COLLECTIVE AGREEMENT

between

Rose E. Dee (International) Ltd.

-and-

Service Employees International Union, Local 2

Effective Date: Expiry Date:

November 1, 2012 October 31, 2016

TABLE OF CONTENTS

Article 1- PURPOSE ....................... ..................... .................................. ...................................... 1

Article 2- RECOGNITION ............................................................................................................ 1

Article 3- RELATIONSHIP ............................................................................... ............................. 1

Article 4- UNION DUES .............................................................................................................. 2

Article 5- MANAGEMENT RIGHTS .......... .......................... ... ......................... ... ................... ... ..... 3

Article 6- NO STRIKE, NO LOCKOUT ........................................ ........................................... ........ 4

Article 7- UNION REPRESENTATION ......................................................................................... .. 4

Article 8- COMPLAINT/GRIEVANCE PROCEDURE .................................................... .................... 7

Article 9 - ARBITRATION ..................... ............................................................ ... ......................... 9

Article 10 - PROBATIONARY PERIOD ............. .............................................................................. 10

Article 11- SENIORITY ................................................................................................................ 10

Article 12- JOB POSTING$, LAY OFF AND RECALL ....................................................................... 12

Article 13- WAGES ................................................................ ..................................................... 15

Article 14- HOURS OF WORK AND OVERTIME ........................................................................... 17

Article 15- HOLIDAYS ..................... ...... ............. .. ....................................................................... 20

Article 16- VACATION ........................ ........................................... ...... ....................................... 22

Article 17- LEAVE OF ABSENCE .................................................................................................. 23

Article 18- EQUIPMENT ............................................................................................................. 25

Article 19- TRAINING COURSES ................................................................................................. 26

Article 20- NO CONTRACTING OUT ....................... ..................................................................... 26

Article 21- WORKPLACE SAFETY AND INSURANCE ACT .............................................................. 27

Article 22- HEALTH & WELFARE BENEFITS ................................. .. .............................................. 27

Article 23- BULLETIN BOARD ..................................................................................................... 28

Article 24- GENERAL .................................................................................................... .......... .. .. 28

Article 25- ATIENDANCE/PUNCTUALITY INCENTIVE BONUS ...................................................... 30

Article 26- DURATION ...................... ................................................................ ........................ .. 32

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Article 27- PRINTING OF AGREEMENT ....................................................................................... 32

SCHEDULE "A"WAGES .................................................................................... ...... .... ............ ....... 33

SCHEDULE "A" ............................................................................................................................ 34

LEITER OF UNDERSTANDING- 1 ................................................................................................ 36

LEITER OF UNDERSTANDING- 2 ................................................................................................ 37

LEITER OF UNDERSTANDING- 3 ................................................................................................. 38

LEITER OF UNDERSTANDING- 4 ................................................................................................. 39

LEITER OF UNDERSTANDING- 5 .......... ...................... ...................... .............. ................ ............ . 40

LEITER OF UNDERSTANDING- 6 ................................................................................................ 41

LEITER OF UNDERSTANDING -7 ................................................................................................. 43

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COLLECTIVE AGREEMENT between

Rose E. Dee (International) Ltd. (Hereinafter called the "Employer")

- and -

SERVICE EMPLOYEES INTERNATIONAL UNION (SEIU) LOCAL 2

(Hereinafter called the "Union")

ARTICLE 1 - PURPOSE

1.01 It is the central purpose of this Agreement to establish an orderly collective bargaining

relationship between the Employer and the bargaining unit of employees concerned, to

provide a mechanism for the prompt and equitable disposition of grievances, to

establish and maintain satisfactory working conditions of employment, and to

encourage efficient operations.

ARTICLE 2- RECOGNITION

2.01 The Employer recognizes the Union as the sole and exclusive bargaining agent for all its

employees in the City of Toronto save and except supervisors, persons above the rank of

supervisor and office and clerical staff and artists.

ARTICLE 3- RELATIONSHIP

3.01 All employees who are hired following the date of ratification of this Agreement will

within thirty (30) days after the signing date of this Agreement become and remain

members in good standing of the Union as a condition of employment.

3.02 There shall be no discrimination on the part of the Employer or the Union by reason of

race, creed, colour, marital status, sex, nationality, ancestry, place of origin, residence,

age, political affiliation, sexual orientation. The parties agree to abide by the terms of

the Human Rights Code.

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ARTICLE 4- UNION DUES

4.01 It shall be a condition of employment that all employees of the Employer covered by

this agreement shall pay Union dues as established by the Union from time to time. It is

agreed that arrangements will be made by the Union for a Union representative to

interview a newly hired employee in the month following the month of the employee's

commencement of employment, for the purpose of informing such employee of the

existence of the Union and this collective agreement. The interview will take place at a

mutually agreed upon time and will not exceed ten (10) minutes.

4.02 Commencing in the month following the month of hire, the Employer shall deduct

Union dues as directed by the Union from each employee each month and shall send all

of the monies so collected to the Secretary-Treasurer of the Union on or before the 25th

day of the month in which the deductions were made together with a list of the names

of the employees from whose pay deductions have been made and also the names of

any employees terminated since the last payment.

4.03 The Union shall be notified of the name and address of each newly hired employee

within 30 days of hire. The addresses, if available, will be remitted to the Union each

December.

The Employer will provide the Union with bargaining unit employee information in an

electronic format without any additional cost to the Employer. Employee information

relating to the employee's name, date of hire, phone numbers and addresses (if

available), will be forwarded to the Union on an electronic disc or by electronic mail

three times per year.

4.04 The Union agrees that, except as provided for in this Agreement or by agreement of the

parties, there will be no union activity on the premises of the Employer during the

employees' working hours.

4.05 The Union shall indemnify and hold the Employer harmless from any claims, suits,

judgements, attachments, complaints and from any other form of liability which may

arise as a result of any deductions from wages that are made in accordance with this

Article.

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ARTICLE 5- MANAGEMENT RIGHTS

5.01 Except to the extent explicitly abridged by specific written provisions to this Agreement,

the Company reserves and retains, solely and exclusively, all of its inherent rights to

operate and manage its business, and operations in accordance with its commitments,

its obligations and responsibilities, including those rights which the Employer had prior

to the signing of this Agreement.

5.02 The Union recognizes and acknowledges that all management rights and prerogatives

and the direction of the working forces, and the management of the Employer•s

operations are vested exclusively with the Employer and without limiting the generality

of the foregoing, the exclusive functions of the Employer shall include the following

rights:

(a) to operate and manage the Company in every and in all respects;

(b) to maintain order, discipline and efficiency amongst its employees and in

connection therewith to establish and enforce reasonable rules, regulations,

policies and practices to be observed by its employees. The Employer reserves the

right to amend or introduce new reasonable rules from time to time;

(c) to select, hire, retire, transfer, lay-off, recall, promote, demote, classify, assign

duties, discharge, suspend, or otherwise discipline employees who have completed

probation for just cause provided that a claim that a seniority employee who has

been discharged or disciplined without just cause may be made the subject of a

grievance and dealt with as hereinafter provided; to determine whether vacancies

exist and to hire persons to fill vacant positions or newly created positions on a

temporary, or permanent basis from time to time;

(d) to determine the nature and kind of operations conducted by the Employer, the

kinds and locations of its operations, the kinds of machinery and/or equipment to

be used, the methods of operating and control of materials, goods, or equipment

to be used, the quality and quantity of services and/or products;

(e) to have the right to plan, direct, control and determine the work of the employees,

the operations of the Employer, and the schedules and procedures of work. This

includes the right to introduce new and improved methods, facilities, equipment,

and to direct and control the amount of supervision necessary, to combine

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classifications, or work locations, work schedules, and to increase or reduce

personnel in any particular area or department, or on the whole, and the number

of employees required by the Employer from time to time, and to establish starting

and quitting times; to assign employees to shifts (if they exist) as required having

regard to seniority, to temporarily and permanently assign duties in the workplace;

(f) to determine the number of shifts, job content and requirements, and the

qualifications of employees;

(g) to establish, amend, or modify standards of production; to determine the

requirements of a job and the qualifications of an employee to perform the work

required;

5.03 The Company agrees that its functions will not be exercised in a manner inconsistent

with the other provisions referred to in this Agreement in an effort to maintain and

promote harmonious relations with the employees and the Union.

5.04 The Employer agrees that non-bargaining unit employees will not perform bargaining

unit work if existing bargaining unit employees would be laid off or sustain a reduction

in their regular hours of work as a direct result.

ARTICLE 6- NO STRIKE, NO LOCKOUT

6.01 In view of the orderly procedures established by this Agreement and provisions of the

Ontario Labour Relations Act for the settling of disputes and the handling of grievances,

the Union agrees that during the term of this Agreement, neither it, nor its

representatives, will threaten, cause or direct any strike by bargaining unit employees.

6.02 The Employer agrees that it will not threaten, cause or direct any lockout of its

employees for the duration of this Agreement.

6.03 The words "strike .. and "lockout" shall have the same meaning given to those words as

set out in the Ontario Labour Relations Act.

ARTICLE 7- UNION REPRESENTATION

7.01 The Employer recognizes the right of the Union to elect or appoint one (1) Chief Steward

and four (4) additional Stewards all of whom must have at least six (6) months of

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seniority with the Employer. The Union will notify the Employer from time to time as to

the names of the stewards and the areas of their responsibility; all stewards shall be

active regular seniority employees of the Employer.

7.02 The Union acknowledges that stewards have their regular duties to perform on behalf of

the Employer and that as much as possible, all activities of the Union and Stewards will

be carried on outside regular working hours. Stewards shall not leave their regular

duties to attend to the complaints and grievances of employees without having first

secured permission from their immediate supervisor, which permission shall not

unreasonably be withheld. Stewards shall state their destination to their immediate

supervisor and shall report again to him at the time of their return to work. Stewards

will be compensated at their regular rate of pay while attending to union business

relating to the operation of the Employer and the collective agreement. It is understood

that only one steward will be required to process a grievance or to meet with

management at any one time unless agreed to otherwise.

7.03

(a) The Company acknowledges the right of the Union to appoint or elect five (5)

employees to serve as members of the negotiating committee all of whom must be

actively employed and have at least six (6) months seniority with the Employer.

(b) Employees who are members of the Negotiating Committee will be paid their

regular rate of pay for all regular scheduled working hours that are missed but

spent in negotiating meetings up to but not including conciliation.

7.04 When an employee is required to attend a meeting in which the employee is to be given

a disciplinary written warning, suspension or discharge, the employee will have the right

to request that a union steward be present at the meeting. The employee will be

advised in advance of the purpose of the meeting. In the event that a steward is not

available at the time of the meeting, the employee may request another seniority

employee to be in attendance.

7.05 Copies of all disciplinary notices issued to bargaining unit members will be provided to

the employee concerned.

The Employer will provide the Chief Steward with a copy of a job posting that is referred

to in Article 12.01 (a) of the Collective Agreement

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7.06 In the event that the Employer includes a notice of disciplinary suspension or notice of

disciplinary termination of employment in an employee's personnel file, a copy of such

notice will be forwarded to the Chief Steward.

7.07 The Employer will agree to allow one paid day of leave per steward during the term of

the Collective Agreement at times that are authorized by the Employer while having due

regard for the operations of the Employer. Such authorization will not be unreasonably

withheld.

7.08 Labour-Management Committee

(a) On the request of either party, the parties shall meet at least once every three (3)

months, or as necessary, during the life of this Agreement to discuss issues relating

to the workplace which may affect the parties. Meetings will be held at a mutually

agreed upon time and location.

(b) A request for a meeting will be made in writing and shall include an agenda of

matters proposed for discussion. The subject matter will not include matters which

should more properly be dealt with under the grievance procedures set out in this

Agreement.

(c) An equal and mutually agreed upon number of representatives, not to exceed

three (3) from each party may attend the meeting. Employees attending these

meetings during their regularly scheduled hours shall suffer no loss of income.

(d) It will be the Committee's objective to complete the meeting within one (1) hour if

possible.

7.09 Joint Health and Safety Committee

(a) The Employer and the Union agree that they mutually desire to maintain standards

of safety and health in the workplace in order to prevent accidents, injury, illness,

and maintain a healthy work environment.

(b) The Employer acknowledges its obligations under the Occupational Health and

Safety Act (as amended from time to time). A Health and Safety Committee will be

established and it will be comprised of three (3) bargaining unit employees of the

Employer who have at least six (6) months seniority and three (3) members of the

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Employer's management. The employee representatives will be selected or

appointed by the Union from amongst bargaining unit employees.

(c) The Committee shall identify potential dangers and hazards, recommend means of

improving health and safety and recommend actions to be taken to improve

conditions related to health and safety.

(d) The Committee shall meet at least once every two (2) months at the workplace at a

mutually agreed time. Minutes will be maintained of all meetings.

(e) Any representative attending a meeting of the committee shall not lose regular

earnings as a result of such attendance. Committee members shall be given sixty

(60) minutes off work with pay, prior to each meeting for the purpose of

consultation.

(f) The Union agrees to endeavour to obtain the full co-operation of its membership in

the observation of all safety rules and practices.

ARTICLE 8- COMPLAINT/GRIEVANCE PROCEDURE

8.01 For the purpose of this Agreement, a grievance is defined as a difference ansmg

between the parties relating to the interpretation, application, administration or alleged

violation of the Agreement, including any question as to whether a difference or dispute

is arbitrable. The purpose of this Article is to establish a procedure for the settlement of

grievances.

8.02 It is generally understood that an employee has no complaint or grievance until he

either directly or through the Union, has first given his supervisor an opportunity to

adjust the complaint. The employee alleging a violation of the Agreement must so

advise his supervisor within five (5) days of the incident.

8.03 After registering such complaint with his immediate supervisor, the supervisor shall

state his decision verbally within two (2) days of having received the complaint, or

within any longer period which may have been agreed to by the parties. If no

settlement is agreed upon by the parties, the following steps of the grievance procedure

may be invoked.

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Step 1

Should the employee be dissatisfied with the immediate supervisor's disposition of the

complaint, the employee may, with the assistance of his union steward, refer such a

matter on a written grievance form supplied by the Union, to the employee's immediate

supervisor of the Plant no later than ten (10) days following the incident giving rise to

the complaint. The immediate supervisor shall respond to the grievance in writing no

later than five (5) days following the receipt of the written grievance. Within five (5)

days of the receipt of the response at Step 1, the matter may be referred to Step 2 of

the grievance procedure if the response is unsatisfactory, and such referral will be made

to the General Manager of the plant (or his designate).

Step 2

The grievor and his representative and the General Manager (or his designate) along

with the Union's Business Agent shall meet to discuss the grievance within ten (10) days

after the referral is made to Step 2 or at a time mutually agreed to. The Employer will

issue a decision within five (5) days of the meeting in Step 2 and if the decision is

unacceptable it may be referred by mutual agreement of the Union and the Employer to

grievance mediation as hereinafter provided within ten (10) days after the response at

Step 2 is given. If the parties do not agree to initiate the mediation process, the matter

may be referred to arbitration within the same ten (10) day period.

8.04 Policy, group, and discharge grievances shall be filed at Step 2 of the grievance

procedure. Discharge grievances must be filed within five (5) days after an employee

has been terminated.

8.05 For the purpose of this Article and Article 9, when determining the time limits within

which action is to be taken, the reference to days shall be exclusive of Saturdays,

Sundays and statutory holidays.

8.06 No matter may be submitted to arbitration (or mediation as the case may be) which has

not been properly carried through all of the requisite steps of the complaint/grievance

procedure. Time limits specified in the complaint/grievance procedure may be

extended only by mutual agreement of the parties.

8.07 All agreements concluded under the grievance procedure between the Company and

the Union will be final and binding upon the Company, the Union and employee(s), and

may include such terms which the parties may agree upon.

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8.08 Probationary employees as referred to in Article 10.01 of this Agreement may be

terminated or laid off without any right to recall, in the sole and absolute discretion of

the Employer. A probationary employee will have no right or basis upon which to file a

grievance in relation to his termination or lay-off and the termination of any such

employee will be deemed to have been for just cause.

8.09 The grievance mediation process and any settlement reached in mediation may be

without prejudice to either party. If no settlement is reached through the

complaint/grievance and/or mediation procedures as the case may be, then either party

may refer a matter to arbitration as provided in Article 9 of this Agreement.

8.10 All grievances that are submitted by an employee or the Union must include a written

statement which will set forth the nature of the grievance.

8.11 The Employer may institute a grievance, consisting of an allegation of a general

misinterpretation or violation of this Agreement by the Union, its representatives, or

any employee, in writing, dated and signed, by forwarding a written statement of said

grievance to the Union. A meeting will then be held with the Union within five (5) days

of the presentation of the grievance or as otherwise mutually arranged. A failure to

hold the meeting will constitute a denial of the grievance. The Union will provide a

written response to the grievance after the meeting within seven days of the meeting.

Failure to give a response will constitute a denial of the grievance. Failing settlement of

the grievance, the Employer may refer the grievance to arbitration as set out herein.

ARTICLE 9 - ARBITRATION

9.01

(a) Where a difference arises between the parties relating to the interpretation,

application or administration of the Agreement, including any question as to

whether a matter is arbitrable, or where an allegation is made that this Agreement

has been violated, either party may notify the other in writing of its desire to

submit the difference or allegations to arbitration. When either party wishes to

have the difference or allegation referred to arbitration, it may by mutual

agreement, be referred to a single arbitrator.

(b) The notice from the party submitting the difference or dispute to arbitration, shall

contain the name of the proposed arbitrator (or the party's nominee as the case

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may be) and shall be delivered to the other party within ten (10) working days

following the conclusion of the grievance procedure or mediation process as the

case may be.

(c) The recipient party shall, within seven (7) working days, advise the other of the

name of its proposed arbitrator (or nominee as the case may be). If the parties (or

their nominees as the case may be) are unable to agree on an arbitrator to chair

the board of arbitration, either party may request that the Minister of Labour make

the appointment.

9.02 No person may be appointed as an arbitrator who has been involved in an attempt to

negotiate or settle a grievance.

9.03 The arbitrator shall not be authorized to make a decision inconsistent with the

provisions of this Agreement, or to alter, modify, add to or amend any part of this

Agreement.

9.04 Each of the parties hereto will share equally the fees and expenses of the arbitrator

appointed herein and will pay the cost of their own nominees if applicable.

ARTICLE 10- PROBATIONARY PERIOD

10.01 All employees must complete a probation period of fifty (50) working days actually

worked. An employee will not be placed on any seniority list until after the successful

completion of the probation period. Following their successful completion of the

probation period, employees' names shall be placed on the appropriate seniority list

and their seniority shall date back to the date of last hiring.

10.02 The Employer shall supply the Union every six months, in January and July, seniority lists

of all employees coming within the scope of this bargaining unit. The seniority lists will

show the names of the employees, and their respective positions on the appropriate

seniority lists.

ARTICLE 11- SENIORITY

11.01 Employees shall accrue seniority after successfully completing the probation period,

from their date of last hire.

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11.02 In all cases of job postings, lay-offs and recalls, the following factors shall be considered:

(a) Skill, ability, reliability, availability, and qualifications;

(b) Where the factors in 11.02(a) above are relatively equal, the employee with the

greatest departmental seniority shall be selected for a job posting. In the event of

lay-offs and recalls of employees, the departmental seniority of an employee will

govern the lay-off or recall and employees will be laid off on the basis of their

departmental seniority provided that the remaining employees within the

department can satisfy the criteria set out in 11.02(a) above to do the work which

is available.

11.03 An employee will lose all seniority and will be deemed to be automatically terminated

without further notice for any of the following reasons:

(a) Voluntary resignation;

(b) Discharged for cause and not reinstated through the grievance or arbitration

procedures;

(c) Absent from work for three (3) consecutive days without notifying the Employer

unless a reason satisfactory to the Employer is provided by the employee;

(d) After a lay-off, a failure to notify the Employer of an intention to return to work

within 48 hours of being notified of recall by registered mail, courier or by

telephone or, failure to return to work within five working days after being notified

of the recall. Mail that is sent to the last known address of an employee according

to the Company's records will be effective notice;

(e) Lay-off for twelve (12) months or the length of the employees' seniority, whichever

is less, following the date of lay off;

(f) If off work in excess of twenty-four (24) months due to injury or illness; this clause

shall be interpreted in a manner that is consistent with the provisions of the

Human Rights Code.

(g) Failure to report for work as scheduled at the end of a leave of absence, vacation,

or suspension unless a reasonable explanation is provided to the Employer and can

be proven to the Employer;

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(h) Engages in gainful employment without authorization while on an approved leave

of absence.

11.04 Seniority shall be maintained and accumulated during:

(a) an absence due to illness, work related accident (i.e. Workplace Safety Insurance

Act accident), all of which is subject to article 11.03 (f) above;

(b) an authorized leave of absence with pay;

(c) an absence due to pregnancy, adoption leave or parental leave;

(d) an authorized leave of absence without pay for a period of up to thirty (30)

consecutive calendar days following the commencement of the leave of absence.

ARTICLE 12- JOB POSTINGS, LAY OFF AND RECALL

12.01 Job Posting

(a) Where a bargaining unit job vacancy occurs which the Employer intends to fill, such

vacancy shall be posted for five (5) working days;

(b) All postings will contain the following information:

Job Classification

Rate of Pay

Hours of work and shift where applicable

Required ability, qualifications, skills, and availability;

(c) Employees wishing to apply for a posted position will do so within the five (5) day

period prescribed in 12.01(a). Applicants to a job posting will be considered by the

Employer based on the criteria set out in article 11.02(a);

(d) The successful candidate for a job vacancy may return or be returned by the

Employer, to his former position within a period of ten (10) working days from the

commencement of the assignment if the Employer or employee as the case may

be, so wishes without loss of rights or privileges, and all other employees

transferred or re-assigned as a result of the move will also be returned to their

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former positions.

The vacancy may then be filled from the applicants to the original posting.

If there are no successful applicants for a vacant position that has been posted by

the Employer, the Employer may secure applications for the vacant position from

outside the bargaining unit;

(e) A vacancy created by a posting will not be subject to more than two (2) further

postings arising from the original posting.

12.02 Lay Off and Recall

(a) In cases of lay off, or recall from lay off, the employee with the greater

departmental seniority in the affected department, provided that he/she has the

requisite qualifications, skills, ability;reliability and availability to perform the

required work, shall be the last to be laid off in the department and conversely the

first to be recalled from lay off back into the department. An employee may only

bump into a classification within his/her department that has a four (4) wage rate

that is equal to or lower than his/her own rate of pay. There will be three (3)

departments. The departments will be comprised of the following classifications of

employees and are as follows:

Department 1: Driver

Department 2: Order Filler, Order Picker, Manufacturing, Sample Maker

Department 3: General Warehouse, Automatic, Machine Operator, Students

Department 4 : Kincort Notions

(b) In the event that the least senior employee with seniority in one of the

departments referred to above is about to be permanently laid off from within

his/her own department, such employee may bump an employee with the least

seniority in another classification in another department if:

(i) The classification within the other department is one that has a wage rate that is

equal to or lower than the employee's own classification from which he/she is

being laid off; and

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(ii) The Employer must be satisfied that the employee has the requisite skill, ability

qualifications, reliability and availability to immediately perform the duties of

the other classification in the other department. Notwithstanding any other

Article in the Collective Agreement, in the event of a lay-off, employees who are

working in the Kincort Notions classification cannot be displayed by any other

bargaining unit employee unless such employee is working in an other

classification and earning a higher or equal rate of pay, and such employee has

had work experience in the Kincort Notions classification and the Employer is

satisfied that such employee can immediately and effectively perform all of the

duties in the Kincort Notions classification.

(c) In the event the Employer determines the need to implement a permanent lay-off,

the Employer agrees to meet with the Union to discuss the effects of the lay off

and possible alternatives to the lay off prior to employees being notified of the lay­

off. Such meeting will take place seven (7) days prior to the date of the planned

lay-off unless otherwise extended by mutual agreement, or if circumstances do not

reasonably permit. If the parties do not meet as set out herein, the lay-off may be

implemented.

(d) Notice of Lay Off

(i) In the event of a proposed temporary layoff that is expected to last for a period

that is less than thirteen (13) weeks, the Employer will endeavour to provide as

much notice as possible, to all affected employees.

(ii) In the case of a layoff exceeding 13 weeks, the Employer will provide at least one

(1) weeks' notice to employees who have completed probation, or as otherwise

required by the Employment Standards Act, or pay in lieu thereof.

(e) An Employee who is subject to lay-off shall have the right to either:

(i) Accept the lay off; or

(ii) Displace an employee who has less departmental seniority or a less senior

employee in another department as set out in Article 12.02 above, if the

employee subject to lay-off has the requisite skill, ability, and qualifications to

perform the duties of the employee being displaced and can perform the job

without training other than modest orientation. This employee will be paid at

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the applicable rate for the specific job classification in the department that they

assume.

(f) In the event it is necessary to reduce the work force, senior employees may

volunteer for such lay-off, provided that those employees who remain in the

department can satisfy the criteria referred to in 11.02(a) to immediately perform

the available work to the satisfaction of the Employer. Senior employees wishing to

exercise these rights must immediately inform the Employer that they are prepared

to be laid off in place of an employee with less seniority.

12.03 Recalls

Before hiring any new employee in a department, the Employer will offer an opening in

a department to an employee who is on lay-off who has retained seniority and, who is

ready, willing and able to assume the position that is being offered by the Employer at

the time and who can satisfy the criteria referred to in article 11.02(a). Notification of

recall from lay-off will be communicated by means of registered letter, courier or by

telephone. It will be the employee's responsibility to keep the Employer informed of his

most current address and telephone number.

In the event that an employee with seniority is on a permanent lay-off from his/her

classification in her own department, and there is an opening in another classification in

another department (other than the employee's home department) the Employer may

offer such opening to the laid off employee if:

(i) the classification within the other department is one that has a wage rate that is

equal to or lower than the employees own classification from which he/she was

laid off; and

(ii) the Employer must be satisfied that the employee has the requisite skill, ability

and qualifications, reliability and availability to immediately perform the duties

of the other classification in the other department.

ARTICLE 13- WAGES

13.01 Hourly wages will be paid according to the classification and schedule that is set forth in

schedule "A" of this Agreement.

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13.02 Employees will be paid bi-weekly by direct deposit. Pay stubs will be provided to each

employee in a sealed envelope.

13.03 When an employee is assigned by the Employer to temporarily perform the duties of a

higher paying bargaining unit position for a period in excess of four (4) hours, the

employee will be paid the rate of pay that is immediately above their own current rate

in the higher classification to which he is assigned from the commencement of the shift

on which he was assigned the job by the Employer.

13.04 In the event that the Employer requires any bargaining unit employee who is not a lead

Hand, to train another employee, such employee will be paid an amount of one ($1.00)

dollar (the Training Premium) for each hour in respect of which such training is

authorized by the Employer and actually provided by such employee, in addition to the

employee's regular hourly rate of pay. It is understood that the Training Premium is not

included in the employee's regular rate of pay but is a payment that is made in addition

to the regular hourly rate of pay for the purposes of this Agreement.

13.05 If the Employer creates a new classification the Union will be notified within seven (7)

days and provided with a proposed job description and rate of pay. If the Union

challenges the rate of pay or any other matters pertaining to the new classification, it

will notify the Employer within 7 days of receipt of the above noted information and a

meeting will be arranged to discuss any issues in dispute. If the parties are unable to

agree on any issues, including rates of pay, within 14 days of the meeting any

outstanding issues may be submitted to mediation by mutual agreement, or to binding

arbitration for final resolution.

13.06 Incentive System for Double Folding

(a) The Employer will continue the current incentive system for double folders, of

paying one (1) cent for every double folded meter of fabric that exceeds 10,000

meters of fabric per week which amount is paid bi-weekly less statutory

deductions.

(b) Effective the first full pay period following the date of ratification of the Collective

Agreement, the Employer will introduce a new incentive threshold so that the

Employer will pay an amount of one and one-half (1.5) cents for every double

folded meter of fabric that exceeds 15,000 meters of fabric per week which

amount is paid bi-weekly less statutory holidays.

16 I Page

(c) It is understood that with respect to Knits and Fleeces, double folders will be

credited with having double folded one and one-half (1.5) meters of fabric for

every meter of knits and fleeces that are double folded for the purposes of

calculating the meters of fabric that have been double folded in relation to each of

the two incentives.

(d) It is understood that the production qualification referred to in (b) above will be

adjusted and prorated to reflect time off during any week in which there is a

holiday as set out in Article 15 or a scheduled vacation period for the employee.

ARTICLE 14- HOURS OF WORK AND OVERTIME

14.01 It is understood that this Article is intended to provide the basis of a work week for

bargaining unit employees but shall not be interpreted as a guarantee of normal hours

of work per day, or normal hours of work per week, or normal days of work per week,

nor is it a guarantee of any employee's work schedule(s).

14.02 The work week for regular full time employees shall be up to forty point five (40.5)

hours per week and exclusive of meal periods, Monday to Friday. The normal week is

referred to herein for the purposes of computing overtime only which will be calculated

on a bi-weekly basis as set out below. Any hours worked by an employee in excess of

eighty-one (81) hours bi-weekly will be paid for at the rate of one and one-half (1 ~)

times the employees regular hourly rate.

14.03 All employees will receive two (2) fifteen minute paid breaks per shift at times approved

by their immediate supervisor, plus a thirty (30) minute unpaid lunch break.

14.04 The parties agree there will be no split shifts and that there will be a minimum of fifteen

(15) hours between the end of one shift and the commencement of the next shift unless

otherwise agreed to between the parties.

14.05 All work performed on Saturdays or Sundays will be paid for at one and a half (1 ~)

times the employee's regular hourly rate. This will exclude hours worked on either of

these days that are part of a normal schedule or where work is being performed on a

Saturday or Sunday to substitute for work during the normal schedule by mutual

agreement of the Employer and employee(s).

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14.06

(a) Distribution of Overtime

(i) An "Available to Work Overtime Hours List" ("the List") for employees in each

classification, will be maintained. Employees in each classification will be given

an opportunity to place their names on the List if they are indeed ready, willing

and able to work overtime hours within their respective classifications whenever

required by the Employer from time to time.

(ii) The Employer will request volunteers from amongst the employees in each of

the job classifications, to work the overtime hours as required when compiling

the List for each job classification.

(iii) In the event that the overtime hours become available in a classification, the

Employer will consult the List and offer overtime hours to the employees on the

List on a rotating basis. The Employer will not be required to contact employees

or offer overtime hours to those employees whose names do not appear on the

appropriate job classification List.

(iv) An employee whose name appears on the List and who is requested to work

overtime hours by the Employer will be required to work the hours that are

offered unless a reasonable and acceptable explanation is provided to the

Employer. It is understood that if an employee refuses a request to work

overtime hours without providing a reasonable and acceptable explanation to

the Employer, his/her name will be removed from the List and no further offers

of overtime hours will be made by the Employer to such employee. An

employee whose name has been deleted from the list may have his/her name

included on the List again sixty (60) days after it has been removed.

(v) As a condition of offering any overtime hours to an employee on the List, such

hours must not interfere with the employee's regular work schedule, and must

not conflict with the terms of the Collective Agreement or of any statute.

18 I Page

(vi) The Employer reserves the right to assign hours of work that would be overtime

hours, as it sees fit in the event that there are an insufficient number of

employees on the List for each particular classification, or in the event that the

Employer is unable to schedule the hours of work amongst the employees on

the List for any reason whatsoever. In this regard, the Employer will have the

option to assign overtime hours to an employee whose name appears on

another classification List which is a classification that has a rate of pay that is

equal to or lesser than the classification in which the overtime opportunity

exists, provided that the Employer determines that such employee is ready,

willing, skilled and sufficiently experienced to immediately perform the overtime

work that is required.

(vii) It is also understood that the Employer will have the right to assign overtime

hours to the least junior employee in a classification, if there are insufficient

employees available to work the required hours, regardless of whether such

employee's name is on the List or not.

(b) The Employer will make every reasonable effort to schedule overtime work on a

rotating basis amongst bargaining unit employees within the classification and the

department where the work is available. Employees who are requested to work

overtime pursuant to this article will be required to work the overtime assignment

unless a reasonable explanation to the Employer is provided subject to the

provisions of Article 14.06 (a) as set out above.

14.07 The Employer will not re-schedule employees for the sole and only purpose of avoiding

overtime payment.

14.08 Reporting Pay and Call Back

Employees who are required by the Employer to report for any scheduled shift will be

guaranteed at least four (4) hours of work or pay in lieu thereof.

Any employee, who is called back to work after having completed his full scheduled

hours of work and having left the Employer's premises, will receive a minimum of four

(4) hours pay. It is understood that this provision will not apply in the case of employees

who are required to work immediately prior to the commencement of their regular

shift.

19 I Page

14.09 The four (4} hour minimum will not apply where the Employer is unable to provide work

to the employee(s} because of fire, lightening, power failure, storms, labour dispute or

similar causes which are beyond the control of the Employer and which prevents the

Employer from providing the minimum of four (4} hours of work. The four (4} hour

minimum will not apply to casual or temporary employees nor to any employee who has

agreed or requested to work less than four (4} hours.

14.10 All time worked must be recorded by employees. Employees must record their own

starting and quitting times.

14.11 Any employee who is unable to attend at work for a scheduled shift as scheduled for a

justifiable reason to the Employer, must notify the Employer of the absence or lateness

as the case may be, (if the lateness is expected to be for one hour or more} prior to the

commencement of the employee's scheduled shift so that other arrangements can be

made by the Employer.

ARTICLE 15- HOLIDAYS

15.01 Employees who have successfully completed the probation period will receive the

following paid holidays:

15.02

Boxing Day (December 26th) Labour Day *Float Day

Thanksgiving Day Victoria Day

Christmas Day Canada Day

New Year's Day Civic Holiday

Good Friday Family Day

* Employees with three (3) or more years of continuous service with the Employer will

be entitled to one (1} float day per contract year. Such date to be mutually agreed upon.

(a} In order to qualify for payment of any of the above named holidays, an employee

must have reported for work on his regularly scheduled working day immediately

prior to and immediately following the holiday, unless absent due to vacation or

legitimate illness which is verified by a certified medical certificate provided to the

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Employer;

(b) A full time employee who has worked 12 days during the 28 calendar days

preceding the holiday will be eligible to receive the holiday pay.

(c) An employee who is part-time or any employee who works less than 12 days

during the 28 calendar days preceding the holiday will be eligible to receive holiday

pay based on the total amount of regular wages earned and payable in the 4 weeks

preceding the holiday divided by 20.

15.03 Eligible employees who are not assigned to work on a holiday named above will be paid

their regular pay for the day.

15.04 Employees who are required to work on any of the Holidays specified in 15.01 above

shall be paid at the rate of one and one-half times their regular rate of pay for all hours

worked in addition to their regular rate for all hours worked on that day.

In the alternative and with the agreement of the Employer and employee, the Employer

will pay to the employee wages at the rate of one and one half times their regular rate

of pay for the hours worked on the holiday and substitute another day that would

ordinarily be a working day for the employee to take off work and for which he/she will

be paid statutory holiday pay. The substituted day will be a day that is no more than

three (3) months after the holiday occurred.

15.05 If one of the above named holidays occurs on an eligible employee's regular day off or

during his vacation period, the employee will receive an additional day off in lieu

thereof.

15.06 When any employee is required to work on any one of the paid holidays, the hours

worked on the holiday and the day of the holiday itself, will not be taken into

consideration in calculating any overtime pay to which the employee may be entitled for

the period in respect of which the holiday occurs. When a seniority employee is not

required to work on any of the paid holidays and is eligible to receive holiday pay, the

hours not worked but paid for on such holiday, will be considered as hours worked for

the purposes of calculating overtime eligibility.

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ARTICLE 16- VACATION

16.01 Seniority employees will be entitled to an annual vacation pursuant to the following

schedule based upon their completed years of continuous service since the date of last

hire on the following basis:

(a) Two (2) calendar weeks vacation after one (1) year of continuous service with pay

equal to four percent (4%) of the gross wages earned by the employee during the

vacation year.

(b) Three (3) calendar weeks vacation after six (6) years of continuous service with pay

equal to six percent (6%) of the gross wages earned by the employee during the

vacation year.

(c) Four (4) calendar weeks vacation after nine (9) years of continuous service with pay

equal to eight percent (8%) of the gross wages earned by the employee during the

vacation year.

(d) Employees who have not completed probation as of the June 30th cut-off date

referred to in 16.02 below, will receive no scheduled vacation time but will receive

vacation pay equal to four percent of their gross w~ges during the vacation year.

16.02 Vacation pay will be paid to employees on a separate cheque and will be paid at a time

that is in accordance with the current practice in the Company. For greater clarity, it is

understood that:

16.03

(a) employees will be paid their applicable vacation pay on the pay period that

includes June 30th of each year, or

(b) if an employee requests vacation pay to be paid at a time other than on the pay

period that includes June 30th, such employee may be paid at another time in

respect of vacation pay that was earned between the most recent June 30th and

the date that the request for payment of vacation pay is made.

(a) Employees shall submit vacation requests by no later than April 15th on a yearly

basis and the Employer will confirm vacation dates by May 1st. Where conflicts

exist in scheduling, departmental seniority shall be considered. In the event those

-22 I Page

employees do not submit vacation requests by April 15th, vacations will be granted

by the Employer based on availability.

It is understood that employees will normally be required to take an unbroken

vacation period of one week (in that case of an employee who has been employed

for less than one year), and at least two weeks or two periods of one week each (in

the case of an employee who has been employed for more than one year).

(b) In either case and in exceptional circumstances, the Employer may in it's discretion

permit an employee to take accrued vacation time in shorter periods provided that

the Employer receives at least two weeks advance notice of the Employee's request

and that the Employer determines that it's operation will not be detrimentally

affected by allowing the request.

16.04 Any employee who leaves the employ of the Employer due to termination or lay-off (as

the case may be) will receive his vacation pay based on the pro-rated amount of

vacation pay that was earned between the most recent July 1st and the date of

termination or lay-off.

16.05 Vacations may not be accrued from one year to the next and are to be taken in the year

of entitlement unless otherwise authorized by the Employer.

16.06 In calculating ugross earnings" for the purposes of determining vacation pay, no account

will be taken of any vacation pay that has been previously paid, notwithstanding any

other article in this Agreement.

ARTICLE 17- LEAVE OF ABSENCE

17.01 Personal: Upon application in writing and subject to the written approval of the

Employer, which shall not be unreasonably denied, an employee may be granted a leave

of absence without pay for good and sufficient personal reasons. An employee

requesting the leave, must provide at least four weeks' advance notice in writing (except

in cases of emergencies) and must indicate the reason for the leave, the requested date

of the departure and the date of the requested return.

17.02 Bereavement:

(a) In the event of a death in the immediate family of an employee who has

23 I Page

17.03

successfully completed probation, such employee will be granted bereavement

leave upon request, up to a maximum of three {3) consecutive calendar days

following the date of death. If one or more of the three {3) days would have been

the employee's regularly scheduled day(s), the employee will only be paid his

regular pay for those hours during the leave which the employee otherwise would

have worked but for the leave of absence.

(b) Immediate Family for the purposes of article 17.02 above shall mean the

employee's spouse, children, mother, father, sisters, and brothers.

(c) In the event of a death of an employee's mother-in-law, father-in-law, brother-in­

law, sister-in-law, grandparent, grandchild, or step child, the employee will be

granted a bereavement leave upon request of no more than one calendar day in

order to attend the funeral of such family member. If the day of the leave would

have been the employee's regularly scheduled day, the employee will only be paid

his regular pay for those hours during the day of the leave which he otherwise

would have worked but for the leave that has been granted to attend the funeral.

(d) It is understood that family members who are referred to in article 17.02 (b) and (c)

above, do not include family members who are divorced or the family members of

a divorced spouse.

(a) Jury Duty: An employee, when called for jury duty or subpoenaed as a witness for

the Company on a regular scheduled work day will notify the Employer

immediately. He shall be granted time off and compensated for the difference

between his normal earnings and the payment received for jury duty or, for being

so subpoenaed. This will be effected by the employee signing over his jury fees or

subpoena conduct money to the Employer, and the Employer will pay the

difference between such proceeds and the employees regular wage payments.

Such payment will only be made to employees who have completed the

probationary period. The employee will provide evidence that he reported for jury

duty or attended as a subpoenaed witness. The employee will come to work

during those regularly scheduled hours that he is not required to attend at court as

a juror or as a witness.

(b) An employee who is subpoenaed as a Crown Witness to give evidence in court on a

241 Page

regularly scheduled work day will notify the Employer of the dates and times when

the employee is required to be at court. In these circumstances, the employee will

be granted time off and will be compensated for the difference between his/her

normal earnings and the payment received from the Crown for the subpoena

(excluding transportation reimbursement) and, appearing as a Crown witness. This

arrangement will be effected by the employee signing over his/her subpoena

conduct money (not including transportation reimbursement) and/or court

attendance payment, and the Employer will pay the difference between such

proceeds and the employee's regular wage payments. Such payment will only be

made to employees who have successfully completed probation. The employee

will provide evidence that he/she attended court as a witness subpoenaed by the

Crown. The employee will come to work during those regularly scheduled hours

that he/she is not required to attend at court as a Crown witness.

17.04 Pregnancy and Parental Leave will be granted in accordance with the Employment

Standards Act of Ontario as amended, from time to time.

ARTICLE 18- EQUIPMENT

18.01 The Employer shall supply all machinery that is necessary for employees to carry out

their normal work assignments.

18.02 The Employer and the employees agree to work co-operatively and efficiently with one

another in order to ensure that all machinery and equipment is maintained in proper

working order and that all such machinery and equipment is operated properly,

efficiently, and safely in every respect. Upon termination of employment, employees

are responsible for returning all Company property that has been provided to them or,

that is or has been in their possession at any time.

18.03 Safety Shoes

It is understood that as a condition of continued employment and as a condition of

being permitted to report to work, employees must wear CSA approved safety footwear

at all times.

18.04 Employees who have completed probation will be reimbursed for safety shoes that they

purchase up to a maximum of forty- five dollars ($45.00) per calendar year. Effective

November 1, 2014, the reimbursement for safety shoes will increase to fifty dollars

25 I Page

($50.00) per calendar year. Effective November 1, 2015 the reimbursement for safety

shoes will increase to fifty-five dollars ($55.00) per calendar year. Proof of purchase

must always be provided to the Employer as a condition of reimbursement. Employees

who terminate their employment for any reason within six (G) months of receiving any

reimbursement for their most recent purchase of a pair of safety shoes, will have the full

amount of the reimbursement deducted from their final pay cheque. It is understood

that an employee who does not require reimbursement annually, may carry forward

his/her entitlement into the following year.

ARTICLE 19- TRAINING COURSES

19.01 The Employer may make training courses available to the employees as it deems

necessary.

19.02 Time in attendance at such courses shall be calculated as hours worked for

compensation purposes, but shall not be considered overtime. Enrolment in such

courses shall be on a mandatory basis.

19.03 Successful completion of such courses will take the form of attendance and participation

in classroom discussion.

19.04 The Employer may assist employees who wish to attend training programs at approved

institutions off the premises outside their working hours where the Employer considers

that such training directly relates to the employees' jobs within the unit, provided prior

written authorization has been obtained from the Employer. Such assistance may

include reimbursement for or contribution towards tuition after providing evidence of

successful completion of the program.

ARTICLE 20- NO CONTRACTING OUT

20.01 The Employer will not contract out work that has been normally and exclusively

performed by bargaining unit employees if as a direct result of such contracting out,

bargaining unit employees are laid off or suffer a permanent reduction of hours of work.

For greater clarity, it is understood that fabric which is purchased as double folded by

outside suppliers, will not constitute a form of contracting out and, that the Employer

will continue its practice of purchasing double folded fabric.

26 I Page

ARTICLE 21- WORKPLACE SAFETY AND INSURANCE ACT

21.01 The Employer will comply with the Workplace Safety and Insurance Act ("the WSIA") as

amended from time to time. In this regard, the Employer confirms that it will comply

with the following provisions in the Act for the term of this Agreement.

21.02 The Employer will pay for time lost on the day of an accident and provide transportation

to the nearest medical facility where an injury occurs at work.

21.03 Where an employee is absent due to illness or injury, which is compensable pursuant to

the WSIA, the following shall apply.

(a) The Employer shall continue to pay its share of any and all Health and Welfare

benefits for twelve (12) calendar months following the commencement of the

absence if the Employer was making contributions for such benefits at the time of

the employee's injury, and if the employee continues to pay his contributions to

the said benefits while the employee is absent;

(b) For a twelve (12) month period following the period referred to in (a) above,

benefit coverage may be continued by the Employee, provided the employee pays

the total cost of the premiums to the Employer for each monthly period during the

absence.

(c) An employee will not be eligible for paid holidays, sick leave, or any other benefits

of this agreement.

21.04 Employees will be eligible for re-employment as set out in the Workers' Safety and

Insurance Board Act.

ARTICLE 22- HEALTH & WELFARE BENEFITS

22.01 The Employer will not be responsible for contribution of its share of benefit premiums

or for any payment, and an employee will not be eligible for any benefit, in the event

that an employee is otherwise covered for any benefit.

22.02 The Employer will have the right to select the insurance carrier of its choice in respect of

any of the benefits provided herein. It is understood that the benefits referred to herein

will not be reduced by virtue of the Employer changing insurance carriers.

-27 I Page

22.03 Any coverage pursuant to any of the benefits provided herein, will be subject to the

terms and conditions of the insurance carrier's policy or policies, or the carrier's

contract with the Employer.

22.04 Effective following the date of ratification of this Agreement, the Employer will

contribute:

(a) Fifty percent (SO%) of the cost of premiums on all benefits referred to herein, after

an employee has completed one year of seniority.

(b) Eighty percent (80%) of the cost of premiums on all benefits referred to herein

after an employee has completed two years of seniority.

(c) One hundred percent (100%) of the cost of premiums on all benefits referred to

herein after an employee has completed three years of seniority.

22.05 It is understood that the benefits that are referred to in this Agreement are the current

long Term Disability Benefit, Extended Health Care Benefit, Dental Plan Benefit, and life

and AD&D benefit all of which have been provided to certain employees prior to the

date of ratification. Vision care plan (prescription eye glasses) for employees of the

Employer who have completed one (1) year of seniority, based on $100 every twenty­

four (24) months of employment.

22.06 It shall be the responsibility of the employee to resolve any disputes concerning

payment of benefits under any insurance plan or policy, directly with the insurer.

ARTICLE 23 - BULLETIN BOARD

23.01 The Employer agrees that notices concerning Union information may be posted on a

bulletin board provided by the Employer at a location that is accessible for bargaining

unit employees. All such notices must be approved by proper officials of S.E.I.U. local 2

and must be submitted to the Employer for its review before being posted by either the

Union or a Union Steward. No change will be made to any such notice either by the

Union or by the Employer after it has been submitted to the Employer

ARTICLE 24- GENERAL

24.01 Medical Examinations and Reports

28 I Page

The Employer will have the right to require the production of a physician's medical

report from an employee who is ill or injured or from an employee who has been ill or

injured, or from an employee who wishes to return to work following an illness or injury.

The report will include the physician's opinion as to when or whether the employee will

be capable of resuming his normal duties and whether the employee will be capable of

regularly attending at work in the future.

The cost of such report will be paid for by the Employer if requested by the Employer. It

is understood that such reports do not include medical certificates such as those that

are referred to in Article 15.02 or as otherwise required from time to time by the

Employer. It is also understood that in the event that information provided by a

physician or by an employee (as the case may be), is not satisfactory to the Employer,

the employee will be advised within three (3) days of receipt of the report.

24.02 The Employer will have the right to require an employee to undergo an examination by a

physician that is selected by the Employer at the Employer's expense.

24.03 Pyramiding :In no event shall there be any pyramiding of benefits or payments under

this Agreement.

24.04 Interpretation :Where the masculine or feminine pronoun is used in this Agreement, it

will mean and include the opposite pronoun where the context so applies. Where the

singular is used, it may also be deemed to mean the plural within the appropriate

context.

24.05 The terms 1/regular pay", "straight time pay" and "regular rate of pay" when used in this

Agreement, will mean the amounts indicated in the wage classification for employees as

hourly earnings only.

24.06 Casual and Temporary Employees: The Employer will have the right to hire casual

and/or temporary employees from time to time as it has done prior to the date of this

Agreement. It is understood that such employees will be hired to perform work that is

expected to be for a predetermined period of time or task, or of a seasonal nature, or

where the work that they will perform is 'project-like'. Such employees will not accrue

or retain seniority and will not be eligible for any benefits under the terms of this

Agreement. It is understood that these employees are hired on an 'as needed and when

needed' basis as determined by the Employer. It is also understood that such

employees will not be hired for the purposes of displacing seniority employees or for

29 I Page

the purposes of reducing the hours of work of seniority employees. If possible, the

Union will be advised of the length of any temporary assignment that is expected to be

of a more protracted duration.

24.07 Reasons for Demotions, Transfers, Reclassifications: Any seniority employee who is

permanently demoted, transferred or re-classified will be provided with the reason in

writing.

ARTICLE 25- ATTENDANCE/PUNCTUALITY INCENTIVE BONUS

25.01

(a) Effective during the term of the Agreement the Employer will establish eligibility for

an "Attendance/Punctuality Incentive Bonus/Sick Leave Credit System" for

employees who have completed probation (hereinafter referred to as the "Credit

System").

(b) Employees who have completed probation will be eligible to qualify to participate

in the Credit System program on a bi-monthly basis commencing, after they have

completed probation.

(c) Eligibility for participation in the Credit System will be determined by the Employer

at the end of every bi-monthly period on the basis of the terms set out below. It is

understood that the bi-monthly periods during the term of the collective

agreement will be January 1 to February 28 ("P1)'', March 1 to April 30 ("P2"), May

1 to June 30 ("P3"), July 1 to August 31 ("P4"), September 1 to October 31 (P5),

November 1 to December 31 (P6).

(d) At the end of P1, 2005 and at the end of each subsequent bi-monthly period, an

eligible employee will qualify to receive one sick leave credit if they have worked all

of their normally scheduled hours in all of their scheduled shifts in the previous bi­

monthly period and have also reported on time for all of their scheduled shifts in

the same bi-monthly period. It is understood that Employer authorized time off

from work for bereavement leave, jury duty leave, leave to attend Court under

Crown subpoena, religious holy days or a leave of absence due to an illness of three

(3) days or less during any of the bi-monthly periods referred to above which illness

is confirmed to the Employer by an acceptable physician's medical certificate, will

30 I Page

not be treated as an absence for the purpose of assessing eligibility to accumulate

a sick leave credit in a bi-monthly period. An unexpected employee's lateness for

which he cannot be faulted will also be exempted from counting as an absence (ie.

emergent situations such as public transit breakdown, snow storms, automobile

breakdown etc.) Also reflect that a scheduled appointment during working hours

which has been approved by the Employer will also be exempted from counting as

an absence.

(e) Subject to what is referred to above, an employee will be eligible to earn one sick

leave credit per bi-monthly period to a maximum of six sick leave credits in respect

of a calendar year. Sick leave credits can be used by an employee who is

legitimately ill, and which illness can be confirmed to the Employer by an

acceptable physician's medical certificate upon request from the Employer.

(f) In the event that an employee does not use any of the six (6) sick leave credits that

the employee may have successfully accumulated as at December 31st, the

Employer will pay the employee the amount that is equivalent to the six unused

and earned sick leave credits.

(g) In the event that an employee uses any of the said six (6) sick leave credits, such

employee will receive a payment that is equivalent to the unused sick leave credits

as of December 31st.

31 I Page

ARTICLE 26- DURATION

26.01 This Agreement shall continue in effect from November 1, 2012, until October 31, 2016,

and shall continue automatically for annual periods of one (1) year each, unless either

party notifies the other in writing, within the period of ninety (90) days next preceding

the expiration date of this agreement, that it desires to amend or terminate it.

ARTICLE 27- PRINTING OF AGREEMENT

27.01 The Union and the Employer will share the cost of printing this Agreement.

Signed this 5-/-4 day of ~tOe -e?rn foe,-2013 '""

SEIU Local 2

0·~

32 I Page

SCHEDULE "A"

WAGES 01-Nov-12 01-Jan-13

Department 1 (Driver)

Probation $11.00 $11.25

Start $11.40 $11.65

1 Year $12.30 $12.55

Department 1 (AZ Driver)

Probation $13.00 $13.25

Start $13.40 $13.65

1 Year $14.30 $14.55

01-Nov-14

$11.50

$11.90

$12.80

$13.50

$13.90

$14.80

Department 2 (Order Picker, Transfer, Manufacturing)

Probation $10.80 $11.05 $11.30

Start $11.15 $11.40 $11.65

1 Year $12.05 $12.30 $12.55

01-Nov-15

$11.75

$12.15

$13.05

$13.75

$14.15

$15.05

$11.55

$11.90

$12.80

Department 2 (Quality/Inspect) Sample Maker, Inventory Control, Maintenance

Probation $11.80 $12.05 $12.30 $12.55

Start $12.15 $12.40 $12.65 $12.90

1 Year $13.05 $13.30 $13.55 $13.80

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Department 3 Machine Operator, Automatic, Students, Packing, Shipper, Receiver

Loader, Stocker, Janitor, Assistant Sample Maker

Probation $10.50 $10.75 $11.00

Start $10.60 $10.85 $11.10

1 Year $11.05 $11.30 $11.55

SCHEDULE II A" Department 4- (Lead Hand)

$11.25

$11.35

$11.80

Add $1.50 to prescribed hourly rate for employees who are lead hands within

their department. (A lead hand must have completed probation before being

eligible for the lead hand hourly rate).

i) Red Circled Employees

Note: Employees who are currently employed and who are "red circled" who are receiving an amount that is greater than the prescribed wage o the grid and who continue to be employed during the term of the agreement will receive the following percentage wage increases: Nov. 1-12 $0.25 Jan . 1-13 $0.25 Nov. 1-14 $0.25 Nov. 1-15 $0.25 Retroactivity will be paid for all hours paid between November 1, 2012 and the date of implementation of the new rates of pay to all employees who were employed between November 1, 2012 and the date of ratification. A lump sum amount of $250.00 (less statutory deductions) will be paid to all

employees who were employed on the date of ratification and who continue

to be employed on November 1, 2015.

The lump sum will be paid to such employees on the first full pay period that

occurs immediately after November 1, 2015(a) All employees who are

newly hired will commence their employment at the Probation rate for

Department 3 and they will remain at the Department 3 rate unless otherwise

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promoted by the Employer into another job classification within a

Department.

(i) Wage Progression

(b) (i) If following the successful completion of the probation period, an

employee is promoted into a Job in Department 2, the employee

upon coming into Department 2, will receive the rate of pay that is

rounded up to the next highest rate in the classification in the

Department which comes closest to the employee's existing rate of

pay. The same system would be applied in the event that an

employee is promoted into a job in any other department.

(ii) If the employee is already at a rate which would result in the

employee not receiving any increase as a result of the method

described above, the employee will receive an increase in his/her

rate of pay of thirty five ($0.35) cents per hour from the date of

the promotion.

(ii) Benefit Booklets

Master Benefit Plan Books will be provided by the Company upon

ratification of the Collective Agreement.

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LETTER OF UNDERSTANDING- 1

BETWEEN:

Rose E. Dee (International) Ltd.

(hereinafter referred to as {(the Company .. or 11 the Employer .. )

- and -

S.E.I.U. LOCAL 2

(hereinafter referred to as 11 the Union 11)

1. The parties have had discussions during negotiations with respect to the

manner in which hours of work will generally be scheduled by the

Employer subject to the Employer's right to schedule hours of work and

overtime as required from time to time.

2. Without in any way amending any of the terms of the Collective Agreement, the Employer acknowledges that it intends to schedule hours of work for employees on the existing day shift as follows: (a) The hours of work from Monday to Friday will be between the hours

of 8:00 a.m. and 5:00 p.m. subject to the breaks provided for in the

Collective Agreement.

(b) The hours of work on Friday will be between the hours of 8:00 a.m.

and 3:00 p.m. subject to the breaks provided for in the Collective

Agreement.

Signed this

SEIU Local 2

() .Z: ~·

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LETTER OF UNDERSTANDING- 2 BETWEEN:

Rose E. Dee (International) Ltd.

(hereinafter referred to as 11 the Company .. or 11 the Employer .. )

- and -

S.E.I.U. Local 2

(hereinafter referred to as 11 the Union .. )

It is understood that effective following the date of ratification, a disciplinary notice that is imposed on an employee will be removed from an employee's personnel file twenty-four (24) months after it was originally issued, provided that there has been no further disci pi i ne issued to the employee within the said twenty-four (24) month period following the imposition of the discipline. It is understood that this Letter of Understanding will not apply to discipline of any kind that is imposed for fighting or otherwise endangering the health and well being, safety of person, or, for engaging in any form of harassment towards any other employee or visitor in the workplace.

Signed this

SEIU Local 2

Q . .g'

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LETTER OF UNDERSTANDING - 3 BETWEEN:

Rose E. Dee (International) Ltd.

(hereinafter referred to as uthe Company" or "the Employer")

- and -

S.E.I.U., Local 2

(hereinafter referred to as "the Union")

Re: Vacation Scheduling

It is understood that seniority employees who are entitled to an annual vacation

of more than two weeks under Article 16 of the Collective Agreement, may be

permitted by the Company to take no more than one (1) additional week of their

accrued vacation entitlement during the peak months of June, July and August,

subject to the requirements of the Company during those months, and provided

that all employees who are entitled to an annual vacation of two (2) weeks only,

have had an opportunity to take their vacation during these peak months.

Signed this _2'~~ day of 22PL.P..cz:Z.6.PL_, 2013

SEIU Local 2

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LETTER OF UNDERSTANDING - 4 BETWEEN:

Rose E. Dee (International) Ltd .

(hereinafter referred to as "the Company .. or 11 the Employer .. )

- and -

S.E.I.U., Local 2

(hereinafter referred to as 11 the Union 11)

(i) Article 16.02 - Vacation Pay

The parties agree that the practice of attaching vacation pay to vacation periods

is desirable and shall continue. Employees booking vacation with pay need to

give written notice within four (4) calendar weeks before the vacation or within

16.03.

As to Article 16.02, the parties agree that in each year of the contract the

company shall post in September "A Vacation Payout Request Sheet 11•

An employee requesting Vacation Payout, on the September request form shall be paid such amounts as requested that are owing, by December 15 of that calendar year. All other vacation pay no pre-booked to vacation periods shall be paid out on the pay period that includes June 30th. It is understood by the parties that "Emergencies~~ will be considered by the

company for Vacation Payout as per Article 16.02, and shall not be unreasonably

withheld.

nternational) Inc . SEIU Local 2

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LETTER OF UNDERSTANDING- 5

BETWEEN:

Rose E. Dee (International) Ltd.

(hereinafter referred to as "the Company" or "the Employer")

- and -

S.E.I.U., Local 2

(hereinafter referred to as 11 the Union .. )

(b) Shift Premiums

The parties agree that the following shall be the practice for 11 Shift premiums" for bargaining unit employees scheduled for shifts other than the "day shift" of Monday to Friday days or any normally scheduled day shift. A shift premium of One Dollar ($1.00) per hour shall be paid for hours worked on any other shift other than the 8:00 a.m. to 5:30 p.m. day shift or any normally scheduled day shift. Shift premiums shall not be included in the calculation of an employee's

overtime rate.

Signed this

Rose E. De SEIU Local 2

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LETTER OF UNDERSTANDING- 6

BETWEEN:

Rose E. Dee (International) Ltd .

(hereinafter referred to as "the Company" or "the Employer")

- and -

S.E.I.U., Local 2

(hereinafter referred to as "the Union")

Departmental Seniority

The parties agree to the following practices for job vacancies:

When there is a vacancy within a job classification as listed in Schedule "A" the following procedure shall be used before posting within the plant.

When there is a vacancy within a job classification in a department, the Supervisor

shall ask each member of that job classification, in order of their seniority,

whether they want to fill the assignment(s) within the job classification. The

Supervisor shall record their responses.

The Supervisor shall stop the process when a member signifies they want the

assignment(s) within the classification. The same process shall take place for any

vacancy created by that acceptance.

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A copy of the list and responses shall be given to the Chief Steward. The remaining

job(s) classifications within the Department shall be given preference for the

vacancy before posting the vacancy within the plant, as per Article 12.01.

Failing an application(s) from within the same department as the vacancy, the

position shall be opened to bargaining unit seniority wide.

Thereafter the Employer may fill as per Article 12.01 (d) third paragraph.

Signed this 57~ day of Z::::::Pc .P/"?'?bPr, 2013

Rose E. Dee (I national) Inc. SEIU Local 2

-

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LETTER OF UNDERSTANDING -7

BETWEEN:

Rose E. Dee (International) Ltd.

(hereinafter referred to as 11 the Company" or "the Employer")

- and -

S.E.I.U., Local 2

(hereinafter referred to as "the Union")

1. The parties acknowledge that prior to the date of this Letter of Understanding and prior to

ratification of the renewal agreement, the Employer has consistenly reduced hours of work

within the bargaining unit during slow business periods by applying an across the board

uniform reduction in hours of work for bargaining unit employees. During the term of this

collective agreement the Employer will agree that it will continue to have the right to apply

the same process except that the process (if the Employer determines to apply it) will be

modified as follows:

(a) the process will only be applied during the period Aprill to June 30th of each year, and

during the period October 1 to November 30th of each year (11 the Time Periods").

(b) the process will only be applied during the Time Periods to the extent of a 2.5 hour per

week uniform reduction of hours of bargaining unit employees.

(c) the Employer is entitled to lay off employees in accordance with the Collective

Agreement to the extent that the Employer determines that further reductions in

hours are necessary over and above a uniform reduction hours, during either of the

two Time Periods referred to above . It is understood that this Leter of Understanding

does not in any way limit the ability of the Employer to lay-off employees as set out in

the Collective Agreement during the Time Periods nor, at any other time.

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2. In the event that employees are laid off by the Employer during either of the two Time

Periods refered to above, and an employee who is being laid off bumps another employee

in another classification that has a wage rate that is lower than the employee's own

classification from which he is being laid off as set out in the collective agreement, the

Employer will agree to maintain the laid off employee's own wage rate for the period of

the lay-off, or until the end of one of the two time periods during which the lay-off

occurred, whichever occurs first.

3. Before the Employer imposes a lay-off of employees during either of the two Time Periods,

the Employer will determine if there are employees in the bargaining unit who wish to

volunteer to be laid off.

4. In the event that the Employer determines that it is necessary to reduce hours of work

during either of the two Time Periods, the Employer will contact the Union before it

exercises its right to impose a unilateral reduction in the hours of work as set out above so

as to discuss whether it is possible to achieve the Employer's objectives through normal

layoff protocols prior to imposing a uniform reduction in hours.

Signed this 7~4 day of Z?Pr:: e~6~r- I 2013

SEIU Local 2

0~

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