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Wage Chronology

Ford Motor Com pany
June 1941-September 1973
Bulletin 1787
U.S. D E P A R T M E N T O F L A B O R
Bureau of La b o r Sta tistics
1973,

Dayton & Montgomery 60.

Wage Chronology

Ford Motor Com pany
June 1941-September 1973
Bulletin 178>
7
U S. DEPARTMENT OF LABOR
Peter J. Brennan, Secretary
BUREAU OF LABOR STATISTICS
Ben Burdetsky, Deputy Commissioner
1973

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P re fa ce
This bulletin is one of a series prepared by the Bureau of Labor Statistics that traces
changes in wage scales and related benefits negotiated by individual employers or
combinations of employers with a union or group of unions. Benefits unilaterally
introduced.by an employer generally are included. The information is obtained largely
from collective bargaining agreements and related documents voluntarily filed with the
Bureau. Descriptions of the course of collective bargaining are derived from the news
media and confirmed and supplemented by the parties to the agreement. Wage
chronologies deal only with selected features of collective bargaining or wage
determination. They are intended primarily as a tool for research, analysis, and wage
administration. References to job security, grievance procedures, methods of piece-rate
adjustment, and similar matters are omitted.
This wage chronology summarizes changes in wage rates and related compensation
practices negotiated by the Ford Motor Company with the International Union, United
Automobile, Aerospace and Agricultural Implement Workers of America since 1941.
This bulletin replaces Wage Chronology: Ford Motor Company, 1941-64, published as
BLS Report 99, and the 1964-69 Supplement to BLS Report 99. Materials previously
published have been supplemented in this bulletin by contract changes negotiated for
1970-73.
Increases in wages or supplementary compensation scheduled for introduction after
August 15, 1971 are affected by current wage stabilization policies. Changes are shown
in this chronology as approved by regulatory authorities or, in the absence of a ruling,
as negotiated by the parties.
The information on contract changes negotiated for the period 1964-73 was prepared
in the Division of Trends in Employee Compensation by William M. Davis and John J.
Lacombe II.




iii




C o n te n ts
Page

Introduction ....................................................................................................................................................................
Summary of contract negotiations j...................................................................................................................................
September 1949—
May 1953 ......................
May 1953-May 1955
June 1955-May 1958 .............................................................................................................................................
June 1958-August 1 9 6 1 ..........................................................................................................................................
September 1961—
August 1964
September 1964—
September 1967 .........................................................................................................................
October 1967-S ept ember 1970 ............................................................................................................................
September 1970—
September 1973 .........................................................................................................................

\

3
3
3
3
4
5
5
6
8

Tables:
1. General wage c h a n g e s ............................................................................................................................
11
2. Hourly job rates, selected occupations, 1941-72 ........................................................................................ 22
3. Supplementary compensation p ra c tic e s .............................................................................................................23
Shift premium pay .......................................................................................................................................23
Overtime p a y .......................................... -................................................................................................ 23
Premium pay for Saturday and Sunday w o r k ............................................................................................ 23
Holiday p a y ....................................................................................................................................................24
Paid v acations................................................................................................................................................ 26
Reporting t i m e ............................................................................................................................................. 28
Jury-duty p a y .................................................................................................................................................28
Bereavement p a y .......................................................................................................................................... 29
Relief-time p a y ............................................................................................................................................. 29
Short-term military-duty p a y .......................................................
29
Educational pay .......................................................................................................................................... 30
Moving allow ance.......................................................................................................................................... 30
Insurance benefits .......................................................................................................................................31
Retirement b e n e fits.......................................................................................................................................45
Supplemental unemployment benefit p l a n ............................................................................................... 60
Separation pay ............................................................................................................................................. 69
Contingent distribution account ................................................................................................................70
Wage chronologies available................................................................................................................................................ 81




v




Introduction
and had written agreements only with small parts
manufacturers. In July 1936, the union joined the
Committee for Industrial Organization (CIO), formed
within the AFL, whose goals coincided with those of the
Auto Workers.3 The union was suspended from the AFL
shortly thereafter because of this action4 and in May
1938 was expelled along with other ClO-member unions.
The UAW and the other expelled unions then formed
the Congress of Industrial Organizations in November
1938.
A major chapter in the union’s history was the use of
the sit-down strike to secure recognition from the major
auto producers. Its first success among the major
automakers came at General Motors when the UAW
reached agreement with that company on February 11,
1937, following sit-down strikes which had begun in late
1936. The same tactics were quickly employed
successfully at Chrysler and within 6 months of the
automotive sit-down strikes, the union’s membership
and climbed to about 300,000. It was not until 1941,
however, when most of the rest of the industry was
under exclusive contracts, that Ford agreed to bargaining
with the union. In June 1941, amagreement was reached
at Ford following an 11-day strike, which was the first
among the major producers to establish the union shop.
The union’s affiliation with the AFL-CIO (merged in
December 1955) continued until July 1, 1968, when it
became independent. The UAW currently is the second
largest union in the United States and represents 1.49
million laborers, production, skilled, and office workers
in the automobile, aerospace, tractor and agricultural
implement, and parts and machine shop industries.
Despite the similarity of contract provisions among
the major companies, the producers have always
bargained separately rather than on a multi-employer or
industrywide basis. Typically, the union selects one of
the “Big 3” as a “target/”!After an agreement is reached
with that company similar contract terms usually are
negotiated <with the remaining two. The pattern

Ford Motor Company was incorporated in Delaware
on July 9, 1919, and subsequently acquired all of the
assets of Ford Motor Company which had been
organized in Michigan on June 16,1903. The company’s
. principal business in the United States is the
manufacture, assembly, and sale of cars and trucks. The
company also makes tractors, agricultural implements,
industrial equipment, recreational vehicles, chemical
products, and substantial portions of its steel, iron, and
glass requirements. Flat glass and specialty steel items
also are sold to others.
Through its subsidiaries, Ford also is involved in
aerospace, electronics, home appliances, credit,
insurance, and real estate ventures. Foreign operations
are carried on by a number of subsidiaries— three
the
largest produce cars, trucks, and buses in Great Britain,
Germany, and Canada.
Despite the large volume of production in the
automobile industry, it is dominated by the so-called
“Big 3”-General Motors Corp., Ford, and Chrysler
Corp. The number four firm is American Motors Corp.,
followed by several manufacturers of specialized vehicles
and trucks. Motor vehicle production is concentrated in
the Great Lakes region, although plants making vehicles
or parts are scattered throughout the country.
Collective bargaining agreements for the “Big 3” are
negotiated with the International Union, United
Automobile, Aerospace and Agricultural Implement
Workers of America (UAW).1 The union held its
founding convention, the 1st Constitutional Convention,
commencing August 26, 1935 at which it accepted a
charter from the craft-oriented American Federation of
Labor (AFL), with the provision that the charter’s
jurisdictional limitations2 be removed at the next AFL
convention. The organization which emerged from the
founding convention represented only 20,000 workers
1 Known as the International Union, United Automobile,
Aircraft and Agricultural Implement Workers of America before
May 8,1962.
As outlined by the charter, union jurisdiction included only
“employees directly engaged in the manufacture of parts (but
not tools, dies, or machinery) and assembling of those parts into
completed automobiles, but not including job or contract shops
manufacturing parts or any other employees engaged in such
automobile plants.”




3 The CIO was formed in November 1935 to promote
organization of workers in mass production industries on an
industrial basis and to encourage their affiliation with the AFL.
A

The AFL suspended ClO-member unions in late 1936 after
chaiging the CIO with “dual unionism.”

1

Locals also transmit resolutions and contract proposals
to the convention for consideration.
The UAW represents about 99 percent of the hourly
employees at Ford’s automotive operations. Several
other unions represent a small number of employees
such as plant guards and cafeteria workers, not covered
by this chronology. Wages of nearly all of the 160,000
production and related workers are on a time basis.
Incentive wage systems are largely confined to the
Canton forge plant and the Rouge steel mill. Except for
workers in the toolroom and skilled maintenance trades
who have spread-rated classifications, wages of
time-rated workers are determined by a formalized
system providing single rates for specific jobs.
This chronology describes the major contract changes
since the 1941 collective bargaining agreement.
Provisions of that first contract as reported in this
chronology do not necessarily represent changes in prior
conditions of employment. Initial and subsequent
agreements applied to all production and maintenance
workers in the company’s production and assembly
plants and parts depots.

settlement then generally spreads throughout the
industry and, to a lesser extent, to farm and
construction equipment makers. Aerospace pacts also
are influenced by the auto agreements. Collective
bargaining agreements negotiated by the large
multi-plant companies do not cover all areas of
bargaining, but leave certain matters, such as work rules,
for local plant negotiations within the general
framework of the master agreement.
Union bargaining goals by industry are set by
convention approval following extensive consultation
throughout the union. Constitutional conventions are
held every 2 years to discuss wide-ranging issues
affecting workers and their families. When the
convention falls in the same year that auto contracts
expire, it also sets goals for the upcoming negotiations in
the industry. Otherwise, a special bargaining convention
is scheduled for the expiration year to finalize contract
demands. Before designation of goals by convention,
various regional and area meetings are held throughout
the United States and Canada at which locaL union
leaders present issues affecting their memberships.




2

S u m m a ry o f co n tra c t negotiations
September 1949-May 1953

June 1955-May 1958

Motor Co. and the United Automobile, Aircraft and
Agricultural Implement Workers of America on June 8,
1955.
Union preparations for the negotiations began over 4
years earlier, when a guaranteed annual wage or
employment plan was designated as the major collective
bargaining objective by the UAW convention in 1951
and again in 1953. A detailed guaranteed employment
plan was developed by the union, although union
officials made it clear that they would consider other
plans.6 Some of the union’s demands for contract
changes were outlined in preliminary discussions with
the company on March 16 and 17, 1955, and formal
negotiations began April 12, 1955. On May 27, the
company made an offer providing for a company stock
purchase plan, an employee income stabilization plan,
separation pay, and a variety of other contract
improvements. The union declined the offer and on May
28, when it became evident that settlement would not
be reached by June 1, the union authorized a strike for
June 2.
On May 31, the eve of the expiration of the old
contract, the company offered to set up a trust fund to
supplement State unemployment benefits to laid-off
employees. The union agreed to this in principle. To
allow more time to study the offer, the union postponed
any strike action from June 2 to June 6. Bargaining
continued, although sporadic unauthorized work
stoppages occurred at various plants prior to the strike
deadline and still others began in the early morning of
June 6, when the deadline was passed without
agreement. Settlement was reached by noon of that day,
but the contract was actually signed on June 8.
In addition to supplemental unemployment benefits,
the new agreement provided for an increase in the
annual improvement factor, an additional wage increase
for specified skilled workers, a revised cost-of-living
escalator formula, higher pay for work on holidays, 2
additional paid half holidays, and liberalized vacation,
insurance, and pension plans.

A new and historic 3-year agreement, which provided,
under
certain
conditions,
for
company-paid
contributions to supplement State unemployment
benefits for laid-off employees, was signed by the Ford

5 For further explanation of the events leading up to the
supplemental agreements, see General Motors Chronology in
Monthly Labor Review, August 1953 (p. 845).
6 See Monthly Labor Review, August 1955 (p. 875) for a
further discussion of these negotiations.

A September 28, 1949, agreement, which was to
continue in effect until April 1, 1952, was set aside on
September 4, 1950, when a new agreement was signed.
The agreement, which was to continue without a
reopening until June 1, 1955, covered approximately
112,000 workers.
May 1953-May 1955

The 5-year contract between the United Automobile,
Aircraft and Agricultural Implement Workers of America
(UAW-CIO) and Ford Motor Co., which was to run until
June 1, 1955, was amended by the parties on May 25,
1953— days after the union and General Motors had
3
agreed to new terms. An amendment of September 4,
1950, to the 1949 contract, provided that “continuance
of the cost-of-living allowance shall be contingent on the
continued availability of official monthly Bureau of
Labor Statistics Consumer Price Index in its present
form and calculated on same basis as Index for July
1950, unless otherwise agreed on by parties.” 5
A formula for conversion to the Revised Series
Consumer Price Index was agreed on by the parties, and
the resulting changes were made part of the 1953
amendment to the Ford agreement. A substantial
portion of the existing cost-of-living allowance was
incorporated into the basic wage structure, and the
annual improvement factor was increased 1 cent.
Included among other provisions were wage increases for
skilled workers, liberalization of eligibility requirements
of vacation-plan provisions for certain retiring workers,
and amendment of the retirement plan to provide
increased pension benefits. In addition, retired workers
were permitted to buy hospital and surgical insurance
(Blue Cross and Blue Shield) at group rates.




3

and that the company and the union jointly petition the
Federal Government for (a) a retroactive moratorium on
the 10-percent excise tax for the remainder of the 1958
model run, and (b) an extension of the duration of
unemployment compensation. In turn, the union stated
that it would forego “the improvement-factor wage
increase that would be payable as of June 1, 1958, if a
new contract were negotiated without an extension of
the present contract.”
The company rejected these proposals and countered
with an offer to extend the existing contract, including
the annual-improvement factor and cost-of-living
escalator, for 2 years. It offered to establish an
individual account type plan in States where
supplementation of State unemployment compensation
was not permitted and provided that the proposal would
be automatically withdrawn if the UAW did not accept
it by June 1. As the June 1 contract expiration date
approached, the company, together with the General
Motors Corp. and Chrysler Corp., announced pay
increases for their nonunion hourly and salaried workers
b ase d
on
prev io u s
co st-o f-liv in g
and
annual-improvement-factor programs.
When it became apparent that agreement could not
be reached before June 1, the UAW-Ford Council
adopted the executive board recommendations to
continue work without a contract, and workers
continued on the job after the agreements expired. The
companies meantime stated that the union was trying to
delay a strike threat until early fall when model
changeovers were scheduled.
Toward midsummer, about 95 percent of the Ford
members voted to authorize a strike but a strike deadline
was not set. On September 10, the union announced
that a strike would start at Ford on September 17, if no
agreement was reached by that date. About 6 hours after
the strike deadline, agreement was reached on a 3-year
contract. The contract, covering 100,000 to 125,000
workers, renewed the improvement-factor and
cost-of-living escalator provisions of the previous
contract; incorporated 15 cents of the cost-of-living
allowance into base rates; provided extra increases for
skilled workers; liberalized supplemental unemployment
benefits, medical, surgical, and other insurance benefits,
and pensions; and provided separation benefits for those
permanently laid off.
The first improvement-factor increase was made
retroactive to July 1, 1958, a 2-cent increase in
cost-of-living allowances to July 7, and an additional
1-cent increase in the allowance to September 1.
Subsequent
improvement-factor
increases
were

The new agreement was to be in force from June 1,
1955, through June 1, 1958. It could be reopened
during "this period only in regard to the supplemental
unemployment plan and then only in the event of failure
to obtain favorable government rulings on the plan as
stipulated in the agreement.
June 1958-August 1961

Negotiations between the Ford Motor Co. and the
International Union, United Automobile, Aircraft and
Agricultural Implement Workers of America (UAW) to
replace the 3-year agreement expiring June 1, 1958,
began on March 31, 1958, against a background of
substantially reduced employment in the industry,
reflecting, in part, the low level of automobile sales
during the recession.
The union’s contractual demands on the Ford Motor
Co. and other automotive manufacturers were adopted
in January 1958 at a special convention, although
preliminary bargaining goals had been stated at its
regular convention in April 1957.7 The UAW’s
bargaining program consisted of “minimum basic” and
supplementary economic demands. Among the latter
was a profit-sharing plan, which received much initial
publicity. The proposal called for the major automobile
companies, after meeting “the minimum costs of doing
business” (i.e., paying basic wage and salary costs and
retaining for dividends profits amounting, before taxes,
to 10 percent of net capital), to divide the remaining
profits as follows: one-half to stockholders and
executives and one-fourth each to other employees and
consumers, the latter in the form of yearend rebates.
The basic demands included a wage increase related to
productivity in the total private economy; a liberalized
cost-of-living
escalator
clause
together
with
incorporation of existing cost-of-living allowances into
basic rates; elimination of wage inequities; protection of
workers against the impact of automation and other
technological improvements through severance pay,
transfer rights, relocation allowances, and areawide
seniority rights; expanded supplemental unemployment
benefits; and improvements in pensions, and
hospitalization and medical benefits.
At the end of April, the UAW proposed that the
terms of the existing Ford contract, including
cost-of-living escalation and fringe benefit provisions, be
extended to September, and that supplemental
unemployment benefits be extended on a temporary
basis to employees who had exhausted their SUB credit
units. The union also suggested that, in order to reduce
the industry’s large inventory, the companies make
“significant and meaningful” price cuts in 1958 models,




7
See “The 1958 Bargaining Programs for the Automobile
Workers,” Monthly Labor Review, March 1958, pp. 270-274.

4

officials concentrated on reaching an agreement with
General Motors. Later the contract was extended on a
day-to-day basis, with either party having the right to
terminate it on 48 hours’ notice. On September 25, the
company notified the union that it would agree to a
3-year contract similar to the one signed by General
Motors on September 20, provided the union approved
it within 2 weeks. Strengthened by a strike authoriza­
tion, the union rejected the offer, indicating that it
hoped to improve on the General Motors agreement.
After further negotiation failed to produce significant
progress, October 3 was set as the strike deadline.
Agreement on wages and related economic matters was
reached prior to this deadline. However, failure to reach
accord on various noneconomic matters, including
outside contracting, number of company-paid union
representatives, lines of demarcation between skilled
trades and production standards, resulted in the first
authorized companywide strike against Ford since the
union gained recognition in 1941. Agreement on these
nonmonetary issues was reached at the national level on
October 11. Workers at some plants remained on strike,
pending settlement of local disputes.
The contract, covering some 120,000 workers in 88
bargaining units in 26 States, was to be in force until
August 31,1964, with no reopening provisions.

scheduled to go into effect August 1, 1959, and
September 1,1960.
Supplemental unemployment benefits were increased
and the maximum period for such SUB benefits was also
extended. Benefits were extended to employees on short
workweeks, even though they were ineligible for State
unemployment compensation benefits. Company con­
tributions to the SUB fund were continued without
change. Furthermore, lump-sum separation payments
were to be financed from the existing SUB fund for
workers permanently laid off on or after September 1,
1958, except at two plants where the date was June 1 of
that year.
Pension benefits, including benefits for those already
retired, were increased. Higher benefits were provided
for employees aged 60 but less than 65 retiring on a
mutually satisfactory basis or at the company’s option.
The union agreed that in future negotiations it would
not ask for further change in benefits for those on
pensions at the time o f negotiations.
Premium pay for work on the midnight shift was
increased, jury pay was added, and pay for Saturday
work was liberalized. The contract was to be in force
from September 1, 1958, to September 1961 without
provision for reopening.
September 1961-August 1964

September 1964-September 1967

On June 29, 1961, the Ford Motor Co. and the
United Automobile, Aerospace and Agricultural Imple­
ment Workers of America (UAW) opened negotiations to
replace the 3-year agreement scheduled to expire August
31. Only general objectives were presented at the
opening meetings, with no statement of specific offers or
demands by either side. The union, which had
formulated its bargaining program for the industry at the
special convention in April,8 made its initial proposals
to each of the “Big Three” automobile companies and
the American Motors Corp. during July.9 Presentation
of the union’s economic demands, in the case of Ford,
extended over 11 days—
from July 6 through 17. On July
20, the company presented its noneconomic proposals,
and on August 22, economic proposals similar to those
made by General Motors and Chrysler. Both were
rejected by the union.
The existing Ford contract was extended, first to
September 6 and then to September 13, while union

Representatives of the Ford Motor Co. and the
United Automobile, Aerospace and Agricultural Imple­
ment Workers of America (UAW) met on April 16,
1963, and established a joint committee to discuss some
of the basic issues likely to arise in 1964 contract
negotiations. Prebargaining talks had been suggested in
March by UAW President Walter Reuther in letters to
the major automobile producers. The 12-man joint
committee was not authorized to negotiate or to agree
on any of the issues. According to a union official, the
discussions were intended to lead to more rational and
responsible collective bargaining and to speed up final
settlement by clearing away the underbrush of the
misunderstanding and placing4a firm foundation of fact
under the feet of the bargaining committees on both
sides. The issues discussed included employment
opportunities and problems of unemployment; the
impact of improved technology; overtime; insurance;
Q
pensions, including early retirement; and supplemental
See “Special Bargaining Convention of the United Auto
unemployment benefits.
Workers,” Monthly Labor Review, June 1961, pp. 611-613.
Negotiations to replace automobile industry agree­
9
For details of demands and offers, as well as the final
ments, scheduled to expire August 31, 1964, began in
settlement, see “Wage Chronology, General Motors Corp.,
late June and early July of that year. At Ford,
Supplement No. 5, 1961-63,” Monthly Labor Review, October
1963, pp. 1170-1183.
negotiations were opened on July 1. The. union’s initial




5

More specific goals for the forthcoming negotiations
were formally outlined at the union’s traditional Special
Collective Bargaining Convention, on April 20-22,1967.
UAW contracts with the “Big Three” (Ford, General
Motors, and Chrysler) were scheduled to expire
September 6, 1967, and the contract with American
Motors, on October 16.
The collective bargaining resolution, which received
near-unanimous approval of the some 3,000 delegates,
contained wide-ranging goals, among which were:
Substantial wage and salary increases; a guaranteed
annual wage; wage parity for Canadian workers in the
automobile industry; additional wage increases for
skilled workers; improved cost-of-living escalator and
improvement factor clauses, as well as extension of
escalator and improvement factor provisions to retired
employees; a profit-sharing plan; improved vacation time
and service requirements, plus a vacation bonus;
additional paid holidays and other reductions in work
time; liberalized bereavement, jury duty, and witness
pay; improvements in the pension and supplemental
unemployment benefit plans; liberalized health care,
including company payment of the $3 monthly
premium for Part B of Medicare, payments for drug
expenses, dental care, optical services and physicians
office and home services, and establishment of a national
hospital-medical-surgical plan providing uniform benefits
for all workers; group automobile insurance; improve­
ments in life and disability insurance; restrictions on
subcontracting, with the union given the right to strike
over the issue; improvements in the moving allowance
and in separation pay; and establishment of a scholarship
fund and improvements in the tuition refund program.
Negotiations between the UAW and Ford began on
July 11 with the beginning of the presentation of the
union’s proposals, which were similar to those presented
to General Motors beginning the day before and to
Chrysler beginning the following day. Negotiations at
American Motors began on July 13. One of the union’s
major objectives was to provide for a guaranteed annual
October 1967-September 1970
wage for all workers in the bargaining unit. This
objective received much publicity, although it was not
A broad outline of union goals for the 1967 round of
new to collective bargaining in the industry. (The SUB
contract negotiations in the automobile industry was
program was instituted in 1955 as a step toward a
first proposed at the May 1966 Constitutional Conven­
guaranteed annual wage, the union’s major objective in
tion of the Auto Workers. In an unprecedented move,
negotiations that year.)
delegates to the convention also established separate
Little, if any, progress was made toward a settlement
contract ratification rights for production workers and
over the next several weeks. Union proposals were
and for skilled trades workers.
rejected, but counter proposals by the companies were
not made until August 29.
10
For details of union demands and company offers (the
Economic proposals by the “Big Three” were similar.
four companies made nearly identical proposals), as well as terms
The wage-fringe packages offered were estimated by
of the final settlement, see Wage Chronology: General Motors
company officials to cost 55 to 60 cents an hour over 3
Corp., 1939-66 (Bulletin 1532), pp. 6-8, and Wage Chronology:
Chrysler Corp., 1939-66 (Bulletin 1515), pp. 4-7.
years, and included: A 13-cent-an-hour general wage
bargaining proposals were first outlined at the UAW’s
19th Constitutional Convention in March 1964. These
proposals were made to General Motors Corp., Chrysler
Corp., and American Motors Corp., as well as Ford,10
Over the next several weeks, little progress was made
toward a settlement at any company, and union
members voted to strike, if necessary, in support of their
demands. On August 28, when it appeared unlikely that
settlements would be reached before the August 31
deadline, the parties agreed to extend the contracts until
September 9. On the latter date, a tentative 3-year
contract was reached at Chrysler, the union’s “target”
company for the 1964 round of negotiations in the
industry, but agreements at Ford, General Motors, and
American Motors were extended further (to September
15 at Ford).
On September 18, the parties reached agreement on a
tentative 3-year contract at Ford, which was generally
similar to the one reached on September 9 with
Chrysler. In addition to the provisions negotiated at
Chrysler, the contract at Ford established a contingent
distribution account to provide for a possible Christmas
bonus of $25 to $100 each December, beginning in
1965. The account was financed by a 5-cent-an-hour
company payment to a fund when and if maximum
funding was reached in the Supplemental Unemploy­
ment Benefits Plan.
Negotiations continued on local issues at some plants.
On November 6, about 25,500 workers struck at nine
Ford plants when disputes over these issues (mainly
overtime, production quotas, and other work rules)
could not be resolved. Full production was not resumed
until after the last of these local disputes was resolved in
late November.
The 3-year contract, covering about 130,000 workers
in 90 bargaining units in 25 States, was to be in force
from September 7, 1964, through September 6, 1967,
with no provision for reopening.




6

increase for the first year, with additional increases for
skilled workers, and 2.8-percent wage increases in both
1968 and 1969; an increase in pensions to $5.25 a
month from $4.25 for each year of service; an increase
in income guarantees for those working short weeks; and
a limit on cost-of-living escalator adjustments. The union
rejected the proposals as inadequate.
On September 1, the UAW announced that Ford was
selected as the “target” with which it would attempt to
negotiate the pattern contract for the industry, and that
the company would be struck at midnight, September 6,
if agreement could not be reached. General Motors and
Chrysler would not be struck initially. Production there
would continue while the union concentrated its efforts
on achieving a settlement at Ford.
A last-day proposal by the union to submit economic
issues to binding arbitration was rejected by the
company. Ford termed the proposal as unacceptable
because it provided for any award to be based on the
company’s productivity gains and profit.
When the contract expired, a strike by approximately
160,000 workers at midnight on September 6 closed
about 100 Ford plants and facilities in 25 States.
The positions of both parties remained firm during
the first month of the strike. On October 8, at a special
u n io n convention, delegates voted to increase
membership dues by $20 a month to insure financial
support for striking workers. After the convention, for
the first time since negotiations began, there was some
evidence of serious bargaining on the part of both sides
when a 24-hour news blackout was announced on
October 10.
After several marathon bargaining sessions, agreement
on a 3-year contract was reached on October 22.
Ratification by both the skilled trades and production
workers occurred on October 24 and 25. Although the
49-day strike had ended officially, fewer than half of the
workers immediately returned to work because of
unresolved local disputes at 33 of the 101 Ford
bargaining units. Near-normal production was delayed
by negotiations on local issues until November 6, when
all but three assembly lines were again in operation.
The 3-year master agreement provided, effective
October 25, a 20-cent-an-hour general wage increase, an
additional 30-cent increase to skilled trades employees,
and provision for an average of 0.2 cent to 0.4 cent an
hour to correct wage inequities. A 3-year percent general
wage increase (ranging from 9.5 to 17 cents an hour) was
effective November 25, 1968, and an additional 3
percent (ranging from 9.5 to 17.5 cents) became
effective November 24, 1969. Eighteen of the 23-cent
cost-of-living allowance was incorporated into base rates,
and the escalator clause was changed to provide annual,




instead of quarterly, reviews of cost-of-living allowances;
the first review was deferred until 1968. In a separate
letter, the 1967 settlement also provided that any hourly
increases which would have been payable under an
extension of the escalator clause in the 1964 agreement,
which were in excess of increases provided under the
escalator clause in the 1967 contract, would be available,
effective September 15, 1970, to be spent for wages or
other benefits for employees as may be agreed upon by
the parties and provided in the agreement next
succeeding the 1967 contract. The contract provided for
an improved supplemental unemployment benefits plan,
which established guarantees on SUB credit units
(guaranteed annual income credits) each year, effective
December 1, 1968. Under this program, an employee
who had 7 years or more of seniority was assured 52
weeks of SUB credit units each year if he was on the
active employment rolls as of each December 1. Workers
who had less seniority received guarantees on a
graduated scale. Short workweek benefits were
increased, and substantial improvements were made in
the pension plan, including the institution of a system of
benefit rates varying with job classification rates,
and significant improvements were made in benefits
for workers already retired. The agreement also
provided for improved pensions and fully paid
hospital-surgical-medical benefits for the surviving
spouse of a retired worker. A $3 per month special age
65 benefit was provided for retirees’ Medicare Part B
payments. A national program providing uniform
hospital-surgical-medical benefits at all company
facilities was established, effective November 1, 1968,
and a prescription drug plan was initiated on October 1,
1969. Two additional holidays were provided, and
improvements were made in vacation eligibility require­
ments and vacation pay, and in group insurance,
including life, disability, sickness and accident, and
transition and bridge survivor income benefits. Improve­
ments also were made in premium pay for weekend
work for workers on continuous operations, moving
allowance, and jury duty, bereavement, and relief-time
pay. An extended disability benefit plan was added and
the contingent distribution account, which was
established in 1964, was discontinued. The agreement
also guaranteed that no union member would be laid off
as a direct and immediate result of the contracting out
of work to be done in any Ford facility.
The contract, which set the pattern for negotiations
with General Motors and Chrysler and for contracts in
the automotive parts, farm and construction equipment,
and aerospace industries, was to remain in force through
September 14, 1970; no provisions were made for
reopening.

7

September 1970-September 1973

and that it was dissatisfied with the proposed financing
of the health insurance plan.
On September 2, leaders of the UAW chose General
A 3-year agreement covering approximately 161,000
Motors and Chrysler as “twin-targets” to achieve
workers was reached by the Ford Motor Co. and the
Auto Workers (UAW) on December 7, 1970. The pact
pattern-setting contracts.12 Chrysler later was dropped
followed terms of the pattern settlement reached on
as a target company following an impasse in bargaining.
Efforts were concentrated on achieving a settlement at
November 11 at General Motors Corp.,11 where workers
General Motors, and little progress was made in negotia­
had* been on strike since their agreement expired on
tions on the national level at Ford. At the onset of the
September 14. The contract at Ford expired on that
General Motors strike, at midnight on September 14,
date also, but workers remained on the job without a
bargaining was suspended at Ford. However, workers
contract. The union membership overwhelmingly
remained on the job without a contract after the
approved the Ford pact according to a vote-tally released
company refused an extension.
December 15.
Although progress was slow on the national level at
Bargaining in the auto industry had begun in mid-July
Ford, by September 14, disputes at 25 of its 99 plants
when the union’s proposals were submitted to members
had been resolved and progress was made towards
of the “Big Three”—
General Motors, Ford, and Chrysler
settling a number o f other local disputes. The
Corp. The key demands included substantial wage
importance of local bargaining is evidenced by the fact
increases, immediate application to basic wage rates of
that in 1967, when Ford was struck over national issues,
the “overage” amount that would have been payable
production was not resumed until 2 weeks after the
under the 1967 pact had there been no ceiling on
cost-of-living adjustments, revision of the escalator
national settlement because of unsettled local issues at
clause to provide unlimited quarterly adjustments based
key plants. In many units, union locals consider local
on an updated relationship between the average wage
negotiations to be as important as national negotiations
and the Consumer Price Index, improved pensions for
because local agreements generally deal directly with
present and future retirees including the “30-and-out”
day-to-day issues.
concept allowing retirement at $500 a month after ‘30
After the November 11 settlement at General Motors,
years of service at any age, an improved survivor benefit
the union announced a strike deadline of December 7 at
program, liberalized holidays and vacations (including a
Ford; negotiations were resumed on November 23
vacation bonus), an improved SUB plan, and improved
following ratification of the General Motors contract.
health and accident benefits, including a dental
Leonard Woodcock, the UAW’s President, had said that
insurance program.
he did not expect any strikes over national issues at
On September l,th e “Big Three” responded with their
Ford, and Henry Ford II, Chairman of the company,
said that the company would probably follow terms of
initial and substantially identical offers, which included
a first-year wage increase of 7.5 percent ranging from 26
the General Motors settlement “almost 100 percent.”
to 44 cents an hour (including the 26-cent “overage”)
Settlement was reached on December 7. The last issue
and two deferred increases ranging from 8.5 to 20 cents
to be resolved was the effective date of the initial wage
an hour; a $1.25 a month per year of service increase in
increase. Under the 1967 agreement, 26 cents in
cost-of-living adjustments (the amount workers would
basic pension rates, and $500 a month for retirement at
have received under the 3-year agreement if increases
age 60 after 30 years of service; a provision that
had not been subject to a 16-cent ceiling over the term)
employees share future increases in health insurance
would be payable as of September 15, 1970—
the day
costs; and improved SUB financing. The union rejected
the offers by stating that the initial wage increase
after the 1967 pact was terminated. The union con­
tended that the initial wage increase negotiated under
consisted mainly of the “catch-up” money due workers
the new agreement, ranging from 20.5 to 32 cents an
under the 1967 agreement; the offers still contained a
hour, also should be retroactive to September 15, while
ceiling on cost-of-living adjustments; pension improve­
Ford proposed that it be effective after contract
ments did not provide for the “30-and-out” retirement,
ratification. A compromise date of November 2 was
although the companies had moved in that direction;
agreed upon for the first-year wage increase and for
11
The contract was approved by the UAW’s General Motors incorporation of 16 of the 21-cent accumulated cost-ofCouncil on November 12, and subsequently was ratified by the
living allowance into base rates, as well as for incorpora­
union membership according to a tally released on November 20.
tion of the 26-cent adjustment effective September 15.
Some production had resumed on November 23 and by
December 15 all but 7 of the firm’s 155 bargaining units had
settled on local issues. Only two of these units were still on
strike.




12

This year was the first since 1945 that General Motors had
been selected as a target company.

8

sterilization. Insurance eligibility provisions were
liberalized to allow immediate coverage of principally
supported children and extension of the hospitalsurgical-medical-drug program to returning servicemen
who had insufficient seniority and were laid off, and the
drug plan was extended to retirees, surviving spouses,
and sponsored dependents.
A number of other insurance program modifications
also resulted from the negotiations. The following were
among the more significant: Accident and sickness,
extended disability, and hospital-surgical-medical-drug
insurance coverages in certain cases became effective
later and terminated earlier than under the previous
agreement; accident and sickness benefits would no
longer be payable when an employee was also eligible for
holiday pay; accident and sickness benefits would be
paid on a time-for-time basis up to a maximum of 52
weeks for certain employees hired or rehired on or after
April 1, 1971; and a coordination of benefits provision
was to be included in the National Account Plan.
The pension plan increased the normal benefit,
effective April 1, 1971, $1 a month per year of credited
service for retirement before September 15, 1970 and
$1.75 per year of service for retirement on or after that
date. Other types of pensions were increased accord­
ingly. The special age-65 benefit for retirees was
increased to $5.30 and the survivor income benefit was
improved to allow a retiree who elected the survivor’s
option to receive an unreduced pension if his spouse
died first or a divorce was obtained, subject to specified
conditions. Effective October 1,1971, the “30-and-out”
concept was put into effect by means of a supplemental
allowance (payable to age 65) which when added to
early or disability retirement benefits, would allow an
employee to retire after 30 years of service at $500 a
month if he was at least age 58 (reduced to age 56
effective October 1, 1972) with a reduction to $450 at
age 62. An employee with 30 years of service or more
could retire at an earlier age (no minimum) with an
8-percent reduction in the benefit for each year he was
below age 58 (age 56 effective Oct. 1, 1972) and with
the resulting amount further reduced by 10 percent at
age 62. (The 8-percent reduction did not apply to
employees who retired on disability pension or retired
on early pension while on layoff for a specified period of
time because of a plant closing or discontinuance of
operations and suitable work could not be offered.) At
age 65, the benefit for an employee on early retirement
with 30 years of service or more was to be changed
based on the rate for his benefit class code, reduced by 4
percent for each year he was under age 62 at retirement.
To maintain maximum funding, the company
increased its range of contributions to the Supplemental
Unemployment Benefit Plan to 5 to 10 cents an hour

In addition, two deferred improvement factor increases
ranging from 9.5 to 21 cents an hour were to be
effective in 1971 and 1972 and the cost-of-living
escalator clause was revised to provide no-ceiling
quarterly adjustments beginning December 6,1971, of 1
cent per hour for each 0.4-point increase in consecutive
3-month averages of the Bureau of Labor Statistics
Consumer Price Index. A wage inequity fund of 0.5 cent
per hour was also provided for.
Holidays were revised to provide an unbroken holiday
period from the day before Christmas through New
Year’s Day. This resulted in 7 workdays off with pay in
the period which began in 1970 and 6 workdays off with
pay in the periods beginning in 1971 and 1972.
Additional holidays were provided in 1971 and
1972-Sunday, December 12, 1971 and Sunday,
December 17, 1972 (a day’s pay was provided in lieu of
a day off for each of these 2 days). In addition, Easter
Monday was eliminated as a holiday. The net effect of
the holiday revisions was an increase in paid holidays to
12 (or 11 workdays off with 12 days’ pay for the last 2
contract years). Provisions also were made for a fifth
week of vacation or paid absence allowance for 20-year
employees beginning in December 1971; improved juryduty, bereavement, and short-term military-duty pay;
increased relief time; an improved tuition refund pro­
gram; and increased moving allowances.
A number of insurance plan changes resulted from
the talks, including the addition of 3 brackets of benefits
to the group life and disability insurance schedule for
employees in the higher wage brackets and the deletion
of the lowest previous bracket. Accident and sickness
benefits were not to be reduced after April 1,1971, for
primary social security disability insurance benefits
receivable for the same period for employees at work on
or after December 21, 1970. Transition and Bridge
Survivors Incom e Benefits both w ere increased to $175 a
month and the latter was liberalized to allow a surviving
spouse age 48 (was 50) at the time of death to receive
the benefit. The benefit period for hospital confinement
was not to be reduced because of care in an approved
nursing home and the maximum duration of benefit
periods for hospital or nursing home care or medical
benefits was to be renewable 60 days after discharge
(was 90 days). The number of days of hospital care and
in-hospital medical care for tuberculosis and nervous and
mental conditions were liberalized. The plan also pro­
vided for payment o f $15 for the initial treatment of
medical emergencies, improved physical therapy provi­
sions, hemodialysis (kidney machine utilization) in
hospital outpatient departments and in the home under
certain conditions, surgical correction of birth defects
regardless of age, psychological testing up to $50 per
year without co-payment, and medically necessary




9

The contract was scheduled to remain in force
through September 14, 1973; no provisions were made
for reopening. The following tables, except for possible
cost-of-living adjustments, bring the Ford chronology up
to date through the expiration date of the contract.

(from 5 to 7 cents), depeiyling on a percentage
relationship of the value of the assets of the fund to
maximum funding. The larger of 20 percent or $10
(previously $10) o f earnings from another employer was
to be disregarded when an employee’s weekly benefit
was computed.




10

Table 1. General wage changes1
Applications, exceptions, and other
related matters

Effective date

Provisions

June 20, 1941 (by agreement
of June 20,1941).

Classification increases averaging
approximately 19 cents an hour.

June 25, 1942 (by
order of NWLB,
1942).
June 25, 1942 (by
order of NWLB,
1942).

directive
Oct. 16,

............................................................

directive
Oct. 24,

............................................................

Jan. 5, 1946 (by agreement of
Feb. 26,1946).
May 31, 1947 (by agreement
of Aug. 21,1947).

6-cents-an-hour increase to skilled machine repairmen,
machinists, millwrights, and electricians; maximum of
rate spreads increased 5 cents for skilled and semiskilled
maintenance, powerhouse, and construction workers.

18-cents-an-hour increase.

July 16, 1948 (by agreement
of July 29,1948).
Sept. 1, 1950 (by agreement
of Sept. 4,1950).

Contract provided that company pay rates “in the several
classifications at least as high as those paid by the major
com petitor.. .in its respective industry.”1
2
10-cents-an-hour increase to skilled tool and die makers and
patternmakers.

13 -cents-an-hour increase.

Additional increase of 5 cents an hour to skilled mainten­
ance workers, construction workers, jobbing molders in
jobbing foundry, and coremakers.

11%-cents-an-hour increase,

8-cents-an-hour increase.

Dec. 4,1950 4
Mar. 5,1951 5
June 1,1951 .
June 4,1951 .
Sept. 3,1951 .
Dec. 3,1951 .
Mar. 3, 1952 .
June 1,1952 .
June 2,1952 .
Sept. 1, 1952 .
Dec. 1,1952 .
Apr. 13,1953

3- cents-an-hour increase.
5-cents-an-hour increase.
4- cents-an-hour increase.
3-cents-an-hour increase.
1-cent-an-hour increase.
1-cent-an-hour increase.
3- cents-an-hour increase.
4- cents-an-hour increase
1 -cent-an-hour decrease.
3-cents-an-hour increase.
1-cent-an-hour decrease.
1-cent-an-hour decrease.

June 1,1953 (by agreement of
May 25, 1953).
June 1,1953 (by agreement of
above date).

5-cents-an-hour increase.

Sept. 7,1953
Dec. 7,1953
Mar. 1,1954
June 1,1954
June 7,1954
Sept. 6,1954

No change in cost-of-living allowance.

1-cent-an4iour increase.
2-cents-an-hour increase.
1-cent-an-hour decrease.
5-cents an-hour increase.
1-cent-an-hour decrease.
1-cent-an-hour increase.

See footnotes at end of table.




11

Increase designated as cost-of-living allowance to be
adjusted up or down every 3 months in accordance with
changes in Bureau of Labor Statistics Consumers’ Price
Index. 3 Agreement also provided for increases of 4
cents an hour effective each June 1 from 1951 through
1954 as an “annual improvement factor.”
Additional increases of 5 to 28 cents an hour to production
foundry workers and specified skilled classifications.
5-cents-an-hour bonus for hours worked at straight-time
rate to employees on 40-hour rotating schedules on
necessary continuous 7-day operations; not included in
computing overtime, Sunday, holiday afternoon, night,
incentive, or vacation pay.
Quarterly adjustment of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Annual improvement factor adjustment.
Quarterly adjustment of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Annual improvement factor adjustment.
Quarterly adjustment of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Adjustment made on this date because of late release of
“Old Series” CPI.
The new agreement increased the annual improvement
factor adjustment by 1 cent an hour.
The new agreement incorporated 19 of the previous 24
cents cost-of-living allowance into the basic wage
structure and provided for quarterly adjustments of
the cost-of-living allowance in accordance with the
movement of the CPI (Revised Series). If the CPI
falls below 110.9, the cost-of-living allowance will be
0. 6 Skilled occupations (except patternmakers and
die sinkers) received an additional 10 cents an hour,
and patternmakers and die sinkers received 20 cents
additional.
Quarterly adjustment of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Annual improvement factor adjustment.
Quarterly adjustment of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.

Table 1. General wage changes1—continued
Applications, exceptions, and other
related matters

Effective date

Provisions

Dec. 6,1954 ..........................
Mar. 7,1955 ..........................
June 1, 1955 (by agreement
dated June 8,1955).

1-cent-an-hour decrease.
No change.
6-cents-an-hour increase or 2Vi per­
cent of base rate, whichever was
greater.7 (Estimated average of
6.1 cents.)8

June 1, 1955 (by agreement
date June 8, 1955, and
supplemental agreement of
same date).

June 6, 1955 (by agreement
dated June 8,1955).

No change.

Sept. 5,1955 ..........................
Dec. 5, 1955 ..........................
Mar. 5,1956 ..........................
June 1, 1956 (agreement
dated June 8,1955).

1-cent-an-hour increase.
No change.
1-cent-an-hour decrease.
6 cents an hour or IVi percent of base
ra te , whichever was greater.
(Estimated average of 6.1 cents.8)
1-cent-an-hour increase.
4-cents-an-hour increase.
2-cent-an-hour increase.
1-cent-an-hour increase.
6 cents an hour or 2Vi percent of base
ra te , whichever was greater.
(Estimated average of 6.1 cents.8)
2-cent-an-hour increase.
3- cent-an4iour increase.
No change.
3-cents-an-hour increase.
6-cents-an-hour increase or 2Vi
percent of base rate whichever was
greater.!! (Estimated average of
6.1 cents.8)
2-cent-an-hour increase.

June 4,1956 ..........................
Sept. 3,1956 ..........................
Dec. 3,1956 ..........................
Mar. 4,1957 ..........................
June 1, 1957 (agreement
dated June 8,1955).
June 3, 1957 ..........................
Sept. 2,1957 ..........................
Dec. 2,1957 ..........................
Mar. 3, 1958 ..........................
July 1,1958 (agreement dated
Sept. 20,1958).
July 7, 1958 (agreement dated
Sept. 20, 1958, and in
accordance with schedule
of agreement dated June 8,
1955).
Sept. 1, (skilled trades supple­
mental agreement dated
Sept. 20,1958).

Additional increases9 of:
8 cents an hour to automobile mechanics, experimental
parts painters, and all skilled classifications except
apprentices in the tool and die, maintenance, construc­
tion, and powerhouse groups; 5 cents an hour to appren­
tices in the tool and die, maintenance, construction, and
powerhouse groups; 10 cents an hour (added to the
8 cents an hour for all skilled classifications) to pattern­
makers (wood and metal); wood pattern and model
makers; at Canton Forge plant, upset operators and
forge press operators; and contingent upon agreement on
other issues, crane operators in designated transportation
departments.
Contingent upon agreement on other issues, adjustments
of base rates at the Green Island, Cincinnati, and Buffalo
Stamping plants and a 10-cents-an-hour increase to
specified transportation classifications.
Quarterly review of cost-of-living allowance.
The new agreement provided for quarterly adjustments in
the cost-of4iving allowance for each 0.5-point change in
the BLS Consumer Price Index above an Index of 114.2
(the lower limit of the existing 6-cent allowance); changes
below this level would take place at the rate the
allowance accumulated under previous escalation
provisions. If the CPI fell below 110.9, the cost-of-living
allowance would be 0.1°
Quarterly adjustment of cost-of-living allowance.
Quarterly review of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Annual improvement factor adjustment.
Quarterly adjustment of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Quarterly adjustment of co st-of-livingallowance.
Annual improvement factor adjustment.
Quarterly adjustment of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Quarterly review of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Agreement maintained the improvement factor of the
previous agreement and provided similar adjustments to
be effective Aug. 1,1959, and Sept. 1,1960.
Quarterly adjustment of cost-of-living allowance.

Additional increases l 2 of: 8 cents an hour to employees in
all skilled classifications in the tool and die, mainten• ance, construction, and powerhouse groups.
Smaller increases to apprentices in training prior to Sept. 1,
1958,13 depending on number of shop hours worked
while in training._______________________________

See footnotes at end of table.




Quarterly adjustment of cost-of-living allowance.
Quarterly review of cost-of-living allowance.
New amount designated as annual improvement factor.
Similar adjustments to be effective June 1 of 1956 and
1957.

12

Table 1. General wage changes1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions

Sept. 1, 1958 (agreement
dated Sept. 20,1958).

1-cent-an-hour increase.

Dec. 1,1958 ..........................
Mar. 2,1959 ..........................
June 1,1959 ..........................
Aug. 1, 1959 (agreement
dated Sept. 20,1958).

No change.
No change.
No change.
6-cent-an-hour increase or 2Vi percent
o f base rate whichever was
greater.11 (Estimated average of
6.3 cents.8)
2-cent-an-hour increase.
1-cent-an-hour increase.
No change.
2-cents-an-hour increase.
6-cents-an-hour increase or 2Vi
percent of base rate, whichever
was greater. (Actual increases
ranged from 6 to 10 cents an hour;
BLS estimated “Big 3” average,
6.2 cents.)
No change.
2-cents-an-hour increase.
No change.
No change.
No change.

Sept. 7,1959 ..........................
Dec. 7,1959 ..........................
Mar. 7,1960 ............: . . . .
June 6,1960 ..........................
Sept. 1, 1960 (agreement
dated Sept. 20,1958).

Sept. 5,1960 ..........................
Dec. 5,1960 ..........................
Mar. 6,1961 ..........................
June 5 , 1 9 6 1 ..........................
Sept. 4, 1961 (agreement
dated Oct. 20,1961).

6-cents-an-hour increase or 2Vi percent
of base rates, whichever was
greater,16 minus 2 cents. (Actual
increases ranged from 4 to 8 cents
an hour; BLS estimated “Big
Three” average, 4.4 cents.17)

Oct. 2,1961 (agreement dated
Oct. 20,1961).
Dec.4,1961
Mar. 5,1962
June 4,1962
Sept. 3,1962
Sept. 3,1962

.........................
.........................
.........................
.........................
.........................

Dec. 3,1962
Mar. 4,1963
June 3, 1963
Sept. 2,1963
Sept. 2,1963

..........................
..........................
..........................
..........................
..........................

1-cent-an-hour increase.
No change.
1-cent-an-hour increase.
1-cent-an-hour increase.
6-cents-an-hour increase or 2Vi
percent of base rates, whichever
was greater.16 (Actual increases
ranged from 6 to 10.5 cents an
hour; BLS estimated “Big 3”
average, 6.8 cents.17)
1-cent-an-hour increase.
No change.
1-cent-an-hour increase.
2-cents-an-hour increase.
6-cents-an-hour increase or 2l/ i
percent of base rates, whichever
was greater.16 (Actual increases
ranged from 6 to 11 cents an
hour; BLS estimated “Big 3”
average, 7.0 cents.17)

See footnotes at end of table.



13

Quarterly adjustment of cost-of-living allowance.
The new agreement incorporated 15 of the 24-cent cost-ofliving allowance in effect on Aug. 31, 1958, into base
hourly rates14 and continued the cost-of-living escalator
formula of the previous agreement.15
Quarterly review of cost-of-living allowance.
Quarterly review of cost-of-living allowance.
Quarterly review of cost-of-living allowance.
Improvement factor adjustment.

Quarterly adjustment of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Quarterly review of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Improvement factor adjustment.

Quarterly review of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Quarterly review of cost-of-living allowance.
Quarterly review of cost-of-living allowance.
The 1-cent-an-hour cost-of-living adjustment that would
have been due was waived by the union.
Agreement maintained the improvement factor of the
previous agreement minus 2 cents in 1961, and provided
adjustment to be effective on Sept. 3,1962, and Sept. 2,
1963.18
Waiver of 2 cents of annual improvement factor increase
and 1 cent due under Sept. 4,1961, cost-of-living review
was in consideration of, but did not fully offset,
improved pension benefits and company’s assumption of
full cost of improved hospital-medical care for
employees and eligible dependents19 and one-half cost
of hospital-medical care for retired employees and
dependents.
The agreement incorporated 12 cents of the 17-cent
cost-of-living allowance in effect on Oct. 1, 1961, into
base hourly rates,20 and continued the cost-of-living
escalator formula of the previous agreement.2 1
Quarterly adjustment of cost-of-living allowance.
Quarterly review of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Improvement factor adjustment.

Quarterly adjustment of cost-of-living allowance.
Quarterly review of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Improvement factor adjustment.

Table 1. General wage changes1-continued
Effective date
Dec. 2,1963 ..........................
Mar. 2,1964 ..........................
June 1, 1964 ..........................
Sept. 7, 1964 (agreement
dated Nov. 23 1964).

Dec. 7,1964 ..........................
Mar. 1,1965 ..........................
June 7,1965 ..........................
Sept. 6,1965 ..........................
Sept. 6, 1965 (agreement
dated Nov. 23,1964).

Dec. 6,1965 ....................
Mar. 7,1966 ..........................
June 6,1966 ..........................
Sept. 5,1966 ..........................
Sept. 5,1966 (agreement dated
Nov. 23,1964).

Dec. 5,1966 ..........................
Mar. 6,1967 ..........................
June 5,1967 ..........................
Oct. 25, 1967 (agreement of
same date).

Applications, exceptions, and other
related matters

Provisions
No change.
1-cent-an-hour increase.
1-cent-an-hour increase.
No change.

Quarterly review of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
Quarterly adjustment of cost-of-living allowance.
The company and union agreed to divert the 2-cent-an-hour
cost-of-living adjustment that would have been due, and
the 1964 annual improvement factor increase negotiated
by the parties toward the cost of other economic benefit
improvements.22
Agreement provided for inequity adjustments amounting to
1 cent an hour when averaged over all employees in the
bargaining unit.
Agreement also: (1) Provided two deferred improvement
factor increases effective Sept. 6, 1965, and Sept. 5,
1966; (2) incorporated 9 cents of the 14-cent cost-ofliving allowance in effect on Sept. 6, 1964, into base
hourly rates; 20 (3) revised the cost-of-living escalator
clause to provide quarterly adjustments of 1 cent an
hour for each 0.4-point change in the Bureau of Labor
S ta tistic s Consumer Price Index (New Series,
1957-59=100) above 106.1. If the CPI fell below 106.5,
the cost-of-living allowance would be 0.23
1-cent-an-hour increase.
Quarterly adjustment of cost-of-living allowance.
1-cent-an-hour increase.
Quarterly adjustment of cost-of-living allowance.
1-cent-an-hour increase.
Quarterly adjustment of cost-of-living allowance.
2-cents-an-hour increase.
Quarterly adjustment of cost-of-living allowance.
6cents-an-hour increase or Deferred improvement factor adjustment.
lY i
percent of base rates, whichever
was greater (increase ranged from
6 to 12 cents an hour; BLS
estimated “Big Three” average,
7.4 cents).
No change.
Quarterly review of cost-of-living allowance.
2-cents-an-hour increase.
Quarterly adjustment of cost-of-living allowance.
4-cents-an-hour increase.
Quarterly adjustment of cost-of-living allowance.
2cents-an-hour increase.
Quarterly adjustment of cost-of-living allowance.
7-cents-an-hour increase or 2.8 per­ Deferred improvement factor adjustment.
cent of base rates, whichever was
greater (increase ranged from 7 to
13.5 cents an hour), plus 2 cents
an hour across the board; BLS
estimated “Big Three” average,
10.5 cents.
3-cent-an-hour increase.
Quarterly adjustment of cost-of-living allowance.
No change.
Quarterly review of cost-of-living allowance.
2-cents-an-hour increase.
Quarterly adjustment of cost-of-living allowance.
20-cents-an-hour increase.
Additional 30-cents-an-hour increase to skilled trades
employees (BLS estimated “Big Three” average, 4.5
cents), and an average of 0.2-0 4 cent per hour per
worker was to be used for correction of wage inequities,
to be allocated by joint union-management committees.
Agreement also: (1) Provided two deferred improvement
factor increases, effective Nov. 25, 1968, and Nov. 24,
1969; (2) incorporated 18 cents of the 23-cent cost-ofliving allowance in effect on Oct. 24, 1967, into base
hourly rates;20 (3) established flat rates for all classifica­
tions, except skilled trades, effective the first year. The
maximum rate for each spread rate classification became
the new job rate, and employees earning below the
maximum were increased to that level; (4) established a
uniform spread of 20 cents an hour, in 5-cent incre­
ments, between minimum and maximum rates for all
skilled trades spread rate classifications, except leader.
All employees, except changeover or upgrader, and
leader, receive a rate of not less than the midpoint of the
rate spread for their classification; and (5) revised the

See footnotes at end of table.



14

Table 1. General wage changes1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions

Oct. 25, 1967 (agreement of
same date) - continued

Oct. 28, 1968 (agreement
dated Oct. 25,1967).
Nov. 25, 1968 (agreement
dated Oct. 25,1967).
Oct. 27, 1969 (agreement
dated Oct. 25,1967).
Nov. 24, 1969 (agreement
dated Oct. 25,1967).
Sept. 15, 1970 (agreement
dated Dec. 7,1970).
Nov. 2, 1970 (agreement
dated Dec. 7,1970).

cost-of-living escalator formula to provide annual,
instead of quarterly, adjustments in October 1968 and
1969 subject to stated maximums and minimums. The
1968 and 1969 adjustments were determined by com­
paring the average Consumer Price Index for May, June,
and July of that year over the same 3 months in
1967.24 The established 5-cent allowance was in effect
during the first year of the 1967 contract. During the sec­
ond year, the allowance range was from a minimum of 8
cents to a maximum of 13 cents. During the third year,
the allowance range was from a minimum of 11 cents to
a maximum of 21 cents. In both the second and third
years of the agreement the maximum allowance was
paid. The third year table was offset by an additional 1
cent and an additional holiday, Easter Monday in 1970,
was provided instead. In prior agreements the cost-ofliving allowance was paid weekly. During the second and
third year of the 1967 agreement, that portion of the
allowance payable that was applicable to straight-time
hours worked was paid quarterly in a separate check. In
a separate company letter, dated Oct. 22, 1967, the
1967 settlement also provided that any hourly increases
which would have been payable under an extension of
the escalator clause in the 1964 agreement, which were
in excess of increases provided under the escalator clause
in the 1967 contract, would be available, effective Sept.
15, 1970, to be spent for wages or other benefits for
employees as may be agreed upon by the parties and
provided in the agreement next succeeding the 1967
contract.
Annual adjustment of cost-of-living allowance.

8-cents-an-hour increase.
3-percent increase, ranging from 9Vi
to 17 cents an hour 25(BLS esti­
mated “Big Three” average, 10.9
cents).
8-cents-an-hour increase.
3-percent increase, ranging from 9.5
to 17.5 cents an hour 25 (BLS
estimated “Big Three” average,
11.3 cents).
26-cents-an-hour increase but not
added to base rates until Nov. 2,
1970.26 27
Increase added to base rates ranging
from 46.5 to 58 cents an hour
(which included the 26-cent pay­
ment that was retroactive to Sept.
15, 1970 but not added to base
rates until Nov. 2,1970).28

See footnotes at end of table.



15

Improvement factor adjustment,

Annual adjustment of cost-of-living allowance.
Improvement factor adjustment.

Amount available under terms of a separate company letter
dated Oct. 22, 1967, concerning the cost-of-living
allowance.26
Agreement also: (1) Provided two deferred improvement
factor increases effective Nov. 22, 1971 and Nov. 20,
1972; (2) incorporated 16 cents of the 21-cent accumu­
lated cost-of-living allowance into base rates effective
Nov. 2, 1970; (3) revised the escalator formula to
provide “no-ceiling” adjustments of 1 cent for each
0.4-point increase in the Bureau of Labor Statistics
Consumer Price Index 1957-59=100 beginning Dec. 6,
1971, based on the 3-month average of the BLS-CPI for
August, September, and October 1971, and quarterly
adjustments beginning in March 1972 (through June
1973), based respectively on the 3-month averages of the
Indexes for November and December 1971 and January
1972 and averages for 3-calendar-month periods there­
after;29 (4) provided that other-than-skilled trades
employees hired or rehired on or after Nov. 2, 1970
were to receive hiring rate 20 cents below job rate for
first 4 weeks and then 10 cents below job rate until
regular rate was reached after 8 weeks; and

Table 1. General wage changes1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions

Nov. 2, 1970 (agreement
dated Dec. 7,1970).
continued.
Nov. 22, 1971 (agreement
dated Dec. 7,1970).

Increases ranging from 9.5 to 21
cents an hour.30

Dec. 6,1971

14-cents-an-hour increase.

Mar. 1972, first full pay
period in month.

2-cents-an-hour increase.

June 1972, first full pay
period in month.

3-cents-an-hour increase.

Sept. 1972, first full pay
period in month.

3-cents-an-hour increase.

Nov. 20, 1972 (agreement
dated Dec. 7,1970).
Dec. 1972, first full pay
period in month.

Increases ranging from 9.5 to 21
cents an hour.30
3-cents-an-hour increase.

Mar. 1973, first full pay
period in month.

3-cents-an-hour increase.

June 1973, first full pay
period in month.

7-cents-an-hour increase.

(5) established a wage inequity fund of 0.5 cent per hour
per employee to correct inequities based on claims
submitted before Aug. 14,1970, with adjustments to be
effective Nov. 22, 1971, before application of the
improvement factor increase.
Improvement factor increase. This increase was based on
base rates before Nov. 22, 1971 plus inequity adjust­
ment increases effective Nov. 22, 1971 for selected
occupations amounting to 0.5 cent per hour when
averaged over all employees in bargaining unit.
Adjustment in cost-of-living allowance based on average of
BLS Consumer Price Indexes for August, September,
and October 1971.29
Adjustment in cost-of-living allowance based on average of
BLS Consumer Price Indexes for November and
December 1971 and January 1972.29
Adjustment in cost-of-living allowance based on average of
BLS Consumer Price Indexes for February, March, and
April 1972.29
Adjustment in cost-of-living allowance based on average of
BLS Consumer Price Indexes for May, June, and July
1972.29
Improvement factor increase.
Adjustment in cost-of-living allowance based on average of
BLS Consumer Price Indexes for August, September,
and October 1972.29
Adjustment in cost-of-living allowance based on average of
BLS Consumer Price Indexes for November and
December 1972 and January 1973.29
Adjustment in cost-of-living allowance based on average
of BLS Consumer Price Indexes for February, March,
and April 1973.29

1 G en eral w age chan g es are c o n stru e d as u p w a rd o r d o w n w ard a d ju s tm e n ts affe c tin g a su b sta n tia l n u m b e r o f w o rk e rs a t o n e tim e .
N o t in clu d e d w ith in th e te rm are a d ju s tm e n ts in in dividual ra te s (p ro m o tio n s, m e rit in creases, e tc .) a n d m in o r a d ju s tm e n ts in w age
s tru c tu re th a t d o n o t have an im m e d ia te a n d n o tic e ab le effect on th e average w age level.
T h e g en eral chan g es liste d in th is c h ro n o lo g y w ere th e m ajo r changes affe c tin g w age ra te s du rin g th e p e rio d co v ered . B ecause o f
o m issio n o f n o n g e n era l changes in ra te s a n d o th e r fa c to rs, th e to ta l o f th e general w age changes w ill n o t necessarily co in cid e w ith th e
m o v em en t o f stra ig h t-tim e average h o u rly earnings.
2 In d u strie s sp ecified w e re: A u to , c e m e n t, glass, ste el, an d tires.
3 F o r d etails o f cost-of-living p ro v isio n , see Wage C h ro n o lo g y: G eneral M o to rs C orp., 1 9 3 9 -6 6 (B LS B u lletin 1 5 3 2 ), o r “ Wage
C h ro n o lo g y N o . 9 —G eneral M o to rs C o rp ., 1939-49 " M o n t h ly Labor R e v ie w , S e p tem b e r 1 949.
4 T h e p a rtie s agreed to a d d 1.3 p o in ts to th e B ureau o f L ab o r S ta tistics C on su m ers Price In d e x in c o m p u tin g th e cost-of-living
allo w an ce to c o m p e n sa te fo r th e u n d e rs ta te m e n t o f th e in d e x ’s r e n t c o m p o n e n t. T h e increase fro m th e 0 .8 -p o in t a d ju s tm e n t
p rev io u sly u sed w as m ad e o n th e basis o f a n e w a n d m ore precise e stim a te issued b y BLS.
5 O n M ar. 3, 1 9 5 1 , th e p a rtie s agreed to re in s ta te th e 0 .8 a d ju s tm e n t in c o m p u tin g th e cost-of-living allow ance.
6 T h e n e w a g reem en t p ro v id ed th a t fu tu re cost-of-living a d ju s tm e n ts be b ased o n th e R evised Series C o n su m e r P rice In d ex
(1 9 4 7 -4 9 = 1 0 0 ) as fo llo w s:
C ost-of-living
allow ance
C o n su m er Price In d e x
(c e n ts p e r h o u r)
110.8
110.9
11 1 .6
112.2
112.9
113 .6
114.2
11 4 .8

or
to
to
to
to
to
to
to

l e s s ..................................
1 1 1 . 5 ...........................................
1 1 2 . 1 ..........................................
1 1 2 . 8 ..........................................
1 1 3 . 5 ..........................................
1 1 4 . 1 ...........................................
1 1 4 . 7 ..........................................
1 1 5 . 3 ..........................................

N one
1
2
3
4
5
6
7

a n d so f o r th , w ith a 1-cent change fo r each
0 .6 -p o in t change in th e in d ex .

7
T he a n n u al im p ro v e m e n t fa c to r a n d o th e r in creases w ere n o t in clu d ed in th e base ra te s used fo r c alcu latin g in ce n tiv e p a y a t th e
S teel D ivision.
3 T his a n d o th e r averages in th is ta b le e stim a te d b y th e B u reau o f L a b o r S ta tistics.




9
u n io n .
10

T hese a m o u n te d to an e stim a te d increase o f a b o u t 1.3 c en ts averaged over all e m p lo y ees o f th e c o m p a n y re p re se n ted by th e
T he n ew ag reem en t p ro v id ed th a t fu tu re cost-of-living a d ju s tm e n ts be d e te rm in e d in acco rd an ce w ith th e fo llow ing tab le :
C ost-of-living
allow ance
(c e n ts p e r h o u r)

C o n su m er Price In d e x
110.8
110.9
1 1 1 .6
112.2
112.9
113.6
114.2
114.7
115.2

or
to
to
to
to
to
to
to
to

l e s s ..................................
1 1 1 . 5 ..........................................
1 1 2 . 1 ..........................................
1 1 2 . 8 ..........................................
1 1 3 . 5 ..........................................
1 1 4 . 1 ..........................................
1 1 4 . 6 ..........................................
1 1 5 . 1 ..........................................
1 1 5 . 6 ..........................................

N one
1
2
3
4
5
6
7
8

an d so f o r th , w ith a 1-cent change fo r each
0 .5 -p o in t change in th e in d ex .
11 Im p ro v em en t fa c to r and cost-of-living increases w ere p ay able to incentive w o rk e rs b u t n o t in clu d ed in th e ir base ra te s u sed in
in cen tiv e pay calcu latio n s.
12 T hese a m o u n te d t o an e stim a te d increase o f 1.4 c en ts averaged over all em p lo y e es o f th e c o m p a n y re p re se n te d by th e u n io n .
13 E ffective S ep t. 1, 1 9 5 8 , n ew a p p re n tic e s to be p aid an h o u rly ra te plus a p ercen tag e o f th e m ax im u m jo u rn e y m a n ’s ra te ,
d ep en d in g o n n u m b er o f h o u rs w o rk e d in th e sh o p .
14 E x cep t base ra te s u sed in in centive pay calcu latio n s.
15 T he n ew a g reem en t p ro v id ed th a t fu tu re cost-of-living a d ju s tm e n ts be d e te rm in e d in acco rd an ce w ith th e fo llo w in g tab le :
C ost-of-living
allow ance
(c e n ts p e r h o u r)

C o n su m er Price In d e x
119.1
119.2
119.7
120.2
120.7
121.2
121.7
122.2
122.7
123.2
123.7
124.2
124.7
125.2
125.7
126.2

or
to
to
to
to
to
to
to
to
to
to
to
to
to
to
to

less ..........................
1 1 9 . 6 .......................
1 2 0 . 1 ........................
1 2 0 . 6 .......................
1 2 1 . 1 .......................
1 2 1 . 6 .......................
1 2 2 . 1 .......................
1 2 2 . 6 .......................
1 2 3 . 1 .......................
1 2 3 . 6 .......................
1 2 4 . 1 .......................
1 2 4 . 6 .......................
1 2 5 . 1 .......................
1 2 5 . 6 .......................
1 2 6 . 1 .......................
1 2 6 . 6 .......................

N one
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15

and so f o r th , w ith a 1-cent a d ju stm e n t fo r each
0 .5 -p o in t change in th e in d ex .
As in th e p rev io u s agreem en ts, th e cost-of-living a d ju stm e n ts w ere to be based o n th e BLS C o n su m e r Price In d e x fo r th e m o n th s
o f Ja n u a ry , A p ril, Ju ly , an d O c to b er.

1^ T he 2y2-percent increase (m in u s 2 c en ts in 1 9 6 1 ) ap plied to straig h t-tim e h o u rly ra te s, exclu d in g th e cost-of-living allow ance in
effe c t an d sh ift p re m iu m s, as follow s:
H o u rly a n n u al im p ro v e m en t
fa c to r increase in c e n ts —
S tra ig h t-tim e h o u rly w age ra te

1961

1962 an d 1963

Less th a n
$ 2 .5 0 b u t
$2 .7 0 b u t
$2 .9 0 b u t
$ 3 .1 0 b u t
$ 3 .3 0 b u t
$ 3 .5 0 b u t
$ 3 .7 0 b u t
$ 3 .9 0 b u t
$ 4 .1 0 b u t
$ 4 .3 0 b u t
$ 4 .5 0 b u t
$ 4 .7 0 b u t

4 .0
4.5
5.0
5.5
6.0
6.5
7.0
7.5
8. 0
8. 5
9. 0
9. 5
10.0

6.0
6.5
7.0
7.5
8.0
8.5
9.0
9.5
10.0
10.5
11.0
11.5
12.0

$ 2 . 5 0 ..........................
less th a n $ 2 .7 0 . . . .
less th a n $ 2 .9 0 . . . .
less th a n $ 3 .1 0 . . . .
less th a n $ 3 .3 0 . . . .
less th a n $ 3 .5 0 . . . .
less th a n $ 3 .7 0 . . . .
less th a n $ 3 .9 0 . . . .
less th a n $ 4 .1 0 . . . .
less th a n $ 4 .3 0 . . . .
less th a n $ 4 .5 0 . . . .
less th a n $ 4 .7 0 . . . .
less th a n $ 4 .9 0 . . . .

1n

T he average increase fo r th e “ Big 3 ” is th e B ureau o f L ab o r S ta tistics e stim a te o f th e cen ts-p e r-h o u r increase fo r p ro d u c tio n
w o rk ers e m p lo y e d b y G en eral M o to rs, F o rd , and C hrysler.




17

18

T he a n n u al im p ro v e m en t fa c to r increases due S ep t. 3 y 1 9 6 2 , a n d S ept. 2, 1 9 6 3 , w ere to be re d u ce d by 25 p e rc e n t o f th e
increase in average m o n th ly insu ran ce base p rem iu m s above th e Ja n u a ry 1962 average base p re m iu m . T his w as to be d o n e a fte r th e
Ja n u a ry base w as a d ju ste d fo r th e increase in p rem iu m s b etw een Ja n . 1, 19 6 2 , and Ju ly 3 1 , 1 9 6 2 , resu ltin g fro m im p ro v e m en ts in plans
o u tsid e o f M ichigan. H ow ever, since th e 2 c e n ts o f th e first y e a r’s a n n u al im p ro v e m en t fa c to r w as used to o ffse t a p o rtio n o f th e cost
o f th is in su ra n ce , w h ich co u ld n o t be effective im m e d ia tely , th e c o m p an y w aived th e e m p lo y e e s’ share o f th e in creased co st fo r th e
d u ra tio n o f th e a g reem en t.
19 A ssu m p tio n o f th is co st ite m b y th e c o m p a n y is e stim a te d to have increased e m p lo y e e s’ tak e -h o m e p a y by a p p ro x im a te ly 6.5
c en ts an h o u r.
AA

A lso ap p licab le to base ra te s used in in cen tiv e pay c alcu la tio n s.
21

T he n ew a g reem en t p ro v id ed th a t fu tu re cost-of-living a d ju s tm e n ts be d e te rm in e d in acc o rd an c e w ith th e fo llo w in g ta b le :

C o n su m er Price In d e x
(1 9 4 7 -4 9 = 1 0 0 )
125.6
125.7
126.2
126.7
127.2
127.7
128.2
128.7
129.2
129.7
130.2
130 .7
131.2
131.7
132.2
132.7

o r l e s s .................................
to 1 2 6 . 1 ............................
to 1 2 6 . 6 ............................
to 1 2 7 . 1 ............................
to 1 2 7 . 6 ............................
to 1 2 8 . 1 ............................
to 1 2 8 . 6 ............................
to 1 2 9 . 1 ............................
to 1 2 9 . 6 ............................
to 1 3 0 . 1 ............................
to 1 3 0 . 6 ............................
to 1 3 1 . 1 ............................
to 1 3 1 . 6 ............................
to 132.1
.......................
to 1 3 2 . 6 ............................
to 1 3 3 . 1 ............................

H o u rly
cost-of-living
allow ance
(in c e n ts)
N one
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15

and so f o r th , w ith a 1-cent a d ju s tm e n t fo r each
0 .5 -p o in t increase in th e in d ex .
As in p rev io u s a g reem en ts, th e cost-of-living review in D ecem b er, M arch, J u n e , and S e p tem b e r w as to be b ased o n th e BLS
C o n su m er Price In d e x fo r th e m o n th s o f O c to b e r, Ja n u a ry , A pril, and J u ly , respectively.
2 2 T h e e m p lo y e e ’s tak e -h o m e pay w as in creased, h ow ever, as a re su lt o f th e c o m p a n y ’s a ssu m p tio n o f th e w o r k e r ’s sh are o f th e
p re m iu m fo r life, an d sickness an d acc id e n t insu ran ce.
23 T he a g reem en t p ro v id ed th a t fu tu re cost-of-living a d ju stm e n ts be d e te rm in e d acc o rd in g to th e fo llo w in g tab le :

C onsum er Price In d ex
(1 9 5 7 -5 9 = 1 0 0 )

H o u rly
cost-of-living
allow ance
(in c en ts)

106 .4 o r l e s s .................................
N one
106.5 to 1 0 6 . 8 ............................
1
106.9 to 1 0 7 . 2 ............................
2
107.3 to 1 0 7 . 6 ............................
3
107.7 to 1 0 8 . 0 ............................
4
108.1 to 1 0 8 . 4 ......................
5
108.5 to 1 0 8 . 8 ............................
6
108.9 to 1 0 9 . 2 ............................
7
109.3 to 1 0 9 . 6 ............................
8
109.7 to 1 1 0 . 0 ............................
9
110.1 t o 1 1 0 . 4 ............................
10
and so f o r th w ith a 1-cent a d ju s tm e n t fo r each
0 .4 -p o in t change in th e in d ex .
As in p rev io u s a g reem en ts, cost-of-living review s in D ecem b er, M arch, Ju n e , an d S e p tem b e r w ere to be b ased o n th e B u reau o f
L ab o r S ta tistics C o n su m er Price In d e x fo r O c to b e r, Ja n u a ry , A p ril, a n d Ju ly , resp ectiv ely .
T he p a rties co n v erted th e in d ex range to a 1957-59 base by using th e sta n d ard co n v ersio n fa c to r (0 .8 1 4 9 9 5 9 ).
T h e cost-of-living allow ance c u rre n tly in e ffe c t c o n tin u e d t o b e in clu d e d in c o m p u tin g o v e rtim e, S u n d a y , h o lid a y a n d shift
p re m iu m s, a n d in d e te rm in in g call-in pay and p ay fo r vacatio n s and u n w o rk e d h o lid ay s. T h e 1964 ag reem en t p ro v id ed t h a t th e
cost-of-living allo w an ce also w o u ld be in clu d ed in c o m p u tin g ju ry d u ty a n d b e reav em en t p a y .




18

24 The agreement provided that future cost-of-living adjustments be determined according to the following tables:
E ffectiv e O c to b e r 2 8 , 1 9 6 8 :
3 -m o n th average
C o n su m er Price In d e x
(1 9 5 7 -5 9 = 1 0 0 )
11 7 .5
1 1 7 .6
1 1 8 .0
1 1 8 .4
1 1 8 .8
1 1 9 .2

or
to
to
to
to
or

l e s s ..................................
1 1 7 . 9 .............................
1 1 8 . 3 .............................
1 1 8 . 7 .............................
1 1 9 . 1 .............................
m o re .............................

E ffectiv e O c to b e r 2 7 , 1 969:
H o u rly
cost-of-living
allow ance
(in c e n ts)

3 -m o n th average
C o n su m er Price In d e x
(1 9 5 7 -5 9 = 1 0 0 )

8
9
10
11
12
13

118 .7
1 1 8 .8
119 .2
1 1 9 .6
120 .0
1 2 0 .4
1 2 0 .8
121.2
121 .6
12 2 .0
1 2 2 .4
1 2 2 .8

or
to
to
to
to
to
to
to
to
to
to
or

l e s s ..................................
1 1 9 . 1 .............................
1 1 9 . 5 .............................
1 1 9 . 9 .............................
1 2 0 . 3 .............................
1 2 0 . 7 .............................
1 2 1 . 1 ............................
1 2 1 . 5 .............................
1 2 1 . 9 .............................
1 2 2 . 3 ............................
1 2 2 . 7 .............................
m o re ............................

H o u rly
cost-of-living
allow ance
(in c e n ts)
11
11*
12
13
14
15
16
17
18
19
20
21

* 1 c e n t t o be ap p lied to w a rd e sta b lish m e n t o f
1 a d d itio n a l h o lid a y in 197 0 .
T he cost-of-living allow ance in effe c t c o n tin u e d to be in clu d e d in c o m p u tin g ov ertim e an d sh ift p re m iu m s, an d in d e te rm in in g
call-in p ay a n d p ay fo r v a ca tio n s, u n w o rk e d h o lid a y s, ju ry d u ty , a n d b e rea v em e n t. T he 1967 ag reem en t pro v id ed th a t th e cost-of-living
allow ance also w o u ld be in clu d e d in c o m p u tin g pay fo r s h o rt-te rm m ilita ry d u ty .
25
T h e 3 -p ercen t increases, effectiv e in 196 8 a n d 1 9 6 9 , a p p lie d to stra ig h t-tim e h o u rly ra te s, ex clu d in g th e cost-of-living allow an ce
in e ffe c t a n d sh ift p re m iu m s, as fo llo w s:

S tra ig h t-tim e h o u rly w age ra te

H o u rly
im p ro v e m en t
fa c to r increase
(in c en ts)

Less th a n $ 3 . 2 5 ..........................
$ 3 .2 5 b u t less th a n $ 3 .4 2 . . . .
$ 3 .4 2 b u t less th a n $ 3 ,5 8 5 . . .
$ 3 ,5 8 5 b u t less th a n $ 3 .7 5 . . .
$ 3 .7 5 b u t less th a n $ 3 .9 2 . . . .
$ 3 .9 2 b u t less th a n $ 4 ,0 8 5 . . .
$ 4 ,0 8 5 b u t less th a n $ 4 .2 5 . . .
$ 4 .2 5 b u t less th a n $ 4 .4 2 . . . .
$ 4 .4 2 b u t less th a n $ 4 ,5 8 5 . . .
$ 4 ,5 8 5 b u t less th a n $ 4 .7 5 . . .
$ 4 .7 5 b u t less th a n $ 4 .9 2 . . . .
$ 4 .9 2 b u t less th a n $ 5 ,0 8 5 . . .
$ 5 ,0 8 5 b u t less th a n $ 5 .2 5 . . .
$ 5 .2 5 b u t less th a n $ 5 .4 2 . . . .
$•5.42 b u t less th a n $ 5 ,5 8 5 . . .
$ 5 ,5 8 5 b u t less th a n $ 5 .7 5 . . .
$ 5 .7 5 b u t less th a n $ 5 .9 2 . . . .

9.5
10.0
10.5
11.0
11.5
12.0
12.5
13.0
13.5
14.0
14.5
15.0
15.5
16.0
16.5
17.0
17.5

2 6 See te rm s o f le tte r u n d e r listing o f O c to b e r 2 5 ,1 9 6 7 c o n tra c t term s in th is tab le .
2 7 F ro m S e p tem b e r 15, 1 9 7 0 to N o vem ber 2 , 1 9 7 0 , th e 26 c en ts w as n o t to be ta k e n in to a c c o u n t fo r in cen tiv e p a y c alcu la tio n s
n o r ad d ed to h o u rly base ra te s fo r in su ran ce, re tire m e n t, o r SU B plans.




19

T he in crease, w h ich in clu d ed th e 26 c en ts m ade re tro a c tiv e to S e p tem b e r 15,, 1970 b u t n o t ad d ed to base ra te s u n til N o v em b er
2 , 1 9 7 0 , available u n d e r te rm s o f th e le tte r o f ag reem en t d a te d O c to b e r 2 2 , 19 6 7 , ap plied to base h o u rly ra te s (ex clu d in g cost-of-living
allo w an ce in e ffe c t a n d sh ift p rem iu m s) as follow s:

Base ra te b efo re N ov. 2 , 1970

A m ount
o f increase
(in c en ts)

Less th a n $ 2 ,5 8 5 .......................
$ 2 ,5 8 5 b u t less th a n $2.75 . . .
$2 .7 5 b u t less th a n $ 2 .9 2 . . . .
$ 2 .9 2 b u t less th a n $ 3 ,0 8 5 . . .
$ 3 ,0 8 5 b u t less th a n $3.2 5 . . .
$3 .2 5 b u t less th a n $ 3 . 4 2 ___
$ 3 .4 2 b u t less th a n $ 3 ,5 8 5 . . .
$ 3 ,5 8 5 b u t less th a n $3.75 . . .
$ 3 .7 5 b u t less th a n $ 3 . 9 2 ___
$ 3 .9 2 b u t less th a n $ 4 ,0 8 5 . . .
$ 4 ,0 8 5 b u t less th a n $4 .2 5 . . .
$ 4 .2 5 b u t less th a n $ 4 .4 2 . . . .
$ 4 .4 2 b u t less th a n $ 4 ,5 8 5 . . .
$ 4 ,5 8 5 b u t less th a n $4.7 5 . . .
$ 4 .7 5 b u t less th a n $ 4 . 9 2 ___
$ 4 .9 2 b u t less th a n $ 5 ,0 8 5 . . .
$ 5 ,0 8 5 b u t less th a n $5.2 5 . . .
$ 5 .2 5 b u t less th a n $ 5 . 4 2 ___
$ 5 .4 2 b u t less th a n $ 5 ,5 8 5 . . .
$ 5 ,5 8 5 b u t less th a n $ 5 .7 5 . . .
$ 5 .7 5 b u t less th a n $ 5 ,8 3 5 . . .
$ 5 ,8 3 5 b u t less th a n $ 5 .9 0 . . .
$ 5 .9 0 b u t less th a n $ 5 . 9 7 ____
$ 5 .9 7 th ro u g h $ 6 .0 3 ................

4 6 .5
47
4 7 .5
48
4 8 .5
49
4 9 .5
50
50.5
51
51.5
52
52.5
53
53.5
54
54.5
55
55.5
56
56.5
57
57.5
58

29

T he ag reem en t p ro v id ed th a t cost-of-living a d ju s tm e n ts effective D ecem b er 6 , 1 9 7 1 , a n d q u a rte rly th e re a fte r (b eg inning first fu ll
pay p e rio d in M arch 1 972 u p to Ju n e 1, 1 9 7 3 ) be d e te rm in e d as fo llow s:




3 -m o n th average
C o n su m er Price In d e x *
(1 9 5 7 -5 9 = 1 0 0 )
134.8
134.9
1 35.3
135.7
136.1
136.5
136.9
137 .3
137.7
138.1
138.5
13 8 .9
13 9 .3
139 .7
140.1
140.5
140.9
141.3
141.7
142.1
142.5

or
to
to
to
to
to
to
to
to
to
to
to
to
to
to
to
to
to
to
to
to

l e s s ..................................
1 3 5 . 2 .............................
1 3 5 . 6 .............................
1 3 6 . 0 .............................
1 3 6 . 4 .............................
1 3 6 . 8 .............................
1 3 7 . 2 ............................
1 3 7 . 6 .............................
1 3 8 . 0 ............................
1 3 8 . 4 .............................
1 3 8 . 8 ............................
1 3 9 . 2 .............................
1 3 9 . 6 .............................
1 4 0 . 0 .............................
1 4 0 . 4 ............................
1 4 0 . 8 .............................
1 4 1 . 2 ............................
1 4 1 . 6 .............................
1 4 2 . 0 .............................
1 4 2 . 4 .............................
1 4 2 . 8 .............................

H o u rly
cost-of-living
allow ance
(in c e n ts)
N one
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20

an d so f o r th , w ith a 1-cent a d ju s tm e n t fo r each
0 .4 -p o in t change in th e average In d ex (ro u n d e d to
th e n earest 0.1 In d ex p o in t) fo r th e a p p ro p ria te
3 m o n th s .
*T he cost-of-living review in D ecem b er 1971 w as
to be based o n th e 3 -m o n th average o f th e C o n su m er
Price In d ex es fo r A u g u st, S e p te m b e r, a n d O c to b e r
1 9 7 1 , an d q u a rte rly review s beginning in M arch
1972 w ere to be based o n th e 3 -m o n th averages o f
th e In d e x es fo r N o vem ber and D ecem b er 1971 a n d
Ja n u a ry 1972 a n d at 3 c alen d ar m o n th in terv als
th e re a fte r, resp ectiv ely .

20

T h e 3-p ercen t in creases, effective in 1971 and 19 7 2 , ap p lied to base h o u rly ra te s (ex clu d in g th e cost-of-living allow ance in e ffe c t
an d sh ift p rem iu m s) as fo llo w s:




Base ra te b e fo re increase

H o u rly
im p ro v e m en t
fa c to r increase
(in c e n ts)

Less th a n $ 3 . 2 5 ..........................
$ 3 .2 5 b u t less th a n $ 3 .4 2 . . . .
$ 3 .4 2 b u t less th a n $ 3 ,5 8 5 . . .
$ 3 ,5 8 5 b u t less th a n $3.7 5 . . .
$ 3 .7 5 b u t less th a n $3.9 2 . . . .
$ 3 .9 2 b u t less th a n $ 4 ,0 8 5 . . .
$ 4 ,0 8 5 b u t less th a n $4 .2 5 . . .
$ 4 .2 5 b u t less th a n $ 4 .4 2 . . . .
$ 4 .4 2 b u t less th a n $ 4 ,5 8 5 . . .
$ 4 ,5 8 5 b u t less th a n $4 .7 5 . . .
$ 4 .7 5 b u t less th a n $ 4 .9 2 . . . .
$ 4 .9 2 b u t less th a n $ 5 ,0 8 5 . . .
$ 5 ,0 8 5 b u t less th a n $ 5.25 . . .
$ 5 .2 5 b u t less th a n $ 5 .4 2 . . . .
$ 5 .4 2 b u t less th a n $ 5 ,5 8 5 . . .
$ 5 ,5 8 5 b u t less th a n $ 5.75 . . .
$ 5 .7 5 b u t less th a n $ 5 .9 2 . . . .
$ 5 .9 2 b u t less th a n $ 6 ,0 8 5 . . .
$ 6 ,0 8 5 b u t less th a n $6 .2 5 . . .
$ 6 .2 5 b u t less th a n $ 6 .4 2 . . . .
$ 6 .4 2 b u t less th a n $ 6 ,5 8 5 . . .
$ 6 ,5 8 5 b u t less th a n $6.75 . . .
$ 6 .7 5 b u t less th a n $ 6 .9 2 . . . .
$ 6 .9 2 th ro u g h $ 7 .0 8 ................

9. 5
10
10.5
11
11.5
12
12.5
13
13.5
14
14.5
15
15.5
16
16.5
17
17.5
18
18.5
19
19.5
20
20.5
21

21

Table 2. Hourly job rates,1 selected occupations, 1941-722
Occupation
Janitors3 ....................................
Assemblers, major3 ...................
Pipefitters..................................
Toolmakers................................

June 20, June 25,
1941
1942

Jan. 5,
1946

May 31, July 16,
1948
1947

Sept. 1,
1950

June 1,
1951

June 1,
1952

June 1,
19534

June 1,
1954

$1,130
1.330
1.580
1.780

$1,245
1.445
1.745
1.895

$1,375
1.575
1.875
2.025

$1,375
1.575
1.925
2.075

$1,415
1.615
1.965
2.115

$1,455
1.655
2.005
2.155

$1,695
1.895
2.345
2.495

$1,745
1.945
2.395
2.545

June 1,
1956

June 1,
1957

Sept. 1,
19585

Aug. 1,
1959

Sept. 1,
1960

Oct. 2,
1961®

Sept. 3,
1962

Sept. 2,
1963

Sept. 7,
19647

$1,805
2.005
2.535
2.690

$1,865
2.065
2.600
2.755

$1,925
2.125
2.665
2.825

$2,135
2.335
2.960
3.125

$2,195
2.395
3.035
3.205

$2,255
2.455
3.110
3.285

$2,415
2.615
3.290
3.465

$2,475
2.680
3.370
3.550

$2,535
2.745
3.455
3.640

$2,625
2.835
3.545
3.730

Sept. 6,
1965
Janitors3 .......................................
Assemblers, major3 .....................
Pipefitters.....................................
Toolmakers..................................

$0,950
1.150
1.400
1.550

June 1,
1955
Janitors3 .....................................
Assemblers, major3 ...................
Pipefitters..................................
Toolmakers................................

$0,950
1.150
1.350
1.450

Sept. 5,
1966

Oct. 5,
1967®

$2,690
2.905
3.635
3.825

$2,785
3.005
3.755
3.950

$3,165
3.385
4.435
4.630

1 T h e ra te s sh o w n in clu d e o n ly th a t p o rtio n o f th e
cost-of-living allo w an ce in c o rp o ra te d in to base ra te s on s tip u ­
la te d d a te s. E x ce p t fo r assem blers (m ajo r) a n d ja n ito rs since
O c to b e r 2 5 , 1 9 6 7 , w h ich are fla t ra te classifications, ra te s show n
are th e m ax im u m o f th e ra te range fo r each o c c u p a tio n .

$3,260
3.485
4.570
4.770

$3,360
3.590
4.705
4.915

$4,010
4.250
5.395
5.610

$4,130
4.380
5.555
5.780

$4,255
4.510
5.720
5.955

^ T he ra te s sh o w n in c o rp o ra te 15 c e n ts o f th e existing
24 -cen t cost-of-living allow ance in to base ra te s.
^ T he ra te s sh o w n in c o rp o ra te 12 c e n ts o f th e ex istin g
17-cent cost-of-living allow ance in to base ra te s.
7 T he ra te s show n in c o rp o ra te 9 c en ts o f th e ex isting
14-cent cost-of-living allow ance in to base ra te s.

2 T hese basic h o u rly ra te s generally a p p ly to all o f th e
c o m p a n y ’s p lan ts.

® T he ra te s sh o w n in c o rp o ra te 18 c en ts o f th e existing
23-cen t cost-of-living allow ance in to base ra te s.

^ All n o n sk illed w o rk e rs have fla t ra te s a n d are h ired a t 20
c e n ts an h o u r (1 0 c e n ts b e fo re N ov. 2, 19 7 0 ) b e lo w th is ra te .
T h ey receive a 10 -cen t-an -h o u r (5 c en ts b efo re N ov. 2, 19 7 0 )
a d ju s tm e n t a fte r 4 w eek s a n d are increased to th e jo b ra te a fte r 8
w eek s.

9 T he ra te s show n in c o rp o ra te 16 c en ts o f th e ex istin g
2 1 -cent cost-of-living allow ance in to base ra te s as w ell as th e 26
c en ts re tro a ctiv e to S e p t. 15, 1 9 7 0 , a n d ad d ed to base ra te s on
N ov. 2 , 1 9 7 0 , fro m th e a g reem en t d a te d D ec. 7, 1 9 7 0 . (See
tab le 1.)

4 T he ra te s sh o w n in c o rp o ra te 19 c en ts o f th e existing
2 4 -cen t cost-of-living allo w ance in to base ra te s.




Nov. 25, Nov. 24, Nov. 2, Nov. 22, Nov. 20,
1968
1972
1969
1970®
1971

22

Table 3. Supplementary compensation practices1

Effective date

Applications, exceptions, and other
related matters

Provisions
Shift premium pay

June 20,1941 ........................
July 16,1948 ..........................

5 cents an hour premium pay for
work on midnight and afternoon
shifts.
Increased to: 10 cents an hour for
midnight shift and 7 cents an hour
for afternoon shift.

Sept. 28,1949 ........................
Jan. 1 ,1 9 5 1 ............................

Sept. 1, 1958 (agreement
dated Sept. 20,1958).

Shifts defined as follows: Midnight, starting on or after 7
p.m. but before 5 a.m.; afternoon, starting on or after
10:30 a.m. but before 7 p.m.
Increased to: IVi percent of earnings,
including overtime premium pay,
for work on midnight shift and 5
percent for afternoon shift.
Increased to: 10 percent of earnings,
including overtime premium pay,
for work on midnight shift.

Employees working under incentive plans continued to
receive l x percent.
h

Overtime pay
June 20,1941

.......................

Time and one-half for work in excess
of 8 hours a day or 40 a week.
Premium pay for Saturday and Sunday work

June 20,1941

Time and one-half for Saturday work
in excess of 40 hours. Double time
for work on Sunday.

Oct. 1, 19422 (by Executive
Order 9240, Sept. 9,1942).

Changed to: Time and one-half for
work over 40 hours and double
time for 7th day in any 7-day
week.

Sept. 23, 1945 (by letter of
agreement dated Sept. 11,
1945).

Changed back to: Time and one-half
for Saturday work in excess of 40
hours. Double time for work on
Sunday.

Sept. 1, 1950 (by agreement
of Sept. 4,1950).

Sept. 1, 1958 (agreement
dated Sept. 20,1958).

Changed to: Time and one-half for
Saturday work as such.

Oct. 30, 1961 (agreement
dated Oct. 20,1961).

See footnotes at end of table.



23

Employees on 7-day continuous operations working on
Saturdays and Sundays received time and one-half only
for time worked in excess of 8 hours a day and 40 a
week.
Applicable to all employees including those on 7-day
continuous operations. Time lost due to voluntary
absence for a full day not counted for purpose of
computing 7th day of work. Time lost due to
involuntary absence for a full day counted for purpose of
computing 7th day of work provided employee reported
for work.
Employees on 7-day continuous operations working on
Saturdays and Sundays received time and one-half only
for time worked in excess of 8 hours a day and 40 a
week.
Employees on 40-hour rotating schedules on necessary
continuous 7-day operations, whose occupations
involved work on Saturdays, Sundays, or holidays
without payment of overtime or Sunday premium,
received 5-cent-an-hour bonus for hours worked at
straight-time; not included in computing Sunday,
holiday, afternoon, incentive, or vacation pay.
Not applicable to employees on 7-day continuous
operations; in the Steel Division; or regularly scheduled
to work on Saturday-theif’normal fifth day.
Added: Employees regularly scheduled to begin week’s
work at midnight on Tuesday, to receive time and
one-half for shift work on Monday in lieu of the
Saturday premium.

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions

Premium pay for Saturday and Sunday work-continued
Nov. 23, 1964 (agreement of
same date).

Increased to: For employees on 40-hour rotating schedules
on necessary continuous 7-day operations whose
occupations involved work on Saturdays, Sundays, or
holidays-10-cent-an-hour bonus for hours worked at
straight-time; not included in computing overtime,
Sunday, holiday, vacation, incentive, and afternoon- and
night-shift pay.
Added: For employees on necessary continuous 7-day
operations and employees in the Steel Division-time and
one-quarter paid for hours worked on Sunday that were
not payable for overtime, time and one-half paid for
hours on the 6th day worked, and double time for hours
on the 7th day worked in the workweek. To figure the
6th and 7th day, a designated holiday for which an
employee received holiday pay or on which he worked
was considered a day worked.
Changed to: For employees on 40-hour rotating schedules
on necessary continuous 7-day operations whose
occupations involved work on Saturdays, Sundays, or
holidays, except Steel Division-time and one-half paid
for hours worked on the employee’s first or second
regularly scheduled day off in the workweek, except that
double time was paid for hours worked on the
employee’s second regularly scheduled day off if the
employee worked on both of his regularly scheduled
days off in the workweek.

Oct. 25, 1967 (agreement of
same date).

Holiday pay
June'20,1941

Double time for work on 6 specified
holidays. No payment for holidays
not worked.

Holidays were: New Year’s Day, Memorial Day,
Independence Day, Labor Day, Thanksgiving Day, and
Christmas. Not applicable to employees on 7-day
continuous operations.

Oct. 1, 1942 (by Executive
Order 9240, Sept. 9,1942).
Sept. 23, 1945 (by letter of
agreement dated Sept. 11,
1945).
Jan. 5,1946 ............................

C hanged to : T im e a n d o n e -h alf fo r
w o rk o n h o lidays.

A p p licab le to em p lo y e es o n 7-day c o n tin u o u s o p e ratio n s.

Changed back to double time.

Not applicable to employees on 7-day continuous
operations who received no premium holiday pay.

May 31,1947 ..........................

June 8,1955

6 paid holidays established for which
employees with seniority3 receive
8 hours’ straight-time pay. Double
time (total) for holidays worked.
Added: 2 paid half holidays.

Changed to: Double time plus
holiday pay for holidays worked.

See footnotes at end of table.



24

Employees on 7-day continuous operations paid time and
one-half for work on holidays
Applicable to employees on 7-day continuous operations.

Half holidays were: Christmas Eve and New Year’s Eve. If
employee could not be spared without impairing
efficiency of operations or if agreed to locally, the
company could designate in advance some other day as a
7th holiday.
Not applicable to employees on 7-day continuous
operations or in the Steel Division, who continued to
receive double time for holidays worked.
To be eligible for holiday pay, employee must have had
seniority an d A. (1) otherwise have been scheduled to work on that
day, except in the case of half holidays, and (2) have
worked scheduled days before and after holiday; or
B. (1) have been on sick leave and (2) returned to work
in week in which holiday fell; or
C. during holiday or prior week must have (1) been laid
off in reduction of force or (2) gone on sick leave.

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Holiday pay-continued

June 8, 1955 .
-continued

Oct. 30, 1961 (agreement
dated Oct. 20,1961).

Nov. 23, 1964 (agreement of
same date).

Added: 1 paid holiday and 2 paid
half holidays (total 9).

Oct. 25, 1967 (agreement of
same date).

Added: 1 paid holiday (total 10),
plus a possible 11th paid holiday
in 1970 (as provided under the
cost-of-living escalator formula
described in table 1).

Oct. 27, 1969 (agreement
dated Oct. 25,1967).

Added: 1 paid holiday (total 11) as
provided under terms of the
cost-of-living escalator formula.
Changed: Holidays were revised to
provide an unbroken holiday
period from the day before
Christmas through New Year’s
Day. This resulted in 7 workdays
off with pay in the Christmas
holiday period which began in
1970 and 6 workdays off with pay
in each of the periods beginning
1971 and 1972. An additional day
of holiday pay (in lieu of a day.
off) was provided in both 1971
and 1972. In addition, Easter
Monday was eliminated as a
holiday. The net effect of the
holiday revisions was an increase
in the number of paid holidays to
12 (or 11 workdays off with 12
days’ pay for the last 2 contract
years).

Dec. 21, 1970 (agreement
dated Dec. 7,1970).

See footnotes at end of table.



25

Holiday pay provided for holidays falling on Saturday if
employee worked last scheduled day in week. Holidays
recognized by Federal or State Government falling on
Sunday to be observed on Monday.
Employee provided extra day’s pay for holiday during
vacation period.
Holiday pay provided eligible employee on approved leave
of absence of not more than 15 days.
Added: Holiday pay provided employee on layoff who
returned to work following the holiday during week in
which holiday fell.
Holiday pay for incentive employees to include average
hourly incentive earnings for preceding 4 pay periods.
The full holiday was Good Friday, and existing paid half
holidays on December 24 and 31 were increased to paid
full holidays.
Increased to: For employees on necessary continuous 7-day
operations whose occupations involved work on
holidays, and for employees in the Steel Division-double
time and one-quarter for hours worked on any of the
designated holidays, with no pyramiding of holiday pay
and holiday premium.
The holiday was December 23 in 1968, December 26 in
1969, and January 2 in 1970.
Increased to: For employees on necessary continuous 7-day
operations whose occupations involved work on
holidays, and for employees in the Steel Division-double
time and one-half for hours worked on any of the
designated holidays, with no pyramiding of holiday pay
and holiday premium.
The holiday was Easter Monday, 1970.
The holidays consisted of (1) 5 basic holidays-Good
Friday, Memorial Day, 4th of July, Labor Day, and
Thanksgiving Day and (2) a holiday period during the
Christmas holiday season (plus additional days of holiday
pay for Sunday, Dec. 12, 1971, and Sunday, Dec. 17,
1972) as follows:
(a) 1st period-Dec. 24, 25, 28, 29, 30, and 31,1970 and
Jan. 1,1971;
(b) 2d period-Dec. 24, 27, 28, 29, 30 and 31,1971; and
(c) 3rd period-Dec. 25, 26, 27, 28, and 29, 1972 and
Jan. 1,1973.
To be eligible for holiday pay for the holiday period, the
employee must have worked last scheduled workday
before and next scheduled workday after such holiday
period. If for a week which included 1 or more holidays
which fell after Dec. 23 but before following Jan. 2, an
employee received supplement to his pay for such
holiday by receiving an unemployment benefit or
waiting period credit, to which he would not have been
entitled if holiday pay had been treated as remuneration
and qualifying income for unemployment compensa­
tion, a deduction of the lesser of the following amounts
was to be made from employee’s earnings from
company: (a) Amounts equal to his holiday pay for
week in question; or (b) amount equal to either the
unemployment compensation paid or which would have
been paid for each week in question if it had not been
considered a waiting period.

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Holiday pay-continued

Added: Employee could be called to work only in
emergency on following days, which were not paid
holidays (not applicable to those assigned to 7-day
operations, steel operations, 5-day operation in support
of a 7-day operation at Dearborn and Nashville glass
works, and Sunday work which was part of No. 1 shift
Monday):
Sat.-Dec. 26,1970
Sun.-Dec. 27,1970
Sat.-Jan. 2,1971
Sun.-Jan. 3,1971
Sat.-Dec. 25,1971
Sun.-Dec. 26,1971
Sat.-Jan. 1,1972
Sun.-Jan. 2,1972
Sat.-Dec. 23,1972
Sun.-Dec. 24,1972
Sat.-Dec. 30,1972
Sun.-Dec. 31,1972
If otherwise eligible, employee not disqualified for holiday
pay if he declined work assignment on 1 or more of the
above days.

Dec. 21, 1970 (agreement
dated Dec. 7,1970) continued.

Paid vacations
June 20,1941 ........................
July 1, 1942 (by directive
orders of NWLB, Oct. 16
and Nov. 20,1942).

No provision for paid vacations.
1-week vacation with 40 hours’ pay
at basic rates for employees with
1 but less than 5 years on the
payroll and at least 1 year’s
seniority status; 2 weeks’, or 80
hours’ pay, with 5 or more years
on the payroll and seniority
status.

Employees required to be on payroll for at least 32 weeks
in preceding year to be eligible for full vacation benefits.
Half benefits paid to employees with 16 to 32 weeks’
employment.

Dec. 1,1946

Dec. 1,1947

Changed to: 1 week, or 40 hours’
pay, for employees with 1 but less
than 3 years’ enrollment; IV2
weeks’, or 60 hours’ pay, for
employees with 3 but less than 5
years; 2 weeks’, or 80 hours’ pay,
for employees with 5 or more
years. Employees must have 1 ,3 ,
and 5 years of seniority status,
respectively.

Dec. 1,1949
Dec. 1,1950

New vacation eligibility date of June 1 added. Former
eligibility date was December 1.
Added: 3 weeks’, or 120 hours’ pay,
for employees with 15 or more
years on the payroll and seniority
status.

June 1, 1953 (by agreement
dated May 25,1953).

Added: Employees automatically retired or retired because
of disability prior to their next vacation eligibility date
received one-twelfth of full vacation benefit for each
full calendar month worked.

See footnotes at end of table.



Employees not having received their vacation by last day of
vacation period received pay in lieu of vacation.

26

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Paid vacations-comtinued

June 1, 1955 (by agreement
dated June 8,1955).

Added: 2Vi weeks’ or 100 hours’ pay
for employees with 10 but less
than 15 years on the payroll and
seniority status.

Oct. 30, 1961 (agreement
dated Oct. 20,1961).

Dec. 1,1964 (agreement dated
Nov. 23,1964).

Changed to: 2 weeks’ or 80 hours’
pay at basic hourly rates, for
employees with 1 but less than 3
years’ enrollment; 2Yi weeks’ or
100 hours’ pay, for 3 but less
than 5 years’; 3 weeks’ or 120
hours’ pay, for 5 but less than 10
years’; 3% weeks’ or 140 hours’
pay, for 10 but less than 15
years’; and 4 weeks’ or 160 hours’
pay, for 15 years or more.
Employee must have 1, 3, 5, 10,
and 15 years of seniority status,
respectively.

Oct. 25, 1967 (agreement of
same date).

Added: 1 week’s or 40 hours* pay at
basic hourly rates, for employees
with less than 1 year of service.

See footnotes at end of table.



27

Added: 1/12 of vacation pay for each full calendar month
on active payroll provided employees who were laid off
because of plant closing; retired, under normal or early
plan provisions, prior to next vacation eligibility date; or
laid off because of reduction in force and not recalled
during following year.
Vacation pay for incentive workers to include average
hourly incentive earnings for preceding 4 pay periods.
Added: Employee eligible to use up to 1 week (40 hours)
of his vacation in units of no less than one-half day
periods (4 hours) with pay at his basic hourly rate for
any of the following purposes:
(1) Excused absences because of his illness for
which he did not receive accident and sickness
insurance benefits;
(2) Absences excused by the company because of
personal business; or
(3) Additional scheduled vacation time immediately
before or following his other vacation time.
In effect and continued:
To be eligible for full vacation benefits, employee was
required to be on the active employment rolls of
company at least 32 weeks in the year immediately
before his vacation eligibility date, and also was required
not to be absent from his regularly scheduled work
more than 35 days during the same period, except for
layoffs and time off because of a work injury or proven
illness. Half benefits paid to an employee on the active
employment rolls less than 32 weeks in the year
immediately before his vacation eligibility date (except
16 to 31 weeks enrollment required for half benefits for
employees on employment records 1 but less than 3
years).
Changed: For an employee who, in the year immediately
before his vacation eligibility date, was on the active
employment rolls at least 32 weeks, but whose absences
from regularly scheduled work (except for layoffs and
time off because of a work injury or proven illness)
aggregated more than 35 days, vacation benefits
amounted to -1 week’s or 40 hours’ pay (previously no
vacation benefits), for employees with 1 but less than 3
years’ employment; IY2 weeks’ or 60 hours’ pay
(previously Y2 week’s or 20 hours’ pay), for 3 but less
than 5 years; 2 weeks’ or 80 hours’ pay (previously 1
week’s or 40 hours’ pay), for 5 but less than 10 years;
2 Y2 weeks’ or 100 hours’ pay (previously 1Yi weeks’ or
60 hours’ pay), for 10 but less than 15 years; and 3
weeks’ or 120 hours’ pay (previously 2 weeks’ or 80
hours’ pay), for 15 years’ or more employment.
Employees required to be on active employment rolls at
least 16 weeks from hire dater until first eligibility date,
and absences from regularly scheduled work in this same
period, except for layoffs and time off because of a
work injury or proven illness, were not to total more
than 17 days. Employees with less than 1 year’s service
and 8 but less than 16 weeks’ active employment are
eligible for Yi week of vacation with pay for 20 hours.

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Paid vacations-continued

Oct. 25, 1967 (agreement of
same date)-continued.

Added: For employees with 1 or more years of service,
1/12 of vacation pay for each full calendar month on
active employment rolls was provided for employee
upon entering the Armed Forces of the United States or
upon his death.
For employees with less than 1 year of service, 1/6 of
vacation pay for each full calendar month on active
employment rolls if employee was laid off because
of reduction in force and not recalled during following
year or, for employee hired after Dec. 1, 1967, was
laid off because of plant closing, entered the Armed
Forces of the United States, or died
Benefits provided for deceased employees were to be paid
to the estate, or if local law permitted, to the next of
kin.
Changed: Employee with 1 but fewer than 5 years of
service not entitled to vacation if on active employment
rolls of company less than 32 weeks and absent more
than 35 days during qualifying period.

Dec. 21, 1970 (agreement
dated Dec. 7,1970).
Dec. 1,1971 (agreement dated
Dec. 7,1970).

Added: 5 weeks’ or 200 hours’ pay
for employees with 20 years of
service or more.
Reporting time

June 20,1941

O ct.. 16, 1942 (by directive
order of NWLB, Oct. 16,
1942).

Minimum of 2 hours’ pay guaranteed
to employees called to work or
not properly notified of lack of
work. .
Reporting time increased to 4 hours.

Reporting time not paid for in case of labor dispute or
other conditions beyond management’s control.
Guarantee to include night or overtime premium when
applicable.

Jury-duty pay
Sept. 1, 1958 (agreement
dated Sept. 20,1958).

Oct. 30, 1961 (agreement
dated Oct. 20,1961).

Nov. 23, 1964 (agreement of
same date).

Employees with 1 or more years’
seniority to receive $5 for each
day of jury duty on which they
otherwise would have been
scheduled to work.
Changed to: Greater of $10 or daily
fee paid by court but, when
added to court fee, not more than
employee’s straight-time daily
earnings, including cost-of-living
allow ance
but
excluding
premiums.
Changed to: Payment equal to the
difference between the daily
jury-duty fee paid by the court
(not including travel allowances
or reimbursement of expenses)
and the employee’s regular
straight-time hourly rate, exluding
premiums4 for the number of
hours up to 8 that he otherwise
would have been scheduled to
work.

See footnotes at end of table.



28

Payment limited to 14 days in any calendar year. Employee
to present satisfactory evidence of jury service.

Payment limited to 60 days in any calendar year.
Fee paid for each day employee reported for or served on
jury.

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Jury-duty pay-continued

Dec. 21, 1970 (agreement
dated Dec. 7,1970).

Added: Employee interviewed or
examined to determine his qualifi­
cation for jury duty was paid as if
he had performed jury duty.

Eliminated: Limit of 60 days per calendar year.

Bereavement pay
Nov. 23, 1964 (agreement of
same date).

Established: Up to 3 days’ paid leave
provided employee attending
funeral of member of immediate
family.

Oct. 25, 1967 (agreement of
same date).
Dec. 21, 1970 (agreement
dated Dec. 7,1970).

Paid leave limited to first 3 regularly scheduled workdays,
excluding Saturday and Sunday (or, for 7-day
operations, excluding regular days off), following death.
Immediate family included current spouse, parents, parents
of current spouse, children, brothers, and sisters.
Added: Definition of immediate family included step­
parents, stepparents of current spouse, stepchildren,
stepbrothers, and stepsisters.
Changed: Requirement that employee attend funeral
waived if body of a member of employee’s immediate
family was not buried because cause of death physically
destroyed body or the body was donated to an
accredited hospital or medical center for research
purposes.

Relief-time pay
Oct. 30, 1961 (agreement
dated Oct. 20,1961).
Feb. 22,1965 (company letter
dated Sept. 18,1964).

Jan. 23, 1968 (agreement
dated Oct. 25,1967).

Mar. 21, 1971 (agreement
dated Dec. 7,1970).

Established: Production employees
provided 24 minutes paid relief
time per shift.
Increased to: 36 minutes’ paid relief
time for production workers on
conveyor lines and certain other
operations where employee did
not control work pace.
Increased to: 48 minutes’ paid relief
time for workers on assembly jobs
in car, truck, and tractor assembly
plants who previously had
relief-time pay.
Increased to: 44 minutes for produc­
tion workers on conveyor lines
and certain other operations
where employee did not control
work pace.

Applicable to production workers on conveyor lines.

Additional relief shall not result in any employee receiving
more than 80 minutes total relief per 8-hour shift.

Additional relief shall not result in any employee receiving
more than 80 minutes total relief per 8-hour shift.

Short-term military-duty pay
Oct. 25, 1967 (agreement of
same date).

Established: Up to 10 days’ paid
leave provided employee with 1
or more years of service who was
called to and performed short­
term active duty of 30 days or
less, including annual active duty
for training, as a member of the
U.S. Armed Forces Reserves or
National Guard.

See footnotes at end of table.



29

Payment was equal to the differences, if any, between
employee’s daily military earnings (including all
allowances, except for rations, subsistence, and travel)
and his regular straight-time hourly rate, excluding
premiums,4 for the number of hours up to 8 that he
otherwise would have been scheduled to work.
Payment made for each day partially or wholly spent in
performing military duty.
Employee required to give prior notice of military duty and
also to furnish the company with a statement of his
military pay while on such duty.

Table 3. Supplementary compensation practices1-continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Short-term military-duty pay--continued

Dec. 21, 1970 (letter of
agreement dated Dec. 7,
1970).

Added: Days of short-term duty
resulting from local states of
emergency or riot not charged
against 10-day maximum.
Educational pay

Nov. 23, 1964 (company
letter dated Oct. 1, 1964).

Dec. 21, 1970 (agreement
dated Dec. 7,1970).

Established: Up to $250 tuition per
calendar year paid active seniority
employees upon completion of a
company approved course at an
accredited educational or training
institution. The courses were
either to be job-related or for the
worker’s advancement within the
company.
Changed: Tuition refund program
revised to provide active seniority
employees: (1) $500 maximum
per calendar year for approved
course taken at an accredited
college or university or $250
maximum per calendar year for
approved course taken at an
accredited secondary school or an
approved business, trade, or voca­
tional school; (2) refund of
compulsory fees for an approved
course; and (3) inclusion of
courses qualifying eligible workers
for apprentice training.

Courses were to be taken during nonworking hours

The courses were either to be job-related or for the
worker’s advancement within the company.

Moving allowance
Sept. 1, 1961 (agreement
dated Oct. 20,1961).

Jan. 1, 1962 (agreement dated
Oct. 20,1961).

Jan. 1, 1968 (agreement dated
Oct. 25,1967).

Established:
Transfer
moving
allowance of $55 to $215 for
single employees and $180 to
$580 for married employees,
depending on distance between old
and new plants,5 provided workers
(1) were transferred to plant 50
miles or more from former place
of work, (2) changed permanent
residence, (3) made application for
allowance within 6 months of
transfer, and (4) have not made
application for separation pay­
ment.
Added: Layoff moving allowance for
employee laid off as a result of
. discontinuance of operations who
met first three requirements above
and had 1 year of seniority.
Increased: Depending on distance
between old and new plants, both
transfer
and layoff moving
allowances-to from $170 to $370
for single employees and $445 to
$795 for married employees.6

See footnotes at end of table.



30

Applicable to employees laid off because of transfer of
operation and employed at the new plant with full
seniority.
Allowance to be reduced by any government payment for
same purpose.
Company cannot offset expense against contributions to
SUB fund.

Company can offset expense against contributions to SUB
fund.

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Moving allowance-continued

Dec. 21, 1970 (agreement
dated Dec. 7,1970).

Increased: Depending on distance
between new and old plants, both
transfer
and layoff moving
allowances-to from $220 to $475
for single employees and $570 to
$1,020 for married employees.7
Insurance benefits

June 20,1941

Dec. 1,1948 (by agreement of
July 29,1948). ,
Jan. 1, 1950 (by agreement of
Sept. 28,1949).
Jan. 1, 1951 (by agreement of
Sept. 4,1950).

Participation in purchase of life,
sickness, accident, hospitalization,
and surgical insurance. Major part
of cost borne by employee8
Group InsuranceRevised and expanded plan made
available. Part of cost borne by
company.9
A dded:
In-hospital
medical
benefits-maximum of $4 a day up
to 70 days. Cost borne by
company.
Revised program made available at no
additional cost to employees. Plan
increased maximum life insurance
and accidental death and dis­
memberment benefits. Weekly
accident and sickness benefits
increases ranged from $5 to $9 a
week and new maximum benefits
established.10
Hospital and Surgical InsuranceAdded: Company to pay one-half of
Blue Cross and Blue Shield
premiums for subscriber and
eligible dependents. Company’s
contribution not to exceed
one-half cost of similar coverage
under Michigan plans.

June 1,1953 (by agreement of
May 25,1953).

Sept. 1, 1955 (by agreement
dated June 8,1955).

Group Insurance -Plan revised: Life
insurance and accidental death and
dismemberment benefits increased
for employees with base hourly
rates of $2.30 and over; weekly
accident and sickness benefits
increased for all employees; inhospital medical care extended to
dependents, and benefits increased
to $5 a day for a maximum of 70
days.l1

See footnotes at end of table.



31

Not covered by union agreement.

Covered for first time by union agreement.

Added: Retired group-insurance participants provided with
company-paid life insurance of $1,000 for 30 or more
years’ service, $750 for 20 and under 30 years’, and $500
for 10 and under 20 years’.

Each employee in California plants allowed option of
subscribing to Permanent Comprehensive Hospital and
Medical Care Plan instead of the Blue Cross-Blue Shield
Plans.
Blue Cross and Blue Shield insurance available to retired
employees at group rates.
Monthly cost increased for employees with base hourly
rates of over $2.30.
Added: Employee to receive difference between workmen’s
compensation and weekly accident and sickness benefits.
(Previously benefits not paid during periods of disability
compensable under any workmen’s compensation act.)

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Insurance benefits-ccmtinued

Sept. 1, 1955 (by agreement
dated June 8,1955) continued.

Oct. 1, 1955 (by agreement
dated June 8,1955).

Sept. 1, 1958 (agreement
dated Sept. 20,1958).

Jan. 1,, 1959 (agreement dated
Sept. 20,1958).

Oct. 2,1961 (agreement dated
Oct. 20,1961).

Added: Employee permanently and
totally disabled prior to age 60
with 15 years under the plan could
have his life insurance paid to him
in 50 monthly installments. Upon
death of disabled employee,
beneficiary received a terminal
payment of at least $500 even
though monthly payments had
been exhausted.
Hospital and Surgical Insurance Changed: Full payment of surgical
service, under the Michigan Blue
Shield plan made available where
annual family income did not
exceed $5,000 (was $3,750), or in
the case of a single person $3,750;
benefits also increased for higher
incomes; company to arrange for
similar coverage in other States.
Added: In-hospital electrocardio­
graphic services and expanded use
of X-ray.
Group insurance -Plan revised: Life
insurance, accidental death and
dismemberment,
and
weekly
sickness and accident benefits
increased for employees with base
hourly rates of $3.45 and over.12
Hospital and Surgical InsuranceChanged: Full payment of surgical
service, under Michigan Blue
Shield plan for employees with
annual incomes of $7,500 or less
(was $6,000 annual family income
for married employees and $4,500
for single employees).
Plan in effect (except as noted): For
employees.

Life Insurance: (1) before age 65,
-$5,500 to $10,500, depending on
base hourly rate (was $4,000 to
$7,600); and (2) at and after age
65, with (a) 10 but less than 20
years in plan, $825 to $1,575 (was
$500), or (b) 20 years or more in
plan, $1,650 to $3,150 (was $750
to $1 ,000). 13

See footnotes at end of table.




32

Eliminated: Provisions limiting duration of weekly accident
and sickness benefits to 26 weeks in any 12 consecutive
months for employees age 60 or over.

When arrangements can reasonably be made, annual family
income limits for surgical coverage to be increased to
$6,000 ($4,500 if single). In areas where level of hospital
benefits was lower than provided by Michigan Blue
Cross, company to encourage local Blue Cross or other
plans to increase benefits to Michigan level, or to make
other arrangements to raise benefits to Michigan level.
Company to pay for one-half the increased benefits up to
a maximum of one-half the increased Michigan Blue
Shield and Blue Cross rates.

Provision for in-hospital medical expense benefits trans­
ferred to Blue Shield or similar plans when such benefits
become available under these plans.

In areas where level of benefits was lower than provided by
Michigan standard, company to try to increase benefits
to standard. Company to pay one-half hospital and
surgical insurance benefit costs even though this
exceeded Michigan contribution levels.
Added: In-hospital medical benefit insurance available to
retired employees at group rates at retirees’ expense.
Employee monthly contributions before age 65, $3.47 to
$7.80; at age 65 and over, if employee continued
working and retained accident and sickness coverage,
$1.74 to $3.90. Company to pay remaining cost and
administrative expenses. Employee not to contribute to
life insurance after age 65.
At and after age 65, life insurance reduced 2 percent per
month until (l)f o r employee with 10 years or more
creditable service in pension plan-face value decreased
to IVi percent of insurance in effect on 65th birthday
times years in plan, up to 20, but not less than $825, and
(2) for employee with less than 10 years in pension
plan-face value decreased by IVi percent a month to
$500. Reduced insurance continued until death for
employee with 10 years’ creditable service in pension
plan, until seniority was broken or, if earlier, at end of
12-month layoff continuation period for employee with
less than 10 years in pension plan.
Life insurance terminated 31 days after termination of
employment.
Added: Employee ineligible for retirees’ insurance on early
retirement prior to Oct. 2, 1961, to be eligible for
reduced life insurance of $500, $750, or $1,000,
depending on years of credited service.

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Insurance benefits-ccmtinued

Oct. 2, 1961 (agreement dated
Oct. 2 0 ,1961)-continued.

Accidental death and dismember­
ment benefits: One-half face value
of life insurance in case of
accidental death.13 Schedule of
benefits for dismemberment.
Total and permanent disability
benefits: Face value of life
insurance, in 50 monthly pay­
ments of $110 to $210 (was $80
to $152), provided employee
disabled prior to age 60 with 10
years (was 15 years) or more in
group insurance or retirement
plan.
Sickness and accident benefits: $55
to $110 a week (was $48 to
$91.20) for maximum of 26
weeks; payable from first day of
accident or of hospitahzation for
illness; otherwise, from eighth day
of sickness. Maternity benefits up
to 6 weeks.14

Changed:
Hospital, surgical, and medical
benefits:
Benefits for employees, spouse and
dependent children to be company
paid. (Benefits were already in
effect except as noted).
Nov. 1, 1961 (agreement
dated Oct. 20,1961).

Benefits to begin after 26 weeks of continuous disability,
during which sickness and accident benefits are payable.
$500 life insurance provided without cost to employee
who had received all monthly benefits.
Greater of $500 or the sum of remaining installments paid
beneficiary of employee who died before receiving all
payments.
26-week maximum applicable for disability recurring within
7 working days after employee’s return to work. New
maximum duration available if disability recurred more
than 7 working days after employee returned to work15
or resulted from different cause.
Benefits to be reduced by payments for time lost from
work under a workman’s compensation or occupational
disease law.16
No benefits provided to employee eligible for unemploy­
ment compensation.
Employee on layoff could continue sickness and accident
benefit coverage for 1 month following month of
layoff.17
By making monthly payment, employee could continue all
insurance throughout an approved nondisability leave of
absence, unless working elsewhere.
Formerly company and employees each paid one-half cost
of plan.

Added: Company to contribute one-half of premiums for
• hospital, surgical, and medical coverage for retirees and
their dependents. Pensioners retired before Nov. 1 and
not covered by plan permitted to enroll at same cost as
those already covered.
Spouse receiving survivor’s benefits and included in
coverage of retiree before death could continue group
coverage at own expense.

See footnotes at end of table.



Employee in retirement plan 5 years or more at age 60 who
(1) stopped work on or after age 60 or (2) stopped work
before age 60, but was insured to that age, could
continue life and accidental death and dismemberment
protection to age 65, for contribution of 55 cents a
month per $1,000 of life insurance; at age 65 provision
for reduction applied.
Totally disabled employee could continue life, accidental
death and dismemberment, and monthly total and
permanent disability protection to age 65, for contribu­
tion of 55 cents per month per $1,000 of life insurance.
At age 65, life insurance only continued, and provision
for reduction applied.
Employee who did not continue insurance permitted to
convert to individual policy.
Continued after age 65 if employee remained at work and
contributed for sickness and accident coverage.

33

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Insurance benefits-continued

Jan. 1, 1962 (agreement dated
Oct. 20,1961).

Life, accidental death and dismemberment, and monthly total and
permanent disability protection
continued for 12 months (was 6
months), for contribution of 55
cents per month per $1,000 of life
insurance following layoff.
I. Michigan (Blue Cross and Blue
Shield) 18Hospitalization (room and board):
In member hospital,11 full coverage
for semiprivate room or ward up
to 365 days (was 120 days) per
admission.
In nonmember hospital,19 actual
charges up to $15 a day for
maximum of 365 days.

Special hospital expenses (other than
for room and board):
In member hospitals, full coverage up
to 365 days (was 120 days) for
meals and special diets; general
nursing care; use of operating and
other surgical treatment rooms;
anesthesia when administered by a
hospital employee; all laboratory
examinations; physical therapy
treatments; oxygen and other gas
therapy; drugs, biologicals, and
solutions; materials used in
dressings and casts; and radium
when owned or rented by hospital.
See footnotes at end of table



34

In the Detroit area, employee could elect the Community
Health Association Plan.
Employee using private room in member hospital to pay
difference between that charge and semiprivate accom­
modations.

Benefits not available for institutions for convalescence,
nursing, or rest care if patient did not require
substantially continuous bed care by licensed doctors
and registered nurses; hospital admissions principally for
teeth extractions or other dental treatment, or for
observation or diagnostic study, physical therapy, X-ray
and laboratory examinations, electrocardiography, or
basal metabolism tests; care under the laws of the United
States or any State or political subdivision; care for
occupational disabilities provided in accordance with
law; or care provided by another Blue Cross plan.
Benefits limited to 30 days for each confinement for
tuberculosis, nervous and mental conditions, alcoholism,
or drug addiction.
Company to pay full cost of hospital, surgical, and medical
coverage for (1) laid-off employee (with unbroken
seniority) and eligible dependents for 1 month for each 4
weeks of supplemental unemployment benefits to which
employee was entitled at time of layoff, up to 12
months; and (2) disabled employee and dependents for 6
months.
Employee on layoff, disability leave, or leave of absence
could continue insurance by paying full cost for any
month (up to 12) for which employer was not required
to pay.
Company payments for laid-off employees to be offset
against contributions to SUB fund.
Employee satisfying all requirements for disability
retirement benefits except length of service could
continue hospital, surgical, and medical coverage at own
expense for a period equal to his seniority on last day
worked.
Supplies and services available only to bed patients when
furnished by hospital and prescribed by attending
doctor.
Benefits exclude services of doctor, surgeon, or special
nurse, X-ray or electrocardiographic services (covered
under surgical-medical benefits), blood, prosthetic or
other appliances, and ambulance service.

Table 3. Supplementary compensation^practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Insurance benefits-continued

Jan. 1,1962 (agreement dated
Oct. 2 0 ,1961)-continued.

In nonmember hospitals, up to $15
per day.
Outpatient benefits: In member
hospital, services and supplies
regularly
provided
for
bed
patients.
In nonmember hospitals, up to $25
for each condition.

Maternity benefits: All services
provided for regular hospitaliza­
tion plus use of delivery room,
infant feeding, and other routine
care of the newborn child.
Surgical-medical benefits:
1.Plan to pay full amount o f
schedule fee for employees earning
less than $7,500 annually for:

Surgical services— accepted opera­
oil
tive and cutting procedures for
diagnosis and treatment of
diseases, injuries, fractures, and
dislocations, and postoperative
care for greater of hospital stay or
14 days.
Obstetrical benefits-as required for
delivery.
Medical care-up to 365 days (was
120 days) care in hospital when
surgery was not required; up to 30
days for tuberculosis or nervous
and mental conditions.
Anesthesia -payment for administra­
tion of anesthesia in surgical,
medical, or obstetrical care by
doctor not in charge of case.
Emergency first a id -up to $15 for
care within 24 hours of nonoccupational injuries.
2. Plan to pay balance o f scheduled
fee after employee paid the greater
o f $5 or 10 percent o f fee for:

See footnotes at end of table




35

Hospital and medical service coverage extended up to 6
months without cost to disabled employee.
Services and supplies to be limited to drugs, pharmaceuti­
cals, etc., to extent used in hospital and when
administered in connection with use of operating or
surgical treatment rooms, anesthesia, laboratory
examinations (when related to surgery or treatment of
emergencies), accidental injuries, and physical therapy
for up to 60 days.
Benefits not available for regular treatment of chronic
conditions; extraction of teeth or other dental treatment;
or routine physical, premarital, or preemployment
examinations.
Available after 270 consecutive days in plan.

Services available anywhere. Participating doctors could
make additional charges to employees earning above
$7,500 or those who requested and occupied a private
room. Payment to nonparticipating doctors limited to
lesser of charge for service or scheduled fee.
Benefits not available for (1) industrial disabilities,
(2) service by government agency without cost to
employee, (3) hospital, dental, or nursing services,
(4) medicines, drugs, etc., (5) operations for cosmetic
purposes, unless for correction of (a) congenital
anomalies for patient under 12 years who participated in
plan from birth or (b) conditions resulting from
accidental injuries or surgical scars, (6) sterilization, or
(7) routine or periodic physical premarital, or other
examinations or tests not directly related to diagnosis of
illness or injury.

Available after 270 consecutive days in plan. Prenatal and
postnatal care not provided.
Full benefits reinstated 90 days after release from hospital;
after 180 days for tuberculosis or nervous and mental
conditions.

Applicable in doctor’s office or hospital outpatient
department.
Plan to reimburse employee for payments during 1 year in
excess of $25 for employee with income under $2,500,
$50 for $2,500 but less than $5,000, and $75 for $5,000
and over.

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Insurance benefits-ccmtinued

Jan. 1. 1962 (agreement dated
Oct. 20,1961)-continued.

Diagnostic X-ray and laboratory
services and radiological services in doctor’s office, hospital, or
hospital outpatient department
and laboratory services in doctor’s
office or hospital outpatient
department.
Consultation services-necessary tech­
nical assistance for diagnosis or
treatment when not routinely
provided by hospital.
Technical surgical assistance-when
required and not routinely pro­
vided by hospital.
Il.Other States.
Coverage to be as nearly equal as
practicable to the Michigan Blue
Cross and Blue Shield plans.
Added:
In areas where local Blue Cross or
Blue Shield fail to provide such
benefits, local plans to be
supplemented or replaced.

Sept. 1, 1964 (agreement
dated Nov. 23,1964).

Hospital-surgical-medical benefits..
Oct. 1,1964 (agreement dated
Nov. 23,1964).

Changed:
Premiums
for
life,
accidental death and dismember­
ment, total and permanent dis­
ability, and sickness and accident
benefits-to company paid.

Increased:
Life
insurance-to
(1) before age 65, $6,000 to
$11,500, depending on base
hourly rate; and (2) at age 65 and
over, $1,500 to $1,725 with 10
but less than 20 years under the
retirement plan, or $1,800 to
$3,450 with 20 years or more
under the plan.20

See footnotes at end of table.




36

Limited to one medical, obstetrical, or surgical consultation
per continuous period of hospitalization.
Available only in Michigan hospitals.

Employees in California allowed to elect the Comprehen­
sive Kaiser Health Foundation Plan or the Blue Cross and
Blue Shield plans.

Changed: Employee eligible for life, accidental death and
dismemberment, total and permanent disability, and
sickness and accident insurance coverage on the first day
of calendar month following the month in which
employment commenced.
Changed: Employee eligible for hospital-surgical-medical
insurance coverage on the first day of calendar month
after the month in which employment commenced.
Formerly, employees contributed $3.47 to $7.80 a month
before age 65; $1.74 to $3.90 a month at age 65 and
over if employee continued working and retained
sickness and accident coverage. Employee did not
contribute to life insurance after age 65.
Added: Company to pay full cost of insurance for
employee on approved medical leave of absence or while
disabled so as to be unable to work, for period equal to
his seniority.
Added: Company to pay full cost of insurance for the first
full month of a layoff or an approved leave of absence.
After the company no longer paid full premium, employee
could continue group life and disability by paying 50
cents per $1,000 life insurance per month when not
eligible to continue accident and sickness insurance and
from $3.90 to $8.67 when eligible to continue such
insurance.20
Changed: At age 65 and over, face value of life insurance
for employees with 10 years’ or more creditable service
under retirement plan to be minimum of $1,500.
Added: Employee totally and permanently disabled on or
after Sept. 1, 1964, who was (1) at least age 60 but less
than 65, and had 5 years’ or more of service under
retirement plan or of participation under the group
insurance contract, or was (2) under age 60, had at least
10 years of service under retirement plan, and who did
not elect and had not previously received a monthly total
and permanent disability benefit, was eligible to have life
insurance and accidental death and dismemberment
insurance continued with full payment by company up
to age 65.

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Insurance benefits-oontinued

Oct. 1,1964 (agreement dated
Nov. 2 3 ,1964)-continued.

Added: Survivor income benefit
insurance providing:
Transition b e n e f i t s 100 a month
for up to 24 months to eligible
survivors of employees and of
permanently and totally disabled
pensioners before date pensioner
attained age 60 who died while
insured for accidental death and
dismemberment.

Bridge benefits-axi additional
$100 a month paid to eligible
spouse of deceased employee, if
spouse was age 50 or more on
date of employee’s death, after
termination of transition benefits.

Increased: Accidental death and
d ism e m b e rm e n t
b e n e fit s continued to be one-half face value
of life insurance, as increased.20
Increased: Total and permanent
disability benefits-SO monthly
payments ranging from $120 to
$230,20 to reflect the increase in
face value of life insurance.
See footnotes at end of table.




37

Added: Employees retiring, on or after Sept. 1, 1964,
under early retirement provisions of retirement plan
could continue life and accidental death and
dismemberment insurance to age 65 for contribution of
50 cents a month per $1,000 of life insurance. At age 65,’
provisions applicable to others reaching age 65 would be
in effect.
Added: Former employees who had a grievance pending to
protest (1) loss of seniority resulting from discharge on
or after Oct. 1, 1964; (2) failure to report or overstaying
leave; or (3) a disciplinary layoff, could continue life and
accidental death and dismemberment insurance up to 12
months after loss of seniority for contribution of 50
cents a month per $1,000 of life insurance. If employee
was reinstated or if disciplinary layoff was reduced, he
would be reimbursed for premium payments which
company would have paid if employee had remained at
work.
Added: For employees who, while at work, received
workmen’s compensation for loss of pay because of an
assigned lower-rated job, which resulted from an
occupational disability-insurance benefits were to be
based on basic hourly rate at the time of the
compensable injury.
Benefits paid in addition to regular insurance.
Eligible survivors included, in order of priority and
succession: Class A-widow, if married to deceased
employee for at least 1 year immediately before
employee’s death; Class B-widower, but only if an
unmarried child of the deceased employee under age 21
was dependent upon him, for principal support, at the
employee’s death and at the time each survivor income
benefit was payable, or if widower was dependent on
employee during the calendar year preceding employee’s
death, because employee’s income during such year was
50 percent or more of their combined income; Class
C-unmarried child of the deceased employee, under age
21 at the time of employee’s death and at the time each
survivor income benefit was payable; and Class
D-parent, who received at least 50 percent of support
from employee in calendar year preceding employee’s
death.
Bridge benefits payable until earlier of (1) remarriage;
(2) age 62 or a lower age at which full widow’s or
widower’s insurance benefits became payable under the
Federal Social Security Act; or (3) for widowers who
qualified because of a dependent child, the date such
unmarried child (under age 21) ceased to be dependent
on him for principal support.
Not applicable to widows during months eligible for
mother’s insurance benefits under the Federal Social
Security Act.
Changed: Accidental death and dismemberment benefits
payable for injury which resulted in death or dismember­
ment within 1 year from date of accident.

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Insurance benefits-amtinued

Oct. 1, 1964 (agreement dated
Nov. 2 3 ,1964)-continued.

Increased: Sickness and accident
benefits- to range of $60 to $120
a week for up to 52 weeks.20
I. Employees in Michigan (Blue Cross
and Blue Shield).
Hospital-surgical-medical benefits.

Sept. 1, 1966 (agreement
dated Nov. 23,1964).

I. Employees in Michigan (Blue Cross
and Blue Shield).
Hospital and medical benefits:
Increased: Nervous or mental
conditions-up to 45 days for each
confinement.
A dded:
Convalescent
and
long-term
illness
care-full
coverage (room and board) for up
to 730 days for each continuous
period of confinement in an
“approved facility” for con­
valescent and long-term illness, or
365 days in a hospital, and full
coverage of doctor’s charges for up
to 365 visits.

See footnotes at end of table.




38

Changed: Maternity benefits under sickness and accident
insurance available for employees with insured status
when disability began rather than at the time pregnancy
commenced.
In the Detroit area, employee could elect the Community
Health Association Plan.
Changed: Company-paid hospital-surgical-medical benefits
for pensioners and their dependents, effective with
contributions for coverage for month of Nov. 1964.
(Formerly, retiree and company each paid one-half the
cost.)
Added: Company to pay cost of hospital-surgical-medical
benefits for employees (and their dependents) ineligible
for benefits under pension plan, whose employment was
terminated at age 65 or over, except for discharge for
cause.
Added: By surviving spouse paying full cost each month,
insurance coverage would be continued for surviving
spouse of (1) active employee, while eligible to receive
survivor transition and bridge benefits (including a
surviving spouse receiving mother’s insurance benefits
under the Federal Social Security Act), or while receiving
widow’s benefits under company pension plan;
(2) pensioners; or (3) former employee whose employ­
ment was terminated at age 65 or over, except for
discharge for cause, but who was ineligible for pension
benefits.
Added: Former employees who had a grievance pending to
protest (1) loss of seniority on or after Oct. 1, 1964,
resulting from discharge or failure to report or
overstaying leave; or (2) a disciplinary layoff, could
continue coverage for up to 12 months by paying the full
subscription rate or premium charge. If employee was
reinstated or if disciplinary layoff was reduced, he would
be reimbursed for premium payments which company
would have made if employee had remained at work.
Employees retired before Nov. 1, 1964, who were not
covered by hospital-surgical-medical insurance, or who
were covered but wished to make a change in status,
were to be given an opportunity to do so.
Added: Hospital-surgical-medical benefits provided to be
reduced by the amount of such benefits provided under
any Federal law.
Changed: Eligible children to include those under age 25, or
at any age if totally and permanently disabled, who met
specified requirements.
Maximum duration renewable 90 days after discharge.

One day of hospital confinement equalled 2 days in an
“approved facility.”

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Insurance benefits-continued

Sept. 1, 1966 (agreement
dated Nov. 23,1964)continued.

Oct. 25, 1967 (agreement of
same date).

Added: Outpatient b e n e f i t s to
$400 per person per year
(including maximum of $38.25 for
psychological testing) for psycho­
therapeutic
services,
in an
approved hospital, day or night
care center, or community mental
health care center, and psychiatric
care benefits, including individual
or
group
psychotherapeutic
services in a physician’s office or
“approved facility,” with fee based
on deductible arrangements.
Obstetrical benefits.

Surgical and medical benefits:
Eliminated: $5 (or 10 percent)
deductible for specified services
when rendered on an inpatient
basis.
II. Employees in other States
(coverage to be as nearly equal as
practical to those under revised
Michigan Blue Cross and Blue
Shield plans).
Added: 3 brackets of benefits on the
group life and disability insurance
schedule for employees in higher
wage brackets.21
Life insurance.

In crea sed :
M aximums
on
(1) accidental death and dis­
m em berm ent
b e n e fits-X o
$ 6 ,5 0 0 ;2 1
(2) total
and
permanent disability benefits- to
$260 a month;21 (3) sickness and
accident benefits-Xo $135 a
week.21
A dded:
E x te n d e d
disability
benefits-$220
to
$525
a
month.21

See footnotes at end of table.




39

Charges for services in a night care center not included in
maximum.
Electroshock therapy and anesthesia for electroshock
therapy provided when not given in physician’s office.

Added: Prenatal and postnatal care.
Eliminated: 270-day waiting period for maternity benefits,
including routine nursery care of newborn and
obstetrical services.

Employees in California given the option to elect the Kaiser
Foundation Health Plan or the local Blue Cross-Blue
Shield Plan; hospital benefits provided under either plan
to be reduced by the amount provided under the
California unemployment insurance code.

Changed: For employee who remained employed after age
65 who had less than 10 years of creditable service
under retirement plan-reduced life insurance continued
until seniority was broken or until end of 25-month
layoff continuation period.
Reflects the addition of 3 brackets of benefits for
employees in higher wage brackets.
Sickness and accident benefits to be reduced by amount of
weekly disability insurance benefit to which employee is
entitled under Federal Social Security Act, if payable
for same period of disability.
Payable after exhausting 52 weeks of sickness and accident
benefits for a maximum period equal to the number of
months by which the employee’s full months of
seniority exceeded 12, or until age 65, if earlier.
Benefits to be reduced by total amount of the following for
which employee was eligible: (1) Benefits under
company’s retirement plan; (2) lost-time benefits under
workmen’s compensation laws or other laws providing
benefits for occupational injury or disease;22 (3) dis­
ability or old-age insurance benefits under Federal
Social Security Act; and (4)'benefits under any State or
Federal law providing compensation for working time
lost because of disability.

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions

Insurance benefits-continued
Feb. 9,1968 (agreement dated
Oct. 25,1967).

Added: Layoff disability benefitsequal in amount to sickness and
accident benefits.2 1

March 1, 1968 (agreement
dated Oct. 25,1967).

I. Employees in Michigan (Blue
cross and Blue Shield).
Hospital-surgical-medical benefits.

Oct. 25, 1968 (agreement
dated Oct. 25,1967).

Nov. 1, 1968 (agreement
dated Oct. 25,1967).

II. E m p lo ye es in other States
(coverage to be as nearly equal as
practical to those under revised
Michigan Blue Cross and Blue
Shield Plans).
Survivor income benefit insurance:
Increased: Transition benefits for
survivors of employees who were
at work on or after Oct. 25,
1968-to $150 for any month for
which no eligible survivor of the
deceased employee is eligible for
an unreduced old-age, survivor’s
or disability benefit under the
Federal Social Security Act;
otherwise, $100 a month.
Increased: Bridge benefits for
survivors of employees who were
at work on or after Oct. 25,
1968-to $150 a month.
Employees in all States.
Hospital-surgical-medical benefits.
E s ta b lis h e d : “ N atio n al
Account Program” providing
u niform hospital-surgicalmedical benefits at all com­
pany facilities matching the
Michigan Blue Cross-Blue
Shield Plans.

Increased: Benefits for private
care provided in nonpartici­
pating psychiatric hospital.
Increased: Full payment of
doctor’s fees regardless of
worker’s income.

See footnotes at end of table.




40

To be eligible, employee must (1) have become wholly and
continuously disabled while on a qualifying layoff and
while insured for life insurance; (2) have b^en eligible for
a regular benefit under the SUB plan, or have been
employed by another employer immediately before his
becoming disabled; (3) provided satisfactory proof of
disability; (4) be unable to perform all duties of his
occupation; (5) be under a doctor’s care; and (6) have to
his credit at least one credit unit under the SUB plan.
Limitations pertaining to sickness and accident benefits also
applied to layoff disability benefits.
Changed: Company-paid hospital-surgical-medical benefits
for surviving spouse (and eligible dependents) of pen­
sioners, whether or not receiving survivor’s pension, and
for survivors of retirees ineligible for pension benefits for
lack of sufficient service credit.

Changed: Definition of Class B, C, and D survivors: Class
B-widower, whether or not remarried, but only if he
was married to employee at least 1 year immediately
before employee’s death; Class C-employee’s unmarried
child (including a legally adopted child or stepchild)
who at the time of employee’s death and at the time
each survivor income benefit was payable was either
(1) under age 21, (2) age 21 but under 25, or (3) totally
and permanently disabled at any age over 21. A child
under (2) or (3) must have been legally residing with
and dependent upon employee at the time of
employee’s death; and Class D-employee’s parent
(including an adopting parent) for whom he had
provided at least 50 percent of such parent’s support
during the calendar year immediately preceding his
death.
In the Detroit area, employees retained the option to elect
the Community Health Association Plan; in California,
the Kaiser Foundation Health Plan; in Cleveland, the
Community Health Foundation, and in Twin Cities, the
Group Health Plan.
In areas where local plan benefits in effect on Oct. 25,
1967, were more liberal than the scope and level of
benefits in effect in Michigan on Sept. 1, 1967, and
exceeded the scope or level of benefits under the
National Account Program, such local plans would
continue in effect after Nov. 1, 1968, unless the
National Account Program was substituted by mutual
agreement of the parties.

Table 3. Supplementary compensation practices1-continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Insurance benefits-continued

Nov. 1, 1968 (agreement
dated Oct. 25,1 9 6 7 continued.

Oct. 1,1969 (agreement dated
Oct. 25,1967).

Changed:
Unlimited
in-hospital consultations and
medical care.
Added: Full payment for
initial examination of new­
born child, and for outpatient
X-ray, radiology, and labora­
tory services.
Established: Service benefit prescrip­
tion drug program providing
uni f or m p re sc rip tio n drug
expense benefits for employees
and dependents at all company
facilities, matching the prescrip­
tion drug benefits, as established,
under the Michigan Blue CrossBlue Shield Plans.

Oct. 25, 1969 (agreement
dated Oct. 25, 1967).

Increased: Sickness and accident
benefits -to range of from $65 to
$140 a week.

Jan. 1, 1971 (agreement dated
Dec. 7,1970).

Group insurance.
Increased: Three brackets of benefits
added to group life and disability
insurance schedule for employees
in higher wage brackets, resulting
in (1) $6,500 to $14,500 life
insurance before age 65;
(2) $1,500 to $2,175 life insur­
ance at age 65 and over with 10
but fewer than 20 years under
retirement plan, and $1,950 to
$4,350 with 20 years or more
under the plan; (3) $3,250 to
$7,250 accidental death and dis­
memberment benefits; (4) $70 to
$155 weekly accident and sick­
ness benefits; (5) $130 to $290
monthly total and permanent dis­
ability benefits; and (6) $240 to
$590 monthly extended disability
b e n e fits . 23 D eleted lowest
bracket under previous programs.
I Survivor income benefit insurance:
Increased: Transition benefits- to
$175 for any month for which no
eligible survivor of deceased
employee was eligible for an
unreduced old-age, survivors or
disability benefit under the
Federal Social Security Act;
otherwise, continued $100 a
month.

See footnotes at end of table.



41

A $2 deductible (to be paid by the subscriber) applied to
each separate prescription order and refill. For services
provided by participating members of the plan, any
additional charge for the prescription was to be paid, on
the basis of acquisition cost plus a dispensing fee, by the
plan directly to the pharmacy, physician, dentist, or any
other person or organization. For services provided by
nonparticipating organizations, the subscriber was to
pay the full amount and be reimbursed by the plan for
75 percent of the cost in local plan areas, and 100
percent of the cost in nonparticipating plan areas, after
the $2 deductible.
Plan also paid for injectible insulin, on the basis of usual
and customary charges, or the acquisition cost plus
dispensing fee, whichever was lower.
Added: Sickness and accident benefits payable for out­
patient surgery involving fee of $25 or more, beginning
day after surgery.
Eliminated: Restrictions barring payment of sickness and
accident benefits when incapacity resulted from causes
such as self-inflicted injuries, chronic alcoholism,
narcotics addiction, and fights.
Added: Employee returning from military service was
eligible for all coverage on 1st day of reinstatement.

Added: A Class A or Class B eligible survivor could waive
right to receive survivor income benefit. In any case in
which the Qass A or Class B eligible survivor waives any
right to receive such benefit, any payment of transition
survivor income benefit to a Class C or D eligible
survivor determined as if there had been no waiver. In
no event, however, would any such benefit be paid to a
Qass C or Qass D eligible survivor for any month for
which transition benefits would have been payable to

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Insurance benefits-continued

Jan. 1,1971 (agreement dated
Dec. 7 , 1970)-continued.

Increased: Bridge benefits-to $175 a
month paid to eligible spouse of
deceased employee, if spouse was
age 48 or more (previously age 50
or more) on date of employee’s
death, paid after termination of
transition benefits.
Changed: Layoff disability benefitreplaced by reinstated accident
and sickness benefit to enable a
laid-off employee to qualify for
extended disability benefits if he
continued to be disabled and
could meet the appropriate dis­
ability definition.

Changed: Three brackets added to
contributions for group life and
disability insurance for employees
in higher wage brackets under age
65 who stopped working for any
reason.24

See footnotes at end of table.




42

Class A or Class B eligible survivor except for the waiver
or for any month subsequent to 24 calendar months
after date of death of insured employee.
Changed: Accident and sickness benefits for less than a full
week are 1/5 of weekly benefit for each regular work
day of disability (where State laws permit).
Added: Accident and sickness benefits not payable for any
day employee entitled to holiday pay.
Added: If returning veteran applied for reemployment on
or after Jan. 1, 1971, and was laid off, his life,
accidental death and dismemberment, and survivor
income insurance coverages were to be in effect until
end of month of layoff at no expense to him. Coverages
thereafter provided as for other laid-off employees.
Added: Accident and sickness insurance coverage to remain
in force and the duration of benefits not to exceed the
maximum payable at onset of disability if the accident
and sickness benefits ceased pursuant to insurer’s
medical examination while employee’s doctor continues
to certify total disability and if employee remains on
medical leave of absence.
Added: Employee could waive irrevocably any right he
might have to receive accident and sickness or extended
disability benefits for any period of disability.
Added: Employee placed on medical leave of absence as a
result of a recall from layoff provided by company with
life, accidental death and dismemberment, and survivor
income benefits coverage for any month while he
remained totally and continuously disabled and on
medical leavel of absence as if he ceased active work due
to disability.
Added: If worker retired prior to age 55, the company
continued life and accidental death and dismemberment
insurance to age 65; continuation of survivors’ income
benefits to age 55 was added.
Changed: Employee on disability retirement effective after
Sept. 14, 1970, provided by company with coverage for
life to age 65 and survivors’ income benefit coverage to
age 65 (was age 60); accidental death and dismember­
ment also if he did not elect monthly total and
permanent disability benefit.
Added: Uninsured employee retiring between ages 55 and
65 with benefits beginning on or after Jan. 1, 1971
under pension plan, without returning to work from
layoff or leave of absence, to be insured, if he was then
under age 65, for same coverages for group life and
disability he otherwise could have continued at time of
retirement for the amount in force while last working.
Changed: Extended disability benefits payable after
exhausting maximum number of weeks of accident and
sickness benefits, for a maximum period equal to
number of months by which the employee’s full months
of seniority exceeded the maximum number of weeks
he was entitled to receive accident and sickness benefits,
but not beyond age 65, death, or no longer satisfies
disability definition.

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Insurance benefits— tinued
con

April 1, 1971 (agreement
dated Dec. 7,1970).

Group insurance.

Changed: Accident and sickness benefits-for employee
hired or rehired on or after Apr. 1,1971, in addition to
previous time limit on benefits, accident and sickness
benefits were further limited for one continuous period
of disability to lesser of 52 weeks or a period equal to
the time between his most recent hire or rehire and the
start of disability, except that, if at the end of period
accident and sickness benefits are payable, the employee
for the same disability was confined in hospital or
receiving lost time benefits because of employment with
company under workmen’s compensation or other laws
providing benefits for occupational injury or disease
(but excluding specific allowances for 100 percent loss
of body member), benefits continued during such
confinement or while benefits for lost time continued,
but in no case after 52 weeks (6 weeks for disability
arising from pregnancy) for one continuous period of
disability.
Eliminated: Reduction of accident and sickness benefits for
disability insurance benefits payable during same period
of disability under Federal Social Security Act, for
employees at work on or after Dec. 21,1970.
Changed: Effective for benefits payable on or after Apr. 1,
1971, the amount of governmental benefits deducted
from extended disability benefits would not be
increased (unless there was an adjustment in the original
determination of the amount of such benefit) above the
level in effect on the first day for which benefits were
payable, or Apr. 1,1971, if later.
C hanged: Extended disability benefit computation
presumes eligibility for Social Security disability
insurance and retirement plan benefits. However, such
presumption of retirement plan benefits is not made for
any extended disability payments due for the 12-month
period immediately following the date of expiration of
the maximum number of weeks for which the employee
is entitled to receive sickness and accident benefits.
Changed: Employee on approved union leave of absence
could continue life, accidental death and dismember­
ment, and survivor income benefit coverages by paying
60 cents per $1,000 life insurance plus $5 a month (for
local union representatives) or 60 cents per $1,000 life
insurance (for international representatives).
Changed: Company paid for first month for local repre­
sentative and through month in which leave was issued
for international representative.
Changed: Accident and sickness and extended disability
benefits insurance began first of second month after
employee hired or rehired on or after April 1,1971.
Added: Effective for employees at work on or after Apr. 1,
1971, employees required to provide written notice of
accident and sickness chgm within 20 days of com­
mencement of claim and proof within 90 days after
period for which benefits payable.
Changed: All group insurance coverage terminated
immediately for quits or discharges on or after April 1,
1971, unless a grievance was filed protesting loss of
seniority.

See footnotes at end of table.



43

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Insurance benefits-continued

April 1,1971 (agreement
dated Dec. 7 ,1 9 7 0 )continued.

H o sp i ta l-surgical-m edical-drug
benefits.
Employees in all States.
Hospitalization:
Increased: Days of hospitaliza­
tion available for nonpulmonary tuberculosis to 365 and
for pulmonary tuberculosis to
45.
Changed: Benefit period for
hospital confinement of 365
days (45 days for nervous or
mental disorders and 45 days
for pulmonary tuberculosis)
not reduced for care in
approved facility for convales­
cent and long-term illness care.
Changed: Days of care pro­
vided for tuberculosis un­
related to days of care
available for nervous or mental
conditions.
Added: Unlimited benefits for
hemodialysis in hospital out­
patient department (or in
home under certain conditions
including use of equipment).
Changed: Physical therapy
treatments in hospital out­
patient department for 60
days from initial therapy treat­
ment for each condition re­
n e w a b le an n u a lly and
im m ediately after related
surgery.
Medical:
Changed: Maximum benefit
period of 45 days for inhospital medical care visits for
confinement due to pul­
m onary tuberculosis.
Separated from medical care
visits for nervous or mental
conditions.
Added: Up to $15 for initial
t r e a t m e n t for m edical
emergencies as defined by
Michigan Medical Service.
Changed: Up to $50 per
calendar year for outpatient
psychological testing without
co-payment.
Added:
Paym ent of
p h y sic ia n ’s services for
hemodialysis in outpatient
department of hospital.

See footnotes at end of table.




44

Changed: Maximum duration of benefit period for hospital
or for convalescent and long-term illness care renewable
60 days after discharge.

Changed: Maximum duration of medical care visits in
convalescent facilities or in the hospital renewable 60
days after discharge.

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Insurance benefits-continued

April 1,1971 (agreement
dated Dee. 7 ,1 9 7 0 )continued.

Surgical:
Added: Payment of surgical
services for medically neces­
sary sterilization.
Changed: No age limit on cor­
rection of congenital abnor­
malities.
Prescription drugs:
Changed: Certain maintenance
type “legend” drugs covered
up to 100-unit doses if that
amounted to more than the
previously established 34-day
supply limitation for prescrip­
tion drugs.
Eliminated: 9-month waiting period for hospital-surgicalmedical-drug coverage for principally supported
children.
Changed: Prescription drug coverage extended to retirees,
surviving spouses, and sponsored dependents; companypaid coverage provided for retirees and surviving spouses
eligible for company-paid hospital-surgical-medical
coverage.
Added: Continued company-paid hospital-surgical-medicaldrug coverage for disabled employees for the period
beyond receipt of accident and sickness benefits as long
as employee received extended disability benefits.
Changed: Delayed effective date of hospital-surgicalmedical-drug coverage for hires and rehires to first of
second month following month of employment.
Changed: Ter mi nat ed hospital-surgical-medical-drug
coverage to end of the month of quit or discharge unless
grievance pending to protest termination other than a
voluntary quit.
Added: Provided company-paid hospital-surgical-medicaldrug coverage for rest of month of layoff or reinstate­
ment for returning veterans. Subsequent months’
coverages to be provided the same as for other laid-off
employees (effective Jan. 1,1971).
Added: Coordination of benefits provision (effective Jan. 1,
1971).

Retirement benefits
June 20,1941 ........................
Mar. 1, 1950 (by memoran­
dum of agreement dated
Sept. 28, 1949, imple­
mented and superseded by
agreement of Mar. 16,
1950).

See footnotes at end of table.



No provision for retirement benefits.
Non contributory retirement plan
established to provide normal re­
tirement benefits of $100 a
month, including primary old-age
benefits under Federal Social
Security Act, to employees
retiring at age 65 or older with 30
years’ credited service. Employees
aged 65 or older with less than 30
years’ credited service to receive
pensions equal to same propor­
tion of $100 as years of credited
service bear to 30. Early
retirement at reduced benefits for
employees aged 60 to 65 with 30
years’ credited service.

45

Joint Board of Administration composed of 3 company and
3 union representatives and an impartial chairman to
administer benefit structure of plan. Effective April 1,
1952 retirement to be automatic at age 68 with no
future service credited after age 65. Retirement at 60
requires consent of company. Company may retire
employees at age 65 on own initiative by reason of
employee’s inability to work efficiently.

Table 3. Supplementary compensation practices1-continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Retirement benefits-aontinned

Mar. 1,1950 (by memoran­
dum of agreement dated
Sept. 28,1949, imple­
mented and superseded by
agreement of Mar. 16,
1950)—
continued.
Oct. 1, 1950 (by agreement of
Sept. 4,1950).

June 1, 1953 (by agreement of
May 25,1953).

Oct. 1, 1954 (by agreement of
Sept. 20,1954).

Disability retirement benefits of $50
a month, less any statutory dis­
ability benefits, to totally and
permanently disabled employees
aged 55 to 65 with 30 years’
service.
Entire cost borne by company.
Revised to: Normal retirement
benefits after 30 years’ service
increased to $125, including
primary old-age benefits under
Federal Social Security Act. Pro­
portionately reduced benefits for
employees with less than 30
years’ service.
Tot al and permanent disability
benefits changed to $3 a month
for each year of credited service
up to 30 years, with a minimum
of $50 less any statutory dis­
ability benefits, for totally and
permanently disabled employees
aged 50 to 65 with at least 15
years’ credited service.
Changed to: Normal retirement
benefits for employees with 10 or
more years’ service to be the
greater of (a) $1.75 a month for
each year of service up to 30
years - to be supplemented by
Federal social security benefits
(maximum pension $137.50 a
month including primary old-age
benefits), or (b) $125 a month
including primary old-age benefits
under the Federal Social Security
Act for employees retiring after
30 or more years’ service with
proportionately reduced benefits
for employees with less than 30
years’ service. No change in
pension benefits for employees
having less than 10 years of
credited service. Pension benefits
fo r these workers computed
under formula (b) above.
Changed to: Employees retired under
“Alternative Plan B,” providing
$125 a month including social
security benefits, allowed full
amount of statutory increases in
primary social security benefits.

See footnotes at end of table.



46

Future service creditable to age 68.

New pension benefits applicable to workers already retired
as well as to present employees who retire in the future.
Blue Cross and Blue Shield insurance available to retired
employees at group rates.
Retiring employees (automatically retired or retired by
disability) to receive accrued vacation pay.

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Retirement benefits-continued

June 1, 1955 (by agreement
dated June 8,1955).

Sept. 1, 1958 (agreement
dated Sept. 20,1958).

Revised to: Normal retirement
benefits for employees age 65 or
older with 10 or more years’
credited service increased to
$2.25 a month for each year of
credited service - to be supple­
mented by Federal social security
benefits.
Early r et i re me nt changed to:
Employees between ages 60 and
65, with 10 or more years’
credited service, permitted to
retire at own option; could elect
(1) deferred normal retirement
benefits upon reaching 65 or (2)
an immediate annuity reduced by
five-eighths of 1 percent for each
month under age 65 at times of
retirement.
Tot al and permanent disability
benefits increased to $4.50 a
month for each year of credited
service, less any statutory benefits
(up to $2.25 for each year of
service), for employees of any age
prior to 65 with at least 15 years’
credited service.
Added: Vested rights. Employees
s e p a r a t e d from active
employment at or after age 40
with at least 10 years’ credited
service to receive deferred
monthly benefits at age 65 based
on $2.25 a month for each year
of credited service after the end
of year in which they reach age
30 and date of termination.
Increased: Normal retirem ent
benefits for employees aged 65 or
older with 10 or more years’
credited service to — $2.40 for
(1)
each year of credited service prior
to Jan. 1, 1958; (2) plus $2.43 for
1958; (3) plus $2.50 for each
subsequent year of credited
service.
Benefits to be in addition to Federal
social security benefits.
Added: Early retirement option Employees retiring at age 60 but
less than 65 with 10 or more
years’ credited service at company
option or under mutually satisfac­
tory conditions to receive twice
the normal retirement benefits
described above.
Total and permanent disability
benefits to be twice normal retire­
ment benefits.

See footnotes at end of table.



47

No limit on credit service.25
New pension benefits applicable to workers already retired
as well as employees retiring in the future.
No benefits to employees having less than 10 years’
credited service.
Eliminated: “Alternative Plan B.” However, employees
retired prior to June 1, 1955, will not have benefits
reduced.
New benefits under option (2) applicable to employees
retired prior to June 1, 1955.
Eliminated: Requirement of company consent to early
retirement and all reductions in benefits other than
actuarial reduction specified for an immediate annuity.
New benefits applicable to employees retired prior to June
1, 1955, who met previous age requirement (50 but
under 65 years).
Minimum age requirement eliminated for employees
retiring on or after June 1,1955.

Pension benefits for employees retired prior to Sept. 1,
1958, increased to $2.35 a month for each year of
credited service - in addition to Federal social security
benefits.26
Creditable service requirements for period after Dec. 31,
1958, reduced from 1 year for 1,800 or more hours’ pay
to 1 year for 1,700 or more hours’ pay, with propor­
tional credit for fewer hours of employment.

At age 65, or when employee became eligible for social
security benefits (whichever is earlier), benefits to be
reduced to normal retirement amounts.
Not applicable to employees discharged for cause

Reduced to normal retirement benefits for any month in
which employee is eligible for social security benefits.
Benefits for employees retired for disability prior to Sept.
1,195?, $4.70 for each year of credited service; reduced
to $2.35 for any month in which employee is eligible
for social security benefits.

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Retirement benefits - C i on tim ed

Sept. 1, 1958 (agreement
dated Sept. 20, ^ S S I -

continued.
Jan. 1, 1962 (agreement dated
Oct. 20,1961).

Changed: Vested rights - Deferred
benefits same per year of service
as new normal benefits, except
that service prior to age 30 was
not credited.
Increased: Normal monthly retire­
ment benefits to $2.80 a month
(was $2.40 or $2.50 depending on
period of service) for each year of
credited service. Benefits in
addition to Federal social security
benefits.
Early retirement beneflts-foi retire­
ment at company option or under
mutually satisfactory conditions,
continued to be twice normal
retirement benefits up to the
earlier of age 65 or until un­
reduced social security benefit
became available. For retirement
at own option, employee could,
in lieu of a deferred normal
benefit or a reduced immediate
benefit, elect level income option
as follows: (1) From retirement
to age 6 2-amount of reduced
immediate monthly benefit (or
f ur t he r reduced amount if
employee elected survivors’
option) plus $96 reduced by fiveninths of 1 percent for each
month employee was under 62 at
date of early retirement; and (2)
from age 6 2-amount of (1) above
less $96. Option not available if
benefit after age 62 was less than
$15 per month.
T otal and permanent disability
benefits -continued to be twice
normal retirement benefits until
employee became eligible for
unreduced Federal social security
benefits or reached age 65.
Service requirement reduced to
10 years creditable service in
retirement plan (was 15 years) for
employee disabled after Aug. 31,
1961.
Vested rights-deferred benefits per
year of service continued to be
same as normal retirement
benefits.

See footnotes at end of table.



48

Increase not applicable to employees leaving company prior
to Sept. 1,1958.

Applicable to employees retiring after Aug. 31,1961.
Eliminated: Deduction from pension of any workmen’s
compensation payments.

Reduced: Early retirement reduction factor from fiveeighths of 1 percent to five-ninths of 1 percent.

Added: Service prior to age 30 to be credited in computing
benefit. Actuarially reduced benefits payable at age 60.

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Retirement benefits-continued

Jan. 1, 1962 (agreement dated
Oct. 2 0 ,1961)-continued.

Sept. 1, 1964 (agreement
dated Nov. 23,1964).

Jan. 1, 1965 (agreement dated
Nov. 23,1964).

Added: Survivors’ option-providing
reduced benefits to employee and
spouse.
Employee benefit to equal-(1 ) if
employee and spouse the same
age, 90 percent of benefit
employee would have received;
(2) if spouse older than employee,
90 percent plus 0.5 percent for
each year (up to 20) spouse’s age
exceeded that of employee; and
(3) if employee older than spouse,
90 percent minus 0.5 percent for
each year spoue’s age was less
than that of employee. Spouse’s
benefit to begin after employee’s
death and to equal 50 percent of
employee’s reduced benefit.
Changed: Early retirement eligibility -employee age 55 but less
than 60 (1) at own option if age
plus service totaled 85 or more, or
(2) at company option or under
mutually satisfactory conditions
with 10 years or more of service. .

Increased: Normal monthly retire­
ment benefits-by $1.45 a month
per year of credited service,
providing benefits as follows:
Employee retired; (1) before
Sept. 1,1958, $3.80 for each year
of credited service; (2) on or after
Sept. 1, 1958, but before Sept. 1,
1961, $3.85 for each year of
credited service prior to Jan. 1,
1958, plus $3.88 for 1958, plus
$3.95 for each year after Dec. 31,
1958; and (3) on or after Sept. 1,
1961, $4.25 for each year of
credited service.
Increased: Early retirement and dis­
ability retirement benefits. For
retirement at company option or
under mutually satisfactory con­
diti ons, or for total and
p e r m a n e n t disability-for
employees retired (1) before Sept.
1, 1964, by $2.90 a month per
year of credited service (except
rate for retirees upon reaching age
65, or when otherwise eligible for
u n r e d u c e d social security
benefits, increased by $1.45 a
month per year of credited
service); or (2) on or after Sept. 1,
1964, to $4.25 a month per year

See footnotes at end of table.



49

Election available to employee eligible for normal, early,
disability, or deferred pension. Employee required to
make election at time of application for pension, or at
age 65 if receiving disability pension. Employee could
designate (1) wife or (2) husband, provided income did
not exceed that of employee.
Election revoked if employee or spouse died before*
effective date of election.
Changed: No pension benefits payable for month for which
employee received weekly sickness and accident benefits
under a plan to which company has contributed; partial
benefits payable if employee did not receive such
benefits for entire month. Applicable only to employee
who retired after Dec. 31,1961.
Added: Employee reinstated on completion of military
service after Mar. 1, 1950, to be credited for such
service.

Added: Past credited service restored for employee with
seniority after Aug. 31, 1964, who lost seniority after
Mar. 1, 1950, but was rehired and acquired a seniority
date which was within 36 months of date seniority was
, lost.
Credited service for employees with seniority after Aug. 31,
1964, accrued up to the end of the month in which
68th birthday occurred.

Temporary benefits are payable until age 65 or prior date at
which employee becomes or could have become eligible
for unreduced social security benefits; thereafter appro­
priate normal benefits are payable.

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Retirement benefits continued

Jan. 1, 1965 (agreement dated
Nov. 2 3 ,1964)-continued.

o f credited service, plus a
temporary benefit of $5.20 for
each year of credited service up to
25 (maximum $130).
For early retirement at own
option-benefits for employees re­
tiring (1) before Sept. 1, 1964,
increased by $1.45 a month per
year of service as computed under
normal
retirement
benefits,
reduced 5/8 of 1 percent for each
month under age 65 for which
employee received benefits (for
early retirement before Sept. 1,
1961) or 5/9 of 1 percent (for
early retirement on or after Sept.
1, 1961); and (2) on or after
Sept. 1, 1964, increased to $4.25
a month per year of credited
service, multiplied by the percent­
age applicable with respect to the
employee’s attained age when
benefits commenced.
IVested rights-deferred benefits per
I year of service continued to be
same as norm al retirement
benefits.
Increased: Spouse’ benefit under
s
survivor’ option- to 55 percent
s
of employee’s reduced benefit.

Added: Benefits payable to surviving
spouse, if employee (1) died on or
after Sept. 1, 1964, but before
retirement and beginning of
retirement benefits, and (2) was
at least 60 years of age (55, if
combined age and service totalled
85 or more) with 10 years or
more of credited service, and (3)
would have been eligible to elect
survivor option if he had retired
on day of his death. Payment to
begin after termination of bridge
and transition benefits under
insurance program.

See footnotes at end of table.



50

iAdded: Employee discharged for cause after Aug. 31,1964,
who was (1) at least age 60 but under age 65 with at
least 10 years of credited service, or (2) at least age 55
but under age 60 and whose combined years of age (to
the nearest 1/12) and credited service totalled at least
85, was to receive benefits of $4.25 a month per year of
credited service, multiplied by the percentage applicable
with respect to the employee’s attained age when
benefits commenced.

Applicable to elections effective after Aug. 31,1964.
Benefits for spouse of retired employee who died before
Jan. 1, 1965, and who made election effective before
Sept. 1, 1964, to be increased to 50 percent of the
reduced benefits that would have been payable to
retiree if new benefits were in effect at time of
retirement.
Changed: Employee receiving disability pensions eligible to
elect survivor option during month in which he attains
age 60 or, if he is age 60 but under 65 on Sept. 1,1964,
during any month before Jan. 1,1965.

Table 3. Supplementary com pensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Retirement benefits-eontinued

Sept. 1, 1965 (agreement
dated Nov. 23,1964).

Added: Supplemental allowance for
employees retiring on early or
total and permanent disability
retirement on or after Sept. 1,
1965, to bring total benefits,
including early retirement or dis­
ability pension, to $400, (1) for
retirement between age 60 and
65, reduced 66-2/3 cents for each
1/20 of a year that his credited
service was under 30, and (2) for
retirement before age 60 further
red u ced by multiplying the
amount payable for specified
years of service in (1) above by a
factor of 60 over die number of
months the employee was under
age 65 at retirement.

Jan. 1, 1966 (agreement dated
Nov. 23,1964).

Jan. 1, 1967 (agreement dated
Nov. 23,1964).
Oct. 25, 1967 (agreement of
same date).

See footnotes at end of table.



51

Benefits payable until earlier of (1) age 65, (2) retiree’s
death, or (3) reemployment by the company or until
retirement benefits cease for any other reason.
Employee required to have applied for retirement benefits
within 2 years of last day worked.
Total monthly benefit not to exceed 70 percent of
employee’s final base pay, including cost-of-living
allowance.
Benefit of employee who retired at own option and who
became or could have become eligible for unreduced
social security payments before age 65, reduced $5.20 a
month for each year of service, up to 25 (maximum
$130).
Future supplemental allowance payments to be forfeited by
retiree earning more than the amount permitted without
reduction of benefits under social security ($1,200
before Jan. 1, 1966; $1,500 thereafter) in any calendar
year.
In computing amount of supplemental allowance, for
employees retiring early at company option or under
mutually satisfactory conditions or total and permanent
disability provisions, pension to include the temporary
benefit payable for such retirement whether or not
employee’s pension actually included such amount.
Supplemental allowance for retirees electing survivor’s
option to be computed for monthly retirement benefit
he would have received if he had not elected the
survivor’s option.
Not applicable to employee discharged for cause unless
company or impartial umpire determined his discharge
should not result in his being ineligible for supplemental
allowance.
Reduced: Age at which employee is automatically retired,
provided he has at least 25 years of credited service-to
age 66 (was 68).
Company may permit employees in skilled classifications to
delay retirement past automatic retirement date if the
number of available qualified persons is insufficient to
meet company’s needs, but only until age 68 or until
the time the company determines that it can adequately
meet its needs.
Reduced: Age at which employee is automatically
retired-to 65, provided he has 25 years of credited
service.
For employee with seniority on or after Oct. 25, 1967:
Credited service before Mar. 1, 1950, broadened to
include (1) service for employee who did not have plant
seniority on Mar. 1, 1950, but, having incurred a prior
break in seniority, was rehired and acquired a seniority
date after Mar. 1, 1950, which was within 24 consecu­
tive months after last day worked before Mar. 1,1950,
and (2) period of absence spent on company-approved
sick leave for employee not having been employed on or
after Mar. 1, 1950, provided he did not incur a break in
seniority and was otherwise eligible for retirement.
Future service credit provided at the rate of 40 hours
per week for any periods between Mar. 1, 1950, and
Sept. 1, 1958, that employee received workmen’s
compensation while on company-approved sick leave, if
application is made. All future and past service credited

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Retirement benefits-continued

Oct. 25, 1967 (agreement of
same date)—
continued.

Mar. 1,1968 (agreement dated
Oct. 25,1967).

to an employee at time of break in seniority on or after
June 1,1955, with eligibility for a vested benefit credited
to him upon his again acquiring seniority, or upon his
rehire on or after Sept. 1, 1964, at the plant where he
last worked prior to break. Future service credit for the
period Mar. 1, 1950, through Dec. 31, 1958, redeter­
mined on the basis of rates in effect since Jan. 1,1959.
In any calendar year after Oct. 25, 1967, for which
employee accrued less than the total number of hours
necessary for a full year of future service credit, his
service credit shall include 40 hours per week for any
period of absence during such year due to layoff or
company-approved sick leave provided employee
received pay during the year for at least 170 hours.
Added: Eligibility requirements for disability retirement
extended to include incapacities resulting from service
in the Armed Forces, provided employee accumulates at
least 10 years of seniority between separation from
military service and onset of disability.
Added: A person on company-approved sick leave since
before Mar. 1, 1950, would not be precluded from
retiring on or after Oct. 25, 1967, without return to
employment, provided he did not incur a break in
seniority.
Increased: Normal monthly retire•
ment benefits-by $1 a month per
year of credited service, providing
benefits as follows: Employee
retired (1) prior to Sept. 1, 1958,
$4.80 for each year of credited
service; (2) on or after Sept. 1,
1958, but before Sept. 1, 1961,
$4.85 for each year of credited
service prior to Jan. 1,1958, plus
$4.88 for 1958, plus $4.95 for
each year after Dec. 31, 1958;
and (3) on or after Sept. 1,1961,
$5.25 for each year of credited
service.
Increased: Early retirement and
disability retirement benefits. For
retirement at company option or
under mutually satisfactory con­
ditions, or for total and perman­
en t disability-for employees
retired (1) before Sept. 1, 1964,
by $2 a month per year of
credited service (except rate for
retirees upon reaching age 65, or
w hen otherwise eligible for
u n re d u c e d social secu rity
benefits, increased by $1 a month
per year of credited service);
(2) on or after Sept. 1, 1964, but
before Oct. 25, 1967, to $5.25 a
month per year of credited
service, plus a temporary benefit
of $5.75 for each year of credited
service up to 25 (maximum
$143.75); or (3) on or after Oct.
25, 1967, to $5.25 a month per
year of credited service, plus a

See footnotes at end of table.



52

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Retirement benefits-continued

Mar. 1, 1968 (agreement dated
Oct. 2 5 ,1967)-continued.

temporary benefit of $6 for each
year of credited service up to 25
(maximum $150).
For early retirement at own
o p t i o n - b e n e f i t ra te fo r
em ployees retiring (1) before
Sept. 1, 1964, increased $1 a
month per year of credited
service; (2) on or after Sept. 1,
1964, increased to $5.25 a month
per year of credited service.
Vested rights-deferred benefits per
year of service continued to be
sam e as norm al retirement
benefits which increased on Mar.
1, 1968 (for loss of seniority on
or after Oct. 25, 1967 but before
Jan. 1, 1969) and Jan. 1, 1969
(for loss of seniority on or after
that date).
Established: Special age 65 benefit payment of $3 a month, in
addition to regular benefits under
retirement plan.
Established: Special survivorship
o p t i o n - provided a monthly
survivor’s benefit in an amount
equal to $1.60 for each year of
retiree’s credited service in lieu of
increase in benefits ($1 per month
for each year of credited service)
th a t otherw ise would have
become effective Mar. 1,1968.
Increased: Benefit for spouse of
retired employee who died before
Mar. 1, 1968, and who made
survivorship election effective
before Oct. 25,1967, increased to
55 percent (50 percent for
elections effective before Sept. 1,
1964) of reduced benefit that
would have been payable to
retiree if Mar. 1, 1968, benefit
rates had been in effect at time of
retirement.

Payable to any retired employee or any eligible surviving
spouse age 65 or over receiving a benefit under the plan
(excludes former employees receiving a deferred vested
pension and their surviving spouses).
Applicable only to employees retired before Oct. 25,1967,
under normal, early, or disability retirement (excluding
retired employees on disability retirement who had not
attained age 60 before Mar. 1, 1968) who had not
previously elected a survivorship option.
Election was to be made between Oct. 25, 1967, and Mar.
1,1968.
Benefits to be reduced by the appropriate percentage, when
applicable, for employees under early retirement.

Changed: Supplemental allowance-benefits payable after
Mar. 1, 1968, for employees retired at own option
under early retirement on or after Sept. 1, 1965, and
before Oct. 25, 1967, reduced by $5.75 a month for
each year of credited service (up to 25 years, maximum
$143.75) for any month before age 65 for which he
would be eligible, commencing on or after Mar. 1,1968,
for an unreduced social security benefit. For
retirement on or after Oct. 25,1967, benefits payable
after Mar. 1, 1968, were to be reduced $6 a month for
each year of credited service (up to 25, maximum
$150).
Changed: A penalty, equal to double the amount by which
earnings in any calendar year after 1967 and after
retirement exceeded the amount permitted without
reduction of benefits under the Federal Social Security
See footnotes at end of table.



53

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Retirement benefits-aontinued

Mar. 1,1968 (agreement dated
Oct. 2 5 ,1967)-continued.

Jan. 1, 1969 (agreement dated
Oct. 25,1967).

Changed: For employee retiring on
or after Oct. 25, 1967, pension
benefits ranged from $5.50 to $6
a month per year of credited
service depending on the
ap p licab le benefit rate for
“benefit class codes” designated
for each job classification in
effect on Sept. 6,1967.27
Changed: For early retirement at
com pany o p tio n or under
mutually satisfactory conditions,
or for total and permanent
disability-for employees retiring
on or after Oct. 25, 1967,
benefits were to be computed on
the life income benefit rate of the
benefit class code applicable to
the retiree at retirement date, plus
a temporary benefit of $6 for
each year of credited service up to
25 (maximum $150).
Changed: For early retirement at
own option on or after Oct. 25,
1967-benefits were to be com­
puted on the life income benefit
rate of the benefit class code
applicable to the retiree’s job
classification, multiplied by the
percentage applicable for his
a tta in e d age when benefits
commenced.28
S u rv iv o r’s o p tio n : Employee’s
benefits increased to (1) 95
percent of benefit he would have
received after age 65, if employee
and spouse were same age; (2) 95
percent plus 0.5 percent for each
year over 5 and up to 10, that
spouse’s age exceeded employee’s
age; and (3) 95 percent minus 0.5
percent for each year in excess of
5 that spouse’s age was less than
employee’s. .
Increased: Benefits payable to
surviving spouse of an employee
who (1) retired and elected the
survivorship option on or after
Oct. 25, 1967, and (2) died
before Jan. 1, 1969, recomputed
to give effect to increased benefit
rate.

See footnotes at end of table.



54

Act ($1,500 on Oct. 25, 1967), was charged against the
supplemental allowance (instead of complete forfeiture
of future supplemental allowance payments). The
penalty was deducted in installments from the monthly
allowance payments until the full amount of such
penalty was satisfied.
Benefit class codes were assigned for the maximum hourly
base rate (including incentive earnings) of each job
classification.
The benefit rate was to be determined by the benefit class
code for the job classification held by the employee for
the greatest number of calendar days during the 24
consecutive months immediately preceding his last day
worked.

Employee retiring on or after Jan. 1, 1969, (including a
former employee who incurred a break in seniority on
or after Jan. 1, 1969, and was entitled to a deferred
vested pension benefit) was automatically deemed to
have elected the survivor’s option providing a reduced
monthly benefit for employee.
Employee could prevent the automatic election by a
specific written rejection at the time of application for
retirement benefits.

Table 3. Supplementary com pensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Retirement benefits-ctmtinued

Credited service broadened to include past service for
employee with seniority on or after Dec. 21,1970, not
in employment on Mar. 1, 1950 but with active service
before that date.
Past and future service creditable to employee for disability
benefit as if he had seniority throughout disability if he
had seniority break on or after June 1, 1955 with
eligibility for a vested pension and (a) was re-employed
on or after Dec. 21, 1970 and within 36 months of
seniority break, and (b) became disabled while
employed before again acquiring seniority, and
disability was continuous for 6 months during which he
was found to be totally and permanently disabled.
Employee who did not have seniority on or after Dec. 21,
1970 and who had seniority break after Mar. 1,1950 to
have past and future service that was creditable to him
at time of service break if he acquired a seniority date
which was within 36 consecutive months of date
seniority was lost.
Added: Employee with seniority on or after Dec. 21,1970
who on or after Mar. 1, 1950 was absent from
employment because of active military service and
reinstated with seniority credit, to be credited for
military service for pension purposes even if he retired
or incurred a break in seniority subsequent to re­
employment and before Sept. 1,1961.
Changed: In any calendar year after Oct. 25, 1967, for
which employee accrued fewer than total number of
hours required for full year of future service credit, his
future service credit (in addition to any other hours
creditable under future service) shall include 40 hours
per week for any period of absence during any such year
due to layoff or company-approved sick leave provided
that (1) employee received pay during year for at least
170 hours but less than 1,700 hours, and (2) if such
layoff or sick leave beginning in 1970 or any calendar
year thereafter continues after that year, the employee
shall receive future service credit for layoff or
company-approved sick leave in the 2nd calendar year,
not to exceed 1,530 hours’ credit for all such absence
related to receipt of such pay from company in the first
year. Section (2) was applicable to an employee who
received 1,700 hours’ pay or more in 1970 or any
calendar year thereafter if he was laid off or on
company-approved sick leave at the end of any calendar
year.
Added: Employee with 5 years of seniority as of Jan. 1,
1971 who was laid off during any calendar year after
Dec. 31, 1955 and before Jan. 1, 1963, was credited
with 40 hours for each complete calendar week of such
absence during which he had seniority, multiplied by a
percentage as follows:

Dec. 21, 1970 (agreement
dated Dec. 7,1970).

Employee seniority
on Jan. 1,1971
20 years or more .....................................
15-20 years................................................
10-15 years.........................................................
5-10 years............................................

See footnotes at end of table.



55

Percent
100
75
50

2

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Retirement benefits-continued

Dec. 2 l, 1970 (agreement
dated Dec. 7 ,1 9 7 0 )continued.
Apr. 1,1971 (agreement dated
Dec. 7,1970).

Increased: Normal monthly retire­
ment benefits -employee retired
(1) before Oct. 25, 1967, by $1
per year of credited service;
(2) on or after Oct. 25, 1967 but
before Sept. 15, 1970, by $1 per
year of service to amount ranging
from $6.50 to $7 per year of
credited service, depending on life
income benefit rate for applicable
benefit class code29 and (3) on or
after Sept. 15,1970, by $1.75 per
year of service to amount ranging
from $7.25 to $7.75 per year of
credited service, depending on life
income benefit rate for applicable
benefit class code.29
Increased: Early retirement and dis­
a b ility re tire m e n t monthly
benefits.
For retirement at company
option or under mutually
satisfactory conditions (special
early retirement) or for total
and permanent disability -fo r
employees retired (1) before
Sept. 1, 1964, by $2 per year
of credited service (except rate
for retirees upon attaining age
65 or when otherwise eligible
for unreduced social security
benefits and for special early
retirement before Sept. 1,
1964, increased by $1 per year
of credited service); (2) on or
after Sept. 1, 1964 but before
Oct. 25, 1967, to $6.25 per
year of credited service plus a
temporary benefit of $6.75
per year of credited service, up
to 25 years (maximum
temporary benefit $168.75);
(3) on or after Oct. 25, 1967
but before Sept. 15, 1970, to
amount ranging from $6.50 to
$7 per year of credited service
depending on life income
benefit rate for applicable
benefit class code,29 plus a
temporary benefit of $7 per
year of credited service, up to
25 years (maximum tempo­
rary benefit $175); and (4) on
or after Sept. 15, 1970, to
amount ranging from $7.25 to
$7.75 per year of credited
service, depending on the life

See footnotes at end of table.




56

Employees must have received less than a full year of
future service credit for such year, have made proper
application, and not have been credited with more than
1,700 hours in any such calendar year, and there must
not have been any duplication of accreditable service.

Temporary benefits continued only until age 65 or prior
date when employee became or could have become
eligible for unreduced social security benefits.

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Retirement benefits-continued

Apr. 1,1971 (agreement dated
Dec. 7 , 1970)-continued.

See footnotes
 at end of table.


income benefit rate for appli­
cable benefit class code,29
plus a temporary benefit of
$7.50 per year of credited
service, up to 25 years
(maximum temporary benefit
$187.50).
For retirement at own option
( r e g u la r e a r ly r e tir e ­
m ent) -e m p lo y ee re tire d
(1) before Sept. 1, 1964, by
$1 per year of credited service
as previously reduced; (2) on
or after Sept. 1, 1964 but
before Oct. 25,1967, to $6.25
per year of credited service,
m u ltip lie d by percentage
applicable for his attained age
when benefit began,30 (3) on
or after Oct. 25, 1967 but
before Sept. 15, 1970, to
amount ranging from $6.50 to
$7 per year of credited service,
depending on life income
benefit rate for applicable
b e n e f i t c la s s c o d e ,29
m u ltip lie d by percentage
applicable for his attained age
when benefits began30; and
(4) on or after Sept. 15,1970,
to amount ranging from $7.25
to $7.75 per year of credited
service, depending on life
income benefit rate for appli­
cable benefit class code,29
multiplied by percentage appli­
cable for his attained age when
benefits began.30
Increased: Vesting-deferred monthly
benefits ranging from $5.50 to $6
(for break in seniority on or after
Jan. 1, 1969 but before Dec. 21,
1970) or from $7;25 to $7.75 per
year of credited service (for loss
of seniority on or after Dec. 21,
1970), depending on life income
benefit rate for applicable benefit
class code.29
Added: Survivors’ benefits-employee could have pension
restored to amount payable had he not made a
survivorship election if he retired on or after Sept. 15,
1970 (including a former employee who incurred a
break in seniority on or after Dec. 21,1970 and entitled
to deferred pension) and designated spouse predeceased
employee or if a divorce was obtained (by court decree).
Employee who retired before Sept. 15, 1970 and made
survivorship election (including a former employee who
incurred a break in seniority before Dec. 21,1970, and
entitled to deferred pension) could have pension
restored to amount payable before such election if
designated spouse predeceased him. Employee retired
before $ept. 15, 1970 on normal, early, or disability
retirement could receive full amount even though he
made survivorship election if divorce was obtained (by
court decree).
*
57

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Retirement benefits-cimtinued

Apr. 1,1971 (agreement dated
Dec. 7 , 1970)-continued.

Increased: Special age 65 benefit - to
$5.30 a month.
E x panded: Special survivorship
option -employee retired before
Jan. 1, 1962, on total and
permanent disability and not yet
age 60 before Mar. 1, 1968 could
e lec t to provide monthly
survivors’ benefit equal to $1.60
per year of credited service at
retirement. Retirees’ monthly life
income benefit was reduced by $1
per year of credited service at
retirement.

No more than one payment was to be made to any one
person for any month after March 1971.
Election became effective Apr. 1,1971, if retiree filed form
on or after Dec. 21, 1970 but before Apr. 1, 1971. If
retiree had not attained age 60 before Apr. 1,1971, and
he filed form during month in which he attained age 60,
the election was effective the first day of the following
month.

Changed: Supplemental allowance-benefits payable on or
after Apr. 1, 1971 for employee retired at own option
under early retirement reduced for any month before
age 65 for which he would be eligible for an unreduced
Social Security benefit on or after Apr. 1, 1971 as
follows:
. If employee retired (1) on or after Sept. 1, 1965 but
before Oct. 25, 1967, by $6.75 a month per year of
credited service, up to 25 years (maximum $168.75);
(2) on or after Oct. 25,1967 but before Sept. 15,1970,
by $7 a month per year of credited service, up to 25
years (maximum $175); and (3) on or after Sept. 15,
1970, by $7.50 a month per year of credited service,
up to 25 years (maximum $187.50).
Increased: Maximum earnings permitted before penalty
applied against supplemental allowance-to $1,680 in
any calendar year after retirement (amount permitted
without reduction in benefits under Federal Social
Security Act).
Added: Pension benefit payable to any retiree (including
any supplemental allowance) who retired on or after
Apr. 1, 1971 (including a former employee who
incurred a break in seniority on or after Apr. 1, 1971
and entitled to a deferred pension) to be reduced, unless
prohibited by law, equivalent to all or any part of
workmen’s compensation (including compromise or
redemption settlements) payable to retiree by laws of
United States or any political subdivision thereof which
have or will be enacted, to the extent that such
workmen’s compensation has been provided by
premiums, assessments, taxes, or other payments at the
expense of the company. No deduction was to be made
for workmen’s compensation for hospitalization or
medical expense, fixed statutory payments for loss of
any bodily member or 100 percent loss of use of any
bodily member, or payment for loss of industrial vision;
compromise or redemption settlements payable before
d a te m o n th ly benefits began; or workmen’s
compensation payments paid under claim filed not later
than 2 years after breaking of seniority.

See footnotes at end of table.



58

Table 3. Supplementary compensation practices1—
continued

Effective date

Applications, exceptions, and other
related matters

Provisions
Retirement benefits—
continued

Oct. 1,1971 (agreement dated
Dec. 7,1970).

Changed: Supplemental allowance
for employees retiring on early or
total and permanent disability
retirement which when added to
early and disability benefits
would bring total benefits to
(1) for retirement on or after
Sept. 1, 1965 but before Oct. 1,
1971 —
$450 (a) reduced for
retirement between age 60 and
65, by 75 cents for each 1/20 of a
year that his credited service was
under 30 years and (b) reduced
for retirement before age 60, by
multiplying an amount payable
for specified years of service as
computed in (a) above by a
fraction of which the numerator
was 60 and denominator was the
number of months the employee
was under age 65 at retirement;
(2) for retirement on or after Oct.
1, 1971-(a) if employee had 30
years of service or more (i) $500
for months before age 62 and (ii)
$450 after 62 through month in
which he attains age 65, with
both (2)(a)(i) and (2)(a)(ii) above
reduced by 2/3 of 1 percent for
each month under age 58 at
re tire m e n t (re d u c tio n n o t
applicable for disability and
regular early retirements if on
layoff for 12 continuous months,
or less at discretion of company,
because of plant closing or
discontinuance of operations and
suitable work was not available
from company in same area); or
(b) if employee had less than 30
years of service (i) $500 for
months before age 62 reduced by
83-1/3 cents for each 1/20 of a
year that his credited service at
retirement was less than 30 years
and (ii) $450 after 62 through
month in which he attains age 65,
reduced by 75 cents for each 1/20
of a year that his credited service
at retirement was under 30 years,
with both (2)(b)(i) and (2)(b)(ii)
above fu rth e r reduced for
employee who had not reached
age 60 a t retirem ent, by
multiplying the amount payable
by a fraction, of which the
n u m e ra to r is 60 and the
denominator is the number of
months the employee was under
age 65 at retirement.
Changed: Regular early monthly
re tire m e n t benefit-em ployee

See footnotes at end of table.



59

Table 3. Supplementary com pensation practices1—
continued

Effective date

Applications, exceptions, and other
related matters

Provisions
Retirement benefits-c ontinued

Oct. 1,1971 (agreement dated
Dec. 7, r970)-continued.

Oct. 1,1972 (agreement dated
Dec. 7,1970).

with 30 years or more of credited
service who retired at his own
option on or after Oct. 1, 1971,
to receive life income benefit
based on applicable benefit class
code,29 multiplied by percentage
applicable for his attained age
when benefits began,30 and at age
65 to receive life income benefit
otherwise payable after age 65
reduced by 1/3 of one percent
times number of months from
date his benefits began to first
day of month that included his
62nd birthday.
Added: Employee with 30 years or
more of credited service who
incurred a break in seniority on or
a fte r Oct. 1, 1971, before
attaining age 55 considered to be
retire d employee eligible to
receive regular early retirement
benefit.
Changed:
Supplemental
allowance-employee who retired
on or after Oct. 1, 1972 w ith'30
years or more of credited service
to receive 2/3 of 1 percent
reduction for each month under
age 56 at retirement (previously
age 58).
Supplemental unemployment benefit plan

June 6, 1955 (by agreement
dated June 8,1955).

Digitized forSee footnotes at end of table.
FRASER


Plan
established to supplement
b e n e fits paid u nder State
unemployment systems.
Contributions:
Company to contribute 5 cents per
man-hour compensated.
Size o f Benefits:
“Special” benefits-to be paid for the
~first 4 weeks of benefits31-will,
when
a d d e d to S ta te
unem ploym ent compensation,
equal 65 p erc en t o f the
employee’s weekly straight-time
wages after taxes or $25,
whichever amount is smaller.
“Regular” benefits-paid for each
subsequent week of benefits up to
a maximum of 22 additional
w eeks-w ill, when added to
unem ploym ent compensation,
equal 60 p e rc e n t o f the
employee’s weekly straight-time
wage afte r taxes or $25,
whichever is smaller.
Benefits will be reduced by 20
percent if the trust fund position
falls below 13 percent, but in no
event to an amount less than $5
by reason of such reduction. If

60

Company contributions will be paid into two funds-a
general fund for production workers and a defense fund
for those engaged in defense work. Both funds are
eventually to be built up to a “maximum trust fund
position” of about $400 per employee (including
workers laid off but eligible for benefits)-or a total of
$55. million for the two funds combined, assuming no
change in employment from June 1955 levels.32
Company contributions to the fund will cease when it
reaches 100 percent (maximum trust fund position) and
will be resumed only as necessary to restore this level.
Plan contingent on obtaining rulings (1) that company
contributions are deductible expenses for Federal
income tax purposes; (2) that such contributions would
be excluded in computation of overtime pay under the
Fair Labor Standards Act; and (3) in States in which the
company has two-thirds of its employees, that
simultaneous payment of benefits would not reduce or
eliminate State unemployment benefits.33 If these
rulings are not obtained by June 1, 1957, the plan
terminates, except to pay benefits in States where
supplementation is permitted (or substitute benefits
where supplemental benefits not allowed) until funds
have been exhausted. If the plan is terminated in this
manner, the company and union are to negotiate with
respect to the use of the money which the company
otherwise would contribute to the fund; if no agreement
is reached within 60 days, there will be a general
5-cent-an-hour wage increase.
♦

Table 3. Supplementary compensation practices1—
continued

Effective date

Applications, exceptions, and other
related matters

Provision

Supplemental unemployment betrefit plan-continued
June 6, 1955 (by agreement
dated June 8, 1955)continued.

Sept. 1, 1958 (agreement
dated Sept. 20,1958).

such position is less than 4
percent, no benefits are payable.
Benefits to be first available June 1,
1956, or when favorable rulings
f r o m S t a t e and F ed eral
governments obtained, whichever
later.
Eligibility:
Laid-off employees with at least 1
y e a r’s seniority34 and with
benefit credits will be eligible for
benefits after a waiting period of
1 week within the benefit or
calendar year.
To obtain a week of benefits,
employees will surrender credits
varying from 1 to 10 units
depending on length of service
and amount of funds on hand to
pay benefits.35
Accrual o f credit units:
During the first 2 years of the plan
employees with less than 10
years’ seniority will accumulate
0.25 of a credit unit for each
w eek in which they were
employed 32 or more hours and
employees with longer service will
accumulate 0.50 of a credit unit
f o r e a c h such w eek o f
employment. Subsequently, all
employees will receive 0.50 of
one credit unit for each such
w e e k o f em ploym en t. A
maximum of 26 credit units can
be accumulated by a worker at
any one time.
Size o f Benefits -Changed to: An
amount, which when added to
State
unem ploym ent
compensation, will equal 65
percent of the employee’s weekly
straight-time wages after taxes, or
$30, whichever is smaller.36
Eligibility-Changed: From require­ *An employee with fewer than the number of credit units
ment of at least % credit unit to a
required for the full weekly benefit to be paid at least
fraction of a unit.
$2. (Formerly, employee was ineligible for benefit if less
than $2.)
Added: Benefits to be paid to
employees receiving less than 65
percent of weekly after tax
straight-time wage where earnings
were too high to qualify for State
benefits or (<
waiting week” credit.
Accrual o f credit units-Changed:
Employees to accumulate Vi
credit unit for each workweek in
which they receive any pay from
company.
Changed: Maximum number of credit Not applicable to States that extended benefit period
units increased to match increase
temporarily through acceptance of the Federal loan act
in number of weeks of State
(Temporary Unemployment Compensation Act of
u n em p lo y m en t compensation
1958) or otherwise; eligible employees in these States
benefits beyond 26, up to 39.
covered by temporary emergency benefit provisions.

See footnotes at end of table.



61

Table 3. Supplementary com pensation practices1—
continued

Effective date

Applications, exceptions, and other
related matters

Provision

Supplemental unemployment benefit plan-continued
Sept. 1,1958 (agreement dated
Sept. 2 0 ,1958)-continued.

Dec. 22, 1958 (agreement
dated Sept. 20,1958).

Apr. 1, 1959 (supplement
agreement of Apr. 8,
1959).

Sept. 1, 1961 (agreement
dated Oct. 20,1961).

Sept. 3, 1961 (agreement
dated Oct. 20,1961).
Jan. 1, 1962 (agreement dated
Oct. 20,1961).

A dded: T em porary emergency
benefits extending credits for
SUB to employees laid off on or
after Sept. 1, 1958, but prior to
Apr. 1, 1959. Maximum of 13
additional units for each eligible
employee.
Company contributions of 5 cents
per m an-hour compensated
c o n t i n u e d dep en d in g on
maximum funding. Assets of
D efense Fund merged into
General Fund. Monthly maximum
funding continued at $393 per
employee.37
Extended: Credits for SUB under
temporary emergency benefits
continued for employees laid off
prior to July 1, 1959, but
subsequent to Aug. 31, 1958. No
change in total number of
additional credit units allowed.
Company to contribute 5 cents per
man-hour compensated through
November 1962, regardless of
maximum funding position during
period.
Accrual o f credit units:
Increased: Maximum number of
credit units to 52.
Size o f benefits:39
Changed:
Regular benefits-An amount which,
when
a d d e d to S ta te
unem ploym ent compensation,
weekly earnings from company
(including holiday and vacation
pay and potential earnings for
available time not worked), plus
earnings over $10 from other
em ployers, would equal 62
percent of straight-time weekly
earnings for a 40-hour week
(including cost-of-living allowance
but excluding premiums and
b o n u s e s ) plus $1.50 per
dependent up to four. Maximum
weekly benefit-$40.

See footnotes at end of table.



62

Applicable to otherwise eligible employees who had
exhausted credit units or who had insufficient credits to
qualify for full benefit and who worked in States
temporarily extending State benefits beyond 26 weeks
under the Federal loan act or other action.

Applicable to eligible employees who had received
temporary emergency benefits prior to Apr. 1,1959 and
who were eligible for benefits under State programs,
temporarily extending through June 30,1959.

See also contributions for scheduled short workweek and
special benefits, effective Jan. 1, 1962; new maximum
financing formula, effective Dec. 1,1962; and offset for
provision of hospital, surgical, and medical insurance
and moving allowance to laid-off employees, effective
Jan. 1,1962.38

Benefits, except for scheduled short workweek or special
benefits, to be (1) discontinued when credit unit
cancellation base40 fell below $12.80, (2) reduced 20
percent but not below $5 when base was $12.80 but less
than $41.60. Full benefits to be paid employee
otherwise eligible but with insufficient credits required
for full amount of regular or short workweek benefits.
Unemployment compensation not deducted from SUB if
State benefits were exhausted while employee was
entitled to SUB.

Table 3. Supplementary compensation practices1—
continued

Effective date

Applications, exceptions, and other
related matters

Provisions

Supplemental unemployment benefit plan-continued
Jan. 1, 1962 (agreement dated
Oct. 2 0 ,1961)-continued.

Eligibility:
Added: Employee to be eligible for
b e n e fits if disqualified for
une mp l o yme nt compensation
(1) when laid off because of
inability to perform work offered
although capable of doing other
w ork to which entitled if
seniority had been sufficient;
(2 ) fo r refusal to accep t
company’s offer of work which
he was not required to take under
local agreement; (3) because of
eligibility for or receipt of
statutory retirement or disability
benefits which could be received
w h i l e w o r k i n g ; (4) when
automatically retired without
com pany pension; (5) when
serving an une mp l o y me nt
compensation waiting week while
laid off out of line of seniority,
unless layof f tem porary;41
(6) when receiving military
termination pay; (7) because of
failure to claim benefit which,
due to company earnings, was less
than $2; or (8) when employee
participated in a Federal or State
retrain in g program providing
benefits or subsistence.42
Added:
Short workweek and special benefits
for scheduled and unscheduled
short workweek.

S cheduled short workweek-65
percent of straight-time hourly
pay and cost-of-living allowance
in effect times difference between
compensated or available hours
and 40.
See footnotes at end of table.



63

Employee could be eligible for part of week if specified
disqualifying conditions were not responsible for entire
week’s unemployment. One-fifth of weekly benefit paid
for each day eligible.

Company not required to contribute to SUB fund for short
week and special benefits for scheduled short
workweeks, unless credit unit cancellation base fell
below $300 per employee. If contribution was required,
company to pay lesser of (1) amount of short week and
special benefits for scheduled short workweek for which
company was not obligated to contribute during
preceding month or (2) amount required to bring credit
unit base up to $300 for month for which company did
contribute.
In addition, when credit unit cancellation base fell below
$300 per employee, company to contribute for each
pay period sum equal to (a) short workweek benefits
and (b) special benefits for scheduled short workweek.
Payable: Short workweek benefits, without application, for
any week in which employee worked a short workweek
and received company earnings sufficient to disqualify
him for State unemployment compensation. No
minimum or maximum benefit. Special benefits, with
application, for any week in which employee worked a
short workweek but did not receive sufficient company
earnings to be disqualified for State unemployment
compensation. No minimum or maximum benefit.
Defined as week in which hours were reduced to adjust
production to customer demand.

Table 3. Supplementary compensation practices1—
continued

Effective date

Applications, exceptions, and other
related matters

Provisions

Supplemental unemployment beni’fit plan-continued
Jan. 1, 1962 (agreement dated
Oct. 2 0 ,1961)-continued.

Unscheduled short workweek-50
percent of straight-time hourly
pay and cost-of-living allowance
in effect times difference between
compensated or available hours
and 40.

Eligibility -Employee (1) with 1 year
of service or more who worked
fo r th e c o m p a n y d u rin g w eek b u t
h a d few er th a n 4 0 c o m p e n sa te d o r

available hours,45 (2) who was
laid off some part of week,46
(3) who was ineligible for State
unem p lo y m en t compensation
because of company earnings or
p erio d w o rk ed ,47 (4) who
satisfied specified SUB eligibility
requirements, and (5) without the
e q u iv ale n t o f a week of
unemployment as defined by the
State
unemployment
compensation law with respect to
any part of the workweek.48
Added:
S p e c ia l b e n e fits — n am o u n t
A
computed as a short-week benefit
b u t r e d u c e d by S t a t e
unemployment compensation and
weekly earnings over $10 from
another employer.
Eligibility -Employee who (1) met all
conditions for regular benefit
(e x c e p t $2 m inim um not
applicable), (2) worked for the
company during the week but had
fewer than 40 compensated or
available hours 45 and (3) did not
receive su fficie n t company
earnings or work for company
long enough to be disqualified for
State
unemployment
compensation.
Leveling week benefit -employees
serving a waiting week for State
benefits to receive full amount
(62 percent plus $1.50 for each of
up to 4 dependents) of regular
benefit (or special if applicable)
for such week if laid off out of
line of seniority, unless layoff is
temporary.41 Not subject to $40
maximum. Employee continued
to accrue credit units while
receiving benefits and no credit
units to be cancelled.

. See footnotes at end of table.




64

Defined as week in which (1) reduced hours not classified
as scheduled, (2) employee returned from layoff to
replace a separated or absent employee, (3) employee
returned to work after a week of layoff because of an
increase in production,43 or (4) employee last worked
at beginning of or first worked at end of a model change
period.
Compensated or available hours to include hours (1) paid
for, (2) scheduled or made available but not worked,
(3) during layoff for any reason not covered by SUB
plan ,44 (4) not worked in accordance with local
agreement or because of absenteeism of other workers,
and (5) below 40 hours normally not worked by
part-time employee or employee on less than regular
40-hour shifts.
No credit units cancelled for unscheduled short workweek
benefits for 3 hours or less or for scheduled short
workweeks, special or leveling week benefits. One-half
regular cancellation rate applied for unscheduled short
workweek if pay from company equaled or exceeded 62
percent or 40 hours’ pay plus $1.50 for each dependent
up to four.

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions

Supplemental unemployment benefit plan-continued
Dec. 1,1962 (agreement dated
Oct. 20,1961).

Sept. 1, 1964 (agreement
dated Nov. 23,1964).

Nov. 1, 1967 (agreement
dated Oct. 25,1967).

Changed: Maximum funding— be
to
16 times the average full benefit
(including average weekly amount
paid to cover hospital, surgical,
and medical expense benefits for
laid-off employees) times number
of employees in active service and
laid-off workers with credit units.
Regular benefits: Increased-to maxi­
mum $50 a week plus $1.50 for
each dependent up to 4.
Eligibility: Added-employee was
eligible for benefits if disqualified
for unemployment compensation
because (1) the week was (a) a
State system “waiting week”
immediately after a week for
which he received a State benefit,
or (b) a waiting week that
occurred less than 52 weeks after
his last State “waiting week”; or
(2) denial of SUB would be con­
trary to intent of plan.
Scheduled short workweek benefits:
Increased to -7 5 percent of
straight-time hourly pay and costof-living allowance in effect, times
the number of hours by which 40
exceeded compensated or available
hours.
Changed: Maximum funding-to be
16 times the average full benefit
rate (the sum of (1) an amount
determined by adding the sum of
all full benefits paid by the com­
pany and all contributions made
by the company for the continua­
tion of group life insurance cover­
age for laid off employees during
the 12 months immediately before
the month preceding the month
for which maximum funding is
being determined, and dividing the
result by the number of such full
benefits, and (2) the average
weekly contributions paid by the
company to provide hospitalsurgical-medical insurance cover­
age), and this result multiplied by
the sum of (a) the average number
of covered employees on the active
employment rolls, and (b) the
average number of persons laid off
from work as covered employees
who are not on the active employ­
ment rolls but who have credit
units.

See footnotes at end of table.



65

Full benefit defined as a regular benefit not reduced
because of other compensation or benefit paid employee,
laid off out of line of seniority, ineligible for State
unemployment compensation because of waiting week
requirement.
Eliminated: Periodic revision in maximum funding when
weekly benefits fell below $20.
Added: Benefits payable for the first 2 weeks of layoff
resulting from an act of God.

Changed: Short workweek benefits, other than partial
automatic short week benefits and special short week
benefits, payable without application now termed
“automatic short week benefits.”
Added: Partial automatic short week benefits-payable for
hours of layoff on days not included in established State
system “week of unemployment” based on number of
hours by which the hours regularly compensated on such
days exceeded the actual compensated or available hours.

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions

Supplemental unemployment benefit plan-continued
Feb. 9,1968 (agreement dated
Oct. 25,1967).

R egular benefits: Eliminated maximum when receiving State
unemployment compensation.
Eligibility: Added-employee was
eligible for benefits if disqualified
for State unemployment com­
pensation because he was on active
duty, including required military
training, in a National Guard,
Reserve or similar unit, for not
more than 2 weeks in any calendar
year.
Automatic short week benefits for
scheduled and unscheduled short
workweek: Increased-to 80 per­
cent of straight-time hourly pay
and cost-of-living allowance in
effect, times the number of hours
by which 40 exceeded compen­
sated or available hours.
Eligibility: Added-employee was
eligible for automatic short week
benefits for any workweek, if
during such workweek he received
some jury-duty or bereavement
pay from the company, but had
less than 40 compensated or avail­
able hours.

Added: Maximum of $70 plus $1.50 for each dependent up
to 4 applicable to benefits for a week for which
employee does not receive a State benefit.
Eliminated: Reduction of SUB by amount of special “back
to work” benefit paid under Michigan Unemployment
Compensation Law.

Added: In any week for which an employee received layoff
disability under group life and disability insurance plan,
credit units were to be canceled as if he had received
regular SUB for such week; if he received layoff
disability benefits for only a portion of a week and did
not receive SUB for any part of such week, only 1/2 of
such credit units were to be canceled; if he received
layoff disability benefits for a portion of a week and also
SUB for such week, no credit units were to be canceled
for the layoff disability benefits.
Changed: Benefits, except for automatic short week benefit
for a scheduled short workweek, to be (1) discontinued
when credit unit cancellation base4 9 feu below $18
(2) reduced 20 percent, but not below $5, when base was
$18 but less than $58.50.

Oct. 25, 1968 (agreement
dated Oct. 25,1967).

Contributions: Company to con­
tribute at rate of (1) 5 cents per
man-hour compensated when value
of assets of SUB fund is at least
thirteen-sixteenths of the maxi­
mum funding, (2) 6 cents per
man-hour compensated when value
of assets is one-half but less than
thirteen-sixteenths of maximum
funding, and (3) 7 cents per man­
hour compensated when value of
assets was less than one-half of the
maximum funding.
Changed: Company required to contribute to SUB fund for
automatic short week benefits paid for scheduled short
workweeks, when credit unit cancellation base fell below
$430 per employee.
Added: Company’s contribution to SUB fund would be
offset by (1) amount of automatic short week benefits
See footnotes at end of table.



66

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions

Supplemental unemployment benefit plan-continued
Oct. 25,1968 (agreement
dated Oct. 25,1 9 6 7 )continued.

Dec. 1,1968 (agreement dated
Oct. 25,1967).

Dec. 28, 1970 (agreement
dated Dec. 7,1970).

Regular benefits: Increased-to an
amount which, when added to
S ta te unem ploym ent com­
pensation, weekly earnings from
company (including holiday and
vacation pay and potential
earnings for available time not
worked), plus earnings or military
pay over $10 from other
employers, would equal 95
percent of employee’s weekly
aftertax pay, less $7.50 for work
related expenses not incurred.
Added: Guaranteed annual in­
com e-52 credit units guaranteed
each year for employees with 7 or
more years of seniority and on
active employment rolls on Dec.
1, 1968, or on the last day of
each 52d pay period thereafter;
graduated guarantees for workers
with at least 1 but less than 7
years of seniority.50
Accrual o f credit units: Addedemployee to receive 1/2 credit
unit for each week he was (a) on a
military leave of absence or
(b) absent from work because of
occupational injury or disease
incurred during employment and
on account of such absence
received workmen’s compensation
while on company-approved leave
of absence.

See footnotes at end of table.



67

paid (other than benefits paid for scheduled short
workweeks in pay periods for which the credit unit
cancellation base was less than $430), and (2) contribu­
tions by company for the continuation of group life
insurance coverages for laid off employees, except the
amount paid for the first full month after the month of
such layoff.
Maximum weekly benefit, $70 plus $1.50 for each
dependent up to 4, if employee refuses an offer of work
by the company (even though he has an option to refuse
such work) which results in his being disqualified for
State benefits or if such refusal of an offer of work
occurs after exhaustion of State benefits. Maximum not
applicable, however, to skilled tool and die, mainten­
ance and construction or powerhouse employees who
refused work, other than work in their respective
departments.

Workers on layoff or with less than 1 year of seniority on
Dec. 1, 1968 (or on a subsequent guarantee date),
receive guaranteed annual income credit units on a
proportionately reduced basis on the date of reinstate­
ment to the active roll or upon accumulating 1 year of
seniority.51

Added: Employee with credit units during part of week
who forfeited them due to death or retirement under
plan deemed to have them for all of such week.
Changed: The designation of a “reinstated accident and
sickness benefit” was substituted for the previous layoff
disability benefit so that in any week for which an
employee received a reinstated accident and sickness
benefit under the group life and disability plan, credit
units were to be cancelled as if he had received regular
SUB benefits for such week; if he received a reinstated
accident and sickness benefit for only a part of week
and did not receive SUB benefits for any part of such
week, 1/2 of such credit units were to be cancelled; if he
received a reinstated accident and sickness benefit for
part of week and also SUB benefits for such week, no
credit units were to be cancelled for the reinstated
accident and sickness benefits. (Terminology change
only.)
Changed: Employee who entered Armed Forces directly
from employ of company^ deemed to be on leave of
absence while in such service and not entitled to any
SUB, and all credit units credited at time of entry into
service plus (a) any units he was entitled to be credited
with for period of military leave of absence, or (b) any
units earned prior to or with respect to his period of
military leave of absence that would have been credited
to him on or after date he attained 1 year of seniority if
he had been on active employment rolls of company on
or after such date, to be credited to him upon
reinstatement in accordance with the terms of the
approved leave of absence.

Table 3. Supplementary compensation practice1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions

Supplemental unemployment benlefit plan-continued
Dec. 28, 1970 (agreement
dated Dec. 7,1970) continued.

Feb 1, 1971 (agreement dated
Dec. 7,1970).

Changed: C o n tr ib u tio n s -w ith
Changed: When credit unit cancellation base fell below
respect to each pay period which
$495 per employee (previously, $430 per employee),
began within a month for which
company required to contribute to SUB fund for
the current market value of the
automatic short week benefits for scheduled short
assets of the fund was less than
workweeks.
the maximum amount, the
company to contribute the lesser Changed: Offset to company’s contribution to SUB fund
of the following amounts:
because of automatic short week benefits paid, only if
(1)
The amount required to increasesuch benefits were not paid for scheduled short
the value of the fund to, but not
workweek in pay period in which credit unit cancella­
over 100 percent of maximum
tion base was below $495 (previously, $430).
funding; or
(2) An amount determined by multi­ In effect and continued: Company’s contribution to SUB
plying (a) the total number of
fund offset by amounts of any benefits and lump-sum
hours employees have received
payments by company which provided that they be
pay from company (excluding
used as offsets.
hours fo r w hich benefits
underSUB plan are payable) for Changed: Assets in the fund could be invested in
such period, by (b) a number of
obligations guaranteed by the U.S. government as well
cents-per-hour (5 to 10 cents),
as general obligations issued by the U.S. government.
depending on percentage relation­
ship of the asset value of fund to
maximum funding.52
Eligibility: Changed-employee was Changed: Employee deemed to be on a qualifying layoff
eligible for regular benefits if dis­
with limitation of 2 regular benefits in a calendar year if
qualified for State unemployment
he was on short-term active duty for required military
compensation because he was on
training and ineligible for pay from company for all or
short-term active duty of 30 days
part of period solely because he would be on a
or less for required military
qualifying layoff but for such active duty (2- benefit
training in a National Guard,
limit not applicable to short-term active duty of 30 days
Reserve, or similar unit, or was on
or less for public emergency).
short-term active duty of 30 days
or less in one of above units by
State or Federal authority for
public emergency.
E lig ib ility : Changed— laid-off Added: Employee entitled to benefit because of eligibility
a
employee would be eligible for
for a leveling week benefit, for part of a week to receive
regular benefits even though he
1/5 of a regular benefit for each day eligible.
was employed full time outside
the company.
Added: Employee who breaks seniority by reason of death
Eligibility: Added-employee eligible
or retirement under plan and eligible for automatic
for automatic short week benefits
short week benefit for certain hours of layoff during
if during such workweek he had
week before break in seniority to receive (or his
fewer than 40 compensated or
appointed legal representative or survivors to receive) an
available hours and received some
automatic short week benefit based on a number by
military pay from the company,
which the hours he regularly would have been
or he received only holiday pay
compensated exceeds his compensated or available
from the company and, for the
hours for the part of the week before date of break in
immediately preceding week,
seniority.
received a short week benefit or
had 40 compensated or available
Changed: For short week eligibility, compensated or
hours; or he was ineligible for pay
available hours will exclude any straight-time hours not
from the company for all or part
worked that employee has the option to refuse.
of a period for jury-duty, bereave­
ment, or short-term active duty
because he was called to active
service for public emergency
during the workweek and during
all or part of such period he
would otherwise have been on a
qualifying layoff.

See footnotes at end of table.



68

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions

Supplemental unemployment benefit plan-continued
Feb. 1,1971 (agreement dated
Dec. 7 , 1970)-continued.

Increased: Regular benefit-maximum
to $80 for any week employee
exercised his option to refuse
work and did not receive State
system benefit because of such
refusal or refusal occurred after
exhaustion of State benefit rights.
Changed: Regular benefit- portion
of “State benefit and other com­
pensation” charged against regular
benefit that was earned from
other employers was changed to
earnings over the greater of $10
or 20 percent of such wages from
other employers or military pay
over $10 (previously earnings over
$10). Pay in lieu of vacation
continued to be excluded in
co m p u tin g earnings from
company.

Separation pay
Sept. 1, 1958 (agreement
dated Sept. 20,1958).

Jan. 1, 1962 (agreement dated
Oct. 20,1961).

Sept. 1, 1964 (agreement
dated Nov. 23,1964).

Separation payment plan established Applicable to employees below age 60 permanently laid off
to be financed from SUB fund
on or after Sept. 1,1958,54 who at the end of 26 weeks
and
p ro v id in g lum p-sum
would not be eligible for disability retirement benefit
payments ranging from 40 hours’
and those age 60 or over with 2 years’ seniority but less
pay to employees with 2 years’
than 10 years’ creditable service.
seniority to 1,200 hours’ pay for Laid-off employees must apply for benefits not earlier than
those with 30 or more years’
1 year55 but no later than 18 months after beginning of
seniority.53 Benefits to be
separation period.
proportionately reduced when Employee reemployed after accepting separation payment
SUB trust fund position falls
not to repay benefits nor to receive seniority credit for
below 100 percent and by any
period covered by such payment, i.e., such canceled
SUB or temporary emergency
seniority not to be reinstated.
benefit received while on layoff.
Increased: 50 hours* pay for Added: Benefit to be reduced by moving allowance paid to
employees with 2 years’ service to
employee on layoff who transferred or to transferred
1,500 hours’ pay for those with
employee who returned with seniority to original plant.
30 years’ seniority.56 Benefit to Changed: Laid-off employees age 60 or over with 2 years’
be reduced by 1 percent for each
seniority but less than 10 years’ creditable service could
$1.60 credit unit cancellation
apply for benefit at time of separation.
base was below $160.
Time for applying for benefits extended to 24 months.
Increased: Benefits-to range from 50 ♦Added: Continuity of layoff not broken if, while on layoff,
hours’ pay for employees with 1
an employee accepted a job offer by file company and
but less than 2 years of seniority
subsequently was laid off within 5 work days.
to 2,080 hours’ pay for those Changed: Eligibility for separation paym ents-to 1 year’s
w ith a t le ast 30 years’
seniority.
seniority.57
Changed: Employees eligible for separation- payments to
include (1) those not eligible to receive pension or
retirement benefits other than deferred benefits, and (2)
those who have not refused to work on or after the last
day they worked in the contract unit and before the
earliest date on which they could apply.

See footnotes at end of table.



69

Table 3. Supplementary compensation practices1—
continued
Effective date

Applications, exceptions, and other
related matters

Provisions
Separation pay-continued

Feb. 9,1968 (agreement dated
Oct. 25,1967).

Changed: Employee eligible for a separation payment only
if his application is received by company during a pay
period when the credit unit cancellation base (CUCB) is
equal to or over $58.50 (was $41.60). Payment made,
however, if, but only during the period of time when,
the CUCB becomes equal to or greater than $58.50,
even though application is made during period CUCB is
below $58.50.
Benefits to be reduced 1 percent for each $2.25 that credit
unit cancellation base was below $225.
Employee may apply for separation payment on or before
the 30th day after the last month for which he was
eligible to receive extended disability benefits under
group life and insurance program.
Changed: Continuity of layoff not broken if, while on
layoff, an employee accepted a job from the company
and subsequently was laid off within 10 days.

Dec. 21, 1970 (agreement
dated Dec. 7,1970).

Contingent distribution account
Sept. 1, 1964 (agreement
dated Nov. 23,1964).

Dec. 23,1967 (agreement
dated Oct. 25,1967).

Established: Contingent distribution
account to be financed by accrual
of company’s regular 5 cents per
compensated hour SUB contribu­
tion whenever SUB fund reached
maximum financing, through
payroll period ending Sept. 3,
1967.
Benefits-from $25 to $10058
depending on amount in the
account.
Eligibility-employees with at least 1
year of seniority in the contract
unit.

Discontinued: Contingent distribu­
tion account.

See footnotes at end of table.



70

Payments if any, to be made on last payday before Dec. 25,
1965, and on last payday before Dec. 25 in each
succeeding year.

Payment determined by dividing the amount in the
contingent distribution account on the last day of the
first pay period ending in December, by the total
number of eligible employees on the active employment
rolls on that day.
No payments to be made in year in which payments per
eligible employee would be less than $25; amount
accrued would be considered in determining the distri­
bution, if any, in subsequent years.
If amount accrued in the account exceeded $100 per
eligible employee, the excess would be considered in
determining the distributions, if any, in subsequent
years.
Plan contingent on rulings that payments (1) need not be
included in regular rate of pay, and (2) were deductible
expenses for income taxes in year in which they were
made. These rulings were obtained.
The amount accrued in the account on the last day of the
first pay period ending in December 1967 was distri­
buted in the manner described above, on the last pay
day before Dec. 25, 1967.58 Any balance in the
account after this final distribution was to be transferred
to be SUB trust fund. Employees determined to-be
eligible for a payment after transfer of the balance were
to be paid by the company the same amount paid to
employees determined to be eligible for a payment on
the eligibility date, and company contributions required
under the SUB plan were to be reduced by such
payments.

Footnotes:
1L ast e n try u n d e r each ite m re p re se n ts m o st re c e n t change.
2 P erio d co v ered b y E x ecu tiv e O rd e r 9 2 4 0 w as O c t. 1 ,1 9 4 2 , to A ug. 2 1 , 1945.
^ U n d e r A ug. 2 1 , 1 9 4 7 , a g ree m e n t, em p lo y e es e stab lish e d s e n io rity a fte r p r o b a tio n a ry p e rio d o f 6 m o n th s ’ c o n tin u o u s
e m p lo y m e n t. P ro b a tio n a ry p e rio d w as re d u c e d to 3 m o n th s ’ c o n tin u o u s e m p lo y m e n t b y S e p t. 2 8 ,1 9 4 9 , a g ree m e n t, b u t h o lid a y p lan
w as a m e n d e d to re q u ire em p lo y e es to have se n io rity s ta tu s a n d 6 m o n th s ’ service as o f d a te o f h o lid a y to be eligible fo r h o lid a y p a y .
U n d er S e p t. 4 , 1 9 5 0 , a g ree m e n t, 6 m o n th s ’ service re q u ire m e n t w as e lim in a ted .
4 F o r a n in ce n tiv e e m p lo y e e —
his average stra ig h t-tim e h o u rly earnings, in clu d in g in cen tiv e earnings b u t ex clu d in g all o th e r
p re m iu m s, fo r th e last 4 pay p e rio d s w o rk e d im m e d ia tely p re ce d in g th e w eek b e fo re th e w e e k in w h ich em p lo y e e re p o rts fo r d u ty .
5 M oving allo w an ce w as as fo llo w s:

Allowance
Single
employee

50 b u t less th a n 1 0 0 .............................................................................................
1 0 0 b u t less th a n 3 0 0 .........................................................................................
3 0 0 b u t less th a n 5 0 0 .........................................................................................
5 0 0 b u t less th a n 1 ,0 0 0 .....................................................................................
1 ,0 0 0 a n d o v e r .....................................................................................................

Married
employee

$55
75
105
155
21 5

Miles between plants

$180
220
290
420
580

^M oving allow ances fo r b o th tra n s fe r a n d la y o f f w ere as follow s:

Allowance
Single
employee

50 b u t less th a n 1 0 0 .........................................................................................
10 0 b u t less th a n 3 0 0 .....................................................................................
3 0 0 b u t less th a n 50 0 .....................................................................................
5 0 0 b u t less th a n 1 ,0 0 0 ..................................................................................
1 ,0 0 0 a n d o v e r .................................................................................................

Married
employee

$170
200
250
320
370

Miles between plants

$44 5
495
570
700
795

7 M oving allo w an ces fo r b o th tra n s fe r a n d la y o ff w ere as fo llo w s:

Allowance
Single
employee

Miles between plants

$220
260
320
410
475

50 b u t less th a n 1 0 0 .
100 b u t less th a n 300
3 0 0 b u t less th a n 500
5 0 0 b u t less th a n 1 ,0 0 0
1 ,0 0 0 o r m o re . . . .

Married
employee
$570
630
730
895
1,0 2 0

8 Plan p ro v id ed : $ 1 ,5 0 0 life in su ra n ce , $15 w eek ly a cc id e n t a n d sickness b e n e fits , $5 daily h o sp ital e x p en ses, $ 3 0 m ax im u m
b e n efits f o r special h o sp ita l services, a n d $ 150 m ax im u m surgical exp en ses. M o n th ly co st to e m p lo y e e w as $2 a n d w as in creased to
$ 2 .9 0 o n M ar. 1 ,1 9 4 2 , w ith o u t ch ange in b e n efits.
9 Plan p ro v id ed : $ 2 ,0 0 0 -$ 4 ,0 0 0 life in su ra n ce , $ 1,0 0 0 $ 2 ,0 0 0 a cc id e n tal d e a th a n d d ism em b ersh ip b e n e fits , a n d $ 1 8 -$ 3 6 w eek ly
a cc id e n t a n d sickness d isab ility b e n e fits fo r 2 6 w eeks. M o n th ly co st ran g ed fro m $ 1 .7 2 fo r em p lo y ees earning u n d e r $ 1 .1 0 an h o u r to
$ 3 .4 4 fo r e m p lo y e es e arn in g $ 1 .9 0 an h o u r a n d o ver. B lue C ross h o sp ita liz a tio n a n d Blue Shield surgical in su ra n ce available a t
e m p lo y e e ’s e x p en se.
1 °P la n p ro v id ed :
B enefits

Basic h o u rly ra te

U p to
$ 1 .3 0
$ 1 .5 0
$ 1 .7 0
$ 1 .9 0
$ 2 .1 0

but
but
but
but
but
and

less th a n $ 1 . 3 0 ...........
less th a n $ 1 . 5 0 ...........
less th a n $ 1 . 7 0 ...........
less th a n $ 1 . 9 0 ...........
less th a n $ 2 . 1 0 ...........
o v e r ...............................

L ife
in su ran ce

A ccid e n ta l
d e a th and
d ism em b e rm e n t

W eekly
a cc id e n ta l
an d sickness
d isab ility
(u p to 2 6 w eek s)

In -h o sp ital
m edical
ex p en ses
(m ax im u m )

$ 2 ,4 0 0
2 ,8 0 0
3 ,2 0 0
3 ,6 0 0
4 ,0 0 0
4 ,4 0 0

$ 1 ,2 0 0
1,400
1,600
1,800
2 ,0 0 0
2 ,2 0 0

$ 3 0 .6 0
3 3 .2 0
3 5 .8 0
3 8 .4 0
4 1 .0 0
4 3 .6 0

$280
280
280
280
280
280

"C o m p a n y p a y s b alan ce.




71

M o n th ly co st
to e m p lo y e e "

$ 2 .0 7
2.41
2 .7 6
3 .1 0
3 .4 4
3 .7 9

11Plan provided:
B enefits
W eekly
a ccid en t
an d sickness
d isab ility
(u p to 2 6 w eek s)

In-h o sp ital
m edical
exp en ses
(m ax im u m )

$ 3 8 .4 0
4 3 .2 0
4 8 .0 0
52 .8 0
5 7 .6 0
6 2 .4 0
6 7 .2 0
7 2 .0 0
7 6 .8 0

$350
35 0
350
350
350
350
350
350
35 0

L ife
in su ran ce

A ccid en tal
d e a th and
d ism em b e rm e n t

W eekly
acc id e n t
an d sickness
d isab ility *

M o n th ly to ta l
a n d p e rm a n e n t
d isab ility

$ 4 ,0 0 0
4 ,4 0 0
4 ,8 0 0
5 ,2 0 0
5,6 0 0
6 ,0 0 0
6 ,4 0 0
6 ,8 0 0
7 ,2 0 0
7 ,6 0 0

$ 2 ,0 0 0
2 ,2 0 0
2 ,4 0 0
2 ,6 0 0
2 ,8 0 0
3 ,0 0 0
3 ,2 0 0
3,4 0 0
3 ,6 0 0
3 ,8 0 0

$ 4 8 .0 0
52 .8 0
5 7 .6 0
6 2 .4 0
6 7 .2 0
7 2 .0 0
7 6 .8 0
8 1 .6 0
8 6 .4 0
9 1 .2 0

Basic h o u rly ra te

L ife
in su ran ce

A ccid en tal
d e a th an d
d ism em b e rm e n t

U p t o b u t less th a n $ 1 . 7 0 ...........
$ 1 .7 0 b u t less th a n $ 1 . 9 0 ...........
$ 1 .9 0 b u t less th a n $ 2 . 1 0 ...........
$ 2 .1 0 b u t less th a n $ 2 . 3 0 ...........
$ 2 .3 0 b u t less th a n $ 2 . 5 0 ...........
$ 2 .5 0 b u t less th a n $ 2 . 7 0 ...........
$ 2 .7 0 b u t less th a n $ 2 . 9 0 ...........
$ 2 .9 0 b u t less th a n $ 3 . 1 0 ...........
$ 3 .1 0 a n d o v e r ...............................

$ 3 ,2 0 0
3 ,6 0 0
4 ,0 0 0
4 ,4 0 0
4 ,8 0 0
5 ,2 0 0
5,6 0 0
6 ,0 0 0
6 ,4 0 0

$ 1 ,6 0 0
1,800
2 ,0 0 0
2 ,2 0 0
2 ,4 0 0
2 ,6 0 0
2 ,8 0 0
3 ,0 0 0
3 ,2 0 0

M o n th ly co st
to e m p lo y ee*

$ 2 .7 6
3 .1 0
3 .4 4
3 .7 9
4 .1 3
4 .4 7
4 .8 0
5.15
5.50

’ o m p an y to p ay b alan ce.
“C

1 2 P lan p ro v id ed :
B enefits

Basic h o u rly ra te
U p to
$ 2 .2 5
$ 2 .4 5
$ 2 .6 5
$ 2 .8 5
$ 3 .0 5
$ 3 .2 5
$ 3 .4 5
$ 3 .6 5
$ 3 .8 5

but
but
but
but
but
but
but
but
but
and

less th a n $ 2 . 2 5 ...........
less th a n $ 2 . 4 5 ...........
less th a n $ 2 . 6 5 ...........
less th a n $ 2 . 8 5 ...........
less th a n $ 3 . 0 5 ...........
less th a n $ 3 . 2 5 ...........
less th a n $ 3 . 4 5 ...........
less th a n $ 3 . 6 5 ...........
less th a n $ 3 . 8 5 ...........
o v e r ...............................

$80
88
96
104
112
120
128
136
144
152

M o n th ly co st
to e m p lo y ees
$ 3 .4 4
3.79
4 .1 3
4 .4 7
4 .8 0
5.15
5 .5 0
5.85
6 .2 0
6.55

’“B efore age 6 0 a n d p a y ab le 50 m o n th s fo r th o se em p lo y e es eligible fo r such b e n efits.

13 Revised schedule of benefits, effective Oct. 2,1961:
Life insurance at age
65 and over

Insurance up to age 65

Basic hourly rate
Life
Under $ 2 .4 0 ___
$2.40-$2.64 . . . .
$2.65-$2.89 . . . .
$2.90-$3.14 . . . .
$3.15-$3.39 . . . .
$3.40-$3.64 . . . .
$3.65-$3.89 . . . .
$3.90-$4.14 . . . .
$4.15-$4.39 . . . .
$4.40-$4.64 . . . .
$4.65 and over ..

Accidental
death

Total life and
accidental
death

$5,500
6,000
6,500
7,000
7,500
8,000
8,500
9,000
9,500
10,000
10,500

$2,750
3,000
3,250
3,500
3,750
4,000
4,250
4,500
4,750
5,000
5,250

$8,250
9,000
9,750
10,500
11,250
12,000
12,750
13,500
14,250
15,000
15,750

Minimum
(10 years in
retirement
plan)
$825
900
975
1,050
1,125
1,200
1,275
1,350
1,425
1,500
1,575

Maximum
(20 years or
more in retire­
ment plan)
$1,650
1,800
1,950
2,100
2,250
2,400
2,550
2,700
2,850
3,000
3,150

Monthly total
and permanent
disability
benefits*
(before age 60)

Weekly
sickness and
accident
benefit t
(before
retirement)

Employee’s
monthly
contribution
(before age 6 5 )tt

$110
120
130
140
150
160
170
180
190
200
210

$55
60
65
70
80
85
90
95
100
105
110

$3.47
3.90
4.33
4.77
5.20
5.63
6.07
6.50
6.93
7.37
7.80

♦For 50 months for employees with 10 years (was 15 years) or more in plan.
fF o r a maximum of 26 weeks.
ttS e e insurance plan description above for employee contributions after age 65.

14In New York and New Jersey, employee guaranteed benefits at least equivalent to statutory benefits and at no greater cost than if insured under State law.




72

15In New York, employee must have been back at work 3 months; in New Jersey, 2 weeks.
16 Benefits not reduced by statutory payments for 100 percent loss of use of members.
17Except in New York and New Jersey, where disability benefits are governed by law.
18Details of the Michigan Blue Cross and Blue Shield plans are being shown for the first time.
19The term “member hospitals” includes hospitals affiliated with another Blue Cross plan or those located in an area not served by a plan. Nonmember
hospitals are those not affiliated with a Blue Cross plan although located in an area served by a plan.
20Revised schedule of benefits, effective Oct. 1, 1964: The lowest bracket was eliminated, and 2 higher benefit brackets were added to the schedule for
employees in higher wage brackets:
Life insurance at age
65 and over

Insurance before age 65

Basic
hourly
rate
Under $2.65 . . . .
$2.65-$2.89 . . . .
$2.90-$3.14 . . . .
$3.15-$3.39 . . . .
$3.40-$3.64 . . . .
S3.65-S3.89 . . . .
S3.90-S4.14 . . . .
S4.15-S4.39 . . . .
S4.40-S4.64 . . . .
S4.65-S4.89 . . . .
S4.90-S5.14 . . . .
$5.15 and over ..

Life

Total life and
Accidental
accidental
death and
death and
dismemberment dismemberment

$6,000
6,500
7,000
7,500
8,000
8,500
9,000
9,500
10,000
10,500
11,000
11,500

$3,000
3,250
3,500
3,750
4,000
4,250
4,500
4,750
5,000
5,250
5,500
5,750

$9,000
9,750
10,500
11,250
12,000
12,750
13,500
14,250
15,000
15,750
16,500
17,250

Minimum
(10 years in
retirement
plan)
$1,500
1,500
1,500
1,500
1,500
1,500
1,500
1,500
1,500
1,575
1,650
1,725

Monthly total
and permanent
disability
benefits*
$120
130
140
150
160
170
180
190
200
210
220
230

Maximum
(20 years or
more in retire­
ment plan)

Weekly
sickness and
accident
benefits
(before
retirement)**

Employee’s
monthly
continuation
contribution
for all
coverages *♦♦

$60
65
70
80
85
90
95
100
105
110
115
120

$1,800
1,950
2,100
2,250
2,400
2,550
2,700
2,850
3,000
3,150
3,300
3,450

$3.90
4.33
4.77
5.20
5.63
6.07
6.50
6.93
7.37
7.80
8.23
8.67

’
“For 50 months for employees with 10 years or more in plan. Disability must have commenced before age 60.
**For a maximum of 52 weeks..
♦♦♦Contributions for employees participating in weekly accident and sickness disability coverage after age 65 were one-half of amounts shown.

21 Revised schedule of benefits, effective Oct. 25, 1967: Three higher benefit brackets were added to the schedule for employees in higher wage brackets:

Life

Accidental
death and
dismember­
ment

Total life
and
accidental
death and
dismember­
ment

$6,000
6,500
7,000
7,500
8,000
8,500
9,000
9,500
10,000
10,500
11,000
11,500
12,000
12,500
13,000

$3,000
3,250
3,500
3,750
4,000
4,250
4,500
4,750
5,000
5,250
5,500
5,750
6,000
6,250
6,500

$9,000
9,750
10,500
11,250
12,000
12,750
13,500
14,250
15,000
15,750
16,500
17,250
18,000
18,750
19,500

Basic hourly rate

Under $2.65 . . . .
$2.65-$2.89 . . . .
$2.90-$3.14 . . . .
$3.15-$3.39___
$3.40-$3.64 . . . .
$3.65-$3.89 . . . .
$3.90-$4.14 . . . .
$4.15-$4.39 . . . .
$4.4044.64 . . . .
$4.6544.89 . . . .
$4.9045.14 . . . .
$5.1545.39........
$5.4045.64 . . . .
$5.6545.89 . . . .
$5.90 and over ..

Employee’s monthly
continuation
contribution

Life insurance at age
65 and over

Insurance before age 65

Minimum
(10 years
in retire­
ment plan)

Maximum
(20 years
or more
in retire­
ment plan)

Monthly
total and
permanent
disability
benefits*

Weekly
sickness
and accident
benefit
(before
retirement)**

Monthly
extended
disability
benefit

I***

II***

$1,500
1,500
1,500
1,500
1,500
1,500
1,500
1,500
1,500
1,575
1,650
1,725
1,800
1,875
1,950

$1,800
1,950
2,100
2,250
2,400
2,550
2,700
2,850
3,000
3,150
3,300
3,450
3,600
3,750
3,900

$120
130
140
150
160
170
180
190
200
210
220
230
240
250
260

$60
65
70
80
85
90
95
100
105
110
115
120
125
130
135

$220
240
265
285
305
330
350
370
395
415
435
460
480
500
525

$3.90
4.33
4.77
5.20
5.63
6.07
6.50
6.93
7.37
7.80
8.23
8.67
9.10
9.53
9.96

$3.00
3.25
3.50
3.75
4.00
4.25
4.50
4.75
5.00
5.25
5.50
5.75
6.00
6.25
6.50

♦For 50 months for employees with 10 years or more in plan. Disability must have commenced before age 60.
♦♦For a maximum of 52 weeks. Effective Oct. 25,1969, benefits were increased $5 a week for emplovees then at work.
^♦♦Schedule I was applicable for leave of absence (excluding medical and union leave) during any period for which employer was not required to pay. Schedule II was applicable to those
terminated between ages 60 and 65 (excluding retirement); while a grievance was pending; medical leave of absence for any period for which employer was not required to pay; and layoff for any
period for which employer was not required to pay.




73

22Excludes specific allowances for loss, or 100 percent loss of use, of a body member.
23Schedule of insurance benefits is as follows:
Life insurance at age
65 and over

Insurance before age 65

Basic hourly rate*

Life
insurance

Up to but less than $ 2 .9 0 ___
$2.90 but less than $ 3 .1 5 ___
$3.15 but less than $ 3 .4 0 ___
$3.40 but less than $3.65 . . . .
$3.65 but less than $3.90 . . . .
$3.90 but less than $ 4 .1 5 ___
$4.15 but less than $ 4 .4 0 ___
$4.40 but less than $ 4 .6 5 ___
$4.65 but less than $ 4 .9 0 ___
$4.90 but less than $5.15 ___
$5.15 but less than $5.40 . . . .
$5.40 but less than $ 5 .6 5 ___
$5.65 but less than $ 5 .9 0 ___
$5.90 but less than $ 6 .1 5 ___
$6.15'but less than $ 6 .4 0 ___
$6.40 but less than $6.65 . . . .
$6.65 and over ........................

Monthly
total and
permanent
disability
benefit**

Accidental
death and
dismemberment
benefit

Weekly
accident and
sickness
benefit***

Monthly
extended
disability
benefit***

Minimum
(10 years in
retirement
plan)

$130
140
150
160
170
180
190
200
210
220
230
240
250
260
270
280
290

$3,250
3,500
3,750
4,000
4,250
4,500
4,750
5,000
5,250
5,500
5,750
6,000
6,250
6,500
6,750
7,000
7,250

$ 70
75
85
90
95
100
105
110
115
120
125
130
135
140
145
150
155

$240
265
285
305
330
350
370
395
415
435
460
480
500
525
545
565
590

$1,500
1,500
1,500
1,500
1,500
1,500
1,500
1,500
1,575
1,650
1,725
1,800
1,875
1,950
2,025
2,100
2,175

$6,500
7,000
7,500
8,000
8,500
9,000
9,500
10,000
10,500
11,000
11,500
12,000
12,500
13,000
13,500
14,000
14,500

Maximum
(20 years in
retirement
plan)
$1,950
2,100
2,250
2,400
2,550
2,700
2,850
3,000
3,150
3,300
3,450
3,600
3,750
3,900
4,050
4,200
4,350

♦Insurance based on average straight-time hourly earnings for employees under an incentive plan.
♦♦Benefits were payable for a maximum of 50 months for employees with 10 years of service in plan. Disability had to begin before age 60.
♦♦♦Subject to reduction for other benefits as detailed under accident and sickness or extended disability sections of of the insurance plan.

^ E m p l o y e e c o n trib u tio n s are as fo llo w s:
C o n trib u tio n ra te

Basic h o u rly ra te
I*
U p to
$ 2 .9 0
$ 3 .1 5
$ 3 .4 0
$ 3 .6 5
$ 3 .9 0
$ 4 .1 5
$ 4 .4 0
$ 4 .6 5
$ 4 .9 0
$ 5 .1 5
$ 5 .4 0
$ 5 .6 5
$ 5 .9 0
$ 6 .1 5
$ 6 .4 0
$ 6 .6 5

but
but
but
but
but
but
but
but
but
but
but
but
but
but
but
but
and

less th a n $ 2 .9 0
less th a n $ 3 .1 5
less th a n $ 3 .4 0
less th a n $ 3 .6 5
less th a n $ 3 .9 0
less th a n $ 4 .1 5
less th a n $ 4 .4 0
less th a n $ 4 .6 5
less th a n $ 4 .9 0
less th a n $ 5 .1 5
less th a n $ 5 .4 0
less th a n $ 5 .6 5
less th a n $ 5 .9 0
less th a n $ 6 .1 5
less th a n $ 6 .4 0
less th a n $ 6 .6 5
o v e r ................

$ 4 .3 3
4 .7 7
5.20
5.63
6 .0 7
6 .5 0
6 .9 3
7 .3 7
7 .8 0
8 .2 3
8 .6 7
9 .1 0
9 .5 3
9 .9 6
1 0 .4 0
10 .8 3
11.26

II**
$ 3.25
3 .5 0
3.75
4 .0 0
4 .2 5
4 .5 0
4 .7 5
5 .00
5.25
5 .5 0
5.75
6 .0 0
6 .2 5
6 .5 0
6.75
7 .0 0
7.25

♦S ch ed u le I w as ap p licab le f o r leave o f absence (ex clu d in g m edical a n d u n io n leave) d u rin g an y p e rio d fo r w h ic h e m p lo y e r
w as n o t re q u ire d t o p a y .
♦ ♦S ch ed u le II w as ap p licab le t o th o se te rm in a te d b e tw ee n ages 60 a n d 65 (e x clu d in g re tire m e n t); w hile a grievance w as
p e n d in g ; m ed ical leave o f ab se n ce fo r any p e rio d fo r w h ic h e m p lo y e r w as n o t re q u ire d to p a y ; a n d la y o f f f o r a n y p e rio d fo r w h ic h e m p lo y e r w as n o t re q u ire d t o p ay .
^ C o m p u l s o r y re tire m e n t a t age 6 8 c o n tin u e d .
2 6 In a le tte r d a te d S e p t. 2 0 , 1 9 5 8 , fro m th e c o m p a n y , a n d a cc e p te d b y th e u n io n , it w as agreed t h a t “ fo r all tim e ” th e r e w o u ld b e
n o o th e r in creases o r changes in th e re tire m e n t b e n e fits fo r th o se re tire d o r fo r o th e r s re tirin g p rio r t o a n y fu r th e r changes in th e
p e n sio n p lan .




74

27

B enefit class co d es and applicable rates are as follow s:

J o b classificatio n m ax im u m base h o u rly ra te * as o f —
N ov. 2 5 , 19 6 8
th ro u g h
N ov. 2 3 , 1969

$ 3 ,4 1 0 o r less
$ 3 .4 1 5 -$ 3 .5 4 0
$ 3 ,5 4 5 a n d o v er

O n or
a fte r
N ov. 2 4 , 1969

B enefit
class
code

L ife
in co m e
b e n efit
ra te

$ 3 ,5 1 0 o r less
$ 3 .5 1 5 -$ 3 .6 4 5
$ 3 ,6 5 0 a n d over

O c t. 2 5 , 1 9 6 7
th ro u g h
N ov. 2 4 , 1 9 6 8

$ 3 ,6 1 5 o r less
$ 3 .6 2 0 -$ 3 .7 5 5
$ 3 ,7 6 0 a n d o ver

A
B
C

$ 5 .5 0
$5 .7 5
$ 6 .0 0

♦ In cen tiv e jo b classificatio n s also w ere assigned b e n e fit class codes.
28

P e rc en ts a re:
A ge w h e n
p e n sio n b egan

5
5
5
5

5
6
7
8

Age w h e n
p e n sio n began

P ercen t

____
____
____
____

P e rc e n t

5 9 ...........................................

6 0 ......................................................... ..........................
6 1 ......................................................... .............................
62 o r o v e r .......................................... ...............................

80 ft
86 7
93 3

1 0 0 .0

N O T E : P ro ra te d f o r in te rm e d ia te ages o n th e basis o f th e n u m b e r o f c o m p le te c alen d a r m o n th s b y w h ic h th e e m p lo y e e w as u n d e r
th e age h e w o u ld a tta in o n h is n e x t b irth d a y .

29 Benefit class codes and applicable rates were as follows:
Job classification maximum hourly rate*
Oct. 25,1967

Nov. 25,1968

Nov. 24,1969

Nov. 2,1970

Nov. 22,1971

On or

Benefit

through

through

through

through

through

after

class

Nov. 24,1968

Nov. 23,1969

Nov. 1,1970

Nov. 21,1971

Nov. 19,1972

Nov. 20,1972

code

$3,410 or less
$3,415 - 3.540
$3,545 and over

$3,510 or less
3.515-3.645
3.650 and over

$3,615 or less
3.620 - 3.755
3.760 and over

$4,275 or less
$4,280 - 4.420
4.425 and over

$4,405 or less
4.410 - 4.555
4.560 and over

$4,535 or less
4.540 - 4.690
4.695 and over

A
B
C

Life income benefit rate (per year of credited service)

Benefit
class
code

For breaks in seniority on or
after Jan. 1,1969 but
before Dec. 21,1970 with
eligibility for deferred
vested pension.

For retirement on or
after Oct. 25,1967
but before Sept. 15,
1970.

For retirement on or after Sept. 15,
1970 (applicable also for benefit
payable on or before Apr. 1,1971
to former employee who incurred
break in seniority on or after Dec.
21,1970 with eligibility for
deferred vested pension).

A
B
C

$5.50
5.75
6.00

$6.50
6.75
7.00

$7.25
7.50
7.75

♦Incentive job classifications also were assigned benefit class codes.




75

^^Percentages w ere as follow s:
A ge w h e n b e n e fits b egan*

P e rc en t

62 o r o v e r ......................................................................................................................................................................
100.0
6 1 .....................................................................................................................................................
6 0 ............................................................................................................................................................................................
8 6 .7
59 ............................................................................................................................................................................................
8 0 .8
5 8 ............................................................................................................................................................................................
7 5 .2
57 ......................................................
6 9 .4
56 ............................................................................................................................................................................................
6 3 .5
55 ............................................................................................................................................................................................
5 7 .9
E ffectiv e O c to b e r 1 ,1 9 7 1
54
53
52
5 1
50
49
48
47

............................................................................................................................................................................................
......................................................................................................................................................................................
......................................................................................................................................................................................
......................................................................................................................................................................................
............................................................................................................................................................................................
............................................................................................................................................................................................
............................................................................................................................................................................................
............................................................................................................................................................................................

5 3 .2
4 8 .9
4 5 .0
4 1 .5
3 8 .3
3 5 .4
3 2 .8
3 0 .4

* F o r each a d d itio n a l full m o n th o f age w h e n b e n e fit b egan, th e app licab le p e rc e n t w as to be d e te rm in e d b y straig h t-lin e
in te rp o la tio n fro m p e rce n ta g e ap p licab le t o n e x t h ig h er age in above sc h ed u le, ro u n d e d to n e are st 1 /1 0 o f 1 p e rc e n t.
31 U n til th e tr u s t f u n d p o sitio n re ac h es 4 9 p e rc e n t fo r th e first tim e , a p p lic a n ts w ill receive special b e n e fits f o r a m ax im u m o f o n ly
4 w eek s in an y c alen d a r y e a r, a n d a fte r t h a t , a m ax im u m o f 8 w eek s.
3 2 B eginning in J u n e 1 95 8 m a x im u m fu n d in g w ill be revised d o w n w ard acc o rd in g to th e fo llo w in g scale in a n y y e a r fo llo w in g o n e
in w h ic h average w e ek ly b e n e fit p a y m e n ts fro m th e fu n d fall b e lo w $ 2 0 :
T h e a d ju s te d m ax im u m
fu n d in g shall b e th e
fo llo w in g p e rce n ta g e o f
m ax im u m fu n d in g —

I f th e average b e n e fit is—

$ 2 0 to $25
100
$ 1 5 to $ 1 9 . 9 9 ......................................................................................................................................................................................
$ 1 0 to $ 1 4 . 9 9 ......................................................................................................................................................................................
$5 t o $ 9 .9 9 ..........................................................................................................................................................................................
Less th a n $ 5 ..........................................................................................................................................................................................

80
60
40
20

3 3 In S ta te s w h e n c o n c u rre n t s u p p le m e n ta tio n is n o t p e rm itte d , th e re is pro v isio n fo r eligible e m p lo y e es to receive “ s u b s titu te ”
s u p p le m e n ta ry b e n e fits fo r w eek s in w h ic h S ta te u n e m p lo y m e n t c o m p e n sa tio n b e n e fits are n o t paid . H ow ever, th ese “ s u b s titu te ”
b e n e fits w ill go in to e ffe c t o n ly i f o th e r S ta te s, in w h ic h th e c o m p a n y h as tw o -th ird s o f its e m p lo y e es, a llo w su p p le m e n ta tio n .
3 4 E m p lo y e es t o receive c red it u n its re tro a ctiv ely u p o n a tta in in g 1 y e a r’s se n io rity .
3 ^ T h e n u m b e r o f c re d its to be c an celed fo r a w e e k o f b e n e fits is su m m arized as fo llo w s:
A n d if th e se n io rity o f th e p e rso n t o w h o m su ch
b e n efit is p a id is—
I f th e tr u s t fu n d p o sitio n
ap p licab le to th e w e e k fo r
w h ic h su ch b e n e fit p a id i s -

1 to 5
y e ars

5 to 10
years

10 t o 15
y ears

15 to 2 0
y ears

2 0 to 25
years

25 years
and
o ver

T h e c re d it u n its can celed fo r su c h b e n e fit shall b e —
85 p e rc e n t o r over . . . .
7 6 t o 8 4 .9 9 p e rc e n t . . . .
6 7 t o 7 5 .9 9 p e rc e n t
. . .
58 to 6 6 .9 9 p e rc e n t
. . .
4 9 t o 5 7 .9 9 p e rc e n t
. . .
4 0 to 4 8 .9 9 p e rc e n t
. . .
31 t o 3 9 .9 9 p e rc e n t
. . .
2 2 t o 3 0 .9 9 p e rc e n t
. . .
13 t o 2 1 .9 9 p e rc e n t
. . .
4 t o 1 2 .9 9 p e rc e n t . . . .
U n d e r 4 p e rc e n t
................

1 .0 0
1.11
1.25
1 .43
1.67
2 .0 0
2 .5 0
3 .3 3
5 .0 0
1 0 .0 0
(*)

1.00
1.00
1.11
1.25
1.43
1.67
2 .0 0
2 .5 0
3 .3 3
5 .0 0
<*)

1.00
1.00
1.00
1.11
1.25
1.43
1.67
2 .0 0
2 .5 0
3.3 3
(* )

♦N o b e n e fit p a y ab le.




76

1.00
1.00
1 .0 0
1.00
1.11
1.25
1.43
1.67
2 .0 0
2 .5 0
(* )

1.00
1.00
1.00
1.00
1.00
1.11
1.25
1.43
1.67
2 .0 0
(* )

1.00
1.00
1.00
1.00
1.00
1.00
1.11
1.25
1.43
1.67
(* )

9 3 .3

^ A l t e r n a t e b e n e fit p lan e stab lish e d (b y a g ree m e n t o f S e p t. 2 0 , 1 9 5 8 , a n d in a cc o rd an c e w ith prev io u s c o n tra c t ag ree m e n t w ith
re sp ec t to S ta te s in w h ic h c o n c u rre n t s u p p le m e n ta tio n is n o t p e rm itte d ) fo r In d ia n a e m p lo y e es laid o f f o n o r a fte r S ep t. 1, 1 9 5 8 .
W eekly b e n e fits to a p p ly t o em p lo y e es o th erw ise eligible fo r reg u lar s u p p le m e n ta l b e n e fits a n d f o r th o se a lte rn a te w eeks in w h ic h an
e m p lo y e e w as eligible fo r S ta te u n e m p lo y m e n t c o m p e n sa tio n b u t d id n o t a p p ly f o r it. B enefits ra n g ed fro m $41 to $ 6 3 d e p en d in g o n
e m p lo y e e ’s base h o u rly ra te (in clu d in g cost-of-living allo w an ce) an d th e n u m b e r o f w ith h o ld in g e x e m p tio n s less a n y p ay received b y
e m p lo y e e o r p a y t h a t w o u ld have b e en d u e f o r w o rk m ad e available b u t n o t p e rfo rm e d .
C red it u n its su rre n d e re d a t tw ice th e ra te f o r reg u lar b e n e fits . I f th e In d ian a p lan re s u lte d in a r e d u c tio n o f S ta te u n e m p lo y m e n t
c o m p e n sa tio n t o e m p lo y e es, th e c o m p a n y a n d u n io n w ere to w o rk o u t a m u tu a lly agreeable p lan .
In d ian a p lan to b e a m e n d ed t o in clu d e e m p lo y e es in O h io in th e e v en t th e S ta te ’s “ c o u rt o f last r e s o r t” d id n o t p e rm it
s u p p le m e n ta tio n . T h e c o m p a n y w as t o a p p ly f o r a n a d m in istrativ e ru lin g fro m a c o m p e te n t a u th o rity in th e S ta te o f V irginia as t o th e
a p p lic ab ility o f th e In d ian a p lan .
A lte rn a te p la n b e ca m e in o p era tiv e w h e n s u p p le m e n ta tio n w as p e rm itte d in In d ia n a , e ffectiv e M ar. 1 6 ,1 9 5 9 , a n d in O h io , effectiv e
M ay 10, 1 9 5 9 . A fte r a fav orable ru lin g w as receiv ed fo rm th e V irginia U n e m p lo y m e n t C o m p e n s a tio n C o m m issio n er, th e a lte rn a te
b e n efit p la n f o r V irginia e m p lo y e es, w ith b e n e fits ran ging fro m $ 4 3 .5 0 t o $ 5 8 , b ecam e effectiv e J u n e 1 ,1 9 5 9 .
By m id -Ju ly 1 9 5 9 , th e c o m p a n y a n d th e u n io n h a d re a c h e d verb al ag ree m e n t o n e x te n d in g th e a lte rn a te b e n e fit p ro g ram to
w o rk e rs in N o rth C aro lin a.
^ P r o v is io n c o n tin u e d fo r re d u c in g m ax im u m fu n d in g in a n y y e a r fo llo w in g a y e a r in w h ic h average b e n e fits w ere b e lo w $ 2 0 a
w e ek . Since b e n e fit levels du rin g th e p reced in g y e a r averaged slightly less th a n $15 a w e ek , m ax im u m fu n d in g w as a d ju s te d t o 6 0
p e rc e n t fo r th e p e rio d S e p t. 1, 1958-A ug. 3 1 , 1 9 5 9 .
3 8 C o m p an y also p e rm itte d t o o ffse t p a y m e n ts m ad e u n d e r a se p a ra tio n p a y m e n t p la n fo r G eorgia em p lo y e es.
3 9 N ew ran g e o f b e n e fits u n d e r th e V irginia a lte rn a te b e n e fit p lan w as $ 5 0 t o $ 1 1 2 ; u n d e r th e N o rth C aro lin a p lan , $ 5 0 to $ 1 1 5 .
4 0 C re d it u n it c an c ellatio n sc h ed u le w as as fo llo w s:
A n d if th e y ears o f se n io rity o f th e p e rso n to w h o m su c h b e n e fit is p a id a re —
I f th e c re d it u n it c an c e lla tio n
base ap p licab le to th e w e e k
f o r w h ic h b e n e fit is p a id is—

1 to 5

5 to 10

10 t o 15

15 to 2 0

2 0 to 25

2 5 a n d ov er

T he c red it u n its c an celled f o r such b e n e fits shall b e $ 2 7 2 .0 0 o r m o r e ........................
$ 2 4 3 .2 0 to $ 2 7 1 .9 9
................
$ 2 X 4.40 t o $ 2 4 3 .1 9
................
$ 1 8 5 .6 0 to $ 2 1 4 .3 9
................
$ 1 5 6 .8 0 to $ 1 8 5 .5 9
................
$ 1 2 8 .0 0 t o $ 1 5 6 .7 9
................
$ 9 9 .2 0 to $ 1 2 7 .9 9 ....................
$ 7 0 .4 0 to $ 9 9 . 1 9 ........................
$ 4 1 .6 0 to $ 7 0 .3 9 ........................
$ 1 2 .8 0 to $ 4 1 . 5 9 ........................
U n d e r $ 1 2 . 8 0 ...............................

1.00
1.11
1.25
1.43
1.67
2 .0 0
2 .5 0
3 .3 3
5 .0 0
1 0 .0 0

1 .00
1.00
1.11
1.25
1.43
1.67
2 .0 0
2 .5 0
3 .3 3
5 .0 0
.

1.00
1 .0 0
1.00
1 .0 0
1.00
1.00
1.11
1.00
1.25
1.11
1.43
1.25
1.43
1.67
2 .0 0
1.67
2 .5 0
2 .0 0
3 .3 3
2 .5 0
N o b e n e fits p ay ab le

1.00
1.00
1 .0 0
1.00
1 .0 0
1.11
1.25
1.43
1.67
2 .0 0

1.00
1.00
1.00
1.00
1.00
1.00
1.11
1.25
1.43
1.67

41 N o t lo n g er th a n 12 d ay s, o r 30 d a y s in case o f m o d el ch ange.
4 2 F o r e m p lo y e es d isq u alified fo r u n e m p lo y m e n t c o m p e n sa tio n b ecause o f p e rio d w o rk e d o r w h e n c o m p a n y earnings w ere a t least
eq u al t o o r ab ove S ta te u n e m p lo y m e n t c o m p e n sa tio n earnings lim it, see sh o rt w o rk w e e k b e n efits.
4 3 O n ly t o e x te n t t h a t s h o rt w o rk w e e k w as a ttrib u ta b le to su c h cause.
4 4 SU B b e n e fits n o t p a y ab le f o r p e rio d s o f la y o ff
sto p p a g e , p ic k e tin g (w h e th e r o r n o t b y e m p lo y e es),
a ttrib u ta b le t o th e a p p lic a n t; (3 ) a n y w a r o r h o stile
th e re w ith ); (4 ) sa b o tag e o r in s u rre c tio n ; o r ( 5 ) a n y a c t

fo r d iscip lin ary re aso n s o r as a c o n se q u en c e o f (1 ) a n y s trik e , slo w d o w n , w o rk
o r c o n c e rte d a c tio n a t a c o m p a n y p la n t (o r p la n ts) o r e lsew h ere; (2 ) a n y fa u lt
a ct o f a fo reig n p o w e r (b u t n o t G o v e rn m en t re g u la tio n s o r c o n tro ls c o n n e c te d
o f G od.

4 3 E x clu d in g w eek s in w h ic h h o lid a y p a y o r p ay fo r sch e d u le d v acatio n s w as th e o n ly c o m p e n sa tio n received b y e m p lo y e e.
4 6 L a y o ff m u st have b e e n f o r re aso n s specified in reg u lar SU B p lan .
4 7 E m p lo y e e m u s t have b e e n ineligible f o r S ta te b e n e fits so lely becau se o f c o m p a n y earnings o r p e rio d w o rk e d , o r e ith e r o f th e s e
reaso n s in c o m b in a tio n w ith o th e r reaso n s sp ecified in reg u lar SU B p lan .
4 8 W h en e m p lo y e e h a d w e e k o f u n e m p lo y m e n t, as d e fin e d b y S ta te u n e m p lo y m e n t c o m p e n sa tio n law , beg in n in g o n a d a y o th e r
th a n S u n d a y o r M o n d a y , h e m ay a p p ly fo r p a rtia l sh o rt w o rk w e e k b e n e fit f o r d a y s o f la y o f f n o t in c lu d e d in d e fin e d w e e k o f
u n e m p lo y m e n t.




77

4 9 Credit un it cancellation schedu le is as follow s:
A n d if th e y ears o f se n io rity o f th e p e rso n to w h o m su ch b e n e fit is p a id a re —
I f th e c re d it u n it c an c ellatio n
base ap p licab le to th e w eek
fo r w h ic h b e n e fit is p a id is—

1 to 5

5 to 10

10 t o 15

15 to 20

2 0 to 25

25 a n d over

T h e c re d it u n its c an celed f o r su ch b e n e fits shall b e —
$ 3 8 2 .5 0 o r m o r e ........................
$ 3 4 2 .0 0 to $ 3 8 2 .4 9
................
$ 3 0 1 .5 0 to $ 3 4 1 .9 9
................
$ 2 6 1 .0 0 t o $ 3 0 1 .4 9
................
$ 2 2 0 .5 0 to $ 2 6 0 .9 9
................
$ 1 8 0 .0 0 to $ 2 2 0 .4 9
................
$ 1 3 9 .5 0 to $ 1 7 9 .9 9
................
$ 9 9 .0 0 t o $ 1 3 9 .4 9 ....................
$ 5 8 .5 0 to $ 9 8 .9 9 .......................
$ 1 8 .0 0 to $ 5 8 .4 9 .......................
U n d er $ 1 8 . 0 0 ...............................

1.00
1.11
1.25
1.43
1.67
2 .0 0
2 .5 0
3.3 3
5 .0 0
10 .0 0
(*)

1 .00
1.00
1.00
1.11
1.25
1.43
1.67
2 .0 0
2 .5 0
3 .3 3
(* )

1.00
1.00
1.11
1.25
1.43
1.67
2 .0 0
2 .5 0
3 .3 3
5 .0 0
(*)

1.00
1.00
1.00
1.00
1.11
1.25
1.43
1.67
2 .0 0
2 .5 0
(* )

1.00
1 .00
1.00
1.00
1.00
1.11
1.25
1.43
1.67
2 .0 0
< *)

1.00
1.00
1.00
1.00
1.00
1.00
1.11
1.25
1.43
1.67
(* )

♦N o b e n e fits p a y ab le.
50W orkers o n active p a y ro ll w ith a t le a st 1 y e ar o f se n io rity o n D ec. 1 ,1 9 6 8 , o r o n a s u b s e q u e n t g u a ran tee d a te receive a d d itio n a l
c re d it u n its if th e y h a d few er th a n 5 2 ; th e a d d itio n a l u n its w ere d e te rm in e d by m u ltip ly in g th e d ifferen ce b e tw e e n th e c u rre n t n u m b e r
o f u n its a n d 52 b y th e a p p licab le p e rc e n t as fo llo w s:
Y ears o f se n io rity
1
2
4
7

P e rc en t

b u t less th a n 2
b u t less th a n 4
...........................................................................................................................................................
50
b u t less th a n 7
a n d o v er
........................................................................................................................................................................ 100

5 1 T h e n u m b e r o f g u a ra n te e d a n n u al in co m e c red it u n its , if a n y , to be c re d ite d t o e m p lo y e e o n su ch d a te w as d e te rm in e d b y (1 )
s u b tra c tin g fro m 52 th e n u m b e r o f p ay p e rio d s b e tw e e n th e p reced in g g u a ran tee d a te a n d th e last d ay o f su ch p a y p e rio d ; a n d (2 )
su b tra c tin g fro m th e resu ltin g n u m b e r th e n u m b e r o f e m p lo y e e c red it u n its o n su ch d a te ; a n d (3 ) m u ltip ly in g th e re su ltin g n u m b e r b y
th e ap p licab le p e rc e n t as in d ic a te d in fo o tn o te 50 .
* 2 R e latio n sh ip w as as fo llo w s:
I f th e p erce n ta g e re la tio n ­
ship o f th e value o f th e assets
o f th e fu n d to m ax im u m fu n d ­
ing w as—
8 7 .5
7 5 .0
6 2 .5
5 0 .0
3 7 .5
Less

T h e ap p licab le n u m b e r
o f c e n ts p e r h o u r
w as—

o r m o re b u t less th a n 1 0 0 .0
o r m o re b u t less th a n 87.5
o r m o re b u t less th a n 7 5 .0
o r m o re b u t less th a n 6 2 .5
o r m o re b u t less th a n 50.0
th a n 3 7 . 5 ...............................

......................... 5
....................6

....................... 7
.................. 8
....................... 9
.................. 10

If, fo r p ay p e rio d , to ta l n u m b e r o f h o u rs em p lo y e es received p ay fro m c o m p a n y w h e n m u ltip lie d b y a p p licab le n u m b er o f c e n ts
p er h o u r w as m o re th a n n u m b e r o f h o u rs re q u ire d to increase value o f assets o f f u n d t o n e x t h ig h er p e rcen tag e level, o n ly th e
n u m b e r o f h o u rs re q u ire d to re a c h th e n e x t hig h er fu n d level w as to b e m u ltip lie d b y th e ap p licab le c en ts p er h o u r in above
ta b le . T he rem ain in g h o u rs (th e d iffere n ce b e tw e e n to ta l n u m b e r o f h o u rs a n d n u m b e r o f h o u rs re q u ire d t o re ac h n e x t hig h er
p e rce n ta g e level) w as to b e m u ltip lie d b y ap p licab le lesser c e n ts p e r h o u r set fo rth in above ta b le fo r n e x t hig h er p e rce n ta g e .




78

5 ^Paym ents are to be m ade in accordance w ith th e follow in g schedule:

Number
o f hours
pay*

Years o f seniority
2 b u t less th a n 3
. .
3 b u t less th a n 4
. .
4 b u t less th a n 5
. .
5 b u t less th a n 6
. .
6 b u t less th a n 7
. .
7 b u t less th a n 8
. .
8 b u t less th a n 9
. .
9 b u t less th a n 10 . .
10 b u t less th a n 11
11 b u t less th a n 12
12 b u t less th a n 13 .
13 b u t less th a n 14
1 4 b u t less th a n 15 .
15 b u t less th a n 1 6 .
16 b u t less th a n 17
17 b u t less th a n 18 .
18 b u t less th a n 19
19 b u t less th a n 2 0
2 0 b u t less th a n 21
21 b u t less th a n 22
2 2 b u t less th a n 2 3
2 3 b u t less th a n 2 4
2 4 b u t less th a n 25
2 5 b u t less th a n 2 6
2 6 b u t less th a n 2 7 .
2 7 b u t less th a n 2 8 .
2 8 b u t less th a n 2 9
2 9 b u t less th a n 3 0 .
3 0 a n d o v e r .............

40
60
80
100
125
150
175
200

230
260
290
325
360
400
440
480
525
570
620
670
72 0
775
830
890
950

1,010
1 ,070
1 ,1 3 0
1,200

•B ase h o u rly ra te p lu s cost-of-living allo w an ce in effe c t o n last d ay w o rk e d .
5 4 N o t a p p licab le to lay o ffs b ecau se o f discip lin e, strik e b y UAW m em b ers a t th e c o m p a n y , p ick e tin g , w a r, sa b o tag e , o r a c t o f G o d .
S e p a ratio n p ay p lan to a p p ly t o e m p lo y e es laid o f f in c o n n e c tio n w ith th e closing o f th e c o m p a n y ’s M em phis, T e n n ., p la n t in Ju n e
1 9 5 8 , o r fro m th e c o m p a n y 's C hicago a irc ra ft p la n t o n o r a fte r J u n e 1, 1 9 5 8 .
^ C o m p a n y c o u ld p e rm it e arlie r a p p lic a tio n if it believed p ro sp e c ts o f re e m p lo y m e n t did n o t w a rra n t w aitin g .
5 P a y m en ts a re t o b e m ad e in a cc o rd an c e w ith th e fo llow ing sc h e d u le :

Years o f seniority
on last day on
active roll
Less th a n 3
. . .
3 b u t less th a n 4 .
4 b u t less th a n 5 .
5 b u t less th a n 6 .
6 b u t less th a n 7 .
7 b u t less th a n 8 .
8 b u t less th a n 9 .
9 b u t less th a n 10
10 b u t less th a n 11
11 b u t less th a n 12
12 b u t less th a n 13
13 b u t less th a n 14
14 b u t less th a n 15
15 b u t less th a n 16
16 b u t less th a n 17




Years o f seniority
on last day on
active roll

Number o f
hours* pay

17
18
19
20
21
22
23
24
25
26
27
28
29
30

325
450

79

but
but
but
but
but
but
but
but
but
but
but
but
but
and

less th a n 18
less th a n 19
less th a n 2 0
less th a n 21
less th a n 2 2
less th a n 2 3
less th a n 2 4
less th a n 25
less th a n 2 6
less th a n 27
less th a n 2 8
less th a n 29
less th a n 30
o ver . . . .

N um ber o f
hours* pay

.
.
.
.
.
.
.

600
656
713
775
83 8
900
969
1,038
1,1 1 3
1 ,1 8 8
1,2 6 3
1 ,3 3 8
1,413
1 ,5 0 0

5 7 Paym ents

are

to

Years o f seniority
on last day worked
in bargaining unit

be

m ade

according

to

the follow in g schedule:

Years o f seniority
on last day worked
in bargaining unit

Number o f
hours* pay

1 b u t less th a n 2 .............................................................
2 b u t less th a n 3 .............................................................
3 b u t less th a n 4 .............................................................
4 b u t less th a n 5 .............................................................
5 b u t less th a n 6 .............................................................
6 b u t less th a n 7 ....................................................
7 b u t less th a n 8 .............................................................
8 b u t less th a n 9 .............................................................
9 b u t less th a n 1 0 .........................................................
10 b u t less th a n 11
11 b u t less th a n 12 . . . . .......................................
12 b u t less th a n 13
13 b u t less th a n 1 4
1 4 b u t less th a n 15
15 b u t less th a n 16

50
70
100
135
170
210
25 5
300
35 0
400
455
510
570
630
700

16
17
18
19
20
21
22
23
24
25
26
27
28
29
30

but
but
but
but
but
but
but
but
but
but
but
but
but
but
and

Number o f
hours* pay

less th a n 17
770
less th a n 18
840
less th a n 19
920
less th a n 2 0
1 ,0 0 0
less th a n 21 ...................................................... 1,085
less th a n 2 2
1 ,1 7 0
less th a n 2 3 ...................................................... 1 ,2 6 0
less th a n 2 4 ...................................................... 1,355
less th a n 2 5 ...................................................... 1,455
less th a n 2 6
1,560
less th a n 2 7
1,665
less th a n 2 8
1,7 7 0
less th a n 2 9
1,875
less th a n 3 0 .................................................. . 1 , 9 8 0
over .........................................................................2 ,0 8 0

5 8 T h e c o n tin g e n t d is trib u tio n a c c o u n t p ro v id ed each eligible em p lo y e e w ith a $ 5 3 .3 8 b o n u s o n D ec. 2 3 ,1 9 6 6 ; a n d an a d d itio n a l
$ 3 3 .8 9 o n D ec. 2 2 ,1 9 6 7 .




80

W a g e ch ro n o lo g ies
The following wage chronologies are currently being maintained. Bulletins or reports for which a price is indicated
are available from the Superintendent o f Documents, U.S. Government Printing Office, Washington, D.C. 20402, or
from the Regional offices o f the Bureau o f Labor Statistics which are listed on the inside back cover. (Order by check
or money order; do not send cash or stamps.) Those publications for whidh no price is indicated are not available from
the Superintendent o f Documents, but may be obtained w ithout charge, as long as a supply is available, from the
Bureau o f Labor Statistics, Washington, D.C. 20212, or from the Bureau’s regional offices. Item s indicated as out of
print may be available in leading public, college, or university libraries, or the Bureau’s regional offices.
Before July 1965, the M onthly Labor Review published wage chronologies and supplements which were later
released as reports. Wage chronologies published later are available only as bulletins (and their supplements). A
summary o f general wage changes and new or changed working practices will be added as new contracts are
negotiated.
Aluminum Company o f America—
1939- 67, BLS Bulletin 1559 (30 cents).
1968- 70, Supplement to BLS Bulletin 1559 (free).
American Viscose (a division o f FMC C o rp .)1945-67, BLS Bulletin 1560 (20 cents).
The Anaconda Co.—
1941-58, BLS Report 197 (free). 1
Anthracite Mining Industry—
1930-66, BLS Bulletin 1494 (20 cents). 1
Armour and Company—
1941-72, BLS Bulletin 1682 (50 cents).
A.T. & T .—
Long Lines Departm ent—
1940- 64, BLS Bulletin 1443 (40 cents). 1
1965-70, Supplement to BLS Bulletin 1443 (free).
Atlantic Richfield Company—
1941- 72, BLS Bulletin 1771 (75 cents).
Berkshire Hathaway Inc.—
1943-69, BLS Bulletin 1541 (25 cents).
1969- 71, Supplement to BLS Bulletin 1541 (free).
Bethlehem A tlantic Shipyards1941-68, BLS Bulletin 1607 (35 cents).
1969-72, Supplement to BLS Bulletin 1607 (free)'.
Bituminous Coal Mines—
1933-68, BLS Bulletin 1558 (25 cents).
1968-70, Supplement to BLS Bulletin 1558 (free).
The Boeing Co. (Washington Plants) 1936-67, BLS Bulletin 1565 (25 cents).
Carolina Coach Co.—
1947-63, BLS Report 259 (free). 1
Chrysler Corporation—
1939-66, BLS Bulletin 1515 (30 cents). 1
Commonwealth Edison Co. of C hicago1945-63, BLS Report 205 (20 cents). 1
1964-69, Supplement to BLS Report 205 (free).




81

Dan River Mills—
1943- 73, BLS Bulletin 1767 (35 cents).
Federal Classification Act Employees—
1924-68, BLS Bulletin 1604(70 cents).
Firestone Tire and Rubber Co. and B. F . Goodrich Co. (Akron Plants)—
1937-73, BLS Bulletin 1762 (50 cents).
General Motors Corp.—
1939-66, BLS Bulletin 1532 (30 cents). 1
International Harvester Company—
1946-70, BLS Bulletin 1678 (65 cents).
International Paper Co. (Southern Kraft Div.)—
1937-67, BLS Bulletin 1534 (25 cents).
1967-69, Supplement to BLS Bulletin 1534 (free).
International Shoe Co. (a division o f Interco, Inc.)—
1945-74, BLS Bulletin 1718 (30 cents).
Lockheed-California Company (a division o f Lockheed Aircraft Corp.)—
1937-67, BLS Bulletin 1522 (35 cents).
Martin-Marietta Corp.—
1944- 64, BLS Bulletin 1449 (25 cents). 1
1965-68, Supplement to BLS Bulletin 1449 (free).
Massachusetts Shoe Manufacturing—
1945- 66, BLS Bulletin 1471 (15 cents). 1
1967-68, Supplement to BLS Bulletin .1471 (free).
New York City Laundries—
1945-64, BLS Bulletin 1453 (20 cents). 1
1965- 72, Supplement to BLS Bulletin 1605 (free).
North American Rockwell Corp.—
1941-67, BLS Bulletin 1564 (25 cents).
1967- 70, Supplement to BLS Bulletin 1564 (free).
N orth A tlantic Longshoremen—
1934-71, BLS Bulletin 1736 (50 cents).
Pacific Coast Shipbuilding—
1941- 67, BLS Bulletin 1605 (35 cents).
Pacific Gas and Electric Co.—
1943-72, BLS Bulletin 1761 (50 cents).
Pacific Longshore Industry—
1934-70, BLS Bulletin 1568 (35 cents).
Railroads—
Nonoperating Employees—
1920-62, BLS Report 208 (25 cents). 1
Swift & Co.—
1942- 73, BLS Bulletin 1773 (-cen ts).
United States Steel Corporation—
1937-67, BLS Bulletin 1603 (40 cents). 1
1966- 70, Supplement to BLS Bulletin 1603 (free).
Western Greyhound Lines—
1945-67, BLS Bulletin 1595 (45 cents).
1960-72, Supplement to BLS Bulletin 1595 (free).
Western Union Telegraph Co.—
1943- 67, BLS Bulletin 1545 (35 cents).
1968- 71, Supplement to BLS Bulletin 1545 (free).

lO ut of print. See Directory o f Wage Chronologies, 1948-72, for M onthly Labor Review in which reports and supplements issued
before July 1965 appeared.




82

* U. s . GOVERNMENT PRINTING OFFICE : 1973 O - 512-383 (104)

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