Dear Mr. Pierce:Reference to our discussions regarding the application of the Automatic Release Rule at Kelly Lake, Minnesota for the existing ore pool headquartered at Duluth-Superior. Currently, whenever the Carrier operates through Kelly Lake, train and engine crews are allowed an additional day's pay due to Kelly Lake being an automatic release point. In our discussions, we advised your committee of the Carrier's desire to reduce the cost of operating traffic in this corridor in order to remain cost efficient and competitive. Presently, there are conflicting arbitral decisions on this issue regarding the running through Kelly Lake which the Carrier would like to resolve amicably without progressing it through another arbitral proceeding. Therefore, the parties agreed to the following understanding for this operation henceforth:

1) Kelly Lake is recognized as a terminal/automatic release point for engineers working in this pool service at Duluth-Superior with the following exceptions.

2) The current six (6) engineers (Attachment "A") in this pool will be grand fathered and will continue to be paid three (3) separate slips (basic day minimum) for operating a train Duluth/Superior to Kelly Lake, Kelly Lake to either Hibbing or Keewatin and return, and Kelly Lake to Duluth/Superior.

3) Engineers not grand fathered in Article 2 operating a train Duluth/Superior to Kelly Lake, Kelly Lake to either Hibbing or Keewatin and return, and Kelly Lake to Duluth/Superior will be allowed two (2) separate slips (basic day minimum) plus three (3) hours at mine rate, instead of the current payment of a basic day, whenever a train is operated through Kelly Lake to Hibbing or beyond and return, or to Keewatin and return.

4) Grand fathered engineers will continue to be allowed one special pay differential for each minimum basic day slip or basic day while operating a train in this service. Non grand fathered engineers will not be entitled to the third special pay differential payment when crews operate through Kelly Lake as described in Article 3, but will continue to be allowed one special pay differential for each of the two remaining minimum basic day slips or basic days.

5) Grand fathered or not, pre-October 31, 1985 engineers deadheaded from Duluth-Superior directly to the points beyond Kelly Lake who then operate back to Kelly Lake will continue to be compensated as they are today with a minimum basic day in through freight service for the service Duluth-Superior to Kelly Lake. If these engineers then operate through Kelly Lake on towards Superior, the automatic release rule described in Article 1 will continue to apply to that service, Kelly Lake to Superior, with such service compensated on the basis of an additional minimum basic day in through freight service. In addition, Engineers who operate from Duluth/Superior to Kelly Lake and then operate through Kelly Lake to points beyond but are then deadheaded to Duluth/Superior without operating back to Kelly Lake will also be governed by the automatic release rule described in Article 1 and compensated as they are today with a minimum basic day in through freight service Duluth/Superior to Kelly Lake, and an additional minimum basic day in through freight service Kelly Lake back to Duluth/Superior. In both cases described in this Article, three (3) hour payment referenced in Article 3 will not be allowed. Pursuant to Article 4, a special pay differential will be allowed for each minimum basic day allowed. This Article will also apply to all extra board crews called to perform hours of service relief under the Local Ore Pool Dog catch Agreement.

6) Until trip rates are implemented in this pool, post October 31, 1985 engineers will be compensated in the same manner as described in Article 5 except when they are deadheaded terminal to terminal (Duluth/Superior to Kelly Lake) separate from service, they will be paid in accordance with Article VI of Arbitration Award No. 458 dated May 19, 1986. When trip rates are implemented in this pool, this provision will not be applicable.

7) For purposes of mileage regulation, the pool will continue to be regulated as it is today on the basis of 7 trips at three slips each per half, this so long as only grand fathered engineers are assigned in the service. When non grand fathered employees are assigned in this service, their trips will be counted as 2 and 1/4 slips. In the event that the pool turns faster than the current 7 trips per half, grand fathered engineers will be laid off account miles by the Call Office once they have accumulated 7 trips per half with their pool turns filled as temporary vacancies. In cases where as a last resort short of holding trains, grand fathered engineers laid off account miles may be canvassed for emergency work but cannot be miss called if unavailable. If grand fathered engineers are called in emergency and voluntarily accept work beyond 7 trips per half, they will be compensated as a non grand fathered engineer pursuant to Article 3.

8) The trip rate for this pool, when implemented, will be computed based on three (3) separate slips with SPD's for these six (6) grand fathered engineers only, and any non grand fathered engineers will have their trip rate based on the two (2) separate slips with SPD's plus three (3) hour payment, not the basic day, for this movement through Kelly Lake and return.

9) The grand fathered protection referenced in Article 2 will remain in effect until the last grand fathered engineer is no longer in active service or for a maximum of ten (10) years, whichever occurs earlier. After that point, there will no longer be grand fathered service and compensation in this service will be pursuant to Article 3.

If you concur with the above understanding, please acknowledge your concurrence in the space provided below. Sincerely,

 


 

 

Dear Mr. Pierce:

Reference to our discussions regarding the application of the Automatic Release Rule at Kelly Lake, Minnesota for the existing ore pool headquartered at Duluth-Superior and our initialed agreement. As part of our discussions today, it was understood that in the event the initialed proposal governing Ore Pool Crews operating through Kelly Lake is accepted by the Organization, all open notices filed by the Carrier seeking to implement Inter/Intradivisional service for Ore Pool or Freight (Boxcar) Pool crews to operate through Kelly Lake without automatic release will be considered to be closed and not subject to any further handling by either party. If the foregoing correctly describes our understanding, please signify your concurrence in the space provided below.


Attachment "A"
J.H. Hines
C.D. Otto
G.K. Korich
R.L. Lush
D.F. Hoemberg
L.L. Larh

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