LOVIN >HATIN POLICY MANUAL P age. Revised

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LOVIN >HATIN Harrington anagement, Inc. POLICY MANUAL 1-2017 1 P age

INDEX Welcome to our Team 5 At Will Employment 5 Employee Service Center 6 Acquired Restaurants and Hires 6 Requirements for Employment 6 Availability 6 Scheduling 7 Non-Management Management Time off Requests Switching Already Scheduled Shifts Uniform, Appearance and Image Policy 7-8 Uniforms- Maintenance, Lobby, Crew, Crew Trainer Uniforms-Floor Supervisors, Maintenance, Managers, Supervisors Appearance & Image Policy 8 Policies and Procedures 8-10 Disciplinary Action Guidelines Attendance-No Call No Show Attendance-Call Offs 1 Point Violations 9 1 Point Violations/Suspensions/Terminations 9 Performance Improvement Process P.I.P. 10 Goals of the Performance Improvement Process About the Program Program Details Benefits 10-12 Employee Food Purchases Other Benefits Service Bonus 11 Paid Time Off Medical 12 Promotion Guidelines 12-13 Crew Trainer Floor Supervisor Certified Shift Manager Department Manager 1 13 Department Manager 2 Department Manager 3 General Manager Wages and Reviews 13-16 Performance Achievement Updates & Reviews Restricted versus Unrestricted Employees Restricted Wage Guidelines 14 Unrestricted Wage Guidelines 15 General Managers 16 Supervisors Hourly & Salary Ceilings Safety and Security 16-17 Closed Restaurant Hours and 24 Hour Restaurants Outside Safety Back and Side Door Security Personal Property 17 Search of Employee Property Restaurant Minimum Staffing Requirements 2 P age

INDEX Phone Usage & Electronic Devices 17 Cash, Checks & Safe Policies 17 Payroll Checks Safe Controls Cash & Drawers Controls Miscellaneous Transfers 18 Leave of Absence-NON FMLA 18 Parking 18 Off Duty 18 Non-Solicitation Policy 18 Social Media Policy 19 Substance Abuse Policy 19 Violations of the Substances Abuse Policy Drug Testing Dating, Nepotism and Fraternization Policy 20-21 Rules for Restaurant Management Employees Policy Protocols and Consequences Fraternization between Restaurant Management and Crew Employees Employee Obligations Consequences of Violation 21 Hiring of Relatives Rehire of Prior Employees 21 Labor Laws 21-22 Employing Minors Minor Labor Laws State Restrictions-Work permits Penalties for Violating Child Labor Laws 22 Right to Know 22 Privacy & Records Security 22 Employee Files & Information Company Property and the Expectation of Privacy Wage and Hour Laws/Policy 22-24 Federal Wage and Hour Laws Clocking In & Out 23 Editing Time Punches Standby Time Meals and Rest Periods 23-24 Meetings and Training Pay for Homework Travel Time Equal Pay Act Overtime Pay Americans with Disabilities Act 25 McDonald s Policy on Service Animals Leave of Absence-FMLA Substitution of Paid Leave for Unpaid Leave Employee Responsibilities Equal Employment Non-Discrimination and Sexual Harassment Policy 26-27 Equal Employment Discrimination and Harassment Sexual Harassment No Retaliation 27 Complaint Procedure Zero Tolerance Workers Compensation Employee Notification 27 3 P age

Ending Employment 28 Quit Company Property Final Check Employee Rights Under the National Labor Relations Act Mission Statement 28 Acknowledgement, Agreement & Receipt of Employee Handbook 29 4 P age

Welcome to our McDonald s Team! We are a customer-centric, goal-oriented organization. We are very proud of our team and its accomplishments. We are excited that you will be working on our team at our McDonald s Restaurants, proudly owned and operated by Gerald & Heather Harrington. We want you to feel at home in your new job and enjoy your experiences as part of our organization. If you have any questions or concerns, please contact us at 814-825-1100. WELCOME TO OUR MCDONALD S FAMILY!!! Gerald & Heather Harrington Owner/Operators Restaurant Phone Numbers: Meadville 814-724-2207 Corry 814-664-2088 Vernon 814-724-1981 Union City 814-438-1011 Office Contact Information: Voice 814-825-1100, Fax 1-888-918-8530 Website WWW.MCDONALDSHARRINGTON.COM Twitter @MCDONALDSHM Email HARRINGTONMGMT1@GMAIL.COM AT WILL EMPLOYMENT The McDonald s restaurant you work at is owned and operated by independent McDonald s franchisee s, Gerald & Heather Harrington D/b/a Harrington Management, Inc. ( the Company or HMI ). McDonald s Corporation is not involved in any way in the employment matters of franchisee restaurants. Individuals employed by independent Owner/Operators of McDonald s restaurants are not employees of McDonald s Corporation or its subsidiaries. The policies and procedures in this guide are guidelines only and do not create any kind of employment contract. The relationship that exists between Harrington Management and each of its employees is employment at-will. This means that an employee is free to terminate his or her employment at any time, for any reason, or for no reason, with or without cause or prior notice. Similarly, Harrington Management retains the right to terminate an individual's employment at any time, for any reason, or for no reason, with or without cause or prior notice, at its sole discretion. The Owner/Operator is the only person who may make an exception to this policy. Any exception must be in writing, must be addressed to the employee personally, and must contain the original signature of the Owner/Operator. This guide contains procedures and policies that affect your job, compensation and performance. The policies and procedures set forth in this guide should be considered company policy for Harrington Management, Inc. employees. Harrington Management, Inc. reserves the right, at its sole discretion without prior consultation or agreement with any employee to change, amend or modify its policies, programs and/or guidelines including the contents of this guide at any time, with or without prior notice. This manual and all issued uniforms, keys, equipment are the property of Harrington Management, Inc., and must be returned upon separation from employment. 5 P age

Employee Service Center The Harrington Management Service Center is a resource available to all employees for support in the following areas: Payroll Employee Benefits Leave of Absence Employee Relations/Concerns New Hires Direct Deposits W-2 Changes W4 Changes Employee data changes IE: Phone, Address, Email, Marital Status Special Checks (for example, bonus, missed pay, voids, reissues) Wage Garnishments Job and location changes 401-K McResource Line Information Health Insurance, HSA Accounts, MDLive enrollment Terminations To contact the Harrington Management Service Center, call 814-825-1100 or fax 1-888-918-8530, Monday through Friday 9:00am until 4:00pm, or leave a message for a call back. You may also email HarringtonMgmt1@gmail.com Acquired Restaurants and Hires In the event Harrington Management acquires locations from another operator, the employees that are offered positions will be credited for their service years with the previous owner for our vacation policy only. Any other bonuses such as sabbatical, longevity bonuses or other incentive/rewards will only begin with the actual hire date by Harrington Management, Inc. Requirements for Employment All employees must be able to work a minimum of 3 hours on Thursday, Friday, Saturday and/or Sunday. Time off for holidays maybe requested, but will be denied if adequate staffing levels cannot be maintained. Holidays will be spread out so no one works all of them and no one gets them all off. Minimum & Maximum Working Hours Permitted Without Prior Supervisor Approval Position Minimum Maximum Pre-Qualified Full Time Crew, Lobby, Crew Trainers 37.5 39.5 Crew & Lobby Host/Hostess 0 28.0 Crew Trainer 8.0 39.5 Floor Supervisor 28.0 39.5 Primary Maintenance 35.0 39.5 Certified Shift Manager 28.0 39.5 Department Managers 40.00 42.5 General Manager 45.0 Supervisor 45.0 Availability All employees are hired with defined availability. Any change to that availability must be approved by the GM PRIOR to those changes taking place. Requests must be put in writing using the current company Availability Change Request Form. Changes in availability may results in a wage rate adjustment because of the change. Availability changes for Floor Supervisor and above must also be approved by the Supervisor. 6 P age

Scheduling Non-Management Crew schedules will be posted by 8am the Thursday before the Sunday on which the schedule begins. The GM must approve all crew schedules prior to them being posted. Management Manager schedules will be completed by the GM and submitted by the 12 th of each month to the Supervisor for approval. Upon approval by the Supervisor it will be posted. Any changes made after it is posted must be approved by the GM and Supervisor, be indicated on the schedule, initialed by the GM and all employees involved. Time Off Requests If you want to request a certain day or time off, you must complete a Crew Time Off Request Form. For crew, this form must be submitted at least 15 days prior to your request and given to the scheduling manager. For Managers and Floor Supervisors, this must be submitted by the 6 th of each month for the next month on the Manager Request Off Form. No other request sheet will be accepted. Manager and Crew requests will be honored based on seniority, urgency of the request, and considering minimum staffing levels for adequate shift coverage. If we cannot staff a shift, day or time frame to ensure excellent QSC to the customer, your request may be denied. Switching Already Scheduled Shifts Once the weekly schedule is posted and you need a day or time off for any reason, it is your responsibility to find someone to work for you. Once you find a replacement, you must get approval from the shift manager that is scheduled to work that day. The change must be noted on the daily and weekly schedule sheet and initialed by the manager and all employees involved. If you cannot find a replacement, you will be required to work that shift. Scheduled time switches will not be approved if it may result in overtime or would exceed their maximum permitted hours for anyone involved. Uniform, Appearance and Image Policy Uniforms-Maintenance, Lobby, Crew & Crew Trainers We will issue you McDonald s branded shirts (Min=2), uniforms pants (Min=2), a hat, visor or headband (1), nametag (1) and aprons (2) for kitchen employees only. Nametags are to be displayed on left side of the shirt or apron. Employees must wear a self-provided a belt. Employees must wear self-provided clean, non-skid shoes. New hires have 7 days to get these shoes or they will be removed from the schedule until they do. You may wear plain black, white or grey T-shirt under your uniform shirt. Lobby, Crew and Crew Trainers may wear shorts if they are purchased through an approved McDonald s supplier. Please see your GM for ordering information. No tattoos maybe visible on the legs or ankles. Uniforms-Floor Supervisors, Managers & Supervisors Will be issued manager pants (5), McDonald s branded dress shirts (5), ties (3), a hat, visor, or headband (1), a nametag (1) an apron (1). Only company issued items may be worn unless approved by the Owner/Operator. Ties must be worn with a button-down shirt. Top button for males are to be buttoned and ties snugged up. Manager may wear polo shirts on RDM walk thru days only. Shorts, same as policy listed in the above section. Except for Supervisors who are not permitted shorts. Employees must wear a self-provided a belt. Employees must wear self-provided clean, non-skid shoes. Floor Supervisors and Managers are required to wear aprons and hats or hair restraints while working in the kitchen. All shirts, pants and ties will be clean, wrinkle free and ironed prior to each shift. 7 P age

Appearance & Image Policy Wear a complete, clean, unwrinkled uniform which is in good repair always including a plain belt. Present a professional image always while on working time, including your body language, spoken words, voice, tone, and appearance. Nametags may not be altered in any way or blocked from public view. Hair that touches the collar or longer must be tied back, or restrained under a hat or hair net. Employees must supply their own hair nets. All hair must be cleaned and groomed daily. Side burns and mustaches are permitted if they are neatly trimmed and do not extend beyond the jaw line. No beards or goatees are permitted; men must be clean shaven always EVERYDAY. Food, candy, chewing gum and/or mints are not permitted while on duty. Makeup maybe worn if it is subtle and within the natural color spectrum and in good taste and not excessive. Colognes and perfumes may be used if they are not offensive or in excess. All facial and tongue piercings or jewelry must be removed prior while on work time. Jewelry may be worn as follows: Non-Dangling bracelets and watches, necklaces worn under the shirt. Two stud earrings maybe worn and hoop earrings maybe be worn if the opening is no larger than a pinky finger. You will need to remove any jewelry deemed to be excessive or offensive as determined by management. Gauges may not be larger than the diameter of a dime and must be plugged always while on work time. Tattoo s that are deemed offensive or excessive must always be covered. No tattoos on the face are permitted. Personal hygiene habits such as daily bathing, tooth brushing and use of deodorant are required. Finger nails must be clean and short. Anyone with chipped nail polish is not permitted to handle any food. Only McDonald s branded uniforms, coats, jackets, sweaters and sweat shirts may be worn while on duty. Recognizing and respecting the diversity of applicants and our employees, there may be circumstances when an individual may require an accommodation to the company s grooming and appearance standards, including accommodations for medical condition, religion, or gender identity. Please consult the Service Center or Owner/Operator, to request an accommodation. Policies & Procedures Disciplinary Action Guidelines Any employee that violates any of the policies listed in the handbook, policy or procedure manual and, SOCs will receive 1 point for each offense. Employees may accumulate 5 points during their 6-month review period. Once 6 points are reached the employee will be IMMEDIATELY suspended and their file will be reviewed for termination. On the last day of your 6-month review month cycle, your points will be reset to ZERO points until the end of your next 6-month review cycle. The exception to this is the attendance policy listed below. Attendance-No Call No Show 1. No Call No Show: You have abandoned your job and it is considered QUIT without NOTICE. You must call off before the start of your shift or it will be considered a No Call No Show. ANYTIME YOU CALL OFF, YOU MUST MAKE THE PHONE CALL TO THE MANAGER ON DUTY AT THE RESTAURANT. EMAILING OR TEXTING IS NOT PERMITTED FOR CALLING OFF. IF YOU DO NOT CALL, YOU WILL BE CONSIDERED A NO CALL, NO SHOW. SOMEONE ELSE MAY NOT CALL YOU OFF, ONLY YOU. IF A MANAGER IS CALLS OFF THEY ARE REQUIRED TO CALL THE GM BEFORE CALLING THE RESTAURANT OR THE SUPERVISOR IF THE GM IS NOT AVAILABLE. Attendance-Call Offs-1 Point/3 Strikes You re Out 1. If you call off 3 times in a constant rolling 90-day period, you will be immediately suspended and your file will be reviewed for termination. You may not work after the 3 rd call off until your file has been reviewed and a determination is made. You will also be issued 1 point for any call off. The GM must call the Service Center immediately for a file review. 8 P age

1 Point Violations Any employee who commits any of the following violations will receive 1 point. 1. Call off. 2. Tardiness-1 minute or greater late for work. 3. Failure to take a break. All positions. 4. Failure to issue a break. Manager. 5. Cash +/- $2.00-$4.99. 6. Uniform Policy Violation. 7. Appearance Policy Violation. 8. Failure to complete SKIMS every 2-3 hours on all active cash drawers and enter them into the ISP. This policy applies 24-hours per day, 1 point per violation or missed skim. 9. Failure to follow any company policy or procedure. 10. Failure to enforce any company policy or procedure. 11. Failure to document offenses. 12. Failure to complete tasks or duties as assigned. 13. Tobacco or Vaping usage in undesignated areas or on work time. 14. Failure to properly record waste. 15. Littering on company property. 16. Parking violations. 17. Time clock violations. 1 Point Violations/Suspension/Termination Any employee who commits any of the following violations will be either issued 1 point, suspended or terminated based on the seriousness of the offense, after investigation by the GM. If a suspension or termination is deemed appropriate, the GM will consult with the Supervisor and Service Center prior administering suspension or termination. 1. Cash +/- =>$5.00. 2. Using or permitting the use of someone else s cash drawer. Crew or Manager. 3. Promo s without proper coupons or manager approval. This includes using ASK ME to avoid charging for grill items. 4. Insubordination. 5. Theft/Stealing. 6. Food Safety Violations. 7. Discourteous or Unprofessional Conduct. 8. Safety & Security Policy Violations. 9. Labor Law Violations. 10. Leaving your work station without permission. 11. Conducting personal business on work time. 12. Neglect, carelessness or mischief which results in loss or damage of company property. 13. Use of profane or abusive language that is insulting, uncivil, malicious or vicious during working time. Employees are responsible for communicating with appropriate business decorum during working hours toward customers and employees 14. Engaging in horseplay, fighting or threatening employee s or guests. Violence in the workplace is prohibited. 15. Using a manager s ID or password to access register or ISP systems. 16. Allowing an employee to use your manager ID or password or access registers or other computer systems. 17. Failure to use or wear protective equipment while filtering or performing other hazardous duties. 18. Providing incomplete, false or misleading information during the interview/hiring process. 19. Not reporting theft or other policy violations to management which you are aware being committed. 20. Failure to check $10.00, $20.00, $50.00 or $100.00 bills with a money marker pen. 21. Phone Usage and Electronic Devices Policy Violations. 22. Restaurant Phone Usage Violations. 23. Non-Solicitation Policy Violations. 24. Check and Safe Policy Violations. 25. Social Media Policy Violations. 26. Violation of Dating, Nepotism, and Fraternization Policy. 27. Tobacco or Vaping usage in company vehicles or in the restaurants, TERMINATION. 28. Privacy or Records Security Violation. 9 P age

For Your Information Managers are required to complete write ups as soon as possible time after the occurrence. An employee must be given the write up at the time it is written unless the employee is not present due to a call off or have already left from their shift. If the employee did not sign the write up at that time, the manager who created the write up should determine the next shift that employee is scheduled and paperclip the write up to that schedule to be signed on their next shift. The GM must sign off all write ups and record points in the points log as soon as possible after the write up. The Supervisor must sign off all write ups for Floor Supervisors and above. Performance Improvement Program (P.I.P.) Goals of the Performance Improvement Process P.I.P. is designed to be a positive reinforcement program which gives special attention to declining performance through realistic goal-setting, progress reviews and feedback. A basic premise of P.I.P. is that an employee wants to make a genuine effort to accomplish their goals and to overcome declining performance. About the Program Any employee who receives a Performance Achievement and Review or Update rating of Needs Improvement can be considered for the P.I.P. program, but the company is not obligated to offer enrollment. Once an employee rates Needs Improvement, the GM will determine if the employee should be enrolled in P.I.P. If they are. the GM will complete a P.I.P. plan and submit it to the Supervisor for approval. If approved, the GM will execute the plan as written. Program Details It will not be less than 60 days and will not exceed 120 days. P.I.P may only be used for a Performance and Achievement Review or Update rating of Needs Improvement. P.I.P may only be used once. An employee who fails to demonstrate a genuine effort will be removed from P.I.P. and terminated. P.I.P. does not create any contractual rights or alter your status as an at will employee. After completion of the initial P.I.P. period, an evaluation will be completed. If the employee successfully improved their performance, they will be taken off P.I.P. However, if they do not show improved performance and successfully achieve the goals outlined in the P.I.P. plan, they will be terminated. Benefits Employee Food Purchases 50% discount for food purchases. (Available only at your home restaurant, up to $15/day before discount) For Your Information No coupons or other discounts maybe used with an employee discount or special promotion pricing such as $1 items, 2-$3, 2-$5 etc. No employees may ever use a coupon that was an in-restaurant promotion, i.e. Monopoly. No one may ever consume or take expired, wasted or discarded food from the restaurant. At no time, may any NON-food items such as Happy Meal toys or other premium items be purchased using any type of discount card or program. No food or drink from outside restaurants such as Sheetz, Taco Bell, Auntie Ann s, BK, KFC, etc. may ever be brought into any restaurant unless it is for a pre-approved crew function, e.g. a pizza party Free break food while working, subject to current limits and policies in effect. Referral Bonus. If you refer a new hire to us and they stay 180 days, you will receive $50.00 and they will receive $50.00. They must tell the person that interviews them at the time of the interview that you referred them. Incentive Rewards and Bonus Programs. 10 P age

PERFECT Attendance Rewards. Perk Spot discount program. Sign up online @ MCDPERKS.COM. Flexible hours. Performance Achievement Reviews for wage increase every 6 months. ArchWays, online high school program to complete your GED. ArchWays, college tuition assistance. Scholarship opportunities. English Under the Arches. Advancement, if qualified. 401-K with matching company contribution, if qualified and enrolled. Direct stock purchase of McDonald s stock. Call 1-800-621-7825, Option 2. Ford, Lincoln, Mercury auto preferred buyers X program for new vehicle purchases. See the dealer for details. MD Live medical phone service, if qualified and enrolled. McResource Line Employee Assistance Program 1-866-212-2228. Staff events and outings. Service Bonus The service bonus will be calculated based on the number of regular hours the employee worked the previous calendar year as indicated on their final paycheck of the year. To qualify the employee must have worked regular hours equal to or greater than the hours listed in the chart below. The regular hours worked will be divided by 52 and multiplied by their rate on Dec 31 st. Based on that employee s position that amount will be multiplied as indicated in the chart. That total amount will be divided by 4 and paid in 4 equal payments at the end of each quarter and listed on their paycheck as SERVICE BONUS. Any employee that leaves regular employment for any reason will forfeit any additional service bonuses. This service bonus applies to Lobby, Crew, and Crew Trainer employees. Yearly Minimum Regular Hours Needed to Full Years of Position Qualify. Service Multiplier Lobby 1900 Any 1 Crew 1900 Any 1 Crew Trainer 1900 Any 1 Example: A employee s final check of the year indicated they had worked 1900 regular hours for the year. We would divide the 1900 hours by 52 which is 36.53. The employee s rate on December 31st was $10.00/hr. We would multiply 36.53 x $10.00 = $365.38. Since the employee was a crew person it would be multiplied by 1 so $365.38 would be the service bonus to be paid during the next year. We would divide the $365.38 by 4 quarters which equals $91.34. The $91.34 would be automatically paid on the last check of each quarter of the year. Paid Time Off Paid time off is available for the following full time positions: (FT= >37.5 Avg. Hours/Week during the previous Calendar Year) Primary Maintenance Floor Supervisors Certified Swing Managers Department Managers General Managers Employees will earn paid vacation based on their years of full time service in the current department starting January 1 st of each year. Each week will equal the average number of hours the employee worked the year before. Total regular hours worked will be divided by 52 to get this number. Vacation must be taken in the year it is issued or be forfeited and may not be rolled into the next year without prior Owner/Operator approval. Refer to the latest Harrington Management, Inc. Time Off Summary for details for each position on earned time off. Any vacation taken but not yet earned will be withheld from a final check should the employee leave employment for any reason or be demoted from an eligible position. 11 Page

Medical All Employees working more than 1560 hours during the prior trailing 12 months Any Full Time eligible Crew, Crew Trainer or Secondary Maintenance employee who selects a Bronze Level or equally Federally Mandated Qualified Healthcare plan will be required to pay 9.56% of your GROSS weekly earnings up to 100% of the monthly premium per pay. Any Full Time eligible Crew, Crew Trainer or Secondary Maintenance employee who selects a Silver Level Federally Mandated Qualified Healthcare plan will be required to pay a percentage of the premium costs which may vary by position. Costs will be communicated yearly as they become available. Any Full Time eligible Primary Maintenance, Floor Supervisor or Manager may select a Bronze, Silver or Gold Federally Mandated Qualified Healthcare plans that are offered. Employees who select Gold Level, Federally Qualified Healthcare will be required to pay a percentage of the premium costs which may vary by position. Costs will be communicated yearly as they become available. Any employee who selects Dental and Vision insurance plans in addition to medical coverage will be required to contribute 25% of the total premium. Employee who select elective insurances will be required to contribute 100% of the total premium. In the event an employee wants to cover an eligible child or a spouse the employee will be responsible for 100% of the premium difference. Any employee that is designated a smoker will be responsible for 100% of the additional premium costs associated with that classification. Promotion Guidelines We strive to promote from within our organization whenever possible. We will consider and hire from outside the organization if we feel a qualified applicant exists. This may result in the guidelines listed below not being completely fulfilled. We do not promote based on seniority, but instead, based on abilities and skills. To be eligible for promotion to the positions listed below you must have completed these items and maintain these minimums. Crew Trainer There are 3 CT verification levels. 1. Kitchen, 2. Service, 3. Both 100% of Kitchen, Service or BOTH area SOC s successfully completed. CAMPUS Modules 100% Completed, VERIFIED BY SUPERVISOR. Last Performance Achievement Update or Review has been good or better. Have no more than 3 discipline points. Have not been suspended within the last 3 calendar months. Approval of the PDM and GM Reviewed and signed Job Description for Crew Trainer. Floor Supervisor Crew Trainer certified in all positions in the restaurant and has been an acceptable Crew Trainer at least 3 months, unless approved by the Supervisor for Early Promotion (EP). Last Performance Achievement Update or Review has been good or better. Have no more than 2 discipline points. Have not been suspended within the last 3 calendar months. Completes an interview with and has the approval of the GM and Supervisor. Pass a Drug Screening. CAMPUS Modules 100% Completed, Verification by the Supervisor. Pass Serve Safe. Attends a ITM Leadership Class and successfully completes the class and associated requirements. Successfully completes OTP 1 training. Reviewed and signed Job Description for Floor Supervisor. Certified Shift Manager Floor Supervisor certified at least 3 months and had been acceptable in that position. Unrestricted availability, able and willing to work any day, any hours at any time. Last Performance Achievement Update or Review has been good or better. Have no more than 2 discipline points. Have not been suspended within the last 6 calendar months. Completes an interview with and has the approval of the GM and Supervisor. Must be able to do bun and truck ordering via the ROP. 12 P age

CAMPUS Modules 100% Completed, Verification by the Supervisor. Must be able to take accurate Daily, Weekly and Monthly inventories. Reviewed and signed Job Description for CSM. Successfully completes the Certified Shift Manager Verification by the Supervisor. Department Manager-1 Certified Shift Manager at least 3 months and had been acceptable in that position. Unrestricted availability, able and willing to work any day, any hours at any time. Specific Functional Training Curriculum for the department being promoted to manage. Last Performance Achievement Update or Review has been good or better. Have no more than 2 discipline points. Have not been suspended within the last 12 calendar months. Completes an interview with and has the approval of the GM and Supervisor. CAMPUS Modules for 1 Department is 100% Completed, Verification by the Supervisor. Attends a Department Manager Leadership Class and successfully completes the class and associated requirements. Has or is serving as the DM in the same Department for a minimum of 12 months. Reviewed and signed Job Description for appropriate department. Department Manager-2 All requirements for Department Manager 1 are met. CAMPUS Modules for 2 Departments are 100% Completed, Verification by the Supervisor. Has served as the DM in 2 different Departments for a minimum of 12 months in the 1 st and 6 months for the 2 nd. Reviewed and signed Job Description for appropriate department. Department Manager-3 CAMPUS Modules for 3 Departments are 100% Completed, Verification by the Supervisor. Has served as the DM in 3 different Departments for a minimum of 12 in the 1 st and 6 months each in the 2 nd and 3 rd. Reviewed and signed Job Description for appropriate department. General Manager All requirements for Department Manager 1, 2 and 3 are met. CAMPUS Modules for the General Manager Curriculum is 100% completed, Verified by the Supervisor. Attends Hamburger University and successfully completes the General Manager Leadership class and associated requirements. OTP 2 or OTP 3 certified. Reviewed and signed Job Description for GM. Completes an interview with and has the approval of the Supervisor and Owner/Operator. Notes: Any employee may be demoted or removed from their position if they are suspended or accumulate 4 or more disciplinary points. The terms of the demotion will be determined at the time of the demotion. Wage rates will be adjusted if demoted. Department Managers must serve a minimum of 12 continuous months in the same department to be qualified as a DM for DM 1-2-3 levels. Wages and Reviews Performance and Achievement Updates & Reviews All Lobby, Crew, Crew Trainers and Maintenance employees will receive one Performance and Achievement Review every 6 months. All Administrative Staff, Floor Supervisors, CSM s, DM s, GM s and Supervisor s will receive one Performance and Achievement Review per year in March for a wage increase. They will also receive one Performance and Achievement Update per year in September. The GM, Supervisor or Owner/Operator may perform a Performance and Achievement Update or Review at any time deemed necessary. 13 P age

Restricted versus Unrestricted Employees All employees, except CSM s and above, will be classified as either restricted or unrestricted. CSM s, DM s, GM s and Supervisor must be unrestricted. Unrestricted means the employee is able and willing to work any hour and any day at their assigned restaurant. Unrestricted employee will be titled as +. Restricted means the employee is unable or unwilling to work any hour and any day at their assigned restaurant. This is limited to the hours the restaurant is in operation. Restricted will be titled as R. Lobby-R Restricted Wage Guidelines- Revised 4-2016 R Starting Rate Crew-R R Starting Rate Outstanding $1.25 Outstanding $1.50 Excellent $1.00 Excellent $1.00 Good $0.75 Good $0.75 N.I. or Unsatisfactory $0.00 N.I. or Unsatisfactory $0.00 Crew Trainer Certified-R R Starting Rate Floor Supervisor Certified-R R Starting Rate Starting Rate Above Crew R $0.25 Starting Rate Above Crew R $0.50 Outstanding $1.75 Outstanding $1.75 Excellent $1.25 Excellent $1.25 Good $1.00 Good $1.00 N.I. or Unsatisfactory $0.00 N.I. or Unsatisfactory $0.00 Maintenance Primary-R R Starting Rate CSM-R R Starting Rate Starting Rate Above Crew R $0.50 Starting Rate Above Crew R $0.75 Outstanding $3.00 Outstanding $3.25 Excellent $2.75 Excellent $2.75 Good $2.25 Good $2.25 N.I. or Unsatisfactory $0.00 N.I. or Unsatisfactory $0.00 14 P age

Lobby + Unrestricted +" Wage Guidelines- Revised 4-2016 + Starting Rate Crew + + Starting Rate Outstanding $1.25 Outstanding $1.50 Excellent $1.00 Excellent $1.25 Good $0.75 Good $0.75 N.I. or Unsatisfactory $0.00 N.I. or Unsatisfactory $0.00 Crew Trainer Certified+ + Starting Rate Floor Supervisor Certified+ + Starting Rate Starting Rate Above Crew + $0.25 Starting Rate Above Crew + $0.75 Outstanding $1.75 Outstanding $1.75 Excellent $1.25 Excellent $1.25 Good $1.00 Good $1.00 N.I. or Unsatisfactory $0.00 N.I. or Unsatisfactory $0.00 Maintenance Primary+ + Starting Rate CSM+ + Starting Rate Starting Rate Above Crew + $0.50 Starting Rate Above Crew + $1.00 Outstanding $3.00 Outstanding $3.25 Excellent $2.75 Excellent $2.75 Good $2.25 Good $2.25 N.I. or Unsatisfactory $0.00 N.I. or Unsatisfactory $0.00 Department Manager 1+ + Starting Rate Department Manager 2+ + Starting Rate Starting Rate Above Crew + $1.50 Starting Rate Above Crew + $2.40 Outstanding $3.25 Outstanding $3.25 Excellent $2.75 Excellent $2.75 Good $2.25 Good $2.25 N.I. or Unsatisfactory $0.00 N.I. or Unsatisfactory $0.00 Department Manager 3+ + Starting Rate Starting Rate Above Crew + $3.80 Outstanding $3.25 Excellent $2.75 Good $2.25 N.I. or Unsatisfactory $0.00 15 P age

Position General Manager General Managers Salaried Annual Pay Rate Earnings with a minimum 45-hour work week. $38,000 Minimum - $65,000 Maximum Maintenance Supervisors Position Hourly Supervisor Minimum $12.00 Maximum $25.00 Position Supervisor Operations Supervisors Salaried Annual Pay Rate Earnings with a minimum 45-hour work week. $65,000 or.65% of Supervised Restaurant Net Product Sales, whichever is greater. Hourly & Salary Ceilings The maximum rate is the absolute maximum amount we will pay for this position. Once an employee reaches this rate, they will not receive any further wage increases until the maximum is adjusted. A review may not cause the wage to exceed the maximum, regardless of the performance rating. Upon reaching the maximum for a given position, Performance and Achievement Reviews will continue the scheduled basis, without a wage increase. Individuals are rewarded based on performance and not time employed. Safety & Security Closed Restaurant Hours and 24 Hour Restaurants When a restaurant closes the lobby, customers may remain for up to 10 minutes to finish their meal. Off the clock employees not waiting for a ride must leave immediately. Employees waiting for rides may remain in the building until their ride arrives or no longer than 30 minutes at which time they must also leave. No customer, or off duty employee may go behind the counter to the working area of the restaurant. Anyone who is not employed and on work time by Harrington Management, Inc. is NOT permitted in the restaurant after close or before open without, the prior approval of the Supervisor, or Owner/Operator. The following policies are in effect for 24 hour operations in restaurants that do not keep the lobby open in addition to those listed above: No door is to be unlocked for any reason other than to allow crew to leave or arrive, between the hours of Close and Open hours. When opening any door for any reason, there must be 2 employees present and one with a phone and able to call 911 immediately, should the need arise. In all 24-hour restaurants, the Drive Through windows must be secured always between hours that the lobby is closed, or if the lobby is open, then midnight and 5:00 a.m., when not in use specifically for handing out orders. Outside Safety Anytime any employee is working outside of the restaurant, they must wear a safety vest or reflective jacket which is company provided. Any employee that is on the roof must notify all Managers on duty at the time and must take the lock with them to the roof to avoid being locked on the roof. They are also to have a cell phone in their possession while on the roof. Back and Side Door Security The side and back doors are to be locked always, unless a manager is present and disarms the alarm and remains at the door while it is open. No one other than a manager may possess or use back or side door keys. Restaurant doors and windows are not ever permitted to be manually or electronically placed in the open position, propped open or left unattended. 16 P age

Personal Property While the company will provide areas for personal property storage during your shift, these are communal areas and the company cannot be held liable or responsible for your personal property. You are responsible for securing all valuables/personal property which you may bring to work with you. Search of Employee Property Management reserves the right to search any employees property at any time. Prior to the search, the employee is to be notified and present during the search along with 1 other employee for a total of 3 employees. Any search must be approved by the Supervisor or Owner/Operator prior to being conduct. If an employee refuses the search that was approved, they will be terminated. If drug possession is suspected, the local Police must be present. Restaurant Staffing Minimums At no time, may there be less than 3 employees in a restaurant at any time without prior Supervisor or Owner/Operator approval. In the event, there are call offs that cannot be replaced the off going manager may be required to stay until the minimum 3 employee requirement is met. Phone Usage & Electronic Devices Company phones are for business use only. Only Managers on company business are permitted to use the phone. Personal phone calls are not to be made or received at any time, except in emergencies. If you receive a phone call, a message will be taken and given to you. No long-distance calls are permitted from company phones, for any reason, other than company related business. No employee may carry or use pagers and/or cellular phones, except the GM and Supervisor while on working time. No employee may carry or use a MP3 player, IPOD or other similar device while on working time. Such devices shall be left on silence in the crew room/area while the employee is on working time. In cases where the use of a pager or phone is a necessity due to a medical emergency or other exigent circumstance, only the Supervisor or Owner/Operator may give permission. Cash, Checks & Safe Policies Payroll Checks &W-2 s Payroll checks will be available after 3:00 pm, Fridays of pay weeks. If you work that day you may receive your check at the end of your shift, if it ends prior to 3pm. NO ONE ELSE may get their check early for ANY REASON, without prior approval of the Supervisor or Owner/Operator. Checks must be kept in the safe overnight. Under no circumstances may any employee cash any personal or payroll checks via daily deposits or the safe. Employees may download and print replacement paystubs and W-2 s via the payroll website at no costs or have one printed and replaced by the Service Center for $10.00 per paystub, prepaid. If a replacement W-2 because of the wrong information provided by the employee is needed the employee will be required to prepay the actual costs charged by the payroll company to make those changes. Personal checks may not be accepted for any reason by anyone. Safe Controls No person other than the Shift Manager, Supervisor or Owner/Operator is permitted in the safe at any time without the approval of that manager. All evening and overnight deposits must be delivered to the bank and counted no later than 11:00 am daily. All day shift deposits are to be delivered to the bank and counted no later than the banks close of business for that day, or after the managers shift when the bank is closed. Only weekend or holiday deposits are permitted to be placed in a bank drop box. The safe must be counted completely and documented when control is being transferred to another manager. Both people must be present during the transfer. Cash & Drawer Controls All cash drawers are to have a money marker in each drawer used exclusively for checking bills. Managers are responsible that these are available. All $10, $20, $50 and $100 bills must be checked. All cash drawers must be counted and initialed at least once per shift and include a money counter receipt. Miscellaneous Orange Bowl deposits are $100.00 CASH ONLY. This deposit must be paid by anyone who borrows the Orange Bowl, no exceptions. 17 P age

Transfers If an employee wishes to transfer from one restaurant to another restaurant within Harrington Management, Inc. they must complete and have approved the required Request for Transfer form prior to the transfer taking place. Leave of Absence-NON FMLA If anyone is requesting a LOA greater than 7 days, they must complete a LOA Request Form. If it is for any reason other than an FMLA request the request, may be denied by management depending on staffing needs. No LOA (except certain FMLA leave) may be greater than 90 days without Owner/Operator approval. Any employee that is approved for a LOA must turn in all uniforms, name tag, handbooks, and any other company owned property. Anyone wishing to apply for LOA must contact the Service Center at 814-696-1903. Parking You are to park in designated parking areas ONLY! You are not permitted to park near the building. These spaces are for customers only. See parking maps for your location. Off Duty You are not permitted to come past the front service counter into the working area of the restaurant for any reason if you are off duty. This includes checking your schedule. If you are coming on duty, you may wait in the crew room area 5 minutes or less before your shift. When coming on or going off duty you must enter and leave via the front counter and not a side or back door. You are permitted to come through the drive thru if you are off duty, but the on-duty manager must notify the Manager on duty and they must take and present the order. You MUST have a receipt. Non-Solicitation Policy For purposes of this policy, solicitation means requesting funds, purchases, services, membership in any organization, or commitments to outside organizations or causes. Distribution means handing out, dropping off, or leaving behind written material. Solicitation by non-employees and distribution of literature for any purpose by non-employees is prohibited always anywhere on company property, including parking lots. Solicitation by employees is prohibited on company property, including parking lots, during employees working time or when the employee being solicited is on working time. Working time is the time employees are expected to be working and does not include rest, meal, or other authorized breaks. Solicitation by employees is also prohibited even when not on working time if such solicitation takes place in an area of the restaurant frequented by customers. Distribution of literature by employees is prohibited on company property, including parking lots, during employees working time, as defined above, or when the employee receiving the materials is on working time. Distribution by employees is also prohibited even when not on working time if such distribution takes place in an area of the restaurant frequented by customers or in employees working areas. Company property, including parking lots, must be kept clean and free of litter always. 18 P age

Social Media Policy If you participate in online conversations about any McDonald s, its employees, customer or products, it is important that you do it in a way that is safe, appropriate, and legal. The intent of this Policy is not to restrict the flow of useful and appropriate information, but to minimize the risk to you and your coworkers. Nothing in this policy should be construed as limiting employees from discussing wages, hours, and other terms and conditions of employment with other employees or outside parties. Managers must exercise caution and sound judgment if interacting with subordinates on Facebook or similar media sites. Participating in such forums with subordinates may increase the potential to violate these rules and policies. For example, it may not be sound judgment for Managers to friend minor employees under the age of 18. Managers should not use Facebook, or other external websites for work-related communications. Do follow the policies discussed in this handbook, including the policies against harassment and discrimination. Do respect your coworkers privacy. Do not share in any online communications personal health information about your coworkers or any identifiable information that may raise a security issue. This does not prohibit you, however, from disclosing or discussing personal, confidential information with others, so long as you did not come into possession of such information as part of your formal company duties. During working time, do not use your cell phone for personal use or to engage in personal online communications. Do make it clear that your views and opinions are yours and not those of this and/or any other McDonald s when you participate in any online communications discussing McDonald s. Do comply with all copyright, trademark, trade secret, right to publicity and other intellectual property laws in your online communications. Do not disclose or post trade secrets of McDonald s or Harrington Management, Inc. Do not disclose sales figures, confidential customer credit card information, guest counts, business plans, how food is made or marketing promotions to non-employees. You may also be criminally and civilly liable for damages because of doing so. If you receive information in error, you must immediately delete the information and notify the person who provided it that you were given it in error. Substance Abuse Policy Harrington Management strictly prohibits manufacturing, dispensing, possessing, purchasing, using or having present on one s system any illegal drugs or controlled substances (except use of drugs medically prescribed by a physician) in the workplace, on company premises, or while performing company business or operating a company vehicle. Violations of the Substance Abuse Policy Violations of this policy call for disciplinary action up to and including termination. The following examples of serious offenses may result in disciplinary action, including termination. Possession, sale of, consumption or being under the influence of illegal drugs on company premises, or while performing company business, attending a work-related function, or operating a company vehicle. Possession or consumption of alcoholic beverages on company premises (except when supported, authorized and supervised by the company) selling or being under the influence of alcohol on company premises, while performing company business (except when supported, authorized and supervised by the company), or operating a company vehicle. Conviction of any drug related offense off duty. Drug Testing The company reserves the right to require mandatory drug testing of any individual, at any time, without notice. This will be at the employer s expense. A separate drug policy exists for this company that explains the drug policy in detail and should be considered the policy for this company. All employees are required to sign and adhere to that policy at all time, failure to do so will result in termination. If any employee declines to take mandated drug test they will be terminated. 19 P age

Dating, Nepotism, and Fraternization Policy Harrington Management, Inc. is committed to fostering a professional work environment. That means managers and employees have a responsibility to maintain such an environment and avoid relationships that create a conflict of interest. Certain personal relationships between employees, especially those in a reporting capacity, may create issues for the employees involved as well as for their co-workers. This can include a lack of objectivity towards the subordinate's job performance, the perception of favoritism by other employees, and potential sexual harassment complaints. Further, dating or fraternizing between a managerial employee and any crew employee who is a minor may raise legal and parental concerns. This policy also applies to relationships with independent contractors and vendors engaged by Harrington Management, Inc. Rules for Restaurant Management Employees While it is not our desire to become involved in employees' personal lives, experience has shown that dating and fraternization relationships among employees, where there is a boss-subordinate or reporting relationship, can seriously affect our business in many ways. This includes claims of favoritism, claims of stricter treatment to dispel claims of favoritism, concern from parents if crew employees are involved, personal legal problems for a Supervisory employee who dates a minor and a potential for sexual harassment claims against the company and the management or staff employee if a voluntary relationship turns sour. Again, we do not want to dictate people's personal lives, but we obviously have a legitimate concern about these problems. We, therefore, have adopted the following policy: Employees in a management position (hourly or salaried) are prohibited from having a romantic or dating relationship with an employee over whom he or she has supervisory authority, or whose terms or conditions of employment he or she may influence. Examples of terms or conditions of employment include promotion, termination, discipline and compensation. Policy Protocols and Consequences If a manager intends to enter a romantic relationship with an employee over who he or she has supervisory authority, the manager must immediately notify Harrington Management. At the discretion of Harrington Management, Inc., in addition to or instead of demotion of the manager, one of the individuals involved in the relationship may be subject to transfer or termination of employment. If transfer or termination is appropriate, to the extent possible, Harrington Management, Inc. will give individuals involved in the relationship the opportunity to select one employee in the relationship who will be subject to a change in employment status (transfer or termination). If the individuals involved in the relationship decline to make this decision, Harrington Management, Inc. will do so. Workplace dating or romantic relationships must not interfere with the working environment. Fraternization between Restaurant Management and Crew Employees Restaurant management employees are prohibited from fraternizing or socializing outside of work with any crew employee who works in the same restaurant unless the fraternizing or socializing occurs in public and at least three or more Harrington Management, Inc. employees are present. Restaurant management employees may not offer alcohol to, consume alcohol in the presence of or be present if alcohol is consumed by crew employees who work in their restaurant. Restaurant management employees must always use good business judgment with regards to fraternizing with crew. Employee Obligations Any employee who enters or plans to enter a dating or romantic relationship that violates this policy must advise his/her General Manager immediately. The General Manager must notify the Supervisor and Owner/Operator immediately. To address a violation of this policy, Harrington Management, Inc. may take such steps as it deems reasonable and appropriate to correct the violation including (but not limited to) transferring one or both employees involved, asking the employees involved to cease dating or to agree not to begin dating or terminating the employment of one or both employees. Any employee who would like to enter a reporting relationship that may be subject to the nepotism policy must report the relationship to his/her General Manager immediately. The General Manager must notify the Supervisor and Owner/Operator immediately. 20 P age