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AGREEMENT

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AGREEMENT
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Agreement Between





ATMOS Energy Corporation,

Mid-States Division



AND



International Brotherhood of Electrical Workers, AFL-CIO,

and its Local Union 1439









December 1, 2006

Through

May 31, 2010

TABLE OF CONTENTS



ARTICLE 1 - Loyalty and Efficiency ....................................................................................................... 4

ARTICLE 2 - Recognition.......................................................................................................................... 4

ARTICLE 3 - Management Rights........................................................................................................... 4

Section 1. General..................................................................................................................................... 4

Section 2. Functions ................................................................................................................................. 4

ARTICLE 4 - Probationary Period ........................................................................................................... 5

Section 1. New Employees. ...................................................................................................................... 5

Section 2. Temporary Employees. ............................................................................................................ 5

Section 3. Regular Employees. ................................................................................................................. 5

ARTICLE 5 - Seniority .............................................................................................................................. 5

Section 1. Definition. ................................................................................................................................ 5

Section 2. Application of Seniority. ......................................................................................................... 5

Section 3. Job Posting. .............................................................................................................................. 5

Section 4. Transfers and Vacancies. ......................................................................................................... 6

Section 5. Layoff and Recall. ................................................................................................................... 6

Section 6. Loss of Seniority. ..................................................................................................................... 6

Section 7. Recall Rights............................................................................................................................ 6

Section 8. Reduction in Force................................................................................................................... 7

Section 9. Seniority List. .......................................................................................................................... 7

ARTICLE 6 - Grievance and Arbitration Procedures ............................................................................ 7

Grievance ................................................................................................................................................... 7

Section 1. Process ..................................................................................................................................... 7

Section 2. Waivers .................................................................................................................................... 8

Section 3. Time Limits ............................................................................................................................. 8

Section 4. Causal Event ............................................................................................................................ 8

Section 5. Duty to Perform ....................................................................................................................... 8

Section 6. Meetings .................................................................................................................................. 8

Section 7. Previous Grievances ................................................................................................................ 8

Arbitration ................................................................................................................................................. 9

Arbitration Requested by Union. .......................................................................................................... 9

Section 1. Initiated by Union .................................................................................................................... 9

Section 2. Notification .............................................................................................................................. 9

Section 3. Time Limits ............................................................................................................................. 9

Section 4. Arbitrator Selection ................................................................................................................. 9

Section 5. Arbitrator's Role ...................................................................................................................... 9

Section 6. Reinstatement and Back Pay ................................................................................................... 9

Section 7. Arbitration Costs...................................................................................................................... 9

Section 8. Single Grievance.................................................................................................................... 10

Section 9. Other Resolution Methods ..................................................................................................... 10

Section 10. Exception ............................................................................................................................. 10

Section 11. Previous Grievances ............................................................................................................ 10

Arbitration Requested by Company ................................................................................................... 10

Section 1. Initiated by Company ............................................................................................................ 10

Section 2. Exception ............................................................................................................................... 10









2

ARTICLE 7 - Strikes and Lockouts ........................................................................................................ 11

Section 1. No Strikes or Lockouts .......................................................................................................... 11

Section 2. Disciplinary Action................................................................................................................ 11

Section 3. Exception to Arbitration ........................................................................................................ 11

Section 4. Employee Rights.................................................................................................................... 11

ARTICLE 8 - Union Membership and Union Dues............................................................................... 11

Section 1. Union Membership ................................................................................................................ 11

Section 2. Dues Checkoff ....................................................................................................................... 12

Section 3. Union Indemnity .................................................................................................................... 12

ARTICLE 9 - Union Bulletin Board ....................................................................................................... 12

ARTICLE 10 - Access to Company Premises ........................................................................................ 12

ARTICLE 11 - Prohibited Activity and Non-Discrimination ............................................................... 12

ARTICLE 12 - Hours of Work and Rest Periods .................................................................................. 12

Hour of Work .......................................................................................................................................... 12

Rest Periods ........................................................................................................................................... 13

ARTICLE 13 - Pay ................................................................................................................................... 13

Section 1. Pay Periods ............................................................................................................................ 13

Section 2. Rates of Pay for Higher/Lower Class Work Other than Regularly Scheduled ...................... 13

Section 3. Rates of Pay for Work as a Temporary Relief Crew Foreman .............................................. 13

Section 4. Premium Pay for Saturday and Sunday Work ....................................................................... 14

ARTICLE 14 – Total Rewards and Company Policies ......................................................................... 14

Section 1. Total Rewards ........................................................................................................................ 14

Section 2. Code of Conduct .................................................................................................................... 15

Section 3. Standby .................................................................................................................................. 15

Section 4. Paid Time Off (PTO)/Vacation Scheduling........................................................................... 16

Section 5. Employees Recovering after LTD ......................................................................................... 16

Section 6. Company Uniforms ............................................................................................................... 16

Section 7. Tools ...................................................................................................................................... 16

Section 8. Meal and Travel Expenses ..................................................................................................... 16

ARTICLE 15 – Job Classifications and Progressions ........................................................................... 17

Section 1. Covered Job Classifications................................................................................................... 17

Section 2. Progression Criteria. .............................................................................................................. 17

Section 3. Job Requirements and Training ........................................................................................... 117

ARTICLE 16 - Severance Pay ................................................................................................................. 17

ARTICLE 17 - Federal, State and Local Laws ...................................................................................... 17

ARTICLE 18 - Notice ............................................................................................................................... 18

ARTICLE 19 - Waiver and Entire Agreement ...................................................................................... 18

ARTICLE 20 - Termination .................................................................................................................... 18

SCHEDULE A - Hourly Rates of Pay ................................................................................................. …20









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AGREEMENT



This Agreement, made and entered into this 1st day of December, 2006, by and between ATMOS

ENERGY CORPORATION, Mid-States Division (hereinafter referred to as the "Company"), its

successors or assigns, and INTERNATIONAL BROTHERHOOD OF ELECTRICAL WORKERS, AFL-

CIO, and its LOCAL UNION 1439 (hereinafter collectively referred to as the "Union").



In this Agreement, whenever a masculine pronoun or the singular or plural forms of "man" are used, it is

understood that such references are meant to have equal application to all employees covered by this

Agreement, male or female.



ARTICLE 1 - LOYALTY AND EFFICIENCY



The Union and the employees represented by the Union agree that they shall perform loyal and efficient

work and service; that they shall use their influence and best endeavors to promote the Company's

product, and to protect the customers and property of the Company and its interest; that they shall

cooperate with the Company in promoting and advancing the welfare and prosperity of the Company.



ARTICLE 2 - RECOGNITION



The Company recognizes the Union as the sole and exclusive bargaining agent for all regular

construction, maintenance and service employees of the Company assigned to the Company’s facilities in

Butler, Caruthersville, Jackson, Kirksville, Malden, and Sikeston, Missouri, but excluding professional

employees, office clerical employees, guards, sales representatives, managers and supervisors as defined

in the National Labor Relations Act.



ARTICLE 3 - MANAGEMENT RIGHTS



Section 1. General.

Except as to express limitations that may be set out herein, it is the intention of the parties hereto that the

Company retain and the Company does retain each and every right, authority and privilege that it ever had

or enjoyed. Without limiting the generality of the foregoing, the Company reserves and retains, solely

and exclusively, all rights of management which have not been expressly abridged by a specific provision

of this Agreement and all of its common law rights to manage the business, whether or not specifically

mentioned herein and whether or not heretofore exercised.



Section 2. Functions.

The Management Rights herein reserved are by way of example only and not by way of limitation.

Failure to exercise any of the functions, whether or not expressly stated herein, shall not constitute a

waiver thereof. Such rights of management include, among other things, but are not limited to, the right to

plan, direct, control, increase, decrease, or discontinue operations in whole or in part; to determine

processes, or types of work or maintenance; to change technology and/or machinery; to introduce new

work methods, techniques or machines; to change or discontinue any procedure used in connection with

operations; to assign supervisory and non-bargaining unit employees to perform unit work for training,

when other qualified employees are not available, in case of emergencies, or for testing new equipment;

to sub-contract any unit work but, in no way will such actions be performed on a continuing regular basis

with the intent of replacing bargaining unit employees; to impose discipline up to and including discharge

with just cause; to select, hire, determine the number and add to or reduce the number of employees it

shall employ, at any time, including the number assigned to any particular work, and the qualifications



4

necessary to perform any of the jobs it shall have or may create in the future through negotiations; to, in

its discretion, assign qualified employees to work duties both on regular and overtime work in accordance

with its determination of the needs of the respective jobs and operations; to conduct periodic performance

evaluations and to adopt and, from time to time, modify, rescind, or change reasonable safety and work

rules and regulations not inconsistent with the expressed terms of this Agreement and to enforce said

rules; to assign employees to classifications, shifts, overtime, call-out, or standby; to lay off or recall

employees; to schedule overtime, paid time off and holidays; to train employees; to require employees to

perform work or duties other than those normally assigned.



ARTICLE 4 - PROBATIONARY PERIOD



Section 1. New Employees.

A new employee shall be considered a probationary employee for ninety (90) working days after which

his seniority shall date back to the date of hire. During such probationary period, a probationary employee

shall not have seniority and may be laid off, discharged or otherwise terminated by the Company, and

such action shall not be subject to the grievance and arbitration procedures of this Agreement.



Section 2. Temporary Employees.

It is understood that the Company occasionally has need for temporary labor to do work of a limited term

nature. As an example, students are hired for summer work such as mowing grass, painting meters,

conducting surveys, or other work which best lends itself to a seasonal routine. Such temporary

employees shall not be covered by this Agreement, provided that such an employee shall not be employed

for a continuous period in excess of ninety (90) days in a twelve (12) month period.



Section 3. Regular Employees.

A regular employee shall be one who is employed on a full time basis for the routine conduct of the

Company’s business who has successfully completed the probationary period.



ARTICLE 5 - SENIORITY



Section 1. Definition.

Seniority is any regular full-time employee's length of continuous service with the Company, dating from

his last date of hire into the bargaining unit. Date of birth (oldest employee shall be deemed most senior)

shall serve as a tiebreaker for seniority purposes.



Section 2. Application of Seniority.

The following factors shall be considered in selecting employees for job vacancies within the unit:

(a) Skill and ability to perform the work;

(b) Willingness to work; and

(c) In the event items (a) and (b) above are present, bargaining unit seniority shall control.

Where two qualified employees are bidding on the job opening, the most senior employee shall be

awarded the position. If no existing employee satisfies the above described factors, or if no existing

employee bids on a posted job, the company may hire from the outside.



Section 3. Job Posting.

When in the judgment of the Company, it becomes necessary to fill a bargaining unit vacancy, there shall

be posted on the Butler, Caruthersville, Jackson, Kirksville, Malden, and Sikeston, Missouri, office

bulletin boards for five (5) work days, an opportunity for employees to bid/apply for the job. The posting

shall list job title, job duties, pay rate, location, hiring supervisor, and posting period. Employees desiring



5

to be considered shall make written application to the supervisor designated on the posting notice within

five (5) workdays following the closing date of the posting.



The selection of an employee to fill a position resulting from job posting shall be controlled exclusively

by Section 2 of this Article. Consideration shall be given to employees, who at the time of the posting are

absent for a reason valid to the Company.



Employees who transfer classifications shall do so at the level and rate of pay commensurate with the

employee’s demonstrated experience, skills and job readiness.



Section 4. Transfers and Vacancies.

A temporary vacancy may be declared to exist by the Company. If such declaration is made, a temporary

vacancy shall be understood to mean a vacancy or transfer made necessary by emergency, illness,

accident or other conditions beyond the Company’s control and is not to be invoked for a longer period of

time than what may be necessary to provide proper maintenance of service. It is incumbent on the Union

and its members to accept temporary transfers to work they are qualified to perform. In filling temporary

vacancies, the work shall be first offered to the most senior qualified employee at the work location. If

there are no volunteers to fill the temporary vacancy, the most junior qualified employee at the work

location shall perform the work.



Section 5. Layoff and Recall.

In the event of a reduction in the work force, probationary employees shall be first laid off; employees

with seniority shall thereafter be laid off in the reverse order of seniority subject to the provision of

Section 2 of this Article. Laid-off employees shall be recalled on the basis of the factors set forth in

Section 2 of this Article.



Section 6. Loss of Seniority.

Seniority and employment shall be terminated if an employee:

(a) Quits;

(b) Is discharged for just cause;

(c) Is absent from work for any three (3) consecutive working days without notification to the

Company;

(d) Is laid off for over twenty-four (24) consecutive months or fails to return to work within

three (3) working days after having been recalled in writing by certified mail with return receipt

requested, addressed to his last address provided the Company; unless there is a reason,

acceptable to the Company, for such failure;

(e) Is absent from work because of a qualified short-term disability leave for 180 days and is

approved for long-term disability;

(f) Fails to report for work at the termination of a leave of absence or extension thereof;

(g) Accepts gainful employment without permission from the Company while on leave of

absence.



Section 7. Recall Rights.

Employees laid off with an expectation of recall and who are in fact recalled by the Company within

twenty-four (24) consecutive months of the layoff shall be returned to work with the seniority held as of

the date of the layoff.









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Section 8. Reduction in Force.

In the event the number of employees in a given job classification are to be reduced in number, such

employee(s) may bump to any equal or lower rated job for which he is qualified and more senior than the

incumbent in such job.



Section 9. Seniority List.

During the term of this agreement, the Company shall provide the union with a seniority list each January

of each year. If there is no objection to this list, same shall be deemed correct within thirty (30) days

from the date it is sent to the union.



ARTICLE 6 - GRIEVANCE AND ARBITRATION PROCEDURES



GRIEVANCE



Section 1. Process.

The Union shall require its members and the Company shall require its management to comply with the

terms of this Agreement. The parties agree that the maintenance of this peaceful and constructive

relationship requires the establishment and the cooperative use of the procedures provided for in this

Agreement for the discussion and determination of grievances and disputes. The parties agree that it

detracts from this relationship if individual employees or groups of employees seek to interpret or enforce

the Agreement upon their own initiative or responsibility. As such, no individual Employee may initiate

any arbitration proceeding or move to confirm or vacate an award made pursuant to this Agreement.



It is the intention of the parties that all disputes arising between the parties hereto which involve questions

of interpretation or application of the expressed written provisions of this Agreement shall be resolved in

the following manner in accordance with the grievances/arbitration procedure as set forth below:



For the purposes of this Agreement, a grievance is defined as a specific breach of a specific provision of

this agreement by the company or the union or an employee.



Step 1. An employee having a grievance shall, either alone or together with his Union representative,

present such grievance, in writing, to the employee’s local supervisor within three (3) calendar days after

the employee and/or the Union had knowledge of the occurrence. The written grievance shall state the

particular facts giving rise to the grievance and the specific Article(s) and Section(s) of the Agreement

allegedly violated by the Company. The employee’s local supervisor shall answer the grievance, in

writing, within three (3) calendar days after its presentation in Step 1.



A discharged employee may file a grievance within five (5) calendar days and can then proceed

immediately to Step 3 of Article 6, Section 1.



Step 2. If the grievance is not resolved or settled in Step 1, the grievance may be presented in writing by

the employee to the steward or representative of Local 1439 with a copy presented to the employee’s

local manager. The grievance shall be signed by the grievant. To be timely filed, such written grievance

must be presented to the steward or representative of Local 1439 and the local manager within five (5)

calendar days after the denial of the grievance in Step 1.



Within five (5) calendar days of the receipt of the employee’s grievance, the steward or representative of

Local 1439 shall notify the local manager in writing whether the Union will proceed with grievance. If

the Union wishes to proceed with the grievance, the written notice shall request that a conference be held,



7

as specified in Step 3 of this Section, within ten (10) calendar days from the date of receipt by the local

manager for purposes of resolving the grievance.



Step 3. A conference will be held to discuss the grievance within ten (10) calendar days of receipt of the

grievance in Step 2 by the manager. The Company may be represented by three (3) representatives of its

own choosing. The grievant may be represented by three (3) representatives of the Union’s own

choosing. The Company will render its decision on the grievance within seven (7) calendar days. If the

Union disagrees with the decision, it may pursue the grievance under this Article.



Section 2. Waivers.

The failure of the grievant to present a grievance within the time limits set forth herein shall constitute a

waiver of the grievance. Should the Company fail to answer a grievance at any step, the Union may

proceed to the next step. Time limits set forth herein may be extended only by mutual agreement by the

parties.



Section 3. Time Limits.

All time limits herein specified shall be deemed to exclude Saturdays, Sundays and contractual holidays.



Section 4. Causal Event.

The Company will not be required to consider any grievance involving an alleged continuing situation or

alleged series of repeated identical incidents which have not been presented to the Company within five

(5) calendar days following the date on which the employee first knew of or should have known of the

situation or incident. Grievances over the amount of compensation shall be deemed to have occurred at

the time compensation is paid.



Section 5. Duty to Perform.

An employee shall perform all duties as instructed by the Company, even though he may feel aggrieved.

It is understood that no employee shall be instructed to perform work that is in violation of any Company

safety policy, federal, state or local code or safety regulation or the employer’s common law duty to

provide a safe work place.



Section 6. Meetings.

Meetings to discuss grievances will be scheduled at a mutually convenient time. An employee shall not

be engaged in any grievance filing, grievance handling, or grievance investigation, during the employee’s

work time, without the express permission of the local supervision or his designated representative.

Neither involved employee nor the involved steward shall experience loss of pay for reasonable time

spent in grievance adjustment or handling.



Section 7. Previous Grievances.

A grievance pending arbitration or an occurrence prior to the effective date of this Agreement will be

subject to the terms of the contract in effect prior to this Agreement.









8

ARBITRATION



ARBITRATION REQUESTED BY UNION



Section 1. Inititated by Union.

In the event a grievance has not been finally adjusted or resolved in Step 3 of the grievance procedure, the

Union may, within the time limits set forth herein, submit the grievance to arbitration pursuant of the

rules of the Federal Mediation and Conciliation Service, as follows:



Section 2. Notification.

If the Union desires to submit the grievance to arbitration, it shall send a letter to the Washington D.C.

office of the Federal Mediation and Conciliation Service, with a copy to the Company with identical lists

of seven (7) persons eligible to serve as arbitrators.



Section 3. Time Limits.

All time limits herein specified shall be deemed to exclude Saturdays, Sundays and contractual holidays.



Section 4. Arbitrator Selection.

The parties will mutually designate the arbitrator; each party alternately rejecting one (1) from the panel

until the number of prospective arbitrators is reduced to one. If, however, within fifteen (15) calendar

days from receipt of the original list the parties fail to agree upon a single arbitrator or either party feels

the list is tainted, the parties shall request the Federal Mediation and Conciliation Service to submit an

additional panel. In the event a second panel proves to be unsatisfactory to either party, then either party

shall request a third panel an arbitrator shall be selected from this third panel.



Section 5. Arbitrator’s Role.

It is the function of the arbitrator to interpret the Agreement. The arbitrator shall make and issue decision

only regarding matters expressly submitted to him within the written terms of the Agreement. The

arbitrator’s decision or award, not inconsistent with the terms of this Agreement, shall be final and

binding upon the parties hereto. The arbitrator has no authority or power to add to, subtract from,

disregard, or alter any of the written terms of this Agreement. The arbitrator’s power and authority shall

be limited to the subject of the particular grievance involved.



Section 6. Reinstatement and Back Pay.

The arbitrator shall have the authority to order or deny reinstatement of any employee with or without

back pay. In the event there is an award of any back pay (the rate of pay in effect on the date of discharge

or suspension), any earnings by the employee during his unemployment with the Company, including any

unemployment insurance payments, shall be offset and deducted from this award. Employees who have

been discharged or suspended shall have the duty to seek work so as to mitigate the claim of back wages.

Their failure to do so shall be considered by the arbitrator.



Section 7. Arbitration Costs.

The cost of arbitration, which shall include the fees and expenses of the arbitrator, the charges of the

Federal Mediation and Conciliation Service and the cost of the transcript, if the parties mutually agreed to

order one, shall be borne equally by parties. If only one party orders a copy of the transcript of the

hearing, that party shall be responsible for the cost of same. If arbitration is commenced by the Union

and thereafter is withdrawn, the Union shall be solely responsible for payment of any fees or expenses

relating to the same. Each party shall pay any fees and wages for its own representatives and witnesses.





9

Section 8. Single Grievance.

There shall be no submission of multiple grievances with differing underlying facts to arbitration in one

arbitration case. Nor shall separately submitted grievances be consolidated and/or merged before the

same arbitrator. Accordingly, in the absence of mutual consent of the parties, an arbitrator may not be

presented with or rule upon more than one grievance.



Section 9. Other Resolution Methods.

The grievance and arbitration procedures provided herein shall constitute the sole and exclusive method

of determination, decision, adjustment or resolution of arbitration cases pursued by the union.



Section 10. Exception.

Any claim or suit for damage alleging the Unions violation of the No Strikes or Lockouts Article of this

Agreement shall not be subject to arbitration.



Section 11. Previous Grievances.

A grievance pending arbitration or an occurrence prior to the effective date of this agreement will be

subject to the terms of the contract in effect prior to this agreement.





ARBITRATION REQUESTED BY COMPANY



Section 1. Initiated by Company.

If and in the event the Company files a grievance, same shall be commenced by the Company serving

written notice on the president or business manager of Local 1439, International Brotherhood of Electrical

Workers, AFL-CIO, by delivering same to the address of the Local Union as provided the Company by

the Local Union. In cases where the Company grievance relates to an alleged breach of this Agreement

(other than Article 7, No Strikes or Lockouts), the parties shall meet within three (3) workdays from the

date notice of the grievance is filed by the Company. If the matter is not adjusted and finally resolved at

such meeting, the Company shall send a letter to the Washington D.C. office of the Federal Mediation and

Conciliation Service, with a copy to the Union, requesting that the Service furnish the Company and the

Union with identical lists of seven (7) persons eligible to serve as arbitrators. In order for such Company

grievance to be timely submitted to arbitration, written request to the Federal Mediation and Conciliation

Service must be mailed within ten (10) calendar days after the date of the Union’s decision at the meeting

described above.



The parties will mutually designate the arbitrator, each party alternatively rejecting one (1) person from

the panel until the number of prospective arbitrators is reduced to one (1). If, however, within fifteen (15)

calendars days from receipt of the original list the parties fail to agree upon a single arbitrator, or either

party feels the list is tainted, the Company shall request Federal Mediation and Conciliation Service to

submit an additional panel an arbitrator shall be selected from this panel. If after the submission of the

third panel the parties fail to agree upon an arbitrator, an arbitrator shall be appointed by the Service. The

arbitrator’s authority in dealing with cases where the Company is seeking arbitration, as set out above

relative to arbitration sought by the Union, shall control.



Section 2. Exception.

If and in the event the Company alleges a violation of Article 7, No Strikes or Lockouts, of this

Agreement, the Company shall immediately notify the Union by telegram or hand-delivered written

notice by delivering same to the Union at the address of International Brotherhood of Electrical Workers,

Local 1439, AFL-CIO. Within forty-eight (48) hours of such notice, an arbitrator shall be selected by the



10

parties and the matter scheduled for hearing within twenty-four (24) hours after the selection of such

arbitrator. The arbitrator, in such cases, shall be empowered to determine whether there has been a breach

by the Union and/or employees of Article 7, No Strikes and Lockouts, and in a bench decision may order

injunctive relief.



If, for any reason, an arbitrator is not selected within forty-eight (48) hours of notice to the Union of the

Company’s allegation of a violation of Article 7, No Strikes and Lockouts, has occurred or if the matter is

not heard by an arbitrator within twenty-four (24) hours after such notice to the Union, the Union shall be

deemed to have refused to arbitrate the matter, and the Company may immediately proceed to seek legal

and equitable relief in any court of competent jurisdiction.



ARTICLE 7 - STRIKES AND LOCKOUTS



Section 1. No Strikes or Lockouts.

There shall be no cessation of work through strikes or lockouts during the term of this Agreement.

During the term of this Agreement or any written extension hereof, the Union, on behalf of its officers,

agents and members, agrees that so long as this Agreement or any written or oral extension hereof is in

effect, there shall be no strikes (economic, unfair labor practice, sympathetic or otherwise), slowdowns,

walkouts, sit-downs, sit-ins, picketing, boycotts or other activities which may interfere directly or

indirectly, with the Company’s operations.



The Company agrees that it will not lock out employees during the term of this Agreement, nor any

written or oral extension thereof. Reduction of operations for business or economic reasons shall not be

considered a lockout.



Section 2. Disciplinary Action.

Any employee who violates this Article shall be subject to disciplinary action, up to and including

discharge. If such discharge is made the subject of arbitration, the arbitrator shall have only the authority

to determine if a violation of this Article has occurred.



Section 3. Exception to Arbitration.

Any claim, action or suit for damages which is commenced by the Company as a result of the Union’s

violation of this Article shall not be subject to the arbitration provisions of this Agreement.



Section 4. Employee Rights.

Nothing herein shall deprive any employee of his rights under the National Labor Relations Act; other

than as set out herein.



ARTICLE 8 - UNION MEMBERSHIP AND UNION DUES



Section 1. Union Membership.

It shall be a condition of employment that all employees of the Employer covered by this agreement who

are members of the Union on the effective date of this agreement shall remain members and those who

are not members on the effective date of this agreement shall become and remain members of the Union.

It shall also be a condition of employment that all employees covered by this agreement and hired on or

after its effective date shall, on the thirtieth (30th) day following the beginning of such employment,

become and remain a member of the Union.









11

Section 2. Dues Checkoff.

The Company agrees when furnished with proper individual authorization and assignment forms duly

signed by the employees, to deduct from such employee's bi-weekly payroll check, membership dues,

assessments, and initiation fees as designated by the Union.



Section 3. Union Indemnity.

The Union shall indemnify and hold the Company harmless against any and all claims, demands or other

forms of liability that may arise out of, or by reason of, action taken or not taken by the Company for the

purpose of complying with any of the provisions of this Article and any provision in this agreement

requiring the payment of union dues or union membership as a condition of employment.



ARTICLE 9 - UNION BULLETIN BOARD



The Company shall provide a bulletin board for the Union to post official notices to its members. The

Union agrees that no information will be posted on the bulletin board that is derogatory to the Company

or to a fellow employee.



ARTICLE 10 - ACCESS TO COMPANY PREMISES



Union representatives may visit work sites during working hours where a claim is made that the

provisions of this Agreement are not being followed, provided advance permission is obtained from the

local supervisor. Visits will not be scheduled at a time, nor in a manner, that would interfere with normal

business operations or the normal work duties of the employees. Permission for such access shall not be

unreasonably withheld.



ARTICLE 11 - PROHIBITED ACTIVITY AND NON-DISCRIMINATION



Non-employee Union representatives shall not solicit memberships into the Union, collect dues or

conduct organizing activities on Company property at any time.



There shall be no solicitations of membership or collection of dues, by one employee of another employee

while either employee is on working time.



Distribution of Union literature by one employee to another is prohibited while either employee is on

working time.



The Company, union, and bargaining unit employees hereby agree to comply with both the spirit and

intent of any and all valid local, state and federal non-discrimination in employment ordinances, laws and

statutes.



ARTICLE 12 - HOURS OF WORK AND REST PERIODS



HOURS OF WORK



The parties recognize the need for the continuous operation of the company’s business. The normal

working hours per day shall ordinarily be from 6:00 a.m. to 5:30 p.m. and, the normal lunch break shall

be one ½ hour to be taken as near as possible to the midpoint of the workday.



This provision shall not be construed as limiting or preventing the Company from establishing or



12

changing daily work schedules, work shifts, break schedules, hours or days of work as the need arises.

Any affected employee and the union shall be informed of any such changes at least one week in advance

except in cases of emergency. If, however, the employer wishes to establish a work schedule which

requires regular Saturday or Sunday work, the schedule itself and the rate of pay for weekend work shall

first be negotiated with the bargaining agent.



The normal workweek shall consist of five (5) consecutive eight (8) hour days, Monday through Friday.

In the event of a ten (10) hour day, the normal workweek shall be either Monday through Thursday or

Tuesday through Friday.



Neither this Article, nor any other provision of this agreement shall be construed as a guarantee to any

employee of any specified number of hours of work either per day or per week. It is further agreed,

however, the Company shall not change the work week as defined by the Fair Labor Standards Act

(FLSA) nor this Article for the sole purpose of depriving an employee of overtime for time worked in

excess of forty (40) hours in a work week. Likewise, the Company shall not require an employee to take

time off during the workweek to avoid payment of overtime.



REST PERIODS



An employee who has worked sixteen (16) or more continuous hours shall be allowed to rest eight (8)

hours before returning to work.



An employee who has worked an unscheduled substantial period of time before his normal workday

begins, shall be allowed a reasonable period of rest before commencing his scheduled work.



ARTICLE 13 - PAY



Section 1. Pay Periods.

The Company's normal and customary payroll shall be made by direct deposit to the bank of the

employee's choice within seven (7) days after the close of the payroll-reporting period. Each employee

shall be provided with a statement for his gross earnings and deductions by the most efficient means

determined by the Company.



Section 2. Rates of Pay for Higher/Lower Class Work Other than Regularly Scheduled.

If an employee is temporarily assigned to a job with a higher rate of pay for two (2) consecutive hours or

more, he shall receive while so employed, pay at the step rate on the higher job description immediately

above the employee’s regular straight time hourly rate.



Upgrade work or downgrade work shall be offered on a volunteer basis to the most senior qualified

employee(s) and if there are no volunteers, the most junior qualified employee(s) shall perform the work.

An employee temporarily working beneath his classification shall receive pay at this regularly assigned

straight time hourly rate.



Section 3. Rates of Pay for Work as a Temporary Relief Crew Foreman.

When a Foreman on a crew is not present on a job for any reason whatsoever, the Company may appoint

a relief Crew Foreman. Such relief Crew Foreman work shall be offered on a volunteer basis to the most

senior qualified employee(s), if there are not volunteers, the most junior qualified employee(s) shall

perform the work. All such upgrades shall be for a minimum of two (2) hours.





13

Section 4. Premium Pay for Saturday and Sunday Work.

Employees who work all of their regularly scheduled hours for Monday through Friday shall receive

overtime pay at the rate of one and one half (1 ½) times their regular straight time hourly rate for all hours

worked on Saturday or Sunday following such work week.



Such employees shall also receive Saturday and Sunday overtime as set out above if any time not worked

during their assigned hours Monday through Friday is time not worked but nonetheless counted as “time

worked” for the purpose of overtime over forty (40) hours in a work week.



In the event an employee works a Saturday and Sunday and is paid at premium pay for reasons other than

as covered herein, the employee shall receive the higher of the applicable premium pay rates. There shall

not be, however, any pyramiding of overtime.



ARTICLE 14 – TOTAL REWARDS AND COMPANY POLICIES



Section 1. Total Rewards.

To the extent that the Total Rewards Program is applicable to bargaining unit employees, as hereinafter

set out, the bargaining unit employees shall be covered by those provisions of Total Rewards exactly the

same as all similarly-situated non-bargaining unit employees. It is also agreed that if any of the

provisions of Total Rewards are modified during the life of this agreement, any such proposed

modifications shall not be applicable to bargaining unit employees until negotiated to mutual agreement

or impasse with the bargaining agent.



Call-out/Standby Duty and Pay

Dental Coverage

Educational Assistance

Employee Stock Ownership Plan

Flexible Spending Accounts

Holidays

Learning and Development

Life and AD&D Insurance

Long-term Disability Insurance

Medical Coverage

Overtime Pay

Pension Account Plan

Short-term Disability Insurance

Time Off (All Paid)

Variable Pay Plan

Vision Coverage



Bargaining unit employees shall be covered by all other Company policies the same as similarly situated

non-bargaining unit employees except where any such policy is in conflict with this agreement, in which

case, this agreement shall control. Additionally, if any policy (other than those hereinafter individually

listed) is amended during the life of this agreement the union shall be notified of such change prior to

same becoming applicable to bargaining unit employees.









14

As to the following policies, any modification to same shall be negotiated to agreement or impasse

between the Company and the bargaining agent before any such modifications shall be applicable to any

bargaining unit employee.



Inclement Weather Policy

Rest Breaks Policy

Uniform Policy

Workers’ Compensation Policy



Section 2. Code of Conduct.

Employees covered under this Agreement will follow the Company’s Code of conduct the same as

similarly-situated non-bargaining unit employees, it being understood, however, that in the event of a

conflict between this agreement and the Code of Conduct, the collective bargaining agreement shall

control. Any disciplinary action taken by the company pursuant to an employee violating the Code of

Conduct policy shall not prohibit the employee from initiating the grievance procedure.



Section 3. Standby.

1) Standby occurs when a qualified, Service Technician, Senior Service Technician, or a Meter Reader,

is notified in advance by their supervisor to be available for work outside their normal work hours.



2) Qualified construction personnel may volunteer to participate in the standby rotation. Once an

employee enters the rotation schedule, standby becomes a job requirement and is no longer

considered optional.



3) For purposes of standby pay, a standby shift shall be considered a period of twenty-four (24)

consecutive hours.



4) Standby pay shall be paid for a minimum of two (2) hours when it occurs on a regularly scheduled

workday; a minimum of three (3) hours if it occurs on a scheduled day off/Company holiday.

(Holiday pay is not affected by standby.)



5) Standby pay is paid at the regular straight time hourly rate for the appropriate minimum period.



6) Once a call-out occurs, the call-out pay shall supersede the standby pay for that standby shift, at the

appropriate overtime rate and for a minimum of two (2) hours or three (3) hours in accordance with

this agreement.



7) Standby schedules will be established at least one (1) week in advance. Where possible, schedules

will be established as far in advance as possible (monthly and/or annually). Schedules may be in

daily increments but may not exceed seven (7) consecutive days. Schedule trades may be allowed by

mutual agreement between the employees involved.



8) Standby schedules shall be established to assure that one employee is not required to stand by for two

(2) consecutive holidays in a row. For example, two (2) consecutive holidays shall be the Christmas

holiday and the New Years holiday, not the holiday for Christmas Eve and the holiday for Christmas

Day. The intent will be to equally distribute the work so as not to require an employee to work the

same holiday two years in a row.









15

Section 4. Paid Time Off (PTO)/Vacation Scheduling.

Utilization of PTO in weekly increments for vacation shall be scheduled in accordance with the seniority

of the employees at a given work location. It is understood, however, work needs of the Company shall

be considered as to vacation schedule.



Section 5. Employees Recovering after LTD.

The parties agree that an employee who goes on LTD and who therefore is terminated under the Total

Rewards’ LTD plan but who thereafter, within twenty-four (24) months recovers and is able to return to

work, the following shall apply:



1) The Company and the union shall meet to determine if the individual has been properly medically

certified to return;

2) The Company and union shall determine if a job is available for which the individual would then

be qualified; and

3) The Company and union shall resolve all related issues, including, but not limited to, wages and

seniority regarding the employee’s return to work.

4) Nothing in this article shall be construed to nor applied in such a way as to violate the American’s

with Disabilities Act or any other anti-discrimination law.



Section 6. Company Uniforms.

As of September 24, 2003, bargaining unit employees will be covered by the Atmos Uniform Policy and

Personal Protective Equipment program. These programs provide uniforms and personal protective

equipment on a fiscal year basis.



Any item purchased beyond those provided by the company will be the employee’s responsibility.

Payment for such items may be made by personal check or payroll reimbursement.



Section 7. Tools.

Company work shall be performed with tools provided by the Company.



Section 8. Meal and Travel Expenses.

The Company will pay all reasonable traveling expenses, lodging and meal costs when employees are

required by the Company to work away from their regularly assigned work location.



When an employee or crew is temporarily assigned by the Company to work at a location remote from the

employee’s regular Company reporting headquarters, the Company will pay reasonable food and lodging

expense. Whenever available, a private room will be furnished each employee. Transportation to and

from the temporary location, at the beginning and end of each workweek and at the end of the assignment,

will be provided by Company vehicle, and this travel will be paid for as hours worked.









16

ARTICLE 15 – JOB CLASSIFICATIONS AND PROGRESSIONS



Section 1. Covered Job Classifications.

The following job classifications shall be recognized under this Agreement:

Construction Operator

Corrosion Control Technician

Crew Foreman

Meter Reader

Operations Specialist

Senior Construction Operator

Senior Service Technician

Service Technician



Section 2. Progression Criteria.

To progress to the senior level of any classification, the employee must:

(a) Meet expectations, as established by the Company, of current job responsibilities, and

(b) Be able to perform the primary duties/responsibilities of senior position subject to meeting the

requirements of the Company’s Operator Qualifications program.



Section 3. Job Requirements and Training.

To support employee development through training, the Company will provide each facility printed job

descriptions for the covered classifications in Section 1 that include the minimum qualifications for the

position. In addition, the Company will post the minimum Operator Qualification Tasks for each

classification. Scheduled training will be made available to provide employees the opportunity for

personal development.



ARTICLE 16 - SEVERANCE PAY



When a lay-off of an employee without any expectation of recall or further employment with the

Company is required, the employee shall be eligible for the, then in effect, Company severance plan. If

the Company severance plan is modified subsequent to the date of this agreement, the Union shall be

promptly notified.



ARTICLE 17 - FEDERAL, STATE AND LOCAL LAWS



In the event any federal, state, or local law conflicts with the provision(s) of this Agreement, the

provision(s) so affected shall be void and of no further effect. The remaining articles, sections or any

parts thereof shall continue in full force and effect. Further, the parties shall meet within a reasonable

period to reform any such voided provisions of this agreement.









17

ARTICLE 18 - NOTICE



Any notice in writing, which either party desires to give to the other, shall be given by mail, postage

prepaid, addressed as follows:



To the Company:



Wendy Sadler

Division Vice President, Human Resources

Atmos Energy

810 Crescent Centre Drive, Suite 600

Franklin, TN 37067-6226



To the Union:



Michael D. Walter

Business Representative

International Brotherhood of Electrical Workers

Local 1439

2121 – 59th Street

St. Louis, MO 63110



ARTICLE 19 - WAIVER AND ENTIRE AGREEMENT



The parties acknowledge that during the negotiations resulting in this Agreement, each had the unlimited

right and opportunity to make demands and proposals with respect to any and all subjects or matters and

that the understandings and agreements arrived at by the parties are set forth in this Agreement.

Therefore, the Company and the Union each voluntarily and unqualifiedly waives the right, and each

agrees that the other shall not be obligated, to bargain collectively with respect to any subject or matter

not specifically referred to or covered in this Agreement even though such subject or matter may not have

been within the knowledge or contemplation of either or both of the parties at the time that they

negotiated or signed this Agreement. The above not withstanding, the parties may amend this collective

bargaining agreement if such amendments are mutually agreed and reduced to writing and signed by both

parties.



This Agreement constitutes the entire understanding between the parties, supersedes all prior agreements

(oral or written) and all past practices. The agreement set out herein also concludes negotiations between

the parties for the term of this agreement.



ARTICLE 20 - TERMINATION



This agreement dated the 1st day of December, 2006, and the provisions, hereof, shall become effective

December 1, 2006, and shall remain in full force and effect up to and including May 31, 2010. Either

party desiring to amend the provisions of this agreement must notify the other party sixty (60) days prior

to May 31, 2010. In witness whereof, the parties hereto have executed this Agreement in the capacity

stated, on the day and year first above written.









18

Company Representatives:





By __________________________________ Date __________________________

Gary Manley

Director, Employment & Employee Relations



By __________________________________ Date __________________________

Marshall Ordemann

Senior Attorney



By __________________________________ Date __________________________

Wendy Sadler

Division Vice President, Human Resources



By __________________________________ Date __________________________

David Swain

Operations Manager



By __________________________________ Date __________________________

Mariam Tucker

Human Resources Generalist







Local 1439 Representatives:





By __________________________________ Date __________________________

Leo Beishir

Business Manager



By __________________________________ Date __________________________

Randy Snodgrass

Kirksville



By __________________________________ Date __________________________

Loyd Triplett

Sikeston



By __________________________________ Date __________________________

Michael D. Walter

Business Representative









19

SCHEDULE A

HOURLY RATES OF PAY





Job Classification 6/1/2006 12/1/2006 6/1/2007 6/1/2008 6/1/2009



Meter Reader $11.63 $11.75 $12.04 $12.34 $12.65

Meter Reader (hired before 9/1/2000) $18.64 $18.83 $19.30 $19.78 $20.27

Construction Operator

Service Technician Placed in position prior to 12/1/2006

Date of Hire $14.76 $14.91 $15.28 $15.66 $16.05

Completion of: Year 1 $16.57 $16.74 $17.15 $17.58 $18.02

Year 2 $19.18 $19.37 $19.86 $20.35 $20.86

Year 3 $21.05 $21.26 $21.79 $22.34 $22.90

Construction Operator

Service Technician Placed in position on or after 12/1/2006

Date of Hire $14.50 $14.50 $14.50 $14.50

Completion of: Year 1 $15.25 $15.25 $15.25 $15.25

Year 2 $16.00 $16.00 $16.00 $16.00

Year 3 $16.75 $16.75 $16.75 $16.75

Senior Construction Operator $22.15 $22.37 $22.93 $23.50 $24.09

Senior Service Technician $22.15 $22.37 $22.93 $23.50 $24.09

Corrosion Control Technician $22.95 $23.18 $23.76 $24.35 $24.96

Operations Specialist $23.79 $24.03 $24.63 $25.24 $25.88

Crew Foreman $23.79 $24.03 $24.63 $25.24 $25.88

Crew Foreman* $24.67 $24.92 $25.54 $26.18 $26.83









NOTE: Current incumbents, as of the effective date of this contract, will receive a 1.00% general wage

increase effective 12/1/2006; a 2.5% general wage increase effective June 1, 2007; a 2.5% general wage

increase effective June 1, 2008, and; a 2.5% general wage increase effective June 2, 2009.



If the Company requires an employee, not including Meter Readers, to earn and maintain an 1104-low

hydrogen welding certification, a $1.00/hour premium will be applied to the employee’s base rate.



Crew Foreman* - This position requires specialized skills in addition to duties and responsibilities set out

in the Crew Foreman job description.







20


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