COLLECTIVE AGREEMENT BETWEEN MAPLE LEAF CONSUMER FOODS INC. HERITAGE PLANT AND UNITED FOOD AND COMMERCIAL WORKERS CANADA, LOCAL 175

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1 .I COLLECTIVE AGREEMENT BETWEEN MAPLE LEAF CONSUMER FOODS INC. HERITAGE PLANT AND UNITED FOOD AND COMMERCIAL WORKERS CANADA, LOCAL 175 EXPIRES: DECEMBER 31, 2021

2 Table of Contents ARTICLE 1 -PURPOSE... 3 ARTICLE 2- RECOGNITION... 3 ARTICLE 3- UNION SECURITY... 3 ARTICLE 4- RELATIONSHIP... 4 ARTICLE 5- JOINT LABOUR MANAGEMENT COMMITTEE....4 ARTICLE 6- MANAGEMENT RIGHTS... 4 ARTICLE 7- HUMAN RIGHTS... 5 ARTICLE 8- PLANT STEWARDS AND NEGOTIATING COMMITTEE... 5 ARTICLE 9- NO STRIKE, NO LOCKOUT... 6 ARTICLE 10- GRIEVANCE PROCEDURE... 6 ARTICLE 11 - ARBITRATION... 8 ARTICLE 12- SENIORITY... 8 ARTICLE 13- VACANCIES, JOB POSTINGS, PROMOTIONS AND TRANSFERS ARTICLE 14- LAYOFF AND RECALL ARTICLE 15- HOURS OF WORK ARTICLE 16- OVERTIME ARTICLE 17- WAGES ARTICLE 18- STATUTORY HOLIDAYS ARTICLE 19 - VACATIONS ARTICLE 20- LEAVE OF ABSENCE ARTICLE 21 -UNIFORMS AND TOOLS ARTICLE 22- HEALTH AND WELFARE, DENTAL AND PENSION BENEFITS ARTICLE 23- HEALTH AND SAFETY ARTICLE 24- UFCW TRAINING AND EDUCATION ARTICLE 25- PLANT SHUTDOWNS ARTICLE 26- EXPIRATION AND RENEWAL SCHEDULE "B" LETTERS OF UNDERSTANDING PART-TIME EMPLOYEES PERSONAL BREAKS FOOD SAFETY CHIEF STEWARD PLANT WIDE OVERTIME VACATION APPRENTICESHIP PROGRAM CASUAL EMPLOYEES TEMPORARY AGENCY EMPLOYEES SENIORITY JOINT LABOUR MANAGEMENT COMMITTEE

3 ARTICLE 1 - PURPOSE 1.1 The purpose of this Agreement is to set out the terms and conditions of employment and to provide an amicable method of settling differences or grievances. ARTICLE 2 - RECOGNITION 2.1 The Company recognizes the United Food and Commercial Workers Canada, Local 175 as the sole and exclusive bargaining agent of all employees of Maple Leaf Consumer Foods Inc. at the new Maple Leaf Consumer Foods Facility, save and except working Supervisors and those above such rank, Drivers, Operating Engineers, System Technologists, Security Personnel, Office and Technical Staff, Quality Control and Lab Personnel, Product Development Personnel, and Process Leaders. 2.2 Use of the masculine gender in this agreement shall also be considered to include the feminine. ARTICLE 3 - UNION SECURITY 3.1 All employees shall complete a union membership application and maintain membership therein as a condition of employment, and shall authorize the deduction of union dues and initiation fees. Deductions will be forwarded to the UFCW, Local 175 with a list showing the names of the employees from whom deductions were made to the Union by the first of the month following the deduction. The remittance statement shall be documented by Department containing a dues and initiation report which will be provided in the form of (remit@ ufcw175.com) or on a computer disk, as well as a hard copy of the dues report being attached to the remittance cheque. The information provided shall be on a standard spreadsheet in Excel or other software program acceptable and adaptable to the Union. The spreadsheet will be in a format provided by the Union and the Company will provide the following information, as known to the Company: 1. S.I.N. 2. Employee Number 3. Full Name (Last, First, Initial) 4. Full Address 5. Telephone Number 6. Date of Full-Time Hire 7. Rate of Pay 8. Full-Time, Part-Time Designation 9. Union Dues Deducted 10. Total Dues Deducted 3

4 11. Seniority Date 12. Initiation Fees Deducted 13. Total Initiation Fees Deducted 3.2 Upon request by the Union, the Company agrees to provide from Company records a list of all employees' full names, addresses and telephone numbers. ARTICLE 4- RELATIONSHIP 4.1 The Company will provide two (2) bulletin boards for the use of the Union. 4.2 The Business Representative of the Union may, with prior approval, enter the Company premises from time to time or do unit visits in the administration of this Agreement. These visits will in no way disrupt the efficient operation of the Plant. ARTICLE 5 -JOINT LABOUR MANAGEMENT COMMITTEE 5.1 The Company and the Union agree to establish a Joint Labour Management Committee (JLM) to address issues of concern to the Union and the Company. The meeting will be held monthly. The JLM will review Steward requirements on an annual basis. 5.2 The Committee will consist of representatives from the Company including the Senior Operating Manager of the Plant, the H.R. Manager, full-time Union Representative, and the Chief Steward. 5.3 Upon mutual agreement, the parties may convene additional meetings to those indicated above. The Vice President of Labour Relations and the President of the Union will endeavour to attend one meeting per year. 5.4 The parties will make their best efforts to address and resolve issues raised at the JLM meeting. 5.5 The JLM will in no way replace, preclude, or form part of the Grievance and Arbitration procedure, nor will the JLM be used as a forum for the discussion of grievances or disciplinary action. ARTICLE 6 - MANAGEMENT RIGHTS 6.1 The Union recognizes and acknowledges that the management of the business enterprise and direction of the working force are fixed exclusively with the Employer and that nothing in the Agreement shall limit the Employer in the exercise of its function of management. Without restricting the generality of the foregoing, the Union acknowledges that it is the exclusive function of the Employer to: 4

5 (a) (b) (c) (d) Maintain order, discipline, efficiency and safety and to make, alter and enforce from time to time, reasonable rules and regulations, policies and practices to be obeyed by its employees. Hire, promote, demote, classify, transfer, layoff and retire employees; Discharge, suspend, or otherwise discipline employees for just cause; Generally to manage the processing enterprise in which the Employer is engaged and without restricting the generality of the foregoing, to determine the number and the location of Plants, the methods of production, the schedule of production, the kind and operation of machines and equipment to be used, the process of production, the formulating of products, and the control of material to be incorporated into products, and to establish standards of quality and quantity for all equipment and operations, and extend, limit, curtail or cease operations or services of any part thereof. ARTICLE 7- HUMAN RIGHTS 7.1 The Company and the Union agree that in accordance with the Ontario Human Rights Code, they shall not discriminate against any employee because of race, ancestry, place of origin, colour, ethnic origin, citizenship, creed, sex, sexual orientation, age, marital status, family status or disability. 7.2 The Company and the Union agree that there shall be no discrimination or tolerance for the same in respect to any employee for membership or activity in the Union or in respect to any employee who chooses to not have an active role in the Union. ARTICLE 8- PLANT STEWARDS AND NEGOTIATING COMMITTEE 8.1 The Union shall elect or appoint no more than fifteen (15) Stewards and a Chief Steward, who are members of the Union who shall assist in the handling of grievances and other Union activities. The Union will make every effort to ensure that Stewards are distributed as equitably as possible across departments and shifts. 8.2 The Union shall maintain a list of Stewards and a Chief Steward and provide it to the Company. The Company shall recognize only such employees as Stewards. 8.3 The investigation of grievances shall take place, whenever possible, on rest or meal breaks, or outside working hours, and shall not be designed to interfere with productivity. Stewards, including the Chief Steward, shall not use such time needlessly or without proper justification. 5

6 8.4 The Union shall have the right to appoint or elect up to four (4) Union members to the Negotiating Committee which will include the Chief Steward. 8.5 The Company agrees to pay one-half (Y2) the cost of the common meeting room for all negotiations. 8.6 The Company agrees to pay one-half (Y2) the cost of printing the Collective Agreement. ARTICLE 9- NO STRIKE, NO LOCKOUT 9.1 The Company agrees that during the life of this Agreement, it shall not cause or direct any lockouts of employees and the Union agrees that it shall not cause or direct any strikes of its members. The term "strike" or "lockout" shall have the same meaning as in the Ontario Labour Relations Act. The Union undertakes that, in the event of any violation of the foregoing provision, it will immediately take steps necessary to put an end to the conduct in violation of that provision. ARTICLE 10 - GRIEVANCE PROCEDURE An employee, the Union or the Company may present a written grievance concerning the interpretation, application or alleged violation of the Collective Agreement. Grievances may be filed by an individual, by a group, or by the Union or the Company Written grievances must be filed within seven (7) calendar days of the event giving rise to the grievance. Any grievance dealing with the discharge of an employee must be filed in writing within five (5) calendar days after the discharge occurs. Any extension to the time limits will only be granted by agreement of the responding party Step No. 1 If an employee has a concern, the employee may bring the matter to a member of management. The Company will respond as soon as possible in an attempt to address the concern. If requested by the employee, a Steward shall attend. If the matter is not resolved within seven (7) calendar days, a written grievance will be filed. 6

7 Step No.2 Failing settlement at Step No. 1, a Step 2 meeting will be scheduled with the Chief Steward or their designate, the Steward handling the grievance, the Griever, and a member of management. Step No.3 Failing settlement at Step No. 2, the grievance will be discussed at the next scheduled Step 3 meeting. The Business Representative of the Union, the Chief Steward or their designate, the Steward handling the grievance and the Griever may also attend the meeting. A grievance which has been discussed at a Step 3 meeting and has received a final written response may be referred to Arbitration by either party. Referral to Arbitration shall be within fourteen (14) calendar days. This procedure does not preclude utilizing other mutually agreed processes, other than the JLM, to settle grievances Neither party shall raise or proceed with a timeliness issue argument regarding "filing for arbitration" without first giving the other party written prior notice of its intent to do so. Should either party serve such notice on the other party the parties further agree that the final time frame in the Collective Agreement respecting "filing for arbitration" shall then be triggered. The parties further agree that any Board of Arbitration or single Arbitrator shall have full jurisdiction to adjudicate the matter respecting timeliness in light of this Agreement and shall not be restricted by the Ontario Labour Relations Act in doing so The Company will administer discipline as close to the alleged incident as possible When an employee is given formal written discipline, a Union Steward must be present. The Steward will be provided a copy of the discipline notice and forward it to the Chief Steward Where an employee received a verbal/written disciplinary notice and receives no further discipline for a period of fifteen (15) clear months [eighteen {18) for suspensions/final warnings] from the date of the discipline, or the discipline is withdrawn by the grievance or arbitration procedure, such discipline shall be removed from the employees record and shall not be relied upon in any subsequent action or arbitration proceedings. 7

8 ARTICLE 11 -ARBITRATION 11.1 The parties shall mutually agree to appoint a sole Arbitrator to provide a final and binding resolution to any grievance referred to arbitration. No person shall be selected or appointed as an Arbitrator who has been directly involved in attempts to negotiate or settle the grievance. Where the parties cannot agree on an Arbitrator, the Ontario Ministry of Labour will be requested to make the appointment. Either the Union or the Company can apply for a single Arbitrator under Section 49, or the Section(s) providing such facility, of the Labour Relations Act The Arbitrator shall not have jurisdiction to alter or change any provision of this Agreement, or to render any decision inconsistent with the Agreement or deal with any matters not covered by the Agreement. An Arbitrator has power to interpret and apply human rights and other employment related statutes The expense and fee of the Arbitrator shall be borne equally by the parties to the arbitration proceeding. ARTICLE 12 - SENIORITY 12.1 Seniority as referred to in this Agreement shall mean the length of continuous service in the employ of the Company in the bargaining unit since the last date of hire. Seniority for full-time employees shall operate on a combination of Department, Process Area and Plant basis. The Company and the Union agree there will be a full-time and a part-time seniority list. Seniority for full-time employees will be used to determine shift preference, vacation entitlement, wage progression, layoff and recall and as a factor in job postings and vacation scheduling Part-time employees shall have seniority for the following purposes: (a) Scheduling of hours of work - the Company will schedule part-time employees by departmental seniority provided they have been qualified by Management for the work required. (b) Layoff and recall by seniority- in the event a part-time employee is laid off for more than seven (7) days, they may exercise their seniority to claim available part-time work in another Department, within their Process Area, provided they have the demonstrated skill and present ability to perform the. work and have been previously qualified by Management. Demonstrated skill and present ability means that the employee has performed the job in the past twelve (12) months, to the satisfaction of the Company. 8

9 (c) (d) Establishing vacations entitlement. Establishing rate of pay on the wage progression New employees shall be on probation for a period of one thousand, one hundred (11 00) hours worked. Such probation period may be extended where the Company and Union mutually agree to do so. The Company, at its discretion, may discharge any probationary employee within the above time limit, with or without just cause The current Process Areas are defined as follows: 1. Materials 2. Wiener Operations 3. Deli-Bolo Operations 4. Central Services 12.5 The current list of Departments is as follows: Materials: Group 1: Shipping/Warehouse/Plant Services Wiener Operations: Group 2: Defrost/X-Ray/Receiving/Dry Goods & Wiener Raw Group 4: Wiener ATE Deli-Bolo Operations: Group 3: Deli/Bolo Raw Group 5: Deli/Bolo ATE Central Services: Reliability FSQA The Company has the ability to create additional Departments or delete or amend Departments during the life of this Agreement The seniority of an employee shall cease and employment terminated if: (a) (b) the employee voluntarily quits, retires or the employee is absent without leave for three (3) working days without reasonable excuse, or 9

10 (c) (d) (e) (f) the employee is discharged for cause and such discharge is not reversed under the grievance procedure, or the employee fails to report to work after recall from layoff. Failure to read or pick up a delivery recall notice shall not constitute non-delivery, or the employee has been absent from work due to illness or injury for twelve (12) months, provided such termination is not in conflict with applicable Human Rights legislation. the employee has been on lay-off for 12 months except where recall rights have been extended in writing at the discretion of the Company The Company will provide a current copy of the Plant seniority list to the Chief Steward every three (3) months. Employees with identical seniority dates will be ordered alphabetically by last name. ARTICLE 13 - VACANCIES, JOB POSTINGS, PROMOTIONS AND TRANSFERS 13.1 Job vacancies or newly created jobs will be posted on the Job Opportunities Bulletin Board for seven (7) calendar days. The notice will identify the Job Classification to be filled, the Process Area, the Department, qualifications required, the hours of work (shift) and the wage rate for the job. Successful applicants may be assigned to any work within their Department on their shift Prior to commencing a leave of absence, an employee may submit a request in writing to be considered for job postings which may occur while the employee is on leave, provided they will be returning within four (4) weeks In filling job vacancies, including promotions, the job shall be awarded within fourteen (14) days of the close of the posting. In selecting an employee for a job posting, the Company will consider the employees' skill and present ability and their seniority. Reliability, Skilled 1 and Skilled 2 job postings will be awarded to the best candidate as determined by the Company. For all other positions, where the skill and ability of two (2) candidates are relatively equal, the senior applicant will be awarded the position From time to time the Company will post training opportunities for Semi-Skilled and Skilled positions. Employees who have completed training opportunities and deemed qualified for a position will be given preference during the job posting process and will have the opportunity to work as back-up when required. 10

11 Training opportunities for Skilled and Semi-Skilled positions will be awarded to the best candidate as determined by the Company. The Company will consider the employee's skill, ability and qualification when assigning training opportunities. If these factors are equal the senior applicant will be awarded the position. Employees awarded a training opportunity will receive a training period of up to ten (1 0) working days. If the employee does not successfully complete the training period, he will be returned to their former position Employees awarded a job posting will receive a trial period of up to fifteen (15) working days, unless otherwise agreed to by the Parties. If the employee does not successfully complete the trial period, or during the trial period decides not to continue in the job, he will be returned to their former position. Any other employee affected will also be returned to their former position. Employees who are awarded a position and choose not to accept it will be required to advise the Company in writing within five (5) calendar days of being awarded the job Only the original job and the job vacated by the successful applicant will be posted. Any further vacancies will be filled from any source available, but there is no requirement to post Successful applicants may not apply for further job postings for at least twelve (12) months in the case of moving to a lower or lateral position, nine (9) months in the case of a promotion. Upon consultation with the Union, this requirement may be waived at the Company's discretion Probationary employees shall not be eligible to apply for job postings until such time as they have completed their probation period From time to time, the Company may, at its discretion, assign an employee to work outside of the employee's current classification or Department. If such is the case for a period in excess of two (2) hours, the employee is paid for all hours worked at the higher classification for the duration when working at the higher classification Lead Hands are mainly required to provide daily guidance and support to production but will not have the authority to hire, fire or discipline. Lead Hand positions will be posted to allow interested employees to apply, but the position will be designated by Management. An employee designated as a Lead Hand by Management shall be paid a premium for all hours worked. 11

12 ARTICLE 14- LAYOFF AND RECALL 14.1 A layoff, for the purposes of this Article shall be defined as occurring only where a full-time employee has no available hours for more than three (3) consecutive regular working days. In the event of a layoff, probationary employees will be laid off first, followed by part-time employees from the affected Department(s) in reverse order of seniority, provided the remaining employees have the demonstrated skill and present ability to perform the remaining work. In the event of a layoff of full-time employees of more than three (3) consecutive regular working days, the most junior full-time employees in the Department will be laid off first, provided the remaining employees have the demonstrated skill and present ability to perform the remaining work. A full-time employee laid off work in his or her Department shall bump the most junior full-time employee in their Process Area, then within the Plant, provided the employee has the demonstrated skill and present ability to do the work of the most junior full-time employee. Employees on layoff will be recalled in order of seniority provided they have the demonstrated skill and present ability to do the available work. In the event of a layoff longer than seven (7) regular working days, notice of recall will be in writing or by confirmed , to the last recorded address of the employee. For layoffs less than seven (7) regular working days, the Company will verbally inform a laid off employee in person or by telephone as to the day they should return from layoff. Qualified, means that the employee must have successfully completed probation and be considered competent to perform all the duties of the job in the Department as determined by the Company. Demonstrated skill and present ability means that the employee has performed the job in the past twelve (12) months, to the satisfaction of the Company. Except in the case of emergency or circumstances beyond the control of the Company as defined in Article 15.08, the Company shall notify employees who are expected to be laid off for more than seven (7) consecutive working days. In such cases, the notice shall be three (3) calendar days prior to the effective date of the extended layoff, or pay in lieu thereof, unless a greater period of notice is required by law. If work is available beyond the effective date of the initial layoff, there is no requirement to give another three (3) days' notice of layoff. No new employee shall be hired until those laid off have been given the opportunity to be recalled, unless the laid off employees are not qualified to perform the available work. 12

13 ARTICLE 15- HOURS OF WORK 15.1 The Company may assign regular shifts of twelve (12) hours or a combination of eight (8), ten (1 0) and twelve (12) hour shifts as deemed necessary by Management The Company may operate areas of the Plant on a normal work day schedule of up to twelve (12) hours and a normal work week schedule of up to forty-eight (48) hours. If the Company makes application to the Director of Employment Standards to adopt a regular schedule of up to twelve (12) hours per day and up to forty-eight (48) hours per week, such application will be supported by the Union There is no guarantee of hours of work per day or week, nor a guarantee of a working schedule The Plant will operate on a seven (7) day work schedule, Sunday to Saturday inclusive Full-time employees will be scheduled by Department, by shift. Hours will be assigned by classification, by seniority, provided the senior employee is qualified and has the demonstrated present ability to perform the work required. Part-time employees will be scheduled weekly on an as-needed basis The Company shall post a work schedule for all employees, either working fulltime or part-time, no later than Thursday of each week for the following week. The Company has the right to call in employees not previously scheduled to work if required by the business. The parties recognize the need to create a work life balance that addresses both the operational requirements of the Company and the need of employees to have consistent schedules. Therefore, the Company shall provide a minimum of 48 hours' notice in the event of a schedule change. The parties recognize this may not be possible in the event of an emergency or unplanned absence, in which case as much notice as possible shall be provided If a Department is short hours on a particular shift, part-time employees will be sent home first, followed by full-time employees, by classification, in reverse order of seniority, providing the remaining employees are qualified and have the demonstrated skill and present ability to perform the available work The Company will provide employees reporting to work as scheduled either a minimum of four (4) hours work or a maximum of four (4) hours reporting pay at their straight time rate. In the event of an emergency, breakdown, fire, flood, strike, power failure, snowstorm, Act of God or other causes beyond the Company's control, the 13

14 Company shall endeavour to notify employees to not report, however, employees reporting to work and finding no work as a result of such causes beyond the Company's control will not receive reporting pay The Company agrees that any employee who is called in to work when they have not been previously scheduled to work will receive a minimum of tour (4) hours work or up to tour (4) hours reporting pay at the appropriate rate For employees working an eight (8) hour shift schedule, the Company will provide a fifteen (15) minute paid rest period during the first halt of the normal shift and an additional fifteen (15) minute paid rest period during the second halt of the shift, there will be a one-halt (%) hour unpaid lunch. For employees working a shift of ten (1 0) hours or more, the Company will provide two (2) fifteen (15) minute and one (1) ten (1 0) minute paid rest periods. There will be a one-halt (%) hour unpaid lunch. For employees working a twelve (12) hour shift schedule, the Company will provide three (3) fifteen (15) minute paid rest periods. There will be a one-halt (Y2) hour unpaid lunch. When more than two (2) hours of overtime work is scheduled continuous with the regular shift, employees will be granted an additional fifteen (15) minute paid rest period Personal Breaks (a) (b) The Union agrees that except in cases of personal necessity, employees shall not ask tor additional time ott during the working day. The Union agrees that rest periods must not be abused. Employees shall not be disciplined or discharged as a result of authorized usage of time tor personal breaks granted by the Company. However, as a deterrent to excess usage the following measures will apply: (i) (ii) Employees will have the time used on each break deducted from their weekly hours worked. Employees who tor reasons supported by medical documentation show a specific condition to exist which necessitates greater use of the washroom will not have time deducted tor use of the washroom. 14

15 15.12 Shift Premiums Afternoon shift shall be defined as a shift where the majority of an employee's scheduled hours tall between 3:00p.m. and 11 :00 p.m. Effective January 1, 2019, the Company agrees to pay any employee working the afternoon shift twenty (20 ) cents per hour in addition to the employee's regular hourly rate of pay, for all regularly scheduled hours worked, not to include overtime. Effective January 1, 2021 increase to thirty cents (30 ). Night shift shall be defined as a shift where the majority of an employee's scheduled hours tall between 11:00 p.m. and 8:00a.m. The Company agrees to pay any employee working the night shift forty-five (45) cents per hour in addition to the employee's regular hourly rate of pay, tor all regularly scheduled hours worked, not to include overtime. Effective January 1, 2020 increases to fifty cents (50 ). ARTICLE 16 - OVERTIME 16.1 The Company reserves the right to determine overtime work in accordance with the requirements of the business Overtime will be distributed on the basis of seniority, first within job classifications required within the Department, then within the rest of the Department, and then within the Process Area. When it becomes necessary to have employees work in excess of their scheduled shift, the Company will first solicit presently qualified volunteers within the Department. It there are not enough volunteers, the Company will require the least senior presently qualified employee(s) in the Department to perform the required work The Company will pay one and one-halt (1 Y2) times the employees' regular rate to employees tor all hours worked in excess of their regularly scheduled shift, as long as the employee works all scheduled shifts in a week, or forty (40) hours in a calendar week It an employee is paid one and one-half (1 Y2) times their regular rate tor any hours worked prior to reaching forty (40) hours worked in a calendar week, such hours paid at time and one-halt (1 Y2) will not count as part of the forty (40) hours worked that are necessary to require further payment of one and one-halt (1Y2) There shall be no pyramiding of overtime The Company endeavours to provide as much notice of required overtime as possible. 15

16 ARTICLE 17- WAGES 17.1 The minimum hourly rates of wages for all employees shall be as set out in Schedule "A" of this Agreement. The rates of pay provided in Schedule "A" are minimum rates and apply to the job classifications. The Company reserves the right to pay all employees within a job classification higher than the classification rate The parties agree that there may be changes or additions to the list of job title and classifications. In the event of any changes or additions to Schedule "A", the Company will advise the Union. If the Union challenges the wage rate, the parties will negotiate an appropriate wage rate. If no agreement is reached, either party may refer the matter to Arbitration for resolution Certified Trainer An employee designated as a Certified Trainer by Management shall be paid an additional fifty cents (50 ) per hour for all hours worked as a Certified Trainer. In order to earn this additional premium an employee must have qualified as a Certified Trainer Pay for Skill The Company retains to option, if determined, to initiate discussions with the Union regarding pay for skill Recognition Awards The Company retains the option to develop and administer short term and/or long term employee recognition programs that reward employees for excellent performance applying both monetary and/or non-monetary awards. ARTICLE 18- STATUTORY HOLIDAYS 18.1 There shall be eleven (11) annual Holidays during the term of this Agreement. These Holidays are as follows: New Year's Day Good Friday Canada Day Labour Day Christmas Day Floating Holiday Family Day Victoria Day Civic Holiday Thanksgiving Day Boxing Day The Company will not require employees to work on the following identified Statutory Holidays: 16

17 New Years Day Good Friday Christmas Day Boxing Day Those employees required to work on a Statutory Holiday will have the following options: (a) (b) Payment for work performed on the Statutory Holiday at the premium rate and a lieu day to be taken off work with pay on a mutually agreeable date within twelve (12) months of the Statutory Holiday; or Payment for work performed at the premium rate with one (1) day's pay. The Company shall provide as much notice as possible in respect of the Statutory Holiday scheduling any, in any event, a minimum of twenty-four (24) hours notice. The right to schedule Statutory Holidays on twenty-four (24) hours shall not be unreasonably exercised. Employees not ordinarily scheduled to work on a Statutory Holiday will have the following options: (a) (b) Payment for work performed in excess of thirty-two (32) hours in the week of the Statutory Holiday at the applicable premium rate; or Payment for work performed in the week of the Statutory Holiday at their regular rate and a lieu day to be taken off work with pay on a mutually agreeable date within twelve (12) months of the Statutory Holiday. Notwithstanding the above, it is understood that Reliability employees may be required to work such Statutory Holidays. Reliability employees will be entitled to the options listed above except shall be limited to a maximum of four (4) lieu days At the discretion of the Company, the Floating Holiday may be fixed during the Christmas/New Year's season, otherwise the scheduling of the Floating Holiday will be by mutual agreement between the Company and the employee. Employees will be eligible for the Floating Holiday after twelve (12) months' service. The scheduling of the Floating Holiday will be by mutual agreement between the Company and the employee. Employees must provide a minimum of one (1) weeks' notice in advance of the posting of the work schedule. Floating Holidays must be taken during the calendar year and will not be carried over or paid out. 17

18 18.3 In the event that an additional Statutory Holiday is declared, the new Holiday will replace the Floating Holiday In the event the Holiday falls on a weekend, the Company will post a notice in advance advising employees the date on which the Holiday will be observed in their Department Full-time employees shall be entitled to a day's pay at the straight time hourly rate for such Holidays. Holiday pay for part-time employees will be in accordance with the Employment Standards Act. In order to be eligible for Holiday pay, employees must complete their entire scheduled shift before and after the Holiday, unless the employee is absent on authorized leave Employees receiving Disability Insurance benefits or Workers Compensation will be paid the difference between the benefit entitlement and the Holiday pay, at their straight time rate The work week shall be reduced by the number of Statutory Holiday hours in the week in which the Holiday is observed Payment for work performed on any of the above described Holidays shall be on the basis of time and one-half (1 Y2) the regular rate per hour, in addition to the employees' regular Holiday pay The Union agrees that the Company reserves the right to schedule Statutory Holidays on alternate dates in accordance with the needs of the business. Where it becomes necessary to schedule a Statutory Holiday on an alternate date due to operational needs, such Statutory Holiday would be moved to either the Monday or Friday falling immediately prior or post the actual Statutory Holiday. Where this is not possible, the Company will discuss with the Union. ARTICLE 19- VACATIONS 19.1 Vacation entitlement is based on service from January 1 5 1th rough December 31st of the previous year. Any outstanding vacation pay from the previous year's vacation bank that has not been taken by the December 31st pay period will be paid out by the end of the Company's fiscal first quarter. For the purposes of calculating vacation accrual, the vacation banks will be inclusive to the final pay period of the calendar year For full-time employees, accrued vacation pay is paid out the week following scheduled vacation. Part-time employees will receive vacation pay based on their length of uninterrupted service, paid as part of their regular pay. 18

19 Part-time employees who become full-time will have their uninterrupted service as a part-timer recognized in establishing their full-time vacation entitlement. The Company agrees that vacations will be scheduled by Department according to classification and seniority. Employees will advise the Company on the appropriate form by November 15th of each year. The Company will review the requests and finalize the schedule, which will be posted by December 15th. The Company will determine the number of employees entitled to be on vacation in each Department. Vacations not scheduled will be granted on a first come first serve basis at the discretion of Management Employees with less than one (1) years' service as of December 31st shall be entitled to one (1) days' vacation for each full month of service to a maximum of eighty (80) hours. Pay for such vacations shall be four percent (4%) of earnings. Employees with one (1) year or more but less than five (5) years' service as of December 31st shall be entitled to eighty (80) hours. Pay for such vacation shall be four percent (4%) of earnings. Employees with five (5) years or more but less than ten (1 0) years' service as of December 3 pt shall be entitled to one-hundred and twenty (120) hours. Pay for such vacation shall be six percent (6%) of earnings. Employees with ten (1 0) years or more but less than twenty (20) years' service as of December 31st shall be entitled to one-hundred and sixty (160) hours vacation. Pay for such vacation shall be eight percent (8%) of earnings. Employees with twenty (20) or more years' service as of December 3Pt shall be entitled to two-hundred (200) hours vacation. Pay for such vacation shall be ten percent (1 0%) of earnings For the purpose of calculating vacation pay, earnings shall be based on "gross" wages (excluding any vacation pay) earned in the 12 month vacation entitlement year Upon termination, employees shall receive vacation pay based on his/her earnings since the last vacation payout at the appropriate percentage entitlement Vacations will be scheduled in one (1) week blocks. Where vacation time is unscheduled, the Company will consider one (1) day vacation requests at the sole discretion of Management. 19

20 ARTICLE 20- LEAVE OF ABSENCE 20.1 Personal Leave All requests for personal leave of absence shall be made to the Human Resources Manager or their designate, in writing, by the employee concerned, indicating in full, the reason for requesting the leave. All requests for leave will be submitted as far in advance as possible. Except in rare and unusual circumstances, personal leave requests will not be considered for a duration longer than four (4) weeks in a calendar year. The granting or withholding of leave of absence shall be at the discretion of the Company; however, such approval will not be unreasonably withheld Union Leave The Company may grant leave of absence without pay to Union Stewards of up to ten (1 0) days per year. At the request of the Union, the Company will pay the lost wages of employees and the Union will reimburse the Company. The granting or withholding of a leave of absence shall not be unreasonably withheld. An employee elected or appointed to a paid full-time position within the Union shall be granted up to a one (1) year leave of absence without pay Jury Duty/Crown Witness Leave Employees called for jury duty or who have been subpoenaed as a witness for the Crown, will receive their straight time pay for the hours they would have otherwise worked, for the day in which they have served. At the request of the Company the employee will provide their notice of jury selection or a copy of their subpoena. Employees on an off shift will also receive this benefit Bereavement Leave In the event of the death of an immediate relative, an employee shall be granted three (3) consecutive working days off work at their regular daily shift of eight (8), ten (1 0), or twelve (12) hours pay per day respectively, at their regular wage rate. In the event of the death of a niece or nephew relative, an employee shall be granted one (1) day off work at their regular daily shift of eight (8), ten (1 0), or twelve (12) hours pay per day respectively, at their regular wage rate. "Immediate relative" shall mean the employee's mother, father, spouse, daughter, son, brother, sister, mother-in-law, father-in-law, brother-in-law, sister-in-law, grandmother, grandfather and grandchild. The Company agrees that step parents, step children and step siblings are also included as immediate relative. 20

21 If further time is required, the employee may arrange for emergency leave, personal leave or vacation time The Company will grant maternity, parental or adoption leave in accordance with the Ontario Employment Standards Act. When an employee decides to return to work after such leave, he or she shall provide the Company with at least two (2) weeks' notice. ARTICLE 21 -UNIFORMS AND TOOLS 21.1 Except where outlined in this Agreement, clothing or uniforms required by the Company will be provided at no cost to employees. Such items remain the property of the Company. Employees may be held responsible for lost items Effective January 1, 2018, Reliability employees who have completed probation will be paid a tool allowance of four hundred dollars ($400) in the first pay period in February each year for the replacement of broken tools and purchase of tools required by the Company Where the Company does not provide safety footwear, the following allowances will apply for approved footwear for all employees who have completed their probationary period: Maintenance employees- Two hundred and sixty-five dollars ($265). All other employees- One hundred and sixty-five dollars ($165). ARTICLE 22- HEALTH AND WELFARE, DENTAL AND PENSION BENEFITS 22.1 Health and Welfare benefits will be provided through the existing UFCW/Maple Leaf Foods Inc. Benefit Trust Fund. The level of benefits will be as decided by the Board of Trustees. The Company agrees to pay a forty-one (41) cents per hour contribution for all hours worked or paid in the bargaining unit. Such contributions will be forwarded to the Trust Fund within twenty-one (21) days following the Company's four or five week accounting period. It is further recognized that the intention of the Union and the Company to ensure the financial integrity of the Trust Fund and minimize the potential of the Fund failing into a deficit position. For purposes of this understanding, the Fund will be deemed to be in a deficit position if the total liabilities and reserves exceed the total assets. 21

22 In the event that the Fund is determined to be in a deficit position, or a deficit position is likely to occur, the Company agrees to contribute, in addition to the forty (40) cents per hour indicated above, the sum of money necessary as determined by the Plan's actuary, to rectify the situation. Such additional contribution will not commence before January 1, If and when additional contributions are required, said additional contributions will not exceed the amount of twenty (20) cents per hour The Company agrees to provide a Dental Plan for employees, which will be administered in accordance with the Plan Text Pension Full-time employees are required to participate in the Company Defined Contribution Plan following the completion of two (2) years full-time service. Employee contributions of two percent (2%) of straight time weekly earnings will be matched by the Company. Effective date of ratification, the Company agrees to make contributions in the amount of ten (1 0) cents for each hour worked by all Heritage employees to establish a special reserve to be used to address any impact to employee benefits under the CCWIPP as a result of a Withdrawal Event, for employees transferring from Brockley Road. Contributions will be remitted monthly to the UFCW/Maple Leaf Foods Benefit Trust (the "Manitoba Trust"). The Trustees of the Manitoba Trust will have the sole discretion to determine the amount and timing of any payments made to individual employees based on the contributions made by Maple Leaf. Maple Leaf will direct the previously agreed $275,000 reserve fund to the Manitoba Trust. The 1 0 cent per hour contribution will continue until such time that the Trustees of the Manitoba Trust deem that the employees impacted by the Brockley Withdrawal Event have been sufficiently compensated. To the extent that there is funding available in the Manitoba Trust, the Company agrees to provide a benefit to current employees who transferred from Brockley Road who lost benefits as a result of switching from CCWIPP. The benefit will be equal to one thousand ($1,000) dollars for each year of service up to April 27, The years of service will be rounded to the nearest full year. Effective January 1, 2017, the payment will be made the month following the employee's 65 1 h birthday provided the employee makes a written request for payment. Effective April 1, 2019, the Trustees will assess whether payment can be made sooner than the month following the employee's 65 1 h birthday. The Trustees of the Manitoba Trust will authorize the annual payments The Company will pay one hundred percent (1 00%) on the Ontario Employee Health Tax for as long as it is in effect. 22

23 22.5 In the event an employee has a claim denied by WSIB due to being a "noncompensable" claim, such employee would be eligible to apply for benefits under the UFCW/Maple Leaf Foods sick benefit plan, subject to meeting the terms and conditions of such plan. Should WSIB benefits subsequently be approved, the employee would be required to sign appropriate forms directing repayment to the UFCW/Maple Leaf Foods sick benefit plan. ARTICLE 23- HEALTH AND SAFETY 23.1 The Company, the Union and all employees recognize their responsibilities under the Occupational Health and Safety Act and the Workplace Safety Insurance Act will continue to follow established safe work practices and procedures for their own protection as well as for the protection of co-workers in striving to eliminate workplace accidents and illnesses and to provide a safe and healthy work environment Joint Health and Safety Committee shall be constituted of representatives of Management and the Union. The number of Management Representatives will not exceed the number of Union Representatives. The Committee shall meet at least once a month. Time spent at such meetings shall be considered time worked Right to Refuse Dangerous Work In situations where an employee has reasons to believe that the particular work is dangerous to his or her safety or health the employee shall first report his concerns to a Supervisor. If immediate action to correct the situation is not taken or if the employee is told that corrective action is not necessary but nevertheless continues to believe that the particular work is dangerous to his or her safety or health the employee shall be entitled to refuse to perform that particular work and a Company Representative will conduct a further investigation with a worker member of the JHSC. Where possible, this should be a certified member. In the event of a disagreement between the Company Representative and the worker representative as to the presence of, or degree of a hazard the Ministry of Labour will be notified. During this time period the employee shall be assigned to alternative duties available within the Plant. ARTICLE 24- UFCW TRAINING AND EDUCATION 24.1 The Company agrees to contribute three (3) cents for all hours worked and paid in the bargaining unit, to the United Food and Commercial Workers Local 175 Training and Education Fund. 23

24 The Company shall forward the contributions every four (4) weeks to the Union and shall include a list of employees and the number of hours worked and paid by each employee. The purpose of the Fund is to provide training for members of bargaining units as needed from time to time, either for personal improvement, or in co-operation with the Company, for training as decided by the Union and the Company that would be beneficial to both the Company and the Union members. ARTICLE 25 - PLANT SHUTDOWNS 25.1 In order to better meet safety, maintenance, technological and production requirements, the Company may schedule an annual shutdown for a period of one week, which may affect all or part of the Plant. The Company will provide a minimum of two (2) weeks notice in advance of the actual date of the shutdowns, except in the case of circumstances that are unforeseen or beyond the control of the Company. The Company will post the temporary jobs required during the shutdown and fill the positions by seniority, provided the employee has the demonstrated ability to perform the required work. Employees will not be considered to be on layoff and will have the opportunity to use available vacation during the shutdown. Alternatively, employees will be placed on an unpaid leave of absence for the duration of the shutdown. 24

25 ARTICLE 26- EXPIRATION AND RENEWAL 26.1 This Agreement shall be effective from the date of Union ratification, and shall remain in effect until December 31, 2021, and shall be renewed thereafter for another five (5) years at the request of either party, such request to be made not less than thirty (30) days or more than ninety (90) days before the expiry date or the anniversary of such expiry date from year to year thereafter, when either party may give notice in writing to the other party of a desire to terminate such Agreement or to negotiate a revision thereof. On the expiry date of this Agreement, as indicated above, if negotiations have not been completed, the Company and the Union agree that this Agreement will be extended automatically until either an agreement is reached, or either party exercises their legal right to strike or lockout The parties agree that the negotiations for the renewal of the Collective Bargaining Agreement for the five (5) year term beginning January 1, 2022, and notice thereof is hereby given to either party. The parties shall, within ninety (90) calendar days before January 1, 2022, exchange in writing proposed changes to the Collective Bargaining Agreement. The parties shall meet with a view to negotiated amendments to said Collective Bargaining Agreement. If an agreement cannot be reached on all outstanding issues, at the request of either party, the matter shall be turned over to an Arbitrator to resolve the outstanding issues between the parties. The parties agree to be bound by the decision of the Arbitrator. The Arbitrator shall not be vested with any authority to change any of the wording contained in Sections 2, 6, 12, 13, 14, 15and22. The process and procedure of presenting the outstanding issues to the Arbitrator shall be left to the discretion of the Arbitrator. The Arbitrator agrees to render his decision within sixty (60) calendar days of the termination of any procedure or hearings that the Arbitrator may have chosen. The parties agree that they will have the choice of either having Arbitrator Vince Ready to be the Arbitrator in this instance, or to choose another Arbitrator by mutual agreement. IN WITNESS THEREOF each of the parties hereto has caused this Agreement to be signed by its duly authorized representatives as of the date and year first above written. 25