Common use of VCP Clause in Contracts

VCP. In support of the purposes of this Agreement in Article 1, a Variable Compensation Plan is provided as outlined below to recognize performance achievement with enhanced compensation. The VCP covers all bargaining unit employees equally. The VCP cannot be cancelled. The VCP Plan is not arbitrable except where the Employer is alleged to have discriminated against the bargaining unit in its assessment of the targets under the Plan. Where the union makes such an allegation, the company will have the onus of meeting with the union and will explain its rationale and provide documents relevant to the decision. The primary objective and design of the VCP will be to provide incentive based compensation for continuous improvement in health and safety, customer satisfaction, production and financial results. The VCP Target Rate will be 10.0%. The design of the VCP will require that payouts may range from 0 to 2 times the VCP Target Rate based on the level of results achieved against targets. Every employee is eligible to participate and individual VCP payment will be based upon hours worked within the calendar year subject to the following exclusions: New employees will not participate in respect of the first 520 hours worked; An employee whose employment ends with less than two (2) years of service shall not been entitled to receive any unpaid VCP; An employee who has worked in excess of two (2) years and who resigns or retires from employment with at least two (2) weeks of notice shall be entitled to VCP as shall the estate of any such employee who dies.

VCP. In support of the purposes of this Agreement in Article 1, a Variable Compensation Plan is provided as outlined below to recognize performance achievement with enhanced compensation. The VCP covers all bargaining unit employees equally. The VCP cannot be cancelled. The VCP Plan is not arbitrable except where the Employer is alleged to have discriminated against the bargaining unit in its assessment of the targets under the Plan. Where the union makes such an allegation, the company will have the onus of meeting with the union and will explain its rationale and provide documents relevant to the decision. The primary objective and design of the VCP will be to provide incentive based compensation for continuous improvement in health and safety, customer satisfaction, production and financial results. The VCP Target Rate will be 10.08.5%. The design of the VCP will require that payouts may range from 0 to 2 times the VCP Target Rate based on the level of results achieved against targets. Every employee is eligible to participate and individual VCP payment will be based upon hours worked within the calendar year subject to the following exclusions: New employees will not participate in respect of the first 520 hours worked; An employee whose employment ends with less than two (2) years of service shall not been entitled to receive any unpaid VCP; An employee who has worked in excess of two (2) years and who resigns or retires from employment with at least two (2) weeks of notice shall be entitled to VCP as shall the estate of any such employee who dies.