Part IX: Absence from Work

PAID/UNPAID TIME OFF

Intent: It is recognized that from time to time, an employee will be faced with situations that may require him/her to be absent from his/her work. Such time will be either with or without pay, or a combination of both, and will be granted where there is an entitlement under this Agreement, a clear legal or statutory requirement, or where, in the supervisor's judgment, such time off is warranted by specific circumstances. It is further recognized that it is the employee's responsibility to balance his/her need for a leave of absence with the work requirements of his/her unit.

Where the granting of the absence is discretionary, considerations would include: factors beyond an employee's control that prevent him/her from attending work; severity or nature of circumstance; workload of the unit.

The exact amount of time off is at the discretion of Management; however, the entitlements of employees in specific circumstances include those described below.

34.1

Jury Duty/Required Attendance at Court

For the duration of the Jury Duty, or required attendance at an Inquest or court (subpoenaed witness), the employee's normal base earnings and benefits will be maintained. The employee is responsible for informing his/her supervisor as to the probable duration of the jury duty.

34.2

Funeral Leave

Provincially Regulated Employees

In the event of the death of a family member, including parent, parent-in-law, brother, brother-in-law, sister, sister-in-law, husband, wife, son, son-in-law, daughter, daughter-in-law, grandparents, grandparents-in-law, and grandchildren, an employee may be granted leave of absence with pay. The supervisor will take into consideration the relationship of the deceased, the distance that the employee has to travel, and the need for the employee to attend to arrangements when deciding how much time is to be granted. Usually a period of up to three days is an adequate amount of time. In the event of the death of a fellow employee, time off with pay may be granted to attend the funeral.

Federally Regulated Employees

An employee will be granted leave of absence on any of his/her normal working days during the three days immediately following the death of a member of his/her "immediate" family. Base earnings will be maintained for employees who have completed at least 3 consecutive months of continuous service.

"Immediate" family shall be as defined in the Canada Labour Code: spouse, including common-law; father and mother of employee; spouse of father and mother, including common-law; children; brothers and sisters; father-in-law; mother-in-law; spouse of father-in-law and of mother-in-law, including common law and relative of employee who resides permanently in the employee's household or with whom the employee resides.

ii)

An employee may be granted leave of absence with pay of up to 3 days in the event of the death of the following family members: brother-in-law, sister-in-law, son-in-law, daughter-in-law, grandparents, grandparents-in-law, and grandchildren.

iii)

In the event of the death of a fellow employee, time off with pay may be granted to attend the funeral.

34.3

Medical and Dental Appointments

An employee may attend a medical consultation, receive dental treatment or be absent because of sickness for less than one-half day without reduction of sick leave credits and/or pay.

34.4

Family Care

An employee is entitled to take time off for family care. Normally, up to five (5) days a year may be taken for this purpose. By mutual agreement with his/her supervisor, the employee may pay for this time by using his/her banked overtime, by working back the time over a reasonable period of time, or by taking the time off without pay.

34.5

Reserve Forces

Regular employees who are members of Reserve Forces of the Canadian Armed Forces may be granted leave of absence to attend annual training (normally two weeks in duration). If such leave is granted, Hydro One will maintain the employee's health and dental benefits and will pay the employee the difference between the gross amount of pay received from the Armed Forces and his/her normal base earnings for this period.

34.6

World Class Sport Events

Employees may be granted leave to participate in world class sports events as athletes or coaches or as officials and administrators. If such leave is granted, for each day of vacation that the employee uses for participation in such an event, Hydro One will provide two days leave of absence with pay up to a maximum of two weeks.

SHORT-TERM ABSENCES

Payment for short-term absences (e.g., vacation, sick leave) will be based on the normal rate paid for scheduled job hours, except as stated elsewhere in this Agreement.

EDUCATION LEAVE

36.1

Definitions

"Educational Leave" shall mean an approved absence from work during which an employee engages in planned learning activities that provide him/her with skills that are expected to result in benefits to Hydro One.

"Reimbursable Costs" shall mean expenses incurred by the employee in the course of engaging in the planned learning activity and include registration, tuition and examination fees as well as textbooks/discs and applicable taxes. They may also include reasonable, incremental meal, accommodation and travel expenses.

"Financial assistance" shall mean an employee's base salary, health and dental benefits and reimbursable costs.

36.2

Approvals

Hydro One will grant an employee's application for an educational leave where Hydro One determines that the leave will benefit the business and the employee's absence may be accommodated without adversely impacting the viability of his/her work unit.

36.3

Terms and Conditions During Leave

36.3.1

The duration of educational leaves will normally be for a period of up to one academic year.

36.3.2

If management determines that the needs of the business would best be served by an employee taking an educational leave, then Hydro One will maintain the employee's full salary, health and dental benefits and reimburse his/her costs.

36.3.3

For other educational leaves, management will reasonably determine the level of financial assistance that the company will provide to the employee during the leave based on the expected resulting benefit to the business.

36.3.4

Where management continues to pay all or a portion of an employee's base salary during an educational leave, it shall also maintain health and dental benefit coverage for the employee for this period.

36.3.5

Where Hydro One requires an employee to take an educational leave, the company will pay the employee's full salary, health and dental benefits and reimbursable costs, including all reasonable incremental expenses (e.g., travel, accommodation, meals).

36.3.6

Where Hydro One requires an employee on leave to return to work prior to the expiry of the approved leave, the company will assume all expenses incurred as a result of this action.

36.3.7

As a condition of granting a leave application by an employee, Hydro One may require a participating employee to sign a written commitment to return to Hydro One following the expiry of the leave for a period not to exceed four times the duration of the leave times the percentage of base salary paid by Hydro One during the leave. Where Hydro One requires an employee to take an educational leave, there will be no period of stipulated continued employment.

36.4

Treatment of Employee on Return from Leave

36.4.1

Upon completion of the leave, where the employee's pre-leave position continues to exist and has not been filled or has been filled temporarily, the employee shall return to that position.

36.4.2

Upon completion of the leave, if the employee's pre-leave position no longer exists or has been filled by an ongoing appointment, the employee will be placed in a position at the same salary grade and same location as the pre-leave position.

36.4.3

In the event Article 64 is triggered during or upon completion of the leave, the employee will be redeployed in accordance with that Article.

36.4.4

Upon completion of an educational leave without pay, an employee shall have the right to contribute to the pension plan the amount that would have been contributed if he/she had remained on payroll at full base earnings during the leave and if such contribution is made the period of time on leave shall be included in calculating his/her continuous employment or established service.

SELF FUNDED SABBATICALS

37.1

Definition

"Self-funded sabbaticals" means an approved arrangement where an employee works regularly scheduled hours while receiving eighty percent (80%) of his/her base salary for each of four years. In the fifth year, the employee is granted a leave of absence for one year, funded by the accumulated deferred pay.

37.2

Approvals

Hydro One will approve an employee's application for a self-funded sabbatical where it determines that this arrangement will benefit the business and can be accommodated without adversely impacting the viability of his/her work unit.

37.3

Terms and Conditions of Self-funded Sabbaticals

37.3.1

The salary holdback (i.e., twenty percent for four years) will be kept in a special account and interest will be paid annually at an appropriate rate fixed by Hydro One.

37.3.2

During the leave of absence (i.e., the fifth year):

The employee may not be declared surplus.
The employee is responsible for his/her health and dental benefits and shall be given option of continuing coverage under the Hydro One plan through pre-payment.
The employee's entitlement to group life, living benefit and spousal life insurance benefits shall continue pursuant to Article 21.
Hydro One shall pay the sum accumulated in the trust to the participating employee in a lump sum or in regular instalments.

37.3.3

As a condition of approving a self-funded sabbatical arrangement, Hydro One may require the participating employee to sign a written commitment to return to Hydro One following the expiry of the leave for a period not to exceed the length of the leave (i.e., maximum one year)

37.4

Treatment of Employee Upon Return from Leave

37.4.1

Upon completion of the leave the employee shall have the right to contribute to the pension plan the amount that would have been contributed if he/she had remained on payroll at full (i.e., 100%) base earnings during the leave and if such contribution is made the period of time on leave shall be included in calculating his/her continuous employment or established service, as the case may be.

37.4.2

Upon completion of the leave, where the employee's pre-leave position continues to exist and has not been filled or has been filled temporarily, the employee shall return to that position.

37.4.3

37.4.4

In the event Article 64 is triggered during or upon completion of the leave, subject to the other provisions in this Article, the participating employee will be redeployed in accordance with that Article.

EMPLOYEES HIRED AS SOCIETY STAFF

At the request of the Society, a leave of absence may be granted to an employee who is offered a Society staff position. During this period the Society will assume:

Cost of salary;
Hydro One's cost of contributions to the Pension Plan, the Group Life Insurance Plan and the LTD Plan.
The responsibility and cost of providing Health, Dental and Sick Leave Insurance/coverage;
The responsibility for any other employee contributions related to employee wages and benefits provided by the Society.
At the end of the leave of absence, Hydro One is obligated to relocate the employee within Hydro One at a salary classification as close as possible to the position held at the time the leave of absence was granted. An employee on leave will be neither advantaged nor disadvantaged in a surplus situation.

RELEASE OF SOCIETY REPRESENTATIVES

39.1

Intent

Hydro One will grant elected Society representatives reasonable paid time off from normal duties for purposes of involvement in joint processes and business related to Society/Management relations under this Agreement.

Hydro One recognizes and appreciates the dual responsibility employees elected to hold Society office have to their job and to Society members. Society representatives and their supervisors (those excluded from the Society) are encouraged to pursue a mutually acceptable and cooperative approach to managing the requirement for absences as a result of this dual role. Management recognizes that the need for time off from normal duties will vary with the position that the employee holds within the Society. The higher up in the Society the more will be the demands for time off.

39.2

Specific Circumstances

39.2.1

Absence from work due to the Society representative's involvement in joint processes, tripartite processes or with respect to other business related to Society/Management relations under this Agreement, should not negatively impact on his/her performance appraisal.

39.2.2

In the expectation that the joint problem solving approach based on the principles outlined in the former Article 1.2 will be mutually beneficial to the relationship between Hydro One and the Society, Management agrees to continue its practice of maintaining base salaries for Society representatives involved in all joint processes up to but not including arbitration unless required by Management to attend.

39.2.3

Society Delegates and members of the Board of Directors will be permitted two (2) days per year at their normal base rates to attend Delegates' Council meetings. Members of the Board of Directors will be permitted up to 12 additional days per calendar year at their normal base rates, to attend Society Board meetings.

39.2.4

Hydro One will release elected Society representatives from their normal duties without pay for other Society business. The Society will give Management reasonable notice of such releases, and Management will normally release such representatives. From time to time there may be unexpected events that prevent such a release, but such situations will be the exception.

39.2.5

Hydro One shall contribute towards the salaries of the Society Executive who are employees of Hydro One. The Society Executive for this purpose shall include the President, EVP/VP. Members of the Society Executive shall remain on the payroll of Hydro One, and Hydro One shall bill the Society for the cost of salary and benefits of such persons except for an amount equal to the salary of 0.5 FTE (@ Step 9 MP6). It is understood that the salary paid to the members of the Society Executive, who are employees of Hydro One, shall be the salary specified in writing by the Society.

39.3

Treatment During Release and on Return to Work

When an employee is released from his/her regular position to serve as a Society representative he/she will retain his/her pre-release position subject to the applicable provisions of the Collective Agreement. On return to work, the employee is entitled to such reasonable training or reskilling required to return to normal duties as is feasible.

VACATIONS

40.1

Vacation Entitlement

The combination of Vacation Commencement (VCD) plus External Experience Value (EEV) determines service for vacation entitlement for the purpose of this Article.

40.2

Less Than One Year of Service by June 30

One and one-half (1-1/2) days vacation for each full month of service completed between June 30 of the previous year and July 1 of the current year to a maximum of three (3) weeks (15 working days).

40.3

One to Seven Years of Service

Fifteen (15) working days (three weeks) annually when an employee has completed from one (1) to seven (7) years of service by the end of the calendar year.

40.4

From Eight to Fifteen Years of Service

Twenty (20) working days (four weeks) annually when an employee has completed from eight (8) to fifteen (15) years of service by the end of the calendar year.

40.5

For Sixteen to Twenty-Four Years of Service

Twenty-five (25) working days (five weeks) annually when an employee has completed sixteen (16) years to twenty-four (24) years of service by the end of the calendar year.

40.6

For Twenty-Five or More Years of Service

Thirty (30) working days (six weeks) annually in the calendar year in which an employee completes twenty-five (25) years of service and in each succeeding year.

40.7

External Experience Credit

(Applicable to 4, 5, and 6 Weeks Vacation Entitlement)

40.7.1

Appointments to Positions Paid from Salary Schedules 01, 02, 03

Employees who were or are hired directly into, or within one year of their ECD were or are appointed to a Society-represented position and paid from Salary Schedules 01, 02, 03, 05, 06, 07, 08, 09, 13, will receive the following vacation credits for external experience, applicable to four, five, and six weeks vacation entitlement. Credits are based upon the highest salary grade attained within one year of hiring and are translated into an External Experience Value (EEV).

The effective date of External Experience Credit entitlements will be as follows:

Salary Schedules 01, 02	April 1, 1956
Salary Schedules 03	January 1, 1992

Salary Grade Hired Into	Vacation Credit
MP1/FMP11/TMS1-2/TS1-6/OSS1-8/SCT3 ³	1 year
MP2/MF22/FMP12/TMS3/TS7-8/OSS9/SC01⁴	2 years
MP3/MF23/FMP13/TMS4/SEI1/TS9-10/OSS10/SCO2	3 years
MP4/FMP14/TMS5/SEI2/OSS11/SCO3	4 years
MP5/FMP15/OSS12/SCO4	5 years
MP6/FMP16/HO1	6 years

3 Relevant work experience of one year or more is required to receive this credit
4 Relevant work experience of two years or more is required to receive this credit

40.7.2

Appointments to Positions Covered by Article 25

An employee hired on or after December 31, 1981 to a position covered by Article 25, will receive one year's vacation credit.

40.8

Vacation Credit for Prior Service

Employees will be entitled to vacation credits for all prior service with Hydro One, including casual employment, regardless of breaks in service (see Section 9.3 Transition Provisions).

40.9

Vacation Without Pay

Up to one week off without pay may be taken by employees for vacation purposes.

40.10

Use of Vacation Credits of Succeeding Year at Christmas

For purposes of taking time off at Christmas (December 15 to December 31) employees will be permitted to utilize earned vacation credits for the succeeding year.

40.11

Banked Vacation

Effective January 1, 1993, upon eligibility for 25 working days (five weeks) of annual vacation, employees may defer and accumulate any vacation entitlement beyond 15 days per year. A maximum of 30 weeks' vacation may be banked. Banked vacation may be taken at a later date, subject to the supervisor's approval, or may be taken as a cash payment upon retirement.

40.12

Vacation Bonus

Employees shall receive one day's base pay (or adjusted earnings) for each year of service beyond twenty-five (25) years, to a maximum of ten (10) days' pay.

40.13

Vacation Entitlement on Retirement/Termination

40.13.1

Retirement

A retiring employee may take part/all of earned vacation for the year in which he/she retires, plus authorized carryover from previous years and banked vacation, or receive cash payment in lieu, plus any vacation bonus.

40.14

Vacation Pay on Retirement/Termination is as follows:

If an employee terminates between July 1, and December 31, he/she receives the following:

pay for any unused vacation days earned up to June 30, and not taken during the current calendar year; plus

ii)

4% of accumulated earnings from July 1, to the date of termination, or the appropriate percentage (determined by vacation entitlement) of base earnings from July 1, to the date of termination; whichever is greater.

If an employee terminates between January 1, and June 30, he/she receives the following:

4% accumulated earnings from July 1, to date of termination, or the appropriate percentage (determined by vacation entitlement) of base earnings from July 1, to the date of termination; whichever is greater; minus

ii)

vacation taken in the current calendar year.

"Base earnings" in this Section refers to base pensionable earnings for normal scheduled hours of work.

"Accumulated earnings" in this Section refers to base earnings, plus overtime pay, shift allowances, etc.

The appropriate percentages determined by vacation entitlement are as follows:

4% of accumulated wages if entitlement is 10 working days or less annually;
6% of base earnings or adjusted earnings to date if entitlement is 15 working days annually;
8% of base earnings or adjusted earnings to date if entitlement is 20 working days annually;
10% of base earnings or adjusted earnings to date if entitlement is 25 working days annually plus any vacation bonus;
12% of base earnings or adjusted earnings to date if entitlement is 30 working days annually plus any vacation bonus.

If the reason for termination is the death of an employee, the payment will be made to the estate or beneficiary.

For calculation purposes, the termination date is the employee's last day of work. The employee is removed from payroll on this date.

In cases where the termination is due to causes other than death, the termination date must not be extended to permit use of outstanding vacation credits or lieu days which are paid for in cash on termination.

40.15

Deferment or Interruption of Vacations

40.15.1

Reimbursement will be made for out-of-pocket expenses incurred by an employee who, at the request of Hydro One, either defers an approved vacation or returns before the vacation has expired.

40.15.2

When an employee is called back from vacation or when an employee's vacation is cancelled at the request of Hydro One, the employee shall receive premium rates of pay for all normal hours worked on cancelled vacation days for which seven calendar days' notice has not been given up to a maximum of seven calendar days.

40.15.3

Deferred or interrupted vacation days will be rescheduled at a later date.

STATUTORY HOLIDAYS AND FLOATING HOLIDAYS

For federally regulated employees, the parties agree that Article 41 meets the requirements of Part III, Division V, General Holidays of the Canada Labour Code and that the Civic Holiday is substituted for November 11 (Remembrance Day).

41.1

The following days are recognized by Hydro One as Statutory Holidays:

New Year's Day	Christmas Day	Good Friday
Boxing Day	Victoria Day	Labour Day
Canada Day	Thanksgiving Day	Civic Holiday
Easter Monday

If a Statutory Holiday falls on a day when an employee is off on sick leave, pay is not charged against sick leave credits for that day. A Statutory Holiday falling within an employee's vacation period is not counted as part of the vacation, but is taken as an extra day of holiday.

Payment for statutory holidays will be on the basis of straight time for the normal hours of work per day.

41.1.1

When Canada Day falls on a Saturday or Sunday, it shall be observed on the following Monday.

41.1.2

When Christmas falls on a Friday and Boxing Day on Saturday, a half holiday will be granted on the preceding Thursday. The days of observance will not be moved.

When Christmas falls on a Saturday and Boxing Day on a Sunday, a half holiday will be granted on the preceding Friday. Christmas will be observed on Saturday. Boxing day will be observed on Monday.

If Christmas Day falls on a Sunday, it shall be observed on Monday and Boxing Day on Tuesday.

When Christmas Day falls on a Tuesday, Boxing Day shall be observed on Monday.

When Christmas falls on a Wednesday and Boxing Day falls on Thursday, the Friday following Boxing Day will be granted as an additional holiday. The days of observance will not be moved.

41.1.3

When New Year's Day falls on a Saturday, an additional holiday shall be granted on either the preceding Friday, or the following Monday. The day of observance will not be moved.

When New Year's day falls on a Sunday, it shall be observed on Monday.

41.1.4

Holiday Shutdown

Hydro One may authorize a shutdown over the Christmas - New Year period. In order to encourage employees to voluntarily take this time off, employees will be allowed to use up earned vacation from the following calendar year in order to cover the shutdown period.

41.2

Floating Holidays

Employees who have completed 20 weeks of continuous service in any calendar year are entitled to three floating holidays. Such days will be taken on dates mutually agreeable to the employee and the supervisor. Floating holidays must be taken in the year they are earned (i.e. there is no carryover for floating holidays).

If an employee terminates after completing 20 weeks of continuous service in a calendar year, Hydro One will make a cash payment in lieu of any unused floating holiday credits.

If an employee terminates prior to the completion of 20 weeks of continuous service in a calendar year, entitlement is as follows:

An employee not entitled to floating holidays in the previous calendar year is not entitled to floating holidays in the current calendar year. If an employee has been granted a floating holiday(s), Hydro One will recover one day's pay for each floating holiday taken.
For an employee entitled to floating holidays in the previous calendar year, entitlement will be prorated based on the number of weeks of continuous service in the year of termination. Hydro One will either make a cash payment for any unused floating holiday credit or recover the value of any unearned portion taken.

EMPLOYMENT INSURANCE COMMISSION REBATE

The value of any Employment Insurance Commission (EI) rebate shall accrue to Hydro One.

PREGNANCY/PARENTAL LEAVE

The entitlements in this article are generally described in the brochure Pregnancy and Parental Leaves for Society Represented Staff", January 2001.

Definitions

Pregnancy leave means a leave of absence of up to 17 weeks for a pregnant employee who has been employed by Hydro One for at least 13 weeks immediately preceding the expected birth date. Unless provided for in this Article, this leave is without pay.

Parental leave means a leave of absence for an employee who has been employed by Hydro One for at least 13 weeks and who is the parent of a child. This employee is entitled to a leave of absence following the birth of the child, or the coming of the child into the custody, care and control of the parent for the first time. Unless provided for in this Article, this leave is without pay.

For an employee who takes pregnancy leave, the leave of absence is for a period of up to 35 weeks. For an employee who does not take pregnancy leave, the leave of absence is for a period of up to 37 weeks.

43.1

Pregnancy Leave

Start Date: Pregnancy leave may begin at any time during the 17 weeks immediately preceding the expected date of delivery.

End Date: Pregnancy leave normally ends 17 weeks after the pregnancy leave began.

Notice: The employee must give Hydro One as much notice as possible and a certificate from a legally-qualified medical practitioner stating the expected birth date. In no case, however, will the employee provide less than two weeks' written notice of the day the leave is to begin.

Reinstatement: At the end of pregnancy leave, the employee will be eligible to return to the position the employee had prior to the leave, if it still exists, or to a comparable position, if it does not.

Benefits: Hydro One will continue to pay Hydro One portion of the contributions for Group Dental, Extended Health Benefits, Pension Plan, Life Insurance, and any other type of benefit plan related to the employee's employment as prescribed by the Employment Standards Act for provincially regulated employees, and the Canada Labour Code for federally regulated employees, for the duration of the pregnancy leave, unless the employee gives Hydro One written notice that the employee does not intend to pay the employee portion of the contributions, if any.

Service Credits: Employees on pregnancy leave shall be entitled to normal accumulation of service credits for the duration of the pregnancy leave.

A pregnant employee may continue to work during a normal pregnancy until such time as the duties of her position cannot be reasonably performed.

An employee on pregnancy leave does not qualify for sick leave.

43.2

Parental Leave

Start Date: The parental leave must begin no later than 52 weeks after the day the child is born or comes into the custody, care and control of the parent for the first time for provincially or federally regulated employees.

The parental leave of an employee who takes a pregnancy leave must begin when the pregnancy leave ends unless the child has not yet come into the care and control of the parent for the first time.

End Date: Parental leave normally ends 35 weeks after the parental leave began for an employee who also took pregnancy leave or 37 weeks for an employee who did not take pregnancy leave.

Notice: The employee must give Hydro One as much notice as possible but in no case will there be less than two weeks' written notice of the date the leave is to begin.

Reinstatement: At the end of parental leave, the employee will be eligible to return to the position the employee had prior to the leave, if it still exists, or to a comparable position, if it does not.

Benefits: Hydro One will continue to pay the employer portion of the contributions for Group Dental, Extended Health Benefits, Pension Plan, Life Insurance, and any other type of benefit plan related to the employee's employment as prescribed by the Employment Standards Act for provincially regulated employees, and the Canada Labour Code for federally regulated employees, for the duration of the parental leave, unless the employee gives Hydro One written notice that the employee does not intend to pay the employee portion of the contributions, if any.

Service Credits: Employees on parental leave shall be entitled to normal accumulation of service credits for the duration of the parental leave.

An employee on parental leave does not qualify for sick leave.

43.3

Benefits Under the Supplementary Unemployment Benefit (SUB) Plan

In order to be paid a leave benefit in accordance with the SUB Plan, the employee:

must provide Hydro One with proof that she/he has applied for, and is eligible to receive unemployment insurance benefits pursuant to the Employment Insurance Act (EI); and,

ii)

must be regular and employed by Hydro One for at least 13 weeks immediately preceding the date of delivery/adoption; and,

iii)

must (a) be on pregnancy leave, or (b) be on parental leave.

According to the SUB Plan, payments will consist of the following:

for the first two (2) weeks, payments equivalent to ninety-three percent (93%) of the employee's base pay (pregnancy leaves only, not parental leaves); and

ii)

when receiving EI benefits, payments equivalent to the difference between the EI benefits and ninety-three percent (93%) of the employee's base pay. See attached chart for duration of this "top up". Where the employee's base salary exceeds 1.5 times the Years Maximum Insurable Earnings, the employee will receive an additional $300 as a lump sum as full compensation for any clawback that may be required by Revenue Canada or any other government agency.

iii)

where an employee becomes eligible for an annual increment/salary schedule adjustment during the period of pregnancy/parental leave, payments under 41.3(b)(i), 41.3(b)(ii) and 41.3 (b)(iii) shall be adjusted accordingly.

An employee who qualifies under Section 43.3(a) shall sign an agreement with Hydro One providing:

that she/he will return to work and remain in Hydro One's employ for a period of six (6) months from the date of return to work;

ii)

that she/he will return to work on the date of the expiry of pregnancy/parental leave, unless this date is modified with Hydro One's consent or unless the employee is then entitled to a leave extension provided for in this Article;

iii)

that should the employee fail to return to work as per the provisions of Subsections 43.3(c)(i) and 43.3(c)(ii), the employee recognizes that she/he is indebted to Hydro One for the amount received under the SUB plan.

PREGNANCY/PARENTAL LEAVES - TIME LINES
PROVINCIAL AND FEDERAL
(Only maximum entitlements available are shown)
Birth Mothers:
Pregnancy Leave
2 wks 93%	15 wks EI SUB=93%

Plus Parental leave as outlined below.

All Parents who are Entitled to Parental leave and EI Benefits in accordance with Employment Standards Act or Canada labour Code
Parental Leave if EI Eligible
2 week waiting period (if required)*	3 weeks	Maximum 32 weeks
Unpaid	EI + SUB = 93%	EI
Duration of Parental leave is maximum 35 weeks if the employee has preceded their Parental Leave with Pregnancy Leave. Otherwise, maximum is 37 weeks.
* Note: A waiting period is not always required. Should parents choose to share parental benefits, the parent filing the second claim will not be required to serve a two-week waiting period. There will be one waiting period per birth or adoption.
All Parents who are entitled to Parental leave in accordance with Employment Standards Act or Canada Labour Code but who are ineligible for EI Benefits
Parental Leave if ineligible for EI
Maximum 35 weeks
Unpaid

SICK LEAVE PLAN

It is recognized that the provisions of the Sick Leave Plan are not an automatic right of an employee and that administration of this Plan and all decisions regarding the appropriateness or degree of its application shall be vested solely in the Company.

44.1

The Sick Leave Plan provides for maintenance of an employee's income when he/she is absent from work due to illness or non-occupational injury.

44.2

Employees are granted 23 days of sick leave a year - eight (8) days at full pay and 15 days at three-quarter pay. These grants accumulate continuously each year if not used, up to a maximum of 200 days at three-quarter pay and no limit to the number of days at full pay.

44.3

(This Section applies only to employees hired before January 1, 2002. It does not apply to employees hired on or after this date). In the year in which an employee completes six years of service, all sick leave used in the first year of service will be restored. In the 7th year of service, all sick leave used in the 2nd year of service will be restored. This will continue until the employee has completed 15 yearsof service. In the 16th year of service, all sick leave used in the 11th through to the 15th years of service will be restored. In every year after 16 yearsof service, sick leave credits will be restored at the end of the year following the year in which they were used. There will be no payout of unused sick leave credits when an employee leaves the service of Hydro One.

44.4

An employee will be reimbursed for any doctor's note required by Hydro One.

44.5

The following provisions apply only to employees hired on or after January 1, 2002. They do not apply to employees hired before this date.

44.5.1

When employees have exhausted their sick leave credits and are on sick leave, they will be paid at 75% of their base rate for a period of up to 6 months or until approved for Long Term Disability (LTD), whichever comes first.

44.5.2

Employees who are on continuous sick leave for 6 months and who qualify must go on LTD.

44.5.3

In the event of denial of LTD benefits, employees will have their wages maintained at 75% if their base rate until completion of their LTD appeal, for a period not to exceed 2 months.

LONG TERM DISABILITY

The Long Term Disability (LTD) Plan provides financial security and rehabilitative employment features to regular employees during their absence from work due to extended sickness or injury. The benefits and terms and conditions of benefit entitlement of the Long Term Disability Plan are as described in: the Collective Agreement and the brochure entitled "Sick Leave and Long term Disability Plans, updated May 31, 2000". These documents, by reference, form part of the Collective Agreement. The benefits and terms and conditions of benefit entitlement as described in the above documents can be changed by mutual consent only.

45.1

Qualifying Period

The qualifying period is defined as the period six calendar months from the starting date of the employee's continuous absence due to disability; or a total of six months in accumulative authorized medical absences in the year prior to the date sick leave expires due to the same progressively deteriorating disability; or the expiration of sick leave whichever is longer.

45.2

Disability Period

The period in which an employee cannot continuously perform the essential duties of any position available in accordance with the priority placement criteria of the Rehabilitation and Re-employment Procedure.

45.3

Benefits

During the disability period, the plan will provide an income equal to the lesser of:

Sixty-five percent (65%) of base earnings at the end of the qualifying period for LTD benefits, or

Seventy-five percent (75%) of base earnings at the end of the qualifying period for LTD benefits less any pension entitlement and/or any supplement from the WSIB (excluding the Non-Economic Loss award) and or the Canada Pension Plan, excluding benefits for dependents.

A person who runs out of sick leave credits during the qualifying period will be granted a leave of absence without pay until such time as the LTD qualifying period elapses. The employee will continue to receive service credit during this period and have coverage maintained in, but will not be required to contribute to, the Hydro One Pension Plan, Health and Dental benefits, and the Group Life Insurance Plan.

45.4

Other Conditions

45.4.1

Hydro One and/or the insurance carrier reserve the right to periodically obtain necessary proof of continued disability. If at any time an individual who has been declared disabled and placed on LTD is capable of returning to any further service with Hydro One, Hydro One will request and the Society will normally grant a waiver of posting requirements except in the case of redeployment under Employment Continuity.

45.4.2

Employees who are in receipt of LTD benefits will have their LTD benefit levels adjusted by the indexation increase which is applied to Hydro One's Pension Plan.

45.4.3

Where a position is identified that both Hydro One and the employee on LTD agree he/she can become qualified for through educational retraining, Hydro One will pay tuition fees associated with the retraining, up to a maximum of three years.

45.4.4

Employees on LTD must apply for CPP disability benefits after an appropriate period (6 months) unless there are compelling (e.g., medical) reasons that prevent the employee from doing so.

WORKERS' COMPENSATION LEAVE

An employee awarded a Workers' Compensation grant shall be granted a compensable disability leave with compensation made up of a tax-free Workplace Safety and Insurance Board award, and a taxable top-up grant for the duration of Workers' Compensation Disability benefits. The top-up grant will ensure an employee's net pay is maintained.

If the employee is awarded a Future Economic Loss (FEL) award and is unable to perform the essential duties of any available job, the leave and top-up grant will be extended for the first 24 months of the FEL award. If an employee is unable to return to work during the first two years of a FEL award, an application for LTD should be submitted. The qualifying period is waived in these cases, and LTD benefits will be payable at the expiry of the first FEL for a qualifying employee.

Pending a decision of the Workplace Safety and Insurance Board regarding the legitimacy of a claim the employee will receive sick leave. Employees who are receiving Workers' Compensation benefits for claims or injuries suffered while in the employ of an Employer other than Hydro One are required to notify Hydro One of being in receipt of those benefits in order to qualify for the top up grant. These employees will not be eligible for sick leave while receiving Workers' Compensation benefits for the top-up grant.

The top-up grant for compensable disability leave will be withheld if the employee refuses a medically suitable position that she/he is capable of performing, pursuant to the provisions of Article 47 (Rehabilitation and Re-Employment) of the Collective Agreement. The grant may also be withheld where an employee is subject to appropriate discipline or discharge for cause pursuant to Article 17 ("Discipline and Discharge").

Authority for withholding the supplementary grant is vested in Directors.

REHABILITATION AND RE-EMPLOYMENT

47.1

Application

This Article applies to Hydro One employees ("eligible employees") who:

Qualify for Long Term Disability (LTD) Plan benefits; and/or
Have been approved for a Workplace Safety and Insurance Board (WSIB) award; and/or
Are regular employees who have medical disabilities that prevent them from performing the essential duties of their jobs. These employees are referred to as medically-restricted-at-work (MRAW).

47.2

Definitions

"Medical rehabilitation" shall mean medical support services to facilitate speedy and maximum recuperation prior to or during rehabilitative employment, including physical, psychological or emotional assessments, therapy, treatment and conditioning.

"Vocational Rehabilitation" shall mean support services to facilitate re-employment, including assessment of transferable occupational skills/aptitudes, identification of specific job accommodation and associated training requirements and formulation of rehabilitative employment plans and counselling.

"Rehabilitative employment" shall mean temporary work assigned to a recovering or recovered employee with an ultimate goal of continuing full employment.

"Affected employees" shall mean employees who have undertaken vocational rehabilitation assessments provided by Hydro One and the results indicate a need for active services to facilitate the goal of returning to continuing full employment. This classification includes employees in receipt of LTD benefits who are assessed medically able to return to work.

"Rehabilitative employees" shall mean employees who are eligible for rehabilitation and are capable of rehabilitative employment.

47.3

General

Rehabilitation employment may not be used as a means to manage, discipline or place employees with poor/unsatisfactory performance unrelated to medical reasons.

47.4

Vocational Rehabilitation

47.4.1

Hydro One shall identify eligible employees as soon as possible and ensure their timely assessment regarding their need for vocational rehabilitation services.

47.4.2

Hydro One shall provide timely vocational rehabilitation services for affected employees. The goal is to facilitate the employee's re-employment in a continuing capacity that will make maximum use of his or her capabilities.

47.4.3

Hydro One shall develop a rehabilitation plan ("the plan") for each affected employee. The plan is subject to mutual agreement of the employee, his/her personal physician, the Society (if its participation has been requested by the employee) and Hydro One. The plan will establish a return to work goal that is reasonable and realistic in the circumstances (e.g., recognition that a six-month rehabilitation may be insufficient for LTD benefit recipients in some cases). It will also describe the training, conditioning and therapy programs required to enhance the employee's capabilities within a defined timeframe. It will include an assessment of an affected employee's job accommodation needs (e.g., reduced hours, modified light duties, altered work station). The plan shall have a pre-determined duration and will be subject to periodic monitoring to assess the need for corrective actions to maximize the probability of successful continuing full time employment. Any party to the plan may request its review and/or revision.

47.4.4

Hydro One shall pay for vocational rehabilitation services and reimburse employees for reasonable expenses related to vocational rehabilitation.

47.4.5

Affected employees shall cooperate in the development of their vocational rehabilitation plans. MRAW employees shall provide confirmation of the nature of their medical restrictions by his/her personal physician to Hydro One or arrange with Hydro One to have these restrictions assessed.

47.5

Rehabilitative Employment

47.5.1

This section applies to rehabilitative employees.

47.5.2

An employee is entitled to placement in a medically suitable and reasonable position that accommodates his/her needs as identified in his/her rehabilitation plan (e.g., reduced hours, modified duties). Where an employee is MRAW, his/her fitness to perform essential duties of a job and work restrictions shall be identified.

47.5.3

Although the goal of rehabilitation is continuing employment in a full-time position, some employees have medical disabilities that may not be supportive of working full-time. Where the rehabilitation plan identifies reduced hours (minimum 14 hours maximum 28 hours per week) as a permanent medical restriction (supported by medical evidence) the employee will be re-employed and accommodated in an available and suitable ongoing position while retaining his/her LTD status.

47.5.4

The priority placement shall be the employee's return to his/her pre-disability position. Hydro One shall make all efforts to accommodate the employee in his/her pre-disability position.

47.5.5

In the event that efforts to satisfy an employee's assessed accommodation needs in his/her pre-disability position are not feasible or upon mutual agreement of the employee, Hydro One and the Society (where the employee has requested its participation), employees may be placed in a suitable alternate position. In these cases, Hydro One shall identify a target position or family of positions compatible with the employee's medical restrictions.

47.5.6

Where suitable alternate placement is required or agreed upon, an employee shall apply for vacancies identified by Hydro One as having essential job duties compatible with his/her medical restrictions.

47.5.7

Employees will be selected for suitable alternate positions in accordance with Article 65. Where more than one position is available, the employee will be offered the position nearest the salary level of the pre-disability position. The job offer may be no more than two salary levels below the pre-disability position.

47.5.8

Priority will be given to placement of employees in positions within Hydro One. External job opportunities, however, will be explored if appropriate internal positions do not exist. The employee must agree to any external placement.

47.6

Terms and Conditions of Rehabilitative Employment

47.6.1

Base salary in rehabilitative employment positions shall reflect normal scheduled hours worked at the current base hourly rate of the position (i.e., prorating shall apply in reduced hours situations).

47.6.2

When a rehabilitative employee is placed in a position whose salary grade is lower than his/her pre-disability position, Hydro One will maintain the base salary and benefits of the pre-disability position until the employee's current pay entitlement as determined by performance standing in the new position exceeds that of the pre-disability position.

47.6.3

Rehabilitative employees shall continue to receive approved LTD/WSIB/Sick Leave benefits in accordance with the applicable statutory or collective agreement provisions. However, these entitlements shall be adjusted so that the total of the rehabilitative base salary and these benefits shall not exceed the current full-time base rate of the position occupied by the employee prior to disablement.

47.6.4

Where an employee returning from LTD receives a base salary less than the LTD benefit, Hydro One shall pay a supplementary amount equal to the shortfall to the employee.

47.6.5

Employees in receipt of LTD benefits shall receive the greater of the base salary for hours worked or LTD benefit entitlement.

47.6.6

Employees in receipt of LTD benefits shall continue to receive full (i.e., full time) service credit during rehabilitative employment and have full coverage (i.e., no prorating) in the Pension and Group Life Insurance Plans.

47.6.7

Rehabilitative employees shall be eligible for performance pay increases. They shall receive performance appraisals where medical restrictions do not preclude their application. Performance appraisals and pay adjustments shall take into account medical restrictions with respect to establishing goals and measuring achievements.

47.6.8

Following the successful completion of rehabilitative employment and placement in an ongoing position, the employee shall be ineligible for LTD/WSIB/Sick Leave benefits and will receive the normal base salary for their position.

47.7

Termination of Employment

In the event an eligible employee refuses reasonable rehabilitative employment or a reasonable job offer for re-employment, the employee shall be terminated without entitlement to LTD benefits. Where an employee grieves termination for medical incapacity an arbitrator shall have jurisdiction to consider relevant post-termination evidence of rehabilitation.