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7.2 DEFINITIONA. The term “grievance” as used in this Agreement is definedas a written complaint of an employee(s) or the Union allegingfailure of the Company to comply with a specific provisionof this Agreement not excluded from this grievance procedure.B. A grievance, to be recognized, must be brought to theattention of the Company (at Step 2) within three (3) workingdays of receiving the problem solving step answer.A grievance not starting at the problem solving step, to berecognized, must be brought to the attention of the Company(at Step 2 or 3) within five (5) working days of the occurrence ofthe alleged violation, or within five (5) working days of knowledgeof the occurrence of the alleged violation in cases where theemployee or Union had no way of knowing of the occurrencewithin five (5) working days.7.3 PROCEDUREA. Step 2: If the issue is not satisfactorily resolved at the problemsolving step, the employee and the area representative mayadvance the problem to step 2 by submitting a grievance in writingwithin three (3) working days following the problem solving answer.A written grievance:(1) must be dated and signed,(2) must state the specific contract provision with which thecompany allegedly has not complied,(3) must have a general statement of the nature of the grievance,(4) must state the adjustment requested.Step 2 will consist of a meeting including the area representative,the chief area representative, the second level supervisor, the HumanResources Representative and the OCU Labor Relations Specialist.The OCU Labor Relations Specialist will give the Companyanswer on the grievance in writing within two (2) working daysof the grievance meeting.8Union grievances will start at step 2.

B. Step 3: If the grievance is not satisfactorily resolved at step2, the grievance may be appealed to step 3. The union mustnotify the Company in writing of its appeal within five (5) workingdays following the step 2 answer. The step 3 meeting will beestablished at a mutually agreeable time. The grievance will bepresented by the Vice President of the Union and any membersof the Bargaining Committee or their designated representatives.The grievance will be presented to the OCU Labor RelationsManager and the management representative(s) with overallresponsibility for the bargaining unit area and the appropriateHuman Resources Manager/Leader.If no solution acceptable to the parties is worked out, the OCULabor Relations Manager will then give the Company’s finalposition to the Union in writing. This written answer will bemade within five (5) working days of the meeting.(1) Medical claim grievances and grievances related to theattendance system and discipline/discharge shall start at Step 3.(2) Grievances related to pay levels shall start at Step 3.7.4 APPEAL PROCESSA. If the Company’s answer at the conclusion of Step 3 is stillunsatisfactory to the Union, the grievance may be appealedto arbitration as provided in Article 8 of this Agreement.B. If the Company’s answer at any step is not appealed withinthe established time limits for that step, that answer shall bedeemed accepted and shall be final and binding.C. In the event the Company representative, at any step of thegrievance procedure, fails to meet the established time limit forsubmitting an answer, the grievance will automatically advanceto the next step.D. Time limits may be extended only by mutual agreementbetween the parties involved in the step in question.9

7.5 LIMITATIONSAny grievance filed prior to October 18, 2015 will be processedand resolved under the terms of the Agreement in effect atthe time of the alleged violation. The implementation of thesettlement shall not set a precedent if in conflict with theterms of the current labor agreement.Article 8 — Arbitration8.1 In the event the grievance is not satisfactorily resolvedat Step 3 of the grievance procedure, the Union may advancethe grievance to arbitration. The Union must notify theCompany in writing of its intent to arbitrate a grievance withinfifteen (15) working days of receiving a written Step 3 answer.8.2 After receipt of written notice, the Company and the Unionwill jointly request the Federal Mediation and Conciliation Serviceto supply a panel of arbitrators from which the parties may selecta mutually agreeable arbitrator. If either party determines that anentire list is unacceptable, additional lists may be requested. Thearbitration proceedings will be in accordance with the rules of theFederal Mediation and Conciliation Service.The parties shall cooperate with each other in expediting thearbitrator selection and grievance scheduling process with theirmutual goal being to try a grievance within six (6) months afterit is appealed to arbitration.8.3 The failure of the Union to appeal a grievance to arbitrationwithin fifteen (15) working days after receiving the Company’swritten final answer will be considered as an acceptance ofthe Company’s answer.Time limits may be extended by an additional five (5) workingdays only by mutual agreement between the parties.10

8.4 The fees and expenses billed by the arbitrator, therent of the hearing room, the cost of the Federal Mediationand Conciliation Service will be borne equally between theCompany and the Union.8.5 The expenses of each witness and the compensation ofany assisting witness for either side will be paid by the partyproducing the witness.8.6 The arbitrator may interpret this Agreement and apply itto the particular case presented to him or her, but he or shewill have no authority to add to, subtract from, or in any waymodify the terms of this Agreement.8.7 The Company and Union agree the decision of thearbitrator shall be final and binding on both parties.8.8 When a case is referred to the arbitrator, both the Companyand the Union may submit to him or her in writing suchinformation as they may desire bearing on the facts in the case.Both parties will seek the timely resolution for all grievancesreferred to arbitration and will cooperate in the diligentprosecution of such cases. The hearing will be conductedat the arbitrator’s earliest convenience. Where the parties donot agree to a request for an “instant ruling” the arbitrator willbe required to render his/her decision in writing as soon aspossible and within the time limits agreed to by the parties.8.9 Any award of the arbitrator shall not be retroactive inany case more than five working days prior to the time suchgrievance was presented at the appropriate initial step of thegrievance procedure.8.10 If the Company or Union cancels a hearing, the cancelingparty pays for canceling the hearing unless there is a situationbeyond the control of either party.11

Article 9 — No Disruption of ProductionSECTION 1: NO STRIKEA. The Union agrees that it will not cause or permit itsmembers to cause or participate in any interference with theoperations of the Company’s business during the term of thisAgreement, including strike, sympathy strikes, picketing, slowdown, or stoppage of work of any kind.B. The Company shall have the right to discipline up to andincluding discharge any employee who is proven to haveinstigated, participated, or given leadership to any of theseprohibited activities, and the employee shall not have recourseto the grievance and arbitration procedure when discipline isfor such cause. However, the Union may question the fact ofinstigation, participation, or leadership through the grievanceand arbitration procedure.SECTION 2: NO LOCKOUTThe Company agrees that there shall be no lockout during theterm of this Agreement. The prohibition of a lockout does notprevent Management from closing all or part of the plant forbusiness reasons.Article 10 — Classification and Progression10.1 All regular full time employees within the operation will beclassified within one of the four (4) classifications.Level 3 AnalystLevel 4 Technical Support SpecialistLevel 5 AssociateLevel 5 Associate - SpecialistThere will be a support position of Team Coordinator.There is no ownership of work functions. Work withinthe unit may be assigned at any time to any bargainingunit member without regard to that employee’s currentassignment or classification.12

10.2 Employees will be required to keep current with thechanging requirements of the business and their jobs. Entryinto a classification/position and continued assignment withina classification/position will be determined by management.The Company will identify and support learning activities forcompetency acquisition and retention by employees.10.3 All open Level 5 positions will be filled using selection byqualifications through an interview process. For Level 3 andLevel 4 positions, the applicant with the most bargaining unitseniority of those determined as qualified for the vacancy shallbe selected.10.4 The Level 5 Associate-Specialist classification islimited to higher level direct materials and technicaldocumentation positions.When a new position is created, it shall be categorizedinto one of the pay levels by use of a position evaluationtool administered by the Compensation and Benefits groupor plant Human Resources.Article 11— Seniority11.1 Regular full time employees within the unit will haveseniority established as of the most recent date of hirewith Columbus MidRange Engine Plant after successfullycompleting their probationary period. For employees with thesame date of hire, seniority will be determined by alphabeticallisting of last name on the date of hire.11.2 The probationary period for new employees is six (6)months. Retention of a probationary employee shall be at thediscretion of the company and is not subject to the grievanceor arbitration procedures.13

11.3 Employees shall lose their bargaining unit seniority whilean employee of the Columbus MidRange Engine Plant for thefollowing reasons:A. Voluntarily quits, retires, or is terminated for just cause.B. Layoff for a period of thirty (30) months in accordancewith Article 12.3 of this Agreement.C. Failure to return to work within ten (10) working days after beingrecalled from lay off. It is the employee’s responsibility to notify theCompany of any change in address. The ten working day countstarts when the Company makes an attempt to communicateto the employee. At this time the Company will notify the UnionBoard when this attempt at communication is made.D. Failure to return from a voluntary leave or a personal leaveof absence at the expiration thereof.Article 12— Layoff/ Recall12.1 There will be four (4) classifications for layoff andrecall purposes:Level 3 AnalystLevel 4 Technical Support SpecialistLevel 5 AssociateLevel 5 Associate SpecialistWhen it is necessary to reduce the work force, the employeesto be laid off from each classification will be identified by theCompany based on seniority and ability to perform the work.Those employees to be laid off will be identified by the Company.The Union will be notified in advance. All temporary/contractworkers doing OCU work, probationary employees, and Schoolto Work employees will be removed prior to any regular full timeemployees being laid off.12.2 Filling open positions in each classification through recallof laid-off employees will be based on an employee’s ability toperform available work and the seniority of the individual withinthe classification.14

12.3 Recall rights for regular full time employees on layoff will bemaintained for 30 months from date of layoff and seniority willcontinue to accumulate during this period. Laid off employees willlose seniority at the end of the 30 months. An employee on layoffwill lose seniority if he/she does not return to work within ten (10)working days of being recalled from layoff. The ten working daycount starts when the Company makes an attempt to communicateto the employee. At this time the Company will notify the UnionBoard when this attempt at communication is made.Probationary employees who are removed will have no recallrights, and will lose seniority on the date of layoff.12.4 BUSINESS-RELATED SHUTDOWNShutdown days may be arranged by the Company at any timeduring the year to selectively suspend production at departmental,business, or the plant level. During this time the Company maydecide to utilize a skeleton force to remain on duty. The Companywill begin each calendar year with fifteen (15) business-relatedshutdown days plus carryover of any unused days from previousyears. The number of carryover days may accumulate at a rate ofup to five (5) per year up to a maximum total of fifteen (15). The totalnumber of shutdown days available in any calendar year will neverexceed thirty (30). Selected areas may be shutdown from one (1)to thirty (30) days throughout a calendar year. No employee will berequired to take more than thirty (30) shutdown days off during acalendar year. Affected employees may elect to schedule availablevacation/floating holiday on shutdown days or to take the shutdownday off without pay. If an employee elects to take a shutdown daywithout pay or has no vacation/floating holidays available and musttake a shutdown day without pay, the absence will not be chargedto the employee. The Company will attempt to schedule shutdowndays adjacent to the weekend and will be counted as compensatedhours for the purpose of calculating pay for overtime. No permanentemployee will be required to take shutdown days if temporaryworkers are working in the plant on that day. A business-relatedshutdown day in any area of the plant will count for the entire plantas having a business-related shutdown day. The Company will sendofficial notification in writing to the Union Executive Board when anybusiness-related shutdown days are being implemented.15

Article 13 — Maintaining SkillsThe Company and the Union recognize the critical role skilland performance play in the long term success of the business.In order to ensure the development of necessary skill andknowledge, Columbus MidRange Engine Plant will providetraining opportunities and will create a climate which is conduciveto continuous learning for all employees. Developing andmaintaining skills is a necessary part of every employee’s job.Article 14 — ContinuousImprovement TeamsAll regular full time employees will actively support continuousimprovement work within their team.In addition, should management establish plant-widecontinuous improvement teams for the purpose ofimplementing and monitoring improvements within theframework of Cummins Operating System principles,members will be selected by management based upontheir skill and experience on the projects to be performed.Employees selected for continuous improvement teams willmaintain their classification and pay rate. The scope of theseprojects will not typically exceed 90 days.Article 15 — SubcontractingThe Company will be responsible for decisions to subcontractwork. The Company will share information with the Union onsubcontracting decisions and provide notice in advance of adecision to subcontract. If circumstances prevent advancenotice, then notice will be given as soon as practical.16

Article 16 — Hours And Overtime16.1 Forty hours will constitute the normal work week. This willnormally be scheduled eight (8) hours per day, Monday throughFriday. In the event of variation from the normal schedule, eitherin hours per day and/or days per week or days of the week,affected employees will be notified in advance. Temporaryemployees will be released prior to regular work week fallingbelow 40 hours for regular full time employees. If the normalwork week for the entire plant is reduced to a level below 30hours per week, the provisions of Article 12.1 will be used toreturn the remaining work force to at least 30 hours per week.Nothing herein is a guarantee of hours of work per day or week.16.2 Time and one-half will be paid for all hours in excess offorty (40) during the normal work week (time paid for holidayswill be considered as hours worked for overtime purposes).16.3 When an employee has otherwise been compensated forforty (40) hours in a week, hours worked over 40 will be paid attime and one-half.16.4 When an employee has otherwise been compensated forforty-eight (4

Union dues at a financial institution in Columbus, Indiana designated by the Union. The deposit receipt shall be sent to the Treasurer of the Union. 4.4 If Indiana's Right to Work Law (which currently is found at Indiana Code 22-6-6) is repealed and there is no other legal impediment to doing so, then the Union and Company