COLLECTIVE

AGREEMENT

Nestle Purina PetCare Nestle Purina Soins des animaux familiars

NESTLE PURINA PETCARE, A DIVISION OF NESTLE CANADA INC.

MISSISSAUGA, ONTARIO

-and-

COMMUNICATIONS, ENERGY AND PAPERWORKERS

UNION OF CANADA Locai41-0

January 1, 2010 - December 31, 2013

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COLLECTIVE AGREEMENT

8 ETW E EN:

NESTLE PURINA PETCARE, A DIVISION OF NESTLE CANADA INC.

hereinafter referred to as .. the Company ..

of the FIRST PART

-and-

COMMUNICATIONS, ENERGY AND PAPERWORKERS UNION OF CANADA, Locai41-0

hereinafter referred to as .. the Union ..

of the SECOND PART

January 1, 201 0 - December 31, 2013

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INDEX Article 1 - Purpose ................................................................... 3 Article 2 - Recognition ............................................................. 4 Article 3- Union Security ......................................................... 4 Article 4 - Anti-Discrimination .................................................. 4 Article 5 - Management Rights ................................................ 5 Article 6- Wages and Hours ................................................... 5 Article 7 - Reporting Pay ......................................................... 6 Article 8 - Rest and Lunch Periods ......................................... 7 Article 9- Rate of Pay on Transfers ........................................ 7 Article 1 0 - Seniority ........................................................ ...... .. 8 Article 11 - Promotions .......................................................... 1 0 Article 12 - Overtime Distribution .......................................... 11 Article 13 - Layoff and Recall................................................ 16 Article 14 - Holidays .. .. . .. .. . .. .. .. .. .. .. .. .. .. .. .. . .. . .. .. .. .. .. .. . .. .. .. .. .. .. . 18 Article 15 - Vacations ............................................................ 19 Article 1 6 - Leave of Absence ............................................... 20 Article 17 - Strikes and Lockouts .......................................... 21 Article 18 -Jury Duty ............................................................. 21 Article 19 - Funeral Leave ..................................................... 21 Article 20 - Union Representation ......................................... 22 Article 21 - Grievance Procedure .......................................... 23 Article 22 - Arbitration ............................................................ 24 Article 23 - Benefits ............................................................... 24 Article 24- Occupational Health & Safety ............................. 26 Article 25 - Supervisors Working ........................................... 27 Article 26 - Savings Clause .................................................... 27 Article 27 - Amendments or Revisions to Agreement.. ......... 27 Article 28 - Duration ............................................................... 27

Attachment "A"- Wage Schedule ......................................... 29 Attachment "B" - Maintenance .............................................. 32

Hand Tool Requirements - Mechanical ............................... 34 Hand Tool Requirements- Electrical ................................... 35

Attachment "C"- Weekend Worker ...................................... 36

Letters of Understanding

Uniform Program ................................................................... 40 Qualified Lists ........................................................................ 41 Exchanging Shifts "Swaps" ................................................... 42 Work Sharing Program ......................................................... 43 Sub-Contracting Work ... ....................................................... 44 Bulletin Board ........................................................................ 45 Letter of Intent ....................................................................... 46 Workplace Attire ............................... .. ........................ 47

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THIS AGREEMENT made and entered into this 4th day of December 2009.

BETWEEN:

NESTLE PURINA PETCARE, A DIVISION OF NESTLE CANADA INC.

hereinafter referred to as "the Company"

of the FIRST PART

-and-

COMMUNICATIONS, ENERGY AND PAPERWORKERS UNION OF CANADA, Local41-0

hereinafter referred to as "the Union"

of the SECOND PART

It is hereby agreed between the parties hereto as follows:

ARTICLE 1

PURPOSE

1.01 It is the intention of the parties that this Agreement will secure industrial peace and efficiency enabling the Employer and the employees to provide, as far as economic conditions may permit, security and continuity of employment. The parties to this Agreement recognize that without mutual understanding, harmony and co-operation among the employees, it is impossible to operate a business with the economy and efficiency indispensable to its very existence. Both parties recognize that it is mutually advantageous to work together to maintain a high standard of living; safe and healthful working conditions; high quality of products; and to promote economic and efficient operation which will enable the business of the Employer to prosper and provide steady employment. Both parties agree to co-operate to the fullest extent in obtaining the above-mentioned results.

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1.02 It is further the intention of the parties to facilitate peaceful adjustments of differences which may arise from time to time between the Employer and any employees covered by this Agreement.

ARTICLE 2

RECOGNITION

2.01 The Company recognizes the Union as exclusive bargaining agent for all production, maintenance, sanitation and distribution centre employees at the Employer's plant and distribution centre located at 2500 and 2490 Royal Windsor Drive, Mississauga, Ontario, respectively, save and except stationary engineers, office and sales employees, laboratory technicians, staff engineers, guards and supervisors, for the purpose of collective bargaining in respect to wages, hours of work and other conditions of employment.

ARTICLE 3

UNION SECURITY

3.01 Membership in the Union shall be a condition of employment of each employee after such employee has completed thirty (30) calendar days of service with the Company or thirty (30) days after the effective date of this Agreement, whichever is the later.

3.02 The Company shall deduct from the wages of employees the amount of regular Union dues and initiation fee payable by the members to the Union. Such deduction shall be made from the first full pay period of the month and forwarded to the Secretary-Treasurer of the Local Union by the fifteenth (15th) day of the month.

ARTICLE4

ANTI-DISCRIMINATION

4.01 The Company and the Union will not discriminate as defined by applicable laws against any employee because of race, ancestry, place of origin, colour, ethnic origin, citizenship, creed, sex, sexual orientation, age, record of offences, marital status, same-sex partnership status, family status or disability.

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ARTICLE 5

MANAGEMENT RIGHTS

5.01 The management of the Company and the direction of the working force are vested exclusively in the Company and shall not in any way be abridged except as specific restrictions are set forth in this Agreement. The management hereby retains the sole control over all matters concerning the operations, management and administration of its business; or the service to be rendered; the direction, instruction and control of employees, including but not limited to the determination of employees to perform work, the assignment of work, the right to select, hire, reclassify, promote, transfer, discipline for just cause, suspend, separate or rehire; the right to determine job content and create new job classifications, determine the hours of work, the starting and quitting times, the processes, methods and procedures to be employed, the right to make and enforce rules and perform all other functions inherent in the administration and/or management of the business except as expressly limited by the terms of this Agreement.

5.02 It is agreed that the management maintains and retains all of its rights, powers, privileges and authority and that they are vested solely and exclusively in the Company unless specifically relinquished or modified by this Agreement, and further, that the enumeration of management's rights herein shall not be deemed to exclude any other of management's rights not specifically enumerated.

5.03 Subject to prevailing legislation the Company shall have the right to retire employees under the Company Pension Plan whenever an employee is eligible for normal retirement thereunder and, upon such retirement, the employee in question shall cease to work for the Company and such cessation shall not be deemed to be a discharge subject to the grievance and arbitration section of this Agreement.

ARTICLE 6

WAGES AND HOURS

6.01 During the term of this Agreement, the attached scale of wages shall be paid by the Company to the employees at the facilities described in Article 2.01 of this Collective Agreement.

6.02 The Payroll is defined as the twenty-four (24) hour period commencing with the start of the employee's shift. The payroll week will run from 00:01 hours on Monday to 24:00 hours on the following Sunday. The normal first shift of the week, on two (2) or three (3) shift operations, will begin on Sunday night at 24:00 hours. The normal shift hours are as follows:

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Night Shift - 24:00 to 08:15

Day Shift- 08:00 to 16:15

Afternoon Shift - 16:00 to 00:15

6.03 All work performed in addition to a full normal shift, whether the work is before or after the shift, shall be deemed overtime and shall be paid for at time and one-half (1 %) including shift differential, if any.

6.04 With the exception of employees completing a regular shift, time and one-half (1%) will be paid for work between midnight Friday and midnight Saturday and double (2) time for work between midnight Saturday and midnight Sunday.

6.05 There will be no pyramiding of overtime or premium rates on any given day. In the event more than one premium rate applies in any given day, only the highest single premium rate will be paid for work performed on that day.

6.06 If an employee is injured at work and a physician determines that the employee is unable to work, the employee will be paid the employee's regular hourly base rate for all time lost from the employee's regular shift for the balance of that day.

6.07 If an employee on a continuous shift operation is not relieved by the employee on the same operation in the succeeding shift, the employee shall continue for a maximum of four (4) hours or until relieved in accord with the overtime provisions, whichever is the shorter period.

ARTICLE 7

REPORTING PAY

7.01 Any employee reporting as scheduled to work on any shift shall receive not Jess than four (4) hours' work or four (4) hours' pay at the appropriate rate for said shift, based on the employee being present, ready, willing and able to work four (4) hours unless:

(a) the employee leaves of his or her own accord or due to illness;

(b) there is a lack of work because of causes beyond the control of management, such as fire, tornado, power failure or other similar emergencies;

(c) there is a work stoppage because of a labour dispute occurring at this plant or work stoppage evolving from the Occupational Health and Safety Act.

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7.02 An employee called back for work prior to four (4) hours before the start of the employee's regular shift shall be given not less than four (4) hours' pay at the appropriate rate of overtime. A maintenance employee on such call-back will be required to complete only emergency assignments and will be paid a minimum of four (4) hours at the appropriate rate.

7.03 Any employee called in to work four (4) hours or less before the start of the employee's regular shift will be required to work all hours prior to the start of his or her shift.

ARTICLES

REST AND LUNCH PERIODS

8.01 All employees working a normal shift during the payroll week shall be given two (2) paid scheduled rest periods of ten (1 0) minutes each during any given shift. The time specified above means a total time away from the job during the shift, except in case of emergency.

8.02 When an employee is expected to work in excess of one (1) hour beyond the end of his or her regular shift, a ten (1 0) minute rest period will be given at the end of the employee's regular shift. An additional ten (1 0) minutes will be given at the end of ten (1 0) hours if the employee is expected to work in excess of one (1) hour beyond the end of ten (1 0) hours.

8.03 Each employee working a regular shift will receive a one-half (1/2) hour lunch period, fifteen (15) minutes of which will be on the Company time.

8.04 Every effort will be made to schedule rest periods near the middle of the first and second halves· of the shift and lunch periods near the middle of the shift.

ARTICLE 9

RATE OF PAY ON TRANSFERS

9.01 Employees in any classification are expected to perform any duties to which they may be reasonably assigned.

9.02 Employees temporarily transferred to a higher rated job shall receive the higher rate for the time spent on that job on an hour-by-hour basis. When an employee is temporarily transferred from a bid job on the request of the Company and assigned to a lower rated job, the employee will receive the employee's regular rate of pay while on this temporary job as long as the employee's bid job is operating. When an employee's bid job is not operating and the employee has necessary seniority and

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qualifications to work on a job which is available according to other sections of this Contract, the employee will receive the rate of that job.

9.03 The company will make best efforts not to transfer an employee to another job during their trial period.

ARTICLE 10

SENIORITY

1 0.01 Seniority is defined as the period of an employee's continuous service from most recent date of hire in the bargaining unit. Seniority will be determined by the earliest clock-in on the first day of work.

1 0.02 Employees shall lose all seniority rights and rights to employment in the event they:

(a) Are discharged.

(b) Voluntarily quit or retire.

(c) Are laid off continuously in excess of eighteen (18) months or for a period equal to length of continuous service, whichever is less.

(d) Are laid off continuously for less than eighteen (18) months but fail to report for work within five (5) working days after notice of recall directed to the last known address of the employee. An additional period of time to report to work may be granted by the Company.

(e) Have been granted a leave of absence and do not return at the expiration date unless every reasonable effort has been made to notify the Company of inability to return to work, and the reason for the inability to return is acceptable.

10.03 A new employee entering the service of the Company will be considered a probationary employee until completion of the first sixty (60) calendar days of continuous service, which must include at least thirty (30) days worked. Benefit coverage for new employees will commence upon completion of the probationary period.

Probationary employees will acquire no seniority rights unless they are retained at the end of their probationary period, after which seniority will be retroactive to employment date. A probationary employee has the right to grieve his or her dismissal for just cause (i.e. not arbitrary or bad faith for probationary employees).

10.04 Fixed shifts will apply to the production department. Biweekly rotation of shifts will apply to all maintenance jobs which are regularly scheduled on more than one shift. This may be varied in both departments from time to time to facilitate special training of certain employees and to meet production needs. Where the company deems it necessary to provide further training to an employee, it shall undertake to discuss the matter with the Union President in advance.

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In the Maintenance Department the rotation of the shifts will be in the following sequence unless changed by mutual agreement:

1. Day Shift 2. Midnight Shift 3. Afternoon Shift.

1 0.05 A person hired for

1 . Temporary increases in production and special programs expected to last not more than thirty (30) days with the exception of the time period between October 1 to January 15.;

2. Temporary absences due to illness or injury expected to last not more than thirty (30) days;

3. Promotional packing and labeling; or 4. Vacation relief

is considered to be a temporary employee for 120 days worked in a twelve (12) month period and will not acquire seniority standing unless and until they are permanently employed. This period of 120 days worked may be extended by mutual agreement of the parties and such agreement shall not be unreasonably withheld. Temporary employees shall be paid at the probationary rate of pay for the classification they are performing. If they become permanent employees, seniority shall be retroactive to date of hire. Employees so hired shall be notified of their status at the time of hiring, as will the Union, and at such time as they become permanent, if such event occurs.

As is current practice, requested extensions to the thirty (30) day time frames specified in 10.05 (1.) and 10.05 (2) will not be unreasonably withheld.

It is not the Company's intention to replace bargaining unit positions with temporary employees. Temporary employees shall be laid off prior to any layoff of seniority employees.

Temporary employees will commence paying union dues after they have worked in any particular period of temporary employment for greater than 30 day and will continue to pay union dues when hired for any subsequent temporary work.

10.06 Employees promoted to salaried positions will retain and accumulate seniority for six (6) months from date of promotion. If the employee is not returned to the bargaining unit within six (6) months of date of promotion, all Union seniority rights will be lost. An employee returning to the bargaining unit within a six (6) month period will be given a base rate job, except in the Maintenance Department, where the employee will return to the employee's previous classification.

1 0.07 A Plant seniority list will be published and posted every two (2) months. A copy of the list will be forwarded to the Union.

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1 0.08 The following are recognized divisions for operations at the facilities described in Article 2.01 of this Collective Agreement:

(a) Production

(b) Distribution Centre

(c) Maintenance

(d) Sanitation

ARTICLE 11

PROMOTIONS

The following procedures will be used in filling all permanent openings, except Maintenance above Class "D".

11.01 The vacancies will be posted for bid for a period of three (3) working days showing shift, job title, job duties, or content, required qualifications, and rate of pay.

11.02 Bids will be made in writing (name, seniority number, job desired and date), and submitted to the Plant Manager. Employees scheduled for vacation may, prior to leaving, enter their bid on a specific job which may be posted during their absence or have their bid entered by proxy by a Union Steward.

11.03 The posted job will be awarded to the senior employee who has the physical requirements and is considered able to perform or learn to perform the work in a reasonable time. An employee awarded the posted job will be placed in the job or be paid the rate of the posted job two (2) weeks after the job is awarded providing the new posted job is available. Subject to the needs of the business, the Company will endeavour not to move a successful bidder during the first five (5) days of the trial period.

11.04 An employee who has been awarded a bid job shall be given a fair trial and training on the job during which time the employee will receive the rate of the new job. During the first five (5) days of the trial period, the employee may reject the job and return to his prior job, in which case the job will then be awarded to the next eligible employee who bid for the job.

11 .05 An employee will be considered qualified if the employee can maintain established production and quality standards with no more supervision than is required by other qualified and capable employees on the same job. If the employee fails to qualify on the new job, the employee will be reassigned to a base rate job.

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11.06 An employee awarded and qualified on a bid job shall be required to remain on that job for a period of one (1) year and shall not be permitted to give up the job during that time except under the following circumstances:

(a) To bid on another job the employee has not held within the last twelve (12) months.

(b) To enter the Maintenance Department Progression Plan.

(c) Where the employee is removed because of unsatisfactory work.

(d) Management will consider any valid reason presented by a bid job holder for giving up a bid job when it can be proved that a real hardship is being worked on an individual.

11.07 If the above procedure fails to fill the vacancy, recourse will be had to the hiring procedure.

11.08 Strictly temporary assignments will be made by management. Any temporary assignment of three (3) months or more will be posted.

11 .09 Entry into and progression within the Maintenance Department will be in accordance with the Maintenance Progression Plan outlined in Appendix "8".

11 .1 0 Employees desiring a permanent bid job posting may leave their name on file with the Plant Manager indicating the job which they are interested in occupying. In the event that such employee is absent due to illness or accident at the time when the vacancy in such job is posted, the Company will use its best efforts to advise the employee of the vacancy by placing a telephone call to the employee's last known telephone number. Such call will be made only in the event that the absent employee has the required seniority and qualifications to enter a bid for the job in question and provided that the employee is expected to return to work within thirty (30) calendar days from the date of posting. The telephone call in question shall be confirmed in writing to the employee if the Company is able to contact the employee by telephone. The employee must at the time of the telephone call advise the Company of his or her desire to apply for the posted vacancy.

ARTICLE 12

OVERTIME DISTRIBUTION

The parties agree that some overtime work is necessary in this operation and that the right to claim overtime creates a corresponding obligation on the part of the employees to perform such work. Therefore, the Union consents to overtime up to the maximum permitted under Ontario Law.

Recognizing that some employees prefer not to work overtime while others desire it, the parties hereby agree to distribute overtime as follows:

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12.01 Overtime will be distributed as outlined in the following procedures in the departments which are:

(a) Dry Product

(b) Dry Packing

(c) Quality Control

(d) Sanitation

(e) Distribution Centre operations, including warehouse operator, reclaim operator.

12.01 A DAILY OVERTIME IN PRODUCTION

(1) Employees desiring to work daily overtime in their department (except early start­up), will be required to sign the overtime list in the supervisor's office in their department prior to the start of their shift.

Employees desiring to work daily overtime on a plantwide basis will be required to sign the overtime list in the packing room supervisor's office for employees in departments (a) to (e) and the distribution centre office for employees in department (f) as outlined above, prior to the start of their shift.

Employees may remove their names from the list prior to the start of their shift. Any employee who signs the plantwide daily overtime list must also have signed his or her daily departmental overtime list, otherwise the employee will not be eligible for daily plantwide overtime. In all circumstances, departmental overtime requirements shall take precedence.

Employees on the early start-up list must add or delete their names prior to the start of their shift on the Thursday preceding the early start-up. During the period of the four (4) day work sharing program, employees will be required to add or delete their names prior to the start of their shift on the Wednesday preceding the early start-up.

(2) If overtime is deemed necessary, it will be distributed by seniority in the following order of preference by shift to those qualified employees whose names are on the daily departmental and daily plantwide overtime lists:

(1) bid job holder (2) department wide (3) plantwide (4) weekend worker

If overtime requirements are not filled per the above, the first junior qualified employees in the department, by shift, will be assigned the overtime.

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(3) When an employee is assigned or scheduled to work temporarily in another department, the employee will retain his or her rights to overtime in the department from which the employee was transferred subject to the provisions of this Article. The employee will not be entitled to overtime in the department to which the employee is assigned or scheduled except as he or she is entitled to by qualifications and seniority as outlined in this Article.

(4) Early start-up and plant shutdown will be classed as daily overtime.

(5) Unqualified trainees may be scheduled a reasonable number of times to perform early start-up without assistance if this is needed to complete their training.

(6) There will be an overtime list posted for employees to sign prior to 15:00 hours on Friday (or on the last work day of the week), to indicate their willingness to work before the start of their shift on the first working day of the week. No employee will be permitted to sign the list after 15:00 hours or to change his willingness to work. If an employee works on Friday (or on the last work day of the week), the employee is also eligible to work before the start of his or her shift on the first working day of the week.

If daily overtime is deemed necessary and no one has signed the overtime list as per Article 12.01 A, the overtime will be assigned as per Article 12.01 A2. It has been agreed that the last paragraph of Article 12.01 A2 will apply.

However, if the junior qualified employee can find another qualified employee who is willing to work the overtime, from any other production department and from the same shift the employee has been working on, the company will grant his or her request.

If overtime comes up in the department of the replacement employee, the responsibility to work the overtime will go back to the junior qualified employee in the department, where the overtime originated. Once again Article 12.01 A2 last paragraph will apply. All swaps have to be agreed upon with the supervisor and a written note has to be turned over to the supervisor stating that "1, , have agreed to work overtime for on

"

The employee working the overtime will be paid the rate of the job he or she performs.

12.01 8 WEEKEND OVERTIME IN PRODUCTION

(1) Employees desiring to work weekend overtime will be required to sign their names on a weekend overtime list kept in the packing room supervisor's office by 16:30 hours on the Wednesday preceding the weekend. Employees will not be allowed to add or delete their names after this time except in extreme emergencies. The schedule will be posted by 16:00 hours on the Thursday preceding the weekend.

(2) Weekend overtime will be assigned to those qualified employees who have signed the list, by seniority and by the shifts they worked during the week, in the following order of preference:

(1) bid job holder

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(2) scheduled job holder (3) bid job holder (other shifts) (4) department wide (all shifts) (5) plant wide (all shifts)

If sufficient qualified employees have not signed, the junior qualified bid or scheduled job holders in the department will be required to work.

(3) On weekend shutdown, including holiday weekend shutdowns, where a limited number of production employees may be scheduled, it is understood that production employees on the last shift will complete shutdown and finish specific production jobs as daily overtime for the first four (4) hours or less and will take precedent over call-back or call-in of employees not scheduled.

It is further understood that the Company will not call other employees in at the end of four (4) hours of daily overtime to finish up what might take a half hour or so.

Employees scheduled for early start-up will not be eligible for overtime past 08:15 hours on the start-up day.

12.02 DISTRIBUTION OF OVERTIME IN THE MAINTENANCE DEPARTMENT

Maintenance Department overtime will be assigned to available employees according to the skills and ability required to perform the work to be done as follows:

(a) Early Start-Up Shift

The senior Mechanic on the start-up shift who is scheduled within each building and is capable of plant start-up will be offered the overtime. If this employee refuses, it will be offered to the next most senior Mechanic scheduled to work in the building and on the start-up who is capable of start-up.

In the event all senior employees scheduled in the building refuse the overtime, it will be offered to the other Mechanics on that shift capable of start-up in order of seniority, with the understanding that if all Mechanics on that shift refuse the overtime, the most junior Mechanic on that shift capable of start-up will be required to start up the plant.

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It is understood that mechanics scheduled to a building may be required to assist in all buildings on early start-up if the necessity arises.

Electricians will be scheduled similar to the above.

(b) Daily Overtime

Daily Overtime, other than early start-up, such as specific jobs, will be offered in the first instance to the Mechanic who was performing the job during the shift. If more than one Mechanic was performing the job during the shift and only one is required to continue the work on overtime, this will be first offered to the more senior Mechanic qualified on the job being done.

(1) Overtime other than specific jobs will be classified as general overtime and will be first offered to the senior qualified Mechanic scheduled in the building most capable of performing that work.

(2) The same principle will be applied to call-ins and call-backs.

(c) Weekend Overtime

Weekend overtime will be offered in the following manner to qualified employees who have signed the overtime list:

(1) Employees that worked the shift during the week.

(2) Employees that worked the day shift during the week.

(3) Employees that worked the night shift during the week.

(4) Employees that worked the afternoon shift during the week.

(5) On weekend shutdown, including holiday weekend shutdowns, it is understood that maintenance employees on the last shift will complete shutdown and finish specific maintenance jobs as daily overtime for the first four (4) hours or less and will take precedence over call-back or call-in of employees not scheduled. It is further understood that the Company will not call other employees in at the end of four (4) hours of daily overtime to finish up what might take a half hour or so.

(6) Employees scheduled for early start-up will not be eligible for overtime past 08:15 hours on the start-up day.

(d) The Maintenance Supervisor will determine the qualifications of employees, what overtime is required, when overtime is required and what classification of employees is required to work the overtime. Based on qualifications, employees within those classifications

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required to perform the work will be offered the overtime. Higher classifications will not be permitted to work at lower classification jobs unless all employees in the classification required refused, in which event the employees in the next highest classification will be offered the overtime at the lower classification rate. Under normal circumstances, the junior employee in the classification scheduled will be required to work.

12.03 GENERAL

(a) The rate of pay for all production overtime will be the established rate for the job.

(b) Employees who work twelve (12) hours or more will receive a meal allowance of six dollars and fifty cents ($6.50).

(c) If a supervisor calls an employee at home to offer overtime work but gets no answer, another employee or representative of the Company will be asked to verify that the employee could not be reached.

(d) Pursuant to Article 12.01 A & B and 12.02(c) of the Collective Agreement, only employees who have signed the overtime lists are entitled to claim overtime. Employees who do not sign the overtime lists are not entitled to claim overtime.

ARTICLE 13

LAYOFF AND RECALL

13.01 SHORT TERM LAYOFF

In the event it becomes necessary to reduce the workforce in a department for a period expected to last one full day but less than thirty (30) working days, employees will be laid off according to seniority provided those remaining are qualified to perform available work without additional training. Those affected by the layoff may exercise their seniority and claim any job, providing they are qualified. When it is necessary for employees to move from one shift to another to so exercise seniority, there shall be at least seven (7) hours• rest between the two shifts. This could result in the employee working 16 hours in a 24 hour period. Straight time will be paid for all such hours worked and Articles 6.02 and 6.03 shall not apply. In the event it becomes necessary to reduce the workforce in a department for a period of less than one day, seniority will be applied where practicable.

13.02 In the event of a long term layoff (where the reduction is expected to last thirty (30) working days or more) or job abolishment in Production, employees so affected will have the right to exercise seniority to claim any job provided they can be trained. Entry into the Maintenance Department may not be gained by exercising seniority at time of layoff.

13.03 If necessary to reduce forces in the Maintenance Department, employees in the lowest classifications in the Maintenance Department will be the first laid off

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according to seniority. Affected employees will be permitted to exercise their seniority to remain in the workforce provided qualified, and will be assigned the job created by removal of the junior plant employee.

13.04 Employees will be recalled from layoff based on seniority and qualifications. Employees will be recalled from layoff after the provisions of Article 11 have been followed. Where the recall is to a permanent bid job opening, the senior employee who has the physical requirements and is considered able to perform or learn to perform the work in a reasonable time, will be recalled.

13.05 In the event of a layoff where notification of scheduled return is posted and an employee fails to return, the absenteeism rules will apply.

13.06 Notwithstanding their position on the seniority list, the President and most senior department steward on each operative shift to a maximum of four (4) employees will be retained in active employment during a layoff which exceeds one (1) day, provided they are qualified in accordance with Article 11.05 to perform the work available.

13.07 Should a Work Sharing Agreement be signed for the Plant, but not for the Warehouse, employees intending to exercise their seniority must notify the Company in writing within three (3) days of the posting of the Work Sharing Notice.

13.08 It is understood that during periods of Work Sharing, there may be Maintenance work available for employees in the Maintenance Department, on shifts other than that they would normally be scheduled. Under these circumstances, the said employees will be transferred to another shift, even though no lay-off has occurred in the Department and under the following conditions:

(1) There must be at least seven (7) hours between shifts.

(2) Overtime rates will not be paid for the work performed as a result of the shift change.

13.09 The Company will provide, when possible, three (3) months advance notice to the Union of the closure of the factory. The Company will also advise the Union of other changes that will result in permanent layoff.

13.1 0 Seniority employees who are permanently laid off shall be eligible for severance pay at the end of their recall period. Severance will be calculated on the basis of one week of pay per year of completed service with the Company up to the date of permanent layoff.

The recall period shall end when a full time employee has been on lay-off beyond eighteen (18) months. Severance pay shall be paid to such full time employees who are permanently laid off. The employee will have the right at the time of layoff to waive in writing his right to recall and shall then receive severance pay.

13.11 In the event of a plant closure during the life of the current contract term (January 1, 2010- December 31, 2013) the company will agree to provide the union with as much advance notice as is reasonably possible. Furthermore, should such situation

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arise during this contract term, the parties agree to create an employee adjustment committee to negotiate possible ways to minimize the adverse effects upon employees.

ARTICLE 14

HOLIDAYS

14.01 The following are recognized paid holidays:

New Year's Day Heritage Day (2nd Monday in February) Good Friday Victoria Day Canada Day Civic Holiday

Labour Day Thanksgiving Day December24 Christmas Day Boxing Day New Years Eve

Canada Day will be celebrated on Monday or Friday of the week in which the holiday falls as selected by management.

14.02 If a holiday falls during a paid vacation, the employee shall have the option of taking the holiday at a mutually agreed time or being paid for the paid holiday in the amount of eight (8) hours at the employee's straight time rate provided the employee is eligible for such holiday pay.

14.03 Holidays falling on Saturday will be celebrated on Friday or Monday. Holidays falling on Sunday will be celebrated on Monday. However, the December 24 holiday will always be observed on that date and will not be moved if it falls on a weekend.

14.04 Straight time eight (8) hours will be paid for the above holidays if not worked provided the employee:

(a) works as scheduled on the work day immediately preceding and following the holiday unless the employee receives a leave of absence for good cause from the appropriate supervisor or the employee is absent due to illness, in which case a doctor's certificate must be produced; and

(b) has good reason for not reporting in the event the employee is requested to work on the holiday; and

(d) is not on disciplinary suspension; and

14.05 An employee required to work on a holiday will be paid at the rate of double (2) time for the actual hours worked in addition to the eight (8) hours straight time pay as set forth above.

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ARTICLE 15

VACATIONS

15.01 In recognition of continuous service to the Company, the following vacation program will apply to all regular employees:

Years of Service After1 After5 After10 After20

Vacation Allowed 2 weeks 3 weeks 4 weeks 5 weeks

Compensation* 4% 6% 8% 10%

*Percentage of hourly rate, shift premium pay, overtime, weekly worker's compensation subsistence payments (excluding lump sum settlements) weekly indemnity, vacation and holiday pay received by the employee in the employee's last calendar year.

15.02 In determining the length of continuous service under this Article an employee will be given credit for time spent in the service of the Company as indicated upon the employee's employment record. The term "continuous service" shall mean active service without interruption, except when due to sickness, injury, temporary shutdown or other legitimate reasons approved by the Company.

15.03 (a) The Company reserves the right to designate the particular time such vacations shall be taken by employees. However, the principle of seniority shall apply so far as is reasonable. Vacations must be taken as time off and must be scheduled within the vacation period of January 1 to December 31.

With the exception of Maintenance, all employees entitled to vacation during the calendar year will be required to take up to two (2) weeks of such vacation during any summer shut-down if such is scheduled. Management will advise whether a summer shutdown will occur by March 1 of each year and if one is scheduled, will at that time designate the date for the summer shutdown. Employees not entitled to a vacation will work during the shutdown provided work is available. Employees eligible for vacation will not be allowed to bump those

employees who are not eligible. If no summer shutdown is scheduled, employees will be allowed up to three (3) consecutive weeks' vacation within the period January 1 to December 31 except the period June 1 to September 15 when only two (2) consecutive weeks' vacation will be allowed.

Employees may carry over to the following year one (1) week of their vacation. This carry-over week of vacation must be taken by April1 of the following year.

All vacation schedules will be confirmed by April 15 of each year for those employees who have submitted their vacation preference, including any request for a carry-over week, on or before April 1.

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Those employees who do not declare their vacation preference by April 1 will not be permitted to exercise seniority for vacation preference.

(b) In the event the plant is on shutdown for more than two (2) weeks during the summer, employees will be required to take only two (2) weeks of vacation during the regular summer shutdown. For any additional period of shutdown beyond two (2) weeks, employees entitled to further vacation time will be given the opportunity to elect either to take their vacation during the additional shutdown period or to take their vacations as scheduled.

15.04 Any employee who leaves the service of the Company shall be paid on a pro-rata basis for any vacation which the employee has earned since the employee's last anniversary date. Should an employee die, any earned vacation pay shall be paid to the employee's designated beneficiary based on the above.

15.05 Starting with the calendar year following the employee's second anniversary, vacations may be scheduled during the calendar year in advance of actually being earned.

15.06 Employee vacations will run from 00:01 Monday to 24:00 on the Sunday following the completion of their vacation. Employees on vacation will not be eligible for overtime during the above vacation period nor will they be called in for overtime off vacation. The above does not apply on the first (1st) working day following a vacation, in which event regular overtime procedures will prevail. Subject to the needs of the business, the Company will endeavor not to force employees to work the weekend preceding their vacation nor to force an employee to work overtime past the end of their last regular shift preceding their vacation.

15.07 It is understood that the Company will not schedule a summer vacation shutdown for the Warehouse. The Warehouse will normally be shut down for statutory holidays, but for no longer than three (3) consecutive days. There shall be no bumping between the Plant and Warehouse during these periods.

ARTICLE 16

LEAVE OF ABSENCE

16.01 A leave of absence is defined as an unpaid absence from work which is requested in writing from the employee and approved by the Company. The granting or disallowance of requests for leaves of absence and the duration of same shall be left to the discretion of the Company. The Union will be notified of approved leaves of absence.

16.02 A request for leave of absence shall be submitted in writing with reasonable advance notice prior to the date the leave is to become effective.

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16.03 Members of the Union, not exceeding three (3) in number, will be granted, provided production requirements permit, a leave of absence not exceeding two (2) weeks without pay for the purpose of attending Union conventions or other Union functions, provided written request is made to management one week in advance of the requested leave.

16.04 The Company will grant a leave of absence to two (2) employees (but only one (1) from any department) at any one time for a period of six (6) months for legitimate Union business upon application from the Union's National office, provided four (4) weeks' notice in writing is given to the Company specifying the duration required and the reason for the leave.

ARTICLE 17

STRIKES AND LOCKOUTS

17.01 During the life of this Agreement, the Union will not cause a strike nor will an employee or employees take part in a strike, sympathy strike, intentional slow-down in the rate of production, or any other interference with or stoppage of the Company's work. The Company agrees not to conduct a lockout or shutdown for an anti-union purpose during the term of the Agreement.

ARTICLE 18

JURY DUTY

18.01 An employee called for jury duty shall be reimbursed by the Company for the difference between jury fees and the straight time wages the employee would otherwise have received, (not in excess of eight (8) hours per day or forty (40) hours per week) for the actual time the employee is necessarily required to be absent from work. Such time for which compensation is paid will be counted in computing overtime.

ARTICLE 19

FUNERAL LEAVE

19.01 The Company will grant up to five (5) days' (forty (40) straight time hours) pay for the time necessarily required to be absent from work because of the death of a spouse, child or legally adopted child. The Company will grant up to three (3) days' (twenty-four (24) straight time hours) pay for the time necessarily required to be absent from work because of a death in the immediate family of the employee. For purposes of this article only immediate family shall include common law spouse and same-sex partnerships.

These days are to be taken on consecutive working days but weekends not worked will not apply.

19.02 The term "immediate family" is defined to include only the mother, father, brother, sister, mother-in-law, father-in-law, brother-in-law and sister-in-law. For purposes

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of this article only immediate family shall include common law spouse and same-sex partnerships.

19.03 One day off with pay (eight (8) hours at straight time) will be granted to attend the funeral of the grandparent or grandchildren of the employee or of the employee's spouse. For purposes of this article only immediate family shall include common law spouse and same-sex partnerships.

ARTICLE 20

UNION REPRESENTATION

20.01 The Company acknowledges the right of the Union to Appoint, or otherwise select from among the permanent employees of the Company, a Union Executive Committee, the membership of which shall consist of five (5), one of which shall be the Local President.

20.02 The Company will recognize said Committee for the purpose of attending grievance meetings with management and for negotiating renewal amendments to this collective agreement. It is understood and agreed that a National Representative of the Union may be present at all such meetings.

20.03 The Company further acknowledges the right of the Union to appoint or otherwise select from among the permanent employees of the Company three (3) stewards.

20.04 The Union agrees to supply the Company with the names of the members of the Executive Committee and Stewards.

20.05 It is understood and agreed that the stewards and Executive Committee members have their regular duties as employees to perform. Both Stewards and Executive Committee members may require time to service grievances or tend to other union/management meetings and where the steward or committee member has secured advance authorization form their supervisor, such authorization shall not be unreasonable withheld.

20.06 An employee who may be subject to disciplinary action, will be advised that they have the right to have a union steward present for meetings relating to the disciplinary process.

ARTICLE 21

GRIEVANCE PROCEDURE

For the purposes of this Article, working days shall be defined as Monday through Friday and excludes holidays or Company shutdowns when the employee does not work.

Disputes arising during the life of this Agreement between the Company and the Union or an employee regarding the application or interpretation of this Contract will be settled in the following manner:

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21.01 COMPLAINT STAGE

The employee having a grievance shall, with or without his or her steward, at the employee's option, first take it up with his or her immediate supervisor within five (5) working days (three (3) working days for the Weekend Workers) of the occurrence of the matter about which the employee grieves or from the date the employee reasonably had knowledge of the occurrence and every reasonable effort will be made to settle the problem promptly at that point. The supervisor will have three (3) working days from this point to give his or her decision.

21.02 STEP 1

If the matter is not settled at the Complaint Stage (20.01 ), the grievance shall be submitted in writing to the supervisor, signed by the employee and the Union representative, within three (3) workings days of the supervisor's response at the Complaint Stage. The supervisor will have three (3) working days from this point to give his or her decision in writing.

21.03 STEP 2

If the matter is still not settled, the Union may, within five (5) working days of the Step 1 decision, request review by the Plant Manager or, in the Plant Manager's absence, the Vice-President of Product Supply and such meeting shall be held within five (5) working days of the referral or such other date as is mutually agreed upon. Representatives at Step 2 will be

on behalf of the Union: the grievor, union steward, local president, National Representative

on behalf of the Company: the supervisor, Department Manager, Plant Manager, Human Resources Manager, and an additional Company representative if so required

The Company will submit its decision within five (5) working days of this meeting.

21.04 While presenting grievances to management, the following employees will not lose straight time pay they would otherwise receive:

(a) the grievor and the grievor's steward in 20.01

(b) the grievor and up to two (2) Union representatives in 20.03.

21.05 A Union representative will not lose straight time pay he or she would otherwise receive when requested by management to be present for any discussion in connection with the labour agreement. Provided permission has first been obtained from the immediate supervisor, a committee person or steward will be permitted to investigate or process a grievance without loss of straight time pay, provided further that only one such Union representative can be engaged in this activity at a single time.

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Grievances not processed by the Union within the above time limits, unless such are waived specifically by mutual agreement, may be considered in the grievance procedure but will not be subject to arbitration.

21.06 The Company will notify an employee, in writing, of potential disciplinary action within five (5) working days of becoming aware of the occurrence of the triggering event. It is sufficient if an employee is notified, in writing, that the matter is still under investigation if the investigation is incomplete.

ARTICLE 22

ARBITRATION

22.01 If a grievance or dispute is not amicably adjusted in the Grievance Procedure, the Union may submit the grievance for final decision of an arbitrator provided request for arbitration has been made within thirty (30) days of the Company's reply in Step 2 of the Grievance Procedure. The arbitrator shall be selected by mutual agreement of the Company and the Union. If the parties cannot agree within a period of ten (1 0) days on the selection of an arbitrator, they will request the Office of Arbitration of the Ministry of Labour to submit a list of arbitrators from which a mutually agreeable arbitrator shall be selected by the parties.

22.02 The arbitrator so named shall fix a time and place for hearing evidence on the matter and render a decision as soon as is reasonably possible. Said decision shall be in writing and the findings of fact and interpretation of this Contract with regard to a particular issue in dispute shall be final and binding on the parties.

2The arbitrator shall have no authority to consider more than one grievance unless the parties mutually and specifically agree to the contrary. Although it is understood that the arbitrator shall have the authority to amend a disciplinary penalty, the arbitrator will not be authorized to amend or change the contents of this Agreement unless mutually agreed to by the Company and Union.

22.04 The expenses of the arbitrator, together with any other expenses of the arbitration mutually agreed to, shall be equally divided between the Union and the Company.

ARTICLE 23

BENEFITS

23.01 The Company will not make any changes in its present employee benefit plans which affect the employees in the bargaining unit without agreement with the Union. Employees will continue to be covered under the following benefit plans:

(a) OHIP. The Company will pay the entire premium but, if OHIP premiums are phased out, the Company will be relieved of its obligation to make such payments.

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(b) Weekly Indemnity. The Company agrees to maintain the payment of premiums necessary on the existing plan benefit of 66 2/3% of regular non-premium weekly earnings to a maximum benefit of $580.00 effective January 1 , 201 0. The Company will retain the full unemployment insurance premium credit, if any, available from Human Resources Development Canada in return for negotiated benefits.

(c) Employee life insurance as set forth in the benefit booklet.

(d) Pension coverage as set forth in the Company's Pension Plan.

Pension - Increase non Contributory as follows:

Effective January 1, 2010- $21.25

Effective January 1, 2011 - $21.75

Effective January 1, 2012 - $22.00

Effective January 1, 2013 - $22.25

(e) Supplemental health and dental plans as set forth in the employee benefit booklet.

Dental Plan

Basic Dental: Increase basic year maximum to $3100

Major Dental: Increase Major dental maximum to $1600

Health Care Plan

Prescription Glasses- Yr 1 to $250, Yr 2 to $275, Yr 3 to $300

(f) The Company will provide Benefits Booklets for review by the Union within ninety (90) days from the date of ratification and will provide copies to eligible employees.

(g) For an employee who has been temporarily laid off, the Company will continue to pay the premiums to keep the employee enrolled in the insurance plans noted in this Article until the end of the month following the month in which the employee was temporarily laid off.

23.02 It is understood and agreed that controversies about the administration of these plans shall not be subject to the Arbitration Procedure of this Agreement.

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ARTICLE 24

OCCUPATIONAL HEALTH & SAFETY

24.01 EQUIPMENT

(a) The Company will supply, on commencement of employment, the following items of safety equipment on the understanding that any of the items lost or damaged (other than through fair wear or damage occurring during the course of employment) will be replaced at the employee's expense: (1) Bump Hat (2) Hearing Protection (3) Safety Goggles (4) Gloves

It will be mandatory for all employees to wear the above equipment where required by the Occupational Health and Safety Act and Plant Safety Rules.

(b) Supported with receipts the Company will pay to each employee who has completed their probationary period one hundred and forty dollars ($140.00) in the first, second third and fourth year of the Collective Agreement for the purchase of safety shoes, Probationary employees will receive this amount following the completion of their probationary period. The Company will investigate the potential benefits of using a safety shoe truck to supply boots.

(c) Supported by receipts, prescription safety glasses for employees will be reimbursed by the Company up to a maximum of one hundred and sixty dollars ($160.00) effective January 1, 2010.

24.02 OCCUPATIONAL HEALTH AND SAFETY COMMITTEE

(a) In recognition of the desire of the Company and the Union to cooperate in the safety and health of employees, the Company will provide a safe, healthy environment as required by the Occupational Health and Safety Act and employees will accept responsibility for maintaining safe working practice as required by the Act.

(b) A health and safety committee comprising of four (4) members appointed by the Union and four (4) by management will meet in accordance with the regulations set out in the Occupational Health and Safety Act, or more often if deemed necessary, to review all matters pertaining to the Act and/or procedures and policies of the Company, and make recommendations to the Company.

(c) All members of the above committee will be notified of the meetings and those attending meetings.

(d) In the interest of assisting any employee sustaining an incapacitating injury, an occupational or other illness during the course of employment with the Company, the parties shall confer and make an effort to offer suitable employment.

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(e) The Company shall give to the injured worker and the union a copy of the Form 7 when it is submitted by the Company to the Workplace Safety Insurance Board.

ARTICLE 25

SUPERVISORS WORKING

25.01 Supervisors will not be permitted to perform work covered by the bargaining unit except in the following situations:

1 . Emergencies 2. Instruction or training of employees 3. Development of methods and standards 4. Diagnosing production troubles 5. Directing employees to overcome operating difficulties.

ARTICLE 26

SAVINGS CLAUSE

26.01 In the event any clause or part of this Agreement is found by a court or governmental agency to be illegal or null and void, only that clause will be affected and the remaining parts of this Agreement will continue in full force and effect.

ARTICLE 27

AMENDMENTS OR REVISIONS TO AGREEMENT

27.01 This Agreement may be amended or revised in any of its provisions during its existence by mutual consent, provided such amendments or revisions are in writing and are executed by the Company and the Union in the same manner as the Contract.

ARTICLE 28

DURATION

28.01 This Contract shall take effect as of January 1, 201 0 and shall remain in full force and effect until December 31, 2013 and shall be renewed thereafter from year to year, unless either party to the Contract gives notice in writing to the other party at least sixty (60) days prior to its anniversary date of a desire to amend, revise or terminate the Contract. If a change is desired, the notice shall include the requested change.

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28.02 All matters subject to collective bargaining have been considered by the parties hereto and this Agreement constitutes the entire agreement between the parties and supersedes all other agreements, whether written, oral or of whatever kind heretofore made.

IN WITNESS WHEREOF, the parties have caused the Agreement to be executed this __ day of , 2010.

COMMUNICATIONS, ENERGY AND PAPERWORKERS UNION OF CANADA, Locai41-0

NESTLE PURINA PETCARE, A DIVISION OF NESTLE CANADA INC.

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ATTACHMENT "A"

Wage Schedule

ATTACHMENT TO AGREEMENT EFFECTIVE January 1, 2007, between NESTLE PURINA PETCARE, A DIVISION OF NESTLE CANADA INC., (as per Article 2.01) and the COMMUNICATIONS, ENERGY AND PAPERWORKERS UNION OF CANADA, Locai41-0

Effective Effective Effective January 1, January 1, January 1,

2010 2011 2012 CLASSIFICATION PRODUCTION DIVISION

Quality Monitor $25.45 $25.96 $26.58 Mixer Grinder- Dry $25.45 $25.96 $26.58 Processing Operator $25.45 $25.96 $26.58 Process Utility Operator $25.45 $25.96 $26.58 Slurry Processing Operator $24.75 $25.24 $25.85 Packing Room Operator - Dry $24.75 $25.24 $25.85 Packing Utility Operator $25.36 $25.86 $26.48 Palletizer Operator $24.75 $25.24 $25.85 Packing Supply Printing Press Unloader /Sanitation $24.75 $25.24 $25.85

*Temporary Employees for Special 14.00 14.00 14.00 projects

Effective January 1,

2013

$27.25 $27.25 $27.25 $27.25 $26.50 $26.50 $27.14 $26.50

$26.50 14.00

*No seniority employee or employees on regular probation will be paid this rate. This rate will be paid only to temporary employees used for this work

The Company affirms that temporary employees who are backfilling for existing full time employees shall receive the prevailing rate of pay less $1.00. Temporary employees assigned specific tasks (e.g. dumping and re-feed, sweeping in warehouse, etc) shall be paid $14.00. Temporary employees engaged for special projects will only be used when existing full time employees are being utilized during their normal shift. Examples of when temporary employees would be paid the special project rate include: detailed sanitation as a result of visitors coming to the factory or food safety inspections in the mill, processing, packing, or warehouse, product recovery involving refeed, blending, re-packing; and promotional activity (e.g. coupon drops, labeling)

When temporary employees are hired for special projects, the Company agrees to provide the following information to the union in advance:

- number of temporary employees to be hired - the nature of the duties to be performed

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- the anticipated duration of the assignment

ATTACHMENT .. A .. (cont'd.)

CLASSIFICATION

DISTRIBUTION CENTRE DIVISION

Warehouse Operator Reclaim Operator

SANITATION DIVISION

Janitor and Mechanical Sweeper Sanitation Assistant

MAINTENANCE DIVISION

Electronic Technician ** "AA'' Electrician (licensed) ** "AA" Packing Line Mechanic (trade papers or equivalent) Repair Mechanic Class "A" Electrician (licensed) Packing Line Mechanic (trade papers or equivalent) Millwright (trade papers or equivalent) Sheet Metal & Fabricator (trade papers) Forktruck Mechanic (licensed)

Class "B" Electrician (licensed) Packing Line Mechanic (trade papers or equivalent) Millwright (trade papers or equivalent) Sheet Metal & Fabricator (trade papers) Forktruck Mechanic (licensed)

Class "C" Maintenance

Class "D" Maintenance Certified Applicator (licensed)

Maintenance Helper

Effective January 1,

2010

$24.54 $23.19

$22.61 $24.01

$31.81 $30.47

$30.47 30.47 28.62

28.62 28.62

28.62 28.62

26.98

26.98 26.98

26.98 25.79

26.22

25.71 25.45

23.28

Effective January 1,

2011

$25.03 $23.65

$23.06 $24.49

$32.45 $31.08

$31.08 $0.00

$31.08

$29.19 $29.19

$29.19 $29.19 $29.19

$27.52 $27.52

$27.52 $27.52 $26.30

$26.75

$26.23

$25.96

Effective January 1,

2012

$25.63 $24.22

$23.61 $25.08

$33.23 $31.83

$31.83 $0.00

$31.83

$29.89 $29.89

$29.89 $29.89 $29.89

$0.00

$28.19 $28.19

$28.19 $28.19 $26.93

$27.39

$26.86

$26.58

Effective January 1,

2013

$26.27 $24.82

$24.20 $25.70

$34.06 $32.62

$32.62 $0.00

$32.62

$30.64 $30.64

$30.64 $30.64 $30.64

$28.89 $28.89

$28.89 $28.89 $27.61

$28.07

$27.53

$27.25

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ATTACHMENT "A" (cont'd.)

The classification breakdowns above are to signify the employee's trade. Employees in all trades will be expected to perform work in any trade or classification assigned to them.

* Classifications to be given to those in Class .. A .. who are qualified to handle all phases of operations and who have passed the established tests.

Entrants into the Maintenance Helper classification will be required to pass a mechanical aptitude test as established by management.

Shift Differential:

CLASSIFICATION

Afternoon Shift

Night Shift

Shift differentials are not applicable to weekend workers.

Effective Jan 1/10

$0.65

$0.75

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ATTACHMENT "8"

ATTACHMENT TO AGREEMENT EFFECTIVE JanuarY 1, 2007 between NESTLE PURINA PETCARE, A DIVISION OF NESTLE CANADA INC., (as per Article 2.01) and the COMMUNICATIONS, ENERGY AND PAPERWORKERS UNION OF CANADA, Local41·0

A. Selection of Class "D" Maintenance Employees

The following procedure will be followed in considering applicants for job openings in the Class "D" Maintenance classification:

I. The job will be posted for plantwide bid.

2. Those applicants who bid on the job will be given three (3) tests:

a. The A.G.C.T. b. The Bennett Mechanical Comprehension Form "BB" c. The American Arithmetic.

3. The minimum acceptable raw score on the A.G.C.T. test is Raw Score 97, Percentile 80. The Bennett BB is 32, and the American Arithmetic test is Grade 8. Those applicants who equal or exceed the minimum score of these tests will form an eligible group. In cases where language is a barrier, supplementary oral examination can be given. Test shall be retaken at time of bidding.

4. If the senior (plant) employee in the eligible group has satisfactory work habits and work attitude, the employee will be awarded the job. If the employee does not have such satisfactory habits and attitude, then the next in line of seniority in the eligible group who does have these qualities will be awarded the job, etc.

5. The initial qualifying period for Class "D" will be ninety (90) days or such other period as is appropriate under the circumstances.

6. If the above procedure fails to furnish a qualified applicant for the job, recourse will be had to the hiring procedure.

7. Successful applicants must be willing to enter the Apprenticeship Program.

B. Selection of Maintenance Helper

The following procedure will be followed in considering applicants for job openings in the maintenance helper classification:

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ATIACHMENT "B" (cont'd.)

1. The job will be posted for plantwide bid.

2. Those applicants who bid on the job will be required to complete the Bennett Mechanical Comprehension Form "AA" and achieve a minimum raw score of 38, 50 percentile.

3. If the senior (plant) employee in the eligible group has satisfactory work habits and work attitude, the employee will be awarded the job. If the employee does not have such satisfactory habits and attitude, then the next in line of seniority in the eligible group who does have these qualities will be awarded the job, etc.

4. The initial qualifying period for maintenance helper will be ninety (90) days or such period as is appropriate under the circumstances.

5. If the above fails to furnish a qualified applicant for the job, recourse will be had to the hiring procedure.

6. Maintenance helpers can only gain entry into the maintenance progression plan by following the procedure set out in Section A.

C. Maintenance Progression Plan

The parties agree to set up a committee to discuss this Progression Plan. The Committee will report back to the parties with the results of their discussions not later than three (3) months following the date of ratification.

D. Maintenance Employees Hand Tools

While it is recognized that each maintenance employee should have the privilege of choosing his own tools, it is also important for the new maintenance employee to know what tools the employee is going to need as the employee progresses through the various classifications of his or her job.

The attached list of tools should serve as a guide to the requirements of the employees whose primary skills are mechanical or electrical. These lists are considered to be the minimum requirements for job efficiency; changes in operation and equipment may necessitate changes in the tool requirements.

The on-the-job wear and tear or damage to employee's personal tools will be replaced at Company cost, on the approval of the maintenance coordinator.

The Company will ensure tool replacement within Thirty (30) days of the request being submitted.

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HAND TOOL REQUIREMENTS - MECHANICAL

Class A Class 8 Class C Class D Socket wrenches to I" (1/2" drive, 8 & 12 point) X (partial) (partial) Wrenches open end to I" X X X X Wrenches box end 1" X X X Adjustable wrenches 6, 8, 10, 12" X X X X Thickness Gauges X X X Regular screw drivers (I set) X X X X Set of Robertson head X X Complete set of cold chisels X X X Ballpein hammer (16 to 24 oz.) X X X X Claw hammer (16 oz.) X X X Square 24" X X X Level24" X X Line level6" X X Channel locks X X X Pliers X X X X Divider 6" X X Snips Aircraft (combination) Hacksaw X X X X Tape 12• X X X Pin punches to 1/4" X X (partial) Centre punch X X X X Vernier Caliper X Caliper (inside & outside) X X Combination square 12" X Scale 6" X Vise grips (2 pr.) X X 1 pr. Toolbox large enough to hold all tools required X X X X

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HAND TOOL REQUIREMENTS - ELECTRICAL

Class A Class B Class C Class D Voltage tester X X X Side cutter X X X X Set of screw drivers (regular bit) X X X X Set of screw drivers (Robertson) X X Open end wrenches to I" X X X X Adjustable wrenches 6, 8, 1 0, 12" X X (partial) Hack saw (hand) X X X X Knock out punches X X Centre punches (assorted) X X X X Tape 12" X X Plumb bob 8 oz. X X X Level 12" X X Pliers needle nose 6" X X X Channel lock 9 1 /2" X X X 2 - 6" pipe wrenches X 1 - regular pliers X X X X Cold chisel X X X X Wire gauge X X Pocket knife X X X X Drill box (1 /16" to 1 /2") X X X Set of Allen Wrenches X X X X Ballpein hammer X X X X 2 pr. vise grips X X I pr. Toolbox large enough to hold all tools required X X X X

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ATTACHMENT "C"

WEEKEND WORKER

1. The Collective Agreement is amended to the extent necessary to incorporate the following provisions. Wherever the terms of Attachment "C" conflict with provisions of the Collective Agreement, the provisions of Attachment "C" shall prevail. Without limiting the generality of the foregoing, the following clauses of the Collective Agreement shall be inoperative with respect to weekend work and weekend workers except where it is specifically noted to the contrary:

2. Hours of Work

Article 6 Article 8 Article 12 Article 14.05

(a) A weekend worker is defined as an employee who, on a regular basis, is scheduled to work the following three (3) day, 12 hours per shift work schedule: Friday-Saturday-Sunday or an alternative arrangement to be determined during fumigation cycle.

(b) Employees whose normal shift hours are set out in Article 6 of the Collective Agreement shall be referred to as weekday workers.

(c) Weekend workers may be scheduled to work on weekday shifts for the purpose of training, or, on an overtime basis, in accordance with Article 11 of this Attachment "C".

(d) A weekend shift is defined as in (a) above. The payroll week will commence on the first day worked on the shift (i.e. Friday or Saturday).

(e) Weekend workers shall work three (3) twelve (12) hour shifts with the typical hours as follows:

Thursday Friday Saturday Sunday Non- X X X Sanitation Week Sanitation Week

(f) Each employee working weekend worker hours of work shall receive four (4) ten (1 0) minute paid breaks during the course of each shift, as well as a one-half (%) hour lunch break, fifteen (15) minutes of which will be on Company time.

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(g) Weekend workers are not entitled to shift differentials.

(h) During Sanitation cycles (e.g. Fumigation), Weekend workers shall be scheduled to work the hours as set out in (e) above.

3. Pay - The guiding principle is that Weekend workers are scheduled for thirty­six (36) hours and get paid for forty-four (44).

(a) Weekend workers shall receive twelve {12) hours pay at the base rate of pay for the classification in which they are working as set out in Attachment "A" for each complete weekend shift worked (i.e. thirty-six (36) hours pay for each weekend worked) and shall also be credited with eight (8) additional hours each week.

(b) If a weekend worker is required to work outside of the normal weekend hours of work they shall be paid at the rate of time and one-half the base rate of pay for the classification as set out in Attachment "A" for each such hour worked. However, if a weekend worker is scheduled to work on weekdays for the purpose of training, such weekend worker shall be paid at the base rate for the classification as set out in Attachment "A".

4. Weekend Vacancies

Whenever a permanent opening occurs on a weekend shift, weekday workers will be eligible to bid for the opening along with weekend workers in accordance with Article 11 of the Collective Agreement. If no successful applicants are found from within the bargaining unit recourse will be had to the hiring procedure.

5. Vacation and Vacation Pay

Vacations and vacation pay shall be granted in accordance with Article 15 of the Collective Agreement except that for weekend workers one weekend ''work week'' (thirty six (36) hours plus 8 credited hours) shall equal one (1) week's vacation.

6. Holidays

Each weekend which is not worked by a weekend worker is equal to five (5) holidays as set out in Article 14. Any such weekend not worked shall be scheduled at the discretion of the Company. In order to qualify the weekend worker must meet the requirements of Article 14.04 as modified below. Any balance of negotiated holidays will be paid based on eight (8) hours at the base rate of the classification as set out in Attachment "A". For pay purposes, the Company will designate when the holidays are to be paid. In order to qualify for such payment the weekend work must meet the requirements of Article 14.04 of the Collective Agreement except as modified below:

b) works as scheduled on the weekend immediately preceding and following the holiday, unless the employee receives a leave of absence for good cause from the appropriate supervisor or the

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employee is absent due to illness, in which case a doctor's certificate must be produced;

7. Weekly Indemnity

(a) Accident and Hospitalization - One-half (%)the present weekly benefit for each twelve (12) hour shift missed.

(b) Sickness - Same as above except the benefit is payable after the first twelve (12) hour shift missed.

8. Pension Plan

Pension calculation is based on years of continuous service. For the purpose of pension calculation, each weekend shift worked is equivalent to one full calendar week.

9. Jury Duty

An employee called for jury duty shall be reimbursed by the Company for the difference between jury fees and the normal pay the employee would otherwise have received for the actual time the employee is necessarily required to be absent from work.

1 0. Bereavement Leave

If the three (3) day or one (1) day leave falls during the weekend worker's schedule, the Company will pay the normal pay rate (twelve (12) hours pay) for the day(s) involved in accordance with the provisions of Article 19 of the Collective Agreement.

11. Available Overtime

(a) Weekend Overtime - If the Company determines that overtime is deemed necessary in addition to regularly scheduled weekend work, such weekend overtime shall be offered to weekday workers in accordance with the provisions of the Collective Agreement.

(b) If an employee on a continuous shift operation is not relieved by the employee on the same operation in the succeeding shift, the employee shall continue for a maximum of four (4) hours or until relieved, whichever is the shorter period.

(c) Weekday Overtime - Weekday overtime shall first be offered to weekday workers in accordance with the Collective Agreement.

If the Company is unable to get a sufficient number of workers from the weekday worker group, then overtime shall be offered to weekend workers following the same overtime distribution provisions in Article 12 of the Collective Agreement.

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12. Reporting Pay

Reporting pay shall be provided in accordance with Article 7 of the Collective Agreement except that reporting pay will be six (6) hours at the base rate of pay for the classification involved.

13. Seniority

(a) In determining the probationary period of a weekend worker under Article 1 0.03, a weekend shift worked will be the equivalent to one (1) full normal work week (40 hours).

(b) If two (2) or less consecutive weekends in a department (excluding one (1 )-day sanitation shutdowns) have not been worked, affected weekend workers may exercise their seniority rights to displace a junior weekend worker in another department in accordance with the provisions of Article 13.01 but shall not be able to exercise their seniority rights to displace a junior weekday worker.

(c) If more than two (2) consecutive weekends in a department (excluding one (1 )­day sanitation shutdowns) have not been worked, affected weekend workers may exercise their seniority rights to displace a junior weekend worker in another department or a junior weekday worker in accordance with the provisions of Article 13.02 of the Collective Agreement.

(d) If a weekend worker is the successful applicant for a promotion in accordance with Article 11, they shall carry their weekend seniority to the weekday job. The same rule shall apply for weekday workers who successfully obtain a weekend opening under paragraph 4 of Attachment "C".

The parties agree to meet during the term of this Collective Agreement to discuss any issues which may arise out of the implementation or administration of Attachment "C".

If during the term of this Collective Agreement a dispute arises out of the implementation or administration of Attachment "C" on issues not specifically addressed in either the Collective Agreement or Attachment "C" and which the parties are unable to resolve between themselves, either party may refer such issue or issues to arbitration in accordance with Article 21 of the Collective Agreement.

For C.E.P., Locai41-0 For Nestle Purina PetCare, A Division of Nestle Canada Inc.

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LETTER OF UNDERSTANDING UNIFORM PROGRAM

It is agreed between Nestle Purina PetCare, A Division of Nestle Canada Inc. and Communications, Energy and Paperworkers Union of Canada, Local 41-0 that the following will apply to issuing of uniforms:

1 . On completion of the probationary period as established in the current contract, each employee is entitled to receive three (3) work shirts and three (3) pants, free of charge and annually on the anniversary of completion of the probationary period.

2. Coveralls may be substituted for any or all of the shirts and pants. One (1) pair of coveralls is equal to one (1) shirt and one (1) pair of pants.

3. The employee may also substitute one (1) shirt and one (1) pair of pants for a parka each year upon the payment of any additional cost.

4. Each employee who has completed his probationary period, will be entitled to three (3) "T" shirts for summer wear which will be issued during the month of June each year.

5. Employees are responsible for their own alterations and laundry.

6. Upon completion of the Risk Assessment of the site, the Company agrees, where appropriate, to provide employees with the option of insulated coveralls or insulated pants as part of the uniform program.

For C.E.P., Locai41-0 For Nestle Purina PetCare, A Division of Nestle Canada Inc.

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LETTER OF UNDERSTANDING

Procedure for Addition or Removal of Employees from Qualified Lists Pursuant to the Provisions of Article 11.05

A. Additions to the List

(1) The immediate supervisor may add the employee's name to the list after first advising the employee in writing of his intention to do so.

(2) An employee may request that his immediate supervisor add his name to the list following which:

(a) the immediate supervisor may do so in accordance with paragraph (1) above;

(b) the immediate supervisor may refuse the request, with an explanation. Should the employee be dissatisfied with this result the employee may

have his or her request reviewed by the Department Manager;

(c) in the event that the employee is still dissatisfied the employee may take the matter up as a grievance in accordance with the grievance procedure contained in the Collective Agreement.

B. Deletions from the List

(1) The immediate supervisor may remove an employee's name from the qualified list for failure to meet production and quality standards with no more supervision than is required by other qualified and capable employees on the same job.

(2) At the request of the employee, if the employee feels that he or she can no longer perform the job in accordance with the requirements of Article 11.05.

(3) Where the employee is no longer qualified to perform the job in accordance with the provisions of Article 11.05 because of major changes in job content, equipment or methods and the employee has not been retrained.

Should the employee be removed from the qualified list in any classification, the employee shall be notified in writing and in the event that the employee is dissatisfied he or she may follow the procedures outlined in paragraph A.(2) above.

For C.E.P., Local41·0 For Nestle Purina PetCare, A Division of Nestle Canada Inc.

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LETTER OF UNDERSTANDING

Procedure to be followed in Exchanging Shifts Between Employees for Personal Convenience (Swaps)

(1) "Swaps" will be permitted between employees on "Job and Shifts" provided that both employees are qualified to perform the jobs in question in accordance with the provisions of Article 11.05 of the Collective Agreement and provided that the employees obtain the permission in advance from both supervisors involved.

(2) The employees must complete a voluntary shift change form which shall be signed by both employees and both supervisors and which shall set forth the conditions agreed to.

(3) Both employees participating in the "swap" shall carry with them the ranking within the shift of the employee with whom they have "swapped".

(4) Once a "swap" has been made, no bumping or other exercises of seniority shall be permitted by the employees involved in the "swap" nor by any other employee affecting them.

(5) When employees "swap" shifts for their own convenience no overtime premium shall be payable.

For C.E.P., Locai41-0 For Nestle Purina PetCare, A Division of Nestle Canada Inc.

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LETTER OF UNDERSTANDING

The following is agreed between the Communications, Energy and Paperworkers Union of Canada, Local 41-0 and Nestle Purina Petcare, A Division of Nestle Canada Inc.

If it is deemed necessary for an unscheduled employee to work on the usual shutdown day during the work sharing program, the following procedures will be followed:

(a) A volunteer or volunteers will be requested to work from the group who are qualified and available under other terms of the contract. The volunteers will be asked for from a group not individually. The most senior qualified volunteer or volunteers will work and all other employees' E.l. benefits will not be affected.

(b) If there are no volunteers then the most senior qualified person will be required to work the day or relinquish his or her E.l. benefits. Should the employee be granted a leave of absence, the employee will still relinquish his or her E.l. benefits, and the next senior qualified person will be required to work. This procedure will be followed until a qualified person is obtained.

(c) This agreement will only apply during the time of the work sharing program.

(d) If the work sharing program is terminated either by the Company or the Union then at that time Article 13, clauses 13.01 through 13.05 will apply along with all other articles of the present Collective Agreement which now apply.

For C.E.P., Locai41-0 For Nestle Purina PetCare, A Division of Nestle Canada Inc.

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LETTER OF UNDERSTANDING

Sub-contracting Work

The Company agrees that it will advise the members of the Maintenance Department at the regular monthly maintenance department meeting of the Contracting Out of Work where it is practical to do so.

If a monthly maintenance department meeting is not held, the Company will advise the members of the Maintenance Department in writing of the contracting out of work.

For C.E.P., Local 41-0 For Nestle Purina PetCare, A Division of Nestle Canada Inc.

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LETTER OF UNDERSTANDING

The Company will provide a Bulletin Board to the Union for the posting of Union notices relating to the Union's business with the Company. Copies of the notices will be provided to the Plant Manager at the time of posting.

For C.E.P., Locai41-0 For Nestle Purina PetCare, A Division of Nestle Canada Inc.

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LETTER OF INTENT

During recent collective bargaining negotiations between the parties, the Company indicated the following concerning the manner in which it would administer the Collective Agreement:

a. any permanent job opening on any shift, regardless of how such opening arises, will first be posted for bids in accordance with the Collective Agreement.

b. any reductions in the work force in a classification or on a shift as a result of filling such permanent opening will be dealt with as a job abolishment in accordance with the Collective Agreement.

For C.E.P., Locai41-0 For Nestle Purina PetCare, A Division of Nestle Canada Inc.

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LETTER OF UNDERSTANDING

The Parties agree to discuss appropriate workplace attire that is both GMP compliant and approved by the Company within four (4) weeks from the date of ratification.

For C.E.P., Locai41-0 For Nestle Purina PetCare, A Division of Nestle Canada Inc.

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NESTLE PURINA PETCARE, A DIVISION OF NESTLE CANADA INC.

hereinafter referred to as .. the Company ..

of the FIRST PART

-and-

COMMUNICATIONS, ENERGY AND PAPERWORKERS UNION OF CANADA, Locai41-0

Proposed Joint Letter between the parties

Temporary employees who have worked for 30 days in any particular period of temporary employment and are paying dues to the union are not entitled to any rights or benefits under the collective agreement save and except the wage rate only as set out in Attachment "A".

Signed at Mississauga, Ontario this __ Day of December, 2009.

FOR THE UNION

Dawn van Nostrand

Ernie lng

Joe Say

c:~ ---­Gus Careiro

c~} ~ a~ ...

Joe Soares

Nolan Terry

~~~· Nancy MaharaJ

Steve Nash

~-1

Alastair Macdonald