Section A Health Benefit

The Employer will, during the life of the Agreement, maintain and contribute to the cost for the current hospitalization and medical program for employees regularly scheduled to work at least thirty (30) hours per week (1,560 hours per year). Employees regularly scheduled to work twenty (20) or more hours per week but less than thirty (30) hours per week are eligible for the hospitalization and medical program by paying the University the difference between the University's full contribution and the full-time equivalent cost (e.g. for an employee scheduled to work twenty (20) hours per week, the University will pay fifty percent [50%] of the specified contribution and the employee will pay fifty percent [50%]). If an employee elects not to pay the prorated contribution, the employee will not be covered for this benefit. Employees must complete and file application in accordance with the Employer's and the Administrators' regulations. The Employer's contribution to the health program for each bargaining unit member participating will be as follows:

2007-2008 average cost up to $9,747
2008-2009 average cost up to $10,400
2009-2010 average cost up to $11,128

If the average cost is less than the amounts specified above, the difference will be considered savings and accrue to the benefit of the bargaining unit members.  The total savings will be computed based on the average number of bargaining unit members covered during the health plan year.  Any savings accrued will be carried forward and applied to excess costs in subsequent years as specified below:

Any average cost among all covered employees exceeding the amount specified in 2007-2008 will be paid by the bargaining unit members up to a maximum of $1,200.  Any costs in excess of the maximum bargaining unit member contribution will be covered by the Employer.

Any net savings carried forward from 2007-2008 will be applied to any excess costs in 2008-2009.  Any costs in excess of the applied savings will be paid by active bargaining unit members up to a maximum of $1,300 (including any savings carried forward).  Any costs in excess of the applied savings and maximum bargaining unit member contribution will be covered by the Employer.

Any net savings carried forward from 2008-2009 will be applied to any excess costs in 2009-2010.  Any costs in excess of the applied savings will be paid by active bargaining unit members up to a maximum of $1,400 (including any savings carried forward).  Any costs in excess of applied savings and maximum bargaining unit member contribution will be covered by the Employer.

Any net savings remaining at the end of the 2009-2010 contract year will be distributed to active bargaining unit members in a manner specified by the Union.  Within thirty (30) days after the Employer has computed the savings, the bargaining unit will notify the Employer as to the method of distribution.  The method of distribution cannot include an increase in base salaries, since the savings is a one-time savings.

When calculating the average cost per year for the hospitalization and medical program, the Union agrees to include $2.50 per covered employee per year to help fund wellness activities of the Health Care/Wellness Committee.  Northern Michigan University also agrees to contribute $2.50 per covered employee per year for this purpose.

Average cost is defined as the total of claims or premiums, administrative fees, reinsurance, Employer’s share of FICA, and stop loss premiums divided by the average number of University employees covered during the health plan year. 

Section B Prescription Drug Card Program 

The Employer agrees to provide a Prescription Drug Card Program with the following co-pays:

                NMU Health Center -- $5 generic/$10 nongeneric
                Off Campus -- $10 generic/$20 nongeneric
                Mail order -- $10 generic/$20 nongeneric

Section C Dental Benefit

The Employer will contribute the full cost per bargaining unit member of a two‑person plan illustrative premium for bargaining unit members regularly scheduled to work at least thirty (30) hours per week (1,560 hours per year) for a defined dental plan for all participating bargaining unit members.  Employees regularly scheduled to work twenty (20) or more hours per week but less than thirty (30) hours per week are eligible for the dental program by paying the University the difference between the University's full contribution and the full-time equivalent cost (e.g. for an employee  scheduled to work twenty (20) hours per week, the University will pay fifty percent [50%] of the specified contribution and the employee will pay fifty percent [50%]).  If an employee elects not to pay the prorated contribution, the employee will not be covered for this benefit.  

Participation in the plan is optional for all eligible bargaining unit members.  Participation in the plan will become mandatory when the dental plan of any other University employee group becomes a mandatory participation plan unless an employee is currently covered by another dental plan and provides proof of such coverage to the Employer and/or insurance carrier. Payroll deductions will be deducted in advance for coverage for the following month.

The plan must maintain the level of participation of the employees on roll as determined by the carrier.

The Employer will assume the administrative costs necessary to collect deductions, to submit payments to the insurance carrier, to enroll employees, and to communicate with the insurance carrier regarding administration of the plan.

Section D Optical Benefit

The Employer will contribute the full cost per bargaining unit member of a family plan illustrative premium for eligible bargaining unit members for a defined optical plan for all participating bargaining unit members.  Employees regularly scheduled to work twenty (20) or more hours per week but less than thirty (30) hours per week are eligible for the optical program by paying the University the difference between the University's full contribution and the full-time equivalent cost (e.g. for an employee  scheduled to work twenty (20) hours per week, the University will pay fifty percent [50%] of the specified contribution and the employee will pay fifty percent [50%]).  If an employee elects not to pay the prorated contribution, the employee will not be covered for this benefit.

Participation in the plan is optional for all eligible bargaining unit members.  Participation in the plan will become mandatory when the optical plan of any other University employee group becomes a mandatory participation plan unless an employee is currently covered by another optical plan and provides proof of such coverage to the Employer and/or insurance carrier.

Payroll deductions will be deducted in advance for coverage for the following month.

The plan must maintain the level of participation of the employees on roll as determined by the carrier.

The Employer will assume the administrative costs necessary to collect deductions, to submit payments to the insurance carrier, to enroll employees, and to communicate with the insurance carrier regarding administration of the plan.

Section E Insurance Carrier Change

In the event that the Employer exercises its right to change carriers including third party administrators, the Employer agrees that the coverage of any new plan will be substantially equivalent or better than the present plan.

Section F       Flexible Spending Accounts

The Employer will establish flexible spending accounts and premium conversion plans for health, dental, and optical expenditures for insurance premiums and deductibles as allowable by law.

Section A Short-Term Disability

When sick leave and personal sick leave reserve have been exhausted, full-time employees who are eligible for disability coverage under the University's Long-Term Disability Insurance Program are covered by additional short-term insurance benefits as follows:

1. Upon receipt of satisfactory medical evidence of disability (inability to discharge regular duties), the Director of Human Resources will authorize payment of seventy-five percent (75%) of the employee's regular salary and all of the employee's fringe benefit payments. Employees will use accumulated and unused annual leave to make up the difference between the seventy-five percent (75%) short-term disability payment and full salary.

2. The benefits provided in the preceding paragraph will continue until the Long-Term Disability Insurance Program becomes effective, or until the employee recovers and resumes the employee's regular duties, or until the employee dies, but the benefits will in no event continue for a period longer than the first of the month following six (6) consecutive months of total disability.

3. An employee shall continue to accrue annual leave while using sick leave and personal sick leave reserve.

4. Once sick leave and personal sick leave reserve have been exhausted and the employee is placed on short-term disability, the employee shall cease to earn annual leave.

5. An employee who returns to work after having received short-term disability will be required to requalify for short-term disability benefits by working a period of twenty (20) work days unless the subsequent disability arises from a cause unrelated to the original disability. The only exceptions to this requalification may be made by the Director of Human Resources in cases of very serious illness or disability. Exceptions shall be granted at the sole discretion of the Employer and any such decision to grant or deny any exception shall not be grievable.

Employees with seniority who are not eligible under the Long-Term Disability Insurance Program will be paid their regular salary rate until their sick leave, sick leave reserve, and annual leave have been exhausted. When sick leave, sick leave reserve, and annual leave is exhausted, an employee may apply for a leave of absence for illness or disability according to the provisions of Article 25, except that the period of the leave of absence will not exceed the length of their seniority at which time their employment will terminate.

Section B Long-Term Disability

The University will pay the full cost of a Long-Term Disability Insurance Program.

The policy provides for the payment of sixty percent (60%) of the regular yearly salary for all full-time employees who have been employed one (1) full year or longer and who, in the opinion of our carrier, are considered to be totally disabled. Disability payments, if approved, will commence the first of the month following six (6) months of disability. The sixty percent (60%) level is less any and all offsets (sick leave, short-term disability, social security, workers' compensation, etc.) as determined by the insurance policy.

The definition of total disability is as specified in the insurance policy.  You must be under the regular care of a physician, other than yourself or a member of your family.

Physician is defined as a physician legally licensed to practice medicine and/or surgery.

Seniority of employees shall not accrue while on long-term disability.

The University will provide hospitalization, dental, and optical insurance, if applicable, as provided in Article 27 and one (1) times regular annual salary as group life insurance as provided by our carriers for those receiving long-term disability benefits to a maximum of two (2) calendar years.

Employees who receive benefits under the Long-Term Disability Insurance Program will be considered to be on a disability leave and are subject to the conditions as specified under Article 25, Section A to a maximum of two (2) calendar years, at which time employment shall be terminated.

Section C Return To Work Accommodations

Employees who have been off of work due to illness, injury (including work-related injury), or disability and who are released to return to active employment by their treating physician must present the Director of Human Resources, or the Director's designee, with the Employer provided form completed by the physician.

If return to work restrictions are identified by the physician, the Employer will determine whether reasonable accommodations are available or are required in accordance with applicable state and/or federal law.  If the Employer is unable to accommodate an employee's return to work, the employee and the Union President shall be notified of such determination.  the Union may request a special conference to discuss the matter.  The Employer's decision shall be nonarbitrable.

All employees first hired prior to January 1, 1996 are required by legislative action to be members of the Michigan Public School Employees Retirement System (MPSERS).

Employees first hired January 1, 1996 or later who are scheduled to work at least twenty (20) hours per week and complete the necessary applications within ninety (90) days of their date of hire will be members of Teachers Insurance and Annuity Association-College Retirement Equities Fund (TIAA-CREF).

For those employees hired prior to October 1, 1998 who participate in TIAA-CREF, the University contribution to TIAA-CREF will be twelve and one-half percent (12.5%) of the first $20,000 of salary and seventeen and one-half percent (17.5%) of any salary above $20,000.

For those employees hired October 1, 1998 or later who participate in TIAA-CREF, the University shall contribute twelve and one-half percent (12.5%) of salary.

Employees regularly scheduled to work less than twenty (20) hours per week will not have retirement contributions made on their behalf by the University.

Any employee planning to retire should notify the Human Resources Department of such plans at least three (3) months in advance.

Effective January 1, 2000, the salary base for retirement contribution purposes will no longer include "in kind" payments (e.g., value of meals, lodging, personal use portion of an employer-furnished vehicle, etc.)

Non-Other Retirement Plan (ORP)

Effective January 26, 2006, the University shall make contributions to the Non-ORP with TIAA-CREF for MPSERS retirees who are scheduled to work at least twenty (20) hours per week and who have completed the necessary application forms within ninety (90) days of their employment date.  Employees scheduled to work less than twenty (20) hours per week will not have retirement contributions made on their behalf by the Employer.

For those employees, MPSERS retirees, covered under the Non-ORP, the Employer shall contribute twelve and one-half percent (12.5%) of salary.

Those employees, MPSERS retirees, covered under the Non-ORP are not eligible for coverage under the University's hospitalization and medical program.

Retirement Definition

To be considered a retiree and eligible for retirement benefits and privileges as a retiree of Northern Michigan University, regardless of the retirement program in which an employee participates, the total of an employee's age and years of service at Northern Michigan University must equal or be greater than seventy (70) as of the retirement effective date and the employee must have a minimum of ten (10) years of full-time service with the University.

All regular full-time employees hired prior to October 1, 1998 who are actively at work or on sick leave or annual leave as of October 1 of any year shall be entitled to receive longevity pay for length of continuous service with the Employer according to the following rules and schedule of payments. Prorated payments shall be made to those employees who are on Workers' Compensation or Short-Term Disability.

a. Longevity pay shall be computed as a percentage of the employee's gross earnings for the prior calendar year (the year that ended on the December 31 preceding the October 1 eligibility date) as shown on the employee's Form W-2.

b. Following completion of six (6) years of continuous full-time service on or before October 1 of any year according to the seniority list and continuing in subsequent years of such service, each employee shall receive annual longevity payments as provided in the schedule.

c. Payments to employees who become eligible on or before October 1 of any year shall be due the first regular payday in the subsequent December.

d. Prorated payments shall be made to those employees who retire under the University retirement plan based on the prior year's Form W-2. This also applies to those employees not under the retirement plan but who are sixty-five (65) years of age at the time of their separation. In case of death, longevity payments shall be made to the beneficiary as designated on the Authorization to Disburse Earnings and Allowances form on file in the Human Resources Department. Such prorated payments as indicated above shall be based on the number of calendar months of full-time service credited to an employee from the preceding October 1 to the date of retirement, separation, or death and shall be made as soon as practicable thereafter.

e. No longevity payment as shown on the following schedule shall be made for that portion of an employee's yearly gross earnings which is in excess of $8,000.

f. Longevity Pay Schedule

Section A University Bookstore Discount

All employees covered under this Agreement, their spouses, and dependents as defined by the I.R.S. shall be entitled to receive a twenty percent (20%) discount on all books purchased and a ten percent (10%) discount on all other items purchased from the Northern Michigan University Bookstore. These discounts shall not apply to sale items or cap and gown rentals and purchases.

It is agreed that once the other employee groups agree to eliminate the "benefit," Local 1094 will also agree to eliminate it.

Section B Tuition Scholarship

1. Tuition scholarship is awarded to employees, spouses, and dependent children (son, stepson, daughter, stepdaughter, and a legally adopted child), on a space available basis.

2. Employees, spouses, and dependent children as identified in Item #1 and in accordance with University policy, shall be allowed to take an unlimited number of credit hours per semester.  Those who participate in this Program are not eligible to receive additional University-funded scholarships or grants.

3. Employees may enroll in courses up to a maximum of four (4) credit hours during regular working hours.  Arrangements for such time off must be made with the immediate supervisor. All time so devoted will be made up within the same biweekly pay period through arrangements with the immediate supervisor and/or department head.  If the Employer assigns a bargaining unit member to take a class offered only during the employee's scheduled work time, the employee shall not be required to make up the time.  Employees may bring courses to the attention of their supervisor that are designed to facilitate staying current in areas relevant to their current job assignment and to facilitate movement within the University.

4. No employee on a leave of absence (except those receiving long-term disability benefits) or their spouse or dependent children as identified in Item #1 and in accordance with University policy, shall receive such a scholarship unless it is approved by the Director of Human Resources prior to the commencement of such leave.

5. In the event of an employee's death, the surviving spouse as long as he/she does not remarry, and dependent children as identified in Item #1 and in accordance with University policy, who are participating in the Tuition Scholarship Program as specified above at the time of the employee's death may continue in the Program until completion.

6. In the event of death to an employee who had at least fifteen (15) years of service at NMU, the surviving spouse, as long as he/she does not remarry, and the dependent children as identified in Item #1 and in accordance with University policy, when they become eligible for enrollment at NMU, may participate in the Program until they complete their course of study.

7. Northern Michigan University will abide by state and federal laws regarding the taxability of tuition benefits.

Section C Recreation Membership

All employees may acquire a single recreation membership for themselves, free of charge, by completing the annual application process. The cost of an annual family membership may, in the alternative, be reduced by the cost of a single membership for the family of such employees. Once per year, employees may sponsor one (1) person, other than their spouse, for a recreation membership at the reduced rate which would otherwise be afforded family members of employees.

Two (2) members of the Union shall be representatives on the the University Safety Committee. This Committee shall meet periodically during regular working hours for a period not to exceed two (2) hours for the purpose of serving as the central clearinghouse for all issues related to safety. As of 1989, the University Safety Committee acts as an advisory group to the University administration for apprising them of potentially unsafe procedures, practices or conditions; and developing and implementing recommendations for controlling or correcting problems. The Committee is charged to review compliance with current rules, codes, and regulations, discuss accident prevention methods, safety education and training, compliance inspections and investigations, hazardous material storage and removal, and compliance with the Right to Know Law. The Committee is also charged to discuss, evaluate and implement recommendations on various safety related issues brought to the attention of Committee members.

A. Employees will be informed as to the nature of business for which their supervisors may require their presence for a meeting. If the nature of the business is for disciplinary action or reprimand of a serious nature, the employee will have the right to representation by his Chief Steward or in the absence of the Chief Steward the Local Union President if the employee so requests.

B. The Employer shall not discharge employees or take other disciplinary action without just cause. When administered, it will be done in a fair and equitable manner.

C. Notice of Discharge or Discipline. The Employer agrees promptly upon the discharge or discipline of any employee to notify in writing the Steward of the district, the Chief Steward and the Local Union President of the discharge or discipline.

D. A discharged or disciplined employee will be allowed to discuss his/her discharge or discipline with the Steward of the district, and the Employer will make available an area where the employee may do so before the employee is required to leave the property of the Employer. Upon request, the Employer or the Employer's designated representative will discuss the discharge or discipline with the employee and the employee's Steward. Exception may be made to this provision when immediate action is taken by the University to remove an employee from the premises in cases involving violence or willful destruction of property.

E. Appeal of Discharge or Discipline. Should the discharged or disciplined employee or the Steward consider the discharge or discipline to be improper, the discharge or discipline will be a proper matter for the grievance procedure and will be submitted in writing to the third (3rd) step of the grievance procedure within ten (10) working days of receiving the notice of discharge or discipline.

F. Use of Past Records. In imposing any discipline on a current charge, the Employer will not take into account any prior infractions written and on file in the employee's personnel file that is maintained in the Human Resources Department that occurred more than two (2) years previously unless the infractions include suspensions of three (3) or more days in which case the Employer may use past records that occurred three (3) years previously.