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2003-089- Amending The Memorandum Of Understanding Between The Town Of Los Gatos And The Town Employees Association For Fiscal Years 2002-2003 And 2003-2004RESOLUTION 2003 - 89 RESOLUTION OF THE TOWN OF LOS GATOS AMENDING THE MEMORANDUM OF UNDERSTANDING BETWEEN THE TOWN OF LOS GATOS AND THE TOWN EMPLOYEES ASSOCIATION FOR FISCAL YEARS 2002 -2003 AND 2003 -2004 WHEREAS, the current Memorandum of Understanding between the Town and the Town Employees Association included a provision for the parities to meet and discuss revisions to the layoff language; and WHEREAS, representatives of the Town and the Town Employees Association, have met and conferred in good faith within the scope of representation, and have reached an agreement regarding revisions to the layoff language; and WHEREAS, the members of the Town Employees Association have ratified the proposed amended layoff language; RESOLVED, by the Town Council of the Town of Los Gatos, County of Santa Clara, State of California, that the Town Council approves the amended 2002 -2004 Memorandum of Understanding between the Town of Los Gatos and the Town Employee Association as presented in Exhibit A., and the Town Manager is hereby authorized to sign the amendment on behalf of the Town. PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Los Gatos, California, held on the 4" day of August, 2003 by the following vote: COUNCIL MEMBERS: AYES: NAYS: ABSENT: Steve Glickman, Diane McNutt, Joe Pirzynski, Mike Wasserman, Mayor Sandy Decker. None None ABSTAIN: None SIGNED: MAYOR OF THE TOWN OF LOS GATOS ,LOS GAT ATTEST: CLERK OF THE TOWN OF S GATOS LOS GATOS, CALIFORNIA , CALIFORNIA AMENDMENT TO THE MEMORANDUM OF UNDERSTANDING BETWEEN THE TOWN OF LOS GATOS AND THE TOWN EMPLOYEES ASSOCIATION FOR FISCAL YEARS 2002 -2003 AND 2003 -2004 This Amendment to the Memorandum of Understanding is entered into this day of August 2003, and is effective as of August _, 2003, by and between the Town of Los Gatos, and the Town Employees Association. . RECITALS: WHEREAS, the Town and the Town Employees Association executed a Memorandum of Understanding (MOU) for the period June 23, 2002 through June 19, 2004; and WHEREAS, the MOU included a provision for the parities to meet and discuss revisions to the layoff language; and WHEREAS, representatives of the Town and the Town Employees Association, have met and conferred in good faith within the scope of representation, and have reached an agreement regarding revisions to the layoff language; and WHEREAS, the Town Employees Association has ratified the proposed amended layoff language, and the Town Council has authorized the proposed amendment; IT IS THEREFORE AGREED by the parties as follows: 1. Section 7.f. Layoff Policy shall be deleted in its entirety and replaced with the following: f. Layoff Policy 1. Definitions For the purposes of this section: ,!Ex& /8)r A a) Layoff — separation of employees from the active work force due to change in the duties, change in the organization or shortage of work or funds. b) Temporary /Seasonal /Consultant Employee — an at -will non - benefitted employee who is hired on a temporary basis, usually not to exceed 180 days. c) Hourly Employee — an at -will non - benefitted employee who works less than 20 hours per week and not more than 1000 hours in a fiscal year. d) Probationary Employee — any employee tentatively appointed to a position who is continuing the testing process to determine his /her fitness for duty. Probationary employees are new employees of the Town or employees under probationary status because of promotion. e) Regular Employee — benefitted employees who successfully complete their probationary period and who regularly work a minimum of 20 to 40 hours per. week. f) Displaced Employee — a regular employee who is displaced by a more senior regular employee. g) Service seniority — consecutive time served (based upon number of hours worked) as a regular employee of the Town without the employee being reinstated as defined in the Town of Los Gatos Personnel Rules and Regulations, Section 10.6 "Reinstatement ". Service seniority will not be earned for standby duty, overtime work, during periods of suspension without pay as a result of disciplinary action, or for non - medical leave without pay. Service Seniority for unpaid military leave will be considered in the manner prescribed by State and Federal law. h) Classification Seniority — the length of time (based upon the number of hours worked) the employee has served as a regular employee in a classification including anytime spent in a higher classification. Classification seniority will not be earned for standby duty, overtime work, during periods of suspension without pay as a result of disciplinary action, or for non - medical leave without pay. Classification Seniority for unpaid military leave will be considered in the manner prescribed by State and Federal law. i) Higher classification - a job classification in the same classification series in which the maximum rate of pay is greater than the maximum rate of pay of the employee's current job classification. 2. Town — T.E.A. Cooperative Efforts When the Town determines that layoffs are imminent, it shall provide written notification to T.E.A. Further, in the spirit of cooperation, the Town or the T.E.A. may request a meeting to jointly discuss alternatives to layoff, including, but not limited to, attrition or a reduction in work hours. Every effort shall be made to fill any vacant position(s) in the Town with qualified laid -off employee(s). Notwithstanding the effort to work cooperatively, the Town has the exclusive right to determine the methods, means, numbers and kinds of personnel by which services are to be provided. The Town's decision to make a reduction in force and /or layoff an employee(s) is not subject to the duty to meet and confer. 3. Order of Layoff & Procedure Whenever it is determined that a layoff must occur within a job classification, the order of layoff shall be: temporary /seasonal at -will hourly at -will probationary regular employee In each type of employment, the employee(s) with the least classification seniority in the affected job classification(s) shall be laid -off first. In the event that two or more employees in a job classification have the same level of classification seniority, then the employee with the least service seniority with the Town shall be laid -off. If there is no distinction between the service seniority of two or more employees, then the employee with the lowest score on the eligibility list for the current classification shall be laid -off first. 4. Displacement Rights An employee may displace any other employee in a lower classification which they previously occupied if they have more service seniority. For a job classification lower than that in which the employee holds regular status, seniority shall be calculated by adding: (1) classification seniority in higher classifications; (2) classification seniority in the job classification in which the employee previously worked, and (3) present time spent in the job classification in which the employee is currently working. Employees who are designated for layoff or displacement may elect, in lieu of layoff or displacement, to be reassigned to a position in a lower classification. In order to displace an employee with less classification seniority, the employee noticed for layoff must have held regular status in the classification into which he /she is being reassigned. An employee who chooses to exercise their displacement rights must accept the salary, hours and working conditions of their new position. An employee will be allowed only one displacement. An employee who exercises their displacement rights shall be paid in the new job classification the salary range step closest to the salary range step received immediately prior to displacement, providing there is no increase in salary. If the salary range step in the lower job classification is Step 5 or lower, future salary step adjustment opportunities shall be made in accordance with the Town's Personnel Rules. Time served in the job classification from which the displacement occurred shall count toward the interval required for consideration of salary step advancement. If an employee with regular status is unable to displace an employee in a lower job classification in which he /she held a regular status, he /she shall be laid -off. An employee may request layoff in lieu of the opportunity to displace by notifying the Human Resources Department in writing within ten (10) business days of certified mailing of notice of layoff. If an employee requests layoff in lieu of displacement, he /she shall forfeit all recall rights except to a vacancy in the same classification from which the employee was laid -off. In this case, the employee shall be entitled to recall rights for a period of one (1) year from the effective date of the layoff. A probationary employee who held regular status in his /her previous position, and is affected by a layoff or is displaced by an employee exercising his /her displacement rights, shall return to his /her former job classification where he /she held regular status. If a probationary employee does not have regular status in another job classification or has regular status in another job classification which no longer exists, he /she will be laid -off without any right of recall. 5. Seniority List At least ten (10) business days prior to mailing a written notice of layoff, the Town shall provide a seniority list notice to affected employee(s) and the current President of the T.E.A. bargaining unit. The seniority list notice shall show the names, classification, classification seniority, service seniority, and the process for reporting discrepancies. The seniority list shall be deemed correct unless an employee or the T.E.A. notifies the Human Resources Director to the contrary in writing within ten (10) business days of the delivery and /or mailing of the seniority list. 6. Notification of Layoff The Town shall send by certified mail, return receipt requested, written notice of layoff to all affected employee(s). Such notice shall be postmarked at least thirty (30) calendar days in advance of the effective date of layoff. The layoff notice shall be mailed to the employee's address currently on file in the Human Resources Department and shall be deemed appropriate notice. Any employee who is on a paid or unpaid leave shall be affected by the layoff in accordance with the provisions of this section and in the same manner as all other employees. With such notice, the employee shall be informed of the rights to which she /he is entitled and the procedure to be followed. A copy of the notice shall also be provided to the current President of the Town Employees Association. 7. Re- Employment Following Layoff/Displacement When a vacancy occurs in a job classification, the laid -off or displaced employee(s) eligible to return to that job classification shall be recalled in the inverse order of layoff. Employees with regular status who were laid -off or displaced are eligible to return to the job classification in which regular status is held, but shall have no recall rights to any job classification in which probationary status was held at the time of layoff or displacement. Employee(s) shall be entitled to re- employment rights for a period of one (1) year from the effective date of layoff or displacement. To expedite re- employment, more than one (1) laid- off /displaced employee may be notified when an opening occurs. The laid- off /displaced employee(s) will be re -hired in inverse order of layoff. A laid- off /displaced employee shall be required to meet the qualifications of the classification to which he /she is recalled. An employee who exercises their re- employment rights shall be paid the salary range step they received immediately prior to layoff /displacement. Future salary step adjustment opportunities shall be made in accordance with the Town's Personnel Rules. Time served in the job classification since the most recent step increase prior to when the layoff /displacement occurred, shall count toward the interval required for consideration of salary step advancement. A laid- off /displaced employee shall lose their re- employment rights for: 1) resignation; 2) retirement; 3) failure to return to work when recalled by the Town; 4) when the Town has not recalled an employee to work for a period of one (1) year; and 5) termination for cause. Laid -off Employees: The effective date of layoff shall be the employee's last day working at the Town. When a vacancy exists and employees are to be re- employed, notice of the opening(s) shall be sent by certified mail, return receipt requested, to the last known address on file in the Human Resources Department. It shall be incumbent upon the laid -off employee to advise the Human Resources Department in writing, via certified mail, return receipt requested, of any change in address. The laid -off employee shall have ten (10) business days, following the certified mailing to notify the Town in writing, via certified mail, return receipt requested, of their intent to return to work. The laid -off employee shall have a reasonable period of time to return to work, not to exceed thirty (30) calendar days. If the laid -off employee fails to respond to the notice of re- employment within ten (10) business days, or fails to report to work within the reasonable time period as set forth above, he /she will forfeit all re- employment rights. Displaced Employees: The effective date of displacement shall be the employee's last day of work in the classification from which he /she is displaced. When a vacancy exists and displaced employees are to be re- employed, notice of the opening(s) shall be sent by certified mail, return receipt requested, to the last known address on file in the Human Resources Department or by hand delivery. It shall be incumbent upon the displaced employee to advise the Human Resources Department in writing of any change in address. The displaced employee shall have five (5) business days, following receipt of certified mailing or hand delivery of notice, to advise the Town in writing of their intent to return to their former position. If the displaced employee fails to respond to the notice of re- employment to former position within five (5) business days of receipt of notice, he /she will forfeit all re- employment rights to his /her former position. 8. Fringe Benefits Laid - off /displaced employees shall be paid accrued leaves and related benefits in accordance with this Memorandum of Understanding and applicable Town policies and rules. Employees being re- employed who received a sick leave pay off at the time of layoff /displacement, shall have the uncompensated portion of their sick leave balance restored; provided, however, that only those sick leave hours accrued after re- employment shall be applied to sick leave payoff or retiree medical related to a subsequent termination. 2. All other terms and conditions of the Memorandum of Understanding, except as herein amended, shall remain in full force and effect. IN WITNESS WHEREOF, the parties have executed this Amendment to the Memorandum of Understanding between the Town of Los Gatos and the Town Employee Association for Fiscal Years 2002 -2003 and 2003 -2004 on the date written above. TOWN OF LOS GATOS TOWN EMPLOYEES ASSOCIATION BY: BY: Debra Figone, Town Manager Debra Caldwell, TEA President