ARTICLE 1-SENIORITY AND LAYOFFS

SECTION 2 - UNION MEMBERSHIP

a)       All present employees who are members of the Local Union on the effective date of this subsection or on the date of execution of this Agreement, whichever is the later, shall remain members of the Local Union in good standing as a condition of employ­ment. All present employees who are not members of the Local Union and all employees who are hired hereafter shall become and remain members in good standing of the Local Union as a condition of employment on and after the thirty-first (3 1st) day following the effective date of this subsection or the date of this Agreement whichever is the later. An employee who has failed to acquire or thereafter maintain, membership in the Union as herein provided, shall be terminated seventy-two (72) hours after his Employer has received written notice from an author­ized representative of the Local Union, certifying that member­ship has been, and is continuing to be, offered to such employ­ee on the same basis as all other members and, further, that the employee has had notice and opportunity to make all dues or initiation fee payments. This provision shall be made and become effective as of such time as it be made and become effective under the provisions of the National Labor Relations Act but not retroactively.

b)       When the Employer needs additional employees, the Employer shall give the Local Union equal opportunity with all other sources to provide suitable applicants, but the Employer shall not hebe required to hire those referred by the Local Union. Business agents and/or the Steward shall be permitted to attend new employee orientations. The Company, on a monthly basis, will send any change of classification from part time to full time, new hires, transfers, and terminated employees to the affected local union.

c)       No Provision of this Article shall apply in any state to the extent that it may be prohibited by State law.  If under applicable State law additional requirements must be met before any such provi­sions may become effective, such additional requirements shall be first met. If any agency shop clause is permissible in any state where the provisions of this Article relating to the Union Shop cannot apply, the following Agency Clause shall prevail:

1)       Membership in the Local Union is not compulsory.  Employees have the right to join, not join, maintain, or drop their membership in the Local Union, as they see fit. Neither party shall exert any pressure on, nor discriminate against, an employee as regards such matters.

2)       Membership in the Local Union is separate, apart and distinct from the assumption by one of his equal obligation to the extent that he receives equal benefits.  The Local Union is required under this Agreement to represent all of the employees in the bargaining unit fairly and equally without regard to whether or not an employee is a member of the Local Union.  The terms of this Agreement have been made for all employees in the bargaining unit and not only for members in the Local Union, and the Agreement has been executed by the Employer after it has satisfied itself that the Local Union is the choice of a majority of the employees in the bargaining unit.  Accordingly, it is fair that each employee in the bargaining unit pay his own way and assumes his fair share of the obligation along with the grant of equal benefits contained in this Agreement.

3)       In accordance with the policy set forth under subparagraphs (1) and (2) of this Section, all employees shall, as a condi­tion of continued employment, pay to the Local Union the employee’s exclusive collective bargaining representative, an amount of money equal to that paid by other employees in the bargaining unit who are members of the Local Union, which shall be limited to an amount of money equal to the Local Union’s regular and usual dues. For the present employees, such payments shall commence thirty-one (31) days following the effective date or on the date of execution of this Agreement, whichever is the later, and for new employees, the payment shall start thirty-one (31) days fol­lowing the date of employment.

d)       If any provision of this Article is invalid under the law of any state wherein this Agreement is executed, such provision shall be mod­ified to comply with the requirements of state law or shall be rene­gotiated for the purpose of adequate replacement. If such negotia­tions shall not result in mutual satisfactory agreement, either party shall be permitted all legal or economic recourse.

e)       In those instances where Subsection (b) hereof may not be validly applied, the Employer agrees to recommend to all employees that they become members of the Local Union and maintain such memberships during the life of this Agreement, to refer new employees to the Local Union representative, and to recommend to delinquent members that they pay their dues since they are receiving the benefits of this Agreement.

To the extent such amendments may become permissible under applicable federal and state law during the life of this Agreement, as a result of legislative, administrative, or judicial determination, all of the provisions of this Article shall be automatically amended to embody the greater Union Security provisions.

SECTION 3 - DUES CHECKOFF

The Employer agrees to deduct from the pay of all employees covered by this Agreement the dues, initiation fees and/or uniform assessments of the Local Union having jurisdiction over such employees and agrees to remit to said Local Union all such deductions prior to the end of the month for which the deduction is made. Where laws require written authorization by the employee, the same is to be furnished in the form required. The Local Union shall certify to the Employer in writing each month a list of its members working for the Employer who have furnished to the Employer the required authorization, together with an itemized statement of dues, initiation fees (full or installments) or uniform assessments owed and to be deducted for such month from the pay of such member, and the Employer shall deduct such amount from the first (1st) paycheck following receipts of statement of certification of the member and remit to the Local Union in one lump sum. The Employer shall add to the list submitted by the Local Union, the names of all regular new employees hired since the last list was submitted and delete the names of employees who are no longer employed.

Where an employee who is on check off is not on the payroll during the week in which time the deduction is to be made, or has no earnings or insufficient earnings during that week, or is on leave of absence, the employee must make arrangements with the Local Union to pay such dues in advance.

The Employer will recognize authorization for deductions from wages, if in compliance with state law, to be transmitted to the Local Union.

No such authorization shall be recognized if in violation of federal or state law. No deduction shall be made which is prohibited by applicable law. In the event that an Employer has been determined to be in violation of this Article by the decision of an appropriate grievance committee and if such Employer subsequently is in violation thereof after receipt of seventy-two (72) hour’s written notice of specific delinquencies, the Local Union may strike to enforce this Article. However, such strike shall be terminated upon the delivery thereof. Errors or inadvertent omissions relating to the individual employees shall not constitute a violation.

Check off shall be on a weekly,monthly, or quarterly basis at the option of the Union.

Check off shall be optional with each Local Union.

ARTICLE 3 – SENIORITY AND LAYOFFS                                   

SECTION 3 – NOTICE OF LAYOFF

All employees are to be given written notice or notice posted on abulletin board of impending layoffs not later than the beginning of the last shift worked prior to the commencement of such layoffs. It is the responsibility of the employer to notify by phone, any affected employees that are not working the day of the posting. All phone calls will be verified by a shop steward of the Local Union and a log be maintained. It is the responsibility of the employee to insure his/her contact information is accurate. The Union will be provided a copy of the layoff notices by fax or by emailon the same day they are written and/or posted. The above notice of layoff shall not apply during any emergency beyond the Employer’s control, provided notification is given to the employee at least one (1) hour prior to the start of the employee’s shift.

SECTION 6 - CLOSED OR PARTIALLY CLOSED CENTERS OR HUBS

Whenever a center or hub is closed or partially closed, the employ­ees affected will be entitled to follow the work and their seniority will be dovetailed in the new location. In the event the employees affected elect not to follow the work, it shall be offered to the other employees at the center or hub in seniority order. In the event no employee elected to follow the work and it becomes necessary to reduce the working force, the provisions of Article 3, Section 2- Application of Seniority, shall apply. In the event of closing or par­tially closing any hub or operating center, the Employer shall noti­fy the Union of its intent and post the amount and type of positions affected and the date of such contemplated action at least thirty (30) days in advance.

(a) Transfers: In cases of proven need it is agreed by the Employer and the Local Union involved, that an employee shall be permit­ted to transfer from one (1) company facility to another, provid­ed said employee has a letterTransfer Request Form on file stating his/her reasons and desired facility into which they wish to transfer. Any such trans­fer shall take place only within the area covered by the Northern California Supplemental Agreement and only prior to hiring from the outside. Any such transfers shall be limited to four (4) people, two (2) full-time and two (2) part-time, per year per des­tination facility. Such employees shall retain company seniority for the purpose of fringe benefits but shall be placed at the bot­tom of the appropriate seniority list. It is the employee’s respon­sibility to verify all benefits at the requested transfer location. Benefits may vary by state and location. The medical, dental, vision, retiree medical coverage and pension rates may be less or non-existent in the location you desire. Contact the Local Union having jurisdiction over the area you wish to transfer to for all information pertaining to the area benefits.

SECTION 12 - PACKAGE CAR VACANCIES

(a)  A package car delivery area permanently vacated or a newly established delivery area, excluding those extra delivery areas established during the peak season, shall be posted and bid in accordance with the posting and bidding procedures set forth in Article 31 Section 2.

When a package route becomes vacant, the company will post the vacant route for bid within five (5) business days and the route will be awarded within five (5) business days upon completion of the bidding process.

(b) NO CHANGE

(c) NO CHANGE

(d) Training Areas: In order to provide for more favorable training for new employees, the Company shall designate certain areas in each center to be used as training areas. Once designated, these areas shall not be changed until discussed with the Local involved. These areas shall be subject to the job bidding procedure. Employees who presently hold bid areas will not have their bid changed as a result of this provision.

Employees who bid training areas will be removed from those areas when it becomes necessary to train on these areas.

01 - 15                     PACKAGE CAR DRIVERS - 1 TRAINING AREA

16 - 30                     PACKAGE CAR DRIVERS - 2 TRAINING AREAS

31-45                       PACKAGE CAR DRIVERS - 3 TRAINING AREAS

46-60                       PACKAGE CAR DRIVERS - 4 TRAINING AREAS

61 or More            PACKAGE CAR DRIVERS – 5 TRAINING AREAS

It is the intention of the parties that part-time employees who accept full-time package car positions will remain on a given training route for the duration of the training period.

ARTICLE 6 - PROTECTION OF RIGHTS                        

SECTION 1 - PICKET LINES

It shall not be a violation of this Agreement and it shall not be cause for discharge or disciplinary action in the event an employee refuses to enter upon any property involved in a primary labor dispute, or refuses to go through or work behind any primary picket line, including the primary picket line of unions party to the Agreement, and including primary picket lines at the Employer’s place of business, provided picket line is sanctioned by Joint Council No. 7 or Joint Council No. 38.

ARTICLE 7 – GRIEVANCE PROCEDURE                      

SECTION 2 – TEAMSTERS/UNITED PARCEL SERVICE LABOR MANAGEMENT COMMITTEE

 (a) There shall be a Teamsters/United Parcel Service Labor-Management Committee composed of three (3) representatives of the Union and there shall be three (3) representatives of the Employer. None of these representatives shall be involved in the dispute. The Committee shall formulate such rules of procedure as it may deem advisable and such rules of procedure will be made known to all parties under this Agreement. Regular meetings of the Committee shall be held on the agreed upon day of each month to pass upon matters referred to it. If no cases are on the agenda, meetings may be canceled. If grievances develop which require more immediate action, the Committee may meet on any other date which may be agreed upon. The Committee shall be obligated to remain in session until the agenda is completed. If the Employer fails to appear at the designated time and place of the hearing, such failure shall result in default decision against the Employer for cases which are on the agenda for that date. Default decisions against the Union involved shall likewise apply if a representative of the Union involved fails to appear. A majority decision of the Committee shall be final and binding upon the parties. Any discharge or suspension case deadlocked by this Committee may be submitted to an impartial arbitrator by either the Employer or the Union. All other deadlocked cases shall be referred to a Western Region-UPS Committee as outlined in Section 2(b).

(b) The Western Region-UPS Committee shall be composed of three (3) representatives of the Union one (1) of whom shall be appointed by the Western Region Director, one (1) of whom shall be the negotiating Committee Chairman for the appropriate contract grieved, and one (1) shall be appointed by the Union Chairman, and three (3) representatives of the Employer, one (1) of whom shall be the Regional Labor Relations Manager, or his designee, and the other two (2) representatives designated by the Employer. Issues resolved at this level shall be final and binding. Any case deadlocked by the Committee will be referred to an International Teamster-UPS Committee composed of the President of the International Brotherhood of Teamsters and the Vice President of Labor Relations of UPS, or their designees. Issues resolved at this level shall be final and binding. Any case deadlocked by this Committee may be submitted to arbitration by either the Employer or the Union.

SECTION 7 – GRIEVANCE SETTLEMENTS 

All monetary grievance decisions or settlements shall be submitted by separate check payable to the grievant or grievants and a copy of same sent to the Local Union for the records. Such settlements shall be paid within five (5) days of the settlement. If the Employer fails to make the payment available on the employee’s fifth (5^th) scheduled workday, the employee will be paid an additional amount equal to one-half (1/2) of his/her daily guarantee at his/her regular hourly rate for every full pay period in which the shortage is not paid after the fifth (5th) scheduled work day, until corrected.

ARTICLE 8 - LEAVE OF ABSENCE

SECTION 1 - APPROVED LEAVE

Any employee desiring a leave of absence shall secure written permission from both the Local Union and the Employer. Except as otherwise provided in this Article, the maximum leave of absence shall be for ninety (90) days and may be extended for like periods. Written permission for such extended periods shall be secured from both the Union and the Employer. The first (1st) approved leave of absence plus approved extended leaves of absence shall not exceed a maximum time period of twelve (12) months. During an approved leave of absence, the employee shall not engage in gainful employment in the same industry. Leaves of ten (10) days or less do not require Union approval. Disputes concerning request for leaves of absence are subject to the grievance procedure.

Any employee who is unable to work because of sickness or injury shall be deemed to be on leave of absence. Such leave will not exceed two (2)three (3)years unless extended by written consent of the Union and the Employer. In the absence of such consent, a request for extension of such leave shall be subject to dispute procedure, but in no event shall such leave of absence exceed three (3) years, except with the written consent of the Union and the Employer.

A leave of absence, as provided, shall not result in the loss of seniority rights. An employee shall be granted unpaid time off in emergency situations involving illness or accident of a member of the employee’s immediate family up to fifteen (15) days.

SECTION 2 - EFFECT ON VACATION/HOLIDAYS

Time off in excess of fourteen (14) days due to an approved leave of absence other than for sickness or injury shall not be accumulative for vacation purposes.

All regular employees off the job due to illness or injury shall accumulate vacation rights,andholiday pay and sick leave beginning with the date of illness or injury and continuing to the end of the month and two (2) months thereafter.

SECTION 3 - HEALTH & WELFARE AND PENSION WHEN ON LEAVE

The employee may, if the employee desires to continue coverage, make suitable arrangements for continuance of health and welfare payments consistent with the health and welfare policy before the leave is approved by both the Union and the Employer. For employ­ees on leave due to a non-job connected illness or injury, health and welfare payments shall be borne by the Employer up to a maximum period of six (6) months and pension payments shall be borne by the Employer for a period of six (6) months. For employees on leave due to an industrial injury, health & welfare and pension payments shall be borne by the Employer for a period of one (1) year.

It is agreed by the parties that Health and Welfare and Pension payments as provided for in this article are not predicated on “paid and/or documented” illness. The Company reserves the right to send a seventy-two (72) hour notice in case of lack of communication from the employee. Failure of the employee to respond to said notice may subject the employee to a loss of benefits under this article.

ARTICLE 21 - JOB CLASSIFICATION AND RATE OF PAY                     

SECTION - 1

Job classifications and straight time hourly rates of pay are as follows:

8/1/08                     2/1/09                     8/1/09                     2/1/10                     8/1/10

Package Driver                                     28.82                       29.17                       29.545                     29.92                       30.295

Delivery Center Positioner                 28.74                       29.09                       29.465                     29.84                       30.215

Automotive Service                             28.29                       28.64                       29.015                     29.39                       29.765

Center Clerks                                        27.81                       28.16                       28.535                     28.91                       29.285

Forklift Drivers                                     28.82                       29.17                       29.545                     29.92                       30.295

Air Shuttle Drivers                               28.82                       29.17                       29.545                     29.92                       30.295

Tractor Drivers and Hostlers:

(Including Casuals)

Single                                                     28.99                       29.34                       29.715                     30.09                       30.465

Double Headers                                   29.17                       29.52                       29.895                     30.27                       30.645

2-40’s or Triples                                   29.82                       30.17                       30.545                     30.92                       31.295

Article 22.3 Positions (inside/inside)

(inside/air driving see Article 40 of the National Master Agreement.

2/1/11                     8/1/11                     2/1/12                     8/1/12                     2/1/13

Package Driver                                     30.67                       31.095                     31.52                       31.995                     32.47

Delivery Center Positioner                 30.59                       31.015                     31.44                       31.915                     32.39

Automotive Service                             30.14                       30.565                     30.99                       31.465                     31.94

Center Clerks                                        29.66                       30.085                     30.51                       30.985                     31.46

Forklift Drivers                                     30.67                       31.095                     31.52                       31.995                     32.47

Air Shuttle Drivers                               30.67                       31.095                     31.52                       31.995                     32.47

Tractor Drivers and Hostlers:

(Including Casuals)

Single                                                     30.84                       31.265                     31.69                       32.165                     32.64

Double Headers                                   31.02                       31.445                     31.87                       32.345                     32.82

2-40’s or Triples                                   31.67                       32.095                     32.52                       32.995                     33.47

Article 22.3 Positions (inside/inside)

(inside/air driving see Article 40 of the National Master Agreement.

(All above rates reflect a 12¢ per hour

COLA increase given in 20052011)

Full-time Employees Hired During Seasonal Period (Oct. 1 through Dec. 31)(November 1 through January 15) 75% of start rate

Any employee who is assigned to deliver packages other than from a package car (i.e. bicycles, golf carts, etc.),including delivering out of another location, will be paid at their appropriate package rate of pay.

2007                        2008                        2009                        2010                        2011                        2012

Inside Peak

Season Helper      $14.20                     $14.20                     $14.45                     $14.70                     $14.95                     $15.20

Inside Peak Season Helper rate of pay will be $15.20 and will increase to $15.50 in 2015 and $15.80 in 2018.

Off the Street peak

Season Helper      $8.25                       $8.25                       $8.25                       $8.25                       $8.25                       $8.25

Off the Street Peak Season Helper rate of pay will be $8.25 per/hour.

Class “C” drivers pulling pup trailers or scat trailers with a package car shall be paid fifteen ($.15)thirty ($.30) cents per hour in addition to theirnormal rate of pay for the entire day.

Vans (Bobtails): All drivers who operate large vans (bobtails) will have an additional ten ($.10) cents per hour added to their existing wage rate when working in this classification.

All full-time employees who have attained seniority as of August 1, 20082013shall receive the following general wageincreases:

Effective Date                                                       Amount

August 1, 2008                                                     $ .35UPDATE PER NATIONAL AGREEMENT

February 1, 2009                                                   $ .35

August 1, 2009                                                     $ .375

February 1, 2010                                                   $ .375

August 1, 2010                                                     $ .375

February 1, 2011                                                   $ .375

August 1, 2011                                                     $ .425

February 1, 2012                                                   $ .425

August 1, 2012                                                     $ .475

February 1, 2013                                                   $ .475

Full-time employees still in progression on the effective date of this Agreement shall receive the above contractual increases and will be paid no less than what they are entitled to in accordance with Article 41, Section 2 of the 2008-2013 Master Agreement.

ARTICLE 22 - HOURS OF WORK                                   

SECTION – 3 - OVERTIME

The overtime rate shall be one and one half (1 1/2) times the regularstraight time rate. However, the rate of double (2) time shall bepaid for all work performed on Sundays. The overtime rate shall be paid for all hours worked:

(a) Before the employee’s regular starting time or after the employee’sregular quitting time;

(b) In excess of eight (8) hours in any workday;

(c) In excess of forty (40) straight time hours in any work week;

(d) For all hours worked on a sixth (6th) day of work during thework week;

(e) For work on Saturdays for those employees on a Mondaythrough Friday workweek.

 (f) Weekend work, holidays, special sorts, article 22.3 employees are eligible to work based on building seniority and qualifications with the eight (8) hour shift guarantee waived if there is not eight (8) hours of work. Daily extra work, double shifting will be subject to building seniority and qualifications.

The Employer agrees that extra overtime in a classification (over-time that is not part of the employee’s daily assignment) shall beoffered to the senior employee in that classification on the senioritylist who is available for the assignment. This shall be confined to theoriginal assignment and one (1) further move by seniority.

The Company shall continue its efforts to reduce overtime whererequested. If the review does not indicate that progress is beingmade in the reduction of assigned hours of work, the following language shall apply. An employee shall have the right to file a grievanceif the Company has continually caused him to work over nineand one half (9 1/2) hours per day. The Company agrees to abide bythe language approved at the National table. In addition, theCompany will continue its panel practice regarding excessive overtime when deemed applicable by either mutual agreement of theLabor-Management parties involved or by the grievance committee.This procedure shall not apply in the peak season of November and DecemberNovember 1st through January 15^th.The company recognizes the desirability to minimize the number of employees working during holiday periods.

SECTION 5- LUNCH PERIOD

The lunch period shall not be less than one half (1/2) hour or morethan one (1) hour in duration. The lunch period shall commence notless than four (4) hours after the employee starts work, and shall be completed no later than six (6) hours after the commencement of theemployee’s work. If the employee is directed to take a one half (1/2)hour lunch, the remaining one half (1/2) hour will be paid at theovertime rate.

ARTICLE 23 - SICK LEAVE                                                              

SECTION 1

All full-time regular employees shall receive nine (9) days of sick leave with pay each year commencing with the first (1^st)day of ill­ness. All full-time regular employees shall be eligible for sick leave on a pro rate basis after four (4) months of service with the Employer retroactive to the date of employment.

Employees who are on leave of absence due to injury or illness will have their nine (9) days of sick pay populated upon return from such leave, and after they have worked a minimum of five (5) days. 

Unused sick leave shall be granted once each year to each full-time regular employee, in cash at the current daily rate, in an amount not to exceed nine (9) days, or by mutual agreement between the Employer and the employee as paid time off to be taken at a time mutually agreed upon. The cash payoff shall occur either on July 1st or December 15th of each year at the option of the Local Union for all members of that Local Union.

On resignation, discharge or death, an employee or his estate shall collect cash payment for all unused accumulated sick leave.

ARTICLE 25 - VACATIONS                                                                             

SECTION 2

All accrued vacation pay for the amount of vacation time to be taken is to be paid to the employee one (1) day before the employee’s last shift worked by separate check. No employee shall be shorted his/her vacation pay for all vacations properly selected during the annual March selection. If there is a dispute regarding vacation pay, the Company will issue the disputed pay until such time that theCompany provides proof of all other vacation payments for that cur­rent year. If the records prove that the employee has been overpaid the vacation pay, the Company may deduct this overpayment by deducting an equal amount of vacation from next year’s accrual.

It is agreed that for each week of paid vacation, the employee shall receive an additional five (5) hours pay at the straight time hourly rate.

The employer may not go back more than the previous vacation scheduling period from the day the error is discovered to correct any over payments of vacation.

SECTION 3

Vacation periods are not to be arbitrarily assigned to employees dur­ing the months of NovemberJanuarythrough March unless mutually agreed upon. Based on seniority, vacation periods will be assigned at the employee’s choice during the months of April through OctoberThanksgiving week, and during the week between Christmas and New Year’s Day.

It is the understanding of the parties that fromJanuary 1^stthe third full week of January through the first three weeks of November, employees shall be allowed to select vacation at 100% of the normal vacation selection ratio. During theThanksgivingweekand the week after Christmas through the second full week of January, that number shall be reduced to 75%.

The employees who select Thanksgiving week as a vacation week shall normally have the prior Thursday and Friday off. When the staffing permits, the Company shall allow employees to take the Monday and Tuesday off in the week immediately after the holiday week. These days, (if any) will be offered by seniority.

The total amount of accrued vacation weeks for the period of April 1st to October 31^stThanksgiving week will be subtracted by employees taking vaca­tions from January 1^st to March 31^st and that figure divided by thir­ty (30)thirty-five (35)weeks will be the number of employees allowed to take vacations in the same week for the balance of the vacation period. Any fraction of a whole number shall be rounded up to the next highest number.

Whenever possible and when desired by employees, they may stag­ger or spread their vacation period throughout the year. However, in no case shall any portion of vacation be less than one (1) week.

SECTION 4

It is agreed by both parties to this Agreement that employees must take their accrued vacation each year and that no arrangement to work for additional compensation during their earned vacation will be allowed except where mutually agreed upon by the Employer and the Union.

Employees on approved leave will be contacted by management in accordance with vacation selection process.

By April 15^th of each year, the Manager and the Business Agent or their designees will meet to review the vacation selection calendar.  All unscheduled vacation at that time will be assigned by the manager at that meeting.

SECTION – 7

The vacation list shall be posted not later than March 1st of each year.For choice of vacations, once a vacation selection list is posted, one(1) week is allowed for the first twenty-five percent (25%) on the seniority list to select, then one (1) week will be allowed for the secondtwenty-five percent (25%) to select then one (1) week shall be allowedfor the third twenty-five percent (25%) to select, then one (1) weekshall be allowed for the fourth and final twenty-five percent (25%) on the seniority list to select. Those not signing up in the correct week shall lose their choice of vacation and must take what is left.Vacation selection shall occur during March. Once completed the vacation schedule shall be posted on the bulletinboard. The Union will be sent a copy of the vacation selection list and a copy of each employees completed vacation selection form when requested within five (5) days.

ARTICLE 29 - MISCELLANEOUS PROVISIONS                          

SECTION 1 - PAY PERIODS

The members of the Union shall be paid weekly for their labor. Not more than one (1) week’s wages shall be withheld. Each employee shall be provided with a statement of total hours and gross earnings and an itemized statement of all deductions made for any purpose. A regular weekly payday shall be established, provided that if such payday falls on a paid holiday, the preceding workday shall be pay­day.

Any error on a payroll check will be paid by the Employer no later than the end of the next regular workday following notification of the error. Check stubs will itemize total hours, in addition to all deductions.

Grievance payments will include grievance number, hours, and rate of pay.

Upon discharge or quitting, the Employer shall pay all money due to the employee on the payday in the week following such quitting.

In the event State law would require earlier payment, the Company agrees to comply.

Seasonal employees hired during October, November and December shall be paid all monies due to the employee on the pay­day in the week following such quitting and/or termination.

ARTICLE 31 - FEEDER DRIVERS                                    

SECTION 5 - CASUAL FEEDER DRIVERS

Casual feeder drivers may be utilized in the months ofNovember 1^st thru January 15thNovember and December. All feeder drivers will be offered the right to work prior to any casuals. No casual feeder drivers will be utilized outside oftheNovember 1^st thru January 15^th of each yearNovember and December period except when there are conditionsbeyond the Employers control such as fire, flood, or other Actsof God.

Extra peak season feeder schedules that are established prior to the first full week of December shall be first offered, on a senioritybasis, to the seniority feeder drivers and then to the backup feederdrivers prior to filling such extra schedules with peak season hires.Seniority drivers will not be allowed to exercise seniority, to fillextra peak season schedules more than one time during each peak season and seniority drivers\ filling such extra schedules shall returnto his/her bid at the time such extra schedule is abolished.

It is further agreed that the intent of this clause is for casual feederdrivers to supplement the work force when no qualified regular seniorityemployee is available to perform the work.

It is agreed that ten percent (10%) of the seniority feeder drivers shall be allowed to take vacation between December 25th and January 1st provided there are casual feeder drivers to cover such vacation.

SECTION 6 - FEEDER WORK RULES

1.        United Parcel Service shall maintain an adequate number of utility drivers in each center so that qualified feeder drivers in package will be available to relieve on feeder jobs for vacations, absenteeism, etc.

2.        United Parcel Service shall qualify and maintain a number of qualified feeder drivers in the package operations equal to 33 1/3% of the number of full-time regular feeder jobs as a mini­mum.

3.        Qualified feeder drivers who are returned to package because of lack of work in feeders shall be returned to the original center where hired, within the Local Union’s jurisdiction to maintain productivity.

4.    The procedure to become a qualified feeder driver shall be as follows:

When additional feeder drivers are needed, United Parcel Service shall post a specific number of available jobs for all package drivers (and other full-time employees where applica­ble). Those who are interested in becoming feeder drivers shall sign up for training. The number of employees to be qualified shall be taken from said list in seniority order for training. Once this bid is completed and additional feeder drivers are needed, the process will start over with a new bid. Once notified, the employee will have fifteen (15) calendar days to get the required permit.Training is to be com­pleted within ninety (90)sixty (60) calendar days from the date the employee provides the required documentation.end of bid. Those qual­ifying after training shall be placed at the bottom of the list of qualified feeder drivers. However, they shall be integrated in seniority order on the list of qualified feeder drivers at the time of the annual bid.

5. Once a feeder driver is qualified he/she will be responsible for remaining qualified unless mutually agreed upon between the Employer and the Local Union. In the absence of mutual agree­ment on removal from the feeder list such request after being denied shall be subject to the grievance procedure of the agree­ment.

6. Whenever a job is eliminated the driver whose job is eliminated shall have the right to bump anyone below him in seniority. That driver, in turn shall have the same right. This bumping process shall continue until all bumping by seniority is completed. If any job is eliminated for thirty (30) days the above procedures shall apply. However, if the job is recreated during the period the driver affected shall be returned to the original job.

7.   In the event that single work becomes doubles work for that day and the company has prior knowledge, it shall be offered to the highest affected senior driver at that particular start time.

8. Qualified feeder drivers who do not bid full-time feeder jobs or because of seniority are unable to secure a full-time job in feed­er shall be assigned in seniority order on the relief list. All relief positions shall be bid by the relief feeder drivers off the relief feeder list in seniority order. On weekly bids, all relief drivers shall be required to bid feeder jobs if there is a like number of feeder jobs available. On weeks where there are surplus relief feeder drivers, seniority will determine which drivers can refuse to bid feeder jobs and be assigned to package driving for that week. While in package, if unplanned feeder jobs develop, they will be filled by seniority. To select a preferred available job each relief driver shall contact the feeder department no later than 12:00 midnight on Tuesday prior to the Monday for which the job becomes effective.

If unplanned feeder jobs develop for one (1) week prior to the posting of the starting schedule, these jobs will be filled by sen­iority from the remainder of the relief feeder list.

Senior relief feeder drivers with early Monday a.m. start times who are required to work a late p.m. shift on the last working day of the week, will be given consideration to have a junior relief feeder driver cover that late p.m. shift providing they are available.

9. Effective with the signing of this agreement all former letters of
    agreement conflicting with these rules shall be null and void.

ARTICLE 32 - UTILITY DRIVERS

It is agreed that package operations shall hire utility drivers.

Regular part-time employees (in order of location seniority) who desire to be hired as utility drivers shall so inform the center man­ager. Those part-time employees who successfully meet the qualifi­cation standards for UPS drivers will be considered for the utility driving job.

These utility drivers may be used to cover absentees, overflow work, etc.

Utility drivers, who work in centers located in hub buildings where hub work is available, will be guaranteed eight (8) hours pay at the driver rates. In other locations where hub work is not available, the eight (8) hour guarantee will not apply. Starting time restriction shall not apply to utility drivers.

The company shall post a bid for utility drivers in the first week of March each year.  An employee who desires to be added to the current utility list, and who has more seniority than the junior employee on the current list shall place their name on the bid.  Employees who successfully meet the qualification standards for UPS drivers and complete the orientation training will be added to the list.  The training shall commence within ninety (90) days.

Progression scale for utility drivers (Refer to Article 21, Section 2).

ARTICLE 33 - SUPERVISORS WORKING

The Employer agrees that the function of supervisors is the super­vision of employees and not the performance of the work of the employees they supervise. The Union agrees that the Employer must train employees and must prevent service failures.

Accordingly, the parties agree that supervisors will not perform the work of the employees they supervise except during training, demonstration, and safety education; and supervisors will not per­form Union member’s work until all reasonable efforts have been exhausted to have the work covered by Union employees of United Parcel Service.

It is the responsibility of the employer to have a sufficient number of employees on roll to cover the work, in addition to a sufficient number of utility drivers on roll.  All violations will be paid at the double time rate of pay to the affected employee or the bounty system within five (5) days of settlement.

Local practice as it relates to payment under this Article and under Article 3, Section 7 of the National Master United Parcel Service Agreement shall prevail.

Addendum No. 2 – Job Descriptions

JOB DESCRIPTIONS

Accounts payable Clerk

·   Responsible for processing payments of district’s bills currently paid at this site including the coding and verification of coding of invoices to ensure proper payment and expense distribution, inclusive of acknowledgement of receipt of goods/services are received in good condition

·   Sets up accruals monthly for security invoices and light and power invoices

·   Researches and resolves issues with vendors on unpaid invoices

·   Maintains files and records on invoices

·   Must utilize sales and tax guidelines

·   Must utilize accrual accounting methods

·   Performs other duties as needed

Billing Inquiry Clerk

·   Assists North California District customers with their billing inquiries

·   Sets up and processes billing credit adjustments

·   When requested, provides copies of invoices to customers

·   Performs other duties as needed

COD Associate

·   Research and setup payments based on customer inquiries regard­ing COD remittances (tracers and concerns)

·   Deposit checks and initiate collection efforts as needed on COD’s handled incorrectly

·   Initiate/process indemnified check images when requested

·   Initiate or process stop payments of claim checks not received or stale-dated

·   Research and respond to phone inquiries/concerns

·   Send out correspondence and/or collection letters to customers regarding COD’s

·   Performs other duties as needed

General Ledger Clerk

·   Post and balance general ledger reconciliations

·   Analyze, verify and follow up on open balance detail until reso­lution

·   Work with other entities to resolve un-reconciled items

·   Analyze and reconcile bank statements

·   Prepare office cash deposits for cashbook as needed

·   Prepare various district tax returns

·   Prepare and remit written correspondence

·   Process stop payments using the banking on line computer system

·   Prepare journal entries for monthly accounting close

·   Must utilize advanced accounting, tax and accrual methods

·   Maintain files and records in retention areas

·   Prepare district year-end tax reporting

·   Must utilize capitalization and accrual accounting principles

·   Perform other duties as needed.

Payroll Clerk

·   Employee must have an ability to work with payroll data and
maintain confidentiality while working in a team environment

·   Employee must possess excellent communication skills, both ver­bal and written

·   Employee must have a strong math background, computer skills, 10 key skills and be able to interpret and apply Union contract rules

·   Primary job responsibilities will be paying district payroll, audit­ing for accurate payroll details, auditing various payroll reports, including health and welfare pay, sick and vacation pay entitle­ments

·   Processing payroll adjustments, separations, assignment changes and wage levy assignments

·   Performs additional duties as directed

·   Position requires working overtime as necessary.

·   Minimum typing requirement of 35 wpm. 

Human Resource Clerk

·   Maintains and controls HRIS

·   Prepares safety reports and records

·   Enters all appropriate information into electronic records system as necessary

·   Performs other clerical duties as needed.

Data Key Entry Operator

·   Keys enters data into computer.

·   Monitors activity on CRS.

·   Send, process and print various jobs.

·   Monitor and process check printing operation.

·   Performs other duties as needed.

Automotive Clerk

·   Handles all telephone inquiries

·   Prepare, sort, post, record, maintain and file all appropriate auto­motive reports

·   Compile, distribute and control Preventive Maintenance Inspection data

·   Performs related duties as needed.

Data Processing Machine Operator

·   Assigns, directs and checks the work of a group of data entry operators.

·   Trains less experienced operators

·   Assists in the scheduling of data entry jobs

·   Monitors the activity and storing of information on Lan

·   Monitors the flow of reports and information between Data Processing and other functions

·   Responsible for reports and activities regarding CRS and Feeders.

·   Capable of handling data entry requirements

·   Capable of handling the processing of data through various soft­ware programs

·   Capable of changing JCL language when necessary

·   Performs other duties as needed

OPERATIONS GROUP

Bad Address Clerk

·   Corrects addresses on parcels using phone book or other resources (electronic references), cross directories and reference material

·   Telephones inquiries to last known phone number

·   Completes proper records, logs and post cards.

Air Department Clerk

·   Completes required inbound and outbound reports and recordsusing various reporting systems, including but

not limited to: ACARS, OPSLINK, GSS, ARINC, IDIS

·   Fills out required forms and correspondence

·   Processes air merchandise as corrected origin or destination points

·   Checks airport equipment such as scanners and radios in and out

·   Downloads IPLD scanners and prints reports as needed

·   Works with COMPASS system for flight information system

·   Communicates with Swissport as necessary.

·   Communicates with flight crews using ARINC

·   Answers telephone calls

·   Performs general office filing and tracking

·   Communicates any special circumstances involving NDA volume

·   Advises extended area of extra feeder aircraft needs

·   Arranges movement of inbound late Lear volume

·   Coordinates the exchange of mis-sorted air packages

·   Monitors DHIPS

·   Assists BA Clerk when time permits

·   Verifies crew transportation and meals

·   Performs other related duties as needed

Center Clerk

·   Handles telephone inquiries about deliveries

·   Traces lost or damaged merchandise

·   Tabulates and balances fuel and oil reports

·   Handles necessary receiving counter volume

·   Sorts and transmits outbound tracers and messages

·   Processes inbound interdistrict tracers and messages

·   Fills in time processing tracers and claims

·   Communicates with customers by telephone or written correspon­dence

·   Performs related duties as needed such as sorting and auditing pickup records

Supply Clerk

·   Receives and inventories supplies and uniform requisitions

·   Maintains records appropriate to inventory

·   Performs other related duties as needed

Transfers and Job Bidding:

Temporary Job Bids: In cases of temporary job openings caused by some type of absenteeism, the Employer should determine the actu­al or anticipated length of the absence. If the length of the absence is known from the outset to exceed thirty (30) working days, the Employer shall post a temporary job bid for such job opening stat­ing not only qualifications, but the estimated length of the tempo­rary job opening. If the actual length of absence at the outset is not known and it becomes known within thirty (30) working days that the absence will be at least sixty (60) days from the outset, the aforementioned temporary job bidding procedure shall take place.

The bidding procedure will be conducted in the usual contractual manner. If the job is successfully filled by a Local 856 union employee, the second opening thus created should be filled by assignment in the usual contractual manner.

Any employee who holds a permanent bid position and is in a temporary position may exercise his or her seniority in bidding any other permanent position or temporary position which becomes available.  If no bid clerk should bid such available position, Relief Clerks who are not assigned to a position, will be assigned to the available position in seniority order.  Relief Clerks are only allowed to bid on jobs where they have a Letter of Transfer on file.  Relief Clerks domiciled in that location who have more seniority will be placed in the open position in the usual contractual manner.

When the absent employee returns to work, the temporary job bid­der shall return to his/her job. When and if it is determined the tem­porary job opening is to be a permanent job opening, it shall then be bid as such according to the contract. It is understood by the Employer and the Union that temporary Job Bids are confined to the location at which the absence occurs. Should no one bid a tempo­rary job opening, the Employer shall fill such by the usual contrac­tual manner.

Both UPS and Local 856 agree that Local 856 shall not be signato­ry to or subject to any Sort Agreement unless otherwise mutually agreed to.

(b) Layoffs of Over One Week Duration:

1)   Laid off employees may elect to displace any junior employ­ee in a bid job at another location in order to continue working provid­ing however, that such employee is qualified to perform the work of the displaced employee.(Operational Clerks will be given the opportunity to qualify for all operational positions).

If a laid off employee refuses work during the five (5) day period, they will not be eligible to displace another employee.  The five (5) consecutive day chain will be considered broken.

2)   Employees electing to displace the junior employees atanother location may bid future jobs posted in that location after being relocated, and will be awarded the bid provided such employee is the most senior bidder.

3) Employees laid off may elect to take the layoff until recalled.

(c) In reference to the above understanding, it is agreed that the sen­iority will be dovetailed for all purposes.

(d) Job Reassignment: Job reassignments will be on an as-needed basis only, due to reduction or transfer of the work. Seniority will be recognized in all job reassignments.

(e) When a senior employee is laid off, he or she may exercise their seniority to displace any junior employee at their location for which they are qualified to perform the work. The displaced employee may use his or her seniority to displace any junior employee at the location for which they are qualified to perform the work, or they may elect to take the layoff.

With respect to permanent job openings occurring during the peri­ods from October 1 through and including December 31, any new hires taking such job openings during this “seasonal non-seniority period of time”, shall accrue seniority and other contract benefits as if they had been hired during any other part of the year.

Any newly established job classification will be negotiated at the time the job is created.

Any employee laid off on the workday immediately preceding or immediately following one of the holidays shown in Article 24 of the Agreement shall receive eight (8) hours pay at such employee’s regular rate of pay for each such day laid off. The above shall not apply when the layoff is the result of bona fide lack of work or for other reasons beyond the control of the Employer. It is intended to discourage a layoff for the sole purpose of working an employee less than the full week, during a week in which a holiday falls.

Miscellaneous Provisions:

1)       There shall be one (1) seniority list at each location of the Employer regardless of the fact that an employee has full-time or part-time status.

2)       With regard to the six (6) month lock-in in the bidding process, such shall not apply to Union members of Local 856, but it is understood that a given employee shall not make excessive bid­ding moves. Changes of one (1) hour or more in start time will be handled under Article 3, Section 11 of the Supplemental Agreement, the intention being that employees whose starting times are changed by one (1) hour or more, first have the right to follow their job before requesting the bid procedure.

3)       It is understood that part-time employees may be utilized as Customer Counter Clerks during the period commencing with Thanksgiving until Christmas, inclusive, in both the East Bay and North California districts. It is understood that part-time employees will not replace full-time employees and that part-time employees will not be scheduled back –to-back.

4)       With respect to that certain letter of understanding pertaining to “RED CIRCLE” employees under the 1970-1973 Agreement, it is understood the intent is not to prohibit such employees from bidding to any classification and retraining the “RED CIRCLE” rate of classification bid into.

5)       It is understood that the 1970-1973 Letter of Understanding regarding the “RED CIRCLE” employees will remain in effect throughout the life of this Agreement.

6)       All newly hired employees who are referred to the Employer by Local 856 and who have one or more years experience in the transportation industry, shall be hired at the maximum rate pro­vided for the classification hired, provided such employees are capable of performing the work for which they are employed.

7)       The conditions under which regular part-time employees may be hired must first be approved by Local 856 except when already agreed to.

8)       It is understood that employees who accept a permanent bid in the payroll department will be subject to a forty-five (45) working days qualification period where they will have to demonstrate proficiency in Excel and in 10-key skills.  Those who do not satisfactorily qualify in these skills will be returned to their previous position.  (Qualifications will be reviewed prior to awarding the bid).

9)       The lunch period shall be no less than one half (1/2) hour in duration, unless otherwise mutually agreed to between the employee and the employer.  The lunch period shall commence not less than four (4) hours after the employee starts work, and shall be completed not later than six (6) hours after the commencement of the employee’s actual start time.

ADDENDUM NO. 3

LOCALS NO’S. 70, 287, 315, 624, 490, 890 and 912

INCLUSIVE OF ALL LOCAL UNIONS INJOINT COUNCIL 7

(a) Starting Time:

(1) Any scheduled shifts other than the day shifts shall be posted on the prior Friday of the week for which the shifts are tobe effective. Employees who are ordered to report for work prior to said scheduled starting time shall receive time and one half (1 1/2) for all hours worked prior to their regular starting time. Employees who are ordered to report for work later than their scheduled starting time shall receive time and one half (1 1/2) for the number of hours equal to the number of hours called in to work after their scheduled starting time.

(2) Extra Drivers and Helpers may start work not later than 9:00 a.m. during the Christmas rush period between November 15th and December 25th inclusiveNovember 1st through January 15th.

(3) Starting time restrictions are not applicable to feeder operations.

(b) All regular drivers shall be offered not less than five (5) days of employment in any one (1) scheduled week. The Employer shall not be required to pay its regular drivers a full week’s wages if they are required to layoff regular drivers during any week period; provided, however, said layoff is occasioned by other circumstances beyond the control of the Employer causing a disruption in the normal volume of business.

ADDENDUM NO. 7

C. Locals 315,490, 856

In accordance with the current practice, effective August 1, 2008, the Company shall pay into the respective Health and Welfare Trust Funds on behalf of the members of Locals 315,and 490 and 856, the sum of twenty-four cents (24¢) per hour on all hours compensated including overtime hours, up to a maximum of 2080 hours per year for full-time employees for the express purpose of defraying the cost of Health and Welfare for retirees. (This twenty four cents was negotiated in 2002.)

F.Locals 315,490 624 and 856

Effective January 1, 2008, UPS shall make contributions at the rate of fifteen cents (15¢) per compensable hour including overtime hours, up to a maximum of 2080 hours per year into the respective Health and Welfare Trust Funds for the purpose of defraying the costs of retiree benefits. (The monies for this fifteen cents was nego-tiated as new monies in 2007 to become effective 1/1/2008)

M. LOCAL 856

Effective August 1, 2008, if the Trustees of the Teamster Local 856 Health and Welfare Trust Fund determine that additional monies are needed to offset required retiree contribution amounts for retiree medical coverage, said additional monies shall be allocated from the aforementioned new pension increases.

In accordance with the current practice, effective August 1, 2008, the Company shall pay into the respective Health and Welfare Trust Funds on behalf of the members of Local 856, the sum of twenty-four cents (24¢) per hour on all hours compensated including overtime hours, up to a maximum of 2080 hours per year for full-time employees for the express purpose of defraying the cost of Health and Welfare for retirees. (This twenty four cents was negotiated in 2002.)

Effective January 1, 2008, UPS shall make contributions at the rate of fifteen cents (15¢) per compensable hour including overtime hours, up to a maximum of 2080 hours per year into the respective Health and Welfare Trust Funds for the purpose of defraying the costs of retiree benefits. (The monies for this fifteen cents was nego­tiated as new monies in 2007 to become effective 1/1/2008).

Effective August 1, 2012, Local 856 has allocated $0.50 per hour from Pension Allocation to the Health & Welfare Trust Fund.  The total contribution as of August 1, 2012 is $0.89 per hour. 

*Move language from section H to M for Local 856.  Base contribution in effect as of the signing of this proposal is $8.55 per hour.

LETTER OF UNDERSTANDING PEAK SEASON HELPERS 2007 – 20122013 - 2018

The function of the Peak Season Helper is to work under the direction of a package driver. At no time shall an employee be classified as a Peak Season Helper if he/she is not under the direct supervision of and working in conjunction with a package driver. The following provisions shall apply to Peak Season Helpers:

1. Peak Season Helpers may be used between November 1 and December 31January 15.

2. A minimum of fifty percent (50%) of the helpers working in any given building on any given day shall be from the inside ranks. Such helper work shall be offered by seniority. Utility and Air Drivers may only work as helpers if they are not needed for utility or air work. During this period, when these drivers are needed and thus not available for helper work, they will be guaranteed eight (8) hours that day in combination with their inside job and driving job. This applies to the Peak Season only and there is no obligation to the Company to work anyone on overtime.

3. Inside employees cannot be helpers if it conflicts with their primary job function.

4. The Helper rate of pay will be as follows for all hours spent in the Helper classification:

2007 $14.20 per hour            2013 $15.20 per hour

2008 $14.20            2014 $15.20

2009 $14.45                            2015 $15.50

2010 $14.70                            2016 $15.50

2011 $14.95                            2017 $15.50

2012 $15.20                            2018 $15.80

The above rates will apply to all seniority employees effective November 1, 20072013. Off the street helpers will be paid $8.25 per hour.

5. A Helper bid list will be posted for five (5) days. Any inside employees wanting to be considered for Helper work must sign up during this period. The list of successful job bidders, by seniority, will be posted with a copy to the Union.

6. Part-time employees who choose to work as Helpers shall be guaranteed eight (8) hours per day between their primary jobs and their helper assignments. There will be no obligation to the Company to work Helpers overtime; however Helpers will be guaranteed to work their full primary shift.

7. Overtime rates shall apply to all hours worked over eight (8) hours per day in addition to overtime on employee’s respective part-time shifts. Overtime rates shall be predicated on the job at the time of overtime.

8. All off the street Helpers will be part time employees. The Company shall provide the Local Union with a list of all off the street Helpers within 5 days of their start date.

9. The Company will not be obligated to pay Health and Welfare payments for these temporary employees. If these temporary employees work in any other classification, the Company will be obligated to these payments. If the Company retains the employee past the helper period, the Company would be obligated to make retroactive Health and Welfare payments for all hours the employee has worked.

10. The off the street helpers will receive a guarantee of 3.5 hours and receive overtime after five (5) hours of work per day.

11. All helpers may start and finish on area.

12. All helpers may use a DIAD board to clock on and off.

13. Flexible starting times may be used.

14. Peak Season package driving positions will be offered to employees by seniority in the following order:

A. Full time 22.3 driver qualified employees.

B. Utility drivers and air drivers

C. Peak Season hires.

Once a position is accepted, the employee will continue to work in that position until December 24January 15 or until no longer needed. During this period, the employee will no longer work in their regular position. The employee will return to his/her regular position upon completion of his/her temporary position or due to lay off during this period.

15. Helpers are entitled to all personal time outlined in the Labor Contract.

16. In the event UPS enters into any agreement with any Local Union that is superior to what is contained in this agreement, the other Locals will receive that same benefit.

NORTHERN CALIFORNIA SORT RIDER

ARTICLE 1- SENIORITY AND LAYOFFS

SECTION 2 - UNION MEMBERSHIP

a)       All present employees who are members of the Local Union on the effective date of this subsection or on the date of execution of this Agreement, whichever is the later, shall remain members of the Local Union in good standing as a condition of employ­ment. All present employees who are not members of the Local Union and all employees who are hired hereafter shall become and remain members in good standing of the Local Union as a condition of employment on and after the thirty-first (3 1st) day following the effective date of this subsection or the date of this Agreement whichever is the later. An employee who has failed to acquire or thereafter maintain, membership in the Union as herein provided, shall be terminated seventy-two (72) hours after his Employer has received written notice from an author­ized representative of the Local Union, certifying that member­ship has been, and is continuing to be, offered to such employ­ee on the same basis as all other members and, further, that the employee has had notice and opportunity to make all dues or initiation fee payments. This provision shall be made and become effective as of such time as it be made and become effective under the provisions of the National Labor Relations Act but not retroactively.

b)       When the Employer needs additional employees, the Employer shall give the Local Union equal opportunity with all other sources to provide suitable applicants, but the Employer shall not hebe required to hire those referred by the Local Union. Business agents and/or the Steward shall be permitted to attend new employee orientations. The Company, on a monthly basis, will send any change of classification from part time to full time, new hires, transfers, and terminated employees to the affected local union.

c)       No Provision of this Article shall apply in any state to the extent that it may be prohibited by State law.  If under applicable State law additional requirements must be met before any such provi­sions may become effective, such additional requirements shall be first met. If any agency shop clause is permissible in any state where the provisions of this Article relating to the Union Shop cannot apply, the following Agency Clause shall prevail:

1)       Membership in the Local Union is not compulsory.  Employees have the right to join, not join, maintain, or drop their membership in the Local Union, as they see fit. Neither party shall exert any pressure on, nor discriminate against, an employee as regards such matters.

2)       Membership in the Local Union is separate, apart and distinct from the assumption by one of his equal obligation to the extent that he receives equal benefits.  The Local Union is required under this Agreement to represent all of the employees in the bargaining unit fairly and equally without regard to whether or not an employee is a member of the Local Union.  The terms of this Agreement have been made for all employees in the bargaining unit and not only for members in the Local Union, and the Agreement has been executed by the Employer after it has satisfied itself that the Local Union is the choice of a majority of the employees in the bargaining unit.  Accordingly, it is fair that each employee in the bargaining unit pay his own way and assumes his fair share of the obligation along with the grant of equal benefits contained in this Agreement.

3)       In accordance with the policy set forth under subparagraphs (1) and (2) of this Section, all employees shall, as a condi­tion of continued employment, pay to the Local Union the employee’s exclusive collective bargaining representative, an amount of money equal to that paid by other employees in the bargaining unit who are members of the Local Union, which shall be limited to an amount of money equal to the Local Union’s regular and usual dues. For the present employees, such payments shall commence thirty-one (31) days following the effective date or on the date of execution of this Agreement, whichever is the later, and for new employees, the payment shall start thirty-one (31) days fol­lowing the date of employment.

d)       If any provision of this Article is invalid under the law of any state wherein this Agreement is executed, such provision shall be mod­ified to comply with the requirements of state law or shall be rene­gotiated for the purpose of adequate replacement. If such negotia­tions shall not result in mutual satisfactory agreement, either party shall be permitted all legal or economic recourse.

e)       In those instances where Subsection (b) hereof may not be validly applied, the Employer agrees to recommend to all employees that they become members of the Local Union and maintain such memberships during the life of this Agreement, to refer new employees to the Local Union representative, and to recommend to delinquent members that they pay their dues since they are receiving the benefits of this Agreement.

To the extent such amendments may become permissible under applicable federal and state law during the life of this Agreement, as a result of legislative, administrative, or judicial determination, all of the provisions of this Article shall be automatically amended to embody the greater Union Security provisions.

SECTION 3 - DUES CHECKOFF

The Employer agrees to deduct from the pay of all employees covered by this Agreement the dues, initiation fees and/or uniform assessments of the Local Union having jurisdiction over such employees and agrees to remit to said Local Union all such deductions prior to the end of the month for which the deduction is made. Where laws require written authorization by the employee, the same is to be furnished in the form required. The Local Union shall certify to the Employer in writing each month a list of its members working for the Employer who have furnished to the Employer the required authorization, together with an itemized statement of dues, initiation fees (full or installments) or uniform assessments owed and to be deducted for such month from the pay of such member, and the Employer shall deduct such amount from the first (1st) paycheck following receipts of statement of certification of the member and remit to the Local Union in one lump sum. The Employer shall add to the list submitted by the Local Union, the names of all regular new employees hired since the last list was submitted and delete the names of employees who are no longer employed.

Where an employee who is on check off is not on the payroll during the week in which time the deduction is to be made, or has no earnings or insufficient earnings during that week, or is on leave of absence, the employee must make arrangements with the Local Union to pay such dues in advance.

The Employer will recognize authorization for deductions from wages, if in compliance with state law, to be transmitted to the Local Union.

No such authorization shall be recognized if in violation of federal or state law. No deduction shall be made which is prohibited by applicable law. In the event that an Employer has been determined to be in violation of this Article by the decision of an appropriate grievance committee and if such Employer subsequently is in violation thereof after receipt of seventy-two (72) hour’s written notice of specific delinquencies, the Local Union may strike to enforce this Article. However, such strike shall be terminated upon the delivery thereof. Errors or inadvertent omissions relating to the individual employees shall not constitute a violation.

Check off shall be on a weekly,monthly, or quarterly basis at the option of the Union.

Check off shall be optional with each Local Union.

SECTION 3 – NOTICE OF LAYOFF

All employees are to be given written notice or notice posted on abulletin board of impending layoffs not later than the beginning of the last shift worked prior to the commencement of such layoffs. It is the responsibility of the employer to notify by phone, any affected employees that are not working the day of the posting. All phone calls will be verified by a shop steward of the Local Union and a log be maintained. It is the responsibility of the employee to insure his/her contact information is accurate. The Union will be provided a copy of the layoff notices by fax or by emailon the same day they are written and/or posted. The above notice of layoff shall not apply during any emergency beyond the Employer’s control, provided notification is given to the employee at least one (1) hour prior to the start of the employee’s shift.

SECTION 6 - CLOSED OR PARTIALLY CLOSED CENTERS OR HUBS

Whenever a center or hub is closed or partially closed, the employ­ees affected will be entitled to follow the work and their seniority will be dovetailed in the new location. In the event the employees affected elect not to follow the work, it shall be offered to the other employees at the center or hub in seniority order. In the event no employee elected to follow the work and it becomes necessary to reduce the working force, the provisions of Article 3, Section 2- Application of Seniority, shall apply. In the event of closing or par­tially closing any hub or operating center, the Employer shall noti­fy the Union of its intent and post the amount and type of positions affected and the date of such contemplated action at least thirty (30) days in advance.

(a) Transfers: In cases of proven need it is agreed by the Employer and the Local Union involved, that an employee shall be permit­ted to transfer from one (1) company facility to another, provid­ed said employee has a letterTransfer Request Form on file stating his/her reasons and desired facility into which they wish to transfer. Any such trans­fer shall take place only within the area covered by the Northern California Supplemental Agreement and only prior to hiring from the outside. Any such transfers shall be limited to four (4) people, two (2) full-time and two (2) part-time, per year per des­tination facility. Such employees shall retain company seniority for the purpose of fringe benefits but shall be placed at the bot­tom of the appropriate seniority list. It is the employee’s respon­sibility to verify all benefits at the requested transfer location. Benefits may vary by state and location. The medical, dental, vision, retiree medical coverage and pension rates may be less or non-existent in the location you desire. Contact the Local Union having jurisdiction over the area you wish to transfer to for all information pertaining to the area benefits.

ARTICLE 6 - PROTECTION OF RIGHTS                                                        

SECTION 1 - PICKET LINES

It shall not be a violation of this Agreement and it shall not be cause for discharge or disciplinary action in the event an employee refuses to enter upon any property involved in a primary labor dispute, or refuses to go through or work behind any primary picket line, including the primary picket line of unions party to the Agreement, and including primary picket lines at the Employer’s place of business, provided picket line is sanctioned by Joint Council No. 7or Joint Council No. 38.

ARTICLE 7 – GRIEVANCE PROCEDURE                      

SECTION 2 – TEAMSTERS/UNITED PARCEL SERVICE LABOR MANAGEMENT COMMITTEE

 (a) There shall be a Teamsters/United Parcel Service Labor-Management Committee composed of three (3) representatives of the Union and there shall be three (3) representatives of the Employer. None of these representatives shall be involved in the dispute. The Committee shall formulate such rules of procedure as it may deem advisable and such rules of procedure will be made known to all parties under this Agreement. Regular meetings of the Committee shall be held on the agreed upon day of each month to pass upon matters referred to it. If no cases are on the agenda, meetings may be canceled. If grievances develop which require more immediate action, the Committee may meet on any other date which may be agreed upon. The Committee shall be obligated to remain in session until the agenda is completed. If the Employer fails to appear at the designated time and place of the hearing, such failure shall result in default decision against the Employer for cases which are on the agenda for that date. Default decisions against the Union involved shall likewise apply if a representative of the Union involved fails to appear. A majority decision of the Committee shall be final and binding upon the parties. Any discharge or suspension case deadlocked by this Committee may be submitted to an impartial arbitrator by either the Employer or the Union. All other deadlocked cases shall be referred to a Western Region-UPS Committee as outlined in Section 2(b).

(b) The Western Region-UPS Committee shall be composed of three (3) representatives of the Union one (1) of whom shall be appointed by the Western Region Director, one (1) of whom shall be the negotiating Committee Chairman for the appropriate contract grieved, and one (1) shall be appointed by the Union Chairman, and three (3) representatives of the Employer, one (1) of whom shall be the Regional Labor Relations Manager, or his designee, and the other two (2) representatives designated by the Employer. Issues resolved at this level shall be final and binding. Any case deadlocked by the Committee will be referred to an International Teamster-UPS Committee composed of the President of the International Brotherhood of Teamsters and the Vice President of Labor Relations of UPS, or their designees. Issues resolved at this level shall be final and binding. Any case deadlocked by this Committee may be submitted to arbitration by either the Employer or the Union.

SECTION 7 – GRIEVANCE SETTLEMENTS

All monetary grievance decisions or settlements shall be submitted by separate check payable to the grievant or grievants and a copy of same sent to the Local Union for the records. Such settlements shall be paid within five (5) days of the settlement. If the Employer fails to make the payment available on the employee’s fifth (5^th) scheduled workday, the employee will be paid an additional amount equal to one-half (1/2) of his/her daily guarantee at his/her regular hourly rate for every full pay period in which the shortage is not paid after the fifth (5th) scheduled work day, until corrected.

ARTICLE 8 - LEAVE OF ABSENCE                                

SECTION 1 - APPROVED LEAVE

Any employee desiring a leave of absence shall secure written permission from both the Local Union and the Employer. Except as otherwise provided in this Article, the maximum leave of absence shall be for ninety (90) days and may be extended for like periods. Written permission for such extended periods shall be secured from both the Union and the Employer. The first (1st) approved leave of absence plus approved extended leaves of absence shall not exceed a maximum time period of twelve (12) months. During an approved leave of absence, the employee shall not engage in gainful employment in the same industry. Leaves of ten (10) days or less do not require Union approval. Disputes concerning request for leaves of absence are subject to the grievance procedure.

Any employee who is unable to work because of sickness or injury shall be deemed to be on leave of absence. Such leave will not exceed two (2)three (3)years unless extended by written consent of the Union and the Employer. In the absence of such consent, a request for extension of such leave shall be subject to dispute procedure, but in no event shall such leave of absence exceed three (3) years, except with the written consent of the Union and the Employer.

A leave of absence, as provided, shall not result in the loss of seniority rights. An employee shall be granted unpaid time off in emergency situations involving illness or accident of a member of the employee’s immediate family up to fifteen (15) days.

SECTION 2 - EFFECT ON VACATION/HOLIDAYS

Time off in excess of fourteen (14) days due to an approved leave of absence other than for sickness or injury shall not be accumulative for vacation purposes.

All regular employees off the job due to illness or injury shall accumulate vacation rights,andholiday pay and sick leave beginning with the date of illness or injury and continuing to the end of the month and two (2) months thereafter.

SECTION 3 - HEALTH & WELFARE AND PENSION WHEN ON LEAVE

The employee may, if the employee desires to continue coverage, make suitable arrangements for continuance of health and welfare payments consistent with the health and welfare policy before the leave is approved by both the Union and the Employer. For employ­ees on leave due to a non-job connected illness or injury, health and welfare payments shall be borne by the Employer up to a maximum period of six (6) months and pension payments shall be borne by the Employer for a period of six (6) months. For employees on leave due to an industrial injury, health & welfare and pension payments shall be borne by the Employer for a period of one (1) year.

It is agreed by the parties that Health and Welfare and Pension payments as provided for in this article are not predicated on “paid and/or documented” illness. The Company reserves the right to send a seventy-two (72) hour notice in case of lack of communication from the employee. Failure of the employee to respond to said notice may subject the employee to a loss of benefits under this article.

ARTICLE 20 - SICK LEAVE

SECTION 1

Regular part-time employees shall receive sick leave prorated upon actual hours worked in the previous calendar month, but shall in no event be less than nine (9) four (4) hour days of sick leave each year after six (6) months of continuous service with the Employer. Part-time employees shall not be eligible for paid sick leave if the absence from work occurs during their school examination periods. Employees who are on leave of absence due to injury or illness will have their nine (9) days of sick pay populated upon return from such leave, and after they have worked a minimum of five (5) days. 

Unused sick leave shall be granted once each year to each part-time regular employee, in cash at the current daily rate, in an amount not to exceed nine (9) days, or by mutual agreement between the Employer and the employee as paid time off to be taken at a time mutually agreed upon. The cash payoff shall occur either on July 1st or December 15th of each year at the option of the Local Union for all members of that Local Union.

On resignation, discharge or death, an employee or his estate shall collect cash payment for all unused accumulated sick leave.

ARTICLE 22 - VACATION

SECTION 2

All accrued vacation pay for the amount of vacation time to be taken is to be paid to the employee one (1) day before the employee’s last shift worked by separate check. No employee shall be shorted his/her vacation pay for all vacations properly selected during the annual March selection. If there is a dispute regarding vacation pay, the Company will issue the disputed pay until such time that the Company provides proof of all other vacation payments for that cur­rent year. If the records prove that the employee has been overpaid the vacation pay, the Company may deduct this overpayment by deducting an equal amount of vacation from next year’s accrual.

For eligible employees who qualify, the paid vacation period shall be prorated upon actual hours worked divided by the number of days worked in the previous calendar month, but shall in no event be less than one half (1/2) of that provided for regular full-time employees. Vacation pay shall be pro-rated upon termination, after one (1) year of service with the Employer. It is agreed that for each week of paid vacation, the employee shall receive an additional two and one- half (2 1/2) hours pay at the straight time hourly rate.

The employer may not go back more than the previous vacation scheduling period from the day the error is discovered to correct any over payments of vacation.

SECTION 3

Vacation periods are not to be arbitrarily assigned to employees dur­ing the months of NovemberJanuarythrough March unless mutually agreed upon. Based on seniority, vacation periods will be assigned at the employee’s choice during the months of April through OctoberThanksgiving week, and during the week between Christmas and New Year’s Day.

It is the understanding of the parties that fromJanuary 1^stthe third full week of January through the first three weeks of November, employees shall be allowed to select vacation at 100% of the normal vacation selection ratio. During theThanksgivingweekand the week after Christmas through the second full week of January, that number shall be reduced to 75%.

The employees who select Thanksgiving week as a vacation week shall normally have the prior Thursday and Friday off. When the staffing permits, the Company shall allow employees to take the Monday and Tuesday off in the week immediately after the holiday week. These days, (if any) will be offered by seniority.

The total amount of accrued vacation weeks for the period of April 1st to October 31^stThanksgiving week will be subtracted by employees taking vaca­tions from January 1^st to March 31^st and that figure divided by thir­ty (30)thirty-five (35)weeks will be the number of employees allowed to take vacations in the same week for the balance of the vacation period. Any fraction of a whole number shall be rounded up to the next highest number.

Whenever possible and when desired by employees, they may stag­ger or spread their vacation period throughout the year. However, in no case shall any portion of vacation be less than one (1) week.

SECTION 4

It is agreed by both parties to this Agreement that employees must take their accrued vacation each year and that no arrangement to work for additional compensation during their earned vacation will be allowed except where mutually agreed upon by the Employer and the Union.

Employees on approved leave will be contacted by management in accordance with vacation selection process.

By April 15^th of each year, the Manager and the Business Agent or their designees will meet to review the vacation selection calendar.  All unscheduled vacation at that time will be assigned by the manager at that meeting.

SECTION – 7

The vacation list shall be posted not later than March 1st of each year.For choice of vacations, once a vacation selection list is posted, one(1) week is allowed for the first twenty-five percent (25%) on the seniority list to select, then one (1) week will be allowed for the secondtwenty-five percent (25%) to select then one (1) week shall be allowedfor the third twenty-five percent (25%) to select, then one (1) weekshall be allowed for the fourth and final twenty-five percent (25%) on the seniority list to select. Those not signing up in the correct week shall lose their choice of vacation and must take what is left.Vacation selection shall occur during March. Once completed the vacation schedule shall be posted on the bulletinboard. The Union will be sent a copy of the vacation selection list and a copy of each employees completed vacation selection form when requested within five (5) days.

ARTICLE 26 - MISCELLANEOUS PROVISIONS

SECTION 1 - PAY PERIODS

The members of the Union shall be paid weekly for their labor. Not more than one (1) week’s wages shall be withheld. Each employee shall be provided with a statement of total hours and gross earnings and an itemized statement of all deductions made for any purpose. A regular weekly payday shall be established, provided that if such payday falls on a paid holiday, the preceding workday shall be pay­day.

Any error on a payroll check will be paid by the Employer no later than the end of the next regular workday following notification of the error. Check stubs will itemize total hours, in addition to all deductions.

Grievance payments will include grievance number, hours, and rate of pay.

Upon discharge or quitting, the Employer shall pay all money due to the employee on the payday in the week following such quitting.

In the event State law would require earlier payment, the Company agrees to comply.

Seasonal employees hired during October, November and December shall be paid all monies due to the employee on the pay­day in the week following such quitting and/or termination.

ARTICLE 29 - UTILITY DRIVERS

It is agreed that package operations shall hire utility drivers.

Regular part-time employees (in order of location seniority) who desire to be hired as utility drivers shall so inform the center man­ager. Those part-time employees who successfully meet the qualifi­cation standards for UPS drivers will be considered for the utility driving job.

These utility drivers may be used to cover absentees, overflow work, etc.

Utility drivers who work in centers located in hub buildings where hub work is available, will be guaranteed eight (8) hours pay at the

driver rates. In other locations where hub work is not available, the eight (8) hour guarantee will not apply. Starting time restriction shall not apply to utility drivers.

The company shall post a bid for utility drivers in the first week of March each year.  An employee who desires to be added to the current utility list, and who has more seniority than the junior employee on the current list shall place their name on the bid.  Employees who successfully meet the qualification standards for UPS drivers and complete the orientation training will be added to the list.  The training shall commence within ninety (90) days.  

Progression scale for utility drivers (Refer to Article 21, Section 2 of the Northern California Supplemental Agreement).

ARTICLE 30 – PREFERRED JOBS

The Company shall maintain a preferred list for each shift. This list shall be maintained in the manager’s office. Part-time employees with six (6) months or more seniority desiring to work these pre­ferred jobs shall sign the appropriate bid according to Article 3, Section 11. The employees awarded these preferred jobs shall stay in these jobs for a minimum of six (6) months.

Preferred Jobs List

Rewrap and Damage                                           Acceptance Auditor                                           

Irregulars Cart                                                   Air Recovery Trailer                                                         

Hooper                                                                   DeBagger

Tower                                                                     Small Sort

Auditor                                                  Haz Mat

High Volume Pickoff                                          SPA

Small Sort Bagger                                              Sorter

International Auditor                                        

In General Locals, where applicable,Clerks and Car washers

ARTICLE 31 - SUPERVISORS WORKING

The Employer agrees that the function of supervisors is the super­vision of employees and not the performance of the work of the employees they supervise. The Union agrees that the Employer must train employees and must prevent service failures.

Accordingly, the parties agree that supervisors will not perform the work of the employees they supervise except during training, demonstration, and safety education; and supervisors will not per­form Union member’s work until all reasonable efforts have been exhausted to have the work covered by Union employees of United Parcel Service.

It is the responsibility of the employer to have a sufficient number of employees on roll to cover the work, in addition to a sufficient number of utility drivers on roll.  All violations will be paid at the double time rate of pay to the affected employee or the bounty system within five (5) days of settlement.

Local practice as it relates to payment under this Article and under Article 3, Section 7 of the National Master United Parcel Service Agreement shall prevail.

LETTER OF UNDERSTANDING PEAK SEASON HELPERS 2007 – 20122013 - 2018

The function of the Peak Season Helper is to work under the direction of a package driver. At no time shall an employee be classified as a Peak Season Helper if he/she is not under the direct supervision of and working in conjunction with a package driver. The following provisions shall apply to Peak Season Helpers:

1. Peak Season Helpers may be used between November 1 and December 31January 15.

2. A minimum of fifty percent (50%) of the helpers working in any given building on any given day shall be from the inside ranks. Such helper work shall be offered by seniority. Utility and Air Drivers may only work as helpers if they are not needed for utility or air work. During this period, when these drivers are needed and thus not available for helper work, they will be guaranteed eight (8) hours that day in combination with their inside job and driving job. This applies to the Peak Season only and there is no obligation to the Company to work anyone on overtime.

3. Inside employees cannot be helpers if it conflicts with their primary job function.

4. The Helper rate of pay will be as follows for all hours spent in the Helper classification:

2007 $14.20 per hour            2013 $15.20 per hour

2008 $14.20            2014 $15.20

2009 $14.45                            2015 $15.50

2010 $14.70                            2016 $15.50

2011 $14.95                            2017 $15.50

2012 $15.20                            2018 $15.80

The above rates will apply to all seniority employees effective November 1, 20072013. Off the street helpers will be paid $8.25 per hour.

5. A Helper bid list will be posted for five (5) days. Any inside employees wanting to be considered for Helper work must sign up during this period. The list of successful job bidders, by seniority, will be posted with a copy to the Union.

6. Part-time employees who choose to work as Helpers shall be guaranteed eight (8) hours per day between their primary jobs and their helper assignments. There will be no obligation to the Company to work Helpers overtime; however Helpers will be guaranteed to work their full primary shift.

7. Overtime rates shall apply to all hours worked over eight (8) hours per day in addition to overtime on employee’s respective part-time shifts. Overtime rates shall be predicated on the job at the time of overtime.

8. All off the street Helpers will be part time employees. The Company shall provide the Local Union with a list of all off the street Helpers within 5 days of their start date.

9. The Company will not be obligated to pay Health and Welfare payments for these temporary employees. If these temporary employees work in any other classification, the Company will be obligated to these payments. If the Company retains the employee past the helper period, the Company would be obligated to make retroactive Health and Welfare payments for all hours the employee has worked.

10. The off the street helpers will receive a guarantee of 3.5 hours and receive overtime after five (5) hours of work per day.

11. All helpers may start and finish on area.

12. All helpers may use a DIAD board to clock on and off.

13. Flexible starting times may be used.

14. Peak Season package driving positions will be offered to employees by seniority in the following order:

A. Full time 22.3 driver qualified employees.

B. Utility drivers and air drivers

C. Peak Season hires.

Once a position is accepted, the employee will continue to work in that position until December 24January 15 or until no longer needed. During this period, the employee will no longer work in their regular position. The employee will return to his/her regular position upon completion of his/her temporary position or due to lay off during this period.

15. Helpers are entitled to all personal time outlined in the Labor Contract.

16. In the event UPS enters into any agreement with any Local Union that is superior to what is contained in this agreement, the other Locals will receive that same benefit.