AGREEMENT BETWEEN THE UNIVERSITY OF WATERLOO AND CUPE LOCAL 793 REGARDING THE SOCIAL CONTRACT ACT, 1993 Under the provisions of the Social Contract Act, 1993, all employers in the Public Sector of Ontario are required to reduce their expenditures in accordance with targets established by the Minister of Finance. Savings are to be accomplished primarily through adjustments in compensation. The Act strongly encourages employer and employee groups to effect these savings by negotiating Local Agreements. CUPE Local 793 represents approximately 360 employees in the Plant Operations and Food Services Departments. In reaching this agreement, the Parties have assumed that there will be a 20% reduction in the Province of Ontario's expenditure reduction target for the University of Waterloo and that employees will be eligible to access the Job Security Fund as described in the Social Contract Act. Agreement 1.Wages for all unionized employees of CUPE Local 793 will be frozen from May 1, 1993 until April 30, 1996. Wage increases will only occur as a result of a promotion to a position with a higher wage rate. 2.Union members whose salaries are above $30,000 annually, will be required to take three unpaid days leave of absence in each of the three years of the contract. [Letter of clarification: "three unpaid days leave of absence in 1993-94 and up to three unpaid days in each of 1994-95 and 1995-96".] Unpaid days will not reduce anyone's annual salary below $30,000. Employer and employee pension contributions and employee pension entitlements will not be affected by these unpaid days. 3.Annual salary is defined as all earnings excluding overtime but including shift premium, group leader and shift engineer premiums, 4.Reductions due to unpaid days will be deducted from paycheques at a uniform rate for the nine months left in the 1993-94 fiscal year and for the twelve months in the 1994-95 and 1995-96 fiscal years. These deductions will be made so as to coincide with the bi-weekly pay cycles. The first deduction will be August 8, 1993 and will cover the period beginning August 1, 1993. 5.One of the unpaid days is designated as February 21, 1994, when the University will be closed. Union members not required to take unpaid days off will be required to use one vacation day for February 21, 1994. Other days may be designated in 1993-1994. 6.The remaining unpaid days will be scheduled by mutual agreement between the union member and their department head. 7.The University of Waterloo will cooperate with other universities in redeployment protocols developed under the auspices of the Job Security Fund. 8.The current collective agreement between the University of Waterloo and CUPE Local 793 will remain in effect until April 30, 1996. By agreeing to this document,CUPE Local 793 also accepts the provisions of the University Subsector Social Contract which was recently signed by the University of Waterloo, the other Ontario Universities and the Provincial Government. Specifics of the Subsector Social Contract Openness and Accountability (Section V.A.) The Subsectoral Agreement encourages the sharing of information and participation by employees in the decision making processes of the University. University of Waterloo employees are represented on all committees which determine issues affecting them. As well, they are members of the Board of Governors of the University. The University Stakeholder Group which has been meeting on a regular basis since the introduction of the Social Contract, will continue to meet throughout the three years of the Social Contract to share information and discuss areas of concern. Members of this Group will be the Presidents and one additional representative from each of the Faculty Association, the Staff Association and CUPE Local 793; the Presidents of the Federation of Students and the Graduate Student Association; one representative appointed by the Church College Heads; the President of the University, the Vice-President Academic & Provost, and the Associate Provost, General Services. Elimination of Waste and Inefficiency (Section V.B.) The Subsectoral Agreement encourages employees to recommend changes and to provide information which would result in the elimination of waste and inefficiency. The University Stakeholders Group will review all suggestions and information from employees concerning the elimination of perceived waste or inefficiency in University procedures, processes, work standards or business practices. Employees who offer these suggestions are protected by the Staff, Faculty and Student Grievance and Ethics policies. Union members are protected by Article 15, Grievance Procedure, of the Collective Agreement. As well, the University will participate in a review of the procurement of goods and services and contracting systems with other universities as well as within the University of Waterloo. The review will be discussed in the Stakeholders Group. Job Security (Section V.C.) The Sectoral Agreement requires Universities to offer their own qualified employees any vacant positions and to provide for a sharing of human resources among the University Sector. University of Waterloo's Staff Policy 18 requires that all staff positions which become vacant at the University of Waterloo must be filled by qualified internal applicants. Only in the event that no qualified internal applicants exist, can a hiring department recruit for a staff position from outside the University. Article 7, Clause 7 of the CUPE Local 793, Collective Agreement addresses job promotion and transfer within the bargaining unit. The University will cooperate with other universities in redeployment protocols developed under the auspices of the Job Security Fund.