Most Favored Nations Provision

"In the event the Union becomes party to any collective bargaining agreement which contains a provision that the Association determines is more favorable than what is set forth in this Agreement, the Association may adopt such provision as a modification to this Agreement.  Such provision shall become effective after the Association has provided five days written notice to the Union of such intended adoption."


 

90-day Reopener Language, with an Automatic Renewal Provision

"This Agreement and Addenda Nos. ____ through ____ attached hereto shall become effective on the ______ day of _________________, and remain in full force and effect until the ______ day of __________________, and shall continue in force from year to year thereafter unless written notice of reopening or termination of this Agreement is given not less than 90 days prior to the expiration date."


 

Notice to Mediation Agencies and Termination Notice

The document that must be filed with the Federal Mediation & Conciliation Service is entitled, “Notice to Mediation Agencies (F-7).” It is available online by going to the Federal Mediation & Conciliation Service website, and the form may be filed electronically. The form also permits simultaneous filing with any state or local mediation and conciliation agency, which is required by the statute if such an organization has been established.

Please click here  to complete and submit the form electronically; or, if you prefer, click here to download, print, and then submit the notice via the U.S. Postal Service.

Sample Termination Notice Below
 
[Full Date]

[Name]
[Company Name]
[Address] 

Dear [Name]:

Pursuant to Section 8(d) of the National Labor Relations Act, this letter shall constitute notice to [District Council or Local Union Name] of [State], AFL-CIO, that effective midnight, [CBA Expiration Date], the Collective Bargaining Agreement with [Association or Contractor Name] of [State] shall terminate, in accordance with its scheduled expiration date of [CBA Expiration Date].

We will continue to meet with you and negotiate regarding the wages, benefits, hours of work, working conditions and other terms and conditions of employment of those employees covered by the contract which is soon to expire with our [select 9(a) 8(f)] authority.

As required by law, a copy of this notice is being forwarded to the Federal Mediation and Conciliation Service.


Sincerely,

[Name]
[Title]
[Company Name]


Enclosure

cc: Federal Mediation and Conciliation Services
  [Local Federal Mediation Address] 


 

Pension Contributions

There are several different ways of approaching this issue. The first option is to specify the actual dollars and cents per hour pension contribution each year of the collective bargaining agreement, relying upon the fact that under the Pension Protection Act, whatever schedule is adopted at the inception of the collective bargaining agreement will remain in effect for its duration. By specifying the dollar and cents per hour contribution amount during the entire contract term, there is no need for any further allocation by the Union.

Another variation would be as follows:

“The foregoing contribution rates are intended to represent the employer’s total cost for providing pension benefits during the term of this Agreement. If the pension plan requires any contributions that are in excess of these amounts, or, the pension plan fails to meet the minimum contribution requirements of ERISA, or the Internal Revenue Code, and that failure results in the imposition of an excise tax, the contractual wage rate set forth in this collective bargaining agreement shall be immediately reduced in an amount equivalent to the additional costs.”

 A third variation would be as follows:

“The Union agrees that if the pension fund requires any additional contributions during the term of this Agreement, the Union shall allocate such additional contribution amounts out of the existing wage rates, effective the same date that the additional contributions are required. If the Union fails to make the appropriate allocation, the Employers are authorized to immediately reduce existing wage rates in the appropriate amount.”

 

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