SECTION 1 - EFFECTIVE DATE

This plan shall be effective the date of signing the Agreement, or as soon thereafter as the same can be implemented and shall continue to be binding on the parties to the Agreement for so long as the Agreement is binding between the parties.

SECTION 2 - EMPLOYEE CONTRIBUTION

a) The cost of the Welfare Plans shall be borne by the Company. Abuse, misuse, or misrepresentation to obtain or continue to receive any of these benefits by an employee may be sufficient grounds for dismissal.

b) The Company shall make available an updated insurance booklet for each employee per contract term, as soon as the final draft of Memorandum is signed.

SECTION 3 - ELIGIBILITY

Each employee shall be entitled to the benefits in this plan subject to the following conditions:

1. If qualified for the present benefit plans on the date this Agreement is signed, they shall be eligible on the effective date of this Plan or;
   
   
2. Employees hired prior to July 1, 2004 will be eligible after working for a period of ninety (90) days in any twelve (12) month period.
   
   
3. New employees hired after July 1st, 2004 will be eligible after working one hundred and thirty two (132) days in any twelve (12) month period for the new benefit package as defined below. Upon completion of eight (8) years service, it is understood that the said employee shall receive full benefit package as previously hired employees described in Article 11 Welfare: Eligibility, Section 3(b).

BENEFIT PACKAGE FOR HOURLY EMPLOYEES HIRED AFTER JULY 1, 2004

1. Vacation pay based upon percentages of previous year(s) earnings (eligible upon hiring date). The percentages are the same as those outlined in Article 7 Vacations (k).
   
   
2. Sick pay shall be calculated as follows:

   # hours worked in prior year x 8 days
   ____________________________
               2,000
   

3. Pension 3% employee contribution and 5% employer contribution.
   
   
4. MSP paid by the Company, Great West Life benefit package to be "opt in" package, 40% employee and 60% employer.

SECTION 4 - LIFE INSURANCE

1. Each eligible employee shall be insured for $50,000.00.
   
   
2. Each eligible employee shall be insured for $50,000.00 in case of accidental death or dismemberment.

SECTION 5 - MEDICAL, SURGICAL AND HOSPITAL

1. Each eligible employee shall be insured in the Medical Services Plan and Extended Health Benefits Plan of the B.C. Medical Services Association.
   
   
2. The Company shall provide 100% coverage for the purchase of and or replacement and maintenance of hearing aids for all eligible employees up to a maximum of $500.00 in any five (5) year period.

SECTION 6 - DENTAL

CO-INSURANCE PERCENTAGE

100% of Routine Treatment.
75% Major Treatment.
50% Orthodontic Treatment.

MAXIMUM BENEFIT

No maximum benefit for all Routine Treatment. Benefits are limited to $2000, for all Major Treatment covered expenses for any one family Member, in any calendar year. Benefits are limited to $2000 for each complete course of orthodontic Treatment.

SECTION 7 - SICK LEAVE

1. Effective July 1, 1990 and each contract anniversary date thereafter each employee shall be granted eight (8) days sick leave for use in the following twelve (12) months.
   
   
2. An employee's hours of sick leave shall be reduced by the actual hours taken.
   
   
3. Full pay for an employee shall mean the equivalent of their standard daily hours times their job rate of pay, and the payment of sick pay shall not result under any circumstances, in an employee receiving more than full pay on any lost working day.
   
   
4. The Company, at its discretion, may appoint the Doctor to examine the employee. Abuse, misrepresentation or any misuse of the above clause by the employee shall be sufficient grounds for their dismissal.
   
   
5. An employee shall receive unused sick leave pay, paid out at 3/4 rate at contract anniversary date. "Rate" means their last base rate during the previous year. Employees shall have the option of receiving this cash out in cash or converting the sick leave hours to Banked time.

SECTION 8 - WEEKLY INDEMNITY

1. Where an employee is disabled due to a sickness or non-occupational accident, a weekly benefit amounting to 66 2/3% of wages (applicable classified hourly rate X 40) be paid to an employee who is off work and under the care of a Doctor for the first twenty-six (26) weeks of disability. ($640.00 cap)
   
   
2. The Company will provide Long Term Disability Insurance equal to current Weekly Indemnity for a period up to twenty (20) years or age 65 whichever is the lesser period.
   
   
3. The costs of any Doctor's notes, W.I. or L.T.D. forms shall be reimbursed by the company providing a receipt is submitted.
   
   
4. With regards to Weekly Indemnity payments. The Company shall continue to pay wages at the calculated rate entitled to the employee, until such time as the employee has begun receiving his/her bi-weekly payments from Great West Life.
   
   The Company shall arrange an agreement with Great West Life Insurance Company, wherein all monies owed to that point shall be directly payable to the Company, and any other monies from that point on, shall be payable to the employee.
   
   In the event that the insurance company has deemed the employee not entitled to such monies, then the company shall have recourse to reclaim that money back from the employee through a signed agreement prior to issuance of said monies. A standard agreement of repayment shall be formulated jointly by the Company and the Union, for this purpose.

c) The Company and the Union agree to work together to minimize Weekly Indemnity and Workers' Compensation Board costs by a mutually agreeable "Return to Work" program.

SECTION 9 - LOSS OF BENEFIT

1. An employee whose service with the Company has been terminated shall not be entitled to any benefits after thirty (30) days of termination date. In the case of a temporary layoff, benefits will cease after ninety (90) days of layoff.
   
   
2. Employees whose benefits have been discontinued due to temporary lay off as outlined in (a) above shall be reinstated to full benefit coverage immediately after completing eight (8) hours work in the bargaining unit.
   
   
3. The Company shall endeavour to inform employees on layoff as to the date benefit coverage will cease.

SECTION 10 - PENSION PLAN

1. The Company agrees to contribute to a pension fund to be set up on the following basis:
   
   
   1. Type: Money Funded Purchase Plan.
      
      
   2. Administrated - By the Union or it's designate.
      
      
   3. Eligibility - After completion of 1500 hours worked.
      
      
   4. Mandatory participation for all employees.
      
      
   5. Vesting - Full vesting after two (2) years service with the Company.
      
      
   6. Employers contribution July 1, 2004 forward 9% followed by the Union shall retain 1/2 of one percent of the Company's contribution as administration fees.

                        Jul 1/04   Jul 1/05   Jul 1/06
      
      Employee Portion    3%         3%         3%
      
      Employer Portion    9%         9%         9%
      

   7. The employee portion shall be automatically deducted from his/her pay cheque.
      
      
   8. The employer shall forward both the employees and the employers’ portions together with a detailed accounting of each employee's entitlement to the Union office within twelve (12) days after the month in which deductions were made.

SECTION 11

Employees who retire after achieving age 60 but prior to their 65th birthday shall have their basic medical and extended health benefits continued until they reach their 65th birthday.