Common use of OPERATIONAL CHANGES Clause in Contracts

OPERATIONAL CHANGES. 1. The Employer agrees that prior to any change in its operation that will result in a change of domicile, and which could result in a layoff of seniority employees, it shall notify the affected Local Union(s) in writing and then meet jointly with them to inform them of the changes and to resolve questions raised in connection with the change. If the parties are unable to reach agreement within thirty (30) days, the matter will be submitted to the Change of Operations procedure as described below: 2. Any agreed to change of operations reached by the Local Union(s) and the Employer shall be reduced to writing and filed with the National Grievance Panel. 3. If the Local Union(s) and the Employer are unable to reach agreement, the National Grievance Panel (through its appropriate subcommittee "the Committee") will resolve issues arising out of the proposed change of operations. The Committee will resolve issues involving seniority application, health and welfare, pension coverage and layoff questions for employees who are involved in the change. Such Committee, however, shall observe the Employer's right to designate domiciles and the operational requirements of the business. 4. The National Grievance Panel shall have full authority to set all terms, conditions and seniority of said movement of work. The movement of work will not be allowed until the National Grievance Panel has ruled on the case. Unless otherwise mutually agreed by the parties, the National Grievance Panel shall hear and rule on any such matter submitted to it at its next scheduled meeting, but in no event later than ninety (90) days following the Company's notice of the change of operations to the affected Local(s). The decision of the National Grievance Panel shall be final and binding. 5. The Committee which decides the issues, as described above, shall retain jurisdiction for a period of twelve (12) months following the change of operations decision to resolve any questions of interpretation or application (including issues of seniority) of the Committee's decision.. The decision of the Committee shall be final and binding. 6. Whenever a station is closed and the work is transferred to or absorbed by another station, the affected employees will be entitled to follow their work and their seniority shall be dovetailed at the new or expanding station. (a). Whenever a station is partially closed and the work of the drivers and all other regular employees, part-time and full-time is transferred to or absorbed by another station, the affected employees may either follow their work and have their seniority dovetailed in the new station or be allowed to exercise their seniority in their present station and displace the least senior employee in their respective classification. Those employees who follow the work shall have their seniority dovetailed in the new station. 7. As a result of the Employer moving an operation more than fifty (50) miles, all full-time and part-time employees in accordance with classification seniority who choose to move, will have their moving expenses paid. "Moving expenses" shall be defined as the reasonable cost of packing and the moving of household goods. The employee(s) who transfer will have ninety (90) days from the date of the change to move, unless the parties mutually agree to extend. Employee(s) who are transferred out of their original area where they are covered by a Teamster Pension and Health and Welfare Trust Fund into the jurisdiction of another pension and health and welfare trust fund, such employee(s) shall remain in their original pension and health and welfare trust fund, to the extent permitted by the Fund. In such event, the Employer agrees to pay the required pension and health and welfare contributions to the employee(s) original pension and health and welfare trust fund as set forth in the trust agreement, provided there is no conflict with any collective bargaining agreement and/or health and welfare or pension trust agreement 8. When stations or operations of two (2) or more companies are combined, the following general rules shall be applied by the Employer and the Local Unions, which general rules are subject to modification by mutual agreement of the parties. 8 (a) The active employee seniority rosters (excluding those employees on layoff) shall be "dovetailed" by appropriate classification in the order of each employee's full continuous classification seniority date that the employee is currently exercising. The active "dovetailed" seniority roster shall be utilized first until exhausted to provide employment at such terminals or operational locations. 9. In addition, the inactive seniority rosters (employees who are on layoff) shall be similarly "dovetailed" by appropriate classification. If additional employees are required after the active list is exhausted, they shall be recalled from such inactive seniority roster and after recall such employees shall be "dovetailed" into the active seniority roster with their continuous classification seniority dates they are currently exercising, which shall then be exercised for all purposes. 10. There shall be a maximum ninety (90) calendar day window period from the date of implementation in all Changes of Operations only when the number of positions offered at gaining stations does not equal the number of positions lost at the losing stations. To the extent applicable, such window period shall run concurrently with the twelve-month period set forth in Paragraph five (5). (a) Any opening which may occur at a gaining station during the window period shall be offered to those employees on the inactive list who were not offered transfer opportunity at the time the change of operations went into effect. 10(b). The window period established by the Change of Operations decision shall close if either of the following conditions is met: 1. The number of days and/or months of the window period as set forth in the Change of Operations decision have expired. 2. All employees on the inactive list have been offered work opportunities.

OPERATIONAL CHANGES. 1. The Employer agrees that prior to any change in its operation that will result in a change of domicile, and which could result in a layoff of seniority employees, it shall notify the affected Local Union(s) in writing and then meet jointly with them to inform them of the changes and to resolve questions raised in connection with the change. If the parties are unable to reach agreement within thirty (30) days, the matter will be submitted to the Change of Operations procedure as described below: 2. Any agreed to change of operations reached by the Local Union(s) and the Employer shall be reduced to writing and filed with the National Grievance Panel. 3. If the Local Union(s) and the Employer are unable to reach agreement, the National Grievance Panel (through its appropriate subcommittee "the Committee") will resolve issues arising out of the proposed change of operations. The Committee will resolve issues involving seniority application, health and welfare, pension coverage and layoff questions for employees who are involved in the change. Such Committee, however, shall observe the Employer's right to designate domiciles and the operational requirements of the business. 4. The National Grievance Panel shall have full authority to set all terms, conditions and seniority of said movement of work. The movement of work will not be allowed until the National Grievance Panel has ruled on the case. Unless otherwise mutually agreed by the parties, the National Grievance Panel shall hear and rule on any such matter submitted to it at its next scheduled meeting, but in no event later than ninety (90) days following the Company's notice of the change of operations to the affected Local(s). The decision of the National Grievance Panel shall be final and binding. 5. The Committee which decides the issues, as described above, shall retain jurisdiction for a period of twelve (12) months following the change of operations decision to resolve any questions of interpretation or application (including issues of seniority) of the Committee's decision.. . The decision of the Committee shall be final and binding. 6. Whenever a station is closed and the work is transferred to or absorbed by another station, the affected employees will be entitled to follow their work and their seniority shall be dovetailed at the new or expanding station. (a). Whenever a station is partially closed and the work of the drivers and all other regular employees, part-time and full-time is transferred to or absorbed by another station, the affected employees may either follow their work and have their seniority dovetailed in the new station or be allowed to exercise their seniority in their present station and displace the least senior employee in their respective classification. Those employees who follow the work shall have their seniority dovetailed in the new station. 7. As a result of the Employer moving an operation more than fifty (50) miles, all full-time and part-time employees in accordance with classification seniority who choose to move, will have their moving expenses paid. "Moving expenses" shall be defined as the reasonable cost of packing and the moving of household goods. The employee(s) who transfer will have ninety (90) days from the date of the change to move, unless the parties mutually agree to extend. Employee(s) who are transferred out of their original area where they are covered by a Teamster Pension and Health and Welfare Trust Fund into the jurisdiction of another pension and health and welfare trust fund, such employee(s) shall remain in their original pension and health and welfare trust fund, to the extent permitted by the Fund. In such event, the Employer agrees to pay the required pension and health and welfare contributions to the employee(s) original pension and health and welfare trust fund as set forth in the trust agreement, provided there is no conflict with any collective bargaining agreement and/or health and welfare or pension trust agreement 8. When stations or operations of two (2) or more companies are combined, the following general rules shall be applied by the Employer and the Local Unions, which general rules are subject to modification by mutual agreement of the parties. 8 (a) The active employee seniority rosters (excluding those employees on layoff) shall be "dovetailed" by appropriate classification in the order of each employee's full continuous classification seniority date that the employee is currently exercising. The active "dovetailed" seniority roster shall be utilized first until exhausted to provide employment at such terminals or operational locations. 9. In addition, the inactive seniority rosters (employees who are on layoff) shall be similarly "dovetailed" by appropriate classification. If additional employees are required after the active list is exhausted, they shall be recalled from such inactive seniority roster and after recall such employees shall be "dovetailed" into the active seniority roster with their continuous classification seniority dates they are currently exercising, which shall then be exercised for all purposes. 10. There shall be a maximum ninety (90) calendar day window period from the date of implementation in all Changes of Operations only when the number of positions offered at gaining stations does not equal the number of positions lost at the losing stations. To the extent applicable, such window period shall run concurrently with the twelve-month period set forth in Paragraph five (5). (a) Any opening which may occur at a gaining station during the window period shall be offered to those employees on the inactive list who were not offered transfer opportunity at the time the change of operations went into effect. 10(b). The window period established by the Change of Operations decision shall close if either of the following conditions is met: 1. The number of days and/or months of the window period as set forth in the Change of Operations decision have expired. 2. All employees on the inactive list have been offered work opportunities.

OPERATIONAL CHANGES. 1. The Employer agrees that prior to any change in its operation that will result in a change of domicile, and which could result in a layoff of seniority employees, it shall notify the affected Local Union(s) in writing and then meet jointly with them to inform them of the changes and to resolve questions raised in connection with the change. If the parties are unable to reach agreement within thirty (30) days, the matter will be submitted to the Change of Operations procedure as described below: 2. : Any agreed to change Change of operations Operations reached by the Local Union(s) and the Employer shall be reduced to writing and filed with the National Grievance Panel. 3. If the Local Union(s) and the Employer are unable to reach agreement, the National Grievance Panel (through its appropriate appro- priate subcommittee "“the Committee"”) will resolve issues arising out of the proposed change of operations. The Committee will resolve issues involving seniority application, health Health and welfareWelfare, pension Pension coverage and layoff questions for employees who are involved in the change. Such Committee, however, shall observe the Employer's ’s right to designate domiciles and the operational requirements of the business. 4. The National Grievance Panel shall have full authority to set all terms, conditions and seniority of said movement of work. The movement of work will not be allowed until the National Grievance Panel has ruled on the case. Unless otherwise mutually mutu- ally agreed by the parties, the National Grievance Panel shall hear and rule on any such matter submitted to it at its next scheduled meeting, but in no event later than ninety (90) days following the Company's ’s notice of the change of operations to the affected Local(s). The decision of the National Grievance Panel shall be final and binding. 5. The Committee which decides the issues, as described above, shall retain jurisdiction for a period of twelve (12) months following fol- lowing the change Change of operations Operations decision to resolve any questions ques- tions of interpretation or application (including issues of seniority) of the Committee's ’s decision.. . The decision of the Committee shall be final and binding. 6. Whenever a station is closed and the work is transferred to or absorbed by another station, the affected employees will be entitled to follow their work and their seniority shall be dovetailed dove- tailed at the new or expanding station. (a). Whenever a station is partially closed and the work of the drivers dri- vers and all other regular employees, part-time and full-time is transferred to or absorbed by another station, the affected employees may either follow their work and have their seniority dovetailed senior- ity “dovetailed” in the new station or be allowed to exercise their seniority in their present station and displace the least senior employee in their respective classification. Those employees who follow the work shall have their seniority dovetailed “dovetailed” in the new station. 7. As a result of the Employer moving an operation more than fifty (50) miles, all full-time and part-time employees in accordance with classification seniority who choose to move, will have their moving expenses paid. "“Moving expenses" ” shall be defined as the reasonable cost of packing and the moving of household goods. The employee(s) who transfer will have ninety (90) days from the date of the change to move, unless the parties mutually agree to extend. Employee(s) who are transferred out of their original area where they are covered by a Teamster Pension and Health and Welfare Trust Fund into the jurisdiction of another pension Pension and health Health and welfare trust fundWelfare Trust Fund, such employee(s) shall remain in their original pension Pension and health Health and welfare trust fundWelfare Trust Fund, to the extent permitted by the Fund. In such event, the Employer agrees to pay the required pension pen- sion and health and welfare contributions to the employee(s) original pension Pension and health Health and welfare trust fund Welfare Trust Fund as set forth in the trust agreementAgreement, provided there is no conflict with any collective bargaining agreement and/or health and welfare or pension trust agreement 8. When stations or operations of two (2) or more companies are combined, the following general rules shall be applied by the Employer and the Local Unions, which general rules are subject sub- ject to modification by mutual agreement of the parties. 8 (a) . The active employee seniority rosters (excluding those employees on layoff) shall be "“dovetailed" ” by appropriate classification in the order of each employee's ’s full continuous classification seniority date that the employee is currently exercising. The active "“dovetailed" ” seniority roster shall be utilized first until exhausted to provide employment at such terminals or operational locations. 9. In addition, the inactive seniority rosters (employees who are on layoff) shall be similarly "“dovetailed" ” by appropriate classificationclas- sification. If additional employees are required after the active list is exhausted, they shall be recalled from such inactive seniority roster and after recall such employees shall be "“dovetailed" ” into the active seniority roster with their continuous continu- ous classification seniority dates they are currently exercising, which shall then be exercised for all purposes. 10. There shall be a maximum ninety (90) calendar day window period from the date of implementation in all Changes of Operations only when the number of positions offered at gaining gain- ing stations does not equal the number of positions lost at the losing stations. To the extent applicable, such window period shall run concurrently with the twelve-month period set forth in Paragraph five (5). (a) . Any opening which may occur at a gaining station during the window period shall be offered to those employees on the inactive list who were not offered transfer opportunity at the time the change Change of operations Operations went into effect. 10(b). The window period established by the Change of Operations decision shall close if either of the following conditions is met: 1. The number of days and/or months of the window period as set forth in the Change of Operations decision have expired. 2. All employees on the inactive list have been offered work opportunities.

OPERATIONAL CHANGES. 1. + The Employer agrees that prior to any change in its operation that will result in a change of domicile, and which could result in a layoff of seniority employees, it shall notify the affected Local Union(s) in writing and then meet jointly with them to inform them of the changes and to resolve questions raised in connection with the change. If the parties are unable to reach agreement within thirty (30) days, the matter will be submitted to the Change of Operations procedure as described below: 2. : Any agreed to change of operations reached by the Local Union(s) and the Employer shall be reduced to writing and filed with the National Grievance Panel. 3Pane!. If the Local Union(s) and the Employer are unable to reach agreement, the National Grievance Panel (through its appropriate appro- priate subcommittee "the Committee") will resolve issues arising out of the proposed change of operations. The Committee will resolve issues involving seniority application, health and welfare, pension coverage and layoff questions for employees who are involved in the change. Such Committee, however, shall observe the Employer's right to designate domiciles and the operational requirements of the business. 4. The National Grievance Panel shall have full authority to set all terms, conditions and seniority of said movement of work. The movement of work will not be allowed until the National Grievance Panel has ruled on the case. Unless otherwise mutually mutu- ally agreed by the parties, the National Grievance Panel shall hear and rule on any such matter submitted to it at its next scheduled meeting, but in no event later than ninety (90) days following the Company's notice of the change of operations to the affected Local(s). The decision of the National Grievance Panel shall be final and binding. 5. The Committee which decides the issues, as described above, shall retain jurisdiction for a period of twelve (12) months following fol- lowing the change of operations decision to resolve any questions ques- tions of interpretation or application (including issues of seniority) of the Committee's decision.. . The decision of the Committee shall be final and binding. 6. Whenever a station is closed and the work is transferred to or absorbed by another station, the affected employees will be entitled to follow their work and their seniority shall be dovetailed dove- tailed at the new or expanding station. (a). Whenever a station is partially closed clost~d and the work of the drivers dri- vers and all other regular employees, part-time and full-time is transferred to or absorbed by another station, the affected employees may either follow their work and have their seniority dovetailed senior- ity "dovetailed" in the new station or be allowed to exercise their seniority in their present station and displace the least senior employee in their respective classification. Those employees who follow the work shall have their seniority dovetailed "dovetailed" in the new station. 7. As a result of the Employer moving an operation more than fifty (50) miles, all full-time and part-time employees in accordance with classification seniority who choose to move, will have their moving expenses paid. + "Moving expenses" shall be defined as the reasonable cost of packing and the moving of household goods. The employee(s) who transfer will have ninety (90) days from the date of the change to move, unless the parties mutually agree to extend. Employee(s) who are transferred out of their original area where they are covered by a Teamster Pension and Health and Welfare Trust Fund into the jurisdiction of another pension and health and welfare trust fund, such employee(s) shall remain in their original pension and health and welfare trust fund, to the extent permitted by the Fund. In such event, the Employer agrees to pay the required pension pen- sion and health and welfare contributions to the employee(s) original pension and health and welfare trust fund as set forth in the trust agreement, provided there is no conflict with any collective bargaining agreement and/or health Health and welfare Welfare or pension trust agreement 8Pension Trust Agreement. When stations or operations of two (2) or more companies are combined, the following general rules shall be applied by the Employer and the Local Unions, which general rules are subject sub- ject to modification by mutual agreement of the parties. 8 (a) . The active employee seniority rosters (excluding those employees on layoff) shall be "dovetailed" by appropriate classification in the order of each employee's full continuous classification seniority date that the employee is currently exercising. The active "dovetailed" seniority roster shall be utilized first until exhausted to provide employment at such terminals or operational locations. 9. In addition, the inactive theinactive seniority rosters (employees who are on layoff) shall be similarly "dovetailed" by appropriate classificationclas- '1635~0 DHL P&D 2/26/09 4:30 PM Page 5 sification. If additional employees are required after the active list is exhausted, they shall be recalled from such inactive seniority roster and after recall such employees shall be "dovetailed" into the active seniority roster with their continuous continu- ous classification seniority dates they are currently exercising, which shall then be exercised for all purposes. 10. . There shall be a maximum ninety (90) calendar day window period from the date of implementation in all Changes of Operations only when the number of positions offered at gaining gain- ing stations does not equal the number of positions lost at the losing stations. To the extent applicable, such window period shall run concurrently with the twelve-month (12) period set forth in Paragraph five (5). (a) . Any opening which may occur at a gaining station during the window period shall be offered to those employees on the inactive list who were not offered transfer opportunity at the time the change of operations went into effect. 10(b). The window period established by the Change of Operations decision shall close if either of the following conditions is met:: + 1. The number of days and/or months of the window period as set forth in the Change of Operations decision have expired. 2. All employees on the inactive list have been offered work opportunities. Intent of Parties: The parties acknowledge and agree that with respect to those issues falling under this Change of Operations procedure, the application of this section will fully satisfy the Employer's statutory obligation to "effects bargain" with the Union concerning any such change in its operation.