2014 EMPLOYEE HANDBOOK Welcome to Associated Labels On behalf of your colleagues, we welcome you to Associated Labels and wish you every success with us here. You have joined an organization that has established a reputation for quality, innovative products and services. At Associated Labels, we believe that each employee contributes directly to the growth and success of the company, and we hope you will take pride in being a member of our team. This handbook was developed to describe some of the expectations of our employees and to outline polices, programs, and benefits available to eligible employees. Employees should become familiar with the contents of the employee handbook as soon as possible, for it will answer many questions about employment with Associated Labels. We believe that professional relationships are easier when all employees are aware of the culture and values of our organization. This guide will help you better understand our vision for the future of our business and the challenges that are ahead. We hope that your experience here will be challenging, enjoyable, and rewarding. Welcome aboard! Shaun Ashworth President Page 1 Table of Contents 1. INTRODUCTION ........................................................................................................................................ 4 1.1 ORGANIZATIONAL DESCRIPTION .....................................................................................................4 1.1.1 PRODUCTS AND SERVICES PROVIDED ................................................................................4 1.1.2 FACILITY AND LOCATION ..........................................................................................................5 1.1.3 THE HISTORY OF ASSOCIATED LABELS ..............................................................................5 1.1.4 MANAGEMENT PHILOSOPHY ...................................................................................................5 1.2 1.3 2. EMPLOYMENT .......................................................................................................................................... 7 2.1 2.2 2.3 2.4 2.5 2.6 3. EMPLOYEE RELATIONS ......................................................................................................................7 EQUAL EMPLOYMENT OPPORTUNITY ............................................................................................7 BUSINESS ETHICS AND CONDUCT ..................................................................................................8 OUTSIDE EMPLOYMENT .....................................................................................................................8 NON-DISCLOSURE ................................................................................................................................9 JOB POSTING AND EMPLOYEE REFERRALS ................................................................................9 EMPLOYMENT STATUS AND RECORDS ........................................................................................... 10 3.1 3.2 3.3 3.4 3.5 3.6 4. INTRODUCTORY STATEMENT ...........................................................................................................6 CUSTOMER RELATIONS ......................................................................................................................7 ACCESS TO PERSONNEL FILES .....................................................................................................10 PERSONNEL DATA CHANGES .........................................................................................................10 PROBATION PERIOD ..........................................................................................................................10 EMPLOYMENT APPLICATIONS ........................................................................................................10 PERFORMANCE EVALUATION .........................................................................................................11 SALARY ADMINISTRATION ...............................................................................................................11 EMPLOYEE BENEFIT PROGRAMS ..................................................................................................... 11 4.1 EMPLOYEE BENEFITS ........................................................................................................................11 4.2 ANNUAL VACATION ............................................................................................................................12 4.2.1 ELIGIBILITY ..................................................................................................................................12 4.2.2 ANNUAL VACATION ENTITLEMENT ......................................................................................12 4.2.3 VACATION PAY ...........................................................................................................................12 4.3 HOLIDAYS ..............................................................................................................................................12 4.3.1 ELIGIBILITY ..................................................................................................................................13 4.3.2 NO PAY FOR INELIGIBLE EMPLOYEES ................................................................................13 4.3.3 STATUTORY HOLIDAY ON A DAY OFF .................................................................................13 4.4 WORKERS INSURANCE .....................................................................................................................13 4.5 LEAVES AND JURY DUTY ..................................................................................................................14 4.5.1 PREGNANCY LEAVE .................................................................................................................14 4.5.2 PARENTAL LEAVE FOR BIRTH AND ADOPTING PARENTS ............................................14 4.5.3 REQUEST FOR LEAVE ..............................................................................................................15 4.5.4 FAMILY RESPONSIBILITY LEAVE ..........................................................................................15 4.5.5 COMPASSIONATE CARE LEAVE ............................................................................................15 4.5.6 BEREAVEMENT LEAVE ............................................................................................................16 Page 2 4.6 4.7 4.8 5. TIMEKEEPING/PAYROLL ...................................................................................................................... 17 5.1 5.2 5.3 6. HEALTH INSURANCE ..........................................................................................................................16 LIFE INSURANCE .................................................................................................................................16 LONG-TERM DISABILITY ....................................................................................................................17 TIMEKEEPING .......................................................................................................................................17 PAYDAYS ...............................................................................................................................................17 EMPLOYMENT TERMINATION ..........................................................................................................17 WORK CONDITIONS AND HOURS ...................................................................................................... 18 6.1 WORK SCHEDULES ............................................................................................................................18 6.2 USE OF PHONE AND MAIL SYSTEMS ............................................................................................18 6.3 MOBILE PHONES AND TEXTING .....................................................................................................18 6.4 SMOKING ...............................................................................................................................................18 6.5 MEAL PERIODS ....................................................................................................................................19 6.6 OVERTIME .............................................................................................................................................19 6.7 USE OF EQUIPMENT ..........................................................................................................................19 6.8 VISITORS IN THE WORKPLACE .......................................................................................................19 6.9 COMPUTER AND EMAIL USAGE ......................................................................................................20 6.10 INTERNET USAGE ...............................................................................................................................20 6.10.1 DISCLAIMER OF LIABILITY FOR USE OF INTERNET ........................................................20 6.10.2 DUTY NOT TO WASTE COMPUTER RESOURCES ............................................................21 6.10.3 NO EXPECTATION OF PRIVACY ............................................................................................21 6.10.4 COMPUTER MONITORING .......................................................................................................21 6.11 EMAIL USE POLICY .............................................................................................................................21 6.11.1 LEGAL RISKS...............................................................................................................................22 6.11.2 LEGAL REQUIREMENTS...........................................................................................................22 6.11.3 PERSONAL USE..........................................................................................................................22 6.11.4 CONFIDENTIAL INFORMATION ..............................................................................................23 6.11.5 EMAIL ACCOUNTS .....................................................................................................................23 6.11.6 SYSTEM MONITORING .............................................................................................................23 6.12 ANTI-VIRUS POLICY ............................................................................................................................23 6.12.1 GENERAL POLICY ......................................................................................................................24 6.12.2 INDIVIDUAL RESPONSIBILITIES .............................................................................................24 6.13 REMOVABLE MEDIA POLICY ............................................................................................................24 6.13.1 GENERAL POLICY ......................................................................................................................24 7. EMPLOYEE CONDUCT .......................................................................................................................... 25 7.1. BULLYING AND HARASSMENT STATEMENT ...............................................................................25 7.1.1 WORKPLACE CONDUCT POLICY .........................................................................................26 7.1.2 BULLYING AND HARASSMENT EXAMPLES ........................................................................26 7.1.3 COMPLIANCE AND REPORTING ............................................................................................27 7.1.4 APPLICATION ..............................................................................................................................27 7.1.5 REPORTING FORM ....................................................................................................................28 7.2 REPORTING AND CONFIDENTIALITY ............................................................................................29 Page 3 1. INTRODUCTION Associated Labels is a premium label printing and packaging company. Our company prides itself on its state of the art full service facility and four distinct production divisions: Labels, Flexible Packaging, Packaging Equipment, and Digital Printing. We are committed to delivering our unique service and quality each and every day, and strive to provide label and packaging solutions that deliver distinction to all of our customer’s products. 1.1 ORGANIZATIONAL DESCRIPTION We use Organizational Chart as a framework for managing change and communicating current organizational structure. The chart allows Associated Labels to organize the team of professionals with clear responsibilities, titles and lines of authority. Please see attached Organizational Chart document for the current structure. 1.1.1 PRODUCTS AND SERVICES PROVIDED At Associated Labels, it's our business to make our customers look good. That's why we're dedicated to delivering not only the best in customer service, but the latest in label and packaging technology. LABELS Our label solutions enhance our customer’s brand and make their product stand out. With our full in-house prepress and plate processing capabilities, we help create the label that best showcases our customer’s expectations and product requirements. Associated Labels prints on a wide selection of material options and finishes. Our ultimate goal is to ensure our label and packaging helps our customer’s products outperform their competition with ease. FLEXIBLE PACKAGING Our Flexible Packaging Division was created to handle the specialized requirements of unsupported printed films for a variety of products, including specialty wraps and shrink film applications. Equipped with a 11 colour flexo/gravure/laminating Comco Press, our Flexible Packaging Division supplies printed films on an ever-increasing number of face stocks. Page 4 DIGITAL PRINTING Our state of the art full service Digital Printing Division provides cost effective, versatile digital printing for labels, shrink sleeves and flexible packaging. Equipped with industry leading technology, such as our WS6600 HP Indigo Press, we can provide instant proofs and prototypes identical to our customer’s final product. With small, medium or large quantity runs, we can precisely meet our customer’s printing needs with fast turnaround times, which makes managing their supply chain effective by lowering inventory cost and increasing savings. PACKAGING EQUIPMENT Associated Labels custom manufactures pressure sensitive label applicators for most industries with capabilities to integrate other automated equipment into our lines to support our customers’ needs. Our applicators are now performing their duties throughout North America in such wide spread applications as cosmetics, agriculture, chemical, food and beverage industries. It is our goal to design and install equipment that will assist our customers in reaching their production and sales goals. 1.1.2 FACILITY AND LOCATION 61 Clipper Street Coquitlam, BC V3K 6X2 Canada 1.1.3 THE HISTORY OF ASSOCIATED LABELS The foundation was laid back in 1981, starting in a small plant in Vancouver. Since 1981, Associated Labels has grown to over 50,000 square feet, with 24 hour-a-day press runs reaching into the millions. We are one of the largest suppliers of labels on the West Coast of North America. The clients are located throughout Canada and United States and include leaders in the pharmaceutical, nutraceutical, food, personal care and household cleaning product industries. 1.1.4 MANAGEMENT PHILOSOPHY Associated Labels provides advanced label printing services for a wide variety of companies throughout North America. Page 5 The foundation of our company is based on our PEQ philosophy of "People, Ethics, and Quality"... these three elements work together in every aspect of our business. Our People - Our Success At Associated Labels, we rely on our people and their enthusiasm, expertise, and commitment to maintain and build on the success of our business. Our people and their focus on continuous improvement provide a basis for achieving our quality objectives. We focus on employing the utmost in personalities, while providing a diverse and rewarding environment where our people have the opportunities to grow. Code of Ethics It is through our ethics that we demonstrate our commitment to and respect for diversity in thought and culture. At Associated Labels, we are committed to ethical behavior and personal integrity in every aspect of conducting business. Commitment to Quality Associated Labels is a company of people dedicated to excellence and the continuous improvement of our quality systems that satisfy our customer’s every need. Our uncompromising commitment to quality consists of a comprehensive set of bestvalue services and solutions, including our innovative application of Lean Manufacturing and the Six Sigma principles and values in our 24 hour production facility. 1.2 INTRODUCTORY STATEMENT This handbook is designed to acquaint you with Associated Labels and provide you with information about working conditions, employee benefits, and some of the policies affecting your employment. You should read, understand, and comply with all provisions of the handbook. It describes many of your responsibilities as an employee and outlines the program developed by Associated Labels to benefit employees. One of our objectives is to provide a work environment that is conducive to both personal and professional growth. No employee handbook can anticipate every circumstance or question about policy. As Associated Labels continues to grow, the need may arise and Associated Labels reserves the right to revise, supplement, or rescind a policy or portion of the handbook Page 6 from time to time as it deems appropriate. Employees will be notified of such changes to the handbook as they occur. 1.3 CUSTOMER RELATIONS Customers are our most valuable asset. Every employee represents Associated Labels to our customers and non-customers. The way we do our jobs presents an image of our entire organization. Customers judge all of us by how they are treated with each employee contact. Therefore, one of our first business priorities is to assist any customer or potential customer with professionalism. Be courteous, friendly, helpful, and prompt to give our customers the ultimate experience. Positive customer relations not only enhance the public’s perception and image of Associated Labels, but also pay off in greater customer loyalty, ultimately increasing sales and profitability. 2. EMPLOYMENT 2.1 EMPLOYEE RELATIONS Associated Labels believes that the work conditions, wages, and benefits it offers to its employees are competitive with those offered by other employers in this area and in this industry. If employees have concerns about work conditions or compensation, they are strongly encouraged to voice these concerns openly and directly to their supervisor. Our experience has shown that when employees deal openly and directly with supervisors, the work environment can be excellent, communications can be clear, and attitudes can be positive. We believe that Associated Labels amply demonstrates its commitment to employees by responding effectively to employee concerns. 2.2 EQUAL EMPLOYMENT OPPORTUNITY In order to provide equal employment and advancement opportunities to all individuals, employment decisions at Associated Labels will be based on merit, qualifications, and abilities. Associated Labels does not discriminate in employment opportunities or practices based on race, religion, gender, sexual orientation, national origin, age, or any other characteristic protected by law. This policy governs all aspects of employment, including selection, job assignment, compensation, discipline, termination, and access to benefits and training. Page 7 Any employees with questions or concerns about any type of discrimination in the workplace are encouraged to bring these issues to the attention of Shaun Ashworth. Employees can raise concerns and make reports without fear of reprisal. Anyone found to be engaging in any type of unlawful discrimination will be subject to disciplinary action, up to and including termination of employment. 2.3 BUSINESS ETHICS AND CONDUCT The successful business operation and reputation of Associated Labels is built upon the principles of fair dealing and ethical conduct of our employees. Our reputation for integrity and excellence requires careful observance of the spirit and letter of all applicable laws and regulations, as well as a scrupulous regard for the highest standards of conduct and personal integrity. The continued success of Associated Labels is dependent upon our customers’ trust and we are dedicated to preserving that trust. Employees owe a duty to Associated Labels, its customers, and fellow employees to act in a way that will merit the continued trust and confidence of our customers. Associated Labels will comply with all applicable laws and regulations and expects all employees to conduct business in accordance with the letter, spirit, and intent of all relevant laws and to refrain from all illegal, dishonest, or unethical conduct. In general, the use of good judgment, based on high ethical principles, will guide you with respect to lines of acceptable conduct. If a situation arises where it is difficult to determine the proper course of action, the matter should be discussed with your immediate supervisor and, if necessary, with Shaun Ashworth for advice and consultation. Compliance with this policy of business ethics and conduct is the responsibility of every Associated Labels employee. Disregarding or failing to comply with this standard of business ethics and conduct could lead to disciplinary action, up to and including termination of employment. 2.4 OUTSIDE EMPLOYMENT Employees may hold outside jobs as long as they meet the performance standards of their job with Associated Labels. All employees will be judged by the same performance standards and will be subject to Associated Labels scheduling demands, regardless of any existing outside work requirements. Page 8 2.5 NON-DISCLOSURE The protection of confidential business information and trade secrets is vital to the interest and the success of Associated Labels. Such confidential information includes, but is not limited to, the following examples: - Compensation data - Computer processes - Computer programs and codes - Customer lists - Financial information - Marketing strategies - Pending project proposals - Proprietary production processes - Research and development strategies - Customer preferences - Labor relations strategies - New material research Employees who improperly use or disclose trade secrets or confidential business information will be subject to disciplinary action, including termination of employment and legal action, even if they do not actually benefit from the disclosed information. 2.6 JOB POSTING AND EMPLOYEE REFERRALS Associated Labels provides employees an opportunity to indicate their interest in open positions and advance within the organization according to their skills and experience. In general, notices of all regular, full-time job openings are posted, although Associated Labels reserves its discretionary right to not post a particular opening. Associated Labels recognizes the benefit of developmental experience and encourages employees to talk with their supervisors about their career plans. Supervisors are encouraged to support employees’ efforts to gain experience and advance within the organization. Job posting is a way to inform employees of openings and to identify qualified and interested applicants who might not otherwise be known to the hiring manager. Other recruiting sources may also be used to fill open positions in the best interest of the organization. Associated Labels also encourages employees to identify friends and acquaintances that are interested in employment opportunities and refer qualified outside applicants for posted jobs. Employees should obtain permission from the individual before making a referral, share their knowledge of the organization, and not make commitments or oral promises of employment. An employee should submit their referral’s resume to their supervisor for a posted job. If the referral is interviewed, the referring employee will be notified of the initial interview and the final selection decision. Page 9 3. EMPLOYMENT STATUS AND RECORDS 3.1 ACCESS TO PERSONNEL FILES Associated Labels maintains a personnel file for each employee. The personnel file includes such information as the employee’s job application, resume, records of training, documentation of performance appraisals and salary increases, and other employment records. Personnel files are the property of Associated Labels, and access to the information they contain is restricted. Generally, only supervisors and management personnel of Associated Labels who have legitimate reason to review information on file are allowed to do so. Employees who wish to review their own file should contact Barry Salway. With reasonable advance notice, employees may review their own personnel files in Associated Labels offices and in the presence of an individual appointed by Associated Labels. 3.2 PERSONNEL DATA CHANGES It is the responsibility of each employee to promptly notify Associated Labels of any changes in personnel data. Personal mailing addresses, telephone numbers, number and names of dependents, individuals to be contacted in the event of an emergency should be accurate and current at all times. If any personnel data has changed, notify Barry Salway. 3.3 PROBATION PERIOD The probation period is intended to give new employees the opportunity to demonstrate their ability to achieve a satisfactory level of performance and to determine whether the new position meets their expectations. Associated Labels uses this period to evaluate employee capabilities, work habits, and overall performance. All new and rehired employees work on a probation basis for the first 90 calendar days after their date of hire. If Associated Labels determines that a designated probation period does not allow sufficient time to thoroughly evaluate the employee’s performance, the probation period may be extended for a specified period. 3.4 EMPLOYMENT APPLICATIONS Associated Labels relies upon the accuracy of the information contained in the employment application, as well as the accuracy of other data presented throughout the hiring Page 10 process and employment. Any misrepresentations, falsifications, or material omissions in any of this information or data may result in the exclusion of the individual from further consideration for employment or, if the person has been hired, termination of employment. 3.5 PERFORMANCE EVALUATION Supervisors and employees are strongly encouraged to discuss job performance and goals on an informal, day-to-day basis. Additional formal performance evaluations are conducted to provide both supervisors and employees the opportunity to discuss job tasks, identify and correct weaknesses, encourage and recognize strengths, and discuss positive, purposeful approaches for meeting goals. 3.6 SALARY ADMINISTRATION The salary administration program at Associated Labels was created to achieve consistent pay practices, comply with federal and provincial laws, mirror our commitment to equal employment opportunity, and offer competitive salaries within our labour market. Because recruiting and retaining talented employees is critical to our success, Associated Labels is committed to paying its employees equitable wages that reflect the requirements and responsibilities of their positions. Employees should bring their pay-related questions or concerns to the attention of their immediate supervisors. 4. EMPLOYEE BENEFIT PROGRAMS 4.1 EMPLOYEE BENEFITS Eligible employees at Associated Labels are provided with the following benefits: - Medical Insurance Dental Insurance Life Insurance Long- Term Disability Medical Services Plan Desjardins Insurance benefit programs require contributions from the employee of 25% of the applicable premiums (100% for LTD). Page 11 4.2 ANNUAL VACATION 4.2.1 ELIGIBILITY Both full-time and part-time employees are eligible for annual vacation and vacation pay. All vacation scheduling and vacations requests should be submitted to Dan Vassiliev for approval. The following should be considered when planning your vacation: - No more than two (2) employees in one day (24 hours) per department No more than two (2) press operators per shift (7.5 hours) No more than three (3) press operators per day (24 hours) Due to the high number of requests for days off during the summer, Associated Labels restricts the number of vacation weeks to two (2) consecutive weeks in a row, during the month of May, June, July, August and September. Upon request, special circumstances will be considered. 4.2.2 ANNUAL VACATION ENTITLEMENT An employee is entitled to two weeks of annual vacation after 12 consecutive months of employment. After 5 consecutive years of employment an employee becomes entitled to three weeks of annual vacation. After 20 consecutive years of employment an employee becomes entitled to four weeks of annual vacation. If a person is employed for more than five calendar days but less than one year, the employee is not entitled to take annual vacation, but still qualifies for vacation pay. 4.2.3 VACATION PAY Employees are entitled to vacation pay after being employed for more than five calendar days. In the first four years in which an employee is entitled to take annual vacation, two weeks’ vacation to 4 years, followed by 3 weeks after 5 years of employment. 4.3 HOLIDAYS Associated Labels will grant holiday time off to all employees on the statutory holidays listed below: - New Year’s Day Page 12 - Family Day Good Friday Victoria Day Canada Day B.C. Day Labour Day Thanksgiving Day Remembrance Day Christmas Day Please note that Easter Sunday, Easter Monday and Boxing Day are not statutory holidays. 4.3.1 ELIGIBILITY To be eligible for statutory holiday pay an employee must: - Have been employed for 30 calendar days before the statutory holiday and, - Have worked or earned wages on 15 of the 30 days immediately before the statutory holiday. 4.3.2 NO PAY FOR INELIGIBLE EMPLOYEES An employee who is not eligible for statutory holiday pay is not entitled to be paid an average day’s pay. If an ineligible employee works on a statutory holiday he or she may be paid as if it were a regular work day. 4.3.3 STATUTORY HOLIDAY ON A DAY OFF When an employee is given a day off on a statutory holiday, or it falls on a regular day off, an eligible employee is entitled to be paid an average day’s pay. An average day’s pay is calculated by dividing “total wages” earned in the 30 calendar days before the statutory holiday by the number of days worked. Vacation days taken during this period count as days worked. 4.4 WORKERS INSURANCE Associated Labels submits insurance premiums to WorkSafeBC to cover the cost of workplace insurance. Premiums are based on the assessable earnings of employees. Page 13 The premiums pay the costs associated with work-related injuries and diseases, including health care, wage loss, rehabilitation, and administration. Employees who sustain work-related injuries or illnesses should inform their supervisor immediately. No matter how minor an on-the-job injury may appear, it is important to be reported immediately. All injuries incurred on the job must be reported and documented. 4.5 LEAVES AND JURY DUTY Associated Labels grant employees the following periods of unpaid leave. An employee does not need to work for a specified period to qualify for leave. 4.5.1 PREGNANCY LEAVE A pregnant employee is entitled to up to 17 consecutive weeks of unpaid pregnancy leave. This leave may start no earlier than 11 weeks before the expected birth date, and must end no earlier than six weeks after the birth date unless the employee requests a shorter period. If pregnancy leave is not requested until after the birth of a child or after termination of the pregnancy, the employee is entitled to up to six consecutive weeks of leave beginning on the date of birth or termination date. An initial period of leave may be extended up to six consecutive weeks if an employee is unable to return to work for reasons relating to the birth or termination of a pregnancy. A request to return from leave earlier than six weeks after the birth must be made in writing at least one week before the proposed return date. Associated Labels requires employees to provide a doctor’s certificate in support of a request for leave or a leave extension. 4.5.2 PARENTAL LEAVE FOR BIRTH AND ADOPTING PARENTS A birth mother who takes pregnancy leave is entitled to 35 consecutive weeks of unpaid parental leave. A birth mother must begin her parental leave immediately after her pregnancy leave ends, unless otherwise agreed upon. A birth mother who does not take pregnancy leave, a birth father, or an adopting parent is entitled to up to 37 consecutive weeks of unpaid parental leave. The leave can begin anytime within 52 weeks of the birth or placement of the child. Page 14 An initial period of parental leave may be extended up to five consecutive weeks if the child requires an additional period of parental care. Associated Labels requires employees to provide a doctor’s certificate or other evidence that the employee is entitled to the leave or leave extension. 4.5.3 REQUEST FOR LEAVE A request for pregnancy or parental leave should be made in writing at least four weeks before the proposed start date. Employees are encouraged to tell their supervisor the date they will be going on leave well in advance and to put it in writing to avoid misunderstandings. 4.5.4 FAMILY RESPONSIBILITY LEAVE An employee is entitled to up to five days of unpaid leave in each employment year to meet responsibilities related to the care, health or education of any member of the employee’s immediate family. “Employment year” means a year beginning on the date the employee commenced employment. Family Responsibility Leave does not accumulate from year to year. 4.5.5 COMPASSIONATE CARE LEAVE An employee can take up to eight weeks of unpaid leave within a 26 week period to care for or support a gravely ill family member. The employee must obtain a medical certificate which states that the family member is gravely ill with a significant risk of death within 26 weeks. “Family member” means someone who is: o in relation to an employee: - a member of an employee’s immediate family; an employee’s step-sibling, aunt or uncle, niece or nephew; current or former foster parent, foster child, ward or guardian; the spouse of an employee’s sibling or step-sibling, child or stepchild, grandparent, grandchild, aunt or uncle, niece or nephew, current or former foster child or guardian. Page 15 o in relation to an employee’s spouse: - - a parent or step-parent, sibling or step-sibling, child, grandparent, grandchild, aunt or uncle, niece or nephew, current or former foster parent, or current or former ward; and anyone who is considered to be like a close relative regardless of whether or not they are related by blood, adoption, marriage or common law partnership. 4.5.6 BEREAVEMENT LEAVE An employee is entitled to up to three days of unpaid leave on the death of a member of the employee’s immediate family. These days do not have to be consecutive, or start on the date of death. Note: “Immediate family” means the spouse, child, parent, guardian, sibling, grandchild or grandparent of an employee; and any person who lives with the employee as a member of the employee’s family. 4.6 HEALTH INSURANCE Associated Labels health insurance plan provides full-time employees and their dependents access to medical insurance benefits. Eligible employees may participate in the health insurance plan subject to all terms and conditions of the agreement between Associated Labels and the insurance carrier. Information on cost and coverage will be provided after enrollment. Contact Barry Salway for more information about health insurance benefits. 4.7 LIFE INSURANCE Life insurance offers you and your family important financial protection. Our insurance carrier provides a basic life insurance plan for eligible employees. Eligible employees must participate in the life insurance plan subject to all terms and conditions of the agreement between Associated Labels and the insurance carrier. Contact Barry Salway for more information about life insurance benefits. Page 16 4.8 LONG-TERM DISABILITY Associated Labels provides long-term disability (LTD) benefits plan to help eligible employees cope with an illness or injury that results in a long-term absence from employment. LTD is designed to ensure a continuing income for employees who are disabled and unable to work. Eligible employees must participate in the LTD plan subject to all terms and conditions of the agreement between Associated Labels and the insurance carrier. Contact Barry Salway for more information about LTD benefits. 5. TIMEKEEPING/PAYROLL 5.1 TIMEKEEPING Accurately recording time worked is the responsibility of every employee. Federal and provincial laws require Associated Labels to keep accurate record of time worked in order to calculate employee pay and benefits. Time worked is all the time actually spent on the job performing assigned duties. Altering, falsifying, tampering with time records, or recording time on another employee’s time record may result in disciplinary action, including termination of employment. 5.2 PAYDAYS All employees are paid bi-weekly on every other Friday. Each paycheck will include earnings for all work performed through the end of the previous payroll period. Associated Labels pays via direct deposit into employee bank accounts and requires a void check and employee authorization. Employees will receive an itemized statement of wages when Associated Labels makes a direct deposit. 5.3 EMPLOYMENT TERMINATION Termination of employment is an inevitable part of personnel activity within any organization, and many of the reasons for termination are routine. Below are examples of some of the most common circumstances under which employment is terminated: - Resignation, voluntary employment termination initiated by an employee Discharge, involuntary employment termination initiated by the organization Page 17 - Layoff, involuntary employment termination initiated by the organization for non-disciplinary reasons Retirement, voluntary employment termination initiated by the employee meeting age, length of service, and any other criteria for retirement from the organization 6. WORK CONDITIONS AND HOURS 6.1 WORK SCHEDULES The normal work schedule for all employees is 7.5 hours a day, Monday to Friday. Supervisors will advise employees of the time their schedules will normally begin and end. Staffing needs and operational demands may necessitate variations in starting and ending times, as well as variations in the total hours that may be scheduled each day and week. 6.2 USE OF PHONE AND MAIL SYSTEMS Personal use of the telephone is not permitted and should only be used in case of emergency. The use of Associated Labels paid postage for personal correspondence is not permitted. 6.3 MOBILE PHONES AND TEXTING Mobile phones and devices are not permitted and should only be used in case of emergency. All mobile phones should be silenced and left off of desks and outside of all workspaces. 6.4 SMOKING In keeping with Associated Labels intent to provide a safe and healthful work environment, smoking is prohibited throughout the workplace. This policy applies equally to all employees, customers, and visitors. Associated Labels has designated the exterior grounds, at the southern end, of its production facility as the only acceptable on-site smoking area. Employees must swipe out and will not be compensated for time smoking. Page 18 6.5 MEAL PERIODS All employees are provided with one unpaid meal period of 30 minutes in length each workday. Supervisors will schedule meal periods to accommodate operating requirements. Employees will be relieved of all active responsibilities and restrictions during meal periods and will not be compensated for that time. 6.6 OVERTIME When operating requirements or other needs cannot be met during regular working hours, employees will be given the opportunity to volunteer for overtime work assignments. All overtime work must receive a supervisor’s prior authorization. Overtime assignments will be distributed as equitable as practical to all employees qualified to perform the required work. 6.7 USE OF EQUIPMENT When using any workplace equipment, employees are expected to exercise care, perform required maintenance, and follow all operating instruction, safety standards and guidelines. Please notify a supervisor if any equipment, machines or tools appear to be damaged, defective, or in need of repair work. Prompt reporting of damages, defects and the need for repairs could prevent deterioration of equipment and possible injury to employees or others. The supervisor can answer questions about an employee’s responsibility for maintenance and care of equipment. The improper, careless, negligent, destructive, or unsafe use of operation of equipment can result in disciplinary action including termination of employment. 6.8 VISITORS IN THE WORKPLACE To provide for the safety and security of employees and the facility at Associated Labels, only authorized visitors are allowed in the workplace. Restricting unauthorized visitors helps maintain safety standards, protects against theft, ensures security of equipment, protects confidential information, safeguards employee welfare, and avoids potential distractions and disturbances. All visitors should enter Associated Labels at the reception area. Authorized visitors will receive directions or be escorted to their destination. Employees are responsible for the conduct and safety of their visitors. Page 19 If an unauthorized individual is observed on Associated Labels premises, employees should immediately notify their supervisor or, if necessary, direct the individual to the reception area. 6.9 COMPUTER AND EMAIL USAGE Computers, computer files, the email system, and software furnished to employees are property of Associated Labels and intended for business use. Employees should not use a password, access a file, or retrieve any stored communication without authorization. To ensure compliance with this policy, computer and email usage may be monitored. Associated Labels strives to maintain a workplace free of harassment and sensitive to the diversity of its employees. Therefore, Associated Labels prohibits the use of computers and the email system in ways that are disruptive, offensive to others, or harmful to morale. For example, the display or transmission of sexually explicit images, messages, and cartoons is not allowed. Other such misuse includes, but not limited to, ethnic slurs, racial comments, jokes, or anything that may be construed as harassment or showing disrespect for others. Email may not be used to solicit others for commercial ventures, religious or political causes, outside organization, or other non-business matters. 6.10 INTERNET USAGE Certain employees may be provided with access to the Internet to assist them in performing their jobs. The Internet can be a valuable source of information and research. In addition, e-mail can provide excellent means of communicating with other employees, our customers and clients, outside vendors, and other businesses. Use of the Internet, however, must be tempered with common sense and good judgment. If you abuse your right to use the Internet, it will be taken away. In addition, you may be subject to disciplinary action, including termination, and civil and criminal liability. 6.10.1 DISCLAIMER OF LIABILITY FOR USE OF INTERNET Associated Labels is not responsible for material viewed or downloaded by users from the Internet. The Internet is a worldwide network of computers that contains millions of pages of information. Page 20 Users are cautioned that many of these pages include offensive, sexually explicit, and inappropriate material. In general, it is difficult to avoid at least some contact with this material while using the Internet. Even innocuous search requests may lead to sites with highly offensive content. In addition, having an e-mail address on the Internet may lead to receipt of unsolicited e-mail containing offensive content. Users accessing the Internet do so at their own risk. 6.10.2 DUTY NOT TO WASTE COMPUTER RESOURCES Employees must not deliberately perform acts that waste computer resources. These acts include, but are not limited to, sending mass mailings or chain letters, spending excessive amounts of time on the Internet, playing games, engaging in online chat groups, printing multiple copies of documents, or otherwise creating unnecessary network traffic. Because audio, video and picture files require significant storage space, files of this or any other sort may not be downloaded unless they are business-related. 6.10.3 NO EXPECTATION OF PRIVACY The computers and computer accounts given to employees are to assist them in the performance of their jobs. Employees should not have an expectation of privacy in anything they create, store, send, or receive on the computer system. The computer system belongs to Associated Labels and may only be used for business purposes. 6.10.4 COMPUTER MONITORING Associated Labels has the right, but not the duty, to monitor any and all of the aspects of its computer system, including, but not limited to, monitoring sites visited by employees on the Internet, monitoring chat groups and news groups, reviewing material downloaded or uploaded by users to the Internet, and reviewing e-mail sent and received by users. 6.11 EMAIL USE POLICY The purpose of this policy is to ensure the proper use of Associated Labels' email system and make users aware of what Associated Labels deems to be acceptable and unacceptable use of its email system. Associated Labels reserves the right to amend this policy at its discretion. In case of amendments, users will be informed appropriately. Page 21 6.11.1 LEGAL RISKS Email is a business communication tool and users are obliged to use this tool in a responsible, effective and lawful manner. Although by its nature email seems to be less formal than other written communication, the same laws apply. Therefore, it is important that users are aware of the legal risks of email: - If you send emails with any libelous, defamatory, offensive, racist or obscene remarks, you and Associated Labels can be held liable If you forward emails with any libelous, defamatory, offensive, racist or obscene remarks, you and Associated Labels can be held liable If you unlawfully forward confidential information, you and Associated Labels can be held liable If you unlawfully forward or copy messages without permission, you and Associated Labels can be held liable for copyright infringement If you send an attachment that contains a virus, you and Associated Labels can be held liable. By following the guidelines in this policy, the user can minimize the legal risks involved in the use of email. If any user disregards the rules set out in this email policy, the user will be fully liable and Associated Labels will disassociate itself from the user as far as legally possible. 6.11.2 LEGAL REQUIREMENTS The following rules are required by law and are to be strictly adhered to. It is prohibited to: - - Send or forward emails containing offensive or disruptive content, which includes, but is not limited to defamatory, offensive, racist or obscene remarks. If you receive an email of this nature, you must notify supervisor Forward a message without acquiring permission from the sender first Send unsolicited email messages Forge or attempt to forge email messages Disguise or attempt to disguise identity when sending mail Send email messages using another person’s email account Copy a message or attachment belonging to another user without permission of the originator 6.11.3 PERSONAL USE It is strictly forbidden to use Associated Labels' email system for anything other than legitimate business purposes. Therefore, the sending of personal emails, chain letters, Page 22 junk mail, jokes and executables is prohibited. All messages distributed via the company’s email system are Associated Labels' property. 6.11.4 CONFIDENTIAL INFORMATION Never send any confidential information via email. If you are in doubt as to whether to send certain information via email, check this with your supervisor first. 6.11.5 EMAIL ACCOUNTS Any email account not setup by Associated Labels is strictly forbidden. All email accounts maintained on our email systems are property of Associated Labels. 6.11.6 SYSTEM MONITORING Users expressly waive any right of privacy in anything they create, store, send or receive on the company’s computer system. Associated Labels can, but is not obliged to, monitor emails without prior notification. If there is evidence that you are not adhering to the guidelines set out in this policy, Associated Labels reserves the right to take disciplinary action, including termination and/or legal action. 6.12 ANTI-VIRUS POLICY A virus is a piece of self-replicating code, most often a malicious software program designed to destroy or damage information on computers. Some viruses cause no damage apart from reproducing, but a significant number are specifically designed to cause data loss or to compromise the confidentiality of files by sending copies of them to others. Potential sources of viruses include shared media such as floppy disks or CD-ROMs, electronic mail (including, but not limited to, files attached to messages), and software or documents copied over networks such as the network and the Internet. A virus infection is always costly to the institution whether through the loss of data (possibly permanent), staff times to recover a system, or the delay of important work. Viruses spread from Associated Labels can lead to damage to Associated Labels reputation and can make Associated Labels vulnerable to possible litigation that costs money and the staff effort necessary for investigation and remedy. Page 23 6.12.1 GENERAL POLICY Any activities with the intention to create and/or distribute malicious programs onto the Associated Labels network are strictly prohibited. If an employee receives what he/she believes to be a virus, or suspects that a computer is infected with a virus, it must be reported to Tom Cheung immediately. Provide the following information if known: virus name, extent of infection, source of virus, and potential recipients of infected material. 6.12.2 INDIVIDUAL RESPONSIBILITIES All employees are responsible for taking suitable measures to protect against virus infection. A user who allows their computer to become infected puts at risk their own work and other people’s systems and data within the Associated Labels and beyond. Never open any files or macros attached to an e-mail from an unknown, suspicious, or untrustworthy source. If your computer is infected, report the incident immediately. Never copy, download, or install programs, compressed files or images on any of the computers connected to the network from unknown, suspicious, or untrustworthy sources or removable media. If instructed to delete e-mail messages believed to contain a virus, be sure to also delete the message from your Deleted Items or Trash folder. Never remove the virus protection software from PCs. Never accept or run software that is not from Associated Labels' sources. 6.13 REMOVABLE MEDIA POLICY Removable media devices offer greater flexibility in where and when staff can work and access information, including information on our corporate network. However, Removable media devices adds a significant security risk in the workplace, these can be used both to download confidential data and also to introduce a virus into the company network. Pocket-sized hard drives that connect using FireWire or USB hard drive or keychain drive, disk-based MP3 players such as the iPod, and digital cameras with smart media cards, memory sticks, compact flash and other memory media are viewed as potential security threats. 6.13.1 GENERAL POLICY Do not attach any personal or non-standard portable data storage media and devices to company-owned PCs. The use of removable storage devices or external devices (e.g., USB Flash Drives) shall be restricted to authorized personnel in order to safeguard and protect confidential data and information technology assets. Page 24 Anything not provided as part of the standard workstation install must be approved and certified by the IT department. All externally supplied floppy disks, CD's DVD's & USB/Firewire devices must be scanned for viruses before files are copied from them to Associated Labels' corporate network or computer equipment. - Unauthorized playing of music or viewing video on corporate PC's is prohibited Music and video media (DVD & CD) inserted into corporate PC's is prohibited MP3 players connected to corporate PC's is prohibited Connection of ear/head phones and microphones to corporate PC's is prohibited Connection of PDA's, mobile phones and cameras to corporate PC's is prohibited Classified information stored on external media (e.g., diskettes or CDs) must be protected from theft and unauthorized access. Any incidents of misuse, theft or loss of data must be reported to Tom Cheung immediately. 7. EMPLOYEE CONDUCT 7.1. BULLYING AND HARASSMENT STATEMENT Associated Labels is committed to providing all employees with a positive work environment that is free of discrimination and harassment of any kind. Associated Labels does not tolerate any conduct by an employee or others, that: - Discriminates against, harasses, disrupts or interferes with work performance; Creates an intimidating, offensive or hostile environment; or Otherwise adversely affects an individual’s employment opportunities. This includes, but is not limited to, discrimination or harassment on the basis of race, ancestry, place of origin, color, ethnicity, religious beliefs, sex, sexual orientation, age, marital status, family status, disability, and other protected grounds named in the applicable Human Rights legislation. These are important characteristics that make up a diverse workforce and contribute to a dynamic work environment. Associated Labels values and expects honesty and integrity from its employees. We believe that our employees and customers are entitled to respectful and dignified treatment. Unfair treatment of anyone, under any circumstances, is unacceptable. This policy extends to all applicants, employees, customers, vendors, and to all aspects of the employment relationship. Page 25 WorkSafeBC issued Occupational Health and Safety policies on workplace bullying and harassment that came into effect on November 1, 2013. The policy below describes the steps Associated Labels will take to prevent and address this. 7.1.1 WORKPLACE CONDUCT POLICY Bullying and harassment is not acceptable or tolerated at Associated Labels. All employees will be treated in a fair and respectful manner. 7.1.2 BULLYING AND HARASSMENT EXAMPLES A. So what is bullying and harassment? It includes any inappropriate conduct or comment towards a worker that the person knew, or should have known, would cause that worker to be humiliated or intimidated. Some examples might include: - Verbal aggression, insults, or calling someone derogatory names Vandalizing a worker’s personal belongings Sabotaging another person’s work Spreading malicious rumors Carrying out harmful or offensive initiation practices or hazing Making personal attacks based on a worker’s private life or personal traits Making aggressive or threatening gestures Cyber-bullying is another form of bullying and harassment. It can include sending harassing emails or text messages, or posting humiliating or intimidating information on social media or websites. Bullying can come from many sources including coworkers, supervisors and employers, or from external sources such as clients, customers, members of the public, or workers from other organizations. Each situation has to be considered in context. For example, yelling to warn someone about a hazard might be appropriate given the situation, but calling someone demeaning names in front of clients or other workers is probably not. B. Not every unpleasant interaction, instance of disrespectful behavior, or workplace conflict is bullying and harassment. Expressing a difference of opinion, offering constructive feedback or advice about work-related behavior or performance, and making a legitimate complaint through established procedures about a manager’s or another worker’s conduct are not bullying and harassment. It’s also important to note that reasonable management action is not considered workplace bullying and harassment. Managers and supervisors have many responsibilities – including directing and supervising how work is performed, monitoring workflow, and providing feedback on Page 26 performance. As long as those actions are taken in a respectful manner, they do not constitute bullying and harassment. Reasonable management action might include decisions relating to: - Job duties and/or work to be performed Workloads and deadlines Layoffs, transfers, promotions, and reorganizations Work instruction, supervision, or feedback Work evaluation Performance management, or Discipline, suspensions, or terminations 7.1.3 COMPLIANCE AND REPORTING Employees must: - not engage in the bullying and harassment of other employees report if bullying and harassment is observed or experienced, see reporting form apply and comply with the employer’s policies and procedures 7.1.4 APPLICATION This policy applies to all employees, including permanent, temporary, casual, contract, and student workers. It applies to interpersonal and electronic communications, such as email. Page 27 7.1.5 REPORTING FORM Employees at Associated Labels can report incidents or complaints of workplace bullying and harassment verbally or in writing. When reporting verbally, please see Shaun Ashworth and/or Dan Vassiliev. When submitting a written complaint, please use below form and submit to above contacts. Name and contact information of complainant Name of alleged bully or bullies Personal statement Please describe in as much detail as possible the bullying and harassment incident(s), including: - the names of the parties involved - any witnesses to the incident(s) - the location, date, and time of the incident(s) - details about the incident(s) (behavior and/or words used) - any additional details that would help with an investigation Attach any supporting documents, such as emails, handwritten notes, or photographs. Physical evidence, such as vandalized personal belongings, can also be submitted. Signature Date Page 28 7.2 REPORTING AND CONFIDENTIALITY No retaliation will be taken against any employee for reporting a violation of this policy in good faith, or for participating in an investigation. It is our policy that every employee is able to report an incident of harassment, free of fear of repercussion. Every effort will be made to deal with concerns privately, respectfully and in the spirit of maintaining a positive work environment. Associated Labels will not disclose the identity of the complainant or the circumstances of the complaint, except where disclosure is necessary to conduct a lawful investigation or for legitimate business purposes. Page 29
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