Document:

Exhibit 10.1

Non-Employee Director Compensation Policy

          The following table sets out fees to
be paid to non-employee directors of our Company for their services as Board
members during Fiscal 2005:

	
  Name

  	
   

  	
  Amount

  	
   

  
	
  Kristine Hughes
  (Chairperson)

  	
   

  	
  $

  	
  132,292

  	
   

  
	
  Pauline Hughes
  Francis

  	
   

  	
  $

  	
  49,762

  	
   

  
	
  Franz L.
  Cristiani

  	
   

  	
  $

  	
  31,500

  	
   

  
	
  Richard G.
  Hinckley

  	
   

  	
  $

  	
  35,500

  	
   

  
						

 

          Non-employee directors also receive
health and life insurance coverage. 
Board members have the option to receive life insurance coverage in the
amount of $500,000.  We do not pay any
fees for attendance at Committee meetings. 
Board members who are also employees of our Company do not receive any
directors’ fees.Exhibit 10.2

Compensatory Arrangements with Certain Executive
Officers

            In January of 2004, a bonus program
was approved for Daren G. Hogge and Craig D. Huff wherein they could earn
bonuses in addition to bonuses payable pursuant to the Company’s Incentive
Compensation Plan (the “Additional Bonus Program”).  Such bonuses were based upon the growth in
sales revenue and operating income in Synergy Worldwide and the reduction in
selling, general and administrative expenses as compared to sales revenue on a
consolidated basis.  Set forth below are
the cash bonuses paid to such officers on February 22, 2005 pursuant to the
Additional Bonus Program for performance in 2004:  

	
  Name and Title

  	
   

  	
  Cash Bonus for Fiscal 2004

  	
   

  	 

	
  Daren G. Hogge 

  Executive Vice
  President

  	
   

  	
  $

  	
  301,257

  	
   

  
	
  Craig D. Huff 

  Executive Vice
  President, Chief Financial 

  Officer, Vice
  President, Finance

  	
   

  	
  $

  	
  235,888Exhibit
10.1

 

AGREEMENT

 

between

 

CONN-SELMER,
INC.

 

and

 

U.A.W.
LOCAL 2359

 

February 21, 2005

 

1

 

COLLECTIVE
BARGAINING AGREEMENT

 

THE AGREEMENT, made and
entered into as of the 21st day of February, 2005 by and between
CONN-SELMER, INC., whose office is located at 34199 Curtis Boulevard, Eastlake,
Ohio, (hereinafter designated as the Company) and U.A.W. Local 2359
(hereinafter designated as the Union).

 

NONDISCRIMINATION.  The company and the union are committed to
the optimum utilization of human resources and equal opportunity.  Job applicants and employees are evaluated on
the basis of job qualifications – not age, disability, gender, national origin,
race, religion, or any other legally protected group characteristic.  The company and the union are committed to
maintaining a place of employment that is safe, productive, and free from any
form of harassment or violence.  The
company and the union each agree that they shall not discriminate against any
employee who exercises any legally protected rights.  The company will not discriminate against any
employee because of membership in the union.

 

ARTICLE I - MANAGEMENT

 

Section A.
Subject to the provision of this Agreement, it is expressly understood and
agreed that the right to manage the Plant and direct the work force is vested
exclusively in Management and that all rights not specifically modified in the
Agreement are retained by the Company including the rights to hire, suspend, or
discharge for proper cause, or transfer, and the right to relieve employee from
duty because of lack of work, or for any other legitimate reason are vested
exclusively in the Company, provided that this will not be used for purpose of
discrimination against any member of the Union.

 

ARTICLE II - RECOGNITION

 

The Company recognizes
the Union as the sole and exclusive bargaining agency for all its employees
(except supervision, plant protection, and office workers) with respect to
rates of pay, working conditions and hours or days of work.

 

ARTICLE III - REPRESENTATION

 

Section A. UNION SHOP COMMITTEE.
The Union shall be represented by a Shop Committee of not more than five (5)
members nor less than three (3) members, all of whom shall be employees of the
Company, shall have completed their probationary period with the Company as
herein provided, and shall be chosen by members of the Union.

 

The Union Shop Committee shall negotiate in the manner
as hereinafter provided with the Company on grievances that may arise in the
Plant.  International Union Officials may
be called in by the Shop Committee to assist in these negotiations.

 

Section B. DEPARTMENTAL STEWARDS.
The Union, in addition to the Shop Committee, shall be represented by
Departmental Stewards who shall be employees of the Company, having completed
their probationary period, and shall be chosen by and from members of the Union
on a

 

2

 

basis of one (1) Steward
for each Supervisor, with the assurance of a minimum of one (1) Steward for
each work shift scheduled by the Company.

 

In the application of the above, it is agreed, the
Union shall be entitled to a Steward for each designated Department or group of
Departments.

 

Section C. COMMITTEE CHANGES.
The Union agrees to keep the Company informed at all times of who constitutes
the Shop Committee and the Stewards’ Committee, also when changes in said
Committees are made.

 

Section D. DISCIPLINARY ACTION:
SHOP COMMITTEE AND STEWARDS. A twenty-four hour grace period
will be given to the Shop Committee and Department Stewards when they are
personally involved in disciplinary action that warrants suspension or
discharge, the Chairman will be advised of disciplinary action for
investigation before disciplinary action takes effect.

 

ARTICLE IV - NORMAL HOURS AND
OVERTIME

 

Section A. NORMAL WORK WEEK.
For shop employees which may be worked without payment of overtime, for all
hourly rate employees shall consist of five (5) days, Monday through Friday, of
eight (8) hours each.

 

Section B. TIME AND ONE-HALF.
All work performed in excess of eight (8) hours during any regular working day
or work performed on Saturday, outside of the week as above defined, shall be
paid for at the rate of time and one-half.      Employees shall
receive time and one-half for all overtime worked.  The pay to be computed on the average hourly
earnings for the week the overtime is worked.

 

Section C. OVERTIME.
Employees shall be paid time and one-half for all time worked prior to their
scheduled starting time or after their scheduled quitting time, once they have
completed eight (8) hours.

 

An employee’s scheduled starting and quitting time as
scheduled on Monday for the week shall be considered the employee’s scheduled
starting and quitting times for the remainder of the work week unless mutually
agreed upon between the Company and the Union.

 

Section D. LATENESS.  It has been established that if an employee
is going to be late for work, he/she must call his/her Supervisor or leave a
detailed message on the voice message system and advise him/her at what time
he/she will arrive.  This must be done
within two (2) hours from starting time.

 

This is necessary in order for the Supervisor to
organize the work load in his/her department so production is not lost for the
day.

 

Should he/she not call in and advise the Supervisor
that he/she is going to be late, he/she will not be allowed in the Plant two
(2) hours from starting and will be marked absent for the day.

 

This rule shall not apply if the weather is a factor
in preventing the employee from arriving on schedule.

 

Section E. ABSENCE.  It has been established that if an employee
is going to be absent from work, they must call their Supervisor, Human
Resources Resources, or leave a detailed message

 

3

 

on the voice message
system and advise them that they will be absent.  This should be done within two (2) hours from
starting time.

 

1.             One
day sickness will not be excused, unless:

 

a)             Physician’s
slip is presented by employee upon return to work.

 

b)            Employee
was sent home the day before because of obvious illness, and return on
following day doubtful.

 

2.             Two
day sicknesses will not be excused, unless physician’s slip is presented by
employee upon return to work.

 

3.             Employees
returning to work after missing three (3) or more days because of illness will
not be permitted to work without physician’s slip stating employee is able to
perform regular duties.  Physician’s slip
must be presented by employee upon return to work.

 

4.             Absence
from work for reason other than illness will not be excused unless employee
received permission from the Human Resources Manager or the Plant Manager (or
their alternate as needed) prior to absence. 
See Section F.  LEAVE OF
ABSENCE.  Court and legal appointments
that are related to an employee’s infraction of the law are not excused “whole
day” absences.  All court and legal
appointments, handled on a reporting late or an out early basis, will be
excused (with advance notification, provided documentation is submitted upon
return to work).  “Whole day” absence,
for court and legal appointments that are not related to an employee’s
infraction of the law, will be excused (with advance notification, provided
documentation is submitted upon return to work).

 

5.             Death
in family, jury duty, etc. will be excused absences once verification is
presented.

 

6.             “Emergencies”
that occur between work shifts will be handled on an individual basis.  The Human Resource Manager must be consulted
before excusing absence.

 

7.             Previously
scheduled overtime for a Saturday and/or Sunday (hereinafter called “weekend
overtime”) will be assigned in accordance with the established procedure,
however, any unexcused absence will fall under the following guideline:

 

a.             All
unexcused weekend overtime missed will be charged as hours paid.  (i.e., 5 hrs. o.t. = 7 1/2 missed.)

 

8.             Any
jail time preventing an employee’s ability to report to work will not be viewed
as an excused absence.  The Company will
not issue any leaves of absence towards time spent in jail.  Each consecutive day in jail will be charged
against the 16 Hour Policy (Infractions of a Minor Nature, #1).  The number of days permitted will depend upon
the number of warnings the employee’s personnel record can support, to a
maximum of nine (9) days.  Any time in
jail beyond what the employee’s record can support will lead to dismissal.  Should the employee not

 

4

 

be convicted, all jail
time will not be charged against the 16 Hour Policy or the 60 Hour Policy.

 

Section F. LEAVE OF ABSENCE:

 

1.             An
employee may be granted a leave of absence, by the company, upon written
request to a Supervisor for a period not to exceed two (2) calendar weeks in
any one year, for a minimum of two (2) days (single days will only be approved
when combined with remaining vacation days, or with a personal holiday
request), but will not be granted a leave to work at any other job or business.
Earned but unused Vacation days must be used first.  Insurance and Hospitalization benefits will
continue.  Any grievance arising out of
the application of the provision shall be subject to negotiation between the
Company and Union.

 

Examples of such absences are personal business, court
appearances, etc.  Company may request
verification.

 

2.             By
agreement between the Company and the Union Shop Committee, employees may be
granted a leave of absence for a definite period of time not to exceed one-half
(1/2) their seniority length and in no event to exceed one (1) year without prejudice
to seniority for one or more of the following reasons:

 

a)             Death
or serious illness in family.

 

1)     Refer
to Article IV., Section F., #10.

 

b)            Personal
affairs involving legal settlement.

 

During such leave of absence, the employee shall only
accumulate seniority and all benefits are temporarily withheld until employee
returns, at which time the benefits will be reinstated.

 

3.             Employees
shall be granted a leave of absence for illness or injury causing confinement
to a Hospital or at home under physician’s care.  Provided a physician’s certificate is
presented and proof of continued disability is supplied as requested, upon the
basis of the following schedule:

 

a)             Up
to four (4) years seniority.  A period of
time equal to one-half (1/2) their seniority.

 

b)            Four
(4) or more years seniority.  A period of
time equal to their seniority.

 

c)             Refer
to Article IV., Section F., #10.

 

4.             This
could also include outpatient treatment as prescribed by an attending physician
which qualifies under the medical plan.

 

5.             As
per Contract Article XIII, Section A., #3: 
See Contract for Benefit schedule of Sickness and Accident Weekly
Benefits.

 

6.             “S
& A Benefit Medical” forms may be obtained from the Human Resources office.

 

5

 

7.             Leave
of absences, personal/medical, if approved, will not count toward hours
included under the Excessive Absentee Policy.

 

8.             A
“Leave of Absence” form may be obtained from Supervisor or the Human Resources
office.

 

9.             During
such leave of absence due to personal injury or illness, the employee shall
accumulate seniority and all Sickness and Accident payments (based upon the
direction of the third party administrator) and Life Insurance benefits (based
upon successful filing of a waiver of premium) 
shall continue for their defined term. 
During such leave for Workers’ Compensation, Life Insurance benefits
shall continue for their defined term (based upon successful filing of a waiver
of premium).  Coverage of
Hospitalization/Dental Benefits, for Sickness and Accident Leaves, are paid for
a period of six (6) months.  COBRA will
be effective after the initial six (6) months at a subsidized rate equal to the
normal payroll amount for an additional six (6) months.  Employees, for both Sickness and Accident and
Workers’ Compensation Leaves, are responsible for Hospitalization/Dental
Contribution amount during leave period. 
Benefit levels and contributions will be consistent with the current
collective bargaining agreement. 
Contributions must be paid to the designated third party administrator
on a monthly basis, prior to the next effective month due, otherwise benefits
will be cancelled (continuation could otherwise be made available through the
terms defined by COBRA).

 

10.           Family
and Medical Leave Act (FMLA)

 

An employee, under the
terms specified for Family and Medical Leave, with twelve (12) months of
service and at least 1,250 hours worked, may be granted up to twelve (12) weeks
of unpaid leave based on a twelve month rolling calendar for the following
reasons:

 

1.             The
birth or placement for adoption or foster care of a child. Leave taken for the
birth of a child or the placement of a child for adoption or foster care must
be a consecutive twelve (12) week period completed within twelve (12) months
after the date of birth or placement.

 

2.             The
need for the employee to care for a spouse, parent, child with a serious health
condition.

 

3.             The
employee’s own serious health condition.

 

Additionally, medical
certification and continued documentation for intermittent absences will be
required for such absence in accordance with the Act, and the regulations
promulgated thereunder.

 

6

 

A.            Status
of Accrued Paid Time

 

If the leave is for the
care of a spouse, parent, and/or child the employee may be required to take any
remaining vacation days at the beginning of the FMLA leave.

 

If the need for FMLA is
foreseeable (such as planned surgeries or normal births), thirty (30) day
notice is requested.  If the need for
FMLA is unforeseeable (such as serious injury or illness, or a premature
birth), you must notify the company as soon as possible, and in no event, more
than two (2) days after knowing of the need for a leave.  Formal notice is further accomplished by submitting
a FMLA Application Form.  FMLA
Application Forms must be submitted within fifteen (15) calendar days of a
return from an unforeseeable serious health condition for either the employee,
or a defined family member, or the absence will not be regarded as FMLA and
will be subject to the terms of the attendance rules.

 

B.            Status
of Benefits

 

Health care coverages (as
defined by COBRA) will continue under the same terms and conditions as while
actively at work.  Employee will be
responsible for continuing to make contributions to these plans while on leave.

 

FMLA leave will not
constitute a break in the employee’s record of continuous service and the
period of such leave of absence shall be included in the records as continuous
service.  Employees, following FMLA
leave, will be restored to their original job and pay rate.  The only exception would be changes that
would have affected the employee if he / she had not gone on leave.

 

These terms are subject
to review if the corresponding FMLA regulations are revised or changed.

 

Section G. OUT EARLY:

 

1.             Employees
will not be permitted to leave work early, and will be charged with lost time
except for the following reasons:

 

a)             Lack
of work.

 

b)            Obviously
ill and unable to continue to work.

 

c)             Emergency
call from family, requiring employee to leave. 
Verification may be requested.

 

7

 

d)            Workers’
Compensation injury or illness.

 

WORK SCHEDULE -
The employee is to be notified on Thursday, by 12:00 p.m. if the work schedule
for the coming week is going to be changed, so that the employee has enough
time to make arrangements if necessary.

 

If a department is advised ahead of time as required
about the schedule change, they must work eight (8) hours before overtime is
paid.

 

Only when the Company changes the schedule out of
order does an employee receive overtime for the time worked prior to set
schedule or time after set schedule no matter how many hours they work that
day.

 

OVERTIME - The
Company agrees to seek volunteers for available overtime by priority of
classification, qualification, and overall seniority.  For the purpose of maintaining efficient
operations and complying with customer requirements, the Company shall have the
right to institute daily overtime or to extend the work week.  Lacking enough volunteers, it shall assign as
many junior qualified employees as needed in that classification or department
to perform the work.  In the application
of this provision, no employee shall be required to work in excess of ten (10)
overtime hours per week and not for more than three (3) consecutive weeks.  A list of employees scheduled for Saturday
overtime will be solicited by 11:15 a.m. (when feasible), and will be posted by
2:45 p.m. Thursday, and any disputes arising from the posted list must be
communicated before 2:45 p.m. Friday, otherwise a grievance for a seniority
claim may not be submitted.

 

Section A. DOUBLE TIME.
Work performed on Sundays shall be paid for at the rate of double time.  Work performed on the thirteen (13) Holidays
in 2005, and the thirteen (13) Holidays in 2006, and the thirteen (13) Holidays
in 2007, as identified in Article VII - Section C, shall be paid for at the
rate of double time in addition to Holiday Pay as stated in Article VII - Section
C.

 

Section B. NO WORK.
When employees report for work, not having been properly notified in advance
that there will be no work, and prevented from performing their jobs that day
through no fault of their own, they shall be guaranteed four (4) hours work or
four (4) hours pay at their straight time day rate if no other work is
available for assignments; in no event shall they be paid for less than four
(4) hours.

 

However, this section shall not apply if the Company
is unable to operate its plant or any portion thereof due to an act of Nature,
utility failure, mechanical breakdown, government restriction, fire, flood,
riot, civil commotion, or labor dispute, unless the mechanical breakdown or
fire is caused by the company’s negligence.

 

Section C. NOTIFICATION OF
ADDRESS CHANGE. It is the responsibility of each employee to
keep the Human Resources Department informed of current address and telephone
number.  Attempts to reach the employee
at the telephone number currently listed in the Human Resources Department’s
files shall constitute proper notice.

 

Section D. CALL BACK.
Any employee being called back to perform a task shall be paid no less than
four (4) hours at straight time pay or which ever is higher, in the event of
overtime or a Holiday.

 

8

 

Section E. TIME AND ATTENDANCE,
LABOR REPORTING. Each employee shall be required to enter his
or her own attendance and labor transactions into the data collection
system.  Employee shall be responsible
for the accuracy of the count and time entered for all transactions.  Employees should be at their appointed place
of work when signal is given for work to begin and should remain at their work
until signal is given to quit.

 

ARTICLE V - SENIORITY

 

Section A. SENIORITY.  Will commence on the first day worked
regardless of when employment was first offered by any Company representative.

 

Section B. PROBATIONARY PERIOD.
All new employees shall be considered as on probation for a period of three (3)
months accumulated service, except for excusable absence, after starting date
and during such period, shall not be entitled to any seniority rights under the
provisions of this Article.  The
performance of any new employee will be evaluated on each one (l) month
anniversary date for the subsequent three (3) month probation.  However, after a period of two (2) months
accumulated service, they shall be entitled to Holiday Pay, and after three (3)
months accumulated service shall be entitled to the Personal Holiday.  After a probation period of three (3) months,
seniority shall be determined as of the date the employee started to work, and
after a period of three (3) months accumulated service shall qualify for all
benefits.

 

Section C. SUPERSENIORITY STATUS.
The Chairman of the Shop Committee and all members of the Shop Committee
handling all matters concerning the Grievance Procedure shall head the
plant-wide seniority list during their terms of office.  Any member of the shop committee who at the
time of election is on second or third shift will be assigned to the first
shift within their respective classification. 
Such shop committee member transferred from other than first shift will
replace the employee within their classification, with the lowest plant-wide
seniority, unless they can be otherwise absorbed into their
classification.  This would not apply to
temporary transfers between shifts for up to thirty (30) days.  If there is a reduction in the work force
during the term of office of the Grievance Committeeperson, they will remain at
work in their respective departments regardless of seniority unless the entire
department is laid off.

 

The Committee must be able to do the job in accordance
with the bumping procedure.  This
superseniority status is applicable to layoffs only, and employees will return
to their original positions on the seniority list at the termination of their
terms in office.  The Department Stewards
shall head the seniority list in their respective departments during their term
of office.  This superseniority status is
applicable to layoffs only, and employees will return to their original
positions at the termination of their terms of office.

 

Section D. MEDICAL
DISQUALIFICATIONS. Medical conditions that create a permanent
inability for an employee to perform their present job will result in:

 

a.             return
to job they have previously satisfactorily performed, providing there is an
opening, providing they have seniority.

 

b.             seniority
prevailing, accept an open job that meets the stipulated work restrictions
(failure to accept an open job will be construed as a voluntary quit).

 

9

 

c.             a
lay-off.

 

Section E. LAY-OFF PROCEDURE.
When it becomes necessary to reduce the work force for an indefinite period in
a department or within a work cell, the reduction will be made according to job
classifications, and employees will be notified three (3) normal working days
in advance.  It is understood and agreed
that in all cases of reduction in workforce, seniority shall be the determining
factor so long as those employees remaining in affected job classifications
have the skills and abilities to ensure continued efficient operations of the
Company.

 

When a reduction in workforce is implemented in a
department, the following procedure will govern, seniority prevailing, provided
that affected employees have the skills and abilities to perform available
jobs:

 

1.            Probationary
employees in the department shall be laid off before any employee having
seniority in that department is affected.

 

a.             Employees
on inactive status for sickness and accident, workers’ compensation, FMLA, or
personal leave, while other senior employees within their classification are
moved to lay-off status, will be moved to layoff status.

 

2.            If
further reduction is necessary, employees having seniority shall be entitled to
displace other employees within the department in accordance with the
following:

 

a.             Displace
the employee having the least seniority in an occupation he/she had previously
satisfactorily performed while in the employ of the Company.

 

b.             If
employees cannot displace employees in jobs previously satisfactorily
performed, they shall be entitled to displace the employee having the least
seniority in an occupation he/she is able to perform without further training.

 

c.             Bumping
rights for those inactive at the time of lay off, may be invoked at the time
said employee is scheduled to return, or is released to return to work.  Bumping rights under these circumstances,
expire the working day following the scheduled return date.  Recall rights will be extended for the normal
defined term (one-half seniority to a maximum of three (3) years) effective
with the date of lay off; however, recall rights will not be extended until the
employee is scheduled to return or is released to return to work.

 

3.            Any
employee having seniority displaced from a department in accordance with the
above procedure shall be entitled to displace employees in other departments in
accordance with the following:

 

10

 

a.             Displace
the employee having the least seniority in an occupation he/she had previously
satisfactorily performed while in the employ of the Company.

 

b.             If
employee cannot displace employees in jobs previously satisfactorily performed,
they shall be entitled to displace the employee having the least seniority in
an occupation he/she is able to perform without further training.

 

c.             If
employee is displaced from original bump by a senior employee with more
seniority who can perform the job without training, the employee may again
exercise his/her bumping privileges. 
Only the senior employee will be considered for each multi-bump
situation.

 

4.            In
recognition of the Company’s responsibility to maintain efficient operations,
it is understood and agreed that the following criteria shall apply to
employees displacing other employees in accordance with the above procedure:

 

a.             Employee
will have five (5) working days (employee with fifteen (15) years seniority
will be offered up to ten (10) working days) during which to demonstrate
ability to satisfactorily perform the work with the opportunity for
familiarization of equipment and work area, without training.  At the end of this period, employee must be
performing at the established production standard.

 

5.            If
an employee fails to displace another employee, due to lack of skills or
abilities, he/she shall be placed on layoff status, with the right to recall
only to:

 

a.             His/her
regular job; or

 

b.             A
job he/she previously satisfactorily performed; or

 

c.             Bottom
of lay-off list.

 

6.            Should
an employee choose not to exercise his/her seniority rights under this Section,
he/she shall be placed on layoff status, relative to seniority.

 

Employees accepting jobs
in accordance with the above procedures shall be paid at the current rate for
the job.

 

Employees accepting jobs
in accordance with the above procedures may, with seniority prevailing,
exercise shift preference.

 

Section F. RECALL PROCEDURE.
When it becomes necessary to recall employees from layoff, or to re-man a
department after a reduction, the following procedure shall be applied:

 

1.             The
Company shall determine with seniority prevailing whether there are displaced
employees working elsewhere in the plant or on the layoff list who previously
performed in the job classification. 
Employee will be reassigned to an open job in accordance to the
following procedure:

 

11

 

a.     performed
job within the past ten (10) years.

 

b.     satisfactorily
performed the job for a minimum of a two (2) year period.

 

c.     employee
will have five (5) days for familiarization and minimal training during which
to demonstrate ability to satisfactorily perform the work.  At the end of this period, employee must be performing
at the established production standard.

 

d.     if
an employee fails to satisfactorily perform the work as required above due to
lack of skills or abilities under this Section, the employee shall be placed on
layoff status, with the right to recall only to his/her original job.

 

e.     employees
accepting jobs in accordance with the above procedures shall be paid at the
current rate for the job.

 

f.      employees
bypassed shall retain their relative positions on the lay-off list.

 

2.             Should
open jobs become available and the employee was unable to qualify for the
above, employee will be recalled from the layoff list in accordance with their
seniority, provided that employee has the skills and abilities to perform the
available jobs.  Displaced employee
taking available job shall not be reassigned to their original job once they
have chosen to sign a Job Bid, or have completed one (1) year in their new job
classification.  Employees bypassed shall
retain their relative positions on the lay-off list.

 

3.             Should
employees be unable to qualify for the above, they will be recalled to
available jobs denoted by an asterisk on the Job Classification list, by using
plant wide seniority of those employees on the lay-off list.  If the employee’s original job should re-open,
the employee must return to that original job. 
Employees bypassed shall retain their relative positions on the lay-off
list.

 

4.             Employees
recalled from the layoff list to their original jobs refusing to return to such
jobs, shall be considered having quit, forfeiting all accumulated seniority.

 

5.             Employees
recalled from the layoff list to available work refusing such job shall be
placed at the bottom of the layoff list. 
However, upon second refusal of recall to available work, employees
shall be considered on layoff until original job becomes available, or Article
V, Section F., #2., becomes applicable.

 

6.             It
is understood and agreed that the recall and re-manning procedures contained in
this Agreement will be invoked only when full time, permanent jobs become
available.  Should temporary jobs become

 

12

 

available, the Company
shall exercise its prerogative to fill those vacancies, within the limitations
of this Agreement, after having first advised the Union.

 

Section G. TEMPORARY REDUCTIONS.
The work week shall not be less than thirty-two (32) hours, consisting of four
(4) eight (8) hour days, for a period of not longer than six (6) weeks and then
the Company and the Union shall meet to consider the advisability of continuing
the thirty-two (32) hour week or reducing the number of employees according to
seniority.  This clause does not apply to
a temporary reduction in a certain department or work cell due to lack of work,
shortage of material, overstock or temporary setback of production.  A temporary reduction in a department will be
of definite duration, not to exceed one (1) week, in which case employees will
be placed on layoff status, without invoking Article V, Section E.  Should the temporary reduction exceed one (1)
week, the Company and Union shall meet to discuss the advisability of reducing
the work force according to Article V, Section E.

 

Section H. SENIORITY FORFEITURE.
Employees shall forfeit seniority if:

 

1.             They
quit or retire.

 

2.             The
employee is laid off for a period in excess of one-half (1/2) of his/her
seniority but in no event shall he/she retain his/her seniority after three (3)
years continuous lay-off.

 

3.             They
are discharged for just cause.

 

4.             They
are absent for three (3) consecutive working days without reasonable
cause.  Questionable cause shall be
negotiated between the Company and the Union.

 

5.             They
fail to report for work within five (5) days, after receiving notice to report
where such failure to report does not arise from good causes, such as
employment elsewhere (for a period not to exceed two (2) weeks), illness, death
in the immediate family, absence from the city or military service, provided,
however, in such cases that they give the Company notice of the good cause
preventing them from returning to work within three (3) days of receipt of
notice.

 

6.             While
on leave of absence, they accept employment with another concern without
approval of the Shop Committee and the Company.

 

Section I. SENIORITY ROLLS.
The Company shall furnish an accurate seniority roll showing the status of all
employees covered by this Agreement, a copy of said roll shall be given to the
Shop Committee on request.  The Company
will also notify the Union in writing of hiring, discharging, rehiring,
furloughing, and transferring of each and every employee, in order to keep the
above mentioned seniority roll up to date.

 

Section J. JOB POSTING &
BIDDING. Notices of vacancies or new jobs created will be
posted on the job posting bulletin boards for a period of three (3) working
days during which employees shall have the opportunity to advance their status
by filing an application for transfer to such jobs with the Human Resources
Manager.  If posted jobs are not filled
in thirty (30) days, a one-day posting will be made before a new employee is
hired.  Work cells, once developed,

 

13

 

will be initially staffed
with active employees from the traditional job classifications that were merged
by the given work cell.  Job openings,
within a given work cell, will not be posted until the staffing requirements
within the work cell exceeds the available active employees that were merged
from the traditional job classifications. 
The traditional job classification will be the basis for posting an
available work cell position.  The
existing job posting and bidding rules, contained within this section, will
govern the evaluation of any subsequent job vacancy or bid into a work cell.

 

Requests for transfer will be considered in accordance
to the employee’s seniority, qualifications, and curtailment of production,
before any new employee is hired for such a job.  Before the job is awarded to a bidder, the
lay-off list will be referred to for qualified senior employees (See Article
V., Section F.).  If a laid off employee
accepts the job, the job bid must be signed. 
If an employee on the lay-off list refuses the job, refer to Article V,
Section F., #5.  If there is reasonable
doubt as to the employee’s qualifications, a reasonable trial period shall be
granted.  Should any employee disqualify
themself during the five (5) day trial period, they shall have return rights to
their previous job.  Once the employee is
accepted for the job, and once the employee completes the five (5) day trial
period, he/she relinquishes the rights to the job he/she left.  Any employee who fails to successfully hire
or transfer into a new job will be placed on layoff status, with no bumping
rights.  Layoff status will be
automatically invoked upon the issuance of the third infraction of a minor
nature for failing to meet a reasonable measure of efficiency (Infraction of a
Minor Nature #10).  Employees who are
disqualified in this manner will relinquish recall rights to any previously
disqualified job, and all warnings on record will continue for the remainder of
their terms once the employee returns from layoff.

 

Employees interested in being considered for rough
assembly should first bid into the rough assembly training classification.  The horn slide training classification will
be comprised of two (2) separate tiers; Trainee B - Grade 2, and Trainee A -
Grade 5.  Available positions will be
posted as Trainee B - Grade 2.  Existing
employees who transfer into this classification will have the customary five
(5) day trial period.  Employees in
Trainee B will be evaluated on a monthly basis, and transfer to Trainee A will
only occur after the employee has reached a skill level equivalent to the
established standards for horn slide assembly. 
Transfer from Trainee B to Trainee A must be accomplished within six (6)
months, if not, Article V., Section J., would apply.  Existing horn slide assemblers will retain
their current classification, and employees within the Trainee A will be
considered part of the horn slide assembly capacity.  Under this program, the training
classifications may not be considered a permanent position.  Any employee within Trainee A can bid on
Rough Assembly jobs within departments 35 and 38, and will not be required to
complete one year of service.  However,
any subsequent transfer to rough assembly (either by bid or placement) will
require employees to complete one year of service.

 

Any subsequent job openings in rough assembly will be
filled predominantly by employees from this training classification.  This, however, is not intended to prevent any
of the current rough assemblers from bidding into a new rough assembly
opening.  Providing no eligible bids are
received from current rough assemblers, the Trainee A can bid with seniority

 

14

 

prevailing.  If no eligible bids
are received from Trainee A, then placement of a Trainee A will be done at the
discretion of the company.

 

Plantwide seniority rules will apply to layoff within
this training classification (e.g. a senior Trainee A will remain over a junior
horn slide assembler, or a junior Trainee A can be bumped by a senior rough
assembler).

 

An employee transferred from one department to another
shall immediately be credited with his/her total seniority in the new
department.  The Maximum dayrate will
replace “Traditional” hourly rates for all downward job transfers and lateral
job transfers (outside of their department only).  Employees with a “Traditional” hourly rate,
who are approved for an upward transfer request, or a lateral transfer request
(within their department), or are laid off for lack of work or for medical
disqualification (excluding job disqualifications), will preserve their
“Traditional” hourly rate or the Maximum dayrate (whichever is higher).  The most senior employee may exercise shift
preference from one shift to another, within a work cell, within a job
classification, within a department, provided a vacancy exists.  The company reserves the right to temporarily
postpone shift preference, to a maximum of one (1) year, within classifications
that require extended training or supervision (specifically 5A41 – Polisher,
5A42 – Buffer, and 5A35 – Color Buffer). 
All transfer requests shall be answered if rejected for seniority,
qualifications, or curtailment of production.

 

In the application of this provision, requests for
transfer to another job, in the department wherein the vacancies occur or the
new job is created, shall be considered before any such requests made by
employees from other departments.

 

Once an employee accepts a transfer, or once an
employee disqualifies themself during a trial period and returns to their
previous job, that employee will not be allowed to submit another request for
transfer for for a period of six (6) months. 
This applies to intra-departmental, as well as inter-departmental
transfers.

 

Requests for transfers submitted by employees in Labor
Grades 1 and 2, with less than one (1) year seniority or probationary
employees, will be considered and possibly accepted, providing that an employee
with one (1) year or more seniority did not bid the job.

 

Employees in Labor Grades 3 and above with less than
one (1) year seniority shall not be entitled to place transfer requests.

 

Requests for transfer into a lower Labor Grade, or
into into the same Labor Grade
(except for those established with “Traditional” hourly rates) will not be
permitted.  Employees, established with a
Tier 2 wage rate, can possibly be considered and accepted for a lateral transfer
within their department.

 

It is understood that
requests for transfer will be considered on an individual basis, taking in
account all the factors presented at the time the request for transfer is
submitted.

 

When an abnormal condition exists that may result in
the curtailing of production in other parts of the Plant Management reserves
the right to hire experienced individuals in preference to present employees
who do not have previous experience.

 

Union and the bidders will be notified within five (5)
working days of the final posting date.

 

15

 

Section K. SENIORITY GRIEVANCES.
Any grievances arising out of seniority shall be subject to negotiations
between the Union and the Company.

 

Section L. NOTIFICATION OF JOB
STATUS. In laying off, furloughing, or transferring any
employee, the Company Representative shall notify the Chairman of the Shop
Committee and the employee in such layoff, furlough or transfer as soon as
practical.

 

Section M. TRANSFER INTO
BARGAINING UNIT. Employees who were not employed in the
bargaining unit at any time during their period of employment with the Company
and who are transferred into the bargaining unit shall be credited with
seniority from the date of transfer into the bargaining unit after having
served their probationary period.

 

Section N. REASSIGNMENT TO
BARGAINING UNIT. Employees who were, or may be transferred or
promoted from jobs within the bargaining unit to jobs outside the bargaining
unit shall retain their seniority but shall not accumulate seniority while
working on such jobs.  In the event such
employees are transferred into the bargaining unit, they shall be placed on
available jobs where they are best qualified in line with their seniority, but
shall not be entitled to exercise their seniority to displace any regular
full-time employee within the bargaining unit for a period of ninety (90) days
from the date of transfer.

 

Section O. DISCHARGE PROCEDURE
AND GRIEVANCES. Should an employee be subject to discharge,
he/she shall be advised of the reason for such action.  The Company shall then request the presence
of the Chairman of the Shop Committee to discuss the cause with him/her before
he/she is required to leave the Plant.

 

Should the employee or his/her representative consider
the action to be improper, a written protest must be presented to the Company
within five (5) working days after the action was taken, or the action taken
will be considered as accepted.  Such protest
will be handled in accordance with the established grievance procedure.  If it is determined that the discharge was
unjustified, the employee shall be reinstated to his/her former position and to
his/her former standing on the seniority list, without any loss of pay.

 

ARTICLE VI - GRIEVANCE PROCEDURE

 

Section A. INTENT OF DISPUTE
ADJUSTMENTS. It is the intent of the parties to this
Agreement that the procedure herein set forth serve as a peaceful means for the
adjustment of all disputes that may arise between them.

 

Section B. NO
STRIKE / NO LOCKOUT.  The union agrees that
it will not encourage, sanction, or approve any strike, handbilling, sympathy
strike, or other interruption of work growing out of any dispute.  On the contrary, the union will actively
discourage and endeavor to prevent or terminate any strike, stoppage, slowdown,
or other interruption of work.

 

The company agrees that
neither it nor its representatives will put into effect any lockout during the
term of this agreement.

 

16

 

Section C. Any
grievance relating to the issuance of a warning must be submitted to the
following grievance procedure within fourteen (14) calendar days following the
issuance of said warning to the employee(s), otherwise the action is regarded
as accepted.  The union, whenever a
warning is issued, will be immediately furnished a copy of the written warning
upon issuance to the employee.  Whenever
a grievance arises, the following steps shall be taken to ensure proper and
timely handling, except in the case of a termination, which will go directly to
Step 4.:

 

Step 1.

 

An employee with a
problem, complaint or question will discuss the details of the complaint with
the Supervisor and the Department Steward. 
Who, after investigating complaint or problem, will determine if there
is cause.  The Supervisor, within a 24
hour period, will give a formal answer to the employee in the presence of the
Department Steward.

 

Step 2.

 

Failing satisfactory
settlement with the Supervisor, a grievance shall be written, at which time
employee and Department Steward shall present the written grievance to the
Supervisor who will submit the grievance to a Company Representative selected
by the Company, who will within a five (5) day grace period, conduct a meeting
of all parties involved in an attempt to resolve the issue.

 

Step 3.

 

If the issue is still not
resolved, the written grievance will be taken up in a meeting with the
Grievance Committee and a Representative of the Company within ten (10) working
days of the notice of rejection to settlement in Step 2.

 

Step 4.

 

In
the event satisfactory settlement is not made, and after the above procedure
has been exhausted, the grievance shall be referred to the Plant Manager or
his/her representative and the Union’s International Representative and the
Company Legal Advisor.  Should such a
meeting be necessary, it will be held at 2:00 p.m. within two (2) weeks notice
of rejection in step three or on a date agreed upon by both. The Step 4 meeting
may be delayed beyond the above mentioned timetable by mutual consent of the
Company representative and the Union.  If
(a) the company fails to meet, or (b) the union fails to submit written
rejection to the 3rd step outcome, within the specified time limits
in the 4th step of the grievance procedure, then the grievance shall
be considered settled on the basis of the last position – in favor of the union
in situation (a), or in favor of the company in situation (b).

 

Step 5.

 

If the grievance is not
settled pursuant to the steps in the grievance provisions of this agreement,
then either party shall, within thirty (30) calendar days after any Step 4
grievance answer submit the grievance to arbitration.  Both the company and the union agree to
utilize expedited arbitration as a preferred method.  Post hearing briefs will be permitted only by
agreement of the parties or by direction of the arbitrator if one party so
requests.

 

17

 

The employer and the
union shall agree upon a list of three (3) arbitrators to serve for the
duration of this agreement.  When either
party requests arbitration pursuant to Section C., Step 5., the parties shall
meet within seven (7) working days to select an individual from this panel to hear
said matter.  The arbitrator will be
selected by process of rotation.  As soon
as the parties select the arbitrator, they shall jointly request a hearing date
be set as soon as possible subject to the availability of the parties.  If the parties and the arbitrator are unable
to agree upon a date within thirty (30) days of contact with the arbitrator,
then the parties, by mutual agreement, may immediately select another
arbitrator.  No more than thirty (30)
days after submission of the case to the arbitrator, the arbitrator will issue
his / her award.  The parties agree to
accept the arbitrator’s award as final and binding upon them; however, the
arbitrator shall have no power to add to, subtract from, or modify any of the
terms of this agreement.

 

The cost of the
arbitrator, and meeting room shall be shared equally by the parties.  Any other expense (such as attorney,
transcript, or witness or advocate fees) must be paid by the party incurring
such expense.

 

No aggrieved party shall
have any right to invoke the grievance procedure provided above, or the
arbitration procedure provided above, unless the matter of such grievance has
been presented as provided above.

 

ARTICLE VII - WAGES

 

Section A. NEW EMPLOYEE
CLASSIFICATION. Any new employee may be employed in any
bracket or classification to be determined by their past experience.

 

Section B.  “TRADITIONAL” HOURLY RATES.  All existing union hourly employees (with a
hire date on or before the execution of this collective bargaining agreement),
will preserve the higher of their overall hourly average or their current
Dayrate (for the period between 02/16/04 and 02/18/05) as their straight-time
hourly rate for all hours worked (excluding the stated exceptions See Article
VII., Section D.).  Employees already established
with an interim work cell hourly rate will receive the higher of their current
work cell rate, their overall hourly average, or their current Dayrate (for the
period between 02/16/04 and 02/18/05) as their straight-time hourly rate for
all hours worked (excluding the stated exceptions See Article VII., Section
D.).

 

Section C. HOLIDAYS.
The Company shall pay all employees with seniority covered by this Agreement at
their hourly earnings for the following Holidays, to be observed on designated
dates: 

 

a.             2005:

 

Friday, March 25 – Good Friday

Monday, May 30 - Memorial
Day

Friday, July 1 -
Independence Day (Observed)

Monday, September 5 -
Labor Day

Thursday/Friday, November
24 & 25 - Thanksgiving Holidays

Friday/Monday, December
23 & 26 - Christmas Holidays

Tuesday/Wednesday/Thursday,
December 27, 28, & 29 - (3) Floating Holidays

 

18

 

Friday, December 30 - New
Year’s Holiday (Observed)

 

b.             2006:

 

Friday, April 14 - Good
Friday

Monday, May 29 - Memorial
Day

Friday, June 30 -
Independence Day (Observed)

Monday, September 4 -
Labor Day

Thursday/Friday, November
23 & 24 - Thanksgiving Holidays

Monday/Tuesday, December
25 & 26 - Christmas Holidays

Wednesday/Thursday/Friday,
December 27, 28, & 29 - (3) Floating

Holidays

Monday, January 1 - New
Year’s Day

 

c.             2007:

 

Friday, April 6 - Good
Friday

Monday, May 28 - Memorial
Day

Friday, June 29 -
Independence Day (Observed)

Monday, September 3 -
Labor Day

Thursday/Friday, November
22 & 23 - Thanksgiving Holidays

Monday/Tuesday, December
24 & 25 - Christmas Holidays

Wednesday/Thursday/Monday,
December 26, 27, & 31 - (3) Floating

Holidays

Tuesday, January 1 - New
Year’s Day

 

d.             Personal
Day to be used as requested by employee:

 

1.     Two
weeks notice must be submitted prior to the day being requested, seniority
prevailing, when combined with other regularly scheduled holidays.

 

2.     Must
be approved by Human Resource Manager.

 

3.     The
Personal Holiday, if used at any other time, can be merely taken with advance
or “call-in” notice.  However, the
Personal Holiday cannot be applied retroactively to a day already missed.  The Personal Holiday, if arranged on a
call-in basis, must be reported to your Supervisor or Human Resources within
two (2) hours of your scheduled starting time. 
This holiday must be taken by the end of each contract period.  Employees who have not used their personal
holiday shall be paid for the holiday at the end of the contract year.

 

HOLIDAY PAY QUALIFICATIONS.
Absence from work without permission or approval of the Company and Union Shop
Committee the working day prior to, or the working day following paid Holidays
will result in forfeiture of Holiday Pay unless the Company and Union agree
that the employee has a reasonable excuse for payment of Holiday Pay which is:

 

19

 

a.             During
that week of the Holiday, from Monday to Sunday, an employee is hospitalized
prior to the Holiday and is unable to work as required.

 

b.             Hospitalized
on the Holiday and unable to report the day after as required.

 

c.             Hospitalized
on the day scheduled to return to work as required.

 

d.             During
the week of the Holiday, a physician’s slip stating that employee has been sick
and was unable to report to work as required either on the day before the
Holiday or on the day after the Holiday.

 

e.             Employee
on Leave of Absence for personal, sickness, or injury reasons do not qualify
for Holiday Pay - unless, the employee works the next scheduled workday
following the holiday.

 

f.              Employees
who were laid off 30 days prior to a holiday, will qualify for payment of the
holiday.

 

In addition to the listed exceptions to holiday pay
qualifications, emergencies that occur the day before or the day after a
holiday will be handled on an individual basis. 
The employee must report the emergency to the Human Resource Manager,
and the employee must furnish documentation proving the legitimacy of such
emergency upon return to work.  Human
Resources will determine if payment for the holiday(s) is to be made under
these conditions.

 

Section D. SPECIAL RATES.

 

a.             INSTRUCTOR PAY. The Company may appoint new instructors to
train one or more employees for the job. 
For the time spent instructing, they will receive will receive twenty
five cents ($.25) per hour over their hourly rate.

 

b.             GROUP LEADER PAY. The company may appoint group leaders in a
particular area of the plant.  For the
time spent in a group leader role, group leaders will receive a minimum of
twenty five cents ($.25) per hour over their hourly rate.

 

c.             TEMPORARY TRANSFERS. When an employee’s work is in two (2)
or more Labor Grades, he/she shall carry the higher rate.  Temporary transfers can be made as an interim
work assignment during temporary periods of no work, for up to six (6) weeks,
leaving the affected employee an opportunity to return to their normal job.
Temporary transfers, under these circumstances, will be further extended if
mutually agreed by the company and the union.

 

d.             SHIFT DIFFERENTIALS. Employees working on the second shift
shall receive additional compensation of fifty cents ($.50) per hour.  Employees working on the third shift shall
receive additional compensation of seventy-five ($.75) per hour.

 

ARTICLE VIII – QUALITY, COST,
DELIVERY, AND SAFETY

 

Employees are expected to
safely produce quality instruments in the most efficient manner.  Conforming to safety requirements, improving
quality standards, and improving manufacturing efficiencies is every employee’s
responsibility.

 

20

 

Manufacturing operations,
not contained within a work cell, must meet or exceed 110% of the job
standard.  Any voids in quality,
efficiency, or safety will be subject to the established warning system.

 

Safety standards,
quality standards, and manufacturing efficiencies (compared to the standards
established by the former individual incentive system), must be maintained or
improved with each subsequent work cell that is developed.  Work cells will be organized according to
established lean manufacturing principles, and will be based upon standard time
observations.  Work cell cycle times,
following the removal of all non-value added operations, will be determined to
be the combination of the lowest repeatable times for each remaining job
element.  The resulting job elements,
given the customer TAKT time, will be divided between the employees that are
assigned to each given work cell.  Job
elements, depending on the customer TAKT time, may be changed or altered, and
employees assigned to each given work cell will be required to assume the most
leveled and balanced combination of job elements.  Quality, cost, delivery, and safety
deficiencies, identified within a work cell, will be handled on an individual
basis, and may be subject to the established warning system.

 

WAGE RATES EFFECTIVE:

 

Effective February 25,
2005, a flat bonus of $641.00 (Gross) will be paid to all active union
employees.

 

Effective February 20, 2006, two percent (2 %) shall be added to all
“Traditional” hourly rates.  A general
wage increase of one percent (1%) shall be added to all “Tier 2” hourly rates.

 

Effective February 19,
2007, two and one-half percent (2.5 %) shall be added to all “Traditional”
hourly rates.  A general wage increase of
one percent (1%) shall be added to all “Tier 2” hourly rates.

 

*Recall Jobs – Article
V., Section F., #3.

 

JOB CLASSIFICATIONS AND TIER 2
HOURLY RATES:

 

#1 Grade

 

	
   

  	
   

  	
  2/21/05

  	
   

  	
  2/20/06

  	
   

  	
  02/19/07

  	
   

  
	
  Maximum Hourly
  Rate

  	
   

  	
  $

  	
  12.416

  	
   

  	
  $

  	
  12.541

  	
   

  	
  $

  	
  12.666

  	
   

  
	
  Minimum Hourly
  Rate

  	
   

  	
  $

  	
  10.554

  	
   

  	
  $

  	
  10.659

  	
   

  	
  $

  	
  10.766

  	
   

  

 

*Sweepers

 

#2 Grade

 

	
   

  	
   

  	
  2/21/05

  	
   

  	
  2/20/06

  	
   

  	
  02/19/07

  	
   

  
	
  Maximum Hourly
  Rate

  	
   

  	
  $

  	
  12.543

  	
   

  	
  $

  	
  12.669

  	
   

  	
  $

  	
  12.795

  	
   

  
	
  Minimum Hourly
  Rate

  	
   

  	
  $

  	
  10.662

  	
   

  	
  $

  	
  10.768

  	
   

  	
  $

  	
  10.876

  	
   

  
												

 

*Case Sizing Boring
Machine Operator

 

*Degreaser / Parts
Cleaner

 

21

 

*Harperizer &
Tumbling Machine Operator

 

*Laborer

 

*Laborer - Air/Water
Check Horns

 

*Vibratory & Tumbling
Machine Operator

 

*Operator - Cut and
Shrink

 

*Operator - Drill Press
& Milling

 

*Trucker - Stock Handler

 

*Trainee B

 

*Laborer - Rinse Tank

 

#3 Grade

 

	
   

  	
   

  	
  2/21/05

  	
   

  	
  2/20/06

  	
   

  	
  02/19/07

  	
   

  
	
  Maximum Hourly
  Rate

  	
   

  	
  $

  	
  12.660

  	
   

  	
  $

  	
  12.787

  	
   

  	
  $

  	
  12.915

  	
   

  
	
  Minimum Hourly
  Rate

  	
   

  	
  $

  	
  10.761

  	
   

  	
  $

  	
  10.869

  	
   

  	
  $

  	
  10.978

  	
   

  

 

Bender - Crooks

 

Lead and Silver Solderer

 

Operator - Punch Press

 

Packers

 

Pantograph/Schmidt
Engraver Set-Up Oper.

 

*Pickling Tank Operator

 

*Shippers

 

Straighten Trombone Slide
Tubes

 

Aqueous System Set-Up
Operator

 

Lead Pot Operator

 

#4 Grade

 

	
   

  	
   

  	
  2/21/05

  	
   

  	
  2/20/06

  	
   

  	
  02/19/07

  	
   

  
	
  Maximum Hourly
  Rate

  	
   

  	
  $

  	
  12.807

  	
   

  	
  $

  	
  12.935

  	
   

  	
  $

  	
  13.064

  	
   

  
	
  Minimum Hourly
  Rate

  	
   

  	
  $

  	
  10.886

  	
   

  	
  $

  	
  10.995

  	
   

  	
  $

  	
  11.105

  	
   

  

 

Automatic Tube Buffing
Mch.

 

Brazer

 

CNC Automatic Spinning
Machine Operator

 

CNC Drill Operator

 

CNC Laser Operator

 

Draw Bench Operator

 

Engine Lathe Operator

 

Final Assembly Horns

 

Honer - Trombone Slides

 

Maintenance Helper

 

Operator Turret Lathe,
Hand Screw

 

Set-Up Opr. Vertical Draw
Mch.

 

*Stock Clerk

 

Rotary Valve Finisher

 

22

 

Auto. Buff. Mach. Set-up
Opr.

 

Cell Technician

 

#5 Grade

 

	
   

  	
   

  	
  2/21/05

  	
   

  	
  2/20/06

  	
   

  	
  02/19/07

  	
   

  
	
  Maximum Hourly
  Rate

  	
   

  	
  $

  	
  12.871

  	
   

  	
  $

  	
  13.000

  	
   

  	
  $

  	
  13.130

  	
   

  
	
  Minimum Hourly
  Rate

  	
   

  	
  $

  	
  10.940

  	
   

  	
  $

  	
  11.050

  	
   

  	
  $

  	
  11.160

  	
   

  

 

Assembler Valves &
Crooks

 

Bender

 

Operator Automatic Screw
Mch.

 

Piston Machinist

 

Plater C

 

Rough Assembly - Cornets,
Trumpets

 

Rough Assembly - Horn
Slides and Trombone Bells

 

Rough Assembly - Large
Horns & Rotary Valves

 

Rough Assembly - Trombone
Slides

 

Waste Water Pretreatment
Operator

 

Trainee A

 

Annealing Furnace
Operator

 

#5A Grade

 

	
   

  	
   

  	
  2/21/05

  	
   

  	
  2/20/06

  	
   

  	
  02/19/07

  	
   

  
	
  Maximum Hourly
  Rate

  	
   

  	
  $

  	
  17.600

  	
   

  	
  $

  	
  17.776

  	
   

  	
  $

  	
  17.954

  	
   

  
	
  Minimum Hourly
  Rate

  	
   

  	
  $

  	
  12.215

  	
   

  	
  $

  	
  12.338

  	
   

  	
  $

  	
  12.461

  	
   

  

 

Color Buff and Color Rag

 

Polisher

 

Buffer

 

Rotary Valve Maker

 

Set-Up Operator – Punch
Press

 

Lacquer Sprayers

 

	
   

  	
   

  	
  2/21/05

  	
   

  	
  2/20/06

  	
   

  	
  2/19/07

  	
   

  
	
  TU/SU

  	
   

  	
  $

  	
  17.600

  	
   

  	
  $

  	
  17.776

  	
   

  	
  $

  	
  17.954

  	
   

  
	
  FG/FTM/MI/FH

  	
   

  	
  $

  	
  16.254

  	
   

  	
  $

  	
  16.416

  	
   

  	
  $

  	
  16.581

  	
   

  
	
  BA/EU/Pro ST
  TM/Pro TR

  	
   

  	
  $

  	
  14.908

  	
   

  	
  $

  	
  15.057

  	
   

  	
  $

  	
  15.207

  	
   

  
	
  St TR/CR/TM

  	
   

  	
  $

  	
  13.562

  	
   

  	
  $

  	
  13.697

  	
   

  	
  $

  	
  13.834

  	
   

  
	
  Components

  	
   

  	
  $

  	
  12.215

  	
   

  	
  $

  	
  12.338

  	
   

  	
  $

  	
  12.461

  	
   

  
												

 

#6 Grade

 

	
   

  	
   

  	
  2/21/05

  	
   

  	
  2/20/06

  	
   

  	
  02/19/07

  	
   

  
	
  Maximum Hourly
  Rate

  	
   

  	
  $

  	
  13.082

  	
   

  	
  $

  	
  13.212

  	
   

  	
  $

  	
  13.344

  	
   

  
	
  Minimum Hourly
  Rate

  	
   

  	
  $

  	
  11.119

  	
   

  	
  $

  	
  11.230

  	
   

  	
  $

  	
  11.343

  	
   

  

 

Automatic Hydraulic
Spinning Machine Operator

 

Bender Skilled

 

Inspector B

 

Sheet Brass Workers

 

23

 

Plasma Arc Welder

 

Piston Liner, Assembler,
and Ball-Out

 

#6B Grade

 

	
   

  	
   

  	
  2/21/05

  	
   

  	
  2/20/06

  	
   

  	
  02/19/07

  	
   

  
	
  Maximum Hourly
  Rate

  	
   

  	
  $

  	
  13.136

  	
   

  	
  $

  	
  13.267

  	
   

  	
  $

  	
  13.400

  	
   

  
	
  Minimum Hourly
  Rate

  	
   

  	
  $

  	
  11.165

  	
   

  	
  $

  	
  11.277

  	
   

  	
  $

  	
  11.390

  	
   

  

 

Spinner - Metal

 

#6A Grade

 

	
   

  	
   

  	
  2/21/05

  	
   

  	
  2/20/06

  	
   

  	
  02/19/07

  	
   

  
	
  Maximum Hourly
  Rate

  	
   

  	
  $

  	
  13.250

  	
   

  	
  $

  	
  13.382

  	
   

  	
  $

  	
  13.516

  	
   

  
	
  Minimum Hourly
  Rate

  	
   

  	
  $

  	
  11.262

  	
   

  	
  $

  	
  11.375

  	
   

  	
  $

  	
  11.489

  	
   

  

 

Maintenance B

 

#6A-1
Grade

 

	
   

  	
   

  	
  2/21/05

  	
   

  	
  2/20/06

  	
   

  	
  02/19/07

  	
   

  
	
  Maximum Hourly
  Rate

  	
   

  	
  $

  	
  13.376

  	
   

  	
  $

  	
  13.510

  	
   

  	
  $

  	
  13.645

  	
   

  
	
  Minimum Hourly
  Rate

  	
   

  	
  $

  	
  11.369

  	
   

  	
  $

  	
  11.483

  	
   

  	
  $

  	
  11.598

  	
   

  

 

Maintenance & Welder
A

 

Plater B

 

#6A-2
Grade

 

	
   

  	
   

  	
  2/21/05

  	
   

  	
  2/20/06

  	
   

  	
  02/19/07

  	
   

  
	
  Maximum Hourly
  Rate

  	
   

  	
  $

  	
  13.556

  	
   

  	
  $

  	
  13.691

  	
   

  	
  $

  	
  13.828

  	
   

  
	
  Minimum Hourly
  Rate

  	
   

  	
  $

  	
  11.522

  	
   

  	
  $

  	
  11.638

  	
   

  	
  $

  	
  11.754

  	
   

  

 

Operator Centerless
Grinder

 

Turret Lathe & Hand
Screw - Set-Up Oper.

 

CNC Turning Center Set-Up
Operator

 

#7 Grade

 

	
   

  	
   

  	
  2/21/05

  	
   

  	
  2/20/06

  	
   

  	
  02/19/07

  	
   

  
	
  Maximum Hourly
  Rate

  	
   

  	
  $

  	
  13.903

  	
   

  	
  $

  	
  14.042

  	
   

  	
  $

  	
  14.183

  	
   

  
	
  Minimum Hourly
  Rate

  	
   

  	
  $

  	
  11.818

  	
   

  	
  $

  	
  11.936

  	
   

  	
  $

  	
  12.055

  	
   

  

 

Plater A

 

Tool Maker Trainee

 

Horn Tester

 

#7B Grade

 

	
   

  	
   

  	
  2/21/05

  	
   

  	
  2/20/06

  	
   

  	
  02/19/07

  	
   

  
	
  Maximum Hourly
  Rate

  	
   

  	
  $

  	
  14.240

  	
   

  	
  $

  	
  14.382

  	
   

  	
  $

  	
  14.526

  	
   

  
	
  Minimum Hourly
  Rate

  	
   

  	
  $

  	
  12.104

  	
   

  	
  $

  	
  12.225

  	
   

  	
  $

  	
  12.347

  	
   

  

 

Horn Repair

 

#8 Grade

 

	
   

  	
   

  	
  2/21/05

  	
   

  	
  2/20/06

  	
   

  	
  02/19/07

  	
   

  
	
  Maximum Hourly
  Rate

  	
   

  	
  $

  	
  14.968

  	
   

  	
  $

  	
  15.118

  	
   

  	
  $

  	
  15.269

  	
   

  
	
  Minimum Hourly
  Rate

  	
   

  	
  $

  	
  12.723

  	
   

  	
  $

  	
  12.850

  	
   

  	
  $

  	
  12.978

  	
   

  

 

24

 

Tool Room Machinist B

 

#9 Grade

 

	
   

  	
   

  	
  2/21/05

  	
   

  	
  2/20/06

  	
   

  	
  02/19/07

  	
   

  
	
  Maximum Hourly
  Rate

  	
   

  	
  $

  	
  15.609

  	
   

  	
  $

  	
  15.765

  	
   

  	
  $

  	
  15.922

  	
   

  
	
  Minimum Hourly
  Rate

  	
   

  	
  $

  	
  13.267

  	
   

  	
  $

  	
  13.400

  	
   

  	
  $

  	
  13.534

  	
   

  

 

Maintenance A

 

Tool Room Machinist A

 

#9A Grade

 

	
   

  	
   

  	
  2/21/05

  	
   

  	
  2/20/06

  	
   

  	
  02/19/07

  	
   

  
	
  Maximum Hourly
  Rate

  	
   

  	
  $

  	
  15.918

  	
   

  	
  $

  	
  16.077

  	
   

  	
  $

  	
  16.238

  	
   

  
	
  Minimum Hourly
  Rate

  	
   

  	
  $

  	
  13.531

  	
   

  	
  $

  	
  13.666

  	
   

  	
  $

  	
  13.803

  	
   

  

 

Tool & Die Maker

 

#10 Grade

 

	
   

  	
   

  	
  2/21/05

  	
   

  	
  2/20/06

  	
   

  	
  02/19/07

  	
   

  
	
  Maximum Hourly
  Rate

  	
   

  	
  $

  	
  16.484

  	
   

  	
  $

  	
  16.648

  	
   

  	
  $

  	
  16.815

  	
   

  
	
  Minimum Hourly
  Rate

  	
   

  	
  $

  	
  14.011

  	
   

  	
  $

  	
  14.151

  	
   

  	
  $

  	
  14.293

  	
   

  

 

Maintenance &
Electrician

 

#10A
Grade

 

	
   

  	
   

  	
  2/21/05

  	
   

  	
  2/20/06

  	
   

  	
  02/19/07

  	
   

  
	
  Maximum Hourly
  Rate

  	
   

  	
  $

  	
  16.667

  	
   

  	
  $

  	
  16.834

  	
   

  	
  $

  	
  17.002

  	
   

  
	
  Minimum Hourly
  Rate

  	
   

  	
  $

  	
  14.167

  	
   

  	
  $

  	
  14.309

  	
   

  	
  $

  	
  14.452

  	
   

  

 

CNC Programmer, Complex

 

Tool & Die Maker
Complex

 

Tier 2 employees will be
eligible for wage increases (up to the maximum dayrate), once time / skill /
performance based thresholds have been achieved.

 

ARTICLE IX - VACATIONS

 

The Union and the
Company agree that the purpose of vacations is that of relaxation of the
individual from the requirements of his/her work and that such relaxation is
earned by total years of service and hours worked.  Total years of service will include any
former years of service with the former King Musical, United Musical
Instruments, or Conn-Selmer, Inc. in addition to current continuous years of
service.

 

Section A. VACATION PERIOD.
The Plant will be closed for a two-week Vacation Period beginning on the
following dates:

 

1.         Monday,
July 4, 2005 - the Fourth of July Holiday to be observed on Friday, July 1,
2005.

 

2.         Monday,
July 3, 2006 - the Fourth of July Holiday to be observed on Friday, June 30,
2006.

 

3.         Monday,
July 2, 2007 - the Fourth of July Holiday to be observed on Friday, June 29,
2007.

 

25

 

The employee’s seniority
status for the purpose of vacations will be determined as of June 30th of the
vacation year.  The new vacation year
begins each subsequent July 1.  New
vacation time becomes available each subsequent July 1.

 

The designated Shutdown
period will be staffed as follows:

 

a.         For
plant-wide maintenance, a Volunteer Sign-Up Sheet for Laborers required during
the shutdown will be posted two months prior to the shutdown for a period of
ten (10) working days.

 

b.         Those
junior employees who cannot entirely cover the vacation period will be the
first volunteers selected for the above posted position(s).  However, these junior employees may only
volunteer for the time not covered by vacation. 
Volunteers paid to a Maximum of Grade 5A.

 

c.         Should
there be a need for additional manpower, seniority prevailing, all other
employees may volunteer.  Vacation may be
scheduled and paid at a later date according to Article IX, Section C., letter
b.  Volunteers paid to a Maximum of Grade
5A.

 

d.         Should
the need for additional manpower still exist, remaining junior employees not
covered by vacation will be required to work. 
Junior employees will be paid at their Hourly Rate.

 

e.         Should
the need for additional manpower still exist, junior employees will be required
to work, seniority prevailing.  Vacation
may be scheduled and paid at a later date according to Article IX, Section C.,
letter b.  Junior employees will be paid
at their Hourly Rate.

 

f.          The
list of Laborers scheduled to work the shutdown will be posted five (5) days
after the posting period is completed. 
Those scheduled to work during the shutdown period will be subject to
the same Company Rules that govern any regular workday.

 

Section B. VACATION PAY.
Shall be computed on the basis of the employee’s average hourly earnings for
the 52 week period beginning and ending closest to June 1, through May 31, or
his/her rate of pay for the classification for which he/she has worked for the
majority of the vacation year, whichever is higher, based on the following
schedule:

 

	
  Length of Service

  	
   

  	
  Days of Vacation

  	
   

  
	
  Six (6) months
  to one (1) year seniority

  	
   

  	
  2

  	
   

  
	
  One (1) year to
  two (2) years seniority

  	
   

  	
  5

  	
   

  
	
  Two (2) years to
  five (5) years seniority

  	
   

  	
  10

  	
   

  
	
  Five (5) years
  and up to ten (10) years seniority

  	
   

  	
  12

  	
   

  
	
  Ten (10) years
  and up to fifteen (15) years seniority

  	
   

  	
  15

  	
   

  
	
  Fifteen (15)
  years to twenty (20) years seniority

  	
   

  	
  17

  	
   

  
	
  Twenty (20)
  years or more seniority

  	
   

  	
  20

  	
   

  

 

Vacation pay shall be
paid as follows:

 

2
through 10 days:               Paid in its
entirety the last pay period before designated shutdown.

 

12
through 20 days:             Paid when employee
takes vacation, per Article IX, Section C.

 

Deductions for Medical
contribution to be deducted from vacation pay. 
Calculated the same as if employee was working.

 

26

 

Section C. THIRD AND FOURTH WEEK
VACATION REQUIREMENTS.

 

a.)    Employee
must have either ten (10), fifteen (15) or twenty (20) years of service prior
to June 30 to qualify.

 

b.)   One
(1) week notice must be submitted prior to the day(s) being requested.

 

c.)    Vacation
day(s) will be paid the following Friday of the workweek requested.

 

d.)   Third
and Fourth week cannot be added to the following year’s vacation.

 

e.)    Must
be approved by Human Resource Manager.

 

f.)    Individual
vacation requests, outside of the determined shutdown period, when possible,
will be awarded based upon seniority.

 

g.)   Vacation
days, not taken during the scheduled shutdown period, may be taken on a
“call-in” basis.  This option will be
available starting with the 2005-06 vacation year, and is limited to sixteen
(16) hours in 1⁄2-day increments, and sixteen (16) hours in full-day increments
(except for those with twenty five (25) years of service who will have
unlimited full-day “call-in” vacation days). 
These “call-in” days cannot be used consecutively, cannot be used the
day before or the day after a regularly scheduled holiday, and cannot be
applied retroactively.

 

Average Hourly Earnings
are computed as follows:

 

Total earnings less
overtime premium less vacation pay divided by the Total Hours Paid less
Vacation Hours paid.

 

Section D. LOST TIME
QUALIFICATIONS. Employees who are formally approved for
retirement or who are or have been on a sickness or personal leave of absence
or have lost time due to permanent lay-off, shall receive, at the time of
separation, their accumulated vacation pay for the regular hours actually paid
with 1,700 hours as the 100% basis.

 

a.         Employees
must work no less than 1,700 hours to qualify for 100% vacation time due.

 

b.         Employees
who work less than 1,700 regular work hours will have vacation time due pro-rated
with 1,700 hours as the 100% qualifying figure against their actual hours paid.

 

Section E. LOST TIME ALLOWANCES.
Deductions will not be made for lost time due to injury or disease on the job
compensable by Workers’ Compensation within the vacation year of such injury.

 

Deductions will not be made for lost time due to
military reserve duty, lost time when on union business, injury or illness as
defined by the Sickness and Accident Weekly Benefits Plan, during the vacation
year, once employees have been off work for five (5) consecutive weeks.

 

When production is suspended because of fifty percent
(50%) or more of the Plant is shutdown due to lack of orders for instruments,
employees laid off because of the Plant shutdown will be allowed an additional
160 hours credit before deductions are made.

 

ARTICLE X - UNION SECURITY

 

All employees who are
covered by the representation clause in the contract and are present members of
the Union, must as a condition of employment, remain members in good financial
standing except for assessments and fines during the life of the contract.

 

27

 

All employees hired into the bargaining unit described
in the representation clause of the contract must, as a condition of employment,
join the Union within thirty (30) days from their hiring date and remain
members in good financial standing throughout the life of the contract.

 

The Company does agree, subject to applicable Federal
and State Laws, to a voluntary check-off of Union dues, provided such voluntary
check-off authorization meets with the approval of the Company.

 

This check-off by the Company of monthly dues does not
cover any assessment over and above the mandatory monthly dues as determined by
the National Administrative Committee of the Union.

 

ARTICLE XI - MEDICAL EXAMINATION

 

Section A. INJURY REPORTING.
All employees must report all injuries when they occur to their Supervisor, so
it can be recorded and sent to the dispensary, doctors or hospital.

 

Section B. TRANSPORTATION TO
COMPANY DOCTOR. The Company will provide transportation to
and from the Company recognized Medical Facility for those employees injured on
the job when necessary on the day of the injury only.

 

Section C. LOST TIME-INJURY.
An employee will be compensated at their hourly rate for lost time on the day
of the injury when sent to Doctors or Hospital, but will not exceed past the
normal quitting time, providing a slip indicating the time lost is turned back
to their Supervisor, who will forward it to Human Resources.

 

Section D. WORKERS’ COMPENSATION.
If the treating physician for an established workers’ compensation claim
requires the employee to visit his/her office or hospital during working hours
for follow-up treatment, he/she shall be compensated for loss of time up to a
maximum of two (2) hours for each visit at their hourly rate.  However, this provision only applies to
appointments relating to treatment, or when the company requires and schedules
an independent medical exam during work hours. 
Claims in excess of this amount shall be determined between the Company
and the Union Shop Committee.

 

Should an injury not be reported as per requirements,
and a claim filed by employee, the Company has no choice but to deny such claim
at the hearing.

 

ARTICLE XII - GENERAL PROVISIONS

 

Section A. UNION ACTIVITIES.
The Company recognizes and will not interfere with the right of its employees
to become members of the Union.  The
Union agrees that neither it nor any of its officers or members will engage in
any Union activity while such employees are on Company time, unless it is
mutually agreed by the Company.

 

The Shop Steward, Departmental Stewards and Shop
Committee shall be paid at their hourly rate for all time spent in mutually
agreed upon meetings with Management during scheduled working hours.

 

In addition to pay for time spent in mutually agreed
upon meetings with Management during scheduled working hours, the Chairman of
the Shop Committee shall receive pay for up to ten (10) hours per week and the
Departmental Stewards shall receive pay for up to three (3) hours per week for
the time spent on problems arising under this Contract which affect the mutual
interest of the Union and the Company.

 

28

 

Section B. TELEPHONE USAGE.
It is agreed that the President of the Union or his representative shall have
use of the Company’s telephone at any time to consult with the UAW, or
Government agencies’ representatives in regard to matters covered by this
Agreement.

 

Section C. BULLETIN BOARDS.
Are to be used solely for the purpose of exhibiting official announcements of
the Union and the Company.  The dedicated
bulletin board for the union is to be used solely for the purpose of posting
official union business, and may not include any personal announcements or
statements.

 

Section D. REST PERIODS.
In effect during working hours and the wash-up period at quitting time shall be
continued (a constant allowance of 20 minutes per day for rest periods and
wash-up time, except for the Polishing / Buffing / Color Buffing Departments,
where an additional 5 minutes wash-up time is allowed).

 

Section E. SUPERVISORS WORKING.
No employee outside the bargaining unit shall perform any work customarily
performed by employees within the bargaining unit.  It is agreed, however, the Supervisors may
perform such work while acting as instructors or assisting in solving a
production problem.  It is further
recognized that it is part of the normal procedure of supervision to test and
inspect.  During the period in which a
shortage of staffing exists due to absenteeism or assignment of personnel to
other jobs, the Shipping Department, Maintenance and Tool Room, Machine Shop,
and Repair Department Supervisors are excluded from this limitation.

 

Section F. TEMPORARY EMPLOYEE.
Is one engaged by the Company for a definite period of time, not in excess of
ninety (90) days, to perform a specific type of work that does not occur with
regularity.  The Company agrees not to
call in temporary employees, if regular employees are available to do the work.

 

ARTICLE XIII - FRINGES AND SCOPE
OF THE AGREEMENT

 

Section A. BENEFITS.
The Company agrees to an insurance plan for its employees under a policy or
policies issued by an insurance company, association or medical group as
selected by the Company, subject to the right of the Company to amend, cancel
or reinsure the policies or change the underwriters thereof, provided the
benefits indicated herein are maintained for the life of this Agreement.

 

The Company shall afford
the employees an annual opportunity to enroll in the company sponsored
healthcare programs.

 

1.     HOSPITALIZATION
PLANS.

 

Self-Insured or Kaiser HMO
Medical Insurance. 
Effective May 1, 2005, (or the first pay cycle for each subsequent calendar year).  Spousal carve-out to apply on all plans.

 

	
  Contribution: (Per Week)

  	
   

  	
  2005

  	
   

  	
  2006

  	
   

  	
  2007

  	
   

  
	
  Kaiser
  HMO:

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Employee only:

  	
   

  	
  $

  	
  16.00

  	
   

  	
  $

  	
  21.00

  	
   

  	
  $

  	
  26.00

  	
   

  
	
  Employee and
  Family:

  	
   

  	
  $

  	
  22.00

  	
   

  	
  $

  	
  27.00

  	
   

  	
  $

  	
  32.00

  	
   

  

 

29

 

	
  Base
  Plan:

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Employee only:

  	
   

  	
  $

  	
  9.00

  	
   

  	
  $

  	
  14.00

  	
   

  	
  $

  	
  19.00

  	
   

  
	
  Employee and
  Family:

  	
   

  	
  $

  	
  25.00

  	
   

  	
  $

  	
  30.00

  	
   

  	
  $

  	
  35.00

  	
   

  

 

2.     FLEXIBLE
SPENDING ACCOUNTS: Effective May 1, 2005, (or the first pay cycle for each subsequent calendar year).

 

Healthcare:  Allows you to use before-tax dollars to pay for typical
out-of-pocket health care expenses such as deductibles, copayments, and
non-covered expenses.

 

Up to $2,500.00

 

Dependent
Care:  Allows you
to use before-tax dollars to pay for child care or for an elderly or disabled
family member.

 

Up to $5,000.00 can be
contributed if married, or up to $2,500.00 can be contributed if single.

 

3.     VISION PLAN:
Effective May 1, 2005.

 

Eye
exam and glasses or contacts every 24 months:

 

	
  Exam:

  	
   

  	
  $

  	
  35.00

  	
   

  
	
  Frames:

  	
   

  	
  $

  	
  55.00

  	
   

  
	
  Lenses:

  	
   

  	
   

  	
   

  
	
  Single:

  	
   

  	
  $

  	
  40.00

  	
   

  
	
  Bifocal:

  	
   

  	
  $

  	
  50.00

  	
   

  
	
  Trifocal:

  	
   

  	
  $

  	
  70.00

  	
   

  
	
  Lenticular:

  	
   

  	
  $

  	
  80.00

  	
   

  
	
  Contacts:

  	
   

  	
   

  	
   

  
	
  Cosmetic:

  	
   

  	
  $

  	
  105.00

  	
   

  
	
  Medical:

  	
   

  	
  $

  	
  210.00

  	
   

  

 

During the term of the
agreement, if an employee opts out of the Vision Plan, for any reason, the
employee will not be allowed to re-enroll. 
The employee will not be allowed to re-enroll unless agreed to in the
next round of negotiations.

 

	
  Contribution: (Per Week)

  	
   

  	
  2005

  	
   

  	
  2006

  	
   

  	
  2007

  	
   

  
	
  Employee only:

  	
   

  	
  $

  	
  1.00

  	
   

  	
  $

  	
  1.00

  	
   

  	
  $

  	
  1.25

  	
   

  
	
  Employee and Family:

  	
   

  	
  $

  	
  3.50

  	
   

  	
  $

  	
  3.50

  	
   

  	
  $

  	
  3.75

  	
   

  

 

4.                     DENTAL
PLAN. Effective May 1, 2005.

 

$1,000 Annual Maximum Benefits

 

	
  Preventative Services:

  	
   

  	
  100%, no deductible

  
	
  Basic Restorative:

  	
   

  	
  85%, $50 deductible

  
	
  Major Restorative:

  	
   

  	
  50%, $50 deductible

  
	
  Orthodontia:

  	
   

  	
  50%, $50 deductible,
  $1000 lifetime limit per child.

  

 

30

 

	
  Contribution: (Per Week)

  	
   

  	
  2005

  	
   

  	
  2006

  	
   

  	
  2007

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Employee only:

  	
   

  	
  $

  	
  2.50

  	
   

  	
  $

  	
  2.50

  	
   

  	
  $

  	
  2.50

  	
   

  
	
  Employee and
  Family:

  	
   

  	
  $

  	
  3.50

  	
   

  	
  $

  	
  4.00

  	
   

  	
  $

  	
  4.00

  	
   

  

 

5.  SICKNESS AND ACCIDENT WEEKLY BENEFITS.
Beginning with the first day of an accident or the eighth day of a sickness,
benefits will be payable for a maximum of 26 weeks for any one continuous
period of disability in any one year.  If
a period of illness exceeds two (2) weeks (14 days) for a non-occupational
sickness, the initial two (2) week (14 days) waiting period will be
waived.  The employee will be paid from
the first day of illness according to the following schedule:

 

$340
per week effective February 21, 2005

$345
per week effective February 20, 2006

$350
per week effective February 19, 2007

 

6.  LIFE INSURANCE. $30,000
effective February 21, 2005; to $31,000 effective February 20, 2006; $32,000
effective February 19, 2007.

 

7.  PENSION. Employees who
retired after February 16, 2000 shall receive a monthly benefit increase to
$22.00 per service year effective March 1, 2005; increase to $23.00 per service
year effective January 1, 2006. Employees who retired after February 16, 2005
shall receive a monthly benefit increase to $24.00 per service year effective
January 1, 2007.

 

Section B.  MEDICARE INSURANCE PREMIUM.  The Company will pay the entire cost for those employees covered under
Medicare Part B, reimbursing those employees on a quarterly basis.

 

Section C. RETIREE INSURANCE
PREMIUM. All payments of premium by the Company for insurance
or hospitalization for employees, retired under the provisions of the
Retirement Plan for Hourly Employees because of disability or otherwise, shall
terminate during the month following the month of retirement.

 

Section D. CLAIMS PROCESSING.
The Company shall bear all necessary administrative expenses and agrees that in
the administration of the insurance plan, all claims shall be processed as
expediently as possible.  All matters
concerning benefits provided under the insurance plan shall be governed by the
terms and conditions of the insurance policy or policies purchased by the
Company.

 

Section E. BENEFITS WAITING
PERIOD. Employees shall become eligible for sickness and
accident insurance, life insurance and hospitalization/dental coverage after
they have completed three (3) months of accumulated service, provided they are
still actively at work and have enrolled.

 

Section F. ONE MONTH LAY-OFF
CLAUSE. All insurance coverage of an employee shall be
cancelled one (1) month following the month after lay-off date.  The employee may exercise the COBRA privilege
as described in Section G of this Article.

 

Section G. COBRA.
If employment terminates for any reason other than gross misconduct, or if the
hours worked are reduced so that medical coverage terminates, the employee and
covered

 

31

 

dependents may continue
coverage under the Company plan as outlined in the Summary Plan Description,
provided the employee and dependents are not covered under any other plan.  For the purpose of this provision, “gross
misconduct” means any violation of State or Federal laws.  Any employee who elects to continue coverage
under the Plan must pay the full cost of the coverage.

 

If an employee becomes divorced or legally separated,
or if the employee’s dependent child is no longer an eligible dependent under
the plan, the employee or another family member must notify the Company within
sixty (60) days.

 

Section H. PLAN 125.
An employee may choose to have their employee contribution for
Hospitalization/Dental Coverage deducted on a pre-tax basis toward their share
of the cost of the benefits.  The
employee should refer to the Summary Plan Description of the Benefit Plan for
the Employees of Conn-Selmer, Inc. for details regarding this program.

 

Section I. JURY DUTY.
An employee who has completed his/her probationary period and who serves as a
juror during his/her regular work week, Monday to Friday, inclusive, shall be
excused from work for the days required to serve, and will be paid eight (8)
hours at average hourly earnings (excluding night shift differential) for each
day of jury service.  The employee must
present satisfactory evidence.  If an employee
works his/her regular shift in addition to performing jury duty, he/she shall
not qualify for payment under the provisions of this paragraph.

 

In order to qualify for Jury Duty pay, an employee
must present the Company with Notice to Report within two (2) working days
following receipt of such notice.

 

Section J. BEREAVEMENT PAY.
An employee who is actively on payroll and has completed his/her probationary
period will be granted as an excused absence, in case of death in his/her
immediate family and shall, following the date of death, receive three (3)
working days off with payment of his/her average hourly earnings, excluding
prior personal or sick leaves of absence. 
The members of the immediate family are considered to be father, mother,
husband, wife, brother, sister, son, daughter, mother-in-law, father-in-law,
step-parents, step-children, grandparents or your spouse’s grandparents.  Bereavement days occuring during an employees
vacation will displace vacation days (Example: 
Employee is on a two (2) week vacation and a death occurs in the
immediate family, employee returning to work as scheduled will only be charged
with seven (7) vacation days). 
Bereavement days occuring during a holiday will be taken immediately
after the holiday.

 

Section K. RE-NEGOTIATION.
It is understood and agreed between the parties hereto that all economic
issues, including, but not limited to wages and so-called fringe benefits have
been fully negotiated between the parties and shall not be subject to further
negotiation during the life of this Agreement but all other matters not
specifically set forth in this Agreement shall be subject to negotiation during
the term of the Agreement.

 

“COMPANY RULES, REGULATIONS AND
POLICIES”

 

In every business where
many people work together, some specific rules and regulations are necessary to
define acceptable conduct and to promote the smooth functioning of the business
as a whole.

 

The purpose of the
following rules is to insure all employees safety and fairness in their
cooperative effort, rather than to place restrictions on any one individual.

 

32

 

The Company feels that a great majority of its
employees want to play the game fairly and will abide by the rules where they
are known.  For this reason, we have set
forth acts of misconduct which, if committed, will result in appropriate
disciplinary action.

 

When an employee is being counseled in line with a
discipline problem, the steward will be involved at the department level and
the Chairman of the Shop Committee at the Human Resources level.

 

INFRACTIONS OF A MINOR NATURE

 

1.         Absence
without an authorized reason.

 

16-Hour
Policy:

 

a)         Accumulated
16 hours or more absence during a four (4) week period.

 

b)        Excuses
may be granted upon presentation of doctor’s report, or court order (under the
terms defined by Article II., Section E.).

 

2.         Tardiness
without an authorized reason.

 

Lateness:

 

a)         Five
(5) latenesses in a four (4) week period.

 

Late from
Lunch:

 

a)         Not
being at the work station by 11:45 a.m. will be considered late from lunch.

 

3.         Loafing,
neglect or failure to perform assigned duties.

 

4.         Improper
use of Company property.

 

5.         Violation
of safety rules.

 

6.         Failure
to be in assigned area or at station at required time.

 

7.         Leaving
Department or job prior to authorized time.

 

8.         Leaving
Department to use phone without obtaining required pass.

 

9.         Creating
or contributing to unhealthful or unsanitary condition, or displaying signs,
obscene pictures or literature or distributing them.

 

10.       Neglect
of duty or failure to meet reasonable measure of efficiency or productivity or
negligence resulting in inferior work, scrap, or waste.

 

11.       Running
or in any other way creating a condition hazardous to the individual or fellow
employee.

 

12.       Failure
to wear assigned safety garments or use of assigned safety equipment.

 

13.       Solicitation
of employees for donations or memberships in outside organizations, circulation
of petitions or magazines in the Plant area without specific approval of the
Human Resources Department.

 

14.       Being
in an area unauthorized in the Plant or on Plant property.

 

15.       Gambling
of any type.

 

16.       Changing
a certain phase of a set operating procedure without proper authorization.

 

17.       Posting
of notices or signs or writing in any form on official bulletin boards or
removal of approved notices without approval of the Human Resources Department.

 

18.       Leaving
the Plant at break or lunch period and not returning without permission or
notification.

 

19.       Entering
or leaving the Plant by other than the authorized area assigned.

 

33

 

20.       Subtle
forms of harassment, intimidation, or inappropriate language or behavior.

 

21.       Smoking
in non-designated, low fire hazard areas.

 

22.       Failure
to enter or improper entering of labor reporting.

 

ANY
EMPLOYEE COMMITTING ANY OF THE

 

ABOVE
OFFENSES is subject to:

 

1st offense - written warning

 

2nd offense - written warning

 

3rd offense - written warning with counseling with
Department Steward.

 

4th offense - written warning with counseling with
Chief Shop Steward.

 

5th offense - dismissal

 

All warnings will remain in effect twelve (12) months
from time of infraction.

 

INFRACTIONS OF A MAJOR NATURE

 

1.         Excessive Absenteeism:

 

a)         Includes
the following missed work time:

 

•          60 hours
accumulated lost time per three (3) months includes:

 

•          Out Early,
excused and unexcused

 

•          Absences,
excused and unexcused

 

•          All
latenesses

 

•          Leave of
absences, personal/medical/FMLA, if approved will not count toward hours
included under the Excessive Absentee Policy.

 

1st Offense - Written
warning with counseling by Human Resources

 

2nd Offense - Written
warning with three (3) days suspension

 

3rd Offense – Dismissal

 

All warnings will remain
in effect until the one (1) year anniversary date from the date of infraction.

 

2.         Insubordination
(willful disobedience of authority).

 

3.         Theft.

 

4.         Bringing,
having or consuming intoxicating beverages or narcotics in the Plant or on
Plant property.

 

5.         Smoking
in high fire hazard areas (Department(s) 50, 51, 52, 55, Oil Room, Truck Docks,
Warehouse, and Hazardous Waste Storage Area).

 

6.         Willful
damage to or unauthorized removal or appropriation of or defacing property
belonging to the Company or another employee.

 

7.         Walking
off the job.

 

8.         Punching
another employee’s time card in or out resulting in pay for time not worked.

 

9.         Falsification
of personnel records.

 

10.       Possession
of firearms or any type of weapon on company property.

 

11.       Physical
violence, aggressive retaliatory actions, verbal threats, patterns of continued
intentional harassment, sexual harassment, or any serious violation of
discrimination laws.

 

34

 

12.       Flagrant
violation or reckless disregard of any safety rule or policy which places the
employee or others in danger.

 

13.       Being
on company property while under the influence of alcohol, or any other illegal
or controlled substance.

 

ANY
EMPLOYEE COMMITTING ANY OF THE ABOVE OFFENSES IS SUBJECT TO

DISCIPLINE UP TO AND INCLUDING DISCHARGE.

 

ARTICLE XV - DURATION OF
AGREEMENT

 

Section A.  The Union and the Company mutually agree that
all of the provisions of the Agreement shall remain in full force and effect
without change up to and including February 15, 2008, unless changes by mutual
agreement and shall continue from year to year thereafter unless at least sixty
(60) days prior to February 15, 2008, or sixty (60) days prior to any
anniversary date thereafter, either party notifies the other, in writing of its
desire to terminate, modify, or change the Agreement.

 

Section B. RETIREMENT AGREEMENT.
It is agreed that all the provisions of the Retirement Agreement for Hourly
Employees will be continued to February 15, 2008, in order to coincide with the
expiration of that Contract.

 

IN WITNESS WHEREOF, the
parties have executed the foregoing Agreement this 21st day of
February, 2005.

 

U.A.W. LOCAL 2359

Robert A. Brown

Bryant Harvey

Rory Krause

Randol G. Lang

Jack Carlos Swanson

 

INTERNATIONAL
REPRESENTATIVE OF U.A.W.

Linda K. Romanik

 

CONN-SELMER, INC.

Michelle C. Hammer

Linda Iliano

Robert R. Stone

Richard J. Vacha

David B. Woodruff

 

MEMORANDUM OF AGREEMENT

 

Effective February 17,
1997, by mutual consent, the job classifications for Polisher (5A41) and Buffer
(5A42) will be recognized as separate jobs from this day forward.  All previous related

 

35

 

memorandums of agreement
will be considered null and void, and will not be recognized from this day
forward.  This agreement does not change
any portions of the current bargaining agreement, nor does it change any other
established employment practice not specifically discussed.

 

MEMORANDUM OF AGREEMENT

 

Effective February 17,
1997, by mutual consent, the overtime hours for a five (5) hour Saturday
clean-up schedule, within departments 50 and 52, will be rotated between those
that volunteer for the available positions. 
Only employees from departments 50, and 52 will be eligible to volunteer
for the available positions.  The set
positions on this clean-up crew will be assigned by the company.

 

This policy will not
apply to a three (3) hour Saturday clean-up schedule within departments 50, and
52, or to any other overtime schedule in other areas of the shop.

 

This agreement does not
change any portions of the current bargaining agreement, nor does it change any
other established employment practice not specifically discussed.

 

Letter of Understanding:

 

In the event the company
determines to outsource or subcontract work performed at the facility, it will
meet with the union to discuss the matter further.  While the company will endeavor to preserve
work at the facility, all outsourcing or subcontracting options will only be
used to improve the competitiveness of student trumpets, student cornets, and
student trombones, and also specifically the 3⁄4 Baritone (Model 623).  Other instruments may be added with mutual
agreement with the company and the union.

 

Letter of Understanding:

 

The cost of “emergency”
medical treatment, for what was considered to be a “certified” work related
incident, that was later denied payment by the OBWC and the employee’s medical
insurance, will be reimbursed by the company. 
“Non-emergency” injuries or illnesses, that may not be work related, or
that will not be granted “certification” by the company, will be referred to
the employee’s physician; and, if denied will not be eligible for
reimbursement.

 

36

 

Letter of Understanding:

 

In the event the company
determines to insource production operations normally performed at other
manufacturing facilities, or develop and refine production operations for other
manufacturing facilities, these same operations will not be construed as
permanently assigned to this manufacturing facility.  This understanding, under these terms,
permits the company to restore, implement, or move these same production
operations to other alternative manufacturing facilities.

 

Letter of Understanding:

 

An employee promoted to a
supervisory or managerial position, or appointed or elected to an assignment
with the international union, shall be granted such leave, and shall be
guaranteed reemployment in the same or like position, in line with his or her
seniority at the prevailing rate of pay. 
Seniority shall accumulate during such leaves; however, all benefits
provided under the terms of this collective bargaining agreement shall
terminate effective with the commencement of the said leave, and shall
reinstate upon return from said leave (based upon the benefit levels, plans,
and contributions in effect at that time). 
Return rights, for either assignment, will be limited to one occurrence
per individual for future leave requests. 
Any current leaves will not be accommodated under these defined terms.

 

Letter of Understanding:

 

The company agrees to
maintain the payroll cycle on a weekly basis, and to provide continued access
to direct deposit.  Voluntary, after-tax
deductions may be combined with the normal union dues deduction (when processed
each month).  Any additional, voluntary
after tax deductions must be summarized and submitted with the monthly union
dues check-off list.

 

Letter of Understanding

 

Employees, asked to
perform work on regularly scheduled holidays, will postpone holiday pay to an
equivalent number of additional personal holiday(s).  Any additional personal holidays, accumulated
in this manner, will be subject to the same defined terms as identified under
Article VII., Section C., d., #3.

 

Letter of Understanding

 

Employees that were previously
disqualified from the job being recalled, will be bypassed, and will retain
their relative position on the recall list. 
Internal job bids will only be compared to the relative seniority,
qualifications, and job factors that are presented by the next employee
eligible for recall from the layoff list.

 

37

 

Letter of Understanding

 

During the term of this
agreement, if the company should permanently close the Eastlake Facility or if
the company should take action resulting in the permanent displacement of at
least 25% of the employees actively working as of February 15, 2005, upon
request by the union the company will engage in negotiations with the union
over the effects of permanent closure or permanent displacement on those
affected employees.

 

Letter of Understanding

 

The company has reviewed
the feasibility of installing showers for the polishing, buffing, and color
buffing departments and has agreed to install three (3) showers within one (1)
of the existing restrooms.

 

Letter of Understanding

 

To better facilitate lean
manufacturing in the rough assembly departments the company and union have
agreed to combine Departments 35 and 38.

 

Letter of Understanding

 

The company has agreed to
conduct periodic air quality monitoring of the Eastlake facility.

 

Letter of Understanding

 

In an endeavor to
improve quality, the company and the union have agreed to develop a response
team(s) to address issues impacting / impeding the facility in meeting
production requirements.

 

38

 

U.A.W. LOCAL 2359

 

 

	
  /s/ Robert A. Brown

  	
   

  	
  /s/ Bryant Harvey

  	
   

  
	
  Robert A. Brown

  	
  Bryant Harvey

  
	
   

  	
   

  
	
   

  	
   

  
	
  /s/ Rory Krause

  	
   

  	
  /s/ Randol G. Lang

  	
   

  
	
  Rory Krause

  	
  Randol G. Lang

  
	
   

  	
   

  
	
   

  	
   

  
	
  /s/ Jack Carlos Swanson

  	
   

  	
   

  
	
  Jack Carlos Swanson

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  INTERNATIONAL
  REPRESENTATIVE OF U.A.W.

  
	
   

  	
   

  
	
   

  	
   

  
	
  /s/ Linda K. Romanik

  	
   

  	
   

  
	
  Linda K. Romanik

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  CONN-SELMER,
  INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
  /s/ Michelle C. Hammer

  	
   

  	
  /s/ Linda Iliano

  	
   

  
	
  Michelle C. Hammer

  	
  Linda Iliano

  
	
   

  	
   

  
	
   

  	
   

  
	
  /s/ Robert R. Stone

  	
   

  	
  /s/ Richard J. Vacha

  	
   

  
	
  Robert R. Stone

  	
  Richard J. Vacha

  
	
   

  	
   

  
	
   

  	
   

  
	
  /s/ David B. Woodruff

  	
   

  	
   

  
	
  David B. Woodruff

  	
   

  

 

39

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