Hello andwelcometoanoverviewofthePaidSickLeaveProgram.

Weknowyou’rebusyandweappreciateyoutakingthetimetolearnaboutthisnewlawgoingintoeffectforyourassociate.

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StartingFebruary3, 2018,allhourlyandtemporaryassociatesandovertheroaddriversworkinginMontgomeryCounty,Maryland;Washington,DC;andWashingtonstatewillbeprovidedpaidandjobprotectedtimeawayfromworkunderthenewPaidSickLeaveProgram.Associateswillbeabletousethisnewpaidsickleaveforthingssuchaswhentheyorafamilymemberaresickorinjured;whenschools,businesses,orotherplacesofcareareclosedforapublichealthorsafetyreason;whentheyorafamilymemberaregoingthroughdomesticviolence,abuseorstalking;andotherreasons.

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Let’stakealookathowthePaidSickLeaveisearnedbyeachoftheassociategroups.

ForHourlyassociates,theirPTOaccrualwillbeseparatedintotwobucketswithintheGTAPortal;PTOandProtectedPTO.Newlyhiredassociateswillcontinuetohavea90daywaitbeforePTObeginstoaccrue.ProtectedPTO,however,willbeginaccruinguponhire.BothPTOandProtectedPTOwillbecomeavailabletoassociatesonthe90th dayofemployment.TherearenolimitsontheamountofPTOandProtectedPTOassociatescanaccrueandbotharepaidoutuponterminationtoassociateswithatleastoneyearofservice.

Fordrivers,thePTOwilllookjustlikeitdoestodayinthesystem.Likehourlyassociates,therewillbenolimitsontheamountofPTOdriverscanaccrueandallavailablePTOispaidoutuponterminationtodriverswithatleastoneyearofservice.AllPTOaccruedcanbeusedforpaidsickleavereasonsasoutlinedinthepolicy

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Let’stakealookatanexampletohelpyoubetterunderstandhowitworks.

Jack isa7yearassociateworking80hoursthis payperiod.Basedonhistenure,heaccruesonePTOhourforevery10servicehours,earningatotalof8hoursofPTOthispayperiod.

OnJanuary1,2108,Jack’s8hoursofPTOearnedeachpayperiodwillbesplitintoPTOandProtectedPTO.Themajorityofthetime,5.3hours,earnedwillgointothePTObucketandtheother2.7hourswillgointotheProtectedPTObucket.

Remember,therewillnotbeanylimitsontheamountofPTOJackcanaccrue.TheaccrualratesbytenurehavebeenupdatedinthePaidTimeOff– HourlyAssociatespolicyontheWIREtoreflectwhatportionofaccrualswillbeaccruedasPTOandwhatportionaccruesasProtectedPTO.

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NowthatyouunderstandhowPTOandProtectedPTOareaccruedbyhourlyassociates,whatcantheProtectedPTObeusedfor?

ProtectedPTOcanactuallybeusedforanyreason,justlikeregularPTO,butthereasoncodedetermineswhichPTObucketgetsusedfirst.So,ifassociatesrequesttimeoffforreasonsofSickorFamilyCare,theProtectedPTOwillautomaticallybeusedfirst.IfthereisnotenoughProtectedPTOavailable,thenitwillthendipintothePTObucket.Ontheotherhand,ifassociatesrequesttimeoffasVacationorPersonal,PTOwillautomaticallybeusedfirstandthenProtectedPTOifthereisnotenoughregularPTOavailable.

AnyavailabletimeinthepersonalbucketcanwillstillbeusedifthereisnotenoughPTOorProtectedPTO.

AttheendofeachPTOplanyear,associates’regularPTOwillcontinuetofollowthecarryoverandcashoutprocessitdoestoday.ThefullProtectedPTObalance,however,willbecarriedover,regardlessofthenumberofhoursavailable.

Ifanassociateleavesthecompany,anyunusedandaccruedPTOandProtectedPTO

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willbepaidoutaslongastheassociatehasbeenemployedforayear,orinaccordancetoanyspecificlocallaws.

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AssociateswilltransitionfromtheircurrentpaidsickleaveprogramtothisnewprogrameffectiveFebruary3,2018.

Associates’PTObucketswilltransferandbesplitintotheProtectedPTObucketandtheregularPTObucket.Upto80hourswillbetransferredintoassociates’ProtectedPTObucketsandanyadditionaltimewillbecashedoutasitistoday.So,ifanassociatehasatotalPTObalanceof70hours,onJanuary1thefull70hourswilltransferintotheProtectedPTObucket.Ifanassociatehasmorethan80hoursofPTOavailable,say128hours,then80hourswilltransferintotheProtectedPTObucketandtheremaining48hourswillbecashedoutduringtheyearendautomaticcashoutprocess.

Again,noPTOtimeislost.

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Let’sdive alittledeeperintohowtheendoftheyearcarryoverandcashoutprocesswillwork.TheprotectedPTObalanceisnoteligibleforcashoutsoaswesaidearlier,theentireProtectedPTObalancewillcarryoveryearafteryear,buthowdoesthisworkforthePTObucketcarryoverandcashout?

Ifanassociate’sProtectedPTObalanceisequaltoorgreaterthan80hoursforfull-timeor48hoursforpart-time,thenthefullProtectedPTObalancecarriesoverandanytimeintheregularPTObucketisautomaticallypaidouttotheassociateincash.

Ifanassociate’savailableProtectedPTOislessthe80hourand48hourlimits,thenthefullProtectedPTObalanceiscarriedoverandadditionalhoursfromtheirregularPTObuckettogetthemtothecarryovermaximum.ThenanyremaininghoursintheregularPTObucketarecashedout.

Inallcases,associatesdonotloseanyPTOtheyhaveearned.

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Let’stakealookatacoupleofexamples.

WhentheProtectedPTObalanceislessthan80hours,aportionofthePTObalancewillcarryovertobringthetotalcarriedoverupto80.Theremainderwillbecashedout.So,let’ssayafull-timeassociatehas30hoursProtectedPTOand90hoursregularPTOattheendoftheyear.ThefullProtectedPTObalanceof30hoursiscarriedover.Anadditional50hoursfromtheregularPTObucketiscarriedoverforatotalof80hourscarriedoverandthentheremaining40hoursofregularPTOarepaidincashtotheassociate.

WhentheProtectedPTObalanceis80hoursormore,allofthePTObucketwillcashout.So,ifattheendoftheyearafull-timeassociatehas90hoursofProtectedPTOand30hoursofregularPTO,thenthe90hoursofProtectedPTOwillbecarriedoverintothenextyearandtheassociatewillbepaidcashfortheremainingregularPTO30hours.

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Let’stalkaboutwhenassociatesworkinginapaidsickleaveprogramarea,transfertoanotherarea.

IfanassociatetransferstoastatethatdoesnothaveaPaidSickLeaveProgram,suchasArkansas,thentheProtectedPTOandregularPTObalancesarecombinedintoonePTObalance.TheassociateisthensubjecttothePTOlimitsandguidelinesofthatstate.

IfanassociatetransferstoanotherstatewithaPaidSickLeaveProgram,theProtectedPTOandregularPTObalancestransferoverasseparatebucketsandtheassociate’sbalancesarethensubjecttothelimitsandguidelinesofthatstate’sPaidSickLeaveProgram.

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AssociateswillbeabletouseProtectedPTOtohaveanabsenceapprovedwhenthey:Submitatimeoffrequestfortheirmissedshiftortardiness(latein/earlyout)EnteratimeoffreasonofPTO- SickorPTO- FamilyCareUseenoughProtectedPTOtoavoidanunauthorizedabsenceunderyoursegment’sattendancepolicyasshownbelowandSubmitthetimeoffrequestwithin14days(7daysforlogistics)oftheabsence.NodocumentationisrequiredwhenProtectedPTOisrequested.

AssociateswithaNoCall,NoShowabsenceshouldstillreceiveoccurrencesforthenocall,noshowportion,buttheyshouldnotreceiveanoccurrencefortheabsenceitself.

Whenapprovingtheabsence,theabsenceapprovalreasoncodeshouldbe“ExceptionCoveredbyTimeOffPolicy”or“ManagerApproved”

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SowhataboutFMLA?Well,FMLAandPaidSickLeaveareseparate,butwillworktogether.ProtectedPTOtrackshowmuchprotectedtimecanbeusedunderThepaidsickleaveprogram.

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BeginningFebruary 3,2018Hourly associateswillseetheirprotectedPTOdisplayedasProtectedPaidTimeOffintheGTAsystem.

TheywillalsoseethecombinedtotaloftheirProtectedPTOandPTOtime.

Lastly,AllassociateswillseehowmuchPTOand/orProtectedPTOtheyhaveaccruedYTD!

SinceDriversdonothaveaprotectedPTObalancetheywillnotseeany detailspertainingtothatbalance.

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StartingFebruary3rd 2018,Hourly associateswillseeacouplechangestotheirpaystubtoalignwiththechangeinbalancenamesonGTAPortal- Any ProtectedPTOusedbywilldisplayas“Prot PTOPay”- TheProtectedPTObalancewilldisplayas“Protected PTOAvail”- TheamountofProtectedPTOanassociatehasusedyeartodatewilldisplayas

“Prot PTOUsedYTD”

Alsogoodnewsfordriversandsalariedassociates, theywillnotseeanychangestotheirpaystub.

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SomelawsrequireustoprovideassociatesvisibilitytotheirProtectedPTOandPTObalancesandanoticeoftheirrights.

AssociateswillbeabletoseetheirProtectedPTOandPTObalancesthroughGTAPortalandtheirpaystubs,astheydotoday.ThenewProtectedPTOpolicywillbepublishedontheWIREsoassociatescanknowhowtheycanuseProtectedtimeandaccrueProtectedPTO.

Inaddition,newassociatesmayberequiredtoreceiveanoticeinformingthemoftheirrights.ThesenoticescanbeprintedfromtheWirebygoingto:

KnowledgeCenterà HRServicesà Employmentà EmploymentComplianceàStandardà StateSpecificEmploymentStandardsà [YourLocation]PaidSickLeaveNotice

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ThereareseveralresourcesavailableforyouontheWIREtohelpyoulearn,understand,andmanagethesenewpolicyandguidelines.

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Thankyouagainfortaking thetimetolearnabouthisnewlawandpaidtimeoffpolicy.WeappreciateyouandallyoudotosupportHRandyourassociates.

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