This Exhibit C sets forth the respective rights and obligations of the Company and its employees under the Welfare Plan which the Company has established pursuant to Article XXVII of the Labour Agreement between Kruger Products L.P., Western Manufacturing Division, and Unifor, Local 456.
The employer will provide all employees with a deferred payment drug card which does not decrease the current provisions in the benefit plan.
The Dispute Resolution Mechanism is as agreed to by the parties on May 23, 2001.
Section 1: Obligation
(a) The Company signatory to the Labour Agreement will comply with the terms and conditions set forth in this Exhibit “C”, and provide the coverages required therein.
(b) The coverages shall be subject to the usual and customary charges of the selected carrier or carriers.
Section 2: Waiting Period
All full-time employees who are actively working and who have completed forty (40) days service shall be enrolled for the coverages and benefits set forth in “Schedule 1 of this exhibit.
Section 3: Changes in Classification
The regular wage of the employee in effect on November 1 and May 1 will determine their entitlement to Group Life and Weekly Indemnity Insurance coverage as outlined in Schedule 1 of this Exhibit. Where an employee’s regular duties consist of more than one job, their regular rate shall be deemed to be the weighted average of the rates applicable to such jobs.
Section 4: Costs
There will be a sharing of the net costs of the coverages and benefits made available to participating employees under the Welfare Plan as follows:
Company Employee
Medical 100% 0
Extended Health 100% 0
Group Life 100% 0
A.D. & D 100% 0
Weekly Indemnity 70% 30%
Dental Care Plan 100% 0
Long Term Disability 70% 30%
Section 5: Reporting Period
The reporting period will cover the twelve (12) month period ending June 30.
Section 6: Changes in Premium and Employee Contribution
It is understood that any change in respect of either the premium rate charged by the carrier or the basis of the employer-employee sharing thereof may only be made effective not more often than once in any twelve (12) month period.
Section 7: Distribution of Surplus
It is understood that surplus accumulation, if any, will be used only for the purpose of reducing premium costs.
Surplus accumulations must be disposed of within reasonable time limits.
Section 8: Disputes
No dispute arising out of the operation, administration or interpretation on any coverage contract between the Company and the Carrier shall be subject to the “Adjustment of Complaints” procedure of the Labour Agreement between Kruger Products L.P. and Unifor Local 456. Any such dispute shall be adjudicated under the terms of such coverage contract.
Section 9: Disputed WorkSafeBC Weekly Indemnity Claims
If an employee covered by the Welfare Plan suffers a disability, payment for which is in dispute with WorkSafeBC, weekly indemnity payments under the Welfare Plan will be paid retroactively as set forth in Schedule 1 of this Exhibit, if requested by the employee and provided they have been off work for at least 14 days due to the disability without WorkSafeBC having accepted the claim.
If the WorkSafeBC claim is subsequently established, the employee will then repay the weekly disability payment received to the insurance company.
Section 10: Claim while Negotiated Change Takes Effect
In the case of any employee who is on active claim arising from a disability which occurred before a negotiated change in benefits and which continues thereafter, the said employee shall, as from the effective date of the negotiated change, be paid the changed weekly indemnity benefit, be covered for the changed Group Term Life Insurance, and make the changed contributions.
Section 11: Surviving Spouse and Dependent Coverage
Where a surviving spouse and dependents of a deceased employee are not covered by such plans by reason of their own employment, the Company will extend the coverage under the Extended Health Benefit Plan, for twenty-four (24) months following the death; and the Medical-Surgical and Dental Plan for a period of twelve (12) months, commencing on the first of the month following the month in which the death occurs.