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1997-005-Approving Memorandum Of Understanding Between The Town And AFSCME Local 101RESOLUTION 1997 - 5 RESOLUTION OF THE TOWN OF LOS GATOS APPROVING MEMORANDUM OF UNDERSTANDING BETWEEN THE TOWN OF LOS GATOS AND AFSCME LOCAL 101 RESOLVED, by the Town Council of the Town of Los Gatos, County of Santa Clara, State of California, that the Town Manager is authorized to sign the Memorandum of Understanding on behalf of the Town of Los Gatos. PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Los Gatos, California, held on the 21st day of January, 1997 by the following vote: COUNCIL MEMBERS: AYES: Randy Attaway, Steven Blanton, Jan Hutchins, Linda Lubeck Mayor Joanne Benjamin. NAYES: None ABSENT: None ABSTAIN: None SIGNED:=t MAYOR OF THE TO O LOS GATOS LOS GATOS, CALIFORNIA ATTEST: CLERK OF THE TOWN OF LO GATOS LOS GATOS, CALIFORNIA ML.._ORANDUM OF UNDERSTANDING BETWEEN THE TOWN OF LOS GATOS AND AFSCME LOCAL 101, CORPORATION YARD UNIT towN ERR AGR: THIS AGREEMENT, SIGNED ON FEBRUARY 4, 1997, IS ENTERED INTO AS OF JULY 1, 1996 BETWEEN THE TOWN OF LOS GATOS, HEREINAFTER REFERRED TO AS THE "TOWN ", AND AFSCME LOCAL 101, LOS GATOS CHAPTER, CORPORATION YARD UNIT, HEREINAFTER REFERRED TO AS "UNION ". Pursuant to Town Resolution 1974 -41 of the Town of Los Gatos and Section 3500 et. seq. of the Government Code, the duly authorized representatives of the Town and AFSCME, having met and conferred in good faith concerning the issues of wages, hours, and terms and conditions of employment, as herein set forth, declare their agreement to the provisions of this Memorandum of Understanding. FOR 1HE TOWN: James W,-,Piper Ass' nt Town Manager Y C/ Michael La Rocca Town Negoffang Team Town Negotiating Team FOR AFSCME: Smith 2 , t_ �'– —� Union Negotiating Team Tim Cash Union Negotiating Team Robert Moulden Union Negotiating Team Ci :L Union Negotiating Team Town Negotiating Team ATTEST: ,^ MARIAN' ., ~ SGROVE TOWN CL Ei K AFSCME LOCAL 101, CORPORATION YARD UNIT TABLE OF CONTENTS Section Lik Page 1. Purpose .......................................... 1 2. Term 1 3. Union Rights ....................................... 1 4. Union Membership and Payroll Deductions ................... 2 5. Management Rights ................................... 2 6. Town Employer - Employee Relations Resolution ............... 3 7. Affirmative Action 3 8. Non - Discrimination 3 9. Compensation ........ ..............................3 to. Out-of-Classficiation Pay ............................... 4 it. Payroll Practices ..................................... 4 12. PERS Benefits 5 13. Insurance Programs and Rate of Town Contribution .............. 5 14. Family Medical Insurance Premiums ........................ 6 15. Cash Allocation Plan 6 16, Flexible Spending Account .............................. 6 17. Deferred Compensation ................................ 6 18. Uniforms 7 19. Mileage .......................................... 8 20. Work Schedule 8 21. Overtime ......................................... 10 22. Call Back 11 23. Standby .......................................... 11 24. Emergency Work .................................... 12 25. Vacation Schedule .................................... 12 26. Vacation Checks ..................................... 12 27. Vacation and Compensatory Time Cash-out ................... 13 28. Sick Leave ........................................ 13 29. Holidays .......................................... 14 30. Personal Leave ...................................... 14 31. Maternity Leave/Family Leave/Medical Leave ................. 15 32. Catastrophic Time Bank ................................ 15 33. Bereavement Leave ................................... 15 34. Military Leave ...................................... 15 35. Personal Emergency Leave .............................. 15 36. Jury Duty ......................................... 15 37. Leave Without Pay ................................... 16 38. Accrual of Benefits ................................... 16 39. Notice of Vacancies .................................. 16 40. Promotions ........................................ 16 41. Probationary Period .................................. 16 42. Outside Employment .................................. 17 43. Attendance ........................................ 17 44. Personnel Files ...................................... 17 12� LE OF CONTENTS - Continued 45. Performance Evaluations ............................... 17 46. Seniority ........... ............................... 18 47. Layoff Policy ........ ............................... 19 48. Contracting Out ...... ............................... 20 49. Safety Committee ..... ............................... 20 50. Safety ............... .............................20 51. Physical Examinations and Tests .......................... 20 52. Workers' Compensation . ............................... 20 53. Grievance Procedure ... ............................... 21 54. Comprehensiveness of Agreement ......................... 22 55. Bonus Pool ......... ............................... 22 56. Labor - Management Committee ........................... 22 APPENDICES A. Scope of Representation . ............................... A -1 B. Salary Schedule (Classification and Salary Rnages) ............... B -1 C. Bi- weekly Salary Schedule .............................. C -1 Purpose The Town and the Union agree that the purpose of this Memorandum of Understanding is to promote and provide harmonious relations, cooperation, and understanding between the Town and the employees represented by the Union; to provide an orderly and equitable means of resolving disputes that may arise concerning this Agreement; and to set forth the full agreements of the parties reached as a result of meeting and conferring in good faith regarding matters within the scope of representation pursuant to the State Government Code and the Town Employer- Employee Relations Resolution. 2. Term The term of this agreement shall be for two (2) years commencing on July 1, 1996 and terminating on June 30, 1998. Union Rights a. Advance Notice Except in cases of emergency as provided in this subsection the Union, if affected, shall be given reasonable advance written notice of any ordinance, resolution, rule or regulation directly relating to matters within the scope of representation proposed to be adopted by the Town and shall be given the opportunity to meet with the appropriate management representatives prior to adoption. In cases of emergency when the foregoing procedure is not practical or in the best public interest, the Town may adopt or put into practice immediately such measures as are required. At the earliest practicable date thereafter the Union shall be provided with the notice described in the preceding paragraph and be given an opportunity to meet with the appropriate management representatives. The Union shall timely raise any issues arising under this subsection. b. No Discrimination The Town and Union agree that neither will discriminate in any way against employees covered by this Agreement because of their membership and /or activities on behalf of the Union. C. Stewards The Town agrees to recognize two (2) duly appointed Union Stewards and two (2) duly appointed alternate Stewards for purposes of Union representation. The Union shall provide the Town with a list of those duly appointed individuals. The Steward or Union Officer shall distribute to all new unit employees material(s) furnished for such purpose by the Union. d. Representation Upon request of an employee covered by this Agreement, the Steward and /or Union representative shall be present during meetings which the employee reasonably anticipates will involve that individual employee in disciplinary matters. To the extent possible, disciplinary and grievance matters affecting employees shall be considered during normal working hours and with pay. e. Access to Premise The designated Union business representative, for performance of official duties, shall not be denied access to Town premises subject to that representative first advising Town management that he /she is on the premises and subject to not interfering with the work duties of Town employees. f. Bulletin Boards and-Union Literature The Union shall have the right to use the Corporation Yard Bulletin Board and employee mailboxes for posting and distribution of Union materials. 4. Union Membership and Payroll Deductions Every employee shall become a member of the Union or pay to the Union a service fee in an amount that shall not exceed membership dues. Any employee may sign and deliver to the Town an authorization for payroll deduction of membership dues or service fee. The Town agrees to remit to the Union all monies deducted accompanied by a list of workers for whom such deductions have been made and indicating any changes in personnel from the list previously furnished. Upon the written request of the Union, the Town will deduct the amount of the service fee from the paycheck of any employee who has not authorized a payroll deduction of membership dues or service fee. The Union shall certify in writing to the Town any changes in the amount of membership dues or service fee. The Union shall indemnify and hold harmless the Town of any claim made and against any lawsuit instituted against the Town as a result of the implementation of Section 4. 5. Management Rights The Union recognizes that the rights of the Town include, but are not limited to, the exclusive right to determine the mission of its constituent departments, commissions and boards; set the standards of service; determine the procedures and standards of selection for employment and promotion; direct its employees; take disciplinary action; relieve its employees from duty because of lack of work or other legitimate reasons; maintain the efficiency of governmental operations; determine the methods, means, and personnel by 2 which government operations are to be conducted; determine the content of job classifications; take all necessary action to determine when an emergency exists and to carry out its mission in emergencies including the requirement that employees work overtime; and exercise complete control and discretion over its organization and the technology of performing its work. 6. Town Employer - Employee Relations Resolution The Union and the Town recognize the existing language in Town Resolution 1974 -41 as it governs all aspects of labor relations in the Town. Any changes in Resolution 1974 -41 which apply to AFSCME Local 101 will be made after meeting and consulting with the Union. 7. Affirmative Action The Union and Town support both affirmative action and equal employment opportunity programs. 8. Non - Discrimination The Town and Union agree that all provisions of this Agreement shall be applied equally to all employees covered herein without favor or discrimination because of race, creed, color, sex, age, national origin, political or religious affiliation, Union membership or activity on behalf of the Union, marital status, sexual orientation, or physical or mental condition. a. General Provisions Regarding Americans With Disabilities Act 1. Because the ADA requires accommodations for individuals protected under the Act, the Union recognizes the Town's obligation to comply with all provisions of the ADA on a case by case basis. 2. The Union recognizes that the Town has the legal obligation to meet with the individual employee to be accommodated before any adjustment is made in working conditions. The Union will be notified of these proposed accommodations prior to implementation by the Town. 3. Any accommodation provided to an individual protected by the ADA shall not establish a past practice. 9. Compensation Compensation for classifications covered by this Agreement shall be as set forth in Appendices B and C, incorporated herein and attached hereto. 3 10. Out -of- Classification ay The Town and the Union agree that it is the intent of Town management, whenever possible, to avoid working an employee out of classification for a prolonged period of time. It is further agreed that an employee assigned to work out -of- classification shall be compensated from the first day of the out -of- classification assignment. Out -of- classification pay shall be a minimum of two ranges, approximately five percent (5 %), above the employee's regular salary; or the lowest rate of the higher classification, whichever is greater. Training programs mutually agreed to by the Town and the Union which are designed to enhance and /or provide career development opportunities shall not be subject to this provision. Any employee who believes they are working out of classification may request a review of their classification. 11. Payroll Practices a. Payroll Periods and Availability of Checks The Town and the Union agree that a biweekly payroll period will be used and all Town employees shall be compensated on a biweekly basis. Employee pay shall not be withheld more than seven (7) days following end of payroll period; however, overtime may appear on the next payroll period if it is worked following the submittal of time sheets, or during a pay period with a Town holiday which requires early submittal of time sheets and early distribution (before Friday) of paychecks. This may also occur at the end of the fiscal and calendar year. Every effort will be made to make paychecks available to employees as soon as checks are signed and ready for distribution; and b. Automatic Deposit The Town shall provide an optional automatic check deposit system for use by employees at a local (Los Gatos) financial institution. The automatic check deposit at Commonwealth Credit Union shall continue to be available to all employees. C. Deduction and Accrual Information Payroll deductions and leave balances shall appear on paychecks and be current to the latest payroll period. Cl 12. 1191 PERS Benefits a. 2% at 5 The Town shall provide and maintain the 2 % at 55 PERS retirement benefit. b. Military Service Purchase The Town shall permit employees to purchase PERS credit for military service time. Insurance Programs and Rate of Town Contribution a. Dental - The Town will provide payment of family dental premiums for Delta Dental Plan. b. Medical - Effective August 1, 1991, the Town will provide a choice of coverage under the Public Employee's Retirement System Health Benefits Medical Program. c. Life - Coverage of $50,000 plus $50,000 Accidental Death; Town to pay full premium. Additional life insurance may be purchased by the employee equal to once or twice the employee's base salary, not to exceed $200,000. d. Disability -Short Term Disability Policy effective 8th calendar day; with coverage of 60% weekly earnings up to maximum of $1,155 /week for 12 weeks. Long Term Disability benefits begin on the 91st day of disability; coverage of 60% of monthly earnings up to a maximum of $5,000 /month. e. Vision - The Town to provide up to $120.00 per family for annual reimbursement for the cost of eye glasses, frames, eye exams, contact lenses and related expenses. This program will apply to the employee and immediate family (spouse and unmarried children under the age of 19 who are living at home, or under 23 years of age and full -time students). Employees shall use any medical coverage provided by their medical carrier prior to requesting Town reimbursement. Amounts not used from the reimbursement account shall not be carried forward beyond the fiscal year ending June 30 of any year. Effective January 26, 1997, this program shall be discontinued, and the annual benefit amount shall be converted to base salaries as reflected in Appendices B and C attached hereto and made a part hereof. f. Employee Assistance Program - Premium to be paid by the Town. Town to provide paid release time for periodic training related to the employee assistance program with such training to be mandatory and the 5 14. 15. 16. IVA topics iv be selected by the Town. g. Unemployment Insurance - Unemployment insurance to be provided by the Town. Family Medical Insurance Premiums In lieu of the Cash Allocation Plan (Section 15) the Town will provide payment of medical insurance premiums equal to the cost of Kaiser North Family Medical insurance program offered by the Public Employees Retirement System Health Benefit Medical Program. The determination as to whether this benefit is provided must be made on an individual basis upon employment with the Town and during the Town's open enrollment period of each year thereafter. Employees opting for this medical insurance coverage will not participate in the Cash Allocation Plan. Cash Allocation Plan In lieu of the Family Medical Insurance Premium Plan (Section 14) the Town will provide an allocation per employee of $5,050.32 per year ($420.86 per month). Allocation shall be made for individual positions based on the Position and Classification Plan. Full -time employees shall receive 100% of the Cash Allocation Plan, part-time employees shall receive 75 %, half -time employees shall receive 50 %. There will be an annual 30 day open enrollment period which will normally be during October of each year. a. Taxable Benefit Any portion of the cash allocation may be taken as a taxable cash option. The cash option shall be paid in two equal amounts in December and June. This will be paid in the regular paycheck. b. Pre -Tax Benefits Pre -tax benefits available in the program are medical and dental insurance. C. Deferred Compensation (457) Plan Any portion of the cash allocation may be placed with the Town's approved deferred compensation carrier. Flexible Spending Account The Town will provide a Flexible Spending Account (FSA) Program. This program will be in accordance with Section 125 of the IRS code. This program shall be eliminated at such time as there is concurrence from the other employee Town organizations. Deferred Compensation The Town shall continue to make a Deferred Compensation program available to 31 employees. The Town .nakes no representation on the merit of Lne plan nor any of the investment products or instruments which may be offered by the plan. The responsibility for evaluating the investment options within the plan is the responsibility of the individual participant. The Town shall not be obligated to offer more than one Deferred Compensation carrier. 18. Uniforms a. Uniform Allowance Effective January 1, 1995, uniform allowance will be increased to $300 per year. Newly hired employees shall receive a prorated uniform allowance during their first year of employment, except that employees hired after July 1 of the year shall receive a minimum of 50% of the first year's allowance. The uniform allowance payment shall be paid in the same paycheck . Effective January 1, 1997, the uniform allowance shall be increased to $320, and shall be administered as follows: 1. Effective as soon as practicable after January 1, 1997, each employee shall receive $160 as a lump -sum uniform allowance. Employees hired between January 1, 1997 and June 29, 1997, shall receive a pro -rata portion of this sum. 2. Effective June 29, 1997, the uniform allowance, valued at $320 per year or $12.31 per bi- weekly pay period, shall be converted and added to base wages; such addition shall occur before the calculation of the wage increase to be effective that date. The resulting total wage figure is reflected in Appendices B and C, incorporated herein and attached hereto. Of each salary listed in Appendix C, for June 29, 1997, the base figure of $12.74 per pay period, and is increased in subsequent agreements by increases to base wages, shall be attributable to employee uniform cost. b. Other Uniform Items The Town will supply employees with orange or blue uniform shirts with a Town patch. The Town shall also supply five orange or blue tee shirts with a Town logo per year to employees who want them; tee shirts with Town logo shall constitute alternate proper uniform. The Town shall also supply coveralls to Mechanic staff. The Town shall be responsible for the maintenance and laundering of the uniform shirts for those who wear them, and for the maintenance and laundering of the coveralls for Mechanic staff. The Union recognizes the Town's right to specify a uniform and require that employees be in proper uniform at all times. Employees who choose to supply their own orange or blue tee shirts shall have them approved by the Director. The provisions in this paragraph shall not affect or reduce salary or that portion of salary that is attributable to uniform costs. C. Safetyyquipment 7 The Town shall continue to provide work - related safety equipment to employees (per Town approved list); employees shall be responsible for the maintenance and care of that equipment. 19. Mileage Employees who are required to use personal vehicles in the conduct of official Town business shall be compensated at the rate in effect for the State of California and shall be automatically adjusted in accordance with that rate on July 1 of each year, except that the rate shall not exceed the IRS limit for reportable income. At the time of execution of this agreement, the rate was 24 cents per mile. 20. Work Schedule a. Standard Work Day The standard workday shall be 8.5 consecutive hours including a 15- minute morning and a 15- minute afternoon work break, and a forty (40) minute lunch break, which shall include any wash -up time. The standard workday shall begin at 7:00 AM and end at 3:30 PM, the last ten (10) minutes of which shall be available for wash -up time. Minimum seventy-two (72) hours notice will be provided by the Town for non- emergency changes in schedule. b. Use of Town Vehicle An employee whose lunch or break period begins at a work location other than the Corporation Yard may use the job site Town vehicle to go to lunch or obtain food. Travel time in connection with this privilege shall not extend the lunch period beyond the forty (40) minutes including wash -up time, nor extend the break period beyond fifteen (15) minutes. c. Early Start Pay Non - overtime work begun prior to 5:00 AM shall receive additional compensation of $8.50. Non - overtime work begun between 5:00 AM and 6:59 AM shall receive additional compensation of $7.50. d. Parks Summer Schedule Parks Department employees who work the summer ten (10) day schedule shall be compensated at the rate of 1.50 hours for each hour of work on Saturday and Sunday. To the extent possible, the Town shall assign the summer ten (10) day schedule on a rotational basis. Parks personnel on the 10/4 plan will not take home vehicles on weekends. e. Special Events H As related to work during special events, the Town will prepare a list of special events annually to be updated monthly as information becomes available. In making assignments to work, volunteers will be used first. In the absence of volunteers, assignments to work can be made on a reverse seniority basis. The list shall rotate. f. Work Week 1. The Town has no intention of changing existing work weeks at the present time. 2. Management's decision to change existing work weeks will involve but not be limited to the following considerations: a. Failure to meet the performance objectives of the work unit. b. Change in service level. 3. Prior to a change in work week (except in the event of an emergency) the Town will give a minimum two weeks notice to affected employees. Further, the Town agrees to meet in good faith to attempt to resolve any hardships caused by a change in work week. g. 4 -10 Proposal for Vehicle Maintenance Shop The Town agrees to maintain a 4/10 (4 day per week/10 hours per day) plan for the vehicle maintenance shop as long as Monday and Friday in each workweek can be covered by a mechanic. In addition, this program shall be evaluated quarterly to determine if productivity and coverage meet the Town's repair needs. This will determine if the program will continue. h. Work Schedule and Holidays 1. When Holiday is Taken Off Employees will receive eight hours of regular pay when scheduled to have the holiday off (8 hours total). If the employee's scheduled day off falls on a recognized Town holiday the employee will receive eight hours of holiday pay and eight hours of straight time pay (16 hours total). 2. Work on A Holies Employees who are scheduled to work on a holiday, recognized in the MOU, will be compensated as follows: A. On Work Day - If the holiday falls on a normally scheduled 9 workday, the employee will receive eight nours of holiday pay and time and one -half for the hours actually worked on the holiday (20 hours total). B. On Day Off - If the holiday falls on a normally scheduled day off and the employee is required to work, the employee will receive eight hours of holiday pay and eight hours of straight time plus time and one -half for the hours actually worked on the holiday (28 hours total). Holidays Observed - Holiday compensation of any form shall only be paid on holidays observed under Section 29 - Holidays. Employees will only be paid for one of the following: If the designated holiday falls on Saturday, compensation or actual time off would be earned /taken on Friday. If holiday falls on Sunday, compensation or actual time off would be earned /taken on Monday. 21. Overtime a. Schedulin¢ - All overtime will be scheduled pursuant to the needs of the Town. Overtime in the same classification shall be scheduled using a list of all employees in that classification and offered by rotation, provided the individual is capable of performing the assignment. In the absence of volunteers, the Town shall assign overtime. Compensation - Overtime shall be compensated at the rate of time and one -half based upon either hours in excess of eight (8) per day or hours in excess of forty (40) per week. Overtime work shall accumulate or be paid off at the employee's option subject to the scheduling needs of the Town. Parks department employees who work the summer ten (10) day plan may accumulate compensatory time off or request pay in conjunction with the 4 days normally scheduled off on the 10/4 program. The maximum accrued compensatory time accumulation shall be sixty (60) hours. C. Compensatory Time Use of compensatory time will be at the Town's discretion based on scheduling needs. The Town shall, to the best of its ability and subject to scheduling needs of the Town, make every effort to accommodate employee requests for compensatory time off. [I] d. Ca - u Voluntary compensatory time cash -out will be allowed on accruals to the end of November each year. Payment of any cash -out will be included in the first payroll check in December. The employee may apply compensatory time cash -out to Deferred Compensation, so long as applicable law permits. 22. Call Back Call back is defined as Town required return to work after an employee has completed his /her normal work day and before his /her next scheduled normal workday. The normal work day shall be scheduled solely at the discretion of the Town. Minimum call -back shall be three (3) hours at the overtime rate with such three -hour period defined beginning with the time of the initial call and concluding thirty (30) minutes after the employee calls in to the Police Department dispatcher that the assignment has been completed. A subsequent call -back shall be considered to be within the initial call- back if the employee is notified within the original three -hour period. If two hours and forty-five minutes of the original three -hour period expires before the employee is notified, then a new three -hour minimum shall go into effect. This section also applies to employees on stand -by duty as provided in Section 23. An employee notified of overtime that is not contiguous to his /her shift less than 72 hours in advance will be paid at the call back rate. 23. Standby a. Assignment and Scheduling - The Union recognizes the Town right to schedule standby assignments for employees at Town discretion. Standby assignments shall be made in order to provide services outside the regular work schedule. Standby assignments shall first be made on a volunteer basis; in the absence of volunteers, the Town shall schedule standby. To the best of its ability, the Town shall schedule standby assignments as far in advance as possible. The Union recognizes the need for standby provision of services and further recognizes that employee failure to respond when assigned standby duty may be cause for disciplinary action including termination. b. Compensation - Standby assignments shall be compensated at the rate of four (4) hours straight time pay for every twenty-four (24) hours of assignment. Assignments of standby duty for more or less than twenty-four (24) hours shall be compensated on a pro -rated basis (4 hours for each 24 hours). Specific call out of employees on standby assignments shall be compensated at the regular overtime rate. Town shall provide vehicle and "beeper" to employees on standby assignment. 11 R,I 25 26. C. El' ili - Empioyees who can respond within a reasonaute time period (i.e., 40 minutes on average) shall be eligible for standby duty regardless of where they reside. The Department Head shall qualify employees for standby duty by ascertaining that travel to standby assignments can be accomplished safely. An employee who meets the above requirement, and whose work would not normally involve assignment to standby duty, may volunteer for such duty and will be assigned to the list of volunteer employees from which standby duty is assigned, at such time as he /she has received the necessary training in standby duties and skills. It is the intent of the parties that employees be notified by the Department as soon as possible after the execution of this Agreement that new volunteers will be accepted for training together with information for potential volunteers. If there are volunteers, the Labor - Management Committee shall be convened to discuss implementation of the appropriate training at the earliest practicable date. Stand -By Training - The Town will provide additional training in stand -by duties for newly hired Public Works employees during their first year of employment, who are not assigned to the Sewer Department. Emergency Work In the event that emergency work should mandate that employee work during regular meal hours, time taken by employees and scheduled by the Town for meal period shall be considered as compensated time. Vacation Schedule The following vacation schedule shall apply to all employees: Month of Employment 0 to 36 months 37 to 60 months 61 to 120 months 121 to 180 months 181 months and over Accrual Rate 10 days per year - 3.08 hours per pay period 16 days per year - 4.92 hours per pay period 21 days per year - 6.46 hours per pay period 23 days per year - 7.08 hours per pay period 25 days per year - 7.70 hours per pay period Maximum accrual of vacation hours shall be 384 hours. Effective June 30, 1998, the maximum accrual of vacation hours shall be 320 hours; by that date, accrued hours in excess of that figure must have been used, or these hours shall be paid to the employee in the following payroll check. Vacation Checks At the employee's request, the Town will advance the employee's vacation pay that has already been accrued to the employee and provide payment for same on the last payroll check prior to the employee's vacation. The Employee will be advanced vacation earnings equal to the amount of vacation time utilized if the Town receives thirty (30) days notice in advance of the payroll period in which the vacation pay would be received. 12 27. Vacation and Compen a ory Time Cash -out Employees who terminate from Town service shall have all accrued vacation leave and compensatory time cashed out effective the last full work -day with the Town. This will terminate the employee's status as an employee of the Town. All represented employees will be eligible to cash out 100% of accrued vacation and compensatory time twice per year in May and November. Such monies will be included in the first payroll check of June and December. Employees may apply vacation and /or compensatory time cash -out to Deferred Compensation, so long as applicable law permits. 28. Sick Leave a. Accrual Rate Accumulation rate shall be eight (8) hours per month (3.70 hours per pay period). Maximum accrual of sick leave hours shall be 1200 hours. Effective January 26, 1997, the maximum accrual of sick leave hours shall be 1000 hours, except that employees who, on that date, had accrued sick leave balances greater than 1000 hours shall be permitted to retain all hours accrued for use or conversion at retirement, but shall not accrue further hours until their accrued hours are below the 1000 hour ceiling. b. Sick Leave and Other Accrued Leaves When an employee is absent for any of the purposes for which sick leave may be used, he /she may use other accrued leaves when sick leave has been exhausted, unless he /she has received a second consecutive written notice of counseling within an eighteen month period regarding excessive or abusive use of sick leave. C. Sick Leave Cash -Out Program Employees who terminate employment with the Town for any reason other than retirement may cash out their accumulated sick leave as follows: Months of Employment 1- 59 months at 25% 60 - 119 months at 37.5 % 120 months or more at 50% If an employee is terminated due to a layoff, the employee shall be eligible to cash out 100% of accrued sick leave at time of layoff. In order to be eligible for the terminating sick leave cash -out program, an employee must have a sick leave accrual balance of at least 150 hours at the time of termination. Employees who terminate employment with the Town after a prolonged period of illness or injury, may apply to the Town Manager for a waiver of the 150 hours requirement. 13 d. Sick Leave Conversion at Retirement - All employees who retire may convert 100% of this accumulated sick leave to a dollar equivalent at their hourly rate of pay at the time of retirement. This amount shall be held in an account. The employee's portion of medical insurance premium payment will be withheld from their monthly retirement payment by PERS. The Town agrees to pay the retiree quarterly in advance on the first pay period of January, April, July, and October of each year after retirement. The first payment will be prorated to the nearest quarter. The retiree's portion of medical payments will be paid from this account by the Town until all monies are depleted from the account or the retiree dies, whichever occurs first. This account will not accrue interest and will not be paid in cash to the retiree or any beneficiaries, except that upon the death of a retiree whose sick leave account has not been exhausted, the retiree's spousal survivor shall be paid the full cash value of the remaining sick leave in the retiree's account. The retiree shall be responsible for 100% of their share of future medical insurance payments once the account is exhausted. 29. Holidays The following shall be observed as paid holidays for employees represented by the Union: January 1st. 3rd Monday in January. the 3rd Monday in February. the last Monday in May. July 4th the first Monday in September. Thanksgiving Day. the Friday following Thanksgiving Day. December 25th. four (4) hours each on December 24 and December 31. every day declared a holiday by the President or Governor, subject to the Mayor also proclaiming the day as a holiday Holidays which fall on Saturday shall be observed on the Friday prior, and holidays which fall on Sunday shall be observed on the following Monday. 30. Personal Leave The employee shall be entitled to twenty -four (24) hours per calendar year; such leave shall be non - cumulative; with no cash value. Of the twenty -four (24) hours annually, the employee may take twelve (12) hours without prior notice and twelve (12) hours with prior notice. If an employee's use of Personal Leave without prior notice results in the Town having to change another employee's schedule without 72 hours' notice, the situation will be considered an emergency under Section 20 (Work Schedule) and will not result in penalty to the Town. 14 31 32. 01 ME 35. 36. Maternity Leave /Family Leave /Medical Leave The Town recognizes that State Government Code 12945 requires the recognition of maternity as a bona fide non job related disability with applicable leave benefits. The Town also recognizes State Government Code 12945.2 and amendment of Chapter 827 and Federal Government Code 29 regarding Family and Medical Leave. The Town will take action to inform employees of the current provisions of laws affecting these leaves. The Town may, at its discretion, approve leave beyond the specific amount provided above. Catastrophic Time Bank If an employee, spouse or significant other, or employee's child becomes catastrophically ill or injured the employee may request in writing of the Town Manager that a catastrophic time bank be established. The bank will enable other employees to donate accrued CTO, holiday, vacation, or sick leave to the requesting employee in accordance with Departmental policies to be developed. Bereavement Leave Maximum of five (5) paid days for death in immediate family -- immediate family includes parent, grandparent, child, spouse, sibling, by blood or marriage, and relatives by blood or by marriage living at the same address as the employee. Military Leave Military leave and benefits shall be granted in accordance with State and Federal Law, including the continuation of employee salary and benefits and employees will receive up to thirty (30) calendar days of pay. Personal Emergency Leave Leave will be available for employees for disasters declared by Federal, State, County, or Town officials if those disasters affect all or a portion of the Town "urban service area ". Leave subject to scheduling by the Town. Employees shall be allowed to charge time off to accumulated overtime, vacation hours, and sick leave hours (in that order). In the event of a Town emergency (e.g., flood, earthquake) employees are required to remain at work until released by their Supervisor. Jury Duty An employee required to serve as a trial juror or an expert witness (expertise related to Town employment) shall have his /her salary and benefits continued; the employee shall turn over to the Town any compensation (other than travel related) from the courts or other source for jury duty. 15 37. Leave Without Pay Leave without pay shall be subject to approval of the Town Manager. An employee who is on leave without pay shall not earn any employment benefits (including, but not limited to such benefits as vacation sick leave, medical benefits, dental and other insurance benefits, retirement credits for time employed or seniority entitlements of any kind) for the duration of such leave. An employee who is on leave without pay will have the ability to continue medical and dental coverage at their own expense in accordance with the Town's administrative policy on benefit retention. Vacation, sick leave, or time worked shall not be used intermittently during an extended leave to interrupt a determination that an employee is on leave with no pay. 38. Accrual of Benefit There shall be no accrual of benefits during unauthorized leave, suspension, or leave without pay. 39. Notice of Vacancies Town job vacancies shall be posted on the Corporation Yard Bulletin Board for the duration of the recruitment period. 40. Promotions Subject to the needs of the Town, promotional examinations shall be used whenever possible to fill vacancies in the Town service. Employees promoted to higher paying classifications shall receive a minimum of a 2 range, approximately five (5 %) percent, increase in salary which salary shall not exceed the highest step in the range of the higher classification. 41. Probationary Period The probationary period shall be twelve (12) months for all newly hired employees and six (6) months for employees receiving promotions. If at the end of a six month probationary period a promoted employee who has been routinely evaluated, trained and counseled is not meeting required performance standards, then the Town may extend the probationary period in three month increments, for a total maximum probationary period of 12 months. An employee who is rejected during a promotional probation period, shall have the right to return to his /her former classification, and the same right shall apply to an employee who is displaced as a result of such return, provided, however, that no such right shall apply - and no additional right shall be conferred hereby - to an employee who is serving his /her initial probationary period with the Town unit. 16 42. Outside Em loo, ment No full -time paid employee in the classified service shall hold any job other than employment by the Town without the written recommendation of his /her department manager and the written approval of the Town Manager. A copy of such approval shall be filed with the Personnel Officer. No employee, whether in the classified service or not, shall engage in other employment or activity which in any way involves a conflict with the interests of the Town or his /her responsibilities or duties as an employee. Outside employment shall be reviewed and re- approved by the Department Manager and Town Manager on a yearly basis. 43. Attendance Employees shall be in attendance at their work in accordance with the rules regarding hours of work, holidays and leaves. An employee whose absence is not authorized will not receive pay or benefits for the absent period and shall be subject to discipline. Failure on the part of an employee absent without leave to return to duty shall be grounds for discharge. It shall be the responsibility of an employee absent without leave to notify the Department Head of the reason the employee is absent and of the employee's availability for duty. 44. Personnel Files Employees shall have the right to review materials in their individual personnel files in accordance with State law. 45. Performance Evaluations a. Evaluations Performance evaluations shall take place at least every three (3) months for all probationary employees and shall take place at least annually thereafter on the anniversary of an employee's employment with the Town. Employees eligible for step increases shall receive their performance evaluation no later than fifteen (15) days prior to their employment anniversary date. Employee evaluation forms shall include a section with a box to be checked indicating whether an employee agrees or disagrees with his /her evaluation. Employees granted step increases shall receive those increases effective the closest pay period in which they are eligible. All performance evaluations shall be discussed with the employee prior to the evaluation being completed. Employees shall sign their individual performance evaluations as evidence of discussion having taken place; employee signature does not necessarily imply agreement with the evaluation. An employee may attach separate written comments to his /her evaluation. 17 Performance evaluations shall be conducted annually from the employee's (1) date of hire, (2) date of last merit increase, or (3) date the employee entered his /her classification. The classification date shall supersede the hire date, and the date of the last merit increase shall supersede both the hire date and the classification date. Performance evaluations shall be completed by an employee's immediate supervisor (i.e., PW Maintenance Supervisor or Parks Maintenance Supervisor). Written comments made by any other supervisor, superintendent or management personnel shall not change the numerical rating of the immediate supervisor. The Town agrees to provide employees with a copy of both the initial and final versions of their quarterly and annual performance evaluations. Sick leave usage shall not be directly evaluated on the performance evaluation. Performance categories that are affected by excessive or abusive use of sick leave shall be evaluated. (b) Counseling In the event that a worker's performance or conduct appears to be unsatisfactory or needing improvement, informal verbal or written counseling shall be provided by the workers immediate supervisor. Counseling should be separate from ongoing work site dialogue and should address performance or conduct which, if not improved, may eventually result in a negative evaluation or disciplinary action. Documentation of such counseling shall be given to the worker at the time of the counseling and will not be placed in a workers personnel file. When the situation allows counseling, counseling shall be used prior to any unfavorable reports being issued. Counseling should normally take place between the worker and the immediate supervisor. (c) Unfavorable Reports On Performance Or Conduct If upon such counseling a worker's performance or conduct does not improve and a negative evaluation or disciplinary action could result, the supervisor shall prepare a written report that includes specific suggestions for corrective action, if appropriate. A copy shall be given to the worker and a copy filed in his /her personnel file. Workers shall have the right to attach a written rebuttal to the report for inclusion in their personnel file. 46. Seniority Seniority shall be inclusive of CETA time and shall be credited from the first day of (CETA) employment with the Town. Unpaid leaves of absence and breaks in continuous service shall not be credited to employee seniority. Seniority will be a factor in determining vacation use. M The Town shall establish a rule of ten promotional system and shall grant employees one point for each year of Town service up to a maximum of ten points when employees apply for promotional positions. 47. Layoff Policy Although a reduction in force (lay -off) is not anticipated it is recognized that it is the sole right of the Town to determine when such reduction in force is necessary. In recognition of the Union's concerns about seniority, however, in the event of any budget deficit requiring lay -off, the Town will first freeze future hiring and through attrition attempt to solve any temporary expenditure deficit. The Town will then lay -off probationary, temporary, and hourly employees prior to laying off full -time, permanent employees. A minimum thirty (30) day calendar notice shall be provided to employees. Layoff shall be based on "performance" as well as seniority on an equal 50150 basis for employees with less than 5 years of service. Layoff shall be by classification. Affected employees who are qualified to do so may "bump" down to previously held classifications in the Town. a. E=Ioyees With Less Than 5 Years of Service In determining order of layoffs, employees shall first be listed in the order of their continuous service with the Town. Each employee shall be given a numerical credit of one (1) point for each month of continuous service with the Town. Subsequently, a review of each employee's personnel file shall be made and a numerical score shall be assigned to each of the employee's last five (5) annual evaluations on file. The actual scoring shall be as follows: 1. For each "performance factor" rated, 12 points shall be assigned for "E" rated performance; 9 points shall be assigned for "M" rated performance; and 6 points shall be assigned for "I" rated performance. Performance factors rated between "E" and "M" shall receive a point assignment of 10.5. Performance factors rated between "M" and "I" shall receive a point assignment of 7.5. The sum of the points will then be divided by the number of performance factors in order to determine an overall score for the evaluation. The sum of all the scores from the individual annual performance evaluations shall then be calculated, divided by five (5), and then multiplied by the number of years of employee seniority. Employees shall then be listed in a separate list by overall performance evaluation scores as derived from the above described procedure. 2. The points on both lists shall then be totaled to provide for one layoff list. Actual layoffs shall then take place from the list with those employees with the fewest number of total points being the first to be laid off. M, b. Employees Wing 5 Years. of Service or More Layoffs shall be based upon date of hire seniority. For both of the above categories, the Town shall develop and maintain in the Town Personnel Office layoff lists that will be available for inspection by Union- represented employees at least thirty (30) days prior to the scheduled adoption of the Town annual operating budget. 48. Contracting Out No bargaining unit employees shall be laid off as a result of the Town entering into a contract with any outside parry. 49. Safety Committee Union shall encourage its members participation in the Town -wide Safety Committee. 50. Sa t The Town shall continue to comply with all applicable State rules and regulations relative to safety. The Town and Union agree to maintain a joint committee to investigate and make recommendations on safety issues identified by the Union and the Town. The Town will use two people on median islands when possible. 51. Physical Examinations and Tests The Town agrees to provide full cost reimbursement for physical examinations and job - related tests that may be required of employees as a condition of continued employment with the Town. 52. Workers' Compensation The Town and Union agree that employees who sustain illness or injury arising out of and in the course of their Town employment shall receive benefits equal to those mandated by the State of California, and the California Labor Code plus the difference between State mandated benefits and the individual's regular salary, if any, paid by the Town and charged to the employee's accrued sick leave balance. If sick leave is not available, other accrued leave balances shall be charged. If an employee does not have accrued leave balances, the employee shall receive only the State - mandated benefits. Pursuant to the Town disability insurance policy, employees shall receive the short term disability insurance effective the 8th day of disability and the long term disability insurance effective the 91st day of disability. 20 The policies and procedures affecting the use of workers compensation will be developed and administered by the Town Personnel Officer in accordance with State law. There is a three day (calendar) waiting period to receive benefits, unless the employee is hospitalized or out for more than two weeks. In the event of a non - hospitalized on-the-job injury verified as such and eligible for worker's compensation disability payments, the Town will compensate employees for the first three day waiting period. 53. Grievance Procedure Grievances shall be defined as alleged violations of this agreement or disputes regarding interpretations, application, or enforcement of this agreement or Town ordinances, resolutions, and written policies related to personnel policies and working conditions. Grievances shall not include disagreements, disputes, or activities regarding or pertaining to examinations for employment or promotion, disciplinary action, performance evaluations, probationary terminations and items subject to meet and confer. (Nothing in these definitions shall be construed to limit "permanent" employees from appealing decisions affecting their employment to the Town Personnel Board.) No act or activity which may be grievable may be considered for resolution unless a grievance is filed in accordance with the procedure contained herein within thirty (30) calendar days of the date the grievable activity occurred or the date the employee could reasonably have known such activity occurred. This statute of limitations shall not apply to probationary employees. The parties agree that all grievances will be processed in accordance with the following procedure: a. Any employee who has a grievance shall first try to get it settled through discussion with his /her immediate supervisor without undue delay. Every effort shall be made to find an acceptable solution at the lowest possible level of supervision. If after such discussion the employee does not believe the grievance has been satisfactorily resolved, he /she may file a formal appeal in writing to his /her department head within ten (10) calendar days after receiving the informal decision of his /her immediate supervisor. b. The department head receiving the formal appeal shall render his /her written decision within ten (10) calendar days after receiving the appeal. If after receipt of the written decision of the department head the employee is still dissatisfied, he /she may appeal the decision of the department head to the Town Manager. Such appeal shall be made by filing a written appeal to the Town Manager within five (5) days after receipt of the written decision of the department head. The Town Manager shall review the decision of the department head, and his /her decision, which shall be rendered within twenty (20) working days after the appeal is made, shall be final. 21 C. The time limitations for filing and responding to grievances may be waived or extended by mutual agreement of the parties. If either party to the grievance so requests, an informal hearing shall be conducted at the department head or Town Manager appeal levels. Employees may be represented by counsel, Union representative, Union steward or other person at any stage in the grievance process. 54. Comprehensiveness of Agreement Town and Union agree that this agreement represents all salary, wages, and fringe benefits subject to negotiation and available to employees. 55. Bonus Pool A bonus pool shall be in effect and renewed for each subsequent fiscal year at the rate of 1 % of bargaining unit wages. For each quarter that the unit meets performance goals, one - fourth of the year's bonus pool shall be distributed equally to all unit members. The criteria for payment of the quarterly bonus shall be achievement by the unit of 100% of the Quarterly Workload and Performance Indicators for the Department. 56. Labor - Management Committee Effective with the signing of this agreement a Labor - Management Committee shall be established that shall be charged with the responsibility for working out the details for the implementation of the following issues: 1) Inter - Divisional Cross Training - a) Criteria shall include that the cross training be voluntary and that monetary compensation shall be provided for employees who participate. The Committee shall be able to modify or expand upon the criteria during their deliberations as needed; b) The Committee shall also discuss this issue as it relates to the timing and method of training any volunteers for the Standby Pool; 2) Educational Incentive Program - Criteria shall include a two -step increment of $250.00 (i.e. $500.00 maximum) that is payable to employees on an ongoing basis upon the completion of a program of courses from a list of approved courses developed by the Committee; 3) Departmental Seniority - Investigation of options for implementing a departmental seniority system if it is mutually acceptable to the Department and the Union; and 4) Layoff Policy - Reviewing department seniority, job flexibility and performance evaluation (new language agreed upon by the committee will be presented to AFSCME membership and the Town Council for immediate implementation). The target date for completion of the Committee's work shall be during the second year of the agreement (i.e. July 1, 1997, to June 30, 1998), except for issue 1. b), which shall be as soon as practicable after the execution of this Memorandum of Understanding. In addition to the above, the Committee shall review and make recommendations on the Quarterly Workload and Performance Indicators as they are developed, and shall meet on any other issues where the parties agree that joint discussion would be productive. 22 APPENDIX A AFSCME Bargaining Uni t The Union shall represent employees of the Town filling permanent full -time and permanent part- time positions as authorized in the position control resolution for the following classifications: Equipment Mechanic Town Arborist Maintenance Worker I /II /III /IV Park Maintenance Worker I /II /III /IV Sweeper Operator Tree Trimmer /High Climber Facilities Coordinator Any new classifications created in the Town work force shall be assigned to bargaining units pursuant to the Town Resolution 1974 -41. Classification: Equipment Mechanic Town Arborist Maintenance Worker I Maintenance Worker II Maintenance Worker III Maintenance Worker IV Parks Maintenance Worker I Parks Maintenance Worker II Parks Maintenance Worker III Parks Maintenance Worker IV Sweeper Operator Tree Trimmer /High Climber Facilities Coordinator A -1 APPENDIX B TOWN OF LOS GATOS SALARYSCHEDULE (Effective January 26, 1997) Range 813 813 802 806 811 815 802 806 811 815 808 808 811 B -1 APPENDIX C TOWN OF LOS GATOS SALARY SCHEDULE (Effective July 1, 1996) Ranee Step 1 Ste Step 3 Steo 4 &Q-5- Step 6 803 12.34 12.96 13.61 14.30 15.02 15.78 804 12.64 13.27 13.94 14.64 15.39 16.17 805 12.95 13.60 14.30 15.02 15.78 16.58 806 13.27 13.94 14.64 15.39 16.17 16.99 808 13.94 14.64 15.39 16.17 16.99 17.85 811 15.02 15.78 16.58 17.42 18.30 19.23 813 15.78 16.58 17.42 18.30 19.23 20.22 814 16.57 17.40 18.27 19.18 20.14 21.15 C -1 APPENDIX C TOWN OF LOS GATOS SALARYSCHEDULE (Effective January 26, 1997) Ranee Stell Step 2 &Ql Steu 4 Ste Stems 6 806 14.06 14.76 15.50 16.27 17.08 17.93 808 14.76 15.50 16.28 17.09 17.94 18.84 811 15.90 16.69 17.52 18.40 19.32 20.29 813 16.71 17.55 18.43 19.35 20.32 21.34 815 17.50 18.37 19.20 20.25 21.26 22.32 (Effective June 29, 1997) 806 14.72 15.46 16.23 17.04 17.89 18.78 808 15.44 16.21 17.02 17.87 18.76 19.70 811 16.62 17.45 18.32 19.24 20.20 21.21 813 17.46 18.33 19.25 20.21 21.22 22.28 815 18.28 19.19 20.15 21.16 22.22 23.33 C -2