Cooperative Agreement - Kimberly-Clark Corp. and United Paperworker's International Union
COOPERATIVE AGREEMENT
BY AND BETWEEN KIMBERLY-CLARK CORPORATION, NEENAH, WISCONSIN, HEREINAFTER
REFERRED TO AS THE CORPORATION, AND THE UNITED PAPERWORKER'S INTERNATIONAL
UNION, AFL-CIO-CLC, AND LOCAL 482, HEREINAFTER REFERRED TO AS THE UNION.
THIS AGREEMENT CONTINUES TO GUIDE OUR WORK SYSTEM AND GOVERN THE RELATIONSHIPS
AND DEALINGS BETWEEN THE PARTIES UNLESS BOTH AGREE TO CHANGE IT.
SECTION ONE: OUR OPERATING PHILOSOPHY
All employees, the union and the company, at Kimberly-Clark's
Lakeview/Badger-Globe facilities, have shared a proud history, made possible by
our hard work, determination and commitment to the success of our products in
the marketplace. It is a heritage not only to be proud of, but to carry forward
and build on. However, our industry and its competitive environment are changing
and this demands that we alter the traditional relationships between people and
their work. This Philosophy Statement will guide us to create new and more
productive relationships as we face the challenges of today and tomorrow. It
will help us build on our strengths, and focus on setting the directions and
taking the required actions that will result in the continuous improvement
necessary to ensure our future as envisioned by the founding fathers at this,
the birthplace of Kimberly-Clark Corporation. It will make Lakeview/Badger-Globe
an effective and rewarding place to work.
BUSINESS OBJECTIVE
Our business objective is to manufacture and distribute products which satisfy
the needs and expectations of our customers as they perceive them and to do this
better than any other company or Kimberly-Clark location. Our customers
include those who buy and use our products, the corporation's stockholders and
employees, the business sectors we serve, and society. Ultimately, customer
satisfaction determines our success. Only satisfied customers provide job
security.
<PAGE>
--2--
VALUES
Our business objective can only be obtained by mutually establishing a work
place based on the following values:
Safety
Both parties to this agreement support the concept that safety is a joint
responsibility and each individual is ultimately responsible for his/her own
safety. Local 482 and Lakeview/Badger-Globe are pledged to cooperate fully to
support the letter and spirit of the following: "We are equally committed to
safety in the workplace. Working safely should be our number one priority at all
times at Kimberly-Clark. In fact, nothing is more important than safety. There
is no production goal, there is no cost or time-saving measure and there is no
competitive advantage that is ever worth an injury of any kind. In other words,
our goal is an accident-free workplace. This goal is difficult, but can be
accomplished by providing continuing employee education on safe operating
practices and by ensuring that our work environment meets or exceeds all
governmental requirements for health and safety" (taken from Kimberly-Clark's
Code of Conduct dated May 1994).
People
People in our operations are trustworthy, deserving of respect, and committed to
the success of the business. They take pride in work well done and want to
perform to the best of their abilities. People are most effective when they have
influence on all issues affecting them. We recognize the need for our people to
have a rewarding lifestyle at work, at home, and in the community at large.
The most productive relationships are based on mutual respect, openness, and
cooperation in which differences in status are minimized, people are recognized
for their ideas and their achievements, there are no limits placed on the
contributions they make, and teams of individuals work together effectively with
minimal direction.
Work Design
The most effective work designs are those which create and encourage teamwork by
making certain that individuals and
<PAGE>
--3--
teams have the necessary information, competency, self-sufficiency, freedom and
responsibility to make decisions and take action to achieve common goals. People
perform at their fullest potential when they are a part of creating their vision
and direction, when they know their role, and when their work is challenging,
meaningful, flexible, and when their tasks are focused on specific business
objectives.
Conflict
In order to reach the best possible decisions, where all points of view are
considered, an atmosphere in which questioning and openly discussing differences
is encouraged and valued. Opposing views, handled in a problem-solving manner,
result in better, more balanced solutions by ensuring that a full spectrum of
ideas has been considered and developed.
Teams/individuals are expected to resolve conflict. Informal one-on-one
discussions are recommended as the first step. If unsuccessful, one of the
following procedures will be used: Co-worker Issue Resolution, Issue-Resolution
- Section Six, or Local 482 Trial and Appeals Process.
Learning and Skill Development
Learning and skill development are critical because we understand that change is
continual. People have both the right and the accountability to learn and
practice the skills needed to perform tasks safely and proficiently. The needed
learning opportunities to promote long-term development and continued growth for
our people and the company will be provided.
Communications
Successful communication is the cornerstone of a strong organization. The most
productive communication is continuous, timely, open, direct, and occurs where
actions are consistent with communications. People need accurate and prompt
feedback on both operating and personal levels to be effective members of the
organization. People make good decisions when provided with the necessary
training and information to know and understand their jobs. To promote
<PAGE>
--4--
commitment, ownership, and understanding of the business, vital information will
be shared. Everyone's contribution counts.
Continuous Improvement
The application of this operating philosophy is a process which will evolve as
changes occur and as learning and experience are gained. This requires a climate
in which problems are identified and resolved early, and setbacks are viewed as
valuable learning experiences. This process should promote creative initiative,
innovation, and the generation of new ideas essential for business success.
The union and the company are committed to an ongoing dialogue to ensure
continuous improvement in everything we do.
SECTION TWO: PRINCIPLES OF TEAM ORGANIZATION
A. Lakeview/Badger-Globe is organized into business units to encourage a focus
on teamwork, innovation, and process improvement around a complete process,
product, or business.
B. Business unit structure will not limit or restrict individual or group
contributions to the unit.
C. Business units are designed around team(s) which possess the following
characteristics:
1. Team has complete task: input transformation or production output so
that a product or service is produced.
2. The work is designed so that team members cooperate in order to
complete tasks, make a unique contribution to results, and work in
proximity such that team identity is maintained and observable.
3. Team members will have the necessary knowledge and skills to complete
a whole task.
4. Teams will be self-sufficient, with as few support tasks as possible
outside of operating teams.
<PAGE>
--5--
5. Team members and hourly leaders will have responsibility and authority
to determine who does what by when for daily activities, and will
participate in decision making and goal setting for the teams and
business unit. Team members are expected to take direction from
designated leadership.
6. Everyone on a team must possess some minimum number of skills and
demonstrate the flexibility to utilize those skills on a regular
basis, focusing on the process/business unit rather than a job or
task.
7. The training process is continuous and includes a team-building
curriculum.
8. The compensation system is designed to encourage and reward the
development and utilization of multiple skills.
9. Teams will give and receive accurate and timely information about
results, operating standards, and new developments.
D. In order to effectively manage our business we need productive daily team
meetings. The format and content will vary to meet the specific needs of
individual business units and teams.
E. Operating schedules will be designed to meet business needs and employee
preferences to the extent possible.
F. Teams are expected to develop new, innovative approaches to problem solving
and decision making.
SECTION THREE: SENIORITY AND SERVICE
A. Seniority
1. Definition: Seniority refers to the rank order of bargaining unit
employees relative to other bargaining unit employees. Rank order is
determined by the time spent with the Lakeview/Badger-Globe Mill,
Business Unit, and Team. Mill seniority is retroactive to the
employee's start date on the hourly payroll.
<PAGE>
--6--
The following definition of team seniority will be applied across the
facility:
Team seniority will refer to the rank order of an entire business unit team
(all shifts) in a particular function, i.e., Diaper Plant business unit has
an operations team, stores team, and quality team. Badger-Globe business
unit has a manufacturing team, converting team, and utility team.
Shift crews will be rank ordered according to team seniority. Employees who
change shift crews within a team will carry their team seniority with them.
Employees who join the team from another team within the business unit or
from another business unit will be assigned to the last position on the
team seniority list. (Exception: All maintenance tradespersons within
Lakeview/Badger-Globe are considered one team. Maintenance employees
transferring from one business unit to another carry their maintenance team
seniority with them.)
2. Principles: The corporation has the responsibility to determine who and how
many persons it will employ. New hires will have a ninety (90) calendar day
probationary period. Probationary, temporary, and summer employees do not
accrue seniority during their probationary, temporary, and summer
employment. Mill seniority prevails if business unit and team seniority are
equal.
3. An employee absent due to illness or off-duty accident who returns to work
within one (1) year shall be returned without loss of seniority. In unusual
cases, by specific agreements of the parties, an employee's seniority can
be protected beyond the one (1) year without loss of seniority. An employee
absent due to an on-duty accident shall be returned to work without loss of
seniority, regardless of the length of the absence. This time off shall be
included in computing service time and seniority as if it were time worked.
Employees temporarily transferred outside of the bargaining unit shall have
their seniority protected for a
<PAGE>
--7--
period established by agreement between the union president and management.
B. Service
Service is defined as the actual time spent employed by Kimberly-Clark
Corporation. Service is considered broken by discharge or resignation. For
purposes of computing vacation privileges and other benefits for which
continuous employment is a factor, service is not broken by absences due to
off with permission, authorized leave, certified leave of absence, illness,
military service, or layoff. However, the actual time spent on certified
leave of absence (as defined in Section 12) or a layoff in excess of 30
days will be excluded in computing length of service.
The period of absence during any layoff shall be excluded in computing
pension service in accordance with the Kimberly-Clark Corporation Hourly
Employees' Standard Retirement Plan.
SECTION FOUR: TRANSFER PROCEDURE
When permanent vacancies exist, the following procedure will be used:
A. The vacancy will first be filled from within the business unit based on
business unit seniority and providing the employee can successfully perform
the necessary minimum skill blocks.
B. If the vacancy is not filled from within the business unit, the vacancy
will be announced (via posting) to all LV/BG facilities including the
Lakeview Feminine Care Plant. Informational meetings will be held to
discuss specifics of the position(s). A minimum of two informational
meetings will be held, the second meeting being held at least 48 hours
prior to the end of the posting period. The posting period will be for 10
calendar days. Employees who wish to transfer must call the facility
contact by the designated date/time specified on the posting, and place
their name on the posting list. When an employee places their name on the
posting list, they have accepted the vacancy if they are one of the senior
qualified employees. Employees will
<PAGE>
--8--
not be able to remove their name from the list. Employees can place their
names on as many posting lists as they wish. Notification will be sent to
each business unit regarding who responded to the posting and the employees
who filled the vacancy. Positions not included within the current transfer
procedure will be handled through jointly developed posting procedures
(e.g. trades apprentice). Employees must have six months of mill seniority
before being eligible for signing on the transfer procedure. Employees will
be selected on the basis of their mill seniority, past performance, the
ability to perform the necessary minimum skill blocks for that business
unit, and in the case of the Lakeview Feminine Care Plant, the ability to
meet selection criteria.
C. Involuntarily transferred employees displaced from their business unit due
to reductions will be given priority placement on the business unit
transfer list from which they were displaced. Involuntarily transferred
employees will be displaced by business unit seniority. These employees
will select from available vacancies by mill seniority. Employees
involuntarily displaced from more than one business unit will have one
priority placement choice. These displaced employees will accumulate
seniority in the new business unit on the effective date of the first
transferred employee. When permanent vacancies exist, these employees will
be given one opportunity to return; if they decline they will lose their
priority position.
D. Employees with long-term, substantiated medical limitations will be given
priority consideration for selection and placement.
E. Vacancies created by a mill layoff will be filled by this transfer
procedure.
F. Physical transfers should be made within six weeks unless unusual
circumstances arise; then a consensus action plan will be developed between
union and management representatives. Team/business unit seniority begins
on the effective date of the first transferred employee. An employee who is
unable to perform the duties within the new business unit because of
substantiated medical limitations may return to the former business unit
with no loss of seniority within a period of thirty days of the transfer
date.
<PAGE>
--9--
G. The intent of the company is to staff new Lakeview/Badger-Globe
operations, where possible, with current bargaining unit employees. The
selection process for staffing new or expanded Lakeview/Badger-Globe
operations will be discussed in advance.
Where no permanent vacancies exist, the following procedure will be used:
Excess employees will be loaned out to other business units by business
unit seniority. Loaned employees will select from available business units
by mill seniority. Loaned employees will maintain their pay rate and will
not accrue seniority in the new business unit.
SECTION FIVE: MILL LAYOFF AND RECALL
A. Mill Layoff and Recall -- Lakeview/Badger-Globe
1. When a reduction in the workforce is required and no alternative to a
layoff is found, employees will leave Lakeview/Badger-Globe in reverse
order of their mill seniority. Employees with maintenance skills
needed to maintain the business may be retained outside of mill
seniority order. Lakeview/Badger-Globe employees are not eligible to
displace Lakeview Feminine Care Plant employees. Alternatives to
consider would include voluntary layoff by mutual agreement.
2. Vacancies created by junior employees being laid off will be filled by
utilizing the transfer procedure applied to Lakeview/Badger-Globe
employees.
3. Employees will have recall rights of two years (probationary, summer
and temporary employees do not have recall rights).
4. Lakeview/Badger-Globe employees in layoff status will have first
opportunity to openings in Lakeview/Badger-Globe before going to
Lakeview Feminine Care Plant employees on the transfer list or hiring.
Lakeview/Badger-Globe employees will be recalled in the order of
their mill seniority (Exception: Employees with maintenance skills
needed to maintain the business may be recalled outside of mill
seniority order).
<PAGE>
--10--
5. Prior to hiring, Lakeview Feminine Care Plant employees in layoff
status will have priority consideration to openings in other business
units, in accordance with the transfer procedure.
6. Employees will return to work with no rights to their former business
unit.
7. Lakeview/Badger-Globe employees' recall rights will be fulfilled when
they have been given the opportunity to return to
Lakeview/Badger-Globe. Lakeview/Badger-Globe employees may turn down
Feminine Care Plant openings without losing their recall rights.
8. The employee will be notified of an opportunity for recall by
registered mail sent to the last address furnished to the mill. The
employee will be given seventy-two (72) hours after receipt of the
recall notice to notify the mill of the employee's intent to return to
work and two (2) weeks to actually report for work, unless the period
is extended by the business unit. Failure to comply with either of the
above will result in the loss of the employee's recall rights.
B. Mill Layoff And Recall -- Lakeview Feminine Care Plant
1. When a reduction in the workforce is required and no alternative to a
layoff is found, employees will leave Lakeview Feminine Care Plant in
reverse order of their mill seniority. Employees with maintenance
skills needed to maintain the business may be retained outside of mill
seniority order. Feminine Care employees are not eligible to displace
Lakeview/Badger-Globe employees. Alternatives to consider would
include voluntary layoff by mutual agreement.
2. Vacancies created by junior employees being laid off will be filled by
utilizing the transfer procedure applied to Lakeview Feminine Care
Plant employees.
3. Employees will have recall rights of two years (probationary summer
and temporary employees do not have recall rights).
<PAGE>
--11--
4. Lakeview Feminine Care Plant employees in layoff status will have
first opportunity to openings in the Lakeview Feminine Care Plant
before going to Lakeview/Badger-Globe employees on the transfer list
or hiring. Lakeview Feminine Care Plant employees will be recalled in
the order of their mill seniority. (Exception: Employees with
maintenance skills needed to maintain the business may be recalled
outside of mill seniority order.)
5. Prior to hiring, Lakeview/Badger-Globe employees in layoff status will
have priority consideration to openings in the Lakeview Feminine Care
Plant, in accordance with the transfer procedure.
6. Employees will return to work with no rights to their former business
unit.
7. Lakeview Feminine Care Plant employees' recall rights will be
fulfilled when they have been given the opportunity to return to the
Lakeview Feminine Care Plant. Lakeview Feminine Care Plant employees
may turn down Lakeview/Badger-Globe openings without losing their
recall rights.
8. The employee will be notified of an opportunity for recall by
registered mail sent to the last address furnished to the mill. The
employee will be given seventy-two (72) hours after receipt of the
recall notice to notify the mill of the employee's intent to return to
work and two (2) weeks to actually report for work, unless the period
is extended by the business unit. Failure to comply with either of the
above will result in the loss of the employee's recall rights.
SECTION SIX: ISSUE RESOLUTION
A. The Company and the Union have established the following principles:
1. Informal handling of grievances and other conflicts within the
framework of our agreements.
2. Expeditious investigation and disposition of such grievances or
conflicts.
<PAGE>
--12--
In the event a conflict occurs, the parties concerned will use the following
procedure (Exception: Disciplinary action involving discharge will be referred
directly to Step 3.):
Step 1: FACT-FINDING REVIEW AND RESOLUTION
The involved parties will meet to discuss the issue, ascertain all facts, and
make a genuine attempt to resolve it. This may necessitate more than one meeting
using whatever resources are available. The individual(s) involved should be
present at these meetings. A facilitator should be utilized on an as-needed
basis to aid in mutually resolving the issue. The facilitator, by mutual
agreement, can be any hourly or salaried person possessing the necessary skills.
Resolutions that arrive out of conflicts involving this or other
union-management agreements will be covered with the appropriate
union-management representatives.
Step 2: INFORMAL RESOLUTION
If the conflict has not been resolved in Step 1, the business unit leader and
the union area vice-president will meet with the parties involved in Step 1 and
be apprised of all pertinent facts.
A mutually agreed-upon facilitator may be utilized in all discussions to aid in
resolution.
Normally, it is expected that Step 1 and Step 2, if needed, would be completed
within one week.
Any resolution resulting from the informal discussion portion of this procedure
need not be precedent setting.
Step 3: FORMAL RESOLUTION
Issues that were not resolved in Steps 1 or 2 may be submitted to the business
unit leader (in writing) within five (5) working days (excluding Saturdays,
Sundays, and holidays).
<PAGE>
--13--
Procedure:
The mill/plant manager or representative, a representative of the
international union, and the local bargaining committee shall discuss the
issue. These parties may be assisted by such mill personnel as appropriate.
The agreed-upon facilitator, if utilized in Step 2 of the informal
discussion, may also be utilized in the formal discussions. If the parties
are unable to agree upon a satisfactory settlement within ten (10) working
days (Saturdays, Sundays, and holidays excluded) from the date of referral,
the grievance may be submitted to the impartial arbitrator as outlined
below.
When circumstances warrant, the time limits specified may be extended by
agreement between the parties.
SECTION SEVEN: ARBITRATION
A. Either party desiring to arbitrate a grievance which has not been settled
satisfactorily according to the provisions of Issue Resolution, shall
notify the other party in writing within twenty (20) days (Saturdays,
Sundays, and holidays excluded) of the completion of step three of the
Issue Resolution procedure, unless extended by agreement between the
parties.
B. The Union and Corporation shall endeavor to select the impartial arbitrator
by mutual agreement within ten (10) days after request for arbitration has
been received. For such purpose, each party shall submit to the other party
a list containing the names of at least three (3) persons considered
qualified to serve in such capacity.
C. If the parties are unable to reach mutual agreement in the selection of the
impartial arbitrator, the parties shall then jointly request the Federal
Mediation and Conciliation Service to submit a panel of five (5) qualified
arbitrators from which the impartial arbitrator may be selected. In the
first arbitration case which arises between the parties, the Union shall
first strike two (2) names and the Corporation shall then strike two (2)
names, and the one (1) name remaining shall be selected as the impartial
arbitrator. In subsequent arbitrating cases which arise,
<PAGE>
--14--
the right of initially rejecting any two (2) of the five (5) names
submitted shall alternate between the parties.
D. It is understood that the function of the arbitrator shall be to interpret
and apply this Agreement and any supplements to the Agreement. The
arbitrator has no power to extend the duration, add terms or provisions,
arbitrate a dispute concerning a general wage adjustment, nor to enlarge
his own jurisdiction except upon mutual consent of the Corporation and the
Union.
E. The decisions of the arbitrator concerning any matter properly arising out
of this Agreement shall (if not contrary to state or federal law) be final
and conclusive upon the employees, the Union, and the Corporation.
F. Each party shall bear the expense of preparing and presenting its own case,
including witnesses and attending employees, before the arbitrator. The
fees and expenses of the arbitrator shall be borne equally by the parties
to this Agreement.
SECTION EIGHT: HOURS OF WORK
A. Definitions
1. A shift worker is an employee whose schedule involves rotation.
2. A day worker is an employee whose schedule does not rotate and whose
regularly scheduled hours every week fall between 5:30 a.m. and 7:30
p.m.
3. A night worker is an employee whose schedule is such that more than
one-half of the regularly scheduled hours each week fall between 6:00
p.m. and 6:00 a.m.
4. A mutual agreement is an arrangement approved in advance by the crew
in which qualified employees agree to change hours or shifts within
the same week and where no other additional premiums are caused.
<PAGE>
--15--
B. Daily, Weekly Schedules
The basic work week for five-day workers is Monday through Friday, for
seven-day workers it is Monday through Sunday. The basic daily schedule
will be 8 1/2 hours per day and will include a daily team meeting and
thirty (30) minutes of unpaid relief period, with no fixed or designated
lunch time.
Unusual production schedules will be discussed with the appropriate
management and union representatives.
Employees should not be expected to work more than 12 1/2 hours in any
24-hour period. Crews will agree on how to provide coverage. For pay
purposes, the work day (24-hour period) and the work week will begin with
the regular starting time for the crews.
The necessary facilitating services to support Saturday, Sunday, and
holiday operations will be provided.
C. Relief Periods
Employees who are on 8 1/2 hour schedules will receive fifteen (15) minutes
of paid relief time and thirty (30) minutes of unpaid relief period, with
no fixed or designated lunch time.
Employees scheduled to work beyond their regular workday will be provided a
fifteen (15) minute paid relief for every four (4) additional hours
scheduled.
Employees who are eligible to receive inconvenience pay or who are held
over or called in/second round trip on Sunday or their day-of-rest will be
provided with a paid relief period.
D. Business Meetings
1. Voluntary
Voluntary meetings outside of employee's regular work schedule will be
paid at time and one-half rates. The call time, second round trip, and
pay for work on scheduled days off provisions of this agreement are
not
<PAGE>
--16--
applicable to these meetings. These hours will be offset against FLSA
overtime. Employees who voluntarily change their work schedule to
attend a meeting will be paid at straight time rate unless weekly or
daily overtime applies.
2. Required
From time to time, business meetings, including training, may require
the attendance of the full crew. Employees who attend these required
meetings will be paid at time and one-half rates for the actual hours
spent in the meeting if it is scheduled outside of the employee's
regular working hours or on the employee's scheduled day of rest. The
call time, second round trip, and pay for work on scheduled days off
provisions of this agreement will apply to meetings which require
attendance of the full crew. These meeting hours will not be offset
against FLSA overtime for seven-day shift workers.
Employees will be required to attend meetings called by the team or
business unit except when they are off work due to vacation, illness,
leave of absence, accident, union business, or when they are excused
by the crew. Meetings in which the attendance of the full business
unit is required will be scheduled no more than once a quarter.
E. Collective Bargaining Meetings
Employees attending meetings with the company to negotiate a renewal,
amendment, or modification of this cooperative agreement, or a general wage
level change, will be paid a daily allowance of eight (8) hours per day at
the employee's straight-time rate. Shift workers may elect to be off work
the day before or the last day of the bargaining session and will receive
the daily allowance for that meeting.
Union representatives and employees will be compensated for attendance at
issue resolution meetings (as outlined in Section Six) if they would
otherwise be at work.
<PAGE>
--17--
F. Travel and Work Outside of the Mill
Employees traveling on company business (more than 30 miles from the mill)
on their regularly scheduled work day will be paid for travel time up to a
maximum of eight hours in addition to hours worked. If travel time plus
hours worked is less than eight (8), the employee will receive eight hours
of pay.
Employees traveling on a scheduled off-day will be paid straight time for
actual travel time up to a maximum of eight hours of pay, unless weekly or
Sunday premium applies.
Employees working on company business outside of the mill on a regularly
scheduled work day will be paid for actual hours worked, or eight hours,
whichever is greater. Employees working outside of the mill on company
business, on a nonscheduled workday, will be paid only for hours worked at
the applicable rate.
G. Reporting Time
Employees who have not received at least two hours notification that their
services are not required for their regularly scheduled day or shift will
receive a minimum of four hours' work or, if no work is available, be given
two hours of pay. Pay will be at the employee's regular rate, with premium
rates applicable to work on Sundays and holidays.
SECTION NINE: PAY AND BENEFITS
A. SKILL-BASED PAY
1. Definition/Principles
In the Lakeview/Badger-Globe skill-based pay system, employees are
compensated for the job related skills they possess and can
demonstrate rather than the work assignment they are performing. For
pay purposes, groups of skills are organized into skill blocks. Once
an employee has demonstrated competency on a skill block and has
performed those skills for a period of time (mastery period), they
will be paid for possessing
<PAGE>
--18--
that skill as long as they maintain mastery and are performing or
applying those skills on a regular basis. Skill-based pay systems have
evolved and are applied differently in each business unit to best meet
the needs of that business unit. The specific rates of each business
unit's pay system are described in Section Seventeen.
2. Hiring Rate
New employees, except summer hires and temporary employees, will
receive the following rates:
Starting Rate Effective Date
------------- --------------
$12.53 6/1/95
$12.91 6/1/96
$13.30 6/1/97
$13.70 6/1/98
$14.18 6/1/99
After satisfactory performance of ninety (90) days, employees will
receive the following rates and will be eligible for the skill-based
pay.
Rates Effective Date
----- --------------
$13.44 6/1/95
$13.84 6/1/96
$14.26 6/1/97
$14.69 6/1/98
$15.20 6/1/99
Temporary employees will be paid ninety percent (90%) of the starting
rate. Summer hires will be paid $9.50 throughout their period of
employment.
Maintenance Tradespersons' starting rate is:
Start 30-day 60-day 90-day Effective Date
----- ------ ------ ------ --------------
tradespersons
base rate
$16.15 $16.74 $17.33 $17.94 6/1/95
$16.63 $17.24 $17.85 $18.48 6/1/96
$17.13 $17.76 $18.38 $19.03 6/1/97
$17.64 $18.29 $18.93 $19.60 6/1/98
$18.26 $18.93 $19.60 $20.29 6/1/99
<PAGE>
--19--
All tradespersons including new hires are eligible for the maintenance
continuity block, in addition to base rate, after they meet the two
year requirement.
3. Assessment and Qualification
The qualification process for acquiring skill blocks will include five
steps: training, competency assessment, mastery, mastery assessment,
and follow-up. Employees will receive the pay for a skill block after
they have trained on the tasks associated with a skill block, have
spent a minimum mastery period practicing these skills, and have
demonstrated mastery of that skill.
a. Training
Training periods will not be fixed, but will be based on business
unit requirements and on an individual's capacity to learn a
particular skill. Opportunity to train will be based on team
seniority, ability to successfully perform the skill, and the
distribution of required skills within the team.
b. Competency Assessment
Employees will be assessed prior to the beginning of their
mastery period to demonstrate the tasks on the skill checklist
safely, efficiently, and effectively.
c. Mastery/Reassessment
Once an employee has demonstrated the ability to competently
perform the skills on the skill checklist, they will begin a
minimum mastery period. During this period, the employee will be
expected to develop and utilize the skill on a regular basis.
After completing this mastery period, the employee will be
reassessed. Once the employee has been reassessed and has
demonstrated mastery, the pay associated with the skill block
will be rewarded. An employee may not be in a mastery period in
more than one skill block.
If an employee is off work 30 consecutive days or less, that time
will be credited toward the mastery period or
<PAGE>
--20--
time/grade system. Time off exceeding 30 consecutive days
(excluding vacations) will not be credited toward mastery or
time/grade system.
d. Follow-up
To maintain the rate of pay associated with all skill blocks,
employees must maintain mastery and perform the skills on a
regular basis. Follow-up assessments may be required of employees
to demonstrate ongoing mastery. Employees who are unable to
demonstrate such mastery will lose the pay for the skill block.
4. Transfers
The following principles will apply to the treatment of skill-based
pay in transfers or other movement.
a. Voluntary Transfer from Team to Team
Employees returning to a former team within two years will
transfer in at the entry rate [$13.44 eff. 6/1/95, $13.84 eff.
6/1/96, $14.26 eff. 6/1/97, $14.69 eff. 6/1/98, $15.20 eff.
6/1/99]. During the first 30 days on the team, employees will be
assessed on the skill blocks they previously held. Training and
mastery periods will be waived for any previously held skill
blocks the employee can perform completely, and the employee will
receive the pay associated with these skill blocks retroactive to
the date of transfer. Employees returning to a former team after
two years will not be given credit for any skill blocks they
previously held. Maintenance tradespersons voluntarily
transferring to a different business unit (Lakeview Mill, LVDP,
LVFCP, BG and KCWest) will have their rate returned to the base
rate for a two year period. If an employee transfers and returns
to the same business unit within two years, the maintenance
continuity block will be restored. This restriction will be
discussed as a separate issue for new or expanded facilities.
<PAGE>
--21--
b. Involuntary Transfer -- Team to Team
When an employee is involuntarily transferred from one team to
another, they will have their rate maintained for a period of one
year from the date of transfer if a rate reduction would
ordinarily result. During this period, employees will receive
wage increases only when the pay for the skill blocks attained in
the new team equals or exceeds the retained rate. After one year
the employee will be paid for those skills that they have
mastered in the new team. (Exception: see employees returning to
former team.) The rate of involuntarily displaced maintenance
tradespersons will be maintained for a period of one year from
the date of transfer. Time spent during this involuntary
displacement will be credited toward the maintenance continuity
block.
5. Physical Limitations -- On Duty
When an employee cannot perform all the skills for which they are
being paid due to a work-related physical limitation, they will have
their current rate maintained for up to 30 days from the date of the
limitation. If the limitation is greater than 30 days and the team can
utilize the individual, the employee will receive pay for those skill
blocks which they are able to fully perform as determined by the
assessment process.
Once physical restrictions have been lifted, employees will receive
the pay for skill blocks relinquished during the period of limitation
providing they can demonstrate mastery on those blocks.
6. Rate Adjustments
When significantly new skills are required to perform the work in a
business unit, or when the current skills are rendered obsolete,
management and union may discuss the anticipated change in the area
work design and the skill-based pay system.
<PAGE>
--22--
a. New or Changed Skill Blocks
If new or changed skill blocks are required, the area
vice-president and business unit manager may negotiate a pay rate
based on a comparison of similar skills, across and within the
Lakeview/Badger-Globe Mill. Rates negotiated will be retroactive
to the date of the change to the skill-based pay system, but not
to exceed 180 days. The establishment of new rates will not be a
subject of arbitration.
b. Obsolete Skills
When current skills are judged to be obsolete, affected employees
shall receive the pay for that skill block for a period of one
year from the date the skill became obsolete.
B. PREMIUM PAY
1. Monday through Saturday Overtime
Overtime will be paid at time and one-half for all time worked in
excess of the basic schedule of eight (8) hours per day or weekly
hours in excess of forty (40), whichever is greater, but not both.
2. Sunday and Holiday Premium
Double time will be paid for work performed during a twenty-four (24)
hour period on Sundays and holidays. Employees scheduled to work on a
Sunday or holiday will receive a minimum of three (3) hours at the
premium rate, exclusive of work that carries over into their next
regular shift.
Weekday overtime does not apply to hours worked on Sundays or holidays
except when the basic daily schedule on a Sunday or holiday is worked
and the employee continues to work consecutive hours into the next
work day. When this occurs, the employee will be paid week day
overtime of time and one-half for the hours worked after the Sunday or
holiday premium period. This is not applicable unless the hours worked
are consecutive hours.
<PAGE>
--23--
3. Night Differential
For day workers, a night work differential of forty cents (40 (cent))
per hour (45 (cent) eff. 6/1/97) shall be paid for all hours worked
between the hours of 6 p.m. to 6 am., except as described in the
section on temporary change in work schedules.
For employees on eight (8) hour shift schedules, a twenty-five cents
per hour (25(cent)) night differential will be paid for work performed
on the "B" shift and a forty cents per hour (40(cent)) (45(cent) per
hour eff. 6/1/97) differential will be paid for work performed on the
"C" shift.
4. Temporary Changes in Daily or Weekly Work Schedules (This applies only
to day workers and shift workers who are moved to days for more than a
week).
A temporary change from day to night work is one which does not extend
through one (1) workweek. If the temporary change continues into the
next workweek, it will not be considered as a second change in
schedule but a continuation of the original change. Payment for
temporary changes in schedule will be as follows:
a. Time and one-half will be paid for the first two (2) days
(excluding Sundays and holiday) for hours worked between 6:00
p.m. and 6:00 a.m. The premium pay of time and one-half for two
days will not be offset against overtime payable under FLSA.
b. No night differential will be paid during a change in schedule.
5. Call Time/Second Round Trip
Call time is applicable when employees are asked to work hours in
addition to their regular schedule, and the employee is not in the
mill when the request to work additional hours is made. The mill/plant
entrance is the point of reference for being in or out of the mill.
Second round trip is applicable when employees are called or scheduled
to make an additional round trip to the mill during the same day.
<PAGE>
--24--
The following guidelines explain the premium time associated with call
time or second round trip.
a. If the time worked on the call is greater than two hours = two
hours of call time at straight time rates plus time and one-half
for hours worked. (Exception: Sunday and holiday hours worked are
paid at double time.)
b. If the time worked on the call is less than two hours = two hours
of call time at straight time rates plus two hours of minimum
pay. (Exception: Sunday or holiday pays two hours of minimum pay
at double time.)
Call time and second round trip provisions do not apply when
coming into the mill to remove a lockout lock, or attend a
meeting or fire brigade training.
6. Pay for Work on Scheduled Days Off
Time and one-half will be paid for any hours worked on an employee's
scheduled day of rest. This premium pay will not be offset against
overtime payable under FLSA. This applies to seven-day swing
operations only.
All employees scheduled in advance to come in for work on their
scheduled off-day will be allowed a minimum of four (4) hours of pay
when the pay for the actual time worked is less than four (4) hours.
This minimum allowance does not apply to work which begins prior to
and extends into the employee's next scheduled shift, or to holdover
work from the employee's previous shift.
These provisions are not applicable to voluntary meeting hours.
7. Distribution of Overtime
The opportunity for available overtime work will be distributed among
qualified employees in each business unit. Business units will
determine guidelines for distribution in their respective teams.
<PAGE>
--25--
C. INCONVENIENCE PAY (effective 11/1/95)
When employees work the following overtime hours inconvenience pay will be
applicable:
1. Eligible hours
The following hours worked will be accumulated for each November 1
through October 31 time period:
a. Employees called in -- see Section Nine B5.
b. Additional round trip -- see Section Nine B5.
c. Employees held over beyond their scheduled quitting time
(Emergency Holdover).
d. Inconvenience pay does not apply to Sundays or days of rest.
2. Pay Calculation
Total hours accumulated in C.1 above will be multiplied by $2.20.
3. Payment will be made by November 15 following the November 1 through
October 31 time period.
4. In no case shall employees receive inconvenience pay for holdovers
when notified prior to leaving the mill on their previous workday, or
if they are absent due to accident, illness, permission off, or a
mutual agreement and they are notified when they normally would have
been at work.
D. SEVERANCE PAY
Severance pay is applicable to layoffs due to lack of work. It is not
applicable to interruptions of operations due to fire, flood, strikes, or
curtailment of service.
After ninety (90) days from the date of layoff, an employee will receive a
payment equal to seventy-five dollars ($75) for each full year of
employment.
<PAGE>
--26--
Should the employee return to work, the period of employment on which the
severance pay is based will be excluded in determining future severance
pay.
No severance pay will be paid to an employee who accepts or rejects an
opportunity to return to work within ninety (90) days of the date of
layoff.
E. FUNERAL PAY
1. Eligibility
Employees will be compensated for time lost from their scheduled hours
of work associated with the funeral of an immediate family member or
relative.
In the event of an absence due to a death in the immediate family or
relative (spouse, son or daughter, mother or father, father-in-law or
mother-in-law, brother, sister or grandparent of the employee), the
employee may receive up to three days of pay associated with the
funeral.
2. Pay
Employees will be paid at straight time for their scheduled hours for
the day(s), excluding overtime. Funeral pay will not be counted as
time worked for the purpose of overtime computation. The employee
shall apply for funeral pay upon return to work.
F. JURY DUTY
1. Eligibility
Employees required to serve on any municipal, county, state, or
federal jury or subpoenaed to appear at one of the above hearings will
be excused for such service.
2. Pay
Employees will be entitled to reimbursement for the difference between
pay received for court service, excluding expenses, and the employee's
basic scheduled hours per day, excluding overtime.
<PAGE>
--27--
Employees must present a signed statement to their crew from the court
showing the day(s) served and the amount of pay received in order to
be eligible for pay.
Employees whose regular schedule is the "C" shift the day preceding a
necessary court appearance will have the option of being scheduled off
either the day preceding or the day of the appearance.
G. BENEFITS
1. General
Employees will be eligible for the following benefits as applicable to
Lakeview/Badger-Globe bargaining unit employees. Summer hire and
temporary employees are excluded from all benefits except the
Retirement and Incentive Investment Plan.
a. Kimberly-Clark Corporation Hourly Employees' Standard Retirement
Plan
b. Kimberly-Clark Corporation Group Life Insurance Plan
c. Kimberly-Clark Corporation Group Dental Insurance Plan or Care
Plus Dental Plan
d. Kimberly-Clark Corporation Managed Care Plan or Health
Maintenance Organization(s)
e. Kimberly-Clark Hourly Employees' Incentive Investment Plan
f. Military Service and Military Leave benefits
g. Sickness and Accident Plan
h. Long-Term Disability Plan
Details of each benefit are available to all employees.
2. Clothing
Where the corporation requires the wearing of uniforms, such uniforms
will be furnished and laundered.
<PAGE>
--28--
3. Safety Shoes
In the interest of promoting safety, the corporation agrees to
contribute up to ninety dollars ($90) (one-hundred $100 6/1/97) per
contract year towards the purchase of employees' safety shoes
providing the shoes are purchased from the safety shoemobile or
designated vendor.
SECTION TEN: VACATION
A. Eligibility
Employees will become eligible for paid vacation according to the following
schedule:
Weeks of paid Number of weeks
vacation during can be taken as
Years of Employment calendar year day-at-a-time vacation
------------------- ------------- ----------------------
1 1 1
3 2 1
8 3 2
12 4 3
18 5 4
25 6 4
B. Vacation Pay
1. Vacation pay will be forty-eight (48) hours per week. Pay will be at
the employee's straight time hourly rate. Exception: Night work
employees on paid vacation will be paid the night differential for
their regularly scheduled shift.
2. One week of day-at-a-time vacation equals six (6) days.
3. Vacation taken day-at-a-time will be paid at eight (8) hours.
4. Employees with eight (8) or more years of service are eligible for one
(1) week of pay for unused vacation. Payment will be made in February
of the following year based on the employee's December 31 pay rate.
<PAGE>
--29--
C. Administration
1. Team vacation liability should be managed in consideration of employee
preferences and business needs.
2. Vacations/days off shall be scheduled by mill seniority by the
business unit crews.
3. Vacation will not be cumulative from year to year.
4. Employees who become eligible for vacations in the calendar year may
take vacation prior to their anniversary date but will not be entitled
to vacation pay until their anniversary date.
5. On the last day of the calendar year an employee becomes eligible for
the vacation for the next calendar year.
6. Any employee in layoff status for more than thirty (30) days will have
the period of time in layoff status excluded in determining vacation
eligibility.
7. Employees eligible for paid vacation who leave the payroll will be
paid for unused vacation for that calendar year. Employees laid off
will be given the option of receiving vacation pay at the time of the
layoff or at the time scheduled for vacation.
8. When an employee attends collective bargaining meetings during their
scheduled vacation, the employee will be eligible for the bargaining
allowance and their vacation will be rescheduled.
9. In cases of transfers, crews will make every effort to honor the
vacation dates the employee had originally signed for.
10. Unless otherwise agreed to the following principles should apply in
signing for vacations.
a. First two weeks -- employees may sign for two weeks on their
first sign-up date.
b. Remaining weeks -- employees may sign up for each
<PAGE>
--30--
remaining week one week at a time until all vacation weeks have
been exhausted.
c. Day-at-a-time vacations -- employees may sign for two days on
their first sign-up. They may then sign for single days until
their day-at-a-time vacation has been exhausted.
d. Vacations must be signed during the annual sign-up period.
Vacations may be changed by approval.
e. Crew vacations/days off should be scheduled in the following
order:
1. Weekly vacation
2. Personal holiday
3. Day at a time
4. Banked day
f. Vacation liability will not be reduced by employee selection of
payment for unused vacation.
11. Employees will not be permitted to work or attend meetings while off
on vacation. Any exceptions must be approved by the Union President
and Mill/Plant Manager.
SECTION ELEVEN: HOLIDAYS
A. Recognized Holidays and Shutdown Periods
The following are recognized 24-hour holidays. The intent of holidays is
for employees to have a day off from work. The Corporation may operate,
however, on a voluntary basis during the holidays noted, and employees who
are needed for continuous operating services such as boiler house, water
treatment plant, security, etc., may be required to work.
<PAGE>
--31--
Holiday Operation Status
------------------- ---------------------------
New Year's Eve Day Voluntary -- first 12 hours
New Year's Day Down
Easter Sunday* Voluntary
Memorial Day Voluntary
July 3 or 5 Voluntary
July 4 Voluntary
Labor Day Down
Thanksgiving Voluntary
2 Floating Holidays Voluntary
Christmas Eve Day Down
Christmas Day Down
Personal Holiday N/A
When July 4, Christmas Day or New Year's Day fall on a Sunday, seven-day
shift workers who would have worked on Sunday will recognize their holiday
on Sunday. These employees will work on the next Monday on a scheduled
basis and be paid double time. Seven-day swing shift workers on their day
of rest will recognize the holiday on Sunday. All other employees will
recognize the holiday on Monday.
Personal holidays will be scheduled by teams by mill seniority within
business units according to business needs and employee preferences. Any
employees on the payroll as of January 1 are eligible for a personal
holiday in that calendar year.
B. Easter Sunday Holiday*
Seven-day swing operations shall be shut down for a twenty-four (24) hour
period on Easter Sunday, and those employees whose basic weekly work
schedule would normally require the employee to work during this period
shall be allowed eight (8) hours holiday pay at the employee's regular
straight time rate, excluding night differential.
C. Pay for Holidays Not Worked
Employees will be paid eight hours for holidays at the employee's regular
straight time day rate, excluding night
<PAGE>
--32--
days off, paid vacation, or leave of absence coincide with Easter Sunday
will not receive Easter Sunday holiday pay.
Employees off due to personal illness or off-duty accident for less than 30
days prior to a holiday will receive holiday pay Employees off due to
personal illness or off-duty accidents for more than 30 days prior to a
holiday, and employees who are on inactive payroll status at the time of a
holiday will not receive holiday pay. This will not be applicable to the
personal holiday.
Employees receiving worker's compensation will not receive holiday pay.
D. Premium Pay for Work on Holidays
Employees working on recognized holidays will be paid double time plus the
holiday allowance for which they are eligible. Double time hours worked on
a holiday (not to exceed eight hours) will be included in determining FLSA
overtime premiums if the holiday falls on a regular scheduled workday for
the employee.
Employees working on recognized holidays may elect to bank their holiday
pay. Banked holiday hours may be applied to receive a day off within one
year of the worked holiday. Pay will be at the employee's straight time
rate at the time of the holiday worked. Hours applied to the day off will
be included in the FLSA computation for the week.
SECTION TWELVE: LEAVE OF ABSENCE
A. Union Business
Any employee selected by the union for an assignment necessitating their
absence from work can be granted a leave from work without loss of
seniority. Requests for leave of greater than one month will be made to the
Mill or Plant Manager.
B. Time Off for Personal Reasons
Requests for personal leaves shall be classified as follows:
<PAGE>
--33--
1. Off with Permission -- Unpaid absence for a period of seven (7)
calendar days or less. Authorized by crew. Benefits are unaffected.
2. Authorized Leave -- Unpaid absence for a period of more than seven (7)
days, but less than three (3) months. Authorized by business unit
manager. Benefits are unaffected.
3. Certified Leave of Absence -- Unpaid absence for a period of more than
three (3) months. Authorized by business unit manager. The time off is
not counted in computing benefits for which continuous employment is a
factor.
C. Military Service and Leave
The Corporation will abide by all state and federal laws, and joint
union-management agreements concerning military service and leave.
SECTION THIRTEEN: LEARNING AND SKILL DEVELOPMENT
A. Apprenticeship Program
The Union and the Corporation agree to the need for selecting and training
employees as tradespersons through a State-indentured Trades Apprenticeship
training program. The Company further agrees that this program will be the
primary vehicle for filling trades vacancies in the mill.
To accomplish this objective, an apprenticeship advisory committee
consisting of equal management and union representation will review future
manpower needs, establish apprenticeship classes, develop curriculum to
meet business requirements, and guide apprentices through the program.
Applicants will be selected from among the bargaining unit employees.
<PAGE>
--34--
B. Tuition Reimbursement
When an employee presents evidence of having satisfactorily completed an
educational course which will increase the employee's proficiency within
the business unit and is approved by the Corporation prior to enrollment,
they shall be reimbursed for one-half of the cost of tuition and supplies
(books, forms, drawing instruments, tools, apparatus, etc.).
C. Other
From time to time, salaried employees may temporarily work with teams of
hourly employees for training purposes. No hourly employee shall lose any
seniority nor be deprived of any hours of work because of this program.
These situations will be communicated to the appropriate union
representatives.
Opportunity for training will be offered by team seniority.
SECTION FOURTEEN: SUBLETTING MAINTENANCE, CONSTRUCTION, AND INSTALLATION WORK
The business unit maintenance manager/business unit manager will review the
requirements for the project with appropriate maintenance support team(s)
including union leadership in advance of making a decision to sublet work. Our
intent is to effectively utilize our maintenance resources to accomplish our
business objectives.
SECTION FIFTEEN: UNION RECOGNITION AND ADMINISTRATION
A. Collective Bargaining Unit
The Corporation recognizes the United Paperworker's International Union and
their Neenah Local 482 as the sole collective bargaining agent representing
all employees in the Corporation in the Lakeview/Badger-Globe Mill included
in the certification of the National Labor Relations Board, dated April 19,
1944, and April 16, 1946, and including certain trades and warehouse
employees located at Kimberly-Clark Corporation West Office building, and
<PAGE>
--35--
employees in other warehouse facilities who have been included in the unit
by mutual agreement of the parties, excluding guards as defined in the
National Labor Relations Act as amended, in all matters pertaining to
wages, hours of work, and working conditions.
Crews will provide for union officers to attend union-management meetings.
B. All Union Shop
The Corporation reserves to itself the exclusive right to determine who and
how many persons it will employ. Who and how many persons the Corporation
will retain shall be determined in accordance with the provisions relating
to seniority.
As a condition of continued employment, all current and future employees
must apply and become members of the signatory Union forty-five (45)
calendar days after their respective dates of employment.
C. Dues Collection
The Corporation agrees to deduct the regular monthly Union dues from earned
wages of those employees who individually authorize such deduction in
writing on "Authorization Cards" mutually agreed upon by the Union and the
Corporation, and send such to the Financial Secretary of Local 482 of the
United Paperworker's International Union, AFL-CIO-CLC, within ten (10) days
of the said deduction.
SECTION SIXTEEN: DURATION OF AGREEMENT
A. Change or Modification of Agreement
This agreement shall be in effect 6/1/95, and shall remain in effect until
5/31/2000 inclusive, and from year to year thereafter, unless terminated as
outlined below.
If either party shall desire to change any provision of this agreement, it
shall give written notice of such desire to the other party at least sixty
(60) days in advance of the anniversary date.
<PAGE>
--36--
If the parties have not reached agreement on or before the anniversary
date, all the provisions of the agreement shall remain in effect unless
specifically terminated in accordance with the provisions as outlined
below.
B. Termination of Agreement
At any time after the anniversary date, if no agreement on the questions at
issue has been reached, either party may give written notice to the other
party of intent to terminate the agreement in (not less than) six (6) days.
All the provisions of the agreement shall remain in full force and effect
until the time set forth has elapsed. During this period, attempts to reach
an agreement shall be continued.
If the parties have failed to resolve their differences before the time set
forth has elapsed, all obligations under this agreement are automatically
cancelled.
C. Interruption of Work
The United Paperworker's International Union, Local 482, at the
Lakeview/Badger-Globe Mill, agrees that there will be no strikes during the
term of this agreement.
Any strike not expressly authorized by the Union in accordance with its
International Constitution, Bylaws, Standing Rules and General Laws, shall
be an unauthorized strike for which there shall be no financial liability
on the part of the United Paperworker's International Union, its local
Union, or officers.
In the event of an unauthorized strike, the United Paperworker's
International Union and the local Union will declare publicly that such
action is unauthorized, will promptly order its members to return to work,
and assist the Management to take such steps as may be deemed necessary to
correct the situation.
The Corporation agrees that there shall be no authorized lockout of
employees. The Union, on behalf of itself and its members, agrees that the
Corporation shall not be liable for any unauthorized lockout by
representatives of the
<PAGE>
--37--
Corporation, provided the Corporation, after receiving notice, promptly
disavows such acts and terminates such lockout.
The Corporation and the Union mutually agree that the existing collective
bargaining agreement shall govern all relations between the parties unless
such provision conflicts with existing or future federal or state statutes
and regulations and Executive Orders, in which event such statutes,
regulations, and orders shall control.
<PAGE>
--38--
SECTION SEVENTEEN: RATES OF PAY
Lakeview/Badger-Globe includes the following units:
Maintenance
-----------
6/1/95 6/1/96 6/1/97 6/1/98 6/1/99
------- ------- ------- ------- -------
TRADESPERSON
Base Rate: $ 17.94 18.48 19.03 19.60 20.29
Continuity Block: $ 0.56 0.58 0.60 0.62 0.64
APPRENTICE
First Year $ 14.86 15.31 15.77 16.24 16.81
Second Year $ 15.41 15.87 16.35 16.84 17.43
Third Year $ 16.14 16.62 17.12 17.63 18.25
Fourth Year $ 17.05 17.56 18.09 18.63 19.28
Appentices will be eligible for maintenance continuity adjustment one year
after all terms of Apprentice indentureship are satisfied and/or they are
offically recognized as a tradesperson by Lakeview/Badger-Globe.
UTILITY
Blade/Sitter Grinder $ 15.08 15.53 16.00 16.48 17.06
First Painter $ 15.61 16.08 16.56 17.06 17.66
BOILERHOUSE
Boiler House Operator
First Year $ 14.49 14.92 15.37 15.83 16.38
Second Year $ 15.49 15.95 16.43 16.92 17.51
Third Year $ 16.48 16.97 17.48 18.00 18.63
Final Year $ 17.49 18.01 18.55 19.11 19.78
<PAGE>
--39--
BADGER-GLOBE
------------
Mastery
period
Skill Blocks in months 6/1/95 6/1/96 6/1/97 6/1/98 6/1/99
------------ --------- ------- ------ ------ ------ ------
Entry Rate = $13.44 13.84 14.26 14.69 15.20
Top achievable rate,
per contract year = $18.57 19.13 19.7 20.29 21.00
Manufacturing Team:
Adv. Beater Room 6 $ 0.68 0.70 0.72 0.74 0.77
Basic Beater Room 6 $ 0.68 0.70 0.72 0.74 0.77
No.3 TM 9 $ 1.04 1.07 1.10 1.13 1.17
No.4 TM 9 $ 1.04 1.07 1.10 1.13 1.17
QA/Mfg 1 $ 0.10 0.10 0.10 0.10 0.10
Basic Core 6 $ 0.68 0.70 0.72 0.74 0.77
Advanced Core
Manufact 7 $ 0.80 0.82 0.84 0.87 0.90
Shipping 2 $ 0.24 0.25 0.26 0.27 0.28
TAC 6 $ 0.69 0.71 0.73 0.75 0.78
Training Coordinator 2 $ 0.24 0.25 0.26 0.27 0.28
Converting Team:
Entry Rate = $13.44 13.84 14.26 14.69 15.20
Top achievable rate,
per contract year = $16.86 17.37 17.89 18.43 19.80
Kimpak Operations/
QA 9 $ 1.02 1.05 1.08 1.11 1.15
Core Converting 5 $ 0.58 0.60 0.62 0.64 0.66
Issue/Receiving 3 $ 0.34 0.35 0.36 0.37 0.38
Truck Coordination 4 $ 0.46 0.47 0.48 0.49 0.51
Janitor 1 $ 0.10 0.11 0.11 0.12 0.13
Team Coordinator 4 $ 0.46 0.47 0.48 0.49 0.51
Team Administration 2 $ 0.23 0.24 0.25 0.26 0.27
Training Coordinator 2 $ 0.23 0.24 0.25 0.26 0.27
<PAGE>
--40--
BADGER-GLOBE (CONT.)
--------------------
UTILITY TEAM
------------
6/1/95 6/1/96 6/1/97 6/1/98 6/1/99
------- ------ ------ ------ ------
Entry $ 13.44 13.84 14.26 14.69 15.20
1 month $ 13.90 14.32 14.75 15.19 15.72
7 months $ 14.58 15.02 15.47 15.93 16.49
13 months $ 15.27 15.73 16.20 16.69 17.27
19 months $ 15.95 16.43 16.92 17.43 18.04
LVDC
----
6/1/95 6/1/96 6/1/97 6/1/98 6/1/99
------- ------ ------ ------ ------
Level 1 $ 13.44 13.84 14.26 14.69 15.20
Level 2 $ 14.58 15.02 15.47 15.93 16.49
(12 months)
Level 3 $ 15.15 15.6 16.07 16.55 17.13
(6 months)
Level 4 $ 15.96 16.19 16.68 17.18 17.78
(6 months)
Level 5 $ 15.96 16.44 16.93 17.44 18.05
Level 6 $ 16.40 16.89 17.40 17.92 18.55
LV FACILITIES SERVICES
----------------------
6/1/95 6/1/96 6/1/97 6/1/98 6/1/99
------- ------ ------ ------ ------
Entry (1 year) $ 13.44 13.84 14.26 14.69 15.20
Janitors (3 months) $ 14.58 15.02 15.47 15.93 16.49
Security (3 months) $ 15.15 15.60 16.07 16.55 17.13
Stores (9 months) $ 15.84 16.32 16.81 17.31 17.92
Flex (10 months) $ 15.96 16.44 16.93 17.44 18.05
Materials (5 Months) $ 15.96 16.44 16.93 17.44 18.05
Planner (3 Months) $ 16.40 16.89 17.40 17.92 18.55
<PAGE>
--41--
FACIAL COVERTING
----------------
6/1/95 6/1/96 6/1/97 6/1/98 6/1/99
------- ------ ------ ------ ------
Entry Rate $ 13.44 13.84 14.26 14.69 15.20
Increace each 6 months
for 30 months $ 0.38 0.39 0.41 0.42 0.43
Month 36 -- Crew $ 15.73 16.20 16.69 17.19 17.79
Member
Crew Leader $ 16.68 17.18 17.70 18.23 18.87
TOWEL CONVERTING
----------------
Mastery
period
Skill Blocks in months 6/1/95 6/1/96 6/1/97 6/1/98 6/1/99
------------ --------- ------- ------ ------ ------ ------
Entry Rate = $ 13.44 13.84 14.26 14.69 15.20
Top Achievable
Rate = $ 16.80 17.30 17.82 18.35 18.99
Core Machine 3 $ 0.34 0.35 0.36 0.37 0.38
#5 Winder 7 $ 0.80 0.82 0.84 0.87 0.90
Ink Formulator 1 $ 0.10 0.10 0.10 0.10 0.10
#5 Wrappers 7 $ 0.82 0.84 0.87 0.90 0.93
Bundler 1.5 $ 0.18 0.19 0.20 0.21 0.22
Stckwrapper 1.5 $ 0.19 0.20 0.21 0.22 0.23
Team Administrator 2 $ 0.24 0.25 0.26 0.27 0.28
Team Coordinator 4 $ 0.46 0.47 0.48 0.48 0.50
Training Administrator 2 $ 0.23 0.24 0.24 0.24 0.25
LAKEVIEW BEATER ROOM
--------------------
6/1/95 6/1/96 6/1/97 6/1/98 6/1/99
------- ------ ------ ------ ------
Entry Rate $ 13.44 13.84 14.26 14.69 15.20
Increace each 6 months $ 0.25 0.26 0.26 0.27 0.28
for 30 months
Increace after $ 0.23 0.23 0.27 0.26 0.27
36 months
Increase each 6 $ 0.32 0.33 0.34 0.36 0.37
months for 24 months
Month 66 -- $ 16.54 17.04 17.55 18.08 18.71
Crew Member
<PAGE>
--42--
LAKEVIEW BEATER ROOM (Cont.)
----------------------------
6/1/95 6/1/96 6/1/97 6/1/98 6/1/99
------- ------- ------- ------- -------
Back-up crew leader $ 16.85 17.36 17.88 18.42 19.06
Crew Leader $ 17.80 18.33 18.88 19.45 20.13
LAKEVIEW MANUFACTURING
----------------------
6/1/95 6/1/96 6/1/97 6/1/98 6/1/99
------- ------- ------- ------- -------
Entry rate $ 13.44 13.84 14.26 14.69 15.20
Increase each 6 months
for 30 months $ 0.43 0.45 0.46 0.47 0.49
Months 36-60 $ 16.04 16.52 17.02 17.53 18.14
Increase each
6 months $ 0.38 0.39 0.40 0.42 0.43
for 18 months
Month 84 -- Crew $ 17.56 18.09 18.63 19.19 19.86
member
Back-up crew leader $ 17.82 18.35 18.90 19.47 20.15
Crew Leader $ 18.57 19.13 19.70 20.29 21.00
DIAPERS
-------
Skills 6/1/95 6/1/96 6/1/97 6/1/98 6/1/99
------ ------- ------- ------- ------- -------
Entry Rate = $ 13.44 13.84 14.26 14.69 15.20
Operations Team:
Top achievable rate, $ 17.20 17.72 18.25 18.80 19.46
per contract year =
Basic (13 months) $ 1.48 1.53 1.57 1.62 1.68
Advance (11 months) $ 1.26 1.30 1.34 1.38 1.43
Flex/machine spec.
(9 months) $ 1.02 1.05 1.08 1.11 1.15
Day Cleaner $ 14.11 14.53 14.97 15.42 15.96
Quality Team:
Top achievable rate, $ 14.92 15.37 15.83 16.30 16.87
per contract year =
Basic Quality
(4 months) $ 0.46 0.48 0.49 0.50 0.52
Expert Quality
(9 months) $ 1.02 1.05 1.08 1.11 1.15
<PAGE>
--43--
DIAPERS(Cont.)
--------------
6/1/95 6/1/96 6/1/97 6/1/98 6/1/99
------ ------ ------ ------ ------
Stores Team:
Top Achievable rate $15.84 16.32 16.81 17.31 17.92
per contract year=
Utlilty/Chemical
(2months) $ 0.23 0.24 0.25 0.26 0.27
Customer Service
(4 months) $ 0.45 0.46 0.47 0.48 0.50
Receiving Services
(5 months) $ 0.58 0.60 0.61 0.62 0.64
Stores System
Specialist (2 months) $ 0.23 0.24 0.25 0.26 0.27
Planning Director $ 0.45 0.46 0.47 0.48 0.50
--Stores
Team Administrator $ 0.23 0.24 0.25 0.26 0.27
--Stores
Training/Coordinator $ 0.23 0.24 0.25 0.26 0.27
--Stores
FEMININE CARE
-------------
6/1/95 6/1/96 6/1/97 6/1/98 6/1/99
------ ------ ------ ------ ------
Entry $13.44 13.84 14.26 14.69 15.20
6 months $14.01 14.43 14.86 15.31 15.85
12 months $14.58 15.02 15.47 15.93 16.49
18 months $15.15 15.60 16.07 16.55 17.13
24 months $15.72 16.19 16.68 17.18 17.78
30 months $16.29 16.78 17.28 17.80 18.42
36 months $16.86 17.37 17.89 18.43 19.08
<PAGE>
--44--
KC-WEST WAREHOUSE
-----------------
6/1/95 6/1/96 6/1/97 6/1/98 6/1/99
------ ------ ------ ------ ------
Entry $13.44 13.84 14.26 14.69 15.20
Utility (12 months) $14.58 15.02 15.47 15.93 16.49
Flex $15.49 15.95 16.43 16.92 17.51
Shipping/Receiving $15.49 15.95 16.43 16.92 17.51
Truck and Material
Handling $15.49 15.95 16.43 16.92 17.51
Stores $15.84 16.32 16.81 17.31 17.92
Hut $15.84 16.32 16.81 17.31 17.92
<PAGE>
--45--
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed
at Neenah, Wisconsin this 19th day of June 1995.
FOR THE CORPORATION:
H.A. Lindeke /s/ A.R. Coons /s/
------------------------------------- ----------------------------------
R.B. Reilly /s/ K.R. Lett /s/
------------------------------------- ----------------------------------
J.A. Reker /s/ B.L. Olejniczak /s/
------------------------------------- ----------------------------------
W.P Ward /s/
------------------------------------
FOR THE UNION:
UNITED PAPERWORKER'S INTERNATIONAL UNION,
AFL-CIO-CLC
Wayne E. Glenn, President
Jon Geenen /s/ Kelly L. Burr /s/
------------------------------------- ----------------------------------
International Representative Area Vice President,
Local No. 482 (Witness)
Robert W. Ekdahl /s/ Douglas M. Bethke /s/
------------------------------------- ----------------------------------
President, Local No. 482 Area Vice President,
Local No. 482 (Witness)
Kathleen M. Hamilton /s/ Kevin P. Duffey /s/
------------------------------------- ----------------------------------
Executive Vice President, Area Vice President,
Local No. 482 (Witness) Local No. 482 (Witness)
Michael R. Heinritz /s/ Kenneth J. Allcox /s/
------------------------------------- ----------------------------------
Secretary, Local No. 482 Area Vice President,
(Witness) Local No. 482 (Witness)
Leo J. Roth /s/ Dean M. Hoks /s/
------------------------------------- ----------------------------------
Area Vice President, Area Vice President,
Local No. 482 Local No. 482
(Witness) (Witness)
Garry L. Turner /s/ Karmen K. Jones /s/
------------------------------------- ----------------------------------
Area Vice President, Area Vice President,
Local No. 482 Local No. 482
(Witness) (Witness)