Exhibit 10.40


 


AGREEMENT


 


PREAMBLE


 


This Agreement is entered into as of this 1st day of
December 2003, by and between PARAGON SYSTEMS INC., (“PSI”) hereinafter
referred to as “Employer” and United Union of Security Guards (“UUSG”)
hereinafter referred to as the “Union”. The Agreement is effective 1
December 2003 and continues through 1 December 2006.  Employee benefits that are in full force and
effect are set forth in Appendix I to this Agreement.


 


ARTICLE 1 – SCOPE OF AGREEMENT


 


Section 1


 


The Employer recognizes and acknowledges that the Union is the sole and
exclusive bargaining representative for all its security guard employees
employed at the National Computer Center (“NCC”) and Security West Complex
(“SWC”) facilities of the Social Security Administration.


 


Section 2 – Exclusions


 


This Agreement does not cover the following employees and management
staff:


 


a.                                       Officers
and Directors of the Employer.


 


b.                                      All clerical,
Lieutenants, Sergeants, exclusive of those Sergeants working in the Emergency
Command Control Center (“ECC”) and Security West Control Center (SWCC),
supervisory employees, and the Project Manager.


 


c.                                       All
other supervisors, managerial employees, and non-guard employees.


 


Section 3 – Probationary Employees


 


All employees newly hired, or rehired after termination of their
seniority, shall be classified as probationary employees for a period of ninety
(90) calendar days from the date of


 


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hire. During their probationary period employees may be subject to
discipline or discharge at the discretion of the Employer, without regard to
the provisions of Articles 7 and 8 of this Agreement. This period may only be
extended an additional ninety (90) days by mutual agreement of the Union and
the Employer. All other provisions of this Agreement are applicable to
probationary employees.


 


Section 4 – Emergency and Security West Control Center Employees


 


Employer shall post job openings for the Emergency and Security West
Control Center (“ECCC/SWCC”) to the general public and the bargaining unit
employees. The Employer retains the exclusive right and authority to select
employees for work in the ECCC and SWCC, as those workers must have training
the Physical Security System (“PSS”). These employees shall be considered part
of the bargaining unit but their rates of pay shall be separately specified in
the Appendix I as distinct from the rates of pay for the other bargaining unit
employees. Any employee selected from the bargaining unit for the ECCC and SWCC
will have a ninety (90) day probation period provided they have maintained
their security guard licenses.


 


ARTICLE 2 – UNION SECURITY AND CHECK-OFF


 


All employees have the right to become and remain members of the Union
or not to do so. As a condition of continued employment, employees must, on or
before the 31st day of employment with the Employer, either:


 


a.               join the Union and remit to the Union on
a monthly basis Union Dues as duly established by the Union, or


 


b.              remit to the Union on a monthly basis a
representation fee equal to eighty percent (80%) of the dues, which reflects
the Union’s demonstrated costs of bargaining and servicing of this contract.


 


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If any employee shall fail to remit such dues or fees when due as
provided herein, the Employer shall discharge such employee upon the Union’s
written request and representation of such failure to remit dues or fees and
proof that employee has been put on notice of arrears. The Union will hold the
Employer harmless for the discharge of any employee who has been discharged
pursuant to the Union’s request.


 


The Employer agrees to deduct such initiation fees and uniform fees
from covered employees’ wages as required by the Union, provided such
deductions are authorized, in writing, by the Employees and such copies of
authorizations are provided to the Employer. Union dues or representation fees
shall be based upon all payrolls during a month. The Employer shall make such
deductions on a bi-weekly basis and shall remit the amount deducted and a
supporting remittance report to the Union by the fifteenth (15th) of
the month following the month in which such deductions occur, together with a
report listing the amount deducted by Employee.


 


The Union accepts full responsibility for the authenticity for each
authorization submitted by it to the Employer, and any authorization that is
incomplete or in error shall be disregarded by the Employer, and shall be
returned to the Union for correction. The Union agrees that, upon receipt of
proper proof, it will refund the Employees any deduction erroneously or
illegally withheld from an employee’s earnings by the Employer that has been
transmitted to the Union by the Employer. The Union further agrees that it
shall indemnify and save the Employer harmless against any and all claims,
demands, suits or any other form of liability that may arise out of, or by
reason of, any action taken or not taken by the Employer for the purpose of
complying with any provisions of this Article in reliance on any list or
notice furnished by the Union.


 


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No deduction of union dues will be made from the wages of any employee
who has executed an authorization and who has been transferred to a job not covered
by this Agreement, or who is not in pay status. Upon return to work within a
classification covered by this Agreement, deductions from future wages shall be
automatically resumed, provided it is in accordance with the other appropriate
provisions of this Agreement and of the National Labor Relations Act, as
amended.


 


Collections of any back union dues owed at the time of starting
deductions for any employee, and collections of union dues missed because the
Employee’s earnings were not sufficient to cover payment of dues for a
particular pay period, will be the responsibility of the Union, and will not be
the subject of payroll deductions.


 


Deduction of the union dues shall be made in a flat sum provided there
is a balance in the paycheck sufficient to cover the amount after all other
deductions authorized by the Employee, or required by law, have been satisfied.


 


ARTICLE 3 – NONDISCRIMINATION


 


The Employer and Union agree that there shall be no discrimination by
the Employer or the Union against employees because of race, color, creed,
religion, national origin, sex, age, marital status, non job-related physical
or mental handicap, or because of their involvement in or refraining from
participating in Union activities except as required by Article II of this
Agreement.


 


ARTICLE 4 – MANAGEMENT RIGHTS


 


Subject only to such limitations as may be specifically imposed by this
Agreement, the Union recognizes that the management of the business and
direction of the working force is vested exclusively in the Employer, including
but not limited to, the


 


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right to schedule work, to determine whether a position is to be
filled by full-time or part-time employees, to assign work and working hours to
employees, to decide the work amount and location at its facilities, to
determine the type of services performed, to establish reasonable quality and
performance standards, and the most efficient means of providing service, to
require from every employee compliance with normal operating procedures to
formulate and enforce appropriate and reasonable employer rules and
regulations, including the drug and alcohol policy set out in Article 29
of this Agreement now in effect or hereafter enacted if not covered by the provisions
of this Agreement, to hire, suspend, promote, demote, transfer, discharge or
discipline for cause, or relieve employees from duty because of lack of work or
for other legitimate reasons, to maintain discipline and efficiency of
employees, to judge skill, ability, and physical fitness, to create, eliminate,
or consolidate job classifications to control and regulate the use of all
equipment and other property of the Employer and to subcontract work which
would otherwise be performed by the Employees subject to this Agreement at the
convenience of the Government. The above mentioned rights reserved to
management are not intended to deny or limit the Employer in other managerial
rights which are not covered by this Agreement and which it previously
exercised.


 


ARTICLE 5 – EMPLOYEE CLASSIFICATIONS


 


Section 1


 


An employee shall be classified as “full-time” as soon as the Employer,
in its opinion reasonably exercised, determines that the non-probationary
employee is reasonably expected to work one thousand seven hundred eighty
(1,780) hours or more during a twelve (12) month period.


 


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Section 2


 


An employee shall be classified as “part-time”, if the Employer, in its
opinion reasonably exercised, determines that the non-probationary employee is
not reasonably expected to work one thousand seven hundred eighty (1,780) hours
or more hours during a twelve (12) month period.


 


Section 3


 


When an employee has not established his/her classification pursuant to
Sections 1 and 2 above, then that employee who regularly works seventy-two (72)
hours or more in any pay period shall be classified as a full-time
employee.  An employee who regularly
works less than seventy-two (72) hours per pay period shall be classified as a
part-time employee.  “Regularly works” is
defined as working seventy-two (72) or more hours in at least seven (7) of the
bi-weekly pay periods in a six (6) month period.


 


In any event, an employee who is scheduled to work less than an average
of sixteen (16) hours per week in any thirty (30) day period shall receive
written notice from the Employer, and shall have ten (10) days from the mailing
of that notice to contact the Employer to agree to a schedule that would
increase hours to sixteen (16) or more hours a week or shall be
terminated.  The failure of an employee
to increase his/her hours worked to sixteen (16) or more hours per week may, in
the Employer’s discretion, result in the Employee’s termination.  Employer shall mail or fax to the Union a
copy of any Employer notice referred to in this paragraph.


 


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ARTICLE 6 – WORK WEEK AND HOURS OF WORK


 


Section 1


 


The workweek shall be from 0001 hours Monday until 2400 hours
Sunday.  Wages shall be paid bi-weekly on
Friday in the second week following the end of the pay-period.  Should the Employer, during the term of this
Agreement, need to amend the start of the work week, the Employer shall meet
with the Union to review such a change.


 


Section 2


 


The hours of work of employees shall be scheduled by the Employer at
least two (2) weeks in advance except in circumstances beyond the Employer’s
control.  Whenever possible, where the
agency contract requirements permit, the Employer at its management discretion
shall schedule employees for eight (8) hour shifts.


 


Section 3


 


Employees working shifts of six (6) to eight (8) consecutive hours
shall receive a thirty (30) minute paid break during their shift.  Employees who work shifts of ten (10) to
thirteen (13) or more hours shall receive two (2) thirty (30) minute paid break
periods during their shift.  In addition,
employees shall be provided with breaks for emergency purposes as reasonably
required.


 


Section 4


 


Overtime pay is to be paid at a rate of one and one-half (1 1⁄2) times
basic hourly straight time rate. 
Overtime shall be paid to employees for work performed in excess of
forty (40) hours in a pay week.  A
workday shall be defined as from 0001 hours until 2400 hours.  There will not be any pyramiding of hours
worked.  Paid vacation or holiday time
shall not be counted as hours worked in the calculation of overtime.  The


 


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opportunity to work overtime shall be provided consistent with the
Employer’s business needs and circumstances and must be authorized in advance
by the Employer.  In the event that the
Employer has advance knowledge of twenty-four (24) hours or more that overtime
will be required, such work will be offered consistent with seniority whenever
possible.  When the Employer has an
unanticipated emergency circumstance to provide coverage, the Employer shall
have the right to require an employee who normally performs the work to remain
on duty until relieved and/or to require an available employee to provide such
coverage, as conditions warrant.


 


Section 5


 


An employee called in outside his regular work schedule shall be
guaranteed a minimum of two (2) consecutive hours of work or pay in lieu
thereof.


 


Section 6


 


Nothing in this Article shall be construed as a guarantee of work,
work opportunities, or hours except as otherwise expressly provided.


 


ARTICLE 7 – DISCIPLINE


 


The Employer has the right to determine the level and degree of
discipline.  Disciplinary action shall
not be taken without just cause.  The Employer
agrees to follow the disciplinary provisions that are fully incorporated by
reference as Appendix II into this Agreement. 
Under normal circumstances, corrective progressive disciplinary action
is taken following a thorough review of the incident, such as oral
counseling/warning, written warning/reprimand, suspension and eventual
discharge, if an employee failed to respond to previous disciplinary
actions.  Likewise, the Employer shall
have the right to


 


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immediately discharge any employee for certain serious infractions set
forth in the Appendix II.


 


ARTICLE 8 – GRIEVANCE & ARBITRATION
PROCEDURE


 


Any grievance or dispute that may arise following the effective date of
this Agreement concerning the application, meaning or interpretation of this
Agreement, limited thereto, shall be settled in the following manner:


 


Step 1:  The Employee and/or his
or her Union representative shall present the grievance or dispute orally to
the Employer’s Shift Supervisor or Assistant Project Manager within five (5)
business days of its occurrence or when the Employee knew, or by reasonable
diligence should have known, of its occurrence. 
The Shift Supervisor or Assistant Project Manager shall orally respond
to the grievance within five (5) business days.


 


Step 2:  If the grievance is not
settled at Step 1, the Employee and/or his or her Union representative may
meet, within five (5) business days of the date on which the Shift Supervisor
or Assistant Project Manager responded or should have responded, with the
Employer’s Project Manager.  The
Employer’s Project Manager shall respond to the grievance within five (5)
business days.


 


Step 3:  If the grievance is not
settled at Step 2, the Union shall within five (5) business days of receipt of
the Project Manager’s response in Step 2, or the date when the Project
Manager’s response was due, present the grievance in writing to the Employer’s
Vice President or his designee.  The
Employer’s Vice President or his designee shall respond in writing to the
grievance within five (5) business days. 
Grievances affecting a class or classes of employees may be initiated by
the Union at Step 3.  The Employer


 


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shall have the right to involve senior management in the grievance
process at an earlier state, in its discretion.


 


Step 4:  If the grievance is not
settled at Step 3, the Union may, within seven (7) days after the receipt of
the Employer Officer’s response in Step 3, proceed to binding arbitration.  Notice that arbitration is desired shall be
served upon the Employer within seven (7) days after the union receives the
Employer’s Step 3 answer.  If the Parties
are unable to agree on a arbitrator within ten (10) days of the date of service,
they shall choose an Arbitrator from a panel provided by the Federal Mediation
and Conciliation Service by alternatively striking the names on the list.  The Employer shall have the first strike.


 


The Arbitrator shall conduct a hearing on the grievance.  The Arbitrator shall render a decision within
thirty (30) days of the close of the hearing or receipt of briefs.  Any back pay award shall be reduced by any
sums received as unemployment compensation or from interim employment.


 


The Arbitrator shall have no authority to alter, amend, or add to the
Agreement.  All of the time limits
contained in this Article may be extended by mutual agreement in writing.


 


All fees and expenses of the Arbitrator shall be borne equally by both
parties, except where one of the Parties to the Agreement requests a
postponement of a previously scheduled arbitration hearing which results in a
postponement charge.  The postponing
Party shall pay such charge.


 


An employee shall be permitted to have a Union representative at each step
of the grievance procedure.


 


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The President of the Union or his/her designee shall have access to all
relevant personnel records necessary for the Union’s administration of the
grievance and arbitration procedure subject to this Agreement.


 


ARTICLE 9 – NO STRIKE AND NO LOCKOUT


 


The Employer agrees not to cause, permit, or engage in any lockout of
its employees during the term of this Agreement.  The Union agrees that neither it nor the
Employees it represents covered by this Agreement will, during the term of this
Agreement, cause, permit, or take part in any strike, including sympathy
strike, picketing, or work action.  It
shall be a violation of this Agreement, and it shall be cause for discharge or
suspension in the event an employee refuses to enter upon any property involved
in a labor dispute involving other employee organizations or refuses to go
through or work behind any picket lines involving other employee organizations
at the Employer’s place or places of business. 
The Union and the Employer agree to take all steps possible to ensure
that Government property is properly secured and protected in the event of
labor disputes involving other employee organizations at the SSA facilities.


 


ARTICLE 10 – BULLETIN BOARDS


 


The Union may request from SSA permission for it to furnish bulletin
boards for the exclusive use of the Union at the SSA facilities set forth in
Section 1 of this Agreement.  There
shall be no posting of literature on these bulletin boards except by the
authority of officially designated representatives of the Union.


 


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ARTICLE 11 – STEWARDS


 


Section 1


 


The Union shall designate no more than one (1) Steward per shift and
one (1) alternate Steward per shift.  The
Union shall notify the Employer of the Selection of Stewards within ten (10)
days of such selections.  Stewards shall
not interfere with the management of the business or direct the work of any
employee.  Stewards will be limited, in
the aggregate, to a maximum of two (2) hours per pay period of Employer’s paid
time to conduct their on-site duties concerning the investigatory interviews of
employees which may result in discipline and grievances arising there from,
said time is to be coordinated with the shift supervisor.  Stewards shall keep a log of time expended on
matters of Union representation and related business.  The Employer may examine such log in the
event a request for compensation under this Section is questioned.


 


Section 2


 


Stewards have no authority to call or direct strikes or authorize other
economic action against the Employer. 
The authority of Stewards shall be limited to the investigation and
representation of grievances in accordance with the provisions of this
Agreement and the transmission of such messages and information, which shall
originate with and are authorized by the Union or its officers.


 


Section 3


 


In the absence or unavailability of the Steward designated as
representing employees on a specific shift or in a specific location, any other
union designated Steward may represent union employees.  In the absence of an alternate and none is
available to assist a union member with a grievance procedure, then any union
representative may assist that union member in such proceedings.


 


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ARTICLE 12 – COURT APPEARANCES


 


Court or administrative appearances necessitated by job-related
occurrences or incidents shall be compensated for fully at the rates specified
in this Agreement.  The employee must
present documentation verifying the required court appearance to ensure they
are paid for such appearances.  However
other court, administrative or grievance procedure and/or arbitration
appearances that are not job related shall not be paid by the Employer.


 


ARTICLE 13 – JURY DUTY


 


The Employer agrees to pay employees called for jury duty their normal
full regular pay for a period up to fifteen (15) work days, less any fees or
sums received from the Court, when an employee has met the following
conditions:


 


a.                                       The Employee
must notify the Employer within seventy-two (72) hours after he or she receives
a jury duty questionnaire or notice that he or she is subject to a jury duty
call.


 


b.                                      The Employee must
provide the Employer with reasonable notice of the scheduled jury date by
providing Employer with forty-eight (48) hours notice of the date the Employee
is to appear.


 


No compensation shall be paid by the Employer for jury duty of
Saturdays, Sundays, and holidays, unless such Saturday, Sunday or holiday was
the Employee’s normally scheduled workday.


 


ARTICLE 14 – LEAVES OF ABSENCE


 


Section 1 Maternity and Sick Leave


 


All provisions of this Article shall be applied in a manner
consistent with the Family and Medical Leave Act of 1993.  Eligible non-probationary employees will be


 


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granted up to twelve (12) weeks of unpaid leave for their serious
illness, for the birth or adoption of a child or the care of a seriously ill
child, spouse, or parent.  To be
eligible, the Employee must have been employed for one (1) year and have worked
a minimum of one thousand, two hundred fifty (1,250) hours in the preceding
twelve (12) months.


 


Whenever an employee who is pregnant or otherwise sick cannot perform
his/her duty safely or efficiently, the Employee shall take a leave of
absence.  An employee who takes such
maternity or sick leave may elect to utilize as much paid sick leave as he/she
has accrued.  During such leave of
absence, the Employee shall retain his/her existing seniority and shall
continue to accrue seniority.  Maternity
and sick leave shall not exceed three (3) months following delivery or onset of
illness or injury.


 


Section 2 – Extended Maternity and Sick Leave


 


If an employee who is ill (or returning from maternity leave) and
unable to work and has exhausted his or her accrued days of maternity and sick
leave, the Employee may request and may, at the Employer’s discretion, be
granted extended sick leave without pay of up to one (1) year.  During an extended maternity and sick leave,
the Employee shall not continue to accrue benefits or seniority, although
seniority attained prior to the granting of extended maternity and sick leave
shall be retained.


 


Section 3 – Personal Leave Without Pay


 


An employee may request personal leave without pay for any personal
purpose for a period of up to six (6) months. 
It is within the Employer’s sole discretion whether such request, which
must be in writing and state the reason for and length of the desired leave,
will be granted.  Neither seniority nor
benefits shall accrue during such personal leave.  During an employee’s leave of absence, the
Employee shall keep the Employee


 


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reasonably aware of his tentative return date.  Upon giving five (5) working days notice of
intent to return to work, an employee shall be scheduled to report to his
former job or en equivalent job within five (5) working days of the Employer’s
receipt of such written notice.  If no
job is available on the Employee’s former shift or at their former site, he or
she may be put on any shift at any site, but will be returned to his/her former
shift or site as soon as an opening becomes available, consistent with the
Employer’s scheduling needs.


 


An employee on leave of absence for personal reasons who accepts other
employment during such leave may be considered as having resigned.


 


Section 4 – Bereavement Leave


 


In the event of the death of a member of a non-probationary unit
employee’s immediate family, the Employee will not lose any wages which he or
she would otherwise have earned during the three (3) consecutive days, one of
which must be the day of the funeral, for the period from date of death through
the day following burial, and will receive benefits for this or her time lost
as specified in the Appendix I.  The
disbursement of three (3) days of bereavement leave will be at a rate of four
(4) hours per day for part-time employees and eight (8) hours per day for
full-time employees losing a husband, wife, child, foster child, parent, foster
parent (i.e. an adult who reared the Employee), grandparent, brother or
sister.  For a non-probationary unit
employee losing a father-in-law or mother-in-law, the Employee may take three
(3) consecutive days of leave without pay. 
Appropriate documentation of death and family relationship shall be
required for all bereavement leave and shall consist of either a death
certificate or funeral service program.


 


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Section 5 – Military Service


 


Employees enlisting or entering the military service of the United
States pursuant to the provisions of the Uniform Services Employment and
Reemployment Rights Act and amendments thereto shall be granted all rights and
privileges provided by the Act.


 


ARTICLE 15 – WEAPONS


 


The Employer agrees to implement a regular maintenance program for all
Employer-owned weapons. Pursuant to this program, all weapons shall be checked
and cleaned periodically. Employees have the obligation to ensure that their
weapons are at all times in proper working order. If an employee has knowledge
that his weapon is not in proper condition, the Employee shall immediately
report this to his or her supervisor for repair and/or replacement.


 


ARTICLE 16 – SENIORITY


 


Section 1 – Seniority Lists


 


The Employer shall maintain separate seniority lists for all regular
full-time and part-time employees employed by the Employer at the two
facilities. The Employer shall furnish the Union with copies of such lists at
least once every six (6) months.


 


Section 2 – Scheduled Overtime


 


Opportunity to work overtime shall be provided consistent with the
Employer’s business needs and circumstances and must be authorized in advance
by the Employer. In the event that the Employer has advance knowledge of
twenty-four (24) hours or more that overtime will be required, such work will
be offered consistent with seniority whenever possible, to those regularly
scheduled employees who have not been scheduled for forty (40) or more hours in
the particular work week. If there are no such employees


 


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or if the pool of such employees is exhausted because of previously
made overtime assignments, overtime shall be offered, consistent with seniority
whenever reasonably possible, to other regularly scheduled employees. Part-time
employees shall provide Employer with a list of days and times during which
they are available and willing to work should overtime become available
pursuant to this provision. The Employer shall refer to this list when
scheduling overtime hours consistent with this provision. However, if an
employee refuses to work hours offered on two (2) separate occasions, he/she
shall be removed from the list, and the Employer shall no longer be obligated
to call said employee in the event that overtime hours become available in the
future. Notwithstanding the foregoing, should an employee refuse to accept
hours offered because of an emergency situation, said occurrence shall not be
deemed a refusal that counts toward their removal from the list. In no event
shall the Employer offer overtime to employees who have not been scheduled to
work forty (40) hours in the particular work week, but whose acceptance of said
overtime would then give them more than forty (40) or more hours in the
particular work week.


 


When the Employer has an unanticipated emergency need to provide
coverage, the Employer shall have the right to require an employee who normally
performs the work to remain on duty until relieved and/or to require an
available employee to provide such coverage, as conditions warrant. Should a
dispute arise among the Employer, Employee and/or Union regarding the existence
of an emergency situation or the availability of relief, the Employee shall
continue working as directed by the Employer. Management will make a reasonable
effort to enable a person to be relieved.


 


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Section 3 – Permanent Position Openings


 


As permanent positions open, notice shall be posted. Employees shall
have seven (7) days within which to bid. A position is defined as a position on
a particular shift identified as full-time only. First preference shall be
given to the most senior qualified bidder. The successful bidder’s prior
position may then be bid. The Employer without challenge, if any, shall then
assign the following opening(s).


 


Section 4 – Promotions


 


In the event that a higher-level job becomes available, first
preference for such job shall be given to the most qualified employee currently
employed at the SSA facilities with the most skill and ability. Qualifications
shall be determined at the Employer’s reasonable discretion and will be based
upon seniority, skill and ability, with all three factors being given the same
weight. For the purposes of this section, a qualified employee is an employee
who possesses work experience relevant to the higher level position, who has
demonstrated the ability to lead and effectively interact with fellow
employees, who has a good attendance and employment record, and who has the
requisite permits and security clearances required for the job.


 


If the Employer determines that an employee who has been promoted
within ninety (90) days of his or her promotion fails to satisfactory fulfill
the requirements for the position to which the Employee was promoted, such an
employee shall be demoted to his or her original or similar position in the
bargaining unit at the Employee’s prior site or other site, and shall receive
the appropriate rate of compensation for such lower position. Time spent, as a
supervisor shall not count toward a unit employee’s seniority.


 


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Section 5 – Reduction in Work Force


 


In the event that the work force at the SSA facilities shall be reduced
for any reason, the Employees with the least seniority shall be laid off first.
Employees shall bid upon shift reassignments. Full-time employees may bid to
return to a part-time shift and be transferred to a full-time position when one
becomes available, consistent with the Employer’s scheduling needs and the
provisions of this Agreement. A full-time employee may decline recall to a
part-time position and remain on the recall list. A full-time employee who
declines recall to a full-time position may be terminated if they do not return
within three (3) days.


 


Section 6 – Layoff and Recall


 


As jobs become available at the SSA facilities, employees shall be
recalled in order of their seniority at the facility, where qualified.
Probationary employees who have been laid off have no recall privileges.


 


In the event of a layoff, seniority does not continue to accrue. An
employee shall retain the seniority, which he or she possessed at the time of
the layoff except as provided below.


 


In the event the Employee fails to respond within five (5) business
days of the Employer sending a notice of recall by Priority Mail, unless there
was a documented emergency which reasonably prevented the Employee from
properly notifying the Employer, the Employee waives his chance to return from
layoff and retain seniority.


 


Section 7 – Loss of Seniority


 


In the event the Employer loses its contract to provide services at any
one or all of the SSA facilities, the Employer will have no obligation with
regard to this Section after termination of its contract. Expect as is
provided below, an employee who is laid off for


 


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reasons other than the Employer’s loss of contract to provide services
at the SSA facilities, will retain his/her seniority for thirty (30) days.


 


An employee’s seniority with the Employer shall be broken after thirty
(30) days if the Employee:


 


a.                                       voluntarily
quits


 


b.                                      retires,


 


c.                                       is
discharged for cause,


 


d.                                      is absent from
work for three (3) consecutive working days without notifying the Employer of
the reason for his absence before the close of the three (3) day period, unless
there was an emergency which prevented the Employee from properly notifying the
Employer,


 


e.                                       fails to return
to work from layoff within five (5) working days after the mailing of the
Employer’s notice of recall, unless there was an emergency which prevented the
Employee from properly notifying the Employer of employee’s inability to report
as directed,


 


f.                                         fails to
return from a scheduled vacation period or leave of absence after two (2) or
more consecutive working days without having given proper notice to the
Employer, unless there was a documented emergency that prevented the Employee
from properly notifying the Employer of Employee’s inability to report as
directed.


 


In the event that an employee is laid off for reasons other than the
Employer’s loss of contract, the Employer shall, within thirty (3) days of the
layoff, determine if the


 


20
















 


Employee is reasonably qualified for work at another job site, and if
so, offer the Employee the opportunity for a transfer to another union site.


 


An employee’s seniority shall not be broken by a layoff due to an
employee’s efforts at re-qualification pursuant to Article 18.


 


A laid off employee who is recalled shall be sent notice of recall by
certified mail. If such employee does not respond within five (5) business days
of the Employer’s sending such certified mail, or the Employee refuses such
offer, the Employee will be deemed to have voluntarily quit, even if the notice
is returned as undeliverable. An employee who has voluntarily quit or otherwise
been terminated has no right to recall.


 


Section 8 – Shift and Post Reassignments


 


In the event the Employer determines it is necessary to rotate
employees among posts, every reasonable effort shall be made to assign
employees during the same shift in which they previously worked except as required
for cross training. Assignments are to be made in an unbiased manner and in
accordance with seniority to the extent possible.


 


ARTICLE 17 – VOLUNTARY QUITS


 


An employee shall be deemed to have voluntarily quit employment with
the Employer if:


 


a.                                       the Employee
accepts full-time employment with another company at the same time during which
he or she is employed by the Employer, and chronically fails to report for duty
as scheduled by the Employer, while simultaneously remaining an employee of
another company.


 


21
















 


b.                                      the Employee
fails to report for work within forty-eight (48) hours of the beginning of his
scheduled shift after the expiration of a leave of absence without a telephone
call or other explanation, unless there was a documented emergency, which
reasonably prevented the Employee from properly notifying the Employer


 


c.                                       the Employee
fails to report for work for two (2) consecutive days without telephoning or
otherwise notifying the Employer, unless there was a documented emergency,
which reasonable prevented the Employee from properly notifying the Employer.


 


ARTICLE 18 – TRAINING AND ANNUAL
QUALIFICATION


 


Section 1a


 


Employer agrees to pay for up to four (4)
hours of classroom instruction at the Employee’s regular hourly rate of pay on
the safe handling of a firearm prior to employee’s annual firearms proficiency
test.


 


Section 1b


 


Commencing 1 January 2004 through the
duration of this Agreement, the Employer agrees to pay employees for annual weapons
qualification on a firing range for up to five (5) hours at the Employee’s
normal hourly rate of pay.


 


Section 2


 


The Employer shall schedule employees
for annual qualification at least ninety (90) days prior to the expiration of
their weapons permit.  Management shall
take [ILLEGIBLE] to all posts at least thirty (30) days in advance of range
appointments and range may fall on an employee’s day off but will be mandatory.
The Employer shall afford employees the


 


22
















 


opportunity to have at least two (2) practice
sessions prior to any formal re-qualification test.  The employee shall be given at least three
(3) opportunities to qualify, at least one (1) of which must be prior to the
expiration of his or her SSA annual qualification. If the Employee is unable to
re-qualify prior to the expiration of his or her SSA annual qualification, the
Employee shall be laid off without pay. Such employee shall be reinstated if
re-qualifying occurs within thirty (30) days of layoff. An employee laid off
pursuant to this provision shall not accrue seniority or fringe benefits during
his or her period of layoff. If the person does not re-qualify during this
suspension period of thirty (30) days, such action will be considered as a
voluntary quit.  If re-qualification
documentation is not effectuated until after an employee’s release from
employment, that employee may reapply for employment.


 


Section 3


 


Employer shall provide Employee with ninety
(90) days notice of the expiration of his government required physical
examination certification.  The Employer
shall pay for the cost of the physical examination certification.  If an employee does not appear for or obtain
his or her government required physical examination prior to the time by which
it must be obtained, the Employee shall be suspended as in Section 2
above.  If the Employee does not
satisfactorily pass his or her physical within the ninety (90) day period of
time, the Employee shall be considered as having voluntarily quit, unless there
are extenuating medical circumstances and an employee produces medical
documentation.


 


Section 4


 


Employer shall pay at the Employee’s regular
hourly rate of pay for the complete number of hours required for CPR training,
and for the complete number of hours required for combined First Aid and CPR
training. If an employee does not successfully complete and pass his or her


 


23
















 


government-required first aid and/or CPR
examination prior to the time by which such examination must be taken and
passed, the Employee shall be suspended as in Section 2 above.  If, however, after thirty (30) days following
the date on which the Employee was required by the government to have passed
such examination or examinations, the Employee has not taken and passed same,
and employee shall be regarded as having voluntarily quit.


 


Section 5


 


The Employer shall provide employees, at
least one hundred (100) days prior to expiration of their Maryland State Clearance Card and handgun permit, such
forms as are required by the State of Maryland for the renewal of such
permit(s).  Employees are expected to
return such forms completed together with any necessary photographs and
fingerprint specimens within ten (10) days thereafter. The Employer shall
promptly submit the completed forms, photographs, and fingerprint to the
appropriate state agency.  If the
employee does not submit to the Employer the completed forms, photographs and
fingerprint specimens within the aforementioned ten (10) day period, and as a
result of the employee’s delay the employee’s permit lapses, the employee may
be suspended without pay until the permit is received. Not withstanding the
foregoing, if the employee fails to provide the completed forms, photographs,
and fingerprint specimens within thirty (30) days of his/her receipt of the
forms from the Employer, the employee shall be deemed to have quit voluntarily.


 


Notwithstanding the foregoing, if the
Employee fails to provide the completed forms, photographs, and fingerprint
specimens within thirty (30) days of his or her receipt of the forms from the
Employer, the Employee shall be deemed to have quit voluntarily, unless
[ILLEGIBLE] presents written documentation verifying extenuating circumstances.


 


24
















 


In the event the Employer does not timely
submit completed forms, photographs, and fingerprint specimens to the
appropriate state agency and the Employee’s permit lapses because of such
delay, the Employee may be suspended with pay until a permit is issued.


 


ARTICLE 19 – UNIFORMS


 


Section 1


 


The Employer shall provide at no cost to all
new employees those items listed in the Employer’s Social Security
Administration guard service contract. 
Upon termination of employment, the issued clothing and equipment shall
be cleaned and returned to the Employer in serviceable condition, meaning
clean, pressed, having no rips or tears, and having all buttons.


 


The [ILLEGIBLE] agrees to pay [ILLEGIBLE]
employee for uniform maintenance and replacement as stipulated in the Appendix
1.  Employees may purchase replacement
items from the Employee at cost.  Such
articles shall be paid for by deductions from the Employees’ pay, as long as
they provide written authorization to the Employer to make such deductions.


 


The Employer shall replace any parts of the
uniform that are damaged in the line of duty, provided the damage has been
reported to the Shift Supervisor within the shift period when the incident
occurred.


 


Section 2


 


Employees shall wear plain black leather,
corofan shoes or chukka boots, having no stitching, patterns, buckles, bows,
straps, stripes, webbing, and logos, and having no open toes or heels, or heels
higher than one and one half (1 1⁄2) inches. 
These shoes or chukka boots must be capable of a [ILLEGIBLE] wear boots,
at the discretion of the supervisor and based on inclement weather conditions.


 


25
















 


Section 3


 


Upon termination of employment, the issued
clothing and equipment shall be cleaned and returned to the Employer in
serviceable condition.  The Union agrees
that all employees, at the time of hire, shall give written authorization
allowing the Employer to deduct from the Employee’s final paycheck the cost of
all unreturned issued clothing and equipment, or the cost of [ILLEGIBLE]
clothing not returned [ILLEGIBLE] condition.


 


ARTICLE 20 – SUCCESSORS


 


The Employer shall give notice of the
existence of this Agreement to any purchaser, transferee, lessee, assignee,
etc., of the operation covered by this Agreement or any part thereof.  Such notice shall be in writing with a copy
to the Union at the time the seller, transferee, or lessee executes a contract
or transaction has herein described.


 


ARTICLE 21 – SUBCONTRACTING


 


For the purposes of preserving work and job
opportunities for the Employees covered by this Agreement, the Employer agrees
to provide the Union with at least seven (7) days notice prior to
subcontracting, or transferring to non-bargaining unit employees, any of the
work or services of the kind, nature or type presently or hereafter performed
or provided by the Employer.  Supervisory
personnel may, without prior practice, be temporarily assigned to cover unit work
in an emergency situation.  In no event
shall such temporary assignment(s) exceed thirty (30) days in any year.


 


ARTICLE 22 – HOLIDAYS


 


Section 1


 


The holidays granted to employees prior to
the effective date of this Agreement shall remain in full force and effect
through and including December 31, 2003. 
From


 


26
















 


1 January 2004, the Employer shall grant
to all employees the following holidays off with pay (or pay in lieu thereof,
if normally scheduled to work that week day). 
Holiday benefits shall be paid as specified in the Appendix I, as fully
incorporated herein, provided that the employee shall work his or her regularly
scheduled workday prior to the holiday and after the holiday:


 


	
  [ILLEGIBLE]

  	
   

  	
  [ILLEGIBLE]

  
	
  Martin
  Luther King’s Birthday

  	
   

  	
  Veteran’s
  Day

  
	
  Presidents’
  Day

  	
   

  	
  Thanksgiving
  Day

  
	
  Memorial Day

  	
   

  	
  Christmas
  Day

  
	
  Independence
  Day

  	
   

  	
  Employee’s
  Birthday

  
	
  Labor Day

  	
   

  	
   

  



 


The Employer reserves the right to limit the number of employees who
take their birthday holiday on the same date. 
A birthday holiday may be scheduled up to seven (7) days prior to or
after the birthday.  Holiday pay will not
be granted to employees when a holiday falls within a period of leave or
absence and or layoff.


 


Section 2


 


An employee who is required to work on a holiday
shall receive holiday pay in addition to his or her regular wages as specified
in the Appendix I.  Holiday pay will not
be granted to employees when a holiday falls within a period of leave of
absence and or period of layoff, or if the employee fails to work the last
scheduled work day prior to the holiday or the first scheduled work day after a
holiday, or if the employee fails to report to work on the holiday if he/she is
[ILLEGIBLE]


 


Section 3


 


In the event an employee who is normally
scheduled to work a ten (10) to twelve (12) [ILLEGIBLE] that they would have
been scheduled to work had that day not been a holiday.


 


27
















 


ARTICLE 23 – BUILDING CLOSURES


 


In the event the Government declares a Code Red Building Closure,
employees working on posts other than 24-hour posts shall not be required to
man such posts unless the Government declares a building emergency. Those
employees working on posts other than 24-hour posts who are allowed to go home
shall be paid for the hours they would have [ILLEGIBLE] Government not declared
a Code Red Building Closure.


 


ARTICLE 24 – VACATION


 


Section 1


 


Employees covered by this Agreement shall receive vacation benefits as
specified in the Appendix I herein fully incorporated by reference.


 


Section 2


 


Vacations may be scheduled any time during the year with the Employer
providing the Employee gives the Employer a minimum of thirty (30) days notice.
Employees shall select their vacation period in order of their seniority where
reasonably possible and at a time mutually convenient to the Employee and
Employer. No more than five percent (5%) of the work force may be on vacation
at any time. Earned vacation will be paid in the pay period during which the
vacation time is used, and included in the employee’s regular paycheck. All
vacation benefits will be paid at the hourly rate in effect at the time of the
employee’s most recent anniversary date. Vacation time must be taken within one
(1) year following its accrual.


 


Section 3


 


Accrued fraction shall be based upon [ILLEGIBLE] without break in
service with the Employer or its predecessor(s) at the buildings listed in
Article I to this Agreement. During the first four years of employment,
employee shall earn two (2)


 


28
















 


weeks of paid vacation leave. During the fifth to the fourteenth years
of employment, employee shall earn three (3) years of paid vacation leave.
After the fifteenth year of employment, employee shall earn four (4) weeks of
paid vacation leave. All vacation benefits shall be paid at the time of the
employee’s anniversary date.


 


ARTICLE 25 – SICK LEAVE


 


Section 1


 


New employees begin accruing sick leave on the first day of employment
but cannot begin to utilize sick leave until they have accrued ninety (90) days
of employment with the company.


 


Section 2


 


Employees shall receive sick leave benefits as specified in the
Appendix I, which is fully incorporated herein into this Agreement. The earning
and accrual of sick leave is based upon sick leave earned by the employee,
without break in service, for the Employer.


 


Section 3


 


Employee benefits in effect prior to the effective date of this
Agreement shall remain in full force and effect through and including 31
December 2003. From 1 January 2004, through the duration of this
Agreement, covered employees may not accumulate more that one hundred four
(104) hours of sick leave. Sick leave shall commence and be paid on the third
day of absence from work. Employees on sick leave for one day do not need to
provide the company with a note. Employees who are out for two or more days
must provide the Employer with a [ILLEGIBLE] sick leave from the first day of
absence form work, providing they have not exhausted their accrued sick leave.


 


29
















 


Section 4


 


An employee will be paid sick leave benefits for the hours the employee
is regularly scheduled to work in a given day; however, for any given day,
authorized sick leave will not be paid for less than four (4) or more than
eight (8) hours.


 


Section 5


 


For any year to which an employee does not use any of his or her
accrued [ILLEGIBLE] he/she may choose to be compensated at the rate of 70% of
his/her regular rate of pay.


 


Section 6


 


Employees will not be compensated for any unused sick leave at the time
of termination of their employment.


 


ARTICLE 26 – HEALTH AND WELFARE


 


Section 1


 


Employee benefits in effect on the effective date of this Agreement
shall remain in full force and effect through and including 31
December 2003. The Employer agrees to the following policy regarding the
payment of Health and Welfare benefits:


 


a.               Within thirty (30) days of the effective
date of this Agreement or within thirty (30) days of an employee’s date of
hire, whichever is later, each employee shall elect in writing one of four
options which are to become effective commencing on 1 January 2004: (i)
participation in the Employer’s benefit plan, which may include any combination
of medical and dental insurance, short term and long term disability insurance,
and life insurance; or (ii) participation in the Union’s Security Welfare
Health and Welfare Benefits [ILLEGIBLE] to the contribution levels set forth in
Appendix II, Article 6 of this Agreement, or (iv) elect additional
Employer contributions to the Security Workers Severance and


 


30
















 


Retirement Fund in amount equal to the contribution levels set forth
Appendix II, Article 6. In the event no option is selected, the employee
shall receive as additional wages an amount equal to the required
contributions.


 


b.              An employee’s election or termination of
his/her right to participate in the Employer’s benefit plan after the initial
thirty (30) day period shall be governed by applicable plan documents.


 


c.               Consistent with the election of each
employee, the Employer shall contribute the amounts set forth in Appendix II,
Article 6, to the chosen health and welfare plan(s) or benefits plans, or
pay said amounts to the employee in his or her paycheck in accordance with
Section 1a.


 


d.              In the event cash amounts are to be paid
to an employee consistent with this Agreement, the Employer shall pay those
amounts in each bi-weekly payroll as long as the employee accrues wages. In the
event of termination of employment, the Employer’s obligation herein shall not
extend beyond the pay period in which the employee’s last day of work occurs.


 


e.               The parties understand and agree that,
not withstanding the date(s) on which the Employer makes contributions on
behalf of specific employees, eligibility for benefits under any of the
selected plans referred to herein is determined in accordance with the
respective plan rules.


 


Section 2


 


[ILLEGIBLE] Fund


 


31
















 


a.                                       The Employer
agrees to provide the Security Workers Health and Welfare Fund with monthly
remittance reports containing such information, in such manner, and on such
forms as may be required by the Trustees of the Funds.


 


b.                                      Contribution and
remittance reports shall be delivered to the Security Workers Health and
Welfare Fund on or before the 15th day of each month for the
preceding month.


 


c.                                       Employees who do
not elect to participate in the Security Workers Health and Welfare Plan may
thereafter elect to participate in it only once each subsequent year during the
thirty (30) day period, the open enrollment period, that begins on the first of
the month in which this Agreement was executed.


 


d.                                      An employee may
terminate his/her participation in the Security Worker’s Health and Welfare
Plan during the open enrollment period only, as specified above. However, an
employee who voluntarily terminates such participation may not again
participate in the plan for a minimum of twelve (12) months.


 


Section 3


 


a.               With respect to the Employer’s benefit
plan, which may include any combination of medical and dental insurance, short
term and long term disability insurance, and life insurance, the Employer
retains the exclusive right to select the insurance companies providing those
benefits. An employee may sign up for the benefits after working for the
Employer within thirty (30) days, on the first day on the month following the
[ILLEGIBLE] plan provider. The Employer reserves the right to amend the time
period in which an


 


32
















 


employee may join its benefits plan to comply with the contractual
requirements of any future contracted benefit/insurance provider.


 


b.              With respect to an employee terminating
participation in the Employer’s benefit plan, an employee may terminate his
participation in the plan by the last day of the month in which he/she is
employed and [ILLEGIBLE] remains in effect until the last day of the month, or
as specified by any future benefit plan provider, and in accordance with any
COBRA requirements. The Employer reserves the right to amend the time period in
which an employee may terminate his/her participation in the Employer’s benefit
plan to comply with the contractual requirements of any future contacted
insurance/benefit provider.


 


c.               In the event that the Employer provides
health insurance coverage at or less than the contribution levels listed in the
Appendix I, the employees shall be afforded the opportunity to receive the
variance in such insurance cost as additional wages.


 


d.              Upon reasonable request, the Employer
agrees to provide the Union with information regarding the benefit plan offered
to the employees.


 


Section 4


 


An employee who chooses not to participate in either the Employer’s benefit
plan or the Union’s Health and Welfare Plan may arrange for those contributions
that would have been deposited into those benefit plans to be deposited into
the Union’s Severance and Retirement Fund.


 


Section 5


 


The Employer agrees that for each hour of wages paid to each employee
per his or her selection of one of the four options listed in Section 1(a)
covered by this Agreement, the


 


33
















 


Employer will contribute toward the employee’s chosen health and
welfare/benefit plan or cash amounts specified per hour worked, up to a maximum
of eighty (80) hours per two (2) week pay period. See Appendix I for the
effective employer contributions.


 


With respect to the Employer’s obligation to the Security Worker’s
Health and Welfare Fund or the Security Workers Severance and Retirement Fund,
the Employer agrees to be bound by the rules and regulation of those plans, the
Agreement and Declaration of Trust that governs each fund, and any collection
policies validly adopted by the Funds’ Trustees.


 


ARTICLE 27 – PENSION FUND


 


Section 1


 


Effective 1 December 2003, through the duration of this Agreement,
the Employer agrees to become and remain a participating employer in the
Security Workers Severance and Retirement Fund (hereinafter “Severance and
Retirement Fund”) for the duration of this Agreement. The Employer agrees that
for each hour of work worked by each employee covered by this Agreement, it
will contribute to the Severance and Retirement Fund an amount specified in the
Appendix I, Article 7 up to a maximum of eighty (80) hours per two (2)
week pay period.


 


Section 2


 


The Employer agrees to provide the Severance and Retirement Fund with
monthly remittance reports containing such information, in such manner, and on
such forms as may be required by the Trustees of the Fund. Contributions and
remittance reports shall be delivered to [ILLEGIBLE] Fund [ILLEGIBLE] before
the 15th day [ILLEGIBLE] month.


 


34
















 


Section 3


 


The Employer agrees to be bound by the provisions of the Agreement and
Declaration of Trust establishing the Severance and Retirement Fund (“Trust
Agreement”) as it may be from time to time amended. The Employer further agrees
to be bound by the terms of the Severance and Retirement Fund and by all
resolutions and rules adopted by the Trustees pursuant to the powers delegated
to them by the Trust Agreement.


 


ARTICLE 28 – WAGES


 


From January 1, 2002, through the duration of this Agreement, the
Employer agrees to pay employees at the rates set forth in the Appendix I as
fully incorporated by reference herein.


 


ARTICLE 29 – DRUG AND ALCOHOL POLICY


 


The parties recognize that in the security business, the use of
controlled substances or alcohol that cause intoxication or impairment
on-the-job poses risks to the Employer, the affected employee and his
co-workers and the public. An employee cannot perform his or her work
adequately if he or she is under the influence of illegal drugs or alcohol; and
an employee under the influence of drugs or alcohol also presents a danger to
himself or herself and to others. Unlawful use of drugs and the abuse of
alcohol when not on duty raises serious questions concerning the competency to
perform security work and is ground for revocation of Employee’s firearms
permit. It is the Employer’s policy to maintain a drug-free work place. The
Employer and the Union agree to the Drug and Alcohol policy to maintain a
drug-free work place.  The Employer and
the Union agree to the Drug and Alcohol policy attached hereto as Appendix III
to this Agreement, and fully incorporated by reference into this Agreement.


 


35
















 


ARTICLE 30 – MISCELLEANEOUS


 


Section 1


 


The Employer shall not lower any standards of wages or conditions of
employment explicitly provided for in this Agreement without the written
consent of the Union.


 


Section 2


 


The Employer, for reasons of business necessity, may utilize officers
who work as [ILLEGIBLE] employees are asked to temporarily fill supervisor
positions they will receive the rate of pay attributable to the position. This
provision in not applicable to the ECCC or SWCC console operator positions
described in Article 1, Section 4 of this Agreement.


 


ARTICLE 31 – SEPARABILITY AND SAVINGS
CLAUSE


 


If any Article or Section of this Agreement, or any Riders,
Attachments, or Appendices thereto should be held invalid by operation of law
or by any tribunal of competent jurisdiction, or if compliance with or
enforcement of any Article or Section should be restrained by such
tribunal pending a final determination as to its validity, the remainder of
this Agreement and of any Rider thereto, or the application of such
Article or Section to persons or circumstances other than those as to
which it has been held invalid or as to which compliance with or enforcement of
has been restrained, shall not be affected thereby. In the event that any
Article or Section or Appendix is held invalid or enforcement of or
compliance with has been restrained as above set forth, the Employer and the
Union agree to enter into immediate collective bargaining negotiations upon the
request of either party, for the purpose of arriving at a mutually satisfactory
replacement for such Article or Section or Appendix during the period
of invalidity or restraint. If the Parties do [ILLEGIBLE] economic recourse in
support of its demands notwithstanding any provisions of this Agreement to the
contrary.


 


36
















 


ARTICLE 32 – DURATION OF AGREEMENT


 


Except as otherwise provided in this Article this Agreement shall
be in full [ILLEGIBLE] and effect from 1 December 2003 and shall remain in
effect until (and including) 1 December 2006. With respect to wages and
fringe benefits (including health and welfare and pension [ILLEGIBLE] of the
Agreement shall take effect as specified in the attached Appendix I, which is
fully incorporated by reference herein.


 


IN WITNESS WHEREOF, the parties hereto have set their hands and seals
to this Agreement this 1st day of December 2003.


 


 


	
  UNITED UNION OF SECURITY GUARDS

  	
  PARAGON SYSTEMS, INC.

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  BY:

  	
  /s/ [ILLEGIBLE]

  	
   

  	
  BY: 

  	
  /s/ [ILLEGIBLE]

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  TITLE:  

  	
  President

  	
   

  	
  TITLE:

  	
  PRESIDENT

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  DATE:

  	
  1 December 2003

  	
   

  	
  DATE:

  	
  1 DECEMBER 2003

  	
   

  



 
















 


APPENDIX I


 


ARTICLE 1
– BEREAVEMENT


 


Commencing from 1 December 2003 through
the duration of this Agreement, the disbursement of three (3) days Bereavement
Leave will be at the rate of four (4) hours per day for part-time employees and
eight (8) hours per day for full-time employees.


 


ARTICLE 2
– UNIFORMS


 


Effective February 1, 2004, the uniform
allowance the Employer agrees to pay each employee shall be $.37 per hour
worked up to a maximum of eighty (80) hour per two (2) week pay period for each
employee covered by this Agreement for uniform maintenance and replacement.
Effective February 1, 2005, the uniform allowance the Employer agrees to
pay each employee shall be $.39 per hour worked up to a maximum of eighty (80)
hours per two (2) week pay period. Effective February 1, 2006, the uniform
allowance the Employer agrees to pay each employee shall be $.41 per hour
worked up to a maximum of eighty (80) hours per two (2) week pay period.


 


ARTICLE 3
– HOLIDAYS


 


This holiday benefits schedule shall
become effective commencing on 1 December 2003 through the duration of
this Agreement. Holiday pay will be disbursed a maximum of two (2) weeks after
the holiday(s) occurs. It will be paid in accordance with the following
schedule, which is based on the total number of hours the Employee worker
during the pay period in which each holiday occurred.


 


	
  [ILLEGIBLE]

  	
   

  	
  Authorized Holiday Pay Hours

  	
   

  
	
  71-80

  	
   

  	
  8

  	
   

  
	
  61-70

  	
   

  	
  7

  	
   

  
	
  [ILLEGIBLE]

  	
   

  	
  [ILLEGIBLE]

  	
   

  
	
  41-50

  	
   

  	
  5

  	
   

  
	
  31-40

  	
   

  	
  4

  	
   

  



 


38
















 


If a holiday is scheduled on the day a person works a ten (10) to
twelve (12) hour day then that person shall be compensated for the full amount
of time they would have worked had the day not been declared a holiday.


 


ARTICLE 4
– VACATION


 


Accrual of vacation is based upon years of
service, without break in service, on the government contract with the Employer
or his predecessor(s) at the buildings listed in Article 1 of this
Agreement. During the first four (4) years of employment, employee shall earn
two (2) weeks of paid vacation leave. During the fifth (5) of the fourteenth
(14) years of employment, employee shall earn three (3) weeks of paid vacation
leave. After the fifteenth (15) year of employment employee shall earn four (4)
weeks of paid vacation leave. All vacation benefits will be paid at the time of
the Employee’s most recent anniversary date.


 


ARTICLE 5
– SICK LEAVE


 


The sick leave benefit of this Agreement
shall become effective commencing on 1 December 2003 through the duration
of this Agreement. Consistent with Section 1 of Article 25 of this
Agreement, employees shall not accumulate more than one hundred four (104)
hours of sick leave. An employee will be paid sick leave benefits for the hours
the Employee is regularly scheduled to work in a given day.  However, for any given day, authorized sick
leave will not be paid for less than four (4) or more than eight (8) hours. For
any year in which an employee does not use any of his or her accrued leave,
he/she may choose to be <Illegible>


 


39
















 


ARTICLE 6
– HEALTH AND WELFARE


 


The health and welfare benefit plans selected
by the Employees shall become effective commending on 1 December 2003
through the duration of this Agreement. Effective February 1, 2004, the
Employer agrees to contribute on behalf of each employee covered by this
Agreement an amount of the selected health and welfare benefits equal to $3.00
per hour worked up to a maximum of eighty (80) hours per two (2) week pay
period. Effective February 1, 2005, the Employer agrees to contribute on
behalf of each employee covered by this Agreement an amount of the selected
health and welfare benefits equal to $3.05 per hour worked, up to a maximum of
eighty (80) hours per two (2) week pay period. Effective February 1, 2006,
the Employer agrees to contribute on behalf of each employee covered by this
Agreement an amount of the selected health and welfare benefits equal to $3.10
per hour worked, up to a maximum of eighty (80) hours per two (2) week pay period.


 


ARTICLE 7
– PENSION FUND


 


The defined contribution pension fund benefit
provided for by this Agreement shall become effective commencing on 1
December 2003 through the duration of this Agreement. Effective 1
February 2004 consistent with Article 27 of this Agreement, the
Employer agrees to contribute on behalf of each employee into the Security
Workers Severance and Retirement Fund pension contributions in an amount equal
to $.72 per hour worked, up to a maximum of eighty (80) hours per two (2) week pay
period, for each employee covered by this Agreement. Effective 1
February 2005, Employer agrees to contribute on behalf of each employee
into the Security Workers Severance and Retirement Fund pension contributions
in an [ILLEGIBLE] week pay period, for each employee covered by this Agreement.
Effective February 1, 2006, the Employer agrees to contribute on behalf of
each employee into the Security Workers Severance


 


40
















 


and Retirement Fund pension contributions in an amount equal to $.78
per hour worked up to a maximum of eighty (80) hours per two (2) week pay
period, for each employee covered by this Agreement.


 


ARTICLE 8
– WAGES


 


The wages of this Agreement shall become
effective commencing on 1 February 2004 through the duration of this
Agreement


 


The Employer agrees to pay security guard
employees, exclusive of those guards working in the ECCC, the following rates:


 


Effective February 1, 2004, wages shall
be paid at the rate of $16.00 per hour.


 


Effective February 1, 2005, wages shall
be paid at the rate of $16.56 per hour.


 


Effective February 1, 2006, wages shall
be paid at the rate of $17.14 per hour.


 


The Employer agrees to pay ECCC security guard employees the following
rates:


 


Effective February 1, 2004, wages shall
be paid at the rate of $16.68 per hour.


 


Effective February 1, 2005, wages shall
be paid at the rate of $17.26 per hour.


 


Effective February 1, 2006, wages shall
be paid at the rate of $17.86 per hour.


 
















 


IN WITNESS WHEREOF, the parties hereto have
set their hands and seals to this Agreement, this 1st day of
December 2003.


 


 


	
  UNITED UNION OF SECURITY GUARDS

  	
  PARAGON SYSTEMS INC.

  
	
   

  	
   

  
	
  BY:

  	
  /s/ [ILLEGIBLE]

  	
   

  	
  BY:

  	
  /s/ [ILLEGIBLE]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  TITLE:

  	
  President

  	
   

  	
  TITLE:

  	
  PRESIDENT

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  DATE:

  	
  December 1, 2003

  	
   

  	
  DATE:

  	
  1 DECEMBER 2003

  



 
















 


DISCIPLINE POLICY


 


Paragon Systems, Inc. supervisors and administrators will have the
authority to recommend disciplinary action on employees for just cause. All
incidents will be fully investigated, documented, and evaluated by the Project
Manager before disciplinary action is taken.


 


Under normal circumstances, corrective progressive disciplinary action
is taken following a managerial review of the incident at the level deemed
appropriate by the management staff of Paragon Systems. The review may
recommend LOC, LOW, Suspension, or Dismissal, as appropriate to the offense.
Paragon Systems shall be the sole judge and hold the discretion to determine
the level of discipline. However, in no case shall disciplinary action be taken
without just cause. Under normal circumstances, corrective, progressive
disciplinary action will be taken following the Paragon Systems review of the
incident, if warranted.


 


Project Manager will have the authority to impose less punishment than
is promulgated in this policy, but not more. Discipline shall be administered
in the following manner:


 


1.               Written Reprimand or Suspensions will be put into effect on first offense, whenever
misconduct or behavior is not of a serious nature. Suspension time may vary
depending on seriousness of the offense.


 


2.               Dismissal
will be effected in those cases when deemed by management to be extreme and
serious in nature.


 


All non-serious offenses will be removed from
the employees local personnel file and forwarded to the Corporate office after
the expiration of six (6) months from the occurrence of that offense.


 


Records of all other disciplinary action
shall be retained commencing from the effective date of this Agreement forward.


 


No employee will be dismissed on the basis of race, color, religion,
sex, or national origin. Employees who are dismissed will not be eligible
for re-employment with Paragon Systems, Inc.


 


Any conference between a supervisor and officer or during questioning
connected to an investigation that may lead to a disciplinary action must at
the request of the officer, be conducted in the presence of a union
representative.


 
















 


Discipline shall be applied in the following
manner in reference to attendance:


 


	
  OFFENSE:

  	
   

  	
  1st

  	
   

  	
  2nd

  	
   

  	
  3rd

  	
   

  	
  4th

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  1.
  Unexcused lateness:

  	
   

  	
  LOC

  	
   

  	
  LOW

  	
   

  	
  S
  (1 day)

  	
   

  	
  D

  



 


Examples
of an excusable lateness are identified as: treatment by a doctor, treatment at
a hospital, vehicle accident or breakdown, death or illness in family, which
must be confirmed with written documentation. 
An employee shall provide the project manager or his/her designee with
documentation of such emergencies within three days of the incident.


 


When discipline is justified disciplinary action must be implemented
within five (5) working days of
the offense.


 


 


	
  OFFENSE:

  	
   

  	
  1st

  	
   

  	
  2nd

  	
   

  	
  3rd

  	
   

  	
  4th

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  2.
  Unexcused absence:

  	
   

  	
  LOC

  	
   

  	
  LOW

  	
   

  	
  S
  (1 day)

  	
   

  	
  D

  



 


Examples of an excusable absence are identified as: treatment by a
doctor, treatment at a hospital, vehicle accident or breakdown, death or
illness in family, which must be confirmed with written documentation. An
employee shall provide the project manager or his/her designee with
documentation of such emergencies within three days of the incident.


 


2
















 


Minor violations
will be considered as employee actions, which momentarily disrupt the
operation.


 


The infractions must be of the same type and
kind to effect the next level of adverse action.


 


Examples of these are as follow:


 


	
   

  	
   

  	
  1st

  	
   

  	
  2nd

  	
   

  	
  3rd

  	
   

  	
  4th

  
	
  3.               Offense (non-serious)

  	
   

  	
  LOC

  	
   

  	
  LOW

  	
   

  	
  S (1 day)

  	
   

  	
  D

  



 


a.               Failure to turn in all SSA forms, whenever
required.


 


b.              Conducting unauthorized business while on
duty.


 


c.               Unauthorized use of company or government
telephones, fax machine, or other office equipment.


 


d.              Creating or contributing to unsanitary
conditions.


 


e.               Posting or removal of notices, signs or
writing in any form on company bulletin boards, without permission.


 


F.              Incomplete uniform


 


g.              Calling off from duty with less than four (4)
hours notice unless a valid emergency existed and documentation to that effect
is provided.


 


h.              Reading unauthorized materials while on post.


 


i.                  Sitting during peak hours.


 


3
















 


j.                  Playing games while on duty, to include
electronic and non-electronic, cards, board games, etc.


 


k.               Eating or drinking beverages (non-alcohol) on
post.


 


l.                  Possessing visual or audible unauthorized
equipment while on duty. i.e., pagers, cell phones,
earplugs/earphones/headsets, pocket talk, radios, televisions, laptop computers
etc.


 


m.            Failure to maintain proper grooming standards
and/or properly maintain assigned uniform and equipment pursuant to SSA/GSA
Guidelines.  Management will take
reasonable steps to retain a person on site unless their uniform is badly soiled,
torn, or has excessive odor.


 


n.              Lateness in returning from an
assigned/approved break period except in instances of documented emergency.


 


o.              Failure to respond to and/or use proper
communication protocol while using assigned radio and/or SSA telephones.


 


p.              Being discourteous to a Supervisor or
employees of the government


 


q.              Failure to notify Control Center during
security checks (to include when calling out of service/back in service).


 


r.                 Assuming the responsibility of two posts
without authorization.


 


t.                 Making a change to the schedule without
the prior approval from Supervisor.


 


u.              Failure to use proper chain of command.


 


v.              Smoking while on duty, and/or smoking in an
unauthorized area.


 


4
















 


Moderate violations  are
considered to be those employee actions, which impair or disrupt the orderly
performance of work by the individual or a group of employees.


 


The infractions must be of the same type and kind to affect the next
level of adverse action.


 


	
   

  	
   

  	
  1st

  	
   

  	
  2nd

  	
   

  	
  3rd

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  4.     Offenses

  	
   

  	
  S (1 day)

  	
   

  	
  S (3 days)

  	
   

  	
  D

  



 


a.               No Call No Show.


Note: Employees’ will be given (1) hour from start of his/her shift to call
or to report for work.


 


b.              Using obscene language or engaging in lewd
behavior.


 


c.               Failure to correct and/or sign in/out of SSA
4072 (which causes a deduction to PSI).


 


d.              Disregarding or refusing to obey orders,
directives, instructions from a competent supervisor or SSA official, as long
as those task, commands, or directives are not unethical, immoral, or illegal.


 


e.               Inattentive to duty, when sleeping is not
found.


 


f.                 Negligent or careless acts, which results in
personal injury or damage to company, Government, or personal property.


 


g.              Causing dissension among other employees in a
manner interfering with the client’s operations and interfering with other
employees’ compliance with post orders, and shift assignments.


 


h.              Unauthorized use of
company vehicles and/or equipment.


 


5
















 


Major violations  are
considered to be employee actions, which directly endanger the health and
safety of any employee or significantly disrupt the orderly performance of
work.


 


	
  5.             OFFENSE:

  	
   

  	
  D

  



 


Not withstanding the foregoing, an employee shall be
subject to immediate discharge for proven offenses. Examples are as follows:


 


a.               Willful falsification of company, government,
or employee records.


 


b.              Theft of company, government, or personal
property.


 


c.               Abandoning post without just cause.


 


d.              Possessing, distributing, consuming, or being
under the influence of alcohol, illegal drugs, or controlled substances while
on duty.


 


e.               Possession on the job site of a private
firearm or other weapon not issued by the employer pursuant to the contract in
violation of 18 U.S.C. 930.


 


f.                 Making willful false statements on an
application for employment, a gun permit, or a security clearance.


 


g.              Refusal to submit to drug or alcohol testing
as provided.


 


h.              Willful or careless destruction of property.


 


i.                  Sleeping on post and/or sleeping while in possession
of company handgun.


 


j.                  Accepting graft, gifts or gratuities as a
favor for a service while on duty.


 


k.               Not reporting for work after 2 days without
notifying Paragon Systems, Inc.


 


l.                  Willfully concealment, removal, mutilation or
destruction of government documents or records.


 


m.            Gross insubordination


 


n.              Willfully given unauthorized access to an
agency automated Information system.


 


o.              Unauthorized access to areas not required for
the performance of the contract.


 


q.              Misuse of, unauthorized transfers, or display
of weapon.


 


6
















 


When an employee is hired by Paragon Systems the previous offense
record shall be deleted from the individual’s record unless there is some
offense considered egregious and unacceptable to the management of Paragon
Systems.  However, as a rule, the average
employee may expect to start work at Paragon Systems with a “clean state”.  It is the individual’s responsibility to keep
that slate clean for the duration of the tenure with Paragon Systems. Any and
all offenses recorded by Paragon Systems shall remain on record at Paragon
Systems, both with the Human Resources Office. These records will be maintained
for a period after the end of the individual’s tenure that is determined by the
Government or by Paragon Systems’ Management. They are under no circumstances
scheduled for destruction an appropriate time is established by Paragon Systems
and/or the Government.


 


Any
conference between an employee and Employer representative that may lead to a
disciplinary action, must, at the request of the affected employee, be
conducted in the presence of an authorized union representative.


 


NOTE: The Company will identify
inefficiency as follows: 


Neglect of duty, unexcused absence
and tardiness, breach of the company and Government’s SOP, Security Procedures,
refusal to perform work assigned to them without an acceptable excuse.  Managers will have the discretionary
authority and power to determine final disposition of inefficiency. These offenses
are not all inclusive.


 


It is each employee’s responsibility to be knowledgeable of and review daily
all Memorandums and Security Procedures and Policies


 


	
  LEGEND:

  	
   

  	
  LOC

  	
   

  	
  Letter
  of Counseling

  
	
   

  	
   

  	
  LOW

  	
   

  	
  Letter
  of Warning

  
	
   

  	
   

  	
  S

  	
   

  	
  Suspension

  
	
   

  	
   

  	
  D

  	
   

  	
  Dismissal

  



 


 


	
  /s/ Charles Keathley

  	
   

  
	
  Charles Keathley, President

  



 


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