5-28-03; 12:00PM;

..

FILENo.·~- -&-o7' CffiT. FILE

-

CERT. DATE

MALE EMPS

FMLE EMPS -TOTAL EMPS !00 EFF. DATE JH ... 7cJEC. ' ?Af\_z

EXP. OAT~ -"JAN ·dtfJb COOING CONTROL DATE 'bJ !t1

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zoo ~~ .IDENT CODED OEC 1 •-i SUB. PROVS CODED -

:::..·

COLLECTIVE AGREEMENT

BETWEEN

;416 510 0891

GLENOIT CORPORATION OF CANADA

AND

UNION OF NEEDLETRADES, INDUSTRIAL AND TEXTILE EMPLOYEES

AFL-CIO, CLC

LOCAL 971

Expiry Date- January 6, 2006

# 2/ 56

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INDEX

ARTICLE PAGE NO.

UNION AND MANAGEMENT:

1:01 Expiration Date and Renewal 7 1:02 Purpose 7 1:03 Union Recognition 7 1:04 Management Rights 7 1:05 Union Membership 8 1:06 Union Security 8 1:07 Union Executive Seniority 8 1:08 Non-Discrimination 9 1:09 Probation 9 1;10 Student Temporaries 9 1:11 Engineering Studies 10 1:12 Labour Management Meetings 10 1:13 Department Meetings 10

II REPRESENTATION, GRIEVANCES AND ARBITRATION

2:01 Grievance Procedure 11 2:02 Grievances 11 2:03. Grievances By The Company 12 2:04 Wage Grievance 12 2:05 Arbitration Procedure 12 2:06 Arbitration Decisions 13 2:07 Expense Of The Arbitrator 13 2:08 Status Of Dispute Pending Resolution 13 2:09 Stoppage Of Work Or Lockout 13 2:10 Discharge 13 2:10A Discipline 13 2:11 Notification Of Absence 14

Ill HOURS OF WORK AND OVERTIME:

3:01 Regular Work Week 15 3:01A Weekend Shifts 15 3:01B Weekend Workforce 15 3:02 Lunch and Rest Periods 16 3:03 The Working Day 16 3:04 Overtime Work 16 3:05 Shifts And Shift Premiums 17 3:06 Pyramiding 17 3:07 Overtime 17 3:08 Four (4) Hour Minimum 18 3:09 Call Back 18

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ARTICLE PAGE NO.

IV SENIORITY: 4:01 Basis Of Seniority 19 4:02 Seniority List ~9 4:03 Layoffs Of Less Than One Week 19 4:04 Layoffs Of One Week Or More 1.9 4:04A Temporary Lay-Off 19 4:048 Indefinite Lay-Off 19 4:04C CBumping Rights 20 4:05 Rate Of Pay In Case Of Lay-Off 20 4:06 Notice Of Lay-Off 20 4:07 Severance 21 4:08 Lay-off/Retain 21 4:09 Recalls 21 4:10 Job Elimination 21 4:11 ·Vacancies 21 4:12 Demotion 22 4:13 Transfers Due To Age And Health 23 4:14 Temporary Transfers 23 4:15. Leave Of Absence 23 4:16 Illness 24 4:17 Seniority/Medical Leave 25 4:18 Employment During Leave Of Absence 26 4:19 Jury Service/Supoenaed Witness 26 4:20 Bereavement Pay 27 4:21 Loss Of Seniority 27 4:22 Transfer To A Position Out Of the Union 27 4:23 Transfer To A Full Time Position With The 28

Union 4:24 Reinstatement Committee 28

v VACATIONS AND HOLIDAYS:

5:01 Vacations 29 5:02 Vacation Restriction 29 5:03 Specified Vacation Period 30 5:04 Seniority/Vacation 30 5:05 Consecutive Days Allowed 30 5:06 Consecutive Days 30 5:07 Holidays 30 5:08 Rules For Holiday Pay 31

VI WAGES: 6:01 Wage Rates 32 6:02 Upgrading 32 6:03 Premiums for Cross Training & Job Seniority 32 6:03 Attendance Application 33

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ARTICLE PAGE NO.

VII GENERAL PROVISIONS:

VIII

7:01 7:02 7:03 7:04 7:05 7:06 7:07

8:01

Benefits Limitations Bulletin B.oard Non-Conflict With Provincial & Federal Law Safety And Health Subdivision Of Agreement Into Sections Definition Of Spouse

New Employees

EXHIBITS A. Job Classifications & Rates

Cross Training Matrix

· B. Employee Benefits

C. Discrimination/Harassment

D. Letters Of Understanding/Agreement

34 34 34 34 34 35 35

36

38 41

46

50

52

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UNION OF NEEDLETRADES, INDUSTRIAL AND TEXTILE EMPLOYEES AFL-CIO, CLC, LOCAL 971

LOCAL OFFICERS

President ........ .. ......... ..... ....... ........ ...... ..... ..... Stephen Droeske

Vice-President........................................ Marg Steffler

Chief Steward (days)..................................... Donna Rudow

Secretary .............. ,..................................... Heather Mayberry

District Office 15 Gervais Drive. · Don Mills, Ontario . M3C 1Y8

Phone: (416) 510-0887 Fax: (416) 510-0891

REGIONAL REPRESENTATIVE B.J. Cardy

# 6/ 56

5

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BETWEEN:

;416 510 0891 # 7/ 56

AGREEMENT

GLENOJT CORPORATION OF CANADA an Ontario Corporation having its principal office at 43 Howard Avenue, Elmira, Ontario hereinafter called the "Company",

AND

UNION OF NEEDLETRADES, INDUSTRIAL AND TEXTILE EMPLOYEES, LOCAL 971, Elmira, Ontario, Hereinafter called the "Union",

Entered into this 19th day of December, 2002.

6

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ARTICLE I

UNION and MANAGEMENT

1 :01 EXPIRATION DATE AND RENEWAL: . This agreement shall remain in full force and effect until 23:59:59PM, January 6, 2006, and shall automatically renew itself from year to year thereafter, unless the Company or the Union gives written notice to the other party of its desire to amend, modify or terminate not less than sixty (60} days nor more than one hundred twenty (120) days prior to any expiration date. The parties may, however, by mutual written agreement, amend or modify this Agreement at any time hereafter.

1:02 PURPOSE: It is the purpose of this Agre.ement to maintain and promote harmonious relations between the Company and those of it's employees who are represented by tlie Union and to provide the basic terms and conditions of employment of such employees. Both parties agree that their mutual interest lies in friendly cooperation to promote the mutual interest and welfare of both the Company and such employees. It is mutually understood that high standards of production, quality and economy of manufacture are essential to the interests of both parties.

1:03 UNION RECOGNITION: The Company recognizes the Union as the sole and exclusive collective bargaining agent for all of the Company's employees at 43 Howard Avenue, Elmira, Ontario, or in the case of a relocation anywhere in Ontario, save and except supervisors, and foremen, persons above· the rank of supervisor or foreman; office and sales employees; engineering, quality control and laboratory employees employed by the Company.

Non-bargaining unit employees including supervisory employees shall not perform work normally performed by employees in the bargaining unit, except for purposes of instructing or training employees, or in cases of emergency when no bargaining unit employee is available. It is further agreed that where new product development or experimental testing of new or redesigned products so requires, work normally considered to fall within the bargaining unit may be performed by engineering or supervisory personnel where necessary to train personnel or obtain technical knowledge of the product or processes.

1:04 MANAGEMENT RIGHTS: The Union acknowledges that it is the exclusive function of the Company to hire, promote, demote, classify or transfer employees, and to suspend, discipline or discharge any employee for just cause. The Union further recognizes the right of the Company to operate, manage, or sub-contract its business in all respects in accordance with its commitments and responsibilities. The location of the plants, the products to be manufactured, the schedules of production, the methods, processes and means of manufacturing used, the right to decide on the number of employees needed by the Company at any time, the right to use improved methods, machinery and equipment, and jurisdiction over all operations, building, machinery and tools, and employees, are solely and exclusively the responsibility of the Company. The Company also has the right to make and alter from time to time,

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reasonable rules and regulations to be observed by the employees providing such rules and regulations do. not conflict with the terms of this Agreement.

1 :05 UNION MEMBERSHIP: (a) All employees who are members of the Union as of the date of this

Agreement will be required to continue to be members of the Union as a condition of employment.

(b) Any employee who is hired after the date of this Agreement will become a. member of the Union and will be required to continue to be a member of the Union as a condition of employment.

(c) Any employee now excluded from the bargaining unit who is hereafter transferred into the bargaining unit will become a member of the bargaining unit as provided in 1 :05(b)

1:06 UNION SECURITY: The Company agrees that it will deduct all regular Union dues which may be due and owing, from the regular wages and vacation pay of all employees within the bargaining unit. The Company agrees to make such deductions weekly and forward monthly with a list of all employees from whom such deductions were made, together with the amount so collected. The Company will deduct dues provided the employee has worked during the pay period, or received vacation pay. Such remittances and lists shall be transmitted to the Union once each month. The Company assumes full responsibility for such deductions and forwarding the amounts collected promptly to the Union, the Union assumes full responsibility for the validity and legality of the deductions made by the Company, and hereby agrees to indemnify and save the Company harmless from any loss, damage or expense arising from making such deductions or payment thereof to the Union.

1 :07 UNION EXECUTIVE SENIORITY: -(a) The president of the Union will hold a day-shift job for his/her term of office.

The Company will designate the job and the rate of pay will be the rate of the job they are assigned to or his/her regular job rate whichever is greater.

At the end of his/her elected term of office, the president shall return to his/her regular job and shift according to his/her seniority.

(b) Employees elected to the Union Executive positions of (1) president; (2) vice­president; (3) recording secretary; (4) senior shop-steward; (5) off-shift shop steward, will have seniority which supersedes any seniority as outlined in 4:01 for their term of office. This applies to lay-off situations only.

(c) The Company reserves the right to designate the job of employees elected to Union Executive positions if more than one employee per operation per shift is elected.

(d) The Company agrees to pay eight (8) hours straight time pay per day to a maximum of three (3) representatives of the Union bargaining committee while attending Union/Management negotiations, excluding sessions with the conciliator.

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(e) The Company agrees to pay representatives of the Union while attending the scheduled monthly in plant Union/Management committee meetings.

(f) Union stewards may leave their place of work for a reasonable period of time without loss of pay and with prior approval of their supervisor to investigate grievances.

(g) The Union agrees to promote an increased plant wide distribution of employee representatives on its committees.

1 :08 NON-DISCRIMINATION: The Company agrees that the representatives of the Union shall be free to discharge their duties without fear that their individual relations may be affected in the least degree by an action taken by them in good faith in their respective capacity. It is also agreed that employees shall not be subject to prejudice or discrimination because of presenting grievances or complaints against the Company.

further, there shall be no form of discrimination or intimidation by the Company, the Union, their agents or the employees, against any employee or group of employees because of membership in the Union, or exercise of their contract rights.

1:09 PROBATION: New employees shall be on probation for the first 520 hours worked. Employees in skilled trades will be subject to a probationary period of 480 hours. During which time the Company shall have the right to dismiss or retain any such employee at its own discretion. The Company and the Union may by agreement extend said probationary period as may seem desirable and reasonable in the circumstances.

New employees will be hired at the probationary rate as listed in the wage rate exhibits and must complete the probationary hours as detailed in article 1 :09 before any raise to the next level is given.

1:10 STUDENTTEMPORARIES: The Company may hire employees classified as "student temporaries" to replace employees on vacation. It is mutually agreed that this classification shall be governed by the following rules:

1. Student temporaries will be hired for a specific term or task and will be laid off at the conclusion of said term or task. Employees will be terminated and will not be subject to the right of recall.

2. The employee is not eligible to bid on any posted jobs. However, should no regular employee seek a job vacancy, the Company can fill the job with a Student Temporary employee.

3. The employee will be hired at the student rate as listed in the wage exhibits. The normal shift premiums will apply.

4. Student temporaries, who are hired full time, shall only have seniority as of commencement to full time employment.

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5. The employee is not eligible to participate in overtime unless all permanent employees within the department in which the Student Temporary is employed have been offered overtime.

6. It is understood that Student Temporaries will be laid off first in a lay-off situation.

1 :11 ENGINEERING STUDIES: ln order to achieve greater efficiency and utilization, the Company will require that all employees work to at least the established standard. Employees who fail to maintain the established average production requirements may be subject to disciplinary action in accordance with article 2:10 (a). The parties further agree that the Union will be advised in writing of the current plant average production requirements for. each operation in the plant. The standards will be established through the use of Industrial Engineering studies and those activities where less than the established standard exists will be restructured to achieve the desired level. Restructuring may require machine changes, layout changes, crew changes and process or method changes.

The Union recognizes the need for the Company to remain competitive. The Company will achieve its productivity objectives by ensuring that the established standard and its competitiveness in market place are met.

The Company recognizes the Union's right to challenge engineering studies by the Company, and may have studies prepared by it's own Industrial Engineering Department. Such challenges will be subject to the grievance procedure up to, and including arbitration.

Changes however, will be implemented on a timely basis and will not be delayed pending a challenge study by the Union.

1:12 LABOUR MANAGEMENT MEETINGS:

Monthly meetings between the Company and the Union Executive will be held to foster mutual cooperation and communication. The Company and the Union agree to exchange a list of topics for their meeting as far in advance of the meeting as possible, however, no later than forty-eight (48) hours in advance of the meeting. Minutes of the meetings will be prepared and distributed to the Union's Executive.

1:13 DEPARTMENT MEETINGS.:

The Company will endeavour to continue monthly meetings which will include Departmental Supervisors to assist in maintaining open lines of communication with the employees to promote honest feedback on issues of mutual interest. The meetings will address production requirements, quality, safety and other departmental concerns.

10

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ARTICLE II

REPRESENTATION. GRIEVANCES AND ARBITRATION

2:01 GRIEVANCE PROCEDURE: The Union shall designate representation (herein called the "Union Representative") for the plant. Such Union representation. need not be an employee and may participate in the investigation and adjustment of any grievance arising out of this contract. A representative of the Company shall meet and confer with the Union representative at any stage of the grievance procedure.

2:02 GRIEVANCES:

If any employee has a complaint or dispute arising out of or relating to the provision of the Agreement, it will be resolved in the following manner:

The Employee must discuss the issue with his/her Department Manager/Supervisor or an authorized representative of the Company. A Union representative will be present and the employee will be informed of their rights within the contract. The . Supervisor will investigate the alleged violation and respond verbally within twenty­four (24) hours.

The Union and the Company are committed to full and frank dialogue throughout the grievance procedure with a mutual desire to resolve any and all issues possible.

Step One

If the matter cannot be resolved or the Department Manager/Supervisor does not respond within twenty-four (24) hours, the Union Representative will present a formal written grievance to the Department Manager/Supervisor, or in his/her absence the Manager, Human Resource, citing the articles alleged to have been violated and the remedy sought. All such grievances must be submitted within five (5) working days after the alleged violation or dispute occurred. Otherwise the employee will .have no right to redress under the grievance and/or arbitration procedure. The Department Manager/Supervisor shall give his/her answer within two (2) working days.

Step Two

If the matter cannot be resolved in Step One the Union Representative will present the written grievance to the Manager, Human Resource and in his/her absence the Plant Manager within five working days of the answer received in Step One. The Company will reply to the grievance in writing within five (5) working days of receipt of the Union presentation of the grievance at this Step.

Step Three

If the matter cannot be resolved in Step Two, the Union will request, within five working days of the Company's reply at Step Two, the scheduling of a meeting to discuss the grievance. The employee may be present at the mutual consent of the employee, employer and the Union.

II

;416 510 0891 # 13/ se S-28-03;12:00PM;

The members of the Union Executive and the Company will make themselves available if requested by either party to discuss and resolve the grievance at any time during Step Three of the grievance procedure.

The time periods referred to above may be accelerated, or extended by ·mutual agreement. If the Union fails to comply with the time requirements, the grievance shall be deemed abandoned. If the Company fails to comply with the time requirements the grievance and the remedies requested will be automatically granted.

The Union may initiate a Policy or Group grievance beginning at Step Two of the Grievance Procedure. Such grievance must be filed within five (5) working days of the incident giving rise to the complaint and be in writing. The Union may not institute a grievance directly affecting an employee or employees where such employee or employees could themselves have instituted a grievance and the regular grievance procedure shall not thereby be bypassed.

No Arbitrator or Arbitration Board may extend the time for the taking of any Step in the grievance procedure and Section 48(16) of the Labour Relations Act, 1995, or its successors, does not apply.

2:03 GRIEVANCES BY THE COMPANY: It is agreed that the Company shall have access to the grievance procedure in the same way as any employee. Grievances by the Company shall be submitted in writing to the Union Representative.

2:04 WAGE GRIEVANCE: Grievances involving improper payment of wages may be filed in accordance with section 2:02 without regard to the foregoing five (5) day limitation. The wage adjustment if any, shall not however, be retroactive beyond thirty (30) working days prior to the receipt of a written grievance by the Manager, Human Resources.

2:05 ARBITRATION PROCEDURE:

In the event that the parties can not adjust a dispute under the above grievance procedure, the dispute shall, at the request of either or both parties, be submitted to arbitration within thirty (30) working days of the completion of the grievance procedure. If such grievance is not presented for arbitration within such period of time, the party having such grievance shall have no further right to proceed with said grievance.

Under the terms of this agreement arbitration shall be by a single arbitrator who shall be impartial and named unless and Arbitration Board is mutually agreed upon by both parties. If the parties are unable to agree on a arbitrator within two weeks after initial discussion on this matter, they shall then request the Minister of Labour for the Province of Ontario to designate an arbitrator.

The parties, with legal counsel should either party wish to afford themselves of such assistance, agree to meet no later than thirty (30) days in advance of the date of arbitration. At this meeting the parties agree to exchange all material, witness lists and cases which they intend to rely upon at the arbitration. Any attempted use of 12

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material, witnesses or cases not disclosed in this meeting at the subsequent arbitration shall require leave of the Arbitrator.

2:06 ARBITRATION DECISIONS: Arbitrations shall be confined to the terms of this Agreement and the arbitrator shall not be empowered to alter or amend any of the said terms. The decision, of the arbitrator shall be accepted and be binding ori both parties.

2:07 EXPENSES OF THE ARBITRATOR: All expenses of the arbitrator shall be shared equally by the Union and the Company. The expenses of witnesses for either side shall be paid by the party producing the witnesses.

2:08 STATUS OF DISPUTE PENDING RESOLUTION: Whenever any employee shall consider that the orders or instructions of his/her Supervisor are improper or not in accordance with the Agreement, he/she shall nevertheless, promptly and faithfully obey such orders or instructions. He/she shall make it the subject of the grievance in accordance with the procedures outlined in Paragraph 2:02 hereof. Until such grievance is disposed of, any such aggrieved employee shall continue to conform to orders or instructions of their Supervisor.

2:09 STOPPAGE OF WORK OR LOCKOUT: It is agreed by the Union that during the period of this Agreement, there shall be no strikes, stoppages or slowdowns. In the event that an illegal strike or stoppage of work occurs, the Union agrees that it will use its best efforts, if requested by the Company, to persuade the employees involved to return to work at once. The Company agrees that during the period of this Agreement, there will be no lockout.

2:10 DISCHARGE: The Company has the right to discharge employees for just cause which includes but is not limited to the following:

Sabotage, theft or criminal acts directed at the Company and/or another employee; any use of alcoholic beverages, illegal use of drugs and/or controlled substances while the employee is on Company property, reporting to work under the influence of drugs or alcohol, will result in accelerated discipline as outlined in 2:1 OA and 2:1 OB.

(a) Discipline: The Company has the right to discipline employees for inefficiency, incompetence or safety violations. The Company shall be the judge of the degree of efficiency and qualifications of a worker for a specific job.

For the first occurrence of inefficiency or incompetence, the employee shall be warned by a Supervisor of the Company in writing. On the second occurrence, the employee concerned shall be suspended from work without pay for three (3) working days. On the third occasion, the employee will be discharged.

It is agreed that in cases of gross inefficiency or incompetence, the Company may accelerate the disciplinary action to include longer suspensions or discharge. On such occasions, the Company yvill notify the President of the

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Union and will give him/her the opportunity to discuss the prospective discipline.

(b) An employee who is late/leaves early more than three (3) times in any two (2) consecutive months or absent more than three (3) occurrences in any three (3) consecutive months without just cause will be subject to the following disciplinary measures.

(c)

(d)

(e)

First occurrence:

Second occurrence:

Third occurrence:

Written Notice

Three (3) working days suspension without pay.

Discharge

At the time of discharge of any employee, the Company shall notify the President of the Union and shall give him/her the opportunity to discuss the prospective discharge with the Manager, Human Resource and the Plant Manager prior to finalizing the discharge.

If the Union determines that any discipline or discharge is, in its opinion, unjustified, the matter will be taken up and given precedence for disposition under paragraph 2:02 hereof. Discharge grievances will be taken up at Step Three of the grievance procedure within five working days of the discharge.

Notices of discipline which include written warnings and records of suspensions will remain in the employee's file for a period of twelve (12) months from the last date of occurrence excluding periods of lay off.

Notices of discipline related · to job performance shall remain in the employee's file for a period of twelve (12) months of service on the job. The twelve month period shall not take into account periods of lay off.

(f) The time period for implementing disciplinary action relating to attendance (absenteeism and tardiness) will be seven (7) working days from the occurrence warranting discipline. All other disciplinary actions by the Company will be implemented within five (5) working days of the occurrence warranting discipline or within five (5) working days of the Company having knowledge of the occurrence warranting discipline.

2:11 NOTIFICATION OF ABSENCE: If an employee cannot report for a scheduled shift, notification must be given by the employee by voice mail, available 24 hours per day for calls, on the designated attendance line or to an authorized representative of the Company as early as possible; however, no later that one (1) hour prior to the commencement of the scheduled shift. Failure to advise the Company of the absence may, based on the circumstances, result in disciplinary action due to repeated occurrences.

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ARTICLE Ill

HOURS OF WORK AND OVERTIME

3:01 ·REGULAR WORK WEEK: Shifts now in effect shall be continued. S.uch shifts may be changed from time to time by the Company. The regular work week shall consist of not more than forty (40) hours worked on a schedule of not more than eight (8) hours per day between Monday and Friday, inclusively. For payroll purposes, the work week shall begin on Saturday at 11:00 p.m.

Should production requirements necessitate a change in shift configuration, the parties agree to meet and determine a mutually agreeable resolution.

(a) WEEKEND SHIFTS: When workload demands are such that a normal work week cannot accommodate production requirements, the Company may, at its option hire employees, either plant wide or by specific departments for Saturdays or Sundays to establish weekend shifts to meet production requirements.

Employees hired for the weekend shift (s) would take precedence in working weekend work over overtime offered to regular employees who are subject to article 3:04A, for Saturday and Sunday work only.

If any of the weekend employees were on occasion offered work Monday through Friday, it would be on a fill-in basis and would not displace any regular employee.

(b) WEEKEND WORKFORCE: As detailed in Article 3:01A, the employee hired for Saturday and Sunday work will be subject to the following rules and regulations:

1. Said employees will be placed on the full time seniority list and will be provided all Company benefits and rights within the Collective Agreement.

2. The probationary period will be five hundred and twenty (520) hours.

3. Employees will join the Union, and must pay union dues to the Union if they have worked during the pay period.

4. Regular full time employees who transfer to the week end shift will retain their seniority and will return to their regular job and shift at the conclusion of the term of employment.

5. Week-end employees will be required to work all public and floating holidays and will be paid one and one half (1 11,) times the regular rate for all hours worked in addition to eight (8) hours regular wages for the holiday.

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6. Weekend shift empioyees will be paid time and one half (1 %) for all hours worked on Saturday and Sunday in accordance with the rates and job classifications in the contract.

7. If week-end employees we.re offered work Monday through Friday, on a fill-in-basis, they will be paid the regular rate for all hours worked up to forty (40) hours in one (1) week or eight (8) hours in one day and will be paid one and one half ( 1 %) times the regular rate for work performed in excess of eight (8) hours in one day or forty (40) hours in one week~

8. Employees working the weekend shift would take precedence in working weekend work over overtime offered to regular employees.

9. If on occasion production requirements are such that a weekend workforce is not required, the Company will make every reasonable effort to offer weekend employees hours during the regular work week, except that they would not displace any regular employee.

10. All vacancies for the weekend shift will be posted pursuant to Article 4:11 of the Collective Agreement. If existing employees do not bid for the jobs, the Company will hire to fill the vacancies.

3:02 LUNCH AND REST PERIODS: All employees working eight (8) hours shall be given a paid twenty (20) minute lunch period and one (1) ten (10) minute rest period for each four (4) hours worked each day, without deduction in pay. All rest and lunch periods may be staggered.

Employees working twelve. ( 12) hour shifts shall be given a paid thirty (30) minute lunch period and one (1) twenty (20) minute break in each work day without a deduction in pay.

3:03 THE WORKING DAY: The working day shall be continuous and employees sliall not be compelled to lay off work for any period of time during the day and to resume work thereafter during the same day, except in the case of lunch or rest periods, or by agreement with the Union.

3:04 OVERTIME WORK: All work performed in excess of forty (40) hours in one (1) week or eight (8) hours in (1) day shall be paid at one and one half (1%) times the rate applicable to the job performed on overtime.

(a) All hours worked from 11:00 p.m. Friday to 11:00 p.m. Saturday, will be paid at time and one-half the rate applicable to the job perfomned.

All hours worked from 11:00 p.m. Saturday to 11 :00 p.m. Sunday, will be paid at double the rate applicable to the job performed.

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-All hours worked from 11:00 p.m. on the day preceding a holiday until 11:00 p.m. on the night of the holiday, will be paid at double the rate applicable to the job performed, plus the eight (8) hours pay as specified in 5:07.

(b) The Company will keep overtime to a minimum while qualified employees are on lay-off. The parties agree that the Union will be notified of all overtime prior to working and overtime in excess of two (2) weeks in four ( 4) would be subject to mutual agreement. The Union agrees not to unreasonably refuse to work overtime·.

It is agreed that overtime for regular maintenance will continue as needed.

3:05 SHIFTS AND SHIFT PREMIUMS: Shifts shall be designated as the "day", "afternoon" and "night". The day shift shall begin after 6:00a.m. and before 8:00a.m.; the afternoon shift shall begin after 2:00 p,rn. and before 6:00p.m.; and the night shift shall begin after 11 :DO p.m. and before 1:00 a.m.

(a) HOURS WORKED between 3:00 p.m. and 7:00 a.m. will be paid an a_dditional 0.35 cents.·

(b) An employee's shift shall not be changed during the week unless the change is agreed to by both the Company and the employee involved.

3:06 PYRAMIDING: In no event shall overtime or premium pay provided for in this Agreement be pyramided or duplicated.

3:07 OVERTIME: . When .overtime is necessary, the Company agrees to. post the overtime requirements on the bulletin board at the employee time clock, specifying the departments where such overtime is required. Overtime will be assigned to the employees who have signed the overtime posting and who have the skill and ability

·to perform immediately the work to be done in the following manner: 1. Firstly, to employees on the job where overtime is required and; 2. Secondly, to employees in the department where overtime is required; 3. Third to employees outside of the department.

In the event that there are an insufficient number of qualified employees who volunteer, the Company and the Union will meet to find an appropriate solution. The Company will make every effort to distribute overtime equally as far as practicable amongst employees doing the jobs where overtime is required.

For the purpose of this section, if an employee fails to volunteer for overtime posted by the Company, it will be counted as though it had been worked.

·After committing to work overtime, the employee will be subject to discipline for not working.

The employee must work all of the overtime scheduled on a given day. 17

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Overtime shall not be worked on the day of the regularly scheduled union meeting once per month, unless mutually agreed upon. The Union will notify the Company two (2) weeks prior to scheduling the meeting.

3:08 FOUR 141 HOUR MINIMUM: Any employee reporting for work on orders from the Company shall receive a minimum of four (4) hours straight time pay whether he performs any work or not; except that no employee shall receive such pay if the Company's plant is rendered inoperable because of a major mechanical or electrical breakdown, adverse weather conditions, lack of sufficient number of employees, or other such contingency beyond the control of the Company.

3:09 CALL BACK: An employee who has left the .plant and is called back to work, shall be paid: . (a) The applicable rate for. the job performed, including any applicable premium pay multiplied by the number of hours actually worked or, · (b) Two (2) hours straight time pay, whichever is the greater, plus applicable shift premium pay.

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ARTICLE IV SENIORITY

4:01 BASIS OF SENIORITY:

4:02

4:03

Each employee's seniority shall be equal to the employees last continuous period of service with the Company in the bargaining. unit, including all such continuous service prior to the execution of this Agreement, except as provided in paragraphs 4:1'8 and 4:22 hereof. No seniority rights will, however, be recognized until an employee completes his probationa!Y period as provided in Paragraph 1:09 of this Agreement

SENIORITY LIST: A listing of all active bargaining unit employees, inclusive of their seniority date, residential address and telephone number, will be provided to the Union during the second week in the months of January, March, June and September. The Union will provide a listing of its Executive and maintain current such list.

LAYOFFS OF LESS THAN ONE WEEK: The parties recognize the necessity of short term layoffs caused by shortages of material or other difficulties. It is, therefore, agreed that such short term layoffs may be made from time to time without regard· to seniority except that within a department the least senior employee will be laid off first provided the remaining employees have sufficient skill and ability to perform satisfactorily the work to be done; except that no individual employee shall be so laid off more than eighty (80) working hours in any one contract year. After such lay-off for eighty (80) working hours, the Company must place the employee on another jcib in accordance with his/her seniority provided such employee in the judgement of the Company, possesses sufficient skill and ability to perform satisfactorily the work to be done. Layoffs for the taking of inventory shall be included in the eighty (80) working hour accumulation. The Union will be advised of short term layoffs when possible.

4;04 LAYOFFS OF ONE WEEK OR MORE: (a) TEMPORARY LAY-OFF: In the event of a lay-off exceeding one {1) week but less than thirteen (13), employees will be laid off in accordance with their seniority. The employee with the least seniority shall be the first laid off and the employee with the most seniority shall be the first recalled. If the retained employees are not needed on their regular job, they will be placed in an ·available position based upon their skill and ability to immediately perform the work to be done. The provision is subject to the requirement that the senior employee possesses sufficient skill and ability to perform satisfactorily the work to be done. The Company will make every reasonable-effort to move employees within their respective departments and shift. The employees rate of pay shall be that of the job the employee will perform, Plant seniority within the department on the job will apply to determine who is moved.

(b) INDEFINITE LAY-OFF: In the event of an indefinite lay-off (exceeding thirteen (13) weeks), the employee with the least seniority shall be the first laid off and the employee with the most seniority shall be the first

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recalled. The employee with the least seniority shall be granted plant-wide bumping rights, in accordance with the article 4:04 (c).

(c) BUMPING RIGHTS: Bumping rights shall be granted in accordance with seniority and shall be subject to the following conditions:

1. In situations involving multiple employees; employees with the most seniority shall be the first to select.

2. Employees will be granted a period of twenty-four (24) hours to review their options. If the employee does not comply with the time limits, the Company will place him/her in an available position.

3. An employee can displace another employee in the same or lower job classification and may displace ail employee in a higher classification provided that they have the skill and ability to perform the work to be done within five (5) working days.

4. If the employee elects not to complete the five (5) day probationary period, he/she shall be placed in an available position in accordance with his/her seniority, provided he/she has the skill and ability to satisfactorily perform the job. If no such position exists; he/she will be placed on lay off.

5. The five-day probationary period may be extended by mutual agreement.

6. The employee must demonstrate his/her ability to satisfactorily perform the job after a trial period as determined by the Company (up to a maximum of 10 days),

7. The person displaced by the bump may displace an employee with Jesser seniority in the same manner. If the employee chooses not to exercise their bumping rights or chooses not to complete their probationary period, they will be placed in an available position by the Company and will return to their regular job if it becomes available within a period of one ( 1) year from the date. of transfer.

8. Employees will be required to remain on the job for a period of one (1) year before becoming eligible to bid on another opening. Employees placed by the Company may bid on the next available opening.

4:05 RATE OF PAY IN CASE OF LAY-OFF: Employees will receive the rate of pay of the classification to which they have bumped.

4:06 NOTICE OF LAY-OFF: Employees laid off for more than one (1) week but less than thirteen (13) will receive notice of one (1) week or compensation in lieu of. Compensation in lieu of is restricted to pay for regular non-overtime hours. ·

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Employees laid off for more than thirteen (13) weeks will receive notice as per the provisions of the Employment Standards Act (1997) in effect January 1, 1997.

Less than one (1) years seniority: More than one (1) years seniority: Three (3) or more years seniority:

4:07 SEVERANCE:

one (1) week two (2) weeks one ( 1) week per year' to a maximum of eight (8) weeks. ·

In the event of closure of the Mill, seniority employees with five (5) ormore years of seniority shall receive severance pay calculated on the basis of one (1) week's regular straight time earnings, less legally required deductions, for each year of seniority. Any employee that has received severance pay previously shall have the prior period of seniority excluded from any subsequent severance pay. Seniority shall be based on the most recent date of hire and the last day worked, in accordance to the Employment Standards Act formula.

4:08 LAY-OFF/RETAIN: In case of a lay-off, skilled trades and mechanics may be retained out of seniority for an indefinite period of time on their respective jobs. If problems are encountered with respect to production/manning needs, the Company will inform the Union and

. an amicable resolve to the problem must be agreed upon before any changes can take place. . ·

4:09 RECALLS: Laid off employees will be recalled in reverse order of seniority first to their former job and department and then to other classifications providing that they have sufficient skills and ability to perform satisfactorily and immediately the work available.

4:10 JOB ELIMINATION: . An employee with. seniority whose job or shift ceases to exist, shall be entitled to bump in accordance with his/her seniority and will be granted a five (5) day trial period during which time he/she must perform all the duties satisfactorily. After the five (5) day trial period, the employee will be assigned to the classification and will not be entitled to bid on another job for a period of one year. If the job is recreated within two years, the employee affected by the above will be offered his/her previous position.

4:11 VACANCIES: (a) All vacancies shall be posted for a period of seven (7) worki[lg days. The

Union will be advised of any job vacancies prior to posting. The posting shall contain a job title, shift, the scale to be paid for such a job and a description of the required qualifications. The senior non-probationary employee, applying within the time the job is bulletined, who in the Company's opinion, possesses sufficient skill and ability to perform satisfactorily the work to be done, shall be given the job for a probationary· period not to exceed five (5)

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(b)

(c)

working days, during which time he/she must demonstrate his/her abiliiy to

satisfactorily perform the job. If no such qualified employee bids for the job,

the Company may fill the vacancy as it deems fit. It is the intent of this

paragraph 4:11A that, wherever possible, promotions shall be made from

within the bargaining unit and according to seniority.

The five (5) day period referred to above may be extended by mutual

agreement.

Upon an employee successfully completing his/her five (5) day probationary

period he/she shall be required to remain on that job for a period of one ((1)

calendar year before becoming eligible to bid on another opening.

For job vacancies on the day shift, the senior employee on the same job who

desires the day shift will be placed on that shift within a reasonable amount of

time.

If no such employee exists, the job will be posted and subject to the

conditions in 4:11A.

(d) SHIFT PREFERENCE: Employees requesting a change in shift on the

same job will be given preference (in seniority ranking) if they have made a

request in writing to the Manager, Human Resource, prior to any vacancy

being posted. Otherwise, they will be subject to bidding as detailed in 4:11A.

(e) Day shift being the preferred shift it is understood that all day shift vacancies

exceeding thirteen weeks in duration will be filled.

(f) Day shift vacancies existing due to vacations and/or leave of absence will be

filled as production demands and manpower permits.

(g) Vacancies for the positions of Shift Leader, Maintenance Mechanic and

Millwright, will be posted for a period of seven (7) working days. The most

qualified employee applying within the time the job. is posted, shall be given

the job for a probationary period as determined by the Company (not to

exceed ninety (90) days). The Company reserves the right to determine the

individual qualifications for the position. If in the opinion of the Company, no

qualified employees -have bid for the job, the Company may fill the vacancy as it deems fit.

4:12 DEMOTION (a) An employee being demoted may displace an employee who is the least

senior employee in the job classification on the desired shift, performing work

which the demoted employee possesses sufficient skill and ability to perform satisfactorily. ·

(b) The employee displaced by this action may displace an employee with Jesser

seniority in the same manner.

(c) The person displaced in step two would be placed in an available position in

the bargaining unit in his/her classification or lower. Such a displaced

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employee may bid on the next available opening without regard to the one ( 1) year waiting period defined in paragraph 4:11.

Such demoted employees shall on their first day of the next regular work week immediately following such demotion, be paid the rate in the classification to which such employee is demoted according to his/her length of service with the Company.

(d) An employee demoted for disciplinary reasons will be placed by the Company in an available position.

The Union will be given notice prior to any action taken under4:12 Demotion.

4:13 TRANSFERS DUE TO AGE AND HEALTH: An employee, who because of age or health, finds themselves unable to perform the normal duties of his/her job, shall upon his/her request, or at the request of the Company, and subject to agreement by the Company and the Union, be transferred to a job on the same or lower job classification according to seniority.

Employees having attained sixty (60) years of age and ten (1 0) years of service will not be subject to being bumped off their jobs during the last year prior to retirement.

4:14 TEMPORARY TRANSFERS: If an employee is not needed temporarily on his/her job or is needed temporarily on a different job, plant seniority within the department on the job will apply to determine who is moved provided that the least senior employee possesses the skill and ability to do the job required.

Out of department transfers, the least senior person within the department will be moved provided the employee being moved has sufficient skill and ability to do the job required.

In such temporary assignments the employee's rate shall be his/her regular rate or the rate of the job temporarily assigned to, which ever is greater.

Temporary transfer will not exceed ten (10) working days unless otherwise mutually agreed to by the Employee, Union and the Company. Assignments exceeding ten (10) days or the agreed to extension will be posted in accordance with article 4:10 and the transferred employee will be required to remain on the job until a suitable replacement is found.

The Union will be advised of transfers when possible.

4:15 LEAVE OF ABSENCE: (a) An employee requesting a leave of absence for good cause (other than

sickness or injury) must make application to the Manager, Human Resource, at least thirty (30) calendar days prior to the dates requested.

The employee and the Union will receive written confirmation of approval or the reason for denial within five (5) working days of the request being submitted.

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The leave of absence shall be subject to the following conditions:

(1) Employees with less than six (6) months service shall not be granted a leave of absence.

. ' . (2) The initial leave of absence shall not exceed three (3) months. This

leave may be extended for additional periods of one (1) month each up to a maximum of one ( 1) year.

(3) Any employee who is on leave shall continue to accumulate seniority for the first six (6) months with previous job guaranteed and a job of similar nature guaranteed for the next (6) months without accumulating seniority.

(4) Leave of absence will be granted to an employee upon request if a member of his/her immediate family is seriously ill or injured without regard to the thirty (30) day notification. In cases of indefinite absences, extensions shall be granted on monthly reviews. ·

(5) Employees must use all vacation entitlement prior to requesting a leave of absence.

(6) Vacation requests will supersede any request for leaves of absence where the combination of requests exceeds the number that production schedules will allow. This provision does not apply to already approved Leave of Absences.

(b) Employees elected as representatives of the Union shall, upon giving two weeks written notice to the Company, be granted a leave of absence to attend conventions or official business of The Joint council, provided that the leave of absence shall not be requested for more than three (3.) employees at one time. The above lost time will be paid by the Company and reimbursed by the Union.

(c) Any other employment during any leave of absence without the written permission of the Company shall be cause for dismissal.

4:16 ILLNESS: Any employee who is ill or who suffers an injury after a period of three (3) days and pursuant to a satisfactory physicians certificate shall be granted a sick leave.

The Company reserves the right to question medical certificates and to have an employee who is on sick leave examined by a licensed physician at the Company's expense. In an emergency situation, a request for approval of a medical leave, must be made to the Manager, Human Resource verbally within three (3) days and in writing within ten (1 0) days. In non-emergency cases, medical leaves must be approved prior to the date of the leave.

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Employees on medical leaves, must report address and telephone number changes to the Company and keep the Company informed of changes in their medical condition on a regular basis.

Employees on extended medical leaves will be required to give the Company reasonable notice of their return to work.

The employee cannot accept other employment while on medical leave without the approval of the Company.

The Company will make every reasonable effort to provide meaningful employment to an employee returning from medical leave; be it their regular position, modified work or other suitable employment.

4:17 SENIORITY/MEDICAL LEAVE: (a) Any employee who is injured after the date of this agreement, while at work with the Company (Workmen's Compensation injury), shall continue to accumulate seniorityduring the period of recovery from such an injury up to:

1. The date the employee agrees to participate in a Workers' Compensation Board "Vocational Rehabilitation Plan", unless such plan will facilitate the employee's return to work with the Company;

2. the date the employee is no longer disabled and is capable ofretuming to work;

3. the date the employee reaches their maximum recovery;

4. the date the employee commences another job;

5. a maximum period of two (2) years from the last date of absence for the injury.

(b) Any non-probationary employee on sick leave granted or extended pursuant to article 4:16 shall ·continue to accumulate seniority during the period of recovery from the injury or illness up to two years from the commencement of original leave. Subsequent to two (2) years of leave, the employee would still be subject to the conditions of Article 4:16, however, any return to active employment, would be on the following conditions.

1. If the employee demonstrates his/her ability to satisfactorily perform a job which will include providing medical certificates showing that they are fit and healthy to perform a full time job, the Company will place the employee in a position, when an opening is available.

2. The seniority retained (up to two (2) years after the commencement of a medical leave) cannot be used in displacing another employee on their return to employment, however, it may be used in future job bids as specified in 4: 11A and in any subsequent layoff situations.

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3. The employee will not be subject to the normal probationary period for

benefits and union status, however, they must demonstrate within

three (3) months of the return to work that they are capable of

performing the job assigned.

(c) Seniority for all purposes continues to accrue during pregnancy and pa~ental

leaves and, following the leave, the employee must be reinstated to the same

position if it still exists, or to a comparable position if it does not. On

reinstatement, the employee must be paid at the rate paid when the leave

commenced or, if it is higher, at the rate the employee would be earning if he

or she had worked through the leave.

An employee who is entitled to take pregnancy or parental leave cannot be

terminated or laid off, disciplined or suspended because he or she is so

·entitled, or has ih fact applied for or taken such leave.

While an employee is on pregnancy or parental leave, the Company must

continue to make Company contributions to pension, life insurance,

accidental death, extended health and dental plans unless the employee has

advised the Company, in writing, that he or she does not wish to continue to

make the employee contributions (if any) to such plans. The pregnancy and

parental leave provisions of the Act apply to full-time and part-time

employees.

The Company is not required to pay wages to an employee while he or she is

on pregnancy or parental leave.

4:18 EMPLOYMENT DURING LEAVE OF ABSENCE: Any other employment during any leave of absence without the written permission of

the Company shall be cause for dismissal.

4:19 JURY SERVICE/SUBPOENAED WITNESS: Non-probationary employees who are summoned to jury service or who are a

subpoenaed witness will be paid eight (8) hours straight time pay at the employee's

regular hourly rate for each day of jury service or testimony. This applies to the

regular 'JVOrk week only.

To be entitled to receive this pay, the employee must apply for a leave of absence to

the Manager, Human Resource, providing a copy of the court request for their

attendance. A court voucher must be submitted subsequent to attending detailing

the dates of service.

Employees will not receive this service pay for any days which they have received

vacation pay or holiday pay. An employee who is on leave of absence, subject to

4:15 or 4:16, lay-off, paid bereavement leave or who is accruing Worker's

Compensation Benefits, will not be paid service pay while on such status.

An employee performing service shall return to work on the first (1s1) regular work

day after being excused from such jury service or testimony.

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4:20 BEREAVEMENT PAY: Non-probationary employees will be granted a paid leave. up to three (3) working days, one being the day of the funeral or ceremony, when a member of the "immediate family" dies. Each days pay will be calculated on the basis of the employee's regular straight time rate of pay and pay shall be applicable only to the days within the employee's regular work. week.

The.term immediate family is defined as consisting of the following family members only: brother-in-law, sister-in-law, daughter-in-law, son-in-law, Grandparent in-law, and the employee's grandparents and the employee's grandchildren.

In the event of the death of a mother, father, spouse mother-in-law, father-in-law, brother, sister or child of a non-probationary employee, the Company will grant five (5) working days paid bereavement leave, one day of which will be the day of the funeral or ceremony.

A request for approval for paid bereavement leave must be made in writing to the Manager, Human Resource with reasonable documentation of the death attached.

Employees will not receive bereavement pay for any days for which they have received vacation pay or holiday pay, neither will they receive bereavement pay if they are on leave of absence; lay-off, paid jury service or when accruing Worker's Compensation Benefits.

4:21 LOSS OF SENIORITY: An employee shall lose his/her seniority only if:

(a) He/she voluntarily leaves the employ of the Company or the Company, at its sole discretion, may offer a severance package to terminate an employment relationship with any employee. The employee will be offered the assistance of a local Union representative;

(b) He/she is discharged for cause, as provided in this agreement;

(c) He/she has been laid off for a consecutive period of two years or more;

(d) He/she has remained away from work after the expiration of any leave of absence granted under Article IV hereof;

(e) Upon recall from lay-off, he/she fails to report for work within three (3) working days and within ten (10) if the employee is employed elsewhere.

(f) . He/she has been laid off for a period of Jess than two (2) years and has not . notified the Company in writing of address and telephone number changes.

(g) As otherwise provided in this agreement.

4:22 TRANSFER TO A POSITION OUT OF THE UNION: Any bargaining unit employee with two (2) or more years of seniority who is transferred to a position with the Company outside of the bargaining unit shall retain

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4:23

his/her seniority as of the date of transfer for a period of three (3) months from said transfer date.

TRANSFER TO A FULL TIME POSITION WITH THE UNION: A member of the Union elected or selected for union duties with Union Needletrades, Industrial and Textile Employees which necessitates his/her absence from employment with the Company may, upon written application by the Union, be granted leave of absence without pay and benefits.

If leave is granted, the employee will retain and accumulate seniority for a maximum period of twenty four (24) months.

4:24 REINSTATEMENT COMMITTEE: The Company agrees that every employee who suffers injury by accident arising out of and in the course of employment (within the meaning of the Worl<place Safety and Insurance Act) shall be reinstated in the position he/she held on the date of injury or provided with alternate employment of a nature and at earnings comparable to the employee's employment on that date. The Company agrees further to modify the job to accommodate the worker in accordance with the current Workplace Safety and Insurance Board (WSIB) Act".

The Company further agrees to establish a Reinstatement Committee comprised of not more than two (2) representatives of the Union and two (2) representatives of the Company. The Committee's terms of reference are to clarify the employment opportunities for injured workers and to establish light duty classifications to which they may return, or to modify. the worker's existing job or other jobs deemed to comply with their capabilities.

The Committee will interview those employees identified in order to determine:

1. The type of work the individual is capable of performing;

2. The medical and physical restrictions imposed on the individual by a legally · qualified medical practitioner(s);

3. The level of the individual's physical and occupational abilities.

4. The level of educational qualifications possessed by the individual.

5. The type of training or modification of the job required in order for the individual to fully and capably perform the major responsibilities of an available rehabilitative employment assignment.

The Committee, if it deems it necessary, may provide for those employees identified, and with consent of the Company, an independent medical assessment, and educational assessment, educational upgrading, on-the-job training and/or Company sponsored training, and ongoing medical and physical rehabilitation.

On receiving notification from the Workers' Compensation Board that a worker is able to perform modified work, the worker shall be placed on leave until such time as a suitable job is found for the worker.

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ARTICLE V

VACATIONS AND HOLIDAYS

5:01 VACATIONS:

Employees in the bargaining unit will be entitled to vacation with pay based upon attained seniority as of June 30th in the year as per the following:

--SENIORITY-­AS OF JUNE 30

Less than 1 year More than 1 year More than 5 years More than 12 years More than 20 years In the 25th year 30 +years

VACATION PAY % ENTITLEMENT

4% 4°k 6% 8%

10% 12% 12%

VACATION TIME ENTITLEMENT

. None 2 Weeks 3 Weeks 4 Weeks 5 Weeks 6 Weeks 6 Weeks

Vacation pay will be calculated to June 301h and will only be paid as vacations are

taken or paid out the Friday immediately preceding the Christmas holidays.

When an individual leaves the employ of the Company, he/she shall be paid the amount of the vacation accrual at the time of separation tO' which he/she is entitled on the above basis. When an employee is laid off indefinitely, the Company will at any time during such lay-off upon request, pay that employee the amount of his/her vacation accrual at the time of his/her lay-off to which he/she is entitled on the above · basis.

Employees who, when laid off for an indefinite period, receive their vacation pay and who return to work prior to the next June 301

h, will have such payments deducted from their vacation pay as computed above.

The length of a vacation shall be increased by one day with pay for each recognized statutory holiday falling within an employee's vacation period.

(a) Any employee who has been absent from work for over ten (1 0) days (on a single occurrence) during the vacation year for a Workmen's Compensation injury, but has worked a minimum of one thousand (1000) hours, shall be paid his/her vacation entitlement on the average weekly earnings lost to maximum of 6%

5:02 VACATION RESTRICTION: Vacations are not cumulative from year to year and if taken must be scheduled in the vacation year for which they are earned. Employees must take two (2) of his/her vacation entitlement prior to December 31st of the calendar year; which may be a two week period or two periods of one (1) week each in accordance with the Employment Standards Act ( 1997) of Ontario in effect January 1, 1997.

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5:03 SPECIFIED VACATION PERIOD: (a) The Company may elect to close the plant for a specified vacation period; (b) Vacation schedules will be posted by April 15th of each year.

5:04 SENIORITY/VACATION: Vacation requests for the peak period May to September submitted prior to February 15th of the Calendar year will be granted in accordance with departmental and plant wide seniority and produCtion demands. The Company agrees to provide a written response to each of the vacation requests submitted by February 15th on or before March 15th. The Company will also post a vacation calendar on the employee bulletin board on or before March 151

h as well and updated monthly thereafter. Failing receipt of a written notice of objection from an affected employee(s) on or before March 31st the posted calendar will be deemed to be accepted. Requests

• received after February 15th will be granted on a first come first serve basis with consideration given to an i:m1ployee's seniority where circumstances permit. Except in emergency situations and with prior approval, employees shall apply for vacation at least four (4) weeks prior to the time to be taken.

For vacation requests received subsequent to February 151h, the company agrees to

provide written response as soon as possible, however no later than four weeks after the vacation request having been submitted. As above, the Company agrees to update monthly the calendar. Failing the receipt of a written notice of objection from an affected employee(s) wiihin fifteen calendar days of the updated calendar being posted, the posted calendar will be deemed to be accepted.

5:05 CONSECUTIVE DAYS ALLOWED: The Company reserves the right to limit an employee's vacation to two (2) consecutive weeks. Upon written requests, additional consecutive weeks will be allowed with the approval of the Company and depending upon production requirements. Should vacation requests exceed the number that production will allow, seniority will prevail. Written vacation requests must be submitted four ( 4) weeks prior to the time th.e vacation is to be taken.

5:06 CONSECUTIVE DAYS: All vacations shall be taken on consecutive days unless the Company, the Union and the employee agree on a different division of the vacation time. Vacations shall not be changed without thirty (30) days' notice, or the consent of the employee involved.

5:07 HOLIDAYS: Employees who qualify hereunder shall be paid eight (8) hours straight time pay for each of the following holidays, or the dates on which they are observed, although no work is performed on such days: New Years Day, Good Friday, Victoria Day, Dominion Day, Civic Holiday, Labour Day, Thanksgiving Day, Christmas Day and Boxing Day. FLOATING HOLIDAYS: During the term of this agreement, three (3) floating holidays will be observed on the following days: Christmas Eve, third Monday of February and incorporated into the Dominion Day Weekend. Employees who work

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on said holidays shall be paid in addition to holiday pay, double time for all lime worked.

5:08 RULES FOR HOLIDAY PAY: Employees shall qualify for holiday pay if they work the full scheduled work day preceding the holiday and the full scheduled work day following the holiday, ,within· the work week; unless the employee is absent with just cause.

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ARTICLE VI

WAGES

6:01 WAGE RATES: The rates effective for each classification are as indicated in Exhibit "A".

Such rates are minimum of pay only. The Company may not pay less than these

rates, but nothing in the agreement shall prevent, upon agreement between the

Company and the Union, the payment of rates higher than those listed in Exhibit "A".

6:02 UPGRADING: Employees who obtain a classification as a result of a vacancy as stipulated in

article 4:11, will receive the rate of pay for said classific.ation. Such changes in the

rate shall become effective the first day of the first pay period following such

transfer.

Classification of new or changed jobs will be decided by the Pay Equity Review

Committee. Subject to evaluation. ·

6:03 Premiums for Cross Training and Job Seniority

(a) Cross training and job seniority premiums are paid on a straight time basis for all

hours worked. (b) Cross training and job seniority premiums are exclusive of earnings for purposes

of vacation pay, bereavement pay, holiday pay and pension contribution.

(c) Employees with permanent physical restrictions that cannot perform jobs will not

be cross trained nor receive training premiums for jobs they cannot perform.

Optional cross training within the physical limitations will be arranged with the

Manager, Human Resources or the Plant Manager.

(d) Eveiy cross training should be completed and certified before proceeding to the

next training in order to receive the premium. The training will be validated by

the Supervisor on an annual basis; however, failure to do so will not reduce the

premium paid. (e) Cross trained employees will be assigned to other jobs that they are qualified on,

based on availability, demand or at any time for purposes of efficiency; however,

if two (2) or more trained employees are available, the most junior qualified wi!!

. be assigned. · (f) Janitor cross training will be available to employees that wish to increase their

premium rate by the specified amount, if training is requested and approved by

the Plant Manager, such requests will not be unreasonably withheld.

(g) Cross training for jobs currently included in the specific job descriptions will not

be eligible for premiums.

(h) Seniority premiums apply to any job held regardless of shift occupied.

(i) Ski!!ed Trades and Set Up Technicians are entitled to the seniority premium

based on attendance. Ul Student temporaries will be eligible for eighty (80) percent of the cross training

premiums.

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;416 510 0891 # S4/ 56 5-28-QSj12:0QPM;

(k) An employee who is transferring at the Company's request or replacing a retiring employee or has been bumped off his/her job will have his/her seniority and cross training premium continued subject to undertaking the eros~ training in the new job. (/) An employee that has successfully bid for a posted vacancy under Article 4.11 will receive the applicable premiums for his/her new position. · · '

Attendance Application (m)Each employee, based on their individual record of attendance, will receive the · full amount of the cross training and seniority premiums provided that their absentee level is below four (4) percent in each rolling twelve ( 12) months. For this purpose, absenteeism will not include bereavement leave, periods of layoff, vacation days, short term nor long term disability or work shortage. (n) Each employee with an absentee level greater than four (4) percent will receive one-half of the premiums for the month. (o) Absenteeism will be calculated based on, hours missed divided by hours scheduled times one hundred (1 DO).

33

5-28-03; 12:00PM; ;416 510 0891 # 35/ 56

ARTICLE VII

GENERAL PROVISIONS

7:01 BENEFITS: The Company will continue to pay contributions and/or premiums to provide an employee benefit plan as specified in Exhibit "B".

The Company, however, reserves· to itself the exclusive right to select the identity of the insurer and may as it elects change the insurer, provided that the benefits or ·coverage under such new insurer's plan will be at least equivalent to the present benefits and coverage.

7:02 LIMITATIONS: It is hereby understood and agreed that the employees and the Union have only those· rights, privileges, benefits or immunities which are affirmatively and specifically set forth in this Agreement.

7:03 BULLETIN BOARD: A bulletin board will be provided by the Company for the Union's use. The Union shall have the privilege of posting notices concerning its official business and social activities upon such bulletin board. All Union notices to be posted must first be approved by the Manager, Human Resource.

7:04 NON-CONFLICT WITH PROVINCIAL AND FEDERAL LAW: Should any part of this Agreement be construed by proper authority or by mutual agreement to be in conflict with any mandatory Provincial or Federal Law, the same shall be rendered null and void and the appropriate mandatory provision of the Provincial or Federal Law shall prevail.

7:05 SAFETY AND HEALTH: The Company shall make reasonable provisions for the safety and health of the employees during work hours and shall provide all reasonable protective devices and other equipment to protect them from injury.

Employees will work in a safe manner, observe health and safety rules and procedures and maintain protective equipment in good condition.

When a work accident occurs, the employee will be supplied with the documentation related to the Company's modified work program and will have said documentation filled out by the attending physician. The documentation shall be returned to the Company prior to the start of the employees next shift. After visiting a doctor, if the emplo'yee is told not to return to work by the Doctor he/she will be paid the remainder of the shift at the straight time hourly rate.

Employees will have the right to refuse unsafe work in accordance with the provisions of the Occupational Health and Safety Act of 1990.

34

5-28-03;12:00PM; ;416 510 0891 # 36/ 56

a) S\,lmmer Heat -Rest periods will be scheduled in accordance with the threshold limit values recommended by the American Conference of Governmental Industrial Hygienists (ACGIH).

A Worker Health and Safety Representative (or their designate) along with a Management Representative will conduct wet bulb globe temperature (WGBT) readings in specified areas of each department as required or upon demand ..

7:06 THE SUBDIVISION OF THE AGREEMENT INTO SECTIONS: the enumeration/print font of the paragraphs, and the general designation of the subject matter in section heading is for convenience only and has no legal significance.

7:07 DEFINITION OF SPOUSE: The definition of spouse under the terms of this agreement is defined as a person of the same or opposite sex who has co-habited for a period of twelve months.

35

5-28-03; t2:00PM; j416 510 0891 # 37/ 56

ARTICLE VIII

8:01: NEW EMPLOYEES: New employees to Glenoit Corporation of Canada will, before commencement of

employment, and without adverse effect to the plant, be introduced to the area

Union Committee person, on their shift.

36

5-28-03; 12: OOPM; ;416 510 0891 # 38/ 56

In witness whereof, the parties hereto have hereunto-,affixed'-theirfia- as and. seals the day and year first afore written. ~:',, y -

\ '\ " . '

/ '-

BY: Fernando Arbelaez, Plant Manager

Peter Jovanovich, Manager, Human Resource

Kyle Bulyaki, Payroll/Human Resources

UNION OF NEEDLETRADES, INDUSTRIAL AND TEXTILE EMPLOYEES C.L.C., AFL-CIO, LOCAL 971

BY: Stephen Droeske, President

Margaret Steffler, Vice President

Donna Rudow, Chief Steward

Heather Mayberry, Secretary

B. J. Cardy, District Rep.

37

5-2.8-03; 1 2:OOPM;

SHIFf LEADER

I MACHINE OPERATOR 11

. [Blender [ Baler

]Kettletender/l;xtractOr Mti.Hdlr. [Carding Operator

I SHIFf LEADER lead Kn!tling Mechanic

[Pattern Mechanic Knitting Mechanic

KNITTING MECHANICS AND S.L. SHIJUL.D ''NO>W i'!nw TO "til': ERA TF MAIOHIIlES SET UP TECHNICIAN

SET-UP TECHNICIANS SHOULD BE IN1"ERCHAN13E!\BLH"? MACHINE OPERATOR I

. [Knitting Operator [

I GENERAL LABOURER I Knit Rollup Table Operate

[Roving Handler I

!SHIFf LEADER lead Shear Mechanic

S.L'S SHOULD BE. INTERCHANGEABLE MACHINE OPERA TOR 1

[Coater Operator I Flnlsil Operator

I GENERAL.LABOURER :· .. [Sewing Machine Operalo~ Coater Exit Operator [Tumbler Operator · I

I Inspector/Packager

I MA<OH!r<E OPERATOR I.

[Finishing Inspector I Material Handler/Shipping

I I GENERAL LABOURER

[Creeler & Packager

I GENERAL LABOURER Janitor

I I MACHINE OPERATOR J

[scrap Baler Operator [

I"'"''·"" TRADES [Millwright I Jndustn'al Maintenance Me

[Setup Technician 1 Electrician

;416 510 0891 # 39/ 56

'A'

2003

3B

5-2.8-03; 12: OOPM;

SHIFT LEADER

I .I MACHINE OPERA TOR 1

!Blender 1 Baler

IKeltle\ender/Extractor Mti.Hdlr.

!Carding Operator

jSHIFT LEADER Lead KniHing Mechanic I Pattern Mechanic Knit1ing MeChanic

KNITTING MECHANICS AND S.L SHOULD SET UP TECHNICIAN .

6.0%

15.10 l 4.2% 15.10 4.2% 15.10 I 4.2% 15.10 . 4.2% 15.10 1 4.2%

6.0% 7.7% 7.7%

SET·UP TECHNICIANS SHOULD BE "I ITERCHAI,GiiAEILE--NCI Pf~E~<IUM MACHINE OPERATOR I

IKniHing Operator I IGENERALLABOURER I Knit Rollup Table Operalo I Roving Handler I !SHIFT LEADER Lead Shear Mechanic

S.L'S SHOULD BE INTERCHANGEABLE 'MACHINE OPERATOR I jCoater Operator I Finish Operator

I . I GENERAL LABOURER

!Sewing Machine Operate~ · Coater Exit Operator

!Tumbler Operalor I

I ICCIST()ME'R SERVI<jSHIFT LEADER Lead Inspector/Packager

I I MACHINE OPERATOR I /Finishing Inspector I Material Handler/Shipping

I I GENERAL LABOURER

JCreeler & Packager

jGENERAL LABOURER Janitor ·

I I MACHINE OPERATOR I

JScrap Baler Operator I !Millwright ] Indus/rial Maintenance Me

jSetup Technician I Electrician

;416 510 0891 # 40/ 56

2004

39

5-28-03;12:00PM;

S I r.

SHIFT LEADER

I I MACHINE OPERATOR 1

!Blender I Baler

[Kettletender/Extrac:tor Mtl.Hdlr. .

!carding Operator

!SHIFT LEADER Lead Knitting Mechanic

IPatterh Mechanic Kni1ling Mechanic

KNITIING MECHANICS AND S.L. SHOULD SET -UP TECHNICIAN-

SET-UP TECHNIClANS SHOULD BE INl"ERCHANGE,Bl£-t~O IPRIOMIUM MACHINE OPERATOR I

!Knitting Operator I

!GENERAL lABOURER I Knit Rollup Table Operate

!Roving Handler [

I SHIFT L~DER I Lead Shear Mechanic

S.L'S SHOULD BE INTERCHANGEABLE MACHINE OPERA TOR. I

ICoaterOperator ! Finish Operator

I GENERAL LABOURER

!Sewing Machine Operatori Coater Exit Operator

!Tumbler Operator

lcusTtJME'R SERVI<)sHIFT L~DER I Lead lnspectoriPac:kager

I I MACHINE OPERATOR I

[Finishing Inspector· ! Material Handler/Shipping

i I GENERAL LABOURER

ICreeler & Packager

~GENERAL LABOURER Janitor

i I MACHINE OPERATOR I

!Scrap Baler Operator · I

!Millwright I Industrial Maintenance Me I Technician I

; I i!! I

;416 510 0891 # 41/ ~6

2005 Ill

40

5-28-03; 12:00PM; ;416 510 0891

I PREPARATION

J I 1 l I q i f I i 'I

I' I I I 'J j ll

~ MAlWl.JD. 1.~. IQIAL

12EE8.B.IM !08 Cl A$$1f!CAI!ON ~=;~==~i------~--,""~--;;.,~--;;;J--;;-;;~--;;"'~--;;J PREPARA SHIFT LEADER 16.05 0,00 0.11 0.07 0.07 0.07 0.11 0.44

0.00 MACHINE OPERATOR 1 0.00 Blander 15.10 Baler Kettletender/Extractor MU.Hdb:. Carding Opero.tor

KNITTING SHIFT LEADER Lead Knitting Mechanic Pattern Mechanic Knitting Mechanic

SET UP TECHNICIAN .

MACHINE OPERATOR I Knitting Operator

15.09 15.10 15.10 .15.10 \

0.00 16.05 16.30 16.30 16.05 0.00

. 1?.00 0.00

15.10 0.00 0.00

GENERAL LABOURER 0.00 Knil Ro!lup Table Oparator Roving Handler

FINISHING SHIFT LEADER Lead Shear Mechanic

MACHINE OPERATOR I Coater Operator Rnish Operator

GENERAL" tABOURER·. Sewing Machine Operator Coater Exit Operator Tumbler Opemtor

CUSTOMESHIFT LEADER Lead Inspector/Packager

MACHINE OPERATOR I .. Finishing Inspector Material Handler/Shipping

GENERAL LABOURER Creeler & Packager

MAINTEN GENERAL LABOURER Janitor

MACHINE OPERATOR. I Scrap Baler Opeliltor

SKILLED TMIIIwrighl lnduslrial Maintenance Mec Selup Technician Electrician Millwright Appren\lce

Hi.10 14.65

. •0.00 15.05 16.05 o.oo 0.00

15.55 15.10 o.oo

:..a.o·o 14.80 14.80 14.80 0.00

15.80 0.00 o.oo

~.0.00 . 15.10 15.30 o.oo

14.80 0.00 0.00 0,00

·14.3o 0.00

15.10 0.00 0.00

20.27 16.72 17.00 20.76 15.37

0.00 0,00 0.51

.. 0.29 0,55

·o . .w 0.44 0.00 0.40 .o.sg. 0.40 0.40 0.00 ·a.oo 0.00 0.55 0.00 0.00 0,00 0.44 0.55 .o.oo 0.44 0.51 0.00 0.00 0.44 0.66 0.00

"">~-0.00 . 0.48 0.40 0.48 0.00 0.37 0.00 0.00 ci.qo 0.40 0.37 0.00 .0.44 0.00 0.00 0.00

... ~ci.51 ~ 0,00 0.55 0.00 0.00 0.00 0.00 0.00 0.00 0.00

0.00 CARD DY-HS 0.00

DJB DYE 0.00 0.07 0.07 0.07 0.11 0.00 0.11 0,07 0.11

0.18 DYE 0.00 0.11 0.07 0.07 0.11

·0.18 CARD " '=o.Oo 0 •. ~1 . -o.or .. : a·.az . "

0.18 CARD 0.00 0.11 0.07 0.07

... ... ... , .·· .. . '· ~:. ~:., . ~::-=:r· .• --,. .. ,· .. .:.:· .. ··

... ·. .·.-

0.07

"

. ~· .. :<:> ..... . .. ;_ ~-"·> ....

0.07 0.07

# 42/ 56

41

S-2S-03;12:00PM;

....------' I I

"' I It P.EEtJllM JOB CJ ASSIF!CATJON

PREPARA SHIFT LEADER

MACHINE OPERATOR 1 Blander Baier KettletenderiExtraCtar Mti.Hdlr. Carding Operator

KNITTING SHIFT LEADER Lead Knitting Ma~:hanic Pattern Mechanic Knitting Mechanic

SET UP TECHNICIAN

MACHINE OPERATOR I Knltling Operator

GENERAL LABOURER Knit Rollup Table Operator Roving Handler

FINISHINGSH/FT LEADER Lead Shear Mechanic

_ MACHINE OP.ERATOR i. Coater Operator FiniSh Operator

GENERAL lABOURER-:::--. Sawing Machine Oparator Coater Exit Operator Tum~ler Qpar.ator

CUSTOME SHIFT LEADER Lead lnspectorJPackager

MACHINE OPERATOR l Finish! ng J nspector Material Handler/Shipping _

GENERAL L;AB!JURER, Creeler & Packager

MAINTEN GENERAL LABOURER Janitor

MACHINE OPERATOR I Scrap Baler Operator

SKILLED T Millwright lndustr1al Maintenance Mec Setup Technician ElectriciBn -M!Uwright Apprenllce

16.05 0.44 0,00 0.00 0,00 0.00

15.10 0.51 15.09 0.29 15.10 0.55

. _ 15.1o __ o.44. ,,~·-·

- .. , ... 15.10 0.44 0.00 0.00

16.05 0.40 .1s.Jri · -o.sa !).18 16.30 0.40 0.18 16.05 0.40 MB

0.00 0.00 no<i ·· ·o.oo · · ,·_ · .':•' ···:-'·'· 0.00 0.00

15.10 0.55 0.18 0.18 o.oo iJ.oo .0.00 0.00 0.00 0.00

15.10 0.44 14.65 0.55

··• .o.oo . o,oo ·-: :,,;<:T'•x···~•-':'. ···:·· •;:-;.,-16.05 0.44 16.05 ·0.51 o.oo . g.no

.!).00 0.00 15.55 0.44 15.10 0.66 0.00 0.00

::; -.o.oo · ~- :::. ::p:nQ ~:s,~·,:;-;. 14.60 0.48 14.80 0.40 14.80 0.48 0.00 0.00

15.80 0.37 0.00 0.00

:::: , ::~~ .. ·• :::'•J . , .C: 15.10 0.40 15.30 0.37 0,00

.14.80 0.00 0.00 0.00

14.30 0.00

15.10 0.00

.Q;OO 20.27 16.72 17.00

. 20.76 15.37

0.00 0.44 0.00 0.00 0.00 0.~1 0,00 0.55 0.00 0.00 0.00 0.00 0.00 0.00 0.00

.. :·

'I ! 'I

;416 510 0891

KNITTING

0.22 ·0.22 0.22 0.22

..... , :·::'' ·'/'•·:.:.:•:

···-·-_:, __ :

0.11

.~· .

.·:

.· .

# 43/ 56

0.11 0.07

·o.o7

0.11

0.11

0.11

0.11 0.07

0.11

42

5-28-03; 12:00PM; ;416 510 0891 # 44/ 56

I FINISHING

I 1 I .§'

1 it li ';1 if lt ,g

1 i I v ti ~ 9 J 0

" I I 3 g J a I ~

'M" "'n OEpARTM.!OR Cl ASS!f!CAIION .n;)J~. IQJAI.

PREPARA SHIFT LEADER 16.05 0.44 0.00 0.00

MACHINE OPERA TOR 1 · 0.00 -0.00 Blender 15.10 0$1 Baler 15.09 0.29 KetUetender/Exltaclor 15.10 0.55 Mfl.Hdlr. 15.10 0.44 Carding Operator 15.10 0.44

0.00 0.00 KNITIING SHIFT LEADER 16.05 0.40

Lead KniU'1ng Mechanic 16.30 0.59 Pattern Mechanic 16.30 OAO Knitting MechanC 16.05 0.40

0.00 0.00 :•.:·'<:'- I•· .. -- ....... :'·'t' SET UP TECHNICIAN MD < .· '~~ • . r :· 17.00 ·- . :.". .·::.. .. 0.00 0.00

MACHINE OPERATOR I 15.10 0.55 Knitting Operator 0.00 0.00 ...

0.00 . 0.00 "

GENERAL LABOURER 0.00 0.00 Knit Rollup Table Operator 15.10 0.44 0.11 0.07 0.07 Roving Handler 14.65 0.55 0.11 o.or 0.07

0.00 oQ.OO. . _·,, FINISHINGSHIFT LEADER 16.05 0.44 0.18

. Lead Shear Me~::hanic 16.05 0.51 0.18 0.15 0.11 0.00 0.00 I MACHINE OPERATOR I o:oo 0.00

Coater Operator 15.55 0.44 0.18 0.11 0.07 0.07 Finish Operator 15.10 0.66 0.18 "0.15 0.07 0.07 O.o? 0.00 0.00

I :• ..• ,, .•': 1':';· _., : .. -~:<.'~ .. GENERAL' LABOURER- 0.00. •. 9~00 ~~:: .. < .: ..... '. -~~- -~:-,:;::,;:.-.::· .. '.i_:: '" Sewing Macrnne OperatOr'

_...__ ·"··--.. .... .. : .. :-- ·· o.oi 14.80 0.48 0.11 Coater Exit Operator 14.80 0.40 0.15 0.11 Tumbler Operator 14.80' 0.48 0.11 0.07 0.00- ·0.00

CUSTOMESHIFT LEADER 15.80 0.37 0.11 0.07 Lead Inspector/Packager ODO 0.00 0.00 0.00

I MACHINE OPERA TOR I - 0.00 O.OQ Finishing Inspector 15.10 0.40 0.11 0.07 Material Handler/Shipping 15.30 0.37 0.07 0.00 0.00 GENERAL LABOURER 14.80 0.44 0.11 Creeler & Packager 0.00 0.00

0.00 0.00 MAINTEN GENERAL LABOURER 0.00 0.00

Janitor 14'.30 '0.51 . ._ 0.07 0.07 0:07 .. 0.00 0.00

MACHINE OPERATOR I 15.10 0.55 0.07 Scrap Baler Operator o.oo 0.00 . 0.00 ·o.oo

SKILLED TMII!wright 20.27 0.00 Industrial Maintenance Me 16.72 0.00 Setup Technician 17.00 0.00 Electrician 20.76 O.OCi Millwright Apprentice

43

5-2S-03; 12: OOPM; ;416 510 0891

I CUSTOMER SERVICE

.--------& J

l , f OfpARTM JOB C! ASS!f!CAT!ON

PREPARA SHIFT LEADER

MACHINE OPERATOR. 1 Blender Baler Kettleteneler/Exlractor MU.Hdlr. Carding Operator

KN!TIING SHIFT LEADER Lead Knitting Mechanic Pattern Mechanic Knitting Mechanic

SET UP TECI;~!CIAN ~

MACHINE OPERATOR I Knitting Operator

16.05 ILOO 0.00

15.10 15.09 15.10 15.10 15.10 0.00

16.05 16.30 16.30 16.05 0.00

1Z:90 0.00

15.10 0.00 .0.00

GENERAL ~BOURER 0.00 Knit Rollup Table Operate 15.10

FINiS~i~~::~~-~~~,:~:,:. -.;;·;:-.:,· .. I.:-:--~: :i:~~ Lead Shear Mechanic 16.05

MACHINE OPERATOR I Coater Operator Rrilsh Operator

0.00 0.00

15.55 15.10 0.00

GENERALLABOURE~·: .. 0.00 Sewing Machine Operator 14.80 Coater Exit Operator 14.80 Tumbler Operator 14.80

0.00

0.44 0.{)0 0.00 0.51 0.29 0.55

··.,,:P.,i4 :.::C,:?J:< 0.44 0.00 0.40 0.59-0.40 0.40 0.00

... ~g;qq o.oo 0.55 0.00 o:oo 0.00 0.<4 0.55

. /<p,pO 0.44 0.51 o.oo ;a~oo

0.44 0.66 0.00

··.·i;too· 0.48 0.40 0.48 0.00

...

0.15

CUSTOME SHIFT LEADER 15.80 0.37 Lead Inspector/Packager 0.00 0.00

I

·.

:1 {

§

i I

t1

0.07

0.07

--.··· . 0.11. 0.07

0.11 0.07

0.11

MACHINE OPERA TO~ f. Finishing Inspector Material Handler/Shipping

· ... • :::: .. c :::: ;•:::Y},'i! ·;·.········ .. ;····. >'c;; XJ:'O' •.. . ...... .

GENERALJJ>.BOURER Creeler & Packager

MAINTEN GENERAL lABOURER Janitor

MACHINE OPERATOR I Scrap Baler Operator

SKILLED T M!llwright Industrial Maintenance Me Setup Technician Eleclrician . . . Millwright Apprentice.

15.10 {).40 0.15 15",30 0.37 0.15 0.00 0.00

14.80 0.44 0.15 . 0.11 0.00 0.00 0.00 0.00 0.00 0.00

"14.30 0.51 0.00 o.oo

15.10 0.55 0.11 0.00 0.00 o.oo ·o.oo

20.27 0.00 16.72 0.00 17.00 0.00 20.1s -·o.oo .... ,

. -~.:· . ---

# 45/ 56

44

5-2.S-03;12:00PM;

fB

.-----1 I

MAINTENANCE

I QFpARTM .lOB Ql ASSIF!CAT!QN

PREPARA SHIFT LEADER

MACHINE OPERA TOR 1 Blender Bater Ke!Uetender/Exlractcr

: .MU.Hdlr, . . Carding Operator

KNITIING SHIFT LEADER Lead Knitting Mechanic Pattern Mechanic Knitting Mechanic

SET l:JP TECHNICIAN

MACHINE OPERA TOR I Knitting Operator

~ENERALLABOURER Knit Roltup T.ab!e Operator Roving Handler

. :-

FINISHING SHIFT LEADER Lead Shear Mechanic

MACHINE OPERATOR I Coater Operator Finish Operator

GENERAL LABOURER Sewing MaChine Operator Coater Exil Operator Tumbler Operator

CUSTOMESHIFT LEADER Lead inspector/Packager

MACHINE.'oPJf;AATO~! ·· Finishing lnspe~tor Material Handler/Shipping

GENERAL LABOURER Craaler & Packager

MAINTENAGENERAL LABOURER Janitor

MACHINE OPERATOR I Scr.ip Baler Operator

SKILLED T Millwright Jndustria!.Maintenance Mech Setup iechnician 8eCtrician Millwright Apprenllce

i "" 'I>'Al&S.

.wJ.I1:L MAX 0 30 I ROSS:rn IQIA1.

16.05 0.00 .0.00

15.10 15.09 15.10

;:15.10 15.10 0.00

16.05 16.30 16,30 16.05 0.00

:17.00 0.00

15.10 0.00 0.00 0.00

15.10 14.65

· · .. ';oiio 16.05 16.05 0.00 0.00

15.55 15.-10 0.00

·O.Od 14.Bd 14.80 14.80 .0.00

15.BO 0.00

0.44 0.00 .0.00 0.51 0.29 0.55

·· ~-~;o:44 :·r;.~--~'·:· ··;· 0.44 0.00 0.40 0.59 0.40 0.40 0.00

·O.Db ·, 0.00 0.55 0.00

. :0.00 0.00 o.44 0.55

-:.~·o;QQ ·zt-r~re;, ·;:{ ~j·!,:-,_~:.·. -~~:~;::';:j~/J~ ... 0.44 0.51 0.00 :o .. oo 0.44 0:66

0.00 .. · ... :_,··.~: .. .... ,0.00 ,, .. : ' ..

OAa 0.40 0.48

.0.00 0.37 0.00

0.07

-~.:~~ -~~,!~~\§;g~ ::;;fr.6~::,; 1 ,:_:.-'(':\~:~· :_· ~ --~~~.::.:~-·_; 15.10 0.40 0.07 15.30 0.37 0.07 0.00 0.00

14.80 0.44 0.00 0.00 0.00 0.00 0.00 0.00

.. 14.30 . 0.51 0.00

15.10 0.00 0.00

20.27 16.72 17.00 20.7~

0.00 0.55 0.00 0.00 O.oo 0.00 0.00

· .. oo.a·a

0.07

;416 510 0891 # 46/ 56

45

5-Z8-~3;12:00PM;

EXHIBIT 'B' EMPLOYEE BENEFITS

;416 510 0891 # 47/ 56

Non-probationary employees are provided the following benefits:

A. O.H.I.P.: Effective January 241h, 1990, the Company will pay 100%·ofthe O.H.I.P. rate.

B. . LIFE INSURANCE: The Company will provide $25,000 Group Life Insurance for each employee.

Optional life insurance purchase will be offered to all hourly employees. It is agreed that the premium will be paid entirely by the employee and that all new employees will be eligible to participate upon completion of the probationary period. A waiver of benefit clause forms part of the agreement.

Employees may choose the beneficiary for Group Life. Changes must be properly completed on the required forms available from the personnel office.

C. ACCIDENTAL DEATH AND DISMEMBERMENT: The Company will provide A.D.&D. coverage equivalent to Group Life Insurance.

D. WEEKLY INDEMNITY BENEFITS: Weekly indemnity benefits are paid to· employees, who are under Doctor's care and unable to work, in the following manner:

1. From the first day of accident.

2. From the 1st day of admission to hospital or out patient surgery requiring general anesthesia.

3. From the gth day of an illness.

4. Benefits will be for the period of recovery, however, not exceeding twenty six (26) weeks.

5. The amount paid is 66 2/3% of your weekly earnings.

In the event that payment of benefits is discontinued, the employee may elect to review the matter with the Manager, Human Resource. ·

46

I

\

l I i ! ! I

I j

;416 510 0891 # 48/ 56 5-28-03; 12:00PM;

E. MAJOR MEDICAL BENEFITS: Employees may choose single (employee only) or family coverage but changes in status must be made in writing to the Manager, Human Resource. The plan covers all eligible expenses for medical services as specified in the insurance booklet, and is not subject to a maximum benefit payable.

DENTAL BENEFITS: The plan will reimburse the employee 100% of the eligible Basic Service and 80% of Major Restorative Services to a maximum of $1000.00 Per calendar year per insured person.

Tbe plan provides coverage for orthodontic treatment paid at 50% to a $1000.00 lifetime maximum per person.

Benefits will be paid based upon the current year fee schedule of O.D.A. G. EDUCATION FUND:

The Company will pay $1.50 per month per active employee to the Union of Needletrades, Industrial and Textile Employees to establish a fund for the exclusive use of Glenoit Corporation of Canada employees for training and attending courses. This amount will be paid monthly and forwarded with the union dues which are an employee payroll deduction.

H. BOOT ALLOWANCE: ·Any employee in the dyehouse, maintenance, shipping, coating or packaging departments, are required to wear safety boots as a condition of their employment. After completing 520 hours these employees will be allowed $75.00 toward the purchase of safety boots. Employees working in areas where the purchase of safety boots is optional will be allowed $50.00 towards the purchase.

The annual allowance will be granted for subsequent purchases, based upon a 12-month period dating from the initial purchase.

Any persons in the above mentioned departments on probation, will first complete their 520 hou.rs before the reimbursement.

1 JURY SERVICE AND CROWN WITNESS: Pay for non-probationary employees is available as specified in Article 4:19.

J. BEREAVEMENT LEAVE: The Company pays bereavement leave as described in Article 4:20.

K. PENSION PLAN:

The Company will provide a Group RRSP on the terms set out below:

(i) for all active employees as of the date of this agreement, who have not yet vested in the Pension Plan described in paragraph 4 above.. there is a minimum two year service eligibility requirement prior to entitlement to participate in the Group RRSP as described herein;

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(ii)

(iii)

(iv)

upon eligibility there is a two year vesting period subject to the applicable laws;

once eligible to participate in the Group RRSP, all employees in the bargaining unit are required by the terms of the collective agreement to "participate"; '

"participate" means:

(a) each employee shall contribute one per cent (1 %) of regular earnings to the Group RRSP;

(b) provided the employee makes the contribution as described in the preceding sub-paragraph, the Company will contribute:

Year 1 Years 2 & 3 (I) for employees with less

than 10 years service 1.5% 1.75%

(II) for employees with 10 years service but less than 20 years service 1.75% 2.00%

(Ill) for employees with 20 years service or more 2.00% 2.25%

(v) The Company agrees that employees who are currently active who take a leave from active employment may maintain their eligibility to participate in the

· Group RRSP provided they arrange to pay to the Company with their one per cent (1%) contribution for up to two years from the commencement of the original leave, subject to applicable laws; and

(vi) The Company agrees to be responsible for Administration costs associated with the establishment of the Group RRSP.

The Company will implement an optional employee contributory Registered Retirement Saving Plan (RRSP) provided there are-a sufficient number of employees who wish to participate.

L. VACATION PAY: Is paid as detailed in Article 5:01.

M. HOLIDAYS: Are paid as detailed in Article 5:07. There are nine (9) paid holidays, plus three (3) designated floater holidays in each contract year.

N. CLOTHING ALLOWANCE FOR COATING AND DYEHOUSE EMPLOYEES: Non-probationary dyehouse and coating employees, will upon presentation of a properly documented receipt for work clothing, be allowed the value of the receipt to a maximum of $50.00 semi-annually. This means that an employee receiving reimbursement of the $50.00 must work six (6) calendar months before making a

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subsequent claim. Claims will only be honoured for active non-probationary dye house and coating employees. The Company agrees to purchase aprons for employees creeling.

0. LONG TERM DISABILITY A mandatory Long Term disability benefits will provided for all hourly employees. The premium will be paid entirely by the employee and all employees hired after the date of this agreement will be enrolled in the plan upon completion of the probationary period.

P. VISION CARE PLAN The Company will maintain a vision care benefit of $125.00/24 month plan.

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EXHIBIT "C" DISCRIMINATION/HARASSMENT

It is the fundamental objective of this policy to prevent discrimination and harassment on grounds protected by the Ontario Human Rights Code and to provide procedures for the . ' efficient handling of complaints.

It is the policy of both the Glenoit Corporation of Canada and the Union of Needletrades, Industrial and Textile Employees to ensure that procedures are fair and applied fairly to each and every employee. Each employee shall be free from harassment and discrimination. All incidents shall be dealt with sensitivity and seriousness and the parties shall provide an environment in which victims of discrimination and harassment feel free to bring complaints forward. Equally, those against whom allegations are made shall have full and fair opportunity to meet those allegations.

Discrimination refers to intentional or unintentional treatment for which there is no bona fide and reasonable justificatio[l. The grounds protected by the Ontario Human Rights Code include age, race, ancestry, place of origin, citizenship, sexual orientation, age, record of criminal offense, employment status creed, color, sex, marital status, religion, disability or membership in any organization.

Harassment refers to physical or verbal behaviour directed against a person for which there is no bona fide and reasonable justification or a course of conduct or comment that offends or abuses a person on any of the grounds stated above where such behaviour is known or ought r-easonably be known to be offensive and unwelcome.

Sexual harassment is a particularly objectionable type of discriminatory course of conduct or conduct which cannot be tolerated, as it represents an unwarranted intrusion upon a person's sexual dignity as a man or a woman. Sexual harassment may take a variety offorms such as unsolicited or unwelcome gender-based comments, gestures and physical contact, or the control or alteration of working conditions so as to coerce submission to sexual advances.

A complaint of discrimination or harassment may be lodged by any employee of the company or their Union Representative against other employees of the Company, The complainant or their representative has the right to request an investigation and shall communicate such desire to the Manager,.Human Resource or in his/her absence the Plant Manager. The respondent or their Union Representative has the right to acknowledge, deny the validity .of the complaint in whole or in part, provide new information orpropose a resolution of the complaint. Within five (5) working days fr.om the receipt of the requesUor investigation the company will deliver a reply to the complainant._ The complainant and the respondent will be made aware of their right to legal representation at any time during the process.

Complaints of discrimination and harassment can be resolved by employing any or all of the following:

(a) Where the complainant and the respondent consent advice shall include but is not limited to:

a. Referral for counselil"lg. b. Letter to the complainant. c. Relocation of the complainant and/or respondent. d. Disciplinary action.

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(b)Where the parties are unable to resolve the complaint, the Company and the Union shall investigate. Interviews shall be private and held away from the work areas of those involved. The Company and the Union Representatives will determine

-whether the policy applies in the circumstances; -with the onus of proof being on the complainant, there has been a violation of the policy.

An employee who denies that a violation of the policy occurred or who disagrees with an imposed penalty has recourse through the provisions of the Collective Agreement or terms and conditions of employment. ·

No employee shall suffer reprisal for bringing forward in good faith, a complaint or concern aboutdiscrimination or harassment. All employees involved in the investigation or complaint are expected to maintain confidentiality. However for a complaint to go forward, the identity ofthe complainant and respondent and the details of the complaint must be released to those involved in the application of this policy.

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Wages

As per the agreed to wage schedule attached and signed hereto. Premiums for cross training and job seniority based on attendance.

For year 2003, up to 30 cents per hour in cross training premiums.

(MAXIMUM PREMIUM FOR 2003: 30 cents/hour)

For year 2004, up to 10 cents per hour added to the cross training premium as a program participation premium. For year 2004, up to 10 cents per hour additional to the cross training and participatiqn pre1nium for 3 years or more seniority in the respective job.

(MAXIMUM PREMIUM FOR 2004: 50 cents/hour)

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For year 2005, up to I 0 cents per hour added to the cross training and participation premium as /\4; increas to the participation premium. · . · ·

.-~-- _/ ___ f, __ .. -~":_2 '5, up to 10 cents per hour added to the cross training and participation premium as \ ,· an eas tiYthe-:il-.y-"ar or more seniority in the respective job premium.

FORTHEd: ' / ! . .. .. --'

----~---::::.:~;t.:·- ~ . - ~-' ........ _./ ..

t

-=

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EXHIBIT "D" LETTERS OF UNDERSTANDING/AGREEMENT

W.C.B. FORM 7: The Company agrees to discuss contested WCB Form 7 (Employers Report of Accidental Injury or Industrial Disease) with the Union to amend any errors or omissions prior to the form being sent to the Board. Once a WCB claim has been initially denied, the injured worker is entitled to apply for sick leave benefits.

SKILLED TRADES: Skilled Trade employees hired after the date of this agreement will be required to become members of the union and continue to be members of the Union as a condition of employment.

The classification of skilled trades occupations and the descriptions Will be evaluated by the Pay Equity Review Committee.

C. JOB POSTINGS FOR WEEK END WORKERS: Where vacancies are posted as specified in 4:11 of the Collective Agreement, the

·Company will ensure that workers on the "Week End Shifts", as defined in 3:01 of the Collective Agreement , are given equal opportunity to apply for the vacant positions.

D. CANTEEN FUND: The Company and tbe Union agree to jointly manage the canteen fund and it's activities as follows: 1. Signing authority on all bank transactions will require two signatures, one being a

member of the bargaining unit and one being a representative of the salaried group. .

2. A statement will be issued to the social committee at least twice per year or upon request.

3. Sufficient funds will be maintained to permit necessary repairs or in the event of malfunction the purchase of a soft drink dispensing machine. ·

4. Profits will be shared equally amongst all employees, with one or more years of service/seniority, of Glenoit Corporation of Canada in the form of Christmas gift certificates.

5. The joint social committee will co-ordinate the activities of the fund.

E. GOLDING "October 16, 1995. Subject to Article 4.13 of the Collective Agreement, it is agreed that Mr. Bert Golding will assume the duties of the Material Handler/Lift Truck Operator. The classification of the position will remain as "General Labourer". It is understood that the position has been established to accommodate the medical restrictions of the employee and should the condition improve or change at any time in

·the future it would be subject to review."

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F. PACKAGING PERSONNEL "September II, 1997. The Company agrees to pay Machine Operator I rates to employees of the packaging department while they are performing the creeling operation. Employees will be responsible for tracking and submitting their hours to the Department Supervisor for payroll adjustment."

G. Carding Operators "June 10, 1996. It is understood that the Carding Operators will operate two (2) machines with the exception oflunch and break periods, at which time they will operator three (3) machines in an effort to improve department efficiencies. It is understood that during lunch and break periods the following conditions will prevail: l. Operators and the shift leader will take different breaks to avoid interruption of regular

production flow. 2. Two (2) operators will remain in the department during breaks and lunch and will run

three (3) machines for each of the ten (lO)minute and lunch break periods only. 3. Operators will not be required to set up machines during the break periods and will have

authority to shut down the machines if problems occur. 4. The operators will resume regular duties (2 machines) at the conclusion of the break

periods. January 21, 1997. The Company and the Union agree to extend the letter of Agreement dated June 10. 1997(6), re. Carding Operators. However, in the event of a change in the number of machines in the Carding Department, the parties will meet to re-establish the distribution of manpower during break and lunch periods so as to ensure the continuous operation of the equipment."

H. One Year Eligibility "May 10,2001. The parties have agreed to invite all interested applicants to apply for vacancies posted in accordance with Article 4.11 of the Collective Agreement, without regard to the one year eligibility period. It is recognized that the purpose of this agreement is to ensure equal opportunity for all employees interested in an available position should there be insufficient eligible employees who bid for the job .. The Company agrees to apply a · combination of experience, qualifications, training and seniority when determining individual qualifications for a position." ·

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I. Heat Stress "July 21, 1997". The Company will post for overtime on a weekly basis during the period

from June 1 to August 31 to provide for operator relief. The Department Supervisor and Shift Leader will be responsible for coordinating the specified breaks to allow for continuous operation of plant equipment. A worker Health & Safety Representative (or their designate) along with a Management Representative will conduct a wet bulb globe temperature (WBGT) reading in the specified areas of each department as required or upon demand. Rest periods will be scheduled in accoraance with the threshold limit values recommended by the American Conference of Governmental Industrial Hygienists (ACGIH) and specified in the Ontario Ministry of Labour engineering sheets.

Threshold Limit Values CTL V) WBGT (degrees Celsius) for Different Work Loads

Work- Rest Regimen Light Moderate

Continuous Work- No rest 30.0 26.7 45 min. work:._ 15 min. rest 30.6 28.0 30 min. work- 30 min. rest 31.4 29.4 15 min. work - 4 5 min. rest 32.2 31.1

Heavv

25.0 25.9 27.9 30.0

In areas where the WGBT does not exceed the TL V employees will be provided a five minute rest period provided that at least one department (excluding the waste baling room) exceeds theTLV.

The employees in the waste baling area will be granted breaks as required and without the requirement for continuous operation of the equipment.

Suggested modifications: (adapted from "Working in Hot Environments, Canadian Centre for Occupational Health and Safety)

Unacclimatized Worker - subtract 2 degrees Celsius Clothing: - Shorts - add 2 degrees Celsius

Work Load Definitions: Light Sitting or standing to control machines, performing light hand or arm work. Moderate: Walking about with moderate lifting and pushing Heavy: Pick and shovel work, digging.

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