirements of the job involved.

 

The five (5) minutes ofwash-up time prior to the lunch period and the end of the shift set forth inPlant Rules will be continued.

 

No separate payment forbreaks and wash-up time will be made for incentive employees as such time hasbeen provided for by appropriate allowances in the incentive standards.

 

13

----

 

**ArticleIX**

**SENIORITY**

** **

**Section 1**

Seniority shall beobserved and determined by the last hiring date of each full-time employee, except as provided in the Letter Agreement for Mergerof Bundy and Buescher Operation.  Incases where two or more employees are hired the same day, seniority isestablished at time of hire by alphabetical order of the last name.

 

**Section 2**

a)              New employees shall be regarded asprobationary for the first sixty days of employment.  After sixty days of continuous employment, the names of suchemployees shall be placed on the seniority list.

 

Anyprobationary worker laid off and recalled within ninety (90) days will retainhis/her original hire date. If the sixty- (60) day probationary period has notbeen completed, the employee shall complete his/her probationary period**. **The employee will be eligible for benefits in accordance with his/herseniority date.

b)             There shall be noseniority for probationary employees, and they may be terminated or transferredat the discretion of the Company.

c)              New hires on jobsLabor Grade 4 or higher cannot bid for one (1) year from the date of hire.  New hires in Labor Grade 3 or lower cannotbid for six (6) months from date of hire.

d.)              New hires will progress according to theWorking Agreement.  They will have toqualify and progress on the job they are hired in on in the same manner as anemployee who gets a job from a bid.

 

**Section 3**

Seniority may be lost forthe following reasons:

 

a)              Voluntaryquitting:  An employee shall have beendeemed to quit if he notifies his supervisor in writing in the presence of the President and/or designee of his intent toterminate his employment with the Company. The employee will be terminated if he is not on the job at thebeginning of working hours the second day after giving notice of the intentionto terminate employment.

b)             Discharge for cause.

c)              For participating inany strike, slowdown, or other work stoppage, which is not authorized under theprovisions of this agreement.

d)             A laid-off employeewho bids and is subsequently awarded a job who fails to qualify will be subjectto the disqualification procedure.  Ifdisqualified, the employee returns to layoff retaining his original layoffdate.  A laid-off employee shall retainseniority and continue to accumulate it for a period of time equal to hisaccumulated seniority as of the effective date of his layoff but not to exceedthree (3) years.

 

14

----

 

e)              A laid off employeewho signs a bid before he loses his seniority in accordance with Article IX,Section 3(d) will not lose his seniority if he is the successful bidder.

f)                A probationaryemployee on layoff status shall have recall rights for sixty (60) days fromdate of layoff.  Any probationary workeron a layoff extending longer than sixty (60) days shall be terminated and shallbe considered a new employee in any future employment by the Company.

g)             Failure to report forwork at the regular starting time within five (5) working days of date ofnotice to return to work.  (Any employeewho leaves his regular place of residence for an extended period of time shouldnotify the Personnel Office as to where he may be contacted.)

h)             Forbeing absent without leave for a period of more than two (2) days or beingabsent for more than two (2) days without notifying the Company as to reasonsfor such absence.  Any employee who isabsent because of illness must notify the Company as early as possible on themorning of the first day of such absence. If an employee has been absent without leave for a period of more thantwo (2) days or being absent for more than two (2) days without notifying theCompany for as to the reasons for such absence, a meeting will be held withinthree (3) days following the employee’s return to work to review the factssurrounding the absence without leave and/or the no report.  The Chief Steward and Departmental Stewardwill be present.  A decision will bemade within 24 hours of the meeting regarding whether or not the employee shalllose his seniority.  Any loss ofseniority of the employee shall be subject to the grievance procedure.

i)                 No employee shalllose his or her seniority when failure to report under (g) or (h) is due toproven illness or accident or other justifiable reasons.

j)                 Seniority will belost through promotion into management or out of Local 364 (U.A.W.)jurisdiction.

 

**Section 4- Union Officer Seniority**

(a)          The President and VicePresident of the Union shall head the Seniority list while occupying suchoffices, for the purpose of determining shift transfers and layoffs.

(b)         Committee people and/orDepartmental Stewards shall have the same rights in their respectivedepartments and/or areas for the purpose of determining layoffs only.  The sequence of seniority shall be in theorder listed above.  This section shallhold true so long as there is work available which the Union personnel inquestion are qualified to do.

 

**Section 5**

The Company shall keep acorrect seniority list, in keeping with Section 1 of this Article, posted in aprominent place at all times and will furnish a new list each quarter of theyear either on diskette or in written form.

 

15

----

 

**Article X**

**LAYOFF AND BUMPING**

** **

Seniority andqualifications shall govern any reduction in the working force over five (5)working days, or a reduction in working hours below forty- (40) hours in acalendar month.

 

a)              The Company shallgive at least a two-day notice before layoff excluding probationary employees.

b)             When it becomes necessary to reduce the hoursof work in a job classification, layoff will be as follows:

 

1.               Probationary

2.               Temporary

3.               Employees who have not qualified

Thereafter,the least senior employee(s) will be reduced from such job classifications.

c)              Employees reduced from a job classificationmay exercise their seniority to displace the least senior employee in any jobclassification their seniority will allow. An employee must exercise his/her seniority for bumping within fiveworking days, excluding holidays, the annual physical inventory, and the annualfactory shutdown, after the date of layoff by signing an irrevocable bump form

d)             An employee bumping into a job classificationshould have the skill and ability to perform the work in a competent manner upto the Company’s quality and production standard.

e)              Employees who were qualified in the jobclassification within the last three years will be presumed to bequalified.  Employees will have thirty(30) working days to qualify without training. Familiarization with the process will be provided.  Pay will be 100% base rate

f)                Employees not qualified will have (SeeBumping Chart) time to qualify with training. Pay will be eighty (80) percentof base rate with no progression until the employee qualifies

g)             Employees displaced through the bumpingprocess will be entitled to the same rights to exercise their seniority as setforth above.

h)             Qualifying under the bumping procedure willbe evaluated on performing at 100% of standard averaged over forty- (40)consecutive work hours for incentive positions and normal production level fornon- incentive positions.

i)                 Failure to qualify will result in theemployee being placed on layoff with bidding and recall rights to his/herregular job.

 

# ***Bumping Chart***

Labor Grade 2 through 3 will have three (3) weeks to train and must qualify in the fourthweek.  Employee will be allowed toqualify earlier at their discretion.

 

Labor Grade 4 through 6 will have six (6) weeks to train and must qualify in the seventhweek.  Employee will be allowed toqualify earlier at their discretion.

 

Labor Grade 7 and above will have to be pre-qualified.  Qualifications and ability of the employee shall be determined byManagement, subject to the Grievance Procedure.  Employees will have thirty (30) working days to qualify withouttraining.   Employee**must**

 

16

----

 

beat 80% efficiency within the third week. Familiarization with the process will be provided.  Employee will be paid at 100% of base wage.

 

**Note: **Oneweek equates to five (5) working days.

j)                 **Combinations**

*Theparties recognize that work is not static and that new and changing technologyrequires continuous changes in job content. Minor changes will be ongoing. In addition to such minor changes, the Company reserves the right tocreate, discontinue, combine or modify job classifications at anytime.  Changes in job classifications will benegotiated with the Union.  The SHPlanguage will govern any changes in methods that directly effect the standards.  Should the Union disagree with the rateestablished by the Company, a grievance may be filed under Article VI, if theissue is not resolved in the grievance procedure, the Union may advance suchgrievance to arbitration.  Thearbitrator must be someone who is experienced in standards disputes involving recognizedindustrial engineering practices and procedures.  The arbitrator will have the right to visit the work place andperform his/her own study using any recognized industrial engineering techniqueincluding the stopwatch time study method or the same predetermined time systemthe Company used to establish the standard. (The arbitrator will have full authority to determine which systemhe/she elects to check the standard.) The arbitrator’s decision will be final and binding upon both theCompany and the Local Union.*

* *

Employee(s) whose positions are affected by the combination jobs areeligible to exercise their bumping rights.

 

**k.)****         Medical**

*Anemployee who has provided the Company with proper medical documentation, andwho in the opinion of the Company has become unable to do his regular work,shall be given preference to do such work, as he may be capable ofperforming.  The employee shall selectthree jobs held by junior employees. This clause shall not be used so that an employee may upgrade himself,earnings wise.*

* *

A non-incentive employee will not be able to increase their baserate.  Their previous quarterly averagewill be compared to the previous quarterly average of any job classificationsthey may bump.

 

Incentive employees shall use their previous quarters average and compareto the previous quarters average of any job classification they may bump.

 

Any employee bumping under the medical bumping language will be requiredto qualify under the same qualification time as if from layoff.

 

Any employee bumped by a medical bump or bump created from a medical bumpwill have the same requirements listed under the item (f) of this Article. (SeeBumping Chart)

 

Anemployee on leave can be bumped by a laid off employee with more seniorityregardless of whether or not the job has been filled by a temporary.  If the job has been filled by a

 

17

----

 

temporary,the employee on the temporary assignment must return to the status they hadprior to the temporary position when the temporary status ends.  However, if the temporary is filled by anemployee on layoff, that employee will have bumping rights.

 

Employeebumped while on leave will be granted bumping rights when the leave expires.

 

**l)****                EfficiencyDisqualification –**If aqualified employee’s efficiency falls below 100% for incentive jobs and normalproduction pace for non-incentive job for two (2) consecutive weeks, he/shewill be counseled to determine the problem. After four (4) consecutive weeks of less than 100% efficiency, the 100%wage guarantee will be suspended and the employee will be paid the amountearned.  After eight (8) consecutiveweeks of less than 100% efficiency for incentive jobs and normal productionpace for non-incentive jobs, the employee will be disqualified and removed tolayoff with bidding rights only.

 

**ArticleXII**

**RECALL**

** **

**Section 1 - Recalls**

a)              Employees shall benotified officially by certified mail (return receipt requested) from PersonnelOffice, sent to the last home address shown on the employment department’srecords as furnished by the employee. Evidence of notice shall be conclusive when the above procedure is fullycomplied with.  The Company may contactby other means for the purpose of expediting recalls.

b)             In the event a laidoff employee employed elsewhere (outside of the jurisdiction of Local 364(U.A.W.)) is recalled for work of a short duration, he may refuse recall andmaintain rights to his original job.

 

Short duration shall bedefined as thirty (30) work days or less.

c)              TheCompany may work overtime in a group while employees are laid off from thegroup.  Employees shall be recalled tothe group when, after deducting the hours of group’s absences in the week fromthe amount of the group’s weekly overtime and then adding the hours of anyemployees transferred into the group during the week, there remains a number ofhours that would provide recalled employees with thirty-two (32) hours of workfor two consecutive weeks.  If there are no employees with recall rightsto the group, then the Company may offer unlimited amounts of weekly overtime.

d)             An employee called for work shall report atthe time specified in the notice. Failure to report for work at the time specified shall not result inloss of seniority if the reason is due to illness, accident or emergency.

e)              If the recall is to a permanent position theCompany must guarantee two- (2) weeks work or the recall does not have to beaccepted and the employee retains that same recall.  On an immediate recall the Company does not have to guarantee two(2) weeks of work.

f)                If a recall is immediate the employee mustaccept or lose all rights to the job. Employees shall have one (1) hour to look at the list of available jobsto determine whether or not to accept the recall or exercise his/her bumpingrights.  By refusing they must then makea bump if the recall was to their regular job or be terminated.

 

18

----

 

**Article XIII**

**JOB RIGHTS**

** **

**Section 1 - Regular Job Rights**

When an increase in the working force is to be effected, all employeeswill be called back to their regular job in line with their seniority.

 

**Section 2 - Bidding**

*Newlycreated jobs and all job vacancies in the Bargaining Unit may be filled forfive (5) work days without reference to seniority.  During this period, such jobs shall be posted for three (3)working days.  It is the employee’sobligation to investigate the details of the job during the postingperiod.  It will be the employees rightto obtain from the Company any/all pertinent information regarding the postedjob.  When a posting is taken down, thejob belongs to the senior employee on the bid. In the event he/she decides to refuse the job, he/she will suffer nopenalty.  The Company may reject a bid if the bidder is at the 3rd stepof discipline in the Attendance Policy*

* *

a)              The applicants are expected to be able to dothe job in an average manner and up to the Company standard with training. Thesuccessful bidder will have up to fifteen (15) work days to decide if thetransfer will be permanent or if they choose to return to their position priorto the bid.  In the event an employee isso transferred and fails to fill the job at the end of specified qualificationperiod the employee will be placed on layoff with no bumping rights. Once thebid has been awarded and/or employee is in the fifteen (15) work days of beingplaced in the job the employee will be restricted from being able to bid onother positions as follows:

 

Labor Grade 1 through 6 – twelve (12) months

Labor Grade  7 and above – twenty-four(24) months

 

This restriction period is in effect even if the employee should elect toreturn to their previous position prior to the bid.  Successful bidders on non-incentive jobs shall receive theapplicable hourly rate of the job to which they bid in accordance with the WageProgression Schedule.  Successfulbidders on incentive jobs will receive the applicable incentive base rate inaccordance with the Wage Progression Schedule (see UAW Local 364 Article XIV,Section 2 and Article XXVII).  The Companyshall have the right to temporarily transfer people (not to exceed 30 days)into vacancies created by bidding for the duration of the trial period withoutthe posting procedure.

b)             **TraineeDisqualification:**  Anyemployee who is disqualified from a job shall be entitled to only one (1) morebid within a twelve (12) month period from the date of the originaldisqualification.  If an employee bidson a temporary job while on layoff or is assigned to an open job during thistwelve (12) month period after disqualification he/she will still be entitledto one (1) bid.

 

19

----

 

c)              Anycurrent employee, effective with the date of this contract, who is given workin his classification which he had not done previously, will be paid theapplicable hourly rate or the incentive base rate for training for a reasonablelength of time.

d)             Jobswhich are posted for three (3) days and are not successfully filled by bid maybe filled by the Company from any source within forty-five (45) calendar daysfrom the time the posting comes down. If not filled, it must then be reposted.

e)              Anybid may be cancelled.  However, if thebid is cancelled during the posting period, any signers shall have preferenceif the same job is again posted within thirty days from the date of theoriginal posting.

f)                TheCompany will not be responsible for notifying laid off employees of open jobsto be posted for bidding.  The Companywill contact the successful bidder by certified mail, which will be sent totheir address of record.

g)             Anemployee given two days notice of layoff may sign a bid without losing recallto the job he is leaving (providing it is an employees’ regular job).

h)             Nobid shall be valid for more than 45 calendar days.

i)                 Anemployee cannot bid on a job while on a leave unless he can go on the jobwithin five (5) days.

j)                 Shouldany change be made on a bid once it is posted, the bid will be reposted or theoriginal bid will remain posted for another three (3) working day period.

 

**Section 3 - Fill-In Work/Transfers**

a.)               Employees may be assigned to any work,assignment, job duty, position or work area within their jobclassification.  Any current employee,effective with the date of this contract, who is given work in their classificationwhich he had not done previously, will be paid the base rate for training for areasonable length of time.

b)             Employees, byseniority and who are qualified to perform the work, may be temporarilyassigned on a voluntary basis to work other than in their own classification tofill temporary vacancies (not to exceed 30 days) due to absences, vacations,production needs, leaves of short duration and the training of replacements dueto promotions or adjustments.  These employeesshall retain their seniority in, and be returned to their own jobclassifications when the necessity for that temporary assignment has ceased toexist.  If there are no volunteers, theleast senior qualified employee in the classification must accept the temporaryassignment.  No one will be assigned tothe job of any employee while he/she is temporarily assigned unless mutuallyagreed upon between the department supervisor and union steward or committeeperson.

 

The stewards of thedepartments affected will be notified prior to temporary transfers andfill-ins.  This includes transferswithin the department. All transfers and fill-ins will be documented.  The Company will inform the steward of thereason for the assignment and expected length of duration.

 

***Transfers –***Employee may be transferredto jobs for production needs who are qualified on the job.  After deducting the absences of theemployees for the week and then adding the hours of any employees transferredin to the group during the week, there remains a number

* *

*20*

----

* *

*of hours that would provide an employee with thirty-two(32) hours in two consecutive weeks a recall will be made or the job will beposted in one (1) working day.*

* *

**Fill-In  -**Employeeswho are out of work on their regular jobs may be filled in on jobs that requireno training and at their base rate.  Ifthe fill in will produce thirty-two (32) hours in two consecutive weeks therewill be a recall.

c.)         Only employees who are willing and qualified on the job will be asked totrain.  If there are  no volunteers available to train the leastsenior qualified employee will be required to accept the assignment.  The Company may hire a qualified retireetemporarily, for training purposes only. Training will be paid at 127-1⁄2 % of the employees base rate or 127-1⁄2% ofthe maximum base rate of the job they are training on, whichever ishigher.  Non-incentive workers will bepaid a $.30/hour premium while training.

 

**Section 4 - Temporary Jobs**

*When a temporary job vacancyoccurs, due to the temporary absence of an employee and that absences isexpected to last for thirty (30) days or more, the Company shall fill thevacancy by a temporary recall to those employees with recall rights or byposting a temporary bid if there are no recalls available.  Employees recalled or bidding to a temporaryposition will return to the classification or the status they were on when thetemporary no longer exists.  The temporarywill be for the length of the said leave of absence.*

* *

Whenan employee returns from a medical leave and finds that they are unable toresume working their job within three (3) calendar days and must go on medicalleave again, the employee working the job on a temporary basis will maintainrights to that job for the same medical and will not back up if needed duringthe three (3) day period.

 

TheCompany will notify the Bargaining Committee in advance when an employee isrequired to perform temporary experimental, developmental, or prototype workthat is not part of the employee’s job classification.

 

**ArticleXIV**

**WAGES, JOB CLASSIFICATIONS ANDINCENTIVES**

 

### **Section 1.  General**

The wage structurefor both incentive and non-incentive job classifications is set forthcollectively in Article XXVIII. The incentive plan structure is set forthcollectively in the Standard Hour Plan in Article XXIX.

 

### **Section 2.  Wage Progression Schedule**

All employees who are hired or who permanentlytransfer into a job classification (unless previously qualified) shall start at80% of the maximum rate for the labor grade of that job classification andprogress from 80% to 100% of the maximum rate in accordance with the followingprogression schedule:

 

21

----

 
| **Labor Grade** |   | **Length of  Wage  Progression** |   |
|-----------------|--------|----------------------------------|--------|
| 1               |   | 1 month                          |   |
| 2               |   | 2 months                         |   |
| 3               |   | 3 months                         |   |
| 4               |   | 4 months                         |   |
| 5               |   | 5months                          |   |
| 6               |   | 6 months                         |   |
| 7               |   | 7 months                         |   |
| 8               |   | 8 months                         |   |
| 9               |   | 9 months                         |   |
| 10              |   | 10 months                        |   |
| 11              |   | 11 months                        |   |

 

The employee shall receive a wage increase on each monthly anniversaryof the date of hire or transfer into the job classification until the employeereaches 100% of the maximum rate. (Anyexcused and/or time off the job approved by the Company will not be countedtowards the employees qualification time.) The monthly progression increase shall be an amount equal to thedifference between 80% of the maximum rate and 100% of the maximum rate dividedby the number of months in the progression schedule.

 

When an employee permanently transfers (bybidding) to a new job classification for which he/she previouslyqualified, such employee will be paid at the maximum rate of the new jobclassification when the employee is moved to the new job classification.

 

Incentive employees shall remain at the progression base rates of theirjobs until they have equaled or exceeded 100% performance based****on average for a production work week (five(5) consecutive days.  An employee musthave full access to incentive opportunity and be allowed to perform the work insaid job for a minimum of 50% of the time during this period.

 

The employee once qualified shall be paid what his/hers earnings wouldgenerate against the maximum incentive base rate, retroactive to the first dayof the qualifying period.   However, ifthe employee is deemed “qualified” and does not achieve 100% performance forany week during the pre-determined training period, he/she shall be returned tothe training program for the remaining time.

 

Based on management’s assessment of an individual employee’squalifications at time of hire, transfer, or during the period of the wageprogression, an employee may be advanced through the progression at anaccelerated pace.

 

An employee working in an incentive job classification will not beeligible for incentive pay until the employee is “qualified” and reaches 100%of the maximum rate.

 

22

----

 

**Section 3** –**Lump Sum Payment**

Payable in separatechecks to active, non-probationary employees on the first Friday inDecember  (minus legal deductions).

 

**2003-  $500**

**2004-  $450**

**2005 -  $450**

 

**eligibility:**

a)              Employees who havebeen actively employed for thirty (30) calendar days or more in the twelve (12)month period preceding each December when the lump sum is paid and who areat work or are on layoff or on leave.

b)             Employees who retiredor the beneficiary of a retiree who in the twelve (12) month period precedingthe lump sum payment shall also receive the payment if they have been activelyemployed for thirty (30) calendar days or more in the twelve (12) month periodpreceding each December the lump sum is paid.  If an employee quits or is discharged before the lump sum paymentis made, he will not be eligible for the lump sum payment.

 

**Section 4** –**Inventory**

**Timespent taking a plant wide and/or annual inventory will be paid based higher ofprevious quarters plant AE or $17.00/hour. Time spent on vacation clean up will be paid at the top day rate ofLabor Grade 4.  The option to workinventory will be based on seniority in each department.  The options of employees on temporary jobs willbe in their permanent departments.**

 

**Section 5 – Work Related Testing**

**Forany time lost from work while receiving treatment for or being examined by amedical professional due to work related injury or illness for which theCompany is required to pay, non-incentive employees will receive theirapplicable hourly rate and incentive employees will receive their applicableincentive base rate.  Time forCompany-required tests for pulmonary function, blood lead and auditory will bepaid at 125% of the applicable incentive base rate.**

 

**Section 6 – Shift Differential**

**Allemployees working on the second and third shifts shall receive $.40 per hour inaddition to their regular pay.**

 

23

----

 

**ArticleXV**

**VACATIONS AND HOLIDAYS**

** **

**Section 1**

All employees who havebeen in the continuous employ of the Company for more than one (1) year priorto June 1st shall be entitled to vacations with pay according to thefollowing schedule:

 
| 1  year or more   |   | 5 days  |   | 3     | % |
|-------------------|--------|---------|--------|-------|---|
| 2  years or more  |   | 7 days  |   | 3-1/2 | % |
| 3  years or more  |   | 8 days  |   | 4     | % |
| 4  years or more  |   | 9 days  |   | 4-1/2 | % |
| 5  years or more  |   | 10 days |   | 5-1/4 | % |
| 7  years or more  |   | 10 days |   | 5-3/4 | % |
| 10  years or more |   | 15 days |   | 7-1/2 | % |
| 13  years or more |   | 15 days |   | 8     | % |
| 15  years or more |   | 20 days |   | 9     | % |
| 17  years or more |   | 20 days |   | 9-1/2 | % |
| 21  years or more |   | 20 days |   | 10    | % |
| 25  years or more |   | 25 days |   | 11    | % |

 

The percentages shall be computed on the grossearnings of the employees between June 1st of the previous year andMay 31st of the current year.

 

**Section 2**

Employees leaving theemploy of the Company will have a non-forfeitable right to their vacation payearned up to date of termination.  Incase of death, the earned portion of vacation pay will be paid to the employee’sdesignated insurance beneficiary.  Incase of retirement, the earned portion of the vacation will be paid to theretiree.

 

**Section 3**

a)              All vacations may betaken during the vacation period beginning June 1 and ending may 31,except that employees entitled to seven (7)****to twenty-five (25) days vacation mayschedule by seniority the balance of their vacation during the same periodprovided such vacation is scheduled 15 days in advance.  The Company realizes that not all vacationscan be scheduled 15 days in advance, thus, one day of vacation will be grantedto an employee when notifying his supervisor by 12:00 noon the day prior to thescheduled vacation day.  No additionalvacation days other than the one-day of vacation, will be granted unless theproduction schedule allows for the additional time off.  Should more than one employee in any onegroup request a vacation for the same time, the employee with the greatestseniority shall be given preference provided that such preference is consistentwith the efficient performance of the duties of that group.  The company shall have the right to closethe factory for vacation, in which case all vacations shall be taken duringthat period. Seniority will govern all vacation requests submitted prior to April 1stfor the upcoming vacation year.  AfterApril 1, all requests will be on a first request basis without regard toseniority.

 

24

----

 

b)             Allemployees may take vacation to which they are entitled, except that thoseemployees entitled to seven (7) to twenty-five days may limit their vacation tofive (5) days if they choose with no change in their vacation pay.  The Company shall have the right to work anemployee during the vacation period in case of emergency or unusual conditionswith his consent.  Employees asked towork during the plant shutdown for vacation shall have the opportunity toschedule their vacation at another time.

 

c)              If an employee is ona medical leave, or placed on a medical leave during their scheduled vacation,they may schedule the vacation time at a later date within the vacation period.

 

**d)**             Time taken in accordance with the Family MedicalLeave Act will not be counted as vacation time or as time needed under existingprovisions of the Sickness and Accident language.  Any violation either of the Federal Family and Medical Leave Actor of any State Laws relating to Family and Medical Leave shall be subject tothe Grievance and Arbitration provisions of this agreement in addition to anyother remedies provided by the law.  TheFMLA will be administered on a calendar year, January to January.

** **

**Section 4- Vacation Pay for Worker’s CompensationPayments**

**TheUnion and the Company have agreed to include worker’s compensation payments inthe vacation pay calculation using the following method:**

**a)**              Employees who received $350.00 or more in worker’scompensation pay in any given year shall have their vacation entitlementpercentage multiplied by the entire amount of worker’s compensation paymentsthat were made to them during that time.

**b)**             The calculation shall be made within a reasonableamount of time after the Company receives its statement of losses for thepolicy year ending October 31.

**c)**              Subsequent vacation payments based upon worker’scompensation payments received by employees shall be calculated in the mannerdescribed above except the period for calculation shall be November 1st ofeach year until October 31st of the following year.  Thus, the calculation period for paymentsmade at the end of any calendar year shall be based upon worker’s compensationpayments made to employees from November 1 through October 31 of thefollowing year.

**d)**             All workers’ compensation vacation checks will beissued by the 2nd Friday of each December.

** **

**Section 5**

Employees called toMilitary Service shall receive the earned portion of the actual time spent inthe plant working for the year of their leaving and for year of their return.

 

**Section 6**

All employees who havebeen laid off prior to June 1st shall receive the earned portion of theirvacations.  Vacation checks to laid-offemployees shall be mailed during the first two weeks in June.

 

25

----

 

**Section 7**

 

|             |   | **2003**    |       | **2004**    |       | **2005**    |   |
|------------------|--------|-------------|------------|-------------|------------|-------------|--------|
| **Week(s)  of:** |   | **6/29/03** | ** ** | **7/4/04**  | ** ** | **7/3/05**  |   |
|             |   | **7/6/03**  |       | **7/11/04** | ** ** | **7/10/05** |   |

 

The Company will pay allemployees who meet the following eligibility rules for eight hours not workedon:

 

**Holiday Schedule**

 

**2003**

 

| Good  Friday               |   | 4/18/03  |   |
|----------------------------|--------|----------|--------|
| Memorial  Day              |   | 5/26/03  |   |
| Labor  Day                 |   | 9/1/03   |   |
| Thanksgiving  Day          |   | 11/27/03 |   |
| Day  after Thanksgiving    |   | 11/28/03 |   |
| Independence  Day observed |   | 12/24/03 |   |
| Holiday  1                 |   | 12/25/03 |   |
| Holiday  2                 |   | 12/26/03 |   |
| Holiday  3                 |   | 12/29/03 |   |
| Holiday  4                 |   | 12/30/03 |   |
| Holiday  5                 |   | 12/31/03 |   |
| Holiday  6                 |   | 1/1/04   |   |

 

**2004**

 

| Good  Friday               |   | 4/9/04   |   |
|----------------------------|--------|----------|--------|
| Memorial  Day              |   | 5/31/04  |   |
| Labor  Day                 |   | 9/6/04   |   |
| Thanksgiving  Day          |   | 11/25/04 |   |
| Day  after Thanksgiving    |   | 11/26/04 |   |
| Independence  Day observed |   | 12/23/04 |   |
| Holiday  1                 |   | 12/24/04 |   |
| Holiday  2                 |   | 12/27/04 |   |
| Holiday  3                 |   | 12/28/04 |   |
| Holiday  4                 |   | 12/29/04 |   |
| Holiday  5                 |   | 12/30/04 |   |
| Holiday  6                 |   | 12/31/04 |   |

 

26

----

 

**2005**

 

| Good  Friday               |   | 3/25/05  |   |
|----------------------------|--------|----------|--------|
| Memorial  Day              |   | 5/30/05  |   |
| Labor  Day                 |   | 9/5/05   |   |
| Thanksgiving  Day          |   | 11/24/05 |   |
| Day  after Thanksgiving    |   | 11/25/05 |   |
| Independence  Day observed |   | 12/23/05 |   |
| Holiday  1                 |   | 12/26/05 |   |
| Holiday  2                 |   | 12/27/05 |   |
| Holiday  3                 |   | 12/28/05 |   |
| Holiday  4                 |   | 12/29/05 |   |
| Holiday  5                 |   | 12/30/05 |   |
| Holiday  6                 |   | 1/2/06   |   |

 

a)              Pay for incentiveemployees will be at their straight time average hourly for the previouscalendar year.  Non-incentive employeeswill be paid their applicable hour rate. New Years day shall be paid at the same rate as the proceedingChristmas.

b)             Employees must haveseniority as of the date of the holiday. Probationary workers are not eligible.

c)              Employees must haveworked on the last regularly scheduled work day prior to and the next regularlyscheduled work day after such holiday, except when such holiday falls withinthe 5-day bumping period of a laid off employee and he exercises bumping rightswithin this 5-day period.  If you are scheduled to work the day beforeor the day after a holiday you will be guaranteed eight (8) hours of pay.

d)             An excused absence,which the Personnel Department has confirmed in writing, will be considered astime worked for the purpose of meeting eligibility rule (c).  An absence because of illness or injuryshall be considered as time worked for the purpose of meeting eligibility rule(c).

e)              An absence becauseof illness, which does not extend longer than one week before and/or after aholiday shall be considered as time worked for the purpose of meetingeligibility rule (c) upon presentation of a doctor’s certificate confirminginability to work.

f)                Any employee on amedical leave of absence or a military leave of absence shall receive holidaypay for the first holiday, which falls during the leave.  In cases where a series of holidays areobserved together (i.e., Christmas, etc.) a maximum of six (6) days holiday paywill be granted.

g)             When one of the aboveholidays occurs during an employee’s vacation, the employee shall be paid forsuch holiday in addition to his vacation pay.

h)             An incentive employeereturning to work who has been on layoff longer than a year shall be paid athis previous quarter’s average or the plant’s last previous quarter’s average,whichever is lower.  Basis of pay iscalendar quarter.

i)                 If laid off 15days prior to a holiday and employee has no job to bump, employee will be paidfor the holiday.  Employees with a jobto bump must exercise such bumping rights to be eligible for holiday pay.

j)                 An incentiveemployee on medical leave of absence of more than one (1) calendar year,validated by a medical doctor’s statement which prevents them from working,will be paid on the same basis as provided for in (i) above.

 

27

----

 

**ArticleXVI**

**LEAVES OF ABSENCE**

** **

**Section 1**

An employee who serves inthe Armed Forces shall be governed as to leave of absence and seniority rightsby the Universal and Military Training Act.

 

**Section 2**

Every leave of absenceshall be made a matter of record; and a copy of the regular leave of absenceform shall be provided to the employee who has been placed on leave and theUnion.

 

**Section 3**

Upon written application,a leave of absence of more than ten (10) working days may be granted toemployees at the discretion of the Company. Such leaves are not to exceed ninety (90) calendar days unless renewedor extended.  Failure to report back onthe job at the termination of an authorized leave shall be cause for automaticseparation from the payroll.  However,no employee shall lose his seniority if the failure to report is due to his orher own sickness or accident or other justifiable reasons.

 

Exceptions to the aboveare the following.

a)              Employees selectedto perform full-time Union duties or elected to public office shall be granteda leave of absence with seniority accumulative until the required service shallend.

b)             Sick or injury leaveshall be granted on presentation of a physician’s certificate to the PersonnelDirector.  The Company shall beprivileged to require such employee to take a physical examination by a Companyphysician to determine his fitness to return to work.  Such examination shall not be for the purpose of discriminationand the cost shall be borne by the Company.  In any event, the employee shall be responsible for a doctor’srelease before returning to work.

 

### **Section 4, Bereavement**

In the event of a deathin an employee’s immediate family, time off up to three (3) working days shallbe granted.  Pay for incentive employeeswill be the employee’s straight time average hourly earnings for the previousquarter.  Non-incentive employees willbe paid at their applicable hourly rate. Time off with pay will be granted for deaths in the immediate family,which occur during holidays and the vacation periods.  For purposes of bereavement pay, immediate family is defined asspouse, parent, child, brother, sister, parent of spouse, step-parent,step-child, step-brother, step-sister, step-father-in-law, step-mother-in-law,half sister, half brother.  The Companywill also pay for time off up to three days for the death of any grandparent orstep-grandparent (maximum of four), grandparent of spouse, grandchild,step-grandchild, brother-in-law, sister-in-law, son-in-law, and daughter-in-law.  (The Company agrees to pay employeesbereavement pay for “in-laws’’ if an employee’s spouse has died but theemployee has not remarried. Also, a stillborn child shall be considered as a“child”.)

 

28

----

 

### **Section 5, Jury Duty**

In the event anemployee is called upon to serve on a jury, incentive employees will be paid their straight time average hoursearnings for the previous calendar quarter for all time lost, less jury duty.Non-incentive employees will be paid at their applicable hourly rate less juryduty pay.

 

A first shift employee,or second shift employee, will be paid for the shift on the day on which theemployee served on a jury.  A thirdshift employee will be paid for the shift before or be paid for the shift afterthe day on which the employee served on the jury.  The third shift employee will select the shift of absence.

 

**Section 6**

Taking employmentelsewhere during a leave of absence shall automatically cancel the leave andterminate employment of the employee in this plant.  (Exceptions may be made under justifiable reasons.)

 

**Section 7**

An employee who is on apersonal leave of absence for more than five (5) consecutive work days shallpay $10.00 for family health care coverage or $3.00 for single health carecoverage for each working day that exceeds five (5) working days.

 

**ArticleXVII**

**GENERAL**

** **

**Section 1**

The Company shallallocate all work as equitably as practical among groups of employees capableof doing such work.  Ability to do thejob in an efficient manner, up to the Company standard of quality, and thenecessity of meeting production schedules, shall be the only recognized factorsin equitable allocation of work.

 

**Section 2**

All employees arerequired to be familiar with and abide by the shop rules, which are a part ofthis agreement.

 

**Section 3**

The Company shallcontinue to make necessary provision for the safety and health of its employeesduring the hours of their employment. Individual employees shall be responsible for using proper safetydevices and following all health and safety rules and regulations.  The Union shall cooperate with the Companyin the use of safety devices and observance of safety rules and regulations.

 

Employees of Conn-Selmerunder the jurisdiction of the U.A.W. will be represented by their Health andSafety Representatives from the Bargaining Committee.  They will be automatic members of the Safety Committee.  The Safety Committee will meet on a monthlybasis to discuss and review the safety condition of their plant.  In addition to the Health and SafetyRepresentatives the Safety Committee will consist of designated members ofManagement.

 

29

----

 

**Section 4**

Five bulletin boardsshall be used for the following purposes by the Union:

a)              Notices of meetings,recreational, and social events

b)             Notices of electionsand results

The bulletin boards shallnot be used by the Union for any other purpose without the express permissionof the Personnel Director.  All noticesshall be signed by a Union Officer, a copy of which shall be submitted to thePersonnel Director prior to the posting. (“b” of this section is excluded.)

 

**Section 5**

Determination of standardof quality is the sole responsibility of the Company.

 

**Section 6**

None of the provisions inthis contract shall take precedence over any Federal or State Statute.

 

**Section 7**

In the event of any saleof all or substantially all of the assets of the Company at the location orlocations covered by this agreement to a buyer who plans to operate anoperation at that location or locations with all of the employees as arecovered by this agreement, the buyer shall be bound to recognize the Union asthe exclusive bargaining representative of these employees before the sale.

 

## **Section 8**

The Company shall providethe Bargaining Committee a list of all the updated, or changed addresses and alist of all new employees, including addresses and all other pertinentinformation.

 

**Section 9**

*Conn-Selmer,Inc. and the U.A.W. Local Unions have recognized their respectiveresponsibilities to develop improvements in the work environment.  Both parties maintain that an adversaryrelationship in labor matters is counterproductive.  It is readily understandable that future success in our very competitivebusiness depends in large measure upon the ability to create a workenvironment, which enables each person to contribute his/her knowledge, skill,ability and experience to the health of the enterprise as a whole.  The parties agree to continually review andrevise non-productive work rules and practices that adversely affect thecompetitiveness of the operations. Neither party can condone wastefulness in any manner — be it of people,plant, machinery or material.  Bothparties agree to work as a team in the exploration and development ofinnovative programs conducive to the positive attitudes of all ouremployees.  The Company and the Unionagree that teamwork; cooperation and communication are key factors in theoverall success of the operation as a whole. The Union and the Company agree tomake every effort possible to maintain a positive and productive relationship*

 

30

----

 

***Section 10 –Skilled Trades***

*a)*              Job Descriptions:  UAW approved job descriptions for the Tool& Die maker classification  havebeen adopted by the Company and Skilled Trades Department.

*b)*             Lines of Demarcation:  Skilled Trades will only be utilized in thework areas as defined by their classification.

*c)*              Tool Replacement:  The Company agrees to replace tools andgauges, etc. for skilled trades, that are broken or worn from use on the job,if in fact the tool is brought to management for review.

*d)*             As Skilled Trades is not aregular production job, they will not be considered as transferable for thepurpose of this agreement.

* *

**ArticleXVIII**

**SEVERANCE**

** **

If economic orcompetitive conditions make it necessary to move part or all of a plant to anew location, or if there is a shutdown of a plant or product line, theemployees affected will have the following rights:

a)              Employees whose jobsare affected due to job elimination shall be required to exercise their optionof bidding, bumping, accept layoff or severance pay as provided in thisagreement.

b)             All employeesactively on the payroll for the duration of this agreement or laid off or onleave of absence since February 28, 1973 are eligible for severance pay.

c)              Active employees whoare eligible for early retirement may elect their retirement and receiveseverance in accordance with this agreement provided they qualify under theprovisions of Article XXII, Section 2 of the Working Agreement between Local364 (U.A.W.) and the Company.

d)             Severance pay foraffected employees shall be at the rate of one (1) week’s pay for each fullyear of seniority at average earnings for the previous calendar year (pro-ratedmonthly and paid at previous calendar year’s average or current averageearnings, whichever is higher). In addition, anyone with ten (10) or moreyears’ seniority will receive an additional two weeks for every five (5) yearsof seniority thereafter.

e)              Employees acceptingseverance pay shall forfeit all seniority rights at that time, retaining onlyvested rights, if any, in the pension plan.

**f)**                All insurance benefits for those employees acceptingseverance pay will be provided and paid for by the Company for a period ofthree (3) months.

** **

**ArticleXIX**

**TRANSFER BETWEEN LOCALS**

** **

Employees affected by anytransfer of operations between Main Street (U.A.W. Local 612) and Vincent Bach(U.A.W. Local 364) will be entitled to the following rights:

1.               Employeestransferring will have a letter placed by their name, (M) for Main Street, (V)for Vincent Bach, and will be placed on the seniority list of the Local theytransfer to, with the date of transfer becoming their seniority date forpurposes of bidding or bumping within the Local to which they havetransferred.  The original hire datewith the Company will be used for vacation entitlement, pensions, and any othernegotiated benefits.

 

31

----

 

2.               Employeestransferring will not be allowed to exercise their bidding rights in the Localthey are transferred to for a period of one (1) year from the date of theoriginal transfer except in case of layoff.

3.               Employeestransferring will have the right to bid or bump back into their original Localfor a ten-year period that follows the date of transfer to the otherLocal.  If an employee bids or acceptsrecall to his original Local, he will forfeit all rights to the other Localunless he was bidding or accepted recall while on layoff on the street.

4.               For the purpose ofbumping within groups of transferred employees, the seniority date from theiroriginal Local will be used.  An (M) canbump an (M) or a (V) can bump a (V) with less seniority.

5.               Should a layoffoccur on a transferred job, those employees without a letter will be laid offfirst.

6.               An employee who hasrecall rights to a job being transferred will retain those recall rights evenafter the job is transferred.  Anemployee would lose recall rights to a transferred job if he is recalled andrefuses recall to the transferred job.

7.               Employeestransferred will accumulate seniority in their original Local for purposes ofbidding or bumping back to their original Local.

8.               An employeedisplaced by an employee electing not to transfer with the operations will havethe option of bumping, taking the layoff, or transferring with the operationswith the rights defined above.

9.               Employees electingnot to transfer with the transferred operations and/or employees displaced as aresult of the transfer will be able to use the extra time for training that isprovided when a job is eliminated.

10.         Existing rates will betransferred with jobs subject to Section 7 (c) of the Standard Hour Plan.  Unrated jobs will be rated in accordancewith the agreement of the Local to which the jobs are being transferred.

 

**ArticleXX**

**TRANSFEROF OPERATIONS**

** **

**1.**               If the Company transfers any of its operations between Conn-Selmer (U.A.W. Local 612) andVincent Bach (U.A.W. Local 364) employees will be entitled to the following options:

**a)**              Transferringwith the job or operation to the plant or division to which the job istransferred, or

**b)**             Remainingunder the jurisdiction of their respective locals, U.A.W., and exercising theirseniority rights to bump with job elimination as provided under the bumpingprocedure of this agreement.

**2.**               Employees exercising their rights under (a) shallretain all seniority credits except for the purpose of bidding or bumping.

**3.**               If the Company moves a job to another existing plantor to a new plant then later moves back to the original plant, the rates mustbe intact from the original plant subject to Section 7 (c) of the Standard HourPlan.

**4.**               The Company recognizes that each of its Local Unionswould prefer to retain their own separate identity and, therefore, will notmerge the two Locals during the life of this contract.

** **

**32**

----

** **

**ArticleXXI**

**OUTSOURCING/PREFERENTIALHIRING**

** **

**Section 1**

*It is the policy of the Company toutilize its employees in the performance of manufacturing, maintenance, andtool and die work in the shop that is presently and historically performed byBargaining Unit employees.  Both partiesdo hereby recognize that instances may arise during the term of this agreementwhen the Company finds it necessary to utilize outside contractors.  In such instances, the Company will providethe Union sixty (60) days advance notice, in writing, and information prior tosuch utilization and agree to meet with the Bargaining Committee and discussthe reasons for the proposed outsourcing and any possible solutions that mayotherwise economically allow us to keep these jobs in-house.  If subcontracting reduces an employee’s workhours below forty (40), the Company agrees to meet with the Union in order toattempt to resolve the issue.  If theUnion is not notified of the outsourcing or subcontracting, the Company willpay the amount of labor cost of the job that was done outside.*

* *

**Section 2**

A Bargaining Unitemployee represented by U.A.W. Local 364 or Local 612 who is laid off may makewritten application for work at other Conn-Selmer Elkhart plants whose hourlyemployees are represented by the U.A.W. This laid off employee shall be given preference for employment and willbe hired before other inexperienced applicants are given employment.

 

The employee’s vacationbenefits and pension benefits will be determined in accordance with theemployee’s original date of hire.

 

If an employee isrecalled to the plant from which he was laid off, he may accept the recall andwill lose all seniority at the plant, which hired him when laid off.  If he chooses not to accept the recall, hemay continue working at the plant that most recently hired him but will loseall seniority at the plant that recalled him.

 

**ArticleXXII**

**BENEFITS**

** **

**Section 1**

The healthinsurance plans in effect as of May 1, 2003 will remain in effect for theduration of the Working Agreement.  Thefollowing increases for employee health insurance contributions will be addedto employee health insurance contributions that were in effect on May 1,2003.

 

33

----

 

| **Indemnity PPO**               |   |
|---------------------------------|--------|
| **2003  Rates***                |   |
| Core Plan – 80/20 Plan     |   |   |   |
| Single                          |   | $ | 21.00/week |   |
| Family                          |   | $ | 36.00/week |   |
|                            |   |   | ** ** |
| **Option  1 – 90/10 Plan** |   |   | ** ** |
| Single                          |   | $ | 37.00/week |   |
| Family                          |   | $ | 67.00/week |   |
|                            |   |   | ** ** |
| **Option  2 – 70/30 Plan** |   |   | ** ** |
| Single                          |   | $ | 16.00/week |   |
| Family                          |   | $ | 24.00/week |   |

 

----

*A maximum cap of$8.00/week for following contract year 2004 and 2005

 

*At eachannual enrollment date an employee (“family unit” in the case of employeesmarried to other Conn-Selmer employees) may elect to opt out of the HSMDinsurance and receive a $890 payment each quarter (three (3) month period)[$445 for employees opting out from single coverage] for which he/she haselected “no coverage”; to exercise this option, the employee must presentevidence of alternative coverage.  Theemployee (or “family unit”) may elect to re-enter the contractual coverage atthe next annual enrollment period (normally effective the next 1/1) or upon achange in status as defined in HIPPA; employee opting out may still electDental Plan*

* *

 

 
|   |   | **Vision** |      |
|--------|--------|------------|-----------|
|   |   | **2003**   |      | **2004** |   | **2005** |   |
|   |   |       |      |   |   |   |   |
| Single |   | $          | 1.50/week |   | $ | 1.50/week |   | $ | 1.50/week |   |
| Family |   | $          | 4.25/week |   | $ | 4.25/week |   | $ | 4.25/week |   |

 
|   |   | **Dental** | ** ** |
|--------|--------|------------|------------|
|   |   | **2003**   |       | **2004** | ** ** | **2005** | ** ** |
|   |   |       |       |   |   |   |   |
| Single |   | $          | 3.65/week  |   | $ | 3.65/week |   | $ | 3.65/week |   |
| Family |   | $          | 8.19/week  |   | $ | 8.19/week |   | $ | 8.19/week |   |

 

**Section 2**

*EffectiveJanuary 1, 2003, the amount used to compute the benefits of the pensionplan will be increased to $26.50 per month.*

* *

*EffectiveJanuary 1, 2004, the amount used to compute the benefits of the pensionplan will be increased to $27.50 per month.*

* *

*EffectiveJanuary 1, 2005, the amount used to compute the benefits of the pensionplan will be increased to $28.50 per month.*

* *

*EffectiveJanuary 1, 2006, the amount used to compute the benefits of the pensionplan will be increased to $29.50 per month.*

 

34

----

 

Employees taking EarlyRetirement on or after April 1, 2003 will be eligible for full pensionbenefits, if such employee is age 62 or older and has 30 or more years ofCredited Service at the date of such Early Retirement.

 

Effective March 1,1976, the reduction factor for employees taking Early Retirement shall be 4/10of 1% per calendar month by which such employee is under 65 at the time hisfirst early retirement benefit payment is paid to him; provided, however, thatif such employee has completed thirty (30) or more years of Credited Service,this benefit shall be reduced by 4/10 of 1% for each complete calendar month bywhich he is under age 62 at the time his first early retirement benefit is paidto him.

 

**ArticleXXIII**

**DURATION**

** **

**Section 1**

Nothing in this agreementshall permit the Union or any of its members to assume that they have anyauthority to officiate in management or in a supervisory capacity.  If management or the Union or any of itsmembers violate the terms of this agreement, it shall be considered a gestureof bad faith and subject to immediate correction through the establishedbargaining procedure.  The policy ofmanufacturing, the methods and schedules of production, including means andprocesses of manufacturing are the prerogative of the Company.  It is agreed that the Company will not usethis prerogative for the purpose of discriminating against the Union.  The Company will notify the Union sixty (60)days in advance in writing when it becomes necessary to withdraw productionoperations or functions from a plant under the Union’s jurisdiction.  The Company will notify the Union ninety(90) days in advance in writing of closing a plant under the Union’sjurisdiction.

 

**Section 2**

This agreement shallremain in force through March 31,2006****and shall automatically renew from year to year unlesswritten notice of desire to terminate or to modify any portion of the terms isgiven by either party to the other at least sixty (60) days prior to theexpiration of such annual period. Amendments may be made from time to time by agreement.

 

35

----

 

**Article XXV**

**ABSENTEEISM AND TARDINESS**

**CORRECTIVE ACTION**

**PROGRAM**

 

1.               The intent of thisprogram is to establish a fair, consistent, and reasonable approach forabsenteeism.  The majority of ouremployees are conscientious and follow good work habits.  Unfortunately, there are a few individualswho abuse the system, and for this reason we must have a procedure toadminister discipline on a fair basis.

2.               **Excused Absences****-** Absences for the following reasons shallbe considered excused absences:

A.           Vacation

B.             Jury Duty

C.             Death in immediatefamily

D.            Job related injury

E.              Approved Leave ofAbsence

*F.*              Proven illness

A proven illness must be supported by a doctor’soffice statement****M.D., D.D.S or D.O.)or a written excuse stating that the employee was seen by the doctor and thedates the employee was unable to work.

G.             Union activity

H.            Lack of Work

I.                 Physicalexamination for military duty

J.                Provenemergency, accident, or illness in the immediate family

K.            Layoff

*L.*              Prior excused absence

M.         Court appearance will be excused unless theyare due to illegal  activity by theemployee

*Note:  If an employee has made a commitment to workovertime by either written or oral communication with his supervisor and doesnot work the overtime, the absence will be excused or unexcused in accordancewith the Attendance Policy.*

**3.****                Reportingof Absences**

A.           If an employee is absent for any reason, he/she must call the HumanResource no later than two (2) hours after the start of his/her shift or theabsence will be unexcused.

B.             An employee missing two (2) consecutive dayswithout calling in and not reporting to work on time the 3rd daywill be terminated.

**4.****              Tardiness/LeavingEarly**

A.           Tardiness is thefailure of an employee to report to work on time at the beginning of his/herscheduled shift or after the lunch period.

B.             Leaving early isleaving the building before the beginning of the lunch period or before the endof the shift.

 

36

----

 

**5.****              ProgressiveDisciplinary Procedure**

Step1:    Written Warning

Step 2:    Written Warning

Step 3:    Final Written Warning

Step 4:    Discharge

**6.****              UnacceptableAbsenteeism/Tardy Levels**

A)          Tardinessand leaving early will not be excused except for those items listed inparagraph #2, Excused Absences.

B)            Whenan employee exceeds the levels of absenteeism and/or tardiness/leaving early aslisted above, they shall receive the disciplinary steps listed below:

1.)           Tardy and/or leaveearly 10 times - Written Step 1

2.)           Tardy and/or leaveearly 15 times - Written Step 2

3.)           Tardy and/or leaveearly 20 times - Final Written Warning

4.)           Tardy and/or leaveearly 25 times - Discharge

**7.****              Absenteeism**

A)          Anemployee who misses 16 or more hours shall receive a written step.

B)            Anemployee who misses 32 or more hours shall receive a written step.

C)            Anemployee who misses 48 or more hours shall receive a final written warning.

D)           An employee who misses 16 unexcused hours whileon probation will be discharge

8.               Anyone given a final written warning forabsenteeism will be placed on one year’s probation beginning with the firstworking day following the final written warning.

9.               The attendance year is April 1 throughMarch 31 of each year.

Disciplinary steps will be issued within ten (10)working days of the infraction.

 

Each step will become part of the employee’s personnelrecord except that no step will remain in the employee’s personnel record if anadditional step has not been added within six (6) months – Item 7d being theonly exception.

 

37

----

 

**Article XXVII**

**Wage Progressions**

**Wage Progression Schedule  -  1stYear**

 

 
| **Labor  Grade** |   | **Start  Wage** |       | **1  Month** |       | **2  Months** |       | **3  Months** |       | **4  Months** |       | **5  Months** |       | **6  Months** |       | **7  Months** |       | **8  Months** |       | **9  Months** |       | **10  Months** |       | **11  Months** |       | **12  Months** |       | **Maximum  Wage Rate** |       |
|------------------|--------|-----------------|------------|--------------|------------|---------------|------------|---------------|------------|---------------|------------|---------------|------------|---------------|------------|---------------|------------|---------------|------------|---------------|------------|----------------|------------|----------------|------------|----------------|------------|------------------------|------------|
|             |   |            | ** ** |         | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |           | ** ** |           | ** ** |           | ** ** |                   | ** ** |
| **1**            |   | **$**           | **10.01**  |         | $          | 12.44         | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |           | ** ** |           | ** ** |           | ** ** |                   | ** ** | **$** | **12.44** | ** ** |
| **2**            |   | **$**           | **11.05**  |         | $          | 12.12         |       | $             | 13.43      | ** **    |       | ** **    |       | ** **    |       | ** **    |       | ** **    |       | ** **    |       | ** **     |       | ** **     |       | ** **     |       | ** **             |       | ** ** | **$** | **13.43** | ** ** |
| **3**            |   | **$**           | **11.85**  |         | $          | 12.54         |       | $             | 13.48      |          | $          | 14.42         | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |           | ** ** |           | ** ** |           | ** ** |                   | ** ** |   | ** ** | **$** | **14.42** | ** ** |
| **4**            |   | **$**           | **12.39**  |         | $          | 13.15         |       | $             | 13.90      |          | $          | 14.66         |       | $             | 15.42      | ** **    |       | ** **    |       | ** **    |       | ** **     |       | ** **     |       | ** **     |       | ** **             |       | ** ** |   | ** ** | **$** | **15.42** | ** ** |
| **5**            |   | **$**           | **13.44**  |         | $          | 13.83         |       | $             | 14.48      |          | $          | 15.12         |       | $             | 15.76      |          | $          | 16.41         | ** ** |          | ** ** |           | ** ** |           | ** ** |           | ** ** |                   | ** ** |   | ** ** |   | ** ** | **$** | **16.41** | ** ** |
| **6**            |   | **$**           | **14.23**  |         | $          | 14.55         |       | $             | 15.12      |          | $          | 15.69         |       | $             | 16.26      |          | $          | 16.83         |       | $             | 17.40      | ** **     |       | ** **     |       | ** **     |       | ** **             |       | ** ** |   | ** ** |   | ** ** | **$** | **17.40** | ** ** |
| **7**            |   | **$**           | **15.03**  |         | $          | 15.29         |       | $             | 15.81      |          | $          | 16.33         |       | $             | 16.84      |          | $          | 17.36         |       | $             | 17.88      |           | $          | 18.39          | ** ** |           | ** ** |                   | ** ** |   | ** ** |   | ** ** |   | ** ** | **$** | **18.39** | ** ** |
| **8**            |   | **$**           | **15.57**  |         | $          | 16.05         |       | $             | 16.52      |          | $          | 17.00         |       | $             | 17.48      |          | $          | 17.96         |       | $             | 18.43      |           | $          | 18.91          |       | $              | 19.39      | ** **             |       | ** ** |   | ** ** |   | ** ** |   | ** ** | **$** | **19.39** | ** ** |
| **9**            |   | **$**           | **16.36**  |         | $          | 16.81         |       | $             | 17.26      |          | $          | 17.70         |       | $             | 18.15      |          | $          | 18.60         |       | $             | 19.04      |           | $          | 19.49          |       | $              | 19.93      |                   | $          | 20.38 | ** ** |   | ** ** |   | ** ** |   | ** ** | **$** | **20.38** | ** ** |
| **10**           |   | **$**           | **17.16**  |         | $          | 17.58         |       | $             | 18.00      |          | $          | 18.42         |       | $             | 18.84      |          | $          | 19.27         |       | $             | 19.69      |           | $          | 20.11          |       | $              | 20.53      |                   | $          | 20.95 |   | $ | 21.37 | ** ** |   | ** ** |   | ** ** | **$** | **21.37** | ** ** |
| **11**           |   | **$**           | **17.95**  |         | $          | 18.35         |       | $             | 18.76      |          | $          | 19.16         |       | $             | 19.56      |          | $          | 19.96         |       | $             | 20.36      |           | $          | 20.76          |       | $              | 21.16      |                   | $          | 21.56 |   | $ | 21.97 |   | $ | 22.37 | ** ** |   | ** ** | **$** | **22.37** | ** ** |
|                  |        |                 |            |              |            |               |            |               |            |               |            |               |            |               |            |               |            |               |            |               |            |                |            |                |            |                |            |                        |            |  |  |  |  |  |  |  |  |  |  |  |  |  |

 

38

----

 

**Wage Progression Schedule  -  2ndYear**

 
| **Labor  Grade** |   | **Start****Wage** |       | **1  Month** |       | **2  Months** |       | **3  Months** |       | **4  Months** |       | **5  Months** |       | **6  Months** |       | **7  Months** |       | **8  Months** |       | **9  Months** |       | **10  Months** |       | **11  Months** |       | **12  Months** |       | **Maximum  Wage Rate** |       |
|------------------|--------|-------------------|------------|--------------|------------|---------------|------------|---------------|------------|---------------|------------|---------------|------------|---------------|------------|---------------|------------|---------------|------------|---------------|------------|----------------|------------|----------------|------------|----------------|------------|------------------------|------------|
|             |   |              | ** ** |         | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |           | ** ** |           | ** ** |           | ** ** |                   | ** ** |
| **1**            |   | **$**             | **10.26**  |         | $          | 12.69         | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |           | ** ** |           | ** ** |           | ** ** |                   | ** ** | **$** | **12.69** | ** ** |
| **2**            |   | **$**             | **11.05**  |         | $          | 12.37         |       | $             | 13.68      | ** **    |       | ** **    |       | ** **    |       | ** **    |       | ** **    |       | ** **    |       | ** **     |       | ** **     |       | ** **     |       | ** **             |       | ** ** | **$** | **13.68** | ** ** |
| **3**            |   | **$**             | **11.85**  |         | $          | 12.79         |       | $             | 13.73      |          | $          | 14.67         | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |           | ** ** |           | ** ** |           | ** ** |                   | ** ** |   | ** ** | **$** | **14.67** | ** ** |
| **4**            |   | **$**             | **12.64**  |         | $          | 13.40         |       | $             | 14.15      |          | $          | 14.91         |       | $             | 15.67      | ** **    |       | ** **    |       | ** **    |       | ** **     |       | ** **     |       | ** **     |       | ** **             |       | ** ** |   | ** ** | **$** | **15.67** | ** ** |
| **5**            |   | **$**             | **13.44**  |         | $          | 14.08         |       | $             | 14.73      |          | $          | 15.37         |       | $             | 16.01      |          | $          | 16.66         | ** ** |          | ** ** |           | ** ** |           | ** ** |           | ** ** |                   | ** ** |   | ** ** |   | ** ** | **$** | **16.66** | ** ** |
| **6**            |   | **$**             | **14.23**  |         | $          | 14.80         |       | $             | 15.37      |          | $          | 15.94         |       | $             | 16.51      |          | $          | 17.08         |       | $             | 17.65      | ** **     |       | ** **     |       | ** **     |       | ** **             |       | ** ** |   | ** ** |   | ** ** | **$** | **17.65** | ** ** |
| **7**            |   | **$**             | **15.03**  |         | $          | 15.54         |       | $             | 16.06      |          | $          | 16.58         |       | $             | 17.09      |          | $          | 17.61         |       | $             | 18.13      |           | $          | 18.64          | ** ** |           | ** ** |                   | ** ** |   | ** ** |   | ** ** |   | ** ** | **$** | **18.64** | ** ** |
| **8**            |   | **$**             | **15.82**  |         | $          | 16.30         |       | $             | 16.77      |          | $          | 17.25         |       | $             | 17.73      |          | $          | 18.21         |       | $             | 18.68      |           | $          | 19.16          |       | $              | 19.64      | ** **             |       | ** ** |   | ** ** |   | ** ** |   | ** ** | **$** | **19.64** | ** ** |
| **9**            |   | **$**             | **16.61**  |         | $          | 17.06         |       | $             | 17.51      |          | $          | 17.95         |       | $             | 18.40      |          | $          | 18.85         |       | $             | 19.29      |           | $          | 19.74          |       | $              | 20.18      |                   | $          | 20.63 | ** ** |   | ** ** |   | ** ** |   | ** ** | **$** | **20.63** | ** ** |
| **10**           |   | **$**             | **17.41**  |         | $          | 17.83         |       | $             | 18.25      |          | $          | 18.67         |       | $             | 19.09      |          | $          | 19.52         |       | $             | 19.94      |           | $          | 20.36          |       | $              | 20.78      |                   | $          | 21.20 |   | $ | 21.62 | ** ** |   | ** ** |   | ** ** | **$** | **21.62** | ** ** |
| **11**           |   | **$**             | **18.20**  |         | $          | 18.60         |       | $             | 19.01      |          | $          | 19.41         |       | $             | 19.81      |          | $          | 20.21         |       | $             | 20.61      |           | $          | 21.01          |       | $              | 21.41      |                   | $          | 21.81 |   | $ | 22.22 |   | $ | 22.62 | ** ** |   | ** ** | **$** | **22.62** | ** ** |
|                  |        |                   |            |              |            |               |            |               |            |               |            |               |            |               |            |               |            |               |            |               |            |                |            |                |            |                |            |                        |            |  |  |  |  |  |  |  |  |  |  |  |  |  |

 

39

----

 

**Wage Progression Schedule  - 3rd Year**

 
| **Labor  Grade** |   | **Start****Wage** |       | **1  Month** |       | **2  Months** |       | **3  Months** |       | **4  Months** |       | **5  Months** |       | **6  Months** |       | **7  Months** |       | **8  Months** |       | **9  Months** |       | **10  Months** |       | **11  Months** |       | **12  Months** |       | **Maximum  Wage Rate** |       |
|------------------|--------|-------------------|------------|--------------|------------|---------------|------------|---------------|------------|---------------|------------|---------------|------------|---------------|------------|---------------|------------|---------------|------------|---------------|------------|----------------|------------|----------------|------------|----------------|------------|------------------------|------------|
|             |   |              | ** ** |         | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |           | ** ** |           | ** ** |           | ** ** |                   | ** ** |
| **1**            |   | **$**             | **10.51**  |         | $          | 12.94         | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |           | ** ** |           | ** ** |           | ** ** |                   | ** ** | **$** | **12.94** | ** ** |
| **2**            |   | **$**             | **11.30**  |         | $          | 12.62         |       | $             | 13.93      | ** **    |       | ** **    |       | ** **    |       | ** **    |       | ** **    |       | ** **    |       | ** **     |       | ** **     |       | ** **     |       | ** **             |       | ** ** | **$** | **13.93** | ** ** |
| **3**            |   | **$**             | **12.10**  |         | $          | 13.04         |       | $             | 13.98      |          | $          | 14.92         | ** ** |          | ** ** |          | ** ** |          | ** ** |          | ** ** |           | ** ** |           | ** ** |           | ** ** |                   | ** ** |   | ** ** | **$** | **14.92** | ** ** |
| **4**            |   | **$**             | **12.89**  |         | $          | 13.65         |       | $             | 14.40      |          | $          | 15.16         |       | $             | 15.92      | ** **    |       | ** **    |       | ** **    |       | ** **     |       | ** **     |       | ** **     |       | ** **             |       | ** ** |   | ** ** | **$** | **15.92** | ** ** |
| **5**            |   | **$**             | **13.69**  |         | $          | 14.33         |       | $             | 14.98      |          | $          | 15.62         |       | $             | 16.26      |          | $          | 16.91         | ** ** |          | ** ** |           | ** ** |           | ** ** |           | ** ** |                   | ** ** |   | ** ** |   | ** ** | **$** | **16.91** | ** ** |
| **6**            |   | **$**             | **14.48**  |         | $          | 15.05         |       | $             | 15.62      |          | $          | 16.19         |       | $             | 16.76      |          | $          | 17.33         |       | $             | 17.90      | ** **     |       | ** **     |       | ** **     |       | ** **             |       | ** ** |   | ** ** |   | ** ** | **$** | **17.90** | ** ** |
| **7**            |   | **$**             | **15.28**  |         | $          | 15.79         |       | $             | 16.31      |          | $          | 16.83         |       | $             | 17.34      |          | $          | 17.86         |       | $             | 18.38      |           | $          | 18.89          | ** ** |           | ** ** |                   | ** ** |   | ** ** |   | ** ** |   | ** ** | **$** | **18.89** | ** ** |
| **8**            |   | **$**             | **16.07**  |         | $          | 16.55         |       | $             | 17.02      |          | $          | 17.50         |       | $             | 17.98      |          | $          | 18.46         |       | $             | 18.93      |           | $          | 19.41          |       | $              | 19.89      | ** **             |       | ** ** |   | ** ** |   | ** ** |   | ** ** | **$** | **19.89** | ** ** |
| **9**            |   | **$**             | **16.86**  |         | $          | 17.31         |       | $             | 17.76      |          | $          | 18.20         |       | $             | 18.65      |          | $          | 19.10         |       | $             | 19.54      |           | $          | 19.99          |       | $              | 20.43      |                   | $          | 20.88 | ** ** |   | ** ** |   | ** ** |   | ** ** | **$** | **20.88** | ** ** |
| **10**           |   | **$**             | **17.66**  |         | $          | 18.08         |       | $             | 18.50      |          | $          | 18.92         |       | $             | 19.34      |          | $          | 19.77         |       | $             | 20.19      |           | $          | 20.61          |       | $              | 21.03      |                   | $          | 21.45 |   | $ | 21.87 | ** ** |   | ** ** |   | ** ** | **$** | **21.87** | ** ** |
| **11**           |   | **$**             | **18.45**  |         | $          | 18.85         |       | $             | 19.26      |          | $          | 19.66         |       | $             | 20.06      |          | $          | 20.46         |       | $             | 20.86      |           | $          | 21.26          |       | $              | 21.66      |                   | $          | 22.06 |   | $ | 22.47 |   | $ | 22.87 | ** ** |   | ** ** | **$** | **22.87** | ** ** |
|                  |        |                   |            |              |            |               |            |               |            |               |            |               |            |               |            |               |            |               |            |               |            |                |            |                |            |                |            |                        |            |  |  |  |  |  |  |  |  |  |  |  |  |  |

 

40

----

 

**Article XXVIII**

**Schedule of Job Classifications andRates**

 
| **Labor  Grade** |   | **Job  Number** |   | **Job Title**                                                      |   |
|------------------|--------|-----------------|--------|--------------------------------------------------------------------|--------|
| 2                |   | 171             |   | **Combination Box, Bag & Inspect**                             |
|             |   | 120             |   | **Inspection – Primary – Dept. 87**                      |
|             |   | 33              |   | **Inspection of Incoming Instruments  & Utility where needed** |
|             |   | ***127***       |   | ***Stock  Clerk***                                                 |
|             |   | 44              |   | Tie  Down & Wedge Saxophone                                    |
|             |   | 114             |   | **Utility - Emery Slides**                                         |
|             |   | 157             |   | **Utility Operator – Dept 87**                                |
|             |   | 103             |   | Water Test Slides & Repair                                     |
|             |   | 3               |   | A2  Specialized Spraying & Repair                              |
|             |   | 150             |   | Cork  & Pad                                                    |
|             |   | 155             |   | Guard  Thumbrest & Tape                                        |
|             |   | 181             |   | **Inspect Mounted Sub Assemblies**                                 |
|             |   | 119             |   | **Inspection-Major Parts**                                         |
|             |   | 35              |   | **Maintenance Helper**                                             |
|             |   | 22              |   | **Oven Attend & Lacquer Inspection**                           |
|             |   | 47              |   | **Sort / Inspect / Utility Operator**                              |
|             |   | 190             |   | **Utility Dept 75**                                                |
|             |   | 158             |   | Utility  Tanks – Dept 87                                      |
|             |   | 42              |   | **Utility -  Dept. 77**                                       |
|             |   | 1206            |   | Utility Worker                                                     |
|             |   |            |   |                                                               |
| 3                |   | 17              |   | Automatic  Buffing Machine (Mush Buff-Dept 73, 84)                 |
|             |   | 151             |   | Clean  Instruments - Brass                                         |
|             |   | 34              |   | Combination  – Cleaner/Packer                                 |
|             |   | 79              |   | Honing  - Student Line                                             |
|             |   | 137             |   | Light  Mill & Drill                                            |
|             |   | 24              |   | Load  & Unload Automatic Degreaser                             |
|             |   | 128             |   | Punch  Press                                                       |
|             |   | 140             |   | Reamer  - Sax Bodies & Keys                                    |
|             |   | 38              |   | Specialist  Packer (B)                                             |
|             |   | 197             |   | Spring,  Cork, Pad & Utility                                   |
|             |   | 41              |   | **Utility Maintenance Helper**                                     |
|             |   | 162             |   | **Utility – Professional Saxophone**                          |
|             |   | 46              |   | **Utility, Shipping & Stock Clerk**                            |
|             |   | 1207            |   | Oven Attendant/Part Cleaner                                        |
|             |   | 152             |   | Clean  Instruments - Saxophone                                     |

 

41

----

 
| **Labor  Grade** |   | **Job  Number** |   | **Job Title**                                                           |   |
|------------------|--------|-----------------|--------|-------------------------------------------------------------------------|--------|
| 4                |   | 110             |   | Combination  – Mount Subassemblies & Mount Knobs on Saxophones |
|             |   | 194             |   | Combination  Hone & Final Assembly                                  |
|             |   | 180             |   | Combination,  Mount Knobs on Saxophone, Mount Body, Bow, Bell           |
|             |   | 192             |   | Combination,  Pad Solder & Key Solder                               |
|             |   | 195             |   | Drill,  Tap & Mill Sax                                              |
|             |   | 66              |   | Final  Assembly Student                                                 |
|             |   | 78              |   | Honing,Professional                                                     |
|             |   | S4              |   | **Millwright Helper**                                                   |
|             |   | 138             |   | Mount  Body, Bow, Bell – Saxophone                                 |
|             |   | 139             |   | Mount  Sub Assembly                                                     |
|             |   | 85              |   | Mounting  – Saxophone Knobs                                        |
|             |   | 84              |   | Mounting  Brass Instrument – Student                               |
|             |   | 87              |   | Mounting  Trombone Slides & Sub Assemblies                          |
|             |   | 94              |   | Pro  Sax Silver Solder                                                  |
|             |   | 30              |   | **Raw Material Store Room**                                             |
|             |   | 141             |   | Silver  Solder – Pads                                              |
|             |   | 142             |   | Silver  Solder – Small Parts                                       |
|             |   | 96              |   | Silver  Solder Keys  A - B - C – D                            |
|             |   | 52              |   | Slide  Assembly – Trombone Professional                            |
|             |   | 98              |   | Slide  Making – Cornet & Trumpet – Student                |
|             |   | 121             |   | Student  Trombone Bell Mounting                                         |
|             |   | 123             |   | Student  Trombone Parts Mounter                                         |
|             |   | 124             |   | Student  Trombone Slide Final Assembly                                  |
|             |   | 122             |   | Student  Trombone Slide Mounting                                        |
|             |   | 182             |   | Tone  Hole Pull & Face Operator                                     |
|             |   | 145             |   | Utility  Keys - Cut/in, Pushup, Jigging & Other Work as Required    |
|             |   | 37              |   | Utility,  Trombone Slide Assembly                                       |
|             |   | 177             |   | **Wastewater Operator**                                                 |
|             |   |            |   |                                                                    |
| 5                |   | 1205            |   | Tone Hole Facing Operator                                               |
|             |   | 51              |   | Bell  Assembly – Trombone Professional                             |
|             |   | 193             |   | Combination,  Freeze Bending & Crook Making                         |
|             |   | 131             |   | Crook  Maker - Bell Bending                                             |
|             |   | 99              |   | Socket  Worker – Pierce & Pull                                 |
|             |   | 45              |   | Utility  Lead Pour & Oven Attendant                                 |
|             |   | 165             |   | Automatic Buff                                                          |
|             |   | 166             |   | Combination  Emery & Hand Buff                                      |
|             |   | 125             |   | Combination  Honing & Final Assembly Pro                            |
|             |   | 132             |   | Draw  Bench                                                             |
|             |   | 65              |   | Final  Assembly Professional                                            |
|             |   | 26              |   | CNC  Operator                                                           |
|             |   | 71              |   | General  Machine B                                                      |

 

42

----

 
| **Labor  Grade** |   | **Job  Number** |   | **Job Title**                                                       |   |
|------------------|--------|-----------------|--------|---------------------------------------------------------------------|--------|
| 5                |   | 74              |   | Genaral  Machine E                                                  |
|             |   | 49              |   | **Inspect & Repair Soft Solder**                                |
|             |   | 5               |   | **Inspection Primary / Bach &  Student**                        |
|             |   | 86              |   | Mounting  – Trombone                                           |
|             |   | 83              |   | Mounting  Brass Instrument - Professional                           |
|             |   | 88              |   | Piston  Making                                                      |
|             |   | 7               |   | **Pre-Test**                                                        |
|             |   | 1201            |   | Utility Dept. 54                                                    |
|             |   | 25              |   | **Set Up Light Mill & Drill**                                   |
|             |   | 97              |   | Slide  Making – Cornet & Trumpet – Professional       |
|             |   | 31              |   | **Specialized Inspection**                                          |
|             |   | 115             |   | Utility  – General Machine                                     |
|             |   | 170             |   | Utility  – Mouthpiece Buffing                                  |
|             |   | ***40***        |   | ***Utility  – Mush Buff & Desolder***                      |
|             |   | 100             |   | Valve  Making                                                       |
|             |   |            |   |                                                                |
| 6                |   | 55              |   | Bell  Spinner Cornet, Trumpet & Trombone                        |
|             |   | 58              |   | Bow  & Mouthpipe Maker                                          |
|             |   | 105             |   | Combination  - Pitch Bending & Crook Maker                      |
|             |   | 27              |   | Engraving                                                           |
|             |   | 70              |   | General  Machine A                                                  |
|             |   | 72              |   | General  Machine C                                                  |
|             |   | 73              |   | General  Machine D                                                  |
|             |   | 75              |   | General  Machine F                                                  |
|             |   | 76              |   | General  Machine G                                                  |
|             |   | 95              |   | Screw  Machine Operator                                             |
|             |   | 172             |   | Specialized  Mouthpiece Maker                                       |
|             |   | 113             |   | Utility  – Bell Spinner                                        |
|             |   | 1202            |   | Utility Key Finish                                                  |
|             |   |            |   |                                                                |
| 7                |   | 8               |   | **Bach Trumpet and Cornet Tester**                                  |
|             |   | 53              |   | Bell  Maker - Brass Instruments                                     |
|             |   | 57              |   | Body  Maker – Saxophone                                        |
|             |   | 93              |   | Buff  Keys                                                          |
|             |   | 169             |   | Miscellaneous  Machine Operator                                     |
|             |   | 2               |   | A1  Experimental & Technical Repair                             |
|             |   | 54              |   | Bell  Maker – Saxophone                                        |
|             |   | 175             |   | Brown  & Sharpe                                                 |
|             |   | 67              |   | Final  Assembly Adjust Saxophone                                    |
|             |   | 90              |   | Polish  & Buff Parts – Cornet, Trumpet, Trombone - Group A |
|             |   | 91              |   | Polish  & Buff Parts – Cornet, Trumpet, Trombone - Group B |
|             |   | 89              |   | Polish  & Buff Sax Parts                                        |
|             |   | 82              |   | **Lacquering**                                                      |

 

43

----

 
| **Labor  Grade** |   | **Job  Number** |   | **Job Title**                                                        |   |
|------------------|--------|-----------------|--------|----------------------------------------------------------------------|--------|
| 7                |   | 19              |   | **Student & Professional Saxophone  Tester**                     |
|             |   | 20              |   | **Tester Trombones**                                                 |
|             |   | 1204            |   | Tumble Buff Operator                                                 |
|             |   |            |   |                                                                 |
| 8                |   | 13              |   | **Bach Shop Honer & Final Assembler**                            |
|             |   | 69              |   | Final  Assembly Adjust Baritone Saxophone                            |
|             |   | 159             |   | Professional  Saxophone Final Assembly                               |
|             |   | 1308            |   | Buff & Color –Sax, Trombone, Cornet &  Trumpet          |
|             |   |            |   |                                                                 |
| 9                |   | 14              |   | **Bach Shop Combination Final Assembler**                            |
|             |   | 11              |   | **Bach Shop Mounter/Trombone**                                       |
|             |   | 9               |   | **Bach Shop Mounter/Trumpet, Cornet**                                |
|             |   | S3              |   | **Millwright**                                                       |
|             |   |            |   |                                                                 |
| 10               |   | 12              |   | **Bach Shop Color Buffer**                                           |
|             |   | 1309            |   | Buff & Color Pro A – Cornet, Trumpet, Trombone  – Bach |
|             |   | 1310            |   | Buff & Color ProB – Cornet, Trumpet, Trombone  - Bach       |
|             |   | S2              |   | **Electrician**                                                      |
|             |   |            |   |                                                                 |
| 11               |   | S1              |   | **Tool & Die Maker**                                             |

 

----

***   Bold    -   Non-Incentive**

 

44

----

 

**Article XXIX**

**Standard Hour Plan (SHP)**

 

The Company, onits part, agrees to provide to the Union and its employees opportunities forcontinued employment, good working conditions, and fair and equitablewages.  The Union agrees to acceptreasonable measures on the part of the Company (as negotiated throughCollective Bargaining) to improve its competitive position by improvingproductivity, reducing waste, conserving material and supplies, and improvingquality of workmanship.

 

The basic plan will bethe Standard Hour Plan (SHP) in which incentive standards will be expressed interms of standard hours for a specified quantity of quality production.  However, other suitable time standards maybe used by mutual agreement, in writing, between the Company and BargainingCommittee in those situations where the SHP****is inappropriate.

 

Incentivestandards under this SHP will be established and paid on an individualbasis.  Group standards will be utilizedby mutual agreement in special circumstances.

 

1.               It is theresponsibility of the Company to establish proper methods for all jobs in theworkplace and to establish incentive rates that:

(a)                Are fair andequitable.

(b)         Are based on the capacityof a normal worker (100% represents normal) working at a safe, normal pace andunder normal conditions and will allow workers who exceed these standards toearn extra compensation.

(c)          All standards will beestablished by the use of any accepted industrial engineering method(s) such astime study (continuous stopwatch method), predetermined time system, standarddata developed from studies made in this workplace or a combination ofthese.  Standards set from standard data(as outlined above) must show the specifications for methods, tooling, cycles,etc., in order to ensure that the proper time values are being applied. Aworker whose job is to be studied will be notified one hour in advance of suchstudy.  The Company will also inform theLocal Union of its intent to do such study one hour in advance of thestudy.  It is understood that theCompany will not be required to make such one hour advance notification duringthe period of conversion from the old incentive pay system to the new SHP, butwill be obligated from that point forward.

(d)         Rating Factor (method toarrive at 100% performance if the stopwatch method is utilized): Differentworkers possess varying degrees of skill and effort; therefore, it may benecessary to rate (level/normalize) the worker to arrive at a standardrepresenting 100% performance, either plus or minus, to compensate for workpace variances above or below 100%. Such rating will be made at the time of the study before leaving theobserved job location.  The same ratingprocedure will be applicable to joint time studies with the understanding thatthe observers will initial and exchange their rating before leaving theobserved location.

 

45

----

 
| **Two  Examples of Applied Rating Factor (Examples Only):** |   |   |   |   |       |
|-------------------------------------------------------------|--------|--------|--------|--------|------------|
| Observed  Watch Time                                        |   | =      |   | .90    |  Mins |
| Rating  Factor                                              |   | =      |   | 110    | %          |
| Normal  Time                                                |   | =      |   | .99    |  Mins |
|                                                        |   |   |   |   |       |
| Observed  Watch Time                                        |   | =      |   | 1.10   |  Mins |
| Rating  Factor                                              |   | =      |   | 90     | %          |
| Normal  Time                                                |   | =      |   | .99    |  Mins |

 

(e)          All standards will givedue consideration to the quality of workmanship required.

(f)            All standards will beestablished to yield a “1/1” ratio, i.e., the standard will be such that foreach one (1) percent increase in production in excess of the establishedproduction standard, the worker will receive an equal percentage increase inpay based upon the guaranteed base rate.  An employee cannot be paid less than the guaranteed base wage.

2.               The earningsobjectives of the incentive program will be twenty-five percent (25%) earningsabove the guaranteed base rate for a qualified worker working at an incentivepace.  It is understood that thetwenty-five percent (25%) earnings objective is not a minimum guarantee and itis further understood that there is no limit on earnings under this incentiveprogram.

3.               A machine controlallowance of twenty-five percent (25%) will be added to machine cycletimes.  The machine control allowancemeans there is twenty-five percent (25%) increase on the machine portion on theoperation, which will be computed and stated separately as an element andapplied to the actual machine cycle time. This allowance will be added even though there exist manual elements,required by the established method, which are wholly internal to the machinecycle time, it being understood that manual elements may be added to moreefficiently utilize such machine cycle time without affecting the standard.

** **

Examples (Examples Only):

 
| **(1)    Element Number** |                                                     | **Time (minutes)** |          |
|------------------------------------------|----------------------------------------------------------|--------------------|---------------|
| 1.                                       | (Manual Internal)                                        |               | .14           |   |   |
| 2.                                       | (Manual Internal)                                        |               | .31           |   |   |
| 3.                                       | (Manual Internal)                                        |               | .17           |   |   |
| 4.                                       | (Machine Time)                                           |               | .82           |   |   |
| 5.                                       | (Machine Allowance) .82  x 25%     = |               | .21           |   |   |
|                                     |                                                     |               | 1.03          |  Mins |   |
|                                     |                                                     |               | Standard Time |   |

 

(Elements 1, 2 and 3 are internal to the machine cycletime in the example above.)

 
| **(2)   Element Number** |                                                     | **Time (minutes)** |      |
|-----------------------------------------|----------------------------------------------------------|--------------------|-----------|
| 1.                                      | (Manual Internal)                                        |               | .12       |   |   |
| 2.                                      | (Manual Internal)                                        |               | .32       |   |   |
| 3.                                      | (Manual)                                                 |               | .09       |   |   |
| 4.                                      | (Machine Time)                                           |               | .44       |   |   |
| 5.                                      | (Machine Allowance) .44  x 25%     = |               | .11       |   |   |
| 6.                                      | (Manual)                                                 |               | 1.46      |   |   |
|                                    |                                                     |               | 2.10      |  Mins |   |
|                                    |                                                     |               | Std. Time |   |

 

46

----

 

(Elements 1 and 2 areinternal to the machine time in Example 2 above.)

Appropriate allowances under Section 4 (a) below willalso be added to the manual elements not internal to machine time.

4.               Allowances andtheir application

(a)          Every employee will beentitled to and will receive allowances for Personal, Rest and Delay time (P R& D), which will be a minimum of 15%(other allowances may be added as necessary).

(b)         All allowances will beapplied to increase the normal time, which, when properly applied, will yieldan allowed time (Standard)

 

Example ofallowance application (Example Only):

 
| 1.00 |   | Minute Normal Time/Pc   |
|------|--------|-------------------------|
| +.15 |   | Minutes Allowance Time  |
| 1.15 |   | Minutes Allowed Time/Pc |

 

Using the allowed timeabove, pieces per hour would be calculated as follows:

 

60(Mins.) ÷ 1.15 (Mins. Allowed Time) = 52.2 pcs/Hr

 

Standard Hours per 100pieces would be calculated as follows:

 

        allowedtime per piece x 100 pieces                   =   115.0   =   1.92 Standard Hrs/100 Pcs.

60minutes                                         60

 

5.               Ifa worker within an incentive job is required to work on a job that does nothave a permanent production standard established, he/she will be paid theapplicable hourly rate for all time worked on the job.

*6.*               Incentiveearnings will be calculated for each individual incentive employee for thetotal hours worked on incentive during each workweek (including incentive time worked by the employee on any pre orpost shift overtime during that workweek).

7.               Procedures forChanging Standards

*Any production standard onceestablished will not be changed unless the Company makes a change in thematerial(s), tool(s), machine(s), quality standard(s), method(s), design(s),layout(s), speed(s), or feed(s).  Anyproduction standard, once established, will not be changed merely because of achange in name(s), symbol(s), number(s), or color(s) etc. of the product(s),material(s), tool(s), machine(s), or operation(s).*

(a)          A worker’s coordinationor proficiency does not constitute a change in method(s).

(b)         A standard will bechanged if there is evidence of mathematical and/or clerical error(s),misapplication of a predetermined time value and/or standard data developed inthe workplace.

 

47

----

 

(c)          The Company may auditwork and standards provided that only the element or****elements of a standard whichare affected by any of the above will be possibly changed; all elements thatwere not affected by the above****will not be changed.  This limitation will not apply in the caseof a “revamped method,” i.e., a situation where either thirty percent (30%) ofthe total elements or thirty-five percent (35%) of the total time are beingchanged.

8.               Prior to theinstallation of a standard or a revision where a change(s) is involved, theCompany will explain the details and the methods, times, etc.****willbe made available to the Local Union Representatives in writing.  The details will include all data and adescription of the various elements of the job(s).

9.               An acceptablerecord of a correct, new, or revised standard will include a detailing of eachelement and allowances, together with the time value of each element and suchdescription and explanation as will be necessary to relate the time standard tothe operation and job(s) as it is performed. If a continuous stopwatch study is used to establish a standard, allstrikeouts must have a written explanation listed on the time study sheet(s).

10.         Any rework, which is theresponsibility of the worker performing the rework, will be performed onstandard without any additional pay except that such worker will not be paidless than the guaranteed base wage for all time spent on the rework.

11.         Incentive earnings willbe computed and paid by multiplying the percent earned by the appropriateguaranteed base wage.

 
| ***Example (Example Only):*** |   |         |   |   |   |   |   |
|-------------------------------|--------|--------------|--------|--------|--------|--------|--------|
| Guaranteed  Base Wage:        |   |         |   | $      | 15.00  |   |   |   |
| Percent  earned:              |   |         |   | 130    | %      |   |   |
|                          |   |         |   | $      | 19.50  |   |   |   |
| 6.5  Hrs. on Incentive:       |   | 6.5 x $19.50 |   | =      |   | $      | 126.75 |   |
| 1.5  Hrs. at GBW:             |   | 1.5 x $15.00 |   | =      |   | $      | 22.50  |   |
|                          |   |         |   |   |   | $      | 149.25 |  Total |

 

The same result can bearrived at by multiplying the hours on incentive by the percent earned andadding the allowable downtime/non-incentive hours, then multiplying by theguaranteed base wage.

 
| ***Example (Example Only):***                                   |   |                                           |   |   |   |
|-----------------------------------------------------------------|--------|------------------------------------------------|--------|--------|--------|
| 6.5  Hrs. on Incentive x 130%  =                           |   | 8.45 Earned Hrs.                               |   |
|                                                            |   | +1.5 Allowable downtime  or non-incentive Hrs. |   |
|                                                            |   | 9.95 Total Hours                               |   |
| 9.95  Hrs. x $15.00        = |   | $149.25                                        |   |

 

12.         When an employee workingon a SHP **s**tandardencounters continuing off-standard conditions of a temporary nature which aresubstantially affecting his/her performance, e.g. hard stock, oversized stock,equipment malfunctions, etc., he**/**she may request through his/her supervisorthat Industrial Engineering establish a supplemental standard or temporaryallowance to compensate for the off-standard condition for the duration of suchcondition. The Company will correct the condition****or establish a supplementalstandard within 48 hours of the request (such supplemental standard will bepaid retroactive to the affected 

 

48

----

 

employee[s] from the timethe condition was reported).  If theCompany fails to correct the condition****or establish the supplemental rate withinthe 48 hours period, the employee will be paid 120% of their base wage for alltime in excess of this 48 hours period while working against the off-standard condition.  Any supplemental standard under this Sectionwill be applicable only so long as the unusual condition(s) for which they wereestablished continue to exist.

 

13.         Local Union Time StudyPerson

The parties agree that itis in their best interest to have bargaining unit employees trained in the timestudy process in order to resolve questions, complaints, and possible grievanceissues.

(a)          The Company agrees torecognize the Local Union Time Study Persons (LUTSP) in the facility.

 

14.         Standards Dispute(s)

*Once the Company issues a new orrevised standard, workers will be expected to make a reasonable effort to earnincentive and will give the standard a fair and reasonable trial period ofthirty (30) days from the date of issuance. In the event the thirty (30) day trial period is not practical, a setnumber of runs will be mutually agreed upon by the Company and the Union toserve as a trial period.*

* *

After the thirty (30) daytrial period (or after the number of mutually agreed upon runs as outlined above),the worker will have****thirty(30) working days to file a SIR, stating the reason for such SIR.

(a)          If a SIR is not filed within the thirty- (30) working period, thestandard will be considered established.

(b)         Valid standard disputes will be reviewed by the Company’s IndustrialEngineer and the LUTSP, within 15 working days.  If necessary a joint study, using the same method used toestablish the standard will be performed. This time period may be extended by mutual agreement between parties inwriting.

(c)          If a standard dispute still exists, SIR will be implemented as agrievance at the third step of the grievance procedure and will beprocessed as any other grievance in regard to time limits and up to andincluding arbitration as outlined in the grievance procedure.  It is understood that the parties may placea standards grievance on hold by mutual agreement in writing.  (It is understood that this period of timewill be used to further investigate the facts regarding the disputed standardand attempt to resolve the issue.)  Oncethe period of time the grievance was on hold has expired, the grievance willcontinue on in the grievance procedure as stated above, unless the hold isextended by mutual agreement in writing.

(d)         Once a standard has beendisputed, the Company’s Industrial Engineer and the LUTSP will, within 15working days, perform a joint study, using the same method used to establishthe standard.  This time period may beextended by mutual agreement between parties in writing.

(e)          If the dispute is notresolved, the Union may appeal the grievance to arbitration as outlined in thegrievance procedure with the understanding that the arbitrator must be someonewho is experienced in standards disputes involving recognized industrialengineering practices and procedures. The arbitrator will have the right to visit the

 

49

----

 

workplace and perform hisor her own study using any recognized industrial engineering techniqueincluding the stopwatch time study method or the same predetermined time systemthe Company used to establish the standard. (The arbitrator will have the full authority to determine which systemhe/she will use if he/she elects to check the standard.)  The arbitrator’s decision will be final andbinding upon both the Company and the Local Union.

(f)            Back-pay, if any, will be paid retroactive tothe date the incident occurred resulting in an SIR. (i.e. method change,material change, etc.)

(g)         It is understood that theInternational Representative may bring an International Representative from theTime Study and Engineering Department into the workplace at any point duringthe grievance process in an effort to resolve the dispute.  The Company will provide a copy of allrelevant and necessary information requested by the InternationalRepresentative and will allow full access to the job site, which will includethe right to perform a stopwatch time study.

 

If requested by theInternational Representative, the Company’s Industrial Engineer or Time StudyRepresentative will perform a joint time study using the stopwatch time studymethod; the parties will then meet in an attempt to resolve the grievance.

15.         General Provisions

(a)          The LUTSP will perform joint analysis and studies as mutually agreed uponby the Company and the Union President as covered in Article XXIX, Section13and Section 14.

(b)         During joint time studies by the stopwatch method the worker will followthe proper method as set by the Company. It is further agreed that if a worker is observed working below a paceof 100% during a stopwatch time study, such study may be stopped and thetime recorded will not be used to set or check a standard.

(c)          Eachemployee will be responsible for working to the quality standard established bythe Company on each job.  The Companyand the Union will work together and will establish a quality action/variationreporting system to allow each incentive employee to monitor variations inmaterial or process affecting quality. It is understood that the quality action/variation reporting system willbe implemented prior to any conversion. An employee directed to run parts or raw material after reporting aquality variation will not be penalized for poor quality work on such parts ormaterial.

(d)         The worker will beresponsible for recording and reporting all downtime by use of the touch screen or use of the off standard cards.  The supervisor will verify thedowntime, before turning it in to payroll (or other department).

(e)          The Company will notchange any information on any time report/incentive report or downtime reportuntil it has been discussed with the worker who reported it, however, if****afterthe discussion, the report is changed and the parties are in disagreement, theworker may file a grievance over the issue.

(f)            The Company will givea full explanation of all methods necessary to perform the job and will fullytrain each worker in the correct way to complete their work.

*(g)*         When jobs in a job classification or department are placed on the newSHP, the new standard(s) will apply and replace the former standard(s) on thatspecific job.   The correctness of newSHP standards should not be judged in any way by comparison to

* *

*50*

----

* *

*former incentive or other standards or performance, butrather by the provisions of this SHP.*

(h)         Temporary Standards:

The parties recognizethat once the SHP for each job has been established and implemented, new ordifferent equipment and/or process(es), etc. may be introduced into theworkplace**.**A temporary or****permanent standard will be issued****for such****job(s) by the Company,within two (2) weeks of its introduction into the workplace.  Until such time as a temporary or permanentstandard is issued, the employee will be paid at 120% of his/her applicablebase rate for all hours worked on the job.

(i)             Downtime/Delay(s):

On operations which areproperly performed under the incentive system, delay(s) beyond the control ofthe employee are paid for at the guaranteed base wage.  These delays include waiting for materialand machine electrical or mechanical breakdown or power failure.

 

Since delays are includedin the allowance portion of the SHP for each job, the employee will record thedelay(s) start and end time(s) and one (1) tenth (6 minutes) will be deductedfrom the downtime for each occurrence****(the intent of this deduction is to****avoidpaying “double” for the same delay/downtime).

 

Should the employeeencounter more than two (2) delays which equal or exceed six (6) minutes duringthe course of a workday, the entire duration (including the first six (6)minutes) of such subsequent delay (3rd, 4th, etc.) duringsuch workday will also be treated as downtime and paid at the applicable baserate.

 
| **Example (Example Only):**                            |   |                                                                                      |   |
|--------------------------------------------------------|--------|-------------------------------------------------------------------------------------------|--------|
| From 7:00 a.m. to 7:05 a.m. waiting on material – |   | 5” downtime will be  recorded; payment will be made.                                 |   |
| From 8:00 a.m. to 8:10 a.m. waiting on material – |   | 10” downtime will be recorded; 4” will be paid at  the applicable base rate.    |   |
| From 9:10 a.m. to 9:25 a.m. waiting on material – |   | 15” downtime will be recorded: 9” will be paid at  the applicable base rate.    |   |
| From 10:00 a.m. to 10:03 a.m. machine jammed –    |   | 3” downtime will be recorded; no separate payment  will be made.                     |   |
| From 1:17 p.m. to 1:19 p.m. power failure –       |   | 2” downtime recorded; no separate payment will be  made.                             |   |
| From 1:32 p.m. to 2:07 p.m. power failure –       |   | 35” downtime recorded; 35” will be paid at the  applicable incentive base rate. |   |

 

*Total downtime for this day is 70 mins; 22 minutes carved outand covered by allowance structure; 48 minutes separately paid at applicableincentive base rate.*

### **(j)**             Requirements

Qualified employees working against SHP standards willbe expected to work at an incentive pace while working on the new incentivestandards.

 

51

----

 

16.         Thevarious contractual provisions which relate to the prior incentive system orearnings calculations or payments under the prior system (contained in theprior Collective Bargaining Agreement) will continue to apply to employeesuntil the time of conversion.  When thenew incentive standards are installed, the prior wage incentive system,including all contract agreements, memoranda or letters of understanding,minutes and past practices relating to the establishment of standards or thepayment of employees under the prior incentive system and any and all mattersrelated thereto, whether written or oral, will become null and void.  Any new agreements must be in writing andsigned by both parties.  The WorkingAgreement will apply except where specified in the post-conversion requiredlanguage changes Articles.

17.         Paymentfor Non Production Activities

The SHP provides that work for certain activities andconditions will be paid at the applicable base rate.  These activities include all time assigned to unrated work withinthe incentive job classification provided, however, that the followingactivities or assignments for regular incentive employees will be compensatedat the following special rates:

(a)          Assignmentsto train – 127 1⁄2 of the applicable incentive base rate. Or Non-incentiveworkers $.30 cent/hour premium while training.

(b)         Assignmentsto unrated experimental/prototype work – 125% of the applicable incentive baserate.

(c)          Participationin Company-called meetings, required hearing test and approved United Wayactivities – 125% of the applicable base rate.

 

52

----

 

**ArticleXXX**

**Rates of Pay**

## **ForIncentive Employees**

##  

| **Condition**                                                                                                                            |   | **Rate**                                            |   | **Time (actual and  earned hours)  included in incentive  calculation** |
|------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------------|--------|-------------------------------------------------------------------------|
| Holidays (Article XV,  Section 8 [a])                                                                                                    |   | Employee’s  previous quarter’s average    |   | No                                                                      |
|                                                                                                                                     |   |                                                |   |                                                                    |
| Vacations  (Article XV, Section 2)                                                                                                       |   | Rate  in current calculation                        |   | No                                                                      |
|                                                                                                                                     |   |                                                |   |                                                                    |
| Jury  Duty (Article XVII, Section 9)                                                                                                     |   | Employee’s  previous quarter’s average    |   | No                                                                      |
|                                                                                                                                     |   |                                                |   |                                                                    |
| Bereavement  (Article XVII, Section 8)                                                                                                   |   | Employee’s  previous quarter’s average    |   | No                                                                      |
|                                                                                                                                     |   |                                                |   |                                                                    |
| Paid  Union Time (Article VI, Section 3)  and  all other, including Safety Committee representatives (Article XVII, Section  3 and LUTSP |   | 125%  of applicable maximum incentive base rate     |   | No                                                                      |
|                                                                                                                                     |   |                                                |   |                                                                    |
| Assigned  to train (Article XXIX, Section 17 (a))                                                                                        |   | 127  1⁄2% of applicable incentive base rate      |   | No                                                                      |
|                                                                                                                                     |   |                                                |   |                                                                    |
| Trainee  (progression schedule) (Article XIV, Section 2)                                                                                 |   | Non-incentive  until qualified per wage progression |   | No                                                                      |
|                                                                                                                                     |   |                                                |   |                                                                    |
| Assigned  to unrated experimental/prototype  (Article  XIX, Section 17 (b)                                                               |   | 125%  of applicable incentive base rate             |   | No                                                                      |
|                                                                                                                                     |   |                                                |   |                                                                    |
| Company-called  meetings (Article XIII,  Old  Section 10) (Article XXIV, Section 17 (c))                                                 |   | 125%  of applicable incentive base rate             |   | No                                                                      |
|                                                                                                                                     |   |                                                |   |                                                                    |
| Employee  payment during  Disciplinary  meetings                                                                                         |   | Applicable  incentive base rate                     |   | No                                                                      |
|                                                                                                                                     |   |                                                |   |                                                                    |
| Employee  assigned to administer first  Aid                                                                                              |   | 125%  of applicable base rate                       |   | No                                                                      |
|                                                                                                                                     |   |                                                |   |                                                                    |
| Report  In Pay (Article VIII, Section 4a)                                                                                                |   | Applicable  incentive                               |   | No                                                                      |

 

53

----

 
|                                                                                                                                                               |   | base  rate (guarantee pay for time not worked)                                                                                                                                                                                                                                              |   |   |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|
|                                                                                                                                                               |   |                                                                                                                                                                                                                                                                                        |   |   |
| Call  In Pay (Article VIII, Section 5)                                                                                                                             |   | Applicable  incentive base rate (guarantee pay for time not worked)                                                                                                                                                                                                                         |   | No     |
|                                                                                                                                                               |   |                                                                                                                                                                                                                                                                                        |   |   |
| Inventory  (Article XIV, Section 9)                                                                                                                                |   | Higher  of previous quarter’s plant average or $17.00/hour                                                                                                                                                                                                                             |   | No     |
|                                                                                                                                                               |   |                                                                                                                                                                                                                                                                                        |   |   |
| Work  Related Testing (Article XXIX, Section 17 (c))                                                                                                               |   | 125%  of applicable incentive base rate for Company required medical tests, e.g.,  pulmonary function, blood lead levels, auditory testing; applicable incentive  base rate for treatment at clinic or going for first aid or any other medical  treatment where payment is currently made. |   | No     |
|                                                                                                                                                               |   |                                                                                                                                                                                                                                                                                        |   |   |
| Rework/repair/returned  goods                                                                                                                                      |   |                                                                                                                                                                                                                                                                                        |   |   |
| Own fault   (Article XXIV, Section 10)                                                                                                                        |   | Reworked/repaired  on standard                                                                                                                                                                                                                                                              |   | Yes    |
|                                                                                                                                                               |   |                                                                                                                                                                                                                                                                                        |   |   |
| -  Not employee fault                                                                                                                                    |   | •  Incentive rate (special); **or**                                                                                                                                                                                                                                                    |   | Yes    |
|                                                                                                                                                               |   | • 125% of employee’s incentive base rate                                                                                                                                                                                                                                          |   | No     |
|                                                                                                                                                               |   |                                                                                                                                                                                                                                                                                        |   |   |
| New  machines, products not rated  [Article XXIX, Section 15(h)]                                                                                              |   | 120%  of applicable incentive base rate                                                                                                                                                                                                                                                     |   | No     |
|                                                                                                                                                               |   |                                                                                                                                                                                                                                                                                        |   |   |
| Downtime  [Article XXIX, Section 15 (i)]                                                                                                                           |   |                                                                                                                                                                                                                                                                                        |   |   |
| -   First six (6)  minutes of each occurrence (2 for all occurrences that equal or exceed  six  (6) and all occurrences less than  six (6) minutes] |   | On standard                                                                                                                                                                                                                                                                                 |   | Yes    |

 

54

----

 
| -   Time in  excess of first six (6) minutes (And all time for downtime occurrences  exceeding six (6) minutes after the first two occurrences) |   | Applicable  incentive base rate                                                                                                                          |   | No     |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|
|                                                                                                                                                      |   |                                                                                                                                                     |   |   |
| Off  standard conditions substantially affecting performance (Article XXIX,  Section 12)                                                                  |   | •  Supplemental standard  **or**                                                                                                                    |   | Yes    |
|                                                                                                                                                      |   | • Applicable incentive base rate; 120% of  applicable base rate if no supplemental standard within 48 hours                                         |   | No     |
|                                                                                                                                                      |   |                                                                                                                                                     |   |   |
| Unrated  work within job classification  (SHP  Section 5)                                                                                                 |   | Applicable  incentive base rate                                                                                                                          |   | No     |
|                                                                                                                                                      |   |                                                                                                                                                     |   |   |
| Temporary  assignments to another job classification (Article XIII, Section 3 (b))

-        Incentive to incentive    |   | Incentive  earnings; higher of two (2) base rates for calculation; guarantee rate of  120% of the employee’s incentive base rate                    |   | Yes    |
|                                                                                                                                                      |   |                                                                                                                                                     |   |   |
| -        Incentive to non-incentive**/                                                                                 |   | Non-incentive;  higher of two (2) base rates; 125% of the employee’s incentive base rate if  employee is deprived of incentive earnings opportunity |   | No     |
|                                                                                                                                                      |   |                                                                                                                                                     |   |   |
| -        Non-incentive to incentive                                                                                    |   | Incentive  earnings; higher of two (2) base rates for calculation and guarantee rate                                                                     |   | Yes    |

 

----

**/                              The125% rate would only be paid if the assignment was for the “Company’sconvenience” and the employee is deprived of incentive earnings opportunity inhis regular job classification.  Forexample, assignment of an employee from his regular job classification toanother job classification during a downtime situation or “out of schedule” (noscheduled production for that job) would not warrant the 125% payments.

 

55

----

 

**Article XXXI**

**BUFFING TRAINING PROGRAM**

 

Employees who are hired,bump, or bid into the job classification of Student Buffer will be trained tobuff one type of student musical instrument (trumpet, trombone or saxophone)during the first seven months after their entry into the jobclassification.  Management willdetermine which type of the three (3) student horns the employee will betrained to buff during the seven months of training.

 

Employees whoenter the Student Buffer Training Program will have a two (2) year commitmentto Student Buffing.  The two (2) yearcommitment includes the training period. During this two (2) year period, an employee will not be eligible to bidon other jobs.  The two (2) year commitmentcan only be shortened in duration if an employee is disqualified from thetraining program or bids to the job classification of Professional Buffer.

 

During the first sevenmonths of training, an employee shall be paid an hourly wage in accordance withthe following wage progression:

 

| First Month                     |   | 80  | % | Of the maximum of Labor Grade 7  |   |
|---------------------------------|--------|-----|---|----------------------------------|--------|
| Second Month                    |   | 83  | % | Of  the maximum of Labor Grade 7 |   |
| Third Month                     |   | 86  | % | Of  the maximum of Labor Grade 7 |   |
| Fourth Month                    |   | 89  | % | Of  the maximum of Labor Grade 7 |   |
| Fifth Month                     |   | 92  | % | Of  the maximum of Labor Grade 7 |   |
| Sixth Month                     |   | 95  | % | Of  the maximum of Labor Grade 7 |   |
| Seventh Month                   |   | 98  | % | Of  the maximum of Labor Grade 7 |   |
| At the end of the Seventh Month |   | 100 | % | Of  the maximum of Labor Grade 7 |   |

 

Based upon management’sand the employee’s trainer’s assessment of an individual employee’squalification at the time of hire, bump, or bid during the period of the wageprogression an employee maybe advanced through the progression at anaccelerated rate.  This provision shallnot impair management’s right to remove/disqualify an employee from the jobclassification during the progression if the employee fails to meetmanagement’s reasonable expectation.

 

An employee will not beeligible for incentive pay until the employee is “qualified” and reaches 100%of the maximum of Labor Grade 7.

 

After an employee hasqualified to buff one type of student horn he/she will begin the second part ofthe training program – an additional training period of sixteen (16) weeksduration.  The employee will be trainedto buff another type of student horn during this sixteen-week period.  Management will determine the type ofstudent horn the employee will be trained to buff during this sixteen (16) weektraining period (trumpet, trombone or saxophone).

 

During this sixteen (16)week training period, the employee will be paid at the maximum of Labor Grade7.  In addition to the training on thesecond type of student horn the employee will

 

56

----

 

be assigned to buff thetype of student horn for which he/she was trained during the first seven monthsof training.  The employee will be paidin accordance with the Conn-Selmer Standard Hour Plan when buffing the studenthorns for which he/she is qualified.

 

If the Company does notprovide the employee with an incentive opportunity 50% of the hours workedduring the sixteen (16) week training period, the employee shall be paid at125% of the maximum of Labor Grade 7 for all necessary hours to equal 50% ofthe total hours worked during the 16 week training time when added to the hourson incentive.

 

Example:
| 16 weeks of training               |   | =      |   | 640 hours |   |
|------------------------------------|--------|--------|--------|-----------|--------|
| Non  incentive training            |   | =      |   | 320 hours |   |
| Hours  on incentive                |   | =      |   | 230 hours |   |
| Guarantee  of 125% X Labor Grade 7 |   | =      |   | 90 hours  |   |
|                               |   |   |   | 640 hours | *      |

* *

** With320 hours being paid at the maximum of Labor Grade 7 and the other 320*hours either being compensated for inaccordance with the Conn-Selmer Standard Hour Plan or 125% of the maximum ofLabor Grade 7.

* *

When an employee has successfullycompleted the sixteen (16) weeks of training and is qualified to buff two typesof student horns, he/she will hold the job classification of Student Buffer – Band will be paid the maximum of Labor Grade 8.

 

Based upon management’sand the employee’s trainer assessment of an individual employee’s qualificationduring the second period of training, or an employee’s performance at a 100% ofthe standard producing quality horns an employee maybe advanced through thesecond part of the training program at an accelerated rate, and be paid 100% ofthe guaranteed base rate of Labor Grade 8.

 

A Student Buffer – B willbe assigned by management to either of the three (3) types of student horns inaccordance with the Company’s daily production needs and the employee’squalifications.  An employee may use hisseniority to select his work assignment within the job classification.

 

# ***Professional BufferTraining Program***

 

Only the employees whohave qualified for the job classification of Student Buffer – B will be eligiblefor entry into the Professional Buffer Training Program.

 

During the firsteight (8) weeks after entry into the Professional Buffer Training Program, anemployee will be trained to buff one type of professional musical instrument,either a trumpet or trombone. Management will determine the type of horn for which the employee willreceive his/her training.

 

57

----

 

The employee will be paid100% of the guaranteed base rate of Labor Grade 10 while receiving this eight(8) weeks of training.

 

After an employeehas received the eight (8) weeks of training and is qualified to buff one typeof professional horn, he/she will begin the second part of the training programof 16 weeks duration.  The employee willbe trained to buff the other professional instrument during this 16-weekperiod.

 

During this 16-weektraining period, the employee will be paid 100% of the guaranteed base rate ofLabor Grade 10.  In addition to thetraining on the second type of professional horns the employee will be assignedto buff the type of professional horn for which he/she was trained during thefirst eight (8) weeks of training.  Theemployee will be paid in accordance with the Conn-Selmer Standard Hour Planwhen buffing the professional horn for which he/she is qualified.

 

If the Companydoes not provide the employee with an incentive opportunity 50% of the hoursworked during the sixteen (16) week training period, the employee shall be paidat 125% of the maximum of Labor Grade 10 for all necessary hours to equal 50%of the total hours worked during the 16 week training time when added to thehours on incentive.

 

When an employee hassuccessfully completed the sixteen (16) weeks of training and is qualified tobuff two types of professional horns, he/she will hold the job classificationof Professional Buffer – B and will be paid the Labor Grade 10 incentive baserate.

 

A ProfessionalBuffer – B will be assigned by management to either of the two types ofprofessional horns in accordance with the Company’s daily production needs andthe employee’s qualifications.  Anemployee may use his seniority to select his work assignment within the jobclassification.

 

**Buffer Transition Plan**

 

1.               **CurrentBuffers:**

All buffers whobuff student horns will be a Student Buffer B, Labor Grade 8.

 

The employees who buffprofessional horns will be Professional Buffer A’s, Labor Grade 10, until theydemonstrate their ability to buff two (2) professional horns by buffing at 100%of the standard while producing quality horns. When employees are qualified to buff two (2) professional horns, theywill be Professional Buffers B’s, Labor Grade 10.

 

2.               **Employeeswho bid or bump into the buffing classification:**

Employees who bidor bump on the Student Buffer and Professional Buffer jobs and have held theclassification of Buffer will be evaluated by buffing and having theirqualifications determined by the buffing incentive standards.  If they buff at 100% producing qualityhorns, they are considered qualified.  They will be slotted into the respective training programs inaccordance with their qualifications and demonstrated ability to buff.  Only employees who have held the classificationof Buffer may bid or bump a Professional Buffer job.

 

58

----

 

***Article XXXII***

 

### **Union Leave**

The local Union Presidentor his/her designee shall have the right to excuse employees for union businessfor temporary periods of time.  It isunderstood that the president or designee shall give as much advance notice aspossible on all such leaves.  Thisparagraph shall not be used to disrupt production.

 

**To:  BargainingCommittees – Locals 364**

The Company agrees toprovide employees with a check for delayed S&A or worker’s compensationpayments upon request from the employee and/or Union.  A delayed payment occurs when the employee has not received anS&A or worker’s compensation check within 18 days of filing the appropriatepaperwork.

 

# ***Letter ofUnderstanding***

 

**Re:  V- CAP**

This letter describes ourunderstanding reached during the 2000 negotiations concerning deduction forvoluntary political contributions from employee paychecks.

 

The International Unionwill furnish the Company, for each employee for whom a deduction is to be made,an Authorization Card signed by the employee containing the following:

(a)                                  Nameand Address

(b)                                 Plant

(c)                                  DepartmentNumber

(d)                                 SocialSecurity Number

(e)                                  LocalUnion Number

(f)                                    Dollar/Centamount to be deducted each period. (minimum $1.00)

(g)                                 ClockNumber

Cards that cannot beprocessed will be returned to the International Union for correction.

 

Commencing April 1,2004, the Company will make authorized deductions from checks for the third payperiod ending in each month, and continuing for the term of the contract whilethe authorization is in effect.

 

A deduction not made willnot be carried forward.

 

In the monthfollowing each deduction, the Company will issue one or more checks (one foreach Local Union payable to U.A.W. V-CAP, in care of International Union, fordeductions made in the preceding month.

 

A computer diskettelisting will also be forwarded which will indicate the name, address, payrolllocation code, Local Union number, department number, full social securitynumber, and the

 

59

----

 

amount deducted foremployees whose deductions are included in the check.  Year-to-date deduction totals will be included in the report.

 

The Company will pay theactual costs of additional setup and programming, of general administration,computer and machine time, and of processing new authorization changes orcancellations.

 

Employees who wish tocancel their authorizations for payroll deductions will sign a card supplied bythe Union for that purpose.  Refundswill be the responsibility of the Union.

 

The International Unionwill collect and forward as one transmittal all signed Authorization Cards andCancellation Cards for the initial processing and for each quarter toManagement.

 

An Authorization Cardthat is not revoked by the employee shall continue in effect upon reinstatementto active status in the same bargaining unit provided the employee’s record isstill being maintained by that payroll department.

 

The Union will indemnifyand hold harmless the Company from any and all liability or claims arising fromadministrative error resulting from the deductions provided for in thisagreement.

 

**Letter of Agreement for the Merger of the Bundy and Buescher Operationsand Seniority**

a)              Upon the merger ofthe Bundy and Buescher Operations, there shall be no segregation of work,except as provided in this agreement.

b)             A seniority listshall be established, with seniority determined by the date of hire with theBundy Corporation.

1.               All employees whowere employed with the Bundy Corporation prior to February 1, 1963, shallhave their present seniority dates and shall be designated by the letter “B”.

2.               All employees whowere employed by the Buescher Division on February 1, 1963, shall havethis date as their seniority date, and shall be arranged on the seniority listin order of their former seniority with the former Buescher Band InstrumentCompany, and shall be designated by the letter “H”.

3.               All other employeesat either the Bundy Corporation or the Buescher Division who were hired afterFebruary 1, 1963, shall be arranged on the seniority list by the date ofhire and shall not be designated by any letter.

c)              This seniority listshall be used for the purpose of bidding.

d)             This seniority listshall be used for the purpose of layoff under the following procedure:

1.               Probationary andpart-time employees shall be laid off first, in any order.

2.               Unletteredemployees shall be laid off by seniority date.

3.               If layoff shouldreach lettered employees, they may then either retain that part of the existingwork they had prior to the merger, or they may exercise their bumpingrights.  If lettered employee’s exercisebumping rights, any part of their job remaining shall be done by employeesremaining in the group.  Employees whobump shall be called back to their group.

 

60

----

 

4.               Any letteredemployee who bids from the job he holds at the time of merger into anothergroup shall for the purposes of layoff have the least seniority among thelettered employees, regardless of letters, of the group into which he bid.

e)              In the event of alayoff, the following bumping procedure shall be followed:

1.               A“B” employee may bump only a “B” employee with less seniority, or an unletteredemployee.

2.               An“H” employee may bump only an “H” employee with less seniority, or anunlettered employee.

3.               Anyunlettered employee may bump any employee of lesser seniority.

 

**Section2 - Benefits**

a)              TheCompany will recognize five (5) years seniority as of February 4, 1963, forevery Buescher employee who shows a hiring date with the former BuescherCorporation prior to February 4, 1958. Every Buescher employee who shows a hiring date with the former BuescherCorporation after February 4, 1958, will have as their seniority date forpension purposes their most recent hiring date.

b)             TheCompany will recognize the original Lesher Brass hire date for purposes ofvacation and pension for Bach II employees merged with Vincent Bach as ofApril 1, 1981.

c)              Forthe purposes of vacation only, the Company will recognize five (5) yearsseniority as of February 4, 1963, for every Buescher employee who shows ahiring date with the former Buescher Corporation prior to February 4,1958.  Every Buescher employee who showsa hiring date with the former Buescher Corporation after February 4, 1958,will have as their seniority date for purposes of vacation, their most recenthiring date.

 

This agreementwill end when the employees affected by this merger are no longer employed bythe Company.

 

# ***Letter ofUnderstanding for the term of this contract***

Inregards to employees who are in the plant(s) under a training progression asspecified in 2000 Collective Bargaining Agreement and are laid off prior tocompleting their training, will be granted the remaining training if they arerecalled.  This only applies toemployees in an active training progression that have achieved a minimum of 50%efficiency in the progression.

 

Foremployees with less than 50% efficiency during the progression period and employee’son layoff with recall to a job they are not qualified on will be extendedrecall rights to the last job they were qualified.

 

61

----

 

**401-K Loans**

 

**•****                 **Aparticipant can have one loan

 

**•****                 **Theparticipants can borrow up to 50% of their vested account balance, not toexceed $50,000.

 

**•****                 **Theminimum loan amount is $1,000.

 

**•****                 **Interestrate is based on 1% above prime rate and will remain in effect for the life ofthe loan.

 

**•****                 **Loanrepayments must be payroll deducted each payday and transmitted to Fidelityalong with the deferrals.

 

**•****                 **Theinterest is credited back to the participant’s account on a prorated basis totheir investment funds.

 

**•****                 **Aparticipant can pay the loan off in whole at any time.

 

**•****                 **Nopartial prepayments are allowed.

 

**•****                 **Thereis a $125 one-time origination fee, which is deducted for the loan check.

 

62

----

 

Product Purchase

 

| Form #  100.8 |   | Date Effective |   | 02/17/98 |   | Revision Date |   | 04/01/03 |
|--------------------|--------|----------------|--------|----------|--------|---------------|--------|----------|

 

Purpose

 

To provide our employeeswith an opportunity to purchase products manufactured or distributed by theCompany at a discounted price.

 

Eligibility

 

Full-time employees orretirees are eligible to buy “Conn-Selmer products” for their own personal useor for the use of their spouse, children and grandchildren.

 

General

 

1)              The term“Conn-Selmer products” means any product manufactured or distributed by theCompany and appearing in a current catalog and retail price list.

 

2)              Instrument purchasesare limited to one per year.  Exceptionscan be approved by an officer of the Company

 

3)              The employeepurchase price will be:

 

a)                                      Maximumallowable discount* on wearables.

 

b)                                     25%discount on wearables.

 

----

*    Discountsare from retail prices

 

4)              Employee sales,including the appropriate sales tax and any shipping and/or handling chargeswill be for cash, check, or credit card at the time of delivery.

 

5)              All sales are finalexcept for warranty problems or wearables that are the wrong size.

 

6)              See Appendix A forprocedure to sell to employees or retirees.

 

63

----

 

In witness whereof, theemployer and the union have hereto caused these Articles of Agreement to beexecuted this 1st day of April 2003.

 
| Vincent Bach                                     |   | Union Local 364     |   |
|--------------------------------------------------|--------|---------------------|--------|
| Division of  Conn-Selmer, Inc.                   |   | U.A.W.              |   |
|                                             |   |                |   |
| /s/ Robert Britton                               |   | /s/ Jerry Stayton   |   |
| Robert Britton                                   |   | Jerry Stayton       |   |
|                                             |   |                |   |
| /s/ Edward H. Chesko                             |   | /s/ Robert Allen    |   |
| Edward H. Chesko                                 |   | Robert Allen        |   |
|                                             |   |                |   |
| /s/ Michelle Hammer                              |   | /s/ Bo Coody        |   |
| Michelle Hammer                                  |   | Bo Coody            |   |
|                                             |   |                |   |
| /s/ Dennis Hanson                                |   | /s/ Connie Replogle |   |
| Dennis Hanson                                    |   | Connie Replogle     |   |
|                                             |   |                |   |
| /s/ Doug White                                   |   | /s/ Kevin Adams     |   |
| Doug White                                       |   | Kevin Adams         |   |
|                                             |   |                |   |
| International  Representative                    |   |                |   |
|                                             |   |                |   |
| /s/ Terry Thurman                                |   |                |   |
| Terry Thurman, Director  of Region 3 UAW         |   |                |   |
|                                             |   |                |   |
| /s/ Larry D. Banghart                            |   |                |   |
| Larry D. Banghart,  International Representative |   |                |   |

 

64

----