fIJ!ll!JPI) . BIMBO · BIMBO ™A Proud Member of_"" ___ ·_._···_·_·._;1_1 COLLECTIVE...

f"IJ!ll!JPI) .

BIMBO ™A Proud Member of_"" ___ ·_._···_·_·._;1_

1

COLLECTIVE AGREEMENT

BETWEEN:

CANADA BREAD LIMITED (Division of Grupo Bimbo)

(herein after referred to as the "Company ")

&

MILK & BREAD DRIVERS, DAIRY EMPLOYEES, CATERERS & ALLIED EMPLOYEES LOCAL UNION NO. 647 AFFILIATED WITH THE INTERNATIONAL

BROTHERHOOD OF TEAMSTERS

(hereinafter referred to as the "Union")

155 Nebo Road Plant Agreement

Contract Term: Ratification to October 31'1 2021

0

A message from you President

Sisters & Brothers;

Congratulations on your new Collective Agreement.

As we dive into 2017 we look forward to welcoming another progressive year for our local

and its members, with the hope that there is lots of work for everyone. There will be lots of

challenges, but I feel confident that we are ready for whatever may come our way as we

continue to stand strong.

In Solidarity;

Gerry Cadeau

President & Principal Officer Business Representative

2

COLLECTIVE AGREEMENT

BETWEEN:

CANADA BREAD LIMITED

(herein after referred to as the "Company ")

&

MILK & BREAD DRIVERS, DAIRY EMPLOYEES, CATERERS & ALLIED EMPLOYEES LOCAL UNION NO. 647 AFFILIATED WITH THE INTERNATIONAL

BROTHERHOOD OF TEAMSTERS

(hereinafter referred to as the "Union")

155 Nebo Road Plant Agreement

Contract Term: Ratification to October 31'1 2021

3

INDEX

Article Page WITHNESSETH 5

1 SCOPE &RECOGNITION 6 2 HEALTH & SAFETY 6 3 MANAGEMENT RIGHTS 7 4 UNION SECURITY & CHECKOFFS 7 5 SENIORITY 8 6 STEWARD & NEGOTIATION COMMITTEE 9 7 GREIV ANCE PROCEDURE 10 8 BARGAINING UNIT WORK 12 9 PART TIME 13 10 VACATIONS 13 11 PAID HOLIDAYS 15 12 INSURANCE 17 13 PENSION PLAN 17 14 BEREAVMENTPAY 17 15 JURY DUTY 18 16 LEA VE OF ABSENCE 18 17 SEVERANCE PAY 18 18 HOURS OF WORK. 18 19 OVERTIME 20 20 BREAKS, LUNCHES AND SHIFT PREMIUMS 21 21 PHONE IN 22 22 V ACCANCIES & JOB BIDDING 22 23 NOTICE OF LAYOFF 23 24 CONTINUITY OF OPERATIONS 26 25 RULES APPLYING TO TERMINATION OF EMPLOYMENT 26 26 GENERAL NOTES & MISCELLANEOUS 27 27 FULL TIME AND PART TIME WAGE APPENDIX 28 28 SKILLED TRADES APPENDIX 33 29 EFFECTIVE DATE AN DURATION 36 30 GROUP BENEFIT PLAN SUMMARY 36

LIU 1 PART TIME SANITATION SCHEDULING 45 LIU2 CAB FARES 46 LIU 3 DESIGNATED SMOKING AREA 47 L/U4 BREAD GIVEAWAY 48 LIU 5 TARGETED BENEFIT PENSION PLAN 49

4

WITHNESSETH

It is the Intent and purpose of this agreement to recognize the commtmity oflnterest between Canada Bread Company Limited and the Milk and Bread Drivers, Dairy

Employees, Caterers and Allied Employees, Local Union No. 647 affiliated with the International Brotherhood of Teamsters, in promoting the utmost co-operation consistent

with rights of both parties. It is further the intent of this agreement to foster a friendly spirit, which shall prevail at all times. This agreement is therefore designed to clearly set

out the rates of pay, hours of work, and conditions of employment to be observed between the parties.

5

ARTICLE 1 - SCOPE AND RECOGNITION

1.01 The Company acknowledges the Union as the sole and exclusive bargaining agent for all associates at the 155 Nebo Rd. Plant located in the city ofl-Iamilton save and except supervisors and those persons above the rank of supervisor, office and sales staff, technical, trucking and delivery staff.

1.02 The Union shall not intimidate or coerce any person into membership in the Union and shall not, hold meetings, or other Union activities on the Company's time or property except as prescribed by this agreement. The Company shall not discriminate against, interfere with, restrain or coerce any associate because of Membership in the Union or Union duties consistent with this agreement.

1.03 In this agreement wherever the masculine gender is used, it shall be constructed to be the masculine or the feminine, as the context required.

1.04 There shall be no discrimination by either the Company or the Union against any person in regard to employment with the Company or membership in the Union consistent with the Hmnan Rights Code of Ontario.

ARTICLE 2 - HEALTH & SAFETY

2.01 Nothing in this Agreement shall contravene any applicable legislation, which is now in force or may in the future come into force, including the Occupational Health and Safety Act.

2.02 The Company and the Union recognize their mutual obligations and responsibilities under the Occupational Health and Safety Act of Ontario. Efforts will be made by the parties to ensure a "safety first attitude" to make safety a core value and will work diligently to exact these principles.

The Company recognizes the fundamental right of workers to refuse unsafe or dangerous work without reprisal.

The Company and the Union agree to cooperate and support the activities of the Joint Health and Safety Committee. This includes the worker side representatives being elected by the Union membership.

No associate, whether hourly or management, shall bypass or render inactive a safety mechanism on equipment or vehicle.

The Company will provide up-to-date training to ensure all work is completed without compromising the health and physical integrity of all associates.

All workers shall receive adequate health and safety training or certification before being asked or allowed to work on any equipment, vehicle or job.

6

Further, on April 28th (Day of Mourning) of each year all the parties will pay tribute to all working people who have been victims of workplace accident and disease. (ie. Company notice)

2.03 Canada Bread and Teamsters Local 647 adopt a ZERO TOLERANCE position in relation to any form of verbal or physical abuse, verbal or physical harassment and sexual harassment will be with disciplinary action up to termination of employment.

2.04 The Health & Safety Committee will make recommendations regarding required safety equipment and apparel.

2.05 The company shall provide adequate First-Aid and CPR training in accordance with legislative requirements.

2.06 If an associate is injured on the job, he/she shall be paid for the remainder of his/her shift.

All associates are expected to actively participate in the Return to Work program. This includes returning to work same day after seeing a physician in order to submit required paperwork. If medically appropriate, the associate may be asked to complete that shift on modified duties.

2.07 The Company shall provide a safety shoe/boot allowance of $135.00 per calendar year for all associates that have passed their probationary period. Associates will be reimbursed after they have provided the Company with an original receipt. The footwear shall be green patch CSA approved. The Company shall cover a 2nd pair of shoes if deemed required by the Company. Associates may continue to use the boot truck or purchase themselves from a store.

ARTICLE 3 - MANAGEMENTS RIGHTS

3.01 Management has the right to manage its business in all respects subject to terms of this Agreement. Management agrees to exercise these rights fairly and reasonably.

ARTICLE 4 - UNION SECURITY & CHECKOFFS

4.01 All associates of the Company covered by this Agreement must become and remain members of the Union in good standing during the life of this Agreement as a condition of employment.

4.02 The Company further agrees to inform all new associates hired (who are to be covered by this Agreement), that Union membership is a condition of employment after thirty days at the 155 Nebo Road Hamilton Plant. The Company agrees to notify the Union in writing, on a monthly basis, the name and position of each associate covered by this Agreement, who resigns, is hired, laid-off, recalled or terminated in the preceding month.

4.03 The Union will not hold any meetings on the Company property except as agreed to by the Company.

7

4.04 The Chief Steward or his designate shall be informed of all new associates by name and job classification as soon as possible. The Local Union shall receive a copy of the signed 1mion card for associates covered by the collective agreement. If the associate does not sign his union card, he shall be talcen off the job at the written request of the Union.

4.05 Each month the Company shall deduct from the pay due to each associate who is covered by this Agreement, for each month they work or portion thereof, a sum eqnal to 1/12th of the armual Union due plus any assessments, including delinquent dues, for Union purposes. The Company agrees to a check-off of the Union initiation fee at the rate of$5.00 per week beginning with the associate's first pay; such fee to be forwarded to the Union office when the initiation fee has been fully paid by the associate. The Union shall notify the Company as to the amount of the initiation fee and any changes in amount. The Union shall notify the Company with the necessary "check-off authorization cards" for the initiation fee.

All dues shall be forwarded to the Union office by the 20th of the following month.

4.06 In case of an associate being off work for any reason when dues are to be deducted, said dues will be deducted fully from the first pay upon return to work, unless otherwise instructed by the Secretary-Treasurer of the union. Dues will be deducted from vacation pay. Associates will only be deducted Union dues in months where the associate has earnings or is on a leave of absence.

4.07 The Union agrees to save the Company harmless from any suit or judgment arising from the above Check- off arrangements.

4.08 The Company agrees to provide the stewards with access to a locked filing cabinet and will provide union officials with private space during office hours as reasonably required in order to conduct private union business.

4.09 Union Notice Boards The Union shall be provided with 1 Union bulletin Board to communicate with the Teamster Membership. The Union board shall continue to be placed in the Ltmchroom.

ARTICLE 5 - SENIORITY

5.01 Promotions, demotions, upgrading and transfers will be based on plant seniority provided the associate has the skill and ability.

5.02 In the event of a reduction in the workforce, associates will be laid off by seniority in reverse order.

5.03 No associate shall be entitled to seniority rating until such associate has completed five htmdred (500) hours of work with the Company at its 155 Nebo Road plant. After successful completion of the probationary period, plant seniority shall govern in the event ofblllllping and lay-offs.

8

5.04 An associate's seniority rating shall be broken and their employment terminated for all purposes when he:

a) Voluntarily leaves the service of the Company. b) Is discharged for just cause. c) Is absent from work for any reason without a valid reasonable excuse. d) Fails to reply by telephone to signify his intentions within 96 hours (4 days) after a

registered letter has been sent to his last !mown address on Company file giving him an opportm1ity to return to work on the required day in order of seniority.

e) Is laid off for a period oftwenty-fonr for a period of twenty-four (24) months. Associates shall continue to accumulate their seniority for the first eighteen (18) months while on lay-off.

5.05 The Company shall maintain and post every four (4) months a current seniority list of regular and part- time associates.

5:06 Associates promoted to supervisory capacity will lose their plant seniority if not returned to the bargaining twit within eight (8) calendar months. This privilege will only apply to associates once.

5.07 Part-time associates who subsequently become full-time associates under this Agreement shall have previous part-time seniority added to their full-time seniority.

5.08 Associates who are on lay-off and who are required to work in order to fill temporary vacancies, shall have their recall rights and their seniority rights (as set out in Article 5:04 (e) extended for one (1) week for each week in which they work.

5.09 There shall be separate seniority lists for full-time and part-time associates. The seniority lists will be updated every six (6) months and a copy will be provided to the Union.

ARTICLE 6 - STEWARD & NEGOTIATION COMMITTEE

6.01 The Company acknowledges the right of the Union to elect (4) Stewards. One Steward dedicated to the night shift, one steward dedicated to the day shift, one steward dedicated to the afternoon shift and one Chief Steward.

For the purpose of assisting associates in the presentation of grievances. It is agreed that the Union will ensure adequate coverage on all shifts with no incremental costs as ifthe Steward was on-site.

All Stewards elections shall be held 6 months prior to the expiry of the Collective Agreement. In order to qualify to run for the Chief Steward position members must have at least 18 months previous Steward Experience.

The Local Union shall appoint alternate stewards only to replace a steward when they are on

9

Vacation, Sick Leave, Leave of Absence, WSIB or while at Collective Bargaining negotiations.

6.02 No Steward, Foreperson or Supervisor shall have authority to alter, amend, violate or otherwise change any part of this Agreement.

6.03 The Chief Steward shall be informed of personnel changes within the bargaining unit including layoff, discharges & disciplinary action. Such information will be considered as confidential by the Chief Steward. The Chief Steward shall be informed prior to all lay-offs taking effect as soon as possible.

6.04 The Chief Steward will be allowed reasonable time necessary to deal with grievances or complaints involving other shift stewards where approved by management, such requests will not be nnreasonably denied.

6.05 When a Steward is brought in for consultation before he starts, or after he has completed his normal work day at the request of Management, he shall be paid for such consultation at his regular hourly rate and such payment will not be counted for overtime purposes.

6.06 The Union shall notify the Company, in writing, of the name of the Chief Steward and also of the names of Shift Stewards and the alternate if applicable.

6.07 The Union representative shall have access to the plant at all times during working hours with permission of management provided there is no interruption of production. The Union representatives will not be allowed on the production floor without the advance authorization of the plant manager, HR Manager, or designate. Such requests will not be nnreasonably denied.

6.08 The Company agrees to pay all stewards a premium of $0.50 for all hours worked.

ARTICLE 7 - GRIEVANCE PROCEDURE

7.01 The purpose of this Article is to establish a procedure for the settlement of all grievances arising in respect of the interpretation, application, administration or alleged violation of this Agreement and it is the mutual desire of the parties that complaints of associates be dealt with as quickly as possible.

All grievance(s) shall be settled in the following manner:

Preliminary Stage The aggrieved associate shall, either alone or with the shift Steward, talce up the matter with his Supervisor. The Supervisor shall give his verbal answer to the associate within two (2) working days.

Step I If the matter is not settled to the satisfaction of the associate he shall within five ( 5) working

10

days, after the completion of the preliminary stage, file a grievance( s) in writing stating the facts of the grievance( s) and the relief sought. The matter will then be discussed at a meeting between the associate together with the shift Steward and Chief Steward and the Department Head and/or designate and the associate will be given his reply within five (5) working days following the meeting.

Step II If the reply to the grievance( s) is not settled to the satisfaction of the associate, a meeting will be held to discuss the grievance(s) with the associate together with the shift Steward and Chief Steward and Plant Manager and/or designate and the associate will be given his reply within five (5) working days following the meeting.

Step Ill If the reply is not satisfactory a meeting will be held to discuss the grievance(s) with the Union Business Agent along with the associate together with the shift Steward and Chief Steward and the Human Relations department along with the Plant Manager or designate and the associates will be given his reply in writing within ten (10) days following the meeting.

7.02 Any arrangement or decision agreed to under any of the foregoing provisions shall be confirmed and set forth in writing and be binding upon the Union, the Company and all associates concerned.

7.03 It is understood, however, that unless agreed to by both the Company and the Union, no grievance shall be processed, the alleged circumstances of which originated or occurred more than five (5) working days prior to its original presentation in writing.

7.04 Step IV Should the Union and the Company fail to reach an agreement, eitl1er party may refer the matter to Arbitration. Such referral must be made within ten (10) days of receipt of the reply following Step III outlined above. In such event, the dispute shall then be submitted to Arbitration to be heard by a sole Arbitrator. If the two parties fail to agree upon the choice of the Arbitrator, the Minister of Labour for the Province of Ontario shall be asked to select the Arbitrator. The decision of the Arbitrator shall be final and binding upon both parties and upon any associate affected by it. The Arbitrator shall not have any power to alter or modify any of the provisions of this Agreement, or to substitute any new provisions, or to give any decision inconsistent with the terms of this Agreement. The cost of the Arbitrator shall be borne equally by the Company and the Union.

7.05 A complaint by an associate that he has been unjustly discharged shall be submitted in writing to the Plant Manager, at Step II of the grievance procedure, within four (4) working days of the discharge. The matter shall then proceed in accordance with the provisions outlined above and may be settled in any mam1er that is deemed by the parties or Arbitrator to be just and equitable.

7.06 The Union and the Company shall have the right to file a policy grievance at a time not later than three (3) months from the date of the incident giving rise to a dispute in the

11

interpretation of the collective agreement or the manner in which it is being complied with. Such grievance will be dealt with at Step II of the grievance procedure and if no agreement is reached the grievance may be submitted the final stage of the grievance process by either party.

7.07 Subject to Article 7.08, ifthe responses in Step I, II and III are not provided in the required time period, the grievance shall progress to the next step of the process.

7 .08 Any time limits specified in tlrn above sections may be extended by mutual written agreement at any time prior their expiration. Extensions will not be unreasonably withheld. "Shift Steward" shall be defined as the Steward initiating the grievance on behalf of the associate.

7.09 New Alternative Dispute Resolution If required during the life of this collective agreement, the parties agree to explore options for alternative dispute resolution where the outcome shall be final and binding but without prejudice and/or precedent.

ARTICLE 8 - BARGAINING UNIT WORK

8.01 The Company agrees that supervision and management will not perform bargaining unit work if the perfonnance of such bargaining unit work causes the layoff of any existing associates in the Bargaining unit, or if it prevents the recall of any associate in the bargaining unit who is on lay off, or if it causes a reduction in the regular hours of any existing associates in the bargaining Uilit.

In addition, no supervisor will be allowed to regularly perform bargaining llilit work that prevents the filling of a permanent full time position.

This agreement is based on the Companies commitment that supervisors shall not perform bargaining unit work that would circumvent overtime.

8.02 The Company shall only be able to utilize temp or agency workers where no full or parttime associates are physically able to perform the work. The Company commits to making every reasonable effort to secure a group of permanent unionized associates with a view to eliminating the use of agency workers as soon as possible. If the Company does utilize temp or agency workers, the Company will submit union dues consistent with Union by-laws and pay wage and working conditions as per the Collective Agreement.

The Company shall not utilize skilled trade's contractors without first offering the overtime to all maintenance associates, provided the work can be performed by maintenance associates. This excludes equipment installations where warranties require that a manufacturer complete their own equipment installation.

Where management does bargaining 1mit work in a way that is in contravention of this collective agreement, a penalty of seventy five ($75 .00) dollars will be paid to a Teamster Union Education

12

Fund.

ARTICLE 9 - PART - TIME

9.01 Part-time associates shall be used to only supplement the full-time work force. They shall be allowed to work to provide vacation relief, when full-time associates decline to work on holidays, unwanted mandatory over-time that full-time associates have declined, to grant leave of absence for full-time associates, to cover for sickness for longer than one (1) week, or in unplanned circumstances where, despite the best efforts of the employer, no full-time associates are able to perform the work and tl1e failure to complete the work on time will cause fue company to fail in meeting its production demands. No part-time associate shall work when a full-time associate is laid off. All full-time associates shall be offered over-time before part-time associates. Part-time associates shall only have seniority rights among themselves but not as vis-a-vis full-time associates. They shall be called into work by part-time seniority provided they have the skills and ability to perform the required work.

Not more than 25% of the full-time hours for a given week may be filled by part-time associates. Part-time associates shall be offered full-time positions in order of part-time seniority provided they have the skills and ability.

Part-time associates shall be paid overtime and shift premiums consistent with the collective agreement.

Part-time associates shall pay Union dues consistent with the Local Union by-laws.

9.02 Part Time associates shall be paid four percent ( 4%) of his or her gross pay as vacation pay on fueir weekly pay cheque.

ARTICLE 10- VACATIONS

10.01 The Company determines vacation scheduling and changes, and the number of associates that are on vacation at any one time.

Vacation(s) will be scheduled within each department with selection by seniority within each classification provided associates remaining have the present ability, to perform the available work in a proficient manner. The Company's vacation year will be the period from January 1st to December 3 lst. The first week of December each year, a vacation planner will be posted and the Company will distribute vacation request forms to associates. Each associate will be required to submit all their vacation (including alternative selections) to their supervisor by December 31st each year. By seniority, each associate will select the first two weeks of their vacation entitlement. Iffue associate fails to make fueir vacation selection within the prescribed time, the selection choice proceeds to the next senior associate.

13

For those associates with three (3) or more weeks of vacation, the selection will proceed as above but with one (1) week blocks. If associates fail to make their selection, the selection choice proceeds to the next senior associate. The final vacation schedule will be posted on or before March 1st each year. Associates not submitting their vacation selections in accordance with the foregoing may have their vacation assigned commencing April 15th each year.

Requests to reschedule the vacation selections after that date will be considered by the company; however the requested changes will not be made if, in the opinion of the Company, the rescheduling will interfere with the vacations of other associates or with operating requirements. All eligible vacation weeks earned must be taken within the same calendar year. For the purposes of vacation selection, the vacation week is defined as the pay period.

10.02 An associate with one (1) year or more but less than five (5) years of continuous service from the last date of hire, as at January 1st, shall be entitled to two (2) weeks' vacation. Pay for such vacation shall be four percent (4%) of the associate's earnings calculated in accordance with the Ontario Employment Standards Act.

10.03 An associate with five (5) years or more of continuous service from the last date of hire, as at January 1st, shall be entitled to three (3) weeks' vacation. Pay for such vacation shall be six percent (6%) of the associate 's earnings calculated in accordance with the Ontario Employment Standards Act.

10.04 An associate with ten (10) years or more of continuous service from the last date of hire, as at January !st, shall be entitled to four (4) weeks' vacation. Pay for such vacation shall be eight percent (8%) of the associate 's earnings calculated in accordance with the Ontario Employment Standards Act.

10.05 An associate with twenty (20) years or more of continuous service from the last date of hire, as at January 1st, shall be entitled to five ( 5) weeks' vacation. Pay for such vacation shall be ten percent (I 0%) of the associate' s earnings calculated in accordance with the Ontario Employment Standards Act.

10.06 When vacation pay is calculated, eligible associates shall receive not less than the Employment Standards Act, which is four (4%) of the associate's wages in the previous year including overtime pay but excluding vacation paid out in the previous year.

10.07 Each associate will be required to take all vacation entitlements.

10.08 Any associate who has lost in excess often (10) weeks earnings, due to illness or injury, and who is entitled to more than two (2) weeks' vacation, may elect to talrn reduction in such extra vacation in order that his vacation pay will provide normal earnings during the vacation period talrnn. In accordance with article 8.01, an associate must indicate they wish to exercise this article prior to December 31st in t11e previous year.

10.09 In conformity with Employment Standards Act 2000, an associate who wants to take his

14

vacation in periods of less than a week shall ask the Company in writing and the Company may grant such request at its discretion. A maximum of one (1) week can be taken in periods of less than a year.

ARTICLE 11 -PAID HOLIDAYS

11.01 Subject to the provisions of this article the following days are recognized as paid holidays under this agreement:

New Year's Day Victoria Day Labour Day Boxing Day Family Day Canada Day Thanksgiving Day Good Friday Civic Holiday Christmas Day

Personal Holiday Associates who have completed their probationary period by January 1st shall be entitled to one (1) personal holiday in that calendar year. Such personal holiday with pay shall be granted in accordance with the following conditions:

I. The personal holiday will be taken in the calendar year in which it is granted.

II. The date shall be mutually agreed between the Company and the associate.

III. The associate must notify the Company in writing at least one (1) week in advance of the posting of the work schedule in which the personal holiday is requested. The Company shall make every reasonable effort in writing to infom1 the associate if their personal Holiday request was granted or denied.

IV. The personal holiday shall be granted on a first come first served basis. However, if multiple requests are made on the same day, for the same date, they shall be granted by seniority. Subject to operational requirements.

V. Associates that have not scheduled their personal holiday by September 1st of each year will have it scheduled by the Company with a Union Steward representative by using a lottery system.

11.02 The weekly labour schedule shall be posted no later than Thursday by 2:30pm. The Company shall provide as much notice as possible before weeks that have statutory holidays.

The basic assmnption for paid holidays is "the day, on which the holiday falls, is the day on which the holiday is observed." As a result, if the paid holiday falls on the associates scheduled day of work, the associate may be expected to work and will be paid overtime at the rate of time and one half(l.5x) for all the hours worked between 00:01and23:59 that day. In addition, the associate will receive one day of holiday pay at regular time.

The Company shall first attempt to fill the requirements vollll1tarily. If these ca1111ot be filled

15

voluntarily, the Company will schedule the required labour by reverse seniority starting with the least senior qualified permanent part-time, then all probationary fuli-time associates, then least

senior qualified full-time associates who will be required to work such overtime.

It is also lmderstood that the Company will make efforts to curtail or eliminate the necessity to work on Christmas and New Year's Day as well make efforts to reduce production during the rest of the statutory holidays. However, nothing in this article will prevent the Company from maintaining essential production, maintenance and distribution levels to satisfy customer and business needs during weeks where statutory holidays fall.

Associates are invited to observe a moment's silence at 11 :OOam on Remembrance Day but Production will continue. An armouncement will be made over the intercom. Associates who normally work five (5) eight (8) hour shifts in a week will work thirty-two (32) hours and Associates who work four (4) ten hour shifts will work thirty (30) hours in a week and associates working twelve (12) hour shifts shall have their work week reduced by twelve (12) hours where one holiday occurs.

Associates who normally work five (5) eight (8) hour shifts in a week will work twenty-four (24) hours and associates who work four (4) ten hour shifts will work twenty (20) hours in a week and associates who work twelve (12) hour shifts shall have their work week reduced by twenty-four hours in a week where two holidays occur.

11.03 In order to be paid for a paid holiday, an associate must work the last scheduled shift before and the first scheduled shift following t11e day celebrated as the holiday and such eligible associates shall receive eight (8) hours at his regular rate of pay or the value of the associate's regular shift, whichever is greater.

Associates on lay-off must have worked three full shifts in the previous thirty (30) calendar days.

Statutory holiday pay for only Part Time associates hired after the date of ratification will be calculated and administered in accordance with the ESA.

11.04 An associate who was not able to work the scheduled day before or the scheduled day after the holiday because of illness verified by his doctor, or who is on aut110rized leave of absence or on bereavement leave will be paid the holiday pay.

11.05 If a paid holiday falls during an associate' s vacation he will receive the holiday pay and will be entitled to pay in lieu of the missed holiday or m1 alternative day off with pay mutually agreed by the Company and associate. If the Compm1y and the associate cannot agree on an alternative day the Company will pay out the outstanding money.

11.06 Three (3) times during each calendar year, prior to December 1st each year, m1 associate who works a statutory holiday will have the option to have a lieu day off, without pay, provided it is requested and talceri within eight (8) weeks following the statutory holiday at a date to be mutually agreed upon between the Company and the associate. The Company reserves the right to staff the lieu day at its discretion.

16

ARTICLE12-INSURANCE

12.01 Canada Bread Benefit Plan for Hourly Associates of 155 Nebo Road Hamilton Plant (Great West Life Policy# 150887 Division #02).

The Company will continue to provide drug cards for the insurance plan referred above.

ARTICLE 13 - PENSION PLAN

13.01 Effective November 1, 2015, The Company will introduce a mandatory pension plan for full-time associates with the Company contribution of $10.00 dollars per week, with an equal contribution matched by the associates, (total of $20.00 per week). The Company will determine the plan design, following consultation with the Union.

Employer and Full Time Associate contributions will increase from the current $1 O/week as follows:

Effective Saturday, January 6, 2018 - $11.50 per week Effective Saturday, January 5, 2019 - $12.50 per week Effective Saturday, January 4, 2020- $15.00 per week Effective Saturday, January 2, 2021 - $16.00 per week

ARTICLE 14-BEREAVEMENT PAY

14.01 In the event of the death of an associate's spouse, child, or parent, the associate, provided he has completed his probationary period, will be granted a leave of absence for a reasonable time and will be reimbursed for time necessarily lost from work up to a maximum of five (5) days for the purposes of making ftmeral arrangements or attending tl1e funeral.

In the event of the death of an associate's brother or sister, the associate, provided he has completed his probationary period, will be granted a leave of absence for a reasonable time and will be reimbursed for time necessarily lost from work up to a maximum of three (3) days for the purposes of making funeral arrangements or attending the funeral.

In the event of the death of an associate's gnmdparents, mother/father-in-law, brother/sister-inlaw, or grandchild, the associate, provided he has completed his probationary period, will be granted a leave of absence for a reasonable time and will be reimbursed for time necessarily lost from work up to a maximum of two (2) days for the purpose of making funeral arrangements or attending the funeral.

14.02 It is understood where it is not possible to attend the funeral ofa member of the associate's immediate family as defined in the preceding paragraph, an associate will be granted two (2) days' leave of absence with pay on the same basis as above to attend religious ceremonies in coill1ection with the death, provided that suitable evidence is produced of the death

17

and the relationship of the deceased.

ARTICLE 15 - JURY DUTY

15.01 If an associate is called or subpoenaed and is legally required to serve on jury duty or as a witness (other than a dispute between the parties) on his normal working day, the Employer agrees to pay the equivalent of the regular rate at straight time for schedules hours less jury duty pay.

ARTICLE 16 - LEAVE OF ABSENCE

16.01 The Company agrees to grant the necessary time off, without pay, to one associate designated by the Union to attend a Labour convention or to serve in any capacity on any official Union business, provided however; that notification is given to the Company in sufficient time to secure a relief person for the job involved. Such leave of absence shall be limited to a two (2) week period.

Once per year, upon giving reasonable notice, and as long as the associate can be replaced, the Employer shall give one (1) day leave without pay for shop stewards to attend the Union's shop steward seminar.

16.02 The Company may grant at its discretion leave of absence in writing to any associate without pay for legitimate personal reasons, and any person who is absent with such written permission shall continue to accumulate seniority during this absence. An associate returning from leave of absence shall return to the classification he held prior to going on leave. In special circumstances the Company may extend the leave with written approval from the Union.

16.03 Maternity and Parental leave shall be in accordance with the Employment Standards Act.

16.04 An associate granted leave of absence with an anticipated duration of more than two months, shall prepay premiums for all welfare benefits at the commencement of such leave. For all granted leave of absence less than sixty (60) days the company will continue payment in the normal manner. Weekly indemnity benefits are excluded.

ARTICLE 17 - SEVERANCE PAY

17.01 In the event of a plant closure the Company will meet with the Union to discuss an enhanced severance package

ARTICLE 18 - HOURS OF WORK

18.01 The shifts at the 155 Nebo Road Plant for all associates regardless of department, shall be any combination of 5 shifts of 7.5 hours (i.e. 37.5 hours pay/week), 5 shifts of 8 hours (i.e. 40

18

hours pay/week), 4 shifts of 10 hours (i.e. 40 hours pay/week, 2 shifts of 12 hours & 2 shifts of 8 hours (i.e. 40 hours pay/week).

Continental shifts may be introduced during the life of this agreement for maintenance associates only. For purposes of clarification, continental shifts are defined as fixed shifts of:

two weeks of three (3) twelve (12) hour shifts, totaling 36 hours pay at straight time. Overtime will become payable after 40 hours worked in the week.

AND

one week of four (4) twelve (12) hours shifts, totaling 40 hours pay at straight time and 8 hours pay at time and one half.

Any change to the current maintenance department schedule shall be posted and awarded by seniority provided the associate possesses the required qualifications.

Regardless of their shift configuration, maintenance associates ONLY will be paid for their half (1/2) hour lunch period due to the fact they are required to answer calls during their lunch and expected to stay at the plant for duration of their shift.

All shifts shall have clear start times and days off. The Company maintains it's right to change start-times, and/or days off, provided it is for valid business reasons and provided reasonable notice is to associates.

Where operationally possible and based on customer requirements the Company will provide two consecutive days off to as many associates as practicable.

The Company and the Union recognize the difficult circumstances of the fresh bread industry that lead to difficulty providing two consecutive days off. The Company will, wherever possible, provide at least one Saturday or Sunday off to every associate and a minimum of2 days off per week. The Company and the Union shall also form a joint committee which will discuss ways in which certain associates may, in the foture, be in a position to work shifts that allow for two consecutive days off in a given week. It is understood that operational needs will govern. The Company will discuss with the Union the possibility of moving volume to different days of the week to improve shifts for associates.

18.02 a) Any associate who reports for work at their scheduled starting time without having been previously told not to rep·ort shall be paid for four (4) hours at their regular straight time hourly rate of pay, except if work is not available due to an act Of god.

b) Where a line brealcs down or line production is completed prior to the end of a shift, the senior full-time associate shall exercise their seniority by having the choice to volunteer and go home or remain at work to perform any work which is available provided they have the skill and ability.

19

ARTICLE 19 - OVERTIME

19.01 Overtime will be paid at the rate of time and one half (l.Sx) the associate's regular hourly rate. For production associates, overtime will be paid for all hours worked after regularly scheduled hours of work, and on scheduled days off.

Associates who miss a scheduled Saturday or Sunday day of work (other than those Saturday's and/or Sundays whose absence is substantiated in the same week by a medical certificate or approved absence) and who previously or subsequently work overtime on a scheduled day off shall be paid regular time for all hours worked on the scheduled day off. The hours worked on the scheduled day off shall be tracked as if overtime was worked.

19.02 Overtime shall be voluntary unless the Company cannot find sufficient qualified associates.

Overtime opportlmities shall be offered as follows

Distribution of Overtime

The opportunity to perform overtime shall be given as equally as possible. The overtime will be assigned to associates legally allowed to work the overtime (whether at work or not, excluding associates on vacation) and who have the lowest overtime hours worked in the quarterly overtime tracking period as defined below.

a) To the qualified full time associates in the job, with the lowest hours who are available to work the required overtime; failing that

b) To the qualified full time associates in the department, with the lowest hours who are available to work the required overtime; failing that

c) To the qualified full time associates, plant-wide, with the lowest hours, who are available to work the required over-time; failing that

d) Ifthere still is not a sufficient number of qualified full time vohmteers, the overtime will be assigned using reverse seniority to the least senior qualified part-time, then all qualified probationary associates, and then qualified full-time associates who will be required to work such overtime

It is understood by the parties that management will make every reasonable effort to contact the appropriate associates for w1foreseen overtime in accordance with the above language.

All hours worked shall be recorded by the Company. The Company will post weekly the list of overtime hours worked. The overtime levels shall be reset to zero on a quarterly basis, the first Monday of January, April, July and October. For administrative purposes only, during the first two weeks of each quarter overtime will be offered by seniority order.

20

In the event that an associate is improperly missed for overtime, they will be assigned an equivalent amount of hours to be worked "in kind" but that would not conflict with the overtime rights of other full- time associates. If an associate refuses three (3) offers of such work they will forfeit their right to work the hours owed to them.

Associates will be given an opportunity at the beginning of the three (3) month "reset" periods identified above to remove themselves from the voluntary overtime list for the entire three (3) month period. However, this shall not exempt them from working as per ( d) above.

For the purposes of overtime, departments will be as follows:

1) Production 2) Shipping 3) Maintenance 4) Sanitation

The Company shall not add or change the above departments for purposes of overtime assigmnent without the agreement of the Union. However, the Company may add departments provided the Company discusses the change with the Union in advance and will be agreed to by a Letter of Understanding.

Full-time associates scheduled to work overtime shifts shall be guaranteed the shift hours scheduled unless they receive at least 24 hours' notice that the shift is cancelled. For additional clarity, this guarantee will only apply if the Company has cancelled the shift and not if m10ther associate was missed for overtime. No other guarantees of any kind apply in the assigmnent of overtime.

When a full-time associate and a part- time associate are working, the full-time associate will get the first choice of overtime.

Associates will be given as much notice as possible of all overtime opportunities.

19.03 In the week in which a paid holiday falls, the qualifying period for weekly overtime pay shall be reduced by the mm1ber of regular shifts for each such paid holiday falling in such week, excluding all daily overtime hours.

19.04 There will be no pyrm11iding of overtime, call-in, holiday pay or premitm1 payments.

ARTICLE 20 - BREAKS, LUNCHES, SHIFT PREMIUMS

20.01 The Company shall provide all associates with a one-half hour (1/2) unpaid lunch period.

20.02 Associates will be allowed two 15 minute breaks per 8 hour shift, three paid 15 minute brealcs per 10 hour shift and four paid 15 minute breaks per 12 hour shift.

21

20.03 Associates will take lunch and rest periods when instructed to do so subject to the Collective Agreement.

20.04 In addition to their regular wages, a shift premium of thirty five cents ($0.35) per hour shall be paid for work performed between the hours of 11 :30pm and 7:30am.

ARTICLE 21 - PHONE - IN

21.01 All associates are required to inform their immediate Supervisor of absence from work due to illness a minimum of two (2) hours, whenever possible prior to their starting time in anyone-day.

Sick Call Line: 1-866-567-3472

21.02 Also, associates must inform their Supervisor when they will, and prior to actually returning to work following an illness.

21.03 When an associate is absent from work due to illness for a period of at least five (5) days, he must inform his Supervisor at least forty-eight ( 48) hours in advance of his proposed return.

ARTICE 22 - VACANCIES & JOB BIDDING

22.01 When a position covered by the agreement becomes vacant at the plant a notice describing the vacancy shall be posted at the Plant.

22.02 The particulars of the vacancy will be advertised on all Union bulletin boards with a copy to the Chief Steward for seven (7) full days in order that only full time associates with seniority rating who are qualified may apply. Such application shall be made within seven (7) days from the original date of posting on application forms provided by the company. The Company will post a notice advising associates of the outcome (including the name and position of the successful applicant) within a further seven (7) full days from expiry of the job posting.

The Company shall contact the successful applicant and mutually schedule and complete a physical capability test within ten (10) calendar days of the job award being posted, unless the physical demands of the job they are applying for are equal to or less in nature than their current bid position, in which case no physical testing is necessary. When testing is necessary, the successful applicant will be paid by the Company and scheduled during Company time. The test will be administered by a third party service provider. Applicants who are tmsuccessful in completing the test will be returned to their previously held job. The successful applicant will be assigned to their new position within fifteen ( 15) calendar days of completing the required test. This timeline may be extended by mutual agreement between the Company, the Union and the successful applicant.

Job postings shall be limited to the original vacancy and the first resulting vacancy provided that

22

subsequent vacancies are offered to associates on the basis of seniority.

22.03 Applications to fill the posted vacancy shall be in writing.

22.04 Vacancies shall be filled from the applications received by the Company by seniority provided the applicant has the skills and ability. The Company will provide a copy of all applications to the Chief Steward if requested by the union.

22.05 If an associate temporarily fills a position carrying a higher rate of pay he shall be paid at the higher rate for all hours worked any day in such temporary position.

22.06 The Company will provide a reasonable and sufficient time to provide job, inspection and safety training for associates.

At the end of such training period, ifhe has not made progress, he may be returned to his original job.

22.07 No associate will be eligible for more than one transfer under this Agreement during any period of twelve (12) consecutive months except for bidding once on to a different shift.

22.08 For temporary vacancies of a known durntion of more than forty-five (45) working days due to illness, injury, or approved leave of absence, the position will be posted as a temporary vacancy. Upon receiving two (2) weeks' notice from the absent associate that they are able to return to work, the absent associate and the associate occupying the temporary vacancy will be re-assigned to their former positions. If their former positions no longer exist, the layoff procedure shall apply.

ARTICLE 23 - NOTICE OF LAYOFF & JOB ELIMINATION

23.01 Full-time associates on lay-off shall be provided with benefit continuation for thirteen (13) weeks following the effective date of lay-offs. For the purposes of benefits, and associate is deemed to have been recalled in the event that they work for more than twenty-four (24) hours per a week for six (6) consecutive weeks or forty (40) hours in one week.

23.02 When increasing the work force after a layoff, associates will be recalled in order of seniority provided that the resulting work force has the required skill, ability and physical capability to perform the available work.

23.03 When full time associates are on layoff who possess the required skills and ability and physical capability to perform work that becomes available, they will be given priority over parttime associates. If there are no such full time associates available (including those wh9 wish NOT to be contacted tmtil full time work is available), nothing in this Article shall prevent the Company from using part-time to cover off the work requirements (including but not limited to vacations, sickness, or absences of any kind).

23

23.04 Job Elimination (defined as layoff and or discontinuance of a job one (1) year less a day):

Where it becomes necessary to reduce the workforce, the associate affected shall exercise his/her seniority by bumping in the sequence(s) identified below, depending on whether they are in the classification of either Group A Worker (defined as anyone in Group "A" in Article 27.01), Group B Worker (defined as anyone in Group "B" in Article 27.01) or Group C Worker (defined as anyone in Group "C" in Article 27 .0 I) or Group D Worker (defined as anyone in Group "D") or Group E Worker (defined as anyone in Group "E").

Unless otherwise specifically identified below, associates who bump must be qualified by virtue of skill and ability to perform the work required without formal training. For greater clarity and for purposes of this article, "without formal training" means that the associate has signed off training. Additionally, associates must be physically capable of performing the required elements of the job as determined by the company's physical demands testing protocol lmless the physical demands of the job are equal to or less in nature than associates' current bid position, in which no physical testing is necessary.

Bumping Process for Group A Workers

Affected Group A Workers will only be permitted to bump other Group A Workers in the following sequence:

1. Most junior on same shift, plant wide; and then 2. Most juriior on a different shift of choice, plant wide; and then 3. Layoff

For purposes of clarification, the above sequence must be adhered to i.e. associates may not choose to skip steps in the sequence.

Bumping Process for Group B Workers

Affected Group B Workers will only be permitted to bmnp other Group B Workers in the following sequence:

1. Most junior on same shift, plant wide; and then 2. Most junior on a different shift of choice, plant wide; and then 3. Layoff

For purposes of clarification, the above sequence must be adhered to i.e. associates may not choose to skip steps in the sequence.

Bumping Process for Group C Workers

Affected Group C Workers will only be permitted to bump in the following sequence:

24

I. Most junior Group C Worker on same shift, plant wide (With Formal Training*); or

2. Most junior Group A or B Worker on same shift, plant wide; or 3. Most junior Group C Worker on a different shift of choice, plant wide (With

Formal Training*); or 4. Most junior Group A or B on a different shift of choice, plant wide; or 5. Layoff

For purposes of clarification, associates may choose to start the bumping process at either step 1 or~3. ·

*Associates who have received formal training pursuant to step 1 or step 3 above and who are incapable of satisfactorily performing the job following such training will be removed from the position and go to step # 4.

Bumping Process for Group D Workers (Production Relief Operators)

Affected Group D Workers will only be permitted to bump in the following sequence:

1. Most junior Group D Worker on same shift and in san1e department, or 2. Most junior Group C or B or A Worker on same shift, plant wide; or 3. Most junior Group D Worker in same department on a different shift of choice,

plant wide; or 4 Most junior Group C or B or A on a different shift of choice, plant wide; or 5. Layoff

For purposes of clarification, associates may choose to start the bumping process at either step 1 or step 3. If step 1 is not available (i.e. no other Group D worker on same shift), associates may choose to start the bumping process at step 2.

Bumping Process for Group E Workers (Lead Hands)

Affected Group E Workers will only be permitted to btunp in the following sequence:

1. Most junior Group E Worker on same shift and in same department; or 2. Most junior Group C or B or A Worker on same shift, plant wide; or 3. Most junior Group E Worker in same department on a different shift of choice,

plant wide; or 4. Most junior Group C or B or A on a different shift of choice, plant wide; or 5. Layoff

For purposes of clarification, associates may choose to start the bmnping process at either step 1 or step 3. If step 1 is not available (i.e. no other Group E worker on same shift), associates may choose to start the bumping process at step 2.

23.05 In all cases, associates will receive the wage rate of the job they are performing.

25

23.06 It is understood that Skilled Trades associates are excluded from being bmnped by NonSkilled Trade associates. Likewise, Group D associates are excluded from being bmnped by nonGroup D associates. As well, Group E associates are excluded from being bumped by non-Group (E) associates. In the event a Group D or Group E position is permanently eliminated, affected associates will participate in the bmnping process as if they were group C associates.

23.07 The parties agree that the foregoing provisions of Article 23.04 are to be a trial for the life of the current collective agreement. In the event that situations or circumstances arise that could not have been contemplated at the time this provision was written, the parties agree to meet and discuss such situation with a view to finding a mutually acceptable alternative solution. In the event an alternative agreement cannot be agreed upon, the parties agree tbe provisions of Article 23. 04 are to be followed as written herein.

ARTICLE 24 - CONTINUITY OF OPERATIONS

24.01 There shall be no strike or slow-down on tbe part of the Union or any associate and there shall be no lock-out by the Company during the continuance of this Agreement.

24.02 A shutdown occasioned by any cause beyond the control of the Company, or by changes in method of operation shall not constitute a lock-out.

ARTICLE 25 - RULES APPLYING TO TERMINATIONS OF EMPLOYMENT

25.01 The Company shall have tbe right to discharge or dismiss an associate for just cause. The Company with respect the principles of progressive discipline. In the event of tbe discharge of a permanent associate, the Company will notify the Union in writing within twenty-four (24) hours of such discharge.

25.02 An associate will receive a copy of any written reprimand, incident report or warning letter, or other discipline placed on his file, with a copy to the local union and chief steward. However, all disciplinary records shall be removed from associates file and destroyed after fifteen (15) months except for discipline involving violence in tbe workplace, and/or sexual harassment shall remain for twenty four (24) months.

25:03 Disciplinary actions will be served within ten (10) working days following the conclusion of tbe investigation.

25.04 Each associate who desires to tern1inate his employment must give the Company one week's notice. In the event of an associate leaving the employment of the Company, he shall be

entitled to a letter confirming dates of employment with the Company, he shall be entitled to a letter confirming dates of employment and jobs performed (upon request).

26

ARTICLE 26 - GENERAL NOTES & MISCELLANEOUS

26.01 Where the Company requires an associate to wear uniforms, aprons, hats, hairnets etc. The Company will provide, maintain and launder such apparel. Associates have an obligation to take care of and return employer supplied apparel and will be charged for any attributable loss ..

26.02 In the event that the 155 Nebo plant closes during the life of the collective agreement the company agrees to provide preference to associates at 155 Nebo by seniority to open positions at the 745 Nebo Road Trillimn plant which the applicants are qualified for. They will be treated as a new hire under the Trilli= collective agreement and retain company seniority (not plant seniority).

26.03 The parties agree that no associate shall be permitted to smoke except in the designated smoking area.

26.04 No associate shall be asked or permitted to make any verbal or written agreement, which may conflict with this Agreement.

26.05 Lead Hands Lead Hands shall be defined as bargaining unit members whose main responsibility is to direct the workforce and perform administrative duties. Lead Hands shall not hire, fire or participate in the imposition of discipline against other bargaining unit members. Lead Hands shall not initiate Company investigations into the discipline of hourly associates except in matters of verbal or physical abuse, verbal or physical harassment and sexual harassment or health and safety related matters.

Within six months after ratification of the new Collective Agreement, all Lead Hands shall be successfully trained in First Aid & CPR, Conflict Resolution and emergency evacuation procedures.

The Company has the right to appoint Lead Hands. Lead Hands shall receive an additional $1.25 per hour effective January 21, 2017.

26.06 Trainer Position: Where an experienced associate is asked by management to provide training to other associates for one full shift or more, they will be provided with a training premium of $1 per hour.

26.07 The Company will agree to pay for time spent in negotiations for bargaining committee and will pay for the cost of printing the collective agreements.

26.08 Upon ratification, the Company will finalize the collective agreement and meet with the Union to sign the new contract within 10 calendar days. The parties will insure the printed

collective agreement booklets shall be handed out to all associates no later than 60 days after ratification.

26.09 All pay deposits shall be weekly. However, in the event the pay deposit is incorrect by

27

more than· $50, the company shall provide an advance deposit with the correction. This will only apply for issues where the Company has made the error.

26.10 The Company will continue to reimburse associates for medical certificates requested by the Company. Maximum reimbursement will be $25. Associates whose attendance is being managed formally as part of the attendance management program are required to pay the full cost of medical certificates.

26.11 The Company and the Union agree that all associates are expected to sign off on documentation provided by the Company as confirmation of having reviewed/lmderstood the material. Signed documents containing information pertaining to food safety and quality, health and safety, work instructions, and policies and procedures are a mechanism for record keeping which the Company is legally responsible to maintain and produce if required for various audit purposes.

26.12 Receiver Premium Effective January 21, 2017, a Receiver premium of $0.25/hr will be introduced.

ARTICLE 27 - WAGE APPENDIX FULL TIME I PART TIME

27.01 Production Wages

Group A - Feeder, Stacker, and General Help Group B - Sanitation Group C - Ingredients (Scaler), Mixer, Oven Operator, Machine Operator, Shipper and Maintenance General Help/Lubricator Group D - Relief Operator (same rate of pay as Group C) Group E- Lead Hand (same rate of pay as Group C PLUS the Lead Hand Premium in Article 26.05)

28

Eff s d J 21 2017 1 5°/c ect1ve atur av, anuarv ' - 0

Group A Group B Group C Full Full Full Time Time Time

Start $ 15.58 $ 16.49 $ 17.51 3 Months $ 15.74 $ 16.63 $ 17.54 6 Months $ 15.88 $ 16.76 $ 17.67

9 Months $ 16.03 $ 16.88 $ 17.79

1 Year $ 16.18 $ 17.01 $ 17.92

15 Months $ 16.33 $ 17.14 $ 18.06

18 Months $ 16.48 $ 17.28 $ 18.19

21 Months $ 16.63 $ 17.40 $ 18.31

2 Years $ 16.78 $ 17.53 $ 18.44

27 Months $ 16.93 $ 17.66 $ 18.57

30 Months $ 17.08 $ 17.79 $ 18.71

33 Months $ 17.22 $ 17.91 $ 18.83

3 Years $ 17.38 $ 18.05 $ 18.96

39 Months $ 17.53 $ 18.18 $ 19.09

42 Months $ 17.68 $ 18.31 $ 19.22

45 Months $ 17.82 $ 18.43 $ 19.35 4 Years $ 17.98 $ 18.56 $ 19.48

51 Months $ 18.13 $ 18.70 $ 19.61

54 Months $ 18.28 $ 18.83 $ 19.74

57 Months $ 18.42 $ 18.95 $ 19.86

5 Years $ 18.57 $ 19.08 $ 20.00

Effective Saturday, January 6, 2018** -

$600.00 lump smn for FT; $150.00 lump sum for PT

Group A GroupB Group C Part Part Part Time Time Time

$ 15.17 $ 16.09 $ 16.90

$ 15.33 $ 16.22 $ 17.03

$ 15.48 $ 16.35 $ 17.16

$ 15.62 $ 16.47 $ 17.29

$ 15.77 $ 16.61 $ 17.42

$ 15.93 $ 16.74 $ 17.55

$ 16.08 $ 16.87 $ 17.68

$ 16.22 $ 16.99 $ 17.80

$ 16.37 $ 17.12 $ 17.94

$ 16.52 $ 17.26 $ 18.07

$ 16.68 $ 17.39 $ 18.20

$ 16.82 $ 17.51 .$ 18.32

$ 16.97 $ 17.64 $ 18.45

$ 17.12 $ 17.77 $ 18.58

$ 17.28 $ 17.90 $ 18.72

$ 17.42 $ 18.03 $ 18.84

$ 17.57 $ 18.16 $ 18.97

$ 17.72 $ 18.29 $ 19.10

$ 17.87 $ 18.42 $ 19.23

$ 18.02 $ 18.54 $ 19.36

$ 18.17 $ 18.68 $ 19.49

(* * Lmnp sums are subject to required deductions, and will be paid on or before Friday, January 12, 2018.)

29

Effective Saturdav, Januarv 5, 2019 -1.5% GrounA GrounB Groan C Groan A GrounB Groan C

Full Full Full Part Part Part Time Time Time Time Time Time

Start $ 15.81 $ 16.74 $ 17.77 $ 15.40 $ 16.33 $ 17.15 3 Months $ 15.98 $ 16.88 $ 17.80 $ 15.56 $ 16.46 $ 17.29 6 Months $ 16.12 $ 17.01 $ 17.94 $ 15.71 $ 16.60 $ 17.42 9 Months $ 16.27 $ 17.13 $ 18.06 $ 15.86 $ 16.72 $ 17.54

1 Year $ 16.42 $ 17.27 $ 18.19 $ 16.01 $ 16.85 $ 17.68 15 Months $ 16.58 $ 17.40 $ 18.33 $ 16.16 $ 16.99 $ 17.81 18 Months $ 16.73 $ 17.53 $ 18.46 $ 16.32 $ 17.12 $ 17.95 21 Months $ 16.88 $ 17.66 $ 18.59 $ 16.46 $ 17.25 $ 18.07

2 Years $ 17.03 $ 17.79 $ 18.72 $ 16.62 $ 17.38 $ 18.20 27 Months $ 17.18 $ 17.93 $ 18.85 $ 16.77 $ 17.51 $ 18.34

30 Months $ 17.34 $ 18.06 $ 18.99 $ 16.93 $ 17.65 $ 18.47 33 Months $ 17.48 $ 18.18 $ 19.11 $ 17.07 $ 17.77 $ 18.60

3 Years $ 17.64 $ 18.32 $ 19.24 $ 17.23 $ 17.91 $ 18.73 39 Months $ 17.79 $ 18.45 $ 19.38 $ 17.38 $ 18.04 $ 18.86 42 Months $ 17.95 $ 18.59 $ 19.51 $ 17.53 $ 18.17 $ 19.00 45 Months $ 18.09 $ 18.71 $ 19.64 $ 17.68 $ 18.30 $ 19.12


5 Years $ 18.85 $ 19.37 $ 20.30 $ 18.44 $ 18.96 $ 19.78

30

4 2020 2 25'X Effective Saturdav, Januarv , - 0

GrounA GrounB Groun C GrounA GrounB Groun C Full Full Full Part Part Part Time Time Time Time Time Time






5 Years $ 19.28 $ 19.80 $ 20.75 $ 18.86 $ 19.38 $ 20.23

31

Effective Saturdav, Januarv 2, 2021 - 2.50% Groan A GrounB Groan C Groan A GrounB Groun C

Full Full Full Part Part Time Time Time Time Time Part Time






5 Years $ 19.76 $ 20.30 $ 21.27 $ 19.33 $ 19.87 $ 20.73

27.03 Signing Bonus:

The Company will provide the following lump sum payments, less required deductions, in lieu of retroactivity:

FT- $250 PT- $200

Such payments will be provided on or before the last pay in January 2017.

32

ARTICLE 28 - SKILLED TRADES APPENDIX

28.01 Skilled Trades Wages

January 21, 2017 $ 32.73 1.5% Januarv 6, 2018 $ 600.00 Lumu Sum January 5, 2019 $ 33.22 1.5% January 4, 2020 $ 33.97 2.25% January 2, 2021 $ 34.82 2.5%

b) Maintenance/ Trade Wage Rates Review: The Company shall conduct a wage survey on an aimual basis in order to ensure that 155 Nebo Road skilled trades rates remain competitive. The results of the allliual survey will be reviewed with the Union.

Market wage surveys will not result in a decrease in wage rates already negotiated and outlined in Article 28.01 (a).

28.02 Tool Allowance The Company agrees to reimburse the replacement of personal tools for Maintenance department associates to a maximum of three hundred fifty($ 350.00) per calendar year. New hires in the maintenance department will eligible for reimbursement for tools purchased after twelve (12) months of service on the job. Tools that are broken on the job will be replaced by the Company at the Company's expense; such replacement will not interfere with the annual $350.00 tool allowance referred to above.

28.03 Apprenticeship Program The intent of the Apprenticeship program shall be to supplement and support licensed skilled trades people and to offer opportunities for current associates to increase their skill level, and to provide the Company with adequate and fully qualified tradespersons. Apprentices shall not be used to replace the existing complement of full time skilled tradespersons. In the event of job losses or lay-off in the maintenance department, apprentices shall be displaced before any journeymen positions are reduced.

Provided bargaining unit associates are interested in bidding for the apprenticeship program, as per the Collective Agreement, ai1d they qualify, they will be given the first opporttmity to bid for the posting as a 1st year apprentice in accordance with current bidding process versus external candidates. In the event that the internal candidates do not meet the selection criteria as outlined below, or there are no internal bids, then external I st year apprentice candidates will be considered. An internal candidate must not have a recognized millwright/electrician ticket in order to qualify. For further clarity, the internal selection process will only apply to 1st year apprenticeships.

Given the increasing challenges between hiring Skilled Trades associates directly from the external labour market, and the training time required by 1st year apprentices to obtain their trade

33

certification, the Company reserves the right to directly hire external 2nd - 4th year apprentices that have previously logged apprentice hours in accordance with the Ontario Apprenticeship program. In the event the Company hires an externally sourced 2nd-4th year apprentice, the Company will in so doing, post internally for a 1st year apprentice, thereby maintaining a "1 :1" ratio. In the event there are no internal applicants or no internal applicants who can successfully complete the selection criteria, the Company shall meet with the Union to discuss alternate solutions.

Selection, by the Company, shall be in accordance with the following criteria: 1. Appropriate academic qualifications. 2. Successfully passing an independent mechanical Aptitude test and demonstrated mechanical aptitude. 3. Interview results (for internal candidates the Chief Steward may request to be in attendance at the interview as an observer). 4. Candidates must have a record free of suspensions and an attendance record that is at the plant average or better.

Bargaining unit associates that qualify shall be awarded the position by seniority. Internal Candidates that are awarded an apprenticeship program will receive all benefits, vacation entitlements, tool allowance, etc. as per the Collective Agreement. However, they shall not receive less than their current wage rate. Future increases would apply as listed in the below progression.

The full term of the apprenticeship program shall be governed by applicable Ontario Legislation. In the event that an external candidate is hired their wages will be governed by the amount of hours worked as an apprentice and appropriate skilled trade classification as outlined below:

0-2000 hrs 2001 - 4000 hrs (+successful completion of 1st year schooling) 4001 - 6000 hrs (+successful completion of 2nd year schooling) 6001 hrs to Completion (+successful completion of 3rd schooling)

65% wage rate 75% wage rate 85% wage rate 95% wage rate

All other terms and conditions will be governed by the Collective Agreement. At the end of the training period, providing that the apprentice can satisfactorily perform the journey person's duties in the classification in which has been trained and successfully receives their Certificate of Qualification, the apprentice will receive the full journey person's wage rate and benefits as per the Collective Agreement. Internal candidates, who are awarded an apprenticeship position, shall maintain their bargaining unit seniority in all aspects except to bid/select preferred jobs/shifts within the maintenance department and vacation selections within the maintenance department. An apprentice must complete the program within 5 years. If an associate fails to complete the program and successfully pass their final exam wit11in this timeframe, the associate will lose their position within the maintenance department and will be treated in accordance with the collective agreement.

Voluntary Training and Tradesperson Liability

34

At the discretion of the Company, a skilled tradesperson may be requested to mentor an apprentice however the choice to mentor will be voluntary. A skilled tradesperson mentoring an apprentice will not be held liable for any actions or mistakes caused by an apprentice. Maximum Number of Apprentices The Company shall comply with the Trades Qualification Apprenticeship Act, with respect to the maximum number of apprentices.

Hours of Work and Overtime Apprentices will be required to work at all times under a consenting maintenance tradesperson and in compliance with all applicable legislation. All overtime shall be offered first to the maintenance department (consistent with the Collective Agreement) before any apprentice. Only when all tradespersons have been offered all the overtime opportunities and have refused shall an apprentice be allowed to work the overtime. However, apprentices will still be required to work directly under a consenting maintenance tradesperson. Once an apprentice has completed the program and become certified they will be offered overtime consistent with the Collective Agreement.

Education Reimbursement after Successful Completion of Program The Company shall pay 100% of all tuition and books that are required under the apprenticeship program and/or applicable legislation upon receipt of a passing grade and costs associated with the program. Secondly, the Company will allow the required time off (without pay) to complete the educational aspect of the program. In the event that an apprentice leaves the Company within twenty-four (24) months of completing the apprenticeship program they will be responsible for reimbursing the Company for the total cost of tuition and books. 28.04 Skilled Trades - Multiple Certifications The following wage premiums will apply with respect to certified trades. Any associate within the classification of "Maintenance" that currently holds a trade certificate in any of the following trades:

1) Millwright 2) Industrial Electrician 3) Other regulated trades as deemed necessary by the Company

Shall be eligible for a premium for each additional trade's certificate utilized by the Company, to perform daily activities. Such premiums will be as follows:

a) 1st additional Trades certificate fifty cents (.50) per hour b) 2nd additional Trades Certificate will receive additional fifty cents (.50) per hour.

To be used in conjunction with a) and not exceed one dollar ($1.00) in total.

The Company recognizes additional certificates for an Industrial Electrician, Millwright, PLC Technician and any other regulated trades (not company provided training) as required by the business as being eligible for the premium mentioned above.

Application

35

The above mentioned premiums are subject to an associate providing the Company with satisfactory proof of certification; however the Company maintains the right to assess the associate's overall capability to perform the work. Upon determination by the Company the individual has met the requirements as to the certification he I she will be paid the appropriate premium for hours worked. Should the Company cease the requirement to utilize the additional trade certificate, and then the premium shall be removed.

ARTICLE 29 - EFFECTIVE DATE AND DURATION

29.01 This agreement shall become effective on the date of ratification unless specified otherwise herein, and shall remain in full force and effect until October 31st, 2021 and shall continue in effect from year to year thereafter, unless either party gives notice not more than ninety (90) days and not less than thirty (30) days before the expiration date of its desire to amend this Agreement.

ARTICLE 30 - GROUP BENEFIT PLAN SUMMARY

Canada Bread, Hamilton, ON Eligible Unionized Hourly Associates Great West Life, Policy #150887, Division #02

Eligibility

Eligible coverage is provided on a three (3) month basis commencing January 1 "',April 1 "',July 1 "'or October 1 "'of each calendar year. Eligibility will be determined as at expiry of the second last payroll period preceding each of these dates. To be eligible for coverage (and continued coverage), an associate must bave worked an average of thirty (30) regular hours per week, exclusive ofreplacement hours, in the thirteen (13) weeks prior to the date of determination. An associate who fails to maintain sufficient hours of work or who does not submit the required forms will be disqualified. Hours worked for the purposes of this clause include Company paid time off, (vacations and statutory holidays) and, absences due to illness for more than five (5) working days.

Associates Basic Group Life Insurance

Termination: The earlier of age 65, retirement or termination of employment.

100% Employer paid

• • • • •

Amount of coverage: Effective date ofratification Effective January 1, 2018 Effective January 1, 2019 Effective January I, 2020 Effective January 1, 2021

$ 26,000.00 dollars $ 27,000.00 dollars $ 28,000.00 dollars $ 29,000.00 dollars $ 30,000.00 dollars

36

Associates Basic Group Accidental Death & Dismemberment Insurance


100% Employer paid

• • • • •

Amount of coverage: Effective date ofratification Effective January 1, 2018 Effective January 1, 2019 Effective January 1, 2020 Effective January 1, 2021

Associates Assistance Program

$ 26,000.00 dollars $ 27,000.00 dollars $ 28,000.00 dollars $ 29,000.00 dollars $ 30,000.00 dollars

Your EAP is a confidential, voluntary counseling and referral service available to you and your immediate family members (spouse and dependents). The program is designed to help with personal or work related issues before they become more serious. Call 1-800-387-4765 or visit: https://www.shepellfgiservices.com/ec/index.asp

100% Employer Paid

Associate Travel Accident Insurance

Worldwide coverage while on business travel.

Amount of coverage: $ 100, 000

100% Employer Paid

Associate Sickness Plan

Effective January 1, 2017 to December 31, 2018

Benefit Amount 66 2/3% of associate's regular rate up to the EI maximum.

Payable from the l'' day of accident, 5th day of non-occupational illness.

Benefit Period: up to 5 days paid for continuing illness or non-occupational disability.

This benefit is taxable upon receipt.


100% Employer Paid.

37

Effective January 1, 2019

Delete the existing "Employee Sickness Plan" language and replace with the following new language to reflect the introduction of a Short Term Disability Coverage plan for Full Time Associates effective January 1, 2019, with CBA language as follows SHORT-TERM DISABILITY COVERAGE:

All claims must be supported by full medical information that substantiates the absence. The insurance company Great-West Life (GWL) maintains sole responsibility for adjudicating all claims.

As premiums are paid by the Company, any benefit payments received are taxable. Coverage terminates on the associate' s 65th birthday or at retirement if earlier.

Benefit Amount: 66 2/3% of weekly earnings to a maximum of$425

Duration: First two weeks payable by GWL (EI waiting period), weeks 3-17 payable by Employment Insurance (EI), week's 18-54 payable by GWL

Qualifying Period: Benefits payable on fourth calendar day of disability due to illness and first calendar day due to injury/accident. Payable on fourth calendar day of hospitalization.

Eligibility: 12 months from date of hire

100% Employer Paid.

Health Care Plan

Prescription Drugs

100% reimbursement for associates and eligible dependents.

Deductible

$ 25.00 Single,$ 50.00 Family deductible per calendar year.

See Health Care Plan Details for complete details.


100% Employer paid

Dental Care Plan

Effective January 1, 2017 to December 31, 2018


Deductible

$ 25.00 Single,$ 50.00 Family deductible per calendar year.

38

$ 1,200.00 calendar year maximum for each associate and eligible dependents.

Not included

Dental Accident


No calendar year deductible, no benefit maximum.

Effective January 1, 2019

100% reimbursement for associates a11d eligible dependents.

Deductible

$ 25 .00 Single, $ 50.00 Family deductible per calendar year.

$ 1,500.00 combined annual cap on basic and major restorative per calendar year maximum for each associate and eligible dependents.

Major restorative coverage at 50%;

$ 1,500.00 combined amrnal cap on basic and major restorative per calendar year maximum for each associate and eligible dependents.

Dental Accident


No calendar year deductible, no benefit maximum.

Dental Fee Guide

The Company will maintain a one-year lag on the annual dental fee guide.

See Health Care Plan Details for complete details.


100% Employer paid.

39

Vision Care Plan

Effective January 1'' 2017 to December 31'' 2017 100% reimbursement for glasses or contact lenses to correct vision when provided by a licensed ophthalmologist, optometrist or optician up to a maximum of$ 150.00 dollars every 24 months of associates and eligible dependents.

100% Employer Paid. Effective January 1'' 2018 to December 31'' 2019

100% reimbursement for glasses or contact lenses to correct vision when provided by a licensed ophthalmologist, optometrist or optician up to a maximum of$ 200.00 dollars every 24 months of associates and eligible dependents.

100% Employer Paid. Effective January 1 '' 2020

100% reimbursement for glasses or contact lenses to correct vision when provided by a licensed ophthalmologist, optometrist or optician up to a maximum of$ 250.00 dollars every 24 months of associates and eligible dependents.

l 00% Employer Paid.

Definitions

An eligible dependent is a spouse or a child as defined below.

Eligible Sponse

A legal spouse, common-law spouse, or former spouse (if mandated by court order). An associate can only insure one spouse at a time. A common law spouse means a person who is living with the associate in a common-law relationship for at least 12 months.

Eligible Child

An unmarried natural, adopted, or step child of the associate or of the insured spouse, or an unmarried child for whom the associate or the insured spouse has been appointed guardian for all purposes by a court of competent jurisdiction. A child age 21 or over must either be a full-time student under age 25; or incapacitated for a continuous period beginning before age 21, or while a full-time student and before age 25.

Incapacity

A child is considered incapacitated if he/she is incapable of supporting himself due to a physical or psychiatric disorder.

A dependent must be an associates spouse or child and a resident of Canada.

Health Care Plan Details

40

This is a benefit summary only and does not provide complete plan details. In case of any conflict the provisions iu the Benefit Policy will prevail.

Prescription Drugs

All drugs and drug supplies covered under this benefit provision must represent reasonable treatment of disease or injury. Treatment is considered reasonable if it is accepted by the Canadian medical profession, proven to be effective, and if it is of a form, intensity, frequency and duration essential to diagnosis or management of the disease or injury.

The following drugs and drug supplies are covered when provided in Canada.

• Drugs that require a physician's or dentist's prescription according to: a) the Food and Drug Act Canada; b) Provincial legislation in effect where the drug is dispensed. (Oral

contraceptives are covered).

• Drugs that must be injected and syringes for self-administered injections of covered clrugs.

• Disposable needles for the use with non-disposable insulin injection devices, lancets and test strips.

The following life-sustaining drugs that are used in the treatment of the conditions listed, if they are prescribed by a physician:

• Convulsions - anti consultants;

• Eye Disease - mydriatics, cycloplegics, minotics, glaucoma therapy drugs;

• Heart Disease - anti-angina! agents, anti-arrhytlnnic agents, cardiotonics, vasodilators, vasopressors, potassium replacements;

• Lung Disease - bronchodilators, mucolytics, parasympathomimetics, tuberculosis therapy drugs;

• Parkinson's Disease - anti-parkinsonians, aniticholinergic/antispasmodic agents: and

• Thyroid Disorders - hyperthyroidism drugs.

Government Drug Plans - covered expenses for drugs eligible under any government drug plan are limited to any amounts the associate is required to pay for him/herself or his/her family tmder the government plan.

Smoking Cessation Products that are prescribed by a physician. The maximum amount payable is $ 500.00 in a person's lifetime.

Limitations: No benefits will be paid for:

• Any clrug that does not have a drug identification number as defined by the Food & Drug Act, Canada.

41

• Proprietary or patent medicines registered under the Food & Drugs Act, Canada.

• Homeopathic preparations, unless federal or provincial legislation requires a prescription for their sale.

• Vaccines used to prevent disease.

• Fertility drugs, whether or not prescribed for a medical reason.

• Drugs used to treat erectile dysfunction.

• Expenses that private insurers are not permitted to cover by law.

• Drugs or drug supplies the person is entitled to without charge by law of for which a charge is made only because the person has insurance coverage.

• Drugs or drugs supplies that do not represent reasonable treatment.

• Drug or drug supplies associated with: recreation or sports rather than with or regular daily living activities; or contraception, other than oral contraceptives.

• Drugs or drug supplies associated with covered items, unless specifically listed as a covered expense.

• Drugs or drug supplies received outside Canada.

• Expenses arising from; insurrection or voluntary participation in a riot.

Dental Plan Details

All services and supplies covered under this benefit provision must represent reasonable treatment. Treatment is considered reasonable if it is recognized by the Canada Dental Association, proven to be effective, performed by a dentist or under a dentist's supervision, or performed by a denturist, and of a form, frequency and duration essential to management of the person's dental health.

Basic Services

Diagnostic Services

Examinations: One complete oral examination every 3 years; oral pathology, periodontal, surgical, prosthodontic and endodontic examinations; limited oral examinations twice a year, except that only one limited oral examination is covered in any year that a complete oral examination is also performed; limited periodontal examinations twice a year; specific and emergency examinations.

Radiographs: Complete series of intra-oral radio graphs once every 3 years; intra-oral radio graphs to a maximum of 15 films every 3 years and a panoramic radiograph every 3 years (services provided in the

42

same year as a complete series are not covered); sialography; extra-oral radiographs other than panoramic and sialography; radiopaque dyes used to demonstrate lesions; interpretation of radiographs or models from another source. No benefits will be paid for dulicate radio graphs under this provision. Tests & Laboratory Reports: Microbiological, histological, cytological and pulp vitality test; laboratory reports.

Preventative Services

Polishing, Scaling & Fluoride: Polishing twice a year; scaling limited to a maximum combined with periodontal root planning 10 time units per year; topical application of fluoride twice a year.

Sealants: Pit and fissure sealants on bicuspids and permanent molars, once every 5 years.

Space Maintainers: Acid etched pontic type space maintainers are covered only when provided for missing central or lateral teeth, maintenance of space maintainers.

Other Services: Appliances for the control of harmful habits, including related observations, adjustments, repairs, alterations and removal: finishing restorations; interproximal disking: recon touring of teeth.

Time Units: A time lU1it is considered to be a 15-minute interval or any portion of a 15-minute interval. Where coverage is limited by time units but fees are not described in terms of time units by either: the fee guide in effect where treatment is rendered; or the fee guide specified by this plan; each incident of service is considered 1 time unit, regardless of its duration.

Note: The introduction of major restorative at 50 %, combined annual cap at$ 1,500, effective January 1, 2019.

• For complete plan details on dental major restorative call Great-West Life at 202-942-3589 Toll Free 1-800-387-4765 quote policy# 150887 division# 02.

43

In witness whereof each of the parties hereto has caused this Agreement to be signed by it's duly authorized representatives this 10th day of February, 2017.

Negotiating Committee for the Company Negotiating Committee for the Union

~~- Gerry Cadeau Senior Director HR President & Principal Officer

Jaimie Mariathas (HR Consultant)

ger

~-I:·---:"""

Luis E-sqiiivcl (Day Steward)

Donald MacKinnon (Afternoon Steward)

c. frr:ufJlo Cindy Basilio (Night Steward)

LETTER OF UNDERSTANDING# 1

Between:

Canada Bread Company, Limited

- and-

Milk and Bread Drivers, Dairy Employees Caterers and Allied Employees, Local Union No. 647

RE: PART TIME SANITATION SCHEDULING

During negotiations the Company understand the concerns of the union of scheduling part time sanitation associates be put on a regular schedule (Monday and Friday shift) with scheduled starting and finishing times.

The company also expressed that part time sanitation associates are a complement to production and the company needs the flexibility to stay competitive in a competitive market as well as production is customer driven impacting he scheduling of the part time sanitation associates.

The company agrees that if any part time sanitation associates are impacted by production scheduling changes, the company will give as much notice as possible. If the impact on the part time sanitation associates scheduled is affected by more than two (2) hours, the part time associate for any mitigating circumstances can turn down such work and will not be penalized in any way.

45


Between:


- and-


Re: CAB FARES

The Company agrees to the established past practice of providing cab fare to all associates who agree stay and work when the city buses are no longer in operation.

Recognizing this is generally within the city limits of Hamilton. The Company will have the discretion of providing cab fare for associates who live beyond the city of Hamilton.

46


Between:


- and-


Re: DESIGNATED SMOKING AREA

The Company agrees to the established past practice of providing a covered smoking area on Company property, provided no city by-laws render this impossible AND further provided that all third party (ie. GMP, BRC) compliance issues, cleanliness and housekeeping expectations are adhered to.

47


Between:


- and-


Re: BREAD GIVEAWAY

The Company agrees to the established past practice of providing free loaves of bread to their Associates as long as all GMP issues related to the free bread are followed by the associates receiving the free bread.

Given that 155 Nebo is one of the few remaining facilities where this privilege exists, the Company agrees to continue to practice as described above, unless we are required to stop at some point by in the future as the result of a head office/corporate directive.

48


Between:


- and-


RE: Targeted Benefit Pension Plan

If the Ontario Provincial Government passes legislation permitting Targeted Benefit Pension Plans, the Company and the Union will meet to discuss this option for the 155 Nebo Road associates.

49

NOTES

50

The Teamsters are known as the champion of freight drivers and warehouse workers, but have organized workers in virtually every occupation imaginable, both professional and non-professional, private sector and public sector.

Our 1.4 million members are public defenders in Minnesota; vegetable workers in California; sanitation workers in New York; brewers in St. Louis; newspaper workers in Seattle; construction workers in Las Vegas; zoo keepers in Pennsylvania; healthcare workers in Rhode Island; bakery workers in Maine; dairy workers in Ontario: airline pilots, secretaries and police officers. Name the occupation and chances are we represent those workers somewhere.

There are nearly 1,900 Teamster affiliates throughout the United States, Canada and Puerto Rico, with the following breakdown:

Teamsters stand ready to organize workers who want to bargain collectively. Once a contract is negotiated and signed, the Union works to enforce it-holding management accountable and invoking contract grievance procedures if management chooses not to. Wages and benefits under Teamster contracts are markedly better than those of non-union employees in similar jobs. Teamster contracts are the guarantors of decent wages, fair promotion, health coverage, job security, paid time-off and retirement income.

The Teamsters Union also performs vital tasks in such areas as pension management, safety & health, community outreach, governmental affairs and communications. For more than a century, the Teamsters have been a public voice for the rights and aspirations of working men and women and a key player in securing them.

51

Who is Teamsters Canada ?

At the turn of the century, drivers were delivering merchandise with teams of horses drawing the wagons, wherefrom the name Teamsters. The two horses in our logo looking in opposite directions, represent the two rival unions that joined forces in 1903 to form the International Brotherhood of Teamsters. The middle circle of the logo represents the wheel of a horse-drawn wagon.

It was during these early years that the Teamsters earned a reputation for being a strong, dynamic, militant Union that stood up for its rights and its jurisdictions.

The Cru1adian Conference of Teamsters was created in 1976; this was done in recognition of the special needs, interests ru1d aspirations of its Canadian membership. The Canadian membership has grown from 74,000 members to more than 115,000 members today.

In 1995, Teamsters Canada negotiated the terms of a proposed Crumdian sovereignty amendment to the International Constitution, which would grant Teamsters Canada more autonomy and control over Canadian membership issues.

Since 2001, a major chru1ge to the lnternational Constitution recognizes the autonomy of Teamsters Crumda.

MrEAMSTERS (f}VCANADA

52

Teamsters Canada Services

Teamsters Canada represents approximately 115,000 members across the country in various industry

sectors. The Teamsters' national office is in Laval, Quebec.

Two other regional offices are located in Ontario and British Columbia.

Evolving services

Due to its rich experience, our union has developed appropriate tools over the years in an effort to better help our members. Historically, unions restricted themselves to negotiating collective agreements and

dealing with members' grievances. Times have changed, as well as laws, and we have adapted. Our services are set up to hetter respond to the new realities of our members.

Strike funds

To be ready to confront the employer and establish our position of power in negotiations, Teamsters Canada created a Canadian strike fund in 1994. (Strike pay currently $300.00 per week).

Communications

Teamsters Canada has its own website, (www.teamsters.ca), which is updated regularly. All union news is reported there. In addition, the Communications Department puts out a magazine as well as information brochures for 1nen1bers. Lastly, it supports local unions during press briefings (preparation, organization,

etc.).

Union training

A mnnher of training courses are offered across the country. These courses, which are regularly offered

to Shop Stewards, accident prevention officers, union advisors, etc., are developed and updated regularly to consider new realities in the work world, changes in legislation and jurisprudence, in accordance with the needs of the members we represent. Various courses are offered, such as: psychological harassment,

violence in the workplace, collective bargaining, grievance procedure, occupational health and safety,

etc.

Government lobbyists

Due to current government policies, our union has decided to get involved in various political

parties in order to better pressure the governments elected. Our union is the only one in Canada to have in its ranks two people whose sole mandate is to lobby the government. The mission of these

lobbyists is to malce our union position and our demands known, so that new legislation and amendments reflect our vision. They have heen called to participate in a number of important

matters, including occupational health and safety, etc.

53

Student scholarships and essay contests

In order to help ymmg people in their studies, each year in Canada, 15 student scholarships of $1,000

and $10,000 are disbursed to members' children and grandchildren who have excelled academically.

In addition, in an essay contest, young people cru1 submit a text for a chance to win one of five $1,000

scholarships awarded throughout the country.

Research

In-depth ongoing research underlies the collective bargaining process. Teamster's specialists are ready

for any eventuality, as they are constfilltly compiling the results of their research. Teamsters'

specialization mid research departments are supported filld backed by the general executive and the

International Brotherhood, whose head office is in Washington.

Organizing

For Terunsters Canada's President, organizing is a priority because it is the essence and the heart of a

good labour union. Our Cruiadian Organizing Director, with the help of representatives from every pa.it

of the country filld in collaboration with local unions' organizers, works to build the Canadian Teamsters

membership. Their main role is to organize the non-unionized and the misrepresented members. One

must not forget however that the best organizers come from witliin our ra.t1ks.

Affiliations

With t11e rise of globalization, as a large, strong union, it was necessary to adapt and create relationships

with provincial organizations (worker federations), national orga.t1izations (Canadian Labour Congress)

and international organizations (ITUC and !BT). Teamsters play an active role in tl1ese associations, so

that, in their actions, tliey will take into account the interests of the members we represent.

• International Trade Union Confederation (ITUC) http://www. ituc-csi .org

• Canadian Labour Congress (CLC) http://canadianlabour.ca/

• District Labour Councils http://canadifilllabour.ca/index.php/Conseils du travail?language=en

• Federation of Labour http://canadianlabour.ca/index.php/Kevinerations fr?language=en

Over the past decades, unions decided to make use of these orga.i1izations to coordinate various services,

in order to support each other in various recruitment drives filld during disputes.

Women's Committee

Due to the ever-growing number of women in our orgfillization, our union sits on the Canadian Labour

Congress (CLC) and International Brotherhood of Teamsters (!BT) women's committees.

54

Teamsters Youth Committee

During a meeting held in January 2009, the Teamsters Canada Executive Board voted in favour of the creation of a national Youth Committee in its organization. On June 9, 2009, during the 10th Convention of Teamsters Canada, a resolution to this effect was adopted unanimously by the attending delegates.

In order to set up this Committee, each Joint Council and Conference was asked to appoint representatives aged below 3 5 years to this Committee. In total, 15 youth, men and women of various ages, backgrounds and religions, were appointed. They represent various regions and fields of activity.

The Committee's mandate is, amongst other things, to provide a voice for young members, advise Teamsters Canada on matters of interest to young members and support Teamsters Canada in its activities.

The Committee's main goal is to unite the young members of different Local Unions through local, regional, provincial and national networks. Youth account for a significant percentage of Teamsters members and represent a powerful resource for the union. The Committee deems that the active participation of young members will give the union more leverage at the bargaining table, during organizing campaigns and in the political arena.

55

Grievance, Complaint, Disagreement

The Grievance

The grievance is a mechanism negotiated by both parties to a Collective Agreement, the Employer and Union, to settle disputes and of which they are sole owners. This is why a grievance cannot be filed against another employee. This is also why the Union is the only one to decide if a grievance will proceed to arbitration.

A grievance originates from any violation of the collective agreement. Grievances are also used to clarify ambiguous clauses that are hard to interpret, and when disciplinary measures have been taken. Lastly, subsequent to the 2004 decision by the Supreme Court of Canada, a grievance can be filed every time a provision oflabour legislation is infringed.

Therefore, for a grievance procedure to defend ones rights, there is an essential condition. There has to be an article in the collective agreement that provides for that right, whether it is an article on overtime work, seniority, work schedule, statutory holidays, workplace health and safety, etc., or a violation of labour laws.

In concrete tenns, if an employer acts or takes a decision that violates the collective agreement or a Labour Law, there is ground for grievance. For instance, the Employer posts a position according to hiring provisions described in the Collective Agreement. Two employees bid on that position which is granted to the junior employee. This is contrary to seniority provisions provided in the Collective Agreement and it is the senior employee's right to file a grievance. The purpose of his grievance is to demonstrate that the Employer has violated provisions of the Collective Agreement and to force him to remedy the situation.

Why should we bother going through the grievance procedure to settle a violation of the Collective Agreement? Why not just walk out until the Employer decides to "smarten up". The answer is simple. It is illegal and unrealistic to think that labour disputes can be settled this way! It is illegal because, during the Collective Agreement, the Union and the Employer MUST settle their differences about the Collective Agreement without work stoppage.

The grievance procedure is the only way to settle problems arising from the interpretation and application of the Collective Agreement and Labor Laws during the terms of this same agreement. It is also agreed between the Union and the Employer that employees will not resort to strike action to settle grievances and the Employer agrees to settle disputes promptly. It may seem to you that the employee will be the losing pmiy; remember that in non-unionized companies, the Employer is still the only one to manage, discipline and discharge employees as he wishes and their only recourse is to file lawsuits, when and if they can.

Work Now, Grieve Later!

56

Even ifthere are grounds for a grievance, an employee cannot refuse to follow an order from the employer. Refusal to work is considered as insubordination. However, there are some exceptions to the rule "work now, grieve later". There are situations where continuing to work could have consequences so severe for the employee that even if he wins his grievance, it would never allow him to overcome the prejudice he suffered (whether illegal or situations where the health and safety of the employee are at risk). Don't grieve too late! Most collective agreements set a time limit and a procedure to follow in order to file a grievance. Follow the steps and time limits of your grievance procedure. You may end losing your grievance just because it was filed out of the delay, so be attentive to your time limits.

The Complaint

A complaint arises from any disagreement regarding the application or interpretation of a law. In this case, it is possible to resort to procedures set out pursuant to the law. For example, an employee is the victim of discrimination with respect to his age, race, colour, religion, sexual orientation or a handicap. He can file a complaint with the Human Rights Commission, but it is also possible to file a grievance, as this is an infringement of labour legislation. In the event of a complaint, the Shop Steward's role is to inform the member of his rights and steer him toward the proper resources. In fact, a complaint is a personal remedy that only that person can institute. The union cannot take the initiative but must provide the member with support.

The Disagreement

The disagreement originates from a misunderstanding of an Employer's decision with regard to a condition not covered by the Collective Agreement. It will tberefore be possible for you to discuss with the Employer to try to settle the dispute.

The Grievance Procedure & You!

Article# 7 of your collective agreement is one of the most important in your contract!

The first thing to remember is all grievances should be discussed with the individual Union member, their Union Steward and Supervisors first. Hopefully, the issne is resolved verbally at the first opportunity. If the matter is not resolved, the member and the department Union Steward need to file a written grievance and have a meeting to discuss the matter in greater detail.

Remember do not wait, collect all the related documents, schedules, paystubs, previous discipline, or anything that may be useful in explaining or proving your case.

Remember the 5 W's

• Who

• What

• Where

• Why

• When

Writing the Grievance

57

The ideal grievru1ce should be written in such a way that it is short, simple, and specific. It should highlight who is involved, the problem, and request redress (full compensation). It should not go into arguments in the grievance form. The arguments and evidence will be dealt with in the grievru1ce meetings.

It is also important to note that the phrase "and/or any other clause in the collective agreement which may be applicable" must be included after the original problem statement. This allows the Union to argue the whole collective agreement not one article only.

It is also important to ask what you want from the grievance. But always include "I request full redress including but uot limited to" (a remedy that you are looking for) or, in disciplinary cases state "I request full compensation filld my record made whole". Always make sure to sign the grievance form.

Example Grievances:

Individual Contractual Grievance:

The Compfilly failed to offer me 4 hours of over-time on Tuesday March 4th when it used part-time employees before asking me to work. The Comp311y violated articles 8, 9, & 19 and/or MY other article the collective agreement that may be applicable.

I request full redress including but not limited to the hours in question.

Group Contractual Grievance:

The Company failed to pay us correctly for the hours worked during the week of the statutory ending on July 6th.

We request full redress including but not limited to being paid all outstanding wages

Violations of Employees Rights/Unfair Discipline Grievance:

I am protesting the suspension issued on September l" without just cause and contrary to article 25 and/or ru1y other article in the collective agreement that may be applicable. I believe that management did not act in a fair ru1d reasonable mamier.

I request full compensation and my record made whole

Union Policy Grievance:

The Union protests the new Compru1y policy without the Union agreement or approval. This policy violates the collective agreement and is an unfair & unreasonable exercise of their management rights.

The Union requests full redress for all applicable members including the policy be withdrawn

Labour Law Grievance:

The Union is protesting the high temperatures in our workplace that violates article 3 of the Collective Agreement and/or the Health & Safety Act of Ontario.

58

The Union request full redress for all affected members and that immediate action be taken to resolve the problem.

Remember resolving the Grievance quickly and at the earliest step is very important

WSIB Rights & Obligations for Workers

Report All Workplace Injuries & Illnesses

What if someone gets injured at work or the work makes them ill?

Follow these key steps

1. Get first aid immediately, or medical care if needed. 2. Tell the employer or supervisor about the injury or illness as soon as possible.

Remember if you are injured at work? tell your employer immediately & get medical

treatment right away if required!

When the WSIB registers the claim they will send you a form 6 so you can describe what happened. You should complete, sign and send this form back to the WSIB as soon as possible. This is important because we need your signature to get your permission for your doctor to give your employer information to help with early and safe return to work.

If you get Medical treatment?

1. Tell the person treating you that the injury happened at work.

The doctor or person treating you needs to complete a repo1t and send it to the WSIB so you can claim benefits. On the form there are places for you to give information about yourself and your employer.

When not to claim benefits

Do not make a claim if ALL FOUR statements that follow are true:

1. only first aid treatment was required 2. you did not take any time off work 3. your pay was not affected 4. your job duties did not change as a resnlt of the injury.

The employer must pay you full wages for the day of injury.

What are my other responsibilities if injured at work?

59

Workers need to:

• stay in contact with your employer while you recover • talk with your employer about ways to return to work quicldy and safely, iucludiug doing

different work from your regular job, or working shorter hours.

Co-operation: a worker's obligation

To get disability insurance benefits from the Workplace Safety and Insurance Board, a worker has an obligation to co-operate with the Company for a safe return to work.

If the worker refuses to co-operate and has no reasonable cause, the WSIB may reduce or suspend the worker's benefits.

What are the activities the injured worker must co-operate with?

Workers must:

• co-operate in the health care and prescribed treatment indicated by the WSIB • undergo a health examination at the direction of their health professional or the WSIB • provide information to the WSIB to assist in the adjudication of their claim and • co-operate in an early and safe return to work or labour market re-entry assessment and plan. as

indicated by the WSIB.

Planning for an early and safe return to work

All workers and employers, are required to co-operate in return to work efforts. In Ontario, returning an injured worker to work is a shared responsibility, primarily between the employer and the worker.

Functional Abilities Form

The Functional Abilities Form for Planning Early and Safe Return to Work (264 7 A) is a tool to help workers and employers meet their return to work obligation. When completed, it helps workers and employers arrange an early and safe return to work. The information gathered highlights what a worker can do after a workplace injury, what limitations apply, and whether the worker requires a specific period of"time to heal". The Functional Abilities Form is completed at the request of either the worker or the employer. It does not replace Form 7 (Employer's Report ofinjury/Disease), Form 8 (Health Professional's First Report) or any other reporting form required by the WSIB.

When do the workplace parties use the Functional Abilities Form?

Workers and employers can ask a health professional who is treating the worker to complete this form so they cm1 have the fonctional abilities information that is needed to identify suitable work for the returning employee. With detailed information about the worker's ability to lift, walk, stand, etc., the employer can identify possible job accommodations as part of a phased return to work while the worker continues to recover from the workplace injury/illness.

60

Who can complete the Functional Abilities Form?

This form can only be completed by a health professional who is treating the worker. This includes physicians, chiropractors, physiotherapists, etc. (a member of the College of a health professional as defined in The Regulated Professions Act, 1991).

Workers & the Functional Abilities Form

Complete the Worker's Signature section of the Functional Abilities Form to authorize the health professional who is treating you to release functional ahilities information to your employer. Bring the signed form to your health professional and ask the health professional to complete the form.

The employer must:

• Pay the worker's wages for the day or shift the injury occurred • Arrange and pay for transportation to get medical care if it is needed • Give you a copy of the accident report once it is completed.

When can workers claim benefits?

As a worker, you can claim benefits if you have:

• received medical attention and/or • lost time or wages from work beyond the day of injury • continued to work, but on a reduced work schedule, at regular or reduced wages.

What are my other responsibilities if injured at work?

You need to:

• stay in contact with your employer while you recover • talk with your employer about ways to return to work quicldy and safely, includiug doing

different work from your regular job, or working shorter hours.

61

Someone Else

The Union was saddened to learn this week of the death of one of our most valuable member: Someone Else. Someone's passing created a vacancy that will be difficult to fill. Else had been with us for many years and for every one of those years, someone did far more than a normal person's share of the work. Whenever leadership was mentioned, this wonderful person was looked to for inspiration as well as results. Whenever there was a job to do or a meeting to attend, one name was on everyone's list: "Let Someone Else do it."

It was common knowledge that Someone Else would make up the difference. Someone Else was a wonderful person, sometimes appearing super-human; but a person can only do so much. Were the truth known, everybody expected too much of Someone Else. Now, Someone Else is gone. We wonder what we are going to do.

Someone Else left a wonderful example to follow, but who is going to follow?

Who is going to do all the things that Someone Else did?

If you have an opportunity to participate in the affairs of your union or your community, remember - we can't depend on Someone Else anymore.

If you are laid off, on sick leave, leave of absence, discharged or voluntarily leave your employment, make sure you apply to your local Union office for a withdraw card.

Do not ask your Stewards, Do not ask your Business Representative, the Responsibility is yours.

To be eligible member you must have your dues paid up and including the month in which you req nest the withdraw card

62

Grupo Bimbo Code of Ethics

In Grupo Bimbo we consider Integrity to be the highest value that characterizes us.

To live according to Our Principles and Values, and thus comply with this Code, it is essential that we have the highest morals and naturally abide by them, practicing what we preach in all aspects of our life.

Living up to the standards of this Code of Ethics will always give us the satisfaction of having acted loyally towards our company and our stakeholders, in an environment of trust and respect, personally and professionally.

Our Customers and Consumers:

Our Customers and Consumers are the reason for our existence. Their satisfaction is essential for our success; therefore, the quality and safety of our products, as well as the quality of our service are our main commitment to them.

To the public at large, we offer a wide range of food products. We uphold the commitment to inform our consumers about the nutritional value of each of our products.

We are committed to making our products available to the public in all channels where we operate in enough quantity; guaranteeing their freshness and timely pick up.

Customers are our strategic allies, so we strive to make our business proposal one that fosters their growth and development. In our dealings with customers, there is no room for any type of corruption, bribery, favouritism or any other activity that is contrary to good business practices or in any way detrimental to the good health of the population.

Our Shareholders and Partners:

We strive to give our shareholders transparency and certainty by establishing best corporate practices. We are convinced that good corporate governance strengthens the shareholders' mandate: be a well- managed, socially responsible, efficient and profitable company. That is why we strive to be a role model in terms of management.

Our commitment is to give our shareholders and partners a sustainable and reasonable return on their investment, creating value in the long term.

Our companies comply, in accordance with laws, with necessary information requirements so that our shareholders and partners can make their decisions based on consistent, homogenous

63

and known basis. This information always stems from transparent and clear accounting practices, and adheres to applicable regulations.

All our business practices and transactions are done using resources in a prudent and profitable way, and in compliance with the highest ethical behavior and legal standards.

Our Associates:

In Grupo Bimbo we strive for all associates to be treated with respect in a favourable environment for personal and professional development.

Our dealings with our associates are based on our Golden Rule: be treated with respect, fairness, trust and care. Associates willing to make suggestions on how to better experience the values in Grupo Bimbo, may do so through the 1-800 line or [email protected].

Respect to Individuality

Each person has unique value and we acknowledge that his/her individual contribution is essential for the performance of his/her work team.

We respect our associates and do not allow any type of discrimination due to age, religion, sex, race, sexual orientation or any other condition protected by the laws of the communities where we operate. These provisions apply to all employment-related issues including recruitment, selection, promotion, change of position, transfers, termination of employment, compensation, education, training and, in general, all working conditions.

Development and Values

We are committed to favour our personnel's development in a subsidiary way, and to foster the appreciation of the highest moral values and ethical standards. We transmit and disseminate our values and principles through our behaviour.

We acknowledge that trust is the foundation for a close and long-lasting relationship, which in turn is founded on the person's integrity. In Grupo Bimbo we believe in the goodwill of others, except when there is proof to the contrary.

We do not tolerate any kind of harassment of our associates, nor that one person's success should depend on favouritism or bribery. Our commitment is to maintain a working environment free of harassment, including language or behaviours that can be intimidating, discriminatory and/or offensive.

We believe that in this environment of respect, associates can trust the company, fully dedicating themselves to their tasks, feeling safe and secure and valued on a personal level.

We provide our associates pertinent means to develop their talent and competencies, and use them to assume greater responsibilities when opportunities become available.

64

Safety

We deeply appreciate and respect the life and health of all our associates. Our associates' physical safety comes before operating efficiency and Company results.

As a result, we commit to provide a safe working environment and continuously generate a culture that preserves our associates' physical and mental health.

We must also consider the safety of our customers, suppliers and the environment in which we operate, in order to maintain their safety.

Clarity and Responsibility of Job Duties

We acknowledge the importance of communicating to our associates the information they require to perform their responsibilities. This is the only way they can become professionally and enthusiastically engaged in the attainment of the company's objectives and key initiatives.

Labour Organizations

It is our fundamental commitment that where a labour organization exists, its independence will be respected, as long as it represents the legitimate interests of our associates, seeking to establish a relationship of collaboration and mutual benefit.

All relationships with labour organizations must strictly conform to the legal provisions of the community where the Company operates.

Information and Confidentiality

When an associate becomes part of Grupo Bimbo, he/she assumes the commitment to make a responsible and legitimate use of the intellectual property and trade secret information, among others that he/she may have access to, keeping it safe and maintaining its confidentiality at all times.

Even when an associate, for any cause, ceases to work for Grupo Bimbo, he/she must abide by this commitment as a matter of professional ethics and in compliance with the laws of the countries where we operate.

Conflicts of Interest We expect all associates to work with dedication for the benefit of the company and for all of us. Our decisions should never be affected by any interests unrelated to the Company's productivity, efficiency, efficacy and the attainment of our goals.

In order to prevent conflicts between personal interests and those of the company, all Grupo Bimbo associates have the responsibility to declare any financial interest or of any other kind, that could cause conflict regarding his/her function in the company and to timely eliminate that conflict. If an associate has personal interests that can influence his/her decisions or performance at work, he/she must communicate them to the immediate supervisor in writing

65

with a plan to promptly eliminate the conflict. Every year, all Grupo Bimbo personnel must make a written report of all existing conflicts of interest they may have (there is a form to that effect.)

No associate is allowed to have financial or any other kind of interest, work directly, or serve as a consultant to a competing business, a supplier or a customer.

Integrity

In Grupo Bimbo we do not bribe, nor do we accept favours or money to grant benefits to anyone.

We understand that to avoid the situation where we might be asked for a bribe, we have to avoid being at fault and we must comply with every regulation and official requirement so there is no motive at all to fall into corruption. Bribing someone to obtain a benefit does not help Grupo Bimbo at all. Instead, it places the company in a very serious situation and prevents its progress.

Receiving money, gifts or favours has a profound impact on our results, hurts the reputation of the company and of all us. Only gifts of nominal value which do not influence an associate's decisions may be accepted.

These are unacceptable actions and may constitute a crime.

Work of Family Members

Grupo Bimbo associates' family members can work in the company as long as the nature of their relationship does not affect their performance at work, or the relationship of either associate with the company. Therefore, the following situations between family members are not permitted:

Working relations in which there are process interactions between relatives

Supervisor-Associate relationship

If one family member holds an executive or management level position, his/her relative must not work in the same department; moreover, he or she must work in a different area and/or work center.

Anyone in a supervisory position has the responsibility to be watchful of this aspect to prevent any possible conflicts and take timely action.

Our Suppliers:

Dealings

66

Our commitment to our suppliers is to have honest and fair negotiations free of discrimination and/or abusive or predatory treatment. All suppliers and the persons representing them are always to be treated according to our Golden Rule: Respect, Fairness, Trust and Care.

Our commitment includes providing information about the results of a bidding process, so that these processes are transparent and fair.

Selection and Development

All proposals made by our suppliers will be thoroughly reviewed to evaluate price, added value, quality and the service they offer.

We highly value fair competition during the evaluation process. We have to be consistent with our commitment to build long-lasting, honest and fair business relationships.

We are also committed to protect the suppliers' rights in their confidential information provided to our company; expecting in return, that suppliers will also comply with Grupo Bimbo policies.

We involve our suppliers, seeking their development and giving them support and information in order to improve the materials and services we need from them through a long-lasting relationship based on trust.

Terms and Conditions

We believe that one of our main commitments to our suppliers is the timely payment for their services and products. Therefore, we establish clear agreements relating to payment terms and stable, simple and transparent processes, which do not lend themselves to misinterpretation.

We expect our suppliers to benefit from each transaction so they can expect sustainable development and as a result, improve the value of our mutual relationship, in all aspects, not just price.

Since we are committed to promoting the legality of operations, we are mindful of our suppliers own practices.

Grupo Bimbo will not have any commercial relationship with suppliers that participate in illegal practices such as money laundering, lack of compliance with tax, environmental or social laws, including social security and tax payments, and labour legislation of the country.

We seek to have our suppliers help us offer excellent products; hence, we work with those that guarantee the highest food quality and safety standards.

Grupo Bimbo promotes environmental and biodiversity care and hopes that its suppliers do also.

Anticorruption

67

In Grupo Bimbo we seek to obtain from suppliers only the benefits that pertain to the negotiation in question, without gaining personal advantages for assigning contracts and for the acquisitions of goods and/or services. We want to maintain a relationship with our suppliers in which both parties profit.

Grupo Bimbo expects vendors only to deliver and comply with what was agreed; therefore, we and our families do not accept money, presents, services, discounts, travel and tickets for entertainment.

We understand that our suppliers make efforts to promote their brands and products; so, it is acceptable for them to give promotional items only if their value is nominal.

In general, our relationships with suppliers are based on mutual trust and we strive for the commercial experience to be satisfactory and free of all corruption. An associate who finds any questionable situation must report it right away, in writing, to his/her immediate supervisor.

To support this concept, we let our suppliers know about our Personal Integrity Principle and thus request they assume the responsibility of not giving our associates any gifts or retributions.

We also provide our 1-800 line for them to have an outlet to express confidentially, their comments, suggestions and complaints. We assume the commitment to thoroughly review each case and take action as necessary. This outlet is available before, during and after the

~~~~~~~~~~-

Supp Ii er -Customer relationship, understanding that we will act in all fairness, without negatively affecting the interests of parties if complaints proceed.

Our Competitors: Grupo Bimbo is committed to compete in the market on the basis of price, quality and service within a framework of integrity and respecting our competitors in all regards.

Our advertising and promotions are truthful and in compliance with all applicable laws in effect in each country where we operate. We will compete on quality, service and a commercial strategy consistent with our principles and values.

We respect our competitors and when speaking about them, we will always use fact-based information. Comparisons with competitors will be done fairly and reasonably, using exact terms, free of descriptions or labels, and never using deceiving information.

The Government:

Compliance with laws

We remain informed about the laws in effect in each country in which we operate and will comply with them.

This principle applies to all business areas without exception. Violating the law is a crime that could result in severe economic damages for the company, the deterioration of its image and penalties for our associates.

68

When possible, we participate with industry and other organizations that can assist us with the analysis, understanding and recommendations for improvements to legislation applicable to our company and industry, always in the most respectful way and with the spirit of collaborating towards the development of the respective country.

Respect of Local Customs

Since we are present in countries with different cultures and laws, we seek to understand and respect local customs and practices, as long as they do not violate applicable laws, contradict our principles and values, nor go against what is set forth in this Code of Ethics.

In case of doubt relative to the congruence of our values with local customs, the President of the organization must be consulted in order to decide the course of action.

Participation in Political Activities

We make no ideological or party affiliation pronouncement, but we encourage civic participation in professional associations and citizen organizations, and at the same time, we encourage the responsible exercise of political rights. The participation of our associates in political and/or election processes should be done on a personal basis, and cannot include contributions in terms of time, financial support and resources that belong to Grupo Bimbo. When an associate chooses to participate in politics, make contributions and give his/her opinion, it will be done as an individual, and will not give the impression of acting on behalf of, or as a representative of Grupo Bimbo.

Society:

We recognize that our reason to be is the community we are part of; we are indebted to our community and want to give back. That is why we promote volunteering among our associates and are proudly committed and support, through our daily work and attitudes, the principles and values of the community in which we live.

Job Creation and Conservation

We are committed to the economic and social growth of the communities where our companies operate by creating and maintaining worthy and productive employment sources.

We prepare our personnel. As a group, we invest in training our associates and do everything possible to keep the jobs of all those who perform their functions adequately and maintain a positive attitude.

Advertising

Our commitment is to have advertising and promotional campaigns that promote the strengthening of universal ethical values, such as family, physical and emotional integrity of individuals, respect for children's universal rights; and respect for persons with disabilities, senior citizens, or any ethnic group or social status, among others.

69

We are aware of the impact that our advertising can have. As a result, we strive for our advertising to be responsible and truthful, carefully avoiding any possible misinterpretations regarding the nutritional value, use and attributes of our products.

The Environment

We understand our operation has an unavoidable impact on the environment; therefore, we are committed to permanently seek the means to reduce said impact by continuously improving emission controls, waste management, water treatment, energy savings and all elements that can potentially affect it.

We promote, among our associates, caring for the environment and biodiversity, and acknowledge environmentally responsible practices in their daily work.

Productivity:

In Grupo Bimbo we desire to build a highly productive and deeply humane company. We understand that in order to live up to our internal and external responsibilities, we have to use our resources in a productive and sustainable way.

Austerity

We are convinced that Grupo Bimbo's daily business and operations must be done in a context of simplicity. We are committed to undertake all our business processes in accordance to the principle of austerity.

We make efficient use of available resources within our reach, avoiding waste, seeking to keep them in perfect functioning condition, maximizing their capacity and extending their useful life.

Our objective is to optimize expenses, while always taking care of the safety and dignity of our associates.

Assets Protection

Our commitment is to protect and optimize the value of investments, mainly through the prudent and profitable use of resources and ensuring that all applicable safety rules are followed.

The protection and safekeeping of Grupo Bimbo's assets is the responsibility of each and every one of us who make up the company.

We understand the company assets are not only buildings, vehicles, machinery or fixtures and furniture, but also blueprints, designs, formulas, processes, systems, technology, drawings, business strategies, product launching plans, promotional campaigns and, of course, our brands. Associates have the responsibility to safeguard all of these company assets.

70

We are especially committed to protect the company's intellectual property, including its manufacturing processes, information systems and commercialization plans, as well as financial, products and associates' information.

The company's assets must be used solely for business purposes. All Grupo Bimbo associates have the obligation to report any deviation known to him/her.

Violations of the Code of Ethics

Compliance with this Code of Ethics is strictly mandatory.

Company supervisors of all levels should be role models to other associates by complying with this Code and continuously communicating its content, as well as undertaking disciplinary actions whenever one of his/her associates is in breach of any of these provisions.

Any associate involved in business practices different from those set forth in this Code, will be subject to disciplinary measures, including but not limited to termination of employment and/or legal action.

When in doubt about the applicability of this Code, Grupo Bimbo associates should ask their supervisor or the organization's legal and/or Human Relations departments, call the 1-800 line or write to [email protected].

In an international company, it will be inevitable to have unforeseen situations that are not addressed in this Code. In such cases, compliance with the law, our values, principles and good faith must guide our actions.

• Compliance with this Code will be part of the Audit Department reviews.

• The Ethics Committee will make a quarterly report before the Board of Directors' Audits Committee.

• The functional departments related to each of our stakeholders (associates, shareholders, suppliers, customers) are accountable for having them comply with this Code of Ethics.

• The Grupo Bimbo Institutional Relations Department will prepare the communication and distribution plan for this Code.

71

Calendar for year 2017 January February Marcb

Su Mo Tu We Th Fr Sa SuMoTuWeThFr Sa Su Mo Tu We Th Fr Sa

I 2 I 2 3 4 5 6 I 2 3 4 5

3 4 5 6 7 8 9 7 8 9 IO 11 12 13 6 7 8 9 10 1112

I 0 1 l 12 13 14 15 16 14 15 16 17 18 19 20 13 14 15 16 17 18 19

17 18 19 20 21 22 23 21 22 23 24 25 26 27 20 21 22 23 24 25 26

24 25 26 27 28 29 30 28 29 27 28 29 30 31

31

April May June

Su Mo Tu We Th Fr Sa Su Mo Tu We Th Fr Sa SuMoTuWeThFr Sa

I 2 1 2 3 4 5 6 7 1 2 3 4

3 4 5 6 7 8 9 8 9 10 11 12 13 14 5 6 7 8 9 IO 11

IO 11 12 13 14 15 16 15 16 17 18 19 20 21 12 13 14 15 16 17 18

17 18 19 20 21 22 23 22 23 24 25 26 27 28 19 20 21 22 23 24 25

24 25 26 27 28 29 30 29 30 31 26 27 28 29 30

August September

1 2 I 23 456 I 2 3

3 4 5 6 7 8 9 7 8 9 10 11 12 13 4 5 6 7 8 9 IO

10 11 12 13 14 15 16 1415 16 17 18 1920 1112 13 14 15 1617

72

17 18 19 20 21 22 23 21 22 23 24 25 26 27 18 19 20 21 22 23 24

24 25 26 27 28 29 30 28 29 30 31

31

October November

Su Mo Tu We Th Fr Sa Su Mo Tu We Th Fr Sa

I 2 3 4 5

2 3 4 5 6 7 8 6 7 8 9 I 0 11 12

9 10 11 12 13 14 15 13 14 15 16 17 18 19

16 17 18 19 20 21 22 20 21 22 23 24 25 26

23 24 25 26 27 28 29 27 28 29 30

30 31

25 26 27 28 29 30

December

Su Mo Tu We Th Fr Sa

1 2 3

4 5 6 7 8 9 IO

11 12 13 14 15 16 17

18 19 20 21 22 23 24

25 26 27 28 29 30 31

73

COMPANY CONTACT INFORMATION Canada Bread Limited 155 Nebo Rd Factory

155 Nebo Road Hamilton, Ontario L8W 2El

905-387-3935 Fax)

Sick Line) 1-866-567-3472 BENEFIT CONTACT INFORMATION

Pension Information

Canada Bread Pension Plan E >- Provider - Manulife >- Web Page Log In - https://vipmom.standardlife.ca/ >- Phone - Toll Free: 1-800-242-1704 >- Manulife can be contacted directly for information on your investments

Healthcare & Dental Benefits

Great-West Life

>- Policy # 150887 Division # 02 >- Toll Free: 1-800-957-9777 >- Website: www.greatwestlife.com >- Claim forms can be downloaded from the website or the GWL app

Associate and Family Assistance Plan Information

Morneau Shepell

>- 24 Hours A Day- 7 Days A Week >- Associates and their Families (Spouse & Dependents) >- 1-800-381-4765 >- Website: www.workhealthlife.com >- EAP can be accessed for any type of support services, short-term connselling and

community referrals.

fIJ!ll!JPI) . BIMBO · BIMBO ™A Proud Member of_"" ___ ·_._···_·_·._;1_1 COLLECTIVE...

Documents

Transcript of fIJ!ll!JPI) . BIMBO · BIMBO ™A Proud Member of_"" ___ ·_._···_·_·._;1_1 COLLECTIVE...