EXHIBIT 10.13
ARTICLES OF AGREEMENT
BETWEEN
STERLING CHEMICALS, INC.
ITS SUCCESSORS AND ASSIGNS
AND
TEXAS CITY, TEXAS
METAL TRADES COUNCIL, AFL-CIO
TEXAS CITY, TEXAS
SEPTEMBER 28, 2002
TO
MAY 1, 2004
INDEX
PARAGRAPH
---------
Signatory Unions.............................................. 1
Basic Principles.............................................. 2
Union Recognition............................................. 3
Bargaining Union Defined...................................... 3
ARTICLE 29 ABROGATION OF CONTRACT ARTICLES............................... 69
ARTICLE 28 ARBITRATION PROCEDURE
Appealed Grievance Time Length........................... 68 b)
Arbitration Expenses..................................... 68 c)
Arbitrator Authority..................................... 68 d)
Length of Time to Arbitrate.............................. 68 a)
Time Limit Failure....................................... 68 e)
ARTICLE 22 BULLETIN BOARDS............................................... 62 a)
ARTICLE 23 COMPANY RULES................................................. 63 a)
ARTICLE 32 CONTRACT PERIOD............................................... 80 a) thru d)
ARTICLE 11 CONTRACT WORK
Utilizing Independent Contractors........................ 42 a)
ARTICLE 14 DISCRIMINATION
Charges of Discrimination................................ 45 b)
ARTICLE 17 ELECTION DAY REGULATIONS
Election Judge........................................... 52 b)
Employees Time off to Vote............................... 52 a)
ARTICLE 25 FUNERAL LEAVE
Funeral Leave............................................ 65 a) & b)
Funeral Leave while on Vacation.......................... 65 c)
Pallbearer............................................... 65 g)
Proof of Relationship.................................... 65 f)
ARTICLE 27 GRIEVANCE PROCEDURE AND DISCIPLINE RECORDS
Discharge Grievance Process.............................. 67 c) thru e)
Grievance Lapse Time..................................... 67 a) 1)
Grievance Time Limit Exceptions.......................... 67 f)
Length of Time to Answer Grievance....................... 67 a) 6)
Letters of Reprimand..................................... 67 g) & h)
PUC Meeting Membership................................... 67 b)
Sick Pay Benefit Grievance............................... 67 a) 5)
Step 1 - Grievance Procedure............................. 67 a) 2)
Step 2 - Grievance Procedure............................. 67 a) 3)
Step 3 - Grievance Procedure............................. 67 a) 4)
ARTICLE 3 HOURS OF WORK
Dentist/Doctor Appt. 3 Hrs Unpaid........................ 13 f)
Hours of Work - Maintenance.............................. 12 a) thru c)
Hours of Work - Groups 1, 2, & 4......................... 11 a) thru b)
Normal Workweek.......................................... 13 d)
Schedule Less than 40 Hours Inadvertently................ 13 e)
Shift Work Scheduling (when deemed necessary)............ 13 a) & d)
i
INDEX
PARAGRAPH
---------
ARTICLE 16 JURY SERVICE
Afternoon Court Appearance............................... 49 a) & 51 a)
Morning Court Appearance................................. 48 a)
Proof of Service......................................... 50 a)
ARTICLE 19 LAYOFF NOTICE - SEPARATION ALLOWANCE
Eligibility for Separation Allowance..................... 57 a) & b)
Labor Dispute Lay Off.................................... 54 c)
Lay Off Notice........................................... 54 a) thru b)
Lay Off Separation Allowance............................. 55 a)
Method of Payment of Separation Allowance................ 56 a) thru d)
ARTICLE 20 LEAVE OF ABSENCE
Leave of Absence for Personal Reasons.................... 58 a)
Leave of Absence for Union Conventions................... 58 b)
Leave of Absence to Accept Employment with
the Union............................................ 58 c)
Leave of Absence For Newborn Child....................... 58 d)
Public Office Appointment................................ 58 e)
ARTICLE 1 MANAGEMENT RIGHTS............................................. 5
ARTICLE 30 OCCUPATIONAL & NON-OCCUPATIONAL ACCIDENT AND SICKNESS PLAN
Benefit Amount........................................... 73 b)
Benefit Payment.......................................... 73 a)
Benefits Based on Normal Workweek........................ 72 a)
Benefits during Vacation................................. 78 a) & b)
Benefits during Work Stoppage............................ 77 a)
Benefits while on Probation.............................. 73 c)
Duration of Benefits..................................... 71 a) thru c)
Exclusion from Benefit................................... 73 a) thru b)
Late Report of Occupational Disability................... 74 c)
Plant Service Credit..................................... 70 b)
Proof of Disability...................................... 74 a)
Reporting Absences....................................... 74 b)
Sick Pay................................................. 70 a)
Withholding Benefit Payment.............................. 76 a)
ARTICLE 4 OVERTIME AND PREMIUM TIME REGULATIONS
Bypassing (Scheduling Overtime).......................... 22 a) thru c)
Call-outs................................................ 15 a)
Holiday - (No Work No Pay)............................... 16 d) 4)
Holiday Pay.............................................. 16 a) thru d)
Holidays................................................. 16 a)
Maintenance Overtime..................................... 23 a) thru f)
Overtime Equalization.................................... 18 a)
Overtime Meals........................................... 19 a) thru c)
Overtime Premium......................................... 14 a) thru d)
Shift Differential....................................... 20 a)
Transportation Due To Overtime........................... 21 a)
ii
INDEX
PARAGRAPH
---------
ARTICLE 12 PAY DAY
Pay Day.................................................. 43 a)
Pay Errors Less or More than 8 Hours..................... 43 d)
Paychecks Direct Deposit................................. 43 b)
ARTICLE 13 PHYSICAL EXAMINATIONS
Employees Physically Unfit to Perform in Assigned
Classification....................................... 44 c)
New Hire Physicals....................................... 44 a)
Periodic Examinations of Employees....................... 44 b)
X-rays................................................... 44 e)
ARTICLE 24 PRODUCTIVITY STATEMENT........................................ 64 a) thru d)
ARTICLE 18 REPLACEMENT OF CLOTHING
Clothes Damaged.......................................... 53 a)
ARTICLE 21 SANITATION AND SAFETY
Clip-On Glasses.......................................... 60 g)
Colored Safety Glasses - Operating Engineers............. 60 b)
Commercial or Chauffeur's License - Operating Engineers.. 59 a)
Eye Exam Payment......................................... 60 c)
Non-Prescription Safety Sunglasses....................... 60 d)
Postponing Job for Safety Reasons........................ 59 b)
Prescription Glasses for Welders ........................ 60 f)
Prescription Safety Glasses.............................. 60 a)
Safety Shoes............................................. 61 a)
ARTICLE 6 SENIORITY
Bidding - Apprenticeship Program......................... 33 g)
Bidding - Bidding Rules.................................. 33 c)
Bidding - No Qualified Bidders........................... 33 f)
Bidding - Selection of Job Posting Bidders............... 33 b)
Grievances - Seniority................................... 37 a)
Job Bidding.............................................. 33 a)
Job Posting.............................................. 33 a) 1)
Layoffs.................................................. 35 a) thru e)
Rehiring................................................. 36 a) thru b)
Seniority - Four Types................................... 25 b)
Seniority - Promotions................................... 32 a) & b)
Seniority (Military Service)............................. 28 d)
Seniority (Probationary Period).......................... 26 a) & 28 a)
Seniority (Promoted to Supervision--Permanent or
Temporary)........................................... 28 b) & c)
Seniority Consolidation of Departments................... 31 a)
Seniority Definition of Group. Dept., & Maintenance...... 25 c)
Seniority Draw........................................... 26 c)
Seniority for Straight Day Employment.................... 26 b)
Seniority is Equal ...................................... 26 d)
Seniority List .......................................... 27 a)
Seniority Lost........................................... 29 a)
Seniority Unbroken....................................... 30 a)
Transfers - General Mechanic............................. 34 c)
Transfers - Operating Unit Reduced Operation or Shut Down 34 b)
Transfers - Stores Employees............................. 34 d)
Transfers of Surplus Group 1 employees................... 34 a)
iii
INDEX
PARAGRAPH
---------
ARTICLE 9 STAFFING OF NEW UNITS......................................... 40
ARTICLE 10 STEWARDS
Department Designation................................... 41 a)
▇▇▇▇▇▇▇ (Benefits)....................................... 41 e)
▇▇▇▇▇▇▇ (Disciplinary Action)............................ 41 d)
ARTICLE 26 STRIKES AND LOCKOUTS.......................................... 66 a) thru e)
ARTICLE 7 SUPERVISORS DOING HOURLY WORK................................. 38 a) & b)
ARTICLE 15 UNION REPRESENTATIVES......................................... 46 a)
ARTICLE 2 UNION SECURITY
Dues Check Off........................................... 6 a)
Dues Check Off Cancellation.............................. 7 a) & 8 a)
thru c)
Dues Payment to Signatory Unions......................... 9 a) & b)
ARTICLE 5 VACATION
Bank Days - Vacation..................................... 24 k)
Choice Designation - Vacation............................ 24 j)
Credit Accumulation...................................... 24 b)
Hold Over - Vacation..................................... 24 o) thru q)
Military Service - Vacation ............................. 24 r)
Seniority/Preference - Vacation.......................... 24 i)
Sick Leave - Vacation ................................... 24 s)
Vacation (Dismissal or Voluntary Separation)............. 24 t)
Vacation (Resigns Without Notice Or Discharged for
Cause)............................................... 24 u)
Vacation Accrual Year Cutoff............................. 24 z)
Vacation Back-to-Back.................................... 24 y)
Vacation Falls on Holiday................................ 24 v) thur w)
Vacation Pay - Computed ................................. 24 g)
Vacation Period.......................................... 24 h)
Vacation Splits.......................................... 24 l)
Vacation Transfers Between Groups or Crafts.............. 24 x)
Vacations 5, 10, 20 & 30................................. 24 c) thru f)
Vacations less than 5 years & probationary period)....... 24 a)
ARTICLE 31 WORK ASSIGNMENTS.............................................. 79 a) thru c)
ARTICLE 8 WORK CLASSIFICATIONS - TEMPORARY
VACANCIES..................................................... 39 a) thru c)
iv
PAGE NO.
--------
EXHIBIT A 12 HOUR SHIFT AGREEMENT....................................... 43 thru 58
Day Jobs................................................. 44
Extra Operators.......................................... 44
Wages.................................................... 44
Employee Benefit Plans, SIP, Pension, Life Insurance
and Disability....................................... 45
Overtime................................................. 45 thru 47
Mandatory Overtime Procedure............................. 47
Charging of Overtime..................................... 47
Hours of Work............................................ 47
Overtime and Holidays.................................... 48 thru 49
Holiday and Holiday Pay.................................. 48
Shift Differential....................................... 49
Vacation................................................. 50 & 51
Seniority................................................ 51
Jury Service............................................. 51
Funeral Leave............................................ 51
Occupational & Non-Occupational Accident and Sickness
Plan................................................. 52
Wage Adjustment.......................................... 52 thru 57
Interpretation of Attachment E........................... 58
EXHIBIT B WAGE RATES.................................................... 59
EXHIBIT C CHEMICAL PROCESS OPERATOR APPRENTICESHIP STANDARDS &
AGREEMENTS.................................................... 61 thru 72
Required Hours........................................... 69
MAINTENANCE APPRENTICESHIP
STANDARDS & AGREEMENTS........................................ 73 thru 87
Required Hours........................................... 78 thru 83
EXHIBIT D EMPLOYEE BENEFITS............................................. 89-90
RETURN TO WORK AGREEMENT 91-97
NO JURISDICTION SUPPORTING INFORMATION 98
v
CONTENTS
Page No.
--------
ARTICLE 1 MANAGEMENT RIGHTS 2
ARTICLE 2 UNION SECURITY 3
ARTICLE 3 HOURS OF WORK 4
ARTICLE 4 OVERTIME AND PREMIUM TIME REGULATIONS 6
ARTICLE 5 VACATION 10
ARTICLE 6 SENIORITY 13
ARTICLE 7 SUPERVISORS DOING HOURLY WORK 21
ARTICLE 8 WORK CLASSIFICATIONS - TEMPORARY VACANCIES 21
ARTICLE 9 STAFFING OF NEW UNITS 21
ARTICLE 10 STEWARDS 22
ARTICLE 11 CONTRACT WORK 22
ARTICLE 12 PAY DAY 23
ARTICLE 13 PHYSICAL EXAMINATIONS 23
ARTICLE 14 DISCRIMINATION 24
ARTICLE 15 UNION REPRESENTATIVES 24
ARTICLE 16 JURY SERVICE 24
ARTICLE 17 ELECTION DAY REGULATIONS 25
ARTICLE 18 REPLACEMENT OF CLOTHING 26
ARTICLE 19 LAYOFF NOTICE - SEPARATION ALLOWANCE 26
ARTICLE 20 LEAVE OF ABSENCE 28
ARTICLE 21 SANITATION AND SAFETY 29
ARTICLE 22 BULLETIN BOARDS 30
ARTICLE 23 COMPANY RULES 30
ARTICLE 24 PRODUCTIVITY STATEMENT 31
ARTICLE 25 FUNERAL LEAVE 31
ARTICLE 26 STRIKES AND LOCKOUTS 32
ARTICLE 27 GRIEVANCE PROCEDURE AND DISCIPLINE RECORDS 33
ARTICLE 28 ARBITRATION PROCEDURE 35
ARTICLE 29 ABROGATION OF CONTRACT ARTICLES 36
ARTICLE 30 OCCUPATIONAL & NON-OCCUPATIONAL ACCIDENT AND SICKNESS PLAN 36
ARTICLE 31 WORK ASSIGNMENTS 39
ARTICLE 32 CONTRACT PERIOD 40
EXHIBIT A 12 HOUR SHIFT AGREEMENT 43
EXHIBIT B WAGE RATES 59
EXHIBIT C CHEMICAL PROCESS OPERATOR APPRENTICESHIP STANDARDS & AGREEMENT 61
MAINTENANCE APPRENTICESHIP STANDARDS & AGREEMENT 73
EXHIBIT D EMPLOYEE BENEFITS 89
RETURN TO WORK (RTW) AGREEMENT 91
EMPLOYEE RECEIPT / ACKNOWLEDGEMENT FOR RTW AGREEMENT 97
NO JURISDICTION SUPPORTING INFORMATION 98
i
ARTICLES OF AGREEMENT
BETWEEN
STERLING CHEMICALS, INC.
ITS SUCCESSORS AND ASSIGNS
AND
THE TEXAS CITY, TEXAS METAL
TRADES COUNCIL, AFL-CIO
OF TEXAS CITY, TEXAS
1 This agreement is made between Sterling Chemicals, Inc., its
successors and assigns, authorized to do business in Texas,
hereinafter referred to as the COMPANY, and the Texas City, Texas
Metal Trades Council, AFL-CIO, of Galveston County, Texas, hereinafter
referred to as the UNION. It is agreed by the following unions
signatory to this Agreement that said Council is their authorized
representative for the purpose of negotiating and administering this
Agreement and for the purpose of modifying, amending, or waiving any
of the provisions of this Agreement:
Electrical Workers Local No. 527
Operating Engineers No. 347
Painters and Paperhangers No. 1008
Bridge, Structural, Ornamental & Reinforcing Iron Workers
No. 135
International Association of Machinists No. 6
Sheet Metal Workers ▇▇. ▇▇
▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇ ▇▇. ▇▇▇
Carpenters Local No. 973
International Brotherhood of Boilermakers, Iron Ship
Builders, Blacksmiths, Forgers and Helpers No. 132
Heat & Frost Insulators and Asbestos Workers ▇▇. ▇▇
▇▇▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇ ▇▇. ▇▇▇
Operating Engineers No. 450
BASIC PRINCIPLES
2 The COMPANY and the UNION have a common and sympathetic interest in
the progress of industry. Therefore, a working system and harmonious
relations are necessary to improve the relationship between the
COMPANY and the UNION, and the Public. Progress in industry demands a
mutuality of confidence between the COMPANY and the UNION. All will
benefit by a continuous peace and by adjusting any differences by
rational, common sense methods. The purpose of this Agreement is to
establish harmonious relations for the advancement of the mutual
interest of the parties in continuing and improving the manufacture
and production of products at said Texas City plant. The COMPANY and
UNION agree that they will not discriminate in any manner against any
employee because of race, color, religion, age, sex, national origin,
disability or veteran status. It is the understanding of the parties
to this agreement that any reference in said agreement to the
masculine gender is understood to also include those employees of the
feminine gender. Now, therefore, in consideration of the mutual
promises and agreements herein contained, the parties hereto agree as
follows:
RECOGNITION
3 The COMPANY hereby recognizes the Texas City, Texas Metal Trades
Council as the exclusive bargaining agency for all production and
maintenance employees, but excluding supervisory, technical, clerical,
plant protection employees with respect to rates of pay, wages, hours
of work, and other conditions of employment. Supervisory employees, in
the Production and Maintenance Departments, are those who are above
the classification listed in Exhibit B, a part of this contract.
SCOPE OF AGREEMENT
4 This Agreement constitutes the sole and entire Agreement between the
parties. It supersedes all prior Agreements, oral or written, and
expresses all obligations of or restrictions imposed on the respective
parties during its term. The waiver of any breach, term, or condition
herein by Sterling shall not constitute a precedent for future waiver
of any breach, term, or condition.
ARTICLE 1
MANAGEMENT RIGHTS
5 a) Except as expressly modified by a specific provision of this
Agreement, all the authority, rights, and powers which the
COMPANY had prior to the signing of this Agreement are retained
by the COMPANY and remain exclusively and without limitation the
rights of management. Only express modifications contained in
specific provisions of this Agreement constitute limitations upon
such authority, rights, and powers.
b) The Union recognizes that the Employer has the right, on its own
initiative, to perform any function of management at any time, so
long as it does not violate any express provision of this
Agreement.
c) The following acts are functions of management:
1) Those acts which are not within the area of collective
bargaining as required by the National Labor Relations Act;
2) Those acts which are usually exercised by other employers;
and
3) Those acts which management should exercise in order to
properly manage the business.
2
ARTICLE 2
UNION SECURITY
6 SECTION 1
a) The COMPANY agrees to honor check-off cards signed by individual
employees, on forms agreed to by the COMPANY and the UNION, which
authorize the COMPANY to deduct from the employee's first
paycheck each month the regular monthly UNION dues of the
employee, or initiation fees as may be authorized by the
employee.
b) The COMPANY agrees to notify the UNION of all newly employed
personnel covered by this Agreement. Such notice shall be in
writing and shall state the name of the employee, their
classification, their date of hire, their address and telephone
number.
7 SECTION 2
a) Check-off authorizations now in effect shall become irrevocable
in accordance with the terms of Section 3 of this article unless
written notice of revocation from the employee is received by the
COMPANY within the fifteen (15) day period prior to the
expiration date of this Agreement. A notice of this provision
will be posted by the COMPANY and the UNION.
8 SECTION 3
a) Check-off authorizations shall be irrevocable for the period of
one (1) year, or until the termination of the Agreement,
whichever occurs sooner. It is further agreed that this
authorization shall be automatically renewed, and shall be
irrevocable for successive periods of one (1) year each unless
written notice by registered mail of revocation from the employee
is received by the COMPANY not more than twenty (20) days nor
less than ten (10) days prior to the expiration of each period of
one (1) year.
b) Employees withdrawing from a signatory union may cancel their
dues deduction authorization at any time by serving notice by
letter to the COMPANY canceling such authorization along with
letters of approval from the UNION and the signatory union to
which the dues and initiation fees were to be forwarded.
c) Employees who, as a result of a change in job assignment,
transfer from one signatory union to another signatory union, may
cancel any prior dues deduction authorization by submitting to
the COMPANY a new dues deduction authorization. Such new
authorization must be transmitted through the signatory union or
its designated representative.
9 SECTION 4
a) Money deducted from paychecks as authorized herein for employees
bargained for by
3
the UNION will be forwarded to each individual union signatory to
the Agreement. The UNION will furnish the COMPANY a list of
signatory unions showing the address and the individual to whom
the check should be forwarded and the regular monthly union dues
of each Union. This check will be forwarded not later than the
20th of the month in which the money is deducted, along with a
summary sheet in duplicate showing the name of each employee from
whose paycheck dues and initiation fees were deducted and the
amount deducted.
b) In the event a signatory union ceases to be affiliated with UNION
for any reason, and UNION officially notifies COMPANY of same,
the authorization of employees for deductions of dues and
initiation fees for such Union whose affiliation with UNION has
ceased, shall be immediately and automatically revoked and any
monies deducted from checks of said employees and held by the
COMPANY will be refunded to the employee from whose check the
deduction was made.
10 SECTION 5
a) In the event applicable laws governing union security are
liberalized to the extent that they allow a Maintenance of
Membership clause, the COMPANY agrees to meet with the UNION at
that time and agree on the terms of a Maintenance of Membership
clause.
ARTICLE 3
HOURS OF WORK
11 SECTION 1 - ALL EMPLOYEES IN SENIORITY GROUPS 1, 2 AND 4
a) The period of time from 6:30 a.m. to 6:30 a.m. the following day
shall constitute a payroll day for all employees in the seniority
groups above. The period of time composed of seven (7)
consecutive payroll days, extending from 6:30 a.m. Monday to 6:30
a.m. the following Monday, shall constitute a regular work week
at this plant for all employees in the seniority groups above.
b) The hours of work shall be as follows:
1) DAY WORKERS - Eight (8) consecutive hours of work per day,
exclusive of a thirty (30) minute lunch period, shall
constitute a day's work. Hours of work shall be from 6:30
a.m. to 3:00 p.m. Employees will begin their unpaid thirty
(30) minute lunch period during a one and a half (1.5) hour
window beginning four (4) hours after the start of the
shift. If the lunch break starts after the window for work
related reasons, the employee will be paid the appropriate
overtime rate for the lunch period.
2) EIGHT HOUR SHIFT WORKERS - Eight (8) consecutive hours of
work per day shall constitute a day's work. Five (5) eight
(8) hour shifts in any one workweek shall constitute a
week's work. Shifts shall normally be from 6:30 a.m. to 2:30
p.m., 2:30 p.m. to 10:30 p.m., and 10:30 p.m. to 6:30 a.m.
Shift workers will be permitted sufficient time to eat
during their shift without loss of pay for such period.
4
3) 12-HOUR SHIFT WORKERS - Terms of the 12-Hour Shift Agreement
are included in Exhibit A of this Agreement.
12 SECTION 2 - ALL EMPLOYEES IN THE MAINTENANCE CRAFTS SENIORITY
a) The period of time from 7:30 a.m. to 7:30 a.m. the following day
shall constitute a payroll day for all employees in the seniority
groups above.
b) The period of time composed of seven (7) consecutive payroll
days, extending from 7:30 a.m. Monday to 7:30 a.m. the following
Monday, shall constitute a regular work week at this plant for
all employees in the seniority groups above.
c) The hours of work shall be as follows:
1) DAY WORKERS - All Employees in the Maintenance Crafts
Seniority - Eight (8) consecutive hours of work per day,
exclusive of a thirty (30) minute lunch period, shall
constitute a day's work. Hours of work shall be from 7:30
a.m. to 4:00 p.m. Employees will begin their unpaid thirty
(30) minute lunch period during a one and a half (1.5) hour
window beginning four (4) hours after the start of the
shift. If the lunch break starts after the window for work
related reasons, the employee will be paid the appropriate
overtime rate for the lunch period.
2) SHIFT WORKERS - Maintenance employees assigned to shifts
will be permitted sufficient time to eat during their shift
work without loss of pay for such period.
13 SECTION 3
a) Employees may be scheduled as shift workers if and when required
in the operation of the plant, and when so working, shall be
governed by the above conditions relating to a shift worker.
b) Straight day Maintenance employees temporarily assigned to shift
work, when being reassigned to straight days, will normally be
reassigned at the beginning of the work week.
c) Special shift schedules and start/stop times to support
non-routine operations, shutdowns, turnarounds and emergency
situations will be determined by management after consultation
with the UNION.
d) The normal workweek shall consist of forty (40) hours of work and
the normal workday of eight (8) hours of work providing work is
available.
e) In the event an employee is inadvertently scheduled for less than
the normal workweek, the employee will be allowed to make up the
difference after reporting the discrepancy to
5
supervision. The employee will be allowed to make up such
difference only to the point where their earnings equal the
straight time earnings for a normal workweek.
f) An employee may be excused without pay for a period up to three
(3) hours at the beginning or end of the day shift, Monday
through Friday (except holidays falling Monday through Friday)
for the purpose of a doctor or dentist appointment. Such excuse
will be granted if it is scheduled with enough advance notice so
that proper relief can be scheduled and the absence does not
impair plant operations.
ARTICLE 4
OVERTIME AND PREMIUM TIME REGULATIONS
14 Section 1
a) An employee shall be paid at the rate of one and one-half
(1-1/2) times his regular rate for all hours worked by him in
excess of eight (8) in any one (1) day consisting of the
twenty-four (24) hour period beginning when an employee begins
to work or report for work in accordance with instructions,
which ever is earlier.
b) An employee shall be paid at the rate of one and one-half (1-1/2)
times his regular rate for all hours worked by him in excess of
forty (40) in any workweek.
c) Time and one-half (1-1/2) shall be paid for the first 8-hour
period worked following a change of schedule unless the employee
is given at least thirty-six (36) hours notice in advance of the
beginning of his newly assigned hours. For the purpose of
computing weekly overtime, hours for which premium pay is payable
under the provisions of this paragraph will not be counted in the
total hours worked by an employee in a given workweek.
d) When an employee works a minimum of 8 hours on all their
scheduled days of rest within a payroll week, they will be paid
for all hours worked on the last day of rest at the rate of two
(2) times their base rate of pay.
15 SECTION 2 - CALL-OUTS
a) An employee called-out for work with less than 4 hours notice
outside his regular schedule shall be paid for the actual time
worked at not less than one and one half (1-1/2) times his
straight time rate if the length of the assignment is 2.5 hours
or greater. If the assignment is less than 2.5 hours in duration
and the call-out work does not immediately precede or immediately
follow his regularly scheduled work period, he shall receive the
equivalent of four hours times his straight time rate.
b) The COMPANY shall have the right to institute an on-call system
for calling out and contacting employees.
6
16 SECTION 3 - HOLIDAYS
a) Two and one-half times will be paid for work performed on the
following holidays: New Year's Day, President's Birthday, Good
Friday, Easter Sunday, Memorial Day, Independence Day, Labor Day,
Thanksgiving Day, Friday after Thanksgiving Day, Christmas Eve
and Christmas Day.
b) FOR DAY WORKERS: If any of these holidays fall on a Sunday, the
Monday immediately following shall be recognized as the holiday.
If holidays fall on Saturday, they will be observed on the
preceding Friday. The exception shall be Christmas Eve, which
shall be observed on the last working day before Christmas.
c) FOR SHIFT WORKERS: All holidays listed above will be recognized
on the calendar day on which it falls. For the purpose of
determining pay for an employee who works on a day observed as a
holiday which falls on one of the employee's scheduled days of
rest, "regular scheduled hours of work" for that day shall mean
the same hours the employee was assigned to work on the last
regularly scheduled day of work immediately prior to the holiday.
Payment will be made according to (d) 1 below.
d) Employees will be paid for the holidays listed above not worked
an amount equivalent to eight (8) times the employee's
straight-time hourly rate, subject to the following conditions:
1) Such pay shall be computed on the basis of payroll day and
not calendar day.
2) To be eligible for such pay, an employee must report for
work on their last regular scheduled working day immediately
preceding the holiday and their first regular scheduled
working day immediately following this holiday.
3) For purposes of determining eligibility for holiday pay only
under this section, employees absent either the day before,
the day after, or both days, because of vacation, death in
the immediate family, occupational injury or illness while
under a doctor's care, jury duty or excused absence will be
considered as having worked on such day or days and will be
entitled to holiday pay provided they have complied with the
other requirements of Article 4, Section 3. Immediate family
will be interpreted to mean those members of the family
covered under Article 25 - Funeral Leave.
4) An employee who is instructed to work on a holiday but fails
to report will receive no pay for the holiday.
5) Payment for holidays not worked shall not apply to employees
on approved leave of absence, off because of sickness or
occupational injury (unless under a doctor's care), or
layoff.
7
17 SECTION 4
a) In the event any hours worked fall within two or more
classifications listed above, only one application can be made.
18 SECTION 5
a) Employees shall not be laid off during regular working hours to
deprive them of any time, which they have gained by working
overtime. At one (1) week intervals, the COMPANY will make every
reasonable effort to post overtime equalization lists in each
zone or departments and to distribute such overtime work as
equally as practicable.
19 SECTION 6 - OVERTIME MEALS
a) If an employee works more than two hours immediately following
his scheduled working period, he shall be provided a meal. The
employee will be afforded an opportunity on COMPANY time to eat
meals so supplied at the time he is entitled to same, or as soon
thereafter as the condition of the work permits.
b) Any employee called out (with less than four (4) hours' notice),
will be supplied with a suitable meal at the COMPANY'S expense
after four (4) hours of work. If the employee continues working
on overtime, outside his regular or scheduled shift, he will be
furnished a meal every four (4) hours. If the employee works into
his scheduled shift, one additional mid-shift meal will be
furnished from the COMPANY'S frozen food supply if the employee
was/is otherwise unable to provide his own lunch due to the
call-out.
c) Employees scheduled on overtime, other than provided in (a) or
(b) above, will provide their own meals.
20 SECTION 7 - SHIFT DIFFERENTIAL
a) Shift differential shall be added to the wage rate of the
employees required to work during the shift indicated in the
following schedule for each hour worked during such periods:
1) Eight Hour Shift Workers:
Days No differential
Evenings 50cents differential
Graveyards $1.00 differential
2) Day Workers
Days No differential
Evenings 50cents differential
Graveyards $1.00 differential
8
3) For shifts longer than 8 hours in duration:
Days No differential
Nights $1.00 differential
21 SECTION 8 - TRANSPORTATION
a) The COMPANY will provide rides home for employees who are without
transportation and are held over on overtime past their regular
scheduled shift.
22 SECTION 9 - BYPASSING
a) When an employee has worked sixteen (16) continuous hours and up
to or within the employee's regular shift, the employee will be
allowed to go home and will be paid at the straight-time for the
remaining hours of the employee's regular shift, or the employee
may be bypassed for overtime if it will require that he be sent
home with pay for his regularly scheduled shift. This decision
will be made by supervision.
b) The COMPANY agrees that in scheduling overtime, no employee shall
be bypassed in the assignment of overtime to work solely to avoid
payment of double-time, except as referenced above.
c) The "rain-out" clause in the contractor's contract or
straight-time work on Saturday, Sunday, or holidays as may be
provided under the contractor's contract, will not be used to
avoid Sterling employee's overtime.
23 SECTION 10 - MAINTENANCE OVERTIME
a.) Maintenance overtime will normally be scheduled and assigned
from within the zone group.
b.) If unable to fill the overtime need, volunteer employees
from other zones may be offered the overtime. If unable to
fill the overtime need, employees may be conscripted from
the zone first, and then from the rest of the plant.
c.) For job continuity, jobs started by contractor personnel
may, at the COMPANY'S discretion, be worked to completion by
the contractor. Also for job continuity purposes, Management
may, at its discretion, decide to hold over the Sterling
craftsmen who started a job, in order to complete it on
overtime.
d.) The company shall have the right to institute an on-call
system for contacting employees for overtime.
e.) Shutdown/Turnarounds - The company reserves the right to
contract shutdown/turnaround work. Employees from the
affected zone group
9
may volunteer or be conscripted to work parts of the
shutdown.
f.) Management shall have the right to set start and end times
for shutdown/startup related work.
ARTICLE 5
VACATION
24 a) The vacation allowance for employees with less than five years
of service shall be eighty (80) hours, in which case vacation
credits will be given at a rate of six and two-thirds (6 2/3)
hours per month of service for a maximum of eighty (80) hours.
Fractional credits shall be figured to the next 8-hour increment.
Vacation credits are not accumulative during the probationary
period specified in Article 6, Section 2, but after such period
the new employee's vacation credits shall be calculated from the
date of employment.
b) Vacation credits accumulated after January 1st of the current
year shall not be taken until January 1st of the following year.
Vacation must be taken in full shift increments.
c) Each employee who completes five (5) or more years of continuous
service will be granted one-hundred twenty (120) hours of
vacation per year. Such vacation may be taken at any time during
the vacation year in which the employee reaches the fifth (5th)
year of continuous service. After receiving a first vacation of
one-hundred twenty (120) hours, the employee will accrue ten (10)
hours vacation per month of service or a maximum of one-hundred
twenty (120) hours per year.
d) Each employee who completes ten (10) or more years of continuous
service will be granted one-hundred sixty (160) hours of vacation
per year. Such vacation may be taken at any time during the
vacation year in which the employee reaches the tenth (10th) year
of continuous service. After receiving a first vacation of one
hundred sixty (160) hours, the employee will accrue thirteen and
one-third (13-1/3) hours of vacation per month of service or a
maximum of one hundred sixty (160) hours per year.
e) Each employee who completes twenty (20) or more years of
continuous service will be granted two-hundred (200) hours of
vacation per year. Such vacation may be taken at any time during
the vacation year in which the employee reaches the twentieth
(20th) year of continuous service. After receiving a first
vacation of two-hundred (200) hours, the employee will accrue
sixteen and two-thirds (16-2/3) hours of vacation per month of
service or a maximum of two-hundred (200) hours per year.
f) Each employee who completes thirty (30) or more years of
continuous service will be granted two-hundred forty (240) hours
of vacation per year. Such vacation may be taken at any time
during the vacation year in which the employee reaches the
thirtieth (30th) year of continuous service. After receiving a
first vacation of two-hundred forty (240) hours, the employee
will accrue twenty (20) hours of vacation per month of service or
a maximum of two-hundred forty (240) hours per year.
10
g) The vacation pay for employees entitled to vacation is computed
on the basis of rate of pay per hour at the time of vacation at
straight-time.
h) Vacation period shall be from January 1 through December 31 each
year.
i) The employee with the greatest bargaining unit seniority within
the group or craft, wherever possible, shall be allowed
preference as to time of vacation within each department and
within each maintenance zone. When an employee elects to split
their vacation, then they shall be allowed seniority preference
only on one (1) portion of the split vacation until all employees
have exercised their seniority preference.
j) Prior to January 1st, employees shall designate their choices of
dates for their vacations and a vacation schedule for the year
will be made up in accordance with other provisions of this
article.
k) An employee may place up to eighty (80) hours (ten days) of their
vacation in a vacation bank prior to January 1 with such days to
be taken at any time during the vacation year on a first-come
basis in an individual operating unit, in a maintenance craft
within a zone, or in any other department. Five (5) bank days may
be taken with one (1) hour's notice. Twenty-two (22) hours'
notice for the other five (5) bank days will be required except
in cases of emergencies. All normal requests for bank days must
be made to the employee's supervisor. Emergency requests will be
subject to approval by the department head or designee. Bank days
will be granted only when, in the judgment of the COMPANY, such
days do not conflict or impair plant operations. Bank days will
be taken in any combination of whole days without restriction by
vacation splits. All bank days must be taken during the vacation
year and shall not be cumulative. When, in the opinion of the
COMPANY, it appears that vacation bank days are accumulating in a
group, department or craft and will create a problem near the end
of the vacation year, employees will be requested to schedule
their remaining bank days in order not to conflict with or impair
plant operations.
l) Vacation may be split into as many periods as the employee has
weeks of vacation. In calculating vacation splits, the bank days
will constitute one split. Employees with ten (10) or more years
of service will be eligible for one (1) additional split.
Vacation schedules established by January 1st will not be altered
after this date to give preference to the senior employee.
Employees shall be permitted to begin or end their vacations on a
regularly scheduled day off.
m) Vacations shall be given employees on such dates or as near as
may be practicable when, in the judgment of the COMPANY, such
dates do not conflict with or impair plant operations.
n) Vacation during any vacation period must be taken during the
vacation period and shall not be cumulative. Requests for
exceptions to this requirement will be considered by management
on a case by case basis.
11
o) For the purpose of taking extended vacation, employees with five
(5) or more years of service will be permitted, one (1) time
during the life of this contract to elect to hold over forty (40)
hours of vacation from one (1) vacation period and take it during
the next vacation period in conjunction with the full vacation
due that vacation period. Employees desiring to exercise this
option will so advise the COMPANY during the vacation-scheduling
period in the year in which they desire to hold over the forty
(40) hours.
p) Employees with ten (10) to nineteen (19) years of service have
the option to hold over forty (40) hours of vacation from one (l)
vacation period and take it during the next vacation period.
Employees desiring to exercise this option must notify the
COMPANY by November 1st prior to the end of the vacation year in
which it was originally expected to be taken. This request does
not increase the number of bank days.
q) An employee who is "Combo 80" (minimum age 55 with 80 points) or
who has at least 20 years of COMPANY service, may carry over from
one vacation period to the next up to eighty (80) hours of
vacation in forty (40) hour increments. A maximum of two hundred
forty (240) hours may be carried over in this manner.
r) Any employee leaving the service of the COMPANY entering State or
Federal military service shall so notify the COMPANY, and shall
be paid the vacation credits earned up to the time of induction.
Such employee shall not be taken off the payroll until actually
inducted in military service, State or Federal.
s) In calculating time for vacation credits, no vacation will accrue
after the sixth month of sick leave or otherwise while not
actively at work.
t) In case an employee is dismissed or leaves the COMPANY'S service
voluntarily, they will receive vacation pay to the extent of the
credits accumulated at the time of their dismissal or voluntary
separation.
u) In case an employee resigns without notice or is discharged for
cause, they will receive only pay for vacation earned during the
previous year but not taken. Such employees will not be eligible
to receive vacation accrued in the current vacation year up to
the time of their removal from the payroll.
v) When a holiday is observed on an employee's scheduled vacation
day, they will have the option of an extra day vacation or an
extra eight (8) hours' pay at their regular straight-time rate.
w) When a day of vacation falls on a holiday and the employee elects
to take an extra day of vacation, they may elect to take it the
last working day immediately prior to their scheduled vacation.
12
x) When an employee transfers from one craft or group to another,
the employee will carry with them their vacation as scheduled for
that year. The transfer of this vacation schedule will not
interfere with the rights of any other employee to their vacation
as previously scheduled.
y) Back-to-back vacations from one vacation year to the next will be
allowed under the following conditions:
1) The period of vacation must be for six or more weeks.
2) The employees who desire to schedule vacation in a continuous
period beginning in one vacation year and ending in another
vacation year must schedule such vacation prior to January 1
of the first vacation year.
3) If, on the basis of seniority, they will be allowed to
schedule their vacation immediately prior to the end of the
vacation year, then they shall be granted vacation preference
for the continuous portion of the vacation, which ends the
next vacation year.
z) For employees hired before January 1, 1996, vacation year
allotment will be based on years of service accrued by March 31
following the end of the vacation year. For all other employees,
vacation year allotment will be based on years of service accrued
by December 31 of the vacation year.
ARTICLE 6
SENIORITY
25 SECTION 1 - DEFINITIONS
a) By the term "seniority" is meant the status of the employee's
length of service as such.
b) Four types of seniority shall be recognized:
1) GROUP SENIORITY. This shall consist of the seniority
accumulated by an employee working in any of the groups
listed below.
2) DEPARTMENT SENIORITY. For matters directly affecting any of
the departments in Group 1, employees in their respective
operating departments shall be listed on the Seniority List
by order of Group 1 seniority within their respective
department.
3) MAINTENANCE CRAFT SENIORITY. This shall consist of the
seniority accumulated by an employee in the particular
maintenance craft in which the employee is working.
4) BARGAINING UNIT SENIORITY. This shall consist of seniority
accumulated by an employee in any of the groups or crafts
listed below.
13
c) For purposes of paragraph (b) above, group, department, and
maintenance craft seniority shall cover the following:
1) Group Seniority
i) GROUP 1 - All hourly employees in the following
operating departments and any other which may be added
and which are designated as operating departments by
the COMPANY, Departments 13/14/15/16, 513,
19/23/25/51/52/88, 44/50, 48/56, 53, and POWER.
ii) GROUP 2 - All hourly employees of the Laboratory.
iii) GROUP 4 - All hourly employees of the Materials
Handling Department.
2) Department Seniority
i) For matters directly affecting departments in Group 1,
employees in the various operating departments shall be
listed on department seniority lists by Group 1
seniority within their respective departments. Any
reference to departmental seniority in other sections
of the contract will refer to the Group 1 seniority of
employees within the department.
3) Maintenance Craft Seniority
i) All hourly employees in each of the maintenance crafts.
The maintenance crafts shall include, but shall not be
limited to the following titles:
Pipefitters Carpenters
Asbestos Workers Instrument/Electrical
Boilermakers/ Ironworkers Machinists
Painters Operating Engineers
Laborers
26 SECTION 2 - COMMENCEMENT
a) All new employees shall be required to work a trial or
probationary period of one-hundred thirty-five (135) calendar
days continuous service before the seniority rules outlined
herein shall apply to them, and after such period, the new
employee's seniority shall be retroactive to the date they were
employed.
b) Straight-day employment shall be determined on the basis of
senior qualified. New employees will be required to go on shift
within not more than ninety (90) days after employment.
c) When employees are hired into a group or craft on the same date,
their order on the seniority lists shall be determined by "lot".
14
d) In a situation where departmental seniority is equal, the group
seniority shall govern, and when group or craft seniority are
equal, seniority on the first day worked in the bargaining unit
shall govern.
27 SECTION 3 - SENIORITY LISTS
a) The COMPANY agrees to compile and furnish the UNION a seniority
list quarterly, showing the seniority of each employee in
bargaining unit, and the COMPANY further agrees that it will add
names and the seniority status of all employees to said list
after they have completed their probationary period and are
considered regular employees.
28 SECTION 4 - WHEN SENIORITY DOES NOT APPLY OR IS NOT AFFECTED
a) Seniority privileges shall not apply to probationary employees.
b) The Seniority of an employee shall not be affected when they are
promoted to a supervisory classification unless they remain in
that capacity for a period in excess of one hundred thirty-five
(135) calendar days after which time they shall lose their
seniority as a member of the bargaining unit.
c) The seniority of an employee shall not be affected when they are
promoted temporarily to a supervisory classification unless they
remain in that capacity for a period in excess of one-hundred and
eighty (180) working days in a calendar year, after which time
they shall lose their seniority as a member of the bargaining
unit.
d) Employees, other than temporary employees, who are called into
active military service with any branch of the U. S. government,
shall not lose their seniority rights or their status with the
COMPANY. Such employees, however, shall file an application with
the COMPANY for reinstatement, within ninety (90) days after they
have received an Honorable Discharge from such service and if
their physical and mental condition is satisfactory, such
employee shall be reinstated to their former position or one to
which their seniority entitles them, unless the COMPANY'S
circumstances have so changed as to make it impossible or
unreasonable to do so.
29 SECTION 5 - WHEN GROUP, DEPARTMENT, CRAFT AND BARGAINING UNIT
SENIORITY IS LOST
a) An employee under the following circumstances shall lose all
seniority:
1) When the COMPANY discharges them.
2) When they quit the service of the COMPANY of their own
volition.
3) When they are laid off for a period exceeding eighteen (18)
months without being recalled.
15
4) When an employee overstays their leave of absence without
notifying the COMPANY and receiving an extension of time.
30 SECTION 6 - WHEN GROUP, DEPARTMENT, CRAFT, AND BARGAINING UNIT
SENIORITY IS NOT BROKEN
a) Seniority of the employee shall not be broken because of: (1)
layoffs (except as provided in Section 5 a) 3) of this article);
(2) authorized leaves of absence; (3) absences on account of
occupational or non-occupational sick leave not exceeding a
period of twelve (12) months; (4) any cessation of work at the
COMPANY'S plant which is beyond the control of the employee not
exceeding a period of eighteen (18) months.
31 SECTION 7 - CONSOLIDATION OF DEPARTMENTS
a) When two or more departments are consolidated, the employees of
these departments may claim seniority in the consolidated
department, it being understood, however, that no employee may
claim a classification in the consolidated department higher than
the one occupied in the department in which the employee was
previously employed.
32 SECTION 8 - PROMOTIONS
a) When a new vacancy or new job occurs in a department or craft,
such vacancy or new job shall be filled from employees within
that department or craft. When skill and ability are
approximately equal, then the senior qualified employee shall
fill the vacancy. If departmental seniority is equal, group
seniority shall govern.
b) It is understood and agreed, however, that where skill and
ability are questioned, a senior employee may request the
opportunity to fill such vacancy or new job, in which event, the
COMPANY agrees to consult with the UNION concerning the matter.
If it is determined that the request has merit, the employee will
be given a trial period of thirty (30) working days to prove to
the satisfaction of the COMPANY their skill and ability in such
position. The above privilege shall not be granted to craft
apprentices.
33 SECTION 9 - JOB BIDDING PROCEDURE
a) When a permanent vacancy must be filled from outside the group or
craft in which the vacancy exists and no layoff exists for such
group or craft, then the job will be posted and filled in
accordance with the following procedure:
1) JOB POSTING - The job vacancy will be posted for seven (7)
calendar days at each of the main gates and on departmental
bulletin boards within the plant.
2) JOB BIDDING - Each employee who desires to bid for the posted
job may do so by going to the Human Resources Department and
signing a job bidding form within the seven (7) day period.
16
i.) Any employee who knows that they will be absent from the
plant (for reasons such as vacation, jury duty, etc.)
may submit to the Human Resources Department a pre-bid
indicating those jobs they desire should a vacancy be
posted during their absence. The employee submitting a
pre-bid will be considered for a vacancy only if their
pre-bid is received prior to the seven (7) day period
outlined in the job vacancy announcement. Each pre-bid
shall be effective only for the duration of the
individual's specific absence.
b) SELECTION - Posted vacancies will be filled by the qualified
bidder with the greatest bargaining unit seniority. Successful
bidders will be transferred to their new job within 120 calendar
days following the date of notification of successful bid unless
the COMPANY demonstrates, subject to the grievance and
arbitration provisions of the contract, that to move said
successful bidder would create a situation where the employee's
job cannot be manned in a safe manner.
1) The successful bidder will enter the new job classification
at the appropriate rate as indicated on the job vacancy
announcement.
2) The provisions of Section 11 of this Article will apply to
employees who are transferred from one group or craft to
another in accordance with the job bidding procedure.
c) BIDDING RULES - Because of the extended period of training for
apprentice plans and the expense involved in such extended
training, no employee shall be allowed to transfer to a bona fide
apprentice opening if the employee could not, prior to the
eligibility for early retirement, complete a number of years that
is equal to twice the number of years required for apprentice
training. This rule will not apply to members of the class who
are presently in a classification with a top rate lower than the
top rate of the apprentice crafts or groups. Anyone hired into an
apprentice classification must remain, after topping out, in that
classification for a period equal to the training period before
bidding to another classification.
1) If the COMPANY determines that the senior employee bidding on
a posted job is not qualified, the employee may file a
grievance contesting such determination at Step 2 of the
grievance procedure, which may, if not satisfactorily
resolved, be submitted to arbitration in accordance with the
arbitration procedure as outlined in Article 28. Nothing
contained herein shall interfere with the filling of the
vacancy with another employee or with a new hire, pending
settlement of a grievance.
2) Employees whose bids have been denied on the basis of
qualifications will not be considered again for transfer to
the same group or craft until they have shown proof that
their qualifications now fit the requirements of the job.
3) A successful bidder will not be eligible for another transfer
until they have reached the top rate of their classification
and served an additional period of time equal to the time
required to reach the top rate.
17
4) A successful bidder who refuses to accept a tendered transfer
will not be reconsidered for any other transfer for a period
of one (1) year after date of refusal.
d) An employee who has been returned to their last previous group or
craft for inability to perform work of the new classification as
provided in Section 11, Article 6 of the Articles of Agreement
will not be considered for any further transfer for a period of
one (1) year from the date of return to their last previous group
or craft.
e) An employee shall be limited to one transfer to a group or craft
having a lower top rate or one transfer to group or craft having
an equal top rate. Subsequent lateral or downward transfer to
another group or craft shall be approved only when in the best
interest of the employee and by mutual agreement of COMPANY and
UNION.
f) NO QUALIFIED BIDDERS - If none of the bidders are qualified for a
posted job, or if there are no bidders, the COMPANY shall have
the right to fill the job as it sees fit.
g) APPRENTICESHIP PROGRAMS:
1) The following criterion will be applied in selecting
qualified candidates for COMPANY apprenticeship programs.
2) Operator Apprentice candidates, must have completed three (3)
hours of college level math and six (6) hours of college
level science with a GPA of 2.5 or better (A = 4.0) prior to
being considered. In addition to the above listed
requirements, Operator Apprentice candidates must have
completed a Junior College Basic Petrochemical Operators
course prior to being considered.
3) Instrument/Electrical (combined) and Machinists Apprentice
candidates, must have completed six (6) hours of college
level math and six (6) hours of college level science with a
GPA of 2.5 or better (A = 4.0), or graduate from a two (2)
year vocational trade school in the craft applied for with a
GPA of 2.5 or better from the school prior to being
considered.
h) ASSOCIATE OPERATORS - Associate operators will be selected based
on criteria determined at management discretion.
34 SECTION 10 - TRANSFERS
a) When surplus Group 1 employees exist in one operating department
and openings exist in another, transfers from the surplus
department will be on a volunteer-by-seniority basis. Those
employees with the most Group 1 seniority in the department being
destaffed who wish to transfer out of the department to another
operating department will be allowed to volunteer. If not enough
employees volunteer to transfer, then the necessary number will
be destaffed by moving the junior employee based on Group 1
seniority within the department being destaffed. In either case,
the employee may be recalled to their original departments at the
COMPANY'S discretion for up to one year
18
from the date of transfer. If employees are recalled to their
original departments, those transferred involuntarily will be
recalled first, according to Group 1 seniority; those who
transferred voluntarily will be recalled in inverse order of
Group 1 seniority.
b) If an operating unit is shut down or temporarily under reduced
operation resulting in an excess of employees in any group, the
UNION and the COMPANY will meet and discuss a plan whereby these
employees may be put to work so as to prevent layoff. Employees
in these groups may be assigned as helpers in maintenance or in
other groups.
c) A General Mechanic classification is established to increase the
skill level of existing Carpenters, Asbestos Workers, Laborers,
Painters, and Stores Clerk. All current employees in these
classifications are eligible to receive training to qualify for
transfer into this classification.
d) In the event of a Laborer layoff, Stores employees who chose this
transfer will have bump rights back to Stores until such time as
there is a Laborer or General Mechanic recall. They will bump
back to Stores at the frozen Stores wage rate of $21.67. The
Company will select an outside contractor to operate the Stores
department. Those Stores employees who choose to not accept the
transfer to the Laborers/General Mechanic classification will
work composite with contractor employees. Their rights as
Sterling bargaining unit employees are not impacted in any way by
this Agreement. These employees' wage rate will be frozen at
$21.67.
35 SECTION 11 - LAYOFFS
a) Layoffs in all groups and maintenance craft departments shall be
in inverse order of group, or craft seniority, depending on the
need for employees in that particular group or craft, it being
understood that in any group or craft the top classification will
not be filled by an employee not having both skill and ability
and group or craft seniority.
b) An employee transferred from one group or craft shall retain
seniority in their former group or craft but will not be allowed
to exercise their seniority, nor shall the COMPANY be allowed to
transfer the employee back to their old group or craft unless the
employee is being laid off for reduction in force or because
their work performance has been such that the employee would be
laid off for inability to perform the work.
c) Employees being laid off for reduction in force may exercise the
retained seniority in their old group or craft to forestall
layoff provided that they meet the current qualification
requirements of their previous job.
d) An employee being laid off for inability to perform the work
prior to reaching top pay in the classification in the group or
craft to which they were transferred will be considered to have
accumulated seniority in their old group or craft up to the time
they were declared unable to perform such work and will be
allowed to exercise that seniority in their old group or craft to
forestall layoff. An employee transferring to a one rate job
19
will be given a trial period of ninety (90) days and, if unable
to perform the work, will be considered to have accrued seniority
in their old group or craft during that period. They will be
allowed to exercise such seniority in order to forestall layoff.
e) Discharge for cause or termination for any reason other than
those referred to above will not be reason for the employee to
exercise their seniority rights in the old group or craft.
36 SECTION 12 - REHIRING
a) Rehiring shall be in inverse order of layoffs. Employees being
recalled shall be notified by registered letter, return receipt
requested, mailed to the last address on record in the COMPANY'S
files. If the COMPANY does not receive a reply to said letter
from the employee, within ten (10) days from the date of its
delivery as shown on the return receipt, stating that they will
return to work within ten (10) days from said delivery date; or,
if they fail to so return to work although they have sent such a
reply, the next eligible employee will be placed in the vacancy.
b) In special cases, an employee, when replying within ten (10) days
to the COMPANY'S notice requesting them to return to work, may be
given an extension of time by the COMPANY beyond the ten (10) day
limit specified above. Failure to so reply or failure to so
report to work will abrogate all rehiring and seniority rights on
the part of said employee. In case of an emergency, the COMPANY
may temporarily fill any vacancy without waiting for any period
of time to expire. After the emergency has expired, such
vacancies will be filled according to the regular procedure.
c) Where the period of recall is in the best judgment of the COMPANY
to be less than ninety (90) calendar days, the recalled employees
may decline recall and not lose subsequent recall rights.
d) If the period of recall is less than a 40 hour work week, the
COMPANY is not obliged to recall an employee for such assignment.
37 SECTION 13 - GRIEVANCES
a) In all cases where the UNION or the employee claims that the
principle of seniority has been violated, such grievance must be
taken up within ten (10) days of the alleged violation and shall
be handled according to the procedure set out in Article 27
hereof. In the event the employee grieved is not actively working
on the day of such violation, the period of limitation shall
begin on the day the employee returns to work.
20
ARTICLE 7
SUPERVISORS DOING HOURLY WORK
38 a) Anyone employed by the COMPANY in the capacity of a ▇▇▇▇▇▇▇ or a
supervisor will be permitted to perform work that is normally
performed by bargaining unit employees, except as limited by
Article 7 (b), below.
b) Foremen and supervisors will not be permitted to perform work
normally performed solely by bargaining unit employees, if
bargaining unit employees are laid off as a direct or indirect
result or if the direct or indirect result is that employees on
the recall list are prevented from being recalled. It is
expressly agreed that work that is normally performed both by
bargaining unit employees and by foremen or supervisors is not
"work that is normally performed solely by bargaining unit
employees" and consequently is not covered by the preceding
sentence. The management of the COMPANY will determine, in its
sound discretion, whether employees would be laid off and whether
recalls would be prevented as a result of the performance by
foremen or supervisors of "work normally performed solely by
bargaining unit employees."
ARTICLE 8
WORK CLASSIFICATIONS - TEMPORARY VACANCIES
39 a) Wage rates for all classifications of work within the bargaining
unit shall be mutually agreed to between the COMPANY and the
UNION, set forth separately, and attached to this Agreement and
marked "Exhibit B".
b) In the event there is a shortage of personnel on any one shift in
an operating department due to temporary absence, and the vacancy
is of a higher classification than that of part of the employees
present, the vacancy shall be filled by temporarily reclassifying
an employee on the same shift to the higher classification or, if
this is not feasible, by holding over or obtaining another
employee of the same classification in the same department from
another shift.
c) If it becomes necessary to fill a temporary vacancy in the lowest
classification in a department, the COMPANY may require an
employee who has least department seniority in a department to
temporarily transfer to the vacancy. This Article shall not
prohibit the COMPANY, however, from temporarily transferring an
employee who is not junior in department seniority if said
employee is agreeable to the temporary transfer.
ARTICLE 9
STAFFING OF NEW UNITS
40 a) The COMPANY agrees to consult with the UNION in connection with
the staffing of new units or consolidation of departments in the
operating section.
21
ARTICLE 10
STEWARDS
41 a) The UNION may designate for each Department in Operations and
each craft in Maintenance, a Shop ▇▇▇▇▇▇▇ who shall call to the
attention of the ▇▇▇▇▇▇▇ or supervisor any questions of working
conditions that may arise in their department or craft.
b) Discussion between the Shop ▇▇▇▇▇▇▇ and ▇▇▇▇▇▇▇ and/or the
Supervisor shall be at such time and place as not to interfere
with work in the department or craft.
c) If the Shop ▇▇▇▇▇▇▇ and ▇▇▇▇▇▇▇ or Supervisor are unable to
agree, the matter will be referred to the department head
involved in accordance with procedure for handling grievances as
set out in Article 27, it being agreed that the Shop ▇▇▇▇▇▇▇
shall suffer no loss in pay for acting in that capacity.
d) Any employee called in for discussion that might result in
disciplinary action or any entry to be made in their personnel
file may be permitted to have a ▇▇▇▇▇▇▇ present.
e) One person within the bargaining unit designated by the Business
Manager of the UNION may be named to act in the capacity as a
Benefits ▇▇▇▇▇▇▇ for hourly employees. This ▇▇▇▇▇▇▇ shall be
provided with a locked file cabinet in a suitable location within
the plant in which to file records and information. All medical,
dental, disability, and other benefit forms and associated
correspondence presented or received by the COMPANY are
confidential and private information and the COMPANY is required
to treat it as such. Any confidential records and information
sought by the UNION shall be obtained directly from the concerned
employee or, with written permission by the employee, from the
Human Resources Department.
f) Nothing in this agreement shall be construed as preventing any
employee so represented from dealing directly with the COMPANY'S
Human Resources personnel.
ARTICLE 11
CONTRACT WORK
42 a) The COMPANY reserves the right to utilize independent contractors
for any purpose, including the performance of any amount of work
normally performed by employees in the bargaining unit, provided
employees covered by this Agreement are not laid off as a direct
or indirect result of such work being contracted out; nor shall
any work contracted prevent the recall of employees on the recall
list.
22
ARTICLE 12
PAY DAY
43 a) All regular employees covered by this Agreement shall be paid in
full, once every two weeks on regular paydays established by the
COMPANY except that when a holiday falls on a payday, the
employees will be paid the day before the holiday. Each employee
on paydays shall be provided with an itemized statement of gross
earnings and all deductions for any purpose.
b) Paychecks may be directly deposited with the financial
institution of the employee's choice, if possible, and if the
individual bargaining unit employee signs a statement so
indicating and holding the COMPANY harmless if their financial
institution has not credited their account in a timely manner.
c) The COMPANY further agrees that if any questions arise concerning
time credited or pay received by an employee, the time cards and
other pertinent records will be made available for examination to
the employee and the Shop ▇▇▇▇▇▇▇. In the event the difficulty
cannot be resolved at that time, then the same shall be
considered a grievance and handled according to the regular
grievance procedure.
d) A pay error of less than eight (8) hours pay will be corrected on
the next regular paycheck. An error of eight (8) or more hours
pay will be corrected via a special make-up check.
ARTICLE 13
PHYSICAL EXAMINATIONS
44 a) An applicant for employment, before being hired, must meet
certain minimum standards of health and physical fitness. A
licensed physician employed by the COMPANY will give the physical
examination.
b) Periodic examinations of employees will be carried on with the
principal idea of helping employees improve their own health
condition and to enable COMPANY to guard the health of its
employees.
c) Employees who become physically unfit to perform one or more of
the essential functions of their assigned classification, may be
assigned other work, if available, and until, in the opinion of
the doctor retained by the COMPANY, the employee is able to
resume the work of their designated classification.
d) The COMPANY agrees to continue notification and to send a copy of
such individual test results to employees who fall outside the
normal medical limits and to provide a copy to an employee who
comes to the Heath Services Department and requests such
information.
23
e) When an employee is scheduled for a chest x-ray as part of their
physical, the COMPANY will provide for the x-ray to be read by a
"B-Reader". For employees in the Insulator Craft, a second x-ray,
read by a "B-Reader", will be provided at six (6) month intervals
at the request of an insulator.
ARTICLE 14
DISCRIMINATION
45 a) No members of a signatory union shall be discriminated against,
discharged or harassed on account of their activities or interest
in their UNION while carrying out in good faith the terms of this
Agreement.
b) Charges of such discrimination, discharge or harassment, if any,
shall be handled according to the regular grievance procedure.
ARTICLE 15
UNION REPRESENTATIVES
46 a) When in the opinion of a ▇▇▇▇▇▇▇ or Plant Committeeman, or the
COMPANY, the counsel of a business representative of the Texas
City, Texas Metal Trades Council, or any of the organizations
signatory to this Agreement, is advisable or necessary to aid in
the resolving of a grievance that has arisen, such business
representative shall be permitted to enter the premises of the
COMPANY, subject to the regulations governing visitors to this
plant.
ARTICLE 16
JURY SERVICE
47 Employees kept away from work because of reporting for jury service or
for service as a witness under court subpoena will be paid their
regular straight-time hourly rate, exclusive of any overtime or other
premium pay, subject to the following provisions.
48 SECTION 1 - MORNING COURT APPEARANCE
a) Employees working days are not required to report back for work
if dismissed from court duty at or after 12:00 p.m. Employees
dismissed before 12:00 p.m. are required to report for work and
complete the workday.
b) Employees on the 10:30 p.m. to 6:30 a.m. (or 11:30 p.m. to 7:30
a.m.) shift shall not be required to work the shift on the
calendar day of their first day in court, nor any other 10:30
p.m. to 6:30 a.m. (11:30 p.m. to 7:30 a.m.) shift falling on a
day they are scheduled to be in court.
c) Employees scheduled to work the 2:30 p.m. to 10:30 p.m. or 3:30
p.m. to 11:30 p.m. shift are not required to report for their
shift if they are released from court after 10:00 a.m.
24
d) Employees scheduled to work the 10:30 p.m. to 6:30 a.m. (or 11:30
p.m. to 7:30 a.m.) shifts are not required to report for work on
these shifts if dismissed from court duty at or after 12:00 p.m.
If released before noon, they are expected to work their
scheduled shifts.
49 SECTION 2 - AFTERNOON COURT APPEARANCE
a) Employees working days are required to report for work at the
beginning of their shift and will be released a reasonable period
of time prior to their court appearance.
b) Employees scheduled to work the 2:30 p.m. to 10:30 p.m. (or 3:30
p.m. to 11:30 p.m.) shift are not required to report for work
prior to an appearance in court which begins after the start of
their scheduled shift and before 6:30 p.m. Employees scheduled to
work the 2:30 to 10:30 p.m. (or 3:30 p.m. to 11:30 p.m.) shift
who serve three (3) or more hours in court or who are dismissed
from court at or after 6:30 p.m. are not required to work the
remainder of their scheduled shift on that payroll day.
c) Employees scheduled to work the 10:30 p.m. to 6:30 a.m. (or 11:30
p.m. to 7:30 a.m.) shift whose court appearance begins before
3:00 p.m. are not required to work their graveyard shift on that
calendar day. Employees scheduled to work the 10:30 p.m. to 6:30
a.m. (or 11:30 p.m. to 7:30 a.m.) shift are not required to work
the shift falling on the payroll day of an appearance in court if
released from court at or after 3:00 p.m.
50 SECTION 3
a) Employees are required to furnish proof from the court of such
service, showing the date and time served and amount paid for
their services. With regard to jury service, the COMPANY agrees
to treat the documented release time the same for standby as for
court appearances.
51 SECTION 4
a) An employee who is to report for court duty in the afternoon
shall be given a reasonable period of time to go home, change
clothes, etc., eat and then drive to the courthouse for duty; or
that an employee released from court duty before 12:00 p.m. shall
be given reasonable time to go home, change clothes, eat and
drive to the plant.
ARTICLE 17
ELECTION DAY REGULATIONS
52 a) It is further agreed that arrangements shall be made so that all
employees working days or day shifts who are requested to work
overtime, shall have sufficient time off to vote on election days
covering City, State, and National elections, and such time off
shall not be deducted from the employee's wage.
25
b) An employee appointed as an election judge or observer or those
elected as delegates to political conventions shall be granted
(a) vacation bank days if eligible; or (b) an excused absence.
The request must be made in advance and must not conflict with or
impair plant operation.
ARTICLE 18
REPLACEMENT OF CLOTHING
53 a) Any employee required to perform work which results in the damage
to clothes or shoes by chemical or fire action, to such an extent
they are no longer suitable for wear, shall be furnished with
suitable clothing or be given a cash replacement allowance
provided the damage did not occur due to the employee's failure
to wear proper PPE when required; reimbursement is to be at
replacement cost less depreciation for normal wear. Replacement
cost shall mean the cost to replace the clothing at the time it
is ruined.
b) All employees required to perform work which results in damage to
clothes and shoes by chemical or fire action will be furnished
proper protective clothing and equipment which is appropriate
under the conditions prevailing. All such clothing and equipment
shall be returned, as directed by the COMPANY, at the completion
of an assignment or shift, whichever is applicable.
ARTICLE 19
LAYOFF NOTICE - SEPARATION ALLOWANCE
54 a) Whenever it is necessary to lay off an employee or employees
because of lack of work due to curtailment of production, process
changes, changing requirements of craft work, or any other reason
beyond control of the COMPANY, such employee or employees shall
be given ten (10) working days' notice of such layoff. The
COMPANY shall have the option of paying for their time in lieu of
notice.
b) In the event of a hurricane evacuation, acts of God or other
situations beyond the reasonable and direct control of the
COMPANY, the notice provisions of this Article will not apply.
c) If it is necessary to lay off employees because of any labor
dispute preventing normal operations of the plant, three (3)
calendar days' notice will be given. The COMPANY shall have the
option of paying for this time in lieu of notice.
d) Hourly paid employees, who are laid off as a result of economic
curtailment, will be eligible for a separation allowance in
keeping with the following provisions:
55 SECTION 1 - MODE OF COMPENSATION
a) The Separation Allowance is computed on the basis of years of
continuous service with the COMPANY. Continuous service for the
purpose of this agreement is defined
26
as time spent working for the COMPANY computed from the
employee's last date of hire. The maximum allowance for any given
period of layoff shall be as follows:
ALLOWANCE SCHEDULE
YEARS OF CONTINUOUS SERVICE PAY ALLOWANCE
--------------------------- -------------
Under 1 year 2 weeks
1 through 4 4 weeks
5 through 9 8 weeks
10 or more 12 weeks plus 1/2 week
for each year in excess of 10
56 SECTION 2 - METHOD OF PAYMENT
a) The Separation Allowance will be paid in bi-weekly installments
at their regular bi-weekly pay amount until the maximum allowance
specified above is reached, provided the employee continues to
meet the eligibility requirements.
b) Should an employee be recalled to active employment before
exhausting this maximum allowance, payments will cease as of the
effective date of recall. Any remaining balance will be available
for payment in the event the employee is subsequently laid off
before meeting the full reinstatement requirement specified
below. However, in the event the employee meets the requirements
for full allowance reinstatement, the payments will not exceed
those specified in Section (1) above.
c) Any employee who is recalled to regular active employment after
exhausting the maximum allowance payments will be ineligible for
further separation payments until they have completed 78
continuous weeks of active employment, at which time they will
again become eligible for full benefits under Section (1) above.
d) All monies paid as Separation Allowance will be subject to
applicable taxes and other required withholdings.
57 SECTION 3 - ELIGIBILITY
a) Separation Allowance is not payable to any employee who:
1) Resigns or abandons employment for any reason.
2) Becomes deceased.
3) Elects normal or early retirement.
4) Is discharged.
27
5) Accepts a position in Sterling that is not within this
bargaining unit.
6) Is receiving either occupational or non-occupational
disability benefits until said benefits are exhausted, and
only then, provided the employee is still on layoff status.
7) Receives total and permanent (Long-Term Disability)
disability benefits.
8) Is recalled from layoff.
9) Is offered a position with an acquiring company, of
equivalent pay and benefits at the Texas City Plant.
b) The above Separation Allowance shall not be paid in the event
that the lack of work is due to a labor dispute or to fire,
flood, water, or power failure, or other act of God.
ARTICLE 20
LEAVE OF ABSENCE
58 a) The COMPANY shall grant leave of absence, up to ninety (90) days
length, for personal reasons upon request and explanation by the
employee, provided that, in the opinion of the COMPANY, the
reason for the request is worthy and such leave shall not be
used, except with the permission of the COMPANY, for the purpose
of accepting other employment and such leave shall not affect the
seniority status of said employee and/or employees.
b) The COMPANY shall, upon at least ten (10) days notice given by
the UNION, grant leaves of absence not to exceed thirty (30)
days, to employees to attend UNION conventions or meetings,
provided not more than a total of three (3) employees from the
plant or one (1) employee from a department shall be away for
that purpose at any one time.
c) The COMPANY shall, upon at least two (2) weeks notice given by
the UNION, grant leaves of absence not to exceed one (1) year in
length to a maximum of two (2) employees during any one period
for purposes of accepting employment with a union signatory to
this Agreement. Employees on such leaves of absence will maintain
their seniority status while on leave providing they maintain
continuous service with said union. Such leaves of absence will
be automatically extended on a year-by-year basis for the
duration of the Agreement, upon receipt by the COMPANY, of a
written request from the UNION at least two (2) weeks prior to
the expiration of each one (1) year period. Employees desiring to
return from such leaves will give the COMPANY at least two (2)
weeks notice in writing, and upon return will be required to take
a pre-employment physical as if they were new employees.
d) Unpaid leave to care for a newborn child will be administered
under the guidelines of the Family and Medical Leave Act.
28
e) Employees elected or appointed to public office will be allowed
an excused absence, without pay, providing their absences do not
create a cost to the Company or impair normal operations.
ARTICLE 21
SANITATION AND SAFETY
59 a) Operating Engineers (Local 450), and other employees who, in
order to perform their normal duties, are required by state law
to possess either a commercial or chauffeur's license shall be
reimbursed the cost of these licenses.
b) Inspection of any job for safety purpose may be secured upon the
request of any employee assigned to that job; such inspection to
be made by a member of the Plant Safety Department or other
supervision with the employee involved. If the result of this
inspection indicates an unsafe condition, the job will be
postponed until proper steps have been taken to remedy the
condition unless, in the opinion of the supervisor, postponing
the job creates a greater hazard.
c) When an employee accompanies an OSHA representative, while on
COMPANY time during an in-plant investigation, said employee
shall not suffer any loss of pay.
60 PRESCRIPTION SAFETY GLASSES -
a) The COMPANY agrees to pay up to eighty-five dollars ($85.00)
applicable to the lenses for one pair of prescription safety
glasses purchased through the Safety Department. Such glasses may
be tinted or clear. Where the employee's prescription is from a
licensed physician and states that the employee's eye condition
makes it mandatory that they wear dark glasses during daylight
hours, the COMPANY will agree to pay up to an additional
eighty-five dollars ($85.00) for the purchase of an additional
pair of shaded glasses. It is also understood that the COMPANY
will pay up to eighty-five dollars ($85.00) applicable to the
lenses for the purchase of new safety glasses when an employee's
prescription is changed.
b) The COMPANY agrees to provide one pair of colored prescription
safety glasses for Operating Engineers required to operate
hoisting equipment. The parties recognize that this is a unique
requirement for that craft and that such provision is not
intended to be the beginning of a colored safety glass program
for other groups.
c) The Company will pay 100% for the initial eye exam from an
approved provider. The Company will pay 75% for subsequent eye
exams in two (2) year intervals from an approved provider.
d) Additionally, up to two (2) pair of non-prescription safety
sunglasses will be provided each year from an approved list.
29
e) The Company payment toward frames for prescription safety glasses
is $35.00.
f) The COMPANY agrees to provide one (1) pair of prescription
glasses for welders. If additional glasses are needed, requests
will be evaluated and processed by the Plant Safety Department on
a case by case basis.
g) Up to two pairs of clip-on glasses per year shall be furnished by
the COMPANY to the Operating Engineers, Local 450 members only.
Clip-on glasses may be purchased at cost by other employees at
the Safety Supply section. Additionally, the COMPANY agrees to
provide one pair of colored prescription safety glasses for
Operating Engineers required to operate hoisting equipment.
61 SAFETY SHOES -
a) The COMPANY will provide to each bargaining unit employee two (2)
pairs of approved chemical resistant safety shoes per contract
year. The COMPANY will pay 100% of the cost of these safety
shoes. Where the employee wishes to purchase other chemical
resistant safety shoes at authorized stores, they may do so.
However, the employee will pay the additional cost above $85.00.
ARTICLE 22
BULLETIN BOARDS
62 a) It is further agreed that the COMPANY shall provide bulletin
boards in locations to be agreed upon between the Plant/Union
Committee and the COMPANY for the posting of UNION notices. The
board shall be covered with glass and under lock, the key of
which shall remain in the possession of a UNION representative.
These boards shall be used for the display of the following
notices: UNION meetings, UNION appointments, UNION elections, and
UNION social affairs. Any and all other notices to be posted on
said boards must first have the approval of the Plant Manager or
his designee. It is agreed that no UNION matter of any kind shall
be posted in and about the plant except on said boards.
ARTICLE 23
COMPANY RULES
63 a) It is further agreed by both parties to this Agreement that fair
treatment, good service, and due diligence in observance of the
rules as promulgated by the COMPANY are essential to the
maintenance of satisfactory working conditions and wages
described in this Agreement and for efficient production provided
that such rules as may be promulgated by the COMPANY shall not in
any way conflict with the terms of this Agreement.
30
ARTICLE 24
PRODUCTIVITY STATEMENT
64 a) The COMPANY and the Texas City Metal Trades Council agree that a
profitable and highly competitive Texas City plant enhances the
job security of all plant employees. Both parties recognize the
necessity of making productivity improvements to ensure the
future profitability and competitiveness of the plant.
b) While acknowledging their respective rights and obligations, the
COMPANY and the UNION further recognize that in today's rapidly
changing business environment a cooperative versus a
confrontational approach to labor relations matters is vital to
the plant's success. Specifically, the parties have endorsed the
following principles to reinforce their emphasis on this
productive collaboration:
1) A working environment that fosters increased effectiveness,
efficiency and productivity of plant operations is a highly
desirable goal all employees should contribute to achieving.
2) Timely, effective two-way communications are basic to
productive plant operations.
3) As appropriate, problem solving groups, as well as
participative concepts such as quality circles, may be
facilitated. Productivity improvement plans, programs and
results will be periodically reviewed with the Plant Union
Committee.
c) The COMPANY and the UNION recognize that it is desirable and
mutually beneficial to set up an annual meeting to review Work
Practices vs. Best of Class in Industry. The purpose of these
meetings would be to identify possible areas of improvement that
could enhance the Company's competitiveness within the industry.
d) During such meetings, possible areas of improvement identified
which would require modifying, amending, or waiving any of the
provisions of this Labor Agreement shall be implemented only by
mutual consent of both the COMPANY and the UNION.
ARTICLE 25
FUNERAL LEAVE
65 a) Employees with ninety (90) days of continuous service will be
given a three (3) day leave of absence to attend the funeral of
their spouse, child, parent, brother, sister, parent-in-law,
brother-in-law, sister-in-law, son-in-law, daughter-in-law,
grandparent, grandchild, stepchild, stepmother, stepfather, or
spouse's grandparent. These shall be three (3) consecutive
calendar days, one (1) of which must be the day of the funeral.
Employees will be paid for any such days lost from work at their
regular straight-time hourly rate, exclusive of any overtime or
other premium pay, provided such are their
31
regularly-scheduled work days. No employee shall receive funeral
leave pay for any day that is not a regularly-scheduled workday
nor for any day on which they are absent from work or on leave
for any other purpose.
b) Upon the death of a relative of an employee or employee's spouse
where said relative has been a long term resident of the
employee's household immediately prior to death and/or
confinement to a health facility, funeral leave provisions shall
apply the same as that which applies to the death of a person
defined above within the immediate family.
c) The COMPANY agrees that when a death in an employee's immediate
family, as defined above, occurs while the employee is on
vacation, the employee, with sufficient notice to the COMPANY may
stop their vacation and start their funeral leave in accordance
with this article.
d) An employee absent from their regular work schedule due to the
imminent death of a listed relative may receive funeral leave
provided such lost time occurs within the three-day period
selected by the employee as funeral leave under this article.
e) The COMPANY agrees to double the allotted Funeral Leave when two
or more listed family members die concurrently.
f) Upon return to work, employees shall complete and sign a COMPANY
"Funeral Leave Pay" form and submit satisfactory proof of
relationship to the deceased and of actual attendance at the
funeral.
g) An employee will be excused without the loss of straight time
earnings to serve as an active pallbearer on the day of the
funeral of an employee or retired employee of the Texas City
Plant. The request for the employee to serve must be from a
member of the deceased employee's immediate family and no more
than six (6) employees may be excused for such pallbearer service
at any one funeral. Where the employee or employees to be excused
would result in the impairment of plant operations, the COMPANY
reserves the right to limit the number of employees absent.
ARTICLE 26
STRIKES AND LOCKOUTS
66 a) All members of the UNION agree to conform to the rules and
regulations of the COMPANY insofar as they do not violate the
conditions of these Articles of Agreement. No member of the UNION
employed by the COMPANY shall be discriminated against for
upholding UNION principles not inconsistent with the terms of
this Agreement. The COMPANY and the UNION desire that production
shall continue without interruptions. The COMPANY and the UNION
further agree that good employer/employee relations cannot exist
unless there is a serious effort on the part of both the COMPANY
and the UNION to settle in a peaceable manner all disputes that
may arise. Therefore, as a means of promoting continued
production and
32
employment and improved employer/employee relationships, the
COMPANY and the UNION agree that the grievance procedure and
arbitration procedure provided in this Contract shall be used to
peaceably settle without strike disputes that are covered by such
grievance and arbitration procedure.
b) It is agreed that there will be no lockout by the COMPANY or
strike or work stoppage by the UNION.
c) In the event of such strike or work stoppage, there shall be no
liability on the part of the UNION, its officers or agents, if
such strike or work stoppage was not authorized, encouraged or
condoned by the UNION.
d) The UNION agrees to cooperate with the COMPANY and use means at
its disposal to settle such strike or work stoppage and request
such employees to return to work.
e) This provision shall no longer be binding on the COMPANY or the
UNION if either party has served proper notice requesting changes
or modifications of this Agreement in accordance with the terms
of Article 32 and either party has given written notice that is
discontinuing negotiations.
ARTICLE 27
GRIEVANCE PROCEDURE AND DISCIPLINE RECORDS
67 a) The parties to this Agreement agree that any dispute, complaints,
or grievance, except those pertaining to discharge, arising out
of the interpretation or application of the terms of this
Agreement, shall be settled promptly in accordance with the
following procedure:
1) It is understood and agreed that no complaint, dispute, or
grievance shall be submitted to either the COMPANY or UNION
AFTER A LAPSE OF TEN (10) DAYS FROM THE TIME THE INCIDENT
causing the complaint, dispute, or grievance shall have
occurred or become known to the employee.
2) STEP 1 - Any employee or group of employees either
individually or with, or through, their ▇▇▇▇▇▇▇, may discuss
with the immediate supervisor any complaint or other matter
which they feel requires clarification. The supervisor shall
have five (5) days in which to render a verbal decision to
said employee(s) and the ▇▇▇▇▇▇▇ involved, if any. Should the
decision fail to bring about a satisfactory settlement in the
matter, it may become a grievance and may be handled in
accordance with Step 2.
i) It is understood that when a group of employees desire a
clarification on a matter in which they are commonly
involved, one employee in the group, with or through the
▇▇▇▇▇▇▇, if desired, shall be designated by the group to
discuss the matter with the supervisor. Matters which do
not affect the employees as a group in a common manner,
or which may require individual adjustment, shall be
presented on an individual basis.
33
3) STEP 2 - Within five (5) days of receipt of the verbal
decision at Step 1, the employee or group of employees,
either individually or through their ▇▇▇▇▇▇▇, may file the
grievance, on forms provided by the COMPANY and the UNION,
through the immediate supervisor to their department head.
Within five (5) days of receipt of the grievance, the
department's supervision, and a representative of the Human
Resources Department shall meet with the employee, their
▇▇▇▇▇▇▇, the appropriate Plant/Union Committeeman and the
Business Manager of the UNION or designee, for the purpose of
discussing the grievance. Supervision shall have five (5)
days in which to render a decision. If the decision brings
about a satisfactory settlement of the matter, it shall be
reduced to writing and shall be delivered to the employee,
the ▇▇▇▇▇▇▇ and the UNION.
i) If the decision fails to bring about a satisfactory
settlement, it may be appealed in writing by the
employee or group of employees, either individually, or
through their ▇▇▇▇▇▇▇, to the Plant Manager or designee,
within ten (10) days of the decision and will be handled
in accordance with Step 3.
4) STEP 3 - A grievance appealed to Step 3 will be entered on
the agenda of the next meeting of the Plant/Union and the
Plant Management Committees if the appeal is received at
least ten (10) days prior to its scheduled meeting. If
received within the ten (10) day period prior to a meeting,
it shall be placed on the agenda for the following meeting.
5) An employee having a grievance in regard to contractual sick
pay benefits may file a grievance directly with the Human
Resources Department, who shall have five (5) days' time in
which to investigate and answer the grievance. Should the
answer fail to bring about a satisfactory settlement to the
grievance, then the employee may, within five (5) days,
appeal the grievance directly to Step 3 of the grievance
procedure.
6) After discussion of the grievance by the Plant/Union and
Plant Management Committees, it shall be answered, in
writing, to the UNION within ten (10) days. If the grievance
is settled at Step 3, the answer shall reflect the
settlement. If the grievance has not been settled, then the
COMPANY'S answer shall state why the grievance is denied.
b) The COMPANY and the UNION recognize that it is desirable and
mutually beneficial to have regular monthly meetings for the
purpose of discussing any grievances placed on the agenda for the
respective meeting. For this purpose, the representatives of the
UNION shall consist of a committee designated by the UNION and
shall be called the Plant/Union Committee (PUC), of which there
shall be nine (9) employee members. Employees in the probationary
period of employment shall not be eligible for membership on the
PUC. Membership on the PUC shall consist of four (4) members of
the primary maintenance crafts, one (1) member from the General
34
Mechanic/Support skills and four (4) members from operations.
c) If an employee is discharged, the COMPANY, within three (3) days
of the discharge, shall, on request of the employee provide the
employee with a written statement of the reason or reasons for
the action taken. If the UNION desires to protest the discharge,
the UNION, instead of following the procedure set forth in Steps
1 and 2 of the Article, may, within ten (10) days after the
discharge in question, file directly with the COMPANY, a written
request for a hearing. Such hearing shall be held within two (2)
days after receipt by the COMPANY of such written request. At
such hearing, evidence may be presented on behalf of the one
discharged and by the COMPANY.
d) If the evidence presented by the UNION to the COMPANY warrants
the reinstatement of the discharged employee or employees, such
reinstatement shall be to their former position without loss of
seniority or vacation credits. All other terms of the
reinstatement may be agreed upon between the COMPANY and the
UNION at this time. If the COMPANY and the UNION cannot agree
that the discharge was justified, the dispute may be referred to
arbitration in accordance with the procedure set forth below.
e) If a grievance or discharge protest cannot be settled to the
mutual satisfaction of the COMPANY and UNION in Steps 1 through 3
or as otherwise provided above, the UNION shall have forty-five
(45) days during which to notify the COMPANY of their desire to
arbitrate the dispute.
f) Except where stated otherwise, all time limits noted in this
Article are exclusive of Saturdays, Sundays and holidays as
listed in Article 4, Sec. 3 (a). Extensions of time limits as set
forth in this Article, may be requested by either the COMPANY or
the UNION to take care of unusual cases.
g) Whenever a supervisory employee places charges or letters of
reprimand on an employee's record, a copy of such charges or
letters of reprimand must be furnished to such employee. Any
charges or letters of reprimand made against an employee may be
referred by the employee to the grievance procedure for handling
if the employee feels the charges or letters of reprimand are
unfounded or not justified.
h) If an employee has gone a period of twenty-four (24) months
without receiving a letter of warning or reprimand, no letters
issued to the employee previously (except those which involved
disciplinary suspension) will be used for the purpose of further
disciplinary action. Disciplinary suspension will be limited to
five (5) years for the purpose of further disciplinary action.
ARTICLE 28
ARBITRATION PROCEDURE
68 a) If a grievance has not been settled to the mutual satisfaction of
the COMPANY and Union after completing Step 3 of the grievance
procedure provided above, the UNION
35
shall have forty-five (45) days during which to notify the
COMPANY of their desire to arbitrate the dispute. A panel of five
(5) neutral arbitrators shall be requested in writing from the
Federal Mediation and Conciliation Service (FMCS), a copy of such
letter will be given to the other party. Upon receipt of the
panel of arbitrators, the parties shall alternately strike same,
with the first strike determined by flip of a coin.
b) Grievances appealed to arbitration but not scheduled for hearing
within 12 months of the appeal are considered to be dropped.
c) The COMPANY and the UNION shall bear the expenses of their
respective advocates. All other expenses of the arbitration shall
be borne by and divided equally between the UNION and the
COMPANY.
d) The arbitrator selected shall have no power or authority to
amend, alter or modify this Agreement, including any appendices
hereto, but shall be limited to deciding whether or not a
violation of its express terms has been committed. The decision
of the arbitrator shall be final, conclusive and binding upon all
employees, the UNION and the COMPANY. The arbitrator shall have
no power to establish wage scales, rates for new jobs, or to
change any wage. He shall have no power to substitute his
discretion for that of the COMPANY in cases where the COMPANY has
retained discretion or the right to act under this Agreement. The
arbitrator shall, in his decision, specify whether or not the
decision is retroactive or the effective date thereof.
e) Time limits: If the UNION or Grievant fails to observe the time
limits set forth in the Grievance or Arbitration Procedures, the
grievance shall be considered closed and no further proceeding
thereon shall lie. If the COMPANY fails to meet the time limits
set forth, the grievance may be appealed to the next step of the
grievance or arbitration procedures.
ARTICLE 29
ABROGATION OF CONTRACT ARTICLES
69 Should any part hereof, or any provisions herein contained, be
rendered or declared invalid by reason of any existing or subsequently
enacted legislation or by a decree of a court of competent
jurisdiction, such invalidation of such part or portion of this
Agreement shall not invalidate the remaining portion hereof and they
shall remain in full force and effect.
ARTICLE 30
OCCUPATIONAL & NON-OCCUPATIONAL
ACCIDENT AND SICKNESS PLAN
70 SECTION 1
a) This Benefit Plan is provided to aid employees in meeting their
expenses while suffering from an illness or accident in
accordance with the following schedule:
36
MAXIMUM NUMBER
PLANT SERVICE CREDIT OF WEEKS BENEFIT
-------------------- ----------------
Six months to 1 year 12 weeks
Over 1 year 26 weeks
b) Plant Service Credit shall mean employment with the COMPANY,
which is credited to the employee from the records of the COMPANY
and shall start with the employee's hiring date with the COMPANY.
No credit shall be given for absence due to leave of absence,
layoff or strikes.
71 SECTION 2
a) Maximum Number of Weeks Benefits is determined by the employee's
Plant Service Credit, and all disability periods occurring within
the Plant Service Credit year will be totaled for the purpose of
computing the Maximum Benefits allowed for that year.
b) Unused benefits during a Plant Service Credit year may not be
carried over to the next Plant Service Credit year.
c) An employee whose continuous absence due to an illness or injury
extends from one (1) service year to another shall be entitled to
a maximum of twenty-six (26) weeks benefits for that disability.
An employee whose continuous absence exceeds such Maximum
Benefits must return to work for a period of sixty (60) days for
a related disability or one (1) day for an unrelated disability
in order to receive further benefits to which they may be
entitled. Total benefits will not exceed twenty-six (26) weeks in
a Plant Service Credit year.
72 SECTION 3
a) The Plan provides benefits based on a normal workweek of forty
(40) hours and a normal day of eight (8) hours. In case the
number of hours in the normal workweek or workday is changed, the
benefits listed below will be changed in direct proportion to the
change in the scheduled working hours.
b) The benefits provided for herein shall be less any amount or
amounts of disability benefits which may be provided for through
the State or Federal legislation, Workers Compensation, or
benefits provided in the Hourly Disability Benefit Plan.
73 SECTION 4
a) This Benefit Plan will provide benefit payments based on the
employee's base hourly rate, exclusive of all premium pay.
Benefit payments will be made for an employee's disability for
each scheduled workday up to the maximum number of weeks for
which
37
the employee is eligible according to the schedule in Section 1.
b) The COMPANY will provide benefits in an amount equal to 90% of an
employee's base straight-time earnings for workdays lost due to
non-occupational disability and up to 100% of an employee's base
straight-time earnings for workdays lost due to occupational
disability.
c) An employee who has completed the probationary period but has
less than six (6) month's service and otherwise is qualified for
benefits from this Plan on a holiday will be guaranteed up to
eight (8) hours pay.
74 SECTION 5
a) An employee must present evidence satisfactory to the COMPANY,
showing that an absence is due to illness or accident within the
meaning of this Plan on forms provided by the COMPANY.
b) The employee, the doctor, or a member of the family must report
an employee's absence to the Health Services Department by the
third day of absence. Failure to comply will be considered an
absence without leave.
c) Additionally, an employee's occupational injury or illness must
be reported to supervision as soon as it becomes known to the
employee or it will be considered a late report and subject to
disciplinary action.
d) Employees must adopt such remedial measures as may be
commensurate with their disability and permit such reasonable
examinations and inquiries by the COMPANY'S Health Services
Department representative as, in its judgment, may be necessary
to ascertain the employee's condition.
75 SECTION 6
a) Payments will not be made for:
1) Any period of disability during which the employee is not
under treatment by a licensed physician or a licensed
chiropractor.
2) Any disability caused directly or indirectly by war or riot.
3) Any sickness or injury due to the employee's
i) Willful intention to injure oneself or another;
ii) Intoxication or the use of drugs except when in an EAP
approved treatment program for substance abuse.
38
4) Any disability occurring while the employee is working for
wages or profit.
5) Any disability due to misconduct.
6) Any disability when an employee is absent because of
layoffs, strikes, or leave of absence or on vacation. Any
employee who is injured or becomes sick during vacation and
is unable to return to work at the end of the vacation shall
qualify for benefits in accordance with the Plan.
b) All benefits under this plan shall cease immediately when
employment with the COMPANY is terminated for any reason.
76 SECTION 7
a) The COMPANY reserves the right to withhold benefit payments to
any employee who is guilty of submitting a false claim or of
abuse of the privileges covered and may take disciplinary action
including discharge.
77 SECTION 8
a) Employees receiving sick benefits under this Article at the time
a work stoppage occurs will continue to be covered under this
Article until certified able to return to work. Employees whose
illness or injury occurs after a work stoppage begins will not
receive benefits, as set forth in this Article, until the
settlement of the work stoppage.
78 SECTION 9
a) The COMPANY agrees that when an employee becomes ill or is
injured while on vacation and is certified as disabled by a
licensed physician, they will be able to cancel subsequent full
weeks of vacation beyond the week in which they become certified
as disabled upon proper notification to the COMPANY.
b) The COMPANY agrees that if an employee is hospitalized while on
vacation, the employee's vacation may be canceled and the
employee placed on sick leave on the day of hospitalization. For
purposes of this paragraph, the day is defined as the payroll day
appropriate to the employee's regular work schedule.
ARTICLE 31
WORK ASSIGNMENTS
79 a) There is no jurisdiction. Work will be assigned on the basis of
skill and ability taking into account that the needed skills will
be represented.
b) Bargaining Unit employees will not be required to train
non-Sterling personnel.
c) The Reliability Based Maintenance (RBM) Analyst assignment and
selection process will continue per the 1994 Agreement.
39
ARTICLE 32
CONTRACT PERIOD
80 a) This agreement shall become effective on the date of signing and
shall remain in effect until 4:00 p.m. on May 1, 2004, and the
same shall automatically renew itself from year to year
thereafter unless either party shall have given the other written
notice of desired changes or termination at least sixty (60) days
before the anniversary date.
b) This Agreement is in full settlement of all contractual issues in
dispute between the COMPANY and the UNION. The parties
acknowledge that during the negotiations which resulted in this
Agreement, each had the unlimited right and opportunity to make
demands and proposals with respect to any subject or matter not
removed by law from the area of collective bargaining, and that
the understanding and agreements arrived at by the parties after
the exercise of that right and opportunity are set forth in this
Agreement.
c) The COMPANY and UNION also agree that any subsequent agreement
reached within the duration of this Agreement will be in
compliance with applicable Federal laws, regulations, guidelines
and standards.
d) The Union and Sterling agree that all pending and unsettled
grievances will be subject to the Grievance and Arbitration
Process (including all timeliness and other defenses permitted by
the either the expired or new Agreement) and will not be affected
in any way by Article 32(b) of the Agreement. The parties further
agree that all pending unfair labor practice charges will not be
affected in any way by Article 32(b) of the Agreement. The
parties further agree that the Return to Work agreement dated
September 11, 2002 will not be rendered unenforceable by the
terms of this Article.
40
81 CONTRACT PERIOD: SEPTEMBER 28, 2002 TO MAY 1, 2004
STERLING CHEMICALS, INC.
-----------------------------------------------------------------------
PLANT MANAGER
-----------------------------------------------------------------------
HUMAN RESOURCES MANAGER
TEXAS CITY, TEXAS METAL TRADES COUNCIL AFL-CIO
-----------------------------------------------------------------------
President
-----------------------------------------------------------------------
Business Manager
ELECTRICAL WORKERS LOCAL NO. 527
By
-----------------------------------------------------------------------
OPERATING ENGINEERS NO. 347
By
-----------------------------------------------------------------------
PAINTERS AND PAPERHANGERS NO. 1008
By
-----------------------------------------------------------------------
BRIDGE, STRUCTURAL, ORNAMENTAL & REINFORCING IRON WORKERS NO. 135
By
-----------------------------------------------------------------------
INTERNATIONAL ASSOCIATION OF MACHINISTS NO. 6
By
-----------------------------------------------------------------------
41
CONTRACT PERIOD: SEPTEMBER 28, 2002 TO MAY 1, 2004
SHEET METAL WORKERS NO. 54
By
-----------------------------------------------------------------------
TEAMSTERS LOCAL NO. 968
By
-----------------------------------------------------------------------
CARPENTERS LOCAL NO. 973
By
-----------------------------------------------------------------------
INTERNATIONAL BROTHERHOOD OF BOILERMAKERS, IRON SHIP BUILDERS,
BLACKSMITHS, FORGERS AND HELPERS NO. 132
By
-----------------------------------------------------------------------
HEAT & FROST INSULATORS AND ASBESTOS WORKERS NO. 22
By
-----------------------------------------------------------------------
PIPEFITTERS LOCAL NO. 211
By
-----------------------------------------------------------------------
OPERATING ENGINEERS NO. 450
By
-----------------------------------------------------------------------
42
EXHIBIT A
TWELVE-HOUR SHIFT AGREEMENT
43
EXHIBIT A
TWELVE HOUR SHIFT AGREEMENT
This Agreement is applicable to Groups 1, 2, and 4 employees assigned to the 12H
Shift Schedule (designated 12H). In addition, only those Articles, Appendices
and Letters of Understanding specifically cited herein are modified by this
Agreement. Those provisions in the basic agreement not addressed here remain
effective for all employees affected by this Agreement as well as all other
represented employees.
The COMPANY will not relinquish its rights to determine hours and schedules of
work except as specifically limited in the Articles of Agreement. It is
expressly provided, however, that the COMPANY for legitimate business cause, may
cause the discontinuance of the use of the 12H Shift with at least ninety (90)
days notice of the effective date of such discontinuance.
DAY JOBS
Straight day employment shall be determined on the basis of senior qualified.
EXTRA OPERATORS
Employees in excess of the department's minimum staffing needs may be defined as
"extra". Extra employees will not receive pay at time-and-one-half (1-1/2)
premium for shift changes where notice was received more than twenty-four (24)
hours in advance of the start of the new shift.
WAGES
The hourly wage rate of an employee assigned to the 12H Rotating Shift Schedule
must be adjusted so as to provide the annual earnings under the 12H Shift
arrangement which shall equal that which the employee would have earned under
the 8-Hour Rotating Schedule if he/she worked an equal number of hours.
This adjustment is necessary due to the requirement of paying overtime hours
over eight (8) in a scheduled work day, and on holidays.
Under the 12H Schedule, an employee will work eight (8) hours at the straight
time rate and four (4) hours at the time and one-half premium rate. To make the
earnings for 12 hours of work equal to that which the employee would have earned
at the straight time rate, the eight-hour (regular negotiated) rate must be
reduced by multiplying said rate by a factor of 0.8685, and then rounding to the
nearest ▇▇▇▇▇.
The contractual wage rate of the various classifications affected by the 12H
Shift arrangement shall, as applies to those regularly assigned to the 12H
Schedule, be reduced by a factor of 0.8685. Calculation of the 0.8685 factor and
the application of the adjusted rate are attached at the end of this Exhibit.
Premium pay practices for holidays and shift differential, and pay continuation
practice for vacation, jury duty, etc. are attached in order by Article and
Section.
44
EXHIBIT A
TWELVE HOUR SHIFT AGREEMENT
EMPLOYEE BENEFIT PLANS
The COMPANY will make SIP matching contributions for 12H shift employees in
accordance with Exhibit D.
Life Insurance, and Disability Benefits will be calculated on 2080 annual hours
at the unadjusted rate with no benefit payment difference for an 8-hour or 12H
Shift employee with similar service for the COMPANY.
Under the Pension Plan, the scheduled 104 hours of overtime in the 12 Hour Shift
Schedule are applied in the calculation for bargaining unit average overtime.
OVERTIME
Operation on the 12H Shift (versus the 8 hour shift) prevents employees from
covering a vacant shift by holding over one-half of the shift and by the next
shift coming in early (total of 18 hours), or doubling over both shifts (total
of 24 hours). Therefore, the majority of overtime will have to be covered by
employees on the their days off.
The Overtime Agreement will be used throughout all the affected groups,
including day workers in those areas where 12H Shift employees work
Overtime coverage will be provided on a voluntary basis as described below until
an overtime group fails to meet its commitment to staff its respective unit
around-the-clock. If a voluntary system fails to provide the necessary coverage,
an alternate system will be initiated as required. A mandatory on-call system
will be implemented if the voluntary system fails to produce the number of
people required for overtime coverage.
o The 12H Shift will make some changes necessary in the overtime
procedures.
o Normally, it will be necessary to cover vacant shift with persons
on the off shifts.
o Overtime procedures are included in the document for all affected
groups.
o The UNION agrees to a firm commitment to staff the plant.
As a general practice, overtime will be pre-scheduled however practical by
scheduling the off shift for all known overtime before each shift's days off. If
there are no volunteers, the low person will be forced to work overtime. The
COMPANY will attempt up to twelve (12) hours before overtime is to begin to get
the lower off shift person.
Employees who are forced out on overtime and work up to or into their regular
shift, shall be excused from work on their regular shift without pay, once the
employee has performed twelve (12) hours of continuous work if the employee so
requests.
It is recognized that with a 12 Hour Schedule, it is no longer possible for an
employee to "hold over" one-half (1/2) the shift and another employee to come in
early one-half (1/2) the shift (total
45
EXHIBIT A
TWELVE HOUR SHIFT AGREEMENT
of 18 hours each), or "double over" (total of 24 hours). An employee cannot be
forced to work more than sixteen (16) consecutive hours.
Operators who work 8-hour day shift schedules in the overtime group, will comply
with this procedure on weekends and holidays.
When it is necessary to provide overtime coverage by calling in an employee, a
change in the overtime procedure is necessary to ensure adequate staffing of the
plant. A call-in list would provide names of employees eligible to work the 12
hours (i.e., capable of working the full shift without interfering with their
next scheduled shift). The employee with the lowest number of hours would be
contacted first, and on through the list.
An employee who accepts an overtime assignment, can later turn it down; however,
he/she will still be required to work unless another qualified employee (not the
standby or forced person) volunteers to work. Volunteers will not be sought
later than four (4) hours prior to the start of the shift.
When it is necessary to provide overtime coverage by calling in an employee, the
following procedure shall be followed:
1) Call the low person off shift who is eligible to perform the job. The first
person contacted by telephone may refuse the assignment, but if he/she
refuses, he/she will be informed that he/she is in the "forced" position.
If subsequent calls to other persons fail to produce volunteers, then the
"forced" persons will be required to report to work.
2) If the list of low persons off shift fails to produce the staffing
necessary, the following procedure shall be followed:
a) Force the on shift low person(s) on holdover for up to four (4) hours.
b) Force out low person on-coming shift for up to four (4) hours.
c) When necessary to do this, the middle four (4) hours will be covered
as the COMPANY sees fit.
d) This constitutes a breakdown in the voluntary system and may lead to
the Mandatory Procedure.
3) In those situations where it is anticipated that the overtime required on a
job shall not exceed eight (8) hours duration, the overtime will be offered
to those employees present in the plant or to the on-coming shift rather
than calling out the off shift.
MANDATORY OVERTIME PROCEDURE
Should the voluntary overtime system fail to provide coverage for overtime in an
overtime area, the COMPANY will review the circumstances and decide if the
voluntary system will continue
46
EXHIBIT A
TWELVE HOUR SHIFT AGREEMENT
to fail. If so determined, then the following Mandatory Overtime Procedure and
standby system will be initiated.
1) The primary shift (shift on short days off) and the secondary shift (shift
on 8-day long change) will provide the needed personnel for standby. A
volunteer list will be posted for employees desiring to stand by for
overtime on shift as they desire.
2) The number of standby personnel will be determined by management, dependent
on training, job flexibility and the number of jobs per overtime area, but
will be kept to the minimum necessary. Standby duties shall be rotated on
an equitable basis among all employees of the overtime group and will be
for the entire off period. It is preferred that different standby personnel
be scheduled for coverage of the day and night shift, of an off period.
Standby lists will be posted prior to the beginning of the employee's days
off.
3) The personnel on standby will not be scheduled for known overtime.
4) It will be the responsibility of the person(s) on standby to be available
by phone between 3:30 a.m. and 6:30 a.m. and/or 3:30 p.m. and 6:30 p.m. If
the standby personnel are not at home, it is their responsibility to let
the appropriate on-duty person know where they can be reached. Standby
personnel may, at the employee's option, check out a pager prior to the
start of their standby period in order to facilitate communication.
However, when pagers are unavailable, the standby employee will comply with
the mandatory overtime procedure. The employee is responsible for verifying
that the pager is working.
5) The person(s) on standby should be prepared to report to work by the
beginning of the shift.
CHARGING OF OVERTIME
An employee, who is contacted and refuses overtime, will be charged the total
hours paid for such overtime.
ARTICLE 3
HOURS OF WORK
SECTION 1
Work day will be defined as a consecutive twenty-four (24) hour period beginning
at 6:30 a.m.
12H SHIFT WORKERS
Twelve (12) consecutive hours of work per day shall constitute a days work. Day
shift will be from 6:30 a.m. to 6:30 p.m. and night shift will be from 6:30 p.m.
to 6:30 a.m. The payroll week for employees on the 12H Shift starts at 6:30 p.m.
Thursday, and runs until 6:30 p.m. the following Thursday. The payroll day
starts at 6:30 p.m. and runs until 6:30 p.m. of the following day. Shift workers
are permitted sufficient time to eat during their shift without loss of pay for
such period.
47
EXHIBIT A
TWELVE HOUR SHIFT AGREEMENT
The 12H Shift Schedule will be as follows:
Four 12-Hour Days
Two Days Off
Three 12 Hour Nights
Two Days Off
Three 12-Hour Days
Two Days Off
Four 12-Hour Nights
Eight Days Off
ARTICLE 4
OVERTIME AND HOLIDAYS
SECTION 1
a) An employee shall be paid at the rate of one and one-half (1-1/2) times his
adjusted rate for hours worked over eight (8) and up to twelve (12) and at
a rate of one and one-half (1-1/2) times his unadjusted rate for hours
worked in excess of twelve (12) within a given twenty-four (24) hour
payroll day.
b) For 12H Shift Workers, time worked in excess of their weekly scheduled
hours (36 or 48), shall be paid at the rate of one and one-half (1-1/2)
times the unadjusted base rate of pay.
SECTION 3
HOLIDAY AND HOLIDAY PAY
All holidays listed in the Articles of Agreement will be recognized. Holiday Pay
provisions begin at 6:30 a.m. on the day of the holiday.
Employees assigned to the 12H Shift Schedule shall receive the following pay for
holidays:
1) For holiday not worked: 8 hours times a premium factor of 1.151 times the
adjusted hourly rate.
2) For all regularly scheduled hours worked on a holiday: 2.879 times the
employee's adjusted hourly rate.
48
EXHIBIT A
TWELVE HOUR SHIFT AGREEMENT
a) For holiday hours worked outside the regular schedule, when it occurs
on the same shift as the last regularly scheduled shift worked: 1.5
times the unadjusted rate times hours worked during the first 8 hours
of the shift, plus 2.5 times the unadjusted rate times hours worked
during the last four hours of the shift, plus Item No. 1 above.
b) For holiday hours worked outside the regular schedule, when it occurs
on the opposite shift as the last regularly scheduled shift worked:
2.5 times the unadjusted rate plus Item No. 1 above.
All other provisions in the Articles of Agreement concerning holidays and
holiday pay shall continue to apply.
SECTION 5
SHIFT DIFFERENTIAL
For employees assigned to the 12H Shift, the contractual rate of shift
differential will be amended to provide:
o 6:30 a.m. to 6:30 p.m. - no differential
o 6:30 p.m. to 6:30 a.m. - $1.00 differential (adjusted where applicable
- 87.7 cents)
Employees assigned to the 12H Shift Schedule shall receive the following shift
differential pay for holidays and when working outside the regular 12H Schedule:
o For regularly scheduled hours worked on the night shift of a holiday:
2.879 times the adjusted shift differential rate of 87.7 cents.
o For hours worked on the night shift outside the schedule on a holiday:
2.5 times the contractual rate of $1.00.
o For all hours worked on the night shift outside the regular schedule,
excluding holidays: 1.5 times $1.00.
o For holidays not worked: No shift differential.
o For the night shift of the last scheduled day of rest worked (if all
days of rest worked): 2.0 times $1.00.
49
EXHIBIT A
TWELVE HOUR SHIFT AGREEMENT
ARTICLE 5
VACATION
The vacation policy will allow 8-hours excused absence to be taken during a
48-hour work week in conjunction with 40 hours vacation to fill out the period
between days off.
Remnant hours (4 or 8 hours remaining at the end of the vacation year) may be
used, at the employee's discretion as follows:
a) Take off with pay in conjunction with time off without pay, totaling 12
hours. This does not constitute an additional bank day.
b) Take pay in lieu of vacation (at the adjusted hourly rate).
c) A twelve (12) hour shift employee may opt to work his/her shift and take
remnant hours (four (4) or eight (8) hours) at the beginning or end of
their respective shift. This must be scheduled in advance to allow for
proper coverage of the shift. This does not constitute an additional bank
day.
d) When it becomes known in advance that an employee has remnant vacation
hours he/she may request to schedule these prior to the end of the vacation
year, but only if all other vacation has been used.
SECTION b)
The vacation pay, for employees entitled to vacation, is computed on the basis
of eight (8) hours times the adjusted hourly rate plus four (4) hours at time
and one-half the adjusted hourly rate for each twelve-hour shift taken as
vacation.
SECTION e)
An employee may place up to six (6) shifts (72 hours) of their vacation in a
vacation bank prior to January 1 with such days to be taken at any time during
the vacation year when requested by the employee. Three (3) bank days (36 hours)
may be taken with one (1) hours notice. Thirty (30) hours notice for the other
three (3) bank days (36) hours will be required except in cases of emergencies.
An employee will be allowed to convert one (1) 12 H bank day to three (3) four
hour bank days to be taken at the beginning or end of a shift, within a vacation
year. All three (3) four hour bank days must be used or lost. They cannot be
treated as remnants. These bank days must be scheduled with thirty (30) hours
notice and supervisor approval. No overtime meals will be granted for employees
covering four hour bank days.
The employee exercising the four hour bank day will be responsible for finding
coverage for the opening within the overtime guidelines.
50
EXHIBIT A
TWELVE HOUR SHIFT AGREEMENT
This will be implemented for a one (1) year trial period and after that year
will be continued with agreement between the UNION and the COMPANY.
An employee is entitled to one split for each forty (40) hours of vacation
earned.
SECTION m)
When a holiday is observed on an employee's scheduled vacation day, they will
have the option of an extra day vacation or eight (8) hours pay at 1.151 times
the adjusted hourly rate.
ARTICLE 6
SENIORITY
SECTION 9
JOB BIDDING PROCEDURE
Job Posting: The job vacancy will be posted for eleven (11) calendar days at
each of the main gates and on departmental bulletin boards within the plant.
ARTICLE 16
JURY SERVICE
Employees on the day shift (6:30 a.m. to 6:30 p.m.) are not required to report
back to work if dismissed from court duty at or after 12:30 p.m. Employees
dismissed before 12:30 p.m. are required to report for work and complete the
work day. COMPANY has the option to utilize the overtime replacement or to send
them home. Employees on the night shift (6:30 p.m. to 6:30 a.m.) are not
required to report for work if jury service commences less than eight (8) hours
from the end of the last shift, or if jury service is terminated less than eight
(8) hours before the beginning of the next shift.
Jury duty pay for hours excused as provided above shall be: first eight (8)
hours of a shift excused shall be at the adjusted rate and all hours excused
after eight (8) hours shall be at one and one-half (1-1/2) times the adjusted
rate.
ARTICLE 25
FUNERAL LEAVE
Employees will be given up to three (3) consecutive 12-hour days off, one (1) of
which must be the day of the funeral. Employees will be paid for funeral leave
days at eight (8) hours times the adjusted hourly rate plus four (4) hours at
time and one-half (1-1/2) the adjusted hourly rate.
51
EXHIBIT A
TWELVE HOUR SHIFT AGREEMENT
ARTICLE 30
OCCUPATIONAL & NON-OCCUPATIONAL
ACCIDENT AND SICKNESS PLAN
SECTION 4
The plan will provide benefit payments for 12H Shift employees, based on the
unadjusted hourly rate, exclusive of all premium pay, times 0.9524.
The COMPANY will provide benefits to a 12H Shift employee in an amount to equal
90% of the employee's adjusted base earnings for work time lost due to
non-occupational disability. The adjusted base will be calculated by multiplying
0.9524 times the unadjusted hourly rate times the hours lost. The benefits for
occupational disability will be equal to 100% of the employee's adjusted base
earnings for work time lost.
WAGE ADJUSTMENT
WAGE ADJUSTMENT
The intent of wage adjustment is to adjust hourly wage rate and shift
differential so the 12H schedule can be paid within contractual premium
agreements and:
1) Cause the employee no loss of earnings.
2) Pay the employee at least a 1.5 premium for the additional 104 hours per
year in the 12H schedule versus the existing 8-hour schedule, and
3 Keep the total cost of the 12H schedule at approximately the same cost of
the 8-hour schedule.
HOURS WORKED AND PAID UNDER 8-HOUR AND 12-HOUR SHIFT SCHEDULE
Presently, shift employees are scheduled to work an average of 2080 hours per
year. With a 12H shift, employees will be scheduled to work an average of 2,184
hours per year. Therefore, pay practices for the 12H shift must be calculated as
if the employee were working an additional 104 hours at least a 1.5 premium.
52
EXHIBIT A
TWELVE HOUR SHIFT AGREEMENT
A) Average annual earnings on the present 8-hour schedule, based on 2080 hours
worked.
HOURS PREMIUM HOURS
TYPE WORKED FACTOR PAID
---- ------- ------- -------
Total S/T Worked (excl. holidays) 2,017.1 1.0 2,017.1
Scheduled Holiday (Avg. = 7.86 days) 62.9 2.5 157.1
Holiday Off Hours (Avg. = 3.14 days) (25.1) 1.0 25.1
------- -------
2,080.0 2,199.3
Earnings = 2,199.3 ($16.73) = $36,794.29
B) Average annual earnings under an 8-hour, 2,184-hour schedule:
HOURS PREMIUM HOURS
TYPE WORKED FACTOR PAID
---- ------- ------- -------
Total S/T Worked (excl. holidays) 2,017.1 1.0 2,017.1
Additional hours at 1.5 premium 100.9 1.5 151.4
Scheduled Holiday (Avg. = 8.25 days) 66.0 2.5 165.0
(includes 3.1 additional hours)
Holiday Off Hours (Avg. = 2.75 days) (22.0) 1.0 22.0
------- -------
2,184.0 2,355.5
Earnings = 2,355.5 ($16.73) = $39,407.52
C) Average annual earnings under the 12H, 2,184-hour schedule:
HOURS PREMIUM HOURS
TYPE WORKED FACTOR PAID
---- ------- ------- --------
Scheduled S/T (excl. holidays) 1,412 1.0 1,412.0
Scheduled O/T (excl. holidays) 706 1.5 1,059.0
Holiday Hours (Avg. 5.5 days) 66 2.879 190.0
Holiday Off Hours (Avg. 5.5 days) (44) 1.151 50.6
------- --------
2,184 2,711.6
Annual earnings are the same as in Case B = $39,407.52
Wage Rate = $39,407.52 = $14.53
----------
2,711.6
53
EXHIBIT A
TWELVE HOUR SHIFT AGREEMENT
Ratio of 12H rate to 8-hour rate =
$16.73 = 1.151 $14.53 = 0.8685
------ ------
$14.53 $16.73
Earnings 2,711.6 ($14.53) = $39,399.55
SHIFT DIFFERENTIAL
Currently, shift employees receive shift differential for working the evening
and midnight shifts. When premium rates apply to hours worked, the same premium
is applied to shift differential.
Under the 12H shift, shift differential will be paid for the night shift only,
therefore, the rate must be adjusted to keep annual earnings the same. Shift
differential will continue to be increased by premium rates, and will continue
to be paid only for hours worked.
A) Average Annual Shift Differential under the present 8-hour schedule,
based on 2,080 hours worked:
HOURS PREMIUM HOURS
TYPE WORKED FACTOR PAID RATE EARNINGS
---- ------ ------- ----- ----- ---------
Eve Shift (excl. holidays) 672.4 1.0 672.4 $0.50 $ 336.20
Mid Shift (excl. holidays) 672.4 1.0 672.4 $1.00 $ 672.40
Holiday Eve Shift 21.0 2.5 52.5 $0.50 $ 26.25
Holiday Mid Shift 21.0 2.5 52.5 $l.00 $ 52.50
---------
$1,087.35
B) Average Annual Earnings on the present 8-hour schedule, based on 2,184
hours worked:
HOURS PREMIUM HOURS
TYPE WORKED FACTOR PAID RATE EARNINGS
---- ------ ------- ----- ----- ---------
Eve Shift S/T (excl. holidays) 672.4 1.0 672.4 $0.50 $ 336.20
Eve Shift O/T (excl. holidays) 33.6 1.5 50.4 $0.50 $ 25.20
Mid Shift S/T (excl. holidays) 672.4 1.0 672.4 $1.00 $ 672.40
Mid Shift O/T (excl. holidays) 33.6 1.5 50.4 $1.00 $ 50.40
Holiday Eve Shift 22.0 2.5 55.0 $0.50 $ 27.50
Holiday Mid Shift 22.0 2.5 55.0 $l.00 $ 55.00
---------
$1,166.70
54
EXHIBIT A
TWELVE HOUR SHIFT AGREEMENT
C) Average Annual Shift Differential on the 12H shift schedule, based on
2,184 hours worked:
The 12H shift differential rate (unadjusted) is calculated as follows:
8-Hour Schedule 12H Scheduled
--------------- -------------
Days $0.00/hr. * 8 = $0.00 Days - No differential
Eves. $0.50/hr. * 8 = $4.00 Nights - $12.12 hr. = $1.00/hr
Mid $1.00/hr. * 8 = $8.00
----------
$12.00/day
HOURS PREMIUM HOURS
TYPE WORKED FACTOR PAID RATE EARNINGS
---- ------ ------- ------- ----- ---------
S/T Night Shift (excl. holidays) 706 1.0 706.0 $1.00 $ 706.00
O/T Night Shift (excl. holidays) 353 1.5 529.5 $1.00 $ 529.50
Holiday Night Shift 33 2.879 95.0 $1.00 $ 95.00
------- ---------
1,330.5 $1,330.50
------- ---------
Therefore, the negotiated shift differential must be adjusted by:
$1,166.70 = 0.877
---------
$1,330.50
to keep annual earnings the same.
Annual Earnings = $1,330.5 (0.877) $1,166.85
SUMMARY -- COMBINED ANNUAL EARNINGS
A) Under present 8-Hour (2,080 hours) schedule:
Straight Time, O/T & Holiday Wages $36,794.29
Shift Differential 1,087.35
----------
$37,881.64
B) Under an 8-hour (2,184 hours) schedule:
S/T, O/T & Holiday Wages $39,407.52
Shift Differential 1,166.70
----------
$40,574.22
55
EXHIBIT A
TWELVE HOUR SHIFT AGREEMENT
C) Under the 12H (2,184 hours) schedule:
S/T, O/T & Holiday Wages $39,399.55
Shift Differential 1,166.85
----------
$40,566.40
PAY RATES
Premiums under the 12-hour schedule will be as follows:
A) Straight time hours as part 1.0 x 12 hour base
of the regular schedule 1.0 x $14.53 = $14.53
B) Overtime hours as part 1.5 x 12 hour base
of the regular schedule 1.5 x $14.53 = $21.80
C) Hours worked beyond 12. 1.5 x $16.73 = $25.10
OR
Hours worked outside regular schedule.
OR
Hours worked for schedule change outside contract notice.
D) Hours worked on last schedule day of rest (if 2.0 x $16.73 = $33.46
all days of rest worked that week).
E) Hours worked on scheduled 2.879 x 12 hour base
holiday up to 12 hours. 2.879 x $14.53 = $41.83
F) Hours worked on holiday outside regular schedule 2.5 x $16.73 = $41.83
G) Vacation Pay, Jury Duty, 8 Hrs. x 12-Hour base
Funeral Pay, etc. + 4 Hrs. x 1.5 x 12-Hour base
H) Holiday not worked (8 hours) 1.151 x $14.53 = $16.72
56
EXHIBIT A
TWELVE HOUR SHIFT AGREEMENT
EXAMPLE OF SICKNESS PLAN CALCULATIONS
Basis: 2-Week Sickness
Ratio of 8-Hour to 12-Hour Schedules
80-Hours/2 Weeks = 0.9524
----------------
84-Hours/2 Weeks
40-Hour Weeks - Current Schedule
40 x 2 x $16.73 x 0.90 = $1,204.56
36/48-Hour Weeks - 12H Schedule
(36 + 48) x $16.73 x 0.9524 x 0.90 = $1,204.58
---------
Difference = $ 0.02
---------
57
EXHIBIT A
TWELVE HOUR SHIFT AGREEMENT
JANUARY 31, 1991
INTERPRETATION OF ATTACHMENT E
12 HOUR SHIFT, OPERATIONS OVERTIME AGREEMENT
Page 20 applies to scheduled overtime, and
Page 21 applies to call-out overtime
SCHEDULED OVERTIME, ATTACHMENT E PAGE 20
It is our intent to inform people, by their last work day, of any scheduled
overtime needs known to exist during their off days. Adequate notice should be
provided when scheduled overtime wants to be turned down so that coverage can be
arranged no later than 12 hours prior to the start of the overtime period. If no
replacement can be arranged, the employee remains scheduled for the overtime
assignment.
CALL-OUT OVERTIME, ATTACHMENT E PAGE 21
It is our intent to arrange for overtime coverage as far in advance as possible,
once a need has been identified. Less than a 4-hour notice should be necessary
only when short notice illness, emergency, or 1-hour day bank day requests are
received. Therefore, a crew on off days will be contacted as soon as possible
once a vacancy exists. Each department can determine an appropriate method to
contact people for overtime coverage.
If a person accepts a call-out overtime assignment, he can later turn it down,
if coverage can be arranged no later than 4 hours prior to the start of the
overtime period.
/s/ ▇. ▇. ▇▇▇▇▇▇▇ /s/ ▇▇▇▇▇ ▇. ▇▇▇▇▇▇
---------------------------------- ----------------------------------------
FOR THE UNION FOR THE COMPANY
6/2/93 6/2/93
---------------------------------- ----------------------------------------
DATE DATE
58
EXHIBIT B
WAGE RATES
*Ratification Pct.
Date Incr.
------------- -----
I&E $25.46 3.5%
Machinist $25.38 3.5%
Boilermaker ** $24.52 0%
Pipefitter ** $24.52 0%
Operating Engineer ** $24.52 0%
General Mechanic ** $24.52 0%
Lab Analyst ** $24.52 0%
Outside Operator ** $24.52 0%
Pumper ▇▇▇▇▇▇ ** $24.52 0%
* Wages will become effective on date of contract signing following
ratification by the Bargaining Unit and will remain as reflected above for
the term of the contract. Pay increases will not be retro-active.
** Each Boilermaker, Pipefitter, Operating Engineer, General Mechanic, Lab
Analyst, Outside Operator and Pumper ▇▇▇▇▇▇ employed by Sterling Chemicals
at ratification will receive a lump sum payment of $1200 on the 30th day
after the ratification date of the contract, provided he/she has remained
actively employed by the COMPANY through that date.
59
This page intentionally left blank.
60
EXHIBIT C
APPRENTICESHIP AGREEMENTS
CHEMICAL PROCESS OPERATOR
APPRENTICESHIP STANDARDS
STERLING CHEMICALS, INC.
ITS SUCCESSORS AND ASSIGNS
AND
THE TEXAS CITY, TEXAS
METAL TRADES COUNCIL, AFL-CIO
OF TEXAS CITY, TEXAS
REVISED DECEMBER 18, 1998
61
EXHIBIT C
APPRENTICESHIP AGREEMENTS
CHEMICAL PROCESS OPERATOR APPRENTICE STANDARDS
These Standards for the training of Operators (Group 1) have been prepared and
adopted jointly by Sterling Chemicals, Texas City, Texas and the Texas City,
Texas Metal Trades Council, AFL-CIO.
It is essential that chemical process operators be broadly trained in the
practical and mechanical aspects of their work in order to develop skills which
will be valuable to the COMPANY and themselves. These skills will be obtained
both on and away from the job. The Apprenticeship Standards have as their broad
purpose the establishment, maintenance, and improvement of high standards of
training and performance among chemical process operators (Group 1) employed by
the COMPANY in order to assist them in developing such necessary skills.
Provisions outlined in the Operator Apprenticeship Standards may be modified by
mutual agreement between the COMPANY and the UNION, and either party reserves
the right to terminate these Operator Apprenticeship Standards by giving written
notice at least sixty (60) days prior to the desired date of termination..
Both parties agree that these Standards, to be acceptable, must be certified by
the Bureau of Apprenticeship and Training.
It is further agreed that should the registration agency require any changes in
the Standards, the parties will meet and discuss these recommendations.
SECTION 1 - DEFINITIONS
The following terms, as used herein, shall be construed as follows:
A) "COMPANY" shall mean Sterling Chemicals, Inc., Texas City, Texas.
B) "UNION" shall mean Texas City, Texas Metal Trades Council, AFL-CIO.
C) "Apprentice Training Supervisor" shall be that Management Representative
assigned by the COMPANY who is responsible for the maintenance of records
and coordination of the apprenticeship program.
D) "Apprentice Job Instructor" shall mean personnel of the COMPANY who are
qualified in the work being performed and selected by the Manufacturing
Superintendent, to instruct apprentices on the job or in the plant.
E) "Apprentice" shall be a person who has been properly selected for training
and who has signed an agreement with the COMPANY to train as an apprentice
operator, as outlined in these Standards.
62
EXHIBIT C
APPRENTICESHIP AGREEMENTS
F) "Apprenticeship Agreement" shall mean a written agreement between the
COMPANY and the employee selected for and classified as an Operator
Apprentice. (A sample copy is attached.)
G) "Parties to the Operator Apprenticeship Agreement" shall mean the
apprentice, his/her parents or guardian (if he/she is a minor), and a duly
authorized representative of the COMPANY, each of whom shall sign the
agreement.
H) "Operator Apprenticeship Advisory Committee" shall mean the persons
selected to confer with Management on operator training problems. This
committee shall be composed of three UNION operators and three MANAGEMENT
representatives.
I) Apprenticeship Standards" shall mean this entire exhibit including these
definitions.
J) "Classroom instructor" shall mean personnel who are associated with or
trained in operating work and who meet the qualifications required by the
Texas Education Agency and selected to instruct apprentices in their
instruction classes."
K) "Registration Agency" shall mean the Bureau of Apprenticeship and Training.
SECTION 2 - ADMINISTRATION
The administration of these Standards and the supervision of the following
duties shall be under the general direction of the Plant Manager or his
representative, whose duty it shall be:
A) To see that each prospective apprentice is interviewed and impressed with
the responsibilities he/she is about to accept, as well as the benefits
he/she will be entitled to receive.
B) To accept or reject applicants for apprenticeship after proper examination
and interviews, and execute the Operator Apprenticeship Agreement.
C) To recommend apprenticeship agreement for registration with the
Registration Agency.
D) To see that adequate records are kept of all apprentices' progress.
E) To see that apprentices are given a variety of work experience which is
outlined under Section 15 hereof, and that they are properly instructed in
their respective jobs.
F) To certify completion of training to the Registration Agency who will issue
a certificate.
G) To recommend candidates as Classroom Instructors and to require periodic
reports from the Instructors.
63
EXHIBIT C
APPRENTICESHIP AGREEMENTS
H) To hold periodic meetings with the plant Operator Apprenticeship Advisory
Committee and other consultants of interested agencies that may offer
suggestions for the improvement of the program.
I) To request the supervisor to see that safety practices and principles are
incorporated in the training of all apprentices.
J) To advise the Registration Agency of the cancellation of Apprenticeship
Agreements.
SECTION 3 - SUPERVISION OF APPRENTICES
A) Apprentices shall perform work in connection with their training under the
supervision of their immediate supervisor, who will be assisted by an
Apprentice Job Instructor. Apprentices shall be responsible for tracking
hours worked in each training category on a regular and ongoing basis and
ensuring that the total training hours logged in each category are
consistent with the requirements of the apprenticeship program.
B) The Apprentice Training Supervisor shall keep a record of the progress of
each apprentice, both on the job and in the classroom, and shall keep the
Management and Operator Apprentice Advisory Committee informed of same. If
on consultation with the Manufacturing Superintendent, the Job Instructor
or Classroom Instructor, he/she finds that an apprentice shows lack of
interest or does not appear to have the ability to be an operator, he/she
shall place all the facts in the case before the Management. Under these
circumstances, an apprentice may be placed in a probationary status.
Apprentices are responsible for taking the initiative to consult with the
Apprentice Training Supervisor and the Apprentice Job Instructor as
frequently as is needed to ensure that assignments and hours worked are
properly distributed among the various apprentice training categories to
adequately prepare the apprentice for interim and final examinations.
C) An apprentice who fails a portion of his/her training program, either on
the job or related classroom work, because of absenteeism, a lack of
interest, or does not appear to have the ability to be an operator, will be
placed in a probationary status and will be required to satisfactorily
complete the specified area of training in which he/she failed. He/she will
not receive merit increases during this probation. When he/she has
satisfied the requirements of his/her probation, his/her next merit
increase shall be at his/her indicated calendar pay level. No merit
increase will be retroactive. Only one probation will be allowed and that
period shall not exceed six (6) months. If an apprentice fails to satisfy
the requirements of his/her probation, his/her Apprenticeship Agreement
will be terminated, and if his/her apprenticeship agreement is terminated
his/her employment will be terminated. If probation is for poor related
classroom performance, this period will be added to the end of the
apprentice's program. If this extended work is not completed, the employee
will be terminated.
64
EXHIBIT C
APPRENTICESHIP AGREEMENTS
SECTION 4 - APPRENTICE ELIGIBILITY REQUIREMENTS
Applicants before being accepted for training must be able to meet the following
requirements
A) Education qualifications for candidates hired on or after May 1, 1993, are:
1. Junior College Basic Petrochemical Operators Course,
2. Three (3) hours of a college level math,
3. Six (6) hours of a college level science,
4. With a GPA of 2.5 or better (A=4.0).
B) Be of legal working age
C) Meet physical and mental requirements of the position
D) Willing to work shift work and overtime
E) Willing to serve on Fire Squad
SECTION 5 - SELECTION OF OPERATOR APPRENTICES
A) The success of the apprenticeship program is facilitated by a careful
selection of candidates. The greatest care will be exercised in selecting
the best qualified applicants. Consideration will be given to physical
qualifications, interest, aptitude, mental capacity to absorb and profit by
the instruction given on the job and the classroom, past history and
accomplishments, background, and general acceptability as a candidate for
apprentice training. Present employees will be considered before outside
candidates. These factors will be determined by interview and examination
of relevant material. It shall be the responsibility of Management to
exercise final judgment with respect to relative fitness of candidates.
B) Selection of apprentices under the program shall be made from qualified
applicants on the basis of qualifications alone and without regard to race,
religion, color, national origin, age, sex, veteran status or disability in
accordance with objective standards which permit review after full and fair
opportunity for application; and this program shall be operated on a
completely nondiscriminatory basis.
SECTION 6 - NUMBER OF APPRENTICES
At no time should the number of apprentices be more than one (1) apprentice to
every two (2) operators on a departmental basis unless mutually agreed to by the
parties.
65
EXHIBIT C
APPRENTICESHIP AGREEMENTS
SECTION 7 - TERM OF TRAINING
The usual term or duration of training for the Operator Apprentices within the
plant shall be thirty-six (36) months. The term shall be divided into six (6)
month periods of advancement. An apprentice may be required to make up extended
absences before being advanced to the next period.
SECTION 8 - PROBATIONARY PERIOD
A) The first one-hundred thirty-five (135) days of training shall be a
probationary period for new employees. During this probationary period the
operator apprentice will be very carefully checked to determine his/her
fitness to continue the training. Should it become evident that he/she does
not have the necessary qualifications to continue successfully, he/she will
be promptly released so that he/she may possibly continue in some other
line of work for which he/she may be better qualified. The advantage of
apprenticeship will be reserved for those who can and do make the best of
opportunities offered.
B) Probationary Period as used in this Section 8 is the contractual probation
as provided in the Articles of Agreement and should not be confused with
the probation as provided in Section 3 of these Chemical Process Operator
Apprenticeship Standards.
SECTION 9 - APPRENTICESHIP AGREEMENT
The apprentice, and if he/she is under 21 years of age, his/her parents or
guardian, shall be required to sign an Operator Apprenticeship Agreement and
such agreement shall also be signed by the COMPANY. The following shall receive
copies of the Agreement:
A) The Operator Apprentice
B) The COMPANY
C) The UNION
D) Registration Agency (Bureau of Apprenticeship & Training)
SECTION 10 - WAGES
A) Operator Apprentices will be paid according to the wage schedule for
Operator Apprentices in the current Articles of Agreement.
66
EXHIBIT C
APPRENTICESHIP AGREEMENTS
B) The apprentice will be required to pass either an oral or written
examination covering his/her work experience for the current period of
apprenticeship before each advancement in the wage schedule.
C) All qualified applicants who have had previous experience and are accepted
as an operator apprentice will be positioned in the Operator Apprenticeship
Training Program within the first six (6) months of employment. They will
be positioned in the wage schedule in accordance with the applicable
experience and training after their record has been checked and evaluated
by the Apprentice Training Supervisor and the Operator Apprentice Advisory
Committee.
SECTION 11 - BASIC WORK TRAINING SCHEDULE
Apprentices shall receive training as outlined in Section 15, hereof, together
with any other instruction which will assist in the development of future
operators. Operator apprentices shall not be charged with refusal of overtime
when they must refuse because of interference with related instruction classes
of apprentices.
SECTION 12 - RELATED INSTRUCTION
Operator Apprentices will be required to complete a minimum of one-hundred
forty-four (144) hours per year of related and technical instruction such as but
not limited to mathematics, physics, chemistry, instrumentation, and unit
operations. Related classroom instruction will begin at the start of the first
regular semester after date of hire, and will continue for three (3) consecutive
years. An apprentice will not graduate from the program until he/she has
successfully completed his/her related classroom instruction. The cost of
miscellaneous stationery materials required for classroom instruction held
outside of scheduled working hours shall be paid for by the Operator Apprentice.
The cost of books, manuals, related instructional material and tuition required
for classroom instruction held outside of scheduled working hours shall be paid
for by the COMPANY. Apprentices shall exercise the same diligence in their
classroom work and assignment as is expected in their practical on-the-job work.
The determination of progress and fitness for operation shall be based, in part,
on the proficiency shown in related classroom activities. When classroom
instruction is given outside of scheduled working hours, these hours of training
shall not be considered hours of work nor shall wages be paid for them.
SECTION 13 - CERTIFICATE FOR COMPLETION OF APPRENTICESHIP
Upon satisfactory completion of the requirements of apprenticeship, as
established herein, the COMPANY shall certify the names of the graduate
apprentices to the Registration Agency, and recommend that Certificate of
Completion of Apprenticeship be awarded.
67
EXHIBIT C
APPRENTICESHIP AGREEMENTS
SECTION 14 - OPERATOR APPRENTICE TERMINATION
A) If the UNION alleges that an Operator Apprentice was unfairly terminated or
placed on probation because of his/her inability to meet the requirements
of the Operator Apprenticeship Standards, then the UNION may discuss the
termination or probation in accordance with the current Articles of
Agreement. During any time of the apprenticeship, the Apprenticeship
Agreement may be terminated by the apprentice or the COMPANY for good and
sufficient reasons given by the party so desiring to terminate such
agreement and tendered to the other party in writing.
B) Non-conformity to the accepted standards of performance, lack of industry
or capacity, improper conduct, or other action or lack of action on the
part of the employee such as to make him/her an undesirable apprentice may
be cause for termination of that Operator's Apprenticeship Agreement.
SECTION 15 - TRAINING WORK SCHEDULE
The Operator Apprentice shall be given such a job experience and instruction
necessary to prepare him/her in a broad field of operating proficiency. There
will be considerable flexibility in the amount of time each apprentice will
spend on a given process, depending on the ability of the apprentice, the
department to which he/she is assigned, and the changing nature of our plant.
This training and work experience will prepare the operator to work in other
operational areas with a minimum of additional training and familiarization.
Basically, each apprentice will be given an overall training program that will
encompass varying amounts of training and experience in three (3) or more of the
eleven (11) operational categories listed below as they apply to his/her
department to accumulate approximately six-thousand (6,000) hours training
experience over a thirty-six (36) month period.
A) Thermal Cracking - Furnace Operations
B) Steam Generation
C) Converter Operation
D) Power Generation and Distribution
E) Reactor Operation
F) Water Cooling and Distribution
G) Compressor Operation
H) Fractionation - Distillation
68
EXHIBIT C
APPRENTICESHIP AGREEMENTS
I) Water Treating
J) Material Handling
K. Refrigeration
It is understood that each of these major operational categories may include
elements of other operational categories and that the listing of major
categories does not limit or restrict the types or variety of additional
operation experiences which may be included in any such category. Operator
Apprentice Training will be on jobs assigned by the COMPANY.
The usual work experience will approximate but will not be limited to the
following:
APPROXIMATE HOURS
Process flow of the various units (Unit and Production) 720
Pump Orientation, lubrication & preventative maintenance 320
Starting, stopping operation, taking readings and preventative maintenance
of compressors 320
Operation of exchangers and coolers 320
Chemical reactor operation 480
Operation of steam boilers, turbines and power distribution 320
Refrigeration operation 320
Distillation, absorption, and column equipment operation 480
Safe handling of materials, knowledge of physical and toxicological
properties and emergency procedures 480
Cooling tower operation, water treatment and pollution control 160
Blowdown and flare systems operations 160
Quality control, product sampling & testing 160
Reading and interpreting process control instruments; making adjustments
to control process variables 320
Tracing lines and sketching 160
Operation of analyzers and blenders 160
Operation of furnaces and boilers 160
Operation of process dryers 160
Chemical treating 320
Gauging, weighing, inventory tanks, transfer of materials 160
Valves, traps, safety device, operation, safety & fire protection in unit 160
Troubleshooting process problems 160
-----
TOTAL 6,000
NOTE: The 6,000 hours total shown may be accumulated from various combinations
of usual work experience above.
69
EXHIBIT C
APPRENTICESHIP AGREEMENTS
The foregoing Apprentice Standards are agreed to this 18th day of December,
1998.
STERLING CHEMICALS, INC.
TEXAS CITY, TEXAS
TEXAS CITY, TEXAS METAL TRADES COUNCIL, AFL-CIO
Registered as incorporating the fundamentals of apprenticeship recommended by
the Federal Committee on Apprenticeship.
ADMINISTRATOR
U.S. Department of Labor
Bureau of Apprenticeship and Training
Date Filed
---------------------------
70
EXHIBIT C
APPRENTICESHIP AGREEMENTS
ATTACHMENT
CHEMICAL PROCESS OPERATOR APPRENTICESHIP STANDARDS
CHEMICAL PROCESS OPERATOR
APPRENTICE AGREEMENT
Apprentice:
---------------------------------------------------------------------
Craft:
--------------------------------------------------------------------------
THIS AGREEMENT, entered into this _________ day of ____________________________,
19___ between the apprentice whose name appears above and Sterling Chemicals,
Texas City, Texas, its successors or assigns, WITNESSETH THAT the COMPANY and
the apprentice, and his/her parents or guardian if he/she is a minor, desire to
enter into an Agreement of Apprenticeship, and therefore, in consideration of
the promises and of the mutual covenants herein contained do hereby mutually
covenant and agree as follows:
1) The COMPANY agrees, during the period of this Agreement to:
a) Furnish to the apprentice as broad a work experience as is practical
within the craft named above and is consistent with the duties
performed by other employees in the craft and as is consistent with
the apprentice's interest and his/her ability to master the skills
involved.
b) Pay the above mentioned apprentice his/her regular contract rate of
pay for the time he/she spends in actually performing work for the
COMPANY.
c) Conform to provisions as stipulated in the "Chemical Process Operator
Apprenticeship Standards," which shall be considered a part of this
Agreement.
2) The apprentice named above agrees to:
a) Perform for the COMPANY the highest quality of work of which he/she is
capable.
b) Abide by all applicable rules and regulations pertaining to safety
practices.
c) Conform to provisions as stipulated in the "Chemical Process Operator
Apprenticeship Standards," which shall be considered a part of this
Agreement.
71
EXHIBIT C
APPRENTICESHIP AGREEMENTS
3) The parents or guardian agree to:
a) Make all reasonable efforts to assure proper and diligent performance
by the apprentice of all obligations assumed under this Agreement.
The apprenticeship term begins on the ____ day of _________________, 19___ and
terminates upon the successful completion by the apprentice of thirty-six (36)
months of training by the COMPANY in said craft, as stipulated in the "Chemical
Process Operator Apprenticeship Standards". Credit for __________________ months
of previous experience toward apprenticeship is hereby granted this apprentice.
This credit shall count in the wage progression schedule only.
Explanation, if any, of a credit granted:
----------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
In witness whereof the parties hereunto set their hands.
The foregoing Apprentice Agreement is agreed to this __ day of __________, 19__.
STERLING CHEMICALS, INC.
TEXAS CITY, TEXAS
----------------------------------------------------------
(SIGNATURE)
---------------------------------------------------------- ----------------
(TITLE) (DATE)
APPRENTICE
---------------------------------------------------------- ----------------
(PLEASE PRINT NAME)) (DATE OF BIRTH)
---------------------------------------------------------- ----------------
(SIGNATURE) (DATE)
---------------------------------------------------------- ----------------
(PARENT OR GUARDIAN SIGNATURE) (DATE)
Registered as incorporating the fundamentals of apprenticeship recommended by
the Federal Committee on Apprenticeship.
ADMINISTRATOR
U.S. Department of Labor
Bureau of Apprenticeship and Training
72
EXHIBIT C
APPRENTICESHIP AGREEMENTS
MAINTENANCE APPRENTICESHIP
STANDARDS
STERLING CHEMICALS, INC.
ITS SUCCESSORS AND ASSIGNS
AND
THE TEXAS CITY, TEXAS
METAL TRADES COUNCIL, AFL-CIO
OF TEXAS CITY, TEXAS
REVISED DECEMBER 18, 1998
73
EXHIBIT C
APPRENTICESHIP AGREEMENTS
MAINTENANCE APPRENTICESHIP STANDARDS
OBJECTIVES
These Standards have as their broad purpose the establishment, maintenance, and
improvement of high standards of workmanship in the crafts employed by the
COMPANY and to establish a long range training program that will meet the needs
of the COMPANY in providing craft persons for each trade, giving individuals an
opportunity to advance into the Journey person classification.
DEFINITIONS
The following terms, as used herein, shall be construed as follows:
A) "COMPANY" shall mean Sterling Chemicals, Inc., Texas City, Texas.
B) "UNION" shall mean Texas City, Texas Metal Trades Council, AFL-CIO.
C) JOINT APPRENTICESHIP COMMITTEE shall mean the persons selected to confer
with Management on apprenticeship training problems.
D) APPRENTICE TRAINING SUPERVISOR shall be the Management representative
assigned by the COMPANY who is responsible for coordination and maintenance
of records of the Apprentice Program.
E) APPRENTICE JOB INSTRUCTOR shall mean a journey person selected by
management to instruct an apprentice on the job, or in the plant.
G) APPRENTICE shall be a person who has been selected for training and who has
signed an apprentice agreement with the COMPANY to train for a skilled
trade, as outlined in the Maintenance Apprenticeship Standards.
E) APPRENTICE AGREEMENT shall mean a written agreement between the COMPANY and
the employee selected for and classified as an apprentice, sample copy of
which is attached hereto, and it shall be registered with the Bureau of
Apprenticeship Training.
H) REVIEW OF AGENCY OR REGISTRATION AGENCY shall mean the Bureau of
Apprenticeship and Training, U.S. Department of Labor.
I) PARTIES TO THE APPRENTICE AGREEMENT shall mean the apprentice, his/her
parents or guardian (if he/she is a minor), and a duly authorized official
of the COMPANY, each of whom shall sign the Apprentice Agreement.
J) STANDARDS OF APPRENTICESHIP shall mean this entire Exhibit, including these
definitions.
74
EXHIBIT C
APPRENTICESHIP AGREEMENTS
K) APPRENTICEABLE CRAFTS shall include, but shall not be limited to, crafts
with the following titles: Boilermaker/Ironworker, ▇▇▇▇▇▇▇▇▇,
Instrument/Electrical Worker, Asbestos Worker, Machinist, Painter,
Pipefitter and Operating Engineer.
L) CRAFT APPRENTICE REPRESENTATIVE shall mean the representative elected or
appointed by the craft to advise and assist in matters relative to the
Apprentice Training Program as it pertains to his/her craft.
JOINT APPRENTICESHIP COMMITTEE
A Joint Apprenticeship Committee will consist of representatives of Management
and the Craft Apprentice representative of those crafts having apprentices
covered by an apprenticeship agreement. This committee will advise in the
operation of the program and functions as outlined in these Standards.
BASIC QUALIFICATIONS
A) Be of legal working age.
B) Willing to work shift work and overtime.
C) Educational requirements for all Machinists and Instrument/Electrical
candidates hired on or after May 1, 1993, are:
1) Six (6) hours of college math, and
Six (6) hours of college science,
With a GPA of 2.5 or better (A = 4.0) , OR
2) Graduate of a vocational trade school with 2.5 GPA or better
D) Meet physical and mental requirements of the position.
SELECTION OF CRAFT APPRENTICES
The success of the apprentice program is facilitated by a careful selection of
candidates. The greatest care will be exercised in selecting the best qualified
applicants. Consideration will be given to physical qualifications, interest,
aptitude, mental capacity to absorb and profit by the instruction given on the
job and in the classroom, past history and accomplishments, background and
general acceptability as a candidate for apprentice training. Present employees
will be considered before outside candidates as long as they meet the basic
qualifications described above. These factors will be determined by interview
and examination of relevant material. It shall be the responsibility of
Management to exercise final judgment with respect to relative fitness of
candidates. Selection of apprentices under the program shall be made from
qualified applicants on the basis of qualifications alone and without regard to
race, religion, age, color,
75
EXHIBIT C
APPRENTICESHIP AGREEMENTS
national origin, sex, veteran status or disability in accordance with objective
standards which permit review after full and fair opportunity for application;
and this program shall be operated on completely non-discriminatory basis.
APPRENTICE AGREEMENT
A written apprenticeship agreement will be executed between the COMPANY and each
apprentice (if he/she is under twenty-one (21) years of age his/her parents or
guardian shall be required to sign) entering the Apprenticeship Program. A
sample of this agreement is attached.
ADMINISTRATION
The apprentices may be moved from job to job within their crafts in accordance
with the schedule of work experience outlined in these Standards.
The Craft Supervisor will keep records of work performed by each apprentice
showing the time spent on jobs and the quality and progress of the work
performed. The Human Resources Department will keep a record of the progress of
each apprentice, both on the job and in the classroom and shall keep Management
and the Joint Apprenticeship Committee informed of the same.
Likewise, apprentices shall be responsible for tracking hours worked in each
training category on a regular and ongoing basis and ensuring that the total
training hours logged in each category are consistent with the requirements of
the apprenticeship program. Apprentices are responsible for taking the
initiative to consult with the Apprentice Training Supervisor and the Apprentice
Job Instructor as frequently as is needed to ensure that assignments and hours
worked are properly distributed among the various apprentice training categories
to adequately prepare the apprentice for interim and final examinations.
No merit increase will be retroactive. Only one probation will be allowed and
that period shall not exceed six (6) months. If an apprentice fails to satisfy
the requirements of his/her probation, his/her Apprenticeship Agreement will be
terminated, and if his/her Apprenticeship Agreement is terminated his/her
employment will be terminated. If probation is for poor related classroom
performance, this period will be added to the end of the apprentice's program.
If this extended work is not completed, the employee will be terminated.
Termination outside of the new-hire one-hundred thirty-five (135) day
probationary period will be subject to the grievance and arbitration procedure.
If the apprentice shows a lack of interest or does not appear to have the
ability to become a craft person, the apprentice may be permitted to continue in
a probationary status, repeat specified process or to have his/her apprentice
agreement terminated and should his/her apprentice agreement be terminated
his/her employment will be terminated.
76
EXHIBIT C
APPRENTICESHIP AGREEMENTS
The Human Resources Department will consult with local school authorities in
order to assist in providing for trade science and related trade information
classes which are to be attended by each apprentice outside of normal working
hours.
The Human Resources Department will prepare and secure signatures on
apprenticeship agreements and register the agreement with the Bureau of
Apprenticeship and Training.
TERMS OF APPRENTICESHIP
The terms of apprenticeship will be eight thousand (8,000) hours of reasonably
continuous employment for four (4) years or as may be specified for particular
crafts.
CREDIT FOR PREVIOUS EXPERIENCE
Before a new employee has passed the one-hundred thirty-five (135) day
probationary period the apprentice representatives from the COMPANY and the
craft involved shall meet and agree to the amount of credit, if any, to be given
toward completion of the required hours of the apprenticeship program. The
amount of credit shall be based on past experience and training and subjects
related to the craft in which the apprentice is entering the training.
PROBATIONARY PERIOD
The first one-hundred thirty-five (135) days shall be a probationary period.
During this probationary period the apprentice will be very carefully checked to
determine his/her fitness to continue the training. Should it become evident
that he/she does not have the necessary qualifications to continue successfully,
he/she will be promptly released from apprenticeship
LAYOFFS
If a general reduction in force becomes necessary because of reduced production
requirements (or for any another reason beyond the control of the COMPANY or the
Apprentice), the layoff of an apprentice is to be effected in accordance with
the existing seniority provisions and pertinent portions of COMPANY -- UNION
Contract, his/her Apprentice Agreement will be automatically suspended but not
canceled. Further, it is mutually agreed that no new apprentice will be hired
into any craft while there are journey persons in that craft on the recall list.
77
EXHIBIT C
APPRENTICESHIP AGREEMENTS
SCHEDULING OF BASIC WORK EXPERIENCE
The apprentice shall be given such experience and instruction as will qualify
him/her as a journey person in the trade. Flexibility in the time spent on each
activity is permissible on the basis of the apprentice's ability to grasp the
skill. Vacations will be counted as hours worked. Extended illness or leaves of
absences will be looked at on a case by case basis but may extend the apprentice
period.
Dependent upon the COMPANY's production requirements, rate of operation, work
load or the ability of the apprentice, the distribution of time may deviate from
the following listings.
The schedule for each craft is set forth as follows:
ASBESTOS WORKER
---------------
Use and care of tools 100
Identification of hot materials 400
Application of hot materials 2900
Curved and flat surfaces
Pipe surfaces
Cement and finish exterior
Cement and finish interior
Use and care of tools 100
Identification of cold materials 500
Application of cold materials 2000
Curved and flat surfaces
Pipe surfaces
Finished, flat and curved surfaces
Interior, Exterior
Finish, piping
Interior, Exterior
Stripping and sealing cold surfaces 800
Equipment
Piping
Cement and masonry 960
Estimation of material per job 200
Safety
Asbestos Handling - Specific Procedures 40
TOTAL 8,000
-----
78
EXHIBIT C
APPRENTICESHIP AGREEMENTS
▇▇▇▇▇▇▇▇▇
---------
Use and care of hand tools 200
Scaffolds and rigging 2500
Building and setting concrete forms 1000
Shoring and bracing 500
Driving sheet piling 500
Installing transite roofing siding 700
Repair of cooling towers 1000
Blueprints and sketching 700
Use and care of power tools 700
Crating 200
Cabinet making 0
Safety (Continuous)
TOTAL 8000
-----
BOILERMAKER/IRONWORKER
----------------------
Use and care of tools (Continuous)
Layout blueprints and sketching 500
Bubble towers & filters (bubble caps ▇▇▇▇ and down comers) 1000
Fabricating steel 600
Rigging and equipment handling 1000
Shaping rolling 700
Burning welding 1000
Maintenance of boilers (inspecting, repairing, cleaning) 1500
Cribbing, setting equipment 200
Maintenance of heat exchangers, tube bundles and reboilers 1500
Safety (Continuous)
TOTAL 8000
-----
NOTE: Welding -- at COMPANY's option a limited number of highly qualified
individuals will be trained as certified welders in lieu of specialized
Boilermaking
79
EXHIBIT C
APPRENTICESHIP AGREEMENTS
INSTRUMENT/ELECTRICAL WORKER
----------------------------
Safety -- JSA preparation SP bulletins work habits OSHA (Continuous)
1910.119 Class A
Use of hand tools (Continuous)
Rigging (Continuous)
Use of test equipment (Continuous)
Ordering material from stores (Continuous)
Conduit Repair 300
Lighting -- relamping, blast repair, finding shorts, and new 500
installations
Control Wiring -- Tracing, repair, and troubleshooting 500
Splicing wire -- 480 & 120V 50
Power wire 500
Motor troubleshooting 100
Motor controls 500
Understanding schematics, loops, wiring diagrams, one lines, 750
P&ID, and layouts
Troubleshooting relays PLC's timers 500
Medium voltage equipment 1000
Splicing cables, transformers, switch gear, capacitors, test 0
equipment, and motors
UPS systems and variable speed drives 200
Interlocks, alarms, shutdown switches, and sequential events 400
recorders
N.E.C. -- grounding, explosion proof equipment 200
Fuses and circuit breakers 200
Repair and calibration of electronic equipment PC boards, 0
power supplies, digital controllers
Control Valve and Shop Repair - actuators, positioners, I/Ps, 1000
limit switches, bench set, assembly, disassembly
Transmitter repair, calibration, and troubleshooting with 1950
pneumatic, electronic, and digital instruments;
temperature, flow, level, pressure, pH, and conductivity
instruments and power supplies
I/E System troubleshooting 1000
Loop tuning 150
DCS, and digital controller configuration 100
Preparing calibration control charts 100
TOTAL 10000
-----
80
EXHIBIT C
APPRENTICESHIP AGREEMENTS
IRONWORKERS
-----------
Use and care of tools JOB
Layouts, blueprints, and sketching CLASS
Erection of steel COMBINED
Burning and welding WITH
Using chain falls, chokers, heavy equipment, crane signaling BOILERMAKER
Fabricating steel (to include bending, rolling, and shaping
steel and associated metals and use of shop equipment)
Riggings -- including equipment and handling
Reinforcing steel
Safety
TOTAL N/A
---
MACHINISTS
----------
Use and Repair of Tools 80
Shaper 0
Lathe 600
Blue Prints/Layout 200
Milling Machine 200
Acetylene torch and welding 200
Metalizing 0
Balancing 100
Key Cutter 0
Surface Grinder 100
Drill Press 100
Do-all saw including blades 60
Pumps 2600
Turbines 900
Compressors 900
Gear reducers 400
Mixers, extruders, blowers 460
Miscellaneous 600
(including rigging, steam traps, gauge glasses, MICS, manlifts,
and reverse indicator alignment)
Safety (Continuous)
Machine Tools 500
Shaft fabrication
Bore coupling
Thread cutting
Key way cutting
TOTAL 8000
-----
81
EXHIBIT C
APPRENTICESHIP AGREEMENTS
PAINTERS
--------
Use and care of tools 500
Materials 1500
Use and preparation, proper mixing, and matching colors 0
Sign painting 500
Exterior painting 1000
Interior painting 1000
Spray painting and spray painting equipment 1000
Wood and steel frame glazing 500
Paint coking 200
Rigging necessary for jobs 300
Stage and boatswain chair 0
Estimate materials 500
Use of sand blasting equipment 1000
Safety (Continuous)
TOTAL 8000
----
PIPEFITTER
----------
Use and care of tools (Continuous)
Pipe supports and pipe hangers 500
Blueprints, sketching, and layout 1000
Rigging and pipe assembly, process piping 1700
Installation
Instruction on the following fundamentals will be given during
the applicable work schedules listed below: 1) size of pipe; 2)
schedule of pipe; 3) number of threads on pipe; 4) take off on
fittings and valves and how used; and 5) different kinds of metal
Underground 200
Use of hot tapping equipment and pipe machines 0
Screwed piping 500
Tubing and instrument fitting 800
Corrosion - resistant piping 800
High pressure piping 1000
Steam and hot water piping 1000
Pipe bending (hot and cold) 500
Safety (Continuous)
TOTAL 8000
-----
NOTE: At COMPANY's option, welding will be given to a limited number of
selected individuals who would spend one-half year in the welding
department. This training to be in lieu of specialized pipe fitting
training and will not extend length of apprenticeship.
82
EXHIBIT C
APPRENTICESHIP AGREEMENTS
OPERATING ENGINEER
------------------
Maintenance procedures 500
Care of engines and motors 500
Cables and rigging 500
Hoisting equipment 4500
Bulldozers 1500
Road maintenance equipment 500
Safety (Continuous)
TOTAL 8,000
------
RELATED INSTRUCTIONS
Each apprentice will attend classes in related instruction for a minimum of one
hundred forty-four (144) hours per year for each year of his/her apprenticeship.
If these classes are conducted at hours other than the scheduled working hours
of the apprentice, these hours shall not be considered as hours of work, nor
shall wages be paid for them.
The COMPANY will pay the cost of tuition for local specified trade courses on an
equivalent amount toward the tuition for a course containing pertinent material
accepted as related training. Materials, books, tools, and instruments required
for classroom instruction shall be provided by the COMPANY.
Failure of the apprentice to attend regularly or to satisfactorily complete the
assigned work shall be considered sufficient reason for the termination of
his/her apprentice contract.
NUMBER OF APPRENTICES TO BE EMPLOYED
The maximum number of apprentices to be employed shall be determined by the
COMPANY to meet anticipated needs. If less than four (4) journey persons are
employed in any craft, one (1) apprentice may be employed for that craft. If
more than four (4) journey persons are employed in a craft the ratio will not be
in excess of one (1) apprentice to every four (4) journey persons.
The above ratio may be changed subject to the approval of both the COMPANY and
the UNION.
APPRENTICES WAGES -- APPRENTICE TO CRAFT PERSON
The wage rate for apprentices shall be specified in the Apprentice Merit
Progression Rate Schedule.
PROGRESSION IN PROGRAM
Merit increases will not be automatic but will be granted on the basis of
demonstrated ability and all apprentices will be required to pass oral, written
and field tests relating to the required skills and abilities of their crafts
before each advancement. The craft apprentice representative will be present at
the time of these examinations.
83
EXHIBIT C
APPRENTICESHIP AGREEMENTS
Apprentices may be given re-examination in thirty (30) days after a merit
increase is withheld. If the apprentice fails the second examination, he/she
will be terminated.
MODIFICATION OF THESE STANDARDS
These Standards of Apprenticeship may be amended at any time by negotiations
between the COMPANY and the UNION providing such amendments meet the basic
standards recommended by the Federal Commission of Apprenticeship. A copy of
such amendment will be furnished each apprentice.
CERTIFICATE OF COMPLETION
Upon satisfactory completion of the requirements of apprenticeship, as
established herein, the COMPANY shall certify the names of the graduate
apprentices to the Registration Agency, and recommend that Certificate of
Completion of Apprenticeship be awarded.
The foregoing Apprentice Standards are agreed to this 18th day of December,
1998.
STERLING CHEMICALS, INC.
TEXAS CITY, TEXAS
TEXAS CITY, TEXAS METAL TRADES COUNCIL, AFL-CIO
Registered as incorporating the fundamentals of apprenticeship recommended by
the Federal Committee on Apprenticeship.
ADMINISTRATOR
U.S. Department of Labor
Bureau of Apprenticeship and Training
Date Filed
--------------------
84
EXHIBIT C
APPRENTICESHIP AGREEMENTS
ATTACHMENT
MAINTENANCE APPRENTICESHIP STANDARDS
MAINTENANCE CRAFTS
APPRENTICE AGREEMENT
Apprentice:
---------------------------------------------------------------------
Craft:
--------------------------------------------------------------------------
THIS AGREEMENT, entered into this _____________ day of _____, 19___, between the
apprentice whose name appears above and Sterling Chemicals, Inc., Texas City,
Texas, its successors and assigns, WITNESSETH THAT the COMPANY and the
apprentice, and his/her parents or guardian if he/she is a minor, desire to
enter into an Agreement of Apprenticeship, and therefore, in consideration of
the promises and of the mutual covenants herein contained do hereby mutually
covenant and agree as follows:
I) The COMPANY agrees, during the period of the Agreement to:
A) Furnish to the apprentice as broad a work experience as is practical
within the craft named above and as is consistent with the duties
performed by other employees in the craft and as is consistent with
the apprentice's interest and his/her ability to master the skills
involved.
B) Pay the above named apprentice his/her regular contract rate of pay
for the time he/she spends in actually performing work for the
COMPANY.
C) Conform to provisions as stipulated in the "Maintenance
Apprenticeship Standards" which shall be considered a part of this
Agreement.
II) The apprentice named above agrees to:
A) Perform for the COMPANY the highest quality of work of which he/she
is capable.
B) Abide by all applicable rules and regulations pertaining to safety
practices.
C) Conform to provisions as stipulated in the "Maintenance
Apprenticeship Standards," which shall be considered a part of this
Agreement.
III) The parents or guardian agree to:
A) Make all reasonable efforts to assure proper and diligent
performance by the apprentice of all obligations assumed under this
agreement.
85
EXHIBIT C
APPRENTICESHIP AGREEMENTS
The apprentice terms begins on the ______ day of _______________, 19____, and
terminates upon the successful completion by the apprentice of ________________
hours of employment for the COMPANY in said craft, as stipulated in the
"Maintenance Apprenticeship Standards." Credit for ________________ hours of
previous training and experience toward apprenticeship is hereby granted this
apprentice. This credit shall count toward the _____________ hours requirements.
The amount of apprenticeship remaining is _______________ hours.
Explanation if any, of credit granted:
------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
In witness whereof the parties hereunto set their hands.
The foregoing Apprentice Agreement is agreed to this __ day of __________, 19__.
STERLING CHEMICALS, INC.
TEXAS CITY, TEXAS
-------------------------------------------------
(SIGNATURE)
------------------------------------------------- --------------------------
(TITLE) (DATE)
APPRENTICE
------------------------------------------------- --------------------------
(PLEASE PRINT NAME) (DATE OF BIRTH)
------------------------------------------------- --------------------------
(SIGNATURE) (DATE)
------------------------------------------------- --------------------------
(PARENT OR GUARDIAN SIGNATURE) (DATE)
Registered with the Federal Committee on Apprenticeship, United States
Department of Labor.
ADMINISTRATOR
U.S. Department of Labor
Bureau of Apprenticeship and Training
86
EXHIBIT C
APPRENTICESHIP AGREEMENTS
ADDENDUM
MAINTENANCE APPRENTICESHIP STANDARDS
SELECTION OF APPRENTICES
Under 29 CFR Part 30.5(4) Alternative Selection Method
The recruitment, selection, employment and training of apprentices during their
apprenticeship shall be without discrimination because of race, color, religion,
national origin, veteran status, disability or sex. The sponsor will take
Affirmative Action to provide equal opportunity in apprenticeship and will
operate the apprenticeship program as required under Title 29 of the Code of
Federal Regulations, Part 30.
BASIC QUALIFICATIONS
Applicants for apprenticeship must meet the following requirements:
Be of legal working age (if under 21 years of age, must be willing to have
parent or guardian signature on apprenticeship agreement).
1) Have a high school diploma or GED.
2) Have twelve (12) college credit hours (six (6) hours math, six (6) hours
science) with a 2.5 GPA.
3) Be willing to take an American Petroleum Institute (API) test through the
College of the Mainland.
4) If and when selected, applicant must be willing to take and pass a COMPANY
physical examination and drug test.
SELECTION PROCESS
1) All resumes will be screened for basic qualifications.
2) Only applicants meeting basic qualifications shall be eligible for
testing.
3) Test will be administered by the College of the Mainland and the scores
released to Human Resources.
4) Notice to appear for interviews will be by phone, giving date, time and
place for interview.
FAILURE TO APPEAR FOR AN INTERVIEW WITHOUT SUFFICIENT CAUSE SHALL RESULT IN
CANCELLATION OF APPLICATION.
87
This page intentionally left blank.
88
EXHIBIT D
EMPLOYEE BENEFITS
Except as modified below, the COMPANY agrees to continue to provide employee
benefits under the plans listed below as in effect on April 1, 2002. These
benefits will last for the duration of this agreement and will be subject to
change as negotiated in future contracts.
Sterling Chemicals, Inc. Medical Benefits Plan for Hourly-Paid Employees
Sterling Chemicals, Inc. Prescription Drug Benefits Plan for Hourly-Paid
Employees
Sterling Chemicals, Inc. Dental Assistance Plan for Hourly-Paid Employees
Sterling Chemicals, Inc. Hourly Employees' Flexible Spending Account Plan
Sterling Chemicals, Inc. Disability Benefits Plan for Hourly-Paid Employees
Sterling Chemicals, Inc. Group Life Insurance Plan for Hourly-Paid Employees
Sterling Chemicals, Inc. Hourly-Paid Employees' Pension Plan
Sterling Chemicals, Inc. Savings and Investment Plan
Nothing in this Agreement shall restrict the COMPANY from changing the language
in the official plan documents or changing the providers of plan benefits as
long as the benefits provided are not changed (unless required by law.)
Savings and Investment Plan (SIP): The COMPANY will provide matching
contributions equal to 50% of the first 7% of contributions made on base pay.
Effective October 1, 2002, installment payments will no longer be available. As
soon as administratively feasible after contract ratification, two withdrawals
per year will be allowed for all participants.
Hourly Paid Employees' Pension Plan: The maximum pension factor is $60.
Life Insurance and Accidental Death & Dismemberment Insurance (AD&D) Benefits:
The COMPANY will not provide retiree life insurance benefits. Effective the
first of the month following return to work, the COMPANY agrees to provide
$50,000 of AD&D insurance to all active employees.
Dental Premiums: Employee dental premiums shall increase 5% on both January 1,
2003 and January 1, 2004. Effective January 1, 2003, after-tax payment of
premiums will not be allowed.
Medical Premiums: Active employee medical premiums will remain at 15% of
projected expenses and be based upon the medical claims, prescription drug
claims and stop-loss insurance premiums attributable to participants in the
active medical plan. Effective January 1, 2003, after-tax payment of premiums
will not be allowed.
PPO Medical Plan: (1) Change coordination of benefits from standard to
carve-out. This means that in situations where the Sterling Medical Plan is
secondary, total benefits from both plans will be limited to the amount the
Sterling Medical Plan would have paid had it been primary. (2) The COMPANY will
increase the hearing aid maximum from $500 to $750. (3) Effective January 1,
2003, the COMPANY agrees to increase the lifetime medical maximum from
$1,000,000 to $1,500,000 per participant. Notwithstanding the foregoing, any
medical plan participant who has already received $1,000,000 in medical benefits
prior to January 1, 2003, will not be eligible for these additional benefits.
Additionally, any participant for whom the COMPANY is unable to obtain stop loss
insurance coverage from the low cost stop loss insurance provider without
additional cost will not be eligible for these additional benefits.
HMO Medical Plan: The COMPANY shall make available an HMO for employees.
Employee premiums shall equal 15% of the billed cost to the COMPANY by the HMO.
If the COMPANY should decide to provide HMO benefits on a self-insured basis at
a later date, the COMPANY agrees to use a similar methodology to calculate HMO
employee premiums as is used for the PPO plan.
89
EXHIBIT D
EMPLOYEE BENEFITS
Retiree Medical Benefits (including prescription drug coverage): Current
employees who retire after this agreement is ratified ("Future Retirees") and
who at retirement are at least age 55 and who have at least 10 years of Vesting
Service (as defined in the Hourly Paid Employees' Pension Plan), will be
eligible to participate in the Sterling Chemicals, Inc. Medical Benefits Plan
for Retirees and the Sterling Chemicals, Inc. Prescription Drug Benefits Plan
for Retirees (collectively the "Retiree Medical Plan".) Medical premiums for
Future Retirees will equal 50% of projected expenses and be based upon the
medical claims, prescription drug claims and stop-loss insurance premiums
attributable to participants in the Retiree Medical Plan. This exception to the
reservation of rights provisions of the Sterling Chemicals, Inc. Medical
Benefits Plan for Retirees and the Sterling Chemicals, Inc. Prescription Drug
Benefits Plan for Retirees will last only for the duration of this agreement and
will be subject to change as negotiated between the UNION and the COMPANY in
future agreements or otherwise as permitted by this agreement or by law.
Voluntary Employee Benefit Association (VEBA): The COMPANY has the right to use,
in accordance with the terms of the VEBA, all of the funds in the VEBA to pay
medical and prescription drug claims as such claims are presented to the COMPANY
for payment without maintaining any minimum balance in the VEBA. If all of the
funds in the VEBA are used to pay such claims, the COMPANY shall not be under
any obligation to contribute additional funds to, or otherwise continue the
existence of, the VEBA.
Disclaimer as to Current Retirees: Except for the foregoing provision regarding
the use of VEBA funds, nothing contained in this Exhibit D (or the new
collective bargaining agreement of which it is a part) shall apply to persons
who retired before the new agreement was ratified. Any prior contractual
commitments, in prior
collective bargaining agreements or otherwise, creating
exceptions to the Sterling Chemicals, Inc. Medical Benefits Plan for Retirees or
the Sterling Chemicals, Inc. Prescription Drug Benefits Plan for Retirees,
including but not limited to, medical premium contribution percentages for any
individual who retired prior to the ratification of this agreement, have expired
and are not renewed by this agreement. The COMPANY retains the right to modify,
amend, or terminate the Sterling Chemicals, Inc. Medical Benefits Plan for
Retirees and the Sterling Chemicals, Inc. Prescription Drug Benefits Plan for
Retirees as provided in the summary plan description and other plan documents.
90