™ 0$4$4"*-*/( ™ ) N S P I R E # O N F I D E N C E™ OCSC San Francisco Bay Employee Handbook Revised April 2007 R. Jepsen This manual describes the policies in place as of the “revised” date above. These policies may be changed, deleted or others added at the discretion of OCSC and without advance notice. This handbook can also be found on the web. This will be the only hard copy you receive. Check the website periodically for changes and updates. Table of Contents OCSC San Francisco Bay Employee Handbook WELCOME TO OCSC OCSC’s Product Mission I. Code of Conduct A. Introduction B. Violence or Abuse in the Workplace C. Computer Use D. Prevention of Sexual Harassment in the Work Environment E. Disciplinary Actions For Code of Conduct Violations Table of Contents II. Employment Policies A. Equal Opportunity Employer B. Employee Privacy and Record Keeping C. At-Will Employment D. Minimum Wages for all OCSC Employees: Berkeley Living Wage Ordinance A. Officers B. Managers C. Administrative Employees D. Customer Service Representatives E. Instructors III. Employment Categories F. Fleet Service G. Full-Time Employees H. Part-Time Employees I. Seasonal Employees OCSC Employ ee M a nua l / A pr il 2007 Ta b l e of C on t e n t s / Pa g e ™ ™ ™ IV. Employee Benefits Policy A. Health and Dental Insurance B. Simple IRA Retirement Plan C. Classes D. Boat Use E. Equipment Purchase F. Worker’s Compensation Insurance G. Patelco Credit Union Membership H. Charter Subsidy Policy I. Club Activities J. Employee Leaves K. Work Rules for Exempt Employees On Salary L. OCSC Policy on Employee Benefits V. Final Words Ta b l e of C on t e n t s / Pa g e ii OCSC Employ ee M a nua l / A pr il 2007 Table of Contents WELCOME TO OCSC Y ou are working for one of the finest, most professional sail- ing schools in the country. You were chosen for your position because you have something special, something extra to offer. You’ll find that your commitment to excellence is shared by all your co-workers around you, from instruction to maintenance, from sales and administration to bookkeeping. OCSC started business in 1979 in Alameda with a few borrowed boats and a small office. It prospered and grew in Alameda, but saw its most significant growth after its move to Berkeley in 1981. In 1982, the fleet grew from 12 boats to 30, and in 1983, the business moved from a small temporary building into the twostory facility which houses us now. In 1984, we began operation of a clothing and sailing gear store, in 1987, a corporate team building program and in 1990, a charter brokerage for tropical charters all over the world. Slowly OCSC has gained recognition for its programs and that reputation has recently grown nationwide. In 1999, OCSC was ranked as the best single location sailing school in the country and the second best of any type. This was from a survey of magazine readers and was based on customer satisfaction. As of this writing, OCSC owns eight boats, manages 34 others, and employs over 60 people. Hundreds of people are taught to sail each year from our facility on San Francisco Bay. Many sailing industry people consider OCSC to be the only school to which they’ll send their friends. OCSC Employ ee M a nua l / A pr il 2007 We all work hard to maintain these standards of excellence and quality, but we have time for fun too. We’re here because we love to sail, and we indulge our urges whenever we can. Employees enjoy a variety of club cruises and races, sailing lessons at every level and use of our fleet at little or no expense. If you take full advantage of the opportunity to sail, not only will you have a GREAT time EVERY time, but, regardless of your current skill and knowledge level you’ll learn more than you could imagine about this great sport. In fact, most of the significant improvements at Olympic Circle came from our experiences while on the water, whether teaching or playing. From new sail training methods, and course structures, to boat maintenance procedures and schedules our systems constantly improve by OCSC staff members. Although we are proud of our accomplishments so far, we still have goals and objectives that push us to improve and refine, to keep working toward the standard we set for ourselves. With the staff, location and commitment we have, we turn out as safe and competent a group of heavy weather sailors as can be found. We are the standard bearer for a new class of sailing school with training designed to fully prepare people for sailing anywhere in the world. I hope you find your employment here as rewarding and exciting as I do! Again, welcome aboard. Sincerely, Richard M. Jepsen CEO, OCSC, Inc. I n t r odu c t ion / Pa g e ™ ™ ™ OCSC’s Product Mission To teach all aspects of sailing-cruising, chartering & racing Safety Seamanship How to enjoy sailing To exist as a social and recreational center for sailors Seminars Foreign flotilla charters Club Cruises and Parties Proof of competency/US SAILING certification Crew Lists/Sailors on Call To provide brief but high-powered sailing experiences to large groups, using sailing as a vehicle. Corporate Sailing Events Teambuilding and Management Retreats I n t r odu c t ion / Pa g e OCSC Employ ee M a nua l / A pr il 2007 I. Code of Conduct A.Introduction O CSC’s reputation for qua lit y sa il tr a ining perva des the sa il - We have earned that reputation through years of hard work and focused attention on great customer service. We present an extremely high quality curriculum delivered by the best teaching staff nationwide, as well as kind, personal attention to member and student needs from all staff. On top of all this, ours is consistently the best-maintained club fleet around. Actions OCSC expects of its employees ing communit y. Central to this effort has been a clear message about our responsibilities to each other, the business and our membership as described below. What follows is a common sense description of OCSC’s expectations of every staff member from the owners to the newest employee. Please read it carefully and know to expect this behavior from your peers, employees and bosses, and that they expect it from you. OCSC expects that you will: 1. Care for OCSC equipment and assets as though they are your own. 2. Always dazzle customers with your customer service regardless of the situation. 3. Show respect to and exercise patience with your co-workers and employees. 4. Be the first to admit your mistakes, and learn from them. 5. Be alert to potential ways of improving the quality of our product. 6. Stay safe on the job and lead others to do the same. 7. Use the highest level of personal ethics with co-workers, supervisors and clients. 8. Work hard to improve your knowledge and skills whether business or sailing. 9. Display a high level of professionalism in manner, speech and dress. OCSC Employ ee M a nua l / A pr il 2007 C ode of C on du c t / Pa g e ™ ™ ™ The following list details behavior that will not be tolerated by OCSC. We expect that you will not: 1. Use offensive behavior or language-Profanity, or racial, cultural, or sexual slurs. 2. Display any discriminatory behavior based on sex, religion, race, culture, sexual preference or physical disability. • (See OCSC’s policy regarding Prevention of Sexual Harassment in the Work Environment below this sectionAny violation of the policy as clarified in that section will be addressed as a Code of Conduct violation) 3. Commit any abusive treatment of an OCSC client, co-worker, or employee. (See OCSC’s policy regarding Violence and Abuse in the Workplace below this section) 4. Solicit Olympic Circle clients for personal profit, or accept paid sailing work from them outside of OCSC. 5. Become intoxicated while on OCSC premises for any reason, work, social or recreation; or while working for OCSC whether on or off OCSC premises. • While working for OCSC, you may not consume alcohol whether on premises or not. • While representing OCSC at social functions, whether on OCSC premises or offsite, you are required to stay sober. OCSC Flotilla Planning Parties, BBQs, Member Holiday Parties, Corporate Event dinners or parties, offsite public relations events are places to observe this rule. • Intoxication on OCSC premises or on board any OCSC yacht may be grounds, at an OCSC officer’s sole discretion, for dismissal, whether or not you are working, socializing or sailing. • Use of any illegal drug or illegal use of any prescription drug at any time, whether or not on company time is grounds for dismissal. 6. Misappropriate OCSC goods or services. Some examples are: • Making toll phone calls without reimbursing the company; • Use of a boat without express permission from your supervisor; • Personal use or removal from OCSC of any tool or material without express permission from your supervisor; • Resell goods or services that you received as a job benefit; • Misuse of computer equipment, software, Internet access. 7. Be regularly tardy or have unexcused absences. (See procedures manual for details) C ode of C on du c t / Pa g e OCSC Employ ee M a nua l / A pr il 2007 Behavior that will not be tolerated 8. Divulge OCSC proprietary information outside OCSC Behavior that will not be tolerated • All aspects of Olympic Circle’s operations, marketing philosophy and the nature of our product were developed by years of hard work by OCSC employees. They are proprietary and confidential. Under no circumstances should our product development procedures, business plans, current activities or financial status be discussed with anyone not an employee of OCSC. • This particularly applies but is not limited to OCSC competitors, marine industry people, government agencies, attorneys, or media personnel, unless given express permission from an OCSC Company Officer. • It is important to remember that you have signed an agreement to this effect. OCSC will not tolerate any behavior that results in its proprietary information being compromised in this competitive environment. B. Violence or Abuse in the Workplace O CSC is committed to prev enting work pl ace v iolence a nd to m a inta ining a sa fe work en v ironment. Given the increasing violence in society in general, OCSC has adopted the following guidelines to deal with intimidation, harassment, or other threats of (or actual) violence that may occur during business hours or on its premises. All employees, including managers and temporary employees, should be treated with courtesy and respect at all times. Employees are expected to refrain from fighting, “horseplay” or other conduct that may be dangerous to others. Firearms, weapons, and other dangerous or hazardous devices or substances are prohibited from the premises of OCSC without proper authorization. Conduct that threatens, intimidates, or coerces another employee, a customer, or a member of the public at any time, including off-duty periods, will not be tolerated. This prohibition includes all acts of harassment, including harassment that is based on an individual’s sex, race, age, or any characteristic protected by federal, state, or local law. OCSC strives to provide a work environment where all employees can work together comfortably and productively, free from harassment. OCSC prohibits the harassment of any of its employees based on an individual’s race, religion, color, gender, age, national origin, ancestry, marital status, medical condition, sexual orientation, or physical and mental disability, regardless of whether that harassment is targeted specifically to the employee. OCSC Employ ee M a nua l / A pr il 2007 C ode of C on du c t / Pa g e ™ ™ ™ Prohibited harassment may include, but is not limited to, epithets, slurs, derogatory comments or jokes, intimidation, negative stereotyping, threats, assault or any physical interference with the employee’s normal work or movement. Harassment may also include written or graphic material placed on walls, bulletin boards or elsewhere on OCSC premises or circulated in the workplace that denigrates, shows hostility or aversion towards an individual or group because of the characteristics identified above. Whether or not the offending employee meant to give offense or believed his or her comments or conduct were welcome is not significant. Rather, OCSC’s policy is violated when other employees, whether recipients or mere observers, are in fact offended by comments or conduct which are based on race, religion, color, gender, age, national origin, ancestry, marital status, medical condition, sexual orientation or disability. All threats of (or actual) violence, both direct and indirect, should be reported as soon as possible to your immediate supervisor or any other member of management. This includes threats by employees, as well as threats by customers, vendors, solicitors, or other members of the public. When reporting a threat of violence, you should be as specific and detailed as possible. All suspicious individuals or activities should also be reported as soon as possible to a supervisor. Do not place yourself in peril. If you see or hear a commotion or disturbance near your work station, do not try to intercede or see what is happening. OCSC will promptly and thoroughly investigate all reports of threats of (or actual) violence and of suspicious individuals or activities. The identity of the individual making a report will be protected as much as is practical. In order to maintain workplace safety and the integrity of its investigation, OCSC may suspend employees, either with or without pay, pending investigation. Anyone determined to be responsible for threats of (or actual) violence or other conduct that is in violation of these guidelines will be subject to prompt disciplinary action, up to and including termination of employment. OCSC encourages employees to bring their disputes or differences with other employees to the attention of their managers, the Human Resources Manager or a Corporate Officer before the situation escalates into potential violence. OCSC is eager to assist in the resolution of employee disputes and will not discipline employees for raising such concerns. C ode of C on du c t / Pa g e OCSC Employ ee M a nua l / A pr il 2007 Violence or Abuse in the Workplace C. Computer Use C omputers , computer files , the e - m a il system , the voice m a il system , a nd softwa re furnished to employ ees a re OCSC prop Employees should not use a password, access a file, or retrieve any stored communication without authorization. Under the Electronic Communication Privacy Act, all messages sent, received, composed and/or stored on computer voice mail and e-mail systems are the property of the company and may be accessed by the company at any time. To ensure compliance with this policy, computer and e-mail usage may be monitored. ert y intended for business use . OCSC strives to maintain a workplace free of harassment and sensitive to the diversity of its employees. Therefore, OCSC prohibits the use of computers and the e-mail/voicemail systems in ways that are disruptive, offensive to others, or harmful to morale. For example, the display or transmission of sexually explicit images, messages, and cartoons is not allowed. Other such misuse includes, but is not limited to, ethnic slurs, racial comments, off-color jokes, or anything that may be constructed as harassment or showing disrespect for others. Computer Use E-mail and voice mail may not be used to solicit others for commercial ventures, religious or political causes, outside organizations, or other non-business matters. Employees should notify their immediate supervisor, the Human Resources Manager or any member of management upon learning of violations of this policy. Employees who violate this policy will be subject to disciplinary action, up to and including termination of employment. OCSC Employ ee M a nua l / A pr il 2007 C ode of C on du c t / Pa g e ™ ™ D. Prevention of Sexual Harassment in the Work Environment S exua l h a r assment of a n yone at OCSC, ™ client, employ ee or v en - dor , in a n y form will not be toler ated at OCSC. OCSC will also not tolerate sexual harassment by an OCSC vendor or client. Committing any act of sexual harassment may be grounds for demotion, suspension or termination of employment. 1. Definition “Unwelcome sexual advances, requests for sexual favors, and other verbal or physical conduct of a sexual nature constitute harassment when (1) submission to or rejection of such conduct is made either explicitly or implicitly a term or condition of an individual’s employment; (2) submission to or rejection of such conduct by an individual is used as the basis for decisions about evaluation, employment, promotion, selection for training, performance evaluation, or selection for benefits etc; (3) such conduct has the purpose or effect of creating an intimidating, hostile, or offensive work environment or substantially interferes with an employee’s work performance.” “Sexual harassment consists of verbal or physical conduct of a sexual nature, imposed on the basis of sex by an employee… that denies, limits, provides different, or conditions the provision of aid, benefits, services or treatment protected under Title IX.... Generally, harassment at its extreme occurs when a person, in a position to control, influence, or affect another individual’s education, grades, job, or career, uses their authority and power to coerce an individual into sexual relations, or to punish that individual for refusing sexual relations.” as described by the U. S Office for Civil Rights Prohibited activity includes, but is not limited to: • Lewd remarks in the office, which are offensive to other workers; • Repeated unwanted sexual advances toward another employee, vendor or client of OCSC; • Unwanted touching of another employee, vendor or client; • Displaying or transmitting material on computers of a sexually offensive or explicit nature; C ode of C on du c t / Pa g e OCSC Employ ee M a nua l / A pr il 2007 Prevention of Sexual Harassment in the Work Environment 2. Reporting • Any report of sexual harassment must be made as soon as possible after the incident occurs. The same day is optimal, but the first day possible after the occurrence is imperative; • The employee reporting an incident or situation will request a private meeting with their supervisor, or if the supervisor is the accused, his or her supervisor; • The person taking the report will transcribe all relevant parts of the reporter’s complaint, review the complaint with the reporter to ensure an accurate transcription and have both parties sign and date the report; • The report will include: 1. 2. 3. 4. Prevention of Sexual Harassment in the Work Environment • Specific dates and times that sexual harassment occurred; Any witnesses, if available, to the event or situation; Complete description of the act of harassment If applicable, any tangible job action that has occurred, i.e.: a promotion withheld, unwarranted negative performance reviews, assignment to an unpleasant job or set of responsibilities without good reason, must be included in the report; This written report will be distributed only to the reporter, the accused and company officers; • The accused employee will be notified and interviewed as soon as possible by the person receiving the report, the accused employee’s supervisor (if different from the person receiving the report) and at least one company officer; • The results of this interview will also be in writing. The accused will review it for accuracy and sign it. 3. Investigation OCSC will investigate all claims or evidence of sexual harassment thoroughly. • All witnesses identified by the reporter and accused will be interviewed and the relevant results of those interviews transcribed and later reviewed for accuracy by the witnesses, who will sign them.; • The accused may be placed on paid administrative leave while the investigation continues; • A panel comprised of officers of the company and one club manager will evaluate all reports and other evidence and formulate a plan of action. OCSC Employ ee M a nua l / A pr il 2007 C ode of C on du c t / Pa g e ™ ™ ™ 4. Privacy OCSC will respect the privacy of the parties involved in an investigation. However, if it is necessary in order to complete a fair and impartial investigation, only those details will be released whose release is critical to the investigation and to only those people for whom the knowledge is necessary to the investigation. 5. Prevention of Retaliation OCSC will not tolerate retaliation against any reporter or witness for reporting an incidence of sexual harassment. However, if there is compelling evidence that a reporter or witness knowingly made fraudulent claims of sexual harassment, OCSC will take appropriate disciplinary actions. 6. Disciplinary Action and Other Options Disciplinary action against accused if it is determined that there is validity in the report shall include the following: • Steps to be taken to repair any damage done to victim’s career or work environment as a result of this incident or situation; • Any additional training, the need for which became apparent from the investigation, will be planned and implemented within a short, but reasonable, time company wide; • Disciplinary action, as described in Section 3 of the Code of Conduct, (see below,) will be taken as deemed appropriate. 7. Appeals and Recourse • If the accused or reporter feels that the judgment of the panel was ill advised, unfair or unwilling to evaluate the situation objectively, the employee must ask for a binding arbitration session pursuant to the rules and procedures put forth by the American Arbitrators Association; • If, after exhausting all above avenues, the reporter or accused feels that the decision of the arbitrator is unfair, their option of last recourse is to report the incident to the Equal Employment Opportunity Commission in Washington, DC. C ode of C on du c t / Pa g e OCSC Employ ee M a nua l / A pr il 2007 Prevention of Sexual Harassment in the Work Environment E. Disciplinary Actions For Code of Conduct Violations Y our perform a nce a nd a dherence to these sta nda rds of conduct will be j udged as a whole . If you are responsible for any of the above actions, you may be dismissed or disciplined at the discretion of a corporate officer or your immediate supervisor. We will use our best judgment to have the training or discipline fit the action. Below are examples of how OCSC may discipline employees who violate the Code of Conduct. Disciplinary Actions For Code of Conduct Violations • Suspension of certain OCSC benefits such as boat use, equipment purchases or others; • Suspension without pay for one to five working days, to be defined by the employee’s work schedule and in compliance with State and Federal laws; • Requirement for undergoing OCSC sponsored training before returning to work; • Reassignment to other responsibilities with possible reduction of pay scale; • Termination without notice. Employment at OCSC is “at will” and may be terminated by either employee or OCSC with or without cause. OCSC Employ ee M a nua l / A pr il 2007 C ode of C on du c t / Pa g e ™ ™ II. Employment Policies ™ A.Equal Opportunity Employer I n order to prov ide equa l employ ment a nd a dva ncement oppor tunities to a ll indi v idua ls , employ ment decisions at OCSC will be based on merit, qua lifications , a nd a bilities . OCSC does not discriminate in employment opportunities or practices on the basis of race, color, religion, sex, national origin, age, disability, or any other characteristic protected by law. OCSC will make reasonable accommodations for qualified individuals with known disabilities unless doing so would result in an undue hardship. This policy governs all aspects of employment, including selection, job assignment, compensation, discipline, termination, and access to benefits and training. Any employee with questions or concerns about any type of discrimination in the workplace is encouraged to bring these issues to the attention of their immediate supervisor, the Human Resources Manager or an Officer of the Company. Employees can raise concerns and make reports without fear of reprisal. Anyone found to be engaging in any type of unlawful discrimination will be subject to disciplinary action, up to and including termination of employment. B. Employee Privacy and Record Keeping O CSC is committed to protecting the pri vacy of its employ ees a nd m a k es ev ery attempt to k eep records pri vate a nd secure in S tate a nd F eder a l L aw. While different documents and records will have different required maintenance periods, it is OCSC policy that records pertaining to employees in any fashion be stored and catalogued as to be accessible for at least the periods required by law and in certain cases longer. accorda nce with E m p l o y m e n t Po l ic i e s / Pa g e OCSC Employ ee M a nua l / A pr il 2007 Equal Opportunity Employer C. At-Will Employment A “A t -Will” basis . No other agreements shall supersede this policy, unless in writing and signed by an Officer and the employee. ll employ ees a re hired on a n Any employee may leave or have their employment terminated by OCSC at any time. OCSC expects that employees give OCSC two-weeks notice of their intention to leave, and OCSC will do the same, in cases of downsizing or termination without cause. If an employee is terminated for cause (poor performance or code of conduct violation) no notice may be given. • Introductory Period At-Will Employment All employees are subject to an introductory period lasting for thirty days from hiring. During this period, both the employee and OCSC are evaluating whether the employment relationship is a good fit from either’s perspective. Both understand that the relationship may end during this period for any reason, without notice from either party. Any significant absence will automatically extend an introductory period by the length of the absence. If OCSC determines that the designated introductory period does not allow sufficient time to thoroughly evaluate the employee’s performance, the introductory period may be extended for a specified period. • Employment Termination If, for any reason, an employee’s tenure comes to an end, OCSC will provide that employee with a final paycheck, less any money owed to OCSC, within 72 hours of their last day of work. • A departing employee will be required to: 1. Return to OCSC all equipment belonging to OCSC such as keys, tools, computer equipment or manuals; 2. In case of resignation, submit a signed letter of resignation, stating the reasons for departure; 3. Undergo an exit interview with a manager or officer of OCSC. • If an employee fails to return OCSC property or any monies advanced to the employee by OCSC, OCSC will take all measures allowed by law to recover the property plus any allowable damages. It will, at its sole discretion, prosecute any attempt by an employee to keep or fail to return OCSC property. OCSC Employ ee M a nua l / A pr il 2007 E m p l o y m e n t Po l ic i e s / Pa g e ™ ™ D. Minimum Wages for all OCSC Employees: Berkeley Living Wage Ordinance I OCSC m a in C it y of B erk eley ’s L i v ing Wage O rdina nce . This means that all full-time permanent employees are subject to this wage structure. Employees hired as seasonal (employed for less than six months) are not subject to the wage structure. Full-time permanent employees at this minimum wage will have their wages adjusted annually from a calculation by the City of Berkeley that is based on the Consumer Price Index. The wage floor will not affect seasonal employees nor those already above the minimum pay scale. n consider ation of the B ay A rea’s ™ cost of li v ing , ta ins a minimum wage structure in accorda nce with the OCSC provides a number of paid holidays off for certain employees, pro-rated on the number of hours they work. • The maximum is 10 days off annually for a 40 hour per week employee; • Employees must work at least 20 hours per week to qualify for paid days off. Some of those paid days off are pre-determined, such as Thanksgiving, Christmas Eve, Christmas Day, New Years Day, and, at OCSC’s discretion, Martin Luther King Day, Presidents’ Day. However, in order to be paid for those days, an employee must have accrued them. No advances of paid days off will be granted; • Other earned days are to be requested and subject to the operational needs of the business, but in any case must be on weekdays for instructors and office staff; • Employees must be employed for six consecutive months at 20 hours per week or more before they are eligible under this policy; • Employees who resign or are terminated are paid for accrued paid time off. If an employee subsequently is re-hired, he or she will begin as a new employee, accruing time from the re-hire date and be subject to the six month waiting period before using accrued time for paid days off; • Managers have a benefits package that precludes eligibility under this policy. OCSC also provides for a number of unpaid days off for employees, pro-rated on the number of hours they work. • The maximum is 12 unpaid days off annually for a 40 hour per week employee. Employees must work at least 20 hours per week to qualify for unpaid days off; • The period of time from 12/26–12/31 is considered as part of the unpaid time off. Other days OCSC is closed are considered part of the unpaid time off if the employee has not accrued paid days off; E m p l o y m e n t Po l ic i e s / Pa g e OCSC Employ ee M a nua l / A pr il 2007 Berkeley Living Wage Ordinance • Other earned days are to be requested and subject to the operational needs of the business, but in any case must be on weekdays for instructors and office staff; • Employees (including managers) are eligible for but not required to take these unpaid days off. For details and procedures concerning these wage rules, see the OCSC Procedures Manual. Berkeley Living Wage Ordinance OCSC Employ ee M a nua l / A pr il 2007 E m p l o y m e n t Po l ic i e s / Pa g e ™ ™ III. Employment Categories ™ A.Officers This category comprises the executive team responsible for the direction of OCSC. It includes President, CEO, COO, CFO. Multiple titles may be held by one officer. Officers are responsible for setting policies and making all long term and financial decisions. B. Managers Full-time, permanent, salaried employees are responsible for the management of OCSC operations. These employees have a variety of duties, but may manage teams, or work independently on business structure projects and earn comp time on an hourly basis for any work in excess of 44 hours per week. They receive benefits as described in the OCSC Managers section of this Manual. C. Administrative Employees These employees may or may not be exempt employees. They will often work independently of supervision, be responsible for major projects and systems within the OCSC structure. They will often be skilled instructors, yacht technicians or business administrators. D. Customer Service Representatives Full-time or part-time employees who serve the membership and customer base in the office and provide all aspects of clerical and general office support. E. Instructors Full-time or part-time employees who teach sailing, captain charters, etc. For a precise breakdown of the employment categories within the instructor ranks, review them in the Instructor Manual Supplement. E m p l o y m e n t C a t e g o r i e s / Pa g e OCSC Employ ee M a nua l / A pr il 2007 Employment Categories F. Fleet Service Full-time or part-time employees who perform preventive maintenance, repairs and cleaning to the yachts and facilities. There are three skill levels: Technician (skilled)— Knowledgeable repair person, primarily engaged in repair or servicing of boats. Apprentice (semi-skilled)— Employee who is learning basic yacht care and performing a variety of support tasks from cleaning and reorganization, to post-charter inspections and minor repairs. Yacht Detailer (un-skilled)— Employee who is largely responsible for the cleanliness and appearance of the fleet and facilities and who may be called upon to perform a variety of support tasks for any department that is in need. G.Full-Time Employees Employment Categories Employees who work 30 hours or more each week are classified as fulltime. This does not apply to the period between Christmas Eve and New Years Day, when OCSC is closed. H.Part-Time Employees Part-Time employees may carry a variety of schedules and work loads, depending on the needs of the business and the season. I. Seasonal Employees These employees are hired for periods of less than six months to provide capacity during busy points in the calendar. OCSC Employ ee M a nua l / A pr il 2007 E m p l o y m e n t C a t e g o r i e s / Pa g e ™ ™ IV. Employee Benefits Policy I n a ddition to a good set of sta nda rd benefits , work ing at ™ OCSC includes some benefits not found in other en v ironments ; goods a nd serv ices you might not be a ble to a fford otherwise a re ava il a ble at little or no cost. There are sail training benefits, sailing charter benefits, tropical charter benefits and sailing gear purchase benefits. Please take full advantage of these with our blessing. We only ask that you understand that these benefits are for your personal use only and are available subject to the Code of Conduct described elsewhere within this manual. A.Health and Dental Insurance • Full-Time Management Employees are eligible for Health and Dental Insurance benefits fully paid by OCSC. • Full-Time Non-Management Employees are eligible for subsidized Health and Dental Insurance Benefits. OCSC will pay 50% of the premium for an employee to be covered by the group policies chosen by OCSC. The employee’s contribution will be deducted from each paycheck. • You become eligible after 30 days of full-time employment. You should apply before the 30 day period, so your coverage begins as soon as possible. Application forms should be requested from the Office Manager. If you work at OCSC while not eligible and your status changes to eligible, you have 30 days to apply without having to undergo a physical exam or wait for extended periods of time to receive coverage. • If you have insurance already and wish to decline coverage, you must only fill out a coverage declination form. • If you prefer not to have coverage at all, you may waive the benefit, but you may be subject to a full physical and other restrictions if you change your mind later and wish to enroll after your first 30 days of employment. • Spouses or children may be added at the employee’s expense. • The level of benefit as well as the carriers may be subject to change at OCSC’s sole discretion. OCSC will give no less than 30 days notice to all covered employees before making changes to the benefit structure, premium contribution or carrier. To enroll, get more information or fill out a declination form see OCSC’s Office Manager. E m p l o y e e B e n e f i t s Po l ic y / Pa g e OCSC Employ ee M a nua l / A pr il 2007 Health and Dental Insurance B. Simple IRA Retirement Plan OCSC provides an opportunity for you to start saving for retirement using tax deferred money from your pay. 1. You can select secure cash accounts or investments for your savings plan; Simple IRA Retirement Plan 2. OCSC will match a portion of your savings up to 1%, 2% or 3% of your annual income, depending on the year; 3. The Internal Revenue Service limits what you can contribute; 4. Like a regular IRA, this plan can be drawn upon without penalty after age 59.5; 5. You may have a Simple IRA in addition to an existing IRA. Many more critical details must be explained. The calendar for open enrollment and portfolio changes can be found in the Simple IRA information packet. (Please as the office manager for a packet.) C. Classes Classes Developing your sailing skills and knowledge are a great part of working at OCSC. Below we have provided guidelines to help you and your family avail yourselves of the great training offered at OCSC. If you schedule training you must ask for time off from your supervisor. It will not be unreasonably withheld, but staffing needs will take priority. To make reservations, you must have worked at OCSC one month or more. 1. You may make reservations for Basic Keelboat and/or Basic Cruising Courses, with all benefits, once you have worked at OCSC for at least one month. That includes books and the guarantee of certification. 2. Your domestic partner or relative may receive a 25% discount from the retail price on any course at OCSC on a confirmed reservation basis, without becoming a member. 3. Your domestic partner may also choose to take courses on a space available basis for 50% of the retail cost. Your partner must list him or herself on the waitlist for space available and, if there is a spot a day in advance for the desired course, your partner will be offered the space. 4. You may take any other course we teach on a space available basis without fee if: • You are qualified for that level; • There is an open spot a day in advance; • More tenured employees have been offered the spot and declined. OCSC Employ ee M a nua l / A pr il 2007 E m p l o y e e B e n e f i t s Po l ic y / Pa g e ™ ™ ™ D. Boat Use OCSC owns several boats available for use at no charge on weekdays when not scheduled for charter or school use. They are reserved on a first come, first served basis. There is no charge on any day if a boat, whether or not owned by OCSC, was used in a class or charter earlier in the day for six hours or more. Boat Use If you can’t rely on space available and want to charter on a confirmed reservation basis: 1. Weekday charters are 50% of the retail rate. 2. Weekend charters are at the member rate. Employee boat use is subject to the following conditions: 1. You are required to sign a membership contract, and are responsible for all damage you do subject to the current deductible in place for our members at the time. 2. You are subject to all the terms outlined in the Membership Agreement. 3. You are not allowed to enter a race of any kind with an OCSC boat. If you plan to use a boat after it returns from a charter, you must check the boat out completely and report any problems you find to the club manager of the day BEFORE you depart and before close of business that day. If there is damage or missing equipment from the previous charter, you will be held responsible for it if you fail to do this. E. Equipment Purchase You are allowed to purchase an unlimited amount of gear at our cost plus tax for your personal use and that of your spouse. You are not allowed to purchase gear at that rate for resale to friends or associates. If you are ordering something that is not in stock, you must determine with certainty what you need, with brand, size, color, amount, etc. figured, then provide the Fleet Service Manager with all details, including part numbers, from our catalogues. All equipment is to be paid for when picked up, no exceptions. Although it is possible to return something if it isn’t what you need, the Fleet Service Manager may, at his discretion, withhold the purchase privilege from anyone who asks to return merchandise frequently. E m p l o y e e B e n e f i t s Po l ic y / Pa g e OCSC Employ ee M a nua l / A pr il 2007 Equipment Purchase F. Worker’s Compensation Insurance OCSC provides a comprehensive workers’ compensation insurance program at no cost to employees. This program covers any injury or illness sustained in the course of employment that requires medical, surgical, or hospital treatment. Subject to applicable legal requirements, workers’ compensation insurance provides benefits after a short waiting period or, if the employee is hospitalized, immediately. Worker’s Compensation Insurance Employees who sustain work-related injuries or illnesses should inform their supervisor immediately. No matter how minor an on-the-job injury may appear, it is important that it be reported. This will enable an eligible employee to qualify for coverage as quickly as possible. Neither OCSC nor the insurance carrier will be liable for the payment of workers’ compensation benefits for injuries that occur during an employee’s voluntary participation in any off-duty recreational, social, or athletic activity sponsored by OCSC. Patelco Credit Union Membership G.Patelco Credit Union Membership OCSC is a Patelco Credit Union affiliate. If you are interested in becoming a member of the credit union, ask the bookkeeper for a membership application. Patelco is a solid, well run, non-profit organization which pays more interest for savings accounts and charges less for loans than any bank. OCSC Employ ee M a nua l / A pr il 2007 E m p l o y e e B e n e f i t s Po l ic y / Pa g e ™ ™ ™ H.Charter Subsidy Policy 1. Overview One of the great vacations a sailor can have is a tropical sailing trip. OCSC’s flotillas help introduce our clients to the tropical sailing experience, but these vacations are also quite expensive and out the reach of many of our staff members. It is our intent to provide some financial support for OCSC employees that makes it easier to afford one of these vacations. It is our hope that each of you will plan to use your benefit to subsidize a trip for you to the tropics sometime in the future. This is a pre-tax benefit; you need not claim it on your taxes. Every dollar of this benefit you use equates to approximately $1.30 of gross salary you won’t have to spend on your trip. OCSC has structured the benefits plan to ensure that all employees have an opportunity to earn a subsidy for a Moorings or Sunsail charter. Since all OCSC employees have an equal opportunity to work a full schedule in the summer and only certain employees have the opportunity to work significant hours in the winter, we chose to count hours worked in the busy season as those which earn charter subsidies. Not only does it protect employees who have their hours reduced in the winter, but also it allows others to take time off in the winter without reducing their charter subsidy benefit. It rewards employees in direct relationship to the work they do during the time OCSC needs them most. We have further rewarded AND obligated Core Instructors and Club Managers in recognition for their commitment, time in service and special skills. They will be responsible for their yacht just as if they had booked it themselves. That includes but is not limited to filling their yacht with guests. They will be obligated to manage and prepare flotilla participants for these flotillas as well as provide resources, help, advice and leadership during the flotilla vacations themselves. They will receive additional benefits as partial compensation for those weighty responsibilities. This is a thumbnail sketch of how it works (details are further down): 1. At cost charter—OCSC will give any commission it receives from the Moorings or Sunsail (after member discounts) to any employees on board the yacht. The commission for a yacht will be shared equally by all OCSC employees onboard the yacht. 2. Earning Points—All hourly employees earn 20 cents per hour worked as a subsidy for a qualifying charter. E m p l o y e e B e n e f i t s Po l ic y / Pa g e OCSC Employ ee M a nua l / A pr il 2007 Moorings Subsidy Policy Core Instructors and Managers may lead an OCSC Flotilla. Any fees collected by OCSC from the crew of the Flotilla Leader’s yacht for “Skipper” Fees will go to further subsidize the Flotilla Leader’s trip in recognition of the additional work and responsibility required. 2. Detailed Description a. Discounts on charters Any employee who (1) charters with The Moorings or Sunsail while still employed with OCSC, and (2) books their charter through OCSC, is entitled to rewill receive One-third (1/3) of OCSC’s commission, or his or her share of that commission, along with other OCSC Member crew, if any. b. Earned Subsidy All Employees, other than Managers, earn credit toward a charter vacation with The Moorings or Sunsail. This benefit is accrued by any hourly employees as follows: Employees earn 20 cents per hour for each hour worked in the 214 qualifying days from April 1 to October 31 every year. Moorings Subsidy Policy Any employee whose hire date is between April 1 and October 31 will accrue the benefit based on the number of hours worked in the qualifying period that year and the number of hours worked in the qualifying period the following year up to the employee’s anniversary date. Example: An employee starts May 1, 1999 and works 740 hours by October 31st of that year. In April of the following year the employee works 20 additional hours for a total of 760 hours in 214 qualifying days. On May 1, 2000, the employee accrues $152.00 Charter Subsidy credit. This policy includes courses that are paid on a daily basis, i.e. BBC and CPM under the following conditions: i. Credit for BBC overnight will be rated at 10 hours per day. ii. Credit for CPM will be rated at 15 hours for every full sailing day. Day 1 of CPM will be credited on the usual hourly basis. c. Eligibility and Limitations for Earned Subsidy The benefit is cumulative from year to year. In order to use this benefit, the Employee must be continuously employed with OCSC through the day after the charter. All benefits are forfeited once the Employee either (1) chooses to be on “inactive” status, or (2) leaves OCSC’s employ. Any Employee subsequently rehired or OCSC Employ ee M a nua l / A pr il 2007 E m p l o y e e B e n e f i t s Po l ic y / Pa g e ™ ™ ™ returned to current status would commence to accrue this benefit beginning on their new hire date, or April 1st of that year, whichever is later. Also, the employee agrees to pay all expenses incurred in connection with the charter not covered by subsidies, commissions, etc. d. Sharing the cost of the charter Employees will be invoiced their fair share of the charter fees regardless of the number of guests on board. The Skipper fees and credits will pay for their share. Their share will be calculated on the boat and general fees associated, not for the skipper fees. The skipper fees and any remaining commission will be used to pay those fees. e. Core instructors as flotilla leaders Core Instructors are entitled to the following benefits subject to eligibility rules below: i. They may skipper boats in a flotilla and apply any money received from skipper fees paid by OCSC clients on their boat toward the cost of their charter. ii. Receive the 20 cents per hour credit (outlined above). iii. Receive the balance of OCSC’s commission toward the cost of the employee’s charter (after member discounts are deducted). iv. Earn $250 each employment anniversary to be applied as an additional subsidy when specifically assigned as a flotilla leader or co-leader. f. Club Managers as flotilla leaders Club managers receive all fees stated above except for item 2, and earn $750 each employment anniversary to be applied as an additional subsidy when specifically assigned as a flotilla leader or coleader. g. Fees and discounts which remain with OCSC i. Group Discounts ii. Tour Conductor Air Passes iii. Other special broker or travel agent commissions not identified above h. These benefits have no cash value and any benefits not used are fully forfeited at employment termination. E m p l o y e e B e n e f i t s Po l ic y / Pa g e OCSC Employ ee M a nua l / A pr il 2007 Moorings Subsidy Policy i. Limitations on use of benefits and skipper fees Whether skippering a charter boat on an OCSC flotilla, or with friends on a vacation, employees may use their OCSC Charter Subsidy benefits in the following ways: i. Moorings Subsidy Policy The following expenses qualify for use of benefits, including skipper fees. A. Charter fee of the vessel B. Employee’s fair share of the shared fees, such as provisioning, mooring, water, ice and fuel fees, as well as taxes on the yacht* C. Hotel expenses the night before and night after the charter. If more nights are required, the employee must submit a reason why the extra nights were required by air travel restrictions or challenges. D. Airline tickets for employee and spouse or domestic partner E. Transfers between airport and hotel or airport and charter location F. $ 300.00 limit on miscellaneous expenses not specifically approved above ii. The following expenses do not qualify for use of benefits beyond the $300.00 allowed for miscellaneous expenses: A. Alcohol B. Meals in transit or ashore while on the charter C. Entertainment fees, or tour tickets D. Gifts or other goods purchased while on vacation E. Damage, loss or cancellation fees charged by charter company * In cases where expenses are shared by participants, “shared fees” apply only to the employee’s fair share of the expenses. (for example, if the mooring fees for the charter boat added up to 300 dollars over a week, and the employee shares the boat with five other people, the employee may use $50 of benefit to cover mooring expenses.) j. Limitations on crew size for OCSC subsidized charters When skippering a boat for OCSC that involves skipper fees, an employee must limit the number of crew on the boat to the number of stateroom berths that are available on that yacht. OCSC Employ ee M a nua l / A pr il 2007 E m p l o y e e B e n e f i t s Po l ic y / Pa g e ™ ™ ™ For example, on the Moorings 505, there are four double staterooms, a convertible main salon and a crew quarters up forward for skippered charters. Conceivably one could stuff eleven people onto that boat. However, eleven different opinions about where to go, when to get up, when to go to bed, how quiet to be, etc., has historically been problematic. We know from experience that the enjoyment factor for our clients and members decreases significantly as the number of guests on the boat goes up past what the boat can easily accommodate. Consequently, the Moorings 505 is limited to eight crew total, including the skipper. k. Limitations on children joining OCSC subsidized charters When joining a flotilla as a skipper of a boat with clients or members on board, employees may bring a spouse or domestic partner. However, any children of the employee being taken along must be at least 12 years of age. It is important that the children have the best chance of caring for themselves, so that the employee does not often find him or her self in the awkward position of trying to decide where their priorities lie; with their clients or their child. However, under no circumstances can OCSC benefits be used to subsidize a trip when a child under the age of five is brought along by the employee or employee’s spouse or domestic partner. 3. Eligibility and Limitations for Core Instructors on Flotillas Time off for the charter must conform with OCSC’s leave of absence policy as set forth in the Instructor’s Supplement to the Employee Manual. Core Instructor benefits carry with them specific duties, detailed below. Only Core Instructors (and managers) will be designated as official OCSC skippers for purposes of collecting skipper’s fees. Only Core Instructors with a minimum of one (1) year as a Core Instructor are eligible for this particular benefit. Sometimes flotilla skippers will find their boats are not full of paying clients. In this event, it is the responsibility of the flotilla skipper in question to notify a club officer before 120 days in advance of the event. If this results in the cancellation of the boat, the flotilla skipper will be given priority in choosing the next trip. However, air arrangements, hotel arrangements, vacation time of a spouse or invited friend are the responsibility of the skipper. Care must be taken to aggressively fill one’s boat, and, failing that, be prepared to shoulder more of the financial burden or cancel the trip. E m p l o y e e B e n e f i t s Po l ic y / Pa g e OCSC Employ ee M a nua l / A pr il 2007 Moorings Subsidy Policy 4. Maximum Number of Employees on Flotillas Recognizing that this benefit could potentially take away valuable personnel at peak times, OCSC will limit the number of employees who may use their benefits during any one flotilla. These numbers may be adjusted for any specific flotilla depending on a number of factors including, but not limited to, the size of OCSC’s staff at or around the period of the flotilla and the needs of the business during that period. Rich or Anthony exclusively will make determinations concerning this situation. Example: With current staffing, reasonable limits might be defined as follows: From April through October, a maximum of one (1) owner or manager, one (1) Core Instructor, and two (2) Full-time Employees may use their benefit to go on a flotilla. From November through March, any combination of Owner, Manager, and Core Instructor, up to a maximum of three (3), and up to three (3) Full-time Employees may use their benefits during any one flotilla. Moorings Subsidy Policy 5. Priorities Among Eligible Personnel Priorities among eligible personnel for any flotilla will be determined as follows: a. Managers and Core Instructors: Flotilla leader slots are offered on a rotating basis among those who are eligible, as described elsewhere in this section. If an employee is in rotation for a flotilla leader slot for a particular time and location, he or she can negotiate with another employee to trade priority slots. The spirit of the system is to create a functional system out of an imperfect situation, which is to say, some employees will value certain locations more than others. There are fewer slots each year than qualifying employees and there may be unrealized desires for one location’s slot or another. This is unavoidable. Given that it is difficult to have a poor time on any of these flotillas, it is our hope that you will work within the process and accept small imperfections and disappointments with grace and patience. Example: If Joe is next in line for a flotilla spot and the next available trip is to Sea of Cortez, Joe can accept, or negotiate with Joan, who is next in line, to switch slots. Joan, if she accepts, goes to Sea of Cortez, and Joe is next in line. If Joan declines, Joe can negotiate with other employees for their slots, or Joe can return to the end of the rotation by declining the offer. OCSC Employ ee M a nua l / A pr il 2007 E m p l o y e e B e n e f i t s Po l ic y / Pa g e 10 ™ ™ ™ b. For regular employees, i.e. other than managers or core instructors: An attempt will be made by Anthony and Rich to allow as many of the staff to join a flotilla as possible. However, when there are more employees who wish to attend than the company can afford to be without for that period of time, priority will go to those employees with the most benefits accrued. Hours worked and previous trips attended would affect this. Example: Ralph has worked two seasons and accrued 1600 hours @ 20 cents each. Jill has worked three seasons and accrued 2400 hours @ 20 cents each. Jill has priority. However, if Jill used 900 hours two years ago on the Sea of Cortez flotilla, Ralph would have priority. 6. Flotilla Leader Responsibilities a. Be a Core Instructor or OCSC Club Manager with 1 yr of service. b. Act as OCSC’s representative for the flotilla. Duties Include, but are not limited to: i. Take responsibility for yacht they are skippering-from finding, with OCSC’s help, guests to share the cost, to keeping those guests informed as to their responsibilities and opportunities. During the flotilla, ensure that each crewmate on the yacht has an equal opportunity to meet their goals for the trip, whether they be learning, diving, peace and quiet or any other reason one might go on a vacation. It’s wise to determine particular needs and desires well in advance of the trip so that a set of agreements gets developed; ii. Take full responsibility for their travel and hotel arrangements. If the subsidies will cover all or a portion of the travel and hotel arrangements, they may have OCSC purchase tickets or hotel stays; However, the expense is still the responsibility of the skipper; iii. Be a model of good behavior - respectful of foreign culture demonstrate and share seamanship skills; iv. Provide assistance for people with air itinerary problems; v. Discuss charter itinerary with other skippers with an eye toward safety and comfort of all in the flotilla; vi. Redirect skippers and/or crew who are involved in any activities that are unsafe or prohibited by the host charter company; vii. Act as host, salesperson and coordinator for the parties, mixers and information dissemination, as well as distributing invoices and following up on payment deadlines between E m p l o y e e B e n e f i t s Po l ic y / Pa g e 11 OCSC Employ ee M a nua l / A pr il 2007 Moorings Subsidy Policy OCSC and the charter clients. Parties must be done on one’s own time, but all other work can be done during work hours; viii.Take slides of trip and collect them from other flotilla members (for flotilla marketing); ix. Organize and host post charter reunion and photo swap; x. Take vacation, compensation time or unpaid time for duration of event; xi. Be employed by OCSC on the day of return from the charter. I. Club Activities Club Activities 1. Any OCSC employee and one guest may attend a Wednesday Night Sail, or BBQ sail, for 50% off the retail rate. Any additional guests will be charged the member rate. 2. Employee must accompany their guest. 3. Instructors who are scheduled to skipper a boat for the Wednesday Night Sail, or BBQ sail, and who take 5 paying passengers, may bring a guest for free, if they provide enough notice to the office staff that there is a space available for their guest. In this case, the instructor will not be paid for the sail. 4. If the instructor wishes to be paid for the Wednesday Night Sail, or BBQ sail, their first guest pays 50% of the retail rate, and all additional guests will be charged the member rate. 5. All other club activities are available to employees at member rates (eg.- weekend cruises or flotillas, special offers, etc.) 6. Special Employee parties and events will include guest policies in their announcements. OCSC Employ ee M a nua l / A pr il 2007 E m p l o y e e B e n e f i t s Po l ic y / Pa g e 12 ™ ™ ™ J. Employee Leaves In any circumstance described in this section where unpaid time off is allowed, employees who have earned paid days off may use them to take paid time off. 1. Funeral Leave­—Up to one week of unpaid leave to attend a loved one’s funeral may be taken. 2. Paternity/ Maternity Leave—Unpaid leave may be taken for the birth or illness of a child. (See below, Family and Medical Leave Act and OCSC Policy) 3. Jury Duty—Employees have the right to unpaid leave to sit on a jury. Below are some stipulations: • Management level employees are obligated to maintain contact with their employees and OCSC and to reorganize tasks and responsibilities so that their department continues to fulfill its mission; • On days when an employee is excused from jury duty, that employee shall come to work that day if it happens to be a scheduled work day unless specifically provided permission for that day off; • With special permission from his or her supervisor, an employee may be allowed to work while on jury duty performing a task that can be accomplished out of the office. The task must be one which is urgent and whose quality and completion can be objectively evaluated. 4. Other Leaves of Absence—Unpaid leaves of absence will be evaluated on an individual basis with the needs of the business considered first subject to the details described below. • OCSC provides several types of leaves of absence to complement the paid leave time granted under the company’s paid leave plan. Leaves of absence fall into the following categories: medical, family, pregnancy, military, and personal leaves. The eligibility requirements and leave details are described by category below. • Employees should note that they may qualify for Social Security, State Disability Insurance, Worker’s Compensation, or other payments through the government during periods of disability. • For all types of leaves of absence, employees should make written requests for the leave time to their managers at least 30 days in advance of foreseeable events and as soon as possible for unforeseen events. E m p l o y e e B e n e f i t s Po l ic y / Pa g e 13 OCSC Employ ee M a nua l / A pr il 2007 Employee Leaves 5. Family and Medical Leave Act and OCSC Policy. The Family and Medical Leave policy describes your rights and obligations regarding leaves of absences under the federal Family and Medical Leave Act (FMLA) and the California Family Rights Act (CFRA). Unless otherwise indicated, the term “family/ medical leave” refers to your leave rights under these laws. Not all employees are eligible for this kind of leave, but may be eligible for other leaves described in this section. In most instances, family/medical leave runs concurrently with other types of leave taken for reasons that also qualify for family/medical leave. a. Medical leaves of absence Employee Leaves Medical leaves of absence are granted to employees who are temporarily unable to work due to a serious health condition or disability. In addition to the leave of absence request, employees may be required to submit health care dates. Any changes in this information should be promptly reported. Employees returning from a medical leave will need to submit a health care provider’s release verifying their fitness to return to work. Please note that it is not necessary to provide a diagnosis or any information detailing the medical condition. Eligible employees are normally granted leave for the period of disability, up to a maximum of 12 weeks within any 12month period. Any combination of medical and family leaves of absence may not exceed this limit, except under unusual circumstances and with prior approval. b. Family leave of absence Family leaves of absence are granted to employees who wish to take time off from work duties to fulfill family obligations relating directly to childbirth, adoption, or placement of a foster child or to care for an immediate family member with a serious health condition. Employees who have worked with OCSC for at least 6 months (or 624 cumulative hours) are eligible to apply for family leaves of absence. Any employee with compelling needs who has not yet satisfied the length of service requirement should discuss the situation with his/ her manager, who will consider the individual circumstances involved in the request, and the business’ ability to accommodate it. Family leaves of absence also cover parental “bonding” time and maternity leaves to care for a newborn or newly adopted child within the 12-month period from the date of birth/adoption. OCSC Employ ee M a nua l / A pr il 2007 E m p l o y e e B e n e f i t s Po l ic y / Pa g e 14 ™ ™ ™ Eligible employees may be granted up to a maximum of 12 weeks of family leave within any 12-month period. This leave time may be taken as a continuous full-time leave or on an intermittent leave schedule. Requests for intermittent leave (e.g., working half-days or a reduced number of days per week) will be considered on a case by case basis, and will be dependent upon the business situation. Any combination of medical and family leaves of absence may not exceed the 12 week limit, except under unusual circumstances and with prior approval. c. Pregnancy-related leaves of absence Pregnancy disability leave is for any period(s) of actual disability caused by a pregnancy, childbirth or related medical conditions up to four months per pregnancy. Time off for prenatal visits, severe morning sickness, doctor ordered bed rest, childbirth and recovery from childbirth would all be covered by a pregnancy disability leave. Any Regular full- and parttime employee who is disabled by pregnancy, childbirth or related conditions is eligible for pregnancy disability leave. Pregnancy leave does not have to be taken in one continuous period of time; it can be taken as needed. As with medical and family leaves, an employee may be required to submit a health care provider’s statement verifying the need for pregnancy-related leave as well as the beginning and expected ending dates in addition to a leave of absence application form. Combinations of pregnancy, medical and family leaves of absence may not exceed the limits specified under the applicable federal and state laws. For future information on how leave limits are determined for concurrent or combined leaves including pregnancy-related leaves, please contact Human Resources. 6. Military leaves of absence. OCSC encourages support of our state and national military service. The company treats temporary and extended leaves of absence for military service in accordance with the Universal Military Training Act, Veteran’s Re-employment Rights Act, successor statutes and applicable state legislation. Military leaves will be granted after receiving a copy of the official military orders or instructions and a completed leave of absence application. Following a military leave of absence, the employee must notify OCSC of his/her intent to return work within the relevant time period prescribed by the applicable law(s). This “reapplication” time period varies with the length of the military service that necessitated the leave. For future information, please contact Human Resources. E m p l o y e e B e n e f i t s Po l ic y / Pa g e 15 OCSC Employ ee M a nua l / A pr il 2007 Employee Leaves 7. Miscellaneous Details Concerning Leaves. a. Benefits During Approved Leave During an approved leave of absence of 30 work days or less, OCSC will continue to provide health insurance and other company benefits subject to the terms, conditions, and limitations of the applicable plans and as prescribed by law. Employees will remain responsible for their portion, if any, of coverage premium(s); arrangements for monthly payments should be made with the Bookkeeper prior to the commencement of the leave. For approved leaves of absence of more than 30 work days, OCSC will continue to provide coverage’s if required by federal and state law for the particular type of leave. During Leaves of Absence, the employee is not accorded paid holiday benefits. b. Reinstatement After Extended Leave Employee Leaves Employees should be aware that during extended leaves of absence, it may be necessary to re-fill their positions for business purposes. The reinstatement process will proceed as follows, unless prescribed otherwise by the federal and state laws governing the specific type of leave: if it is not feasible to return the employee at his/her original position, the company will make every effort to place the employee in a comparable position (for which they are qualified) with equivalent pay, benefits, and employment/working conditions. If this, too, proves infeasible, the employee will be placed on a 1 month paid leave of absence and encouraged to apply for open positions. At the end of this time period, if no suitable position has become available, the employee will be terminated. He/ She will remain eligible to re-apply for employment with the company in the future. If an employee fails to return to work on the agreed-upon return date, OCSC will assume that the employee has voluntarily resigned. The final paycheck (if any) and benefits information will be sent with notification of the change in status to the home address on file for the employee. Questions about the leave of absence policy should be directed to a corporate officer. OCSC Policy on Employee Benefits OCSC Employ ee M a nua l / A pr il 2007 E m p l o y e e B e n e f i t s Po l ic y / Pa g e 16 ™ ™ K. Work Rules for Exempt Employees On Salary ™ Salaried, exempt employees are those employees who keep OCSC running and growing, tackling any and all tasks that help the company become better and healthier. These employees are managers or other administrative personnel who have a large amount of autonomy and control over their hours, projects, tasks and responsibilities. OCSC asks more from, and gives more to these employees. If you are an exempt employee, below are special rules that apply to you. 1. Work Days Exempt Managers, including the office manager, operations manager, fleet service manager and club managers are required to be at OCSC at least for the operating hours of the business on their regular days of work. Exempt employees are occasionally at OCSC more than five days a week, arriving early and staying sometimes after closing. When the exempt employee is required to work an extra full day in a week due to the needs of the business, the employee may request some extra time off once the issue requiring the extra time is resolved. This is entirely at the discretion of the supervisor but will not be unreasonably withheld. 2. Winter Holiday Policy OCSC is closed Thanksgiving Day and Christmas Eve through New Year’s Day. For full time permanent exempt employees, Thanksgiving is a paid holiday. Christmas Day and New Years Day are also paid holidays. Exempt employees who provide staffing for the business between Christmas and New Year’s Day are paid for that time frame as if they worked a full schedule. In order to qualify, they must make themselves available for duty that week. In early December that schedule is worked out so, insofar as is possible, each employee has a work-load that is balanced with the other staff members. This work will include, but not be necessarily limited to: checking on the safety of the fleet, responding to emergencies, protecting the fleet during storms, reviewing the mail, email, customer service issues, sales prospects and security of the building for the period that OCSC is closed. Exempt employees who are out of town at this time or prefer not to provide staffing in this framework, may take accrued vacation time, accrued sick time or unpaid time off. E m p l o y e e B e n e f i t s Po l ic y / Pa g e 17 OCSC Employ ee M a nua l / A pr il 2007 Work Rules for Exempt Employees On Salary 3. Sick Days Time off is available to allow you, without advance notice if necessary, to take time off in full day increments when you’re too ill to work, or to deal with an emergency. This ability to take time off without notice is special and should be differentiated from the use of compensation days and vacation days, which require advance notice and supervisor’s approval. Work Rules for Exempt Employees On Salary OCSC Policy on Employee Benefits a. You accrue five sick days per year if you work full time for the entire year. You actually accrue five twelfths of a day per month. Any sabbatical or leave of absence during the year erases the accrual of sick days. b. If you use a sick day, you must report to your supervisor as soon as possible so they may as quickly as possible arrange things to cover your absence and to notify the person in charge of recording accrual and use of sick time for record keeping. c. If you miss a day due to sickness and your sick days are used up in a year, your supervisor may at his or her discretion allow you to make up the day. Otherwise, you would need to take an unpaid day. d. Sick days may not be carried over from one year to the next; they must be cashed in at the end of each year. You will be paid in your mid January paycheck for any un-used sick days from the previous year.. L. OCSC Policy on Employee Benefits All employee benefits described above are at the discretion of OCSC and, except where prohibited by law, may be revoked at any time. OCSC Employ ee M a nua l / A pr il 2007 E m p l o y e e B e n e f i t s Po l ic y / Pa g e 18 ™ ™ ™ V.Final Words Safety Fun Learning These words above are the essence of sailing at OCSC. Whether on your own for fun, serving students at the front counter, repairing the fleet, teaching students, or taking a course yourself, these three words, in this order of importance, are the touchstones of our daily work lives. Keep them in your mind and use them to direct your efforts here at OCSC. If you observe things here that are not consistent with that model, take action, say something, be part of the solution. In closing, I welcome you to OCSC. I hope it will be a rewarding and educational experience for you and that your tenure here will create opportunities for growth and inspiration in all aspects of your life. You will not find a finer, more dedicated and fun bunch of people to be around. Good Luck! Sincerely, Richard Jepsen CEO, OCSC Sailing E m p l o y e e B e n e f i t s Po l ic y / Pa g e 19 OCSC Employ ee M a nua l / A pr il 2007 Final Words