Contractors' Association of Greater New York, Inc.

AGREEMENT OF WORKING

CONDITIONS BETWEEN

THE INSULATION

CONTRACTORS ASSOCIATION

NEW YORK CITY INC.

AND

THE INTERNATIONAL

ASSOCIATION OF HEAT AND

FROST INSULATORS AND

ALLIED WORKERS

LOCAL NO. 12

OF NEW YORK CITY

2024-2028

TABLE OF CONTENTS

ARTICLE I. TERRITORY ………………………………………………………………………………………………………………………………3

ARTICLE II. EXCLUSIVE BARGAINING AGENT ……………………………………………………………………………………………….3

ARTICLE III. CLASSIFICATIONS ……………………………………………………………………………………………………………………3

ARTICLE IV. HOURS OF WORK …………………………………………………………………………………………………………………..4

ARTICLE V. MANNING………………………………………………………………………………………………………………………………4

ARTICLE VI. PRE-APPRENTICESHIP PROGRAM……………………………………………………………………………………………..6

ARTICLE VII. AJEF …………………………………………………………………………………………………………………………………….7

ARTICLE VIII. HOLIDAYS AND OVERTIME …………………………………………………………………………………………………….7

ARTICLE IX. SETTLEMENT OF DISPUTES………………………………………………………………………………………………………7

ARTICLE X. SUBCONTRACTING……………………………………………………………………………………………………………….. 10

ARTICLE XI. PAY RATES AND PROCEDURES………………………………………………………………………………………………. 10

ARTICLE XII. UNIFORM EXPENSE SYSTEM………………………………………………………………………………………………… 13

ARTICLE XIII. JURISDICTION OF WORK…………………………………………………………………………………………………….. 14

ARTICLE XIV. EMPLOYMENT PRACTICES………………………………………………………………………………………………….. 14

ARTICLE XV. BONA FIDE SHOP ……………………………………………………………………………………………………………….. 14

ARTICLE XVI. PIECEWORK ……………………………………………………………………………………………………………………… 14

ARTICLE XVII. DURATION AND TERMINATION …………………………………………………………………………………………. 15

ARTICLE XVIII. SEVERABILITY AND SAVINGS CLAUSE…………………………………………………………………………………. 15

ARTICLE XIX. SHOP STEWARD………………………………………………………………………………………………………………… 15

ARTICLE XX. VIOLATION OF AGREEMENT…………………………………………………………………………………………………. 16

ARTICLE XXI. AUDITING…………………………………………………………………………………………………………………………. 17

ARTICLE XXII. LABOR MANAGEMENT COMMITTEE…………………………………………………………………………………… 18

ARTICLE XXIII. WORK AND SAFETY METHODS ………………………………………………………………………………………….. 18

ARTICLE XXIV. CORPORATE PAPERS ……………………………………………………………………………………………………….. 19

ARTICLE XXV. INSURANCE AND OTHER COVERAGE ………………………………………………………………………………….. 19

ARTICLE XXVI. WAGE and FRINGE GUARANTEE BONDS and CLIENT ESCROW ACCOUNT ……………………………….. 20

ARTICLE XXVII. MISCELLANEOUS ……………………………………………………………………………………………………………. 21

ARTICLE XXVIII. FAVORED NATIONS CLAUSE……………………………………………………………………………………………. 21

ARTICLE XXIX. LANGUAGE OF AGREEMENT …………………………………………………………………………………………….. 22

ARTICLE XXX. EARNED SICK TIME WAIVER ………………………………………………………………………………………………. 22

This AGREEMENT, made and entered into this 1st day of June, 2024, by and between THE INSULATION CONTRACTORS ASSOCIATION of New York City, Inc. (“Association” or “ICA”), as party of the first part and THE INTERNATIONAL ASSOCIATION OF HEAT AND FROST INSULATORS LOCAL NO. 12 OF NEW YORK CITY (“Union,” “Local No. 12”, or “Local 12”) as party of the second part. Wherever the words “Employers” or “Members of the Insulation Contractors Association” appear in the following Agreement, the said words shall be deemed to apply to the party of the first part to the extent such words are applicable.

Wherever the word “Employee”, “Member” or “Union Member” appears, it shall mean a person employed by an Employer under the terms of this Agreement.

ARTICLE I. TERRITORY

These provisions shall be binding upon each of the respective signers individually and as members of their respective organizations within the five (5) Boroughs of Greater New York, also within Nassau and Suffolk Counties, Long Island, and surrounding islands. The Employer further agrees that on all operations outside of the chartered territory of the Union, they will abide by the rates of pay, rules, and working conditions established by collective bargaining agreement between the local Insulation Contractors and the local union in that jurisdiction. Employers may send a Mechanic (Job foreman) to run the job. In the event of an insufficient supply of local labor in that territory, the Employer may send such additional Employees as may be necessary. Such Employees shall receive, in addition to transportation costs, the highest wage package of either Local 12 or the local they are sent to. This wage package is to include wages, board allowance, and all fringe benefits. All benefits shall be paid to the Local 12 fringe benefit funds (“Funds”).

ARTICLE II. EXCLUSIVE BARGAINING AGENT

1. The Employer recognizes Local No. 12 as the exclusive bargaining agent for Mechanics,

Apprentices, Newly Organized Members, and Pre-Apprentices who perform any of the duties as

prescribed in Article XIII hereof. Such Mechanics, Apprentices, Newly Organized Members and PreApprentices are in this agreement sometimes referred to as “Employees.”

2. Recognition standard acknowledged by the National Labor Relations Board 9A Language:

It is mutually agreed, understood, and acknowledged that the Heat and Frost Insulators and Allied Workers Local Union No. 12 is the sole and exclusive bargaining representative of all Employees covered by this Agreement. Upon the Union’s Request for recognition as majority representative, the Employer verified the evidence presented by the Union demonstrating that the Union represents an uncoerced majority of the Employer’s Insulation Employees. Based on this clear and unequivocal demonstration of majority support, the Employer recognizes the Union as the sole and exclusive bargaining representative and acknowledges that the Union represents a majority of employees employed to perform bargaining unit work.

ARTICLE III. CLASSIFICATIONS

1. Association Employers will be provided the first opportunity to employ all Newly Organized

Members by any method of the “bottom up” organizing policies. Organizing members is the responsibility

of the Business Manager, as noted in Article XXI Section 10 of the International Association of Heat and

Frost Insulators and Allied Workers Constitution and Bylaws. The primary objective of new “bottom up”

organizing is to capture non-union market share.

2. “Bottom up” organized members shall be tested by the Apprentice Coordinator for the proper

placement into the Union. Upon placement, the Newly Organized Member shall be assigned into the 2nd,

3rd, or 4th year apprentice class. When placed into the program, they may work alone on a job site. On

prevailing wage job sites, Newly Organized Members placed into the apprentice program may work

alone, but shall be paid the A Mechanic rate.

ARTICLE IV. HOURS OF WORK

1. The regular workday shall be seven (7) hours, with lunch period from 12:00 Noon to 12:30 p.m.

There shall be a flexible starting time between six (6:00) a.m. and eight (8:00) a.m. with the appropriate

time adjustment for lunch period. Once a job starts at that flexible time, it cannot revert back to the nonflexible start time. Employees who refuse to work the 6:00 a.m. flexible start time may be assigned to

another job site and this action will not be considered cause for dismissal. All work performed during

lunch period shall be paid for at a double (2x) time wage rate.

2. No Employer will condone or suggest working through lunch or permit early deliveries without

paying the Employee the appropriate Overtime Rate.

3. A shop shall not regularly work all its Employees less than the normal workweek unless it notifies

Local No. 12, Holidays being the exception.

4. At the discretion of the Employer, an eighth hour at straight time may be worked, when no more

than two (2) employees are on the job site, not to exceed two (2) total days for duration of project. Alleged

abuses of this provision will be resolved pursuant to Article IX below. These hours and any additional

overtime hours must be reported by the Employer and the Employee before they start the extra time

using the toll-free number 1-(877) UNION12 or 1-(877) 864-6612.

ARTICLE V. MANNING

1. Ratios of Mechanics and Apprentices:

(a) The ratio of Mechanics and Apprentices may equal, but not exceed one (1) Apprentice of any

class to one (1) Mechanic in the shop.

(b) Subject to the provisions set forth herein regarding certain work, the ratio of Mechanics and

Apprentices on public work may equal, but not exceed, one (1) Apprentice of any class to

three (3) Mechanic in the shop. In addition, each member of the Association shall be provided

the first opportunity to employ the new 1st year Apprentices when new classes start in the fall

of each year (provided that an Association member’s shop does not exceed the ratio of 1:1).

(c)

(i) On jobs other than PLAs, Industrial or Prevailing Wage, a Fourth (4th) year Apprentice

may work alone on a one (1) person job, or with another Fourth (4th) or Third (3rd)

year Apprentice on a two (2) person job, for a maximum of 45 man-days each.

(ii) First (1st) year Apprentices may not work alone, but must work in the company of a

Mechanic, except they may work with Fourth (4th) year Apprentices on Renovation

Plumbing Jobs in the outer boroughs of New York City, Nassau and Suffolk Counties,

excluding Industrial Facilities and Sewage Treatment Plants.

(iii) Second (2nd), Third (3rd) and Fourth (4th) year Apprentices may work alone on

Firestop and Fireseal jobs or when unloading and distributing materials.

(d) At the Business Manager’s discretion, Local 12 may approve “reverse mechanic to

apprentice ratio” on mixed trade job sites employing both union and non-union workers. This

will not apply to PLA or Prevailing Wage projects, with exceptions made under a “Schedule

B provision of a PLA.”

(e) Mechanics and Apprentices may be on jobs with a 1 to 1 ratio on Dormitories, Nursing

Homes/Assisted Living Facilities, Apartment Buildings, Two-Story and Garden Style

Apartments.

2. Supply of Labor

Local 12 agrees to supply qualified Heat and Frost Insulators to the Employers within a 72- hour period upon receipt of a written request.

3. Shop Superintendent:

(a) The Shop Superintendent may be a Local 12 member in accordance with Article XVI of the

Constitution and By-Laws of the International Association of Heat and Frost Insulators. All

Superintendents must have a letter from their Employer on file with the Union, which

designates them as a Superintendent, and the Union will forward a copy to the Trade Board

Attorney and Association Executive Director.

(b) A Superintendent represented by Local 12 will be able to do “walk-downs,” move personnel,

set up jobs, move material, work as an Employee as designated in Article XIII of this

Agreement, and must make contributions to the Funds and pay dues to the Union for a

minimum of 140 hours per month.

4. Owner Operator:

(a) For the purpose of this Agreement, Owner Operator means a member of Local 12 who owns

a portion of the signatory contractor, whether directly, or indirectly (such as through a spouse,

brother, etc.) or through a subterfuge.

(b) Persons deemed “Owner Operators”, including but not limited to new Employers, must

withdraw (i.e., cease working in the field/with tools) after twenty-four (24) months of functioning

as Owner Operators. Owner Operators functioning as Owner Operators shall be required to

receive from the Employer, wages (at the applicable rate as set forth in this Agreement), and

to make contributions into the Local 12 Benefits Funds (at the then-applicable contribution

amounts) for a minimum of 1,920 hours each calendar year, irrespective of the number of

hours they perform work on a job site. (Owner Operators who perform bargaining unit work in

excess of 40 hours per week in any workweek, must receive wages and pay benefits for all

hours worked.) After withdrawing as members of Local 12, Owner Operators, may continue

to contribute to the Local 12 Benefits Funds for a minimum of 1,920 hours per year pursuant

to an established participation agreement between the Owner Operator and the Local 12

Benefits Funds. Violations of this provision will be subject to review by the Joint Trade Board.

5. Disabled Employees:

Employers shall endeavor to give employment to disabled or partially incapacitated Employees wherever practicable.

ARTICLE VI. PRE-APPRENTICESHIP PROGRAM

1. There shall be a classification of worker called Pre-Apprentice. Candidates for the Pre-Apprentice

Program (“Program”) shall be drawn from City, State and National Direct Entry programs, traditional

organizing, and employer sponsorship, and subject to the guidelines set forth in Appendix B.

2. A Joint Pre-Apprentice Committee shall be convened consisting of any two (2) officers of Local

12 and two (2) ICA members for the purpose of: (i) evaluating, monitoring, and reviewing the needs of

the industry with respect to the utilization of Pre-Apprentices; (ii) recruiting Pre-Apprentices; and (iii)

evaluating candidates for the position of Pre-Apprentice.

3. Pre-Apprentices who complete 1,500 hours of working time in the Program, shall be considered

a Second (2nd) tier Pre-Apprentice and shall be paid in accordance with the Second (2nd) tier PreApprentice wage scale as set forth herein. After working 1,500 hours in the Program, a Pre-Apprentice

may also apply for the next regularly scheduled first (1st) year apprentice class in the Local 12 Apprentice

Program. Qualified Pre-Apprentice applicants may be awarded between two (2) to ten (10) points for

each year of their trade-related experience in the Program. Qualified Pre-Apprentices may also be

awarded up to five (5) points for each year of employment with a sponsoring company. Pre-Apprentices

not accepted into the Local 12 Apprentice Program may continue their participation in the Program as a

second (2nd) tier Pre-Apprentice.

4. To complete the Program, a Pre-Apprentice must meet one of the following requirements by June

1st of the second anniversary of the date on which the Pre-Apprentice began the Program: (i) work a

total of 2,800 hours or (ii) work an average of 120 hours each month. Pre-Apprentices who do not meet

one of the above requirements shall be terminated from employment and the Program or from the

Program if not currently employed unless the Joint Pre-Apprentice Committee determines such PreApprentice should be permitted to remain in the Program. The Joint Pre-Apprentice Committee shall

maintain the full authority and discretion to determine a Pre-Apprentice’s standing in the Program.

5. Upon completion of the Program, a Pre-Apprentice may apply for the next regularly scheduled

first (1st) year apprentice class in the Local 12 Apprentice Program. Such Pre-Apprentice may be

awarded a maximum of twenty (20) points for completing the Pre-Apprentice Program.

6. Association Employers may employ a Pre-Apprentice as their fourth (4th) employee, and may

employ one (1) Pre-Apprentice for every eight (8) employees (other entities may employ a Pre-Apprentice

as their sixth (6th) employee, and may employ one (1) Pre-Apprentice for every ten (10) employees).

The work rules applicable to Pre-Apprentices shall be identical to those applicable to First (1st) year

Apprentices, except that Pre-Apprentices may not work on Industrial projects or prevailing wage jobs.

Pre-Apprentices may work on PLA jobs only with the permission of the Local 12 Business Manager.

7. The total wage and benefit package for a First (1st) tier Pre-Apprentice shall be $26 per hour in

wages and $6 per hour in Welfare Fund contributions. Second (2nd) tier Pre-Apprentices shall be paid

$28 per hour in wages and $6 per hour in Welfare Fund contributions. If the Union and Employer Trustees

to the Welfare Fund agree that additional money is needed for the Welfare Fund for Second (2nd) tier

Pre-Apprentices, a mutually agreed-upon amount of the $2 wage increase shall be allocated to the

Welfare Fund. Pre-Apprentices shall not be eligible to participate in any other Local 12 fringe benefits.

8. Pre-Apprentices shall be subject to a probationary period of 90 days. A Pre-Apprentice may be

terminated with or without cause by their Sponsor for any legal, non-discriminatory reason during the

probationary period, which termination shall not be subject to the grievance and arbitration procedure.

The Sponsor shall promptly notify the Union in writing of that the Pre-Apprentice has been terminated.

9. Pre-Apprentices shall be drug tested within ninety (90) days of employment.

ARTICLE VII. AJEF

The Apprentice-Journeyman Educational Fund of Heat and Frost Insulators Local 12 was established by Agreement and Declaration of Trust (the “Trust Declaration”) dated July 1, 1991, for the purpose of collecting and administering the Employer Contributions in order to provide the benefits intended thereby for Employees covered by this Agreement. The required contribution to the Fund shall in all respects be made in the same manner and method as the other fringe benefit contributions provided for in this Agreement. Any Employer who enters into a joint venture with another Employer may not reassign any apprentice to the other’s payroll. Apprentices will not be loaned, traded or hired by any other employer once they have been assigned by the Business Manager.

ARTICLE VIII. HOLIDAYS AND OVERTIME

1. Wages and benefits for all labor in excess of the “regular” workday (7 hours unless otherwise

provided for in a PLA) is to be paid on a time and one-half basis Monday through Friday, and for all hours

worked on Saturdays. All time worked on Sundays and holidays will continue to be paid at a double (2x)

time rate on wages and benefits. The observed holidays are: New Year’s Day, Martin Luther King Day,

President’s Day, Memorial Day, Independence Day, Labor Day, Columbus Day, Veteran’s Day,

Thanksgiving Day, the day after Thanksgiving, and Christmas Day. No work shall be performed on Labor

Day, except in special cases of emergency and then only when triple (3x) time is paid.

2. When existing Holidays fall on a Saturday or Sunday, they will be observed on an alternate day

(either Friday or Monday) in accordance with the rules of the Federal Government.

3. Whenever Weekend Overtime is worked there shall be a minimum of five (5) hours worked at the

time and one-half (1.5x) time rate on all Saturdays, or the double (2x) rate on Sundays and Holidays. The

hours worked shall be between seven (7:00) a.m. and twelve (12:00) p.m. only, or by prior approval by

the Business Manager or Business Agent. Preference for overtime must be given to all Employees

currently employed by that employer, before being offered to any other Local 12-represented employee.

Union employees may not work weekend overtime for any Employer for which the Union employee did

not work during the preceding workweek if there are 15 or more members on the Local 12 Members-outof-work-list.

4. Preference for overtime shall be given to the Employee on the job working for that Employer.

5. On all job sites that go on overtime work for two (2) weeks, the third (3rd) week and thereafter all

overtime will be distributed equally between all Local 12 members on the job working for that Employer.

6. Refusal to work overtime will not be cause for dismissal.

ARTICLE IX. SETTLEMENT OF DISPUTES

1. There shall be a Joint Trade Board consisting of five (5) members of the Insulation Contractors

Association and five (5) members of the Union. It is expressly understood by and between the parties

hereto that the Union and the Association may, at their sole discretion, appoint individuals to the Joint

Trade Board who also serve as trustees of the Funds (“Fund Trustees”). Nothing herein shall preclude

such dual appointments and the parties expressly acknowledge and waive any and all actual or perceived

conflicts that may arise as a result of said appointments. The Joint Trade Board shall:

(a) Resolve grievances between the Union, any Employer as the parties to this Agreement.

A grievance is any question, complaint, alleged violation, or dispute arising out of and related to this

Agreement during its term, provided that neither a trade jurisdictional dispute (which must be resolved by

the New York Plan for the Settlement of Jurisdictional disputes) nor an alleged violation of the nostrike/no-lockout provision of this Agreement shall be considered a grievance; and

(b) investigate suspected violations of the terms and conditions of this Agreement by the

parties to this Agreement (other than grievances, as defined above), and for this purpose shall have the

right to summon, question, and examine any party to this Agreement, or their representatives or agents

and the Joint Trade Board shall further have the power to conduct a hearing to determine whether a

violation of this Agreement has occurred and issue an award to remedy such violations.

2. Except as set forth in Section 8 below, all grievances shall be filed, if at all, with the Co-Chairs of

the Joint Trade Board within thirty (30) days after the date on which the grieving party became sufficiently

aware of the facts and circumstances constituting the grievance or should have become sufficiently aware

with reasonable diligence.

3. Except as set forth in Section 8 below, all matters subject to the jurisdiction of the Joint Trade

Board, including grievances, shall be resolved without any strike, work stoppage, slowdown, lockout or

other disruption of work.

4. The Union is required to report all alleged contract violations to the Co-Chairs of the Joint Trade

Board, who shall promptly notify the Union and the Association, in writing, of such report, including all

available details concerning the alleged violation.

5. The Joint Trade Board shall be governed by the following procedures:

(a) The Co-Chairman of the Joint Trade Board shall convene a meeting of the Joint Trade

Board upon: (i) the written request of the Union or the Association, to investigate suspected violations of

the Agreement by the parties to this agreement, (ii) the submission of a grievance, or (iii) when it deems

necessary, to fulfill its obligations under this provision. If such meeting is convened on the basis of a

written request or submission of a grievance, it shall be scheduled within five (5) business days of such

written request or submission of such grievance. The Union and the Association shall be notified in writing

of any Joint Trade Board meeting, which shall state the purpose of the meeting.

(b) Six (6) shall constitute a quorum, three (3) from each side; neither side shall cast more

ballots than the other.

members of the Joint Trade Board present at a meeting or hearing.

(d) It shall require a majority vote to carry any question.

(e) The Joint Trade Board shall have the power to issue a written award to:

(i) remedy any breach of this Agreement, other than violations of the no-strike/nolockout provisions of this Agreement and alleged misassignment of work constituting a trade jurisdictional

dispute;

(ii) to resolve any grievance, including by requiring the payment of: (1) back pay; (2)

fringe benefit contributions due and owing to the Funds, plus attendant interest, liquidated damages,

attorneys’ and auditors’ fees and costs, Joint Trade Board expenses of $2,500 and court costs; or (3)

dues owed to the IIPF, or the Union, plus attendant interest, liquidated damages, attorneys’ and auditors’

fees and costs, Joint Trade Board expenses of $2,500 and court costs; or

(iii) requiring any party to this Agreement to take, or cease, any action or conduct.

(f) Such award shall be final and binding on the parties involved, and any party may resort to

a court of appropriate jurisdiction to obtain relief from, or to enforce such award.

6. Arbitration:

(a) Except as set forth in Section 8 below, the Joint Trade Board may elect in its sole

discretion, by majority vote, to refer a matter to arbitration, rather than conduct a hearing under the terms

of this Agreement. The Employer shall have the right to select arbitration in lieu of appearing before the

Joint Trade Board and must so notify the Joint Trade Board via regular and certified mail within ten (10)

days of receipt of a Joint Trade Board demand.

(b) If the Joint Trade Board fails to resolve any matter before it (by issuing a written decision

and order) within fifteen (15) calendar days of a Joint Trade Board meeting, or if any vote of the Joint

Trade Board results in a deadlock (or no majority is achieved), either the Union or the Association or any

Employer may initiate arbitration within five (5) days after the fifteen day resolution period or failed vote,

as the case may be.

Maher, who shall serve as the Impartial Arbitrator.

(d) If the matter pending before the Arbitrator is a grievance, the Arbitrator shall promptly issue

a written decision and order, either denying or affirming the grievance and, if applicable, directing an

appropriate award consistent with this Article.

(e) If the matter pending before the Arbitrator concerns a suspected violation of this

Agreement, the Arbitrator shall promptly issue a written decision and order, either denying or affirming

the suspected violation and, direct an appropriate remedy consistent with this Article.

(f) Any decision and order of the Arbitrator shall be binding upon all parties. The Arbitrator

shall have all the power to hear and determine the matter as provided in this Agreement, including without

limitation, the power to order the payment of contributions, dues, interest, liquidated damages, attorneys’

and auditors’ fees, the costs and the fees and expenses of the arbitration.

(g) The Arbitrator’s award shall be final and binding on the parties involved, and any party

may resort to a court of appropriate jurisdiction to obtain relief from, or to enforce such award.

7. Should an Employer fail to comply with the Decision and Award issued by the Arbitrator or the

Joint Trade Board, the Local 12 Business Manager may remove the workers from the Employer until the

Employer has satisfied the judgment or decision issued by the Joint Trade Board or the Arbitrator

pursuant to this Article. Also, a proceeding to confirm the Decision and Award may be filed in New York

State Supreme Court, Nassau County, or in any other court of competent jurisdiction.

8. Grievances between the Association and the Union will proceed directly to arbitration under the

arbitration provisions of this Agreement.

ARTICLE X. SUBCONTRACTING

Each Employer recognizes the Union’s desire to retain all work regularly performed for the Employer and the Union recognizes the Employer’s needs to maintain an efficient operation; therefore, each Employer will continue to use bargaining unit Employees and not subcontract that work described in Article XIII that has been traditionally and regularly performed by its Employees. The parties further agree that application of all new thermal insulation that may be a replacement for/or in addition to materials now being used are recognized as legitimate claims of the trade of Local 12. The Union agrees not to contract, subcontract or estimate on work, nor allow its membership to do so, nor act in any trade capacity other than that of workman with the exception described in Article V of this Agreement. It is also agreed that no member of a firm or officer of a corporation, or their representative or agent, shall execute any part of the work of application of materials.

For the preservation of work opportunities of Insulators, within the collective bargaining unit, each Employer within the collective bargaining unit agrees not to subcontract to any person, firm, corporation or joint venture which is not in a contractual relationship with the Union, any item of work described in this Agreement, except that each Employer shall have the right to subcontract with any other Employer with a signed CBA with Local 12 for any work covered by this Agreement. All the work described in this “No Subcontracting Clause” shall be performed by Insulators and/or Apprentices within the bargaining unit covered by this Agreement.

ARTICLE XI. PAY RATES AND PROCEDURES

1. Pay Rates

(a) Mechanic Rate: The Employer agrees to pay “A Mechanics” on all work at the rates set

forth in Appendix A (“A Mechanic Total Package”). There shall be a $1.50 increase to the then in effect

rate effective June 1, 2024, a $1.50 increase effective June 1, 2025, a $2.50 increase effective June 1,

2026, and a $2.50 increase effective June 1, 2027, to be allocated by the Union subject to the terms of

this Agreement.

(b) Effective June 1, 2024, Apprentices shall be paid 45%, 55%, 65% and 75% of the A

Mechanic’s Total Package for the first (1st), second (2nd), third (3rd), and fourth (4th) years of class

respectively.

rate plus fifteen percent (15%) of the regular straight time rate wage and benefit premium. Double time

(2x) will apply on Sundays or Holidays. Time and one-half shall apply on Saturdays. Employees working

day shifts are not eligible. An Employer must notify the Union by fax or telephone, and an Employee must

notify the Union by the toll-free number 877-864-6612 or 877-UNION12.

(d) All contractors must provide to the Union a notice of layoff, on an official form provided by

the Union, within twenty-four (24) hours of the layoff of an employee.

2. Until the beginning of the week ending Sunday, January 7, 2018, or a date that is practical and

feasible to be determined by the Union and the ICA, each employer shall pay (except expenses) the

applicable amount prescribed in Article XI to the Trustees of the Heat and Frost Insulators Local 12

Funds:

• One (1) check made payable to the Heat and Frost Insulators Local 12 Benefit Funds Operating

Account, for the total amount due to the Welfare Fund of Heat and Frost Insulators Local 12, The

Pension Fund of Heat and Frost Insulators Local 12, The Vacation Fund of Heat and Frost

Insulators Local 12, The Annuity Fund of Heat and Frost Insulators Local 12 and the Apprentice

Journeyworker Education Fund (AJEF) of Heat and Frost Insulators Local 12;

• One (1) check made payable to the Local 12 General Fund for the total amount due for Working

Assessment, International Assessment Fund, Market Recovery Fund and Political Action

Committee Fund, and;

• One (1) check made payable to the Insulation Industry Promotional Fund (“IIPF”) for the total

contribution amount due.

All Benefits shall be paid to the Funds’ office.

3. Effective the beginning the week ending Sunday, January 7, 2018, or a date that is practical and

feasible to be determined by the Union and the Association, all employers shall remit payments to the

Funds’ office using I-Remit software. Employers may voluntarily begin using I-Remit prior to this date by

contacting the Funds’ office.

4. Job Foreman with nine (9) or more Employees shall receive a minimum of one (1) additional hour

at the straight-time rate in Wages and Benefits per day.

5. Signatory Employers shall remit monthly payments as follows: All payments due the Funds, the

Union, and the IIPF must be made monthly by the Employer. Fund(s) contributions shall be due no later

than 1:00 p.m. on the fifteenth day,or the first business day thereafter that the Funds’ office is open for

business, of the second month following the month in which the benefits payments accrued (“Due Date”).

For example, contributions for hours worked in January would be due on March 15. An Employer shall

be declared delinquent of payment to the Funds, the IIPF, and the Union if payment is received after 1:00

p.m. on the Due Date, and shall be assessed a 5% late fee for each month the required payments are

not made. Partial payments will be accepted, but the balance will be regarded as delinquent and

assessed a 5% late fee. Employers shall report Fund payments to the Fund Office monthly with payment.

6. The Employer shall be assessed interest on any outstanding monies due at the rate of 18% per

annum, with a minimum interest payment of $100.00 per day, retroactive to the Due Date. This schedule

will be provided by the Fund Office detailing the total payment required inclusive of interest for a period

of 30 days.

7. The day following notification to the Union by the Funds that contributions owed were not paid,

the Union shall notify the Employer that, the following day, no Local 12-represented employees shall be

permitted to work on any job/project that the Employer has within the jurisdiction of Local 12 until all owed

contributions are paid, with interest and penalties, if any. Additionally, all Employees shall be paid lost

wages before being permitted to return to work for that Employer. Such payment shall be made by the

delinquent Employer and shall be limited to two (2) days’ pay. The Co-Chairmen of the Funds shall be

notified of such action.

8. The Funds’ Office shall notify the Employer’s bonding company that the Employer is in default if

all owed contributions are not made by the last day of the month in which the contributions are due. For

example, notification would occur on March 31 for contributions accrued in January and due on March

15.

9. Each Employer will furnish a monthly report of the Employers contributions to the Funds’ Manager

no later than the “Due Date.” Dues check-off reports are due on a weekly basis. The Fund Office shall

send the Employer whose report is delinquent a letter advising him of his delinquency. If the report is not

furnished within ten (10) days of the date of the letter, the Union shall have the right to send in auditors

to make the summary reports, and the cost of these audits are borne by the delinquent-reporting

Employer.

10. Each Employer shall be bound by the terms and conditions of the IIPF and the Agreement and

Declaration by and between the Building and Construction Trades Council of Greater New York, the

Building Trades Employer’s Association of the City of New York, and the General Contractors Association

of New York Inc. creating the New York Building and Construction Industry Board of Urban Affairs Fund

and all By-Laws adopted to regulate the Fund.

11. The Union has the right to reallocate contribution amounts as increases or decreases among all

Funds. However, the Union and Association must agree to any and all reallocation that would decrease

the then existing contribution levels of the Pension Fund, Welfare Fund and/or the AJEF before such

reallocation can take effect. The Union has the right to allocate contribution amount increases among

any of the Funds, without the approval of the Association.

12. The Trustees of the Welfare Fund and the Trustees of the Pension Fund are hereby authorized

to allocate irrevocably from time to time to the Pension Fund such portion of the contribution to the

Welfare Fund as such Trustees may determine is necessary to provide for the Pension benefit program

adopted by the Trustees of the Pension Fund. The various funds shall provide benefits to those officers,

business agents, and Employees of the Union and of the various Funds, for whose benefit the Union or

the Funds shall pay Employer Contributions to the Funds in the same amounts as are contributed by

Employers on the wages of Employees working a full week.

13. The workweek shall commence on Monday and end on Sunday 12:00 a.m. midnight and all

mailings of checks shall be postmarked no later than 12:00 p.m. noon, Tuesday following. In cases where

the checks are received late, the Employer was is in violation by not mailing or hand-delivering the check

within the prescribed time and/or if the check “bounces”, the Employer shall be accessed a penalty

imposed of $100.00 dollars and/or for the first occurrence to each member affected: $250.00 2nd, $500.00

3rd, in addition to the penalty of one (1) day’s waiting time. When holidays fall on Monday or Tuesday, the

Employer shall mail checks no later than Wednesday 12:00 p.m. noon.

14. Any Union member shall be entitled to request assistance from the Employer in the event they

have difficulty cashing their payroll check or if they have problems receiving a payroll check in the mail.

Such requests shall not be deemed grounds for dismissal. No Employer shall use personal checks to pay

any Union Member for any reason. Every Employer must use their Insulation Contractor Payroll Checks;

any Employer not doing so will be subject to a fine of one thousand and five hundred dollars ($1500.00)

or three (3x) times the infraction whichever is greater.

15. All job sites with six (6) or more Employees, checks will be delivered on the job site by the end of

the regular workday, on Wednesday.

16. The Trade Board shall have the right to prohibit metered mail.

17. Pay stubs or envelopes shall list the following: Overtime hours, single time (1x) hours, gross

wages, expenses, Federal Tax, State Tax, FICA, Disability, Vacation Fund, Union Dues, and show the

month, day and year. Employers found to be habitual offenders in late mailing of checks shall be brought

before the Joint Trade Board. The Joint Trade Board may then direct these Employers to deliver the

checks to the job sites. Any Employer issuing a bounced check for wages or contributions due to the

Funds, within this Agreement, will be charged one hundred dollars ($100) plus bank fees, if an Employer

bounces a check a second time within the contract period, the Employer must make all future payments

by Certified Bank Check.

18. If any Employee is laid off during the workweek, he shall be paid by check on the job site. If

discharged for cause, a check will be sent as per regular payroll cycle. Failing to be paid, the Employee

will be entitled one (1) day waiting time.

19. An Employee must be notified no later than thirty (30) minutes prior to the end of any workday

when terminated or termination should be effective at time of notification. Conversely, the Employee must

notify the Employer no later than 12:00 p.m. noon on the day he is terminating except where there are

extenuating circumstances. Employees who are absent from a job site between 8:00 a.m. and 12:00 p.m.

noon and between 12:30 p.m. and 3:30 p.m. shall be docked for time absent. Any layoff by the Employer

will require the Employer to notify the Union with a layoff slip and he must also supply the member with

a layoff slip. The slip shall contain the reason for the layoff. Employers shall notify employees of

assignments for job sites not later than 6:00 p.m. for the next workday.

20. Apprentices shall not be eligible for the mechanic’s examination until after having worked for four

(4) years in the trade, in accordance with the Local 12 AJEF Apprenticeship Standards.

21. Employees directed by the Employer to report to a job or shop, who fail to be given employment,

shall be paid two (2) hours show up time plus zone expenses. Show up time on Saturday, Sunday or

Holidays shall be paid at the double-time (2x) rate plus zone expenses. In order to qualify for two (2)

hour’s show-up time the Employees are required to stay on the job for two (2) hours if requested by the

shop.

22. There shall be a one ($1.00) dollar per hour contribution to the IIPF for Association Members,

and a minimum contribution by every employer of $420.00 per month (irrespective of the hours worked)

except for “job site agreements” effective 7/01/14. Payments into the IIPF shall be made monthly. It is

understood that the one ($1.00) dollar per hour does not conflict with wage guidelines and is not part of

the wage package. Remittance of five (5) cents per hour will be allocated towards the Labor Management

Cooperative Trust (“LMCT”) and an additional five ($0.05) cents per hour submitted to the International

Apprentice and Training Fund.

23. The Employer agrees that, upon receipt in writing, it will deduct dues check off in the amount

prescribed by Local 12 from the Employee’s gross wages including the Vacation Fund, PAC Fund, and

International Assessment Fund. Such duly executed authorization shall be delivered by Local 12 to the

Employer and the Association and shall be in such form and content as is required by federal and state

law. Once the Union receives the dues check from the Employers, the Union agrees to indemnify and

hold harmless the Employer from any claims arising out of the deduction of dues check off.

24. Effective June 1, 2024, the Union shall allocate a portion of the wage and benefits package to the

Joint Labor Management Cooperative Trust of Heat and Frost Insulators Local 12 and Employers shall

remit such monthly contribution payments at the established rate. The Cooperative Trust shall be used

to administer a new Joint Labor Management Benefit Program, which shall replace the Market Recovery

Program, and Employers shall cease making payments to the Market Recovery Program.

ARTICLE XII. UNIFORM EXPENSE SYSTEM

Effective June 1, 2024, there shall be a daily uniform expense payment to Local 12 Members which shall be $12.50 per day worked.

Employers shall pay all reasonable expenses incurred by employees traveling from one job site to another in/during the same day.

Outside of Local 12’s jurisdiction within twenty-five (25) miles from Columbus Circle, expenses shall be ten ($10.00) dollars per workday minimum. Over twenty-five (25) mile expenses shall be ten dollars ($10.00) per workday minimum and when workers are boarding on jobs, they shall receive all transportation and boarding expenses expended. Original and terminal travel time to boarding job shall

be paid at the employee’s regular rate of pay which they would receive on jobs within Local 12’s jurisdiction.

ARTICLE XIII. JURISDICTION OF WORK

This Agreement covers the rates of pay, rules and working conditions of all Mechanics, Apprentices, Newly Organized Members and Pre-Apprentices covered by this Agreement, regardless of the location of their employment within the jurisdiction of Local 12, when they are engaged in the preparation, fabrication, alteration, application, erection, assembling, molding, spraying, pouring, mixing, hanging, adjusting, repairing, dismantling, reconditioning, maintenance, finishing and/or weatherproofing of cold or hot thermal and or acoustical insulation with such materials as may be specified when these materials are to be installed for thermal purposes in voids, or to create voids, or on either piping, fittings, valves, boilers, ducts, flues, tanks, vats, equipment, fire stops and seals (including but not limited to electrical fire stops), walls, ceilings, and beams, or any hot or cold surfaces for the purpose of thermal control. This is also to include all labor connected with the handling and distribution of all materials and equipment of job premises and all other such work that is within the jurisdiction of Local 12.

Both parties agree to be subject to the New York Plan for Settlement of Jurisdictional Disputes under the Building Trades Employers Association and the Building Trades Council of Greater New York.

ARTICLE XIV. EMPLOYMENT PRACTICES

Employees shall be considered “at work” for a shop from the time they accept employment and that they shall proceed to and execute said work in a faithful workmanlike manner and not quit same until after reasonable notice has been given to the Employer as defined in Article XVII.

On all jobs, the Foreman is to receive a written work order from the Employer detailing the scope of the work to be done. Where a work order is not furnished the work shall be installed according to the Local 12 Code of Workmanship.

Authorized shop personnel as noted in Article V, Section 6 shall be the only representatives of a shop to hire or lay off personnel. Since authorized shop personnel are assigned that responsibility, the person(s), name(s), and title(s) must be on file in the Local 12 Union Office prior to termination. Any layoff that takes place over the phone is deemed unauthorized.

ARTICLE XV. BONA FIDE SHOP

Local 12 shall have a permanent office address with telephone service, where their Business agent or authorized officer can be communicated with between eight (8:00) a.m. and three-thirty (3:30) p.m. each working day for purpose of answering inquiries and providing necessary service to the trade. A bona fide shop shall be an office with a telephone listing and name on the door where service to the trade shall be available between nine (9:00) a.m. and five (5:00) p.m. Effective January 7, 2018, all Employers are required to keep a functioning email address with the Local 12 Union office and with the Funds’ office.

ARTICLE XVI. PIECEWORK

Local 12 agrees that there shall be no limitations or restrictions placed upon the individual working efforts of the Employees. The Employer agrees that there will be no piecework of any kind, with respect to paid by the foot, square foot, roll or section. Complaints arising from inferior workmanship shall be referred to the Joint Trade Board and all found contributing to it penalized.

ARTICLE XVII. DURATION AND TERMINATION

This Agreement shall begin June 1 , 2024, and remain in full force and effect until midnight of May 31, 2028. Unless written notice is given by either the Union or the Employer to the other at least three (3) months prior to May 31, 2028, of a desire to change or terminate this Agreement, the Agreement shall continue in effect for an additional year. The Agreement shall then remain in effect from year to year thereafter subject to termination at the expiration of any such contract year upon written notice by Certified Mail/Return Receipt Requested, given by the Union or the Employer to the other at least four (4) months before the contract year expires. Any such notice provided for in this Article, whether specifying a desire to terminate or change at the end of the current contract year shall have the effect of terminating this Agreement at such time. In the event of an economic collapse of the construction market within Local 12’s jurisdiction, Local 12 and the Association reserve the right to open this Agreement once during a three year period, if mutually agreed that it would benefit the industry.

ARTICLE XVIII. SEVERABILITY AND SAVINGS CLAUSE

Any portion of this Agreement found to be in violation of existing Federal or State law shall become inoperative and the remainder of the Agreement shall continue in full force and effect. If any portion of this Agreement shall become inoperative, then the parties will negotiate in good faith to address the provision that is inoperative (and only that provision).

ARTICLE XIX. SHOP STEWARD

1. A job steward shall be a working Employee selected from the employees on the job site. The

Business Agent or the Business Manager shall appoint him. The Employer agrees to allow the Steward

on the job site with six (6) or more men a reasonable amount of time for the performance of his duties.

This time shall not exceed one (1) hour per day.

2. The Employer shall assign overtime to the job Steward when two (2) or more Employees are

required for such overtime work on jobs with six (6) Employees or more. The job Steward once placed

shall be the second (2nd) to last man on the job.

3. For each month commenced within six months after an Employer first becomes signatory to this

Agreement, the second employee on the job shall be a shop steward appointed by the union from the

long term unemployed unemployment list. The shop steward appointed under this provision shall be the

last employee laid off at the job site. If all employees are laid off, the first employee rehired shall be the

shop steward appointed by the union under this provision (or, if unavailable, a substitute shop steward

appointed by the union from the long-term unemployment list). The employment obligations shall remain

in effect until the shop steward is employed at the job site for no less than 70 hours per month for a period

of six (6) continuous months. Local 12 reserves the sole right to replace a member for any reason.

4. When the Union or the Association believes an Employer is in violation of this Agreement, the

Union or Association will contact the Shop Steward Committee which shall consist of two (2) members

from the Association, and two (2) representatives of the Union, to decide whether the placement of a

shop Steward(s) by the Union is warranted. This Committee will schedule a meeting within two (2)

working days of the complaint.

5. Examples of some violations of this Agreement, not inclusive, will be described in the minutes

and will constitute the intent of this section. If the Shop Steward Committee agrees, the Union will appoint

a Shop Steward who shall be employed by the Contractor regardless of the number of employees in the

shop who shall be employed by the Contractor. The Shop Steward shall be a working Insulator who shall

act on behalf of the interests of the Union and whose duties shall not interfere with the work he is

employed to perform by his employer. The Union will have the right to so designate on any of said

contractor’s jobs for a minimum of three (3) months from the time the permission is granted by the Shop

Steward Committee and is subject to renewal by the Shop Steward Committee. The Shop Steward will

be the second (2nd) to last Local 12 member employed by the shop. When the Employer of a Shop

Steward has any overtime, the Shop Steward must be included in the overtime.

6. If no agreement is reached by the Shop Steward Committee so designated to address the

placement of Stewards, the Union’s or Association’s Contractor request to appoint Shop Steward(s), will

be forwarded to the Joint Trade Board for decision. The meeting of the Joint Trade Board shall take place

within fourteen (14) days of the grievance.

7. Each employer agrees that on job sites with two (2) or more Local 12 Employers, the Shop

Steward Committee will decide whether the placement of a job site Steward is warranted. When so

decided the Committee will designate which Employer will receive the job steward. When the job site has

any insulation work to be performed on overtime, the job steward will work for the Employer performing

the overtime. The job steward will be the second (2nd) to last Local 12 member on the job site.

8. When there is a seventh (7th) person (mechanic) on a Multi-Employer job site, there shall be a

Shop Steward assigned to the project. The Member will be selected by the Business Manager or

Business Agent of the territory. The Employer may request a transfer of the Shop Steward to another job

site in cases of business necessity and the Union retains the right to assign another Shop Steward when

the transfer is approved.

ARTICLE XX. VIOLATION OF AGREEMENT

1. In order to protect and preserve for the Employees covered by this Agreement all work heretofore

performed by them, and in order to prevent any device or subterfuge to avoid the protection and

preservation of such work, it is hereby agreed as follows: If and when the Employer shall perform any onsite construction work of the type covered by this Agreement under its own name or under the name of

another, as a corporation, company, partnership, or any other business entity, including a joint venture,

wherein the Employer, through its officers, directors, partners, or stockholders, exercises either directly

or indirectly, any management, control or ownership, the terms and conditions of this Agreement shall be

applicable to all such work.

2. All charges of violations of any paragraph of any section of this Agreement shall be considered

as a dispute and shall be processed in accordance with the provisions of this Agreement covering the

procedure for the handling of grievances and the final and binding resolution of disputes. As a remedy

for violations of this Article, the Arbitrator (or arbitral body) provided in this Agreement is empowered, at

the request of the Union, to require an Employer to:

(a) pay to affected Employees covered by this Agreement, including registered applicants

for employment, the equivalent of wages lost by such Employees as a result of the

violations, and

(b) pay into the affected Funds established under this Agreement any delinquent

contributions to such Funds which have resulted from violations, plus interest, liquidated

damages, attorneys’ and auditors’ fees, and costs. Provision for this remedy is available

to the Union for a violation of this section; nor does it make the same or other remedies

unavailable to the Union for violations of other sections or other articles of this

Agreement.

3. If, as a result of violations of this Section, it is necessary for the Union and/or the Funds’ Trustees

to institute court action to enforce an award rendered in accordance with section (b) above, or to defend

an action which seeks to vacate such award, the Employer shall pay any accountant’s, auditor and

attorney’s fees incurred by the Union and/or Fund Trustees, as well as costs of the litigation, which have

resulted from the bringing of such court action.

4. Employers found guilty of conspiring with Union members to violate this Agreement must also pay

a sum equivalent to the fines imposed on the Union member, in addition to Joint Trade Board and/or

arbitration costs including fines, penalties, liquidated damages, audit, accountant and attorneys’ fees,

and be subjected to an annual audit for a mandatory period of no less than three (3) years.

5. If the Audit Subcommittee determines that an Employer willfully violated this Agreement, including

willfully failing to make required payments and/or contributions, the Employer must pay for the cost of the

audit, and will be put on a yearly audit cycle and must pay for the costs of all audits for the following two

years. The audit costs shall include all costs pertaining to the Fund(s) including but not limited to, legal,

accounting, and Funds’ office personnel costs and any other cost that may arise during the process of

the audit and the negotiations that follow when an Employer contests the costs. If a settlement is reached,

these costs cannot be waived as part of the settlement.

ARTICLE XXI. AUDITING

1. The Employer shall make available to the auditors of the Funds provided for in this Agreement,

within ten (10) days after written notice is received from the auditors, any and all records which, in the

discretion of the Funds’ Trustees, may be required in connection with the sound and efficient operation

of the Funds or to determine whether the Employer has made the contributions it is obligated to make

pursuant to this Agreement. The Employer shall also make available any and all records of any affiliated

or related company, for inspection and audit, which in the discretion of the Funds’ Trustees may be

required to determine whether the Employer has made the contributions it is obligated to make pursuant

to this Agreement. Failure of the Employer to make records available to the auditor shall constitute a

breach of this Agreement. Upon ten (10) days written notice to the Employer, the Union, notwithstanding

anything to the contrary contained in this Agreement, shall have the right to strike and remove its

members from the job or jobs of such Employer until the Employer shall make the records available to

the auditors and also pays the Employees who are on strike their regular rate of pay for all time lost during

such strike.

2. If, after the service of a ten (10) day demand to comply with the above audit procedures and/or to

pay a delinquency reported in an audit, no response or payment is received, Funds’ Counsel may:

(a) Commence arbitration proceedings to collect the full amount of the contribution

delinquency pursuant to Article IX of this Agreement. If the Employer fails to respond or appear/participate

in the arbitration, the Arbitrator shall issue an award against the delinquent Employer that will include,

where appropriate, the delinquent contributions due to the Funds, arbitration costs, expenses, and

penalties of twenty-five hundred dollars ($2,500.00), interest at eighteen percent (18%) per annum,

liquidated damages of twenty percent (20%) of the delinquent contributions, reasonable attorneys’ fees,

and actual court costs and audit costs. If the Employer failed to submit to an audit, the Arbitrator may

direct the Employer to submit to an audit and, in addition, may include in the Award, additional fees and

expenses, including, without limitation, reasonable attorneys’ fees, costs associated with attempting the

audit and the arbitration costs, expenses and penalties described above; or

(b) Serve a Joint Trade Board Demand and Hearing Notice on the Employer, indicating the

amount of the contribution delinquency and the time, date and place of the hearing. Upon written request

of no less than three (3) days prior to a hearing, a one-time postponement may be granted by the Fund(s)

attorneys for a maximum of 30 calendar days. If the Employer fails to respond or appear/participate at

the Joint Trade Board Hearing, the Joint Trade Board shall issue a decision and award against the

delinquent Employer that will include where appropriate the delinquent contributions due to the Funds,

the delinquent dues due to the Union and the IIPF, Joint Trade Board costs, expenses and penalties of

twenty-five hundred dollars ($2,500.00), interest at eighteen percent (18%) per annum of the delinquent

contributions and dues, liquidated damages of twenty percent (20%) of the delinquent contributions and

dues, reasonable attorneys’ fees, and actual court costs and audit costs. The Joint Trade Board will

cause the Decision and Award to be served on the Employer with a demand letter, giving the Employer

ten (10) days to comply with the Decision and Award. If the Employer failed to submit to an audit, the

Joint Trade Board may direct the Employer to submit to an audit and, in addition, may include in its

Decision and Award additional fees and expenses as decided by the Joint Trade Board, including, without

limitation, reasonable attorneys’ fees, costs associated with attempting the audit and Joint Trade Board

expenses as above.

binding on the Employer. Should the employer fail to comply with the Decision and Award issued by the

Arbitrator or the Joint Trade Board, the Local 12 Business Manager may remove the workers from the

delinquent Employer until the delinquent Employer makes full payment of all amounts due and owing

under the Decision and Award. Also, a proceeding to confirm the Decision and Award to a Judgment may

be filed in New York State Supreme Court, Nassau County or in any other court of competent jurisdiction.

ARTICLE XXII. LABOR MANAGEMENT COMMITTEE

• There shall be a Labor Management Committee, consisting of two (2) Local 12 representatives

and two (2) ICA or Independent Contractors, which shall meet at least quarterly to discuss ideas

for the betterment of the industry..

ARTICLE XXIII. WORK AND SAFETY METHODS

1. An Employer under this Agreement shall be permitted to perform drug testing (screening) when

such a duty to do so is imposed by law or a specific bid requirement of a utility as defined in the Public

Service Law of the State of New York and then only in strict compliance with said law in particular as to

procedures and safeguards of individual rights and after notice to the Union. There shall be no strike or

lockout in the event that the parties do not reach agreement on the reopening.

2. Both signers agree to execute their work in accordance with the Code of Workmanship as

established by the International Association of Heat and Frost Insulators and Allied Workers Local 12.

3. The Employers agree to furnish lockers or tool boxes, and adequate supplies of ladders,

scaffolding, suitable gloves, staple guns, power tools, pop rivet guns, mechanical lifts, and necessary

equipment for the proper progress of the job must be made available at the job site by the Employer.

Employers shall also supply saws, knives etc., for the proper application of foam glass and all tools as

needed when working with stainless steel. In case of fire on the job site, Employers shall be held

responsible for the loss of tools and clothing caused by the fire except that the first ten dollars ($10.00)

of such loss shall not be reimbursable. All claims shall be substantiated. Contested claims shall be

submitted to the Trade Board for adjudication. Failing to supply lockers or toolboxes the Employer will be

held responsible for the loss of any tools or clothing, and the Employee shall be reimbursed for such loss

not later than thirty (30) days after occurrence.

The Employer will furnish a Shanty or Trailer with heat and electricity for projects that require five (5) or more employees when the project is expected to continue for a minimum duration of sixty (60) calendar days, so workers can change into and out of their work clothes.

The Employer shall furnish sufficient and non-toxic hand cleaning materials to the Employees.

The Employer will supply men with mixing pails not over a twelve (12) quart capacity.

It is agreed that the Employers will issue to their Employees the respirators specified for use for Asbestos workers by the Research Team at Mt. Sinai Hospital such as:

• The Model R1040 Dust Demon Throwaway Respirator (single use) by the American Optical Co.

• Model 8710 Respirator by the 3M Co. (single use)

• Model 7165 Respirator by the Welsh Manufacturing Co. (single use).

These masks are for use in locations and under the job conditions as prescribed by OSHA.

4. The shipment of insulating cement in bags or containers shall not exceed fifty (50) pounds. Any

materials over fifty (50) pounds shall have the required manpower for handling.

5. Safety and sanitary regulations as required by OSHA and shall be rigidly adhered to by both

parties to this Agreement.

6. The Employer shall supply all Employees with one (1) pair of coveralls, one (1) pair of footwear

on spray jobs using polyurethane or insulmastic where fifty-five (55) or more gallons is to be applied.

7. There is to be a minimum of two (2) Employees working together on site applying to all Buildings

and Facilities in the Industrial or Steam/Electric Power Generation Plants. No Employee shall be

permitted to work alone. Employees must be in close proximity to each other so that can either hear each

other or be in unobstructed sight of one another. This requirement shall also apply when work is

performed in hazardous conditions such as shafts, hung ceilings, tunnels, confined space crawl spaces,

hazardous roof jobs, and inside annulus spaces of tanks such as L.N.G. etc. and in addition anytime

elevations are twenty-five (25) feet or above. In addition to the above provisions the parties must adhere

to any and all OSHA or site-specific safety codes.

8. Where the Business Manager/Business Agent(s) has a serious concern over a safety issue, the

Business Manager has the right to demand that the Employer arrange to meet on the site within twentyfour (24) hours to review whether the particular area of a job site requires two (2) employees. If the

Employer disagrees with the Business Manager’s request for a second Employee, the particular kind of

work or area of the job believed to be dangerous will be shut down or, in the alternative, the Employer

may assign a second Employee, until the matter is resolved by expedited arbitration, as follows: the

matter will be referred to expedited arbitration as set forth herein solely on the issue of whether a job site

condition poses a serious risk to the safety of an Employee working alone such that a second Employee

is required. A hearing shall be held, and a decision rendered, as soon as possible but in no event more

than forty-eight (48) hours after the Business Manager declares the work or site unsafe for one Employee.

ARTICLE XXIV. CORPORATE PAPERS

All Employers must have corporation and or ownership papers on file with the Union. The Union will furnish copies to the Fund Office and the Fund Attorneys.

ARTICLE XXV. INSURANCE AND OTHER COVERAGE

The Employer shall carry Federal Social Security, Workmen’s Compensation Insurance, Unemployment Insurance and State Disability Insurance to cover each individual Employee. The Employer shall furnish a rider or Photostatic copies of all necessary Certificates of Insurance.

ARTICLE XXVI. WAGE and FRINGE GUARANTEE BONDS and CLIENT ESCROW ACCOUNT

1. The Employer shall furnish adequate proof of financial responsibility by maintaining a bond

deposited with the International Association of Heat and Frost Insulators and Allied Workers in

Washington or a proper wage and fringe guarantee bond (bond”), or cash equivalent, on file with the

Funds’ Office. Prior to signing the Collective Bargaining Agreement an Employer must have a Bond or

assets in the Local 12 Client Escrow Account (“C.E.A.”) in place in the following amounts:

2. Employers who have been obligated to make contributions to the funds for fewer than 5

consecutive prior years, shall be required to post bonds and/or deposit assets in the C.E.A. at one and

½ times (1.5x) the contractual amount.

3. Bond and C.E.A. amounts will be reviewed and adjusted annually, and will be based on the

average number of Employees listed on the Employer’s payroll reports for the preceding calendar year.

If the Employer’s manpower average decreases by the end of the year while maintaining the appropriate

amount of employees below the current bond limit, that Employer may request to have its bond or C.E.A.

requirement adjusted accordingly and the Audit Subcommittee may approve the request, in its discretion,

but only after the Employer has supplied the appropriate documentation to support its request (and such

request shall be made accordingly).

4. An Employer may submit a request to lower the amount of its bond requirement, provided a

satisfactory audit of the employer’s payroll records has been completed by the Funds’ Auditors within the

last thirty (30) days. If an audit has not been completed thirty (30) days prior to the request the Employer

must pay the Funds’ Auditors for the cost of the audit.

5. Based on hours paid during the pay period, the Local 12 Business Manager has the right to raise

the Employer’s current bond or C.E.A. amount to the next bond or C.E.A. level in order to prevent the

Employer from becoming overexposed to the Funds. The Fund Office will maintain copies of bonds and

records related to the Employer’s C.E.A. and all related records and will enforce the provisions of this

Article. The Employer shall have ninety (90) days to upgrade its bond or increase its C.E.A. deposit after

notification of a revised bond or C.E.A. amount, provided the shop is not delinquent in the payment of

contributions due to the Funds. Employers having an International bond shall secure an additional bond

or C.E.A. in the amount necessary to meet these requirements. Employers shall maintain the bond or

C.E.A. at the higher level until they comply with the provisions of sections 3 or 4 of this Article to have

the bond or C.E.A. reduced.

1 – 3 members employed- $40,000 bond or $35,000 in the C.E.A.;

4 – 6 members employed- $60,000 bond or $55,000 in the C.E.A.;

7 – 10 members employed- $85,000 bond or $65,000 in the C.E.A.;

11 – 15 members employed $110,000 bond or $90,000 in the C.E.A. ;

16 – 25 members employed- $140,000 bond or $120,000 in the C.E.A.

26 – 40 members employed- $180,000 bond or $150,000 in the C.E.A.;

41 + members employed- $250,000 bond

6. Any Employer appearing on the delinquent list for a third (3rd) time in a rolling 12 month period

must increase its bond or C.E.A. deposit amount to the next level. Once the Employer’s bond has

increased, the new bond period shall commence. Employers who are on the delinquent list six (6) or

more times in a rolling 12 month shall be required to maintain a bond or C.E.A. two levels up from the

level required for the number of employees employed by the Employer. Once the Employer’s bond has

increased, the new bond period shall commence. Employers may return to their original bond level when

they have been off of the delinquent list for _twelve (12)__ consecutive months from the start of the new

bond period.

7. Employers failing to post the required bond or C.E.A. will have Employees removed from the shop

until proper bond or C.E.A. is posted. Adjudication of any dispute related to an Employer’s failure to post

the required bond or make the required C.E.A. deposit will be resolved pursuant to Article IX of this

Agreement.

8. An Employer that withdraws from the industry, ceases to have an obligation to contribute to the

Funds becomes insolvent or ceases to do business shall maintain a bond or C.E.A. deposit until a final

audit of the Employer’s books and records is performed by the Funds’ Auditors and all monies due and

owing the Funds and/or Local 12, or any agreed settlement amount, plus any contractual fees and costs,

are paid in full.

ARTICLE XXVII. MISCELLANEOUS

1. International Maintenance Agreements will apply wherever applicable.

2. The Union shall not send Members to any Employer who is not a Collective Bargaining Agreement

signatory, and has not posted an appropriate bond, with the exception of a Job Agreement. The Union

shall furnish a listing of all Job Agreements including job locations and man hours, to the ICA Executive

Director.

3. Local 12 shall continue to operate the Market Recovery Program to satisfy any existing obligations

and to provide funding for jobs until such time that the Joint Labor Management Benefit Program is

established and operational. At such time, the Joint Labor Management Benefit Program will take over

the functions of the Market Recovery Program. The list of policies and procedures will be available from

the Local 12 Fund Office.

4. The Co- Chairman of the Board of Trustees shall be notified within five (5) business days when a

new Employer is signed by the Union. All newly signed Employers shall be required to attend a minimum

of one (1) Employer Training Session, to be held by the Insulation Contractors Association of Greater

New York. The Union will provide four (4) Union Orientation training classes by the Union Officers to all

newly organized members during their first year along with an additional four (4) Trade application

classes.

ARTICLE XXVIII. FAVORED NATIONS CLAUSE

1. In the event the Union shall grant or permit any entity engaged in performing work covered by this

Agreement more favorable terms or conditions than those provided for in this Agreement, then one or

more Employers covered by this Agreement may:

(a) Deem such more favorable terms or conditions to be part of this Agreement and/or;

(b) Require that the Union retroactively retract (from its inception) such more favorable terms

or conditions granted or permitted to such Employer, including the payment of additional wages and

benefit contributions if such more favorable term or condition concerned such payments or contributions.

This clause wll not apply to work performed under approved National Maintenance Agreements, General

President Agreements, or any other industry-wide agreements sanctioned by the BCTC (whether

covering single or multiple sites). This clause also shall not apply to the bonding or term provisions of any

Job Site Agreement (but shall apply to all other provisions). This clause also shall not apply to the wage

and benefit provisions of the Market Recovery Program or Joint Labor Management Benefit Program,

but shall apply to all other provisions.

ARTICLE XXIX. LANGUAGE OF AGREEMENT

The use of the masculine or feminine gender in this Agreement shall be construed as including both genders.

Any provision of the collective bargaining agreement that applies only to “ICA Members” shall not apply to any ICA Member who is not in good standing with the ICA pursuant to its by-laws. The ICA shall timely notify the Local 12 Office of ICA members who are not in good standing.

An owner-operator cannot be enrolled in the AJEF Program and any apprentice who accepts a managerial position with an employer must resign from the apprenticeship program or shall be terminated for failure to resign.

ARTICLE XXX. EARNED SICK TIME WAIVER

The provisions of the administrative code of the City of New York, Title 20, Chapter 8 (Earned Sick Time Act) and the New York State Paid Sick Leave Law, Article 6, Section 196-B in relation to the provision for sick time earned by employees covered by this Agreement, as well any state or federal sick time requirement permitting a waiver of statutory sick time, are expressly waived by the parties to this collective bargaining agreement because comparable benefits are already provided in this Agreement. Additionally, should any other municipality, county or other governmental agency adopt a law or regulation providing for paid sick time for employees covered by this Agreement, and such law or regulation permits the parties to elect a waiver of such paid sick leave, the parties agree that all such waivers are adopted and incorporated herein.

insulationcontractorsassociation

QUALITY • SAfETY • VALUE INNOVATION

For the Party of the first Part:

THE MEMBERS OF THE INSULATION CONTRACTOR ASSOCIATION OF NEW YORK CITY INC:

I.C.A.N.Y.C. INC.

229 SOUTH STREET

OYSTER BAY, NEW YORK 11771

TELE

For the Party of the Second Part:

THE INTERNATIONAL ASSOCIATION OF HEAT AND FROST INSULATORS

& ALLIED WORKERS LOCAL UNION NO. 12:

35-53 24th STREET, LONG ISLAND CITY, NEW YORK 11106 – 4416

TELE

FAX

APPENDIX A

MECHANIC	APPRENTICE
Straight Time
Wage Rate	$62.43	Fourth Year = 75%
Vacation*	$6.75	Third Year = 65%
International Assessment Fund	$0.28	Second Year = 55%
Building Fund	$1.50	First Year = 45%
PAC Fund	$0.05
Total Taxable Income	$71.01
International Assessment Fund	$0.28	PRE-APPRENTICE
Building Fund	$1.50
Dues Check Off	$3.55	Tier 2
Vacation*	$6.75	Wages = $28.00
PAC Fund	$0.05	Welfare Fund = $6.00
Total Deductions	$12.13
Tier 1
Welfare Fund	$16.25	Wages = $26.00
Annuity Fund	$10.35	Welfare Fund = $6.00
Pension Fund	$6.90
AJEF	$1.26
HRA	$1.30
Labor Management Cooperative Trust Fund	$0.70
Total Hourly Non-Taxable Fringes and Contributions	$36.76
TOTAL HOURLY PACKAGE	$107.77
Travel**	$1.79
* Contributions to the Vacation account should be treated as an addition to income and all consequent taxes and withholding should be deducted from employees’ wages.
** $1.79/Hr. up to a maximum of $12.50/Day; not subject to “doubling” when working weekends or holidays.
OVERTIME – All hours after the 7th hour, M-F, and all hours on Saturday are 1.5x straight time rate for wages and benefits. All hours on Sundays and Holidays is 2x straight time rate for wages and benefits.

Appendix B

LOCAL 12 PRE-APPRENTICE SPONSORSHIP GUIDELINES

When sponsoring a Pre-Apprentice all Local 12 contractors must provide the following information to the candidate BEFORE Submitting the Request form to the Committee.

(1) The sponsoring contractor of any candidate (“Sponsor”) must employ the candidate.

(2) The Sponsor must explain to the candidate the details and commitment of the Local 12 Pre-Apprenticeship Program, and make sure he or she has a full understanding of the program. (3) The Sponsor must make sure the candidate has a complete understanding of the pay rate. (4) The Sponsor and candidate must read and agree to the rules and regulations of the Local 12 Pre-Apprenticeship Program prior to approval. (5) The Sponsor shall be responsible to provide all candidates with all necessary site safety certifications and ensure the candidate is work ready.

(6) Once the candidate is approved and is work ready, the Union shall contact the candidate immediately and establish orientation.

(7) The candidate shall bring the Local 12 Rules and Regulations for the Pre-Apprentice Program for signature and all Safety Certifications to orientation.