Doc. No. 8
MEMORANDUM OF UNDERSTANDING
SPECIAL PROCEDURE FOR ATTENDANCE
The Corporation and the International Union agree that the problem of unwarranted absenteeism must be addressed in a cooperative and constructive manner. Both parties recognize that unwarranted absences adversely impact quality, cost and efficiency and in so doing constitute a threat to the job security of all employees.
The parties also recognize that sometimes absenteeism is the result of personal or unforeseen problems in an employee's life and that such problems must be addressed in a reasonable and responsible manner.
Based on the foregoing the parties agree to adopt this Special Procedure for Attendance. This procedure is intended to encourage regular attendance through corrective discussion, formal discipline and the availability of the Employee Assistance Program, while at the same time expecting employees to accept responsibility for their own attendance behavior.
Special Procedure for Attendance
1. This procedure will apply to all employees who have acquired seniority pursuant to Paragraph (57) of the National Agreement.
2. This procedure is separate and distinct from the plant's standard corrective disciplinary procedures. All instances of employee absence, as defined in paragraph 4 below, will be addressed through this procedure.
3. The action taken by Management as a result of the corrective action steps of this procedure are subject to the Disciplinary Layoffs and Discharges Section of the National Agreement and therefore, the Grievance Procedure Section of the National Agreement. During the Paragraph (76) interview associated with the corrective action steps, the employee will be advised of the special procedure for attendance and the availability of the Employee Assistance Program.
4. Instances of absence subject to this procedure are defined as follows:
A. Single or consecutive days of absence without reasonable cause.
B. Tardiness of four (4) hours or more without reasonable cause.
5. Instances of absence without reasonable cause will be subject to the reasonable application of the Attendance Corrective Action Steps below:
Attendance Corrective Action Steps
6. This Special Procedure for Attendance will become effective on the Monday two weeks following the effective date of the new National Agreement.
National Committee on Attendance
7. The National Committee on Attendance will consist of three (3) representatives of the Corporation and three (3) representatives of the International Union.
The National Committee shall:
A. Meet periodically at a mutually agreeable time and place.
B. Explore ways to reduce unwarranted absenteeism, particularly as it relates to the larger problem of long term absenteeism.
C. Review attendance data and make necessary or desirable recommendations on the effectiveness of attendance procedures.
D. Recommend and develop relevant training programs.
E. Review problems concerning serious or unusual situations creating unwarranted absenteeism and make appropriate recommendations.
8. The parties are specifically empowered to periodically review and evaluate this procedure and make mutually satisfactory adjustments in the mechanics of its operation during the term of this Agreement.
IN WITNESS WHEREOF, the parties hereto have caused their names to be subscribed by their duly authorized officers and representatives on this 2nd day of November, 1996.
[See Par. (191)]
[See Doc. 46]
Doc. No. 9
ENHANCEMENT OF COMPONENT AND SERVICE PARTS OPERATIONS
GENERAL MOTORS CORPORATION
September 28, 1999
Mr. Richard Shoemaker
Vice President and Director
General Motors Department
International Union, UAW
8000 East Jefferson Avenue
Detroit, Michigan 48214
Dear Mr. Shoemaker:
During these negotiations, the parties had extensive discussions concerning the Corporation's component and service parts operations. Both parties recognized the importance of maintaining and strengthening these operations. They are critical to the long-term viability and financial health of General Motors.
The parties also recognize that the competitive pressures facing these operations can be addressed successfully if both parties work together to find mutually acceptable solutions to common problems. In this connection, Management and Union representatives from the above-defined units will conduct a joint review of such operations and identify areas where improvements may be made to enhance their competitiveness. Such areas may include quality, productivity, cost, plant layout and process, materials/components, technology, capital investment, maintenance and preventive maintenance, supervision, work rules, pricing and marketing strategies, training, and capacity utilization.
Subject to this review, the following process may be implemented:
Where the results of the study indicate that changes are required to become competitive, the parties will develop a plan that will identify the areas that need to be addressed so that the unit may be better able to compete effectively. The plan should include a timetable for implementation and periodic monitoring reports to appropriate joint leadership.
The parties view this undertaking as an opportunity to strengthen the relationship of the local parties with the goal of ensuring the long-term viability of component and service parts operations and thereby preserving the job and income security of UAW members.
Very truly yours,
Gary L. Cowger
Group Vice President - Labor Relations
Doc. No. 10
JOBS PROGRAM - VOLUME RELATED LAYOFFS - SEL
GENERAL MOTORS CORPORATION
September 28, 1999
Mr. Richard Shoemaker
Vice President and Director
General Motors Department
International Union, UAW
8000 East Jefferson Avenue
Detroit, Michigan 48214
Dear Mr. Shoemaker:
Subject: JOBS Program - Volume Related Layoffs - SEL
During the course of these negotiations, the Corporation and Union have provided General Motors employees with substantially increased job security through the new SEL feature of the JOBS Program, which protects eligible employees against layoff for virtually any reason except volume related market conditions. The parties recognize that employment levels may continue to fluctuate as a result of the cyclical nature of demand in our industry. The Corporation acknowledges, however, the importance of minimizing layoffs even in instances where volume related declines are unavoidable. In particular, the Union stressed the importance of reducing overtime and shifting dual sourced production requirements to UAW-General Motors plants in the event of overall market declines. The Corporation agrees to take these and other actions whenever practical.
In any event, however, employees affected by volume related declines would exercise their seniority in line with local seniority agreements and, if otherwise eligible, receive benefit treatment in accordance with the Supplemental Agreements attached to the current GM/UAW Collective Bargaining Agreement.
Identifying the complex inter-relationships of all the factors involved with volume fluctuations is a difficult task. The parties agreed, however, that for purposes of determining SEL related protections they must identify just those volume declines that are attributable to market related conditions, and in turn just those declines that are not affected by Corporation sourcing choices of vehicles and components that compete with or act as replacements for vehicles and components produced by General Motors employees covered by this Collective Bargaining Agreement. In other words, volume declines that are attributable to the Corporation's production and purchase arrangements with any related or unrelated party (subsidiaries, affiliates, captives, joint ventures, transplants, etc.) would be considered an exception to the overall volume related exclusion in Section I(D) of the JOBS Program.
The parties also agreed that the complexity of these issues requires that the Corporation provide Local JOBS Committees adequate notice of any impending volume-related layoff, as well as all information necessary to fully evaluate its underlying causes, the extent to which such decline is associated with a Corporate sourcing action and the appropriate number of SEL eligible employees that should be affected by the layoff.
The Corporation recognizes, moreover, that it has the responsibility to justify implementation of a layoff in the context of the protections spelled out in the JOBS Program and the guidelines outlined in this letter. Similarly, the Corporation also accepts the responsibility of proving that the proper number of employees are recalled to SEL positions when a volume related decline is reversed, again within the context of the JOBS Program protections and the guidelines outlined in this letter.
The following are to be considered as illustrations to assist the parties in determining when volume related declines support reductions in employment. These illustrations should not be considered all inclusive.
-- Example of Market Related Conditions
(1) There is a decline in economic activity which depresses retail sales of UAW-General Motors vehicles. Lower production levels require the layoff of employees. Assembly Plant A, employing 4,100 SEL-eligible employees, is the sole source of Vehicle Z for the U.S. market; it is required to layoff one shift, or 2,000 employees. The number of SEL-eligible employees at the plant remains at 4,100, including 2,000 open positions for laid-off employees.
While the plant is down to one shift, the Corporation decides to outsource the cushion room, which reduces employment requirements by 250 employees per shift. Two hundred fifty (250) employees are placed on Protected employee status. There is no impact on the SEL numbers.
U.S. car demand picks up to pre-layoff levels and the second shift is called back. Active employment at the plant goes back to 4,100.
As the second shift is called back and the plant is back to pre-downturn production levels, an additional 250 employees are placed on Protected employee status which now leaves a total of 500 employees. The SEL plant number remains at 4,100.
(2) Assembly Plant B (5,000 SEL-eligible employees) is not the sole source of Vehicle Y, which is also produced in Canada for the U.S. market, in Plant BC. Plant BC supplies one-fourth of the U.S. demand for Vehicle Y. An economic downturn in the U.S. reduces demand for Vehicle Y by 160,000. In accordance with SEL guidelines, volume related employment reductions cannot exceed Plant B's share of pre-downturn volume levels (three-fourths) applied to the reduced level of overall sales. Production in Plant B is therefore reduced by no more than 120,000 units, causing layoffs of 2,000 workers. Plant B's number of SEL-eligible employees remains at 5,000, including 2,000 open Bank positions.
Vehicle Y demand in the U.S. market picks up by 60,000. The Corporation decides to produce 30,000 of those units in Plant B and the rest in Canadian Plant BC. The increase in production is not accomplished in proportion to pre-layoff production shares; to comply with SEL, the Corporation must recall 250 employees which it assigns to Protected employee status in addition to the 500 employees required for the pick up in production.
-- Examples of Product Discontinuance or Phase Out and Changes in Retail Preference
(1) A new U.S.-built General Motors vehicle (or any other new non-allied company vehicle which is not marketed by the Corporation) is introduced. Sales of Vehicle X decline by 50%, and assembly must be curtailed. The necessary reductions in employment are made through layoffs, keeping the number of SEL-eligible employees at the assembly plant at the same level.
(2) Engine Plant C, employing 1,400 SEL-eligible people, produced half of the engines for Vehicle X; the other half are produced at a Corporate plant in Mexico. The volume reduction is made totally at Plant C rather than split proportionately between Plant C and the plant in Mexico. Therefore, in accordance with the JOBS guidelines half of the 700 employees who are not required any longer in Plant C due to this event are assigned to Protected employee status, and the other 350 employees would be laid off. The number of SEL-eligible employees at Plant C remains at 1,400, including 350 open volume related positions.
-- Examples of Non-General Motors Commercial Customer Preference
Plant A produces heavy duty cranking motors for off the road construction equipment. Volume is reduced as a result of a decline in the construction industry. One hundred fifty (150) employees are laid off; 150 open volume-related positions are established.
At the time production is back to pre-layoff levels the Corporation introduces two robots which replace 25 employees. According to SEL guidelines all of the 150 employees are recalled from layoff, 25 of them are assigned to Protected employee status, and the number of SEL-eligible employees remains equal to its pre-layoff level.
-- Example of Non-General Motors Produced Vehicles
The Corporation outsources a vehicle that it markets in competition with Vehicle W manufactured by UAW-General Motors employees. This results in reduced sales of Vehicle W. Employment requirements are reduced, but this event is not covered under Paragraph I(D) of the JOBS Program and layoffs are not permitted. This protection also extends to employees producing UAW-General Motors components which are manufactured for Vehicle W.
It is recognized that reductions in vehicle production will often be accompanied by reductions in component production. When reductions in vehicle production are volume related, pro-rata reductions in component production will normally be considered volume related as well. However, to the extent a reduction in component production results from a shift in sales to vehicles sold by General Motors but not produced in UAW-General Motors plants, the reduction will not be considered volume related. Furthermore, when a like or similar component is dual-sourced from a UAW-General Motors and a non-UAW-General Motors plant, production declines at the UAW-General Motors plant will only be considered volume-related to the extent the dual-sourced component produced at that plant continues to be produced in its pre-production decline proportion.
-- Examples:
(1) Plant A receives regular automotive batteries from a UAW-General Motors plant and heavy duty batteries from a non-UAW-General Motors plant. A volume decline occurs in regular automotive batteries because of customer preference for heavy duty batteries. Such reductions would be considered volume related declines under the Program but would not have to be taken proportionately because the batteries would not be considered like or similar components.
(2) Plant B receives regular batteries that have plastic fastening brackets from a UAW-General Motors plant and regular batteries that have steel fastening brackets from a non-UAW-General Motors plant. The batteries are used interchangeably and would be considered like or similar components. Therefore, any volume declines in battery production would have to be taken proportionately to be considered volume related.
As implied by these examples, there are many variations to be considered when determining volume actions. This letter is intended to provide a framework within which Local and National JOBS Committees may review the applicability of Paragraph I(D) to volume reductions.
If a Local JOBS Committee cannot agree on a situation being defined as volume related, the matter may be appealed to the National JOBS Committee for resolution.
Very truly yours,
Gary L. Cowger
Group Vice President - Labor Relations
[See Par. (65), (66)]
[See App. K,(I),(D)]
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