Predictive Work Schedule Agreement

1. Predictive Work Schedule Agreement The purpose of this presentation is to provide a synopsis of the Predictive Work Schedule Agreement and an in depth review of federal statutes and regulations as related to fatigue mitigation plans. This analysis will aid and assist Local Divisions in the ratification process, and serve to affect the outcome of arbitration, if necessary.

2. On October 16, 2008, the federal government passed the Federal Rail Safety Improvement Act. • Section 103 of the Act requires each “…Class I railroad…to develop a railroad safety risk reduction program…” • That program requires a …”fatigue management plan…” • It to include…”scheduling practices for employees, including innovative schedule practices, on-duty call practices, work and rest cycles, increased consecutive days off for employees, changes in shift patterns, appropriate scheduling practices for varying types of work, and other aspects of employee scheduling that would reduce employee fatigue and cumulative sleep loss.” • The Act contemplates that the “…Secretary shall use any information and experience gathered through such research and pilot programs under this subsection in developing regulations…” Federal Mandate

3. “Each railroad carrier…shall consult with, employ good faith and use its best efforts to reach agreement with…its…employee labor organization…on the contents of the safety risk reduction program.” • “If the railroad carrier and its…employ labor organization…cannot reach consensus on the proposed contents of the plan, then..such organization may file a statement with the Secretary explaining their views on the plan…” Federal Mandate

4. Recently, FRA Administrator Joseph C. Szabo publicly stated: • “…we recently sent to Congress a bill…called the Grow America Act…[it] will reduce confusion and create a safer working environment by harmonizing railroad operating rules in terminals with multiple operations…And - critically – it will give us authority to establish new hours-of-service regulations that are based on fatigue science…That way, we can address what all of us know is the root cause of fatigue for over-the-road freight train crews: those unpredictable work schedules…The time for meaningful action, to prevent work fatigue, and to require more predictable work schedules, is now.” Federal Mandate

5. A reduction in fatigue by eliminating: • Paper deadheads • Bad line-ups • Pool regulation based on past miles run • New pool positions assigned on mark up • Unscheduled calls for duty BLET Goals in the Agreement

6. Reasonable concerns with the Proposal: • Does a schedule fit my lifestyle? • How will I be able to get time off? • Will I make my needed income? • Will this service impact the extra board? • What will happen if I incur mandatory rest? BLET Issues

7. This pool may perform straight away or turnaround service between Alliance and Ravenna. • PWS Engineers will be paid two trip rates for service performed from Alliance to Ravenna and return to Alliance. • PWS Engineers used for any service short of Ravenna will be paid two trip rates. • PWS Engineers will be paid continuous held away from home terminal pay after 16 hours off duty at the away from home terminal. • PWS Engineers used in hours of service relief at Ravenna will de deadheaded home after completing such service and will be compensated under STAS agreement provisions, i.e. 1 trip rate for first dog-catch, 1 basis day for each additional and overtime after eight hours. • PWS Engineers will be entitled to enhanced familiarization pay. • PWS Engineers will be paid additional time after 8 hours while deadheading. PWS Agreement Provisions

8. The PWS pool will have 113 turns in the service for the first 8-week assignment period. • Each pool turn will be scheduled to go on-duty every 85 hours at the home terminal for a total of 8.5 starts at the home terminal in every 30-day cycle. • There will not be identical conductor and engineer calendars. PWS Agreement Provisions

9. Assuming an engineer averages 8.5 starts per month at $466.27 per ½ start, the average monthly minimum earnings will be $7,926.59, which equates to nearly $95,120.00 annually. • Note: Other benefits and pay elements increase these amounts. PWS Agreement Provisions

10. PWS Engineers will be permitted to swap turns (schedules) in the pool, but no more than four times in the 8-week PWS bulletin period. • In order to swap, both engineers must be able protect the service after swapping. • PWS Engineers swapping turns must make the move through the pool coordinator. PWS Agreement Provisions

11. Successful bidders for this service will be protected from displacement for the 8-week period, unless an engineer headquartered at Alliance or a location protected by the Alliance extra board is unable to hold any other assignment in the zone or an engineer outside of the Alliance zone is unable to hold an assignment in the seniority district. • Assigned PWS Engineers will be permitted to bid out of and/or back into the service, including with the use of a 30-day bump. • Engineers bumping or bidding into the PWS pool must displace the junior engineer in the pool. PWS Agreement Provisions

12. Permanent vacancies will be force assigned if not filled by bid. However, force assigned engineers are subject to displacement unless they elect to remove their force assigned status at the time of assignment. • Demoted engineers in PWS service are still obligated to fulfill promotional responsibilities and protect vacant engineer positions in or outside this service. PWS Agreement Provisions

13. BNSF can change the on-duty time for the PWS Engineer by noon on Friday for the next week on Monday through Sunday for known issues such as maintenance windows. The on-duty time will not be changed more than 4 hours, but it can be earlier or later. • In the event of a major service interruption, BNSF and the detached employees and/or Local Chairman will work together to ensure the smooth operation of the pool. If agreed, on-duty times may be changed with shorter notice than discussed in the agreement. PWS Agreement Provisions

14. PWS Engineers will report on his/her scheduled on-duty time without being called for service. • If not rested due to prior service on this position, the PWS Engineer will report on his/her rest. • If not rested for the second consecutive on-duty time due to prior service on this position, the PWS Engineer will not report for service and will be paid two trip rates. • PWS Engineers are not permitted to exercise Smart Rest. If operated into mandatory rest, PWS Engineers will be paid ½ start at a rate of $466.27 for each scheduled start missed as a result. PWS Agreement Provisions

15. PWS Engineers will have the option to adjust the start time of vacation of 7 days or more to coincide with his/her last start time ahead of their scheduled vacation or first start time after vacation. PWS Agreement Provisions

16. BNSF will establish up to 2 BLET detached service pool coordinators selected jointly by BNSF and BLET who will work in coordination with others. • Coordinators will assist in managing the PWS service on a 24/7 basis. PWS Agreement Provisions

17. On a monthly basis, PWS Engineers will be allowed to layoff without pay for 2 scheduled start times with on-duty periods between 0001 on Sunday and 2359 hours on Thursday. • And, PWS Engineers will be allowed to lay off without pay for 1 scheduled start time with an on-duty period between 0001 on Friday and 2359 hours on Saturday. • The measurement is based on the scheduled on-duty time and not the lay off time or time off the board. This threshold does not change due to vacation or other paid leave. PWS Agreement Provisions

18. The parties will meet after six weeks to evaluate the success of this PWS service and make any minor adjustments to improve the program for future expansion. At that time, new PWS calendars will be posted to run for 8 to 12 weeks. PWS Agreement Provisions

19. Discussion PWS Agreement