COLLECTIVE BARGAINING AGREEMENT

Collective Bargaining Agreement

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MAVERICK TUBE CORP | PRUDENTIAL STEEL LTD.

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Title: COLLECTIVE BARGAINING AGREEMENT
Date: 5/9/2006
Industry: Constr. - Supplies and Fixtures

COLLECTIVE BARGAINING AGREEMENT, Parties: maverick tube corp , prudential steel ltd.

Exhibit 10.1

COLLECTIVE AGREEMENT

between

PRUDENTIAL STEEL LTD. and

or their successors and/or their
assigns, hereinafter called the
“Company”, OF THE FIRST PART

and

UNITED STEELWORKERS OF AMERICA
LOCAL 7226

hereinafter called the “Union”,
OF THE SECOND PART

EFFECTIVE:

From January 1, 2004

To December 31, 2006

T A B L E O F C O N T E N T S


Article		Page
1	Purpose of Agreement	1
2	Union Recognition	1
2.04	Contracting out	1
3	No Discrimination	2
4	Management	2
5	Union Security	3
6	Grievances	4
7	Arbitration	5
8	Discharge and Disciplinary Procedure	6
9	Seniority	7
9.02	Probationary Period	8
9.03	Seniority Retention and Accumulation	8
9.04	Loss of Seniority	8
9.05	Seniority List	9
9.06	Transfer to Jobs Outside of Bargaining Unit	10
9.07	Job Postings	10
9.09	Recall Procedure	12
9.10	Temporary Transfer	12
9.11	Lines of Progression	13
10	Lay-off	14
10.01	Lay-off Status Defined	14
10.02	Lay-off Notice	14
11	Leave of Absence	15
11.04	Leave to Attend Union Business	15
11.05	Leave for Union Employment	16
11.06	Failure to Return from Leave	16
12	Safety and Health	17
13	Handicapped Employees	18
14	Union Representatives	18
15	Established Practices	18
16	Bulletin Boards	18
17	Committeemen and Stewards	18
18	Hours of Work	19
18.01	Definition of Day and Work Day	19
18.02	Purpose of Defining Work Day and Work Week	19
18.03	Definition of Work Week	19
18.04	Shift and Work Schedules	20
18.05	Definition of Shifts	20
18.06	Shift Premiums	20


Article		Page
18.07	Lunch Periods	21
19	Overtime	21
19.02	Hours Worked in Excess	21
19.03	Hours Worked on Saturday	21
19.04	Hours Worked on Sunday	21
19.05	Exceptions to Daily Overtime	22
19.06	Lunch Periods	22
19.07	Overtime Lunches	22
19.08	Notice of Overtime	23
20	Statutory Holidays	23
20.02	Holiday Pay Allowance	24
20.03	Pay for Work on Holidays	24
21	Wages	25
21.03	Standard Hourly Wage Scale	26
21.09	Out of Line Differentials	28
21.17	Temporary Transfer	29
21.18	Trade or Craft and Assigned Maintenance Convention	29
21.19	Incentives	29
21.20	General	29
21.22	Leave of Absence for Union C.W.S. Committee	30
21.23	Pay Days	30
21.24	Reporting Pay	30
21.25	Call Out Pay	31
21.26	Pay for Jury Service	31
21.27	Pay on Day of Injury	31
21.28	Bereavement Pay	31
21.29	Elimination of Bargaining Unit Jobs	32
22	Vacations	32
22.01	Vacation Year	32
22.02	Length of Vacation	33
22.03	Vacation Pay	33
22.07	Vacation Schedules	36
22.08	Christmas Shutdown	37
23	Insurance Benefit Program	37
23.01	Benefits	37
23.02	Pension Plan	37
24	Appendices	37
25	Copies of Agreement	38
25.02	Letters of Understanding and Agreement	38
26	Duration of Agreement	38


Appendices		Page
Appendix (A)	Cooperative Wage Study		40
Appendix (B)	Learner Period Classification Analysis		40
Appendix (C)	Schedule of Classifications		41
Appendix (D)	Hours of Work Schedule		44
Appendix (E)	Insurance Benefit Program		49
Appendix (F)	Tradesmen's Tools		61
Appendix (G)	Protective Clothing		61
Appendix (H)	Lockers		62
Appendix (I)	Pension Plan		63
Appendix (J)	Lines of Progression		67

	Letters of Understanding

	Initiation Fee		71
	Pay for Union Business		72
	Education Fund		73
	Day Shift for Union President		74
	Humanities Fund		75
	Steelworkers' Savings Plan		76
	Severance Adjustment Allowance		77
	Group Leader Positions		79
	Crew Movement - Oil Country		81
	Safety Equipment Trust Fund		84
	Safety Monitoring		86
	Apprentice Training Agreement		87
	Employee Empowerment		106
	Shift Leaders		109
	Contracting Out Cleaning of Mill Pits		110
	Post Retirement Benefit Fund		111
	Premium Threading		112
	Overtime after 8 Hours/Pay and 40 Hours/Week		114
	Gainsharing		116

ARTICLE 1 — PURPOSE OF AGREEMENT

1.01

Whereas the parties agree that it is mutually beneficial and desirable to arrange and maintain fair and equitable earnings, labour standards, wage rates and working conditions to obtain efficient operations, to protect the safety and health of employees and to provide machinery for the adjustment of disputes which may arise between the parties hereto. THEREFORE, the Company and the Union agree as follows:

ARTICLE 2 — UNION RECOGNITION

	2.01		The Company recognizes the Union as a sole and exclusive bargaining agent for: all employees of the Company at its Calgary operations excepting office, clerical and technical staff, plant security officers, office janitors, foremen and supervisors with authority to hire and/or fire.

	2.02		The terms and conditions set forth in this Agreement shall have full force and effect for all employees in the Bargaining Unit, as described in Article 2.01.

2.03 (a)

Persons whose regular jobs are not in the Bargaining Unit shall not work on any jobs which are included in the Bargaining Unit except for the purposes of instructions, experimenting, in emergencies when Bargaining Unit employees are not available.

(b)

Emergencies when Bargaining Unit employees are not available, shall be meant to include manpower shortages due to lateness and unauthorized absenteeism. The Company will make every effort to place a suitable Bargaining Unit employee in that position as soon as possible.

Contracting Out

2.04 (a)

Whenever practicable, the Company will not contract out work normally performed by members of the Bargaining Unit for which qualified employees are available.

(b)

In the application of Article 2.04 (a), the Company and the Union recognize the need to work toward the efficient utilization of Bargaining Unit employees so as to minimize the requirement to contract out work and as such the following has been agreed to: A Contracting Out Committee will be established, consisting of up to three (3) representatives of the Company and three (3) representatives appointed by the Union. This Committee shall meet on the 2nd Tuesday of January, April, June and September, or as may be mutually agreed. All information will be disclosed by the Company to enable

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this Committee to make the necessary recommendations as to which work will be contracted out and which work will be performed by Bargaining Unit employees. Any and all information supplied shall be kept in the strictest confidence. Where agreement cannot be reached by this Committee the Union may file a grievance of a general nature at Step 3 of the Grievance Procedure.

(c)

When the Company feels it is necessary because of equipment, knowledge, skill or time considerations to have other companies perform such work, it shall be in accordance with, and subject to, conditions set out in Article 2.04 (a) and (b).

ARTICLE 3 — NO DISCRIMINATION OR HARASSMENT

3.01

The Company and the Union recognize that all employees have the right to work in an environment free from discrimination and harassment. The parties wish to create a workplace in which employees do not engage in or become subject to discriminatory and harassing behaviour, as defined by law. Accordingly, the Company has established clear policies prohibiting discrimination and harassment within the workplace. In the furtherance of these policies, the Company and the Union agree that there will be no discrimination against any employee on the basis of any prohibited grounds, as set forth in the applicable Provincial Human Rights Legislation, or on the basis of Union membership or Union activity, and that harassment will not be tolerated within the workplace. The parties agree that they shall not exercise their rights under this Collective Bargaining Agreement in a discriminatory or harassing manner.

3.02

If any employee feels subject to discriminatory and harassing behaviour, they have the right to bring their complaint to the Local Union Civil Rights Committee. The committee member(s) will then investigate the complaint. If the complainant can agree to a satisfactory resolution, the matter will be considered resolved. If the complaint cannot be resolved, the investigating committee member(s) will bring the matter to the Grievance Committee at stage three of the grievance procedure. All information gathered by the Civil Rights Committee investigation will be made available to the Grievance Committee in order to proceed with the grievance. If a resolution cannot ultimately be finalized through this procedure, the complainant has the right to take the case to the Human Rights Commission.

ARTICLE 4 — MANAGEMENT

4.01

The Union recognizes that it is the function of Management to manage the affairs

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of the business, and to direct the working forces of the Company subject to the terms of this Agreement.

4.02

Such Management function shall be:

	(a)		To determine the products and schedules of production, the locations of production, and the methods and sequence of manufacturing processes.

	(b)		To maintain discipline of employees including the right to make reasonable rules and regulations, provided, however, that any dispute as to the reasonableness of such rules and regulations or any dispute involving claims of discrimination against any employee in the application of such rules and regulations shall be subject to the grievance procedure of this Agreement.

	(c)		To discharge, suspend or discipline employees for just and reasonable cause, and also hire, transfer, promote, demote and to assign employees to shifts with due regard to seniority in Article 9 of this contract.

4.03

The Company shall not direct the working forces in a discriminatory manner.

ARTICLE 5 — UNION SECURITY

	5.01		Effective upon date of hiring, all employees within the Collective Bargaining Unit covered by the Agreement shall become members and maintain membership in the Union, as a condition of employment.

	5.02		The Company shall deduct from the wages of each employee in the Bargaining Unit, union dues, initiation fees and assessments in the amount certified by the Union to the Company to be currently in effect according to the Union constitution. The total amount so deducted with an itemized statement of same, in duplicate, shall be forwarded to the Union prior to the end of the month in which said deductions are made in the manner provided for in Section 5.04 hereof.

	5.03		Union members are to be supplied with union deduction totals for income tax purposes. The Company agrees to show on employees T4 slips the total union deductions for the previous taxation year.

	5.04		Cheques shall be made payable to the United Steelworkers of America. Until further notice from the Union, all cheques shall be forwarded to the United Steelworkers of America at the following address:

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INTERNATIONAL TREASURER
UNITED STEELWORKERS OF AMERICA
P.O. BOX 1400, STATION “A”
VANCOUVER, BRITISH COLUMBIA
V6C 2P7

and made payable as aforesaid.

5.05

The Company agrees to have all present and future employees covered by this Agreement, as a condition of continued employment, sign an agreement authorizing the Company to implement the provisions of this Article, and the Union agrees to indemnify the Company, and hold it harmless against any claim which may arise in complying with the provisions of this Article.

ARTICLE 6 — GRIEVANCES

	6.01		The purpose of this Article is to establish procedures for discussion, processing and settlement of grievances, as defined in Section 6.02 of this Article.

	6.02		“Grievance” as used in this Agreement is a complaint or request involving any matter relating to wages, hours or working conditions, including any question of interpretation or application of, or compliance with, the provisions of this Agreement, and shall only relate to or concern any grievance which has arisen or arises subsequent to the date of this Agreement.

	6.03		Union Officers, Stewards and Committeemen, with the approval of their immediate supervisor, shall be permitted to leave their jobs to investigate and adjust grievances and to attend to their duties under this Agreement.

	6.04		Any grievance must be presented within ten (10) working days of its occurrence or otherwise it shall not be considered. In the case of a grievance concerning wages, the ten (10) working day period shall date from the date on which the employee receives his pay cheque.

	6.05 Step 1		The grievance committeeman with or without the aggrieved employee may present the grievance to the employee’s immediate salaried supervisor. The supervisor shall make his reply verbally or in writing within two (2) days of receipt of the grievance.

	6.05 Step 2		Should the grievance committeeman or the employee be dissatisfied with the Company disposition of such complaint or request, he may refer such matter on a written form to management within three (3) further working days. Management shall answer the grievance in writing within three (3) working days or a time

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mutually agreed upon.

	6.05 Step 3		If no settlement is reached in Step Two (2), the grievance committee and representatives of management will meet within seven (7) working days to discuss the complaint. The Union’s representative may be in attendance at this meeting. If the grievance is not then settled, then at the request of either party to this Agreement the grievance may be referred to arbitration. If notice of arbitration is not given within a further twenty (20) calendar days, unless further time is mutually agreed upon, the grievance will be deemed to have been settled.

	6.06		The Union and the Company shall have the right to initiate a group grievance or a grievance of a general nature, at Step Three (3) of the grievance procedure.

	6.07		If the Union does not advance a grievance from Step One (1) to Step Two (2), or from Step Two (2) to Step Three (3) with-in the agreed time limit, the grievance shall be considered withdrawn. Failure of the Company to reply to the grievance at any step shall automatically advance the grievance to the next step.

ARTICLE 7 — ARBITRATION

7.01

Whenever pursuant to the provisions of this Agreement a reference to arbitration is involved, the Company or the Union shall, within twenty (20) days following receipt of a decision in step (3) notify the other party, in writing, of intent to arbitrate. This notice shall:

	(a)		state the matter at issue and in what respect the agreement has been violated or misinterpreted by reference to the specific clause or clauses relied upon. Notwithstanding the above, the board may take into consideration all matters, clauses and evidence which in its opinion has a bearing on the grievance or question referred to arbitration, and

	(b)		state the nature of the relief or remedy sought.

7.02

(a) Single Arbitrator

The Company and the Union agree that the following persons constitute the panel of arbitrators from which will be selected a single arbitrator for each grievance requiring arbitration under this Agreement:

1. Gerald Hawco
2. Tom Joliffe
3. Allan Beatty
4. Alex Trawick

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(b)

Selection of Arbitrator

The method of selecting a single arbitrator shall be by rotation, starting with the order of the names listed above. If the arbitrator so selected is unable to act, then the arbitrator next on the list of names shall be selected. Unless otherwise agreed to, a single arbitrator will be appointed for each grievance or group grievance. No member of the panel of arbitrators may be removed from the panel unless it is mutually agreed upon by the Company and the Union. If a member of the panel is unable to continue to act as an arbitrator, a new member may be appointed; the appointment is to be mutually agreed upon by the Company and the Union.

	7.03		At any stage of the grievance procedure including arbitration the conferring parties may have the assistance of the employee or employees concerned and any necessary witnesses, and all reasonable arrangement will be made to permit the conferring parties to have access to the plant and to view disputed operations.

	7.04		The arbitrator shall have power to deal with matters involving the interpretation, application or alleged violation of this Agreement and shall not rule on any other matter nor shall they have the right to alter, amend, set aside, add to or delete from any one of the provisions herein contained, nor to render any decision which is inconsistent with the provisions of this Agreement or the Statutes of Alberta.

	7.05		All time limits specified in Articles 6 and 7 shall be deemed to be exclusive of Saturdays, Sundays and Company recognized holidays and may be extended by mutual consent of the parties or by the Arbitrator.

	7.06		Each of the parties concerned shall pay its own costs and the fees and expenses of witnesses called by it and its representatives. The fees and expenses of the Arbitrator, stenographic assistance and rents shall be shared equally between the parties.

	7.07		The parties agree to abide by the provisions of Articles 6 and 7 as the only means of resolving any difference which may arise during the term of this Agreement, and all employees shall continue to work as usual and the Company shall continue its normal operating practices.

ARTICLE 8 — DISCHARGE AND DISCIPLINARY PROCEDURE

8.01

Management shall not take disciplinary action without first warning the employee, unless the circumstances justify immediate suspension or discharge. In the event of a claim that an employee has been discharged or suspended unjustly or

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unreasonably, the grievance shall be filed at Step Three (3) of the grievance procedure within five (5) working days.

8.02 (a)

Warnings shall be given in writing to the employee and a copy shall be sent by mail to the Union. The Company and the Union agree that disciplinary penalties shall not be imposed unreasonably or unjustly. In cases where justified penalties and warnings (excluding dismissals) have been given to an employee, it is understood and agreed that if an employee is not given a justified penalty and/or warning within a continuous period of twelve (12) months, his employment record shall be cleared of any deficiencies, and shall not be used against the employee thereafter.

(b)

An employee who the Company intends to suspend shall be retained at or returned to active work until any grievance contesting such suspension is finally resolved through the grievance procedure.

	8.03		If it is determined or agreed at any steps in the grievance procedure or decided by an arbitrator that an employee has been disciplined or discharged unjustly, the Management shall put him back on his job with no loss of seniority, and they shall pay the employee the amount he would have earned had he been working or by any other arrangement as to compensation, which is just and equitable in the opinion of the parties or in the opinion of the arbitrator if the matter is referred to such an arbitrator.

	8.04		Any employee who is discharged, laid off or leaves of his own accord shall be paid all wages due him on the pay day when such wages would normally be due and payable, unless otherwise mutually agreed between the Company and the Union.

	8.05		No employee shall be subject to any disciplinary action by a foreman or supervisor without having a Union representative present, where such action is to be part of an employee’s record.

	8.06		The Union shall be immediately notified, in writing, as to reasons for the dismissal of any member of the Bargaining Unit.

ARTICLE 9 — SENIORITY

9.02 (a)

The parties recognize that job opportunity and seniority shall increase in proportion to length of service. It is, therefore, agreed that in all cases of vacancy, promotion, transfer, lay-off, termination and rehiring after lay-off or termination, senior employees shall be entitled to preference.

(b)

In recognition, however, of the responsibility of Management for the efficient

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operation of the plant, it is understood and agreed that in all such cases, Management shall have the right to pass over any employee, if it is able to establish with the employee and the Union, that he does not have the ability or the physical fitness to perform the work with due regard to Article 6 of this Agreement.

9.02

PROBATIONARY PERIOD — A new employee shall be on probation for a period of six (6) calendar months. Upon completion of the probationary period, an employee shall acquire seniority status, and shall be credited with service from his original hiring date. A probationary employee laid off for lack of work shall, if rehired within a twelve (12) month period, be credited with time worked prior to lay-off as a probationary employee.

Article 6 shall not apply to probationary employees, except in cases involving discrimination.

9.03

SENIORITY RETENTION AND ACCUMULATION — Seniority shall be retained and shall accumulate during:

	(a)		absence from work due to an injury or sickness covered by the Workers’ Compensation Act until certified by the Compensation Board as being able to return to work in the Bargaining Unit, subject to 9.04(f) below;

	(b)		authorized leave of absence;

	(c)		lay-off subject to Section 9.04(d);

	(d)		absence from work due to medically certified illness or injury, subject to 9.04(f) below;

	(e)		while serving in the Armed Forces during period of national emergency;

	(f)		while serving in the Armed Force reserve for periods of up to one year.

9.04

LOSS OF SENIORITY — An employee shall lose his seniority standing and his name shall be removed from all seniority lists for any one of the following reasons:

	(a)		If an employee quits;

	(b)		If the employee is discharged for proper cause, and is not reinstated in accordance with the provisions of this Agreement;

	(c)		If the employee is laid off and fails to notify the Company within five (5)

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working days of his intention as to whether he intends to return to work or not, after having been notified to do so by the Company by registered mail to his last known address, and fails to return to work in ten (10) working days after receipt of the registered notice, as stated above; copy of such notice to be sent to the Union. Exceptions to this rule will be extenuating circumstances.

It is the responsibility of laid off employees to keep the Company informed of their addresses and telephone numbers.

	(d)		on the date on which the above registered letter has been returned to the Company from the post office.

	(e)		If he has been on lay-off because of lack of work for a period equal to his time of seniority or twenty-four (24) months, whichever is greater;

	(f)		employees who have ceased to receive Disability Benefits from either the Workers Compensation Board or the Short or Long Term Disability Benefits, under this Collective Agreement, and are unable to return to active employment in the Company for medical reasons, or, who have completed job retraining from the Worker’s Compensation Board shall not accumulate further seniority from the date of such discontinuation of benefits. Employees who are not accumulating seniority under this article shall not be eligible for further benefits under this Collective Agreement (including pension and insurance benefit program) until such time as they are medically fit to return to active employment in the Company.

9.05

SENIORITY LIST — The Company shall prepare a plant-wide seniority list and present same to the Union within thirty (30) days of the signing of this Agreement. Said lists shall commence with the employee with most seniority, carry on downward to the employee with least seniority, and contain the following information:

	(a)		employee’s starting date;

	(b)		employee’s name and clock number.

Additional revised lists will be furnished to the Union as requested from time to time, and within ten (10) days of said request. The Union agrees not to make such requests more frequently than once every two (2) months. Seniority lists shall include all Bargaining Unit employees on the payroll at the time such seniority list is prepared.

The Company shall also prepare a maintenance department seniority list that shall

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include all tradesmen and apprentices, and the starting date on such seniority list shall be the date upon which the employee enters the maintenance department.

Employees having the same starting date, on either the plant-wide seniority list or the maintenance department seniority list shall appear and receive preference in alphabetical order.

	9.06		TRANSFER TO JOBS OUTSIDE OF BARGAINING UNIT -

	9.06(a)		Employees who are transferred through the Bargaining Unit to any other part of the Company’s service shall retain and shall accumulate seniority in the bargaining unit to a maximum of twelve ( 12 ) cumulative months. During these periods of time, that the employee is transferred outside of the bargaining unit, the Company may elect to return the employee to his former position in the bargaining unit, or the employee may elect to return to his former position held in the Bargaining Unit.

	9.06(b)		Article 9.06 (a) shall apply provided that:

	1.		They have completed their probationary period as regular employees in the Bargaining Unit, and

	2.		They exercise their seniority rights or signify their intentions to do so upon the termination of their jobs outside the Bargaining Unit.

	3.		They pay all dues accrued during the transfer period outside of the Bargaining Unit.

	4.		All back dues will be calculated and paid to the Union through payroll deduction by the Company.

9.07

JOB POSTING — When preferential jobs (jobs that are normally a one shift operation), or jobs above Job Class 4 are available, the following procedures will govern the assignment of employees to these jobs:

(a)

Job vacancy notices will be posted, within five (5) working days, on the bulletin board for three (3) full working days, but not longer than four (4) working days. The job requirements and qualifications shall be listed on the job vacancy notices.

The name of the successful bidder will be posted after three (3) days of removal of notice from the bulletin board unless this time is extended by mutual agreement.

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	(b)		Applications will be made to the Management on a form supplied by the Company.

	(c)		Any grievance concerning assignments made under job posting must be filed within five (5) working days after the assignments are posted.

	(d)		Probationary employees shall be eligible to bid for posted job vacancies, but the Company may assign such employees to any vacancies, if the jobs cannot be filled by the bidding procedures.

	(e)		A job vacancy need not be posted a second time within thirty (30) days, if there are enough suitable applicants from the first posting to fill the vacancy or vacancies.

	(f)		An employee may apply for a lower paid job in any department, or for a job at equal pay in a different department after four (4) working months in his current job.

	(g)		If an employee has been a successful bidder under the job posting provision, then he may be ruled ineligible during his next three (3) working months for a job less than two (2) job classes higher than his classification at the time.

	(h)		In cases of job vacancies not being posted, information will be supplied to the Union upon request. Employees who are absent, while the job is up, can have one of the Union executive committee members sign his name and the member of the Union executive must place his initials against the name of the employee. The absent employee must request this for each job bid from one of the executive committee members.

	(i)		In the event that an employee selected for the job proves to be unsuitable for the position, he shall revert to his former position and status in accordance to seniority.

	(j)		In the event that a foreman wishes to discuss with an employee his suitability for a posted job, the employee may be accompanied by a Union committee member.

	(k)		The Company shall provide the Union with a list of jobs that each employee has held, or is deemed to have held, under the job posting provision. This list shall be updated bi-yearly.

	(l)		All requests by employees to be taken off a bid job must be in writing and shall include an explanation for such request. Such requests shall not be unreasonably denied.

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	(m)		After five (5) days of holding a job bid, the successful bidder will receive that rate of pay or his previous rate of pay, whichever is greater.

	(n)		The successful bidder must be on the job within ten (10) days of being notified as the successful bidder.

	(o)		For tradesmen or apprentices bidding on a job posting, other than Maintenance department job bids which shall be determined by Maintenance department seniority, their plant seniority shall be the seniority used to determine their eligibility on any such job vacancy.

	(p)		Employees requesting a transfer, in the same job classification, between plants when one plant is on a two shift operation and the other plant is on a three shift operation, shall be granted such transfer request with due regard to seniority. An employee shall not make such request more often than once every three months.

9.08

If a temporary shortage of work occurs for a period of five (5) working days or less, employees affected shall have the option, upon the commencement of their next regularly scheduled shift, of accepting the lay-off or filling non-bid jobs in the labour pool, and retaining their rates of pay.

(a)

Filling non-bid jobs in the labour pool shall be subject to seniority regulations in the bumping procedure.

9.09

RECALL PROCEDURE — In the case of recall of employees on lay-off status, the following procedure shall apply:

	(a)		Senior employees who decline recall to work which they are informed is temporary, and of limited duration, shall not thereby forfeit their seniority. They shall not be eligible to displace junior employees during the estimated period of employment for which they declined recall, and they shall not be eligible for further temporary recall as above until they notify the Manager, Human Resources of their subsequent availability for work.

	(b)		The Union shall be supplied with a list of those employees who the Company has been unable to contact, or who have refused, for a temporary recall. The Company and the Union shall coordinate their efforts to contact those employees.

9.10

TEMPORARY TRANSFER

(a)

Temporary transfers can be made to jobs under this Collective Agreement for a maximum of forty-five (45) calendar days to enable the Company to meet operational requirements, or to hire and/or train employees and pending

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assignments made under job posting providing that temporary transfers will not be used to deny senior employees the right to fill jobs under the job posting provision. Senior employees shall be entitled to the right of refusal or acceptance of such temporary transfers.

	(b)		Temporary transfers of ten (10) working days or less can be made without regard to seniority regulations in Article (a) above, but not on a continuing basis. When there is a known vacancy, of one scheduled week or more, senior employees will be used whenever possible. If the senior employee is not used, he shall receive the higher of the two rates of pay.

	(c)		The Company shall maintain a list of all employees who are on temporary transfer. Such list shall be made available for review by the Union at any time.

	(d)		When an employee is off work due to illness or accident for more than forty-five (45) days, his job will then be put up for temporary bid. Upon returning from accident or illness, the individual will retain his job and bump out the temporary bidder even if the temporary bidder is senior. However, the temporary bidder shall hold recall rights to the position.

9.11

LINES OF PROGRESSION -

(a)

The lines of progression shall be set forth in this Agreement, subject to any subsequent changes agreed upon between the Company and the Union. Such changes to be in writing and signed by both parties. Any new job established in the line of progression shall become part of the line of progression.

(b)

General Terms

	1.		Plant seniority will be the seniority considered for applications for bidding into a line of progression. To move up the line of progression, an employee must have held the next lowest job listed in that line of progression for a length of time, as defined in such line of progression.

	2.		Employees can bid out of the line of progression at any time.

	3.		All present employees who have in the past, bid and received any job listed in the line of progression, will be given credit and will be able to bid into the next higher job.

See pages 67 — 70 inclusive.

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ARTICLE 10 — Lay-off

10.01

Lay-off STATUS DEFINED — Lay-off status under this Agreement provides an employee with the right to be recalled to work in accordance with Article 9.

For the purpose of this Agreement, “lay-off” means temporary dispensation with the services of an employee for a period exceeding five (5) working days in any one (1) calendar month.

10.02

Lay-off Notice

	(a)		Employees laid off because of lack of work, except for breakdowns or reasons outside the control of the Company, shall be given five (5) working days of notice. However, this five (5) day notice of lay-off shall not apply to probationary employees, nor shall it apply to other employees during the first five (5) consecutive regular working days of recall to work on a day-to-day basis. Employees who are given five (5) days of notice of lay-off under this Section, and who are then placed on a day-to-day employment basis which continues without lay-off for five (5) consecutive regular working days shall again become entitled to the five (5) day notice of lay-off, as provided in the first sentence herein.

	(b)		Employees with one (1) or more years of seniority shall be given ten (10) working days notice of lay-off.

10.03

A senior employee shall have the right to displace a junior employee provided that:

	(a)		The senior employee has held that job by bid or is considered to have held the job by bid.

	(b)		The senior employee may bump only into their most recent job on which they were the successful bidder, or they may elect to bypass such a job and bump into the next most recent job that he has held by bid, regardless of the job class of such a job.

	(c)		An employee who does not have the seniority to hold a bid job as a result of lay-off may bump into the labour pool, providing he has the seniority to do so.

	(d)		The procedure for recall to bid jobs shall be in reverse order of the job bumping procedure.

	(e)		If any employee elects to bypass any job, he shall forfeit his recall rights to any such job.

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	(f)		In the event an employee who has bumped into a former position proves to be unsuitable for the position, he shall revert to his next former position and/or status.

	(g)		Maintenance department seniority shall determine who bumps out of the maintenance department during a reduction in work. The employee’s plant seniority shall determine his bumping rights to any former positions. (Subject to Article 3.04 of the Apprenticeship Agreement).

ARTICLE 11 — LEAVE OF ABSENCE

11.01

Personal Reasons — An employee will be allowed a thirty (30) day leave of absence without pay for personal reasons, if:

	(a)		he requests it from Management in writing;

	(b)		the leave is for a good reason, and does not interfere with operations, except in emergency situations when leave shall be granted regardless.

	(c)		In the event that an employee is accused of an offence which requires a court appearance, he shall be entitled to a leave of absence without pay to attend court.

	(d)		In the event that the employee is incarcerated while awaiting a court appearance, and is subsequently found not guilty, the employee shall be granted a retroactive leave of absence for such period of time.

11.02	A leave of absence will be extended for additional thirty (30) day periods if there is a good reason, and Management and Union mutually agree. The employee must request the extension in writing before his thirty (30) day leave is up.

11.03 (a)		All requests for leave of absence, of five (5) days or less, under this Article will be reviewed by Company representatives. The Union will be notified of all leaves granted under this paragraph.

(b)

All requests for leave of absence, of over five (5) days, under this Article will be reviewed by a Company-Union Committee before the request is authorized or denied. This committee shall be composed of up to three (3) Union and three (3) Company representatives.

11.04

Leave to Attend Union Business — An employee who has been elected or appointed by the Union to attend Union business shall be granted a leave of absence without pay for this purpose. The Union will inform the Company of the

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names of the delegates at least three (3) working days in advance. Alternate delegates will be selected in the event of sickness or to meet work requirements.

	11.05		Leave for Union Employment — The Company shall grant an employee a leave of absence for one (1) year to work in an official capacity for the local or international Union. This leave may be extended for one (1) additional year by mutual agreement between the Company and Union. There shall be a limit of one (1) person on such leave at one (1) time. The employee must request the leave in writing and the Union must approve it.

	11.06		Failure to Return from Leave — Any leave of absence will be in writing and no such leave will affect any employee’s seniority rights when used for the purpose granted provided he shall return to work at the expiration of such leave. Any employee who fails to report for work upon expiration of his leave of absence or any extension thereof shall be deemed to have voluntarily ceased employment with the Company (except by reasons of force majeure).

11.07 (a)

The Company shall compensate employees on the Negotiating Committee at their standard hourly rate for time spent in negotiation meetings with the Company during regular day shift hours that they would otherwise have worked.

	1.		When meeting with Company for 2 hours or more, payment of a full day’s pay.

	2.		When meeting as a sub committee, payment of a full day’s pay.

	3.		When Company requests member not return to work, payment of a full day’s pay.

	(b)		During negotiations for a new Collective Agreement, the Company will place employees, members of the Negotiating Committee, on the day shift when meeting with Company.

	(c)		The Union Negotiating Committee shall consist of a maximum of five (5) members of the Bargaining Unit and such Union International Representatives as required.

11.08

Military Leave to participate in Reserve Force Training or Duty — a maximum of 12 months leave of absence without pay will be granted to employees who are members of the Reserve Force and are selected for extended, full-time service on peacekeeping or other missions. Reservists shall give the Company a minimum of 12 weeks advanced notice.

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ARTICLE 12 — SAFETY AND HEALTH

	12.01		The parties hereto recognize the importance of safety provisions in the plant for the welfare of the employees and for the protection of the Company’s property. The Company agrees to improve and promote safe working conditions in the plant. A Safety Committee shall be composed of up to four (4) Union, one of which shall be the local Union President, and four (4) Company representatives, one of which shall be the Supervisor, Medical Services, and it is agreed that the minutes of every meeting shall be made available to each member of the committee and a copy to the appropriate government agency.

	12.02		Pay for Safety Committee Meetings held outside regular working hours shall be at straight time rates.

	12.03		The Company will maintain a first aid station for the emergency treatment of accidents during working hours, and a log book of all accidents shall be maintained. Qualified First Aid personnel shall be available on all shifts.

12.04 (a)

Any employee working in the immediate vicinity of a serious or fatal accident may, at the discretion of the senior supervisor on shift, refrain from working the balance of the shift, without loss of pay.

(b)

The senior shift supervisor, in either of the above situations, shall notify the Senior Union Representative on shift, of his decision.

	12.05		Employees who believe that they are being required to work under conditions which are unsafe or unhealthy beyond the normal hazards inherent in the operation in question shall have the right to have such conditions investigated immediately. No worker will be disciplined for exercising his right to refuse unsafe work. The worker will be offered other work, at his regular job class, until the matter is resolved by the following process. Upon request by an employee to have his work conditions investigated, his work station shall be shut down immediately, until such time that the preliminary investigation is completed. Preliminary investigations may be conducted by the senior salaried supervisor on shift and any union officer that is on shift, and their decision shall be binding until a final judgement is passed down by the Safety Committee.

	12.06		Where an employee is employed under the conditions where he might be injured, and not be able to secure assistance, the employer shall devise some method of checking on the well-being of the employee at intervals which are reasonable and practicable under the circumstances.

	12.07		The Company will provide paid education leave to the Health and Safety Committee members.

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12.08

The Joint Safety Committee Co-Chairs, or their designates, shall meet quarterly with the Plant Manager to review reports and recommendations of the Joint Health and Safety Committee, and discuss other matters pertaining to safety, accident prevention and industrial hygiene. For special needs related to safety the Union, or the Company, may request a meeting of the two parties.

ARTICLE 13 — HANDICAPPED EMPLOYEES

13.01

In the event of employees sustaining injuries at work, or becoming affected by occupational diseases during the course of their employment and becoming physically handicapped, as a result thereof, every effort will be made by the Company to give the handicapped employee such suitable employment as is available.

ARTICLE 14 — UNION REPRESENTATIVES

14.01

If an authorized Representative of the International Union who is not employed by the Company wishes to speak to Local Union representatives in the plant about a grievance or other official Union business, he shall make arrangements through the Plant Manager. Such arrangements shall not interfere with normal plant operations.

ARTICLE 15 — ESTABLISHED PRACTICES

15.01

Any rights and privileges enjoyed by the employees prior to the execution of this Agreement shall be continued and no change shall be put into effect unless mutually agreed by the Company and the Union.

ARTICLE 16 — BULLETIN BOARDS

16.01

The Company agrees to provide the Union with bulletin boards in the plant for the purpose of posting Union notices and official papers. Notices will be posted only by officers of the Union and will be in keeping with the spirit and intent of this Agreement.

ARTICLE 17 — COMMITTEEMEN AND STEWARDS

17.01

The Union shall notify the Company in writing, within one (1) week of their appointment or election, of the names of all Union Officers, Committeemen and Stewards.

17.02

If a Union Officer or Committeeman is required to leave his job in connection with his duties under this Agreement, he must obtain permission from his immediate supervisor before doing so. Such permission will not be unreasonably

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withheld and he shall not suffer loss of pay while so engaged during his working hours.

17.03

Union Officers, Stewards and Committeemen shall not suffer loss of pay for authorized time spent during working hours in the performance of their duties as recognized under this Agreement.

Matters to be dealt with under the provisions of this Agreement shall normally be discussed during working hours.

17.04

If a Union Officer or Committeeman is assigned to night shift and his duties require his presence on day shift, he shall be transferred to the day shift for the length of time his duties require his presence on the day shift, providing proper notice is given to the Company.

Alternative employees may be selected by the Union when necessary to meet work requirements or in case of sickness.

	17.05		There shall be a grievance committee selected by the Union. This committee will be so selected that each department will be represented.

	17.06		The duties of officers and committeemen as referred to in this Agreement shall be deemed to mean carrying out the responsibilities of the committee or committees they are assigned to as designated on the lists of officers and committeemen supplied to the Company by the Union. Only those employees included on such lists to the Company will be recognized as spokesmen for the Union having duties under this Agreement.

ARTICLE 18 — HOURS OF WORK

	18.01		Definition of Day and Work Day - A day is a twenty-four (24) hour period beginning with the start of the employee’s shift. The basic work day is eight (8) consecutive hours of work in the twenty-four (24) hour period broken only by the established lunch period.

	18.02		Purpose of Defining Work Day and Work Week — The daily and weekly hours of work outlined in this Article 18 are stated solely for the purpose of calculating overtime and shall, in no way, be interpreted as a guarantee of work or pay per day or per week.

	18.03		Definition of Work Week — The basic work week is made up of five (5) consecutive working days Monday through Friday.

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18.04

Shift and Work Schedules

	(a)		The daily hours of work shall be outlined in Appendix (D) page 44.

	(b)		An employee required to change shift shall have eight (8) hours of rest between shifts. In the event an employee is recalled to work before such eight (8) hours elapse, he shall be considered as still working on his previous shift and shall be paid the appropriate rates except on a change from afternoon to day shift when seven and one-half (7-1/2) hours will prevail).

	(c)		Shift schedules and hours of work schedules shall be made and posted in the department no later than Wednesday of the preceding week. Employees required to change shifts for the convenience of the Company shall not suffer loss of regular earnings, as a result of such shift changes. The Company will provide available work or pay for the employee(s) affected by such shift changes to make up the amount of regular earnings by the end of the following pay period. Overtime rates as set forth herein shall be paid for work performed on an employee’s scheduled days off.

18.05

Definition of Shifts

	(a)		A shift starting on or after 6:00 a.m., but before 9:00 a.m. is a day shift.

	(b)		A shift starting on or after 2:00 p.m, but before 5:00 p.m. is an afternoon shift.

	(c)		A shift starting on or after 10:00 p.m., but before 1:00 a.m. is a night shift.

18.06

Shift Premiums

Effective January 1, 1998, shift premiums shall be:

	(a)		A shift premium of twenty-five cents ($.25) additional to the standard hourly rate shall be paid each employee for hours worked on afternoon shift.

	(b)		A shift premium of fifty cents ($.50) additional to the standard hourly rate shall be paid each employee for hours worked on night shift.

	(c)		The shift premiums outlined in (a) and (b) above shall be paid during overtime hours at the rates outlined, but shall not be included in the standard hourly rate for computing overtime pay.

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18.07

Lunch Periods

Employees shall be granted a lunch period in each shift as provided in Appendix (D) pages 44 — 48 inclusive.

ARTICLE 19 — OVERTIME

19.01

There shall be no pyramiding of time in the calculation of weekly overtime by including any hours for which daily overtime has already been paid.

19.02

(a) Hours Worked in Excess of Eight (8)

The Company shall pay an employee two (2) times his regular straight time hourly rate for all hours he is required to work over eight (8) hours a day.

(b)

Hours Worked in Excess of Twelve (12)

The Company shall pay an employee three (3) times his regular straight time hourly rate for all hours he is required to work over twelve (12) hours a day.

19.03

Hours Worked on Saturday

The Company shall pay two (2) times the employee’s regular straight time hourly rate for the first twelve (12) hours of work, and three (3) times his regular straight time hourly rate thereafter.

19.03

( a )

The above article 19.03 is subject to the terms and conditions of the Letter of Understanding “ Overtime after 8 hours per day and 40 hours per week “ that forms part of this agreement.

19.04

Hours Worked on Sunday

The Company shall pay two (2) times the employee’s regular straight time hourly rate for the first twelve (12) hours of work, and three (3) times his regular straight time hourly rate thereafter.

19.04

( a )

The above article 19.04 is subject to the terms and conditions of the Letter of Understanding “ Overtime after 8 hours per day and 40 hours per week” that forms part of this agreement.

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19.05

Exceptions to Daily Overtime

When a employee is permitted by the Company to change from one shift to another at his own request, and a new shift starts within the same twenty-four (24) hour period as his preceding shift, overtime resulting from such shift changes will not be paid as provided in Sections 19.02 and 19.03. The starting time of the new shift will start a new twenty-four (24) hour period for the purpose of determining overtime, but Sections 19.02 and 19.03 shall not apply when an employee whose request for a shift change has been granted reverts to his previous shift schedule.

19.06

Lunch Periods

Regular lunch periods shall start four (4) hours after the start of the employee’s shift. Employees shall not be required to work more than five (5) consecutive hours after the starting of the shift without receiving their normal lunch break. Lunch periods shall be uninterrupted. Employees required to work without a lunch break after a maximum of five (5) consecutive hours from the start of their shift shall be given a twenty (20) minute lunch break and shall be paid one-half (1/2) hour at two (2) times their regular straight time hourly rate.

19.07

(a) Overtime Lunches

Employees required to work overtime shall be given a thirty (30) minute paid lunch break after having worked six (6) consecutive hours or, in any case, after having worked ten (10) consecutive hours of actual work, and every four (4) hours thereafter, provided that in each case it is necessary to resume overtime work involving a paid lunch break as above, the Company will provide a lunch if the employee(s) concerned were not notified on the previous work day about the overtime work.

(b)

Weekend Lunch Breaks

All employees working overtime on weekends shall work an eight (8) hour shift, inclusive of a paid lunch break.

(c)

Lateness and Overtime

	(1)		Late starting up to six (6) minutes shall not be deductible.

	(2)		Lateness in excess of six (6) minutes shall be calculated and deductible to the nearest tenth (10th) of an hour, with a minimum deduction of two-tenths (2/10) of an hour.

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Approved overtime shall be applied and calculated on the following basis:

	(1)		Up to and including six (6) minutes shall be disregarded when no further overtime is worked.

	(2)		Six (6) minutes and over shall be calculated to the nearest tenth (10th) of an hour with a minimum of two-tenths (2/10) of an hour.

NOTE: This section does not provide for lateness or overtime on a continuous basis.

19.08

Notice of Overtime

The Company will provide at least one (1) hour of notice of overtime before the end of the shift, except in the case of overtime work resulting from equipment breakdown or from production requirements beyond the control of the Company which occur within the hour prior to the normal shift finishing time.

19.09

The employee(s) shall have the right to refuse any unscheduled overtime. Notice of scheduled overtime work required on Monday, Tuesday, Wednesday and Thursday shall be given by noon of the previous day. All overtime on Friday, Saturday and Sunday shall be voluntary.

19.10 (a)

Overtime will be distributed as evenly as possible among those employees normally performing the work available. Employees who have refused overtime will be credited as having worked this overtime for even distribution purposes.

	(b)		Normally performing the work shall be meant to be the specific mill or work area affected.

	(c)		Effective on ratification of this contract, the agreed upon record of overtime distribution shall commence on January 1st of each calendar year, and shall not exceed a twelve (12) month period.

	(d)		Overtime worked outside the employees regular department shall not be counted against the employee’s entitlement to overtime in their regular department.

ARTICLE 20 — STATUTORY HOLIDAYS

20.01

The following shall be recognized as paid holidays under this Agreement subject to Section 20.02:

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		New Year’s Day		First Monday in August
		Family Day		Labour Day
		Good Friday		Thanksgiving Day
		Victoria Day		Remembrance Day
		Canada Day		Christmas Day
		Stampede Day		Boxing Day

regardless of the day upon which they are observed or celebrated. If any of the above holidays fall on Saturday or Sunday, the preceding Friday or the following Monday will be considered the holiday.

20.02

Holiday Pay Allowance

An employee shall receive a holiday pay allowance of eight (8) hours pay for any of the above-named holidays at his average regular straight time hourly rate for the last complete pay period prior to the holiday, provided that:

	(a)		If he is a probationary employee, he has completed thirty (30) consecutive calendar days of employment prior to the holiday, except that if he does complete the thirty (30) day period, he shall receive pay for any holidays which occurred during such period, and

	(b)		he has worked eight (8) hours in the week preceding the holiday, unless he is absent because of vacation, death in the immediate family, illness, jury duty, or within fourteen (14) calendar days prior to the holiday, he commences a leave of absence or is laid off, but

	(c)		an employee may not qualify for any further paid holidays under item (b) above until he returns to work.

	(d)		Disciplinary action may be taken in instances where employees fail to work the day before or the day after a plant holiday, except where permission was previously obtained or the employee had a justifiable reason for being absent.

20.03

Pay for Work on Holiday

An employee required to work on a holiday named in Section 20.01 shall be paid two (2) times his regular straight time hourly rate for all work performed in addition to any holiday pay allowance under Holiday Pay Allowance.

20.04

In the event that one or more of the above-named holidays occurs during the employee’s vacation, he shall be paid for such holiday(s), and the additional days will be added to his vacation time.

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20.05

The observance of the above holidays may be transferred by mutual agreement to other days than the date proclaimed or provided above.

ARTICLE 21 — WAGES

21.01

(a) The Co-Operative Wage Study (C.W.S.) Manual for job description, classification and wage administration, dated August 1, 1971 (herein referred to as “the Manual”) is incorporated into this Agreement as APPENDIX (A) page 40, and its provisions shall apply as if set forth in full herein.

(b)

Job classifications shall be as set forth in APPENDIX (C) attached hereto, and forming part of this Agreement. See pages 41 — 43 inclusive.

21.02

Each employee’s job shall be described and classified, and a rate of pay applied to such employee in accordance with the provisions of this Agreement.

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21.03

Standard Hourly Wage Scale

(a)

The standard hourly wage scale shall be as follows:


Job Class	Jan. 1/ 04	Jan 1/05	Jan 1/06
1	22.23	22.53	22.78
2	22.54	22.87	23.14
3	22.85	23.21	23.50
4	23.16	23.55	23.86
5	23.47	23.89	24.22
6	23.78	24.23	24.58
7	24.09	24.57	24.94
8	24.40	24.91	25.30
9	24.71	25.25	25.66
10	25.02	25.59	26.02
11	25.33	25.93	26.38
12	25.64	26.27	26.74
13	25.95	26.61	27.10
14	26.26	26.95	27.46
15	26.57	27.29	27.82
16	26.88	27.63	28.18
17	27.19	27.97	28.54
18	27.50	28.31	28.90
19	27.81	28.65	29.26
20	28.12	28.99	29.62
21	28.43	29.33	29.98
22	28.74	29.67	30.34
23	29.05	30.01	30.70
24	29.36	30.35	31.06
25	29.67	30.69	31.42
26	29.98	31.03	31.78
27	30.29	31.37	32.14

(b)

All employees with a start date after the signing date of this Collective Agreement, that start at Job Class 4 or less, shall have a two dollar ($2.00) reduction from their rate of pay during the probationary period. In the event that probationary employees are promoted to a job that is at a Job Class higher than Job Class 4, such employees shall be paid the rate for the job they are doing with no reductions. This article will not apply to tradespersons.

21.04

Effective on the dates specified in Section 21.03, all employees shall have their rates of pay adjusted as follows:

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	(a)		If the employee is not receiving an out-of-line differential prior to the dates specified in Section 21.03, the rate of pay of such employee shall be adjusted to conform to the standard hourly rate for that employee’s job, as provided in Section 21.03.

	(b)		If the employee is receiving an out-of-line differential prior to the dates specified in Section 21.03, the rate of pay of such employee shall be increased by the amount by which the rate for Job Class I has been increased, as provided in Section 21.03 and the following shall govern:

	(1)		If the employee’s new rate resulting from such increase is greater than the standard hourly rate for the job as provided in Section 21.03, the amount by which such employee’s new rate is greater than the rate provided in Section 21.03 shall become such employee’s new out-of-line differential (which shall replace the former out-of-line differential) and shall apply in accordance with the provisions of this Agreement.

	(2)		If the employee’s new rate resulting from such increase is equal to or less than the standard hourly rate for the job, as provided in Section 21.03, the rate of pay of such employee shall be adjusted to conform to the standard hourly rate for the job, as provided in Section 21.03, and the former out-of-line differential shall be terminated.

21.05

As of the date the Standard Hourly Wage Scale becomes effective, the standard hourly rate for each job class shall be the standard hourly rate for all jobs classified within such job class and shall so continue for the duration of the Standard Hourly Wage Scale and shall be applied to any employee in accordance with the provisions of this Agreement.

21.06

Each standard hourly rate established under Section 21.03 shall be:

	(a)		The established rate of pay for all hours paid for on a non-incentive job; and

	(b)		the established hourly base rate and minimum guaranteed rate of pay under any incentive applied to the job in accordance with the provisions of this Article.

	21.07		Except as otherwise provided by this Agreement, the established rate of pay for each production or maintenance job, other than a trade or craft or apprentice job, shall apply to any employee during such time as the employee is required to perform such job.

	21.08		Except as otherwise provided by this Agreement, the established rate of pay for a trade or craft or apprentice job shall apply to any employee during the time such employee is assigned to the respective rate classifications in accordance with the provisions of this Agreement.

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21.09

Out of Line Differentials

The Company shall furnish to the Union a list agreed to by the Company and the Union of employees who are to be paid “out-of-line differentials”. Such list shall contain the following information:

	(a)		Name of incumbent to whom such “out-of-line differential” is to be paid.

	(b)		Job title of job on which out-of-line differential is to be paid.

	(c)		Job classification of such job.

	(d)		Standard hourly rate of such jobs.

	(e)		Amount of out-of-line differential.

	(f)		Date such out-of-line differential became effective.

	21.10		Except as such out-of-line differential may be changed by the means hereinafter provided, any employee included in the list referred to in Section 21.09 shall continue to be paid such out-of-line differential during such time as the employee continues to occupy the job for which the differential was established.

	21.11		If an employee with an out-of-line differential is transferred or assigned to a job having a higher standard hourly rate, then the differential shall be reduced by the amount of the increase in the standard hourly rate.

	21.12		If, as a result of lay-off and the exercise of seniority rights, an employee with an out-of-line differential is moved to a job having a lower standard hourly rate, then the out-of-line differential shall be cancelled.

	21.13		If such employee referred to in Sections 21.11 and 21.12 shall be returned to the job for which the out-of-line differential was established, the out-of-line differential shall be reinstated, except as it may have been reduced or eliminated by other means.

	21.14		When an employee would, in accordance with the terms of this Agreement, be entitled to receive his regular rate, he shall also receive any out-of-line differential to which he is entitled.

	21.15		In addition to the means herein provided, increases in the increment between job classes shall be used to reduce or eliminate out-of-line differentials.

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	21.16		Except for the application of the out-of-line differentials as called for herein, the terms of this Agreement governing transfers shall apply.

	21.17		Temporary Transfer — An employee who is temporarily transferred from his regular job shall be paid the standard hourly rate of the job to which he has been transferred, provided such rate is not less than that of his regular job. If the rate of the job to which he is temporarily transferred, but not as a result of a lay-off, is less than the rate of his regular job, he shall be paid the rate of his regular job during the period of such temporary transfer.

	21.18		Trade or Craft and Assigned Maintenance Convention — In addition to the provisions of the Manual for describing and classifying trade or craft and assigned maintenance jobs the following shall apply:

	(a)		The description and Classification shall be carried out in accordance with the Manual.

	(b)		The job classification of trade or craft jobs, having been classified as in Paragraph (a), above, shall be increased by two job classes and the two job classes shall be incorporated into the total classification of the job.