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Tuesday February 26, 2008

SUNNYVALE

IAM ECONOMIC PROPOSAL FOR THE 2008

LOCKHEED MARTIN SPACE SYSTEMS COMPANY

NEGOTIATIONS

These are negotiable and the Union reserves the right to add to, modify or delete from this proposal

during the course of these negotiations.



PARTICULAR DEMAND ARTICLE&SECTION ADDITION/IMPROVEMENT

(1) Pension Plan  Increase to $90.00 87.00 83.00 80.00

per month per year of corporate

Union counter proposal 2/26/2008 service (past and future) and retro

active to January 1, 2008 with no

reduction for early retirement.



 75% Joint and Survivor Benefit-

Accept company proposal 2/23/2008 Effective March 2, 2008, the Plan

will be amended to include a 75%

joint and survivor benefit.



Accept company proposal 2/25/2008  Increase Bridged retirement amount to

$32.00 30.00 29.00 retroactive to

January 1, 2008.

Withdrawn 2/25/2008

 Contingent Annuitant Methods with

Pop-Up Feature” If your Contingent

Annuitant dies before you, your

pension will revert back to the full

amount that would have been paid if

you had not elected the option in the

first place. If you elect a Contingent

Annuitant method with this “pop-up”

feature, your benefit will be subject to

a small additional reduction.

If you have designated your spouse as your

Contingent Annuitant and you are later

divorced, you can have the option canceled

and receive the full amount that would have

been payable without an option. But, a

divorce may require that the spouse remain

designated as the Contingent Annuitant,

which will prevent the operation of the “pop-

up.” (Retroactive to January 1, 2008)









PAGE 1

 Same One time COLA Formula

Modification of union proposal Supplement for current and future

2/26/2008. retirees as in the current Agreement

retro active to January 1, 2008. at

active employees negotiated rate.



(2) General Wage Increases VIII, 4  Effective 3/1/08, 6 5.5 5% GWI;

Effective 3/1/09, 5 4.5 4% GWI;

Union counter proposal 2/26/2008 Effective 3/1/10, 5 4.5 4% GWI;

Effective 3/1/11, 6 5% to the base rate

of each employee on the active payroll

or approve leave of absence on such

date.



VIII, 2  All GWI’s are to be applied to the

Accept company proposal 2/26/2008 minimums and maximums of labor

grades and in grade positions of all

Employees.



Accept company proposal 2/26/2008

VI, 11  Maintain the current COLA formula.



 Increase the annual Cost-of-living

VIII, 6 supplements to $1,200.00 1100.00 900

Union counter proposal 2/26/2008 850 and delete “who has completed

the probationary period.



 Modify the 401K to be allowed to

Accept company proposal 2/26/2008 follow the current maximum federal

government allowances $150.00

unmatched funds and increase

employees matched contribution up to

$68.00 64.00 and increase company

match to 70 50%.

Accept company proposal 2/23/2008  Effective March 2, 2008, the Plan

will be amended to eliminate the

requirement to complete at least six

(6) months of service at the

Company (this company proposal

accepted by union.)









PAGE 2

Modification of union proposal VIII,  Eliminate the lower tier of the Two

2/25/2008 Tier pay schedule. Labor grade 7 and

7 (1),(3)

up maximum pay rate range shall be

raised to the GPR maximum pay rate

range. Add additional $1.00 to

maximum pay rate range of all LG up

to LG 17.

Withdrawn 2/25/2008 reverts to

VI, 1B  ARP’s schedule to increase to $0.50

current contract language. every four (4) months



Accept company proposal 2/26/2008  Basic Benefit Plan- Increase $55.00 to

$75.00 65.00 60.00 a quarter. For

employees hired after 3/1/05 the basic

benefit increased to $125.00 115.00

110.00 90.00.



Withdrawn 2/26/2008 reverts to  Field Duty- Employees traveling on

current contract language. VI, 10B(1) TDY receive an additional $4.00 2.00

added to the hourly rate starting from

the first day of travel.





Withdrawn 2/23/2008 reverts to

current contract language.

V, 8  Military Reserve Training Leave –

Employees performing a required

assignment shall receive the pay

difference between the employee’s

salary and their military pay up to 28

days annually.



 Sick Leave - To have 6 days at the

V, 3B employees regularly assigned work

schedule.



Withdrawn 2/26/2008 reverts to NEW  Bereavement Leave – A. An

current contract language. LANGUAGE employee shall be eligible for three

two (3) (2) days bereavement leave

with pay upon a death in his/her

immediate family. To receive

bereavement pay the leave must be

taken not later than seven (7) days

after date of the funeral. Bereavement

pay will not be granted for Saturday,

Sunday, and holidays or any day

which the employee will otherwise be

compensated by the Company. For





PAGE 3

purposes of this Section, immediate

family shall mean: Mother, Father,

Brother, Sister, Children, Spouse,

Mother-in-law, Father-in-law,

Brother-in-law, Sister-in-law,

Stepmother, Stepfather, Stepbrother,

Stepsister, Stepchildren, Half-brother,

Half-sister, Grandparents, and

Grandchildren.



B. An employee shall request such

bereavement leave on a form to be

provided by the Company. Such request

shall be made before the absence due to

death in the employee’s immediate family

when possible, or immediately upon the

employee’s return to work from such

absence. Bereavement leave shall be

granted upon receipt of the request form.



Withdrawn 2/25/2008 reverts to  Shift Differential – Swing shift $1.00

current contract language. per hour. Graveyard shift $.50 per

VI, 4A(1),(2)

hour.



Withdrawn 2/26/2008.  One additional holiday for each year

V, 4 of the Agreement – Martin Luther

King, Jr. Day



IV, 9  For on the job injury the Company

will pay lost time for follow-up

medical visits.



(3) Medical & Healthcare Coverage V, 10, A  Continue the 87% company premium

and 13% employee premium for

Modified union proposal 2/26/2008 healthcare with a $15.00 20.00 per

week maximum for single coverage

and $35.00 40.00 per week maximum

for family coverage.



Accept company proposal 2/26/2008 NEW  Short Term Disability - $500.00

LANGUAGE 400.00 310.00 per week benefit up to

27 weeks.



 Vision Coverage – New Additional

Accept company proposal 2/26/2008 V, 10A “Vision 12 Plan”









PAGE 4

V, 10A  Dental Coverage – Basic Plan increase

Union counter proposal 2/26/2008 maximum to $2,000.00 1,900.00

1500.00 and Comprehensive Plan

increase maximum $3,000.00

2,800.00 2000.00.

NEW

LANGUAGE  Hearing – Open for discussion see

union attachment dated 2/20/2008.





Union accepts company proposal  Life and AD&D – Increase to

2/25/2008 V, 10A

$35,000.00 30,000.00 29,000.00



 Early Retiree Medical Coverage –

Union counter proposal 2/25/2008 V, 10A Increase company contribution to

$7,000.00 6500.00 6,000.00 annually

for single coverage and $14,000.00

13,000.00 12,000.00 for family

coverage.



 EBS - Allow our members to

NEW participate in the voluntary Machinists

LANGUAGE Custom Choices Worksite Benefits

program that provides supplemental

insurance benefits. No cost to

Company. Requires payroll deduction.

Modified union proposal 2/23/2008 In addition those salaried employees

working at sites where this CBA exist

will be afforded the opportunity to

participate in the plan.

Accept company proposal 2/23/2008  Hospice care Compassionate Care

Program.









(4) Job Security

NEW  No Bargaining unit employee will be

Withdrawn 2/25/2008 laid off, surplused, reassigned or

LANGUAGE reclassified as a result of

subcontracting, out-sourcing or in

sourcing.









PAGE 5

NEW  No employee shall be removed from

Modified union proposal 2/26/2008 the active payroll as result of loss or

LANGUAGE

suspension of any security

clearance’s/program access.

Additionally, no employee shall suffer

loss of wages or contractual benefits

or contractual rights as result of loss

or suspension of any security

clearance’s/program accesses.





 Employees accepting work outside the

Withdrawn 2/26/2008 reverts to IV, 1C (5) bargaining unit for other than

current contract language. mutually agreed to temporary or short-

term reasons shall only be allowed to

return to the bargaining unit should an

available opening be present and such

employee shall re-enter the bargaining

unit with a new seniority date

equivalent to the date of re-entry.





NON-ECONOMIC PROPOSALS



Withdrawn 2/25/2008 NEW  Evidence used against an employee

LANGUAGE for disciplinary matters must be

provided to said employee within 30

calendar days of the alleged

event/violation. Any event/violation

occurring over the 30 calendar day

limit will not be used or considered for

disciplinary action.





I, 1H  Termination



I, 7 C (3)  Dues Deductions



Withdrawn 2/25/2008 revert to current

I, 14  Maintenance Subcontracting

contract language



 Union Grievances

III, 4



IV, 5B (2) e  Shift Transfers

Tentative agreement 2/21/2008



VI, 10 C (1)  Per Diem Allowance







PAGE 6

Un-coded  Safety Shoes Reimbursement

Letter 39



Un-coded  Memorandum of Agreement

Letter 59





Withdrawn 2/25/2008 reverts to Part E, 4 Coded  Layoff

current contract language. Letter E-3



Grievances  All open grievances be granted in

union favor



Un-coded  Continuation of un-coded letters –1, 2,

Letters 4-12, 15-19, 23, 24, 26-28, 30-38, 40-

48, 51, 52, 56-58, 60-63



 All job descriptions opened during job

studies presentations at all C.E.G’s









PAGE 7



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