GRAND TRUNK WESTERN RAILROAD COMPANY

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1 AN AGREEMENT BETWEEN GRAND TRUNK WESTERN RAILROAD COMPANY AND International Association of Sheet Metal, Air, Rail and Transportation Workers - Transportation Division (SMART-TD) April 6, 2015

2 TABLE OF CONTENTS PREAMBLE... 5 ARTICLE 1 PURPOSE... 5 ARTICLE 2 - GENERAL PRINCIPLES... 5 ARTICLE 3 RECOGNITION... 5 ARTICLE 4 - SCOPE OF AGREEMENT... 6 ARTICLE 5 WAGES... 7 ARTICLE 6 - EMPLOYMENT SECURITY... 8 ARTICLE 7 - SENIORITY... 9 SECTION 1 GENERAL... 9 SECTION 2 ESTABLISHMENT... 9 SECTION 3 FURLOUGHED TRAINMEN... 9 SECTION 4 RE-ENTERING SERVICE... 9 SECTION 5 SENIORITY DISTRICTS AND EXTRA BOARD LOCATIONS... 9 SECTION 6 SENIORITY MAINTENANCE FEE SECTION 7 PRIOR RIGHTS SENIORITY SECTION 8 SENIORITY ROSTER SECTION 9 ELIMINATION OF A SENIORITY DISTRICT SECTION 10 PROMOTION SECTION 11 FORCED PROMOTION TO APPRENTICE ENGINEER AND LOCOMOTIVE ENGINEER SERVICE ARTICLE 8 - JOB VACANCIES AND BIDDING SECTION 1 REGULAR ASSIGNMENTS AND EXTRA BOARDS SECTION 2 ASSIGNMENT TO POSITIONS SECTION 3 PERMANENT TRANSFERS ARTICLE 9 - ANNULMENT OF ASSIGNMENTS ARTICLE 10 - ABOLISHMENT AND DISPLACEMENT ARTICLE 11- GUARANTEED. EXTRA BOARD (GEB) ARTICLE 12 - APPROVAL OF APPLICATION FOR EMPLOYMENT ARTICLE 13 RULES / INSTRUCTION CLASSES ARTICLE 14 - ON AND OFF DUTY POINT ARTICLE 15 - CALLING FOR DUTY SECTION 1 CALLING SECTION 2 USED OUT OF ORDER SECTION 3 CALLED AND RELEASED SECTION 4 FAMILIARIZATION OF TERRITORY SECTION 5 SUPPLEMENTAL BOARDS ARTICLE 16 MEAL PERIODS

3 ARTICLE 17 - EXPENSES SECTION 1 HELD AWAY FROM HOME TERMINAL SECTION 2 TRANSPORTATION EXPENSE SECTION 3 DEADHEADING SECTION 4 AGGREGATE SERVICE ARTICLE 18 - PERSONAL LEAVE DAYS (PLD S) ARTICLE 19 BEREAVEMENT LEAVE ARTICLE 20 HOLIDAYS ARTICLE 21 VACATION SECTION 1 ENTITLEMENTS SECTION 2 SMART-TD - UNION OFFICIALS SECTION 3 GENERAL ARTICLE 22 - BENEFITS SECTION 1 HEALTH & WELFARE SECTION 2 SHORT TERM DISABILITY SECTION 3 LIFE INSURANCE SECTION 4 OTHER SECTION 5 OFF TRACK VEHICLE ACCIDENT BENEFITS SECTION 6 STOCK PURCHASE PLAN SECTION 7 EMPLOYEE FAMILY ASSISTANCE PROGRAM SECTION 8 401K PLAN ARTICLE 23 - PHYSICAL EXAMINATIONS ARTICLE 24 - MEDICAL DISQUALIFICATIONS ARTICLE 25 PAYDAY / PAYROLL AND DEDUCTIONS ARTICLE 26 UNION SHOP AGREEMENT ARTICLE 27 - HANDLING OF CLAIMS AND GRIEVANCES SECTION 1 REPRESENTATION SECTION 2 HANDLING OF CLAIMS AND/OR GRIEVANCES OTHER THAN DISCIPLINE APPEALS SECTION 3 HANDLING OF DISCIPLINE APPEALS ARTICLE 28 INVESTIGATIONS AND DISCIPLINE ARTICLE 29 - TIME OFF FOR UNION BUSINESS ARTICLE 30 - ATTENDING COURT AND INQUESTS ARTICLE 31 - LEAVE OF ABSENCE WITHOUT PAY SECTION 1 GENERAL SECTION 2 LESS THAN 1 YEAR SECTION 3 ILLNESS / INJURY SECTION 4 OFFICIAL / MILITARY ARTICLE 32 - JURY DUTY ARTICLE 33 - BULLETIN BOARDS ARTICLE 34 PRODUCTIVITY FUND / CREW CONSIST

4 SECTION 1 PRODUCTIVITY FUND SECTION 2 CREW CONSIST ARTICLE 35 - CREW CALLING RECORDS ARTICLE 36 - GENERAL PROVISIONS SIDE LETTER 1 - STANDING BID SIDE LETTER 2 - SUPPLEMENTAL BOARD SIDE LETTER 3 PROTECTIVE CONDITIONS SIDE LETTER 4 OPERATION RED BLOCK SIDE LETTER 5 RETAIN MELA SIDE LETTER SIDE LETTER 6 REMOTE CONTROL SIDE LETTER 7 FORCED PROMOTION SIDE LETTER 8 HOURS OF SERVICE SIDE LETTER 9 PASSPORT REIMBURSEMENT SIDE LETTER 10 TEMPORARY TRANSFER SIDE LETTER 11 RESERVE BOARD SIDE LETTER 12 6/1 WAIVER SIDE LETTER 13 CLAIMS RESOLUTION SIDE LETTER 14 GTS IMPLEMENTATION SIDE LETTER 15 BACKPAY YARDMASTER FLOW BACK ATTACHMENT A -GTW LOCATIONS DISTANCES MAPQUEST ATTACHMENT B SUMMARY PLAN SHORT TERM DISABILITY

5 PREAMBLE This agreement is intended to provide enhanced quality of life, employment security and compensation enhancements to the SMART-TD membership in addition to providing operating flexibility to the Company, resulting in increased productivity. Therefore, it is hereby agreed: ARTICLE 1 PURPOSE The fundamental objective of the Company is to operate a safe, efficient and effective railroad transport operation and a key component to the success of this venture is the contribution of a Conductor and Brakeman (hereinafter referred to as Trainmen.) This Agreement is founded on a principle of paying for Trainmen s time on an all-inclusive basis and contemplates that in order for the operation to be successful, individuals will perform all duties requested of them, subject to the provisions contained herein. ARTICLE 2 - GENERAL PRINCIPLES A. In this Agreement, words importing the singular shall include the plural and vice versa where the context requires. Words importing the masculine gender shall include the feminine where the context requires. B. This Agreement is intended to be applied in a non-discriminatory manner without regard to age, race, creed, color, gender, national origin, disability, sexual orientation or marital status. C. The parties recognize that this is a new Agreement, which replaces any and all existing Agreements, unless otherwise provided, and introduces changes in the workplace. In recognition of this a committee consisting of the SMART-TD General Chairperson, a SMART-TD Member appointed by the General Chairperson, and the Company's General Manager Operations and Director Labor Relations or their respective designates, two from each party, will be established. This committee will be known as the Labor / Management Committee, and will meet quarterly (January, April, July and October), unless otherwise agreed to review the application of this Agreement. ARTICLE 3 RECOGNITION A. This Agreement covers all Conductors, Brakeman and Utility positions employed by the Company and represented by the SMART-TD (a/k/a United Transportation Union (UTU)) under the Railway Labor Act, as amended. B. The term "Trainman" as herein referred to shall include employees represented by the SMART-TD, except where otherwise specifically provided for herein. The term "Company" shall mean the Canadian National/Grand Trunk Western Railway. The term "Union" or "General Committee" shall mean the SMART-TD. C. The right to make and interpret contracts covering rules, rates of pay and working conditions on behalf of employees covered by this Agreement shall be vested in the regularly constituted General Committee of the SMART-TD. 5

6 D. Where the term "duly accredited representative" appears herein, it shall be understood to mean the regularly constituted General Committee of Adjustment of the SMART-TD and/or the Officers of the SMART-TD of which such General Committee or Officers are a part. ARTICLE 4 - SCOPE OF AGREEMENT A. Trainmen employed under this Agreement shall perform the duties traditionally required of trainmen involved on the CN/GTW in the movement of trains, rail cars and equipment within terminal(s) or on road territories as required in addition to that which is included in this agreement to meet the service requirements of the customer. A trainman will not be expected to perform duties under this contract that they don t perform today. B. Additionally, the Company may establish Utility Position(s) and such Utility Position(s) shall perform the duties traditionally performed of a Utility position. No Company supervisor, yardmaster, official, engine or non-train service employee will be used to supplement, supplant or substitute in the performance of service which is assigned to any employee(s) and to which entitled under SMART-TD Agreements in effect prior to the effective date of this Agreement. C. Unless otherwise provided for herein, no Company official(s), non-craft employee(s) or nonemployee(s) shall be used to supplement, supplant or substitute in the exclusive work of any Trainman working under this Agreement. Notwithstanding the above, nothing in this Agreement shall prohibit the Company from assigning work covered by this Agreement to Managers once the calling procedures in Article 11-D have been exhausted. The Director of Labor Relations, or his designate, will provide the SMART - TD General Chairperson with a list of the Managers who are qualified and certified to perform duties under this Paragraph C. Such list will be updated as necessary. If a Manager s name does not appear on the furnished list, the Manager will not be used under any circumstances. It is understood and agreed that the total number of Managers that may be listed to be used in this capacity will not exceed 3.5% of the employees working as active Trainmen on the current GTW SMART TD Trainman s Seniority Roster. In computing this 3.5%, all numbers will be rounded up to the next whole number. Example: If there are 100 employees working as active Trainman on the current GTW Trainman s Seniority Roster, the number of Managers cannot exceed four (4), as follows: (3.5% of 100 = 3.5). If the number of employees working as active Trainman on the current GTW Trainman s Seniority Roster is 117, the number of Managers that may be designated is five due to the number being rounded up, as follows: (3.5% of 117 = 4.1). If there are 120 Active Trainmen on the current GTW Seniority Roster, the number of Managers that may be designated under this Paragraph C will not exceed five (5), as follows: (3.5% of 120 = 4.2). The only condition under which a Manager may be used as a Trainman under this Paragraph C is when the calling procedures outlined in Article 11, Paragraph D, are completely exhausted. In the event a Manager should be used under these restricted conditions, said Manager(s) will be relieved at the first opportunity when a rested and qualified Guaranteed Extra Board Trainman becomes available; however, this will not preclude the Company from holding such rested and qualified Guaranteed Extra Board Trainman for a train during such shortage. Should it be determined and identified by the Organization that a Trainman was rested and available, but not called at the time a Manager was used, said Trainman, once identified, will be paid lost earnings for the day or trip, as the case may be. In the application of this rule, Article 15, Section 2A, 6

7 will not apply and the lost wages as stated herein will not be credited toward the extra board guarantee. If a Manager should be used under this Paragraph C, the Director of Labor Relations, or his designate, will notify the SMART- TD General Chairperson in writing (electronically) within five (5) days identifying the manager or managers used on the date, time and specific train(s). When Managers are used in excess of 6 times in any 30 day rolling period, the Company will notify the SMART-TD General Chairperson within 48 hours that the Company will begin or has begun the hiring process for an additional trainman. If such process has not already begun, the Company will begin the process within the next 30 days. ARTICLE 5 WAGES A. General Wage Increases: i) Effective August 1, 2010, a wage increase of 2% on the rate of pay in effect on July 31, Note: Conductor/Utility is hourly rate $35.81 / Brakeman is hourly rate $ ii) Effective August 1, 2011, a wage increase of 2.5% on the rate of pay in effect on July 31, Note: Conductor/Utility is hourly rate $36.71 / Brakeman is hourly rate $ iii) Effective August 1, 2012, a wage increase of 4.3% on the rate of pay in effect on July 31, Note: Conductor/Utility is hourly rate $38.29 / Brakeman is hourly rate $ iv) Effective August 1, 2013, a wage increase of 3% on the rate of pay in effect on July 31, Note: Conductor/Utility is hourly rate $39.44 / Brakeman is hourly rate $ v) Effective August 1, 2014, a wage increase of 3.8% on the rate of pay in effect on July 31, Note: Conductor/Utility is hourly rate $40.94 / Brakeman is hourly rate $ vi) Effective August 1, 2015, a wage increase of 3% on the rate of pay in effect on July 31, Note: Conductor/Utility is hourly rate $42.17 / Brakeman is hourly rate $ B. This rate will apply to all time on duty, unless otherwise specified in the Agreement. C. Ten (10) hours or less will constitute a basic day and pay for all time on duty after ten (10) hours will be at the rate of time and one half. Trainmen requesting to be relieved during their tour of duty will be paid actual time on duty. Paragraph C. Clarification Question: Answer: When does overtime at the rate of time and one half apply? Overtime only applies in connection with service performed, or when called to work your day off. D. Trainmen who perform service, at the request of the Company, on their assigned rest day(s) shall be paid for such service at the rate of time and one half. 7

8 Paragraph D. Clarification Question: Answer: Question: Answer: When does overtime apply in the application of working on an assigned rest day? In the application of this provision, overtime only applies when you perform service on your assigned day off. Is it mandatory that you accept a call on your assigned day off? No Question: Can an employee remove his name from the Supplemental Board? Answer: Yes, as long as it is done prior to being called for duty. E. New employees will be appointed to the entry level training program and will be paid at ninety percent (90%) of the Brakeman s hourly rate of pay. Upon accumulating one (1) year of service as Brakeman or upon qualification as Conductor, whichever comes first, such employee will be paid at one hundred percent (100%) of the applicable hourly rate of pay. F. Unless otherwise provided in this agreement, the rates of pay as indicated herein represent complete and total payment for the performance of all work which is associated with the employees covered by this agreement. ARTICLE 6 - EMPLOYMENT SECURITY Unless otherwise provided for in Article 31 - Leave of Absence, Section 4, Trainmen who have established seniority prior to June 2, 2004 will be provided an assignment (which may be a Regular Assignment or a Guaranteed Extra Board [GEB] assignment) established pursuant to Article 8 Section 1 of this Agreement, and will not be subject to furlough, provided they have exercised their seniority to the fullest extent on their respective seniority district outlined in Article 7, Sections 5 and remain available to protect service. Employees who established seniority between June 2, 2004 and August 17, 2006 will be provided protection against furlough, but may be required to work in a location in another seniority district not to exceed a 100 mile radius from their initial Seniority District location as outlined in Article 7, Section 8. Paragraph A. Clarification Question: Can a trainman be force assigned off his seniority district? Answer: Not if the trainman established seniority prior to June 2, 2004 or after August 17, Trainmen who have established seniority between June 2, 2004 and August 17, 2006 can only be forced if certain criteria are met as outlined in Article 7, Section 8. Question: May a trainman voluntarily transfer off of his seniority district? Answer: Yes, under certain circumstances described in Article 8, Section 3. 8

9 ARTICLE 7 - SENIORITY Section 1 General A. The right of Trainmen to perform service will be governed by seniority, qualifications being equal. The Trainman longest in the service will have the preference. B. The Company will keep the General Chairperson and each Local Chairperson of the SMART-TD supplied with lists of employees and their seniority dates and rank numbers as Trainmen in conformity with their standing as recorded on the lists subject to the rules hereinafter provided for. Section 2 Establishment The seniority date of newly hired employees will be the first date of service performed (first pay trip). Employees will establish seniority based on their first pay trip as a brakeman. In the event more than one employee is hired on the same date (start classroom together) or have their first pay trip on the same date, seniority will be allocated in the order of the employee s birthday. (Example Seniority will be awarded in age order.) Upon promotion to conductor, the brakeman s seniority ranking and brakeman s seniority date will apply. Section 3 Furloughed Trainmen A. Employees who are hired subsequent to August 17, 2006, subject to manpower requirements, may be furloughed. In the event such employees are furloughed they may be used to fill Trainmen vacancies in accordance with their seniority as provided for in Article 8, Section 2 when extra Trainmen are unavailable to fill such vacancies. This applies to vacancies ordinarily filled by extra men. Furloughed employees must provide the Company with a current telephone number to be contacted if they desire to protect service requirements when the procedures provided for in Article 11 (GEB) have been exhausted. B. Furloughed employees will be subject to recall and will be provided a recall to service notice via certified letter which will be sent to their last known address. Employees must respond to the Company within fifteen (15) days and must report for duty within thirty (30) days from the date of receipt of the certified letter. It is the furloughed employee s responsibility to provide the Company with their current address. Employees who fail to report as outlined herein will have their name removed from the seniority roster and their services with the Company terminated. Section 4 Re-Entering Service Trainmen reinstated retain their rank of seniority. Trainmen reemployed lose their former rank and enter the service as new employees. Section 5 Seniority Districts and Extra Board Locations Upon the effective date of this Agreement, the following Seniority Districts will be established and will replace all Seniority Districts and Seniority Rosters previously in effect, subject to provisions of this agreement herein: Section 5. Question: How does a Trainman working as a non-protected Engineer on the effective date of this Agreement select a Seniority District? Answer: When set-back, he will have the right to exercise his Trainman s seniority to the District of his choice. Thereafter, he is considered a protected Trainman on that District. 9

10 Seniority District 1 Elsdon. Zone No. Extra Board Location(s) Protects 1 ELSDON All Assignments at, or originating on Seniority District 1 including extra boards at Markham, Hawthorne, Schiller Park & Glenn yards when such are exhausted, with the concurrence with the respective SMART-TD Committees. Seniority District 2 Battle Creek. Zone No. Extra Board Location(s) Protects 1 BATTLE CREEK All Assignments at, or originating on Seniority District 2 including Lansing when such is exhausted 2 LANSING All Assignments at, or originating on Seniority District 2 including Battle Creek when such is exhausted Seniority District 3 Flint and Pontiac Zone No. Extra Board Location(s) Protects 1 FLINT All Assignments at, or originating on Seniority District 3 including Pontiac when such is exhausted 2 PONTIAC All Assignments at, or originating on Seniority District 3 including Flint when such is exhausted Seniority District 4 Hamtramck and Port Huron Zone No. Extra Board Location(s) Protects 1 HAMTRAMCK All Assignments at, or originating on Seniority District 4 including Port Huron when such is exhausted 2 PORT HURON All Assignments at, or originating on Seniority District 4 including Hamtramck when such is exhausted 10

11 Seniority District 5 Flat Rock and Toledo Zone No. Extra Board Location(s) Protects 1 FLAT ROCK All Assignments at, or originating on Seniority District 5 including Toledo when such is exhausted 2 TOLEDO All Assignments at, or originating on Seniority District 5 including Flat Rock when such is exhausted Section 6 Seniority Maintenance Fee Effective June 2, 2004, Trainmen transferring to engine service shall be subject to payment of their fair share of the expenses of negotiating and administering the collective bargaining agreement governing their rates of pay, rules and working conditions within the craft of Trainmen and in the protection of their continued Trainman seniority as follows: A. Trainmen transferring to engine service will have their Trainman s seniority placed in leave of absence status and will continue to accumulate such seniority. This will apply to the period of time that such employees are required to protect their train service seniority. A service fee payment to the SMART-TD will be required while maintaining and accumulating Trainman seniority. B. A service fee will be required of Trainman transferring from train service who do not hold membership in the SMART-TD in order to defray the cost of negotiating and administering the collective bargaining agreement governing their rates of pay, rules and working conditions and for the maintenance and accumulation of Trainman seniority. In the event such an employee does not pay the required fees, the General Chairperson shall so notify the designated Company Officer with a copy to the employee involved. Such employees whose payments are delinquent shall have sixty (60) days from the date of the General Chairperson s letter to correct the delinquency. Failing to correct the delinquency such employee shall not continue to accumulate seniority in the craft or class represented by the United Transportation Union, and that shall be noted on the appropriate seniority rosters. C. The service fee specified in the preceding paragraphs shall be based upon the costs of negotiating and engaging in all collective bargaining matters, but in no event shall exceed the amount of full monthly dues of the SMART-TD. D. The provisions outlined in Section 5 herein shall only be implemented upon thirty (30) days written notice by the General Chairperson of the SMART-TD. Section 7 Prior Rights Seniority Regular assigned runs may operate over two, or more Seniority Districts. Trainmen possessing prior rights on the road and former yard seniority rosters will continue to possess relative prior rights to any established prior righted road or customer service assignment (CSA) positions bulletined as assignments on the new Seniority Districts outlined in Section 5 herein. 11

12 Section 8 Seniority Roster A. Trainmen will be placed on a new District Seniority Roster at their current home terminal in accordance with their former relative seniority standing on the applicable GTW/ DTI / DTSL Seniority Roster that was in effect prior to the implementation date of this agreement. 1. Within thirty 30-days after the implementation of this June 2, 2004 Agreement, all Trainmen will indicate (in order of preference) their declaration of Seniority District and Extra Board Home Terminal Location as outlined in Article 7, Section After the 30-day period outlined in Paragraph A.1, the declarations will be reviewed with the General Chairman and employees will be allotted their seniority district and extra board location, subject to capacity requirements and using the following criteria: (i) (ii) Seniority (as provided in Paragraph A, herein) and Declaration preference. The Company will publish the final list and the effective date that employees will be assigned at the new location. Note: Employees off-sick and dismissed employees who are reinstated with full seniority will if they do not submit a declaration under paragraph A. 1. herein, be assigned at their last worked home terminal location. The Company will assign all other employees and employees who do not make sufficient choices. 3. Within 30-days after the final list is published as outlined in Paragraph 2, employees who did not receive their first choice will be afforded the opportunity to select one new location. These employees will be required to relocate to the location selected at such time in the future when the Company deems that capacity requirements allow the transfer. They will be placed on the seniority roster at their new location in accordance with Section 8 Paragraph A, herein. 4. After Paragraphs A.1. to A.3. are fulfilled, employees will have the opportunity to request a permanent transfer to a new Seniority District. These employees will be required to relocate in seniority order to the location selected at such time in the future when the Company deems that current and future capacity requirements allow the move. They will be placed on the seniority roster at their new location in accordance with Section 8 Paragraph A herein. B. Within ninety (90) days of the implementation date of this June 2, 2004 Agreement Trainmen will be afforded a one time opportunity to make a declaration to exercise seniority to a different seniority district. Employees who make a declaration will be afforded the opportunity to relocate to the location selected at such time in the future when capacity requirements necessitate. 1. Employees who make their declaration within the 90 days outlined will be dovetailed in that District based on their seniority standing in effect prior to the effective date of this Agreement. 2. Employees who express their desire to relocate to another Seniority District after the expiration of the 90 days outlined herein may be permitted based on capacity requirement and will be dovetailed in that District based on their seniority standing in effect prior to the effective date of this Agreement. 3. Employees establishing seniority on or after the effective date of this agreement will be placed at the bottom of the appropriate Trainmen Seniority District in the order in which they establish a seniority date as an Trainman. 12

13 C. Employees who established seniority between June 2, 2004 and August 17, 2006 will be provided protection against furlough, but may be required to work in a location in another seniority district not to exceed a 100 mile radius from their initial Seniority District location. Their initial seniority date will be dovetailed into the district where required at that point in time. EXAMPLE: Q: Will the Carrier provide the same Article 6, protections, by providing a Regular Assignment or Guaranteed Extra Board (GEB) assignment to employees hired between June 2, 2004 and August 17, 2006, who exercise their seniority to fullest extent on their districts, to include locations within a one hundred (100) mile radius from their initial seniority district location? A: Yes, the same protections will apply. Q: Will a trainman hired in Flat Rock be required to exercise his seniority to Flint and subsequently to Battle Creek? A: No, he can be required to exercise his seniority to Flint, a location within 100 miles from Flat Rock, the initial location where the trainmen established his seniority. Once he is permanently transferred to Flint, he is subject to all of the assignment and displacement rules applicable to Seniority District 3. He will not be required to make another permanent transfer to a different seniority district, unless the entire seniority district is eliminated. The current locations and distances are identified in Attachment A. As an additional example, a trainman hired in Toledo can be required to transfer to Pontiac, ( 89 miles away). Once transferred, he can be required to work at Flint, the other location in Seniority District 3, even though Flint is located 105 miles from Toledo. D. Seniority rosters are attached for each Seniority District outlined in Section 5 herein, and will continue to be compiled by the Company and posted in January of each year with copies furnished to the General Chairman and Local Chairmen. Rosters will show each employee s name, employee number, date of birth and date of seniority and status and prior rights code if applicable. A seniority date not protested within 90 days from its first posting, will be considered permanently established, and future requests for changes will not be considered except to correct typographical errors. Section 9 Elimination of a Seniority District A. In the event CN ceases ownership as a result of a sale, lease etc. that results in the elimination of an entire seniority district, protected employees directly affected will be permitted to transfer to another seniority district at employee s option and will be dovetailed in that district based on their seniority standing in effect prior to the effective date of this agreement. B. In the application of subparagraph a; herein the Company will identify seniority districts where a shortage of employees may exist and the General Manager and the General Chairperson will ensure that the transfer of employees is done in a manner that does not result in excessive surpluses in any specific remaining seniority districts. Section 10 Promotion All trainmen must accept promotion to conductor when offered by the Company. Once promoted, trainmen, including those already promoted will not be permitted to voluntarily relinquish conductor rights. Existing practices regarding instruction and examination in effect prior to the implementation of this agreement will continue. Trainmen failing to pass the transfer requirements (must pass on the 2 nd 13

14 attempt with mentoring) for Conductor will result in automatic termination of all seniority and rights to work under this Agreement. Section 11 Forced Promotion to Apprentice Engineer and Locomotive Engineer Service Trainmen who have established seniority subsequent to April 01, 2001 (with the exception of the 30 trainmen who already commenced brakemen training during this time frame) will be required to accept transfer to engine service. If the number of applicants for engine service on the seniority district is insufficient to meet the Company s needs, such needs shall be met by requiring Trainmen who established seniority subsequent to April 01, 2001 to transfer to engine service in inverse seniority order, or forfeit seniority as a Trainman. Existing practices regarding instruction and examination in effect prior to the implementation of this agreement will continue. Trainmen failing to pass the transfer requirements for engineer will result in automatic termination of all seniority and rights to work under this Agreement. ARTICLE 8 - JOB VACANCIES AND BIDDING Section 1 Regular Assignments and Extra Boards A. 1. Subject to the requirements of service, the overall proportion of regularly assigned positions will not be reduced and the Company will endeavor to increase the number of regular assignments as a percentage of work. 2. The Company will, where operationally practical, operate meet and turn service. B. Regular assignments will be advertised as 5/2, 6/1, or 6/2-4/2 (two week rotation). Any other cycles must be agreed upon between the General Chairperson and the Superintendent and such agreements will be reduced to writing and contain a 10 day cancellation clause. Customer Service Assignments [CSA] will be established consistent with business requirements and will be bulletined in accordance with the above. Where possible, assignments will have a designated starting time. (Q&A) Note: Customer Service Assignments are designed to work primarily within a terminal and will go on and off duty at that same terminal. Section 1 B. Clarification Question: Answer: estion: Answer: Question: Answer: In the event the Company establishes a 5 day assignment with 2 days off, is it the intent to have the 2 assigned days off consecutive? Yes. Can an assignment be bulletined to work four (4) hours on, two (2) hours off and five (5) hours on? No. Is it the intent of the Agreement to ensure that all regular assignments will have at least one scheduled rest day per week? Yes. C. The Company will advertise, subject to operational requirements the following: 14

15 1. At locations where 4 or more Customer Service Assignments [CSA s] exist, a minimum of 25% of the assignments will be advertised as 5 day assignments. As the current protected employees working five day assignments attrite or leave the service of the company, the Company will have the option of advertising the assignments as either 5/2 or 6/1. Subsequent to July 31, 2005 the determination of the number of 5 day assignments will be made by the Company. If rounding is necessary to determine the number of 5 day assignments the number of assignments will be rounded down or up. (Example 2.5 = two 5 day assignments; 2.6 = three 5 day assignments) 2. No less than 75% of the regularly scheduled freight service will be regularly assigned. 3. All regular Customer Service Assignments [CSA s] will be regularly assigned. D. Regular assignments will be bulletined with a four (4) hour calling window or an assigned start time. The Company may adjust the starting time of an assignment within the designated spread. In the event a regular assignment is called to report for duty two hours or more beyond the close of its advertised spread time, the Trainman will be considered on pay two (2) hours after the expiration of his advertised spread time. In the event the requirements of service necessitate calling a Trainman prior to the opening of his advertised starting spread time, the Trainman will be paid five (5) hours at the basic daily rate. (Q&A) Example 1 Trainman A has an advertised spread time to start between 10:00 to 14:00 hours. Trainman A is called at 14:00 for a 17:00 start time. Question: What time does Trainman A go on pay? Answer: For pay purposes only, Trainman A goes on pay at 16:00. Example 2 Trainman A is called to report for duty at 10:00. Question: What time does Trainman A go on pay? Answer: 10:00. Example 3 Question: Answer: Example 4 Trainman A is called in advance of his advertised spread time to report for duty at 09:00. What time does Trainman A go on pay? 09:00. However in addition to his earnings for that day, Trainman A will be allowed five hours pay at the basic rate. Trainman A has an advertised spread time to start between 10:00 to 14:00 hours. Trainman A is not called for duty but is annulled at Question: What time does Trainman A go on pay? Answer: For pay purposes only, Trainman A goes on pay at 16:00 and pay ends at Trainman A will also receive pay per Article 9-C. Paragraph D. Question: Will spread time count towards overtime? Answer: No, overtime is only paid on service rendered, such as after 10 hours on regular tours of duty, working off the supplemental board on your day off and deadheading. Question: Trainman Smith s regular starting time is at 09:00 a.m. The Company wishes to change his starting time to 10:00 a.m. but is unable to contact Trainman Smith. Trainman Smith 15

16 Answer: 09:00. reports for duty at 09:00 a.m. as advertised. What time does Trainman Smith go on duty? E. Guaranteed Extra Board assignments will be established where the needs of service dictate and will be bulletined to work five (5) days with two (2) consecutive scheduled rest days. A minimum of one (1) extra board for each seniority district must be provided to fulfill the commitments of Article 6, Paragraph A. By mutual agreement between the Company and the General Chairperson, alternative work rest schedules may be established. Such mutual agreements will be reduced to writing and contain a 10 day cancellation clause. F. Each terminal will maintain a bulletin listing all positions, including guaranteed extra board positions, which will include (a) the job title and the normal assigned duties of the job, (b) the home terminal and, where applicable, the away from home terminal, (c) whether the job will tie up at the on-duty point, (d) the starting time or spread time of the assignment, if applicable and (e) the assigned day(s) off. G. Newly established positions will be bulletined for a period of seven (7) days to enable interested Trainmen to update their preferences in the crew calling system. Question: Answer: For payroll, vacation and bulletining of positions, what day defines the start of the work week? The work week runs from Monday thru Sunday for GEB guarantees, vacations and job bulletin purposes. H. Smart Rest 1. Trainmen shall be permitted to request extended periods of rest ("Smart Rest") subject to the terms and conditions set forth herein. 2. If a job change results in an employee being scheduled to work six (6) or more consecutive starts without a 24 hour period of rest between the off-duty time and the on-duty time, a process (hereinafter referred to as "Smart Rest") shall be implemented that will allow trainmen who have had four (4) or five (5) consecutive working starts without a 24 hour period of rest to request to extend rest time at the home terminal prior to the fifth (5th) or sixth (6th) consecutive start in order to obtain 24 hours undisturbed rest measured from tie up from the previous tour of duty. 3. Subject to the needs of the service, the Company may grant a trainman s request to exercise the Smart Rest option, provided the trainman advises the proper authority of the election immediately upon tie up from the 4th or 5th consecutive tour of duty; that decision is irrevocable. For example: A trainman has had 3 consecutive starts without a 24-hour rest period and is then called on duty at 0200 on Tuesday for the 4th consecutive start and ties up at 1200 at the home terminal. This trainman would be subject to call under the current hours of service regulations at This trainman may be allowed to exercise the Smart Rest option in order to delay the next call for service until 1200 the following day (Wednesday). So long as the requirements of this section are fulfilled, 16

17 there shall be no offset of guarantee for the time the employee was unavailable due to exercising Smart Rest. 4. Provided the individual observing Smart Rest works the next available tour of duty, unavailability pursuant to the terms of this section shall not be considered in any manner when calculating availability under the terms of any availability policy or attendance guidelines. 5. If the trainman does not work the next available tour of duty, all time beyond the minimum rest period mandated by law after the previous tie-up shall count as an absence for availability purposes and any applicable guarantee shall be proportionately offset. Use of Smart Rest in conjunction or concurrent with any scheduled rest day or other leave will result in such time being considered as an absence and such time will also be calculated to offset any guarantee. 6. An individual subject to guarantee who exercises the Smart Rest option and is displaced prior to commencing a start on the following calendar day shall not be considered "unavailable" or subject to guarantee offset so long as that individual places immediately to another assignment and remains available for service on that following calendar day. Section 2 Assignment to Positions Assignment to positions shall be governed by seniority in accordance with existing practices prior to implementation date of this agreement. A. In the event there are no bids for an assigned position the following will apply: 1. If a Conductor vacancy exists the junior Conductor holding a non Conductor position including the GEB; and the junior Brakeman on the GEB for Brakeman vacancies at the location where the vacancy exists; if none, 2. The junior promoted Trainman on the Seniority District who is occupying a GEB that is defined as having a surplus number of employees, and is nearest via highway miles to the location where the vacancy exists. 3. The senior furloughed Trainman within the terminal; if none, 4. The senior furloughed Trainman on the Seniority District nearest via highway miles to the location where the vacancy exists. (Q&A) Section 2 A Question: In the application of Article 8 Section 2 can a furloughed employee be required to protect an unbid vacancy? Answer: Yes, however the provisions of Article 7, Section 4 apply. B. Temporary vacancies of seven (7) days or more will be filled in seniority order in accordance with existing practices in effect prior to implementation date of this Agreement. Section 3 Permanent Transfers Employees will have the opportunity to request a permanent transfer to a new Seniority District. These employees will be required to relocate in seniority order to the location selected at such time in the future when the Company deems that current and future capacity requirements allow the move. They will be placed on the seniority roster at their new location in accordance with Article 7, Section 9 Paragraph A. 17

18 ARTICLE 9 - ANNULMENT OF ASSIGNMENTS A. When assignments are to be annulled on holidays, the Company will notify Trainmen prior to completion of the last regular assigned shift prior to the holiday. (Q&A) Question: Will every assignment receive a 24-hour notice if annulled on a holiday? Answer: Every assignment as near as possible will receive a 24- hour notice. It is understood that some industries cannot give 24 hours notice and the Company will endeavor to provide a notice as near as practical. Question: Answer: For the purpose of this Article is the GEB considered an assignment? No. B. When an assignment is annulled or works on New Year's Day, President's Day, Memorial Day, Good Friday, Independence Day, Labor Day, Thanksgiving Day, the Day after Thanksgiving, Christmas Eve Day, Christmas Day or New Year's Eve Day, at the Trainman's option he may utilize a personal leave day. C. When assignments are annulled on other than one of the General Holidays referred to in subparagraph B herein, the Trainman assigned to the position may be called under the applicable rules and used on other available work within the scope of this Agreement. Trainmen not used will be paid for the day or time lost. ARTICLE 10 - ABOLISHMENT AND DISPLACEMENT A. Trainmen whose positions are abolished will have twenty-four (24) hours in which to exercise seniority, or be assigned to the position held by the junior Trainman at that terminal. The Company will not incur any costs associated with the application of this provision. Employees who immediately exercise seniority to the GEB upon notification of being displaced will not have their guarantee negatively affected. Question: Answer: What does the term immediately mean? Employees who exercise seniority within eight (8) hours. B. In the application of sub-paragraph A herein, if unable to displace a junior Trainman in the terminal, the Trainman shall exercise his seniority to displace a junior Trainman within his Seniority District within forty-eight (48) hours. If the assigning of such employee results in the relocation of another employee on the seniority district, then the GEB will have one position added at his home terminal. C. Permanent changes in rest days or home terminal or changes to starting time or listing spread in excess of three (3) hours will result in the assignment being re-advertised. Question: Answer: If an employee is displaced for any reason, will the employee have 24 hours in which to exercise seniority? Yes, in accordance with Article 10-A. 18

19 ARTICLE 11- GUARANTEED. EXTRA BOARD (GEB) A. 1. Where Guaranteed Extra Boards (GEB) have been established, the scheduled weekly rest day(s) will commence at 00:01 hours, with the Trainman automatically marked back to the board at 00:01 the following day. Extra Board employees at their home terminal will not be called for duty that commences on or after 22:00 hours on the day preceding their rest day, personal leave day or vacation. Trainmen may also elect to be automatically marked back to the working board at 06:00 a.m. GEB employees must request the 0600 markup option on or before 1200 hours on their last rest day. Once requested, there is nothing to prohibit the employee from cancelling the request no later than 2359 and marking up at Paragraph A. 1. Question: Is a Trainman who is at his home terminal required to accept a call for duty that commences on or after 22:00 on the day preceding their assigned rest day? Answer: No. Question: Answer: Is an extra board employee who is observing the assigned days off, required to mark back to the extra board at a specific time once his / her off days are over? In accordance with Article 11, Paragraph A1 and A2 Extra Employees are marked back to the GEB at 12:01 AM at the completion of their assigned days off, unless such employee notifies the Company that they will mark up at 06:00 Am following their off days. 2. Trainmen who elect to mark up at 06:00 a.m. and would have been called for duty between 0001 and 0600 will have their guarantee reduced by the amount outlined in G(2), herein, for that week. The provisions of this paragraph will also apply to employees returning to the GEB under the provisions of Articles 18, 19 and 21 of this Agreement. Paragraph A. 2. Question: Trainman Smith voluntarily elects to markup at 06:00 instead of 00:01 for reasons other than provided in Article 11 A. 3. Will Trainman Smith s guarantee be reduced if he would have otherwise been called between 0001 and 0600? Answer: Yes, Trainman Smith s guarantee will be reduced by the amount outlined in G (2), as periodically adjusted for GWIs. 3. If the Trainman is currently working or away from the home terminal at the time the scheduled rest day(s) are to begin, the rest day(s) will begin at the Trainman's tie-up time at his home terminal and run for twenty-four (24) or forty-eight (48) hours, whichever applies, with the Trainman automatically marked back to the bottom of the board at the expiration of that time. However, if the Trainman's tie-up time occurred between 00:01 and 06:01 on the scheduled rest day, the Trainman will automatically be marked back to the bottom of the board at 06:01 at the expiration of the twenty-four (24) hours or forty-eight (48) hours, whichever applies. B. For the purposes of prorating guarantees Trainmen exercising seniority to the GEB at any time other than Board Adjustment Day, or as provided for in Article 10A herein, whichever applies, will be shown on the GEB at 00:01 hours after the exercise of their seniority (Refer to Paragraph M. herein). 19

20 C. GEB s will operate on a first-in, first-out basis, based on tie-up time. Where more than one Trainman is marked back up to the Board at the same time their previous tie up time will govern relative order. D. Unless otherwise provided for herein, Trainmen assigned to GEB s will fill temporary vacancies and extra assignments at the location of the Board and at outlying points within the Seniority District, as necessary. In the event the GEB from which the assignment would normally be filled is exhausted, the assignment will be filled by: 1. The senior rested Trainman at the terminal who has marked up to the Supplemental Extra Board as provided for by Article 15, Section 5; if none, 2. The first-out qualified rested Trainman on the nearest Extra Board(s) within the Seniority District via highway miles; if none, 3. The senior rested Trainman who has marked up to the Supplemental Extra Board at the nearest terminal within the Seniority District via highway miles; if none, 4. The first-out qualified and rested Trainman on the nearest Extra Board via highway miles on the adjacent Seniority District. Employees used from the adjacent Seniority District will only be used for one tour of duty. (Q&A) Paragraph D. Question: In the application of Article 11 D. Paragraph 4 what is meant by the term nearest Extra Board via highway miles on the adjacent Seniority District? Answer: The nearest extra board via highway miles means from the location where the vacancy exists from the employee s home terminal. Hamtramck Prior-Right Assignments (Seniority District 4, Zone 1) that report for duty at Flat Rock (Seniority District 5, Zone 1) will be designated as Hamtramck Prior Right Assignments. Those trainmen possessing the appropriate prior-rights within Seniority District 4, Zone 1 will have bidding preference over non-prior-right trainmen. Trainmen assigned to the Hamtramck prior-right assignments will report directly to Flat Rock without any additional expense to the Carrier at the designated on-duty time. The first source of supply for filling vacancies on the Hamtramck prior-right assignments is the Flat Rock Guaranteed Extra Board. Any extra or make-up assignments traversing over the same territory as the designated Hamtramck prior-right Assignments will be filled from the Flat Rock GEB. E. When Trainmen mark back up for any reason they will be placed to the bottom of the GEB and the following will apply (Q&A): 1. Employees who are first-out on the GEB and book off for any reason or miss a call will, be held off of the GEB for 12 hours. Note: The foregoing provisions with respect to being held off of the GEB will not apply to GEB s consisting of three (3) or less Trainmen. 2. Employees not first-out and who book off of the GEB will be held off the board for 8 hours. 20

21 3. Employees held in accordance with paragraphs 1 and 2 may be called for duty by the Company in the event the working boards are exhausted. 4. The provisions of sub-paragraph E.1. herein, will not apply to employees referred to in paragraphs D.2., D.3. and D.4. of this Article who are not physically first-out on the GEB at that location. Paragraph E. Question: If an employee misses a call on the GEB is he considered in layoff status for the 12 hours he is held off of the working board? Answer: Yes, subject to the provisions of Article 11, Paragraph E, #3. F. The number of Trainmen assigned to GEB's will be regulated on Monday at 00:01 by the Company and will be based on 20% of the regular positions on assignments plus the average number of unassigned starts on a daily basis of the previous thirty (30) days, multiplied by 1.2. The Company shall maintain a sufficient number of extra employees to permit reasonable layoff privileges and to protect vacations, personal leave days and other extended vacancies. G. 1. Trainmen assigned to a GEB shall be guaranteed 4.5 Basic Day s Pay per week. All compensation paid by the Company to Trainmen while assigned to a GEB in a work week will be credited toward the guarantee excluding personal automobile mileage allowances, expenses, and payments that involve an alleged violation of this Agreement, such as runarounds, etc. Compensation received pursuant to Article 17 Section 1. D. and Article 17 Section 3 and Section 4 will be credited toward the guarantee. For the purposes of this provision, a work week is defined as a 7 day period beginning at 0001 on Monday.. 2. Ninety (90) percent of a Basic Day s pay shall be used to reduce the guarantee for any 24-hour period, or portion thereof, a trainman is unavailable for service as outlined herein; and, for prorating the guarantee of a trainman who is not assigned to the guaranteed extra board for the full week (Monday thru Sunday). 3. Trainmen who mark off more than once in a guarantee period and do not perform compensated service between each mark-off will forfeit their Guarantee for the week. Union mark-offs are exempt from this paragraph. H. The rate established for extra boards under this Agreement shall be subject to general wage increases. I. GEB positions will be advertised. Assignments shall be made on the basis of seniority. J. Extra board Trainmen shall be called for service not less than two (2) hours prior to the time required to report for duty. K. The Company will provide the General Chairperson ten days advance notice for any new board it intends to establish. L. All guarantee compensation paid to extra Trainmen shall be considered as service rendered for vacation pay and qualification days. M. Increases or decreases to the GEB can occur at any time; however, if the board is increased or decreased effective at any time other than on the designated Board Adjustment Day for that location, the Trainmen added will be paid a day s guarantee in the event no other 21

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