SEIU LOCAL 1877 – AIRPORT WORKERS UNITED

Negotiations with COVENANT AVIATION SECURITY

at SAN FRANCISCO INTERNATIONAL AIRPORT

DRAFT FINAL CONTRACT – REVISION 2

ARTICLE 1 - GENERAL PROVISIONS

1.1        Union Representation. The Employer recognizes the Union as the exclusive representative for the purpose of collective bargaining with respect to rates of pay, hours of work, and other conditions of employment for its covered employees at the San Francisco International Airport (SFO).

        The following classifications, and any other similar, substitute or replacement classifications, are covered under this Agreement:

                Baggage Handler

                CI Operator

                Screener

                Lead Screener

                CTX Operator

                CTX 9000 Specialist

                CTX Lead

                DFS (Dual Function Screener)

                Lead DFS

                BDO (Behavior Detection Officer)

        A joint management and labor work group will look at potential solutions related to retention issues concerning all employees listed above.

        The salaries for these classifications shall be listed in this Agreement.

1.2        Non Discrimination There shall be no discrimination by the Employer, the Union or employees covered under this Agreement against an employee or applicant for employment because of race, creed, religion, color, national origin, age, sex, sexual orientation, marital status, parenthood, disability, veteran status, political affiliation or because of membership in the Union or activities on behalf of the Union.

1.3        Union Membership

1.3.1        All employees who are members of the Union on the effective date of this Agreement, or join thereafter, shall maintain their membership, or satisfy the financial obligations set by the Union during the term of this Agreement as a condition of continued employment. All employees covered by this Agreement who are not members of the Union and choose not to become members of the Union shall, as a condition of continued employment, pay to the Union an agency fee as established by the Union.

1.3.2        All employees hired after the effective date of this Agreement shall, within thirty-one (31) days after employment, become members or agency fee payers as a condition of continued employment for the duration of this Agreement, and pay the required dues or fees.

        Employees meet the requirement of being members in good standing of the Union within the meaning of this Article, by tendering the periodic dues and initiation fees uniformly required as a condition of acquiring or retaining membership in the Union, or, in the alternative, by tendering to the Union agency fees, as defined by Executive Order 13201.2 (The initiation fee shall be waived for employees on the payroll on the date of implementation.)

1.3.3        Upon notice from the Union, employees who fail to pay such dues or agency fees and who fail to qualify for the religious exemption in 1.3.5 below, shall be given 15 days notice of separation by Covenant Aviation Security, San Francisco International Airport.

1.3.4        Religious Exemption. If an employee in a classification covered under this Agreement sincerely holds religious beliefs that include conscientious objections to joining or financially supporting a labor organization, the employee shall not be required to pay the service fee. In lieu of paying the service fee, the employee shall pay a charitable contribution equal to the service fee to one of the three following charitable organizations: (1) United Way (2) Community Health Charities of California or (3) Local Independent Charities of America. The charitable contributions shall be paid in the amounts and at the times the service fee would otherwise be paid if the employee were not exempt under this paragraph. The employee shall provide the Employer and Union with an acknowledgement of receipt from the charitable organization or other satisfactory evidence that the charitable contribution has been paid.

1.3.5        The Union shall indemnify and save the Employer harmless against any and all claims, demands, suits, or other forms of liability that shall arise out of or by reason of action take or not taken by the Employer for the purpose of complying with any of the provisions of this article or in reliance on any list, notice, or assignment furnished under any of these provisions.

1.4        New Employee/Termination Notice/Change of Status

1.4.1        The Employer agrees to furnish the Union each month with the name of all newly hired employees covered by this Agreement, their address, telephone number, the last four digits of their social security number (or other identifying number), classification, date of hire and the name of terminated employees and date of termination..

1.4.2        The Employer shall also provide on a monthly basis the name, address, telephone number, and classification of employees who were previously ineligible to be a member of the Union, but who have become eligible for such representation due to a change in the employee’s job status.

1.4.3        The Employer shall implement 1.4.1 and 1.4.2 to the fullest extent, unless prohibited by law.

1.5        Deduction of Dues and Fees

1.5.1        Upon receipt of a check-off authorization from the Employee, the Employer will begin the process of dues/fees deduction. In the pay period immediately following receipt of the check-off authorization, the Employer will deduct a sum equal to the union’s initiation fee from members. In each subsequent pay period, the employer will deduct a sum equal to that Employee’s Union dues or fees which fell due during the immediately preceding 3 pay period. The Employer agrees to promptly (i.e., within two weeks) remit the sums deducted under this paragraph to the Union.

1.5.2        The employer will communicate with the union regarding dues/fees deduction via an electronic data file to the fullest extent unless prohibited by law.

1.6        Union Access

1.6.1        Union stewards and union staff shall have access to company break rooms to talk with employees during their break time and lunch periods, or in other locations where employees take breaks and lunch, consistent with current practice and where SSI clearance requirements are not an issue.

1.6.2        Union stewards or other representatives of the Union will be allowed to make announcements at the end of guard mount briefings, as operations allow and for no more than five (5) minutes, and where SSI clearance requirements are not an issue.

1.6.3        The Union shall designate a representative and be permitted 30 minutes to address employees at new employee orientation. The 30 minutes shall be uninterrupted and CAS management personnel shall not be present in the room during the 30 minutes. If an interruption occurs due to an emergency or actions by non-CAS management, the remainder of the 30 minutes shall be allowed after the interruption.

1.7        Union Stewards

1.7.1        The Union will have the right to designate shop stewards and alternates and will inform management of their names and work locations. The employer recognizes that stewards shall assist employees in resolving grievances at the lowest possible administrative level. Stewards shall be afforded reasonable time for the investigation and processing of grievances, for talking to affected employees in grievances or investigating potential grievances, and for meetings with management without loss of pay or benefits, upon notification to their supervisor in accordance with 1.7.2.

1.7.2        The union shall have a bank of 960 hours a year (paid time) out of which the steward activities in 1.7.1, the new employee orientation dated in 1.6.3, the labor management committee in 5.7, steward training, and other meetings shall be deducted.

1.7.3        Stewards’ activities shall be scheduled by mutual agreement. Stewards will require supervisor authorization to leave the job for union business.

1.8        COPE Check-off

        Employer will deduct, during the period of this Agreement, contributions to the Union’s Committee on Political Education (COPE) for each employee who submits to the Employer, in writing, an appropriate payroll deduction authorization. Payment or non-payment of contributions to COPE shall not be a condition of employment. The Employer will communicate with the Union regarding COPE deduction via an electronic data file to the fullest extent not prohibited by law.

1.9        Union Bulletin Boards

        The Employer shall provide locked, glass enclosed, bulletin boards for the use of the Union in all break rooms where there is space and where the bulletin board is normally visible to the Union members. The Union shall be issued the keys and be responsible for the upkeep of the bulletin boards. In no event shall the Union or its members post on the bulletin boards disparaging material about the Employer or its clients, its employees or services or affiliated companies. The union may post on such bulletin boards notices of union business.

1.10        Management Rights

        Except as provided in this Agreement, the management of the Employer’s operation and the direction of the employees, including all of the rights, powers, authority and prerogatives which the Employer has traditionally exercised, are expressly reserved to the Employer. The choice, control and direction of all supervisory and management staff shall be vested solely and exclusively in the Employer.

        In the event of any conflict between a provision of this Agreement and a written policy or procedure stated in the Covenant Aviation Security Employee Handbook, the provision of this Agreement shall prevail.

1.11        Work Rules

        The Employer shall notify the Union Stewards and the Union at least thirty (30) days prior to implementing any new written policies or procedures affecting employees covered under this Agreement, including changes in the Employee Handbook.

1.12        Dignity and Respect

1.12.1        The Union and the Employer agree that courtesy in day-to-day communications between employees and supervisors and managers of the Employer should always be present in Employer-Employee relationships. The Union and the Employer agree that employees and supervisors and managers should treat each other with dignity and respect. The Employer or its representatives shall not retaliate against employees for asserting a violation of this provision.

1.12.2        The Union and the Employees agree that they are in a security business and that the traveling public, and airline employees and airport employees should always be treated with courtesy, dignity and respect.

ARTICLE 2 - DIRECT PAY FOR SERVICES

2.1        Wages

        All classifications in the bargaining unit shall receive a 3.5% raise effective the first pay period following January 1, 2009; a 3.5% raise effective the first pay period following January 1, 2010; and a 3.4% raise effective the first pay period following January 1, 2011. The raises for 2010 and 2011 will be indexed to the annual CPIW for San Francisco and if the annual CPIW is higher than 3.5% or 3.4% respectively, the CPIW rate will be given to employees for January 1, 2010 and January 1, 2011.

        Minimum wage rates by classification shall be as follows, subject to the above provisions:

An employee who transfers to a different classification shall retain his/her existing seniority for the purpose of the wage steps listed above.

2.2        Transportation/Parking Allowance

        All employees will be paid a bi-weekly transportation/parking allowance after 6 months of employment. The transportation/parking allowance shall be the annual equivalent of the rate for one parking space at the designated employee parking lot (currently $925 per year). Should the cost of a parking space at the designated employee parking lot go up or down, the allowance shall be adjusted accordingly.

2.3        Bonus Program

        The annual award fee bonus program (which is currently at management’s discretion) shall be maintained at management’s discretion. Should the bonus be granted, however, the following guidelines will be maintained: Employee awards shall be determined by classification. Each 6 member of the classification who has been employed shall receive the designated amount, with the exceptions that people who have been employed less than a year shall receive a pro-rated amount, based on their length of service, and people who have taken leaves of absence for 30 days or longer during the year shall receive a pro-rated amount based on the length of their leave. In order to receive the award, employees must be on the payroll at the time of the award and at the time the award checks are distributed.

2.4        Overtime

        Any hours worked which exceed eight hours in a day or exceed forty hours in a week shall be considered overtime and paid at 1.5 times the hourly rate. Employees on an alternate work schedule which includes extending the length of the work day beyond eight (8) hours (such as 4/10’s) shall not receive daily overtime in excess of working eight hours, but in excess of working the length of their scheduled work day.

        All time worked in excess of twelve hours in any one work day shall be paid for at double time. Time worked on a seventh day shall be paid at 1.5 time, except for any hours over eight hours, which shall be paid at double time. For purposes of calculating the appropriate overtime rate, all paid time off shall be included in the hours calculation.

2.4.1        Mandatory Overtime

        There shall be no mandatory overtime, except for emergencies such as a security breach, a terrorist attack, a natural disaster, directives as assigned by TSA, or similar event.

2.4.2        Overtime Distribution

        Overtime shall be distributed among qualified unit members as equally as possible, normally on a voluntary, rotational basis among unit members performing the kind of work during regular working hours. Upon request to the ACC, the steward shall have access to the overtime log. Employees shall have access to their assigned overtime schedules, and the Employer shall print copies of employee overtime schedules upon request by that employee. The Employer shall implement this Section to the fullest extent allowed by law.

2.5        Acting Pay

        Acting pay shall be offered on a fair and equal basis to unit members who meet the qualifications for the acting assignment. Acting assignments shall be voluntary. When acting, unit members shall receive the salary of the classification in which they are acting for two hours or more.

2.6        Hours of Work

2.6.1        Work Schedules

        Fulltime employees shall be offered a choice of a 5/8 or 4/10 work schedules, based upon available bid lines.

        Management will work within operational needs to provide 4/10 work schedules to all job classifications to the maximum amount possible consistent with cost effective management practices.

2.6.2        Rest and Meal Breaks

        CAS shall permit employees to take rest periods, which insofar as practicable shall be in the middle of each work period. The authorized rest period time shall be based on the total hours worked daily at the rate of fifteen (15) minutes net rest time per four (4) hours or major fraction thereof. Authorized rest period time shall be counted as hours worked for which there shall be no deduction from wages.

        Meal periods shall be 30 minutes unpaid and shall normally be at the mid-point of the shift. No employee shall be required to work more than six (6) hours without a meal period of not less than 30 minutes, except that when a work period of not more than six (6) hours will complete the day’s work the meal period may be waived by mutual consent of the employer and the employee.

1. Reporting Pay

If an employee reports to work a scheduled shift or is traveling to work a scheduled shift, and the Employer notifies him/her that there is no work for that shift, the employee shall be paid for four (4) hours work or half of his/her scheduled shift, whichever is greater. The same provision shall apply if an employee starts work and is released from work at the initiative of management prior to four (4) hours or half of the scheduled shift, whichever is greater.

2.7        Pay Week

        The pay week shall begin on Saturday at 12:01 AM.

ARTICLE 3 - INDIRECT PAY AND ALLOWANCES

3.1        Health Coverage

        The Employer shall provide medical and dental coverage for employees, their spouses/domestic partners and their eligible dependents after 90 days of employment. The medical plans offered shall be Kaiser and Health Net, under the current plan levels and design, as long as they remain available. The dental plans shall be Delta Dental, under the current plan levels and design, as long as they remain available. The parties may change the insurance carriers, the plan level and the plan design by mutual consent.

3.2        Medical

        The Employer shall contribute up to 100% of the employee plus one premium charged by Kaiser. If the employee chooses to participate in a plan that is more expensive than Kaiser employee plus one, the excess premium cost shall be paid by the employee. If the employee chooses to participate in a plan that is less expensive than Kaiser employee plus one, the employer will pay the full premium of that plan.

        For employees choosing family coverage, effective January 1, 2009, the Employer shall contribute up to 50% of the difference between Kaiser employee plus one and Kaiser family.

3.3        Dental

        The Employer shall contribute up to 100% of single coverage if the employee enrolls in the Delta Dental PPO plan. If the employee elects a more expensive plan in the PPO (employee plus one or family coverage), the excess premium cost shall be paid by the employee.

        The Employer shall contribute 100% of any single coverage, employee plus one or family coverage in the Delta Dental HMO plan in which the employee enrolls.

3.4        401K AND PENSION

3.4.1        The Employer will maintain the current 401(k) plan. Employees may contribute 1% to 25%, however the maximum contribution is limited by IRS regulations. Employees may enroll in the plan on the first day of every plan quarter (January 1, April 1, July 1 or October 1.) The 8 Company will make a non-discretionary matching contribution of 50% of the first 8% of pay that you contribute to the Plan. The Company matching contribution will not exceed 4% of your eligible pay.

        Example: Participants annual Compensation $40,000.00 Participants Elective Contribution (6%) 2,400.00 Employer’s Matching Contribution (50% of the first 8% of Elective Contributions) 1,200.00 Employee contributions are 100% vested. Employer contributions shall be vested on the following schedule:

        Years of Service Vested         Percent

        1                                 20%

        2                                40%

        3                                60%

        4                                80%

        5                                100%

3.4.2        The Employer shall contribute fifteen cents ($0.15) per hour for all straight-time paid hours to the Service Employees International Union National Industry Pension Fund effective January 1, 2011.

3.5        Life Insurance and Accidental Death and Dismemberment Insurance (AD&D):

        The Employer shall continue to provide employees with $25,000 Group Life Insurance and $25,000 AD&D, at no cost to employees.

ARTICLE 4 - LEAVES

4.1        Paid Time Off (PTO)

        Employees shall accrue PTO, based on length of service with the company, based on the following table:

        Months of Service                                                Days of PTO

        0 to the end of the 36th month                                        18 days (144 hours)

        Beginning of the 37th month to the end of the 120th month        25 days (200 hours)

        Beginning of the 121st month                                        31 days (248 hours)

        Employees’ maximum PTO accrual shall be as follows:

        Months of Service                                                Days of PTO

        0 to the end of the 36th month                                        35 days (280 hours)

        Beginning of the 37th month to the end of the 60th month        40 days (320 hours)

        Beginning of 61st month to the end of the 120th month                45 days (360 hours)

        Beginning of the 121st month                                        50 days (400 hours)

        When employees reach their maximum accrual, their ongoing accrual will be frozen until they bring their balance down below the maximum amount. Employer shall continue to notify the employees of their PTO balances every pay day.

        Scheduled and unscheduled time off shall be charged to the employee’s PTO bank unless the employee wishes to charge the time to unpaid leave, up to a maximum of 10 unpaid days per anniversary year. Employees must declare requested leave to be paid or unpaid at time of the request or the time of the call-in.

1. Unpaid Time Off (LNP)

        The amounts of LNP allowed and the procedures for use of LNP shall remain equal to those in effect as of December 1, 2008 unless changed by this agreement.

4.3        Vacation.

        Vacation may be bid for in one-week increments, with a minimum of one week and a maximum of four weeks. Employees can only bid for vacation based on the accrued PTO that employees will have on the books at the date the vacation is bid. As employees accrue PTO, employees may request PTO. Vacations shall begin on employee’s first work day of the week (for example, if an employee is on a Tuesday through Saturday work schedule, the vacation shall start on Tuesday). Vacation bids shall be available every six months and shall be for the same period as the shift/days of work bid.

4.4        Perfect Attendance Bonus(es)

        Employees with perfect attendance for 1 year will receive a payment of $100 at the end of the year. Employees with perfect attendance for two years will receive a payment of $200 at the end of the second year.

4.5        Catastrophic or Charitable Contributions of PTO

        Employees may donate PTO to fellow workers suffering from catastrophic circumstances due to major illness, natural disasters or comparable events. PTO contributions may also be made to charitable organizations such as the Red Cross during times of natural disasters or comparable events.

4.6        Jury Duty.

        Employees summoned for jury duty shall be allowed time off from work with pay. Employees must present any summons for jury duty to their supervisor on the first working day after receiving the notice.

        If an employee is not required to serve on a day he/she is normally scheduled to work or if the employee is excused before serving three hours of jury duty, he/she is expected to report to work.

        CAS will compensate the employee while they serve on a jury for up to fifteen (15) business days. Compensation for jury duty will be the difference between the employee’s straight time base rate of pay and any compensation received for jury duty. Pay received by an employee for jury duty shall subtracted from the paycheck. Copies of the vouchers received from the court showing compensation and dates served must be submitted to the Human Resources Department. CAS will not reimburse the employee for meals and incidental expenses (such as mileage, parking, etc.) incurred while serving on jury duty.

        Notification Requirements: Employees must notify their supervisor as soon as the jury summons is received. Employees must submit a Standard Time Off Request Form and Summons at least fourteen (14) days before the jury duty is scheduled to start, and the leave request must be processed in the normal manner.

4.7        Military Leave

        CAS will abide by all the provisions of the Uniformed Services Employment and Re- employment Rights Act (USERRA) of 1994. (Text of Section 3.9 of Employee Handbook Revision 0.4, effective date November 01, 2006, to be incorporated into the contract.) Such Leave shall include at least one (1) full day prior to deployment and one (1) full day after return from deployment.

4.8        Family Medical Leave

        Consistent with the requirements of the federal Family and Medical Leave Act of l993 and the California Family Rights Act of l993, as amended, an eligible employee is entitled to take up to twelve (12) weeks of unpaid job-protected leave in a twelve (12) month period for specified family and medical reasons. For purposes of this section, “family” is defined to include domestic partners. During this period, the employer will continue providing health benefits.

        Employees may be eligible for Paid Family Leave (PFL) insurance administered by the Employment Development Department, for up to six (6) weeks leave in a 12-month period to care for a seriously ill parent, spouse, partner, or child, or to bond with a newborn, newly adopted child, or foster child placed with the employee. Paid Family Leave does not provide job protection or return rights unless you are eligible for FMLA and/or CFRA. In addition, employees are required to take leave under the federal FMLA and the CFRA at the same time they are receiving Paid Family Leave insurance benefits.

        Under Paid Family Leave, the qualified employee receives income based on the State Disability schedule of payments. Such employees shall not be required to use vacation time before qualifying for benefits, but may elect to use accrued sick or vacation time during the seven day waiting period. Employees may also use their remaining accrued sick or vacation time to supplement the PFL payments up to, but not exceeding their normal pay.

        Upon return from FMLA/CFRA leave, or from Paid Family Leave that is subject to FMLA/CFRA, an employee will be reinstated to his or her original job, or to an equivalent job with equivalent pay, benefits, and other employment terms and conditions.

4.9        Holidays

        The following ten (10) days shall be designated as holidays:

        New Years Day

        Presidents Day

        Memorial Day

        Independence Day

        Labor Day

        Columbus Day

        Veterans Day

        Thanksgiving Day

        Day after Thanksgiving

        Christmas Day

        Holiday pay: All fulltime employees shall be paid eight (8) hours of holiday pay for each of the holidays listed above. All part-time employees shall be paid four (4) hours of holiday pay for each of the holidays listed above. In addition, all employees who work on a holiday listed above shall be paid at time and a half for all hours worked.

        For purposes of this section, hours worked on a holiday shall be defined as between midnight and midnight (0001 hours to 2359 hours) of the holiday in question.

ARTICLE 5 - WORKING CONDITIONS

5.1        Health and Safety

        No employee shall be required to work with unsafe equipment or under circumstances which would be injurious to his/her health or safety.

5.2        CTX Machines

        The Company will inform CTX employees on how to tell whether CTX machines have been inspected according to CFR required schedules.

5.3        Employee Seating

        The employer shall supply chairs for X-Ray machine operators as consistent with all safety, health and other regulatory requirements. Chairs shall be supplied for exit monitors during non-operational hours, or when employees are required to be at exits for 30 minutes or more during operational hours and as consistent with all safety, health and other regulatory requirements. TDC personnel shall be supplied with access to chairs during non-peak hours, or when employees are required to be at TDC position for 30 minutes or more and as consistent with all safety, health and other regulatory requirements.

5.4        Equipment

        It shall be the responsibility of management to report in a timely fashion to the appropriate official/vendor, any equipment that is not functioning properly.

5.5        Whistle Blower Protection

        Employees shall immediately point out such problems to management. Employees have the right without fear of discipline to report problems of public safety violations or other perceived violations to the TSA, the Airport Commission or other government agencies.

        The contractor agrees not to discharge, demote or otherwise discriminate against an employee as a reprisal for disclosing information to a Member of Congress, or an authorized official of an 15 agency* or of the Department Justice**, relating to a violation of law related to this contract (including the competition for or negotiations of a contract.)

        * “Authorized official of the agency” means an employee responsible for contracting, program management, audit, inspection, investigation, or enforcement of any law or regulation related to TSA procurement or the subject matter of the contract.

        ** “Authorized official of the Department of Justice” means any person responsible for the investigation, enforcement, or prosecution of any law or regulation.”

5.6        Communications

        It is the Employer’s responsibility to ensure that any employee assigned to work in an area by himself or herself shall be issued a functioning two-way communication device. In addition, the Employer is responsible for providing security briefing information to employees prior to their shifts, and allowed time to read such material as it relates to security.

5.7        Joint Labor-Management Committee

        The parties shall establish a joint labor-management committee which will meet on paid time no less than quarterly, or at the request of either party. The committee shall discuss working conditions, training, promotional opportunities, improving labor-management relations, personal appearance, and similar topics. There shall be five union member released for the meetings to be named by the union.

5.8        Safety Committee

        The union shall select a member to serve as co-chair of the current safety committee.

5.9        Seniority and Shift Bidding

5.9.1        The current seniority list for each classification shall be posted. There shall be no retroactive changes to the current list. Any changes based on the language below and future events shall be prospective only from date of execution of this contract.

        Seniority shall be defined as the amount of time the individual has served in a particular classification at CAS, based on date of hire in the class. In case of a tie, seniority shall be determined by the last 4 digits of their social security number (lowest number equals highest seniority.)

        Shift bidding and vacation bidding shall be based on seniority. Shift bidding shall be conducted annually. Location assignments may be changed if operations dictate a need based on airline loads or changes to configurations of work locations (e.g., removal of lanes/checkpoints or additional lanes/checkpoints added). Assignments will adhere to Company policy to ensure that employee’s in a leadership role will not supervise any employee with which a personal relationship known to management exists (e.g., marriage, domestic partnership, or family).

        A Variable bid will take place 6 months after the annual bid has taken place. Employees who have completed Certification within 30 days prior to the end of the 6 months, those who did not participate in the annual bid, CTX 9000 Specialists and those who had a change in their annual bid will be required to participate in the variable bid. All others will be on a volunteer basis. Submissions for the variable bid cannot be rescinded once submitted. Once all submissions have been completed bidding will be done on available operational schedules by seniority.

 5.9.2        Shift changes. When an employee changes shifts, there will be at least a eight hour turnaround period between shift assignments. If the new shift is scheduled to begin prior to the eight hours, the missing time must be charged to PTO or unpaid leave or an adjustment to shift time will be initiated. 

        After a shift bid has been completed, there will be no mandatory re-assignments. If there is an operational need, or new classification, re-bids or variable bids (for applicable classifications only) shall be done on a seniority basis.

5.9.3        Employees from outside the bargaining unit who, either voluntarily or involuntarily, become employed in the Local 1877 bargaining unit, shall start accruing seniority in the bargaining unit classification from that point forward, regardless of the amount of time they may have accumulated in the non-bargaining unit position. However, employees who have previously been in the bargaining unit, then moved into a non-bargaining unit position, and then have returned to the bargaining unit shall be credited with the seniority they previously earned in their bargaining unit classification – in essence, their seniority picks up where it left off.

When employees promote to classifications within the bargaining unit, they shall begin accruing seniority in the higher class on the first day of their promotion. However, should they demote back to their former classification, seniority from both classes shall be combined and applied to the lower classification.

5.9.4        Lateral transfers. When employees transfer laterally (such as CTX to Screener or CTX Lead to Lead Screener) their seniority in the prior class will be combined with their classification in the new class after they have been in the new class for six months.

5.9.5        Job Posting and Bidding

        When any vacant promotional opportunity occurs under this Agreement, the Employer shall post such vacant position in the same location(s) as other postings required by this Agreement. The Employer shall post such position for a minimum of five (5) working days prior to permanently filling the position.

        All current employees of the Employer shall be given preference by seniority for the vacant promotional opportunity, provided they meet the qualifications of the position, before the Employer hires a new employee.

5.10        Layoffs.

Layoffs shall be based by on seniority. Laid off employees shall have three years recall rights, and must successfully complete assessment prior to returning. Employees on a recall list shall be offered employment prior to their position being filled through promotion or hiring of new employees. Should there be a layoff, the union and the employees will be notified as soon as possible, and certainly as soon as the Employer is informed by TSA.

        More senior employees may volunteer to be laid off to protect the jobs of junior employees. If after voluntary layoffs, further reductions in force are still required, layoffs shall be affected in inverse seniority order.

        When possible preferential consideration shall be given to laid off employees for openings in other CAS-managed airport screening operations.

5.11        Uniforms

Employees shall be responsible for cleaning any uniform items which are wash-and-wear. The EAC shall be responsible for any necessary repairs or alterations to employee uniforms, and for issuing new uniforms as needed. If an employee needs to replace a uniform during his/her shift, he/she shall be allowed up to two (2) PTO hours or unpaid hours to go home, change and return to work. If the employee needs more than two (2) hours to go home and change, he/she may use LNP time at his/her discretion.

ARTICLE 6 - PERSONNEL PROVISIONS

6.1        Probationary Period

        Employees shall serve an initial probationary period of one hundred twenty (120) calendar days. During that time employees may be terminated without just cause and without application of a progressive discipline policy. However, as with permanent employees probationary employees may not be terminated or otherwise disciplined in violation of Section 1.2, Non-Discrimination.

6.2        Discipline

        Employees who have completed their initial probationary period shall not be discharged or otherwise disciplined without just cause. The principle of progressive discipline will govern discipline imposed for all reasons, subject to the provisions stated below. Disciplinary notices must be presented in writing, must specify the rules and/or policies that are alleged to have been violated, and must be presented within 30 days of the alleged infraction in order to be valid.

        Progressive discipline shall consist of five (5) steps:

1. Verbal Warning
2. Written Letter of Counseling
3. Letter of Reprimand
4. Letter of Final Notice
5. Termination

        A suspension shall be unpaid and used at the discretion of the Company, for the purpose of investigation. However, a suspension may be included as part of the discipline with Steps 4 – Letter of Final Notice.

        Steps 1 and 2 of Progressive Discipline shall be considered informal discipline” for the purpose of promotional opportunities or transfers but shall otherwise be a part of the formal progressive discipline and shall be active for six (6) months from the time of the issuance.

        Steps 3 and 4 shall be active for nine (9) months from the time of issuance.

        The company reserves, at its discretion, but subject to just cause, the right to omit steps and to determine more severe disciplinary measures for severe offenses.

6.3        Personnel File

        There shall be only one official personnel file. Employees shall have reasonable access to that file and, upon request, be furnished a copy of the contents at no charge.

6.4        Tuition Reimbursement

        CAS agrees to allocate a maximum of $8,000 per year to a fund for reimbursing employees who enroll in mutually approved courses, for the cost of tuition and books. The courses shall be offered by bona fide educational providers, and must be approved in advance (see below).

        The fund will be offered in two semi-annual increments of $4,000. The first increment will be from July 1 of each year through December 31 of each year. The second increment will be from January 1 of each year through June 30 of each year. The maximum allocation per employee for each period will be $400. Members are required to apply to the union for approval of funds. The union will set up a committee to handle the reimbursement. The following steps outline this process:

        1. Employee must submit a request for reimbursement stating the need for the reimbursement.

        2. The union committee will approve/disapprove the request for reimbursement, based on developed agreed-upon criteria. 3. After completion of the course, the employee will be required to provide proof of successful completion (passing grade) of the coursework, at which time reimbursement will be made.

        Funds shall be approved on a first come/first serve basis.

        The Union will administer the tuition reimbursement program and direct the Employer to whom to send the appropriate funds.

6.5        Medical Information

        Information such as medical restrictions or special conditions shall be kept on file, and employees shall not be required to carry them on their person in order for them to be valid.

6.6        Discipline Related To Attendance.

        No employee shall be penalized for absence or tardies caused by extraordinary or extenuating circumstances, including, but not limited to: a) Hospitalization b) Emergency Room, Critical Care or Urgent Care (as defined by Kaiser) visits, or any medical event requiring transportation by ambulance. c) Serious accidents such as automobile accidents, house fires, and natural disasters, and unanticipated public transit breakdowns. d) Absences covered by all applicable laws such as Wage and Hours, Workers Compensation, California Family Rights Act, Family Medical Leave Act, or California Kin Care laws.

        The above categories shall apply to employees or immediate family members in the care of the employee where the extraordinary or extenuating circumstances involve the employee. The employer may require documentation from appropriate agencies (medical, judicial, law enforcement, etc.) to validate the circumstances mentioned above. Absences due to the circumstances listed above shall be known as “excused absences,” and are not be counted as “occurrences.” In the case of medical emergency, employees shall not be required to violate medical privacy standards. Employees must submit required documentation within thirty (30) days of their return to work following the occurrence.

        A pattern of absence, including absences caused by extraordinary or unusual circumstances may be addressed by the CAS discipline policy.

6.6.1        Level 1

        Employees shall be placed on Level 1 after the third unscheduled absence in a three month period, unless the absences fall under the extenuating circumstances category listed above (6.7). If the employer chooses to place employees at Level 1, employees shall be informed of such in writing. The letter shall inform them that if within a three month period (known as the 10 observation period) following the Level 1 letter, if they have an unscheduled absence, they shall be placed on Level 2, unless the absence is excused because it falls under the extenuating circumstances category listed above. The observation period shall commence on the date of the third unscheduled absence that triggered the observation period, and the Level 1 letter shall indicate the same. If employees have no unscheduled or unexcused absences in the Level 1 observation period, the Level 1 shall be removed.

6.6.2        Level 2

        If employees incur an unscheduled or unexcused absence during the Level 1 observation period, they shall be moved to Level 2. If the employer chooses to place employees at Level 2, employees shall be informed of such in writing. The letter shall inform them that if within a three month period (known as the observation period) following the Level 2 letter, if they have an unscheduled absence, they may be placed on Level 3, unless the absence is excused because it falls under the extenuating circumstances category listed above. The observation period shall commence on the date of the unscheduled absence that triggered the observation period, and the Level 2 letter shall indicate the same. If employees have no unscheduled or unexcused absences in the Level 2 observation period, all Levels shall be removed.

6.6.3        Level 3

        If employees incur an unscheduled or unexcused absence during the Level 2 observation period, they shall be moved to Level 3. If the employer chooses to place employees at Level 3, employees shall be informed of such in writing. The letter shall inform them that if within a three month period (known as the observation period) following the Level 3 letter, if they have an unscheduled absence, they shall be placed on Level 4, unless the absence is excused because it falls under the extenuating circumstances category listed above. The observation period shall commence on the date of the unscheduled absence that triggered the observation period, and the Level 3 letter shall indicate the same. If employees have no unscheduled or unexcused absences in the Level 3 observation period, all Levels shall be removed.

6.6.4        Level 4

        If employees incur an unscheduled or unexcused absence during the Level 3 observation period, they shall be moved to Level 4. If the employer chooses to place employees at Level 4, employees shall be informed of such in writing. The letter shall inform them that if within a three month period (known as the observation period) following the Level 4 letter, if they have an unscheduled absence, they may be terminated, unless the absence is excused because it falls under the extenuating circumstances category listed above. The observation period shall commence on the date of the unscheduled absence that triggered the observation period, and the Level 4 letter shall indicate the same.

        Clarification: Each level of discipline shall trigger a new observation period. Each observation period shall be three months and begin on the date of occurrence triggering that level. The disciplinary level will be effective on the same date as the occurrence that triggers the level.

 6.6.5        Termination

        If employees have no unscheduled or unexcused absences in the Level 4 observation period, all Levels shall be removed. If employees incur an unscheduled or unexcused absence during the observation period, they shall be recommended for termination. If the employer recommends termination, employees shall be informed of such in writing. At that time, prior to termination, at the request of the union there shall be a meeting to review the employee’s attendance and overall work record. When the union makes such a request, the employee will be placed on unpaid administrative leave until the meeting occurs within a reasonable time not to exceed 30 days.

6.6.6        Tardiness

        Employees are expected to be reliable and to be punctual in reporting for scheduled work. Tardiness results in a burden on other employees and on the overall screening operations. Employees shall be given a seven minute grace period at the beginning of their shift before pay is deducted from their scheduled work time. The seven minute grace period does not excuse tardies and disciplinary procedures for tardiness shall be identical to the procedures mentioned above for unscheduled and unexcused absences. Tardiness shall be excused under the same criteria listed in section 6.7 above. The employer shall track the two categories of attendance (absences and tardies) separately. When employees are tardy and arrive to work at or after the mid-point of their shift has passed, the occurrence shall be considered an absence. When employees are tardy and arrive to work before the mid-point of their shift, the occurrence shall be considered a tardy.

6.7        Early Release

        Employees who need to leave work early shall request their supervisor for early release. Requests that fall under 6.7 above shall be excused. If the reason for leaving does not fall under 6.7 and the release is not granted, and the employee has to leave anyway, the occurrence shall be treated as an absence if the employee leaves at or before the mid-point of their shift. If the employee leaves after the mid-point of their shift, the occurrence shall be treated as a tardy.

6.8        Subject To Grievance Process

        Any and all disciplinary levels, including termination, may be appealed through the grievance procedure.

6.9        Call In

        Employees who will be absent or late are required to call in, in accordance with current practice. Employees who don't call in an absence for a complete shift, in accordance with current practice, and are not covered by Section 6.7 above, shall be considered AWOL and automatically be placed on Level 3, or, if they are already on a level, shall be placed on the next level above. Employees who call in to the ACC shall receive and be assigned a Confirmation number as proof of such a call-in. 

6.10        Effect of Discipline on Employee Bonuses

        As indicated in the Performance Award section (Sec.2.3), disciplinary levels shall have no effect on employees’ bonuses.

ARTICLE 7 - GRIEVANCE PROCEDURE

7.1        Applicability

        To promote better Employer-employee relationships, all parties pledge their immediate cooperation to settle any grievances or complaints that might arise out of the application of this Agreement, and the following procedure shall be the procedure to be utilized for resolving disputes of allegations by the Union or the employee of violations of this Agreement. The parties further agree that all meetings under this procedure will be conducted in a professional manner and in a spirit of mutual respect consistent with mutual resolution of grievances arising under this Agreement.

7. 2.        Direct Dealing

        If there is a breach of any provision of this Agreement affecting employee or group of employees, or if the breach of any provision of this Agreement is the result of an agreement reached between Employer and employee without the approval of the Union the Union shall have the right to take up such breach with or without the consent of the employees or employee involved.

7.3        Procedure / Time Limits

        It is important that grievances be processed as rapidly as possible. The number of days indicated at each level should be considered as maximum, and every effort should be made to expedite the process.

        Any Grievance shall be considered null and void if not filed and processed by the Union or the Employee represented by the Union in strict accordance with the time limitations contained in the article. Failure by Employer to respond in writing within the time limits at each level shall render the grievance automatically appealed to the next level in the grievance procedure. The time limits specified may, however, be extended by mutual agreement The Union will advise the appropriate individual at the next level within a reasonable period of time.

        Working days as referred to in this Agreement shall exclude Saturday, Sunday and Holidays recognized in this Agreement.

7.4        Level One — Human Resources Manager or designee

        a.         If a dispute is not resolved at the informal level, the employee or Union shall file the grievance in writing on the appropriate form to the Human Resources Manager or his/her designated representative within ten (10) working days of the claimed violation.

        b.        This statement shall specify the provision or provisions of this Agreement claimed to be violated and the manner in which such provision is claimed to have been violated, the date of the alleged violation, all pertinent information, the remedy sought, and shall be signed 19 by the employee and/or by the Union.

        c.         The Human Resources Manager or his/her designated representative to whom the grievance is directed shall communicate his or her decision, along with the reasons therefore, to the employee and the Union in writing within eight (8) working days.

 7.5        Level Two – General Manager or designee

        a.         If the employee or the Union is not satisfied with the disposition at Level One, the employee or the Union may appeal the grievance to the General Manager or his/her designated representative within eight (8) working days after receiving notice of the decision. If the General Manager designates a representative for Level Two grievance step, such representative must be at a higher organizational level with the Employer than the management representative who made the decision in the Level One grievance step.

        b.        The appeal shall include a copy of the original grievance.

        c.         Upon timely filing, the written grievance will be discussed between the employee, the Union involved, and the General Manager or his/her designated representative within eight (8) working days after filing, unless extended by mutual consent:

        d.        Upon the timely filing of written grievance as specified herein, the Union shall have sole discretion as to the processing of such grievance and shall have the right to carry the grievance through the grievance procedure with or without the consent of the employee(s) originally filing the grievance.

7.6        Optional Level Three – Mediation

        By mutual consent, the following procedure shall be used if the grievance is not resolved at Level Two.

        The parties shall agree upon a Mediator from the Federal Mediation and Conciliation Service or other mutually agreeable source. The Mediator shall attend the grievance meeting and assist the parties to attempt to resolve the case. If there is a cost associated with the mediation (other than costs incurred by either party in preparing or presenting its own case, such as attorneys fees), the costs shall be borne equally by both parties.

        If the parties cannot resolve the case, the Mediator shall give the parties an advisory opinion regarding the merits of the case.

7.7        Level Four – Arbitration

        a.        If the grievance remains unresolved because the Union chose to advance the grievance to Level Two (and optionally to Level Three) under the provision of this article, the Union shall have the right to refer the matter to arbitration. In the event the Union elects to do so, it must notify the General Manager of its decision in writing within fifteen (15) working days from the date the General Manager’s answer at Level Two or the Level Three meeting, whichever occurred later.

        b.        After the grievance has been referred to arbitration, the parties shall select from a list of nine (9) arbitrators requested from the Federal Mediation and Conciliation Service by such method as they may jointly select, or if they are unable to agree upon a method, then by the method of alternate striking of names under which the grieving party shall strike the first name objectionable to it, and Employer shall then strike the first name objectionable to it. The final name left on the list shall be the arbitrator. Either party may reject the entire panel of nine, and request a new one.

        c.        The arbitrator’s decision shall be final and binding. The arbitrator shall have no power to alter, modify, amend, add to or detract from the terms of this Agreement. The decision of arbitration shall be within the scope and terms of this Agreement and shall be in writing. d. The arbitrator’s fee, the cost of any hearing room, and the cost of a shorthand reporter if requested by an arbitrator shall be borne by the losing party. All other expenses shall be paid by the party incurring them. If a transcript is taken at the arbitration hearing, it is understood that said transcript should constitute the official record of the hearing. The party or parties requesting the transcript shall incur the cost of the transcript. Neither party shall be required to purchase a copy of the transcript.

ARTICLE 8 - MISCELLANEOUS

8.1        New Classifications

        If a new job classification is mandated by the TSA, the parties agree to negotiate the terms and conditions for the new position(s). The same provision shall apply if the Employer creates any new non-management classification at San Francisco International Airport for other reasons. The Employer shall give at least thirty (30) calendar days notice prior to the creation of such new classifications.

ARTICLE 9 - RESOLUTION

9.1        Savings Clause

        In the event the courts should decide that any clause or part of this Agreement is unconstitutional or illegal, or should any clause or part of this Agreement be found contrary to present or future laws, it shall not invalidate the other provisions of the Agreement.

9.2        Beneficial Practices

        In order to afford the Union and the bargaining unit an opportunity to determine unapprised beneficial practices, it is agreed by the parties that beneficial practices that the Employer may have offered to employees covered by this Agreement, but were not addressed in bargaining for this Agreement will be continued.

9.3        No Strike / No Lockout

        The Union agrees that it will not direct its members to strike, picket the Employer’s worksite, or stop work and the Employer agrees that it will not lock out employees covered by this Agreement during the term of this Agreement

9.4        Successor Clause

        This Agreement shall be binding upon the parties hereto, their successors, administrators, executors and assigns. In the event an entire operation, or portion thereof, or rights only, are sold, leased, transferred or taken over by sale, transfer, lease assignment, such operation or use of such rights shall continue to be subject to the terms and conditions of this Agreement, for the life thereof.

        The Employer shall give notice of the existence of this Agreement to any purchaser, transferee, lessee, assignee, etc, as well as successor contractors providing the services covered under this Agreement.

        This article shall apply equally to any and all successors of the signatory to this Agreement.

9.5        The Employer agrees to fully comply with the San Francisco International Airport Worker Retention Policy and Quality Standards Program to the extent required by law.

9.6        Term of Agreement

        The term of this agreement shall be 3 years, from January 1, 2009 to December 31, 2011 and shall extend year to year unless notice to amend or modify is served by either party upon the other at least sixty (60) calendar days prior to the expiration date of this Agreement or any subsequent December 31.

        In addition, the Employer agrees to reopen negotiations over possible changes to wages and retirement benefits if the Transportation Security Administration (TSA) agree upon the terms of a Collective Bargaining Agreement with its employees, and if the documented cost of the TSA economic package for the San Francisco area is within five percent (5%) of the total economic package under this agreement.

 APPENDIX A

NATIONAL INDUSTRY PENSION FUND APPENDIX FOR COLLECTIVE BARGAINING AGREEMENTS BETWEEN EMPLOYERS AND SEIU LOCALS

Section 1.         COVERAGE

The (“Employer”), agrees to make periodic contributions on behalf of all employees covered by the Collective Bargaining Agreement to the Service Employees International Union National Industry Pension Fund ("Fund") in the amounts specified in Section 3 below.

Section 2.         TERM

The Employer agrees to become and remain a participating employer in the Fund throughout the term of this Collective Bargaining Agreement, including any extensions thereof.

Section 3.        CONTRIBUTIONS

(a)        Effective January 1, 2011, the Employer agrees to contribute to the Fund the amount of fifteen cents ($0.15) per straight-time paid hour for all eligible employees.

(b)        Contributions required by this provision shall be paid to the Fund on or before the fifteenth day of the month following the period for which contributions are due or before such other date as the Trustees may hereafter determine

(c)        Contributions shall be transmitted together with a remittance report containing such information, in such manner, and on such form as may be required by the Fund or their designee.

(d)        Eligible employees shall be those who (1) work nineteen (19) or more hours per week and have been employed by the Employer for ninety (90) days or (2) casual or temporary employees that have worked 1000 hours within a twelve month period. Until contributions are required to be made on behalf of an employee pursuant to the terms of this provision, the employee shall not be deemed to be a covered employee working in covered employment within the meaning of the SEIU National Industry Pension Fund. Any employee who has completed the applicable probationary period stated above as of the effective date of the Collective Bargaining Agreement shall have contributions made on their behalf to the Fund beginning on the effective date of the Agreement without the necessity of meeting any additional eligibility requirement. For those employees who have not completed the applicable probationary period as of the effective date, the Employer shall begin to make contributions beginning with the month following the month during which the employee becomes an eligible employee.

Section 4.        TRUST AGREEMENT

The Employer hereby agrees to be bound by the provisions of the Agreement and Declaration of Trust establishing the Fund, as it may from time to time be amended, and by all resolutions and rules adopted by the Trustees pursuant to the powers delegated to them by that agreement, including collection policies, receipt of which is hereby acknowledged. The Employer hereby designates the Employer members of the Fund's Board of Trustees, or their duly selected successor(s), as its representatives on the Board

Section 5.        COOPERATION

The Employer and Union agree to cooperate with the Trustees of the Fund in distributing Plan booklets, literature, and other documents supplied by the Fund Administrator and in obtaining and providing such census and other data as may be required by the Fund's Administrator or Trustees to enable them to comply with the applicable provisions of the Employee Retirement Income Security Act.

Section 6.        APPROVAL BY TRUSTEES

The undersigned parties acknowledge that the provisions of this Article and the participation of the employees covered by it are subject to approval by the Trustees of the Fund and that the Trustees reserve the right to terminate, at their sole and unreviewable discretion, the participation of the employees covered by this Agreement and to establish the level(s) of benefits to be provided. Termination may be directed by the Trustees for reasons including, but not limited to, failure of the Employer to timely pay contributions and expiration of a Collective Bargaining Agreement. The parties further acknowledge that the Trustees' acceptance for participation in the Fund of the employees covered by the Collective Bargaining Agreement is limited only to the categories of employment covered by the Collective Bargaining Agreement at the time application for acceptance occurs and the admission of other categories of employment to participate in the Fund will require specific acceptance by the Trustees.

Section 7.        MISCELLANEOUS

In the event of any inconsistency between this appendix and the Collective Bargaining Agreement, the terms of this Appendix shall prevail.

For the Employer:                                        For the Union:

By:        ___________________________                By: ____________________