PREAMBLE

TIllS AGREEMENT is entered into by and between KNIGHT PROTECTIVE

SERVICE. INC., hereinafter referred to as the "Company", and the ITPEU. AFL-CIO, hereinafter

referred to as the "Union", as representative of all its non-supervisory employees in the mutual

interests of the employees and the Company to promote and further the efficiency and economy

of operations, to provide orderly collective bargaining relations, a method for the prompt and

equitable disPosition of grievances, and a method for the establishment of fair wages, hours and

working conditions for the employees covered hereunder. By accepting this Agreement, it is

recognized to be the duty of the Parties to cooperate fully with each other, both individually and

collectively, for the advancement of the purposes of this Agreement.

ARTICLE I - UNION RECOGNITION

Section A.

The Company hereby recognizes the Union as the sole bargaining

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agent
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security guards working under its contr~ct at the Portals 1 Buildin~!~.9~!iLijJ~!ly.I.\YenUf:,

~N~~~~as!!~~(jp~~;Gm{t;§P;~~~§!itfi:~Site"), excluding all c1erical and administrative
<~l~~afia'1fan~nme'fff~l{fy'fes- and supervisors, as defmed in Section 2 of the National
Labor Relations Act, as amended. The Company shall not be obligated under this Agreement to
recognize the Union as the exclusive bargaining representative for employees at any other
location.

Section B.

Whenever the words "employee" or "employees" are used in this Agreement, they
designate only such employees as are covered by this Agreement. Whenever in this Agreement
employees or jobs are referred to in the male gender, it will be recognized as referring to both
male and female employees.

Section C.

It is understood by this Section that the parties hereto shall not use any leasing or
subcontracting device to evade the terms of this Agreement. The Company shall give a copy of
this Agreement and any Addendum hereto to the Contracting Officer at every facility where this
Agreement is applicable.

ARTICLE II - UNION SECURITY AND MEMBERSHIP

Section A.

It shall be a condition of employment that all employees of the Company covered by this
Agreement who are members of the Union in good standing on the effective date of this
Agreement shall remain members in good standing and those who are not members on the
effective date of this Agreement, shall on or after the thirtieth (30th) day following the effective
date of this Agreement or the execution date, whichever comes later, become and remain
members in good standing of the Union. It shall be a condition of employment that all employees
ofthe Company covered by this Agreement and hired on or after its effective date or execution
date, whichever comes later, shall on or after the thirtieth (30th) day following the beginning of
such employment become and remain members in good standing of the Union.

Section B.

UNION SHOP PROVISION TO TAKE EFFECT IF PROHIBITION LAW !NV ALIDA TED

The provisions of Article II, Section A, shall be deemed to be of no force and effect in
any state whose law governs this contract to the extent to which the making or enforcement of
such provisions is contrary to statutes, constitutional amendment or the law of such state;
provided, however, that whenever any such court of last resort having jurisdiction of such
questions finds the state law to be invalid or inapplicable, the provisions of Section A above shall
immediately thereupon be deemed to cover this bargaining unit or employees directly affected by
such declaration of invalidity.

Section C.

If the provisions of Article II, Section A shall be deemed to be of no force and effect, the
following shall govern: employees who are members of the Union on the date of execution of
this Agreement, and employees who join the Union subsequent to the execution hereof, shall
retain their membership in the Union as a condition of employment during the term thereof.

Section D.

The Company will deduct initiation fees and dues from the wages of any employee
covered by this Agreement provided that the employee submits written authorization for the
Company to make such deductions. Such authorization form shall be provided by the Union.
The company will pay over to the proper officer of the Union the wages withheld for such
initiation fees and dues. The remittance shall be accompanied by a list showing individual

Page 2 of 25
names, social security numbers, dates hired, and amounts deducted. The total remittances are to
be made fifteen (15) days after the last day of the month for which deductions were made. The
Union shall advise the Company of the amount of initiation fees and dues and the manner in
which same shall be deducted. The amount so withheld, less any amounts due to any improper
withholding, shall be reported and paid to the Union monthly.

Section E.

Payment for membership dues shall not be required as a condition of employment during
leaves of absence without pay in excess of thirty (30) days or during periods of permanent
transfer to a classification not covered by this Agreement.

Section F.

In the event of termination of employment, there shall be no obligation upon the

Company to collect dues until all other deductions have been made.

Section G.

The Company will make available to the Union a list of newly hired and terminated
employees covered by this Agreement. Such list will be prepared monthly and will show the
name, social security number, job classification and hire or termination date of such employees
who were hired or terminated during the month for which the list is prepared. This list shall be
made available to the shop steward.

Section H.

The Company shall notify the Union of all job openings within the bargaining unit
covered by this Agreement. The Union may refer applicants for such openings. In interviewing
and hiring for such job openings, the Company will not discriminate against any applicant
referred by the Union. Nothing in this contract, however, shall be construed to create an
exclusive hiring arrangement, and the Company shall at all times be ftee to advertise and list said
job openings ftom any sources available to the Company.

Section I.

The Company shall be the judge of the qualifications of its employees. Any employee
who disputes the Company's determination of qualifications can submit a grievance on that
issue.

Section J.

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 The Union agrees to indemnify and save the Company himnless against any claim, suits,
judgments or liabilities of any sort whatsoever arising out of action taken or not taken by the
Company for the purpose of complying with the provisions of this Union Security and
Membership Article.

ARTICLE III - EQUAL OPPORTUNITY

Section A.

In accordance with the established policy of the Company and the union, the provisions
of the Agreement will apply equally to all employees hereunder regardless of sex, color, age,
race, creed or national origin. The Company and the Union also recognize the desirability of
implementing; the national policy of providing equal opportunity to all persons and agree to work
actively toward the implementation of that policy.

Section B.

There will be no discrimination against any employee on account of membership)nor

activity in behalf of, the Union, or because of their involvement in or refraining ITom ..
participating in Union activities.

ARTICLE IV - ACCESS TO UNIT

Stewards and Union officers shall not interfere with the management of the Company's
business or the work of any employee, but may advise the Company of any alleged violations of
the Agreement. Stewards and Union officers may not interview any employee or otherwise
conduct Union-related business with any employee while such employees is on duty, nor shall
any employee conduct Union-related business while on duty without permission. Subject to
government rules and requirement, Stewards are authorized to remain on the premises for such
reasonable periods as are required to meet their union responsibilities, and employees whom a
steward or union official wish to interview may remain on the premises for such reasonable
period following their shift as will enable the desired interview to take place. Employer property,
equipment and office facilities shall not be used to conduct any form of Union-related business.
Employees who violate this section will be subject to disciplinary action.

ARTICLE V - PROBATIONARY PERIOD

Section A.

Every new or rehired employee shall be on probation for the first ninety (90) days of
employment or re-employment.

Page 4 of 25
Section B.

At any time during the probationary period, and employee may be discharged for any
reason, and any such employee so discharged shall not have the right to file a grievance or have
other recourse to the grievance procedure.

Section C.

Any employee promoted to a job classification covered by this collective bargaining

agreement ITom a lower-paid classification shall be on probation for the first thirty (30) days of
employment in the new classification. At any time during such a probationary period, the
Company may, for any reason, return the employee to that employee's former position without
any loss of seniority; and any such employee shall not have the right to file a grievance or have
other recourse to the grievance procedure with regard to any such return to fonner classification.
A promoted employee shall, during the thirty (30) day period and thereafter, have the right to file
a grievance and resort to the grievance procedure w.ith regard to all other matters covered by this
Agreement.

ARTICLE VI - SENIORITY

Section A.

It is agreed that the Company and the Union will meet for the purpose of establishing a
seniority list for all employees employed in the unit at the time of the signing of the Agreement.
Said seniority list will be based upon official records of the Union, of the company, its
predecessors, and state and federal agencies. Not later than fifteen (15) days prior to the
expiration ofthe Company's contract covering any facility, the Company shall furnish the Union
and the successor contractor a list of all its current employees together with their dates of hire
and the dates their last vacation pay was paid by the Company. The following Sections in this
Article shall become applicable and shall be in force and effect upon the establishment of the
seniority list. Seniority shall, except as otherwise provided, be on the basis set forth in Section D
of this Article.

Section B.

In the event that the Company finds it necessary to layoff employees for any reason,
other than disciplinary, such layoffs shall be on the basis of seniority, i.e., the employee on duty
in the facility where the layoff occurs having the shorter period of continuous service. The
company shall recall such laid-off employees in the reverse order. Senior employees shall have
preference of full-time employment at all times if equal distribution of work is impossible.
Senior employees may, however, exercise their seniority rights by taking a job in a lower
classification.

Page 5 of 25
Section C.

Whenever reasonably practicable and consistent with operational requirements,

employees shall have the right to select available work schedules by seniority in job assignments
for which they are qualified: Each employee shall be given his work schedule.

The work schedule for each week shall be posted at least four (4) days prior to the
beginning of the work week.

Section D.

Except as otherwise provided herein, seniority shall be measured from the date of the
employees initial hire at any facility with the Company or a predecessor employer engaged in -
providing siniilar services at that facility, provided there has been no break in seniority under
Section E of this Article. Employees transferred by the Company to any facility covered by this
Agreement s~all have their seniority measured from the date of the initial hire by the Company,
or its franchisee as the case may be, regardless of where such service was performed.

Section E.

An employee shall lose his seniority upon his retirement, resignation or discharge for just
cause. An employee will be considered to have resigned ifhe:

(1) fails to report to work on the day following expiration of an authorized leave of absence,
unless failure to report is due to conditions recognized by the Company to be beyond the
control of the employee and he reported such conditions as soon as possible;

(2) is on lay-off for a period exceeding one (1) year;

(3) is absent from work for two (2) consecutive work days without properly notifying the
Company of the reason for absence even though the reason for such absence is beyond the
control of the employee, or in any event, fails to report for work as scheduled without
such reason;

(4) fails, while on lay-off, upon notice from the Company that work is available, to report to
the Company for work as soon as practicable, but not later than seven (7) work days, and
provided that the employee notifies the Company within three (3) days of such notice that
he will return to work within the seven-day period.

The Company fulfills its obligations under this Section by sending notice by telegram or
by certified letter to the last known address ofthe employee. It is the obligation of the employee
to keep the Company informed of his current address and telephone number.

Page 6 of 25
Section F.

An employee who has occupied a position with the Company covered by this Agreement
and who accepts a position with the Company in a classification not covered by this Agreement
will continue to accrue seniority for nine (9) months, after which period he shall retain his
accumulated seniority, provided. he remains in the employ of the employer.

ARTICLE VII - DISCHARGE

Section A

No employee shall be discharged without just cause, and all dismissals will be subject to
the grievance procedure and arbitration clause. All reprimands and discharge notices shall be in
writing. Copies of the reprimand or discharge notice shall be given to the employee reprimanded
and to t.\-e shop steward. Each reprimand shall be canceled after one year. Three (3) reprimands
may result in iIIllp.ediate dismissal.

Section B

An arbitrator shall not have the authority to reduce a discharge or otherwise modify the
penalty imposed by the Company for a proven violation of any of the following:

A. Violation of Rules and Regulations of Government Public Building and Grounds,

41 CFR 101-20.3 or any other applicable government rules of conduct.

B. Neglect of Duty (including sleeping while on duty or action which causes the
assessment of a major penalty against the Company by the government), insubordination,
including deliberate failure to carry out assigned tasks, conducting personal affairs during official
time. The term "personal affairs" as used in this paragraph does not include the making of
telephone or other inquiries concerning the status of children or family members or the provision
of their care provided that such activities have been approved by the employee's supervisor. Long
distance telephone calls shall not be made at government expense.

C. Falsification or concealment, removal, mutilation or destruction of any official

documents or records, and/or concealment of material facts by willful omissions from official
documents or records.

D. Fighting on Government property or while on duty. Participating in disruptive or

disorderly conduct which interferes with the normal and efficient operations of the Government
or Company.

E. Theft, vandalism, or criminal actions.

Page 7 of 25
 F. Drinking or drunkenness on the job; use or possession on the job or being
impaired by unlawful drugs/stimulants or alcoholic beverages on the job, or violation of the
Company's Alcohol and Drug Abuse Policy.

G. Improper use' of official authority or credentials.

H. Unauthorized use of communications equipment or Government property.

I. Misuse of weapon(s) or possession of private firearms on the job.

J. Violation of Government security procedures or regulations.

K. Unauthorized post abandonment that would jeopardize the safety or security of

personnel or facility.

L. Failure to cooperate with Government officials, local law enforcement authorities,

or the Company during an official investigation.

M. Falsification of time records.

N. Deliberate or grossly negligent conduct causing monetary penalties or invoice

deductions to the Company.

O. Any other offense of a character equally serious as those above.

Section C

The company may discipline an employee in accordance with its Work Rules and
Standards except insofar said Work Rules and Standards are in conflict with the terms ofthis
Agreement, in which case the Agreement shall prevail.

Section D

An employee who must cancel work must provide the Company with the maximum
notice possible. It shall constitute an offense for an employee to cancel work without providing
the Company with a minimum of six (6) hours notice, or where six (6) hours notice is not
possible due to documented emergency or other unforeseen circumstances, as much advance
notice as reasonably possible. Discipline for such offense shall be as follows:

a. With respect to the first cancellation without proper notice within a

12-month period, a written reprimand shall be given.

Page 8 of 25
 b. With respect to the second cancellation within a 12-month period, the
employee may be suspended for a period of three (3) to five (5) days.

c. Upon the occurrence of the third cancellation without proper notice within
a 12-month period, the employee may be terminated.

ARTICLE VIII - GRIEVANCE PROCEDURE

Section A.

A grievance is defined as a claim or dispute by an employee or the Union concerning the

interpretation of the application of this Agreement, or of any local addendum hereto.

Section B. "

All grievances must be presented in writing and filed and processed in accordance with
the following exclusive procedure:

Step 1: The employee who has a grievance shall discuss it with his direct supervisor
either himself or through his steward. If the grievance is not settled at the Step I meeting,
it may be appealed by the Union Representative to the Project Manager to Step 2 within
five (5) working days of the Step 1 meeting.

Step 2: The Union Representative and the Project Manager will discuss the grievance. if
" the grievance is not disposed of to the satisfaction of the party filing the grievance at Step
2, the grievance may be appealed to Step 3 by the Union or the employee by filing a
written appeal to the Company within seven (7) working days after Step 2.

Sept 3: Within seven (7) working days after the appeal, the parties (the Company
represented by the Company President or his designee and the Union represented by the
Vice President or his designee) will meet in an attempt to settle the grievance. The
Company shall render a written decision promptly thereafter. If the grievance is not
disposed of to the satisfaction of the Union or the employee, the grievance may be
appealed to arbitration by the Union by lodging a written appeal with the Company
within ten (10) working days of receipt of such written decision, or if no written decision
is rendered by the Company, within twenty-one (21) working days of the step 3 meeting.
Such appeal shall identify the provisions of the Agreement allegedly violated and shall set
forth such facts and circumstances as will provide the Employer with reasonable notice of
the nature of the' grievance.

, Page 9 of 25
Section C.

A grievance involving discharge of an employee shall be brought directly to Step 2 and

must be filed in writing within five (5) working days of discharge.

Section D.

A grievance not involving discharge shall be without effect unless filed in writing within
seven (7) working days ITom the date the complaining party discovered the facts or should have
discovered the facts giving rise to the grievance.

Section E.

To the' extent practicable and consistent with the Company's operational and scheduling
requirements, Stewards shall be afforded time off without pay to investigate, discuss and present
grievances. Such time shall be kept at a minimum.

Section F.

At any Step ofthe grievance procedure, the Company or the Union May designate a
substitute for the official designated herein, other than persons who have previously participated
in such grievance. The official designated representative of the Union may be accompanied by
two other persons at any step ofthe procedure except Step 1. The parties may mutually agree that
further representatives may be present.

Section G.

The time limits set forth in this Article may be extended mutually in writing. Time limits
are exclusive of Saturday, Sunday and recognized holidays.

ARTICLE IX - ARBITRATION

Section A.

Within (10) working days after the filing of the notice of the intent to submit the unsettled
grievance to arbitration, the parties shall attempt to mutually select an impartial arbitrator. If the
parties are unable to agree within five (5) working days of that meeting upon the choice of an
arbitrator, they shall choose an arbitrator IToma panel or panels provided by the Federal
Mediation and Conciliation Service.

Section B.

Page 10 of 25
 During the hearing, each party shall have full opportunity to present evidence and
-- argument, both oral and documentary. The impartial arbitrator will render his finding and award
in writing within thirty (30) calendar days after the later of the conclusion of the hearing or the
receipt of briefs (if permitted by the arbitrator). The decision of the impartial arbitrator shall be
final and binding. The impartial arbitrator shall have no authority to modify, amend, revise, add
to, or subtract from any of the terms or conditions of this Agreement.

Section C.

The fees of the arbitrator and necessary expenses, including transcript, if desirable, of any
arbitration proceeding shall be borne equally by the Company and the Union except that each
party shall pay the fees of its own counselor representative. If an employee witness is called by
the Company, the Company will reimburse him for time lost at his regular straight time base rate.
If an employee witness is called by the Union or if an employee-grievant is present at the hearing,
the Union will reimburse such personnel for time iost.

ARTICLE X - MILITARY LEAVE

Section A.

An employee who is a member of the military or reserve will be granted all leave and
other rights provided by law.

Section B.

An employee applying for leave under this Article must give the Company at least five
(5) working days notice prior to the reporting date, if possible.

ARTICLE XI - LEA VE-OF-ABSENCE

Article A.

Employees may be granted leaves-of-absence at the sole discretion of the Company.

Such leave-of-absence may be granted for restoration of health, medical, dental or other
treatment, maternity leave, or family hardship, and shall not prejudice seniority status for
purposes oflayoffs and recalls. Unless otherwise agreed to in writing by the Company, an
employee will be required to use all paid leave (vacation and sick) before taking unpaid leave.

Section B.

Except as otherwise provided herein, a leave-of-absence under this Article will not be
considered employment time for seniority. For eXample, an employee works continuously for
nine (9) months and is granted a thirty (30) day leave-of-absence without pay. When the

Page 11 of 25
employee returns to work, he has nine (9) months seniority and will be required to work three (3)
more months in order to have one (1) year seniority.

Section C.

Upon return from a leave-of-absence, the employee will be returned to work for which he
can qualify in his job classificatiol) on the basis of seniority as shifts become available.

Section D.

Any employee who engages in gainful employment without permission of the Company
while on leave-of-absence shall be subject to discharge.

Section E.

Allleaves-of-absence must be applied for in writing and if granted must be granted in

writing by the Company.

Section F.

Allieaves-of-absence shall be for a specific designated period oftime, and an employee

may return to work earlier than the specifically designated date for his return only with the
consent of the Company.

ARTICLE VII - BEREAVEMENT LEAVE

Employees shall be entitled to paid Bereavement Leave as set forth in the applicable local
addendum attached hereto.

ARTICLE XIII - SHOP STEWARDS

Section A.

The Union shall designate no more than one (1) Shop Steward per shift and one (1)
alternate per shift to serve in the absence of the Shop Steward. The Union will notify the
Company in writing of the duly designated shop stewards (s) and alternates.

Section B.

The Shop Steward shall not interfere with the management of the business or direct any
work of any employee, but may advise the Company of any violations of the Agreement and also
notify the employee participating therein.

Page 12 of 25
Section C.

Prior to leaving the work area, a Shop Steward will request permission from the
supervisor. Shop Stewards will not leave the work area during work hours without permission.

Section D.

If available, access to a telephone will be provided to the Shop Stewards for the purpose
of communicating with the Union. Such calls will be placed at no cost to the Company.

ARTICLE XIV - REST PERIODS

SubjeC?tto contract requirements or rules and scheduling needs, employees will receive
breaks as available. In addition, employees will be provided with breaks for emergency purposes
as reasonably required, subject to government requirements or rules.

ARTICLE XV - LAYOFFS AND RECALLS

"

In the event of a reduction of force, the Company will give reasonable notice of layoff to
the employees with the least seniority, and will recall employees in the reverse order, such recall
to be by job classification. No new employees will be hired until all qualified laid-off employees
have been recalled and all qualified laid-off employees have been offered the position(s)
involved.

ARTICLE XVI - WAGES

The schedule of effective wage rates and job classifications for employees is set forth in
the applicable local addendum hereto.

ARTICLE XVII - OVERTIME

Section A.

Overtime pay is to be paid at the rate of one and one-half (1 and 1/2) times the basic
hourly straight time rate. Overtime shall be paid to employees for work performed in excess of
forty (40) hours in a work week. A work day shall be defined as ITom 0001 hours until 2400
hours. The workweek shall begin at 0001 hours Sunday. Only hours actually worked shall be
recognized in determine overtime eligibility. The Employer shall have the right to hold over
employees until relieved and/or to require an available employee to provide coverage of the post.

Page 13 of 25
Section B.

An employee called in outside his regular work schedule shall be guaranteed a minimum
of two (2) consecutive hours of work or pay in lieu thereof. In the event a building is closed
because of order of the government after an employee has reported for work, the employee shall
receive a minimum oftwo (2) hours pay for such day.

Section C.

The Company reserves the right to offer overtime to employees at its discretion and
without regard to seniority in the event that such overtime (i.e., work over 40 hours per work
week) is required for reasons including but not limited to, an employee has failed to report for
work, an employee has called in sick, or for other unanticipatable reasons or special
circumstances.' ,

The Employer will in good faith attempt to distribute overtime work as equitably as
practical among the employees the Employer reasonably deems qualified to perform the work,
giving due regard to seniority where all other factors are equal. Overtime lists will be ma<;te
available to the Union upon written request.

Section D.

No overtime will be worked except by prior direction of the proper Supervisory personnel
of the Company, except in case of emergency and when prior authority cannot be obtained.

Section E.

Nothing herein shall be construed to require or permit the pyramiding of overtime or

overtime pay.

ARTICLE XVIII - HEALTH AND WELFARE

The Company shall pay the health and welfare benefits as set forth in the Addendum
hereto.

ARTICLE XIX- VACATION

Employees shall be entitled to paid vacations as set forth in the Addendum attached
hereto.
ARTICLE XX - HOLIDAYS

Employees shall be entitled to paid Holiday pay as set forth in the Addendum attached
hereto.

Page 14 of 25
 ARTICLE XXI - SICK LEAVE

Employees shall be entitled to Sick Leave as set forth in the Addendum attached hereto.

ARTICLE XXII - PENSION

The Company shall pay the health and welfare benefits as set forth in the Addendum
hereto.

ARTICLE XXIII - UNIFORMS AND SAFETY EQUIPMENT

The Company will provide at no cost to all employees required unifonns and safety
equipment. The Company agrees to pay each employee for uniform maintenance as stipulated in
the Addendum 'hereto.

ARTICLE XXIV - JURY DUTY

An employee summoned to serve on a jury shall receive compensation as set forthin the
applicable local addendum hereto. "

ARTICLE XXV - INDIVIDUAL CONTRACTS

No employee shall be compelled or allowed to enter into any indivi~ual contract or

agreement with the Company concerning the conditions of employment, contained herein.
"

ARTICLE XXVI - NO STRIKE OUT - NO LOCKOUT

Section A.

The Union agrees that neither it nor the employees it represents, covered by this
Agreement, will, during the term of this Agreement, cause, permit, or take part in any strike, work
stoppage, slowdown or sick-out including sympathy strike, picketing, or work action. It shall be a
violation of this Agreement, and it shall be cause for discharge in the event an employee refuses to
enter upon any property involved in a labor dispute involving other employee organizations or -
refuses to go through or work behind any picket lines involving other employee organizations at
the Company's place or places of business. The Union and the Company agree to take all steps
possible to ensure that Government property is properly secured and protected in the event of
labor disputes involving other employee organizations at the facilities covered by this Agreement.

Section B.

During the term of this Agreement, the Company shall not Cause, permit or engage in any
lockout of its employees.

Page 15 of 25
Section C.

The Company reserves the right to discharge or otherwise discipline any employee taking
part in any violation of this provision of the Agreement.

ARTICLE XXVIII - EMPLOYEE INJURY

An employee injured during working hours may use sick or annual leave in order to
receive the rest of the day off without loss of pay (unless the employee receives workers
compensation for such time), provided that the injuries are such that a doctor orders the
employees not to return to work.

ARTICLE XXIX - GOVERNMENT REQUIREMENTS

,I

Section A.

The Union agrees to cooperate with the Company in all matters required by the United
States Government, and the Union recognizes that the tenn and conditions of the Agreement are
subject to certain sovereign priorities which the United States Government may exercise. The
Union agrees that any actions taken by the Company Pursuant to a requirement of the United
States Government shall not constitute a breach of this Agreement. Nothing in this Agreement
shall be construed to prevent institution of any change prior to discussion with the Union where
immediate change is required by the United States Government. The company will, however,
negotiate with the Union concerning the effects of any such change.

Section B.

If the contracting agency directs that a specific employee be removed ITom the contract or
otherwise disciplined, any such action directed may be undertaken by the Company and shall not
be subject to the grievance or arbitration procedures of this Agreement. In the event that the
contracting agency expressly directs the removal or discipline of a contract employee, the
Company agrees to cooperate with the Union by providing it with all relevant information
concerning the incident.

Section C.

The Union recognizes that the Company has certain obligations in its contract with its
client pertaining to security and agrees that nothing in this Agreement is intended to place the
Company in violation orits security agreement with its client. Therefore, in the event any
governmental agency advises the Company that any employee covered by this Agreement does
not have or cannot obtain the required Security Clearance, and thus is restricted from work on, or
ITom access to, classified information or material, the Union will not contest the discharge of such
employee by the Company.

Page 16 of 25
Section D.

The Union and Company recognize and will abide by Executive Orders 11246 and 11247
and Title VII of the Civil Rights Act of 1964 and all related rules, laws, and regulations, as
amended.

ARTICLE XXX - GENERAL

Section A.

This Agreement and the Addendum hereto, when accepted by the parties hereto and signed
by the respective representatives thereunto duly authorized, shall constitute the sole agreement
between them involving the employees covered by this Agreement. Any alteration or modification
of this Agreement must be made by and between the parties hereto and must be in writing.

Section B.

In the event any provision of this Agreement or the Addendum hereto is declared invalid
by any competent court or governmental agency, such invalidation shall not affect the remaining
provisions of this Agreement and the Addendum.

Section C.

Any employee leaving the service of the Company will, upon request from the employee,
be furnished with a letter setting forth the Company's record of his job classification, stating his
length of service and beginning and ending rate of pay.

Section D.

Employees entering the service of the Company may be required to take a physical
specified by the Company. Any time thereafter, an employee may be subjected to further physiQal
examinations during the course of his employment or after recall to service after layoff or -
leave-of-absence.

Section E.

Subject to government approval, the Company shall provide bulletin board space at each
facility for use by the Union.

Section F.

Page 17 of 25
 Company payroll records with respect to any employee in the unit whose pay is questioned
will be provided upon request of the Union within a reasonable period of time, except for payroll·
records with respect to the current period with respect to such an employee, which may be
explained to the Union upon request during business hours.

Section G.

Subject to the express limitations of this Agreement, the Company retains the sole and
exclusive right in its discretion to manage its business, to hire, discharge for cause, layoff, assign,
transfer, promote or demote employees, to determine the starting and quitting time, to establish or
discontinue or change operations, productions, or work standards or plant rules, and to judge
employee performance and qualifications, provided, however, that with respect to any action
which results in a change in established work rules, existing hours of work, or the size of the work
force, the Corripany shall give prior notice to the Union before taking such action and shall afford
the Union a reasonable opportunity to negotiate on such matters to the extent practicable and
consistent with the Company's operational requirements. Nothing herein shall prevent individual
employees, either alone or with a Union representative, rrom consulting with Company
representatives on problems relating to their individual work schedules ..

The Company reserves the sole and exclusive authority to draft, issue, implement, revise,
enforce and withdraw reasonable rules of conduct and reasonable regulations as the Company
deems necessary. However, such rules and regulations shall not be inconsistent with the
provisions of this Agreement. The Company will provide copies of such rules and regulations,
and any changes thereto, to the Union. Any inrraction of the rules and regulations, once implemented,
constitutes just cause for disciplinary action, including discharge.

The list of management rights set forth in this Article is not intended to be nor shall it be
construed as a restriction or waiver of any rights of the Company not listed and not specifically
surrendered in this Agreement, whether or not such rights have been exercised in the past.

Section H.

It is recognized and acknowledged that the Company is in the business of providing a service,
through its employees, to the government and to other customers. It is therefore essential and expected
that all employees will act in a highly professional, courteous manner and will be held responsible and
accountable for their duties, functions and job requirements. Deviation rrom or failure to meet this
standard will result in disciplinary action.

Section I.

Supervisory personnel normally will not perform the duties of bargaining unit employees
but may, without prior notice, be temporarily assigned to cover unit work where deemed
necessary by the Company. In no event shall such temporary assignment(s) exceed ninety (90)

Page 18 of 25
days per supervisor in any year. The foregoing limitation on assignment of unit work to
supervisors shall not apply to unit work performed by a supervisor where: (i) such work is a part
of the supervisor's normal day-to-day duties in staffing a post; or (ii) the supervisor replaces a unit
employee who is absent from his assigned post; or (3) the supervisor performs unit work requiring
specialized skills, qualifications or training.

Section J.

It is the employee's responsibility to maintain the status of any permits, clearances or other
qualifications required by the state or local law or the federal government, including, but not
limited to, weapons permits, CPR/first aid training, and suitability clearances (hereinafter referred
to as "credentials"). Forms for the reporting of such information will be available from the
Company. An employee whose credentials expire will be suspended for up to thirty (30) days or
until such time the employee becomes qualified again. If an employee does not become qualified
within thirty (30) days after the expiration of a required credential, the employee will be
considered to have voluntarily resigned. An employee who fails to notify the Company of the
expiration of a required credential shall be discharged.

Section K.

The parties recognize that in the security business, the use of alcohol or controlled
substances which cause intoxication or impairment on the job poses risks to the Company, the
affected employee and his co-workers and the public. Accordingly, the Company's Drug and
Alcohol Policy is expressly incorporated into this Agreement. Compliance with that Policy is a
condition of continued employment, and violations thereof subject an employee to immediate
termination.

Section L.

A full-time employee may not obtain employment with another employer without first
obtaining written permission from the Company. An employee who is given permission to work
for another employer must have an eight (8) hour break between the time the employee works for
the Company and such other employer. An employee who violates this Section shall be
discharged.

ARTICLE XXXI - DURATION

This Agreement shall become effective May 1, 2005, and shall continue in full force and
effect until April 30, 2008.

M~~~
FOR: \KNIGHT PROTECTIVE SERVICE, INC.

Title: President & CEO

Page 19 of 25
 ADDENDUM

WAGES

RATES
$18.29
$17.77
$15.76
$17.13 POSITION
--

Guard II Guard II
Guard II

EOUIV ALENT BENEFITS

With respect to any of the mnge benefits set forth in this Addendum, the Company may
discharge its obligation by furnishing any equivalent combinations ofmnge benefits or by making
equivalent or differential payments in cash, in accordance with the applicable regulations under the
Service Contract Act of 1965, as amended.

HEALTH & WELFARE .

The Company shall provide employees with Health & Welfare benefits equal to two dollars
and fifty-one cents ($2.51) per hour for all straight time hours worked at the Contract Site, not to
exceed forty (40) hours in any workweek.

VACATION

The Company will provide the following vacation benefits:

After one (1) year of service, 2.69 minutes per hour for all hours worked in their previous
anniversary year or up to a maximum of 1780 hours worked, whichever is less.

After five (5) years of service, 4.04 minutes per hour for all hours worked in their previous
anniversary year or up to a maximum of 1780 hours worked, whichever is less.

Page 20 of 25
 After fifteen (15) years of service, 5.40 minutes per hour for all hours worked in their previous
anniversary year or up to a maximum of 1780 hours worked, whichever is less.

The term "hours previously worked" shall include hours of vacation and holidays.

Length of service includes the whole span of continuous service with the present (successor)
contractor wherever employed, and with predecessor contractor in the performance of similar work at
the same federal facility.

Vacation is earned on the employee's anniversary date. There is no accrual or vesting of

vacation prior to the employee's anniversary date.

Vacations will not be accumulated from year to year, nor taken back to back. If the Company
consents, the employee may elect not to take his vacation, in which case he will receive pay in lieu
thereof, on the anniversary date of his employment. The employee may take his vacation in more than
one segment with the consent of the Company.

Vacations will be granted to employees in order of their seniority within their work shifts,
but the final right as to allotment and scheduling of vacation periods IS reserved to the Company in
order to assure the orderly operation of its business. Except in cases of emergency, a vacation period
once assigned will not be canceled by the Company except with the agreement of the employee.

HOLIDAYS

During the term of the Agreement, the following Holidays will be recognized:

New Year's Day Labor Day

Martin Luther King's Birthday Columbus Day
Washington's Birthday Veteran's Day
Memorial Day Thanksgiving Day
Independence Day Christmas Day

Effective November 1,2005, the Employee's Birthday shall be a recognized Holiday.

Section B.

Each regular full-time employee shall receive eight (8) hours pay at his/her straight time
hourly rate for each of the holidays listed above and if the employee works on a holiday he/she shall
be paid in addition to the holiday pay at the straight time rate for each hour worked.

Section C.

To be eligible for holiday pay, an employee must have worked his last scheduled
workday prior to and his next scheduled workday after such holiday, unless the employee is excused
by the Company, who in its sole discretion will consider each failure to work on its own merit. An
employee who is assigned to work on a holiday and refuses or fails to report shall be subject to
discipline at the Company's discretion.

Section D.

Page 21 of 25
 Holiday pay shall not be used for the purpose of computing overtime.

Section E.

Any employee who is on layoff, sick leave or who is on leave of absence shall not be
eligible to receive holiday pay. A full-time employee, hospitalized due to an emergency condition,
may be eligible.

PENSION

The Company shall contribute to the ITPE Pension Plan (the "Pension Plan") the sum of
sixty one cents ($.61) per hour for all straight time hours worked at the Contract Site by each
employee covered by this Agreement, not to exceed forty (40) hours in any workweek.

In executing this Agreement, the Company agrees to be bound by the terms and conditions
ofthe Agreement and Declaration of Trust establishing the ITPE Pension Plan and any amendments
duly adopted thereto.

The Company further agrees to be bound by all resolutions and other actions taken by the
Board of Trustees of the Pension Plan.

Notwithstanding the foregoing, no provision ofthe Agreement and Declaration of Trust and
no resolutions or other actions taken by the Board of Trustees shall: (i) result in an increase in the
Company's contribution rate; or (ii) limit or restrict the Company's right to cease contributions to
the Pension Plan.

"
UNIFORMS

As of the effective date ofthe Agreement, all employees will receive an allowance of
twenty-six cents ($0.26) per hour worked for laundering and maintenance of Company furnished
uniforms. Effective November 1,2005 the allowance shall be thirty cents ($.30). Effective
November 1, 2006 the allowance shall be thirty-two cents ($.32). Effective November 1,2007 the
allowance shall be thirty-four cents ($.34).

Upon termination of employment, all clothing and equipment shall be returned to the
Company. Returned clothing shall be cleaned and pressed and returned on hangers. The Union
agrees that all employees, at the time of hire, shall give written authorization allowing the Company
to deduct ITom the employee's final paycheck the cost of all unreturned clothing and equipment. In
the event returned clothing is not cleaned, the employee shall authorize deduction for cleaning cost.
The deduction for such mjssing items or cost of cleaning shall be the actual cost to the Company.

Page 22 of 25
 BEREAVEMENT LEAVE

In the instance of the death of a member of the il11mediate family of the regular employee
occurring after the completion of the employee's probationary period, the Company will grant a paid
leave of not to exceed three (3) days to enable such employee to attend the funeral and otherwise
assist in the arrangement pertaining to the burial of such member of the family.

A day's pay will consist ofthe employee's regular base rate for the hours scheduled for the
day during which the bereavement leave occurs and shall be applicable only to days within his
regular work week, The term "immediate family" as used herein is defined as consisting of the
following members only:

MOTHER, FATHER, SPOUSE, CHJLDREN, GRANDPARENTS,

GRANDCHILDREN, AUNT, UNCLE AND SmLINGS

No employee is otherwise entitled to such benefits unless he/she gives reasonable notice to
the Company prior to taking time off for bereavement purposes and provides appropriate
documentation of his /her bereavement to the Company.

SICK LEAVE

The Company will provide sick leave benefits as follows:

Section A.

All employees shall be entitled to accrue paid sick leave at the rate of 1.62 minutes per hour
~ worked up to a maximum of 1780 hours, whichever is less.

Section B

Sick leave shall be used when an employee is unable to perform the functions of his /her
position because of illness or injury or when the Company permits an employee to be absent or take
leave for other reasons.

Section C

Accrued but unused sick leave shall be paid to the employee following each anniversary of
the effective date of this Agreement. All unused sick leave and/or earned vacation must be used
before an employee will be permitted to use unpaid leave for any reason.

Section D

An employee who will be absent due to illness or injury must provide the Company with
notice of his /her anticipated absence as soon as the need to be absent becomes known to the
employee, regardless of the length ofthe anticipated absence. Failure to do so will result in
disciplinary action and in the forfeiture of sick leave in an amount equal to the time the employee
was absent.

Section E

Page 23 of 25
 An employee who is absent due to illness or injury for more than three (3) consecutive work
days shall be required to provide to the Company a physician's statement supporting the employee's
absence and certifying that the employee is able to return to work. Upon reasonable request, the
Company reserves the right to require a physician's statement for absence of any period of time due
to illness or injury. Ifthe Company questions the physician's statement submitted by the employee,
the Company may require the employee to obtain a second opinion. If the opinion of the second
physician and the employee's physician differ, the Company may require the employee (at the
Company's expense) to obtain a third opinion ITom a mutually-agree upon physician, whose opinion
shall be final and binding. where an employee fails to provide medical certification as required by
this Article, or where medical certification· does not support the employee's absence, the employee
will forfeit sick leave in an amount equal to the time the employee was absent, and will be subject
to disciplinary action. An employee who does not provide medical certification that he/she is able
to return to work, if required or requested under this Article, will not be permitted to return to work.

Section F

Where an employee takes leave pursuant to the Company's Family & Medical Leave Policy,
the provisions ~fthat policy will supersede any provision of this Article which is inconsistent with
that Policy.

JURY DUTY

The Company agrees to pay employees called for jury duty their normal full regular pay for a
period up to fifteen (15) work days, less any fees or sums received ITom the Court, under the
following conditions:

a. The employee must notify the Company within seventy-two (72) hours after he or
she receives a notice that he or she is subject to jury duty;

b. The employee must provide the Company with written evidence ITom the court that
he/she performed jury service and of the amount that the employee was compensated
for such service.

c. No compensation shall be paid by the Company for jury duty on Saturdays, Sundays
and holidays, unless such Saturday, Sunday or holiday was the employee's normal
work day, or for any other day on which the employee is not normally scheduled to
work.

Page 24 of 25
 ?
-?===- day of /)(
IN WITNE~EOF'
,2005.
the parties hereto have executed this Agreement this
FOR: ITPEU, AFL-CIO FOR: KNIGHT PROTECTIVE SERVICE, INC.

Tit1e:~ ~. Title: President & CEO

Page 25 of 25