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Exhibit 10.16
MEMORANDUM OF
AGREEMENT
PENNSYLVANIA NATIONAL TURF CLUB,
INC. / MOUNTAINVIEW RACING ASSOCIATION (collectively, the
“Employer”), wholly owned subsidiaries of Penn National
Gaming Inc. and SPORTS ARENA EMPLOYEES’ UNION, LOCAL
NO. 137 (the “Union”) have engaged in negotiations
for a successor collective bargaining agreement (“Successor
Agreement”) to the one which expired on September 30,
2002 (“Previous Agreement”) and by mutual agreement the
Previous Agreement has been extended by the parties. Pending
ratification as set forth below, the parties hereby agree as
follows:
1.
The parties agree that the provisions of the Previous Agreement
shall be and remain in the Successor Agreement except as modified
by the following provisions and language:
2.
3 year term — December 1, 2004 to December 31,
2007.
3.
Any closings or changes to the number of scheduled workdays not
caused by the Union in violation of the applicable law or the
no-strike clause shall cause a proportional change in the number of
days required for any criteria to be met under the Successor
Agreement.
4.
Article IV — Grievances — change
“5 calendar days” to “7 calendar
days”
5.
Article XXIV — Uniforms — change to replace 1c
with the following:
“No vests required; No Blue
Jeans; only solid colors for pants & skirts; Employees may be
required to wear name tags with only the employee’s first
name and last initial”; and
Delete second sentence of Article
XXIV, Sec. 1a; and
Delete 2a & 2 nd
sentence of 2c; and
Delete all of 2d.
6.
Article XXI — Death in the Family — amend to
“three (3) consecutive working days off commencing
within seven (7) calendar days” and add
“grandchildren” to definition of family.
7.
Article I — Recognition — amend to reflect that
the work of the Turf Club Attendant shall be unit work, except so
long as the current employee in that position continues to perform
that work she will not be forced to join the union.
8.
Article VII , Sec. 4 & 5 — amend from
“$7.50” to “$10.00”
9.
Article VII , 5(b)(4) — parties agree: no change
in telebet shift length; and Employer will offer to create a
“Call-in-List” to cover times when the employer needs
additional operators on short notice, after shape-up is exhausted
from regular procedures.
10.
Article XII — Wages
Sec. 5 — amend to
$10.00
Sec. 13 — amend to reflect a
“hire” rate of 90% of regular rate and then each such
employee shall go to 100% of rate on or after the one (1) year
anniversary of their hire — effective upon
ratification.
11.
Article XV — Vacation — Amended to
read:
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All seniority shifts
count
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<10 yrs
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>10 yrs
|
|
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85% of live
|
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5
|
|
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10
|
|
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65% of live
|
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4
|
|
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7
|
|
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50% of live
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2
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|
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4
|
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12.
Article XIX — amend Sec. 4 to read: In the event
the Employer (1) sells all or a controlling interest in any of
the PNRC racing operations or (2) leases any of the PNRC
racing operations to a third party, then the execution and adoption
of this agreement by the relevant third party shall be prerequisite
to the actions described in (1) and (2) of this paragraph.
During
2
the term of the
Successor Agreement to protect and preserve the work of the
employees currently working under the Previous Agreement, the
Employer agrees, to the extent permitted by law, to require that as
a prerequisite to subcontracting current bargaining unit work, the
entity performing the subcontracted work shall be required to
assume the Successor Agreement with respect to the subcontracted
work. If this prerequisite and assumption i
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