2012 NATIONAL AGREEMENT-BLE
Description: Case No. A-13592 THIS AGREEMENT, made this 5th day of January, 2012 by and between the participating carriers listed in Exhibit A, attached hereto and made a part hereof, and represented by the National Carriers' Conference Committee, and the employees of such carriers shown thereon and represented by the Brotherhood of Locomotive Engineers and Trainmen, witnesseth: IT IS HEREBY AGREED: ARTICLE I - WAGES Section 1- First General Wage Increase (a) Effective July 1, 2010, all standard basic daily rates of pay for employees represented by the brotherhood of Locomotive Engineers and Trainmen ("BLET") in effect on June 30, 2010 shall be increased by two (2) percent. (b) In computing the increase under paragraph (a) above, two (2) percent shall be applied to the standard basic daily rates of pay applicable in the following weight-on-drivers brackets, and the amounts so produced shall be added to each standard basic daily rate of pay: Passenger - 600,000 and less than 650,000 pounds Yard Engineers - Less than 500,000 pounds
Effective July 1, 2011, all standard basic daily rates of pay in effect on June 30, 2011 for employees represented by the BLET shall be increased by two-and-one-half (2.5) percent, computed and applied in the same manner prescribed in Section 1 (b) above. Section 3 - Third General Wage Increase Effective July 1,2012, all standard basic daily rates of pay in effect on June 30, 2012 for employees represented by the BLET shall be increased by four-and-three-tenths (4.3) percent, computed and applied in the same manner prescribed in Section 1 (b) above. Section 4 - Fourth General Wage Increase Effective July 1,2013, all standard basic daily rates of pay in effect on June 30, 2013 for employees represented by the BLET shall be increased by three (3) percent, computed and applied in the same manner prescribed in Section 1 (b) above. Section 5 - Fifth General Wage Increase Section 6 - Sixth General Wage Increase Effective January 1,2015, all standard basic daily rates of pay in effect on December 31, 2014 for employees represented by the BLET shall be increased by three (3) percent, computed and applied in the same manner prescribed in Section 1 (b) above. Section 7 - Standard Rates The standard basic daily rates of pay produced by application of the increases provided for in this Article are set forth in Appendix I, which is a part of this Agreement. Section 8- Application of Wage Increases (a) The adjustments provided for in this Article (i) will apply to mileage rates of pay for overmiles, and (ii) will not apply to duplicate time payments, including arbitraries and special allowances that are expressed in time, miles or fixed amounts of money. (b) Miscellaneous rates based upon hourly or daily rates of pay, as provided in the schedules or wage agreements, shall be adjusted under this Agreement in the same manner as heretofore increased under previous wage agreements. (c) In determining new hourly rates, fractions of a cent will be disposed of by applying the next higher quarter of a cent. (d) Daily earnings minima shall be changed by the amount of the respective daily adjustments. (e) Existing money differentials above existing standard daily rates shall be maintained. (f) In local freight service, the same differential in excess of through freight rates shall be maintained. (g) Where applicable, the differential of $4.00 and/or $6.00 per basic day in freight, passenger and yard service, and 4¢ and/or 6¢ per mile for miles in excess of the number of miles encompassed in the basic day in freight and passenger service, will be maintained for engineers working without firemen on locomotives on which under the former National Diesel Agreement of 1950 firemen would have been required. Such differential will continue to be applied in the same manner as the local freight differential. (h) In computing the first increase in rates of pay effective under Section 1 for firemen employed in local freight service, or on road switchers, roustabout runs, mine runs, or in other miscellaneous service, on runs of miles equal to or less than the number comprising a basic day, which are therefore paid on a daily basis without a mileage component, whose rates had been increased by "an additional $.40" effective July 1, 1968, the two (2) percent increase shall be applied to daily rates in effect on the day preceding the effective date of the general wage increase provided for in Section 1, exclusive of local freight differentials and any other money differential above existing standard daily rates. For firemen, the rates applicable in the weighton drivers bracket 950,000 and less than 1,000,000 pounds shall be utilized in computing the amount of increase. The same procedure shall be followed in computing the increases effective July 1, 2011, July 1,2012, July 1,2013, July 1,2014 and January 1, 2015. The rates produced by application of the standard local freight differentials and the above-ref erred-to special increase of "an additional $.40" to standard basic through freight rates of pay are set forth in Appendix 1 which is a part of this Agreement. (i) Other than standard rates: (i) Existing basic daily rates of pay other than standard shall be changed, effective as of the dates specified in Sections 1,2,3,4,5, and 6 hereof, by the same respective percentages as set forth therein, (ii) Where applicable, the differential of $4.00 and/or $6.00 per basic day in freight, passenger and yard service, and 4¢ and/or 6¢ per mile for miles in excess of the number encompassed in the basic day in (iii) Daily rates of pay, other than standard, of firemen employed in local freight service, or on road switchers, roustabout runs, mine runs, or in other miscellaneous service, on runs of miles equal to or less than the number encompassed in the basic day, which are therefore paid on a daily basis without a mileage component, shall be increased as of the effective dates specified in Sections 1,2, 3,4, 5, and 6 hereof by the same respective percentages as set forth therein, computed and applied in the same manner as provided in paragraph (i)(i) above. (j) Trip Rates established pursuant to Article V of the 2003 BLET Agreement shall be adjusted by application of the general wage increases provided for in this Article I, in the manner set forth in Article V, Part B, Section 4(c)(1) of that Agreement. ARTICLEII - LUMPSUMPAYMENT (a) A lump sum payment shall be made to each employee subject to this Agreement who has an employment relationship with the carrier as of the date such lump sum is paid or who has retired or died subsequent to October 31,2010. Such lump sum shall be paid no later than ninety (90) days after (b) The lump sum amount payable to an eligible employee shall be a lump sum equivalent to 1 % of straight time earnings paid to that employee for the twelve month period November 1, 2010 through October 31, 2011, after application of the July 1,2010 and July 1, 2011 general wage increases ARTICLE III - HEALTH AND WELFARE Part A - Plan Changes Section 1 - Continuation of Plans Section 2 - Plan Design Changes (a) The Plan's Managed Medical Care Program ("MMCP") shall be revised as follows: (1) There shall be a separate, stand-alone, Annual Deductible for In-Network Services for which a fixed-dollar copayment does not apply. For the six-month period from July 1 through December 31, 2012, inclusive, this Annual Deductible shall be $100 per individual and $200 per family. For calendar year 2013, this Annual Deductible shall be $150 per individual and $300 per family. Beginning January 1, 2014, this Annual Deductible shall be $200 per individual per year and $400 per family per year. (2) The percentage of Eligible Expenses paid by the Plan for any In-Network Services for which a fixed-dollar copayment does not apply (as defined by procedure code) shall be 95% of the Eligible Expenses that exceed the applicable Annual Deductible provided for in clause (1) above; the amount payable by the employee as a result of this "coinsurance" shall be capped at (i) $500 per individual and $1000 per family for the six-month period from July 1 through December 31,2012, inclusive, and at $750 per individual and $1500 per family for calendar year 2013. Beginning January 1, 2014, the amount payable by the employee as the result of this "coinsurance" shall be capped at $1000 per individual per year and $2000 per family per year. (3) The Emergency Room Co-Payment for In-Network Services shall be increased to $75.00 for each visit, but shall not apply if the visit results in admission to the hospital. (4) The Urgent Care Center Co-Payment for In-Network Services shall be decreased to $20.00 for each visit. (5) In cases where a fixed-dollar copayment of $20 currently applies to an office visit, the copayment shall be reduced to $10 if the office is in a "convenient care clinic." A "convenient care clinic" means, for purposes of this Section, a health care facility typically located in a high traffic retail store, supermarket or pharmacy that provides affordable treatment for uncomplicated minor illness and/or preventative care to consumers. (6) The Plan shall not cover radiological services performed at a convenient care clinic. (b) The Plan's Managed Medical Care Program ("MMCP") and its Comprehensive Health Care Benefit ("CHCB") shall both be revised to include: (1) Participation in a "Radiology Notification Program" (as described in Exhibit B hereto); (2) Arrangements for covered employees and their covered dependents to receive, on a wholly voluntary basis and without any copayment or coinsurance, the following additional "Centers of Excellence Resource Services" (as described in Exhibit B hereto): Bariatric Resource Services, Cancer Resource Services, and Kidney Resource Services; (3) Arrangements for covered employees and their covered dependents to receive, on a wholly voluntary basis and without any copayment or coinsurance, the resource services made available under a "Treatment Decision Support Program" (as described in Exhibit B hereto). (c) The Plan's Prescription Drug Card and Mail Order Prescription Drug Programs shall be revised as follows: (1) Prior Authorization by the Plan's current pharmacy benefit manager (or any successor pharmacy benefit manager) ("PBM") shall be required, in accordance with such PBM's Prior Authorization Program then in effect, before any prescription drugs in the therapeutic drug categories shown on Exhibit C hereto as subject to such Program shall be dispensed; provided, however, that no more than a three to (2) Employees and their covered dependents shall be required to adhere to Step Therapy and Quantity/Duration Limits Programs then in effect of the Plan's PBM with respect to the prescription drugs in the therapeutic drug categories shown on Exhibit C hereto as subject to such Step Therapy (3) Employees and their covered dependents may, on a wholly voluntary basis and in accordance with program criteria, participate in the PBM's Personalized Medicine and/or Generic Rx Advantage Program then in effect. (d) The Plan's Prescription Drug Card Program Co-Payments to InNetwork (1) Generic Drug - decrease to $5.00; ( e) The Plan's Mail Order Prescription Drug Program Co-Payments per prescription are revised as follows: (1) Generic Drug - decrease to $5.00 (f) The design changes contained in this Section shall become effective on July 1,2012. Section 3 - Plan Design Changes - ERMA (a) ERMA's Prescription Drug Card and Mail Order Prescription Drug Programs shall be revised as follows: (1) Prior Authorization by ERMA's current pharmacy benefit manager (or any successor pharmacy benefit manager) ("PBM") shall be required, in accordance with such PBM's Prior Authorization Program then in effect, before any prescription drugs in the therapeutic drug categories shown on Exhibit C hereto as subject to such Program shall be dispensed; provided, however, that no more than a three to (2) Retirees and their covered dependents shall be required to adhere to Step Therapy and Quantity/Duration Limits Programs then in effect of ERMA's PBM with respect to the prescription drugs in the therapeutic drug categories shown on Exhibit C hereto as subject to such Step Therapy Program and/or Quantity/Duration Limits Program, as the case maybe. (3) Retirees and their covered dependents may, on a wholly voluntary basis and in accordance with program criteria, participate in the PBM's Personalized Medicine and/or Generic Rx Advantage Program then in effect. (b) The design changes contained in this Section shall become effective on July 1, 2012, and shall apply only to individuals who become eligible for ERMA coverage on or after July 1, 2012. Part B - Employee Sharing of Cost of H& W Plans (a) Effective January 1, 2010 through December 31, 2011, the employee monthly cost-sharing contribution amount shall be $200.00. (b) Effective January 1, 2012, each employee covered by this Agreement shall contribute to the Plan, for each month that his employer is required to make a contribution to the Plan on his behalf for foreign-to occupation health benefits coverage for himself and/or his dependents, a (c) The employee monthly cost-sharing contributions amount shall be adjusted, effective July 1, 2016, so as to equal the lesser of 15% of the Carrier's Monthly Payment Rate for 2016 or $230.00, unless otherwise mutually agreed by the parties during negotiations commencing when this Agreement becomes amendable pursuant to Article IV. (d) For purposes of subsections (b) and (c) above, the "Carriers' Monthly Payment Rate" for any year shall mean one twelfth of the sum of what the carriers' monthly payments to - (1) the Plan for foreign-to-occupation employee and dependent health benefits, employee life insurance benefits and employee accidental death and dismemberment insurance benefits, (2) the Dental Plan for employee and dependent dental benefits and (3) the Vision Plan for employee and dependent Vision benefits, would have been during that year, per non-hospital association road employee, in the absence of any employee contributions to such Plans. Section 2 - Pre-Tax Contributions Employee cost-sharing contributions made pursuant to this Part shall be Section 3 - Method of Making Employee Cost-Sharing Contributions Employee cost-sharing contributions will be made for the employee by the employee's employer. The employer shall deduct the amount of such employee contributions from the employee's wages and retain the amounts so deducted as reimbursement for the employee contributions that the employer had made for the employee. Part C - Flexible Spending Accounts The Carriers shall establish and administer a Health Flexible Spending Arrangement (FSA) effective January 1, 2013 (not including a Dependent Care Program) that satisfies the requirements of Section 125 of the Internal Revenue Code (Code) and all other provisions of applicable law and that permits an employee to choose on a pre-tax basis (to the extent allowable under the Code) between receiving his/her wages in full or receiving less than such full wages and applying such wage deduction to medical expense reimbursements permitted by Section 125 of the Code and the regulations there under (in an amount no greater than $2,500.00 per year). Such FSA shall be subject to the following conditions: a. There shall be a thirty (30) day grace period immediately following the end of each Plan Year during which unused FSA benefits or contributions remaining at the end of such Plan Year may be reimbursed to employees for qualified medical expenses incurred during the grace period. b. Employees will not be able to recover FSA forfeitures, even if the law changes to allow such recovery. c. The Carriers may opt to not initiate, or to terminate the FSA as quickly as is allowed by law: i. If any change in the law or regulations or any other development or circumstance materially impacts the financial consequences of the FSA to the Carriers; or ii. If in any year the "Cadillac Tax" applies. d. The Carriers may opt to terminate participation in the FSA of any craft as quickly as is allowed by law if enrollment does not meet 5% of the eligible employee population in the craft for the 2014 Plan Year, or 7.5% of the eligible employee population in the craft for the 2015 Plan Year and succeeding Plan Years. e. The FSA will otherwise generally replicate the terms and conditions of the Health FSA of the Railroad Employees National Flexible Benefits Program established April 1, 2005, subject to subsequent changes in applicable law. Nothing in this section shall preclude any Carrier from establishing its own flexible spending account program for employees covered by this agreement. ARTICLE IV - GENERAL PROVISIONS Section 1 - Court Approval Section 2 - Effect of this Agreement (b) This Agreement shall be construed as a separate agreement by and on behalf of each of said carriers and their employees represented by the organization signatory hereto, and shall remain in effect through December 31, 2014 and thereafter until changed or modified in accordance with the provisions of the Railway Labor Act, as amended. (c) No party to this Agreement shall serve or progress, prior to November 1, 2014 (not to become effective before January 1, 2015), any notice or proposal. (d) this Article will not bar management and the organization on individual railroads from agreeing upon any subject of mutual interest. SIGNED AT WASHINGTON, DC, THE 5th DAY OF JANUARY, 2012. /signatures/
Mr. Dennis Pierce Dear Mr. Pierce: This confirms our understanding with respect to the general wage increases provided for in Article I, Sections 1 and 2 of the Agreement of this date. Very truly yours, January 5, 2012 Mr. Dennis Pierce Dear Mr. Pierce: This refers to the increase in wages provided for in Sections 1 and 2 of Article I of the Agreement of this date. It is understood that the retroactive portion of those wage increases shall be applied only to employees who have an employment relationship with a carrier on the date of this Agreement or who retired or died subsequent to June 30, 2010. Very truly yours, I agree:
Mr. Dennis Pierce Dear Mr. Pierce: This confirms our understanding with respect to Article I, Section 6 of the Agreement of this date. This will confirm our understanding that if disposition of the 2015 Bargaining Notices is referred to any third party (including but not limited to a Presidential Emergency Board or arbitration board), this Letter may be provided to such body to confirm the parties' mutual understanding that Article I, Section 6 was intended to constitute a complete resolution of the compensation adjustment issue for calendar year 2015. Please acknowledge your agreement by signing your name in the space Very truly yours, I agree:
Mr. Dennis Pierce Dear Mr. Pierce: This confirms our understanding with respect to Article II - Lump Sum Payment of the Agreement of this date. Article II provides in pertinent part for payment to a qualified employee of a lump sum "equivalent to 1 % of straight time earnings paid to that employee" for a specified time period. In recognition of potential questions of interpretation with regard to the intended application of that formulation to employees covered by operating craft compensation rules, the parties have 1. Straight time pay (elements of pay subject to adjustment for general wage increases, excluding labor protection payments) 2. Overmile payments 3. Paid time for vacations, holidays, personal leave, and bereavement leave. 4. Deadhead payments 5. Guarantee payments (make whole, such as guaranteed extra board payments). Please acknowledge your agreement by signing your name in the space Very truly yours, I agree:
Mr. Dennis Pierce Dear Mr. Pierce: This confirms our understanding with respect to Article ill, Part A, Sections 2( c)(1) & (2) of the Agreement of this date. The prescription drug management rules identified in the aforementioned provisions of the Agreement are those that have been recommended by the Plan's current pharmacy benefit manager, Medco Health Solutions. The same is true of the The parties intend that new prescription drug management rules for which there are no existing therapeutic drug categories listed in Exhibit C shall not apply to the Plan unless such application has been (a) recommended by an independent committee of experts generally relied upon by the Plan's pharmacy benefit manager, (b) such recommendation is also made by the pharmacy benefit manager itself, and (c) the recommendation is accepted and approved by the Plan's Joint Committee. Please acknowledge your agreement by signing your name in the space provided below. Very truly yours, I agree:
Mr. Dennis Pierce Dear Mr. Pierce: This confirms our understanding with respect to of the Agreement of this date regarding local discussions between the organization and any carrier covered by this Agreement which employs conductors represented by the organization ("Covered Carrier"). Upon written request by the organization's designated representative to a Covered Carrier, the parties shall commence local discussions on a voluntary and informal basis (i.e., not under Section 6 of the Railway Labor Act) with respect to payment of a certification allowance to the conductors that it represents. Such discussions shall conclude by the earlier of the date on which a voluntary agreement is reached or December 31, 2012, unless extended by mutual agreement. Please acknowledge your agreement by signing your name in the space provided below. Very truly yours, I agree:
Mr. Dennis Pierce Dear Mr. Pierce: This confirms our understanding with respect to Article III - Health and Welfare, Part C- Flexible Spending Accounts, of the Agreement of this date. It is understood that the flexible benefits arrangement applicable to the BLET on the BNSF Railway was not established under, is not covered by, and will in no way be affected by Article III, Part C of the Agreement of this date. BLET -represented employees on BNSF will continue to receive flexible spending account benefits exclusively as provided under the applicable BLET/BNSF agreement. Nothing in this Side Letter No.7 in any way affects the application of Article III, Parts A and B of the Agreement of this date, to BNSF, its locomotive engineers, BLET, or otherwise. Please acknowledge your agreement by signing your name in the space provided below. Very truly yours, I agree: January 5, 2012 Mr. Dennis Pierce Dear Mr. Pierce: Insofar as this Agreement involves the Union Pacific Railroad Company ("UP") and the BLET General Committees ("BLET GCs") that collectively represent locomotive engineers on the UP, it is intended to resolve the parties' respective notices related to Health and Welfare issues only. Negotiations on all other issues shall continue in accordance with the Railway Labor Act, as provided in the December 15, 2009 Memorandum of Understanding between the UP and the BLET GCs. Please acknowledge your agreement by signing your name in the space provided below. Very truly yours, I agree:
Subject to indicated footnotes, this authorization is co-extensive with notices filed and with provisions of current schedule agreements applicable to employees represented by the Brotherhood of Locomotive Engineers and Trainmen: The Belt Railway Company of Chicago -1 Union Pacific Railroad Company - 1 Note: For the Carrier For the Brotherhood of locomotive Engineers and Trainmen: January 5, 2012 Exhibit B The process may require a physician-to-physician discussion, the purpose of which is to engage the ordering physician in a discussion about the use of evidence-based clinical guidelines. However, the final decision authority rests with the ordering physician. This program is invisible to the covered member - non-compliance (i.e., non-notification) will result in an administrative denial of the claim with no balance billing to the patient. Centers of Excellence (COE) Resource Services - this service are based on the foundation that certain facilities treat patients who consistently achieve favorable clinical outcomes, as demonstrated by reduced hospital lengths of stay and readmission rates, lower infection rates, etc. Programs are typically designed around specific disease states or conditions in which COEs can be clearly identified. The following programs develop national COE networks and specialty nurse resources that provide specific case management interventions: 1 The actual program names, specific services/processes, and administration will vary by medical vendor. - Bariatric Resource Services (BRS) - BRS provides a national Center of Excellence network of bar iatric surgery centers and hospitals with an up front case management component. - Cancer Resource Services (CRS)/Cancer Support Program (CSP) - This clinical consulting with cancer specialists, combined with an extensive nationwide COE network will deliver clinical and financial value. - Kidney Resource Services (KRS) - KRS provides a large network of dialysis facilities meeting strict quality outcomes with kidney nurse specialists assisting patients. Treatment Decision Support (TDS) - These services include enhanced one-to-one coaching for individuals facing potential procedures that have been carefully targeted as having varied treatment practices and inconsistent patient outcomes. TDS normally targets back pain, knee/hip replacement, benign prostate disease, prostate cancer, benign uterine conditions, *Download document for full table |