Between

and

Effective November 16, 2008

Through November 15, 2011

i i

ii i

Other Incentive Programs

137

In Witness Whereof 139

Appendix D: Memorandums of Understanding

Moving Expenses-Displaced Employees

Temporary Assignments

Payroll Deductions - CWA Savings and

Retirement Trust

Home Garage

Agreement Regarding Mutual Interpretation of

Article 18 - Force Adjustments

Seniority

Administration of Payroll Deductions for COPE

Seniority Determination

161

162

165

166

169

170

171

172

INDEX 173

1

TELEGRAPH COMPANY, herein referred to as the

"Company" and the COMMUNICATIONS WORKERS OF

AMERICA, AFL-CIO, herein referred to as the "Union".

WHEREAS, the parties have carried on collective bargaining

negotiations for the purpose of developing an agreement with

respect to wages, hours and other terms and conditions of

employment, and have reached agreement upon the terms of

an agreement. NOW THEREFORE, this Agreement shall be

binding upon the legal successors and assigns of the

Company and the Union; and in consideration of mutual

covenants herein contained, the parties have contracted and

agree as follows:

1.01 Basic Rate of Pay. The rate of pay, exclusive of all

differential or extra payments.

1.02 Call-out. A call of an employee while off duty to work

hours not previously scheduled and when the duration

of the work cannot be predetermined, except that the

following shall not be considered a call-out:

A. If the time worked immediately precedes,

follows, and connects with regularly scheduled

time.

B. Work assignments, when notice is given in

advance and the minimum assigned time is two

(2) hours on weekdays and three (3) hours on

holidays and Sundays.

2

1.03 Change in Schedule. A change in schedule is a

shifting of hours within the previously posted work

schedule.

1.04 Connecting Work. Any work that connects with the

beginning or end of scheduled time. If the employee

requests and receives time off for a relief or meal

period between the scheduled time and the connecting

time, such break shall not change the connecting

nature of the work.

1.05 Full-Time Employee. An employee engaged to work

a full-time or normal workweek.

1.06 Gender. The use of the masculine or feminine

gender, or titles such as frameman, switchman, etc.,

in this Agreement, shall be construed as including

both genders and not a sex limitation.

1.07 Headquarters Exchange, Location, Town. An

exchange area, location or town designated by the

Company as being the place of employment for a

particular employee.

1.08 Holiday Work. Any work that begins on an

authorized holiday.

1.09 Net Credited Service. Length of service as computed

for pension and benefit purposes.

1.10 Night Tour. A tour that falls wholly or partly within

3

1.11 Nonscheduled Time. Nonscheduled time consists of

the following:

A. Nonconnecting work of which the employee is

advised while on duty or when the duration of the

work assignment can be predetermined.

B. Assignment of an employee to work on a

nonscheduled day for a full tour or when the

duration of the assignment can be predetermined.

1.12 Occasional Employee. One who is engaged for a

period of not more than three consecutive weeks

regardless of the length of his/her daily or weekly

assignments. He/she is an employee only on the days

he/she works.

1.13 Overtime Rate. One and one-half times the basic rate

of pay as required under the terms of the Fair Labor

Standards Act.

1.14 Part-Time Employees. An employee is scheduled to

work less than the number of hours in the normal

workweek.

1.15 Part Tour. A work assignment of shorter length than

the normal tour or workday.

1.16 Premium Pay. Pay at the overtime rate for nonovertime

work at hourly rates equal to the overtime

rate, for example, Sunday work.

1.17 Regular Rate of Pay. Basic pay plus any differential

pay for work on evening and night tours. No overtime

or extra pay other than evening or night differential is

included in regular pay.

1.18 Service Requirements. Service requirements as

determined by the Company.

4

1.19 Session: One of the two parts into which a tour is

divided.

1.20 Sunday Work. Any that begins on a Sunday.

1.21 Temporary Employee. One whose term of

employment is intended to last more than three (3)

weeks but not more than one (1) year.

1.22 Tour. Any eight hours of performance of assigned

duty.

1.23 Tour Differential. Payments, over and above the basic

rates, made to weekly rated employees who work

tours that do not fall wholly within the day period,

7:00 a.m. to 8:00 p.m.

1.24 Wage Length of Service (Wage Credit). Period

credited to an employee in the application of the wage

schedule for his/her job title. In paid absence cases

under the "Plan for Employees' Pensions, Disability

Benefits, and Death Benefits", only the first month of

such absence is included in computing wage

experience credit, except that employees absent as a

result of, and who receive payments for, accidents

arising out of, and in the course of, employment shall

accumulate wage experience credit during the time of

such absence and payment.

1.25 Workday. The period of time between 12:00 midnight

preceding and 12:00 midnight ending any day. Any

tour or call-out is a part of the workday on which such

tour or call-out begins. Any connecting time that

precedes a tour is a part of the workday on which the

connecting time begins. Any connecting time that

follows a tour is a part of the workday on which the

tour begins, even though such connecting time

5

continues until the beginning of a subsequent tour. Pay

for work that starts at or after 12:00 midnight

preceding the day and before midnight ending the day

shall be at the rate prescribed for that day.

1.26 Work Group. A group of employees who are assigned

to the same work location (place of reporting) and

who interchange on work assignments and relieve

each other; or who are assigned to the same first line

supervisor and are assigned to separate work locations

and who interchange on work assignments and relieve

each other. However, it is understood and agreed that

this definition shall have no application for weekly

work schedules (vacation excluded) for employees

who are required by the Company to perform work

functions related to special circuits.

The Company recognizes and will deal with the Union as the

sole collective bargaining agent with respect to wages, hours

of employment, and other conditions of employment for all

employees presently listed under the wage guides in

Appendix A of the Network Operations at the Company's

offices and installations in the State of North Carolina but

excluding all professional employees, confidential

secretaries, Director's secretaries, General Manager's

secretaries, Branch Manager’s secretaries (for Marketing and

Business Development), supervising clerks, guards and

supervisors as defined in the National Labor Relations Act,

as amended. Not included are employees of the Company at

Southern Pines, Pinehurst, Vass, Carthage, Whispering

Pines, Robbins, Fuquay Varina, Angier, Siler City, Pittsboro,

Bonlee, Goldston, Gibsonville, and Kernersville.

6

in the best interest of the parties, the employees, and the

public that all dealing between them be characterized by

responsibility and respect. To this end, the Company and the

Union and their respective representatives will apply the

terms of this Agreement fairly in accord with its intent and

meaning, and consistent with the Union's status as exclusive

bargaining representative of all employees in the unit.

has all customary and usual rights, functions, and authority of

management.

A. Direct and supervise the Company's plant and

business operations and policies;

B. Assign, modify or change work duties or

requirements;

C. Establish and maintain rules for safe and efficient

operations;

D. Move a facility or operation to another location or

another facility, or close or liquidate a facility;

E. Discontinue, temporarily or permanently, in

whole or in part, the conduct of its business or

operations;

7

F. Install, remove, or change machinery and

equipment and introduce new or improved

methods, materials and facilities;

G. Determine the qualifications for and make the

selection of its managerial, supervisory,

professional and administrative personnel;

H. Determine, administer, rearrange and change

methods, materials, equipment work and safety

standards or performance requirements needed in

any job or area;

I. Decide the number of employees needed at any

particular time or place and be the sole judge of

the quality and acceptability of the

communication service rendered to the public.

The exercise by the Company of any right listed in A.-I.,

inclusive, of this section may not be made the subject of the

grievance or arbitration procedure of this Agreement. The

Company has the unqualified right to place any or all of such

enumerated rights into effect without notice to, or negotiation

with the Union.

heretofore exercised by, or inherent in the Company, not

modified or restricted by the terms of this Agreement, are

retained solely by the Company.

8

employee or classification of employee in the unit described

in Article 1 the exclusive right to any work. While the

Company recognizes the right of its employees in normal

circumstances to perform its work rather than suffer a lay-off

from employment, yet the Union recognizes the right of the

Company to contract out or transfer work to other persons

when it determines that same is warranted.

contract labor to assist in the carrying out of its program of

construction, installation, removal, maintenance or repair of

its telephone plant, it will not use contract labor so as to

result in the layoff of any regular employee normally

performing the same work as that which is contracted out,

and that the Company will not work hourly rated contract

forces in excess of a normal forty (40) hour workweek when

qualified Company forces performing the same type of work

in the exchange are available and have not been afforded the

same amount of overtime opportunity in that week.

or members shall:

A. Discriminate against any employee because of

his/her being or not being, or becoming or not

becoming, a member of the Union; or

B. Intimidate or coerce any employee into joining or

not joining, or continuing or not continuing

his/her membership in the Union; or

9

C. Discriminate against any employee because of

action taken by either party in processing

grievances under the provision of this

Agreement; or

D. Discriminate against any employee because of

race, religion, color, age, handicap, creed, sex,

sexual orientation or national origin. In keeping

with this Agreement, neither the Company nor

the Union will tolerate sexual harassment by any

of its employees. Unwelcome sexual advances,

requests for sexual favors, and other verbal or

physical conduct of a sexual nature constitute

sexual harassment when:

1. Submission to the conduct is made either an

explicit or implicit condition of employment;

2. Submission to or rejection of the conduct is

used as a basis for an employment decision

affecting the harassed employee; or

3. The harassment substantially interferes with

an employee's work performance or creates an

intimidating, hostile, or offensive work

environment.

the Americans with Disabilities Act to ensure fair and

equitable treatment of applicants and employees with

disabilities. The parties herein will further ensure that

reasonable accommodations are afforded to disabled

applicants and employees on a case by case basis.

1 0

be regarded as a probationary employee for the first six (6)

months [except Network Switching Technician and Business

Service Technician - twelve (12) months] of his/her

employment. If such employee is retained in the employ of

the Company longer than said probationary period, he/she

shall be considered a regular employee and seniority shall

date back to the date of original employment.

Those employees first hired as a contractor or temporary

employee will have all such time worked in a specific

classification count toward his/her probationary period for

such classification.

If probationary employees are laid off during the

probationary period because of lack of work, they shall have

credit for all time worked prior to such lay-off counted for

the purpose of completing their probationary period.

unsatisfactory, in the judgement of the Company, at any time

during the probationary period, he/she may be discharged,

disciplined or suspended, without recourse to the arbitration

provision of this Agreement.

1 1

A. Work schedules for all employees shall be posted

officially by 3:00 p.m. on Thursday for each

employee who is scheduled for assigned tours for

the next calendar week, except that:

1. Holiday schedules shall be posted not later

than 3:00 p.m. on Thursday of the second

week preceding the week in which the holiday

falls.

2. Schedules for Sunday will be posted on the

preceding Monday.

3. An Operator Services employee desiring a day

off shall submit a written request to the

Manager-Operator Services, or to his/her

representative, not later than Tuesday noon

preceding the posting of the weekly schedule.

B. Work schedules shall stipulate the starting and

ending time of such tours, together with the

starting and ending time of each session. Intervals

between sessions shall be shifted as necessary to

meet service requirements.

C. Where employees work common hours as a

group, a statement which meets the requirements

of paragraph B. may be posted for the group as

such.

1 2

D. At locations where no management person is

assigned to supervise the employees involved, a

letter to such employees which meets the

requirements of paragraph B. may be addressed

to them advising that until further notice they are

to work that schedule. At such locations this

shall be considered as complying with paragraph

A. above.

E. Insofar as service requirements permit, Sunday

assignments shall be rotated among the qualified

employees within a work group.

1. Network Operations employees only, evening,

night and day tours will be rotated on Sundays

among those in the work group normally

scheduled to work such tours.

F. Four – Ten Hour Work Days

1 3

A. Tours may fall on any day of the week necessary

to meet service requirements, except that tours

and part-tours which make up the normal

workweek may not be spread over more than six

(6) days of the calendar week except for part-time

employees who work less than forty (40) hours

per week. All Operator Services operating room

employees and Network Operations employees

regularly assigned to evening and night tours

shall have their tours scheduled in accordance

with Article 15.

1. Scheduled time is composed of tours and/or

part-tours and the scheduled time for any

workday shall not normally exceed the length

of the normal tour.

2. There shall be no more than four (4) hours

between sessions of a split tour. The session

shall not be less than three (3) hours or more

than five (5) hours in length.

1 4

B. Employees shall be scheduled to work no more

than twelve (12) consecutive days or sixteen (16)

consecutive hours, except where acute service

conditions develop, and in such cases, they shall

be paid two (2) times their basic rate of pay for

days worked in excess of twelve (12) or for hours

worked in excess of sixteen (16) consecutive

hours.

C. Insofar as service requirements will permit,

except for rotation of Sunday and holiday hours

and choice of tours, a minimum time interval of

twelve (12) hours [eleven (11) hours in Operator

Services] shall elapse between a scheduled

ending time of one tour and the scheduled

starting time of the next. A minimum of six (6)

hours must elapse between the scheduled ending

of a tour and the scheduled starting time of the

next tour when rotating Sunday and holiday tours,

or when exercising choice of tours.

D. Employees shall be either scheduled to work or

scheduled off on authorized holidays.

1. Insofar as service requirements permit,

employees shall be excused on authorized

holidays.

2.

a. Insofar as practicable employees working

on a holiday will be rotated from holiday

to holiday among those qualified within a

work group. Insofar as practicable

employees working on Christmas Eve

(Operator Services only), Christmas and

Mother's Day (even though Mother's Day

is not an authorized holiday) will be

rotated from Christmas Eve to Christmas

1 5

Eve, Christmas to Christmas and Mother's

Day to Mother's Day, except that rotations

shall not apply to employees who have

vacation scheduled during Christmas

week.

holiday schedules for operating forces in

Operator Services will be rotated on

Sunday rather than the observed holiday.

E. Changes from officially posted weekly work

schedule may be made in accordance with the

following:

1. At the discretion of the supervisor in charge to

meet service requirements.

2. At the request of employees and subject to the

provisions of paragraph E.1 of this section and

sub-paragraphs a. and b. below.

a. Such requested changes shall be made

when no replacement of the employee's

schedule is required and when the services

of the employee making the request may

be profitably used during the hours to

which he/she wishes to change.

b. When a replacement of the employee's

schedule is required, the change shall be

made provided an agreeable change can be

made in the schedule of another employee

and provided such change does not

involve overtime pay. The minimum

period for which an employee may change

hours with another employee is one

session. An employee will not normally

1 6

be allowed to make more than one

scheduled change for a particular day.

c. Employees shall not be restricted to the

number of hours between sessions of a

tour when they wish to trade any part or all

of their tour, provided that no less than six

(6) hours elapse between the ending of one

tour and the beginning of the next as a

result of such trade.

F. Any connecting time worked that precedes or

follows a scheduled tour shall be paid separately

on a one-quarter (1/4) hour basis.

Work time for the basic workweek shall not be reported or

classified in less than one-fourth hour periods. For example,

an employee working three hours and five minutes shall

report 3 1/4 hours; an employee working three hours and

sixteen minutes shall report 3 1/2 hours.

A. A relief period of fifteen (15) minutes during

each session shall be granted each employee. The

time for such relief periods to be taken shall be

fixed by the supervisor in charge and shall be

near the mid-point of the session as is practicable.

Such time shall be considered as time worked.

B. In cases of connecting, call-out or nonscheduled

work when an employee requests time off for a

relief or meal period, such request will be

granted, without pay, if practicable in view of the

nature or expected duration of the work.

1 7

C. When service requirements so dictate, the normal

one (1) hour lunch period may be reduced to

thirty (30) minutes by the Company.

Authorized Holiday)

A. Employees working on weekdays shall be paid at

the regular rate for all scheduled time worked,

except as otherwise provided in this section.

B. Except for call-outs, employees working on a

weekday shall be paid at the overtime rate for all

nonscheduled time worked. In cases where such

time would ordinarily have been subject to

overtime payment because of the number of

hours worked, no further payment shall be made.

Nonscheduled time paid at the overtime rate and

be included in the computation of the eight (8)

hour and forty (40) hour eligibility for payment at

the overtime rate specified in paragraph 5.C.

C. Employees working on weekdays shall be paid

at the overtime rate for time worked in excess of

the normal workday [eight (8) hours] and/or at

the overtime rate for time worked in excess of

forty (40) hours during the calendar week.

1 8

In computing these hours, only time actually

worked will be counted except that time excused

on an observed holiday (except personal holiday)

up to the length of a normal tour shall be credited

as a normal tour in computing the hours of work

time.

D. When scheduled hours are changed by the

Company, the new scheduled time worked on

of the change but outside the previously posted

schedule shall be paid for at the overtime rate.

E. Lunch or meal periods between sessions which

are shifted by the Company shall not be

considered as a change in scheduled hours

referred to in paragraph D.

F. Employees shall be paid any applicable evening

or night differentials.

A. A call of an employee while off duty to work

hours not previously scheduled and when the

duration of the work cannot be determined,

except that the following shall not be considered

a call-out:

1. If the time worked immediately precedes,

follows, and connects with regularly scheduled

time.

2. Work assignments, when notice is given in

advance and the minimum assigned time is

two (2) hours on weekdays and three (3) hours

on holidays and Sundays.

1 9

B. The minimum compensation for a call-out on a

weekday that does not connect with an

employee's scheduled tour, shall be two (2) hours'

pay at one and one-half (1 1/2) times the basic

rate if the call-out begins at or after 7:00 a.m. and

and one-half (1 1/2) times the basic rate if the

7:00 a.m. Time worked during a call-out on

weekdays shall not be considered in computing

overtime for the week.

C. Similar assignments on holidays shall carry a

minimum of three (3) hours' pay at one and onehalf

(1 1/2) times the basic rate if the call-out

and a minimum of four (4) hours' pay at one and

one-half (1 1/2) times the basic rate if the call-out

D. For a call-out on Sunday, hours will be as

specified in paragraph C. and pay shall be at the

double time rate. The time shall not be included

in determining the forty (40) hour workweek.

A. Nonscheduled time consists of the following:

1. Non-connecting work of which the employee

is advised while on duty or when the duration

of the work assignment can be predetermined.

2. Assignment of an employee to work on a

nonscheduled day for a full tour or when the

duration of the assignment can be

predetermined.

2 0

3. In the case of nonscheduled work as described

in A. 1. and A. 2. above, a minimum of two

(2) hours at the applicable rate shall be paid

when the work takes place on any day other

than a Sunday or a holiday. A minimum of

three (3) hours at the applicable rate shall be

paid when the work takes place on a Sunday

or a holiday. Time worked in excess of the

minimum shall be paid at the rate applicable.

A. Employees working on Sunday shall be paid at

the Sunday rate [one and one-half (1 1/2) times

the basic hourly rate].

A. Employees shall be paid a day's basic pay for an

authorized holiday irrespective of any payment

for time worked on the holiday, except as

provided in paragraphs 1. through 5. below:

1. Absentees, meaning employees failing to

report for scheduled work on the holiday, or

on either of the days that immediately precede

or follow the holiday, shall receive no pay for

the holiday unless such absences are excused.

2. Employees who have been granted a formal or

informal leave of absence during a period in

which a holiday occurs shall not be eligible to

receive pay for the holiday. For the purposes

of this paragraph only, absence for five (5)

consecutive scheduled workdays shall

constitute an informal leave of absence unless

such absences are permitted by the Company

due to a temporary force surplus.

2 1

3. Employees who are eligible to receive

department sickness payments because of

sickness on a holiday shall receive no further

pay for the holiday.

4. Employees who are eligible to receive

sickness benefit payments or accident benefit

payments under the Employees' Benefit Plan

because of disablement on a holiday shall

receive no further pay for the holiday.

5. An employee whose last day of work before

leaving the service is on a day immediately

preceding a paid holiday shall receive no pay

for the holiday.

B. Regular part-time employees shall be paid regular

pay equal to the number of hours normally

worked on a weekday.

A. Employees working on a holiday shall be paid at

one and one-half (1 1/2) times the regular rate

except as otherwise provided in this section.

B. Employees working on a holiday shall be paid at

the overtime rate for work in excess of a normal

tour.

C. When a scheduled holiday is shifted by the

Company from a workday to an off day without

twenty-four (24) hours notice, employees shall be

paid on the holiday for four (4) hours at the

regular rate.

2 2

D. Times worked and/or excused on a holiday

observed Monday through Saturday up to the

length of a normal tour shall be credited as a

normal tour in determining the daily and weekly

overtime.

E. Pay under this section is in addition to pay under

Section 9.

Notwithstanding any other provisions of this Agreement,

employees shall not be paid for work on Sundays, weekdays,

or holidays at any rate in excess of the overtime rate except

where necessary to meet minimum pay requirements as

stated in this Agreement.

Opportunity.

A. Opportunity to work at the overtime rate shall be

equalized insofar as practicable within each work

group. Scheduled time, worked on Sundays and

holidays is not covered by this section, but is

rotated in accordance with other provisions of

this Agreement.

B. The Company agrees to utilize the "preferred

overtime list" for contacting eligible employees

for overtime opportunities.

1. Within a work group, overtime should be

assigned, if possible, to those employees who

desire it, utilizing a "preferred overtime" list.

2 3

a. Qualified employees as determined by

management are eligible to place their

names on the “preferred overtime” list.

b. Employees within a work group desiring

overtime assignments shall enter their

names on the "preferred overtime" list.

Addition or deletion of names to or from

this list shall be available on a biweekly

basis, with changes to the subsequent

weeks "preferred overtime" list to be made

prior to 3:00 p.m. on the Thursday

preceding the beginning of a new payroll

period.

c. Call-outs or other nonscheduled, nonconnecting

overtime will be first offered to

qualified persons on the "preferred

overtime" list, however this does not

preclude the Company from offering

overtime to employees not on the

“preferred overtime” list.

d. The cumulative total hours of overtime

opportunity will be reset to zero on each

anniversary of the labor agreement.

e. When qualified employees enter a work

group, when an unqualified employee

becomes qualified or when an employee

returns from a leave of absence

(including STD or WC) such employee

will be assigned hours equal to the

average of the work group at that time.

2 4

f. When an employee places their name on

the “preferred overtime” list, such

employee will be assigned hours equal to

the average of those on the “preferred

overtime” list.

C. The Company has a right to require an employee

to work on overtime, call-out or nonscheduled

assignment.

A. Full-Time Employees. Pay and progression

schedules for full-time employees shall be those

shown in the appendix attached hereto and made

a part of this Agreement.

B. Part-Time Employees.

1. The rate of pay and amount of increase for

part-time employees shall be prorated by

relating his/her hours of work to the normal

workweek.

2. A part-time employee shall receive

progression increases at the same work

experience intervals as a full-time employee.

2 5

The Company shall have the right to determine the starting

rate of each employee and shall assign wage credit as it feels

proper according to the background of the individual being

employed. As the proficiency of an employee is evaluated by

the Company, the rate of pay may be adjusted upward or

downward accordingly.

The effective date for wage increases shall be the beginning

of the payroll period nearest the first day of the calendar

month for employees engaged between the first and fifteenth

days of the month, and shall be the beginning of the payroll

period nearest the first day of the next succeeding month for

employees engaged between the sixteenth and the last day of

the month.

A. If an employee who is absent on account of

sickness or accident for thirty (30) days or less

becomes eligible for a general wage increase or if

the consideration period for a scheduled increase

falls within the period of absence on account of

sickness or accident, the effective date of the

increase shall be the day upon which the

employee returns to work.

B. If the period of absence exceeds thirty (30) days

and the employee becomes eligible for a general

wage increase during the absence, the effective

date of the increase shall be the day upon which

the employee returns to work.

2 6

C. If the period of absence on account of sickness

exceeds thirty (30) days and the employee

becomes eligible for consideration of a scheduled

increase within the period in excess of thirty (30)

days, such increase shall be delayed for a period

equivalent to the absence in excess of thirty (30)

days.

Employees transferred to lower rated jobs, either at their own

request or due to unadaptability on existing assignments, will

receive compensation based on the wage length of service in

the lower rated job and under no circumstances to exceed the

maximum for the lower rated job.

Employees shall be paid a weekly differential for working

scheduled hours which fall wholly or partly within the period

7:00 p.m. to 7:00 a.m. in accordance with the table below:

$60.00 to $69.99 $6.00

$70.00 to $79.99 $7.00

$80.00 to $89.99 $8.00

$90.00 to $99.99 $9.00

$100.00 to $109.99 $10.00

$110.00 to $119.99 $11.00

$120.00 to $129.99 $12.00

$130.00 to $139.99 $13.00

$140.00 to $149.99 $14.00

$150.00 to $159.99 $15.00

(Same pattern for each additional $10.00 of basic wages.)

2 7

Employees in the Network Operations may be designated as

head craft persons from within the affected work group and

assigned the responsibility of working leader. During the

period in which the title is held a differential of seventy-five

cents ($0.75) per hour will be paid for all hours of the

assignment.

When an employee is designated by the Company to

temporarily relieve or to fully perform the functions of an

employee on a higher classification for a period not to exceed

four (4) weeks [thirteen (13) weeks for relief due to

disability, anticipated disability, or newborn child care],

he/she shall be paid a relief differential of $2.80 per session

for each full session (or at least three hours of such session)

of such work performed, except that such differential shall

not result in the base pay of the relieving employee

exceeding the top wage rate for the classification in which

the relief occurs. The time limitation for relief differential

may be extended or waived by mutual agreement between

the Company and Union representatives. The relief

differential does not apply to work provided solely to avoid

lost time during inclement weather.

Employees designated by the Company to act as a coach will

receive a differential of seventy-five cents (.75) per hour for

all hours worked and will not perform their normal job duties

during such assignment unless specifically directed to do so

by the Company. It is recognized that the Company may

from time to time, in its discretion, direct employees

designated as coaches to perform other (non-coach) work;

but such employees will receive the Coach Differential, so

long as they are designated as a coach by the Company.

2 8

On Call Duty may be utilized for all classifications covered

under this Agreement. The Company reserves the right to

designate the areas in which this program will be utilized.

This program will be voluntary if an adequate number of

employees are available. Otherwise, the On Call Duty will

be rotated among qualified employees, as determined by

management.

The following guidelines will be used for application of this

program.

1. The On Call Duty may be rotated on a daily

and/or a weekly basis (Friday at 5:00 PM to

the following Friday at 8:00 AM).

2. Employees on weekly on-call duty will not

be required to perform On Call Duty more

than once per month unless they volunteer.

In no instance will an employee be allowed

to perform weekly On Call Duty more than

twice during a four-week period.

3. If no one volunteers, the On Call Duty will

be rotated among qualified employees, as

determined by management.

4. The Company will contact the On Call

employee by means of wireless

communications designated and provided by

the Company.

5. The On Call employee will be required to

report within one hour of being contacted.

2 9

6. The On Call employee will be paid a weekly

differential of $190.00 effective 12/01/05,

$200.00 effective 12/01/06, and $210.00

effective 12/01/07 in addition to any

compensation for hours worked on call outs

and/or non-scheduled time.

7. On Call periods of less than one week may be

required under certain circumstances. When

required, technicians will be paid a

differential of $26 per day on weekdays and

$40 on holidays. This differential will be in

addition to any call out pay the technician

may earn.

8. On Call employees will normally be used

within their assigned areas. In no instance

will the company require an On Call

employee to travel more than a 50 air mile

radius on a call out assignment.

3 0

inclement weather are, in the opinion of the supervisor,

unable safely to perform their regular work, they shall be

assigned such other work as may be available in order that

their time may be profitably utilized.

above, employees who report for work and who, because of

unsatisfactory or unsafe working conditions that are beyond

the control of the Company, are unable to satisfactorily

perform any work shall be paid for three (3) hours or until

dismissed from duty, whichever time period is greater.

conditions and the observance of all laws relating to fire

protection and safety are of mutual concern to the Company

and the Union.

New Year's Day

Memorial Day

Independence Day

Labor Day

Thanksgiving Day

Christmas Day

When an authorized holiday falls on Sunday, the following

Monday shall be observed as the holiday.

3 1

When an authorized holiday falls on Saturday, the preceding

Friday shall be observed as the holiday except that Operator

Services operating room employees will observe Saturday as

the holiday.

When an authorized holiday falls within an employee's

vacation period, an additional day of vacation shall be

granted and may, unless acute service demands prohibit, be

taken at any time within the vacation year provided that the

additional day is selected not later than Tuesday noon

preceding the posting of the schedule for the week in which

the holiday is to be taken.

A. In the first year of employment, employees hired

granted five (5) personal holidays; employees

granted four (4) personal holidays; employees

granted three (3) personal holidays; employees

granted two (2) personal holidays; and employees

will be granted one (1) personal holiday.

After the first year of employment, personal

holidays shall be earned based on the following

schedule:

1 yr < 2 years 6 personal holidays*

2 yrs and above 8 personal holidays*

3 2

B. All personal holidays shall be scheduled at the

conclusion of the vacation selection process as set

forth in Article 11, Section 2. Personal holidays

may be rescheduled during the un-expired portion

of the calendar year upon the request of any

employee service requirements permitting.

C. Employees may select two (2) personal holidays

in the calendar year individually among the

employees in the workgroup. The selection of

these two (2) holidays will be made by seniority.

Up to 10% of the employees in the workgroup

may select the same day and not be subject to

staffing requirements. If more than 10% of the

employees in a work group select the same day,

then staffing requirements as determined by

management will be the determining factor.

Employees may take two (2) personal holidays (up to

16 hours) in segments of two (2) hours or more in

accordance with paragraph B. above.

3 3

A. For regular employees, the eligibility for vacation

with pay during the calendar year employed is as

follows:

VACATION

EMPLOYEES HIRED ELIGIBILITY

1/1 THROUGH 1/15 10 days

1/16 THROUGH 2/15 9 days

2/16 THROUGH 3/15 8 days

3/16 THROUGH 4/15 7 days

4/16 THROUGH 5/15 6 days

5/16 THROUGH 6/15 5 days

6/16 THROUGH 7/15 4 days

7/16 THROUGH 8/15 3 days

8/16 THROUGH 9/15 2 days

9/16 THROUGH 10/15 1 day

Employees hired after October 16 through December

1. Employees having less than five (5) years of

credited service will receive two (2) weeks

vacation with pay for 80 hours at their base rate

of pay.

2. Commencing in the calendar year in which

employees complete five (5) years of credited

service they will receive three (3) weeks

vacation with pay for 120 hours at their base rate

of pay.

3 4

3. Commencing in the calendar year in which

employees complete fifteen (15) years of

credited service they will receive four (4) weeks

vacation with pay for 160 hours at their base rate

of pay.

4. Commencing in the calendar year in which

employees complete twenty-five (25) years of

credited service they will receive five (5) weeks

vacation with pay for 200 hours at their base rate

of pay.

Personal holiday hours are provided for all

incidental absences from work including but

not limited to incidental absences of five days

or less due to illness/injury. In situations of

FMLA covered absences to care for covered

relatives, the employee will have the option to

take vacation/personal holidays or unpaid time

off.

Vacation and Personal holidays includes both

scheduled and unscheduled vacation and/or

personal holidays. Scheduled vacation and/or

Personal holidays are those hours selected by

the employee in accordance with the vacation

and/or Personal holiday selection process or

other employee requests approved by the

immediate supervisor contained in Section 2 of

this article. Scheduled vacation and/or

Personal holiday hours are included as part of a

regular work week for overtime purposes and

unscheduled vacation and/or personal holiday

hours are not included.

3 5

Unscheduled vacation and/or personal holidays occur when

and/or personal holidays are not included as part of the

regular work week for overtime purposes.

B. In the event an employee takes vacation prior to

accruing it, and resigns from the Company, the

un-accrued vacation time already utilized will be

deducted from the final paycheck.

A. Vacations in accordance with the provisions of

Section 1 may be taken at any time, subject to

service requirements, during the calendar year.

Vacations shall be scheduled five (5) consecutive

days and may be scheduled for two (2), three (3),

or four (4) consecutive weeks. Vacations should

be scheduled to begin on the first working day of

the week. Although vacation normally will be

taken in segments of one week, an employee may

take vacation in increments of one-half day, a day

or more at a time where service requirements

permit, as determined by management.

3 6

B. The selection of vacation time shall be based

upon seniority in each work group. An individual

employee may exercise his/her seniority with

respect to vacation periods only at the time the

vacation schedule for a given work group is

established. If the vacation period is to be split,

seniority may be exercised only on the first

segment until all employees in the work group

have made their selection. Thereafter an

employee may exercise his/her seniority with

respect to the second segment of his/her vacation

as outlined above, and the same procedure shall

be adhered to with respect to any additional

vacation segments.

C. The Company will post no later than November 1

preceding the vacation year a vacation schedule

showing the number of employees in each work

group who can be off during the vacation period,

together with the vacation allowance for which

each is eligible.

D. Starting no later than December 1 preceding the

vacation year the Company will make a

reasonable effort to contact employees, in order

of their seniority, so that they may choose a

vacation period from those available. Employees

not making a selection at the time of contact and

employees with whom the Company was unable

to contact after a reasonable effort to do so, shall

be passed over but shall have the right to make a

selection from the remaining available vacation

periods in accordance with their seniority at any

subsequent time prior to January 1 of the vacation

year. Vacation periods for employees failing to

meet this requirement shall be assigned by the

Company.

3 7

E. Vacations may be rescheduled during the unexpired

portion of the vacation year upon the

request of any employee providing such

rescheduling is consistent with service

requirements.

1. If an employee is on STD the first day of

his/her vacation period, or the first day of any

subsequent full week's segment of his/her

vacation period, to the extent that he/she

would be unable to take vacation, or such

segment, or return to work, the vacation, or

such segment shall be rescheduled upon

his/her request, provided that the employee's

supervisor is notified on the first day of

illness.

2. If reasonable notice is provided his/her

supervisor, an employee who is required to

report for jury or witness duty as described in

Article 17, Section 4.A.1., on the first day of

the vacation period, or the first day of any

subsequent full week's segment of the vacation

period, shall have vacation, or such segment,

rescheduled upon request.

F. Once vacations have been scheduled, they shall

not be changed at the initiative of the company

except in such cases where service requirements

demand such changes or such changes will

obviate the layoff or separation of other

employees. Once vacations have been scheduled,

they shall not be changed at the initiative of the

employee unless such changes are consistent with

service requirements.

3 8

G. Vacation Carryover: The Company agrees to

allow employees covered by the labor agreement

to carry over up to a maximum of one (1) week

(40 hours) of vacation to the following calendar

year. The week of vacation must be scheduled

and is not cumulative. Employees on Short Term

Disability at year-end also will be able to carry

over a maximum of 40 hours of unused vacation

Employees wishing to carry over vacation must

A. Vacation pay for a regular full-time employee

shall be at the basic rate of pay.

B. Vacation pay for regular part-time employees

shall be at the basic rate of pay prorated

according to the average weekly scheduled hours

of the employee during the preceding four (4)

weeks.

Service.

A. An employee who leaves the service on or after

December 26 of the current year shall be granted

pay in lieu of unused vacation time to which

he/she would have been entitled had he/she

remained in service during the subsequent year.

B. An employee is not entitled to pay in lieu of

vacation during a period for which he/she is

receiving a payment on account of disability.

3 9

the Service.

An employee who resumes employment following pension

status, layoff, or a leave of absence (except military leave of

absence) and has not previously received vacation for the

year in which he/she resumes employment shall be eligible

for a vacation when he/she has worked for as much as

thirteen (13) weeks following his/her last paid vacation, to

include eight (8) weeks following his/her return from leave

of absence.

A. An employee who is eligible for sickness benefits

under the Employees' STD Benefit Plan shall

have the option to substitute vacation for

incidental absence.

A. Time spent by an employee in traveling from the

Company designated place of reporting to the job,

and from the job back to such place at the

conclusion of the day's work, shall be considered

as time worked.

B. Time during the scheduled or assigned hours of

an employee which is spent at the direction of the

Company in traveling from one job assignment to

another or from one town to another shall be

considered as time worked.

4 0

C. Time spent by an employee, at the direction of

the Company, in traveling before or after the

hours of his/her scheduled or assigned tour,

which may be described as "all in a day's work,"

shall be considered as worked time.

1. Insofar as it is practicable, the Company will

not require employees to travel on Sundays or

holidays.

When it is to be considered as time worked, travel time shall

be paid for on the same basis as actual work time.

A. The Company shall not pay transfer or moving

expenses when an employee is transferred at

his/her request.

1. The employee shall suffer no loss of regular

pay for reasonable time off to arrange for

suitable housing, the moving of household

furnishings and to make the trip to the new

location.

B. When an employee is transferred at the instance

of the Company from one town to another, he/she

shall be given reasonable notice prior to the

transfer, and reasonable expenses to the employee

in connection with the transfer shall be borne by

the Company.

4 1

2. The employee shall suffer no loss of regular

pay for reasonable time off to arrange for

suitable housing, the moving of household

furnishings, and to make the trip to the new

location.

3. The employee shall be reimbursed, upon

presentation of receipted bills or other

evidence of payment, for actual cost of

transportation, meals, lodging, and other

incidental expenses for the employee and the

members of his/her immediate family residing

with him/her including drayage costs and other

incidental expenses of moving household

furnishings.

4. The employee shall be reimbursed for loss of

unexpired rent or house payment for a period

not to exceed one (1) month except that in

case of undue hardship consideration will be

given to reimbursing the employee for

unexpired rent or house payment beyond one

(1) month but not to exceed three (3) months.

C. Any change in the designation of an employee's

headquarters town shall be considered and treated

as a transfer for the purpose of this section.

A. Employees shall, when required to travel, be

reimbursed for necessary reasonable board,

lodging and other expenses in accordance with

Reimbursement Financial Practice.

4 2

1. An employee entitled to receive such expenses

may elect to make his/her own living

arrangements. In cases where the travel

requires an overnight stay away from the

employee's home, the employee will be paid

an allowance of $70.00 per night in lieu of

such expenses for those meals, lodgings, and

other expenditures which would otherwise be

payable on an actual expense basis.

a. In the case of training schools or group

movements of employees for emergency

reasons, the Company may make suitable

arrangements for lodging and/or meals for

employees involved. If such an employee

elects to make his/her own living

arrangements, he/she will be paid the

allowance otherwise payable under

paragraph 1 above.

2. An employee entitled to receive expenses

incurred during a temporary transfer may elect

to travel on his/her own time to and from

trips from the location of the temporary

assignment to the employee's home and return,

and only on occasions which would have

required an overnight stay had the employee

not elected to return home.

a. An employee on actual expenses or

receiving the allowance of $70.00 per day

who returns to his/her regularly established

home overnight shall be considered to be

on a commuting status for that day on

which the trip home begins and shall be

4 3

paid the commuting allowance of $25.00

for that day.

3. When an employee is authorized by the

Company to travel by means of his/her

personal automobile, the employee shall

receive the mileage allowance authorized by

the Internal Revenue Service, for travel over

the agreed upon route. The employee may be

required to submit evidence that he/she has the

minimum amount of liability insurance

required by State law.

employees will be the net credited service date. Net credited

service as shown on the employee's personnel record will be

controlling. Length of service for part-time regular

employees shall be adjusted on the basis of their hours

worked in accordance with Section 3. shown below. For

seniority purposes only, a break in an employee's net

credited service shall be bridged after the employee has been

continuously employed for a period of one (1) year, thereby

establishing a new seniority date.

During the term of this Agreement, seniority shall be used for

the purpose of assignment of tours as covered by Article 15,

the choice of vacations, transfers at the instance of the

employee or the Company, and for lay-offs and recalls.

allowed during leaves of absence shall apply to seniority; that

is, only thirty (30) days of any leave of absence other than

military or Union leaves of absence will be allowed. Net

credited service and seniority will accrue during layoffs up to

a maximum of six (6) months.

4 4

employees shall accrue seniority credit in accordance with

the following table:

Up to 8 Hours, inclusive 1/5 month

Over 8 hours to 16 hours, inclusive 2/5 month

Over 16 hours to 24 hours, inclusive 3/5 month

Over 24 hours to 32 hours, inclusive 4/5 month

Over 32 hours 1 month

employees entering the bargaining unit with previous

bargaining unit service will have such service immediately

apply as seniority for all uses. In addition, all employees

entering the bargaining unit with previously established net

credited service shall, after one year, have such service apply

for all uses of seniority except for force adjustments.

A. Operator Services employees shall have the

opportunity to exercise their seniority in the

choice of tours within the work group no less

frequently than weekly. The Company in

offering choice of tours reserves the right to make

assignments as may be necessary for compliance

with the law, adequate meeting of service

requirements and necessary training or retraining.

B. Each employee shall exercise choice of tours

from the posted master list of tours in accordance

with seniority.

4 5

C. Tours will generally consist of two (2) four-hour

sessions; however, there will be situations

requiring sessions of three (3) hours and five (5)

hours and/or three and one-half (3 1/2) hours and

four and one-half (4 1/2) hours, separated by a

lunch period of not less than one-half (1/2) hour

or more than four (4) hours except for employees

who work on night tours falling wholly between

9:00 p.m. and 8:00 a.m. Where no lunch period

is provided during the tour, the tour will be

considered as consisting of two (2) four-hour

sessions.

D. Once a schedule assignment is complete, no

change shall be made in the assignment until the

next selection period except where the Company

finds it necessary for service requirements to

revise the schedule in less than one (1) week.

E. An employee returning from leave of absence, or

lay-off or coming in by transfer, or employees

who have their service bridged following the

selection of tours, shall be granted choice of tours

in accordance with their seniority at the next

revision of the schedule or selection as stated in

paragraph 1. of this section.

F. Insofar as service requirements permit, the

Company shall assign tours within the work

group in accordance with preference of

employees in the order of their seniority except

that seniority shall not entitle any employee to

select a tour assigned by the Company to an

operator having less than six (6) months service.

4 6

G. Employees with at least thirteen (13) weeks of

service shall be allowed to choose night tours in

order of seniority except that the operator in

charge must have at least twelve (12) months of

service.

H. Operator Services shall follow the procedures

outlined in paragraphs 1, 2, 3, 4 and 5 of this

paragraph H. in the assignment of tours of

operating room forces.

1. At the time of posting the master list of tours,

the Company shall also post for each work

group the names and seniority dates for all

employees. An employee who will enter the

work group or report to the work group when

it is known in advance will be included on the

list.

2. Employees who return from leave of absence

or vacation or who are transferred into the

work group shall be placed on the seniority list

in time for a selection of tours option which

may be exercised no later than noon on the

first Monday following the entry into the work

group.

3. Employees entering or returning to the work

group who have not been assigned in the

current weekly work schedule shall be

assigned any available tours for the current

week.

4. After the weekly schedule is posted,

employees who relieve in a higher rated job

shall assume the hours assigned to the person

being relieved.

4 7

5. Operator Services employees shall have the

same seniority rights in expressing a

preference for tours on holiday, Saturday and

Sunday schedules as they have in expressing a

preference for tours on the weekday schedule

and shall be given an opportunity to state this

preference when the tour selections are made

from the master list of tours.

I. Employees who wish to change their preference

for choice of tours may do so as follows:

6. Weekday and Saturday Tours - An employee

may change his/her request for choice of tours

on weekdays and Saturdays by submitting to

the Manager-Operator Services a request

specifying the changes desired. Such request

shall be submitted no later than 5:00 p.m. on

Monday of the week preceding the week in

which the change is to become effective.

7. Sunday Tours - An employee may change

his/her request for choice of tours on Sunday

by submitting to the Manager-Operator

Services a request specifying the changes

desired. Such request shall be submitted no

later than noon on Friday of the second week

preceding the week in which the change is to

become effective.

8. Holiday and Separate Schedule Tours - An

employee may change his/her preference for

choice of tours on holiday or other separate

schedules by submitting to the Manager-

Operator Services a request specifying the

changes desired. Such request shall be

submitted no later than noon on Tuesday of

4 8

the second week preceding the week in which

the change is to become effective.

A. Insofar as service requirements permit, the

Company shall assign tours within the work

group in accordance with the preference of

employees in the order of their seniority no less

frequently than every four (4) weeks. The

Company reserves the right to make assignments

as may be necessary for compliance with the law,

training or retraining and to determine the

particular job classification experience level, or

specialized training required for the tours being

assigned.

1. When scheduled Saturday day tours (falling

the assignment to work on Saturday will be

rotated among all qualified employees in the

same group who work at the same location(s)

and who normally work day tours during the

week. The hours of such tours will be

assigned by the Company.

B. Each employee shall exercise the choice of tours

from the posted schedule in accordance with

seniority.

C. Tours will generally consist of two (2) four-hour

sessions; however, there will be situations

requiring sessions of three (3) hours and five (5)

hours and/or three and one-half (3 1/2) hours and

four and one-half (4 1/2) hours, separated by a

lunch period of not less than one-half (1/2) hour

except for employees on night tours falling

wholly between 4:00 p.m. and 8:00 a.m. Where

4 9

no lunch period is provided during the tour, the

tour will be considered as consisting of two fourhour

sessions.

D. Once a schedule assignment is complete, no

change shall be made in the assignment until the

next selection period except where the Company

finds it necessary for service requirements to

revise the schedule to less than four (4) weeks.

For each such revision, the opportunity to

exercise preference for choice of tours will be

afforded.

E. An employee returning from leave of absence, or

layoff or coming in by transfer, or employees

who have their service bridged following the

selection, shall be granted choice of tours in

accordance with their seniority at the next

revision of the schedule or selection as provided

above.

F. Not more than four (4) weeks prior to the

effective date of a new schedule the Company

will post the schedule notice for the work group.

The notice shall state the effective date of the

new schedule and the date for submitting

preference.

2. At the time of posting the schedule the

Company shall also post for each work group

the names and seniority dates, as of the date of

schedule revision, for all employees. An

employee who will enter the work group or

report to the work group when it is known in

advance will be included on the list.

5 0

3. An employee on vacation or leave of absence

who is expected to return on or before the

effective date of the new schedule, or an

employee who has not indicated a preference

will be assigned in accordance with the

employee's last previously expressed

preference, if such tour is available. If no

preference has been expressed and the tour

previously held is not available, any similar

available tour will be assigned.

4. Employees who return from leave of absence

or vacation or who are transferred into the

work group after the effective date of the new

schedule shall be placed on the seniority list

immediately after the last employee who has

exercised a preference.

5. Employees entering or returning to the work

group who have not been assigned in the

current weekly work schedule shall be

assigned any available tours for the current

week.

6. After the weekly schedule is posted,

employees who relieve in a higher rated job

shall assume the hours assigned to the person

being relieved.

7. The posted schedule notice for submitting

preference shall include only the names of

employees who, in the judgement of the

supervisor concerned, are qualified as a result

of experience and training to satisfactorily

perform their job assignments with minimum

assistance and supervision. Only those

employees whose names are so listed shall be

eligible to choose tours.

5 1

8. The posted list shall not be required in work

groups of less than four (4) employees.

A.

1. When the Company determines that it should

fill a vacancy that occurs within this

bargaining unit, the Company shall post upon

designated bulletin boards or electronically

and will notify the President of the four local

unions. This notice shall state the position

available, range of pay rates for that position,

exchange location, name of supervisor, and

qualifications required (including any tests,

which must be passed in order to qualify for

such position or other prerequisites for that

position). Such notice shall remain posted for

a period of seven (7) calendar days, and

employees in this bargaining unit who desire

to bid for that position should submit a job

interest form (electronically or via fax),

supervisory approval not required, within the

seven (7) calendar day period. After the

seven (7) calendar day period, the Company

shall remove the posting and shall notify the

successful bidder, if any, within twenty one

(21) calendar days of the removal of the

posting. In addition, the Company shall

notify all unsuccessful bidders of the

successful bidder's name and bargaining unit

seniority date, if applicable. If, after a notice

has been posted in accordance with this

Section, the Company decides not to fill the

5 2

vacancy or vacancies, all bidders shall be

notified of such decision.

2. Nothing in this Agreement is to be construed

as prohibiting the Company in filling job

vacancies from giving consideration to

employees who do not submit requests under

the provisions of paragraph A.1.

3. Notwithstanding other provisions of this

section, an employee who submits a bid or

letter of request of transfer to a different and

specific job location in the same job title as

that held on the date of the bid or request or

to a job title in which the employee is

currently fully qualified and for which no

further training is required, shall be given

consideration equal to that given an

employee who submits a bid or request for

upgrading, provided that the conditions and

terms of Section 2 are met.

4. If the job cannot be filled by upgrading or

transfer as provided by paragraph A.3. of this

section, the Company may fill the opening

from new hires.

B. The Company will give consideration to requests

to an equally or lower rated job and an employee

who desires to be transferred should notify

his/her supervisor in writing of the job title and

location to which he/she desires to be transferred.

A request for lateral transfer will be valid for a

period of six (6) months from the date the request

is first made. The Company will determine

whether employees who make such requests are

qualified for the job vacancy.

5 3

Employee.

A. Consideration shall be given to the request of an

employee for transfer as set forth in this article

provided: (1) that it is based on good and

sufficient reason as determined by management;

(2) service requirements in the exchange or on the

job from which the transfer is to be made will

permit it; and (3) that the employee's

qualifications as determined by management are

such that his/her services may be profitably used

in the exchange or on the job to which he/she

wishes to transfer.

B. An employee who wishes to return from a leave

of absence to a job title formerly held by that

employee shall take precedence over an employee

who seeks a transfer under the provisions of

Sections 1. and 2. of this article.

C. Where more than one employee who is qualified,

in the opinion of management, has requested a

transfer to the vacancy, seniority shall prevail.

D. When an employee is selected for a job vacancy

and job requirements preclude his/her immediate

release, the employee shall be transferred to a

similar vacancy as soon as his/her replacement

can be found and trained.

E. When an employee is transferred to a job title

having a lower wage guide, his/her rate of pay

shall not be reduced if it is not above the

maximum rate for the new job title. If his/her

rate is above the maximum in the new job title,

his/her rate shall be reduced to that maximum.

5 4

F. When an employee is transferred to a job having

a higher maximum rate, the employee shall suffer

no reduction in pay. The value of any previous

experience of the employee as related to the new

assignment shall be determined solely by

management.

G. Where an employee has transferred pursuant to

the provisions of this section, and the Company

determines that such employee fails to perform

his/her new job satisfactorily within ninety (90)

days of the transfer, the Company may either (1)

retransfer him/her to his/her former job or its

equivalent if one is available, or (2) it may

demote him/her to a lower rated classification if

one is available, or (3) place the employee on

leave of absence pending availability of a suitable

job.

H. Normally, an employee granted a transfer under

the provisions of this article shall not be granted

another transfer for a period of one (1) year

[except for transfers and new hires into the

Network Switching Technician, Business

Services Technician, and Utility Locator

classifications - eighteen (18) months].

I. Hardship transfers shall be considered on a case

by case basis. They shall be for good and

sufficient reasons and mutually agreed to by the

local President (having jurisdiction over the job

being filled) and the appropriate Company

representative.

5 5

A. When a job is to be filled by transfer to another

job having the same classification among Union

represented employees within the Company, the

job will be offered to qualified employees in their

order of seniority. In the event no one accepts the

job, it shall be filled by transferring the junior

employee, in the exchange from which the

transfer is to be made, who is qualified.

If the new principal exchange is over fifty (50)

miles from the original principal exchange, then

the employee is not required to accept the

transfer.

B. When an employee is transferred at the instance

of the Company to a job title having a lower wage

guide, his/her rate of pay shall not be reduced if it

is not above the maximum rate for the new job

title. If his/her rate is above the maximum in the

new job title, his/her rate shall be reduced to that

maximum.

C. When an employee is transferred to a job having

a higher maximum rate, the employee shall suffer

no reduction in pay. The value of any previous

experience of the employee as related to the new

assignment shall be determined solely by

management, both at the time of transfer and in

the future.

Temporary assignment of an employee to perform work in

the same job classification to meet service needs at a location

other than the regularly assigned work location shall not be

5 6

considered as a transfer and seniority shall be observed

among qualified employees.

Disabled Employee.

When an employee becomes physically unable to perform in

his/her assigned job title but is able, in the opinion of

management, to perform in a less physically demanding job

classification, management may offer the employee

employment in such job vacancy. Under such conditions the

requirements of Section 1. of this article will not apply.

It is understood and agreed that all job vacancies for job titles

listed on CWA CTT Weekly Wage Guide 9 need not be

filled under the provisions of this article and that this article

shall not preclude the Company from offering employment

for such job vacancies.

Union)

A. Insofar as service requirements permit, leaves of

absence without pay for good causes and of

reasonable length, will be granted to regular

employees under the conditions set forth in this

Article. The intention of the employee with

respect to return to work shall be established in

writing between the employee and the

Company.

5 7

1. Leaves of absence of thirty (30) days or less

(departmental leaves of absence) may be

granted by the department head concerned.

2. Leaves of absence in excess of thirty (30)

days (formal leaves of absence) may be

granted.

B. Leaves of absence without pay granted under

this Article shall be in one of the following

categories:

School 1 Year 4 Years

Armed Forces

Training

(See Section 7) Duration of Svc.

generally 6 Mos.

Military (See Section 7) Duration of initial

service obligation

Personal Leave Under 2 years

2 to 5 years

Over 5 years

6 Months

1 year

2 years

Newborn

Child Care

3 Months

(a) Eligibility for Leave of Absence for Care of

Newborn Children –

Employees who have just completed a period

of disability associated with childbirth and

which disability period did not extend beyond

three months following delivery qualify for

this Leave. Employees who have not

completed a disability associated with

childbirth must provide satisfactory evidence

of a direct association with newborn children

to qualify for the Leave. “Direct association,”

means either children under three months of

age on the day prior to the day the Leave for

care of newborn children is to commence.

5 8

(b) Period of Leave of Absence for Care of

Newborn Children –

This leave may be granted for a period of up to

three months. The starting date will be at the

end of the disability payment period associated

with childbirth, the starting date of the Leave,

with the approval of the Company, will be at

such time an employee who meets the

eligibility requirements for such a Leave

requests.

(c) Reimbursement of Insurance Premiums –

Coverage under the company’s health

insurance and dental plans will be extended

to employees on Leaves for Care of

Newborn Children at employees’ expense if

they were eligible for such coverage prior to

going on Leave. The company shall upon

application by the employee reimburse the

employee for the Company’s contribution

to the health insurance and dental plan

premiums paid by the employee for the

month in which the disability began.

(d) Service Credit – Employees granted Leaves

of Absence for care of Newborn Children

shall receive service credit for the first

thirty (30) days of Leave if they return to

work.

(e) Reinstatement from Leaves of Absence for

Care of Newborn Children- Employees

granted such Leaves shall be entitled to

guaranteed reinstatement to the same job or

one to similar status and pay three months

following the date of birth of the natural or

adopted child. If upon application for

5 9

reinstatement prior to the end of the three

month period following delivery a position

of the like status and pay for which the

employee is qualified is not available,

reinstatement may be deferred until a

position is available, but in no case shall

reinstatement be deferred beyond three

months following delivery. Reinstatement,

as provided in this section, shall, however,

be subject to force requirement adjustments

which may have occurred because of

technological changes which took place

during the employee’s absence on leave.

C. Miscellaneous paid absences

1. Jury Duty and Subpoenaed Witnesses. If

reasonable notice be given his/her supervisor,

an employee shall suffer no loss of base pay

for the time necessarily consumed in the

performance of jury duty and no deductions

shall be made for any amount of monies

received from civil authorities. While

employees will not receive pay for time

missed while serving as a witness, duly

subpoenaed witnesses will be allowed time

off without pay; and such time off will not be

counted as a chargeable occurrence under the

attendance program.

2. Quarantine. Absence due to unavoidable

quarantine by the health authorities or a

physician designated by the Company shall

be subject to the same treatment absence due

to personal illness, provided under Section 2

of this Article.

6 0

3. Deaths – In the case of death in the family of

an employee, excused time off with pay for

scheduled time, will be granted as follows:

Up to five (5) days of paid leave for a death

in the immediate family, defined as:

Spouse

Parents (including step-parents)

Child (including step-children)

Sibling (including stepbrother or stepsister)

Up to three (3) days for other covered

relatives or household of such employee

defined as:

Aunt Uncle

Niece Nephew

Grandparent Grandchild

In-law (including mother, father, son,

daughter, brother, sister, grandparents)

“Household of employee” includes persons

who regularly make their home with the

employee as a part of the family.

Such time off will begin on the day of the

death and may extend through the day

following the funeral.

The Company shall be given reasonable

notice prior to intended absence or funeral

leave. In no case will payment be granted in

lieu of time off nor will payment be made if

death and funeral occur during non-work

time. If a death or funeral of a member of the

employee’s immediate family occurs during

the employee’s vacation, the employee will

be allowed to use funeral leave and

6 1

reschedule the remainder of his/her vacation

if time and service requirements permit.

4. Voting. If reasonable notice be given his/her

supervisor, an employee shall suffer no loss

of regular pay for time necessarily consumed

in voting in any federal, state, municipal, or

county elections, if the polls are not open

during the employee’s off hours, or if the

employee does not have sufficient time to

reach the polling place before or after his/her

scheduled work hours.

5. Blood Donors. Employees who volunteer to

donate blood to individuals or through the

facilities of a blood collecting unit may be

excused with pay for the time required to

donate blood, not to exceed two (2) hours.

It is the Company’s and Union’s intention that the

leave policy set forth in this article comply in all

respects with the Family and Medical Leave Act.

Leaves of Absence without pay granted under this

Section shall be in one of the following categories.

A. Leave of Absence due to employee illness or

accident. Regular employees whose illness or

injury requires that they be absent from work are

entitled to a Leave of Absence up to 12

workweeks. A medical certification shall be

required to obtain or extend a medical Leave of

Absence. An employee returning from a Leave

of Absence for the employee’s illness or injury

shall be required to furnish a fitness for duty

statement prior to assuming his/her job duties.

6 2

B. Leave to care for a newborn or newly adopted or

newly placed foster child. A regular employee

shall be entitled to a Leave of Absence up to 12

workweeks to care for a newborn child or to

care for an adopted or foster child who has been

placed with the employee. A leave for this

purpose must be taken during the 12 month

period beginning on the date of the birth or

placement and may not be taken on an

intermittent or reduced schedule basis.

C. Leave of Absence to care for a spouse, parent or

child with a serious health condition. Regular

employees will be entitled to a Leave of

Absence of up to 12 workweeks to care for their

spouse, child or parent when that individual has

a serious health condition. A Medical

Certification shall be required to obtain a Leave

of Absence for this purpose.

D. Maximum duration. Leaves of Absence to care

for a newborn or newly adopted/placed child

and Leaves of Absence to care for a spouse,

child or parent with a serious health condition,

shall not exceed a total of 12 workweeks in any

12-month period either individually or

aggregated with other Leaves of Absence

granted pursuant to this section.

E. Notice required. If the need for a family or

medical leave is foreseeable, the employee must

give 30 days notice to the Company. If such

need is not foreseeable, the employee must give

as much notice as possible.

F. Pay while on leave. Employees who are on

Leaves of Absence due to their own personal

illness or injury may be entitled to sickness or

6 3

accident benefits pursuant to Section 3. Other

Leaves of Absence taken pursuant to this section

will be without pay, except that if an employee

has qualified for vacation pay, prior to

commencing the leave, he or she shall be

required to use such vacation during the Leave

of Absence.

A. Effective with the first payroll period beginning

three months after ratification, the Company

agrees to provide accident and sickness benefits

for all regular employees on a non-contributory

basis, provided, however, the Company

reserves the right to change insurance carriers

or to establish other arrangements for accident

and sickness benefits, so long as it maintains all

present benefit practices, except scheduled

benefits. The provisions of the Accident and

Sickness Benefits Plan shall govern in all

matters pertaining to accident and sickness

benefits.

1. Any eligible employee receiving benefits

under a previous plan on the effective date

will continue to receive benefits under that

plan until either of the following first occurs:

(a) exhaustion of benefits

(b) the employee returns to work on his/her

regular work schedule.

2. To be a participant covered by the A&S

Benefit Plan an employee must:

6 4

(a) complete 1 year of employment not

counting time lost for illness, injury, or

employee initiated non- paid absence.

(b) be a regular full-time (scheduled to work

40 hours per week) or regular part-time

(scheduled to work at least twenty hours

per week).

3. Personal holiday hours are provided for all

incidental/STD waiting period absences from

work. The employee will have the

opportunity to elect whether to take personal

holiday hours or an unpaid absence. If the

employee opts to use available vacation

and/or personal holidays it is not reinstated

with the eligibility of Worker’s

Compensation benefit.

B. Employees qualify for STD benefits when they

are participants who cannot work at their usual

job due to an illness or injury incurred, either

on or off the job; and satisfy the requirements

as outlined in this Article.

C. STD benefits begin on the sixth scheduled

work day of illness or injury for participants

who miss consecutive workdays for a period of

at least their regular workweek. STD benefits

for occupational illness/injury begin on the

sixth day of illness/injury.

1. Written medical certification will be required

for any STD qualifying absence. Absences of

a shorter duration will be considered as

incidental absence and not a part of STD. At

the Company’s discretion, medical

6 5

certification, including an IME, may be

required for such absences.

2. The employee is solely responsible for

providing medical certification when

requested by the Company. The Company

may, at its own expense, require a subsequent

evaluation or second opinion(s).

D. Employees do not qualify for STD benefits if:

1. they engage in any activity which is

inconsistent with the application for STD.

2. the physician or counselor is not licensed by

the state where treatment is received.

3. cosmetic surgery is performed except when

medically necessary.

4. they refuse restricted or temporary alternate

(light) duty assignments that are in

compliance with work restrictions while

receiving STD benefits; or

5. the illness or injury is caused by armed

conflict, results from committing a felony or

attempted felony, occurs while engaging in

an illegal activity, or is intentionally selfinflicted.

E. If employment is involuntarily terminated due

to reasons including but not limited to

reduction in work force, resolution of a

Workers’ Compensation claim, plant/office

closure, etc., while the employee is receiving

STD benefits, the employee may continue to

receive benefits until either the benefits are

6 6

exhausted or the employee’s doctor (or the IME

doctor) states the employee can return to work.

If employment is involuntarily terminated for

just cause, STD benefits may be terminated

immediately.

1. Other company benefits will cease as

provided by each program. The Company

may suspend or deny STD benefits if the

employee fails to submit all

forms/documentation as required, or if the

employee does not comply with a Company

request for an IME.

2. Failure to qualify for STD benefits does not

preclude application for unpaid leave under

the Family and Medical Leave Act (FMLA).

F. An employee may become or remain eligible

for temporary restricted STD Benefits for a

partial schedule if the certifying physician’s

opinion, or an IME physician’s opinion,

indicates a return to work in a temporary

restricted duty capacity is permissible and the

Company is able to accommodate the

restrictions. Temporary restricted schedule

STD benefits are paid when an employee

misses portions of a workday or works a

shortened workweek (partial schedule) due to

illness or injury incurred on or off the job. The

physician must state that the partial schedule

will be temporary – no more than 90 days.

3. The restricted duty schedule must be

consistent with the business unit’s permitted

schedules. The duration of the temporary

restricted schedule will be at the Company’s

6 7

discretion, but in no case will it be longer

than 90 days.

G. Employees released to a full work schedule

with work restrictions may be allowed to

perform temporary alternate (light) duty

assignments at the Company’s discretion.

Light duty assignments are permitted provided

there is meaningful business unit work

available to be performed which does not

violate the stated medical restrictions; and the

prognosis from the treating physician (or IME)

clearly indicates the employee will be able to

return to his/her normal job duties within

ninety (90) calendar days from the initiation

date of light duty.

H. Application for non-occupational injury/illness

related STD benefits must be submitted on

properly completed Company forms and must

be signed as directed. The forms will require a

physician’s written certification of inability to

work to include the specific diagnosis,

prognosis, expected date of return and any

work restrictions which may apply.

1. The Company may suspend or deny STD

benefits if proper certification is not received

the date the forms are provided to the

employee.

2. When foreseeable, requests for absences

should be submitted at least thirty (30)

calendar days prior to the planned absence.

In all cases, required forms should be

returned as far in advance as possible.

6 8

I. Independent Medical Examination

The Company may, at its own expense, require an

independent medical examination (IME) and

certification by a second physician at any time

during an illness/injury period. If the IME

physician’s determination does not support the

need for time away from work, the pay for

incidental absence or STD benefits will cease.

A third opinion may be requested by the employee

at their own expense to resolve the conflict of

opinion. The third examination and certification

must be performed by a physician mutually

agreeable to the Company and the employee. The

third opinion is final and binding. If the results

support the initial certification, pay for incidental

absence and/or STD benefits will be reinstated

retroactively and the Company will assume

responsibility for the payment of the third opinion.

When there is evidence of fraudulent activity/abuse

related to the illness/injury absence, pay for

incidental absence or STD benefits may be

suspended while an IME is pending. An

employee’s failure to cooperate or to maintain

scheduled appointments for a second or third

opinion will result in the suspension of pay for

incidental absence or STD benefits.

If the initial disability qualification is not sustained

by the second or third opinion, the employee must

return to work unless qualified for an unpaid

FMLA leave. Failure to return to work other than

while on FMLA leave will result in termination for

job abandonment.

6 9

As a condition of this STD Policy, employees must

give their consent for their treating doctor to

provide information about their condition to the

Company or to an IME doctor.

J. Benefits may be paid up to a maximum of

twenty six (26) weeks. The amount of pay

percentage of “base salary”. Base salary for the

purpose of determining the appropriate STD

benefit will be based on the rate of pay in effect

on the last regular scheduled workday prior to

cessation of active work. Base salary does not

include incentive compensation, overtime, shift

differential or other special payments or

calculations.

1. The STD benefit is either sixty percent (60%)

or one hundred percent (100%) of base

salary. The percentage paid is based on the

length of service with the Company. An

employee’s service anniversary date

determines the timeframe for which an

employee can receive benefits. The

following STD benefit payment schedule is

based on completed years of service as

determined by the employee’s system

anniversary date.

2. A higher level of benefits does not take place

if an employment anniversary occurs before

the employee works one hundred eighty two

(182) days after any STD benefit usage.

7 0

If your service is: Benefits are 100%

Base Rate Pay for:

Benefits are 60% of

Base Rate Pay for:

Less than 1 year 0 Weeks 0 Weeks

1 Yr but < 2 yrs 2 Weeks 24 Weeks

2 Yrs but < 3 yrs 4 Weeks 22 Weeks

3 Yrs but < 4 yrs 6 weeks 20 weeks

4 Yrs but < 5 yrs 8 weeks 18 weeks

5 Yrs but < 6 yrs 10 weeks 16 weeks

6 Yrs but < 7 yrs 12 weeks 14 weeks

7 Yrs but < 8 yrs 14 weeks 12 weeks

8 Yrs but < 9 yrs 16 weeks 10 weeks

9 Yrs but < 10 yrs 18 weeks 8 weeks

10 Yrs but < 11 yrs 20 weeks 6 weeks

11 Yrs but < 12 yrs 22 weeks 4 weeks

12 Yrs but < 13 yrs 24 weeks 2 weeks

13 Yrs or more 26 weeks 0 weeks

3. STD benefits cease when either the employee

is released to return to work or benefits

exhaust.

4. Successive periods of non-occupational

disability shall be counted together as one

period in computing the period during which

the employee shall be entitled to benefits. In

the event an employee returns to work after a

period of non-occupational disability and is

again absent on account of the same nonoccupational

illness within 30 days of said

return, any benefits on account of such

further illness shall begin on the first day of

absence.

K. Employee STD benefits are coordinated with

workers’ compensation benefits for wage

replacement. Employees receive the maximum

payment available under either this plan or the

workers’ compensation state statute, but not the

total sum of both benefits.

7 1

L. Once the employee has met the State waiting

period for workers’ compensation, the

Company’s designated Third Party

Administrator (TPA) will issue a check for the

workers’ compensation benefit, which is the

TTD or TPD (temporary total disability or

temporary partial disability). Once the

employee has met the STD waiting period, they

for the difference between the TTD amount, up

to a maximum of 85% of their gross weekly

salary.

M. If it is determined that the employees STD

benefit of 60% is less than the workers’

compensation benefit from the insurance

they will only receive a check from the TPA.

maintained and benefit deductions will

suspend. Upon return to work, the suspended

deductions will automatically be taken out of

the employee’s paychecks on a pre-tax basis. If

for some reason the employee does not return

to work, they will be required to reimburse

premiums and for co-payments for all other

while on leave. Special arrangements must be

made for payment of savings plan loans or

stock payments with the Benefits Department.

N. Overpayments occur when the employee is paid

more STD benefits than they are entitled to

receive. The Company will recover

overpayments by offsets against future

payments or any other method permitted by

7 2

applicable law. All other programs or policies,

including but not limited to occasional sick

time, departmental sick time, etc., previously

provided, are terminated on the effective date

of this policy.

O. When non-occupational illness or injury keeps

an employee from working at his/her regular

work schedule after a return from an STD

benefit period, further benefits are paid as

shown:

IF …………………. THEN ………………..

An employee returns to

work on his/her regular

work schedule for less than

one hundred eighty two

continuous days….

STD benefits begin

immediately at the benefit

level which applied when

the employee returned to

work.

An employee returns to

work on his/her regular

work schedule for at least

one hundred eighty two

continuous days….

The STD benefit level is

reinstated in total,

according to the payment

schedule.

1. When occupational illness or injury prevents

employees from working, the above

reinstatement schedule does not apply as

benefits are paid on a per injury/illness basis.

2. Vacation, holidays, bereavement, jury duty

and other excused paid time is included in

one hundred eighty two (182) days benefit

reinstatement periods.

7 3

P. An employee’s job is normally held available

during the period of paid STD benefits. If

medical documentation indicates an employee

will not return to work upon exhaustion of STD

benefits, the employee (with medical

certification indicating prognosis on

employee’s ability to return to work) may be

placed on an excused, unpaid absence for up to

90 days, but unused vacation or personal

holidays shall be substituted during this unpaid

absence.

The total period of absence associated with the

illness or injury, including paid STD benefits,

excused unpaid absence (or vacation/personal

holidays substitutions), unpaid leave of absence,

and Family and Medical Leave Act entitlement

(if available) shall not exceed 40 weeks.

Earned, embedded, and banked vacation time, if

available, may not be used to extend the STD

absence beyond 26 weeks. Any earned, but

unused vacation will be paid in lump sum at the

end of the STD period. When this period of

absence ends, employment will be terminated.

Employment is terminated when an employee

cannot return to work after a total absence of 27

weeks (excluding any approved leave of

absence).

Long-term disability, if applicable, and/or

retirement benefits may be available as

described in the applicable Summary Plan

Description.

Q. If any portion of your claim is denied, you may

appeal by submitting a written reconsideration

request to the local Benefits Manager. Your

7 4

request must be submitted within 30 calendar

days after you receive the denial. You must

include the reasons you believe the denial was

improper as well as any additional information,

material, or comments you consider

appropriate. You may reference or review

pertinent policy documents.

The Benefits Manager must review and respond

to your request within 30 calendar days after

receiving it. The decision must be written and

specify the reasons and applicable plan

provisions. If your claim is denied by the

Benefits Manager, you have the right to further

appeal to the following:

Your request must be submitted within 30

calendar days after you receive the Benefits

Manager’s denial. You must include the reasons

you believe the denial was improper as well as

any additional information, material, or

comments you consider appropriate. You may

reference or review pertinent language of the

Plan.

7 5

The Director must review and respond to your

request within 60 calendar days after receiving

it. If more time is needed, you will be notified

within the 60-day period. The decision must be

made within 90 calendar days after the Director

receives your request. The decision must be

written and specify the reasons and applicable

plan provisions. The Director’s decision is

final.

A. Excusals for Military Duty

1. Employees who are members of the National

Guard, or reserve components of the Army,

Navy, Air Force, Marine Corps, or Coast

Guard, and who are excused when called out

with their military units for normal training

periods or emergency service or when ordered

to participate individually in training activities

shall be paid the amount, if any, by which

their basic company pay exceeds government

pay. For this purpose, government pay will

include basic pay, pay for special or hazardous

duty and, for those with dependents the

difference between quarters allowance

established for members of the uniformed

services with dependents and those established

for members of the uniformed services with

equal rank without dependents.

2. Requests to be excused for military training or

duty involving absences of more than two (2)

weeks in any one (1) year will be considered

individually.

7 6

3. It is not the intent of any of the foregoing to

provide such payments for more than ten (10)

workdays in any one (1) year, unless such

payments are approved by the president or

vice president.

4. Participation in active training or emergency

duty under the conditions outlined above shall

not affect the regular vacation to which the

employee may be entitled.

No payment beyond five (5) full days basic pay shall be

made for absence from duty during any calendar week.

Paid excused time shall not be considered as time worked

when computing overtime payments, except as provided by

Article 7, Section 10.D.

A. General

a. Military Leaves of Absence or Armed Forces

Training Leaves of Absence, referred to as

"Military Leaves" for the purpose of these

instructions will be granted to regular and

temporary employees entering on active duty

with the Armed Forces of the United States,

on or after June 27, 1950.

b. For the purpose of this section, temporary

employees shall include all temporary

employees within the meaning of these

instructions, except those who leave a

7 7

"temporary position" within the meaning of

the Military Selective Service Act as amended.

c. For the purpose of this section, the term

"Armed Forces" shall include the Army, the

Air Force, the Navy, the Marine Corps, the

National Guard when ordered into Federal

Service, and the U.S. Coast Guard.

d. Active duty, as used herein, means active duty

for training and service and does not mean

periods of duty entered upon solely for the

purpose of active duty for training.

e. Military Leaves shall cover the period of

absence in the Armed Forces, subject to the

conditions and limitations hereinafter stated.

B. Reemployment

1. All employees who are granted, or who have

been granted heretofore, Military Leaves to

enter the Armed Forces and who have

reemployment rights under the appropriate

Act, and all others who have such

reemployment rights will be re-employed in

accordance with the provisions of the

appropriate Act as now written and as it may

be changed.

2. Employees granted Military Leaves who have

reemployment rights under the appropriate Act

and who do not apply for reemployment

within the specified period shall be considered

as resigned and the Military Leave terminated.

7 8

C. Status Under the Benefit Plan.

1. Employees re-employed by the Company, in

accordance with paragraph B.1. above, will

receive full net credited service credit for the

period of absence in military service.

D. Pay Treatment

a. Employees, except those described in

paragraph 2. below, who are granted Military

Leaves to enter the Armed Forces will (where

their Company pay is greater) receive the

difference between their Company pay and

their government pay, as defined in paragraphs

3. and 4. below, for the first two (2) weeks of

military service.

b. Employees granted Military Leaves with one

(1) or more years of net credited service and:

(1) who are inducted into the Armed Forces

under the Act, or (2) who are subject to

induction under the Act and enlist for the

minimum period permitted by the branch of

the Armed Forces in which the enlistment

occurs, or (3) who are members of the Reserve

Components of the Armed Forces, including

the National Guard, and are ordered or called

into active duty other than on the basis of

voluntary action initiated by the employee,

will receive (where their Company pay is

greater) the difference between their Company

pay and their government pay, as defined in

paragraphs 3. and 4. below, for the first three

(3) months of military service or for any

shorter period of such service.

7 9

c. For the purpose of paragraphs 1. and 2. above,

government pay will include basic pay, pay for

special or hazardous duty and, for those with

dependents, the difference between quarters

allowance established for members of the

uniformed services with equal rank without

dependents.

d. Government pay for the purpose described in

paragraphs 1. and 2. above, shall be

determined in accordance with paragraph 3.

above, at the time of entry into the Armed

Forces and the rate so determined shall be

used in computing the payments to be made

by the Company for the first two (2) weeks or

three (3) months of service in the Armed

Forces, as the case may be. Company pay for

this purpose will be based upon the basic rate

in effect at the time of the employee's entry

into the Armed Forces.

E. Payments on Behalf of Dependents

a. Following completion of the payments

provided in paragraph D. above, employees

who are granted Military Leaves, regardless of

their length of net credited service, and (a)

enter the Armed Forces under conditions

described in paragraph D. 2. above, and (b)

who have spouses and/or dependent children

under eighteen (18) years of age at the

commencement of the Military Leave, will

receive for a further period of three (3) months

the difference between their Company pay and

their government pay determined as of the

beginning of such three (3) months additional

period. Government pay for this additional

period shall be an amount computed in

8 0

accordance with paragraph D. 3. above, plus

any family allowances provided by law.

Company pay for this purpose will be based

upon the basic rate in effect at the time of the

employee's entry into the Armed Forces. Such

employees who have only dependents other

than spouses or children under eighteen (18)

years of age at the commencement of their

Military Leave shall, upon submission of

proof of dependency, receive special payments

from the Company not to exceed those

provided for dependents herein.

F. Vacation Treatment

a. Employees entering active duty in the Armed

Forces will be given such vacations to which

they are entitled. A lump sum payment in lieu

of any unused vacation to which an employee

may be entitled at the date on which the leave

begins, shall be made at that time.

b. Upon being re-employed after returning from

Military Leaves, employees shall receive any

vacation to which they are entitled to the

extent that such vacation may be taken within

the current calendar year.

G. Concession Telephone Service

When an employee is granted a Military Leave,

concession telephone service shall be continued

8 1

H. Payroll Deductions

All payroll deductions authorizations will be

cancelled as of the date on which the leave begins.

I. Application of Pay Treatment Where an

Employee Reports for Military Service More

Than Once

1. If an employee has received payments under

paragraph D. or E. of this section and returns

to the employee of the Company and

thereafter within twelve (12) months of his/her

return is granted another Military Leave

pursuant to this section, he/she will receive

such pay in connection with such subsequent

Military Leave as provided for under this

section, less the total amount of payments

made in connection with such previous

Military Leave.

2. The amount of pay provided by this Section

for an employee granted a Military Leave will

be reduced by payments, if any, made (for

absences during the sixty (60) days prior to the

effective date of the Military Leave) to such

employee pursuant to Section 4.B., Article 17

of this Agreement.

A. Informal Leaves.

Subject to the needs of the service, incidental

leaves of absence may be granted to qualified

Union representatives, as designated in writing to

the Company by the International Representative

of the Union, for the performance of lawful

Union business. Such leaves shall be without pay

8 2

and shall not exceed thirty (30) consecutive days

at any one time nor more than sixty (60) days

(ninety (90) days in the case of the president,

executive vice president, secretary/treasurer, and

secretary or treasurer of the local) in any one

calendar year. Each qualified employee desiring

such a leave shall notify his/her immediate

supervisor in writing at least three (3) days prior

to the time the leave is to begin and specify the

length of time he/she desires to be absent. The

status of employees absent under this article shall

be the same as the status for other employees

granted leaves of absence for good and

compelling reasons and the service credit shall be

limited to thirty (30) days for any one leave.

Except by mutual agreement between the

designated Human Resources Department

representative of the Company and the

International Representatives for the Union, the

number of employees at one time on informal

leaves of thirty (30) days shall be limited to four

(4) per local.

B. Formal Leaves.

1. For leaves of absence not covered in

paragraph A. above, qualified employees as

designated by the International Representative

of the Union, shall apply to the Company for a

leave of absence without pay and the

Company shall grant such leave of absence,

subject to the needs of the service, for a period

not to exceed twelve (12) months.

This leave shall be renewable for seven (7)

additional periods so that the maximum period

of leave will be eight (8) years. The initial

leave and each renewal is conditioned upon

8 3

proper application and sufficient proof of

performance of lawful union business.

2. Not more than three (3) qualified employees

shall be on formal leave at one time. Requests

for formal leaves shall be signed by the

employee and the International Representative

of the Union. Such requests shall be presented

to the designated Human Resources

Department representative of the Company at

least twenty-one (21) days prior to the date of

such leave. The request should include the

length of the proposed leave and the activities

of the employee during such leave. During

absences of this type, wage experience will

accrue for only the first thirty (30) days of

such absence and seniority and net credited

service will accrue for the period of leave.

3. When the employee returns from leave, his/her

wage progression shall be accelerated by

reducing the normal intervals between

increases by one-half until the employee shall

have attained his/her position on his/her wage

schedule commensurate with his/her length of

service had he/she not been on leave of

absence.

4. Employees on a formal union leave shall

retain the right to participate in the Company

medical care insurance, dental insurance,

group life insurance, and the United System

Employee Stock Purchase Plan in effect at the

same time the leave originally commences.

The retention of these benefits is conditioned

upon submitting timely payments for each

such benefit in which the employee is

8 4

enrolled. The Company has no obligation to

remind employees of payment due.

5. An employee may return to Company duty

before or at the expiration of such leave of

absence, provided (1) that he/she has suffered

no loss on job qualifications, (2) that he/she is

able to perform on a regular basis and (3) that

a job vacancy in his/her classification is

available. He/she shall be placed on the

payroll at the rate received when such absence

was granted, adjusted for any changes in wage

level made during the period of such leave of

absence.

6. The termination of this Agreement by either

party shall not affect the leave status or

reemployment rights of an employee who is

on a leave of absence granted under this

section.

7. Notwithstanding the provisions of Article 24,

Section 7., employees on such leaves of

absence shall not be entitled to receive from

the Company any pay or compensation for

time consumed in meetings with management,

or necessarily consumed in traveling to and

from such meetings.

8. In the event the Company is of the opinion

that the activities being performed by an

employee are not within the intent of this

article, the Company shall notify the employee

and the Union and require the employee to

cease such activities subject to cancellation of

the leave.

8 5

A. Whenever the Company deems it advisable to

part-time or lay off regular employees, such force

adjustments as it may deem advisable shall be

made effective among employees performing

essentially the same type of work in any

department and any exchange, through parttiming

or layoffs or both, subject to the following

conditions:

1. Temporary and occasional employees shall be

laid off first.

2. Next in order, employees with less than two

(2) years' seniority shall be declared surplus in

the inverse order of seniority.

3. After the steps as outlined in paragraph 1. and

2. above have been taken and further

reductions in the work force are advisable, the

Company may either part-time all employees

after notifying the Union of its proposal to

part-time including the applicable reduction in

hours, or it may declare employees surplus in

the inverse order of seniority.

B.

1. Employees who are designated as surplus shall

be offered reassignment to available jobs

within the exchange affected or in the other

exchanges of the Company.

8 6

2. Employees who are surplus shall be offered

transfer to the jobs in paragraph 1. above in

order of their seniority.

3. Employees who are declared surplus may

displace employees in similarly rated jobs or

lower jobs for which they are qualified to the

extent of replacing the employee with the

lowest seniority in the similarly rated job or

the lower rated job within the exchange, or

work group if work group covers more than

one exchange, or district (in effect in

December, 1979).

a. Employees with more than three (3) years

of net credited service may, if not able to

displace an employee in the exchange or

work group if work group covers more

than one exchange, or district (in effect

December, 1979) in the same

classification, displace the junior

employee in the division (in effect

December, 1979) in the same

classification. Employees with ten (10) or

more years of net credited service may, if

not able to displace an employee in the

exchange or in the division in the same

classification, displace the junior

employee in the Company in the same

classification.

4. If there are no jobs available in the same or

other exchanges as provided in paragraph 1.

above or the employees refuse the offer or

who do not accept or qualify under paragraph

3. above, then the employees shall be laid off.

8 7

C.

1. If additions to the work force are required

subsequent to a reduction in force, laid-off

employees, in order of seniority, who submit a

bid, shall be awarded the job for which they

are qualified, prior to anyone bidding under

Article 16.

a. In the event an employee on layoff status

does not successfully bid into an available

job for which they are qualified within

his/her layoff, the employment status of

such employee shall be considered

terminated.

shall have the continuity of his/her service

protected and shall receive service credit

for the period of the layoff not to exceed

six (6) months. Under no circumstances

shall more than six (6) months credit be

allowed during any twelve (12) month

period.

c. Notification shall be sent by certified mail

to such employee's last known address.

2. Any employee offered reemployment in any

classification for which he/she is qualified

and who does not accept such reemployment

be considered terminated.

8 8

A. A technological displacement occurs when the

job of a regular employee or group of regular

employees is no longer considered necessary due

to a technological change in the type of plant or

equipment used, or a change in operating

procedures reducing the total number of

employees considered necessary to provide the

same service. Technological change shall be

defined as any change in equipment, material

and/or methods after the date of this Agreement

which results in any reduction in the number of

bargaining unit employees. This is to be

distinguished from a force surplus due to lack of

work covered in Section 1. above.

B. When regular employees are displaced by a

technological change, such employees shall be

offered continuing employment with the

Company in accordance with the following

conditions:

1. Employees displaced shall be offered the

opportunity for reassignment to available jobs

within the exchange affected or other locations

of the Company. Such employees shall take

precedence over employees who seek a

transfer under Article 16. Employees

exercising their option for reassignment under

this Section who are unable to qualify for the

job or who the Company determines fails to

perform his/her job satisfactorily within ninety

(90) days of the new assignment will only be

eligible for termination allowance under the

schedule in Article 19, Section 1. C. In no

instance, will the amount paid under this

provision exceed the amount to which the

8 9

employee would have been entitled under

Article 19, Section 1. A. 1.

2. The offering of reassignment shall be in order

of seniority.

3. Employees accepting reassignment which

results in transfer from one exchange to

another shall have reasonable expenses in

connection with the transfer borne by the

Company, in same manner as a transfer at the

instance of the Company.

4. Employees who are technologically displaced

may in order of seniority displace employees

in similarly rated jobs or lower rated jobs for

which they are qualified to the extent of

replacing the employees with the lowest

seniority in the similarly rated jobs or the

lower rated jobs within the exchange or work

group if work group covers more than one

exchange, or district (in effect in December,

1979).

a. Employees with more than three (3) years

of net credited service may, if not able to

displace an employee in the exchange, or

work group if work group covers more

than one exchange, or district (in effect

December, 1979) in the same

classification, displace the junior

employee in the division (in effect

December, 1979) in the same

classification. Employees with ten (10) or

more years of net credited service may, if

not able to displace an employee in the

exchange or in the division in the same

classification, displace the junior

9 0

employee in the Company in the same

classification.

5. Employees offered, but not accepting

reassignment in the same exchange and in a

similarly rated job or not displacing an

employee as described in paragraph 4. above

shall be retired if eligible or considered

terminated. In either case, the employee will

have eligibility for termination allowance

under Article 19 - Termination Allowance -

Section 1.B.

6. If an employee is transferred to a job title

having a lower wage guide, his/her rate of pay,

if above the maximum for the new job title,

shall be reduced to that maximum.

C. Employees displaced who are not offered

continued employment or who refused

employment in another exchange or in a lower

rated job in the same exchange shall:

1. be retired, if eligible in accordance with the

United System Employee Retirement Plan

with eligibility for termination allowance

under Article 19 - Termination Allowance -

Section 1.B.

2. be placed on a twenty-four (24) months layoff

and receive termination pay according to

Article 19 - Section 1.B.

D. When employees are placed on layoff following a

technological displacement, the following

conditions shall apply:

9 1

1. If additions to the work force are required

subsequent to a technological displacement,

laid-off employees, in order of seniority who

submit a bid, shall be awarded the job for

which they are qualified prior to anyone

bidding under Article 16.

2. Any employee offered reemployment in any

classification for which he/she is qualified in

locations as described in paragraphs 1 above

who does not accept such reemployment

within nine (9) days and return to employment

within twenty-one (21) days, shall be

considered terminated.

3. Employees accepting reemployment in another

exchange shall be paid normal moving

expenses, as in paragraph B 3.

4. As vacancies occur, employees on layoff

under this section shall be given preference in

order of seniority for regular employment over

employees on leaves of absence except for

employees who have reemployment rights

under Article 17, Section 7.B.

E.

1. In the event an employee on layoff status is

employment status of such employee shall be

considered terminated.

months from the date of layoff shall have the

continuity of service protected and shall

receive service credit for the period of layoff

not to exceed six (6) months. Under no

9 2

circumstances shall more than six (6) months

credit be allowed during any twelve (12)

month period.

status any temporary work available in their district for

which they are qualified. The offering will be made by

seniority of those on layoff in the exchange. The acceptance

or rejection of this offer is completely voluntary and will not

affect the original layoff status. If regular work becomes

available, laid-off employees, in order of seniority who

submit a bid, shall be awarded the job for which they are

qualified prior to anyone bidding under Article 16.

Employees accepting temporary work will be classified as

temporary, will be paid on the applicable wage guide of the

classification of the temporary work at whatever wage

experience level is proper, and such employees will

automatically revert to layoff status when the need for

temporary help ends. If an employee accepting such

temporary work has unused termination pay, the unused

portion shall be repaid to the Company. At the conclusion of

the temporary work, if the employee goes back on layoff, the

same unused portion of termination allowance will be paid to

the employee. Employees who accept such temporary work

but who cannot satisfactorily perform the work will be

returned to layoff status.

A. If during the term of this Agreement, the

Company notifies the Union in writing that

technological change (defined as changes in

equipment or methods of operation) has or will

create a surplus in any job title in any work area

which will necessitate layoffs or involuntary

permanent reassignments of regular full-time

employees to different job titles involving a

reduction in pay or to locations requiring a

9 3

change of residence, or if a force surplus

necessitating any of the above actions exists for

reasons other than technological change and the

Company deems it appropriate and in the exercise

of its sole discretion, employees in the affected

job titles and work area who have at least ten (10)

years of continuous service (as defined in the

age is at least 55 years as of the date of the

Company's notice to the Union, may elect, in the

order of seniority, and to the extent necessary to

relieve the surplus, to leave the service of the

Company and receive Supplemental Income

Protection benefits described in paragraph B. of

this article subject to the following conditions:

1. The Company shall determine the job titles

and work area in which a surplus exists, the

number of employees in such titles and areas

who are considered to be surplus, and the

period during which the employee may, if he

or she so elects, leave the service of the

Company pursuant to this article. Neither

such determinations by the Company nor any

other part of the Section 4. shall be subject to

arbitration.

2. The number of employees who may make

such election shall not exceed the number of

employees determined by the Company to be

surplus.

3. An employee's election to leave the service of

the Company and receive Supplemental

Income Protection benefits must be in writing

and transmitted to the Company within thirty

(30) days from the date the Company makes

notification of any such change or surplus in

9 4

order to be effective and such election may

only be revoked within such thirty (30) day

period.

4. Employees who elect to receive benefits under

the provisions of this article shall not be

entitled to other severance pay benefits or

other benefits which may be provided to laidoff

employees but shall be entitled to receive

these benefits applicable to retirees, if the

employee elects to retire. No employee shall

be required to retire in order to receive

Supplemental Income Protection Plan

payments.

B. Supplemental Income Protection payments for

employees who so elect to leave the service of the

Company in accordance with paragraph A. shall

begin within one month after such employee has

left the service of the Company to continue until:

1. forty-eight (48) payments have been made;

C. For employees who so elect in accordance with

paragraph A., the Company will pay monthly as

Supplemental Income Protection payments, $8.50

for each year of continuous service plus 45% of

the employee's final basic weekly or equivalent

wage rate but, in no case to exceed in aggregate a

amount of Supplemental Income Protection

benefits payable shall in no event exceed a total

D. In no event shall the total of the Supplemental

Income Protection payments exceed the

equivalent of twice the employee's annual

compensation at the basic wage rate (or its

9 5

equivalent) received during the year immediately

preceding the termination of service.

E. As used in this article, "annual compensation at

the basic weekly rate (or its equivalent)" or "basic

weekly wage rate (or its equivalent)" do not

include tour or temporary differentials, overtime

pay, or other extra payments.

F. Payments hereunder shall cease upon the

employment of a recipient by the Company or

any affiliated or subsidiary companies of

G. In the event of the death of a recipient of

Supplemental Income Protection payments before

all of the monthly payments to which he/she is

entitled have been made, the remaining amount

shall be paid to the individual’s estate.

H. When the surplus is not relieved by a sufficient

number of employees accepting the Company's

offer under provisions of this article, the

Company may lay off employees as provided

under other provisions of this Agreement.

I. The provisions of the Plan shall govern in all

matters pertaining to the Supplemental Income

Protection Plan.

9 6

When a surplus of employees exists for any reason,

the Company may at its sole discretion elect to offer

special surplus status to employees in the affected

work group in order of seniority. However, the

Company may at its sole discretion terminate the

offering within the work group prior to eliminating

the surplus. Employees so selected by the Company

are eligible for termination allowance in accordance

with Article 19 - Termination Allowance, paragraph

B. When deemed appropriate, the Company may, at

its sole discretion, offer such employees a choice of

reassignment to certain available job(s) or

termination allowance. Employees who are offered

this special surplus status have the right to accept or

reject the Company's offer. Employees who elect to

receive benefits under the provisions of this section

shall not be entitled to benefits under Section 4. of

this Article. Employees who accept special surplus

status and leave the service will be considered to

have voluntarily terminated employment and will not

be subject to provisions of Section 1.C and Section 2.

Employees who are involuntarily transferred to a

different classification or exchange as a result of

being surplused or displaced shall receive equal

consideration to return to their former classification

and exchange, or classification and work group, on a

seniority basis, if qualified to perform the duties in

the available jobs, along with employees currently on

lay off status with recall rights to that classification

and location, prior to such job being posted for bid.

This provision of homing rights shall expire at three

(3) years from the date of involuntary transfer, or

upon refusing an offer, whichever occurs first.

9 7

The Company will continue group medical care and

dental insurance for six (6) months after layoff or

termination under the provisions of the Supplemental

Income Protection Plan, on the same basis as the

employee had immediately prior to such layoff or

termination unless the employee obtains other

medical and dental coverage at an earlier date. The

payment of the premium contributions by the

Company will be made on the same basis as for

active employees.

When an employee is placed in a lower rated job

through provisions of Article 18, Force Adjustments,

the affected employee(s) rate of pay shall remain at

the same level as provided for in the job he/ she is

vacating for six (6) months from the date of

displacement. At the beginning payroll period

following the six (6) months anniversary of the

displacement, the employee's rate of pay shall be

reduced by fifty percent (50%) of the difference

between his/her prior wage rate and the current wage

rate. At the beginning payroll period following the

twelve (12) months anniversary of the displacement,

the employee's rate of pay shall be reduced to the

applicable level based on accrued months of wage

credit for the wage guide to which the employee has

been placed. The employee's job title will be

changed at the time of displacement.

9 8

A. Termination allowance shall be paid to a regular

employee whose service is terminated under any

of the conditions outlined below:

1. Laid off due to lack of work.

2. Dismissed or induced to resign for

unadaptability to perform properly the duties

of the job following reassignment under

Article 18, Section 2 (Technological

Displacements).

B.

1. For each regular employee covered by this

agreement on or before November 29, 1999,

the termination allowance due under

paragraph A.1 above shall be at the basic pay

rate of the employee at the time of the service

termination and shall be in accordance with

the following, not to exceed 100 weeks' pay:

6 months 1 week 10 years 18 weeks

1 year 2 weeks 11 years 20 weeks

2 years 3 weeks 12 years 22 weeks

3 Years 4 weeks 13 years 24 weeks

4 Years 5 weeks 14 years 26 weeks

5 years 6 weeks 15 years 28 weeks

6 years 8 weeks 16 years 30 weeks

7 years 10 weeks 17 years 32 weeks

8 years 12 weeks 18 years 34 weeks

9 years 15 weeks 19 years 36 weeks

20 years 40 weeks

Addtl weeks pay for

each year over 20

9 9

However, in no case shall a termination allowance exceed

$65,000.

2. For each regular employee entering the

bargaining unit after November 29, 1999, the

termination allowance due under A.1 above

shall be at the basic pay rate of the employee

at the time of the service terminations and

shall be at a rate of two (2) weeks per year of

completed net credited service, not to exceed

fifty two (52) weeks' pay.

C. Termination allowance due under paragraph A.2.

above shall be at the basic pay rate of the

employee at the time of the service termination

and shall be in accordance with the following:

1/2 year 0

1 year 1 weeks

2 years 2 weeks

3 years 3 weeks

4 years 4 weeks

5 years 5 weeks

6 years 6 weeks

7 years 7 weeks

8 years 8 weeks

9 years 9 weeks

10 years 10 weeks

11 years – 15 years 13 weeks

Over 15 years 20 weeks

D. Termination allowances paid under paragraph B.

and C. above are subject to the following

conditions:

10 0

1. An employee who has his/her service

terminated in accordance with paragraph A.

above after having been reengaged from a

previous service termination under the

condition outlined in paragraph A.1. above

shall be paid the difference between the

amount computed as his/her termination

allowance and any previous termination

payments he/she may have received on

account of previous service termination.

2. If an employee has received a termination

allowance under paragraph B. above and

Company in a lesser number of weeks than

he/she was paid for in his/her termination

allowance, he/she shall repay the Company the

difference between the amount of the

termination allowance paid and the amount of

his/her basic wage rate for the period of

absence.

3. An employee accepting a job in another

surplused again shall receive the difference

between time worked with the other Company

and the amount of termination allowance to

which previously entitled.

4. In the event the Company the employee

transfers to, has a termination allowance the

employee shall receive the greater of the two

(2).

5. Termination allowance will not be paid to an

employee who accepts continued employment

Company.

10 1

6. An employee who is surplused and accepts

shall retain recall rights at the Company from

which surplused for the period specified under

the Contract.

7. Technologically displaced employees

accepting reassignment shall have reasonable

moving expenses within the Mid-Atlantic

Region borne by the Company as outlined in

Article 13, Section 1.

A. The Company will furnish at no expense to the

employee all tools, instruments, equipment as

determined by the Company for him/her to

perform his/her assigned duties.

B. The items referred to above should be used only

to accomplish the work for which they were

issued and be given reasonable care and attention.

C. The items referred to above that are broken or

damaged beyond repair will be replaced by the

Company at no expense to the employee.

D. The items referred to above that are lost or

maliciously damaged will be replaced at the

employee's expense.

10 2

The Company and the Union recognize the importance of our

employees presenting a professional image to our customers

and the general public. In order to assure consistency in

dress and present a professional image, the Company and the

Union agree to the following uniform policy.

The Company may designate those classifications that will

be covered by the uniform program. The Company will

determine color, style, and material blend of clothing. The

Company logo will be required on the shirts, hats and

jackets.

Employees new to the program will be provided an initial

vendor credit of $400.00 to purchase uniforms from the

Official Uniform Program catalog. In the years following

be provided to program participants for replacement

garments. Employees will receive a vendor cost adjustment

as necessary. Clothing needing replacement as a result of

work related damage will be the responsibility of the

Company. For all employees in the program, any credits

must be used during theyear in which they are provided.

Employees will be responsible for the full Company cost of

replacing uniform garments should they be lost, stolen, or

damaged through neglect.

Additional uniform items may be purchased from the

Official Uniform Program catalog at catalog prices at the

employee’s expense.

Employees will be required to wear the approved uniforms

while on Company business. Individual exceptions to the

Company’s uniform policy may be allowed in unusual

circumstances with management approval.

10 3

The Company shall provide shorts as an option for

Company and the Union recognize that Company safety

rules and obligations will not be lessened in any degree to

accommodate employees wearing of the shorts.

Regular and all appropriate maintenance of an employee’s

Company clothing is the responsibility of the employee.

Company uniforms that have been in the care of an

employee who is terminating from the Company must be

returned on the employee’s last working day. Should the

employees fail to do so, they will be responsible for the full

cost of the uniforms issued to them.

A pin, not to exceed 1 ½ inches in diameter designating the

affiliation with CWA and not derogatory of the Company or

its personnel, may be worn with the uniform. This pin may

be worn only on the uniform shirt. This pin will not cover

the Company logo or employee’s name.

The Company and the Union are committed to working

together on the Uniform Program and to discussing

problems of mutual concern.

The Uniform Program will become effective three (3)

months following ratification of the agreement on a

voluntary basis. Commencing on the anniversary of the

second year all employees in designated classifications will

be required to wear the approved uniforms while on

company business.

10 4

On an annual basis the Company shall provide an

(shoes or boots) or for the repair of existing safety footwear

for designated employees who are required to wear safety

footwear. Designated employees eligible for the

reimbursement shall be determined by PPE hazard

assessment by the Company.

this Agreement, the Company agrees, subject to the

limitations described below, to include employees in,

it is applicable to non-represented employees of the

Medical, Prescription Drug, Dental, Vision Care,

Reimbursement Account, Dependent Day Care

Reimbursement Account, Employee Life Insurance,

Dependent Life Insurance, and Accidental Death and

10 5

10 6

On an annual basis, employees will be credited with benefit

dollars the same as those applicable to non-represented

employees of the Company. The Company, at its sole

discretion, shall designate the insurance carrier(s) and the

agent(s) for processing claims and other transactions for the

thereof. The Company may change the insurance carrier(s)

and/or claims administrator(s) at any time provided that the

Company first provides notice to the Bargaining Unit

thereof.

As provided in the various Summary Plan Descriptions,

terminate any one of the various components of the

amounts for certain health car options so long as the

changes are uniformly applied to all eligible employees,

both non-represented and bargaining unit employees.

A. The Company agrees, subject to the limitations

described below, to include employees in the

Voluntary Benefits program as it is applicable to

non-represented employees of the Company.

The components of the Voluntary Benefits

program available to employees may include,

but not be limited to, Automobile Insurance,

Homeowners Insurance, Long Term Care

Insurance, Pet Insurance, Universal Life

Insurance coverages, and Legal Services.

10 7

B. It is understood that employees will be

responsible for the entire cost for each

component of the Voluntary Benefits program.

At its sole discretion, the Company may permit

employees to have the required costs withheld

through payroll deduction.

covered by this Agreement as members of such

Retirement Pension Plan in accordance with the

Pension Agreement; which by reference thereto is

incorporated herein and made part of this

continued without modification for the life of this

Agreement; provided, however, the Company

(and for this purpose only “Company” shall

make such changes in the Retirement Pension

Plan, in it’s sole discretion, as may be required to

obtain a ruling form the Commissioner of Internal

Revenue that the Retirement Pension Plan

qualified under Section 401(a) of the Internal

Revenue Code 1986, as amended from time to

time, and that the Trust implementing the

Retirement Pension Plan is exempt from taxation

under Section 501(a) of said Code, to satisfy any

applicable state or federal statue, regulation,

ruling, court decision or other law applicable to

said Retirement Pension Plan, or to administer

Retirement Pension Plan in an orderly and

efficient manner. Any such action taken by the

Company in its sole discretion with respect to the

Retirement Pension Plan shall apply to all

10 8

similarly situated employees of the Company in a

uniform manner. The Company pays all

contributions to the Retirement Pension Plan

B. The Company agrees to provide to Covered

Pension Plan (the “Retirement Pension Plan”),

the benefits hereinafter specified in this

terms defined in the Retirement Pension Plan

shall have the meaning specified therein unless

the context of this Pension Agreement clearly

indicates otherwise.

Covered Member shall mean an employee of

Carolina Telephone & Telegraph Company,

represented by Local Union No. 3680/1/2/5 of the

Communications Workers of America who is a

member of the Retirement Pension Plan pursuant

to Article 2 of the Retirement Pension Plan. The

provisions of the Retirement Pension Plan, other

than Section 3.2, Retirement Allowance on

Termination of Employment or Retirement,

including the rights of the Board of Directors of

as it deems advisable with respect to all of the

provisions of the Retirement Pension Plan other

than those referred to specifically in this

document, are incorporated herein by reference

and shall be in full force and effect provided that

continuous service and credited service shall be

determined in accordance with definitions in

Sections 1.13 (b), Continuous Service, and 1.15

(b), Credited Service, respectively of the

Retirement Pension Plan, except as specifically

provided to the contrary herein.

10 9

Anything contained in the Retirement Pension

Plan to the contrary notwithstanding, the tables of

monthly benefit per year of service hereinafter

described shall apply to a Covered Member until

revised by a subsequent Pension Agreement.

This Pension Agreement shall terminate when the

contract between the Company and the

Bargaining Unit terminates. Upon the

termination of this Pension Agreement, if as such

date a subsequent Pension Agreement between

Carolina Telephone & Telegraph and the CWA

3680/1/2/5 is not in force, the retirement

allowance of any Covered Member shall be

determined as of such date and shall not increase

for any reason until the effective date of a

subsequent Pension Agreement. No credited

service shall be earned following such date.

Continuous service shall continue to be earned in

accordance with Section 1.13, Continuous

Service, of the Retirement Pension Plan. A

Covered Member may retire as provided in the

Retirement Pension Plan following such

termination date and receive the retirement

allowance determined as of the termination date,

provided that such allowance shall be adjusted as

provided in the Retirement Pension Plan if it is

paid in the form other than a life annuity or

commences on a day other than the Covered

Member’s normal retirement date, as defined in

the Retirement Pension Plan.

C. Eligibility of Benefits

The number of years of continuous service

required to be eligible for an early or disability

retirement allowance is 10 years, and for a vested

retirement allowance is 5 years. The other

11 0

requirements for eligibility for early and disability

retirement allowances will not be changed.

D. Amount of Allowance

(a) The amount of the retirement allowance

payable in the form of a life annuity to a

Covered Member who retires under normal

or early retirement under Article 3,

Retirement Allowance, of the Retirement

Pension Plan shall be based on the Covered

Member’s age in years and completed whole

months, job classification and credited

service at termination of employment; and

date of termination of employment, or

normal retirement date if earlier, determined

from the attached tables by multiplying the

appropriate monthly benefit per year of

service by the number of years of credited

service, subject to the provision contained in

Article 4, Provisions Relating to Pension

Agreements, of the Retirement Pension Plan.

(b) The amount of the retirement allowance

payable in the form of a life annuity to a

Covered Member who is retired under a

Special Early Retirement Allowance as

defined in Section 1.56 of the Retirement

Pension Plan shall be equal to the benefit

determined in paragraph (a) above using the

appropriate monthly benefit per year of

service for a Covered Member age 65 at the

time of the Covered Member’s termination

of employment, reduced by 5/24 of 1% for

each month by which the Covered Member’s

actual retirement date precedes his normal

retirement date.

11 1

(c) The amount of the retirement allowance

payable in the form of a life annuity to a

Covered Member who is entitled to a

deferred vested early retirement allowance as

defined in Section 1.16 of the Retirement

Pension Plan shall be equal to the benefit

determined in paragraph (a) above using the

appropriate monthly benefit per year of

service for a Covered Member age 65 at the

time of the Covered Member’s termination

of employment.

(d) The amount of the retirement allowance

payable in the form of a life annuity to a

Covered Member who is retired under

Disability Retirement under Section 3.3 of

the Retirement Pension Plan shall be equal to

the benefit determined in paragraph (a)

above using the appropriate monthly benefit

per year of service for a Covered Member

age 65 at the time of the Covered Member’s

termination of employment.

(e) Upon the death of a Covered Member

described in Article 8, Spousal Allowance,

of the Retirement Pension Plan prior to his

normal retirement date or his retirement,

whichever occurs first, an allowance shall be

payable to and for the life of his surviving

spouse, provided that he and said spouse

have been married throughout the one-year

period ending on the date of his death. The

amount of the spouse’s allowance payable to

an eligible souse shall be the benefit

described in paragraph (a) above which

would have been payable to such spouse had

the Covered Member retired early in

accordance with Section 1.20, Early

11 2

Retirement Allowance, of the Retirement

Pension Plan and benefits had commenced

on the first day of the month preceding his

date of death. If the Covered Member had

not attained age 55, the benefit described in

paragraph (a) above shall be that which

applies at age 55.

E. Sickness death benefits, accident death benefits

and sickness and accident disability benefits

equivalent to those now provided by the Carolina

Telephone and Telegraph Company Plan for

Employees' Pension, Disability Benefits and

Death Benefits as amended July 1, 1971 will be

Plan for Bargaining Unit Employees (the “Retirement

Savings Plan”) and agrees to include employees covered by

this Agreement as members of such Retirement Savings Plan

as soon as administratively feasible following ratification of

Agreement as included below.

In addition, the Company agrees to withhold employee

contributions as provided in said Savings Plan Agreement

and to make Company contributions thereto. Said Savings

Plan Agreement shall be continued without modification for

the life of this Agreement; provided, however, the Company

Corporation) retains the right to make such changes in the

Retirement Savings Plan, in its sole discretion, as may be

11 3

required to obtain a ruling from the Commissioner of Internal

Revenue that the Retirement Savings Plan qualifies under

Section 401(a) and 401(k) of the Internal Revenue Code of

1986, as amended from time to time, and that the Trust

implementing the Retirement Savings Plan is exempt from

taxation under Section 501(a) of said Code, to satisfy any

applicable state or federal statue, regulation, ruling, court

decision or other law applicable to said Retirement Savings

Plan, or to administer said Retirement Savings Plan in an

orderly and efficient manner. Any such action taken by the

Company in its sole discretion with respect to the Retirement

Savings Plan shall apply to all similarly situated employees

of the Company in a uniform manner.

A. Retirement Savings Plan for Bargaining Unit

Employees

The Company agrees to provide a means for

Savings Plan for Bargaining Unit Employees (the

“Retirement Savings Plan”). Employee and

Company contributions to said Retirement

Savings Plan are specified in this Agreement. All

terms defined in the Retirement Savings Plan

shall have the meaning specified therein unless

the context of this Savings Plan Agreement

clearly indicates otherwise.

(a) Basic Contributions

i. Each Participant shall be allowed to

have his wage reduced bi-weekly up to

the appropriate maximum bi-weekly

amount specified in Appendix C. Such

bi-weekly wage reduction shall be in

multiples of $2 and shall be contributed

to the Participant’s account. Such bi-

11 4

weekly wage reduction shall be known

as “Basic Contributions”.

ii. The minimum Basic Contribution shall

be $10 for each bi-weekly pay period.

11 5

(b) Supplemental Contributions.

Each Participant who has had his wage

reduced by the appropriate maximum

have his wage reduced in multiples of $2,

which amount shall not exceed the amount

specified in Appendix C. Such amount shall

be known as “Supplemental Contributions”.

11 6

C. Company Contributions

A. Employees in the bargaining unit on or prior to

November 29, 1999, and subsequently retiring

will retain their health care coverage in place at

the time of their retirement. The deductibles for

the indemnity plans will be 1.5% of the base pay

at the time of their retirement; the minimum will

be $325.00 effective January 1, 1999, with $25

minimum increments in successive years. In

11 7

addition, the out-of-pocket maximum is $1,300

effective January 1, 1999 with $100 minimal

increments in successive years.

1. The Company may, in its sole discretion,

designate the insurance carrier(s) and the

agent(s) for administering claims and other

Plan and other components thereof. The

Company may change the insurance carrier(s)

and/or the claims administrator(s) at any time

provided that sufficient notice is given.

2. In certain areas retirees may be provided with

an alternate plan to the basic indemnity

medical plan and the Company, in its sole

discretion, in any manner or through any

organization, including but not limited to, a

program or programs provided by

arrangement with a hospital plan corporation,

professional health service organization or

similar plan or organization, through a

preferred provider arrangement, through a

self-insured plan, or through a combination

of any such methods, may provide an

alternative to the basic indemnity plan.

Retirees will be free to elect or not elect

coverage under any alternative plan offered

by the Company and under no circumstances

will retirees be forced to accept the alternate

plan.

3. The Company expects to continue the

However, the Company reserves the right to

amend or terminate any one of the various

Plan at any time including changing the level

11 8

of Company contributions, deductibles, out

of pocket maximums, and requiring retiree

contributions, so long as the changes are

uniformly applied to all eligible retirees.

B. Employees entering the bargaining unit on or

after November 30, 1999, and subsequently

retiring with benefits from the Embarq

Retirement Pension Plan will convert their

Plan described in Summary Plan Description.

1. The Company, in its sole discretion, shall

designate the insurance carrier(s) and the

agent(s) for administering claims and other

Plan and other components thereof. The

Company may change the insurance carrier(s)

and /or the claims administrator(s) at any

time provided that sufficient notice is given.

2. The Company expects to continue the

However, the company reserves the right to

amend or terminate any one of the various

Plan at any time, including changing the

Company contributions, retiree contributions,

deductible amounts, and maximum out of

pocket amounts for certain health care

options, so long as the changes are uniformly

applied to all eligible retirees.

11 9

Subject to Company policy, regular employees (full and

part-time) with six (6) or more months of service are

eligible for a telecom concession. It is recognized that the

Company has the exclusive right to amend, modify wholly

or in part this plan.

The Company agrees, however, that any changes to the

concession plan for bargaining unit employees will be

equivalent to the services that is provided to non-bargaining

employees at the same location.

discharge, suspend or demote employees for proper cause.

failure to obey instructions of supervisors, violation of

Company rules, or failure to perform a job or tour of duty in

accordance with the Company standards.

that the demotion was without proper cause shall be handled

in accordance with the following:

A. If the employee has less than three (3) months

service in the job from which he/she was

demoted at the time of the demotion, the matter

shall be subject to the grievance procedure set

forth in Article 24, but shall not be subject to

arbitration under Article 25.

12 0

B. If the employee has three (3) months or more of

service in the job from which he/she was

demoted, the matter shall be subject to the full

grievance and arbitration procedures set forth in

Articles 24 and 25.

article, a discipline, discharge, suspension or demotion

imposed upon a non-probationary employee shall be subject

to arbitration under Article 25.

The arbitrator shall not be precluded from reducing the

penalty imposed by the Company if he/she determines that a

lesser penalty is more appropriate.

under the Agreement:

A. Arbitrable Grievances are those grievances which

consist of an allegation that either party has

violated or is violating the express provisions of a

specific article of this Agreement, or consist of a

dispute about the interpretation and application of

a particular article of this Agreement.

B. Non-arbitrable Grievances are those grievances

which may arise during the term of this

Agreement which do not consist of an allegation

that an express provisions of a specific article of

this Agreement has been violated, or which do

not consist of a dispute about the interpretation

and application of a particular article of this

Agreement. Grievances of this type which are

not resolved under the steps of this grievance

12 1

article, will not be subject to the arbitration

provisions of Article 25.

In the event the Company considers that the

number of non-arbitrable grievances presented

are excessive, abusive or of a harassing nature, it

may submit a determination of that issue to the

permanent arbitrator provided under Article 25,

Section 2. If the arbitrator answers the issue in

the affirmative, he/she has the authority to limit,

suspend or cancel this provision of the grievance

procedure.

exclusive procedure for the adjustment of a grievance of an

employee, employees, the Union, or the Company.

questions concerning the supervision and direction of the

working forces may be handled by the foreman directly with

the employee or employees concerned and will be subject to

the grievance procedure should the application of such

matters create a grievance as herein described.

above arise during the term of this Agreement, an earnest

effort shall be made to settle such grievance in the manner

described in this section: (It is understood and agreed that in

the event an arbitrator should suspend or cancel the

provisions of Section 1.B. of this article, thereafter an

employee's Union or management representative shall not be

required to receive or process such non-arbitrable grievances

under the terms of this Agreement.)

12 2

present it to the employee's immediate management

representative at the level of the exchange in which

the aggrieved employee is employed, or may present

it to his/her local Union representative for processing

with the employee's immediate management

representative.

Normally, the grievance will be handled with the

Company by a local Union representative, but it is

agreed that any individual employee or a group of

employees shall have the right at any time to present

grievances to the Company and to have such

grievances adjusted, without the intervention of the

bargaining representative, as long as the adjustment

shall not be inconsistent with the terms of this

Agreement, and provided that the Union

representative has been given opportunity to be

present at such adjustment.

A grievance shall be presented at Step 1 of the

grievance procedure as soon as possible after it

arises, but in no event later than thirty (30) calendar

days after it occurred, and the failure to present the

matter within this time shall constitute an

abandonment and waiver of the grievance.

The management representative will make an earnest

effort to reach a satisfactory settlement of the

grievance and will give his/her answer within

fourteen (14) calendar days after its presentation to

him/her.

At the request of either party, the aggrieved employee

may be present at the presentation and settlement of

his/her grievance at this step of the grievance

procedure only. If more than one aggrieved

12 3

employee is involved, participation of more than one

aggrieved employee shall be by mutual agreement.

in accordance with the procedure of Step 1, it may be

presented to the management representative at the

district or area level by the Union's local

representative within fourteen (14) calendar days

after receipt of the management representative's

answer under Step 1, and a failure to present the

matter within this time shall constitute an

abandonment and waiver of the grievance.

The grievance at this level shall be presented in

writing, signed by the grievant and the Union

representative, and shall contain a brief statement of

the grievance and list the specific provisions(s) of the

Agreement claimed to have been violated (or in the

case of a non-arbitrable grievance as defined in

Section 1.B., a statement of the dispute).

The Company shall furnish the Union with a written

reply to the grievance within fourteen (14) calendar

days after the matter was presented to it, and this

reply shall contain a brief statement of the Company's

reasons for granting or denying the grievance, and

where applicable, will list the provision(s) of the

Agreement which it contends applies. If no decision

is given by the Company within the fourteen (14)

calendar day period, or such time as may be mutually

extended, the grievance may be appealed to the next

step of the grievance procedure.

in accordance with the procedure at Step 2, it may be

presented to the Company's designated Human

Resources Department representative by the Union's

local president. In addition, the International

12 4

Representative of the Union may attend such third

step grievance meetings. A grievance at this step

must be presented within thirty (30) calendar days

after receipt of the answer under Step 2, and a failure

to present the grievance within the time shall

constitute an abandonment and waiver of the

grievance.

The grievance at this level shall be presented in

writing, and shall contain a brief statement of the

grievance and list the specific provision(s) of the

Agreement claimed to have been violated (or in the

case of a non-arbitrable grievance as defined in

Section 1.B., a statement of the dispute).

The Company shall furnish the Union a written reply

to the grievance within thirty (30) calendar days after

the matter was presented to it, and this reply shall

contain a brief statement of the Company's reasons

for granting or denying the grievance, and where

applicable, will list the provision(s) of the Agreement

which it contends applies.

If no decision is given by the Company within the

thirty (30) calendar day period, or such time as may

be mutually extended, the grievance shall be deemed

resolved on the basis claimed by the Union. The duly

accredited International Representative of the Union

shall have access to the Company premises for the

purpose of investigating grievances normally at Step

3 of the grievance procedure when accompanied by,

or in accordance with permission granted by, the

management representative at Step 3. Such

representative shall assume all risk and if injured on

the premises, the Union agrees to save harmless and

indemnify the Company from any claim made by

such representative for any such injury.

12 5

handling under this Agreement shall have been referred to

the Union for grievance handling and the Company informed

of such reference, the Company agrees that it will neither

initiate nor participate in any discussion of the matter with

the individual employees affected except in the presence of a

Union representative.

grievance by the Union or its representatives will be handled

only during non-work time and shall not interfere with the

performance of duties by employees. It is recognized that

there may be occasions when in an investigation of a

grievance it may be impossible to handle such investigation

during non-work time, and the Company will not

unreasonably withhold its permission for the investigation of

such grievance during work time.

Union may have up to two (2) employees present from

within the Company. Grievance meetings under the

grievance procedure will be held at reasonable hours and

usually during work hours. Time devoted by employees in

grievance meetings and in handling grievances outside of

normally scheduled work hours will not be paid by the

Company. Time spent by employees during grievance

meetings will be treated as time worked for the purpose of

computing premium pay under this Agreement.

12 6

Company and the Union as to the meaning or application of a

provision(s) of this Agreement has not been settled to the

satisfaction of the parties involved through the grievance

procedure of Article 24 of this Agreement, either the

Company or the Union may, within ninety (90) calendar days

after the answer of the Company at Step 3 of the grievance

procedure, request by written notice to the other party that the

grievance be submitted to arbitration. No request for

arbitration shall be valid which is not made within the time

prescribed.

from a list of seven (7) names submitted by the Federal

Mediation and Conciliation Service. Each party shall

alternately strike one name each until one name remains.

The person so named shall be the arbitrator for the case being

arbitrated.

evidence from the parties and shall render a decision within a

period of twenty (20) days after the conclusion of the hearing

unless both parties agree to an extension of such period. The

arbitrator shall find the facts, render his/her decision and

award in writing, and sign same.

time unless otherwise agreed to in writing by both parties.

strictly limited to determining grievances concerning the

interpretation and application of the terms of this Agreement.

The language of this Agreement is controlling, and past

practice can be used only when the language is ambiguous.

The arbitrator shall confine himself/herself strictly to the

12 7

facts submitted in the hearing, the evidence before him/her

and the terms of this Agreement. It is agreed that the

arbitrator shall have no authority or power to:

A. Make an award affecting a change, modification

or addition to this Agreement.

B. Establish any wage scale or schedule, rate or to

change any progression schedule for increases.

He/she shall have no power to award or establish

holidays, vacations, insurance benefits, pensions

or other economic benefits than are provided for

in this Agreement.

C. Make an award against the Company for back

wages or payments for more than thirty (30)

calendar days beyond the date on which the

grievance was first presented in accordance with

the grievance procedure.

be borne half by the Company and half by the Union.

times and places to be fixed by the arbitrator. Each party

shall bear its own cost of preparation, including those of

witnesses and representatives at the hearing. Time spent by

employees in attending the arbitration hearings shall not be

compensated by the Company.

final, conclusive and binding upon both parties, and upon the

aggrieved employee or employees.

12 8

its employees during the term of this Agreement.

A. Since the Agreement provides procedures for

the orderly and equitable settlement of disputes

and grievances, the Union and its members,

individually and collectively will not permit,

cause, or take part in any strike, sympathy strike,

work stoppage, slowdown, picketing, or other

curtailment or restriction of work or interference

with work in or about the Company’s facilities,

offices or premises during the term of this

agreement.

12 9

B. Strikes, stoppages, slowdowns or any other

interference with the orderly and efficient

operation of the Company's facilities during the

term of this Agreement shall be deemed a

violation of same. The parties recognize the right

of the Company to take immediate disciplinary

action against any employees who participate in a

violation of this article. The disciplinary action

taken by the Company against an employee shall

be subject for grievance and arbitration if the

Union elects.

C. The Company will notify the Union's

International Representative of the existence of

any strike, stoppage, slowdown, etc., in violation

of this article. Within forty-eight (48) hours after

receipt of such notice by the Union, an

International or Regional officer of the Union

having jurisdiction over the Local Union, shall

issue a written statement, directed to its members,

advising them (1) that the existing strike,

stoppage, slowdown, etc., is a violation of this

Agreement and is not authorized by the

Communications Workers of America; (2) that

the participating employees are directed to return

to their respective jobs within twenty-four (24)

hours; and (3) that all officers, agents and

committeemen of the Union are instructed to

endeavor to end the strike, stoppage, slow-down,

etc., immediately. A copy of such statement shall

be delivered to the Company.

In the event of a strike, stoppage, slowdown, etc.,

the Union will immediately endeavor to secure a

return of the strikers to work to the end that the

dispute may then be settled peaceably in

13 0

accordance with the provisions of this

Agreement.

D. If the unauthorized strike, stoppage, etc.,

continues, the Union agrees that the Company

may have the matter submitted to the arbitrator

designated in Article 25, Section 2. The sole

factual issue presented to the arbitrator shall be

whether employees are in fact engaging in a

strike, work stoppage, etc. If the arbitrator finds

that a strike, work stoppage, etc., has occurred,

he/she shall order the employees to cease their

activity and to return immediately to work.

Utilization of the procedure established in this

article is purely discretionary with the Company

and shall not operate as a condition upon the

Company's resort to other remedies. In the event

the Company resorts to arbitration under the

foregoing procedures, all expenses and charges of

the arbitrator shall be borne entirely by the

Company.

The Company agrees that it will not as a general practice

work supervisory employees on work ordinarily performed

by non-supervisory employees, except for purposes of

instruction or to meet emergency conditions. The parties

recognize, however, that there are proper exceptions to this

general practice, made in the interest of the service or

economical operation, and in such cases nothing herein is

intended to prohibit the Company from working such

supervisory employees on such non-supervisory work.

13 1

solicitation for membership in the Union, signing up of

members or collection of initiation fees, dues or assessments,

or conduct of any Union business on Company work time or

on Company property during the assigned working schedule

of any of the employees involved. This limitation shall not

be construed to prohibit casual or personal conversation

about the Union and its activities, provided such

conversations do not result in employees quitting or delaying

their work.

premises literature which is controversial, political,

advertising or similar in nature. The Company reserves the

right, within its sole and unreviewable discretion, to cancel

this section of the Agreement if it considers that its

provisions are being abused.

an employee, which may affect the conditions of such

employee's employment, shall be subject to his/her

inspection upon reasonable notice to his/her supervisor.

After such inspection, the employee shall initial and date the

records as acknowledgment of having inspected the record

on that date. Upon the development of a grievance condition,

where necessary to develop pertinent facts having to do with

the presentation or resolution of such grievance, the

personnel record of any employee shall be subject to

inspection by a Union representative upon such employee's

written consent and in the presence of a management

representative.

13 2

are made to an employee's personnel record which may affect

conditions of his/her employment, the employee shall be so

advised. When such an entry is to be made in a personnel

record it shall be made within a reasonable length of time of

the occurrence of the incident to which the entry refers.

The Company shall have this Agreement printed and

distributed to all of its present employees covered by this

Agreement, and shall hand a copy to all new eligible

employees.

The Company and the Union will each bear one-half (1/2)

the cost of printing the Agreement.

The Company shall deliver to each officer of each Local a

copy of the Agreement within sixty (60) days of ratification.

boards in mutually agreed upon locations for use by the

Union.

be confined to such local Union matters as notices of

meetings, recreational activities, social affairs, nomination

and election of Union officers and such other matters as may

properly be considered as non-controversial and non-political

and advertising and similar material will not be posted.

Where any material posted by the Union is deemed by the

Company to be controversial in nature, it shall be promptly

removed at the request of the Company.

13 3

and relocating such bulletin boards will be paid for by the

Union.

working under the terms of this Agreement shall be delivered

by means determined by the Company. All payroll

cover the first two payroll periods of each month. Electronic

paystubs shall be made available to employees on the day

preceding the payday or delivered through the Intranet. Each

weeks ending not earlier than the end of the preceding

calendar week. The Company will make a reasonable effort

Union dues of any eligible employee through payroll

deduction upon the order in writing signed by such employee

and to pay over the amount thus deducted to the Union.

terminate his/her dues deduction authorization at any time

within the fifteen day period immediately preceding or the

Company agrees to notify the Union forthwith of the receipt

of any such written cancellation.

signature of its Secretary) given to the Company, terminate,

with respect to any employee, the obligation and right of the

Company to make such deductions. The Company shall give

notice of such termination to the employee.

13 4

made by the Company on the transfer or promotion of an

employee to an ineligible position effective the first payroll

period following the transfer or promotion and will notify the

Union of such cancellation.

Agreement, upon proper authorization, the Company will

provide for a monthly payroll deduction for individual

employees who wish to participate in the CWA Savings and

Retirement Trust Fund. The Union agrees to hold the

Company harmless against any claims that might be made by

any employee as to the application of such funds.

deductions for COPE (Committee on Political Education) for

employees represented by the Communications Workers of

America subject to the following conditions:

A. Deduction requests must be submitted on a

properly completed authorization card.

B. The amount specified will be deducted every pay

period if sufficient paycheck money is available

and the total amount will be forwarded once per

month to the person designated by the CWA.

The Union agrees to hold the Company harmless against any

claims that might be made by any employees as to the

application of the funds.

13 5

and the Company shall be conducted by and between the

duly accredited representatives of the parties of this

Agreement, and each party to such bargaining shall notify the

other in writing of the names of its representatives and any

changes which may occur. An alternate shall be accorded the

same recognition as representative when acting in the

capacity of the latter.

represented ordinarily by more than eight (8) persons.

shall be held at mutually convenient times and places on

request of either of the parties to such bargaining. The party

requesting the meeting shall, in advance, inform the other in

writing of the subjects to be discussed, except in those

instances where the urgency of the case precludes such

advance notification. Agreements reached in the meeting

other than on grievances shall, on the request of either of the

parties thereto, be recorded as formal agreements and an

executed copy thereof shall be provided for each party.

negotiations which resulted in this Agreement, each had the

unlimited right and opportunity to make demands and

proposals with respect to any subject or matter not removed

by law from the area of collective bargaining, and that the

understandings and agreements arrived at by the parties after

the exercise of that right and opportunity are set forth in this

Agreement. Therefore, the Company and the Union, for the

life of this Agreement, each voluntarily and unqualifiedly

waive the right and each agrees that the other shall not be

obligated to bargain collectively with respect to any subject

13 6

or matter not specifically referred to or covered in this

Agreement, even though such subjects or matters may not

have been within the knowledge or contemplation of either

or both of the parties at the time that they negotiated or

signed this Agreement.

Agreement shall be or become invalid or unenforceable by

reason of any Federal or State law now existing or hereinafter

enacted, such invalidity or unenforceability shall not affect

the remainder of the provisions hereof.

any one clause or Article of this Contract is applicable to a

request for a leave of absences as defined by the Family and

Medical Leave Act of 1993 (FMLA), the minimum

requirements provided by the FMLA shall prevail unless the

Contract provides for a type or level of benefit greater than

that specified under the FMLA.

other party sixty (60) days written notice to cancel, revise or

modify part of the Agreement. In the event agreement is not

reached within sixty (60) days after such notice of

cancellation, the Agreement shall in all respects be voided

13 7

and terminated. Extensions may be agreed to by written

agreement between the parties.

month following contract ratification, the Pay for

Performance Compensation Plan (“PFP”) will be

implemented for Service Representatives and/or Repair

Service Evaluators, who shall then have the opportunity to

begin receiving earnings pay-outs according to the terms

and conditions of the Plan. For purposes of Pension and

Savings, Service Representatives and Repair Service

Evaluators covered by PFP will be treated under the

Benefits Rate Schedule attached as Appendix E to this

Agreement.

Employees will receive a daily schedule of incentive

eligibility earnings that can be used to track monthly sales

objectives and earnings. For tax purposes, incentive dollars

are to be treated as regular income (and not grossed up).

Incentive earnings will be taxed at the applicable tax rate.

Employees will receive incentive earnings under PFP in the

second paycheck of the month following their sales.

Unless otherwise specifically noted above, the parties agree

that the Company may unilaterally modify, delete, or

change any terms, conditions, criteria, or parameters of PFP

(including objectives, product line categories, thresholds, or

any other provision). If the Company discontinues PFP at

any time during the term of this Agreement, Service

Representative and/or Repair Service Evaluators will be

paid under the appropriate Benefits Rate Schedule attached

as Appendix E to this Agreement. Any modifications made

to PFP will not affect money already earned under such

13 8

Plan. The Company further agrees to notify the Union of

any modifications to the Plan.

unilaterally develop, implement, administer, modify, or

delete other incentive programs.

13 9

IN WITNESS WHEREOF, the parties have executed this

Agreement the day and year first above written.

CAROLINA TELEPHONE AND TELEGRAPH

COMPANY

By:

Dan Gronniger

Human Resources Manager

Larry Drew

HR Manager I

Peter O’Toole

Manager Installation & Maintenance

COMMUNICATIONS WORKERS OF AMERICA

By:

Willie Leggett

CWA Representative

Ratified by Union Membership:

Rocky A. Barnes

President, Local Union 3680

Ronald X. Knight

President, Local Union 3681

Rose Bowling, Bargaining

Representative, Local Union 3682

John White, Bargaining

Representative, Local Union 3685

14 0

Eff

11/16/08

Eff

11/16/09

Eff

11/16/10

0 Start 8.51 8.68 8.85

6 Step 2 9.68 9.87 10.07

12 Step 3 11.02 11.24 11.46

18 Step 4 12.55 12.80 13.06

24 Step 5 14.29 14.58 14.87

14 1

Eff

11/16/08

Eff

11/16/09

Eff

11/16/10

6 Step 2 6.91 7.05 7.19

12 Step 3 7.61 7.76 7.92

18 Step 4 8.38 8.55 8.72

24 Step 5 9.23 9.41 9.60

30 Step 6 10.17 10.37 10.58

36 Step 7 11.20 11.42 11.65

42 Step 8 12.33 12.58 12.83

48 Step 9 13.59 13.86 14.14

54 Top 14.95 15.25 15.56

14 2

Eff

11/16/08

Eff

11/16/09

Eff

11/16/10

0 Start 6.87 7.01 7.15

6 Step 2 7.58 7.73 7.88

12 Step 3 8.35 8.52 8.69

18 Step 4 9.20 9.38 9.57

24 Step 5 10.14 10.34 10.55

30 Step 6 11.17 11.39 11.62

36 Step 7 12.30 12.55 12.80

42 Step 8 13.56 13.83 14.11

48 Step 9 14.93 15.23 15.53

54 Top 16.44 16.77 17.11

14 3

Eff

11/16/08

Eff

11/16/09

Eff

11/16/10

0 0.00 0.00 0.00

48 min 10.03 10.23 10.43

54 max 15.82 16.14 16.46

14 4

Eff

11/16/08

Eff

11/16/09

Eff

11/16/10

0 Start 7.23 7.37 7.52

6 Step 2 7.97 8.13 8.29

12 Step 3 8.78 8.96 9.14

18 Step 4 9.68 9.87 10.07

24 Step 5 10.67 10.88 11.10

30 Step 6 11.76 12.00 12.24

36 Step 7 12.95 13.21 13.47

42 Step 8 14.27 14.56 14.85

48 Step 9 15.73 16.04 16.36

54 Top 17.32 17.67 18.02

14 5

Eff

11/16/08

Eff

11/16/09

Eff

11/16/10

12 Step 3 9.35 9.54 9.73

18 Step 4 10.31 10.52 10.73

24 Step 5 11.36 11.59 11.82

30 Step 6 12.53 12.78 13.04

36 Step 7 13.81 14.09 14.37

42 Step 8 15.23 15.53 15.84

48 Step 9 16.79 17.13 17.47

54 Top 18.51 18.88 19.26

14 6

Eff

11/16/08

Eff

11/16/09

Eff

11/16/10

0 Start 7.70 7.85 8.01

6 Step 2 8.49 8.66 8.83

12 Step 3 9.35 9.54 9.73

18 Step 4 10.31 10.52 10.73

24 Step 5 11.36 11.59 11.82

30 Step 6 12.53 12.78 13.04

36 Step 7 13.81 14.09 14.37

42 Step 8 15.23 15.53 15.84

48 Step 9 16.79 17.13 17.47

54 Top 18.51 18.88 19.26

14 7

Eff

11/16/08

Eff

11/16/09

Eff

11/16/10

12 Step 3 11.34 11.57 11.80

18 Step 4 12.08 12.32 12.57

30 Step 6 14.10 14.38 14.67

42 Step 8 16.90 17.24 17.58

14 8

Eff

1/21/03

Eff

11/30/03

Eff

11/30/04

0 Start 7.49 7.49 7.49

6 Step 2 7.81 7.81 7.81

18 Step 4 8.95 8.95 8.95

24 Step 5 9.77 9.77 9.77

30 Step 6 10.74 10.74 10.74

36 Step 7 11.88 11.88 11.88

42 Step 8 13.19 13.19 13.19

48 Step 9 14.65 14.65 14.65

54 Top 16.28 16.28 16.28

14 9

Eff

1/21/03

Eff

11/30/03

Eff

11/30/04

6 Step 2 8.88 9.36 9.43

12 Step 3 9.43 10.23 10.33

24 Step 5 11.09 12.22 12.40

30 Step 6 12.21 13.36 13.59

36 Step 7 13.50 14.60 14.89

42 Step 8 14.98 15.96 16.32

48 Step 9 16.64 17.44 17.88

54 Top 18.49 19.04 19.61

15 0

Eff

11/16/08

Eff

11/16/09

Eff

11/16/10

0 Start 10.00 10.20 10.40

6 Step 2 11.03 11.25 11.48

12 Step 3 12.17 12.41 12.66

18 Step 4 13.42 13.69 13.96

24 Step 5 14.81 15.11 15.41

30 Step 6 16.34 16.67 17.00

36 Step 7 18.02 18.38 18.75

42 Step 8 19.88 20.28 20.69

48 Step 9 21.93 22.37 22.82

54 Top 24.19 24.67 25.16

15 1

Eff

11/16/08

Eff

11/16/09

Eff

11/16/10

12 Step 3 12.98 13.24 13.50

18 Step 4 14.33 14.62 14.91

24 Step 5 15.81 16.13 16.45

30 Step 6 17.44 17.79 18.15

36 Step 7 19.25 19.64 20.03

42 Step 8 21.24 21.66 22.09

48 Step 9 23.43 23.90 24.38

54 Top 25.88 26.40 26.93

15 2

Eff

11/16/08

Eff

11/16/09

Eff

11/16/10

0 Start 10.83 11.05 11.27

12 Step 3 13.19 13.45 13.72

18 Step 4 14.56 14.85 15.15

24 Step 5 16.07 16.39 16.72

30 Step 6 17.73 18.08 18.44

36 Step 7 19.56 19.95 20.35

42 Step 8 21.59 22.02 22.46

48 Step 9 23.83 24.31 24.80

54 Top 26.31 26.84 27.38

15 3

Eff

11/16/08

Eff

11/16/09

Eff

11/16/10

18 Step 4 14.73 15.02 15.32

24 Step 5 16.25 16.58 16.91

30 Step 6 17.93 18.29 18.66

54 Top 26.60 27.13 27.67

15 4

Eff

1/21/03

Eff

11/30/03

Eff

11/30/04

0 Start 10.97 11.02 11.07

24 Step 5 14.32 15.71 15.95

30 Step 6 15.75 17.17 17.48

36 Step 7 17.42 18.76 19.15

42 Step 8 19.32 20.50 20.98

48 Step 9 21.47 22.40 22.99

54 Top 23.82 24.50 25.21

15 5

Eff

1/21/03

Eff

11/30/03

Eff

11/30/04

0 Start 10.97 11.02 11.07

24 Step 5 14.32 15.71 15.95

30 Step 6 15.75 17.17 17.48

36 Step 7 17.42 18.76 19.15

42 Step 8 19.32 20.50 20.98

48 Step 9 21.47 22.40 22.99

54 Top 23.82 24.50 25.21

15 6

AGES

JOB

CLASSIFICATION

WAGE

SCHED 65-70 64 63 62 61 60 59 58 57 56 55

November 16, 2008 TO November 15, 2009

Schedule 1 65 30.80 29.30 27.70 26.20 24.60 23.10 21.60 20.00 18.50 16.90 15.40

Schedule 2 66 32.30 30.70 29.10 27.50 25.80 24.20 22.60 21.00 19.40 17.80 16.20

Schedule 3 68 35.50 33.70 32.00 30.20 28.40 26.60 24.90 23.10 21.30 19.50 17.80

Schedule 5 81 35.20 33.40 31.70 29.90 28.20 26.40 24.60 22.90 21.10 19.40 17.60

Schedule 6 61 37.40 35.50 33.70 31.80 29.90 28.10 26.20 24.30 22.40 20.60 18.70

Schedule 10 75 39.90 37.90 35.90 33.90 31.90 29.90 27.90 25.90 23.90 21.90 20.00

Schedule 10A 74 38.90 37.00 35.00 33.10 31.10 29.20 27.20 25.30 23.30 21.40 19.50

Schedule 10B 80 40.00 38.00 36.00 34.00 32.00 30.00 28.00 26.00 24.00 22.00 20.00

Schedule 12 77 43.70 41.50 39.30 37.10 35.00 32.80 30.60 28.40 26.20 24.00 21.90

Schedule 13 88 45.40 43.10 40.90 38.60 36.30 34.10 31.80 29.50 27.20 25.00 22.70

Schedule 15 63 52.20 49.60 47.00 44.40 41.80 39.20 36.50 33.90 31.30 28.70 26.10

Schedule 16 70 55.80 53.00 50.20 47.40 44.60 41.90 39.10 36.30 33.50 30.70 27.90

Schedule 17 76 56.80 54.00 51.10 48.30 45.40 42.60 39.80 36.90 34.10 31.20 28.40

Schedule 18 71 57.40 54.50 51.70 48.80 45.90 43.10 40.20 37.30 34.40 31.60 28.70

Schedule 18A-2 72 58.00 55.10 52.20 49.30 46.40 43.50 40.60 37.70 34.80 31.90 29.00

Schedule 18B-2 73 58.70 55.80 52.80 49.90 47.00 44.00 41.10 38.20 35.20 32.30 29.40

15 7

AGES

JOB

CLASSIFICATION

WAGE

SCHED 65-70 64 63 62 61 60 59 58 57 56 55

November 16, 2009 TO November 15, 2010

Schedule 1 65 31.50 29.90 28.40 26.80 25.20 23.60 22.10 20.50 18.90 17.30 15.80

Schedule 2 66 33.00 31.40 29.70 28.10 26.40 24.80 23.10 21.50 19.80 18.20 16.50

Schedule 3 68 36.30 34.50 32.70 30.90 29.00 27.20 25.40 23.60 21.80 20.00 18.20

Schedule 5 81 35.50 33.70 32.00 30.20 28.40 26.60 24.90 23.10 21.30 19.50 17.80

Schedule 6 61 38.20 36.30 34.40 32.50 30.60 28.70 26.70 24.80 22.90 21.00 19.10

Schedule 10 75 40.90 38.90 36.80 34.80 32.70 30.70 28.60 26.60 24.50 22.50 20.50

Schedule 10A 74 40.30 38.30 36.30 34.30 32.20 30.20 28.20 26.20 24.20 22.20 20.20

Schedule 10B 80 40.90 38.90 36.80 34.80 32.70 30.70 28.60 26.60 24.50 22.50 20.50

Schedule 12 77 43.70 41.50 39.30 37.10 35.00 32.80 30.60 28.40 26.20 24.00 21.90

Schedule 13 88 45.40 43.10 40.90 38.60 36.30 34.10 31.80 29.50 27.20 25.00 22.70

Schedule 15 63 53.40 50.70 48.10 45.40 42.70 40.10 37.40 34.70 32.00 29.40 26.70

Schedule 16 70 57.10 54.20 51.40 48.50 45.70 42.80 40.00 37.10 34.30 31.40 28.60

Schedule 17 76 58.10 55.20 52.30 49.40 46.50 43.60 40.70 37.80 34.90 32.00 29.10

Schedule 18 71 58.70 55.80 52.80 49.90 47.00 44.00 41.10 38.20 35.20 32.30 29.40

Schedule 18A-2 72 58.90 56.00 53.00 50.10 47.10 44.20 41.20 38.30 35.30 32.40 29.50

Schedule 18B-2 73 59.30 56.30 53.40 50.40 47.40 44.50 41.50 38.50 35.60 32.60 29.70

15 8

AGES

JOB

CLASSIFICATION

WAGE

SCHED 65-70 64 63 62 61 60 59 58 57 56 55

November 16, 2010 TO November 15, 2011

Schedule 1 65 32.20 30.60 29.00 27.40 25.80 24.20 22.50 20.90 19.30 17.70 16.10

Schedule 2 66 33.70 32.00 30.30 28.60 27.00 25.30 23.60 21.90 20.20 18.50 16.90

Schedule 3 68 37.10 35.20 33.40 31.50 29.70 27.80 26.00 24.10 22.30 20.40 18.60

Schedule 5 81 35.90 34.10 32.30 30.50 28.70 26.90 25.10 23.30 21.50 19.70 18.00

Schedule 6 61 39.10 37.10 35.20 33.20 31.30 29.30 27.40 25.40 23.50 21.50 19.60

Schedule 10 75 41.80 39.70 37.60 35.50 33.40 31.40 29.30 27.20 25.10 23.00 20.90

Schedule 10A 74 41.50 39.40 37.40 35.30 33.20 31.10 29.10 27.00 24.90 22.80 20.80

Schedule 10B 80 41.90 39.80 37.70 35.60 33.50 31.40 29.30 27.20 25.10 23.00 21.00

Schedule 12 77 43.70 41.50 39.30 37.10 35.00 32.80 30.60 28.40 26.20 24.00 21.90

Schedule 13 88 45.40 43.10 40.90 38.60 36.30 34.10 31.80 29.50 27.20 25.00 22.70

Schedule 15 63 54.60 51.90 49.10 46.40 43.70 41.00 38.20 35.50 32.80 30.00 27.30

Schedule 16 70 58.40 55.50 52.60 49.60 46.70 43.80 40.90 38.00 35.00 32.10 29.20

Schedule 17 76 59.30 56.30 53.40 50.40 47.40 44.50 41.50 38.50 35.60 32.60 29.70

Schedule 18 71 60.00 57.00 54.00 51.00 48.00 45.00 42.00 39.00 36.00 33.00 30.00

Schedule 18A-2 72 60.00 57.00 54.00 51.00 48.00 45.00 42.00 39.00 36.00 33.00 30.00

Schedule 18B-2 73 60.20 57.20 54.20 51.20 48.20 45.20 42.10 39.10 36.10 33.10 30.10

15 9

WAGE

JOB CLASSIFICATION SCHEDULE YEAR 1 YEAR 2 YEAR 3

Schedule 1 65 23.70 24.30 24.80

Schedule 2 66 24.80 25.40 25.90

Schedule 3 68 27.30 27.90 28.50

Schedule 5 81 27.10 27.30 27.60

Schedule 6 61 28.70 29.40 30.00

Schedule 10 75 30.70 31.40 32.10

Schedule 10A 74 29.90 31.00 31.90

Schedule 10B 80 30.70 31.50 32.20

Schedule 12 77 33.60 33.60 33.60

Schedule 13 88 34.90 34.90 34.90

Schedule 15 63 40.10 41.10 42.00

Schedule 16 70 42.90 43.90 44.90

Schedule 17 76 43.70 44.70 45.60

Schedule 18 71 44.10 45.20 46.10

Schedule 18A-2 72 44.60 45.30 46.20

Schedule 18B-2 73 45.10 45.60 46.30

16 0

Schedule

Number

Schedule 1 65 68 70 72 846 864 880

Schedule 2 66 72 74 74 886 902 922

Schedule 3 68 78 80 82 974 992 1012

Schedule 5 81 76 78 80 936 956 974

Schedule 6 61 84 84 86 1026 1046 1066

Schedule 10 75 88 90 92 1096 1118 1140

Schedule 10A 74 88 90 92 1096 1118 1140

Schedule 10B 80 90 92 92 1102 1124 1146

Schedule 15 63 116 118 120 1432 1460 1490

Schedule 16 70 124 126 130 1532 1562 1594

Schedule 17 76 126 128 132 1558 1588 1620

Schedule 18 71 128 130 132 1574 1606 1638

16 1

In recent cases of technological displacement, questions have

arisen regarding the eligibility of payment of moving expenses for

employees transferring as a result of a technological

displacement, and the same status of employees displaced

(bumped) by employees who are technologically displaced. To

settle these questions of interpretation, it is understood and agreed

that employees who are technologically displaced and who

transfer to another exchange as a result of either accepting

reassignment to an available job or displacing (bumping) a junior

employee shall have reasonable expenses in connection with the

transfer borne by the company, as stated in Article 18, Section

2.B.3. of the current Agreement. It is further understood and

agreed that if employees are technologically displaced and elect to

displace (bump) a junior employee, under the provisions of Article

18, Section 2.B.4., such employee subsequently displaced

(bumped) shall be considered as surplus and shall be covered by

the provisions of Article 18, Section 1., Reduction in Force.

Initial Agreement: 10/12/82

Approved:

J. J. Gurganus, CWA Representative-Independents, CWA,

11/29/96

16 2

In an effort to meet temporary staffing requirements and to

minimize the need for contractors, Carolina Telephone and

Telegraph Company (the Company) and Locals 3680, 3681,

3682, and 3685 of the Communications Workers of America

(the Union) agree that the Company will have the right to

supplement the work force within the jurisdiction of the

Union with other Company employees under the conditions

outlined below:

The Company will have the right to make short-term

temporary assignments not to exceed ten (10) working days

resulting from the following:

1. Unscheduled absences.

2. Skill and training requirements.

3. Abnormal, nonrecurring workloads (such as golf

tournaments, weather conditions, PBX installations,

unusually high service order or trouble activity).

4. Special projects (such as pay station conversions,

inventories, UCRIS conversions).

Should conditions warrant, the above may be extended for an

additional ten (10) working days upon notification to the

Union.

16 3

Where temporary assignment needs are in excess of twenty

(20) working days, the Company shall first offer such

temporary work to qualified employees who are represented

by the Union who are on layoff.

If those employees who are on layoff refuse such temporary

work, the Company will have the right to assign other

Company employees for a period not to exceed ninety (90)

calendar days to perform such work.

These long-term temporary assignments shall be limited to

supplementing the existing work force to provide on-site

training in digital offices, to perform pre-cutover activities,

and installation of central office equipment.

This Memorandum of Understanding shall not be used to

eliminate or erode bargaining unit positions in the Union.

Should other situations occur that are not covered above, the

Parties shall discuss and handle each occurrence individually.

It is also understood that the Memorandum of

Understanding shall not be used for recurring routine

assignments. The Company shall provide a notice to the

Union of any such assignment prior to the effective day of

the assignment.

It is further agreed that this agreement is covered by

collective bargaining agreements which have a similar

reciprocal provision covering this matter.

This Memorandum of Understanding shall be effective upon

the date of agreement and shall remain in effect indefinitely.

16 4

This agreement may be amended or modified by either party

by giving written notice to the other party of such desire to so

amend or modify sixty (60) days prior to the termination date

set forth in the agreement. Any dispute over the meaning

and/or interpretation of this memorandum which cannot be

resolved by the parties within sixty (60) days, will be

expedited immediately to arbitration under Article 25 of the

Agreement. The parties agree that the use of this

memorandum may be suspended for the offending

workgroup for sixty (60) days during which times the parties

will attempt to reach a mutual resolution. Should the parties

fail to reach a resolution, the work group affected by the

dispute shall have their rights under this memorandum of

agreement suspended until the dispute is resolved.

Approved:

Betty Witte, Administrative Assistant, CWA, 11/30/02

16 5

Section 6 of the Joinder agreement regarding payroll

deduction for the CWA Savings and Retirement Trust

specifically addresses new applications and changes in

eligible employees participation. The parties hereby agree

that in the event an eligible employee cancels participation

that payroll deductions will cease at the first pay period after

the Employer is notified.

This Memorandum of Understanding is effective from the

date it is signed by both the Company and CWA

representatives until the expiration of the current agreement,

November 29, 1999.

Approved:

J. J. Gurganus, CWA Representative-Independents, CWA,

11/29/96

16 6

In order to better meet the ever-changing needs of our

customers, the Company and the Union hereby agree to

institute a program entitled "Home Garage." This program

will permit affected employees to keep their vehicles at their

home locations and be dispatched directly to the customer's

location each morning.

Listed below are some guidelines for the program:

1. The Company will determine which departments and

towns will be eligible to participate.

2. Participation will be optional.

3. Employees in the following job titles may be eligible

to participate providing the nature of the work being

performed by the employees in the group is a) other

than at the same Company owned/maintained facility

on a regular basis, b) is such that the employees can be

dispatched and report directly to the work location at

the beginning of the work day, and c) it would not be

necessary for the employee to first report to a Company

owned/maintained facility prior to his/her going to the

work location:

Business Services Technician Cable Splicer

Key Equipment Installer Repairer Utility Locator

Customer Service Technician Building Maintenance

Cable Maintenance Technician Technician

16 7

4. Individuals not electing to participate in "Home

Garage" will be assigned a reporting location.

5. The program must be flexible in that there may be

times certain employees will be required to report to

the work center to complete assigned projects.

6. In work groups (for reporting locations) with five or

more eligible employees, a 50% or better participation

level will be required for home garaging to be

implemented. Exceptions to this policy will be

addressed individually.

7. Employees should be at the first assignment at the

scheduled starting time of the tour at the last

assignment at the scheduled ending time of the tour,

unless overtime is required, then, the paid time ceases

when the job is completed at the work site. If the first

assignment is beyond 25 miles from the designated

reference point, the Company will allow 30 minutes

travel time at the beginning of the tour. If the last

assignment is beyond 25 miles from the designated

reference point, the Company will allow 30 minutes

travel time. These rules apply to call out.

8. Preferred call out will not be contingent upon "Home

Garage" employee but by current procedures.

9. Employees must live within a radius of 25 air miles of

a physical reference point to participate in the "Home

Garage" program unless agreed to by the Company.

10. No weapons will be allowed on company vehicle.

Approved:

J. J. Gurganus, CWA Representative-Independents, CWA, 11/29/96

16 8

Company Representative Union Representative

Date Date

16 9

The following interpretation regarding the implementation of

Article 18, Section 2., paragraph B.1. is considered the true

intent and meaning of the parties:

When employees are notified that a surplus may occur at a

future date due to technological change, employees in the

affected work group may be offered available jobs under the

provisions of Article 18, Force Adjustments, Section 2.B.1.

Affected employees shall be considered surplus and eligible

for available jobs from the date the affected employees are

notified until the date the surplus situation has been satisfied

or the technological change taken place or until the affected

employees refuse to take the same or equal jobs in the

affected exchange. Job placement, displacement, SIPP, or

Special Surplus Status may be offered as appropriate to

relieve such surplus.

Concurred:

J. J. Gurganus, CWA Representative-Independents, CWA,

11/29/96

17 0

The Company agrees that during the term of this Agreement

if any employee is transferred into any area covered by this

Bargaining Agreement that has a reciprocal provision shall

have their seniority honored subject to the following

conditions:

1. Only time accrued within a bargaining unit will be

credited for seniority purposes.

2. An employee returning to the bargaining unit will have

their previous bargaining unit seniority bridged after

three (3) years.

Approved:

J. J. Gurganus, CWA Representative-Independents, CWA,

11/29/96

17 1

The Union proposes that any charges that are covered by

Carolina Telephone to CWA for the administration of payroll

deduction for COPE (Committee on Political Education) be

eliminated, and the collection, disbursement and

administration be at no charge to the Union.

Approved:

J. J. Gurganus, CWA Representative-Independents, CWA,

11/29/96

17 2

This Agreement is made this 10th day of September, 2007,

between Embarq Corporation (“Embarq” or “Company”) and

the Communication Workers of America (“Union”), in order

to address current inconsistencies in the methods used to

determine seniority for new employees hired on the same

day. The parties agree as follows:

1. Seniority for new employees hired on the same day will be

determined by using the last four digits of the employees’

social security numbers with the higher number being more

senior.

2. This agreement applies only to employees hired after the

date of this agreement.

3. This agreement supersedes all local contract language

and/or past practices as it relates to determining the seniority

of employees hired on the same day who are hired after the

date of this agreement. All existing contact language and/or

past practices that are in place to address this issue shall

remain in effect for those employees hired prior to the

adoption of this agreement.

17 3

Absence Payment Limitation 76

Absences Excused With Pay 75

Absences From Duty 56

Accident and Sickness Benefit Plan 63

Adoption Assistance Plan 116

Agreement 1

Arbitration 126

Authorized Holidays 30

Bargaining Unit Health Care 104

Bulletin Boards 132

Call Out 18

Choice of Tours 44

Coach Differential 27

Collective Bargaining Procedure and Coverage 135

Company-Union Relations 6

Concession Telephone Service 119

Conditions and Terms of Transfer at Instance of

Employee

53

Conditions and Terms of Transfer of Physically

Disabled Employee

56

Definitions 1

Discipline & Discharge 119

Distribution of Agreement 132

Duration of Agreement 136

Effective Date for Wage Increases 25

Equalization of Premium Pay Work Opportunity 22

Expense in Connection with Transfers 40

Family and Medical Leave 61

Federal and State Laws 136

Force Adjustment Pay Protection Plan 97

17 4

Force Adjustments 85

Group Insurance Benefits 97

Grievance Procedure 120

Holidays 30

Holidays Falling on Saturday 31

Holidays Falling on Sunday 30

Holidays Within Vacation Period 31

Homing Rights 96

Hours of Work and Basis of Compensation 11

Inclement Weather 30

Leave of Absence for Union Duty 81

Leave of Absence (Other than Military and Union) 56

Lockouts and Strikes 128

Management Performance of Craft Work 130

Management Rights 6

Meal Allowance 42

Military Leaves 75

Non-Discrimination 8

Nonscheduled Time 19

Overtime Payment Limitation 76

Pay Basis for Travel Time 40

Pay for Authorized Holiday 21

Pay for Performance Compensation Plan and Other

Incentive Programs

137

Pay for Work on Holiday 21

Pay for Work on Sunday 20

Pay for Work on Weekdays (Other than an

Authorized Holiday)

17

Payroll Dues Deduction 133

Pensions and Benefits 107

Personal Holiday 31

Probationary Period 10

17 5

Recognition 5

Records 131

Reduction in Force 85

Relief and Meal Periods 16

Relief Differentials 27

Reporting Time Worked 16

Scheduling Tours 13

Seniority 43

Seniority During Absences 43

Seniority for Part Time Employees 44

Special Surplus Status 96

Starting Rates 25

Supplemental Income Protection Plan 92

Technological Displacements 88

Temporary Assignments 55

Termination Allowance 98

Time Considered Worked 39

Tools and Working Equipment 101

Transfer at Instance of the Company 55

Transfer at Instance of Employee 53

Transfers 51

Transfers to a Lower Rated Job 26

Travel Expense 40

Travel Time 39

Uniform Program 102

Union Rights and Responsibilities 131

Vacation Assignments 35

Vacation Pay 38

Vacation Treatment for Employees Leaving the

Service 38

176