EXHIBIT 10.23
ARTICLES OF AGREEMENT
BETWEEN
STERLING CHEMICALS, INC.
ITS SUCCESSORS AND ASSIGNS
AND
TEXAS CITY, TEXAS
METAL TRADES COUNCIL, AFL-CIO
TEXAS CITY, TEXAS
DECEMBER 18, 1998
TO
MAY 1, 2002
I N D E X
PAGE NOS.
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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.......................22
ARTICLE 9 STAFFING OF NEW UNITS............................................22
ARTICLE 10 STEWARDS.........................................................22
ARTICLE 11 CONTRACT WORK....................................................23
ARTICLE 12 PAY DAY..........................................................23
ARTICLE 13 PHYSICAL EXAMINATIONS............................................24
ARTICLE 14 DISCRIMINATIONS..................................................24
ARTICLE 15 UNION REPRESENTATIVES............................................25
ARTICLE 16 JURY SERVICE.....................................................25
ARTICLE 17 ELECTION DAY REGULATIONS.........................................27
ARTICLE 18 REPLACEMENT OF CLOTHING..........................................27
ARTICLE 19 LAYOFF NOTICE - SEPARATION ALLOWANCE.............................27
ARTICLE 20 LEAVE OF ABSENCE.................................................29
ARTICLE 21 SANITATION AND SAFETY............................................30
ARTICLE 22 BULLETIN BOARDS..................................................32
ARTICLE 23 COMPANY RULES....................................................32
ARTICLE 24 PRODUCTIVITY STATEMENT...........................................32
ARTICLE 25 FUNERAL LEAVE....................................................33
ARTICLE 26 STRIKES AND LOCKOUTS.............................................34
ARTICLE 27 GRIEVANCE PROCEDURE..............................................35
ARTICLE 28 ARBITRATION PROCEDURE............................................37
ARTICLE 29 ABROGATION OF CONTRACT ARTICLES..................................38
ARTICLE 30 OCCUPATIONAL & NON-OCCUPATIONAL ACCIDENT
AND SICKNESS PLAN................................................38
ARTICLE 31 WORK ASSIGNMENTS.................................................41
ARTICLE 32 CONTRACT PERIOD..................................................41
EXHIBIT A 12 HOUR SHIFT AGREEMENT..........................................45
EXHIBIT B WAGE RATES.......................................................62
EXHIBIT C CHEMICAL PROCESS OPERATOR APPRENTICESHIP
STANDARDS & AGREEMENTS.........................................64
MAINTENANCE APPRENTICESHIP
STANDARDS & AGREEMENTS.........................................76
EXHIBIT D EMPLOYEE BENEFITS................................................92
EARLY RETIREE INCENTIVE..........................................93
PENSION..........................................................93
VACATION YEAR TRANSITION.........................................94
RATIFICATION BONUS...............................................94
MAINTENANCE OVERTIME PROCEDURE...................................95
NO JURISDICTION SUPPORTING INFORMATION...........................96
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Signatory Unions................................... 1
Basic Principles................................... 2
Union Recognition.................................. 3
Bargaining Union Defined........................... 3
ARTICLE 29 ABROGATION OF CONTRACT ARTICLES.................... 68
ARTICLE 28 ARBITRATION PROCEDURE
Appealed Grievance Time Length................... 67 b)
Arbitration Expenses............................. 67 c)
Arbitrator Authority............................. 67 d)
Length of Time to Arbitrate...................... 67 a)
Time Limit Failure............................... 67 e)
ARTICLE 22 BULLETIN BOARDS.................................... 61 a)
ARTICLE 23 COMPANY RULES...................................... 62 a)
ARTICLE 32 CONTRACT PERIOD.................................... 79 a) thru c)
ARTICLE 11 CONTRACT WORK
Laborers Displacing Contract Janitors............. 41 b)
Utilize Independent Contractors.................. 41 a)
ARTICLE 14 DISCRIMINATIONS
Charges of Discrimination........................ 44 b)
Letters of Reprimand............................. 44 c) & d)
ARTICLE 17 ELECTION DAY REGULATIONS
Election Judge................................... 51 b)
Employees Time off to Vote....................... 51 a)
ARTICLE 25 FUNERAL LEAVE
Funeral Leave.................................... 64 a) & b)
Funeral Leave while on Vacation.................. 64 c)
Pallbearer....................................... 64 g)
Proof of Relationship............................ 64 f)
ARTICLE 27 GRIEVANCE PROCEDURE
Discharge Grievance Process...................... 66 c) thru e)
Grievance Lapse Time............................. 66 a) 1)
Grievance Time Limit Exceptions.................. 66 f)
Length of Time to Answer Grievance............... 66 a) 6)
PUC Meeting Membership........................... 66 b)
Sick Pay Benefit Grievance....................... 66 a) 5)
Step 1 - Grievance Procedure..................... 66 a) 2)
Step 2 - Grievance Procedure..................... 66 a) 3)
Step 3 - Grievance Procedure..................... 66 a) 4)
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ARTICLE 3 HOURS OF WORK
Dentist/Doctor Appt. 3 Hrs Unpaid............... 13 f)
Hours of Work - Group 3 (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)
ARTICLE 16 JURY SERVICE
Afternoon Court Appearance....................... 48 a) & 50 a)
Morning Court Appearance......................... 47 a)
Proof of Service................................. 49 a)
ARTICLE 19 LAYOFF NOTICE - SEPARATION ALLOWANCE
Eligibility of Separation Allowance.............. 56 a) & b)
Labor Dispute Lay Off............................ 53 c)
Lay Off Notice................................... 53 a) thru b)
Lay Off Separation Allowance..................... 54 a)
Method of Payment of Separation Allowance........ 55 a) thru d)
ARTICLE 20 LEAVE OF ABSENCE
Leave of Absence for Personal Reasons............ 57 a)
Leave of Absence for Union Conventions........... 57 b)
Leave of Absence to Accept Employment with
the Union........................................ 57 c)
Pregnancy Leave of Absence....................... 57 d)
Public Office Appointment........................ 57 e)
ARTICLE 1 MANAGEMENT RIGHTS.................................. 5
ARTICLE 30 OCCUPATIONAL & NON-OCCUPATIONAL
ACCIDENT AND SICKNESS PLAN
Benefit Amount................................... 72 b)
Benefit Payment.................................. 72 a)
Benefits Based on Normal Workweek................ 71 a)
Benefits during Vacation......................... 77 a) & b)
Benefits during Work Stoppage.................... 76 a)
Benefits while on Probation...................... 72 c)
Duration of Benefits............................. 70 a) thru c)
Exclusion from Benefit........................... 74 a) thru b)
Late Report of Occupational Disability........... 73 c)
Plant Service Credit............................. 69 b)
Proof of Disability.............................. 73 a)
Reporting Absences............................... 73 b)
Sick Pay......................................... 69 a)
Withholding Benefit Payment...................... 75 a)
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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)
Overtime Equalization............................ 18 a)
Overtime Meals................................... 19 a) thru c)
Overtime Premium................................. 14 a) thru d)
Shift Differential............................... 20 a)
Transportation Overtime.......................... 21 a)
ARTICLE 12 PAY DAY
Pay Day.......................................... 42 a)
Pay Errors Less or More than 8 Hours............. 42 d)
Paychecks Direct Deposit......................... 42 b)
ARTICLE 13 PHYSICAL EXAMINATIONS
Employees Physically Unfit to Perform in Assigned
Classification................................... 43 c)
New Hire Physicals............................... 43 a)
Periodic Examinations of Employees............... 43 b)
X-rays........................................... 43 f)
ARTICLE 24 PRODUCTIVITY STATEMENT............................. 63 a) thru d)
ARTICLE 18 REPLACEMENT OF CLOTHING
Clothes Damaged.................................. 52 a)
ARTICLE 21 SANITATION AND SAFETY
Clip-On Glasses.................................. 59 f)
Colored Safety Glasses - Operating Engineers..... 58 b)
Commercial or Chauffeur's License - Operating
Engineers...................................... 58 a)
Eye Exam Payment................................. 59 b)
Non-Prescription Safety Sunglasses............... 59 c)
Postponing Job for Safety Reasons................ 58 c)
Prescription Glasses for Welders................. 59 e)
Prescription Safety Glasses...................... 59 a)
Safety Shoes..................................... 60 a)
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ARTICLE 6 SENIORITY
Bidding - Apprenticeship Program................. 32 g)
Bidding - Bidding Rules.......................... 32 c)
Bidding - No Qualified Bidders.................... 32 f)
Bidding - Selection of Job Posting Bidders........ 32 b)
Grievances - Seniority........................... 36 a)
Job Bidding...................................... 32 a)
Job Posting...................................... 32 a) 1)
Layoffs.......................................... 34 a) thru e)
Rehiring......................................... 35 a)
Seniority - Four Types........................... 24 b)
Seniority - Promotions........................... 31 a) & b)
Seniority (Military Service)..................... 27 d)
Seniority (Probationary Period).................. 25 a) & 27 a)
Seniority (Promoted to Supervision --Permanent or
Temporary)..................................... 27 b) & c)
Seniority Consolidation of Departments........... 30 a)
Seniority Definition of Group. Dept., &
Maintenance.................................... 24 c)
Seniority Draw................................... 25 c)
Seniority for Straight Day Employment............ 25 b)
Seniority is Equal............................... 25 d)
Seniority List................................... 26 a)
Seniority Lost................................... 28 a)
Seniority Unbroken............................... 29 a)
Transfers - General Mechanic..................... 33 c)
Transfers - Operating Unit Reduced Operation or
Shut Down...................................... 33 b)
Transfers - Stores Employees..................... 33 d) thru f)
Transfers of Surplus Group 1 employees........... 33 a)
ARTICLE 9 STAFFING OF NEW UNITS.............................. 39
ARTICLE 10 STEWARDS
Department Designation........................... 40 a)
▇▇▇▇▇▇▇ (Benefits)............................... 40 e)
▇▇▇▇▇▇▇ (Disciplinary Action).................... 40 d)
ARTICLE 26 STRIKES AND LOCKOUTS............................... 65 a) thru e)
ARTICLE 7 SUPERVISORS DOING HOURLY WORK...................... 37 a)
ARTICLE 15 UNION REPRESENTATIVES.............................. 45 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)
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ARTICLE 5 VACATION
Bank Days - Vacation............................. 23 k)
Choice Designation - Vacation.................... 23 j)
Credit Accumulation.............................. 23 b)
Hold Over - Vacation............................. 23 o) thru q)
Military Service - Vacation...................... 23 r)
Seniority/Preference - Vacation.................. 23 i)
Sick Leave - Vacation............................ 23 s)
Vacation (Dismissal or Voluntary Separation)..... 23 t)
Vacation (Resigns Without Notice Or Discharged
for Cause)..................................... 23 u)
Vacation Back-to-Back............................ 23 y)
Vacation Falls on Holiday........................ 23 v) thur w)
Vacation Pay - Computed.......................... 23 g)
Vacation Period.................................. 23 h)
Vacation Splits.................................. 23 l)
Vacation Transfers Between Groups or Crafts...... 23 x)
Vacations 5, 10, 20 & 30......................... 23 c) thru f)
Vacations less than 5 years & probationary
period)........................................ 23 a)
ARTICLE 31 WORK ASSIGNMENTS................................... 78 a) thru c)
ARTICLE 8 WORK CLASSIFICATIONS - TEMPORARY VACANCIES......... 38 a) thru c)
EXHIBITS SEE NEXT PAGE
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EXHIBIT A 12 HOUR SHIFT AGREEMENT............................ 45 thru 60
Day Jobs......................................... 46
Extra Operators.................................. 46
Wages............................................ 46
Employee Benefit Plans, ESOP, Pension Life
Insurance and Disability....................... 47
Overtime......................................... 47 thru 49
Mandatory Overtime Procedure..................... 49
Charging of Overtime............................. 49
Hours of Work.................................... 50
Overtime and Holidays............................ 50 thru 52
Holiday and Holiday Pay.......................... 51
Shift Differential............................... 51
Vacation......................................... 52 & 53
Seniority........................................ 53
Jury Service..................................... 53
Funeral Leave.................................... 54
Occupational & Non-Occupational Accident and
Sickness Plan.................................. 54
Wage Adjustment.................................. 55 thru 60
Interpretation of Attachment E................... 61
EXHIBIT B WAGE RATES......................................... 62 thru 63
EXHIBIT C CHEMICAL PROCESS OPERATOR APPRENTICESHIP STANDARDS.&
AGREEMENTS......................................... 64 thru 75
Required Hours................................... 72
MAINTENANCE APPRENTICESHIP
STANDARDS & AGREEMENTS............................. 76 thru 90
Required Hours................................... 81 thru 86
EXHIBIT D EMPLOYEE BENEFITS.................................. 92
EARLY RETIREE INCENTIVE............................ 93
PENSION............................................ 93
VACATION YEAR TRANSITION........................... 94
RATIFICATION BONUS................................. 94
MAINTENANCE OVERTIME PROCEDURE..................... 95
NO JURISDICTION SUPPORTING INFORMATION............. 96
vi
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. 1446 Affiliated with
District No. 37
Sheet Metal Workers ▇▇. ▇▇
▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇ ▇▇. ▇▇▇
Carpenters Local No. 973
Instrument Lodge No. 903
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.
3
9 Section 4
a) Money deducted from paychecks as authorized herein for employees
bargained for by 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.
4
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.
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 and
Seniority Group 3
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
and Seniority Group 3 - 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.
5
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 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.
6
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.
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
7
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.
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, no more meals will be furnished.
c) Employees scheduled on overtime, other than provided in (a) or (b)
above, will provide their own meals.
8
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 50c differential
Graveyards $1.00 differential
2) Day Workers
Days No differential
Evenings 50c differential
Graveyards $1.00 differential
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.
9
ARTICLE 5
VACATION
23 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.
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.
10
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.
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
11
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 elects to take an
extra day of vacation, they may elect to take it the last working
day immediately prior to their scheduled vacation.
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.
12
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.
ARTICLE 6
SENIORITY
24 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.
c) For purposes of paragraph (b) above, group, department, and
maintenance craft seniority shall cover the following:
13
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, 19/23/25/88, 44/50, 48/56, 51, 53, and POWER.
II) GROUP 2 - All hourly employees of the Laboratory.
III) GROUP 3 - All hourly employees of the Storeroom.
IV) 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
25 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.
14
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".
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.
26 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.
27 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.
28 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.
15
3) When they are laid off for a period exceeding eighteen (18)
months without being recalled.
4) When an employee overstays their leave of absence without
notifying the COMPANY and receiving an extension of time.
29 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.
30 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.
31 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.
32 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.
16
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.
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.
17
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.
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.
18
4) The requirements for Associate Operator candidates include that
all candidates must have completed or be an active participant
in a State Education Board Certified Associate Degree of Process
Technology program prior to being considered for employment. In
addition, they must meet the preliminary educational
requirements of an Apprentice Operator (math & science courses)
as outlined above. The COMPANY will determine the candidate's
entry level pay based on their progress in the Associate Degree
of Process Technology program as compared to the Merit Pay
Progression Scheduled for Chemical Operator Apprentices.
33 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 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) Stores employees will have the option of transferring to Maintenance
as Laborers and become eligible to receive training to qualify as a
General Mechanics.
e) Stores employees choosing to transfer to Laborers would be paid at
the frozen Stores rate of $21.67 until they qualify as a General
Mechanic. The Stores Chief Clerk will be frozen at $22.98 until he
qualifies as a General Mechanic.
f) 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
19
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.
34 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 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.
35 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
20
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.
36 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.
ARTICLE 7
SUPERVISORS DOING HOURLY WORK
37 a) Anyone employed by the COMPANY in the capacity of a ▇▇▇▇▇▇▇ or
supervisor will be permitted to perform work normally performed by
the hourly employees in the plant for the following reasons only:
1) When they are instructing or training employees.
2) When difficulties arise in a department and it is necessary for
the supervisor to act for the safety of equipment and personnel.
3) When supervisory or technical personnel are studying or testing
operations and equipment.
4) When training technical personnel.
5) When starting new or revised processes or equipment.
6) During shutdowns or startups, if needed.
21
ARTICLE 8
WORK CLASSIFICATIONS - TEMPORARY VACANCIES
38 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
39 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.
ARTICLE 10
STEWARDS
40 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.
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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
41 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.
b) The COMPANY agrees that Sterling Laborers will be afforded the
opportunity to displace a contract janitor to avoid layoff with the
stipulation that such re-assignment will be at the current rate for
janitorial work, not at the Laborer Wage Rate. Employees assigned to
the janitorial pool at the time of ratification of this contract
will be grandfathered at their current rate of pay for one year.
ARTICLE 12
PAY DAY
42 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
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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
43 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.
e) The COMPANY will provide assistance in scheduling appointments for
those employees who request it to obtain non-mandatory x-rays as
part of their periodic physical examinations.
f) 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
DISCRIMINATIONS
44 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.
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b) Charges of such discrimination, discharge or harassment, if any,
shall be handled according to the regular grievance procedure.
c) 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.
d) 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 15
UNION REPRESENTATIVES
45 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
46 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.
47 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.
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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.
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.
48 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.
49 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.
50 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.
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ARTICLE 17
ELECTION DAY REGULATIONS
51 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.
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
52 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; 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
53 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.
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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:
54 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 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
55 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 (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 (1) above.
d) All monies paid as Separation Allowance will be subject to
applicable taxes and other required withholdings.
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56 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.
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
57 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.
29
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) A pregnant employee who is not disabled, as defined in Article 30 of
this Agreement, may request leave of absence without pay. Said
request may cover periods prior to and/or following disability for
pregnancy. These requests will normally be granted for periods not
exceeding three (3) months after the term of pregnancy.
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
58 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) 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) 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 the Plant Safety Engineer 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.
d) 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.
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59 PRESCRIPTION SAFETY GLASSES -
a) The COMPANY agrees to pay up to seventy-five dollars ($75.00)
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 and additional seventy-five dollar
($75.00) for the purchase of an additional pair of shaded glasses.
It is also understood that the COMPANY will pay up to seventy-five
dollars ($75.00) applicable to the lenses for the purchase of new
safety glasses when an employee's prescription is changed.
b) 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.
c) Additionally, up to two (2) pair of non-prescription safety
sunglasses will be provided each year from an approved list.
d) The Company payment toward frames for prescription safety glasses is
$25.00.
e) The COMPANY agrees to provide two (2) pair of prescription glasses
for welders. At the time of ordering, two pair will be ordered. One
pair will be provided the welder and the second pair will be kept in
the Safety Department for issue to the welder when needed. At the
time the first pair is turned in and the second pair issued, a new
pair will be ordered unless it is time for the employee's eyes to be
checked.
f) 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.
60 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 $75.00.
31
ARTICLE 22
BULLETIN BOARDS
61 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
62 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.
ARTICLE 24
PRODUCTIVITY STATEMENT
63 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.
32
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
64 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 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.
33
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
65 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 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.
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ARTICLE 27
GRIEVANCE PROCEDURE
66 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.
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 to the Plant
Manager or designee, within ten (10) days of the decision
and will be handled in accordance with Step 3.
35
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 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 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.
36
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) All time limits noted in this Article are exclusive of Saturdays,
Sundays and holidays. 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.
ARTICLE 28
ARBITRATION PROCEDURE
67 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 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.
37
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
68 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
69 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:
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.
70 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.
38
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.
71 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.
72 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 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.
73 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.
39
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.
74 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.
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.
75 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.
40
76 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.
77 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
78 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.
ARTICLE 32
CONTRACT PERIOD
79 a) This agreement shall become effective on the date of signing and
shall remain in effect until 4:00 p.m. May 1, 2002, 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.
41
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.
42
80 Contract Period: December 18, 1998 to May 1, 2002
STERLING CHEMICALS, INC.
/s/ ▇▇▇▇▇▇ Tuybig
--------------------------------------------
Plant Manager
/s/ ▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇
--------------------------------------------
Human Resources Manager
TEXAS CITY, TEXAS METAL
TRADES COUNCIL, AFL-CIO
/s/ [SIGNATURE APPEARS HERE]
--------------------------------------------
President
/s/ ▇▇▇ ▇. ▇▇▇▇▇▇▇▇
--------------------------------------------
Business Manager
ELECTRICAL WORKERS LOCAL NO. 527
By /s/ ▇▇▇ Marublo
------------------------------------------
OPERATING ENGINEERS NO. 347
By /s/ ▇▇▇ ▇. ▇▇▇▇▇▇▇▇
------------------------------------------
PAINTERS & PAPERHANGERS NO 1008
By /s/ ▇. ▇. ▇▇▇▇
------------------------------------------
BRIDGE, STRUCTURAL, ORNAMENTAL &
REINFORCING IRON WORKERS NO. 135
By /s/ [Signature Appears Here]
------------------------------------------
INTERNATIONAL ASSOCIATION OF MACHINISTS
NO. 1446, AFFILIATED WITH DISTRICT NO. 37
By /s/ [Signature Appears Here]
------------------------------------------
SHEET METAL WORKERS NO. 54
By /s/ ▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇▇▇
------------------------------------------
43
Contract Period: December 18, 1998 to May 1, 2002
TEAMSTERS LOCAL NO. 968.
By
------------------------------------------
CARPENTERS LOCAL NO. 973
By /s/ [SIGNATURE APPEARS HERE]
------------------------------------------
INSTRUMENT LODGE NO. 903
By
------------------------------------------
INTERNATIONAL BROTHERHOOD OF BOILERMAKERS
IRON SHIP BUILDERS, BLACKSMITHS, FORGERS AND
HELPERS NO. 132
By
------------------------------------------
PIPEFITTERS LOCAL NO. 211
By
------------------------------------------
OPERATING ENGINEERS NO. 450
By /s/ ▇▇▇▇▇▇ ▇▇▇▇
------------------------------------------
44
EXHIBIT A
TWELVE-HOUR SHIFT AGREEMENT
45
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.
46
Employee Benefit Plans
----------------------
ESOP, Pension,
--------------
Life Insurance and Disability
-----------------------------
Contributions into the ESOP for 12H employees will be made by rationing the 42-
hour average work week to a standard 40-hour work week. Therefore, the
unadjusted wage rate will be multiplied by 0.9524 to calculate benefits.
Examples of benefit calculations for sick pay are attached.
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 of the 12H Shift will require changes of our current overtime coverage
practices. It is recognized that it is no longer possible for employees to cover
a vacant shift by holding over one-half of the shift and by the next shift
coming in early (total of 18 hours), or to double 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.
. The 12H Shift will make some changes necessary in the overtime procedures.
. Normally, it will be necessary to cover vacant shift with persons on the
off shifts.
. Overtime procedures are included in the document for all affected groups.
. 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.
47
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 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.
48
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 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.
49
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.
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.
50
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.
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:
. 6:30 a.m. to 6:30 p.m. - no differential
. 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:
51
. For regularly scheduled hours worked on the night shift of a holiday:
2.879 times the adjusted shift differential rate of 87.7 cents.
. For hours worked on the night shift outside the schedule on a holiday:
2.5 times the contractual rate of $1.00.
. For all hours worked on the night shift outside the regular schedule,
excluding holidays: 1.5 times $1.00.
. For holidays not worked: No shift differential.
. For the night shift of the last scheduled day of rest worked (if all days
of rest worked): 2.0 times $1.00.
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.
52
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.
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
53
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.
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.
54
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.
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
55
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
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
56
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 HOUR
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. 672.4 1.0 672.4 $0.50 $ 336.20
holidays)
Eve Shift O/T (excl. 33.6 1.5 50.4 $0.50 $ 25.20
holidays)
Mid Shift S/T (excl. 672.4 1.0 672.4 $1.00 $ 672.40
holidays)
Mid Shift O/T (excl. 33.6 1.5 50.4 $1.00 $ 50.40
holidays)
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
57
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
58
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
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 2.0 x $16.73 = $33.46
rest (if 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 2.5 x $16.73 = $41.83
schedule
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
59
EXHIBIT B
WAGE RATES
[THIS PAGE INTENTIONALLY LEFT BLANK]
EXHIBIT B
WAGE RATES
12/21/98 5/1/2000 5/1/2001
-------- -------- --------
3% 3% 3%
Maintenance - Primary Skills
----------------------------
3% 3% 3%
BOILERMAKER/IRONWORKER 23.12 23.81 24.52
INSTRUMENT & ELECTRICAL 23.18 23.88 24.60
MACHINIST 23.12 23.81 24.52
PIPEFITTER 23.12 23.81 24.52
OPERATING ENGINEER 23.12 23.81 24.52
MAINTENANCE - GENERAL MECHANIC CLASSIFICATION
---------------------------------------------
(WHEN QUALIFIED) 23.12 23.81 24.52
MAINTENANCE - SECONDARY SKILLS (FROZEN)
---------------------------------------
ASBESTOS WORKER 22.45 22.45 22.45
▇▇▇▇▇▇▇▇▇ 22.45 22.45 22.45
PAINTER 22.45 22.45 22.45
LABORER 20.35 20.35 20.35
STORES CLERK (FROZEN) 21.67 21.67 21.67
---------------------
OPERATOR 23.12 23.81 24.52
--------
PUMPER ▇▇▇▇▇▇ 23.12 23.81 24.52
-------------
LAB ANALYST 23.12 23.81 24.52
-----------
APPRENTICE LEVELS
-----------------
Apprentices: Chemical Operator, Pumper ▇▇▇▇▇▇, Lab Analyst
----------------------------------------------------------
Start (Frozen) 17.42 17.42 17.42
End of 6 Months 18.37 18.49 18.60
End of 12 Months 19.32 19.55 19.79
End of 18 Months 20.27 20.62 20.97
End of 24 Months 21.22 21.68 22.16
End of 30 Months 22.17 22.75 23.34
End of 36 Months 23.12 23.81 24.52
(Journeyman Rate)
62
12/21/98 5/1/2000 5/1/2001
-------- -------- --------
3% 3% 3%
Maintenance Apprentice (Partial List)
-------------------------------------
Boilermaker/Ironworker, Machinist, Pipefitter, Operating Engineer Only
Start (Frozen) 17.42 17.42 17.42
End of 6 Months 18.13 18.22 18.31
End of 12 Months 18.85 19.02 19.20
End of 18 Months 19.56 19.82 20.08
End of 24 Months 20.27 20.62 20.97
End of 30 Months 20.98 21.41 21.86
End of 36 Months 21.70 22.21 22.75
End of 42 Months 22.41 23.01 23.64
End of 48 Months 23.12 23.81 24.52
(Journeyman Rate)
Maintenance Apprentice (Partial List) - (FROZEN)
------------------------------------------------
Asbestos Worker, ▇▇▇▇▇▇▇▇▇, ▇▇▇▇▇▇▇ Only
Start 17.42 17.42 17.42
End of 6 Months 17.98 17.98 17.98
End of 12 Months 18.56 18.56 18.56
End of 18 Months 19.16 19.16 19.16
End of 24 Months 19.79 19.79 19.79
End of 30 Months 20.41 20.41 20.41
End of 36 Months 21.08 21.08 21.08
End of 42 Months 21.76 21.76 21.76
End of 48 Months 22.45 22.45 22.45
(Journeyman Rate)
I&E Apprentice
--------------
Start (Frozen) 17.42 17.42 17.42
End of 6 Months 18.00 18.07 18.14
End of 12 Months 18.57 18.71 18.86
End of 18 Months 19.15 19.36 19.57
End of 24 Months 19.72 20.00 20.29
End of 30 Months 20.30 20.65 21.01
End of 36 Months 20.88 21.30 21.73
End of 42 Months 21.45 21.94 22.44
End of 48 Months 22.03 22.59 23.16
End of 54 Months 22.60 23.23 23.88
End of 60 Months 23.18 23.88 24.60
(Journeyman Rate)
Note: Upon ratification of the contract, employees in the Chief, Leadman, and
Hourly Planner classifications will be returned to the Journeyman level of
their respective classifications. The pay rates of these employees will
remain frozen until the wage rates for their respective classifications
exceeds their frozen pay rates.
63
[THIS PAGE INTENTIONALLY LEFT BLANK]
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 as
signed 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.
65
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.
66
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.
67
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.
68
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.
69
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.
70
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
71
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.
72
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_______________
73
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.
74
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
75
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
76
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 Apprentice
ship 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.
77
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
78
EXHIBIT C
APPRENTICESHIP AGREEMENTS
applicants on the basis of qualifications alone and without regard to
race, religion, age, color, 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.
79
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 apprentice
ship 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.
80
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
----------------------------------------------------------------------
81
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 1000
comers)
Fabricating steel 600
Rigging and equipment handling 1000
Shaping rolling 700
Burning welding 1000
Maintenance of boilers (inspecting, repairing, 1500
cleaning)
Cribbing, setting equipment 200
Maintenance of heat exchangers, tube bundles and 1500
reboilers
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
-----------------------------------------------------------------------------
82
EXHIBIT C
APPRENTICESHIP AGREEMENTS
INSTRUMENT/ELECTRICAL WORKER
Safety -- JSA preparation SP bulletins work habits (Continuous)
OSHA 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 500
shorts, and new installations
Control Wiring -- Tracing, repair, and 500
troubleshooting
Splicing wire -- 480 & 120V 50
Power wire 500
Motor troubleshooting 100
Motor controls 500
Understanding schematics, loops, wiring diagrams, 750
one lines, P&ID, and layouts
Troubleshooting relays PLC's timers 500
Medium voltage equipment 1000
Splicing cables, transformers, switch gear, 0
capacitors, test equipment, and motors
UPS systems and variable speed drives 200
Interlocks, alarms, shutdown switches, and 400
sequential events recorders
N.E.C. -- grounding, explosion proof equipment 200
Fuses and circuit breakers 200
Repair and calibration of electronic equipment PC 0
boards, power supplies, digital controllers
Control Valve and Shop Repair - actuators, 1000
positioners, I/Ps, limit switches, bench set,
assembly, disassembly
Transmitter repair, calibration, and 1950
troubleshooting with 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
----------------------------------------------------------------------
83
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 BOILERMAKER
signaling
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
----------------------------------------------------------------------
84
EXHIBIT C
APPRENTICESHIP AGREEMENTS
PAINTERS
Use and care of tools 500
Materials 1500
Use and preparation, proper mixing, and matching 0
colors
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.
----------------------------------------------------------------------
85
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.
86
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___________________
87
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.
88
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
89
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.
90
EXHIBIT D
EMPLOYEE BENEFITS
The COMPANY agrees to continue to provide employee benefits under the following
plans as in effect on December 1, 1998:
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. Medical Benefits Plan for Retirees
Sterling Chemicals, Inc. Prescription Drug Benefits Plan for Retirees
Sterling Chemicals, Inc. Hourly-Paid Employees' Pension Plan
Sterling Chemicals, Inc. ESOP
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.)
The COMPANY will not provide retiree life insurance benefits for employees who
retire after March 1, 1999. Employees, who retired on or before that date will
continue to have the same amount of retiree life insurance with which they
retired.
Note: Employees who retire on or before 3/1/99 will be eligible for retiree
medical insurance at the grandfathered active employee rates. This exception
will last for the duration of this agreement and will be subject to change as
negotiated in future contracts.
Employee dental premiums shall increase 10% each year for 2000, 2001, and 2002.
For retirees who retire after March 1, 1999, retiree medical premiums 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. For retirees who are currently retired or elect to retire
on or before March 1, 1999, retiree medical premiums will equal active employee
medical premiums; however, retirees who retired before 4/1/91 under the terms of
the "old" retiree medical plan will continue to pay the same retiree medical
premiums as they are paying on December 1, 1998.
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.
91
Medical Coverage - Coordination of Benefits applicable to actives and to "new
plan" (generally 4/1/91 and after) retirees: 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 Plan would have paid had it been primary.
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 non-HMO plan.
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EARLY RETIREE INCENTIVES
Until February 16, 1999, the Company agrees to provide a "5&5" pension incentive
to eligible employees as follows:
Eligible employees are those who have met ALL of the following conditions:
a) is actively employed (or on layoff status) on December 17, 1998
b) is at least age 50 by January 31, 1999
c) has at least 5 years of vesting service by January 31, 1999
d) has signed and returned (and has had notarized) a Severance and
Release Agreement prepared by the Company
e) elects to retire by March 1, 1999
Eligible employees will be entitled to the following:
a) 5 years will be added to their age in the Pension Plan
b) 5 years will be added to their Benefit Service and Vesting Service in
the Pension Plan
c) no early retirement reduction will be applied to their pension (even
if not Combo 80)
d) they will be eligible to enroll in the retiree medical plan
PENSION
The maximum pension factor will be increased to:
EFFECTIVE DATE PENSION FACTOR
December 31, 1998 $60
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VACATION YEAR TRANSITION
Vacation available to be taken during 1999:
a) all unused vacation at end of 1998 plus
b) 3/4 of a year vacation allotment earned in 1998
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.
RATIFICATION BONUS
All hourly employees actively employed (or on layoff status) will receive a
Ratification Bonus payable upon successful Ratification of the Labor Agreement
in the amount of $1000.00.
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MAINTENANCE OVERTIME PROCEDURE
MANAGING OF MAINTENANCE OVERTIME
Maintenance employees will clock in and out at the zone maintenance shop.
HOLDOVER OR SCHEDULED OVERTIME
Personnel will declare their overtime preference daily. If they "OK" for
overtime, they will be scheduled to work. The zone maintenance planner or
▇▇▇▇▇▇▇ will schedule and assign overtime using zone personnel (those who
declared their preference to work) on the basis of low hours worked and skills
required to perform the job. If unable to fill the job within the zone,
employees on the volunteered, pre-committed list will be scheduled. The I/E
Qualification List will be used. If the job can not be staffed, the job may be
contracted or zone employees may be forced to hold over. For job continuity,
jobs started by contractor personnel will be worked to completion by the
contractor.
EMERGENCY CALL OUTS
The plant will have an on-call system for notifying volunteered, pre-committed
personnel during off hours. Zone supervision will determine the number of
employees required to be on call at any given time. (After the telephone, use of
a pager is the most likely tool for contacting personnel). The operations
▇▇▇▇▇▇▇, maintenance ▇▇▇▇▇▇▇ or planner, or their designees will call the on-
call personnel to respond to emergency call outs. The on-call personnel must
respond immediately. It is the responsibility of the on-call employee to pre-
arrange for a substitute before leaving the plant if he/she will not be
available. If unable to fill the requirement with the on-call personnel, the job
may be contracted to completion or employees from the home zone may be forced
out on the basis of low hours worked. The I/E Qualification List will be used.
ANALYZER
The analyzer craftsmen will work overtime in their assigned zone. If additional
manpower is required, the low person from the analyzer group with the needed
skills will be scheduled on the basis of low hours worked. In addition, each
SBU will have a designated on-call person.
ELECTRICAL LINE CREW / MOTOR CREW
The electrical line crew and the motor crew are part of Zone 4/Central Shops
service organization and are included in that overtime pool. Line crew and high
voltage motor work will be offered and assigned to this group.
PM CREW
Critical equipment repairs will be scheduled for the PM crew. If unable to
properly staff the job, the job may be contracted.
SHUTDOWNS / TURNAROUNDS
The company reserves the right to contract shutdown/turnaround work. Employees
from within the affected zone may volunteer to work parts of the
shutdown/turnaround. They may also be assigned to shifts by reverse craft
seniority, as needed, to execute the work.
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NO JURISDICTION
SUPPORTING INFORMATION
1. Operators perform CLAIR, TPM, and minor maintenance.
Examples:
. help Machinist pull and install pump
. pull small pump and decontaminate
. pull small control valve up to level of skill and ability
. install and pull blinds for product changeover and to prepare equipment
(small number of blinds)
2. Maintenance planners plan total hours to perform job.
3. Maintenance ▇▇▇▇▇▇▇ assigns jobs based on skill and ability. You could
have crews of all one craft or mixture of crafts. Crew would secure
permits, get necessary materials, communicate with ▇▇▇▇▇▇▇ and operations.
4. General Mechanic classification set up to increase skill level of Painters,
Laborers, Asbestos Workers, Carpenters, and Stores personnel who choose to
transfer to the Laborers. They would learn low, medium, and some high
skills of primary skill groups. Support personnel would be trained,
tested, and certified to become a General Mechanic. General Mechanic would
help primary skill craftsmen or perform the jobs outright up to their level
of skill and ability.
5. Depending on jobs scheduled, General Mechanics may perform support work by
themselves or with help from primary group.
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