COLLECTIVE LABOUR AGREEMENT BETWEEN WOODBRIDGE …

COLLECTIVE LABOUR AGREEMENT

BETWEEN

WOODBRIDGE FOAM CORPORATION

Kitchener, Ontario

AND

UNITED STEEL WORKERS

On Behalf of its Local 83 8

July 1, 2011 to June 30, 2015


Kitchener, Ontario

AND

UNITED STEELWORKERS

On Behalf of its

Local838

Collective Labour Agreement .......................................................................................................... 1

Letters OfUnderstanding .............................................................................................................. 37

Welfare Benefit Plan ..................................................................................................................... 44

Pension Benefit Plan ..................................................................................................................... 65

INDEX COLLECTIVE AGREEMENT

Note: All text in bold indicates wording changes since the previous contract.

ARTICLE I

ARTICLE II

ARTICLE III

ARTICLE IV

ARTICLEV

ARTICLE VI

ARTICLE VII

ARTICLE VIII

ARTICLE IX

ARTICLE X

ARTICLE XI

ARTICLE XII

ARTICLE XIII

APPENDIX "A"

APPENDIX "B"

PURPOSE

RECOGNITION

MANAGEMENT

UNION SECURITY & DEDUCTION OF DUES

UNION REPRESENTATIONS

GRIEVANCE PROCEDURE

HOURS OF WORK & OVERTIME

PAID HOLIDAYS

WAGE POLICY

SENIORITY

VACATION

GENERAL

DURATION OF AGREEMENT

HOURLY RATES

COST OF LIVING

LETTERS OF UNDERSTANDING

Page

1

2

2

4

5

6

9

13

14

17

27

31

33

34

36

37

COLLECTIVE AGREEMENT TOPICAL INDEX

Section Page

Address Change ............................................................................................................. 10.02 Call Back Pay .................................................................................................................... 9.08 Discharge Clause ............................................................................................................... 6.09 Funeral Pay ....................................................................................................................... 9.06 Grievance ........................................................................................................................... 6.01 Harassment. ........................................................................................................................ l.02 Holidays, Statutory ............................................................................................................ 8.01 Holidays, Qualifications for ............................................................................................... 8.02 Hours ofWork, Normal .................................................................................................... 7.01 Injury Pay .......................................................................................................................... 9.09 Job Security ...................................................................................................................... 10.03 Jury Duty ........................................................................................................................... 9.07 LayoffProcedure, Indefinite ............................................................................................ 10.06 LayoffProcedure, Temporary ......................................................................................... 10.12 Lead Hand Duties ............................................................................................................. 12.04 Leave of Absence, Illness ................................................................................................ 10.19 Leave of Absence, Maternity ........................................................................................... 1 0.20 Leave of Absence, Union ................................................................................................ 10.24 Loaned Employee ............................................................................................................ 10.13 Management Function ........................................................................................................ 3.01 Meal Allowance ................................................................................................................ 9.14

18 16 8

15 6 1

13 13 9

16 18 16 18 21 31 24 24 26 21 2

17 Overtime, Regular ............................................................................................................ 7.03 10 Overtime, Saturday or Sunday .......................................................................................... 7.04 10 Overtime, Scheduling ........................................................................................................ 7.11 11 Pay Day ............................................................................................................................ 12.02 31 Payment, Meetings at Company Request ........................................................................... 5.05 5 Payment, Negotiating Committee ...................................................................................... 5.04 5 Payment, Work on Holidays .............................................................................................. 8.07 14 Probationary Period .......................................................................................................... 10.01 17

Topical Index (cont.)

Section Page

Recall ............................................................................................................................ 10.06 18

Reprimands ..................................................................................................................... 3.04 3

Rest Periods ............................................................................................................... 7.08-7.09 10

Rest Periods-Overtime .................................................................................................... 7.11

Safety Apparel ................................................................................................................. 12. 01

Safety Committee ............................................................................................................ 12.05

Shift Premium .................................................................................................................. 9.13

Shift Change Notice ....................................................................................................... 7.14

Suspension Clause ............................................................................................................. 6.09

Transfer Pay ...................................................................................................................... 9.11

Transfer Rights ................................................................................................................. 1 0.16

Union Deductions .................................................................................................... 4.04-4.05

Union Postings .................................................................................................................. 4.10

Union Representatives, Passes ........................................................................................... 4.09

Vacancy Postings ............................................................................................................ 10.16

Vacation, Minimum Payment ......................................................................................... 11.08

Vacation, Scheduling . . .. .. .. .. .. . . .. . .. . .. .. .. . . .. .. .. . . .. . .. .. .. . . . . .. .. .. . . . .. . .. .. .. . . . . .. .. . .. .. . .. . .. .. .. .. . .. ... .. .. 11.03

Vacation, Terminating Employees .................................................................................. 11.05

Wages, Starting ................................................................................................................. 9.03

Wages, Reporting for Work .............................................................................................. 9.05

Work, Bargaining Unit ..................................................................................................... 12.06

11 31 32 17 12

8 17 22

4 5 5

22 30 27 29 15 15 32

COLLECTIVE LABOUR AGREEMENT

This Collective Labour Agreement made and entered into this July 1, 2011 by and between

WOODBRIDGE FOAM CORPORATION, Kitchener, Ontario, hereinafter called the "Company"

and the United Steelworkers, on behalf of its Local #838 thereof, hereinafter, referred to as the

"Union".

ARTICLE I PURPOSE

1.01 It is the mutual desire of the "Company" and the "Union" to promote co-operation and harmony

between the Company and its employees, and the Union, and to provide an amicable method of

settling differences which might arise hereunder.

1.02 Both Company and the Union are committed to providing a workplace free of discrimination

or harassment. Employees must not engage in discrimination or harassment based on prohibited

grounds. Prohibited grounds are race, ancestry, place of origin, colour, ethnic origin, citizenship,

creed, sex, sexual orientation, same sex partnership status, age, record of offences, marital status,

family status or handicap.

1.03 The Union and the Company recognize that harassment is a cruel and destructive behaviour

against others that can have devastating effects.

Personal harassment is any form of improper comment or conduct that is known, or ought reasonably

to be known as unwelcome, including when an employee believes that they have been treated

unfairly or disrespectfully.

Sexual harassment is any unwanted attention of a sexual nature such as remarks about appearance or

personal life, offensive written or visual actions like graffiti or degrading pictures, physical contact

of any kind, or sexual demands.

Racial harassment is any action, whether verbal or physical that expresses or promotes racial hatred

in the workplace such as racial slurs, written or visually offensive actions, jokes, or other unwanted

comments or acts.

If an employee believes he has been subjected to harassment and/or discrimination on the basis of the

above definitions, the employee may bring the incident forming the basis of the complaint to the

attention of his Union representative and/or Supervisor or to the Human Resources Manager on a

confidential basis. If the employee's Union representative, Supervisor or Human Resources Manager

cannot, to the satisfaction of the employee, deal with the complaint, the employee is encouraged to

submit his/her complaint in writing to a Joint Committee.

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(a) A Committee for investigations will be comprised oftwo representatives for the Union and two representatives for the Company, jointly selected by the Union and the

Company.

(b) The company agrees to train the harassment committee once during life ofthe collective agreement. Additional training for the committee will be provided should the committee jointly determine that additional training is required.

The company agrees to post the names of the committee members in the plant.

The current procedure for harassment issues investigation will be attached to the Collective Agreement as an added appendix.

ARTICLE II RECOGNITION

2.01 The Company recognizes the Union as the exclusive bargaining agent for all employees of the "Company" at its plant located in Kitchener save and except supervisors, persons above the rank of supervisor, office and sales staff. The company further agrees the United Steelworkers will be the sole and exclusive collective bargaining agent if Woodbridge Foam relocates the Kitchener location within the cities of Kitchener, Waterloo or Cambridge.

2.02 Wherever the masculine gender appears in this Agreement, it shall be construed as meaning male or female, unless the context in the Section requires otherwise.

ARTICLE III MANAGEMENT

3.01 The Union recognizes that the operating of the plant and the full direction of the working forces is the exclusive function and responsibility of the Company without restricting the generality of the foregoing.

(a) The Union recognizes the right of the Company to operate and manage the number and location of its plants, the products to be manufactured, the scheduling of its production and its methods, processes, means of manufacturing, kinds and location of machines, tools to be used, the engineering and designs of its products and control of materials and parts to be incorporated in the products produced.

(b) The Union further recognizes the right of the Company to hire, retire, promote, determine qualifications and capabilities, transfer, demote and lay off employees and to suspend, discharge or otherwise discipline employees for just cause, maintain order, discipline and efficiency and to determine and establish standards of performance for all machines, employees and operations.

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3.02 The Union recognizes that the Company has the right to establish and/or alter reasonable rules and regulations, and which are to be observed by employees. The Company will notify the Unit

Chairperson of any change, addition or deletion to such list. Such Rules and Regulations shall not be

inconsistent with this Agreement.

3.03 An employee may be reprimanded, suspended or discharged for infractions of Rules and

Regulations referred to in Section 3.02 and such action may be appealed in accordance with the

provisions of this Agreement.

3.04 Reprimand notations placed on an employee's record by the Company must be signed by the immediate supervisor and by the employee as having been read. Ifthe employee refuses to sign, the Union Steward will sign on the employee's behalf. When the supervisor calls an employee with the intent of giving such employee a reprimand, he must give the employee the opportunity ofhaving his Union Representative in attendance, if the employee so desires. When an employee wishes to question or dispute such reprimand, he must invoke the grievance procedure within five (5) normal working days, and if the employee's grievance succeeds, such reprimand will be revoked.

Verbal reprimands, if no further discipline of a similar nature is issued within twelve (12) months, will be disregarded in the administration of discipline. Written reprimands and suspensions, if no further discipline of a similar nature is issued within twelve (12) months, will be disregarded in the administration of discipline. Illegal work stoppages, slowdowns and strikes, if no further discipline

of a similar nature is issued within two (2) years, will be disregarded in the administration of discipline. The Company will forward a copy of notations to the Union no later than five- (5) days

from the alleged infraction.

3.05 Nothing in this Agreement shall be deemed to restrict the management in any way in the performance of all functions of management except those specifically abridged or modified by this

Agreement.

3.06 The Company agrees that it will not exercise its management rights for the purpose of restricting or limiting the rights of its employees herein granted.

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ARTICLE IV UNION SECURITY AND DEDUCTION OF UNION DUES

4.01 An employee who is in the bargaining unit and who is a member of the Union on the effective date of this Agreement shall be required to continue to be a member of the Union as a condition of employment.

4. 02 Any employee who is hired subsequent to January 1, 1968 as a new employee and any employee who is hereinafter transferred into the bargaining unit after the effective date of this Agreement shall become and remain a member of the Union on the date of employment or transfer and shall continue to be a member of the Union as a condition of employment.

4.03 An employee in the Union on or after the effective date of this Agreement shall continue to be a member of the Union as a condition of employment to the extent of paying membership dues.

4.04 The Company agrees to deduct from the wages of any employees who are members of the Union and who shall, as a condition of employment, certifY in writing on forms supplied by the union that they authorize such deduction; their monthly Union dues in accordance with the International Constitution of the United Steelworkers and remit said deduction to the International Secretary-Treasurer of the Union.

4.05 (a) The Company shall forward the deduction as provided for in this article prior to the fifteen (15th) day of the following month to the International Secretary-Treasurer of the Union as directed by the Union accompanied by the following information:

(1) From whose pay deductions have been made. (2) From whose pay no deductions have been made, and the reason that deductions have not been made. (3) A properly filled out check-off certificate form supplied by the Union.

(b) The Company shall also forward to Local838 ofUSW a copy ofthe above information along with a properly filled out Membership Application form supplied by the Union.

4.06 It is the responsibility of the Union to notifY the Company from time to time of changes in the amount of Union dues not later than the 25th of the calendar month immediately preceding the month that such changed amount is to become effective.

4.07 The Union shall indemnifY and save the Company harmless from any claims, suits, judgements, attachments and from any other form ofliability as a result of the Company making any deductions in accordance with the foregoing authorization and assignments and the Union will refund direct to all employees on whom a wrongful deduction was made.

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4.08 Both parties agree that there will be no discrimination, coercion, or intimidation of employees in respect to Union membership or authorization of Union deduction.

4.09 The Company agrees to permit the Local President, Vice-President, Unit Chairperson and/or designated person to enter plants after hours for the purpose of transacting business arising out of this Agreement. The Supervisor in the area will be contacted on entry and where applicable will be notified prior to entry as to who the designated person is.

4.10 All notices of meetings and other matters of interest to the employees that the Union desires to be posted shall be submitted to the Company for approval. After approval, the Company will return the notices to the Union for posting.

ARTICLE V UNION REPRESENTATIONS

5.01 The Company acknowledges the right of the Union to appoint or otherwise select stewards to assist employees in presenting their grievances to the representatives of the Company.

5.02 There shall be three (3) stewards plant wide; distributed as one (1) for each shift. The Company also recognizes three (3) additional Union executives. All stewards shall have completed their probationary period.

5.03 The Company further acknowledges the right of the Union to appoint or select from the Bargaining Unit a Negotiating Committee to consist of the Unit Chairperson and two (2) employees from the Bargaining Unit who have completed their probationary period (exceptions: where the President is from the Bargaining Unit, they will also be included). The Company will negotiate with such committee for renewals or extensions of agreements. A Staff Representative of the U.S.W., will participate in such negotiations if requested to do so by the Union.

5.04 Upon prior approval of the Human Resources Department, the Company will pay the Unit Chairperson and/or the Unit Grievor of the Local Union for time spent investigating grievances and/or problems. The rate of pay shall be at the individual's regular hourly rate.

5.05 Union stewards, members of the Negotiating Committee (excepting International U.S.W. representation) as heretofore specified and any other employees requested by the Company to attend a meeting other than specified in Section 5.04 herewith shall be compensated for time so spent at his regular hourly rate.

5.06 The Company shall initially pay for all lost time for Union business. The Company shall accrue such hours and submit an invoice to the Union on a monthly basis for reimbursement for those hours where an employee is absent for work due to union business which is not paid for elsewhere in the Agreement.

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ARTICLE VI GRIEVANCE PROCEDURE

6.01 When an employee has a complaint he shall discuss the same with his immediate Supervisor, either directly or accompanied by his Steward. Every effort will be made by both parties to resolve the complaint as promptly as possible. If the complaint cannot be settled it may be treated as a grievance and processed through the following sequences:

Step 1 -The employee and his Union Steward or member of the Negotiating Committee will discuss the complaint with the Supervisor or designated person. The purpose of such meeting( s) will be to reach a settlement as quickly as possible.

Step 2- Failing settlement in Step 1, the grievance shall be reduced in writing, dated and presented to the Manager, within five (5) days of the intended offence or such Grievance will be come null and void. A meeting will then be arranged within five (5) normal working days subsequent to such request. The grievance will be taken up by the Unit Grievor, and/or the Steward, and the Department Manager. The Department Manager will render his/her decision in writing within five (5) normal working days after the conclusion ofmeeting(s) at this step.

Step 3-Failing settlement, the grievance may be taken up by the negotiating Committee within ten (1 0) normal working days subsequent to the date of Department Managers written decision, with the Management Committee. The authorized member of the Management Committee will render the decision of such committee in writing within five (5)_normal working days after the conclusion of the meeting(s) on said grievance. A StaffRepresentative may attend at the request of the Union.

Step 4 - Any grievance arising from the interpretation, application, administration, or alleged violation of this agreement, which has not been settled under the Grievance Procedure, including any question as to whether a matter is arbitrable may within but not more than thirty-five (35) calendar days after the completion of Step No.3 be submitted to arbitration by either party. When either party to this agreement requests that a grievance be submitted to arbitration, they shall make such request in writing and address same to the other party. Such request shall contain, in so far as possible, a complete and accurate statement of the grievance matter to be arbitrated. Within five (5) working days of receipt of this notice, each party shall appoint an arbitrator and notify the other party of its appointee. The two (2) arbitrators so appointed shall attempt to reach a satisfactory solution of the grievance. If they are unable to do so, they shall select a chairman of this arbitration board within five (5) working days of being unable to resolve the grievance themselves, but in any event, not more than fifteen ( 15) working days after the date of the last Arbitrator appointment. In the event of a failure to agree upon a chairman, either or both parties shall make an application to the Minister of Labour for Ontario, asking that he appoint, preferably a member of the judiciary, as a chairman of said board.

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(A) In all cases of arbitration, a single arbitrator will be substituted for a Board of Arbitration provided for in this Article VI unless the Union and the Company mutually agree to proceed by means of a Board of Arbitration.

(B) In all cases of substitution of a single arbitrator for a Board of Arbitration, as outlined in subsection (A) above, all other applicable provisions of Article VI will continue to apply so far as they are relevant.

6.02 Each of the parties shall pay the charges and expenses of its appointee. The charges and expenses of the chairman of the arbitration board shall be borne equally by the Company and the Union.

6.03 A decision by the majority of the arbitration board shall be final and binding upon both parties and the employees.

6.04 The arbitration board shall not be authorized to make any decision inconsistent with the provision of this Agreement nor to alter, modify or amend any part thereof. Unless mutually agreed, no matter may be submitted to arbitration which has not been properly carried through all previous steps of the Grievance Procedure.

6.05 Grievances on hourly rate ceilings in effect on the effective date of this Agreement, including those which are effected by general wage adjustment, are not subject to arbitration.

6.06 During the arbitration procedure, the parties shall, upon request, have the assistance of employee and employees concerned and/or necessary witnesses. The Union will give the Company at least two (2) working days prior notice to the day of requirement of any employee(s) called by them. Also if shorter times are required it will be left open to discussion. All reasonable arrangements will be made to provide access to the plant by the arbitration board, if and when requested, to view disputed operations and confer with necessary witnesses.

6.07 No grievance, after it has been submitted to the Negotiating Committee, shall be settled except through such committee except with the consent and approval of same.

6.08 The Union agrees that the final written answer of the Company to a grievance at any step in Grievance Procedure shall dispose of the grievance unless such is appealed by the Union within ten (ten) working days from the date of the Company's final answer. The only exception shall be that of an appeal to arbitration wherein thirty-five (35) calendar days are allowed. If these thirty-five (35) calendar days fall during July or August, they will be extended to September. Where the Company fails to answer in writing as provided in Step No.2 and/or 3 of Section 6.01, the grievance shall be settled in favour of the Grievor or the Union as the case may be.

All time limits in Article VI may be extended by mutual agreement in writing, signed by both parties.

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6.09 The decision whether or not to discharge an employee will not be made until at least two (2)

full working days have elapsed from the date of infraction, during which time thorough consideration

will be given to all the facts and circumstances relevant to the matter. If an employee feels he has

been unjustly suspended or discharged or improperly laid off or not recalled in accordance with the

Agreement, he shall have the right to appeal herewith. Such appeal must be in writing, addressed to

the Company and Union and must be in the Company's hands not later than five (5) working days,

excluding Saturday, Sunday or holidays after the effective date of such action by the Company. If

such appeal is properly made, the matter will be negotiated through the Grievance Procedure

commencing with Step # 2 and if it is determined that the employee has been unjustly suspended or

discharged he shall be reinstated to his former position without loss of seniority, and shall be

compensated at his regular hourly rate for normal hours lost from work because of the suspension or

discharge. It is further agreed that the conferring parties, by mutual agreement of the arbitration

board, shall have the power to make any other arrangement which in their opinion is just and

equitable, in the application of the foregoing penalties.

6.10 The Union agrees there shall be no strike, sit down, slowdown, nor stoppage of work, either

partial or complete, during the term of this Agreement. The Company also agrees there shall be no

lockout during such term.

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ARTICLE VII HOURS OF WORK AND OVERTIME

7.01 Shift Structure #I

3 Shifts 7:00AM-3:00PM 3:00PM- 11:00 PM 11:00 PM 7:00AM

Shift Structure #2 - 8.0 hours

Production Support

1 Shift 7:00AM-3:00PM 2 Shifts 7:00AM-3:00PM, 7:00PM-3:00AM

3:00 PM-11:00 PM or 11:00 PM-7 AM 2:30 PM-10:30PM, 2:30AM-10:30AM

Shift Structure #3 - 10.0 hours

Production

1 Shift 7:00AM-5:00PM 2 Shifts 7:00AM-5:00PM, 7 PM- SAM

Support

5:00PM-3:00AM or 9:00PM 7:00AM 2:30 PM-12:30 AM, 2:30AM- I 2:30PM

EXCEPTIONS: Machinists, Moldmakers hired prior to June 30, 2005 7:30AM Monday to 4:00PM Friday

Shift start times may vary by 2 hours Possibility of staggered shifts eg. Monday Thursday/Tuesday- Friday In a week with a statutory holiday, the Company may adjust the weekly scheduled shifts. Different hours may exist in shipping/receiving and tooling departments.

If plant -operating conditions require a change in the above shift structures, the company will discuss with the Plant Chair, and will provide the plant employees a minimum of two weeks advance notice.

After the initial implementation of shift structures #2 or #3 the Company will consider concerns from the Union, and will attempt to address the concerns following three months of implementation.

7.02 Job Classifications may rotate when operating on a two (2) or three (3) shift basis. The Company will discuss and give reasons to the Unit Chairperson and will post the changes in advance. Where the shifts rotate, the rotation sequence will be from the day shift (7:00a.m. to 3:00p.m.) to night shift (11:00 p.m. to 7:00a.m.) to afternoon shift (3:00p.m. to 11:00 p.m.)

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7.03 Employees shall be compensated at the rate oftime and one halftimes the regular hourly rate for hours worked in excess of the eight (8) or ten (1 0) hour shifts. It is understood that in the computation of hours worked over-time on a weekly basis shall include hours paid for, but not worked.

EXCEPTIONS: a) When the hours of an employee exceed his normal daily hours, because he substituted for

another employee other than at the Company's request, changed his hours at his own request, or made a regular shift change, with the prior approval of his supervisor.

b) Overtime will not be paid twice for the same hours worked or paid for.

7.04 Hours worked from 11:00 p.m. Friday to 11:00 p.m. Saturday, shall be compensated at the rate of time and one half times the regular hourly rate. Hours worked from 11 :00 p.m. Saturday to 11:00 p.m. Sunday shall be compensated at the rate of double times the regular hourly rate.

7.05 Notwithstanding the provisions of Section 7.04 herewith, when it is necessary to schedule a job to more than one (1) shift per day, employees assigned to such job on a shift that commences prior to 11:00 P.M. Sunday and/or commences prior to 11 :00 P.M. Friday and/or continues or starts into the hours of a paid holiday, provided such hours do not exceed the normal weekly hours, shall not be compensated at the overtime rate.

7.06 An employee who works overtime shall not be required to take time off during the week to bring his hours down to normal hours per week.

7.07 The Union recognizes that it is the function of the Company to schedule hours of work, and the employee's obligation to work the hours scheduled, provided the hours scheduled do not violate the Employment Standards Act of Ontario and Regulations thereunder.

7.08 The Company will pay employees: a) One (1) ten-minute rest period for an eight (8) hour shift.

b) Notwithstanding the above, the Company will grant additional rest periods in accordance with the Hot Weather Plan. Temperatures for the Hot Weather Plan will be monitored jointly by the supervisor, or his designate, and a Union representative. (Should a Union representative not be available, a trained member of the bargaining unit.)

7.09 The Company will pay employees a twenty (20) minute lunch period based on an eight (8) hour shift.

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7.1 0 An employee required to work overtime of at least two (2) hours or more in excess of his normal shift, shall be paid a ten (1 0) minute rest period for each two (2) such hours scheduled. Such rest periods shall be taken as directed by the Company.

7.11 (1) The Company agrees to keep overtime scheduling to a minimum, but if overtime is necessary it shall be divided as evenly as possible among the employees normally performing the job within the classification. Distribution of overtime will be made starting with the employee with the least amount of overtime as follows:

i) on the required shift within the classification ii) on the required shift to those designated as classification back-ups iii) other shifts within the classification iv) those with qualified experience on the required shift v) those with qualified experience from other shifts

Except in cases of emergency, when weekend work is required, the Company will post such request by two (2) p.m. of the Wednesday immediately preceding such weekend. Overtime availability will be posted and those employees wishing to work must sign up. The fmal overtime schedule shall be posted no later than Thursday by (2) p.m. and no employee shall be obliged to work any overtime after this day and time.

(2) Records of overtime worked and charged shall be maintained daily and posted weekly on the overtime bulletin board. A copy of the Overtime Records shall be available for review by the Union personnel if so required and issued on a weekly basis to the Plant Chairperson. For recording purposes only, all hours recorded will be equated to regular hours.

Employees shall be charged with overtime refusal if they are entitled to work the available overtime but have declined, or have not signed the posting, fail to work a previously accepted overtime opportunity, or if they are not at work when the overtime is made available. Employees absent for the following reasons shall not be charged, Vacations, five (5) days or more, Bereavement Leave, Casual illness (less than five (5) days). Employees returning to work from the following leaves, will be charged with the average overtime worked during their absence; Weekly Indemnity, WSIB or any other legislated or contractual rights covered under this agreement.

Employees newly transferred into a classification shall be charged with the highest hours in the sharing group.

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It is understood and agreed that any valid claim/s regarding distribution of overtime must be brought

to the attention of the Company prior to the conclusion of their shift on Thursday. If such complaint

is not rectified, prior to the work being performed, it shall result in payment to the individual/s at the

applicable overtime rate and hours. All other discrepancies shall be subject to the grievance and

arbitration provisions of this agreement.

Overtime records will be cleared and re-set to zero at the end of each calendar quarter. January 1,

April1, July 1, and October 1, of each year.

(3) When overtime is essential and unavoidable and not enough employees among those in the

plant who have qualified experience agree to work overtime beyond the normal hours per day or

week, then the Company may oblige employees to work. In such case the Company may

schedule and will begin with the least senior, those employees with the least amount of overtime,

who normally perform the job, to do the work, to a maximum of four (4) hours per day to a

maximum of eight (8) hours from Monday to Friday, and eight (8) hours per day on the weekend.

Overtime for production employees between 7:00am Saturday and 11:00pm Sunday during July

and August will be scheduled on a voluntary basis.

Employees will not be obliged to work two (2) consecutive weekends.

The Union agrees that employees shall co-operate in performing necessary overtime. The Company

agrees to consider an employee's desires and personal commitments, when requesting overtime work.

In order to consider the employee's desire, the Company shall allow two (2) qualified employees to

split a regular shift of four ( 4) hours each, providing such split does not overlap into the next shift

and providing there are enough remaining employees to cover the required overtime.

7.12 All time cards and production records required by the Company are to be completed during

working hours.

7.13 Excess Hours of Work

The Company and the Union agree to excess hours of work provisions in accordance with the

Employment Standards Act for the term of this Collective Agreement.

7.14 Employees shall receive forty-eight (48) hours' notice of a shift change. A shift

change is defined as a change in start time of eight hours or greater. Should forty-eight (48)

hours' notice not be provided, the employee will be paid 1 Yz times their regular hourly rate

for the first four (4) hours and straight time for the remaining four (4) hours (for their first

shift on the new hours).

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ARTICLE VIII PAID HOLIDAYS

8.01 An employee who qualifies will be paid for normal daily hours at his regular hourly rate for the following twelve (12) paid holidays: New Year's Day, Family Day, Good Friday, Victoria Day, Canada Day, Civic Holiday, Labour Day, Thanksgiving Day, Christmas Day, Boxing Day, plus two (2) floating holidays in each year of the Collective Labour Agreement. The two (2) floating holidays above will be selected by mutual agreement between the Local Union and the Company.

If an additional statutory holiday is proclaimed, one of the floating holidays will be used for the statutory holiday proclaimed.

8.02 In order to qualifY for the paid holidays specified in Section 8.01 herewith an employee must meet all of the following rules unless otherwise provided herein:

1 a) The employee must report for work at the starting time of his shift, and be prepared to work the normal scheduled hours of his shift, on both the last scheduled normal work day preceding and the first scheduled normal work day following the paid holiday.

EXCEPTIONS: An employee who is absent on one or both of the qualifYing days, and the reason he was absent was because: (a) He was late in reporting for work due to a reason beyond his control and acceptable to the

Company. (b) He is confined to a hospital or at home due to sickness or injury and such to be verified by

medical evidence if required by the Company. This exception is limited to four ( 4) paid holidays falling within the thirty day period from the date of the first qualifYing day, during same confinement case and provided the employee is not entitled to payment under W.S.I.B. or Weekly Indemnity under the Welfare Benefit Plan for such paid holiday. If an employee is on sick leave and being paid weekly indemnity benefits for the holiday(s) in this subsection, upon return to work such employee will be reimbursed the difference between what the employee was paid as sick benefits and what the employee would be paid for such holiday pay.

(c) He has an approved leave of absence from the Company for any reason which will not be unreasonably withheld.

(d) An employee with seniority and otherwise qualified for paid holidays, who is laid off commencing with December 10 through January 2 inclusive, will be paid for any paid holidays that are observed during this period.

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1 b) The employee has completed their probationary period (eighty (80) working days) as the day the floater holiday is observed. Floating holidays may be requested by employees throughout the year (from July 1st to June 30th). In the event that the plant is not in operation between Christmas and New Years, employees who have used their floating holidays may pull forward vacation days (to a maximum of three days) from the next year.

NOTE: Casual Employees, as outlined in Letter of Understanding #3 do not qualifY for Floater Holidays.

8.03 When one of the paid holidays falls during the vacation period of an employee, otherwise eligible for such holiday, he will be paid for such holiday pay. The qualifYing days as provided in Section 8.02 herewith shall be the last scheduled workday preceding and following his vacation leave. The Company may observe such paid holiday either the work day immediately preceding or following the employee's vacation.

8.04 When the plant suspends operations, the employee who is laid off for a definite period, not exceeding Twenty-two (22) Normal Working Days, because of such suspension shall upon recall be paid for the paid holiday provided he otherwise qualifies under the terms of Section 8.02.

8.05 When a paid holiday, specified in Section 8.01 herewith, falls on a Sunday, it shall be observed on the Monday immediately following. When a paid holiday falls on a Saturday it shall be observed on the immediately proceeding Friday. This may be changed by mutual agreement.

8.06 Notwithstanding anything to the contrary, employees who have been requested to work on a paid holiday and have accepted such holiday assignment and then fail to report for and perform such work without reasonable cause shall not be paid for such paid holiday.

8.07 An employee who works on a paid holiday shall be compensated at the rate oftwo times his regular hourly rate for all hours worked in addition to any paid holiday pay he is entitled to under the preceding sections of this Article.

ARTICLE IX WAGE POLICY

9.01 Appendix "A" and "B" herewith attached is part of this Agreement and contains the "Job Classifications" - "Job Descriptions" and their respective hourly rate ceilings and "Cost of Living allowance (C.O.L.A.)". The hourly rate ceilings therein shall remain in effect for the life of this Agreement and are not subject to change except by mutual agreement.

9.02 The term "regular hourly rate" as used in this Agreement shall mean current hourly rate of the employee excluding any shift premium and/or any other premiums paid for work.

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9.03 The starting rate for employees hired July 1, 2008 or later for all job classifications shall be four ( 4) dollars per hour below the rate as specified in Appendix "A" ceiling rate. There shall be an automatic progression of forty (.40) cents per hour effective the first Monday following six (6) months of employment, an additional forty (.40) cents per hour increase effective the first Monday following the completion of each six (6) months until such time top rate is achieved.

9.04 The increases specified in Sections 9.03, 9.11 and 9.12 are expressed as minimums and an employee may be increased up to the ceiling rate prior to the completion of one (1) year.

REPORTING FOR WORK:

9.05 When an employee reports for work at his scheduled shift time, without being notified to the contrary, or reports for work at a time requested by his supervisor, and is assigned no work, or works for a lesser period than four (4) hours, because of some reason within the Company's control, payment will be made for a minimum of four ( 4) hours at the employee's regular hourly rate. It is understood that reporting for work means the employee has punched in, and is at his work station ready for work at his scheduled starting time (exception: an employee notified by the Company within two (2) hours of his starting time shall not be required to punch in).

An employee shall be considered to have been properly notified if such notification is made by the Company no later than two (2) hours before his scheduled starting time. Reporting for work will not be paid:

(a) When the opportunity to work on other jobs is refused without good reason. (b) When an employee has been absent from work for personal reasons and not covered by a

leave of absence prior to reporting for work. (c) When an employee fails to record with the Company a current telephone number and

therefore the Company is unable to notify him not to report to work. (d) In cases of stoppages of work caused by labour disturbances. (e) In cases caused by mechanical or electrical breakdowns, catastrophe, fire, or any other cause

beyond the Company's control.

FUNERAL PAY

9.06 An employee who is excused from work by the Company to make arrangements and/or attend the funeral of their spouse, common-law spouse, same sex partner, child, grandchild, parent/guardian, brother, sister, grandparents, great grandparents, parent of their current spouse, sonin-law, daughter-in-law, brother-in-law, sister-in-law, grandparents, great grandparents of their current spouse shall be compensated at his regular hourly rate for time so lost by him during his normal hours, for three (3) days, including but not beyond the day after the day of the funeral.

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EXCEPTION: If the employee is eligible for any other form of remuneration to which the Company contributes, payment shall not be made under this Section for such day(s).

JURY DUTY: 9.07 A seniority employee who is summoned by applicable law and reports for jury duty or as a subpoenaed crown witness shall be paid by the Company an amount equal to the difference between the daily jury duty fee paid by the court (not including travel allowances or reimbursement of expenses) and the wages earned by the employee from the Company by working normal hours on that date. The employee will be paid for each day on which he reports for or performs jury duty and on which he otherwise has been scheduled to work for the Company during the normal workweek. Payment for such service shall be made at the employee's regular hourly rate provided: (a) The employee notifies the Company within twenty-four (24) hours after receipt of notice of

selection. (b) The employee furnishes the Company with a written statement, signed by the appropriate

public official, which shall contain the date, time served and amount paid. (c) The employee reports for work if a reasonable amount of time can be worked either before or

after such service.

9.08 An employee called back to work in an emergency at anytime prior to one (1) hour before his normal starting time, will be paid as follows:

(a) If he is not required to remain in the plant one half hour before and beyond his normal starting time, he will be provided with a minimum of four ( 4) hours at his regular hourly rate, and at time and one half for such hours worked.

(b) Ifhe is scheduled to remain in the plant beyond his normal starting time, he will be paid at time and one half for hours worked prior to his normal starting time.

It is understood that Section 7.03 (b) is also applicable. Exception: Minimum call-in pay for boiler service and water treatment is two (2) hours.

FACTORY INJURY PAY: 9.09 An employee who is injured at work and who is required to obtain treatment at the factory

location and/or who is required to obtain treatment at another medical location shall be paid his regular hourly rate for such time lost from the shift during which the accident occurred.

EXPERIMENTAL AND INVENTORY PAY: 9.10 An employee shall be paid his regular hourly rate for experimental and inventory work. Inventory work performed on overtime will be posted as required.

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TRANSFER PAY: 9.11 An employee transferred to another job because of such reasons as: application for transfer, seniority displacement, or no work available on his job, shall be paid at the rate of fifty (50) cents per hour less than the ceiling rate of the job to which he is transferred (but not less than the employee's regular rate). Exception: If such employee is transferred to a job of a lower ceiling rate and he has "qualified experience" on such job, he will be paid the ceiling rate. After twenty (20) days working on a job other than the "exception" he shall be paid the ceiling rate.

9.12 An employee who is temporarily transferred from his regular job to another, and there is work available on his job shall be paid his regular hourly rate, or the rate in accordance with Section 9.11, whichever is the higher. ·

SHIFT PREMIUM: 9.13 The Company will pay a shift premium per hour for hours worked on the shifts that are normally scheduled between 3:00p.m. to 7:00a.m. during an eight hour shift structure, and shifts that are normally scheduled 5:00p.m. to 7:00a.m. during a ten hour shift structure as follows:

Effective: July 1, 2011 - $0.55

9.14 An employee who is scheduled to work overtime for at least four (4) hours following his normal shift and who had not been given two hours notice prior to the beginning ofthe shift, shall be paid a meal allowance of Five Dollars ($5.00).

ARTICLE X SENIORITY

10.01 An employee shall be regarded as a "probationary employee" until he shall have completed eighty (80) working days and during such period shall have no seniority rights. Upon completion of such period from initial employment, he shall be classed as a "Seniority Employee", and his seniority shall be from the first day of initial employment. Only hours worked shall be cumulative over a twelve (12) month period. The treatment of"Casual Employees" for seniority purposes are handled under Letter of Understanding #3.

The employee's performance will be reviewed at their twentieth (20th), fortieth (40th), sixtieth (60th) and seventy-fifth (75th) working day and made available to the Unit Chairperson of the Union.

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10.02 Each employee in order to benefit by the seniority provision of this Agreement must keep the Company informed of his current address and the telephone number where he can be contacted as follows: (a) An employee on the active payroll will notify the Human Resources Office within seven (7)

normal working days by signing the form available. Such forms will be made in triplicate. One (1) copy will be retained by the employee. Failure to notify the Human Resources Office without good reason for such failure may result in the employee forfeiting his seniority rights.

(b) An employee on lay off, and subject to recall, will notify the Company by mail.

10.03 An employee shall have job seniority when he completes forty ( 40) working days on the job on which he was hired, or to which he was transferred at which time his Company seniority shall be deemed to be his job seniority.

10.04 When an employee has job seniority and is transferred he shall continue to accumulate job seniority on such job until he acquires job seniority on a job to which he was transferred.

10.05 (a) Employees shall be deemed as "Qualified Experience" if he can perform the job of an experienced employee in the said classification, or upon successful completion of a reasonable training period for such classification. b) "Capable" shall mean the employee is mentally and physically qualified to perform the job.

10.06 For the purposes of Seniority jobs have been grouped into the following: A, C, D, G, H, and Sand are listed and attached as appendix "A". Definitions of departments are also outlined in Appendix "A". Seniority shall be recognized when laying off employees. Seniority will be exercised first within the department concerned with the lay-off, then within the plant. This bumping will be subject to the definitions and restrictions providing in 10.05 a) and b). 1)

a) When is becomes necessary within a classification, probationary employees will be laid off first, and employees on loan will be returned to their home classification.

b) If further lay-offs are necessary, employees will be laid off first, by the least seniority employee within their classification.

c) Laid off employees may then exercise their seniority by displacing a junior employee within their Job Group provided they have "qualified experience" or where it is reasonable to believe that an employee can perform and demonstrate the ability to perform all the necessary requirements of the position within a 2 week training period.

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d) When a), b) and c), have been completed, employees who remain surplus shall displace a junior employees within any of the remaining job groups, provided they have recognized "qualified experience" or where it is reasonable to believe that an employee can perform and demonstrate the ability to perform all the necessary requirements of the position within a 2 week training period.

Management shall have the right to pass over an employee's claim if it is established that the employee does not have the ability to perform all the necessary requirements of the position within a 2-week training period.

2) Employees who have been displaced through the bumping procedure from a position to which they have recognized "qualified experience" shall retain recall rights to such classification for twelve (12) months from the date of the layoff. Employees recalled to classification after six (6) months but less than twelve (12) from date of the layoff, shall have the option of returning to the previous classification.

3) An employee on lay-off, and who has recall rights shall be recalled to vacancies by the application of the reverse procedure as set forth herewith in Section 1 0.06. Wherever possible shift preference will be given according to seniority.

10.07 A seniority employee at date of lay-off will have the seniority he had at time of lay-off provided he is recalled within his period of recall rights and in addition shall be credited with time on lay-off up to six (6) months.

10.08 A seniority employee who has:

(a) Less than three (3) years, at date oflay-off shall have recall rights for twelve (12) months from date of lay-off.

(b) Three (3) or more years of seniority at date oflay-offshall have recall rights for twenty-four (24) months from date of lay-off.

10.09 An employee recalled shall present himself for work within five (5) working days from the date of recall. However, if such employee is employed at time of recall such five (5) working days shall be extended to seven (7) calendar days. Failing to so report shall cancel all seniority. However, should he report within thirty (30) days of date of recall with a reasonable reason, acceptable to the Company, for not reporting, his seniority shall be retained and he will be notified of the next vacancy under the terms of this Article.

Where the employee cannot be reached by telephone for recall, a registered letter will be sent to the employee's current address on file. The employeemustcontactthe Company within five (5) working days of the date of receipt and return to work within three (3) working days of notifying the

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Company in order to retain seniority. In the event of a postal interruption, such letter will be sent via courier to the employee's current address on file.

10.10 Notwithstanding the provision ofthis ARTICLE, the Company may place employees under the following conditions: (a) Where two (2) or more employees have identical seniority and are entitled to the same job,

the person with the birth date earliest in the year will be deemed to have preference. (b) Where an employee is fully qualified to perform an operation for which no other employee

can qualify. (c) Where for the purpose of rehabilitation, a Company compensable injured employee, as a

result of such injury requires that he be kept at work or he has a permanent partial disability, but performs the work to which he has been assigned in a manner satisfactory to the Company. In either case, the injured employee shall not displace an employee with more seniority.

(d) Where an employee cannot perform satisfactory work due to age, health, or other physical or mental conditions such employee shall be accommodated in accordance with the provisions of the Human Rights Code.

10.11 a) For the handling of an employee presently in, or who has been in, what is now the bargaining unit, who transfers to a supervisory position or any salary position outside the bargaining unit directly connected with the operation of the plant:

If he returns to the bargaining unit, he shall return to the position he had prior to transfer provided he has not been on the salary payroll longer than six ( 6) months, that he not displace an employee with more seniority, and that the employee only return to the bargaining unit on one (1) occasion. Failing placement, he may be placed in another job providing he is capable and has more seniority than the employee he may displace. Time spent on supervisory or other position, up to six (6) months, shall be credited to the job he held prior to promotion or transfer. Following six (6) months on the salary payroll, the employee will be deemed to have no seniority within the bargaining unit.

b) For the handling of employees who are members of the bargaining unit and who accept temporary assignment to supervisory duties:

Employees who are temporarily loaned to supervisory duties not to exceed six (6) weeks: These employees will be paid per the terms and conditions of this Collective Labour Agreement. Upon completion ofthe assignment, the employee will be returned to the job he held prior to the assignment.

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Employees who accept an assignment of supervisor for a period of up to six ( 6) consecutive months: These employees will be paid rates and work scheduled hours as determined by the Company. Upon completion of the assignment, the employee will be returned to the job which he held prior to the assignment. It is agreed that any employee who changes jobs as a result of the assignment will be informed that such change is on a loan basis and that at the end of the assignment he will return to the job he held prior to the assignment. During these loan periods, the employee will continue to accrue seniority under this Labour Agreement.

It is understood that the lengths of assignments specified above may be extended by mutual agreement between Company and Union.

10.12 When a temporary condition arises requiring the temporary lay-off of an employee for a period not to exceed five (5) working days the seniority provision of this Agreement may not apply. Such temporary lay-offs may take place only when a specific job or group is affected temporarily due to machinery breakdown, customer scheduling, or any other causes beyond the control of the Company. When a temporary condition affects part of a job classification, probationary employees in such classification will be laid offbefore seniority employees are affected. The lay-off will be by seniority within the plant, group and shift where the temporary condition exists, providing the employees remaining can satisfactorily perform all the functions necessary to operate the plant. EXCEPTION: Where a designated back-up has greater seniority. The foregoing "five (5) working days" may be extended by mutual agreement.

10.13 In the interest of the Company, employees may be loaned from one job to another for a period not to exceed four ( 4) consecutive weeks. Such time may be extended by mutual agreement. If an employee is transferred to such job while on loan, his transfer date shall be that ofthe first day of loan. Employees who are placed temporarily on jobs for rehabilitation purposes shall be classified as "loaned employees". The Union will be notified of such loan and the purpose of it.

10.14 The Company will review the list oflay-offof seniority employees with the Union in order to avoid any error.

10.15 When it becomes necessary to lay-off an employee he will be given seven (7) calendar days prior notice of the date of his lay-off whenever possible. An employee desiring to leave shall likewise give notice whenever possible.

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10.16 1) When a seniority employee wishes to transfer from his job to another job in the bargaining unit, or wishes to transfer between shifts within his own classification, he shall make written application to the Company which will remain on file for six (6) months. lfthe transfer is for a job outside his department the employee must specify the department to which he wishes to transfer. If the transfer is for a job within the department the employee must specify a particular job. An employee shall have no more than three (3) applications pending. In the event a job vacancy exists, to which no employee has recall rights, such vacancy will be posted for a twenty-four (24) hour period. Such posting will include the job title, job group and initial shift vacancy. Employees wishing to apply must make written application to do so, by signing the job posting.

a) In cases of filling all vacancies, shift transfer request within the classification will be completed and the resulting vacancy will be posted. The most senior qualified experienced applicant/ transfer (job transfer on file) shall be awarded the job ahead of the designated back-up, provided they can perform all the duties of the job within a two (2) day refresher period. Otherwise, the back-up shall be awarded the job.

The Unit Chair person shall receive copies of all job postings, job and shift transfers on file.

b) In the event a new job is established or there is no successful applicant with the qualified experience required, the most senior applicant shall be afforded the opportunity for such position in accordance with the following, in order to assess their suitability

Job Group C 30 working days

Job Group D 15 working days

Job Group G 15 working days

Job Group H 10 working days

c) After acceptance and working on such job, should the employee desire to return to their previous position, he/she must advise the company in writing of their intent within the initial training period.

d) The company shall have the right to return an employee to their previous position if it is determined they are not able to meet the requirements of the position within the initial training period.

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e) An employee transferred under this Section, who successfully completes the initial training period, shall have no further rights under this section for one year from the date of transfer.

EXCEPTION: An employee who cannot remain on the job to which he was transferred because he is displaced by an employee, or who is returned by the Company, or by his own accord and transferred back within the foregoing training period.

2) The company is committed to providing opportunities of advancement within the bargaining unit and will endeavor to do so by posting such opportunities to gain experience through cross training. It is the intent to ensure that adequate knowledge, skills, and the abilities to perform all the necessary functions exist and are distributed throughout the classifications and shifts.

In the event an opportunity arises for "cross-training" in an existing position, such opportunity will be posted for a twenty-four (24) hour period excluding Saturday, Sunday, and holidays. Such posting will include the job title, job group, and initial shift vacancy. Employees wishing to apply must make written application to do so, by signing the job posting.

Selection will be filled in accordance with seniority, the requirements of the position, and the applicant's capabilities. Applicants may be required to pass a company written and or practical skill test to qualifY for the opportunity of "cross-training".

Grandfathering. Employees who have been previously awarded "back-up" positions will be deemed as "cross-trained".

For temporary vacancies of three (3) months duration or longer, transfer requests on file will be considered

Employees are only permitted to hold one (1) back-up designation at any one time.

Grandfathering: Current employees who hold multiple back-up designations must choose a primary back-up designation, and will maintain rights to their secondary back-up designations.

The primary back-up will have first rights over the secondary back-ups for on shift openings, as per article 10.13, and on-shift overtime opportunities.

10.17 Any of the provisions oflay-off, recall and/or vacancy procedures may be superseded by mutual agreement between the Company and the Negotiating Committee ofthe Union.

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10.18 The Company may grant a leave of absence to employees, except for illness or injury of the employee. Such leave must be in writing, and the employee must have written approval before taking such. The duration of the leave will be based on the following:

SENIORITY (a) Less than two (2) years seniority (b) Two (2) years less than five (5) years (c) Five (5) years and over

DURATION OF LEAVE 15 Calendar Days 4 Weeks 3 Months

10.19 Leaves of absences shall be granted for illness or injury of an employee provided he makes application to the Company for same. The duration of the above leave shall be dependent on the nature of the illness or injury, the medical aspects of the case and the effort the employee is making to restore himself to normal health.

10.20 A pregnancy leave of absence will be granted to any female employee who has been employed by the Company for at least thirteen ( 13) weeks preceding the estimated date of delivery. The employee must notify the Company of the fact within four (4) months after inception of pregnancy. She shall not work later than such time as the duties of her job cannot be performed by a pregnant woman, or the performance of her work is materially affected by the pregnancy.

An employee who is entitled to the leave is required to give her employer two (2) weeks' notice in writing of the date the leave is to begin, together with a medical certificate estimating the date of delivery. If the employee does not specify the date of the end of the pregnancy leave, it will be assumed that she wishes to take the maximum leave.

An employee who has given notice to begin a pregnancy leave may change the notice to an earlier date by giving at least two (2) weeks' written notice before the earlier date. She may change to a later date by giving two (2) weeks' notice before the leave was to begin.

-Pregnancy leave of a maximum of seventeen (17) weeks is available to the natural mother of the child.

- Parental leave of a maximum of thirty-five (35) weeks after taking a pregnancy leave or a maximum of thirty-seven (3 7) weeks (if no pregnancy leave was taken) is available to each parent of either a natural or an adopted child. The parental leave of a natural mother must begin immediately following the expiration ofthe Pregnancy Leave. If you are a father or adopting parent, parental leave must commence within fifty-two (52) weeks of the date of the child's birth or coming into custody, care, and control of the parent. Parental leave ends either thirty-seven (37) weeks after commencement or thirty-five (35) weeks after commencement (if following a pregnancy leave.)

-Sickness (available for up to seventeen (17) weeks)- fifteen (15) weeks payable by EI- Medical certification is required.

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The employee who intends to resume her employment after her leave of absence must so notify the Company ofthe fact two (2) weeks prior to return in writing together with a medical certificate. The Company must be given two (2) weeks notice of the intent to take parental leave following the pregnancy leave

Seniority shall accumulate during such leaves, provided it does not exceed twelve months. She shall notify the Company of her intention regarding her return to work during such leave by giving the Company two (2) weeks prior notice before the date of expected return.

The employee continues to participate in each type ofbenefit plan provided by the Company, and all required contributions will continue to be made. Upon return from Pregnancy or Parental leave, the employee will be reinstated to a position of the same status and pay as the position held at the commencement of the leave.

If an employee on pregnancy or parental leave wishes to change the date of her return to work to an earlier date, she must give the employer four weeks ( 4) written notice before the date she intends to return. If the employee wishes to change the date of return to a later date (keeping in mind the maximum length of leave), she must give the employer four (4) weeks' notice before the date the leave was to end.

10.21 A seniority employee who is elected or appointed to serve as a representative of his local union, and/or the International Union, C.L.C. or Ontario Federation of Labour, may upon written request be granted a leave of absence without pay, up to a period of one (1) year. An extension of such leave may be granted on a yearly basis. The Company shall reserve the right to refuse such leaves.

A seniority employee who is elected or appointed to a municipal office or committee in the Cities of Kitchener or Waterloo or Regional Municipality of Waterloo, may be permitted time off, without pay, to attend meetings or conventions pertaining to such office. The Company shall reserve the right to refuse such leave.

10.22 A seniority employee who is a properly designated representative of the Local Union shall upon request to the Company be permitted time off without pay for the investigating or handling of grievances, attending to local Union business or attending a convention. The maximum number of hours of Union leave permitted will be 500 hours off site per contract year. No greater than 1 employee per classification will be permitted on Union leave at any time. The Company will consider exceptions when business conditions permit, to provide Union leave to greater than 1 employee in the same classification.

1 0.23 An employee who has been off on a leave of absence in excess of fifteen ( 15) days, shall if requested by the Company, present a certificate from his doctor, stating his fitness to return to work.

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10.24 Seniority shall accumulate during a period of an approved leave of absence provided such accumulation does not exceed six (6) months during any one period ofleave of absence, including extension.

EXCEPTION: An employee granted leave of absence to serve as a representative of his local union, and/or the International Union, C.L.C. or Ontario Federation of Labour, shall be permitted thirty-six (36) months in place of the foregoing six (6) months.

10.25 A person shall lose all seniority and shall be deemed to have terminated employment with the Company if he: (a) Voluntarily quits the employ of the Company. (b) Is discharged for just cause and is not reinstated. (c) Is absent due to lay-offbeyond the period ofhis recall rights. (d) Fails to report for work in accordance with Section 10.09 herewith (e) Is absent from work without contacting the Company for two (2) or more consecutive working days, a registered letter will be sent to the employees current address on file. In the event of a postal interruption, such letter will be sent via courier. The employee must contact the company and return to work within three (3) working days upon receipt of the registered letter, unless he is unable to report due to a reasonable reason acceptable to the company. Failure to do so will result in the employee losing all seniority and he shall be deemed to have terminated his employment.

1 0.26 An employee who returns from a leave of absence shall be reinstated in his former position or a position in accordance with his seniority provided he is medically fit to do the work.

10.27 All applications for leave of absence for a longer period than fifteen (15) days must be in writing and the reply by the Company must be in writing, except that if the employee is unable to make written application and has a valid reason for not making such, in which case the Company will grant such leave.

10.28 The Unit Chairperson ofLocal #838 will be assigned to the normal day shift operation, so long as the employee retains such office.

10.29 The Company agrees to furnish the Unit Chairperson ofLocal #838 with seniority lists based on the employee's records, which shall contain the then current seniority date of each seniority employee in the bargaining unit. This list shall be supplied and posted every six (6) months of a contract year.

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ARTICLE XI VACATION

11.01 An employee who has one or more years of seniority as of June 30th of the current calendar year shall be granted a vacation the duration of which shall be based upon his seniority and a percentage of the employee's wages received by him from the Company from July 1st of the preceding year to June 30th of the current calendar year. The time and payment shall be based on the following: "Wages Received" includes such items as Vacation Pay, Paid Holiday Pay, Overtime, Shift Premium, etc.

SENIORITY as of July ofthe Current Year Vacation Payment

Group "A" Less than 1 year 4%

Group "B" 1 year, but less than 5 years 2 Calendar Weeks 4%

Group "C" 5 years, but less than 1 0 years 3 Calendar Weeks 6%

Group "D" 1 0 years, or more 4 Calendar Weeks 8%

An employee who reaches his 5th, or 1Oth, anniversary date after June 30th, but prior to December 24th ofthe current year will be granted his 3rd, or 4th week of vacation between his anniversary date and January 31st of the year following.

Employees hired June 30, 2008 or earlier will maintain their current level of vacation entitlement and will be entitled to future vacation entitlement based on the vacation entitlement provisions.

11.02 When the company follows its policy of closing down for vacation, and provided the employee is not scheduled to work during the shutdown, the employee will take his vacation at this time, and he shall be paid his vacation payment on the regularly scheduled pay day.

11.03 Summer Shutdown

A definite period of vacation must be scheduled by the Company giving due consideration to production requirements, seniority, and related situations. Should a summer shutdown be planned by the company, the company will announce the date of a minimum of 1 week of planned shutdown by April 15th. Any additional shutdown time (1 week) will be announced by June 15th.

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Should a shutdown not be communicated by April 15th, the maximum length of summer shutdown will be 1 week. The dates of this week will be communicated by June 15th.

Selecting Vacation

Step One:

Vacation selection for the current year of January, February, March, and April shall be submitted by the previous December 1st and scheduled on the basis of seniority. The company shall answer these requests no later than December 15th of the current year. All other requests after December 1st for this period of time shall be on a first come first serve basis and responded to within a 2 week period.

Step Two:

Each eligible employee will schedule their available vacation by April 20th of the current vacation year. Vacation shall be considered on the basis of seniority. The company shall respond to the vacation requests no later than April 30th. Any vacation requests after April 20th will be considered on a first come first serve basis and responded to within a 2 week period.

Set-Up Department During the months of July and August there shall be a maximum of2 set-up department employees granted vacation at one time. Should the number of employees in the set-up department drop below 7, the maximum number of employees permitted vacation at one time shall be 1.

No vacation time or payment will be authorized except as defined in the ARTICLE.

11.04 Vacation pay may not be made to an employee who is absent from work by reason of sickness, injury or leave of absence. If vacation payment is not made and if upon the employee's return to work: (a) The Company is unable to schedule his vacation prior to December 1st of the current calendar year or (b) The employee is unable to return to work prior to December 1st of the current calendar year the Company will pay him the vacation payment he is entitled to herewith.

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11.05 An employee whose employment is terminated for any reason, including being laid off with recall rights, shall be paid a vacation on the following basis: (a) Where termination occurs prior to July 1st, but subsequent to January 1st of the current calendar year, and the employee has not had his vacation payment for such vacation year he shall be paid a percentage ofhis wages as specified in Section 11.01 herewith from July lstto the previous calendar year to his termination date as follows:

Group "A" 4% Group "B" 4% Group "C" 6% Group "D" 8% Group "E" 10%

(b) When termination occurs subsequent to June 30th of the current calendar year, but prior to January 1st of the next following calendar year, and the employee has not had his vacation payment entitlement for the current vacation year he shall be paid any unpaid vacation due him, and in addition he shall be paid a percentage of his wages as specified in Section 11.01 herewith from July 1st of the present calendar year to his termination date as follow:

Group "A" 4% Group "B" 4% Group "C" 6% Group "D" 8% Group "E" 10%

(c) When termination occurs subsequent to June 3Oth of the current year, but prior to January 1st of the next following calendar year, and the employee has had his vacation payment entitlement for the current calendar year, he shall be paid in addition a percentage of his wages as specified in Section 11.01 herewith from July 1st of the present calendar year to his termination date as follows: Group "A" 4% Group "B" 4% Group "C" 6% Group "D" 8% Group "E" 10%

11.06 An employee who is laid off prior to July 1st of the current calendar year, but subsequent to January 1st of such year, and who is rehired or recalled prior to July 1st of the current calendar year shall be paid his vacation pay entitlement in accordance with Section 11.01 less any vacation pay received in accordance with Section 11.05 subsection (a) herewith.

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11.07 An employee who is laid off subsequent to July 1st of the current calendar year and who is

rehired or recalled prior to June 30th of the next following year, shall have the amount of vacation payment received by him in accordance with Section 11.05 subsection (b) or (c) herewith from July 1st to his termination date subtracted from vacation payment receivable in the next following

calendar year.

11.08 Where an employee has been unable to work during the preceding calendar year, or any part

thereof due to sickness, injury, maternity/parental or pregnancy leave, and for this reason only, the vacation pay is less than the following minimum, the vacation pay shall be increased to a minimum

of Four Hundred and fifty dollars ($450.00) per week, provided the employee must have resumed his normal duties not less than three (3) months before vacation is granted.

11.09 An employee who has been on sick leave during the current year and who returns to work during such year may by mutual agreement be paid the vacation due him in lieu of time off.

11.1 0 In no instance will vacation be paid twice for the same period of time.

11.11 Employees can request up to one week of unused vacation paid out at year-end as long as they are eligible for a minimum of 3 weeks vacation. Vacations are to be taken from January 1st to December 31st. Any vacation not scheduled by an employee by September 1st will be scheduled by

the Company and written notice will be sent to the employee.

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ARTICLE XII GENERAL

12.01 The Company will continue to supply the safety and wearing apparel for positions as listed below and under similar conditions. Also, 100% of the cost of safety boots or shoes will be reimbursed to the maximums as shown below. New employees will receive reimbursement at the successful end of their probation period. Unused portion of their allowance can be rolled forward for one year.

Effective: Eligible on a contract Year basis (July to June)

July 1, 2011 July 1, 2012 July 1, 2013 July 1, 2014 $110.00 $110.00 $110.00 $110.00

Suitable wearing apparel will be supplied to the following Job Groups:

GroupA2 GroupA3 Group C GroupD1 Group G

- Machinists - Maintenance -Set-up Operators - Shipper/Receivers -Bead Processors- winter boots*

• Bead Processors and Bead Processor back-up winter boot allowance $150.00 every 2 years.

12.02 The Company shall pay employees their wages bi-weekly, every second Thursday, by direct deposit only, for wages owing them for work performed in the immediate past two (2) calendar weeks. Payroll corrections less than $60.00 net pay will be corrected on the following pay.

12.03 It is understood that the following are part of this agreement: (1) Welfare Benefit Plan (2) Pension Benefit Plan (3) Letter of Understanding #1 -Apprentices (4) Letter of Understanding #2- New concept on hours of work (5) Letter of Understanding #3- Casual Employees

12.04 An employee appointed lead hand shall have the authority to instruct and/or train employees, assign employees their work and report facts. Such employee shall not have the authority to discipline or recommend discipline.

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12.05 The Company and the Union shall appoint a joint Labour Management Safety Committee. The certified worker representative will be certified through the Workers Health and Safety Centre. The Committee shall be composed of an equal number of representatives of Management and Union Employees, but not more than a total of six (6) members.

The Company shall upon request of a member of the Labour Management Safety Committee provide the Committee, whenever possible, with a Material Safety Data Sheet of any materials used in the manufacture of its products.

The purpose of the Labour-Management Safety Committee is to provide effective methods for the elimination of conditions hazardous to the health and safety of the employees.

The Company agrees that the standards of the Occupational Health and Safety Act 1979 shall constitute minimum acceptable practices.

The Committee shall: (a) Meet once per month on a definite established schedule (b) Make periodic inspection of the plants, but not less frequently than once every two (2)

months.

12.06 Employees excluded from the bargaining unit shall not normally perform work that would deprive employees in the bargaining unit of work. Exceptions are when training employees, performing work of an experimental nature, taking of inventory, running in new machinery or performing work of an emergency nature.

12.07 It is not the intent of the company to contract out maintenance work unless it is for cases of emergency and non-routine maintenance work (e.g. Capital projects, process projects). On-going contract work will be reviewed with the Union prior to any work being done (except in the case of an emergency, when it will be discussed as soon as reasonably possible).

It is the intent of the Company, provided we have the necessary facilities and equipment, and can perform the work required within our own workforce, within projected time limit, without affecting quality, to keep such work within the Skilled Trades (maintenance) department. A yearly training analysis will be conducted for all Skilled Trades personnel in conjunction with the Skilled Trades Representative for the purpose of developing a training plan to reduce the costs associated with contract work within the Skilled Trades Department. The Union agrees that employees shall cooperate in participating in the required training as determined by the Training Analysis. The results will be reviewed on an as needed basis throughout the year.

No Skilled Trades employees shall be laid off or continue on layoff or be deprived of overtime opportunities, if such work is available.

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12.08 The Company will provide a tool allowance of Two hundred twenty five dollars ($225 .00) per calendar year, which can be carried over from year to year, to employees in Job Groups A and C to cover all new tool purchases required for these positions.

ARTICLE XIII DURATION OF AGREEMENT

13.01 Amendments to this agreement may be made in writing by mutual consent of both parties.

13.02 This Agreement shall become effective on the 1st day of July 2011, and shall remain in full force and effect until June 30, 2015, and shall continue in effect thereafter from year to year for further periods of one year each, unless either party shall have given written notice of termination or proposals for amendments to the other party not more than ninety (90) days prior to the expiration date or any yearly period thereafter. In the event of written notice of termination or proposals for amendments having been given by either party, as herein provided, negotiations shall be carried on during the notice period with a view to completing a new Agreement.

Should such negotiations extend beyond the expiration date, this Agreement shall remain in full force and effect as provided in the Ontario Labour Relations Act.

IN WITNESS WHEREOF the parties have executed this Agreement.

FOR THE COMPANY FOR THE UNION

~· n -l/:1

Kathy Legge ' f

Debra Litwiller

Marty Warre

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APPENDIX "A"

RATE

JOB TITLE: GROUP "A" Effective Effective Effective Effective

7/1/11 7/1/12 7/1/13 7/1/14 Machinist, Moldmaker, Patternmaker, Sample Maker

26.84 27.38 27.93 28.49 - GroupAA 26.04 26.56 27.09 27.63 -Group A 25.27 25.77 26.29 26.82 -Group B Maintenance Mechanic - Grade AA 26.84 27.38 27.93 28.49 Maintenance Mechanic - Grade A 25.33 25.84 26.36 26.89 Maintenance Mechanic - Grade B 24.64 25.13 25.63 26.14

JOB TITLE: GROUP "C"

Set-up Operator 1 23.33 23.80 24.28 24.77 Set-up Operator 2 22.21 22.65 23.10 23.56 Set-up Operator 3 21.03 21.45 21.88 22.32 Set-up Operator 4 (former AA) 19.85 20.25 20.66 21.07 Set-up Operator 5 (former A) 18.68 19.05 19.43 19.82 Set-up Operator 6 (former B) 17.88 18.24 18.60 18.99

JOB TITLE: GROUP "D"

Shipper Receiver 17.38 17.73 18.08 18.44 Material Handler 17.07 17.42 17.76 18.12

JOB TITLE: GROUP "G"

Bead Processor 17.47 17.82 18.18 18.54

JOB TITLE: GROUP "H" 1. Press Operator 16.15 16.47 16.80 17.14

JOB TITLE: GROUP "S" 1. Student Rate 10.20 10.40 10.61 10.82

The Company shall provide the union with a monthly report listing the names, hours worked in the previous month and totally hours worked to date of each casual employee.

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LEAD HAND RATE: Lead Hands will be paid thirty (30) cents per hour higher than the rate of the job on which they are

employed, except Group "A", which will receive fifty (50) cents per hour.

DEPARTMENTS

Departments will be broken down as follows:

DIVISION: Woodbridge Foam- Kitchener Plant- 68 Shirley Avenue, Kitchener, ON. DEPARTMENT: A- consists ofHl, H2, Gl DEPARTMENT: B- consists ofDl, D2, D3 DEPARTMENT: C- consists ofCl DEPARTMENT: D - consists of A3 DEPARTMENT: E- consists of A2

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APPENDIX "B" THE COST OF LIVING ALLOWANCE (C.O.L.A)

1. Cost of Living Allowance will be frozen for the term of this agreement. The following is the previous method of calculation.

2. The amount of interim increase shall be calculated below on the basis of the Consumer Price Index published by Statistics Canada 1971 = 100 hereafter referred to as C.P.I.

3. Base for calculation shall be June 1989 C.P.I. plus 5.0 points.

4. (a) The first payment shall be calculated and paid the first pay period following September 30, 1989. It will reflect one (1) cent for each full 0.3 points the August 1989 C.P.I.exceeds the base for calculation. (b) The second payment shall be calculated and paid the first pay period following January 31, 1990. ~twill reflect one (1) cent for each full 0.3 points the December 1989 C.P.I. exceeds the August 1989 C.P .I. (c) The third payment shall be calculated and paid the first pay period following May 31, 1990. It will reflect one (1) cent for each full 0.3 points the April1990 C.P.I. exceeds the December 1989 C.P.I.

5. The interim increase will be considered as earnings, but will be boxed from other wage payments on the employee's statement of earnings and deduction slip.

6. In the event Statistics Canada does not issue the appropriate Consumer Price Index on or before the date on which a payment is to be calculated, any payment required will be made at the beginning of the first pay period following receipt of the index.

7. No payments retroactive or otherwise shall be made due to any revision which may later be made in any published Consumer Price Index by Statistics Canada.

8. Continuation of the interim payments is dependent upon the availability of the official Statistics Canada Consumer Price Index, calculated on the same basis and in the same form as published for June, 1980.

9. C.O.L.A. will be folded in at the end of each contract year and become incorporated into the rates.

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LETTER OF UNDERSTANDING #1

APPRENTICES

The company recognizes the importance of technical skill level required for both the skilled trades and set-up functions. It is therefore the intent of the company to continue our practice of training skilled trades through an apprenticeship program as well as provide upgrading opportunities for set-up operators to continually upgrade their skill levels.

1. APPRENTICESHIP PROGRAM:

Participants are required to attend three in-school sessions of eight weeks each, plus complete four periods of2,000 hours of on-the-job training, unless schooling has been completed prior to starting the apprenticeship program.

Hours are accumulated to a maximum of forty ( 40) hours per week. During the eight week in-school training the employee will be on Unemployment Insurance and any other training monies available through the Ministry ofUniversities and Colleges.

We reserve the right to terminate or place trainees in other jobs at our discretion if satisfactory progress is not made.

For the duration of this contract, the Company agrees to have one employee participate in a formal apprenticeship for an Industrial Mechanic (Millwright), Electrician, Moldmaker, or Machinist registered with the Apprenticeship Branch of the Ministry ofTraining, Colleges and Universities. In the event of a layoff within the skilled trades group, it is agreed that the apprentice within the applicable group will be laid off first. The apprentice will then be entitled to exercise their seniority rights in accordance with the provisions of this agreement.

Apprentices will be selected based on the following criteria: (1) Meet the educational requirements as outlined by the government program, (2) Qualifications and (3) Seniority

The rates for the above job will be:

70% - Skilled Trades Grade A: To start 75% - 11

" 11 After 80 days

80% - 11 11 11 After 2000 hours 85% - 11 11 11 After 4000 hours 90%-95%-

II

"

II

II

II

II

After 6000 hours After 8000 hours

100% - Upon successful completion and receipt of Millwright papers.

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2. UPGRADING OF SET-UP SKILLS:

To provide educational support for those employees not involved in the formal apprenticeship program, the company has established a structured program of courses for the employee to advance through education and increased job performance.

The intent of this program is to increase the skill level of operators performing the set-up function as well as to have a pool of employees of increasing skill level who will be capable of moving into the formal apprenticeship program in the future.

Employees would be expected to complete these courses on their own time. When possible, the company would accommodate adjustments to shift schedules to provide the opportunity to enrol in evening courses.

MAINTENANCE JOB CLASSIFICATION EDUCATIONAL REQUIREMENT CLASSAA Industrial Mechanic (Millwright) or Electrician

(provincial certification) + one additional provincial license approved by the company.

CLASS A Industrial Mechanic (Millwright) or Electrician (Provincial Certification)

CLASS B Industrial Maintenance Apprentice Or 4th class Power Engineer

SET-UP JOB CLASSIFICATIONS EDUCATIONAL REQUIREMENT CLASS 1 Completed 9 modules Maintenance Course CLASS 2 Completed 7 Modules Maintenance Course CLASS 3 Completed 5 Modules Maintenance Course CLASS 4 Completed 2 Modules Maintenance Course (Previously Set-up Class AA) CLASS 5 Completed: Previously Set-up Class A Trade Calculations or Grade 11 Technical

Math plus - Electricity & Motor Controls - Welding for Mechanical Maintenance

CLASS 6 Completed: Previously Set-up Class B) Introduction to Pneumatics and

Introduction to Hydraulics Or another two similar Maintenance Courses -Related verifiable job experience (min.2 years)

Those currently in Class 7 must take and pass the Pneumatics and Hydraulics requirements of the Set Up classification within nine (9) months of date of ratification of this contract. Time frame for completion shall be mutually extended based upon course availability. After which time those

38

employees will then be moved into the Class 6 Set Up. Failing to enroll and pass these requirements will result in removal from the set up classification.

3. JOB DESCRIPTIONS:

The intent of the program is to provide opportunities to work under the direction of a "licensed tradesperson" for specific projects in order to gain experience and hours towards a formal apprenticeship at a later date. In the event it is necessary to contract out maintenance work, the provisions of Article 12.07 shall apply. Hours spent working under the direction of a licensed tradesperson from an outside contractor will be recognised under this program.

Set-up Operators: Class 5, 6 & 7 The current job descriptions on file for Set-up Operator would continue to apply with the following duties added as part of our ongoing QS9000 program:

During each Set-up Inspect steam water and air hoses for wear Inspect fill and drain vales for wear Inspect hopper fill line nipples Inspect receiver frame alignment pins Inspect modulating valves for operation Check gauges (air /system/water/hyd) operation Inspect chest for stripped fasteners Lubricate and clean slider bars Inspect support bars for worn & seized bolts Inspect product slides and push doors

Monthly check Check for hydraulic oil leaks on cylinders and pumps Check air leaks on headers

Classes 1, 2, 3 & 4: In addition to the regular set-up duties including the schedule listed above, these groups would be involved in the following:

• Replace or repair any of the above listed items, when assigned by their Supervisor and under the direction of a licensed Tradesperson.

• Employees must have completed the educational requirement of Class 4 prior to assisting with these tasks.

Classes 1, 2 & 3: In addition to the regular set-up duties including the schedule listed above, these groups would be involved in the following:

39

• Change motors and hydraulic components when assigned by their Supervisor and under the direction of a licensed Tradesperson.

• Assist licensed Tradesperson as assigned by the Supervisor, on any maintenance functions in order to increase qualifying hours towards a future apprenticeship.

Maintenance Mechanic: The current job descriptions on file for Maintenance would continue to apply for Classes B to AA.

4. GENERAL GUIDELINES FOR BOTH PROGRAMS:

1 Once the education and job performance qualifications have been met, the employee will be given the opportunity to advance to the next classification within their Job Group.

2. Movement from the Set-up Job Group to the Maintenance Job Group will be based on a full time opening, which will be posted when a position is available.

3. The company reserves the right to modify, amend or change the job requirements based on availability of courses.

4. Annual job performance reviews will be conducted in order to provide the employees with a clear direction on their performance and educational requirements.

5. For both programs, the company agrees to pay for the cost of tuition; books and other related materials upon successful completion of the course.

6. For employees currently employed at Set-up Operators as of June 30, 2002, these employees will be "grandfathered" into the new system at the new equivalent to their old level. The employee will be able to progress under the old criteria until Class 4, at which point they will be required to meet the new criteria to move into higher classes.

7. Newly hired employees may be brought into a classification based on their educational background and prior experience.

8. A review meeting will be held quarterly with management and the Union to discuss the progress of the program.

40

APPENDIX "A"

RATE JOB TITLE: GROUP "A"

Effective Effective Effective Effective

7/1/11 7/1/12 7/1/13 7/1/14 Machinist, Moldmaker, Patternmaker, Sample Maker

26.84 27.38 27.93 28.49 -Group AA 26.04 26.56 27.09 27.63 -Group A 25.27 25.77 26.29 26.82 -Group B Maintenance Mechanic - Grade AA 26.84 27.38 27.93 28.49 Maintenance Mechanic - Grade A 25.33 25.84 26.36 26.89 Maintenance Mechanic - Grade B 24.64 25.13 25.63 26.14

JOB TITLE: GROUP "C"

Set-up Operator 1 23.33 23.80 24.28 24.77 Set-up Operator 2 22.21 22.65 23.10 23.56 Set-up Operator 3 21.03 21.45 21.88 22.32 Set-up Operator 4 (former AA) 19.85 20.25 20.66 21.07 Set-up Operator 5 (former A) 18.68 19.05 19.43 19.82 Set-up Operator 6 (former B) 17.88 18.24 18.60 18.98

* Note that Apprentices will be paid based on a percentage of the A rate. **Replaces current A-AAA requiring two tickets. Current A-AA employees would be handled as Green Circle for the amount of the difference between their current rate and the Class A rate until they achieved the qualifications for Class AA.

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New Concept on Hours of Work

1. On a two shift scenario, day and afternoon shifts work ten (1 0) hours on straight time for four days per week.

In a week with a statutory holiday, hours would revert back to eight (8) hours per day for each shift.

2. On a straight day shift operation, a ten hour shift could be instituted (again, statutory holidays would mean eight hour days).

3. The main concepts would include:

- management retains the right to determine production schedules - no one loses, no one gains - different hours may exist in different divisions and departments - no efficiency loss - possibility of staggered shifts eg. Mon - Thurs./Tues - Fri.

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CASUAL EMPLOYEES

1. "Casual Employees" are defined as those working less than twenty-five (25) hours per week based on a twelve (12) week average.

2. Casual Employees do not qualify for the Welfare Benefit Plan, the Pension Plan or floater holidays until they satisfy the requirements of a fulltime employee (working twenty-five (25) hours or more per week based on a twelve (12) week average).

3. When a Casual Employee has completed six hundred and forty (640) working hours as their probationary period, such employee's seniority date shall be four ( 4) months prior to the day in which they worked their six hundred and fortieth (640th) hour.

4. Casual Employees will be used when fulltime employees are not available to perform work. It is not the intention of the company to replace full time employees with casual employees.

5. Casual employees may be required to work overtime up to a minimum of eight (8) hours per week without regard to July and August restrictions as specified in Article 7.12. Casual employees must work their full eight hour shift to qualify for overtime pay.

6. The rate of pay for casual employees shall be four (4) dollars per hour below the rate as specified in Appendix "A".

43

I Procedure Subject:

Custom Moulded Foam Plastics Division of Woodbridge Foam Corporation

Plant Procedure Manual

Harassment Committee I

Date HR Manager Signature Unit Chair SiQnature Date Plant Manager Signature

1. f'':.'!.P~se:

2. Scope: Applies to all Morval employees.

3. Related Documents Woodbridge Human Rights Policy Woodbridge Open Door Policy Woodbridge Sexual Harassment Policy Collective Labour Agreement Article 1, Clause 1.03 Collective Labour Agreement, Article 6, Clause 6.01 Confidentiality Agreement

4. General:

This procedure is referenced under the Collective Agreement Article 1, Clause 1.03.

1. If an employee believes he/she has been subjected to harassment and/or discrimination, the employee should tell the alleged harasser to stop, if possible.

2. If the harassed employee does not feel able to approach the alleged harasser directly, or if after being told to stop, the alleged harasser continues, the harassed employee may bring the incident forming the basis of the complaint to the attention of their Supervisor, Union representative, Harassment Committee representative, Human Resources Manager or Department Manager.

3. A confidential discussion should be held between the employee and the individual they approach to learn the reasons for the complaint. This discussion should be held in a private location and if it occurs during working hours, the Supervisor must be made aware of the need for time off the job, which will be provided in a timely manner, based on the urgency of the situation.

4. Should the employee wish to pursue their complaint, the Supervisor, Union Representative or Harassment Committee member may contact the Human Resources Manager to review the complaint on a confidential basis. Attempts will be made to resolve the issue with the parties involved.

5. If the issues cannot successfully be resolved to the complainant's satisfaction or the employee chooses to have their case reviewed directly by the Committee, the employee will be provided the option of having the case referred to the Harassment Committee to investigate and review the circumstances. At this stage, the employee will be encouraged to submit their complaint in writing, providing a brief summary of their complaint. In these cases, the Human Resources Manager and Union Unit Chair will be advised that a case has been referred to the Harassment Committee.

Controlling Authority Author File Name Date Printed Date effective Page HR Manager P. Rennie- MOR-Harass 1 of 3

Tomlinson

<< IF PRINTED- FOR REFERENCE ONLY, SEE COMMON DRIVE FILES FOR LATEST ISSUE>>



Plant Procedure Manual

Harassment Committee I 6. The Committee structure is laid out in the Collective Labour Agreement and consists of two

representatives for the Union and two representatives for the Company, jointly selected by the Union and the Company.

7. For the investigation, one committee member from the Union and one member from the Company will be involved in the investigation, but the findings will be reviewed by the entire Committee before recommendations are forwarded to the Company and the Union, as per item #11.

8. The committee members will be selected on a case by case basis, given their initial involvement in the case, any previous history with the individuals involved and including input from the complainant. ·

9. It will be the responsibility of the Human Resources Manager or designate to arrange for an investigation team, ensure a confidential location is available and follow-up on the committee's report.

10. All complaints are to have a timely resolution and should be initiated as soon as possible but no later than one week from the initial complaint. The Committee is to provide regular updates to the parties involved if the process takes longer that expected.

11. A report will be prepared by the Committee members involved in the investigation indicating their recommendations. The Committee will review its recommendations with the parties involved. Copies will be provided to the Human Resources Manager and in cases where an hourly employee is involved, the Unit Chairperson for the Union will also receive a copy from the Committee.

12. The Company will take action they deem appropriate, given the recommendations of the committee and follow through on any disciplinary action, if it is deemed necessary. Any Company activities will be completed within one week unless there are unforeseen circumstances and actions taken will be communicated back to the Unit Chair.

13. Should either party disagree with the recommendations of the Committee or the follow-up by the Company, the employee may pursue their complaint through the Woodbridge Open Door Policy or the Union Grievance Procedure. Under Clause 6.01 of the Collective Labour Agreement, the Company and the Union have mutually agreed that the timing of a grievance will be frozen until the Committee's report has been issued. At that point the timing outlined in Clause 6.01 will be re-activated, if required. Should the complaint be taken further, the employees involved will be required to release the details of the investigation, in writing.

14. All reports and documents pertaining to an investigation are to be stored by the recipients in a confidential manner. Should a Committee member leave the committee, they are required to hand in any confidential files they have to the Committee.

15. All employees are required to sign a confidentiality agreement and keep all discussions with the Committee strictly confidential.

16. All Committee members will receive training regarding harassment and discrimination issues and investigations.

Controlling Authority Author File Name Date Printed Date effective Page HR Manager P. Rennie- MOR-Harass 2 of 3

Tomlinson

<<IF PRINTED- FOR REFERENCE ONLY, SEE COMMON DRIVE FILES FOR LATEST ISSUE>>



Plant Procedure Manual Harassment Committee I

17. This procedure will be communicated to all employees.

18. To ensure the effectiveness of the process, this procedure will be reviewed by the Committee, Company and Union six months after its initial approval to determine if any changes are required.

5. Responsibilities:

The Harassment Committee is responsible for investigating, mediating and recommending a resolution to the Company and where applicable, the Union in a timely manner.

The Company is responsible for taking actions they deem appropriate, given the recommendations of the committee and following through on any disciplinary action, if it is deemed necessary.

The Company is also responsible for providing a confidential location for investigations and Committee meetings and will provide company time for these activities.

The Human Resources Manager is responsible for monitoring the process and arranging meetings as required.

All Employees involved in this process (complainants, witnesses, committee members, etc.) are required to keep all information strictly confidential.

6. Reference Materials: N/A

7. Records I Forms: N/A

ControllinQ Authority Author File Name Date Printed Date effective Page HR Manager P. Rennie- MOR-Harass 3 of 3 Tomlinson

<<IF PRINTED- FOR REFERENCE ONLY, SEE COMMON DRIVE FILES FOR LATEST ISSUE>>

May 19,2005

Amend as follows:

Article 1.03 c) Representatives from the Union and the Company will be appropriately trained regarding harassment and discrimination issues. and investigations. The full Joint Committee will establish a procedure for expediting investigations, which will form part of the Collective Agreement. ·

Harassment Committee- Procedure

Section 4. General

Delete bullet 1.

Delete bullet 2.

Delete bullet 4.

Amend bullet 12 to read. The Company will take action based upon the recommendations of the harassment committee and follow through on any disciplinary action, if it is deemed necess£1!)'. Any company activities will be completed within one week unless there are unforeseen circumstances, and actions taken or recommendations not implemented will be communicated back to the Unit Chair and reasons provided for decision.

Section 5. Responsibilities Delete second line.

Agreed,

USW A, Local 83 8 For the Union

WELFARE

BENEFIT

PLAN

BETWEEN


AND

UNITED STEEL WORKERS On behalf of its Local 838

WELFARE BENEFIT PLAN

This Plan is made and entered into the 1st day of July 2011, by and between WOODBRIDGE FOAM CORPORATION hereinafter referred to as the "Company" and the United Steelworkers of America on behalf of its Local838 thereof, hereinafter referred to as the "Union".

ARTICLE 1 PURPOSE

1.01 Subject to the terms and conditions hereinafter stated the company will provide Life Insurance, Accidental Death and Dismemberment Insurance, Sickness and Accident Benefit, Major Medical Insurance, Dental Benefits, and payment of premium to the Ontario Health Insurance Commission for all employees in the bargaining unit as defined in the Collective Labour Agreement, and their dependents as defined herein.

1.02 Subject to the provisions of this Plan, the Company shall determine the manner in which the Plan shall be administered.

2.01 In this Plan:

ARTICLE II DEFINITIONS

(a) "employee" means any employee who is employed by the Company, and is a member of the bargaining unit as defined in the Collective Labour Agreement between the Company and the Union, and referred to hereinafter in the masculine gender.

(b) "dependent" means a person not in the employment of the Company who is:

(1) The spouse of an employee which includes common law partner.

Definition of a spouse or common-law spouse: The spouse of an employee for purposes of any spouse's benefits payable under the plan means the person who is legally married to the employee. A common-law spouse means a person of the opposite or same sex who is and has been living with the employee in a conjugal relationship for a period of not less than one (1) year, and has been publicly represented as the spouse. Only one spouse at a time may be claimed.

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(2) The unmarried child under 21 years of age who depends on the Employee for support and maintenance or dependent children up to age 25 if they are full-time students or a disabled child or a ward over 21 years of age who is mentally or physically infirm (and was dependent prior to age 21 ).

(c) An Employee will be considered to be single and without dependents until he has properly enroled his dependents on the application forms applicable to the specific dependent benefits, and he may be required to furnish such proof as the Company may reasonably require to establish the eligibility of any person claimed as a dependent. He must further inform the Company of any changes in the status of his dependent which would affect their eligibility under the plan within thirty-one (31) days after such change occurs. Failing which, coverage will only commence when the Company is notified.

(d) The term "Physician" means a medical practitioner who is registered under the Medical Act of the Province of Ontario or such similar statute or law as governs the practice of medicine in the jurisdiction in which any medical, surgical or diagnostic services are rendered to an employee or his dependent.

(e) The term "Dentist" means a person licensed to practice Dentistry by the provincial licensing authority.

(f) The term "lay-off' shall mean the same as the definition ofLay-offin the Collective Labour Agreement.

(g) The term "Collective Labour Agreement" shall mean the current Collective Labour Agreement between the Company and the Union, as may be amended or supplemented, or any successor Agreement.

(h) The term "Pension Benefit Plan " shall mean the Pension Benefit Plan that will be negotiated during the term of the "Collective Labour Agreement" and as may be amended or supplemented, or any successor Agreement.

(i) The term "Commission" shall mean the Ontario Hospital Services Commission established by an Act of the Legislature of Ontario that is charged with the responsibility of establishing and administering, etc., the Hospital Care Insurance Plan.

ARTICLE III GROUP LIFE INSURANCE FOR EMPLOYEES

3. 01 The Company will provide for its eligible employees, without cost to them, Group Life Insurance Benefits in accordance with the following schedule, which will provide terms and conditions ordinarily found in a standard group life insurance policy issued in the Province of Ontario. Each Employee while eligible for life insurance as an employee, will be insured for Group Life Insurance according to the schedule set out below.

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EMPLOYEES- $35,000 effective August 1, 2005 $36,000 effective July 1, 2006 $37,000 effective July 1, 2007 $37,000 effective July 1, 2008

3.02 The Life Insurance will cease upon termination of employment (or membership) in the eligible classes, except that if an employee's death should occur within (31) days thereafter, the death benefit will be payable. The Policy of Group Life Insurance shall provide that a person (within this thirty-one (31) day period) shall have the privilege of obtaining without medical examination, an individual policy of life insurance of a class, and under the condition specified by the Insurer.

3.03 The policy of Group Life Insurance shall provide that if any employee becomes totally disabled before attaining the age of sixty-five (65) years, the life insurance ofthe amount specified in Section 3.01 herewith, will be continued without payment of premiums, during such total disability subjectto his satisfying the Insurer of continuance of disability as long as the employee continues to be totally disabled but not beyond the date of attainment of age 65.

ARTICLE IV ACCIDENTAL DEATH AND DISMEMBERMENT

INSURANCE FOR EMPLOYEES

4.01 The Company will provide for eligible employees, without cost to them, Accidental Death and Dismemberment Insurance equal to the amount ofNon-Contributory Life Insurance in effect for each employee under the provisions of ARTICLE III hereof.

4.02 Benefits will be paid for accidental loss oflife, loss or loss of use oflimbs and sight, caused by external, violent, and accidental means. The full principal sum to which an employee is entitled, will be paid for the accidental loss of or the loss of use of two hands or feet or sight of eyes or any two of them when loss occurs within three hundred and sixty-five (365) days of the date of the accident. One half the principal sum will be paid for the accidental loss of or the loss of use of one hand, one foot or the sight of one eye.

4.03 No A.D. & D. benefit is payable for a loss resulting from suicide, participation in a criminal offence, war or hostilities of any kind.

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ARTICLEV NON OCCUPATIONAL GROUP SICKNESS AND ACCIDENT

5.01 The Company will provide for its eligible employees, without cost to them, sickness and accident insurance benefits for bodily injuries cause by non-occupational accidents, for sickness which totally and continuously disable such employees from working in accordance with the following schedule:

An amount equivalent to the employee's average insurable earnings over the last twenty (20) weeks of insurable employment (as used by the Employment Insurance Act) or at the rate of 66 2/3% of the employee's average hourly earnings times forty ( 40) hours, whichever is greater per week.

In consideration of the improved weekly indemnity benefits, the Union and the employees agree that the entire amount of rebate due to any reduced unemployment insurance premiums, if the plan is approved, shall be retained by the Company.

5.02 Benefits will be payable from the first day of a disability due to an accident or eighth day of disability due to sickness. 'Provided however that the sick employee is confmed to a hospital overnight, the employee will be entitled to payment commencing with the first day of hospitalization. In the event that an employee receives out-patient treatment of a debilitating nature such that they are unable to return to work that day, the claim shall be treated on the same basis as if hospitalized overnight.· Benefits will continue to be paid for the duration but not to exceed fifty-two (52) weeks.

5.03 Periods of disability due to the same cause will be treated as the same period of disability, unless the employee has recovered, and returned to full time work for a period of tWo (2) weeks. Periods of disability due to different causes will be treated as different periods of disability if separated by recovery and return to full time work. The Company and Union agree to follow the Return to Work agreement dated May 16, 2006.

5.04 The date on which the disability begins shall be deemed to be the first day upon which the employee fails to report to the Company for work, or is required to cease work before his regular quitting time, and the date upon which the disability terminates shall be deemed to be the day before the first day upon which the employee is capable of returning to work. This date shall be that set by the attending physician. Part weeks shall be indemnified at the rate of one-seventh of the weekly amount for each calendar day of disability.

5.05 Weekly Indemnity Benefits shall not be payable for any disability for which the employee is not under the care of a physician, doctor of dental surgery (D.D.S.), doctor of osteopathy (D.O.), chiropractor or podiatrist.

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Weekly Indemnity Benefits shall not be payable for any disability resulting from: (a) Pregnancy:

( 1) for a period of 1 7 weeks commencing on the date of leave of absence from work, or (2) for a period commencing on the date ofleave of absence from work and terminating

on a date of 6 weeks after the actual date of delivery, or (3) for a period of leave of absence that the employee applied for in respect of a contract cf

employment, whichever is the longest period.

(b) Injuries or sickness for which benefits are payable under the WSIB.

(c) Intentionally self-inflicted injury or any attempt at self destruction.

(d) Injuries or sickness resulting from war or hostilities of any kind, whether or not the employee is actually participating therein, or whether or not war is declared.

(e) Injuries or sickness resulting from committing or attempting to commit a criminal offence.

(f) Alcoholism, drug addiction, or any related mental condition connected therewith, unless the employee is under active treatment in or is certified as being actively supervised by a rehabilitation centre.

5.06 Weekly benefits shall not be payable for any day for which an employee is eligible for paid Holiday Pay.

5.07 Employees regularly working on a part-time basis whose scheduled week is less than the normal work week, shall receive a percentage ofthe sickness and accident benefits based upon the percentage which their work week is to the normal work week.

ARTICLE VI HOSPITALIZATION, MEDICAL AND SURGICAL GROUP INSURANCE

FOR EMPLOYEES AND DEPENDENTS

6.01 The Company will pay, to the appropriate regulatory body, all required provincial health insurance taxes and/or premiums so as to qualifY the employee and his/her dependants for the hospital and medical benefits provided by the Health Insurance Act of Ontario. The amount of the taxes, including the earnings base and the percentage to be used in the calculation, the due date for payment, and the benefits provided shall be as prescribed by the aforementioned Act and/or the Regulations of the Ontario Health Insurance Plan and any subsequent amendments to the Act and/or the Regulations thereto.

Insomuch as the benefits provided under the aforesaid Act and/or the Regulations thereto are not directly related to the payment of the required taxes, the eligibility provisions of Article X shall, with respect to the foregoing benefits only, be understood to defme the period for which the Company is obliged to pay the required taxes and the Company's obligation to provide such benefits as are provided under the Act and/or the Regulations and any subsequent amendments, during the specified period of eligibility, will

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be fully discharged by the forwarding of the required taxes to the appropriate regulatory body.

6.02 AMBULANCE BENEFIT (a) Where deemed necessary and authorized by the attending physician, payment will be made for

automotive ambulance as provided by a hospital or professional ambulance service, for the purpose of transporting an employee or eligible dependent from his place of residence to a hospital, from hospital to his place of residence, or from one hospital to another, and all in conjunction with a hospital confinement for which a Basic Hospital Benefit is payable. Payment will also be made for automotive ambulance service in connection with emergency care immediately following an accident. In all instances, payment will be made only if the physical condition of the individual or the circumstances precluded the use of other means of transportation, and if the physical services were to the nearest licensed hospital, unless otherwise authorized by the attending physician.

ARTICLE VII SUPPLEMENTAL HOSPITAL BENEFIT, DRUG BENEFIT, VISION CARE AND SUPPLEMENTARY HEALTH CARE BENEFIT FOR EMPLOYEES

AND DEPENDENTS

7.01 The Company will provide coverage for employees and their dependents for services subject to the terms and conditions of this Article VII.

7.02 Maximum Benefit Per Calendar Year: When the necessary deductibles have been satisfied the employee's or dependent's expenses will be paid as provided herewith, on the basis of 100% of the aggregate eligible expenses (see 7.03) per calendar year in excess of the Basic Benefits.

7.03 Eligible Expenses as follows:

A. Eligible expenses mean reasonable and customary charges for the following services, provided that such services are prescribed by a physician.

(a) Services of a registered nurse (R.N.) or qualified physical therapist provided such nurse or qualified physical therapist is not ordinarily resident in the patient's home and is not related to the patient by blood or marriage and subject to maximum total eligible expenses in a calendar year of$1 0,000 less the amount paid under this provision for registered nurses' services during the two preceding calendar years, plus $50.00 per day thereafter.

(b) out-patient hospital services. 49

(c) diagnostic laboratory and X-ray examinations.

(d) services of a masseur for not more than 20 treatments per calendar year.

(e) services of a speech therapist subject to the maximum total eligible expenses of $500 in a calendar year.

(f) rental or purchase of wheel chair, hospital bed, iron lung and other durable equipment as approved by the Company required for temporary therapeutic use.

(g) trusses, crutches and braces: where the disability necessitates such equipment is incurred while insured.

(h) artificial limbs or other prosthetic appliances excluding dental prosthesis where the loss of the natural member is incurred while insured.

(i) deep X-ray and radium therapy.

G) professional ambulance service to the nearest hospital equipped to provide the required treatment.

(k) DRUG EXPENSES -the employee may recover up to 100% of the reasonable and customary charges for drugs, serums, vaccines and injectibles which require the written prescription of a physician subject to a $1.00 deductible per prescription. The dispensing fee will be covered to a maximum of $9.00 per prescription. Prescriptions for oral contraceptives are eligible for reimbursement, but proprietary and patent medicines are not. Generic drug coverage first where available. No substitute as per prescription to be honoured. All drugs must be purchased from a registered pharmacist or physician.

(I) services of a registered physiotheraphist, subject to maximum total eligible expenses of$1 000 in a calendar year.

B. Eligible expenses also means reasonable and customary charges for the following items of expense:

(a) services of a dental surgeon including dental prosthesis required for treatment of a fractured jaw or for the treatment of accidental injuries to natural teeth within 6 months of the accident where the injury was caused by external, violent and accidental means.

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(b) Services of a chiropractor, osteopath, naturopath, or podiatrist, provided no expenses are

payable under any government plan, subject to maximum total eligible expenses of$350 for

these services, including a maximum of one x-ray examination, per calendar year.

(c) services of a registered psychologist on the written prescription of a psychiatrist, subject to

maximum total eligible expenses of $700 in a calendar year.

(d) one (1) hearing aid purchased on the written prescription of a physician and repairs thereto,

subject to a maximum total eligible expense of seven hundred and fifty ($750.00) dollars every

five (5) years per insured individual.

(e) orthopaedic shoes which are an integral part of a brace or are specially constructed for the

patient, including modification to such shoes, subject to maximum total eligible expenses in

any one calendar year of the lesser of: (i) the total charges less the average cost of regular footwear as determined by the Company,

or (ii) $300.00 provided that the shoes or orthotics are prescribed in writing by a podiatrist or by a

physician.

(f) eye examinations by an optometrist, but for not more than one examination in a period of24

months (12 months for a dependent child under age 18):

(g) eye glasses and contact lenses. provided such appliances are necessary for the correction of

vision and are prescribed by an ophthalmologist or optometrist, and repairs, subject to

maximum total eligible expenses of three hundred and twenty-five dollars ($325.00)) during

the 24 month period ending on the date an eligible expense for such appliance is incurred.

(h) eye glasses and contact lenses, where an ophthalmologist certifies that such appliances are

necessary as a result of a surgical procedure or for the treatment of keratoconus, subject to the

maximum total lifetime eligible expense of $300 in respect of any one surgical procedure or

for the treatment of keratoconus.

(i) ear pieces for children until the age of 18 years to a lifetime maximum of two hundred

($200.00) dollars. (These ear pieces are to help fit hearing aid into ear.)

G) Company to pay for the cost charged by doctors to complete Short Term Disability forms

provided by the insurance company.

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7.04 Eligible expenses also means reasonable and customary charges for the following items of expense incurred outside the province of residence of an insured person, provided the expense is prescribed by a physician:-

(a) if the services are required for emergency treatment of an injury or disease which occurred while the person was travelling outside the province of residence.

(i) public ward accommodation and auxiliary hospital services in a general hospital.

(ii) services of a physician or surgeon and (iii) economy air fare for the patient's return to the province of residence. The eligible expense to be equivalent to the charge made in the area where the expense is incurred, less any charge covered by a government plan, subject to a maximum under this provision of $I ,000,000 per injury or disease:

(b) If the services are not available in the province of residence and are performed following written referral by the attending physician in the province of residence of the patient.

(i) public ward accommodations and auxiliary hospital services in a general hospital, subject to a maximum of$75.00 per day for 60 days per calendar year, and

(ii) services of a physician or surgeon, the eligible expense to be equivalent to, after deducting any charges covered by a government plan, reasonable and customary charges in the area in which the service is rendered.

7.05 The Company and the Union will meet and select a preferred provider for prescription medications within 3 months of the signing of this Collective Agreement.

ARTICLE VIII GROUP LIFE INSURANCE HOSPITAL, SURGICAL AND MEDICAL

EXPENSE BENEFITS FOR RETIRED EMPLOYEES AND DEPENDENTS

8.0 I The Life Insurance (but not accidental Death and Dismemberment Insurance) of any employee provided in ARTICLE III herewith shall be continued in force for an employee who is retired by the Company at age 65 or later, and providing the employee at that time had at least ten (I 0) years' seniority, at no cost to him according to the following schedule:-EMPLOYEES: $IO,OOO.OO.

8.02 An employee who is retired by the Company and providing the employee at that time had at least ten (I 0) years seniority will be provided with the following benefits on or after the effective date of this Plan.

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(a) The payment of the OHIP premiums for the Ontario Health Insurance Benefits provided for an employee and his eligible dependants under ARTICLE VI.

(b) The eligible dependants of a retired employee will be covered on the same basis as the retired employee for all benefits of this Article, except those provided for in Section 8.01. The term eligible dependent as expressed in this Section shall mean those dependants on records with the Company on the date of retirement.

(c) Dependants of an employee shall cease to be eligible for benefits under this Welfare Benefit Plan on the date on which the employee ceases to be eligible and in the case of death of an employee at the end of the month in which said death occurs.

ARTICLE IX DENTAL BENEFITS

9.01 COVERAGE: The Company will provide for Dental Expense Benefits in accordance with this Article, for eligible employees and their dependent(s). Reimbursement will be based on 80% for Basic Coverage and 75% for Denture Coverage of the Ontario Dental Association schedule of fees with a one (1) year lag as follows:

Effective July 1, 2011 Effective July 1, 2012 Effective July 1, 2013 Effective July 1, 2014

- 2010 Schedule - 2011 Schedule - 2012 Schedule - 2013 Schedule

and provided a submission is made of eligible expenses for necessary dental services performed by a dentist.

9.02 DEPENDENT COVERAGE, CO-ORDINATION OF BENEFITS: If an employee's dependent is insured under another policy, application for their coverage must be made under that policy first.

Following payment under another policy, the amount of benefit payable under this provision will not exceed the total amount of eligible expenses incurred less the amount paid by the other policy.

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9.03 CLAIMS:

Claims must be submitted within thirty (30) days of the date the expense is incurred. For assessment of a claim, itemized bills, commercial laboratory receipts, reports, records, pre-treatment X-Rays, study models or other necessary information are required.

Treatment that is expected to cost more than three hundred dollars ($300.00) must first have a pretreatment plan submitted. This plan is prepared by the dentist and submitted to the Company in the same manner as if a claim is submitted.

9.04 BENEFITS: Services not listed under this section are not covered.

Eligible expenses mean reasonable and customary charges for the following items of expense.

DENTAL INSURANCE PROVISIONS -PREVENTIVE SERVICES

Eligible Expenses

Eligible expenses mean reasonable and customary charges for the following items of expense -

Procedure

a) examination and diagnosis: - oral examination (once every three years) - recall oral examination (once every nine months) - special oral examination - treatment planning - consultation - house call, institutional call and office visit

b) tests and laboratory examinations: - microbiologic culture - caries susceptibility tests - biopsy of oral tissue - cytologic smear from oral cavity - pulp vitality tests

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c) radiographs:

-periapical (one complete series every three years) - periapical, one to ten films -occlusal - bitewing (once every nine months) -extra oral - sialography - radiopaque dyes to demonstrate lesions -temporomandibular joint - panoramic (once every three years) - cephalometric film - interpretation of radiographs received from another source - tomography -hand and wrist (as diagnostic aid for dental treatment)

d) preventative services: - dental prophylaxis (once every nine months) - topical application of fluoride -oral hygiene instruction (once every nine months) - caries control - interproximal discing of teeth - occlusal equilibration (eight units of time every twelve months)

e) plastic fillings: -amalgam - retentive pins -silicate - acrylic or composite resins -stainless steel crowns

f) anaesthesia

g) in office laboratory procedures

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ENDODONTIC AND PERIODONTIC SERVICES

Eligible Expenses


Procedures

a) periodontics: - non-surgical services - surgical services - post-surgical treatment - scaling and root planning - adjunctive procedure - alveoplasty

b) endodontics: - pulpcapping -pulpotomy - root canal therapy - gingival curettage - alveolectomy - banding of tooth - hemisection - canal and/or pulp enlargement - chemical bleaching only (per unit oftime) - intentional removal, apical filling and reimplantation - emergency procedures

DENTURES COVERAGE

Eligible Expenses Eligible expenses mean reasonable and customary charges for the following items of expense:

Standard complete dentures, standard cast or acrylic partial dentures or complete overdentures when required to replace one or more teeth extracted while the person is covered. Replacement appliances are covered only when:

the existing appliance is temporary the existing appliance is at least five (5) years old and cannot be made serviceable. Ifthe existing appliance is less than five (5) years old, a replacement will still be covered ifthe existing appliance becomes unserviceable while the person is covered and as a result of the placement of an initial opposing appliance or the extraction of additional teeth.

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If additional teeth are extracted but the existing appliance can be made serviceable, coverage is limited to the Replacement of the additional teeth.

Denture-related surgical services for remodelling and recontouring oral tissues.

Denture maintenance following the 3-month post-insertion period including:

denture remakes, once every 36 months denture adjustments, once every 12 months.

DENTURE REPAIRS

Eligible Expenses


Procedure

a) repairs and adjustments: - adjustment to dentures - repairs to dentures - addition of tooth - denture rebasing and relining

b) in office laboratory procedures

c) surgical services: - uncomplicated removals -surgical removals - surgical exposure, transplantation and repositioning - surgical excision - surgical incision -fractures - frenectomy - miscellaneous surgical services

d) adjunctive general services: -drugs (injections)

e) in office laboratory procedures

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9.05 EXCLUSIONS AND LIMITATIONS:

No benefit is payable for:

(a) expenses for which benefits are payable under the WSIB or a similar statute. (b) expenses for which benefits are payable under a government plan (c) a portion of expenses for which reimbursement is made due to the legal liability of another

party

ARTICLE X ELIGIBILITY FOR BENEFITS

The following regulations will determine the eligibility of present and future employees to participate in this Welfare Benefit Plan as heretofore set out.

10.01 AU present employees who are actively at work on the effective date ofthis Collective Labour Agreement and who have been employed for three (3) months, at such time shall be entitled to the benefits of the program excluding Dental - covering death, bodily injury or sickness suffered or incurred on or after the effective date of this Plan. All present employees who are actively at work on the effective date of this Collective Labour Agreement and who have been employed for one (1) year, at such time shall be entitled to Dental Benefits. Present employees who are on vacation or who are working less than standard shift shall be deemed to be included. Present employees not actively at work on the above date, for any other reason will become eligible upon return to active employment.

10.02 An employee attaining seniority after the effective date of this Plan shall be entitled to the benefits of the program covering death, bodily injury or sickness incurred on or after the first day of the calendar month coinciding with or next following the attainment of seniority provided such employee is actively employed on such date. If the employee is not actively at work on such date he will be eligible upon return to active employment.

10.03 Coverage for an employee's dependants will become effective on the same date as the employee's coverage except that if a dependent, other than a new born baby, is confined in a hospital when the insurance for that dependent would otherwise become effective, the insurance will become effective upon final discharge from the hospital. The new born baby will become immediately eligible as a dependent provided that the employee properly qualifies such child hereunder by registering such child with the Company within thirty-one (31) days ofbirth.

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10.04 An employee who had previously been eligible under the Welfare Benefit Plan, and who returns to active employment after lay-off or leave of absence, shall be eligible for all benefits for himself and dependants on the tenth (1Oth) consecutive day following his return to active employment.

10.05 The Company will provide the benefits of this Plan for employees granted a leave of absence for illness or injury and their eligible dependants, while the employee is on such leave for a period of up to twelve (12) months.

The Company will make available to employees whose benefits expire pursuant to this Section the opportunity to continue the Life Insurance, but not Accidental Death and Dismemberment Insurance in the amount equal to the total of life insurance that was in effect for such employees immediately preceding the effective date of his leave of absence, by contributing at the rate of sixty cents ($0.60) per month per $1,000.00 of insurance. Provided, however, such employee's opportunity to continue such life insurance to maintain it in effect shall not extend beyond the period specified in the following schedule.

Seniority at date of first day of Leave of Absence

Less than ten (1 0) years Ten (1 0) years and over

Period of Coverage (Paid for by Employee)

twelve (12) months twenty-four (24) months

10.06 A female employee granted a leave of absence because of pregnancy will cease to be covered under all benefits of the Welfare Benefit Plan at the expiration of twelve (12) months from the effective date of such leave, except for the benefits specifically payable in respect to the pregnancy.

10.07 An employee who is granted leave of absence for any reason other than pregnancy, sickness or injury, after becoming eligible under the Welfare Benefit Plan, shall continue to be eligible for all benefits for himself and dependants except Sickness and Accident benefits for the employee, until the expiration ofthree (3) months from the effective date of such leave provided, however, local Union officers on approved leave of absence for Union business shall continue to be covered for Sickness and Accident Benefits during such leave of absence.

10.08 An employee whose active employment is terminated by voluntary separation, by discharge for cause or by entering military service, shall cease to be eligible for any benefit under this Welfare Benefit Plan as of date of termination, except that a death claim would be paid under the Life Insurance Plan during the thirty-one (31) day conversion period and that maternity benefits will be paid for pregnancies commencing while a female employee or a dependent of an employee is insured under the said Plan.

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10.09 An employee who is laid off shall cease to be eligible for Sickness and Accident benefits as of the day following lay-off, and for all other benefits under this Welfare Benefit Plan including Life Insurance Benefits at the end of the calendar month following the month during which such lay-off occurs, except that maternity benefits will be paid for pregnancies commencing while a female employee or a dependent of an employee is insured under the said Plan. However, each employee above will have the privilege of continuing all benefits (except Sickness and Accident benefits and OHIP) for a period of twelve (12) months from the date his coverage would otherwise have been discontinued by payment of the premium applicable to the remaining benefits. Such premium shall be payable monthly in advance to the Company. The policy of Group Life Insurance shall also apply herewith as provided in Section 3.02.

10.10 This Welfare Benefit Plan will terminate automatically upon termination of employment, except that a death claim would be paid under the Life Insurance Plan during the thirty-one (31) day conversion period and that maternity benefits will be paid for pregnancies commencing while a female employee or a dependent of an employee is insured under the said Plan. Provided, however, that in the event of termination of Group Hospital Expense and/or Sickness and Accident Insurance as provided in this Plan, such termination shall not have the effect of discontinuing the payment of benefits in so far as it affects the benefits payable with respect to disabilities which were suffered or incurred prior to date of termination.

10.11 Dependants of an employee or a retirant shall cease to be eligible for benefits under this Welfare Benefit Plan on the date on which the employee or the retirant ceases to be eligible and in the case of death of an employee or a retirant at the end of the month in which said death occurs.

10.12 When provision is made for continuance of coverage on payment of the applicable premium by any person other than the Company, such payment shall be made monthly in advance and will be the responsibility of the individual concerned. This privilege will terminate on failure to pay the premium as provided.

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ARTICLE XI GENERAL PROVISION

11.01 The Company shall have the sole responsibility and authority consistent with the provision of

the Plan for the operations and administrations of the Welfare Benefit Plan.

11.02 The Company may enter into a contract or contracts with an insurer or insurers to provide all or

any of the benefits described herein, and upon so doing, the Company shall be relieved of any liability

to any employee or dependent with respect to performance of the obligations contracted for by the

insurer; and the Company may from time to time amend, terminate, reinstate and/or substitute any

such contract or contracts. No insurance Company contract which may be entered into by the

Company for the purpose of providing any benefit described in this Plan shall alter, amend or detract

from the provision of this Plan.

11.03 The employee shall complete any application or questionnaire relating to himself and to the

number, sex, age, of his dependants or the facts pertaining to a claim for benefit presented to him by

an insurer through the Company or otherwise.

11.04 No payment of claim will be made if the employee fails to meet the requirements of the insurer

with respect to proof and time limitation under regulations normally included in policies written in

Ontario.

11.05 The insurer shall issue or cause to be issued, a certificate to each employee.

11.06 The Company shall have the right and an employee claiming payment of disability shall afford

an opportunity to submit to an examination of the person of the employee or his dependent by a

physician appointed by it, when and as often as it may reasonably require while a claim for benefit is·

pending.

11.07 If a dispute shall arise between the Company or its insurer as the case may be and an employee

as to whether such employee or his dependants is or continues to be, suffering from bodily injury or

sickness of a degree, extent and type that gives rise to a claim for benefits under the Welfare Benefit

Plan such dispute shall be resolved as follows:

The employee or disabled person shall be examined by a physician appointed for that purpose by the

Company or the insurer and by a physician appointed for the purpose by the Union. If they shall

disagree concerning the kind and nature of the disability, the question shall be submitted to a third

physician selected by the said two physicians. The opinion ofthe third physician, after examination of

the disabled person and consultation with the other two physicians, shall be accepted by the Company

or the insurer, the Union and the employee as irrefutable evidence of the facts, therein disclosed and

the degree, extent and type of disability suffered by the disabled person. The fees and expenses of the

third physician shall be shared equally by the Company or Insurer and the Union.

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11.08 If a dispute shall arise between the Company and an employee with reference to eligibility for benefits or payment of claims under the Welfare Benefit Plan or if a dispute shall arise between the Company and the Union as to whether the Company has provided and continues to provide benefits as hereinbefore described, such dispute may be taken as a grievance under the Grievance Provision of the Collective Labour Agreement then in effect, starting at Step #2. If any such grievance shall be taken to arbitration in accordance with such procedure, the arbitrator ofBoard of Arbitration, in so far as it may be necessary to the determination of such grievance, shall have authority only to interpret and apply the provision of this Plan and of the Collective Labour Agreement. He, or it, shall have no authority to add or subtract from any provision of this Plan or to waive or fail to apply any requirement of eligibility for benefit under the Plan. The decision of the arbitrator or board of arbitration on any grievance properly referred shall be binding upon the Company, the Union and the employee.

11.09 The establishment ofthe Welfare Benefit Plan shall not give any additional right to be retained in the employment of the Company and each employee shall remain subject to discipline, discharge or lay-off to the same extent as if said Plan had not been put into effect.

11.10 Where an employee receives Sickness and Accident Benefits or any employee or dependent receives payment for hospitalization, surgical and/or medical expenses, by reason of bodily injury or sickness in respect of which some third party is under legal liability, the Company or the insurer at the Company's option shall be subrogated to the employee or dependant's right to compensation for the cost of the benefits and/or services provided in respect of such bodily injury or sickness to the extent of the amount paid by the Company, either directly or indirectly or through coverage provided by insurance policy, in respect thereof and the employee by acceptance of the benefits, will undertake that he or the dependent so entitled to compensation shall prosecute such claim against the third party at the expense of and to the extent directed by the Company and pay over to the Company what it is entitled to receive as aforesaid together with any expenses it may have paid or incurred from any monies recovered from such third party and he or the dependent will do all acts and execute all documents necessary to permit the Company to obtain the benefit of this Section.

11.11 The Company shall supply, upon request of the Union, the following information:-

(a) A current list of employees showing sex, birth date, and hiring date. (b) Retirants - names, type of retirement, amount of pension and amount of insurance at

retirement.

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ARTICLE XII TERMINATION OR MODIFICATION

12.01 The Welfare Benefit Plan is subject to such amendments from time to time as may be necessary to meet the requirements of any applicable Federal or Provincial laws, order or regulations and the relevant provisions of the Insurance Act of Ontario shall be deemed to apply except to the extend that such provisions may be waived or are superseded by the express provisions of this Plan.

12.02 The said Plan may be modified or discontinued, after three (3) months notice to the Union but not prior to the effective date of any change in the legislation referred to hereinafter, should the whole or any part of the expenses to the Company be disallowed as a deduction for income tax purposes or should the income tax laws be change to provide for disallowance in whole or in part of payments of this class and kind as income tax deductions. Should modification or discontinuance of the said Plan become necessary for any of these reasons, negotiations will be resumed immediately after such notice IS given.

12.03 If at any time the Federal or Provincial Government passes legislation, which directly or indirectly has the effect of providing or discontinuing benefits similar to one or more of benefits described in the Welfare Benefit Plan, for which the employees· as a class shall be eligible, this Plan shall terminate in respect of that benefit or benefits upon the expiration of thirty (30) days after the proclamation of such statute or upon the date the thirty (30) day period or such longer as may expire after date of proclamation of negotiating any amendments required or desirable to· assure that the aggregate of the statutory benefits and the benefits provided under this Welfare Benefit Plan shall approximate in kind any money value to the benefits provided under this Plan before said statutory enactment.

12.04 The Union agrees that it shall not:

(1) Make any demand this Plan be changed in any respect or terminated or that a new Welfare Benefit Plan be established for the employees or that the Company contribute or pay any greater amount for such benefits for the employees than it is required to pay under the terms of this Plan.

(2) Engage in or continue to engage in or in any manner encourage or sanction any strike or other action which will interfere with work or production at the plants of the Company for the purpose of securing any such change or termination.

(3) And, except during the periods specified in 12.05 and 12.06 next, the Company shall not have any obligation to negotiate or bargain with the Union with respect to any of the matters referred to in this section 12.04.

12.05 Amendments to this Plan may be made in writing by mutual consent of both parties.

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12.06 This Plan shall become effective on the 1st day of July 2011 and shall remain in force and effect until June 30,2015 and shall continue in effect as part of the Collective Labour Agreement as indicated in Section 12.03 of the C.L.A.

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PENSION

PLAN

SPONSORED BY:


AND

UNITED STEELWORKERS On behalf of its LOCAL 838

Policy W0007

PENSION AGREEMENT

PENSION PLAN

The Company agrees to provide the following Pension Plans. The terms and conditions of the Pension Plans are set out in the Woodbridge Foam Corporation Pension Plan for Woodbridge Plant Hourly Employees, Registration No. 0594721.

The Pension Plans, including any pension or benefits provided in the Plans, shall be incorporated into this Collective Agreement and subject to the grievance procedure. The Pension Plans may only be amended with the mutual consent of the Union and the Company. In the event of any differences between this Collective Agreement and the formal plan texts, the formal plan texts will govern.

PENSION BENEFITS

For employees hired before June 30, 2011

Text of the Plan: The following description of the Plan is a synopsis and not to be taken as the text. If the employee wishes to examine the official Plan text, he may do so by making a request with the Company.

Credited Service: Means the sum of the Members Credited Past Service and Credited Future Service, where:

a. Credited Past Service means the number of years (including fractions of years to the nearest one-thousandth thereof) of service prior to April 1, 2000 credited to the Member under the Pension Plan for Union Employees of PFB Corporation, and

b. Credited Future service means the number of years including months as fractions thereof} of Credited Service on and after April 1, 2000, with a Participating Employer while employed at the Kitchener plant. For greater certainty, Credited Future Service shall be calculated from the first day of the month coincident with or following the Member's date of hire at the Kitchener plant, or from April 1, 2000, whichever is later.

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c. Credited Service shall include any period of up to one ( 1) year while on leave of absence requested by the local Union or the national Union.

Normal Retirement Date: The normal retirement date of a member is the first day of the month coincident with or next following the member's 65th birthday. Retirement may be deferred beyond the normal retirement date, but in any event not later than the day preceding the end of the calendar year during which the member attains age 71. In the event an employee works beyond the normal retirement date, he shall be considered an active member for the purposes of the Plan and shall continue to accumulate credited service.

Deferred Vested on Separation: Full pension rights vest in the employee after two (2) full years of continuous service. An employee terminating with vested rights is entitled to a deferred vested pension payable at age 65, or a reduced pension commencing as early as age 55. A terminated employee with a deferred vested pension may also elect to transfer the commuted value of his deferred pension to his Locked-In-Retirement Account (LIRA).

Disability Retirement Pension: A Member who becomes Totally and Permanently Disabled while accumulating seniority with the Company and who has ten (1 0) or more years of seniority at the time of the occurrence may retire on Disability Retirement prior to the Members Normal Retirement Date. The Disability Retirement Pension is to be calculated in the same manner as for Normal Retirement.

Normal Pension and Credited Service: Every member of the Plan who retires on or after his normal retirement date is entitled to a monthly lifetime pension, depending on his credited service. The applicable monthly lifetime pension amounts are shown below:

Normal Pension In Dollars($) Per Month Per Year Of Credited Service

If retirement occurs after:

(i) (ii) (iii)

For credited service to June 30, 2013 For credited service accrued after June 30, 2013 For credited service accrued after June 30, 2014

Lifetime $27

$28 $29

The increase in the benefit rate does not apply to credited service accrued prior to the effective date of the change(s). i.e. On a go-forward basis only.

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Early Retirement: An employee may retire from service as of the first day of any month between age 55 and 65, provided the member has attained 60 years of age and a minimum of 1 0 years of seniority or has attained age 55 whose combined age and period of seniority total eighty-five (85). In this event, the member's accrued normal retirement pension will be reduced by 4/10 of 1% for each month that the commencement date precedes the normal retirement date.

Months by which Retirement Age 60 with 10 yrs seniority, or Age Precedes Normal Retirement Date 55 with age plus seniority totaling 85

or more. 0 100% 12 95.2% 24 90.4% 36 85.6% 48 80.8% 60 76.0% 72 71.2% 84 66.4% 96 61.6% 108 56.8% 120 52.0%

For employees hired July 1, 2011 or later

Text of the Plan- The following description of the Plan is a synopsis and not to be taken as the text. If the employee wishes to examine the official Plan text, he may do so by making a request with the Company.

Earnings: Means the Members regular straight time earnings including statutory holiday pay and vacation pay.

Member Contributions: Members shall contribute an amount between 1% and 5% of their Earnings as defined above.

Company Contributions: The Company shall match 50% of the Members Contribution up to a maximum of 1% of the Members Earnings.

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COLLECTIVE LABOUR AGREEMENT BETWEEN WOODBRIDGE …

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