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COLLECTIVE BARGAINING AGREEMENT

KNOW ALL MEN BY THESE PRESENTS:

This Agreement, made and entered into b and bet!een:

The FIVE-SISTER, INC", a #or$oration d%& organi'ed %nder

Phi&i$$ine &a! !ith $rin#i$a& o((i#e at Laoag )it, re$resented herein b

its *enera& Manager, E&oisa Rodrig%e' and Assistant *enera& Manager

Ben+amin Torre, herein re(erred to as the COMPANY"

and

The FIVE-SISTER EMPLOYEES UNION (FEU), a &egitimate

&abor organi'ation d%& registered !ith the -e$artment o( Labor and

Em$&oment, !ith o((i#e address at ./L0/S B/0L-0N*, Lagas#a Street,

Laoag )it, herein re$resented b 1E/ President Mar2 .ose$h Tarantino

and 3i#ePresident Reiner Lagda, herein re(erred to as the UNION"

WITNESSETH: That

WHEREAS, $%rs%ant to the )o&&e#ti4e Bargaining Agreement

entered into in 5678 #o4ering the $eriod 56785679 !hi#h mandated the

negotiation o( the $ro4isions o( the Agreement to be en(or#ed (or (i4e 8;

ears"

WHEREAS,the )OMPANY and the /N0ON desire to sign and

enter into a )o&&e#ti4e Bargaining Agreement #o4ering (i4e 8; ears%nder m%t%a&& a##e$tab&e terms and #onditions as a means o( (%rther

(ostering good &abor management re&ations, en(or#ing dis#i$&ine, and

ma

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$rod%#tion, and to $romote so%nd and stab&e ind%stria& $ea#e and ad4an#e

the genera& !e&(are, hea&th, sa(et and the best interest o( the em$&oees

and the o( the )OMPANY>

NOW, THEREFORE,in #onsideration o( the (oregoing $remises

and the m%t%a& #o4enants, %nderta2ing and sti$%&ations hereina(ter set

(orth, the /N0ON and the )OMPANY ha4e agreed on the (o&&o!ing:

ARTICLE I

RECOGNITION

SECTION 1. Recognition The )OMPANY re#ogni'es the

/nion as the so&e and e

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SECTION (. A))itiona% E$c%&'ion' Em$&oees !ithin

the bargaining %nit hereto(ore de(ined, !ho are $romoted or trans(erred

to an e

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not dire#t& #onne#ted !ith the reg%&ar o$erations or b%siness o( the

)OMPANY"

g; A tem$orar em$&oee is one hired (or o##asiona& or seasona&

!or2, or as a tem$orar re$&a#ement (or reg%&ar em$&oee on &ea4e"

h; A reg%&ar em$&oee is one !ho is e

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SECTION . +i'0i''a%' An s%#h em$&oee, mentioned

%nder the &ast $aragra$h o( Se#tion 7; hereo(, !ho re(%ses to +oin the

/N0ON a(ter attaining reg%&ar stat%s andor an /N0ON member !ho

(ai&s to maintain his membershi$ in the /N0ON (or an o( the (o&&o!ing

gro%nds:

a; #ommission o( a #rime against the 1ederation, /N0ON o((i#ers

and members>

b; non$ament o( right amo%nt o( /N0ON d%es and other s$e#ia&

assessments to the /N0ON>

#; 4o&%ntar resignation (rom the /N0ON d%ring the e((e#ti4it o(

the Agreement e and

d; 4io&ation o( the /N0ON=s )onstit%tion and BLa!s

sha&&, %$on !ritten noti#e b the /N0ON o( s%#h re(%sa& to +oin or to

maintain membershi$ in the /N0ON and %$on !ritten re#ommendation

to the )OMPANY b the /N0ON, be dismissed (rom em$&oment b the

)OMPANY $ro4ided, ho!e4er, that the /N0ON sha&& ho&d the

)OMPANY (ree and b&ame&ess (rom an and a&& &iabi&ities that ma arise

sho%&d the dismissed em$&oee @%estion, in an manner, his dismissa&"

SECTION #. +i'cha"ge o C"itica% E0/%oee' The

)OMPANY ma as2 the /N0ON a reasonab&e $eriod o( time (rom the

date o( re#ommendation b the /N0ON !ithin !hi#h the em$&oee sha&&

be terminated (rom em$&oment, i( s%#h em$&oee is $er(orming a(%n#tion that is #riti#a& to the b%siness o( the )OMPANY, %n&ess

re$&a#ement there(or ma be or is a#t%a&& obtained b the )OMPANY"

SECTION (. Action on +e0an) o" +i'0i''a% Where the

)OMPANY as2s (or a &onger $eriod !ithin !hi#h to dismiss the

em$&oee #on#erned in 4ie! o( the #riti#a& nat%re o( his (%n#tions, (ina&

a#tion on the re#ommendation on the termination b the )OMPANY

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sha&& be ta2en on& a(ter a s%itab&e re$&a#ement has been obtained !ithin

a reasonab&e $eriod o( time $%rs%ant to Se#tion C"

SECTION *. T/e o +i'0i''a% -ismissa& andor

termination o( em$&oment o( an em$&oee %nder Se#tions 5 and C o( this

Arti#&e sha&& be treated and #onsidered as dismissa& (or a +%st #a%se"

SECTION -. 0n #ase o( retren#hment or red%#tion o( $ersonne&

d%e to installation of labor saving device, the same shall be applied

equitably to all affected personnel using the guidelines set by law and

their implementing rules. In case of a tie, all things being equal, Elected

UNION Officers, shall be given preference.

ARTICLE III

CHEC5OFF

SECTION 1. W"itten A&tho"i6ation The )OMPANY

agrees to #he#2o(( or ded%#t on#e a month (rom the !agessa&aries o(

members o( the /N0ON, earned in the se#ond $eriod o( ea#h #a&endar

month, /N0ON d%es in s%#h de(inite amo%nts as $ro4ided (or in the

/N0ON=s )onstit%tion and B&a!s or genera& membershi$ reso&%tion

and to remit 86D o( s%#h ded%#tions (or /N0ON d%es to the 1ederation

o( 1ree Wor2ers and the other 86D to the &o#a& #ha$ter> $ro4ided,

ho!e4er, that the /N0ON members s%bmit indi4id%a& !ritten re@%ests

and a%thori'ations thereo(" The )OMPANY a&so agrees to #he#2o(( or

ded%#t (rom the !agessa&aries o( members o( the /N0ON s$e#ia& %nion

assessments s%#h as berea4ement #ontrib%tions and (ines> $ro4ided,

ho!e4er, that the Board reso&%tion thereo(, a$$ro4ed b the genera&membershi$, d%& #erti(ied b the Se#retar and President o( the /N0ON,

together !ith the S$e#ia& #he#2o(( a%thori'ation o( indi4id%a& /N0ON

members re&ati4e to s%#h assessments, is s%bmitted to and re#ei4ed b the

)OMPANY not &ess than ten 76; das $rior to the date d%ring !hi#h

assessment or ded%#tion is re@%ested to be made" 0n addition, the

)OMPANY agrees to #he#2o(( (or the /N0ON (rom the !agessa&aries

o( the /N0ON members #ontrib%tions#o&&e#tions (or the em$&oees=

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)oo$erati4e, $ro4ided, ho!e4er, that the /N0ON s%bmits to the

)OMPANY at &east ten 76; das $rior to the ded%#tions or #he#2o((,

indi4id%a& !ritten a%thori'ation thereo( (rom the /N0ON members" The

)OMPANY and the /N0ON sha&& (orm%&ate a #ontro& me#hanism

regarding s%#h #ontrib%tions#o&&e#tions (or the )oo$erati4e to a4oid an

%nd%e (inan#ia& b%rden to the em$&oees"

SECTION . Agenc Fee A&& ran2and(i&e em$&oees

#o4ered b the bargaining %nit b%t !ho are not members o( the /N0ON

sha&& be #o&&e#ted an amo%nt e@%i4a&ent to the %nion d%es re$resenting

agen# (ee to be ded%#ted (rom their month& sa&ar"

SECTION #. +&"ation o W"itten A&tho"i6ation The

#he#2o(( re@%est and a%thori'ation (or month& /N0ON d%es sha&&

remain in e((e#t d%ring the term o( this Agreement" The s$e#ia& #he#2o((

re@%est and a%thori'ation (or s$e#ia& /N0ON assessment and the

)oo$erati4e sha&& be good on& (or the s$e#i(ied /N0ON assessment or

ded%#tion"

SECTION (. T"an'0itta% o Chec7O A0o&nt' The

)OMPANY agrees to remit to the Treas%rer o( the /N0ON b #he#2, the

amo%nt ded%#ted in a##ordan#e !ith the #he#2o(( a%thori'ation !ithin

(i4e 8; !or2ing das a(ter s%#h #he#2o(( or ded%#tion is made" The

Treas%rer o( the /N0ON andor the d%& a%thori'ed /N0ON

re$resentati4e sha&& a#2no!&edge and iss%e the #orres$onding /N0ON

o((i#ia& re#ei$t there(or and, therea(ter, the )OMPANY sha&& no &onger be

res$onsib&e (or s%#h amo%nts;"

SECTION *. A''&0/tion o Lia4i%it The /N0ON, itso((i#ers, and members hereb agree to indemni(, ans!er (or, and ho&d

the )OMPANY (ree and b&ame&ess (rom, an and a&& #&aims !hi#h ma

be bro%ght or instit%ted against the )OMPANY b an em$&oee (or

amo%nt ded%#ted (rom his sa&aries or !ages as herein $ro4ided"

SECTION -. 8"io"it o Ce"tain O4%igation' o"

In)e4te)ne'' Not!ithstanding the $ro4isions o( this Arti#&e, the

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)OMPANY sha&& ha4e the right to gi4e $riorit to the ded%#tions (rom

the !ages or sa&aries o( the members o( the /N0ON a&& ob&igations,

indebtedness and ded%#tions re@%ired to be made b &a!, s%#h as SSS,

Phi&Hea&th, and Pagibig 1%nd #ontrib%tions, !ithho&ding ta< ded%#tions

and the &i2e" A(ter !hi#h ded%#tions (or the /N0ON and the )oo$erati4e

sha&& be e((e#ted"

SECTION 9. E0/%oee Reco")' The )OMPANY agrees to

(%rnish the /N0ON a #o$ o( ea#h reg%&ar em$&oment e

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o$erations !ithin the )OMPANY> to $romote, demote, dismiss,

dis#harge, &ao((, dis#i$&ine, s%s$end and trans(er em$&oees (rom one

+ob to another, to instit%te a +ob #&assi(i#ation andor merit rating sstem

to #reate ne! or additiona& #&assi(i#ations or to e&iminate #&assi(i#ation o(

+obs and em$&oees and, in genera&, to e

b; %nder no #ir#%mstan#es !i&& s%$eriors%bordinate re&ation

bet!een re&ati4es o( an degree be a&&o!ed" A&so, re&ati4es b b&ood or

a((init o( !hate4er degree sha&& not o##%$ #o%nter#he#2ing $ositions"

SECTION #. 0n #ase a reg%&ar em$&oee dies or retires and the

)OMPANY de#ides to (i&&%$ the $osition 4a#ated as a #onse@%en#e o(

his death or retirement, an member o( his immediate (ami& !ho is

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@%a&i(ied (or the $osition sha&& ha4e $riorit in the hiring o( his

re$&a#ement"

1or the $%r$ose o( this $ro4ision, immediate (ami&F sha&& mean

the &egitimate (ather, mother, brother or sister o( an %nmarried em$&oee,

or the &egitimate s$o%se, son or da%ghter o( a married em$&oee"

SECTION (. Senio"it Seniorit is determined on the basis o(

the em$&oee=s &ength o( #ontin%o%s ser4i#e !ith the )OMPANY,

#o%nted (rom the (irst da o( his em$&oment, $ro4ided that the seniorit

o( those tem$orari& &aid o(( in 79G8 sha&& be #onsidered as not ha4ing

been interr%$ted b that &a o(("

SECTION *. 8"o0otion The tria& $eriod (or an em$&oee !ho

is $romoted to a higherrated $osition sha&& be at &east three C; months"

-%ring the tria& $eriod, the em$&oee sha&& re#ei4e the same $a as he

!as re#ei4ing immediate& $rior to his $romotion $&%s a $osition

$remi%m to be determined b the )OMPANY" An em$&oee !ho (ai&s to

satis(a#tori& $ass the tria& $eriod (or $romotion sha&& be re4erted to his

(ormer $osition"

An em$&oee !ho $asses the tria& $eriod and is th%s $romoted sha&&

be granted a $romotiona& in#rease as (o&&o!s:

1or dai&$aid em$&oees 76D in#rease on the basi# dai&

!age"

1or month&$aid em$&oees 76D in#rease on the basi# month&

sa&ar"

SECTION -. Re)&ction o 8e"'onne% The )OMPANY sha&&

%se its best e((ort to a4oid a red%#tion or &a o(( o( $ersonne& b ado$ting

a&ternati4e meas%res a&&o!ed b &a! and (easib&e %nder the

#ir#%mstan#es" 0n #ase termination or &a o(( #annot be a4oided be#a%se

o( retren#hment to $re4ent &osses, red%ndan#, insta&&ation o( &aborsa4ing

de4i#es and other simi&ar or ana&ogo%s #a%ses, the se&e#tion o( em$&oees

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to be terminated or &aido(( sha&& be done initia&& on a 4o&%ntar basis,

a(ter !hi#h an need (or (%rther red%#tion sha&& be a##om$&ished based on

the (o&&o!ing #riteria a$$&ied on a $erde$artment or $erse#tion basis:

a" Abi&it, e((i#ien#, and @%a&i(i#ations in#&%ding e

b" )ond%#t and beha4io%r o( the em$&oee as sho!n b his

em$&oment re#ord> and

#" A&& things being e@%a&, the Last0n, 1irstO%tF R%&e sha&& be

a$$&ied"

0n an e4ent, an em$&oee !ho is terminated (or a%thori'ed

#a%ses mentioned abo4e sha&& be granted se$aration $a #onsistent !ith

&a! or the rate %nder the )om$an=s retirement $&an, !hi#he4er is higher

SECTION 9. T"an'e" o 8e"'onne% E

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SECTION 1. Thro%gh the LM), the $arties, in re#ognition o(

indi4id%a& and team $rod%#ti4it $otentia&s o( its entire em$&oees,

$arti#i$ate in de#isionma2ing $ro#esses that a((e#t the genera& !e&(are o(

the em$&oees to enhan#e the @%a&it o( &i(e and )OMPANY $rod%#ti4it"

There(ore the $arties agree to de4e&o$, $romote and im$&ement !or2ab&e:

a; La4o" Manage0ent Coo/e"ation$rograms (or the bene(it o(

the em$&oees and the )om$an

b; Fa0i% 8%anningin a##ordan#e !ith &a!

#; Hea%th, Saet an) othe" Go!e"n0ent 8o%icie' ? The

)OMPANY and the /N0ON agree to s%$$ort e

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SECTION 1. Maintenance o In)&'t"ia% 8eace an) Ha"0on?

Ea#h o( the $arties hereto a#2no!&edge the rights and res$onsibi&ities o(

the other $art and agrees to dis#harge its res$onsibi&ities %nder this

Agreement" E

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SECTION 1. 8&"/o'e The intention and $%r$ose o( the $arties

is to estab&ish a means (or the $rom$t dis$osition and ami#ab&e sett&ement

o( a&& grie4an#es"

SECTION . +einition A grie4an#e is an di((eren#e o(

o$inion or mis%nderstanding bet!een the )OMPANY and member o( the

/N0ON !ith res$e#t to the meaning, inter$retation, a$$&i#ation o(, or

#om$&ian#e !ith, an o( the $ro4isions and terms o( this Agreement, or

!ith res$e#t to terms and #onditions o( em$&oment"

SECTION #. 8"oce)&"e Sho%&d a grie4an#e arise, an earnest

e((ort sha&& be made to sett&e the same in a##ordan#e !ith the (o&&o!ing

$ro#ed%re:

STEP 7" a; Within C das (rom the time the e4ent #onsidered as a

grie4an#e arose, the em$&oee, either in $erson or thro%gh the Sho$

Ste!ard sha&& s%bmit his grie4an#e in !riting to his S%$er4isor, !ho,

together !ith the Sho$ Ste!ard, sha&& endea4o%r to reso&4e the grie4an#e

!ithin C das (rom the time the grie4an#e !as s%bmitted"

b; 0( the grie4an#e is not reso&4ed b the S%$er4isor and

the Sho$ Ste!ard, the grie4an#e m%st be re(erred to the )hie( Sho$

Ste!ard and the Se#tion Head or -e$artment Head !ithin C das" The

Se#tion Head or -e$artment Head; and the )hie( Sho$ Ste!ard a&so

ha4e a $eriod o( C das !ithin !hi#h to reso&4e the grie4an#e" 0( no

satis(a#tor de#ision is rea#hed at this stage, the grie4an#e sha&& be

re(erred to the ne

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Manager to reso&4e the same, or (rom the date the em$&oee or the

/N0ON re#ei4ed noti#e o( the HR Manager=s de#ision"

STEP C" The *enera& Manager sha&& endea4o%r to reso&4e the

grie4an#e !ithin se4en ; das (rom re(erra& to him, and ma #a&& %$on

the President o( the /N0ON (or the $%r$ose" Sho%&d he (ai& to reso&4e

the grie4an#e !ithin the $eriod, or sho%&d the em$&oee be not satis(ied

!ith his de#ision, the grie4an#e ma be re(erred to arbitration in

a##ordan#e !ith Se#tion I hereo("

SECTION (. A"4it"ation

a; The arbitration o( %nsett&ed grie4an#es sha&& be made b an

Arbitrator !ho sha&& be #hosen as (o&&o!s:

The )OMPANY and the /N0ON sha&& ea#h s%bmit (i4e 8; names

o( @%a&i(ied#om$etent arbitrators" A re$resentati4e ea#h o( the /N0ON

and the )OMPANY sha&& then $ro#eed to stri2e o%t a name a&ternate&

(rom the &ist o( ten 76; names %nti& t!o 5; names remain" 1rom these

t!o names sha&& be #hosen b &ot the Arbitrator" The de#ision o( the

Arbitrator on a grie4an#e $resented be(ore him in a##ordan#e !ith the

$ro4isions o( this Agreement sha&& be (ina& and binding %$on the

)OMPANY, the /N0ON and the em$&oee or em$&oees #on#erned,

e

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SECTION 9. Co0/an G"ie!ance' An grie4an#e o( the

)OMPANY against the /N0ON or its members, sha&& be bro%ght dire#t&

b the )OMPANY to the /N0ON President, andor *rie4an#e

)ommittee and then to arbitration, i( need be, as $ro4ided abo4e"

SECTION ;. Ti0eO The )om$an sha&& a&&o! the /N0ON

re$resentati4es s%#h timeo(( !ith (%&& $a as ma be ne#essar (or the

hand&ing o( grie4an#es, arbitration and #on#i&iation $ro#eedings"

SECTION >. Acce'' to Co0/an 8"e0i'e' The )OMPANY

agrees that a&& /N0ON o((i#ers and Sho$ Ste!ards, and a reasonab&e

n%mber o( /N0ON members a#ting !ithin their s$e#i(i# area o(

assignment> and res$onsibi&ities sha&& ha4e a##ess to the )OMPANY

$remises (or an o( the (o&&o!ing $%r$oses:

a; To in4estigate an grie4an#e that has arisen>

b; To as#ertain !hether or not this Agreement is being

obser4ed:

#; To inter4ie! (or a reasonab&e time ste!ards o( the /N0ON>

d; To $ost o((i#ia& /N0ON noti#es on the b%&&etin board

designated b the )OMPANY (or s%#h $%r$ose>

e; To attend o((i#ia&& #on4ened /N0ON meetings being he&d

!ithin )OMPANY $remises> and

(; S%#h other $%r$oses as ma be #onsonant !ith the

$romotion o( good re&ations bet!een the )OMPANY and

the /N0ON>

$ro4ided, ho!e4er, that s%#h right o( a##ess sha&& be e

and $ro4ided, (%rther, that s%#h /N0ON re$resentati4es desiring a##ess to

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)OMPANY $remises sha&&, at a&& times, se#%re the $rior $ermission o( the

)OMPANY"

SECTION 1?. 8%ant Sh&t)o $ro4ided, ho!e4er, that the sha&& be gi4en a

mea& ti#2et !orth PC6"66 (or e4erda that the !or2, and that their

4a#ation &ea4e sha&& be res#hed%&ed or #on4erted into #ash %$on their o!n

#hoi#e"

ARTICLE I@

HO2RS OF WOR5

SECTION 1. Wo"7 )a The $resent !or2 !ee2, ho%rs

o( !or2 or !or2 s#hed%&es in the )OMPANY sha&& be maintained" The

/N0ON reiterates its (%&& re#ognition o( and its agreement to the

)OMPANY=s so&e and abso&%te right to s#hed%&e or res#hed%&e !or2

ho%rs, shi(ts andor !or2 s#hed%&es" The /N0ON (%rther agrees that an

!or2 s#hed%&es or !or2 ho%rs that the )OMPANY has estab&ished or

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ma estab&ish (rom time to time does not #onstit%te a g%arantee o( ho%rs

o( !or2 or o( $a $er da or $er !ee2"

SECTION . +e!iation in Wo"7 Sche)&%e' The $arties

re#ogni'e and %nderstand that de4iation (rom, or #hanges o( the e

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SECTION 1. Sa%a"Wage Inc"ea'e' Em$&oees #o4ered

b this Agreement sha&& be granted sa&ar!age in#reases as (o&&o!s :

a" E((e#ti4e .an%ar 7, 567, a&& em$&oees on reg%&ar stat%s

!ithin the bargaining %nit on or be(ore said date, sha&& be

granted a sa&ar in#rease o( PI66 on their basi# month&

sa&ar as o( -e#ember C7, 567"

b" E((e#ti4e .an%ar 7, 567G, a&& em$&oees on reg%&ar stat%s

!ithin the bargaining %nit on or be(ore said date, sha&& be

granted a sa&ar in#rease o( PI66 on their basi# month&

sa&ar as o( -e#ember C7, 567"

#" E((e#ti4e .an%ar 7, 5679, a&& em$&oees on reg%&ar stat%s

!ithin the bargaining %nit on or be(ore said date, sha&& be

granted a sa&ar in#rease o( PI66 on their basi# month&

sa&ar as o( -e#ember C7, 567G"

The !agesa&ar in#reases granted %nder this )BA sha&& be deemed

in#&%si4e o( the mandated minim%m !age in#reases %nder $resent and

(%t%re &a!s or Wage Orders, and sha&& be #onsidered as #orre#tion o( the

!age distortions that ma ha4e been bro%ght abo%t b the same" This

$ro4ision has been %$he&d b the Se#retar o( Labor in her de#ision dated

78 O#tober 566C, #iting the #ase o( APEJ Mining 4s" NLR) *"R"

G5566, 58 1eb" 7995, 56 S)RA I9,867; and N1L 4s" NLR) *"R"

76C8G, 57 .%& 799I, 5CI S)RAC77C5I;"

SECTION . Reg&%a"i6ation Inc"ea'e A #o4ered dai&

$aid em$&oee !ho a#@%ires reg%&ar stat%s !ithin the ear s%bse@%ent to

the e((e#ti4it o( a $arti#%&ar sa&ar!age in#rease mentioned in Se#tion 7

abo4e, sha&& be granted a sa&ar!age in#rease on a $ro$ortionate basis as

(o&&o!s:

Reg%&ari'ation Period E@%i4a&ent 0n#rease

7st @%arter 766D

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5nd @%arter 8D

Crd @%arter 86D

Ith @%arter 58D

On the other hand, an month&$aid em$&oee !ho a#@%ires

reg%&ar stat%s !ithin the term o( the Agreement sha&& be granted

reg%&ari'ation in#rease e@%i4a&ent to 76D o( his reg%&ar basi# sa&ar"

Section #. 8"o)&cti!it Ba'e) A%%o

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SECTION 1. O!e"ti0e 8a An em$&oee !ho is

$ermitted or re@%ired to render o4ertime !or2 d%ring reg%&arordinar

!or2ing das sha&& be $aid, (or ea#h ho%r o( s%#h o4ertime !or2, his

e@%i4a&ent reg%&ar basi# ho%r& rate $&%s thirt $er#ent C6D; thereo("

SECTION . 8"e0i&0 8a An em$&oee !ho is

$ermitted or re@%ired to !or2 on s$e#ia& ho&idas or on his designated

rest da sha&& be $aid, (or the (irst eight G; ho%rs o( !or2, his reg%&ar

basi# dai& or ho%r& rate $&%s 1ort Per#ent I6D; thereo(" Wor2 in

e

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SECTION *. Fo"0&%a to +ete"0ine Ho&"% Rate The

(orm%&a to be %sed in determining the ho%r& rate o( sa&aried em$&oees

(or the $%r$ose so&e& o( #om$%ting their o4ertime and $remi%m $a sha&&

be as (o&&o!s:

Ho%r& Rate Month& Sa&ar < 75

5G das < G

SECTION -. Mea% A%%o

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a; An em$&oee !ithin the bargaining %nit sha&& be granted

4a#ation &ea4e !ith $a e4er #a&endar ear in a##ordan#e !ith the

(o&&o!ing s#hed%&e:

Length o( Ser4i#e No" o( -as

At &east months to &ess

than C ears 78

C ears to &ess than I ears 7G

I ears to &ess than 8 ears 56

8 ears to &ess than ears 55

ears and abo4e 5I

b; A&& %n%sed 4a#ation &ea4e #redits sha&& be #on4erted into its

#ash e@%i4a&ent i"e" based on the em$&oee=s basi# dai& rate; $aab&e to

the em$&oee on the (irst da o( -e#ember o( ea#h ear"

Resigned em$&oees sha&& re#ei4e the #ash e@%i4a&ent o( their

%n%sed 4a#ation &ea4e %$on #&earan#e, $ro4ided that the ha4e gi4en

noti#e o( their resignation thirt C6; das $rior to the e((e#ti4it o( their

resignation"

Resigning em$&oees !ho (ai& to gi4e the re@%ired noti#e as abo4e

mentioned and those !hose ser4i#es are terminated (or +%st #a%ses as

en%merated in the Labor )ode and in the 103ES0STER Em$&oee

Handboo2 sha&& be deemed to ha4e (or(eited their 4a#ation &ea4e #redits

and its #ash #on4ertibi&it"

Em$&oees !hose ser4i#es are terminated (or +%st #a%ses asmentioned abo4e, b%t !ho, (or h%manitarian #onsideration, are $ermitted

to resign instead o( being dismissed, sha&& a&so be #onsidered to ha4e

(or(eited the bene(its o( this $ro4ision"

#; The )OMPANY reser4es the right to s#hed%&e andor

res#hed%&e 4a#ation &ea4es o( em$&oees d%ring s%#h $eriod or $eriods o(

time to be determined so&e& b the )OMPANY" The )OMPANY agrees

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to gi4e #onsideration to the em$&oee=s $re(eren#e (or the das o( their

s#hed%&ed &ea4e, s%b+e#t to the e

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b; in #ase o( death o( &egitimate s$o%se, #hi&d, (ather, mother,

brother, sister, or in&a!s"

#; in #ases o( earth@%a2e intensit I or more in the Ri#hter

S#a&e; #a%sing damage to $ro$ert or in+%r to the $erson o(

the em$&oee or in #ases o( (ire, t$hoon signa& no" 5; or

(&ood $osing an immediate danger to the $ro$ert or (ami&

o( the em$&oee, $ro4ided, ho!e4er, that in the !a2e o( s%#h

#a&amities !hen the $ro$ert o( the )OMPANY sha&& a&so

ha4e been damaged, then the rights $ro4ided herein sha&& not

a$$&"

0n no #ase sha&& an em$&oee a4ai& himse&( o( more than eight G;

das tota& emergen# &ea4e !ith $a d%ring a ear"

The abo4e #ases or #onditions !arranting the grant o( emergen#

&ea4es are s%b+e#t to 4eri(i#ation and (ina& a$$ro4a& b the )OMPANY" 0t

is %nderstood that a&& %n%sed emergen# &ea4es sha&& not be #on4ertib&e

into #ash"

SECTION (. 2nion Lea!e The )OMPANY agrees to

grant to em$&oees !ho are /N0ON o((i#ers or members a #ombined

tota& o( 1i(t 86; das /N0ON &ea4e !ith $a and another Thirtse4en

C; das /N0ON &ea4e !itho%t $a (or the $%r$ose o( attending &abor

seminars and #on(eren#es, %$on re#ommendation b a s$onsoring

(ederation, organi'ation, or ed%#ationa& instit%tion and $rior a$$ro4a& b

the )OMPANY" 0t is e

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SECTION *. 8"e'i)ent=' 8"i!i%ege To enab&e the /N0ON

President to attend di&igent& to /N0ON matters and (%rther strengthen

&abormanagement re&ationshi$, heshe sha&& en+o (&e

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The )OMPANY !i&& enro&& @%a&i(ied em$&oees to a Hea&th

Maintenan#e Organi'ation HMO; Program %$ to the #o4ered amo%nt as

mentioned abo4e !ith the e((e#ti4it o( #o4erage thereo( to the said

HMO Program a(ter the signing o( this Agreement" Em$&oees= @%a&i(ied

de$endents, %$ to a ma

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SECTION 1. Co0/an 2nio"0' The )OMPANY

agrees to $ro4ide (ree %ni(orms a ear as (o&&o!s:

a; To a&& em$&oees 5 smo#2s !ith head #a$s ea#h and, i(

ne#essar, (a#e mas2s to $rod%#tion em$&oees

b; S&i$$ers

Additiona& smo#2s ma be granted to em$&oees as demanded b

the nat%re o( their +obs"

SECTION . G"o&/ Lie an) Acci)ent In'&"ance The

)OMPANY agrees to e

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SECTION -. Be"ea!e0ent Beneit 0n the e4ent an

em$&oee dies, the )OMPANY sha&& grant his &egitimate de$endents,

%$on sho!ing ade@%ate $roo( o( 2inshi$, a berea4ement bene(it o( 1ort

Tho%sand Pesos PI6,666"66;" The s%m o( 1o%rteen Tho%sand Pesos

P7I,666"66; sha&& be gi4en to the em$&oee, i( married, %$on the death o(

hisher &egitimate s$o%se or #hi&dren" 0( the em$&oee is %nmarried, the

s%m o( 1o%rteen Tho%sand Pesos P7I,666"66; sha&& be gi4en to himher

(or the death o( his $arents" 0t is %nderstood that on& one $ament sha&&

be #&aimed and made (or ea#h #ase o( death"

SECTION 9. Reti"e0ent Beneit' Retirement bene(its

sha&& be granted to a&& #o4ered em$&oees in a##ordan#e !ith the

$ro4isions o( the Retirement P&an, s%b+e#t to the @%a&i(i#ation that

e((e#ti4e .an%ar 7, 799I, the base rate (or #om$%ting the bene(its sha&&

be in#reased (rom se4ent(i4e $er#ent 8D; to one h%ndred $er#ent

766D; o( the (ina& month& sa&ar" The rate o( retirement bene(its $er

ear o( ser4i#e e((e#ti4e 7 .an%ar 5666 sha&& be as (o&&o!s:

76 ears 8D

77 ears 6D

75 ears 8D

7C ears G6D

7I ears G8D

78 ears 96D

7 ears 98D

7 ears 766D

7G ears 768D

79 ears 776D

56 ears abo4e 778D

SECTION ;. Atten)ance Bon&' Em$&oees #o4ered b

this Agreement sha&& hen#e(orth be entit&ed to an attendan#e bon%s

e@%i4a&ent to one da=s $a (or e4er si< ; months o( $er(e#t

attendan#e, $aab&e in a##ordan#e !ith the (o&&o!ing s#hed%&e:

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1irst !ee2 o( .%& $aro&& (or the $eriod (rom .an%ar to

.%ne;

1irst !ee2 o( .an%ar $aro&& o( the (o&&o!ing ear (rom

.%ne to -e#ember;

SECTION >. Re/o"ting Beneit' The )OMPANY ma, in #ase

o( emergen# res%&ting (rom $o!er (ai&%re, (ire or other #a&amities that

ma a((e#t the o$eration o( the )OMPANY, de#&are that a shi(t or (ra#tion

o( an shi(t be #an#e&&ed, in !hi#h e4ent, the )OMPANY sha&& $a the

em$&oees as (o&&o!s:

a; A#t%a& !or2 or )OMPANYdemanded !aiting time o( &ess

than (o%r I; ho%rs 86D o( basi# dai& !age

b; A#t%a& !or2 or )OMPANY?demanded !aiting time o( more

than (o%r I; ho%rs 766D o( basi# dai& !age

SECTION 1?. Loa%t A

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b the -e$artment o( Ed%#ation and S$orts, or has a &egitimate #hi&d !ho

is so enro&&ed" To be entit&ed to this bene(it, !hi#h is $aab&e at &east a

!ee2 be(ore the s#hoo& o$ening, the em$&oee m%st s%bmit to the

)OMPANY satis(a#tor $roo(s o( his or his #hi&d=s enro&&ment !ithin a

reasonab&e $eriod $rior to #&aiming the bene(it"

SECTION 1. Rice S&4'i) A&& #o4ered em$&oees sha&& be

granted ri#e s%bsid e@%i4a&ent to One Tho%sand 1i(t P7,686"66; $er

semester"

SECTION 1#. Se"!ice B&' The )OMPANY sha&& $ro4ide

s%((i#ient n%mber o( ser4i#e b%s !hi#h sha&& be made a4ai&ab&e to shi(ting

em$&oees"

SECTION 1(. Sa%a" Loan The )OMPANY sha&& e

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&a!, stat%te, go4ernment de#ree, r%&e or order, s%#h in4a&idit sha&& not

a((e#t the remaining 4a&id $ortions o( this Agreement"

ARTICLE @VI

EFFECTIVIT3 AN+ +2RATION

SECTION 1. 8e"io) This renegotiated Agreement sha&&

ta2e e((e#t (rom .an%ar 7, 566 to -e#ember C7, 5669"

SECTION . Bin)ing Eect The terms o( this Agreement

sha&& remain in (or#e d%ring the negotiations (or a ne! agreement and

%nti& s%#h ne! agreement is (ina&& rea#hed and entered into" -%ring its

e((e#ti4it, this Agreement sha&& be binding %$on a&& em$&oees o( the

)OMPANY !ithin the bargaining %nit and sha&& not be modi(ied b #o%rt

a#tion or b #on#erted a#ti4it o( the /N0ON, its members and said

em$&oees"

ARTICLE @VII

RATIFICATION

SECTION 1. Ratiication The /N0ON ass%res the )OMPANY

that this Agreement has been d%& rati(ied and a$$ro4ed b the

membershi$ o( the /N0ON"

0N W0TNESS WHEREO1, the $arties hereto b their res$e#ti4e

re$resentati4es a((i< their signat%res on this 7Gth da o( .an%ar, 567 at

Laoag )it, Phi&i$$ines"

103ES0STER, 0N)" 103ES0STER EMPLOYEES /N0ON 1E/;

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Co"/o"ation 2NION

B: B:

*enera& Manager President

H%man Reso%r#es Manager 3i#ePresident

Man%(a#t%ring Manager Se#retar

1inan#e Manager Treas%rer

A''i'te) 4: A''i'te) 4:

Lega& )o%nse& Nationa& President

Lega& )o%nse&