Collective Bargaining Agreement

COLLECTIVE BARGAINING AGREEMENT


between


LENDER'S BAGEL BAKERY


and


BAKERY, CONFECTIONERY and TOBACCO


WORKERS OF AMERICA


LOCAL #429


SEPTEMBER 1, 1998 to AUGUST 31, 2001


TABLE OF CONTENTS
-----------------


Article Page - ------- ----


1. Recognition_________________________________________________________1
2. Hours of Work_______________________________________________________2
3. Holidays____________________________________________________________3
4. Night Premium_______________________________________________________5
5. Lunch & Relief Periods______________________________________________5
6. Rest Hours__________________________________________________________5
7. Wages for Higher Classification Work________________________________6
8. Vacations___________________________________________________________6
9. Job Posting and Bidding_____________________________________________8 10. Seniority__________________________________________________________10 11. Uniforms___________________________________________________________12 12. Death in Family____________________________________________________12 13. Jury Duty__________________________________________________________13 14. Physical Examinations______________________________________________13 15. Union Label________________________________________________________13 16. Union Business_____________________________________________________13 17. Selective Service Act______________________________________________14 18. Grievance Procedure________________________________________________14 19. No Strike Clause___________________________________________________16 20. Benefits Package___________________________________________________16 21. Pension____________________________________________________________17 22. Sick Leave_________________________________________________________18 23. Checkoff___________________________________________________________19 24. Leaves of Absence__________________________________________________19 25. Rights of Management_______________________________________________20 26. Executive or Management Work_______________________________________20 27. Nondiscrimination Clause___________________________________________21 28. Miscellaneous______________________________________________________21 29. Posting of Work Schedule___________________________________________23 30. Severance Pay______________________________________________________23 31. Scope of Agreement and Separability________________________________23 32. Termination________________________________________________________24 33. Political Contributions____________________________________________24 34. Americans With Disabilities Act____________________________________25 35. Part-Time Employees________________________________________________25 36. Alternative Work Schedule__________________________________________25 37. Substance Abuse Policy_____________________________________________26
Schedule "A"_______________________________________________________35
Attachment: Memorandum of Agreement


AGREEMENT
---------


THIS AGREEMENT made and executed this 1st day of September, 1998, as of September 1, 1998, between LENDER'S BAGEL BAKERY with its offices at 75 Empire Drive, West Seneca, New York, 14224, hereinafter referred to as the Employer and the BAKERY, CONFECTIONERY & TOBACCO WORKERS' INTERNATIONAL UNION OF AMERICA, LOCAL 429, with its offices at 1560 Harlem Road, Cheektowaga, New York, 14206, hereinafter referred to as the Union.


WITNESSETH:
-----------


This Agreement as to hours, wages and working conditions is entered into and shall be binding on the parties hereto and their successors and assigns from September 1, 1998 until terminated as hereinafter provided.


ARTICLE 1 - RECOGNITION
-----------------------


Section 1. The Employer recognizes the Union as the collective bargaining
--------- agent for all of his Employees, in all Lender's Bagel Bakery production, shipping, packing, maintenance and sanitation, including regular part-time Employees, but excluding store clerks, office and clerical Employees, route salesmen, drivers and supervisors.


Section 2. It shall be a condition of employment that all of the
--------- Employer's Employees in the contractual bargaining unit who are members of the Union in good standing on either the effective date or the execution date of the Agreement, whichever is later, shall remain members in good standing for the term of the Agreement; those Employees in the unit who are not members on the latter of those two dates, shall become Union members on the 31st day following either the effective date or the execution date of this Agreement, whichever is later, and remain good standing members for the term of the Agreement; all new Employees in the unit shall become Union members on the 31st day following the beginning of such employment, and remain good standing members for the term of the Agreement.


It is agreed that the Employer shall retain in his employ only such Employees covered by this Agreement who are dues paying members in good standing of the Bakery Confectionery & Tobacco Workers' International Union of America. Good


1


standing members are those owing not more that two (2) months dues. The Employer shall have sixty (60) calendar days to determine if the new Employee qualifies to do the work before he/she shall be considered regular full-time during which time the Employee may be discharged without recourse, unless the Union and Employer agree in writing to extend the period for a term not to exceed three (3) weeks.


ARTICLE 2 - HOURS OF WORK
-------------------------


Section 1. Minimum wages and classification shall be as agreed upon in
--------- negotiation conferences and as set forth in Schedule 'A', a copy of which is annexed hereto and made a part hereof, and is to be identified by the signature of the Employer and the Union.


Section 2. The normal work day for full-time Employees shall be seven and
--------- one-half (7.5) hours and the normal work week shall consist of five (5) days or thirty-seven and one-half (37.5) hours, which need not be worked consecutively, being the normal times worked at straight time rates. A part-time Employee is one who works less than thirty-seven and one-half (37.5) hours per week. The normal work week shall commence on a Sunday or any other day which shall be selected at the option of the Employer. This section is intended only to provide a basis for the calculation of overtime and it should not be construed as a guarantee of work per day or per week.


Section 3. All regular full-time Employees asked to report for work
--------- shall be guaranteed seven and one-half (7.5) hours per day and all part-time Employees asked to report for work shall be guaranteed four (4) hours per day, except those voluntarily agreeing to work less hours.


Section 4. All hours worked in excess of seven and one half (7.5) hours
--------- in any one day and/or thirty-seven and one-half (37.5) hours per week, shall be compensated for at the rate of time and one-half the straight time hourly classification rate.


Section 5. Time and one-half the straight time hourly classification rate
--------- shall be paid for all hours on the sixth (6th) day and double time on the seventh (7th) consecutive day of any one work week. For the purposes of this section the day is defined as no less than seven and one half (7.5) hours worked, with the exception of those voluntarily agreeing to work less hours.


Section 6. Overtime is to be calculated on either the daily or weekly
--------- basis, whichever is greater, but not on both.


2


Section 7. Except in the event of an emergency, no Employee may be
--------- required to work more than ten (10) hours in any one day. As far as possible the distribution of available overtime shall be equally divided among all Employees, subject, however, to the qualifications of such Employee to do the required work. For the purpose of this Agreement, emergency shall be defined as a malfunction in the production line or plant support, and unavoidable absence with regard to which the Employer was not notified within a reasonable time or an injury occurring during the work day with regard to whose station no replacement can be reasonable found.


When Employees are required to work overtime, they shall be so notified at least one (1) hour before the completion of their scheduled shift, except in cases of emergency.


Section 8. The parties agree that it is the spirit and intent of this
--------- Agreement for all Employees to enjoy a five (5) day work week. The Union recognizes however, that occasions may arise when it might become necessary for an Employer to request that work be performed on the sixth (6th) day and/or seventh (7th) consecutive day. The Union, therefore, agrees that if under such circumstances, it cannot supply qualified workers as needed by the Employer, the Employees will work the extra day or days unless they have a valid reason for not doing so. The Shop Committee and Management will resolve any questions concerning the validity of any such excuse.


ARTICLE 3-HOLIDAYS
------------------


Section 1.
---------


(a) The following days shall be observed as holidays. All observances shall be as prescribed by the Federal Government.


New Year's Day Labor Day
Martin Luther King Day Thanksgiving Day
Easter Monday Christmas Eve
Memorial Day Christmas Day
Independence Day


(b) An Employee's birthday shall be considered a holiday, provided that the Employee has so notified the Employer in writing at least two weeks prior thereto, each year of the term of this Agreement. In the event two or more Employees' birthdays fall on the same day, seniority shall prevail.


3


Section 2. To be eligible for a particular unworked holiday, an Employee must
--------- meet all of the following requirements:


(a) The Employee must have thirty (30) days of service as full-time.


(b) In the case of a full-time Employee, he/she must have worked seven and one-half (7.5) hours on his/her scheduled shift the day preceding the holiday and seven and one-half (7.5) hours on his/her scheduled shift the day following the holiday.


Eligible Employees shall receive seven and one half (7.5) hours pay for each holiday in the case of a full-time Employee. In the event an Employee is prevented from reporting to work because of inclement weather conditions, this factor may be considered by the Employer in determining whether the Employee reported for work during said week, but said factor need not be conclusive.


Section 3. Time and one-half the straight time hourly classification rate
--------- shall be paid for all hours worked on the fifth (5th) day in a holiday week. In the event Employees are required to work on the sixth (6th) and seventh (7th) day in a holiday week, they shall be entitled to double the straight time hourly classification rate for hours worked on such days.


Section 4. In the event an Employee is laid off during a holiday week, if
--------- employed over one year prior to being laid off, said Employee shall be entitled to holiday pay as described in Section 2 hereof. Wherever practicable, there shall be no Employee training during said week.


Section 5. In the case of sickness or accident on an Employee's last
--------- scheduled day before a holiday or first scheduled day after a holiday, the Employee can receive holiday pay. However, the Employee affected must have a Doctor's Certificate. The Employer will have the right to check on the Doctor's Certificate. The Union will cooperate with the Employer if the Employer has any problems on the above. Employees who are receiving Disability or Workers' Compensation payments will not be eligible for holiday pay.


Section 6. No production work will be performed on the holidays. However, no
--------- overtime shall be earned by Employees facilitating the shutdown prior to a holiday day or reopening it subsequent thereto. Rest periods are deemed waived for this purpose.


Section 7. Time and one-half the straight time hourly classification rate
--------- shall be paid for all hours worked on the holiday except no overtime shall be earned by Employees facilitating the shutdown prior to a holiday day or reopening it subsequent thereto.


4


Section 8. The Company and the Union agree that normally holidays will
--------- be scheduled to begin at 10:00 P.M. the day before the holiday and end at 10:00 P.M. on the holiday. However, it is understood the Company and the Union may change this time frame by mutual agreement.


ARTICLE 4-NIGHT PREMIUM
-----------------------


A night premium of twenty cents ($.20) per hour will be paid to employees regularly assigned to second and third shifts. Night premium will be included in the overtime computation for the assigned second and third shift employees.


ARTICLE 5-LUNCH & RELIEF PERIODS
--------------------------------


Not less than or more than thirty (30) minutes lunch period shall be granted to all Employees in the middle of the work day, which shall not be paid for nor included in the regular working hours.


Employees scheduled to work seven and one-half (7.5) hours or more shall receive two (2) ten (10) minute relief periods, one (1) period before and one (1) period after lunch. If the work day is more than seven and one half (7.5) hours, a fifteen (15) minute relief period shall be granted after the seven and one-half (7.5) hours. Additional ten (10) minute relief periods will be granted for every additional two (2) hours of work. These relief periods shall be considered as time worked and compensated for. For the purpose of company meetings only, any employee required to attend a company meeting shall receive a rest period only if the meeting will require more than one hour to attend.


ARTICLE 6-REST HOURS
--------------------


There shall be a minimum of twelve (12) hours of rest for all Employees between daily shifts; and a minimum of thirty-six (36) hours of rest during their regular scheduled day off; and sixty (60) hours rest between shifts when a double holiday or double day off occurs. The sixty (60) hours rest shall be the maximum circumstance for which the following premium pay guidelines shall apply.


Any Employee called in to work before the expiration of the aforementioned rest hour shall be compensated for all such hours worked at double his/her straight time hourly classification rate, and such hours worked shall be considered a part of the daily guarantee and shall also be used towards the seven and one-half (7.5) hour daily overtime calculation. It is understood that overtime is calculated on either the daily or weekly basis, whichever is greater, but not on both.


ARTICLE 7 - WAGES FOR HIGHER CLASSIFICATION WORK
------------------------------------------------


Section 1. In the event an Employee works in a higher paid
--------- classification than his/her own, he/she will receive the higher classification rate for such hours worked, provided however, if such Employee works in excess of four (4) hours on any one (1) shift, he/she shall be paid the higher classification rate for the entire shift. If an Employee works twenty (20) hours or more per week, he/she will receive the higher classification rate for the entire week.


Section 2. Any Employee receiving a higher hourly rate than specified in
--------- this Agreement shall not be reduced, provided his/her classification of work is not changed on a permanent basis.


ARTICLE 8 - VACATIONS
---------------------


Section 1. All full-time Employees covered by this Agreement shall
--------- receive vacation according to the following schedule:


Continuous Service Vacation
------------------ -------
1 year, but less than 2 years 1 week
2 years, but less than 5 years 2 weeks
5 years, but less than 14 years 3 weeks
14 years, but less than 20 years 4 weeks
20 years or more 5 weeks


Section 2. Full-time Employees on vacation shall receive as vacation pay
--------- thirty-seven and one-half (37.5) hours pay for one (1) weeks vacation, seventy- five (75) hours pay for two (2) weeks vacation, one hundred-twelve and one-half (112.5) hours pay for three (3) weeks vacation, one hundred-fifty (150) hours pay for four (4) weeks vacation and one hundred-eighty seven and one-half (187.5) hours pay for five (5) weeks vacation. A full-time Employee who shows a pattern of night work three (3) weeks prior to taking a vacation will receive night premium pay in their vacation pay.


6


Section 3. The regular vacation period shall be from the 1st day of
--------- January until the 31st day of December and shall be distributed in accordance with seniority during such period of time. All vacation polling will be completed by March 1st. A minimum of one (1) person per shift shall be entitled to vacation during the regular vacation period (two [2] in packing). Should a single down week occur, all Employees not scheduled to work that week will be required to take one (1) week of vacation during that time. Should two (2) successive down weeks occur, all Employees not scheduled to work those weeks will be required to take a maximum of two (2) weeks of vacation during that time. All Employees will be excluded from this provision if the shutdown is outside the last week of June, the entire months of July and August. Notification of Plant down week(s) will take place not later than February 1st.


Section 4. Qualified relief must be available to the Employer during the
--------- Employee's vacation period.


Section 5. Full-time Employees eligible for vacation must take their
--------- vacation, except that an Employee who loses time at work, due to illness or unforeseen emergency, may, subject to approval by the Employer and the Union, work during his/her vacation period and receive the extra compensation.


Any regular, Full-Time Employee with one (1) year of service will receive their vacation according to the following schedule:


Hours Worked Percent of Vacation
------------ -------------------
1275 Hours or more 100%
Less than 1275 but more than 975 75%
Less than 975 but more than 487.5 50%
Less than 487.5 -0-%


For purposes of calculating hours worked the following will be included: paid sick time, jury duty, time off for Union business, vacation, military duty (up to two (2) weeks per year), and overtime (one hour worked equals one hour of credit).


Section 6. The seniority list of Employees shall be posted at least
--------- thirty (30) days prior to the start of the vacation period. The vacation schedule shall be posted and remain posted throughout the vacation period. Employees shall choose their time of vacation within two (2) weeks after the posting of the seniority list.


7


ARTICLE 9 - JOB POSTING AND BIDDING
-----------------------------------


Section 1. In all cases of filling of regular full-time vacancies which
--------- are required to be posted, the length of continuous service shall be the governing factor (seniority). However, the Employee must also have the ability and physical fitness to perform the work and must have a good work record including attendance, tardiness, and job performance. In determining an Employee's ability and physical fitness to perform the normal requirements of the new job, consideration will be given to job experience, related job experience, education, and/or ability.


Section 2. A job, other than a supervisory one, becoming open as a
--------- regular full-time vacancy shall be posted on the appropriate bulletin board for a period of three (3) working days by the Employer and assigned to the senior qualified bidder.


Section 3. A standard form of posted notice shall be used for
--------- advertising such job vacancy and shall contain the following information: department, date of posting notice, description and rate of job that is vacant. Such bids shall be in writing and submitted by the Employee to the Employer.


Section 4. The following rules for bidding shall apply:
---------
(a) In the event of a transfer to the production department, the applicant must have a minimum of six (6) months seniority and a good work record, including attendance, tardiness, and performance.


(b) Anyone not making claim or refusing the job within seventy-two (72) hours after notice is posted shall forfeit any claim to the job unless it again becomes available.


(c) Where no one signs the bid, the Employer will assign the work to either a new Employee or to one of the part-time Employees most fitted for the job.


(d) With respect to hourly pay rates, the following applies. Up bidding can take place at any time. If an Employee bids up, laterally or down, and is placed in the new job, he/she cannot bid laterally or down for a six (6) month period. Within five (5) working days on the job, if the Employee shall so elect, he/she shall be permitted to return to his/her former job, but will not be permitted to lateral or down bid for a six (6) month period. If within fifteen (15) working days on the job, the Employee is adjudged as having failed to perform satisfactorily, he/she shall be permitted to return to his/her former job and his/her replacement shall return to his/her former job. If an Employee is returned to his/her former job because he/she failed to perform satisfactorily, he/she will


8


not be permitted to rebid into that department, from which he/she was disqualified, for a period of six (6) months.


(e) With respect to shift preference, the following applies. Notwithstanding the foregoing in Section 4(d), an Employee may bid to a preferred shift within his/her present department and job for which he/she is qualified and requires no additional training.


When the Employee is awarded and accepts the new shift he/she, at the time this choice is made, waives his/her five (5) day trial period, and will not be permitted to return to his/her former shift. Shift preference bidding, as described in this section, will be allowed only once in any six (6) month period.


(f) When an Employee accepts a job which has been posted, before his/her trial period begins, his/her name will be removed from all other active bid sheets. If more than one Employee signs a bid sheet, when that bid sheet is removed from the bulletin board, it remains active until the job is filled. If the senior qualified Employee on a multi-signed bid refuses or is disqualified from the job, as outline in Section 4(d), the 2nd senior qualified Employee will be given the opportunity to fill the open job. If the 2nd senior Employee refuses or is disqualified from the job, then the 3rd senior qualified Employee is given the opportunity to fill the job. This procedure is followed until the job opening is filled or until all names on the bid sheet have been exhausted, at which time the bid sheet becomes inactive.


(g) It is understood by both the Company and the Union that an Employee, who bids into and is awarded a job in the production department, will be required to accept training and become qualified in all production department jobs. It is also understood that the fifteen (15) day trial period outlined in Section 4(d) does not allow adequate time for an Employee to become fully qualified in all production jobs. If, after the fifteen (15) day trial period, the Employee is awarded the job, but does not actively and willingly accept training or, after receiving adequate training, does not become qualified in all production department jobs, his/her performance will be brought to the Union's attention before remedial action is taken by the Company. In any case, he/she will not be able to bump the Employee who filled his/her former job.


Section 5. An Employee who claims a job which has been posted need not
--------- be transferred by the Employer to the posted job if the transfer will affect the progress of an unusually important job or if there is an emergency which requires the Employee's retention on his/her present job. Nor shall he/she be transferred until a replacement has been secured for him/her. The Company will aggressively seek a replacement for any Employee who is waiting to be transferred.


9


A person who successfully bids on a job must be moved within six (6) weeks or he/she should receive the rate of pay (if higher), but still receives five (5) days to adjust, and your time period starts after two (2) weeks for purposes of bidding rights. Awarded job bid is to be posted within seventy-two (72) hours of job being taken down. This time period may be extended from six (6) weeks to eight (8) weeks due to unforeseen circumstances upon mutual agreement between the Company and the Union.


Section 6. In the event a part-time Employee works thirty seven and
--------- one-half (37.5) hours or more on job for a period of six (6) weeks, not including replacement for vacation or absence of Employees, the job shall be considered a full-time position, subject to posting and bidding.


Section 7. Employees who are absent from the plant with a reasonable
--------- excuse, shall be eligible to have their name placed on a bid which is posted during their ...