collective agreement between pepsico beverages canada · collective agreement between pepsico...

COLLECTIVE AGREEMENT

BETWEEN

PEPSICO BEVERAGES CANADA

(hereinafter referred to as the "Company")

AND

UNITED FOOD AND COMMERCIAL WORKERS CANADA, LOCAL 175

(hereinafter referred to as the "Union"

October 1, 2018 to September 30, 2021

Table of Contents Table of Contents .................................................................................................................................................................... 2

ARTICLE 1 • INTENT AND PURPOSE ............................................................................................................................ 4

ARTICLE 2 - RECOGNITION ............................................................................................................................................ 4

ARTICLE 3 - CHECKOFF .................................................................................................................................................. 4

ARTICLE 4- MANAGEMENT RIGHTS ......................................................................................................................... 5

ARTICLE 5 • REPRESENTATION .................................................................................................................................... 6

ARTICLE 6 - GRIEVANCE PROCEDURE ...................................................................................................................... 7

ARTICLE 7 • SENIORITY ................................................................................................................................................... 9

ARTICLE 8 • HOURS OF WORK .................................................................................................................................... 12

ARTICLE 9-WAGES ....................................................................................................................................................... 13

ARTICLE 10- UNIFORMS ............................................................................................................................................... 15

ARTICLE 11 • MEDICAL .................................................................................................................................................. 15

ARTICLE 13 - BEREAVEMENT ...................................................................................................................................... 17

ARTICLE 14 • NO STRIKES • NO LOCKOUTS ........................................................................................................... 17

ARTICLE 15 - JURY DUTY - CROWN WITNESS DUTY ........................................................................................... 17

ARTICLE 16 • PENSION PLAN ...................................................................................................................................... 18

ARTICLE 17 - PLANT CLOSURE ................................................................................................................................ 18

ARTICLE 18 - SAFETY ..................................................................................................................................................... 20

ARTICLE 19- CONTRACTING OUT ............................................................................................................................. 20

ARTICLE 20-GENERAL ................................................................................................................................................ 21

ARTICLE 21 DURATION .................................................................................................................................................. 22

SCHEDULE A ..................................................................................................................................................................... 23

Letter of Understanding #1 ................................................................................................................................................... 24

RE: Grandfathered Salespersons ........................................................................................................................................... 24


RE: Grandfathered Merchandisers ........................................................................................................................................ 25


RE: Week-End Work Increase .............................................................................................................................................. 26


RE: WSIB FORM 7 .............................................................................................................................................................. 27


RE: BANKED OVERTIME ................................................................................................................................................. 28


RE: SKILL DEVELOPMENT TRAINING ......................................................................................................................... 29

Letter of Understanding #7 ........................................................ , .......................................................................................... 30

RE: DELIVERY HELPER ROLES ...................................................................................................................................... 30


RE: Training and Education Fund ......................................................................................................................................... 31


RE: Voluntary Severance Packages (VSPs) .......................................................................................................................... 32

Letter of Understanding #10 ................................................................................................................................................. 33

RE: MEM .............................................................................................................................................................................. 33

Letter of Understanding #11 ................................................................................................................................................. 34

RE: WORK WEEK PREFERENCE AREA ......................................................................................................................... 34

Letter of Agreement #12 ....................................................................................................................................................... 35

RE: Signing Of Letter of Agreements One (1) Through Twelve (12) .................................................................................. 35

ARTICLE 1 - INTENT AND PURPOSE

1.01 It is the intent and the purpose of the parties hereto that this agreement will further promote and improve industrial and economic relations now existing between the Company and the Employees.

ARTICLE 2 - RECOGNITION

2.01 The Company recognizes the Union for the duration of this Agreement as the exclusive Bargaining Agent for the purpose of collective bargaining on behalf of the employees within the following bargaining unit working at and out of Chatham and Essex: All employees of the Company including Lead Hands save and except Unit Manager, Merchandiser, Territory Development Manager, Market Development Manager, Office Staff, Pre-Sell Customer representative, and students temporarily employed for the summer vacation period.

2.02 A casual employee is an employee who normally works less than 30 hours per week in replacing absent and unavailable employees and in case of an increase in work before contemplating calling Regular EE's on overtime. Casual employees shall not be used in place of a qualified (skill, ability & qualifications) full-time employee who is ready and available to perform the work available on that day/shift. Casual employees shall be covered by the CBA except for the following Articles:

Article Exclusions; 9.04, 9.06, 9.07, 9.10, 10.01, 11.01, 12, 13, 16, 17.

ARTICLE 3 - CHECKOFF

3.01 The Company agrees that all employees shall, as a condition of employment, become and remain members of the Union in good standing.

3.02 New employees shall make application for membership in the Union at the time of their hiring, and shall become and remain members of the Union in good standing as a condition of employment, as soon as their sixty (60) working day probationary period has been served, the application for membership cards only will be forwarded to the Union by the Company within three (3) working days.

3.03 The Company agrees to deduct weekly dues as specified in the Union's Constitution and Bylaws, from all employees covered by this Agreement and remit such monies so deducted to the Local Union on or before the tenth (1 oth) day of the following month. The dues remitted will include a dues deduction for part-time and temporary employees based on a formula provided to the Company by the Union. The remittance stated shall be a document by location, containing a dues and initiation report for which an electronic copy will be provided to the Union. The Company will provide the following information:

1. S.I.N. 2. Employee's Full Name. 3. Address, including Postal Code.

4. Phone Number. 5. Rate of pay & Classification 6. Union dues deducted. 7. Initiation fee deducted. 8. E-mail address (if permitted by employee through signing appropriate form)

3.04 The Company will, at the time of making each remittance to the Local Union, specify the employees from whose pay the deductions were made.

ARTICLE 4 - MANAGEMENT RIGHTS

4.01 The Union expressly recognizes the right of the Company to operate and manage its business in all respects in accordance with its commitments and responsibilities.

4.02 Without limiting all other rights of the Company, the hiring, promotion, demotion, transfer, suspension or otherwise disciplining and discharging of any employee, and relieving an employee from duty because of lack of work or other legitimate reason, are vested exclusively in the Company, subject to the rights of the employee concerned, to lodge a grievance in the manner and to the extent herein provided.

4.03 The Company reserves the right to discharge an employee for any just cause, including, without limiting the generality of the foregoing, the following:

(a) Bringing intoxicants into, or consuming intoxicants in the plant, in a company vehicle, or elsewhere on the job.

(b) Misappropriation or deliberate destruction of property of the Company or of other persons in or at the plant.

(c) Insubordination.

( d) Fighting or disorderly conduct in or at the plant.

(e) Incapacity or neglect of duty.

(f) Repeated absence or lateness after warning.

(g) Smoking in prohibited areas.

(h) Refusing to do any job assigned by a Lead Hand, Supervisor or Manager.

4.04 The Union further recognizes the right of the Company to make and alter, from time to time, Rules and Regulations to be observed by the employees. Such rules and regulations shall not be inconsistent with the provisions of this Agreement, and any additions or revisions thereof shall be posted on the Company Bulletin Board, and explained by the Supervisor respectively.

4.05 The Company will present and explain the Rules and Regulations and amendments at a meeting between Management and the Committee hereinafter mentioned, prior to such posting.

ARTICLE 5 - REPRESENTATION

5.01 (a) The Union represents that its members employed at Pepsi Bottling Group (Canada) Co., in Chatham and Essex, have duly ratified this Agreement in accordance with the Constitution of the United Food and Commercial Workers International Union, and have authorized its execution by the Union.

(b) The employer and the Union agree that there shall be no discrimination because of race, ancestry, place of origin, colour, ethnic origin citizenship, creed, sexual orientation gender identity, gender expression age, marital status, family status, disability or record of offences as per the human rights code

"No sexual Harassment- the Union and the Employer agree that the workplace covered by this CA should be free of sexual harassment and agree to co-operate with each other in preventing and eliminating sexual harassment if same should occur in the workplace".

5.02 The Union may appoint and the Company shall recognize two (2) Stewards, both from the Essex location. Each such Steward shall be a member of the Bargaining Committee. The Union will inform the Company in writing of the name(s) of the Steward(s), and any subsequent changes(s) thereto.

5.03 Said Stewards and Representatives of the Company shall hold a meeting once in each calendar month, if required, at a date and time agreeable to both parties. Matters to be discussed at any such conference shall be listed on an agenda to be supplied by the Steward, to the Manager of the Company at least forty-eight (48) hours prior to the conference. If necessary, assistance may be obtained from a Union Representative at the request of either party.

5.04 The Steward's duty shall in no way conflict with his duties as an employee and he shall be held responsible for the same quantity and quality of work as other employees.

5.05 There shall be no solicitation of Union membership, collection of Union dues or any Union activity (except such as is specifically authorized by this Agreement) on the Company's property.

5.06 Should there be cause to discharge a Steward, the Company shall, in every case, inform the Union in writing, including therein the reason for discharge, before such discharge.

5.07 The Representatives from Essex shall be granted four (4) days per year leave of absence with pay to attend General Executive Board meetings for the local Union.

5.08 Whenever an employee is suspended or discharged the Company shall give the Union, in writing, the reason for such actions. All written disciplinary action that is to become part of an employee's personnel record shall be given in the presence of a Steward.

5.09 If an employee does not receive a disciplinary notice for an elapsed period of 1 year any disciplinary notices issued prior to the 1 year elapsed period will not be relied upon for future discipline and will be removed from the employee's file.

5.1 O At the request of the Union the Company will grant time off without Joss of pay, during the employee's regular working hours, up to two (2) employees, with one (1) being the Chief Steward, allowing them to be members of the Union negotiating committee and to enable them to attend arranged meetings with Company representatives, for the purpose of negotiating a renewal of the Collective Agreement: but not including Conciliation or Mediation.

5.11 The Company and Union shall share the costs (50/50) of a meeting room for purposes of collective bargaining to renew this agreement.

5.12 (a) The Company shall, upon request of the Union made, in writing, at least two weeks in advance grant a leave of absence not exceeding thirty-one (31) days total combined days for the location; for two (2) employees each from different work classifications, who may be selected by the Union to attend the annual Union conventions, Union seminars, Union training sessions and other such Union conferences and events. For the purposes of this article leaves requested during the '100 days of summer period', the maximum # allowed to be off at any one time shall be one (1 ).

(b) The Company will, on application by the Union given one (1) month in advance, grant leave of absence to one (1) employee who may be selected by the Union to fill an office or act in any official capacity for the Union. Such leave shall not exceed at any one time a period of twelve (12) months.

ARTICLE 6 - GRIEVANCE PROCEDURE

6.01 There shall be an earnest effort on the part of both parties to settle grievances promptly through the following steps:

(a) By a discussion between the aggrieved employee and the Supervisor, or his designate. Failing settlement, the grievance must be submitted in writing within fourteen (14) working days from the date of the alleged violation of the agreement, or from the date that the alleged violation became known to the griever. The griever may be accompanied by a Union Steward and, if deemed necessary by the Union, by a Business Representative of the Union.

(b) Step No. 1: Within three (3) working days after receipt of a written grievance this immediate Supervisor shall meet with the employee and his Steward to

discuss the grievance. A written reply will be given within three (3) days after the meeting is held.

(c) Step No. 2: If the grievance is not resolved at Step 1 it shall be forwarded to the Union Representative (Step 2) and a meeting will be arranged between Human Resources and the employer's designate, the Union Representative, the Steward of record and the employee on a mutually agreeable date.

(d) Should the parties fail to reach satisfactory settlement in the preceding steps, the final settlement of the grievance may be submitted to an Arbitrator as outlined below.

6.02 (a) If the decision of Management is not accepted and the issue is to be submitted to arbitration, written notice of appeal shall be served on the Company within fifteen (15) working days. The appeal shall be to an impartial Arbitrator to be selected by the parties hereto, or if such parties fail to select an Arbitrator within five (5) working days of the receipt by the Company of the notice to appeal, then to an impartial Arbitrator selected by the Minister of Labour of the Province of Ontario. The decision of the Arbitrator shall be final and binding upon the Company and the Union and every employee within the bargaining unit affected by this agreement.

(b) All time limits under the grievance and arbitration procedure may be extended by mutual written agreement between the Union and the company.

6.03 The Arbitrator shall not have jurisdiction to alter or change any of the provisions of this agreement or to substitute any new provision in lieu thereof, or to give any decision not consistent with the terms and provision of this agreement, or to deal with any matters not covered by this agreement. However, the Arbitrator shall have the power to modify or set aside any penalty imposed by the Company relating to the Grievance then before him/her.

6.04 Each party shall bear the expenses of its own representative at the arbitration hearing and the cost of the Arbitrator shall be borne equally by the Company and the Union.

6.05 All monetary grievances that are mutually agreed upon shall be paid within thirty (30) calendar days, either by separate cheque or in the alternative, the employee's regular pay cheque shall be accompanied by a written statement outlining the amount and grievance settlement involved.

6.06 Grievances dealing with discharges and suspension shall be registered in writing within ten (10) days from the time of the discharge or suspension, including therein, the reason or reasons for discharge or suspension, and shall commence with section 6.01 (b) hereof.

6.07 The procedures, as set forth herein relating to grievance and arbitration, shall apply likewise to a Company grievance.

6.08 As used herein, the term "working days" shall not include Saturday, Sunday, or Holiday.

ARTICLE 7 - SENIORITY

7.01 Subject to what is hereinafter contained, a "probationary employee" shall mean an employee who is hired on a full-time basis and has completed less than sixty (60) days of work within twelve (12) consecutive months, and who has no seniority rights under the terms of this Agreement.

A "temporary employee" shall mean an employee who is engaged by the Company to perform work on a temporary basis. A temporary employee shall have no rights under the seniority provisions of this Agreement. Temporary employees shall not be used to the extent they displace or prevent the hiring of a full-time employee. Temporary employees who are re-classified to Fulltime shall be credited with their last date of hire as their seniority date and shall not be required to serve a probationary period.

7.02 An employee shall be considered a probationary employee until the employer shall have their name placed upon the seniority list as above provided, and as such, will not have any seniority rights. Anything in this agreement contained to the contrary notwithstanding, no grievance shall be lodged or prosecuted by, or on behalf of any probationary employee.

7.03 Seniority lists will be established for three (3) departments:

(a) the "inside" employees at Essex;

(b) the "outside" employees of Delivery persons at Essex;

(c) the "outside" employees MEM Dept at Essex

Seniority shall be exercised only within the department in which the worker is employed.

7.04 An employee who is transferred from one department, (immediately) preceding paragraph 7.03 thereof, to the other department shall establish seniority in the, transferred to department only from the time of such transfer. The employee will have the right to transfer back to his former department maintaining his former seniority for a period of six months from the date of transfer to the new department.

7.05 If an opening occurs in any department or classification of labour governed by this agreement, such opening shall be filled if reasonably practicable from among the employees, and the Company will post a notice of such opening on the Bulletin Board for a period of five (5) working days, provided that the application to fill such opening must be made in writing within such five (5) day period. In filling such opening, the ability to perform the essential duties of the position, physical fitness and seniority will be the determining factors in making the selection. However, in the case of Sales Representatives, and Lead Hands, the Company shall have the right to select the employee who it considers to be the best qualified for the vacant position. When there are two or more employees that are equally qualified, the more senior employee will receive the job.

7.06 Subject to the foregoing, seniority rights of employees shall be exercised as follows:

(a) In the event of a lay off in a department, an employee therein shall exercise seniority over another employee with less seniority in the same department, and the employer may be assigned to any other work within their department provided, the employer is able and willing to do the work assigned to them, and at the rate of pay applicable to the job to which they are assigned.

(b) After an employee's departmental seniority is exhausted plant-wide seniority shall apply (except in the case of Pre-salespersons and Lead Hands who comprise a special job classification, and other employees shall not have any ranking of seniority with respect thereto), and the employee may be assigned to any other work elsewhere in the plant.

(c) In the event of the re-establishment of a job from which an employee was transferred to another department, due to lack of work, the employer shall have the right to return to the job provided they are able and willing to do the work.

(d) "Able and willing" throughout this agreement shall mean that the employee in question shall be able and willing to perform the work to which such employee is assigned as efficiently as, and in the volume, required by the Company's established standards.

(e) The Company agrees that no temporary employee shall be allowed to perform work in the case wherein a regular full-time employee who is qualified and available to perform the necessary work is on lay-off.

7 .07 The Company shall post seniority lists for each department each six (6) months. A master seniority list showing the seniority status of each employee shall be kept by the Company and a copy thereof delivered to the Chief Steward of said Committee, and each six (6) months the Company will deliver a list of revisions therein to said Chief Steward. The Company shall provide an updated seniority list to the Union Representative and the Regional Office every six (6) months or whenever a new employee is added. This will also be posted in the warehouse.

7.08 Any of the following reasons will terminate the seniority and the employment of an employee:

(a) discharge for cause

(b) voluntarily quitting

(c) failure to return to work or to notify the Company in accordance with the following: employee due for recall will be notified by registered mail or telegram addressed to the last address recorded by the Personnel Department. Such employee must notify the Company of their intention to return to work within three (3) regular working days from the date of receiving a registered letter or telegram indicating a recall, and must return to work within three (3) working days from the date of receiving the recall notice.

(d) if the employee is absent from work for two (2) consecutive days without having notified the Company (this clause shall not apply if the employee furnishes reasons satisfactory to the Unit Sales Manager for such failure).

(e) being laid off the payroll for a period of twelve (12) consecutive months.

(f) if the employee fails to work on the first day following the expiration of a leave of absence: (this provision shall not apply if the employee furnishes reason satisfactory to the Unit Sales Manager for such failure).

ARTICLE 8 - HOURS OF WORK

8.01 The work week shall begin at 12:00 Sunday and end at midnight Saturday.

8.02 The regular work week for all employees shall consist of 40 hours. These hours shall be worked in five (5) consecutive eight (8) hour days, or four (4) ten (10) hour consecutive or nonconsecutive days Monday through Saturday. Employees working on a four (4) day workweek shall be guaranteed a minimum of two (2) consecutive days off, one of which will be Sunday.

8.03 It is understood that any employee will be at their work place and ready to assume their duties at the commencement of their work day.

8.04 The Company will grant a paid fifteen (15) minute rest period for inside plant employees every half shift.

8.05 (a) Over-time shall be awarded on a seniority basis for inside plant employees and outside plant employees within their department. If there is not enough employees available to accomplish the over-time work, employees shall be assigned to the overtime work, by the Company, on a reverse seniority basis.

(b) Notwithstanding the provision contained in article 8.06 (a) above, where an employee is receiving less than their normal hours of work in a week due to lay-off shall be entitled to claim, and the Company shall offer to the employer by seniority, any Saturday work that may become available. Such Saturday work shall be paid at straight time plus applicable premium.

8.06 Extra time, insofar as reasonably practicable, will be equitably distributed by the Company among its employees normally performing such work.

8.07 A meal allowance of $7.00 per employee will be paid by the Company if the work schedule requires three (3) or more hours of overtime.

8.08 A paid fifteen (15) minute break will be given before any inside employee works a scheduled three (3) hour overtime.

8.09 The Company will provide Delivery persons, with help when needed.

8.1 O Field Equipment Service employees will be paid at the overtime rate of pay for all service calls attended to after regular working hours Monday through Friday.

ARTICLE 9-WAGES

Year Waae Increase Year 1 $0.00 Year2 $0.50 Year3 $0.50

All Classifications except Grandfathered Sales Representative and Merchandisers, employed prior to ratification

Year 1: Lump sum $500.00 payable by December 1, 2018

9.02 Wages below are inclusive of increases outlined in Article 9.01

Classified Help Oct 1/18 Oct 1/19 Oct 1/20 Warehouse $22.87 $23.37 $23.87 Helper $22.78 $23.28 $23.78 Service Technician $26.64 $27.14 $27.64 Deliverv Person $26.64 $27.14 $27.64 Auto & Truck Mechanic $34.00 $34.50 $35.00 Grandfathered Merchandiser $22.78 $22.78 $22.78

New: Wage progression

Employees hired into a full-time position after (Oct 1, 2018) shall be remunerated as follows:

Date of hire: 85% of the rate After 12 months worked: 90% of the rate After 24 months worked: 95% of the rate After 36 months worked: 100% of the rate

9.03 (a) Where a bargaining unit employee is temporarily transferred by the Company to a job which carries a higher rate of pay than the job from which he is transferred, he shall be paid the higher rate for all time worked in such higher rated job.

(b) Where a bargaining unit employees is transferred by the Company to a job which carries a lower rate of pay, he shall continue to be paid at the higher rate. Where, however, there is no work available for him in the job from which he was transferred, he shall be paid at the rate of the job to which he was transferred.

9.04 An hourly rated employee shall be paid time and one-half for the time worked on Saturday and Sunday and double time for statutory holidays (unless part of regular scheduled work week), or on those paid holidays set forth in 9.06 following. All regular hours and overtime hours must be

offered to regular full-time employees prior to utilizing a non-bargaining unit person as defined in Article 2.01.

9.05 All sales will be cash, the only exception being authorized accounts, a list of which will be provided by the Unit Sales Manager. All cash owing according to daily settlement sheets shall be paid that day. Employees shall be responsible for cash shortages and the Company may attempt to recover any such shortages through a set-off against wages in accordance with the provisions of the Employment Standards Act for the Province of Ontario.

9.06 The Company will provide for employees with seniority, twelve (12) paid holidays, as follows:

New Year's Day Day after New Year's Day Good Friday Victoria Day Canada Day Civic Holiday

Labour Day Thanksgiving Day Christmas Day Boxing Day Family Day One Floater Day

The floater day shall be scheduled I taken at a time which is mutually agreeable to the employee and the Company.

9.07 The amount of pay for such holiday shall be eight (8) hours per day, or ten (10) hours per day as applicable, multiplied by the employee's base rate provided that in order to qualify for holiday pay, the following requirements must be met:

(a) the employee must work his last scheduled work day preceding the holiday and his first scheduled work day after the day of observance of the holiday unless he has been granted a leave of absence or furnishes proof of illness.

(b) if the holiday falls on a Saturday or Sunday, and is by law observed on any other day during the work week, then the previous Friday or the following Monday will be observed as the holiday.

(c) if an employee does not work on a paid holiday, such time (holiday pay) shall not be used for the purpose of computing overtime pay or hours in excess of forty (40) hours per week.

9.08 There shall be a ninety-five ($0.95) per hour differential for work performed on an afternoon shift, if and when an afternoon shift is required. There will be a $1.50 per hour premium for work performed on the Saturday shift. There shall be a one dollar ($1.00) per hour premium paid to employees designated as lead hands; such designation if desired by the Company shall be made solely at the choice of the Company.

9.09 There shall be no duplicating or pyramiding of overtime or premium pay under any provision of this Article, or any other article.

9.1 O Effective January 1, 2005, an employee shall receive up to a maximum of six (6) days sick per annum, at 66 2/3% of earnings. Should medical evidence be required, the employee's immediate supervisor or their designate will inform the employee at the time the employee calls in to notify the supervisor of their absence. Except in the case of an extreme emergency, dental appointments, medical checkups and eye examinations shall not constitute certified medical evidence.

Employees who, at the end of a calendar year, have unused sick-leave credits will be entitled to payment at 100% of the regular rate of pay that was in effect for them on the first day of the contract year. This payout will be processed in the month of January. Upon retirement, employees shall be paid 100% for any unused sick days within their annual allotment.

(a) The company will follow any and all legislation with respect to PEL. PEL and Sick Days for current EE's to a maximum of 6 combined for FIT employees.

(b) New hires: follow all legislation to a maximum of 2 days, Sick or PEL.

ARTICLE 10 - UNIFORMS

10.01

10.02

10.03

All permanent full time employees will be allocated $350.00 per contract year from which they may select their uniform requirements. Employees will be required to choose uniforms appropriate to their job function and will be required to be properly attired at all times. Uniforms will only be issued twice annually, in spring and fall of each year. The selection of items will be as per PepsiCo's National Uniform Policy. Any unused dollars may be used towards the purchase of Safety Boots.

The Company will provide each permanent full time employee with a jacket, as selected by the employee from the uniform provider, once every other calendar year. Permanent full time employees will be reimbursed up to $150.00 per calendar year to purchase safety boots. Proof of purchase will be required. In addition to the uniform allowance, the Company will provide prescription safety glasses to employees once every 24 months.

Serviceperson and Mechanic(s) will be reimbursed for tool expenses up to three hundred dollars ($300} per year when a receipt is provided.

ARTICLE 11 - MEDICAL

11.01(a)

(b}

Employees will participate in the PBG Flexible Benefit Plan as described in the employee benefit book.

The Company will pay 100% of LTD benefit premium for the core (35%) for all Full Time employees. This payment will be on-going every year starting with the ratification of the 2018 agreement.

11.02 The Company will reimburse the cost of AZ physical examinations up to one hundred and twenty five ($125.00) dollars every three (3) years, upon receiving a copy of the medical practitioners receipt.

ARTICLE 12 - VACATIONS

12.01 Employees shall be entitled to vacation pay as follows:

(a) Employees having less than one (1) year of service with the Company shall be entitled to vacation pay equivalent to one (1) week regular wage (40 hours). However, if an employee has been absent from work for more than sixty (60) working days in a year because of illness or accident, the employee shall have the option of remaining at work and receiving their vacation pay. In the case where compensation payments have been received for the period of illness or accident, the employee does not have the option of remaining at work.

(b) Employees having one (1) year of continuous service but less than five (5) years of continuous service with the Company in the calendar year of the employees anniversary date will receive two (2) weeks' vacation with vacation pay equivalent to two (2) weeks (80 hours) regular wage, or four percent (4%) of the vacationable earnings, whichever is greater. Vacationable earnings is defined as all employment income (short term disability, regular pay, premium pay, vacation pay, bereavement, overtime, statutory holiday pay) less taxable benefits (life insurance, car taxable benefits, Share power).

(c) Employees having five (5) years of continuous service, but less than ten (10) years of continuous service with the Company in the calendar year of the employees anniversary date, will receive three (3) weeks vacation with vacation pay equivalent to three weeks (120 hours) regular wage, or six percent (6%) of the vacationable earnings, whichever is greater.

(d) Employees with ten (10) years of continuous service or more with the Company in the calendar year of the employee's anniversary date will receive four (4) weeks' vacation with vacation pay equivalent to four (4) weeks (160 hours) regular wage, or eight percent (8%) of the vacationable earnings, whichever is greater.

(e) Employees with twenty (20) years of continuous service or more with the Company in the calendar year of the employee's anniversary date will receive five (5) weeks' vacation with vacation pay equivalent to five (5) weeks (200 hours) regular wage, or ten percent (10%) of the vacationable earnings, whichever is greater.

(f) Employees with thirty (30) years of continuous service or more with the Company in the calendar year of the employee's anniversary date will receive six (6) weeks' vacation with vacation pay equivalent to six (6) weeks (240 hours) regular wage, or twelve percent (12%) of the vacationable earnings, whichever is greater.

(g) At no time will there be more than two (2) Delivery Persons off and two (2) employees off from the inside department at any one time in the Essex location. For the period June 1st through September 30th, no more than two consecutive weeks vacation will be available to any employee, and seniority will determine the scheduling of vacations for this period.

ARTICLE 13 - BEREAVEMENT

13.01 The Company will grant leave of absence with pay for the purpose of arranging and attending funerals to employees, who have completed their probationary period, in the case of bereavement, as follows:

(a) Five (5) days of absence with pay in case of the death of a Spouse, Common Law Spouse, Child, Step-child, Mother, Father, Step-parent, or Grandchild of an employee, at his regular scheduled hourly rate.

(b) Three (3) days of absence with pay in case of the death of an Sister, Brother, Mother-in-law, Father-in-law, Daughter-in-law, Grandparents, or Step-Grandchild at his regular scheduled hourly rate.

employee's Son-in-law,

(c) The Company agrees that in the event of bereavement of employee's Sisterin-law, Brother-in-law, Grandparent-in-law, niece and nephew to allow an employee one (1) day time off at the regular hourly rate, in order to attend the funeral.

ARTICLE 14- NO STRIKES - NO LOCKOUTS

14.01 The Union expressly agrees that during the term of this Agreement and renewal thereof, there shall not be any strike, sit-down, walk-out, slow-down, boycott or concerted stoppage of work, either complete or partial for any cause or reason, whatsoever, and the Company agrees that there will not be any lockout during such period.

ARTICLE 15-JURY DUTY- CROWN WITNESS DUTY

15.01 Employees called upon to serve on jury duty, or as a Crown witness shall be allowed such time off and will receive for each day of necessary absence on that account the difference between his regular earnings for that day and the amount of the fee received from the Court, provided that the employee furnishes the Company with evidence that his attendance is required and satisfactory evidence as to the amount of fee received.

ARTICLE 16 - PENSION PLAN

16.01 Pension Plan

Pension for Current Members of the Bargaining Unit

Effective September 30, 2012, the Company will cease contributions to the Canadian Commercial Workers Industrial Pension Plan (CCWIPP).

Effective October 1, 2012 all current members of the bargaining unit covered by this Agreement that are members of CCWIPP, shall participate in the Retirement Plan for Hourly Employees of Pepsi-QTG Canada (Registration No. 0301507) and the following specific past service and future service arrangements shall apply:

Future Service Pension Benefit

The Company agrees to provide a future service pension benefit as follows:

• $55 per month pension benefit applicable to service from October 1, 2018. • $56 per month pension benefit applicable to service from October 1, 2019. • $57 per month pension benefit applicable to service from October 1, 2020.

The monthly pension benefit is calculated using a formula based on the employee's years of service from October 1, 2012 in the new plan multiplied by the Pension multiplier.

The following plan provisions will be the same as the CCWIPP plan provisions in place prior to September 1, 2010 including but not limited to; plan membership, payment from the plan (normal form of pension), normal retirement date, early retirement provisions, terminations, death and retirement provisions and vesting.

Pension for New Members of the Bargaining Unit

For any new members of the bargaining unit covered by this Agreement gaining seniority after October 1, 2012 shall participate in the Pension Plan for Employees of The Pepsi Bottling Group (Canada), Co. (Registration No. 0291179).

ARTICLE 17 - PLANT CLOSURE

17.01 In the event that the Company totally discontinues its operations from the Essex and Chatham facilities, it is agreed that the Company will provide the following severance benefits:

Those employees who have reached a minimum of one year of service,

(a) (i) Employees with one (1) year of service to four (4) years eleven (11)

months of service will receive 1.5 weeks pay per complete year of service, at regular hourly rate.

(ii) Employees with five (5) years of service to fourteen (14) years eleven (11) months of service will receive two (2) weeks pay per complete year of service, at regular hourly rate.

(iii) Employees with fifteen (15) years of service or more will receive 2.5 weeks pay per complete year of service at regular hourly rate.

(b) Employees will receive a lump sum benefit payment equivalent to the company's cost of benefit coverage for the employee's severance period.

(c) Notification of permanent vacancies in other Pepsi operations for a period of six (6) months.

(d) Formation of joint Union/Management committee to provide relocation assistance to displaced employees.

(e) If during the life of this Agreement the Company wishes to make a technological change, or other changes are required, which would have the effort of abolishing existing classifications, creating new classifications, or which will result in the layoff of any regular full time employee, the Company will give the Union ninety (90) days' notice, in writing, of such changes.

17.02 TECHNOLOGICAL CHANGE

(a) In the event that the Company decides to make changes to its process or method of operation which causes the Company to permanently displace employees the Company will pay separation allowance to employees so displaced under the following conditions:

Those employees who are full-time and have reached a minimum of one (1) year of service,

(i) Employees with one (1) year of service to ten (10) years of service will receive 1.5 weeks pay per complete year of service, at regular hourly rate.

(ii) Employees with more than ten (10) years of service will receive two (2) weeks pay per complete year of service, at regular hourly rate.

(b) Employees will receive a lump sum benefit payment equivalent to the Company's cost of benefit coverage for the employee's severance period.

(c) if during the life of this Agreement the Company wishes to make a technological change or

other changes are required, which would have the effort of abolishing existing classifications,

creating new classifications, or which will result in the layoff of any regular full time employee,

the Company will give the Union ninety (90) days' notice, in writing of such changes.

ARTICLE 18 - SAFETY

18.01 The Company will make all reasonable provisions for the health and safety of the employees during working hours and will furnish adequate facilities and equipment for that purpose. The Company and the Union mutually agree that employees should be encouraged to co-operate in the maintenance of health and safe working conditions, in the proper use of protective clothing and equipment and in the observance of all safety rules.

18.02 The parties agree to establish a Joint Committee to implement and monitor a Modified Work Program.

The employer agrees to make every reasonable effort, unless prevented by undue hardship to provide suitable Modified Work to any employee who is unable to perform his I her normal duties as a consequence of disability.

The Union shall be made available to consult with the disabled worker when a Modified Work Plan is discussed with the disabled worker.

If union representation is not available an employee of the disabled workers choice shall be made available to attend the modified work planning.

A FAF provided by the Employer will be used to determine what activities the employee is capable of performing. The FAF will be completed by the employee's Health Care Provider and returned to the Employer as soon as possible. The Employer's offer of modified work will be in writing and the employee and the union will be provided with a copy.

18.03 Any suggestion by said safety committee for the purpose of removing hazards and risks in the Company's plant or operations will be brought to the attention of the Unit Sales Manager promptly, as both the Company and the Union are interested in improving safety and health conditions for the employees.

ARTICLE 19 - CONTRACTING OUT

19.01 The Company wherever practical will try to provide work for employees that are laid off before securing outside contractors assuming the employee is qualified. The rate of pay and hours of work will be associated to competitive rates with outside contractors.

ARTICLE 20 - GENERAL

20.01 CALL-IN TIME

In the instance where an employee has been instructed to report to work and a cessation of work occurs before the commencement of his shift, the Company shall grant the employee four (4) hours of work or four (4) hours pay at his normal hourly rate.

20.02 BULLETIN BOARDS

The Company will extend to the Union the privilege of using a Bulletin Board to be located in the Plant, it being understood that the continuance of use by the Union of such Bulletin Board is contingent upon the same being used by the Union for posting of notices. Such notices shall not contain any Union propaganda or political matters of any kind.

20.03 MEDICAL EXAMINATIONS

Any medical examination requested by the Company, shall be complied with promptly by the employee, provided that the Company shall pay for all such examinations.

20.04 PASSENGERS

No employee shall allow anyone other than authorized employees of the Company who are then on duty to ride on a motor vehicle of the Company, except upon prior written authorization from the Unit Sales Manager.

20.05 In the event of an accident, (no matter how trivial), it shall be the duty of every Sales Representative or Delivery person and helper to immediately secure names and addresses of all possible witnesses after which he shall telephone the office of the Company, and then report such accident in writing, supplying the office with complete data. An employee shall not make any admission of liability or responsibility for any accident other than in such written report to the Company for the purpose of its legal advisor.

20.06 All employees shall be paid weekly by direct deposit on Thursday and at no time shall more than seven (7) days' pay or re-numeration be held back by the Company.

20.07 Any deduction from the pay of an employee shall be shown on his pay cheque, or by an attached statement.

20.08 The Company will advise the Delivery persons of shortage within (10) working days from the date such shortage comes to the attention of the Company's management.

20.09 For the purpose of the Agreement, it is understood that where the masculine appears, it shall be construed to include the feminine, and where the singular appears it shall be construed to include the plural.

20.10 LEAVE OF ABSENCE

The Company may grant leave of absence without pay to any employee for legitimate reasons without the loss of seniority, provided such request is in writing.

20.11 The Union agrees that supervisors have certain work to perform in addition to their purely supervisory duties, which work when performed by the supervisor will not deprive employees of their regular work.

ARTICLE 21 DURATION

21.01 This Agreement shall become effective on the 1st day of October 2018 and shall remain in full force and effect until the 30th day of September 2021, and from year to year thereafter unless notice of amendment is given by either party, within ninety (90) days of the date of expiration

21.02 Negotiations shall be entered into within fifteen (15) days of notification to do so.

21.03 This Agreement shall continue in force and effect until a new agreement is reached and all applicable clauses shall be retroactive to the expiry date of September 30th in any year.

SIGNED BY THE PARTIES ON THE (;;Ii. ~j] (nqfj d2or9'.

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SCHEDULE A

The job responsibilities for Merchandisers will be to follow a pre-determined route built around the chain delivery vehicles servicing a market. In this role, responsibilities will include merchandising warm sections and coolers (including facing, rotating), building and refilling displays and hanging point of sale material.

The delivery of sales equipment, and product for store sets and relines may be necessary. The

development of this position is not intended to reduce side-bay delivery routes.

Merchandisers will be provided either a company vehicle to perform their job or thirty-two cents (32) per kilometre to cover all vehicle expenses. This option will be at the Company's discretion.

SIGNED BY THE PARTIES ON THE (b--1-1.. &+ /J11t} o2 o!{j

ANY

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Letter of Understanding #1

Between:

PepsiCo Beverages Canada

And

United Food & Commercial Workers' Canada Local 175

RE: Grandfathered Salespersons

It is agreed that the current Salesperson may continue to perform the duties of Salesperson so long as work is available for him in that capacity. Once the current individual leaves a Salesperson position, that position will no longer remain in effect.

All references to Salespersons in the. Collective Agreement will refer only to the one (1) person (Leo Strong) while he occupies the classification of Salesperson.

It is agreed that no Grandfathered-Salesperson will be displaced or laid-off as a result of the hiring of non-unionized Salesperson.

Oct 1/18 Oct 1/19 Oct 1/20 Grandfathered Sales Representative $1,077.44 $1,077.44 $1,077.44 Lump Sum $500.00 $500.00 $500.00

Benefits: The Company will pay 100% of LTD benefit premium for the core (35%) for all Full Time employees. This payment will be on-going every year starting with the ratification of the 2018 agreement.


Between:


And


RE: Grandfathered Merchandisers

It is agreed that the current Merchandiser may continue to perform the duties of Merchandiser so long as work is available for him in that capacity. Once the current individual leaves a Merchandiser position, that position will no longer remain in effect.

All references to Merchandisers in the Collective Agreement will refer only to the one (1) person (Jim Arthurton) while he occupies the classification of Merchandiser.

It is agreed that no Grandfathered-Merchandiser will be displaced or laid-off as a result of the hiring of non-unionized Merchandiser.

Oct 1/18 Oct 1/19 Oct 1/20 Grandfathered Merch Rate 22.78 22.78 22.78 Lump Sum $500.00 $500.00 $500.00

Benefits: The Company will pay 100% of LTD benefit premium for the core (35%) for all Full Time employees. This payment will be on-going every year starting with the ratification of the 2018 agreement.


Between:


And


RE: Week-End Work Increase

In the event that an increase in Saturday and Sunday work has the impact of increasing lay-offs to current employees, the Company and the Union will meet to resolve the problem in the best interest of both parties.

RE: WSIB FORM 7


Between:


And


The Company agrees to provide a copy of the WSIB form 7 and attachments to the injured worker for which the Form 7 and attachments apply.

It is understood that this letter shall form part of the Collective Agreement.


Between:


And


RE: BANKED OVERTIME

It is mutually agreed that:

The Company shall implement banked overtime with the goal to reduce the impact of layoffs during non-peak periods.

With respect to banked overtime the following shall apply:

All permanent full-time employees with seniority under the Collective Agreement shall be allowed to bank to a maximum of one hundred twenty (120) per annum.

Hours shall be banked at the overtime rate applicable when worked (i.e. time and one half).

Employees must decide at the beginning of the year whether or not they will participate in the program and cannot alter this decision during the year, save and except new hires.

These hours may be taken at a mutually agreed time to both parties during non-peak periods.

Banked time can be carried over to the end of April of the following year or paid out.

Banked overtime shall not interfere with any vacation time already booked.


Between:


And


RE: SKILL DEVELOPMENT TRAINING

The company agrees to endeavour to make available to employees the opportunity to receive training in order to provide them with the qualifications to do work outside their current classification. Such training will be made available on the employee's own time (i.e. unpaid). Availability of training opportunities will depend on business needs, and will be at the discretion of the company. An employee who has received such training shall not then be entitled to refuse an assignment to the position for which he has been trained.


Between:


And


RE: DELIVERY HELPER ROLES

The company agrees to within fourteen (14) days subsequent to the ratification of this agreement, the Company shall effect an interest posting to discern, by seniority, each outside employees preference for helper roles when and should they be required.


Between:


And


RE: Training and Education Fund

The Company agrees to contribute to the UFCW Training & Education Fund the following:

• Oct 1, 2018: $250.00 • Oct1,2019:$250.00 • Oct 1, 2020: $250.00


Between:


And


RE: Voluntary Severance Packages (VSPs)

The Company shall offer Voluntary Severance Packages (VSPs) in the amount of $25,000 to fulltime/active employees who wish to, and as a result of accepting such, will fully and voluntarily terminate their employment with the Company with respect to the VSPs the following shall apply The Company shall offer: 2 VSPs in 2018 and one VSP in 2020 should any of the VSP's go unused in 2018, they will subsequently be offered in the following year. Notwithstanding however, the total number of VSPs shall be maximum of 2 during the life of this collective agreement and therefore no offers of VSPs will extend beyond 2020. VSP's in 2019 & 2020 will be offered in January and must be used by March 31st

The Company shall offer VSPs in order of Bargaining Unit wide seniority to qualify for a VSP employees must have a minimum of 20 years of service with the Company (the Company may consider EEs with less than 20 years of service on an individual basis) Part-time, seasonal, temporary and probationary employees shall not be eligible for a VSP

RE: MEM


Between:


And


The following represents the discussions during recent (2018) negotiations with respect to the MEM Dept.

The parties agree to the following;

- Current on-call process and compensation shall be maintained. Furthermore, all employees within MEM shall share (as per the current practice) on call responsibilities on a rotating basis.

- The Company maintains the right to institute staggered shifts/start times in an effort to address oncall requirements.

- The Company and Union agree to discuss the on-call procedure and any related MEM issues at the earliest possible Labour Management meeting following the ratification of the renewal of the CBA (2018)

- An employee who is 'on-call' and is required to work, shall be paid time and one half (1.5) of the employees regular rate for all work beyond the on-call hours, paid for and provided. Such rates shall be two times (2) regular rate for any work on statutory holidays beyond the hours paid for and provided.

- The Company shall adhere to and implement any and all legislation with respect to on-call hours, etc.


Between:


And


RE: WORK WEEK PREFERENCE AREA

The company agrees to continue the current practice, whereby employees are provided the opportunity to choose, by seniority, their workweek schedules from those which are available. It is further understood that the foregoing shall not limit the Company's ability to manage its business in order to provide the highest level of service in the most efficient manner possible. In addition, employees shall communicate their preferred work area to management on an annual basis, one month post re-route. Work week bidding process will coincide with location re-routing and will be done in February each year.

Letter of Agreement #12

Between:


And


RE: Signing Of Letter of Agreements One (1) Through Twelve (12)

The parties agree by signing this Letter of Agreement that they are signing and agreeing to the following Letters of Agreement being part of the Collective Agreement between PepsiCo Beverages Canada and United Food and Commercial Workers Canada, Local 175 and are attached herein.

Letter of Agreement #1 Letter of Agreement #2 Letter of Agreement #3 Letter of Agreement #4 Letter of Agreement #5 Letter of Agreement #6 Letter of Agreement #7 Letter of Agreement #8 Letter of Agreement #9 Letter of Agreement #10 Letter of Agreement #11 Letter of Agreement #12

Grandfathered Salespersons Grandfathered Merchandisers Week-End Work Increase WSIB Form 7 Banked Overtime Skill Development Training Delivery Helper Roles Training and Education Fund Voluntary Severance Packages (VSP's) MEM Work Week and Preference Area Signing letter for all Letters of Understanding

SIGNED BY THE PARTIES ON THE 6-fA.~ ~dlol~

FOR THE COMPANY

I

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FOR THE UNION

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