TABLE OF CONTENTS Preface CEO Welcome Letter Organizational Chart Vision/Goal Statement Patient Relations Statement Page Number 3 4 5 6 7 Section 1.0 - EMPLOYMENT POLICIES AND PRACTICES 1.01 Employment At-Will 1.02 Equal Employment Opportunity 1.03 Immigration Compliance 1.04 Disability - Reasonable Accommodation 1.05 Harassment 1.06 Introductory Period 1.07 Personnel Files and Records 1.08 Promotion 1.09 Reductions in Force 1.10 Definitions of Employment Status 1.11 Conflicts of Interest 1.12 Communications 1.13 Problem and Complaint Procedure 1.14 Disciplinary Actions 1.15 Resignation and Termination Notice 1.16 Exit Interviews 8 8 8 9 9 11 11 11 11 12 12 13 13 13 14 14 Section 2.0 - COMPENSATION 2.01 Payment of Wages 2.02 Salaries 2.03 Timekeeping Requirements 2.04 Evaluations 2.05 Payroll Deductions 2.06 Garnishments 2.07 Overtime 2.08 Compensatory Time 14 14 15 15 16 16 16 16 Section 3.0 - EMPLOYEE BENEFITS & LEAVE POLICIES 3.01 Holidays 3.02 Vacation 3.03 Sick Leave 3.04 Maternity and Adoption Leave 3.05 Inclement Weather 3.06 Workers' Compensation 3.07 Health Insurance 3.07 (A) Employee Write-offs Page 1 17 17 17 18 18 18 18 19 3.08 Unemployment Insurance 3.09 Leave of Absence (Non-FMLA) 3.10 Bereavement Leave 3.11 Jury Duty/Witness Duty 3.12 Military Leave 3.13 COBRA 3.14 401(k) Plan 19 19 19 19 20 20 20 Section 4.0 - GENERAL RULES & DISCIPLINE Page 2 4.01 Customer Relations 4.02 Safety 4.03 Use of Communication Systems 4.04 Voice and Electronic Mail 4.05 Internet Policy 4.06 Visitations 4.07 Solicitation & Distribution of Literature 4.08 Absence from Work or Tardiness 4.09 Personal Standards 4.10 Dress Code 4.11 Standards of Conduct 4.12 Off-Duty Conduct 4.13 Responsibility/Commitment Review 4.14 Non-Disclosure and Confidentiality 4.15 Employee References 4.16 Alcohol & Drugs 4.17 Smoking 4.18 Workplace Violence 4.19 Theft 4.20 Data Security 21 21 22 22 23 23 23 24 24 25 25 26 26 27 27 27 28 28 28 29 Acknowledgment and Signature Page 30 PREFACE This employee handbook is intended to answer some of your questions and provide information on matters of importance to you as an employee. It explains many of our policies and procedures, as well as our normal working guidelines; however, nothing in this employee handbook or any other personnel document creates or is intended to create a promise or representation of continued employment for any employee or to limit the company's freedom to make changes or terminate a person's employment at will. Management reserves the right to revise, modify, delete, or add to any and all policies, procedures, work rules, or benefits stated in this handbook or in any document at any time. However, any such changes must be in writing and must be signed by the CEO of Rosemark WomenCare Specialists. Any written changes to this handbook will be distributed to all employees so that employees will be aware of the new policies and/or procedures. No oral statements or representations can in any way change or alter the provisions of this handbook. The policies and procedures in this handbook are for general reference only and may not be applicable in all cases. All previously issued handbooks and any inconsistent policy or benefit statements are superseded. You are encouraged to visit with your CEO whenever you need additional information or wish to discuss a concern. Dr. Jeff Baker has been practicing medicine in Idaho Falls for about ten years. When Dr. Erickson came to town in 1994 from Denver, Colorado, the two joined together to form the partnership J. Baker and Erickson, M.D.s. In 1999, Dr. Barbara Nelson, an Idaho Falls native, joined the group as a junior partner. She has recently become a full partner in the group, now named J. Baker, Erickson & Nelson MD’s PA d/b/a Rosemark WomenCare Specialists. Praia Do Mar (PDM) is a holding company owned by the partners of Rosemark WomenCare Specialists. All of the assets of the group practice are owned by PDM. Rosemark WomenCare Specialists also owns Health Quest and Advanced Laser Specialists. (Two subsidiary companies that are adjacent to the group practice). All employees are employees of Rosemark WomenCare Specialists. Rosemark WomenCare Specialists is a Professional Association, (P.A.), whose sole purpose is to provide the best-specialized care in obstetrics and gynecology. We also provide primary health care services for all women. Primary care means that we can handle nearly all the medical needs of our patients. Page 3 CHIEF EXECUTIVE OFFICER’S MESSAGE Dear Fellow Employee: Welcome to your new position with Rosemark WomenCare Specialists. You have joined a team of fellow employees who are working effectively together to further themselves, their families, and their company. Rosemark WomenCare Specialists has established a framework within which the efforts of our employees can advance both group goals and individual interests. Each employee should know where he/she stands with the group and what is expected of him/her. Properly developed and administered personnel policies can create a working environment conducive to productivity and personal job satisfaction. Because of our group practice’s growth, formal personnel policies, administered in a fair and equitable manner, are essential. A written personnel policy manual also is necessary due to changing conditions in human resource management, expanding and changing employment benefits, increasing government regulations, and continual changes in labor laws and court proceedings. While there is no single rule that can ensure success in any business, there are certain fundamental things that largely determine an individual's progress. Most important is how well you do your job. A person who uses his/her working hours to the best advantage, who pays attention to detail, who has the ability to see a job through with a minimum of supervision, and who is ready and willing to accept greater responsibilities as opportunities occur, is more likely to succeed. Such qualities as initiative, mental alertness, trustworthiness, ability to get along with people, a cooperative attitude, and personal appearance are important. We urge that you do your utmost to exhibit an interest in Rosemark WomenCare Specialists so that you will not only be a credit to its operation, but will gain for yourself the true sense of well-being and satisfaction which comes from the knowledge of a job well done. Again, welcome, and best wishes for a fulfilling career! Sincerely, Robert C. Harding, MHA, CHE, CMPE Chief Executive Officer Page 4 ROSEMARK WOMENCARE SPECIALISTS VISION STATEMENT/GOALS Rosemark WomenCare Specialists goal and vision statement: To be recognized as the premier Obstetrics/Gynecology medical group in Eastern Idaho. As an organization we are deeply committed to achieving this vision. From our Partners, Nurse Practitioners and Physician Assistants to each and every employee, we must make a commitment to achieve our vision. Our commitment to accomplish this involves four basic principles: A Commitment to Quality A Commitment to Service A Commitment to Excellence A Commitment to Teamwork Every employee is expected to participate in these commitments and to do his or her best to achieve them. Our office strives to provide the patients the highest quality, most modern, convenient and personable medical care by upholding these values: Page 5 Absolute integrity of the physicians and staff Staying current on the latest development in health care and medical technology Inviting patients to actively participate in decisions regarding their care Treating patients with respect and empathy Making ourselves available 24/7 PATIENT RELATIONS STATEMENT PATIENTS ARE OUR REASON FOR BEING. Consequently, they deserve to be greeted promptly and respectfully, both in person and on the telephone. Our services should be provided in a way that meets their needs for convenience and our systems must be continually re-evaluated to assure that we are meeting our patients’ needs and desires. Requests for adjustments to our usual procedures should be recognized and granted cheerfully whenever possible. Patients who are ill, or who are concerned that they may be ill, are often not their normal selves. Staff should realize that anxiety sometimes results in behavior, which seems rude or self-centered, and should respond to patients’ needs and not their behaviors. All of our conversations with patients and with each other need to be conducted with an awareness of the message our behavior conveys. Patients should never hear staff discussing another patients among themselves. Personal conversations or personal telephone calls by the staff should occur out of the patients’ hearing; otherwise patients may conclude that they are not our first priority. Page 6 SECTION 1.0 - EMPLOYMENT POLICIES AND PRACTICES 1.01 STATEMENT OF AT-WILL EMPLOYMENT STATUS Employment with Rosemark WomenCare Specialists is on an at-will basis. This means that either the employee or the company may terminate the employment relationship at any time, with or without notice or reason, unless expressly prohibited by law. Nothing in this handbook or in any document or statement other than written bargaining agreements shall limit the right to terminate employment at-will. No supervisor or employee of the company has any authority to enter into any agreement for employment for any specified period of time or to make any agreement for employment other than at-will. Only the CEO of Rosemark WomenCare Specialists has the authority to make any such agreement and, then, only in writing. 1.02 EQUAL EMPLOYMENT OPPORTUNITY POLICY Nondiscrimination Rosemark WomenCare Specialists endeavors to provide an environment at its facilities wherein human dignity prevails. All employees and applicants for employment are extended equal employment opportunities without regard to race, color, citizenship, religion, national origin, age, sex, disability, veteran, or current or future military status. Rosemark WomenCare Specialists does not discriminate against any applicant or employee in hiring or in the terms, conditions, and privileges of employment based upon pregnancy, childbirth, or related medical conditions. Rosemark WomenCare Specialists will make reasonable accommodation for religious beliefs. Pre-employment Inquiries Except as may be required by the reasonable demands of a position (a bona fide occupational qualification), compliance with a lawful affirmative action plan, government reporting, or record-keeping requirements, Rosemark WomenCare Specialists will not elicit information concerning race, creed, color, religion, national origin, age, sex, disability, veteran, or current or future military status from applicants for employment. Rosemark WomenCare Specialists will obtain information required for tax, insurance, social security, compliance with garnishment or immigration laws, or other legitimate business purposes after employment. 1.03 IMMIGRATION COMPLIANCE Rosemark WomenCare Specialists is committed to employing only United States citizens and aliens who are authorized to work in the U.S. We do not unlawfully discriminate on the basis of citizenship or national origin. Page 7 In compliance with the Immigration Reform and Control Act of 1986, each new employee must complete the Employment Eligibility Verification Form I-9 and present documentation establishing identity and employment eligibility. Former employees who are rehired must also complete the form, regardless of the length of time between termination and rehire. Employees with questions or those seeking more information on immigration law issues are encouraged to contact the CEO. 1.04 DISABILITY - REASONABLE ACCOMMODATION Rosemark WomenCare Specialists does not discriminate against any applicant or employee in hiring or in the terms, conditions, and privileges of employment due to physical or mental disability. When Rosemark WomenCare Specialists becomes aware of any disability which prevents an otherwise qualified applicant or employee from performing a job, Rosemark WomenCare Specialists will assess whether any reasonable accommodation would allow the person to perform the job before refusing employment or making a distinction in terms, conditions, or privileges of employment because of the disability. An accommodation that creates an undue hardship on Rosemark WomenCare Specialists, or which endangers health or safety is not a reasonable accommodation. Rosemark WomenCare Specialists will make any reasonable accommodation necessary to allow an otherwise qualified applicant or employee to perform the job. An otherwise qualified applicant for employment or an employee with a disability who requires reasonable accommodation may inform his or her immediate supervisor or management of the nature of the disability and the accommodation required. Employees with access to such information shall maintain the confidentiality of the information to the extent reasonably possible and shall not release the information to anyone who does not have the right or need to know. 1.05 HARASSMENT General Harassment Our company prohibits harassment. Harassment is defined as conduct that substantially interferes with an employee’s work performance or creates an intimidating, hostile, or offensive work environment. This would include, but not be limited to, harassment, threatening, or offensive conduct directed toward a person’s sex, race, age, disability, religion, national origin, veteran, or current or future military status. We will actively enforce our policy against harassment. The policy applies to all conduct by any supervisor, manager, co-worker, subordinate, vendor, client, or customer that affects an employee’s work environment. Rosemark WomenCare Specialists considers a violation of this policy a serious offense that will lead to disciplinary action, up to and including discharge. Sexual Harassment Sexual harassment can differ from other types of harassment. Unwelcome advances, requests for sexual favors, and other verbal or physical conduct of a sexual nature constitutes sexual harassment when: Page 8 1) Submission to the conduct is made either an explicit or implicit condition of employment. 2) Submission to or rejection of the conduct is used as the basis for employment, salary, or other benefit changes affecting the harassed employee; or 3) The harassment unreasonably interferes with an employee's work performance or creates an intimidating, difficult, hostile, or offensive work environment. General Harassment and Sexual Harassment Complaint Procedure Any employee who feels he or she has been harassed should promptly take the following steps: 1) Politely but firmly confront whoever is doing the harassing. State how you feel about his or her actions and request that the person cease harassing you immediately. 2) If the harassment continues or if you don't feel comfortable confronting the harassing person, report the matter to your immediate supervisor. If circumstances prohibit this response (e.g., the supervisor is the harasser), report the behavior to the CEO or a partner. Orally or in writing, state specific details of the harassing behavior. It is helpful if details of dates, times, places, and witnesses, if any, of the harassment can be provided. 3) If you believe inadequate action is being taken to resolve your complaint, go directly to the CEO for resolution of your problem. Complaint Investigation and Confidentiality All complaints will be investigated promptly. The identity of the employee making the complaint, as well as the identity of the individual accused of harassment, will be kept as confidential as possible. Retaliation It is contrary to company policy for a supervisor or any other employee to retaliate against any employee who files a charge of harassment. Please report any retaliatory conduct immediately. Discipline Harassment is a serious offense; any employee found to have engaged in such conduct is subject to severe discipline, including termination. Offenses by vendors, clients, or customers will be handled through the offender and his or her company, if appropriate. In the event a complaint of harassment is found to be totally and completely without basis, appropriate disciplinary measures may be taken against the employee who brought the complaint. While this is in no way intended to discourage any employee who believes he/she has been the victim of harassment from bringing a complaint, the company recognizes that a charge of harassment can cause serious damage to the accused’s personal reputation and personal career. Page 9 1.06 INTRODUCTORY PERIOD New employees are subject to an introductory period of 90 days. This is to give a new employee and Rosemark WomenCare Specialists an opportunity to evaluate the employee's interest in the job and the ability to perform the work. If at any time your work is unsatisfactory or you don't appear to be suited to the position, your status will be reviewed with you by your Supervisor. Upon completion of the introductory period, Rosemark WomenCare Specialists will review your performance. If the company finds your performance satisfactory and decides to continue your employment (subject to termination at any time and for any reason), it will advise you of any improvements expected from you. Completion of the introductory period or continuation of employment after the introductory period does not entitle you to remain employed by the company for any definite period of time. Both you and Rosemark WomenCare Specialists are free to terminate the employment relationship, at any time, with or without notice, and for any reason not expressly prohibited by law. 1.07 PERSONNEL FILES AND RECORDS Personnel records are maintained on every employee. These records are Rosemark WomenCare Specialists property. They are held as confidential as is reasonably possible. Rosemark WomenCare Specialists will not release the information to anyone who does not have the right or need to know. Both outstanding and inferior work may be noted in your file. 1.08 PROMOTION Rosemark WomenCare Specialists encourages its employees to apply for positions within the company. When possible, we promote from within the company; however, management reserves the right to fill open positions from outside the company when we feel that better qualified applicants are available. 1.09 REDUCTIONS IN FORCE On those occasions when there is a need to decrease the number employed, the determining factors will be based on management needs under the particular circumstances. The following procedure will generally be applied: Temporary employees and those in their introductory period are the first to be laid off. For temporary layoffs, (those anticipated to last thirty days or less), seniority shall be the factor in determining which employees shall be retained, providing the employees have clearly demonstrated their ability to perform all phases of the job and have a satisfactory performance and attendance record. Whenever it becomes necessary to decrease the work force permanently, the following factors shall be weighed in determining the selection of those employees to be retained: Demonstrated skill and efficiency in performing the particular work available, and seniority. When demonstrated skill and efficiency in performing the particular work available are relatively equal between two or more employees, seniority shall be the determining factor. Page 10 1.10 DEFINITIONS OF EMPLOYMENT STATUS The following terms will be used to describe the classification of employees and their employment status: Full-time - Employees normally scheduled to work 32 hours (.7 FTE) or more per week and are eligible for most company benefits. Part-time- Employees normally scheduled to work at least 20 hours per week. Exempt Employees - Employees who are exempt from the overtime compensation provisions of state and federal wage and hour laws. Nonexempt Employees - Employees who are subject to overtime compensation, as provided by state and federal wage and hour laws. PRN Employees - Employees who are hired for a pre-established period, usually during peak workloads or for vacation relief. They may work a full-time or part-time schedule. Temporary employees are ineligible for company benefits Regular Employees - Full-time and part-time employees who have successfully completed their introductory period. Employment At-Will - Describes the relationship between you and Rosemark WomenCare Specialists which is for an unspecified term, with you and the company each having the right to terminate the employment relationship at any time for any lawful reason. 1.11 CONFLICTS OF INTEREST Situations of actual or potential conflict of interest are to be avoided by all employees. A conflict of interest may exist when an employee’s personal activities or financial affairs adversely influence an employee’s judgment or performance of duties at this company. An actual or potential conflict of interest occurs when an employee is in a position to influence a decision that may result in a personal gain for that employee or for a relative as a result of this company’s business dealing. Personal or romantic involvement with a competitor, supplier, or subordinate employee of the company, which impairs an employee's ability to exercise good judgment on behalf of the company creates an actual or potential conflict of interest. Supervisor-subordinate romantic or personal relationships also can lead to supervisory problems, possible claims of sexual harassment, and morale problems. An employee involved in any of the types of relationships or situations described in this policy should immediately and fully disclose the relevant circumstances to his/her immediate supervisor, or any other appropriate supervisor, for a determination as to whether a potential or actual conflict exists. If an actual or potential conflict is determined, the employer may take whatever corrective action appears appropriate according to the circumstances. Failure to disclose facts will result in disciplinary action, including possible termination. Page 11 Outside Employment Rosemark WomenCare Specialists does not prohibit employees from holding other employment, except in cases where the employee's performance is affected or if the secondary employment would be a conflict of interest (e.g., working for a competitor). Outside employment will not be allowed to interfere with employee efficiency or safety on the job. All employees will be evaluated by the same performance standards and will be subject to the company’s scheduling demands, regardless of any existing outside work requirements. Generally, we believe that work in excess of a normal workweek should be avoided in order to afford the individual with adequate rest and relaxation. Any questions that you have on this subject should be directed to your supervisor. 1.12 COMMUNICATIONS We are always interested in your constructive ideas and suggestions for improving our operation. We prefer to deal with people directly rather than through a third party. We are proud of our relationship with our employees. We encourage you to bring your problems to your supervisor/CEO or anyone else you feel can help you. We, in turn, will listen and give the best possible response we can. 1.13 PROBLEM AND COMPLAINT PROCEDURE When people work together, problems and complaints occasionally arise. Whatever the problem, we are concerned that individuals be given an opportunity to resolve them. The initial step is to discuss the problem with your supervisor. If you believe you cannot discuss it with your supervisor or you are not completely satisfied with the response, you should discuss the matter with the CEO. 1.14 DISCIPLINARY ACTIONS When work rules are broken, fair but firm corrective action will be taken promptly. Discipline will be designed to help the employee correct his/her faults and accept his/her responsibilities. Rosemark WomenCare Specialists has a “three strikes you’re out” policy. Step One-Verbal Warning: Few employees intentionally violate rules of conduct. Violations are usually the result of carelessness, misinformation, or lack of information. Most employees will readily correct any shortcomings brought to their attention. When offenses are not corrected, the immediate supervisor or CEO will discuss the issues formally with the employee. The employee and supervisor will document the verbal warning. This form will be kept in the employee’s personnel file. Step Two-Written Warning: When a violation occurs that is the second offense a formal disciplinary discussion will be held with the employee. The immediate supervisor or CEO will document the warning and summarize the discussion. This will be placed in the employee’s personnel records after obtaining the employee’s signature and providing him/her with a copy. If the employee refuses to sign, a witness will be called in to document that the employee received a copy. Offenses that result in a properly recorded discussion and a written warning Page 12 for the employee should be sufficient to resolve the problem. However, repeated violations should result in formal disciplinary action. Step Three-Termination: When an employee refuses to correct his/her actions the immediate supervisor and CEO will formally meet with the employee to terminate employment from Rosemark WomenCare Specialists. At this time the employee will need to return all company property to the CEO. 1.15 RESIGNATION AND TERMINATION NOTICE If circumstances force you to give up your job, we would appreciate your giving us at least two weeks' notice so that we will have time to find a replacement for you. Failure to provide two weeks’ notice may result in ineligibility for re-hire with this company. We ask that you return all company property at the time you leave. 1.16 EXIT INTERVIEWS In instances where an employee voluntarily leaves our employ, management would like to discuss your reasons for leaving and any other impressions that you may have about the company. If you decide to leave, you will be asked to grant us the privilege of an exit interview. During the exit interview, you can express yourself freely. It is hoped that this exit interview will help us part as friends, as well as provide insights into possible improvements. All information will be kept as confidential as is reasonably possible and will in no way affect any reference information that Rosemark WomenCare Specialists will provide another employer about you. SECTION 2.0 COMPENSATION 2.01 PAYMENT OF WAGES Payday at our company is every two weeks. If a regularly scheduled payday falls on a day off (e.g., a weekend or a holiday), employees will receive pay on the last day of work before the regularly scheduled payday. Paychecks will not be given to anyone but the employee unless management is provided with a written authorization from the employee. If an error is discovered in a paycheck, notify the office manager immediately. If a paycheck is lost or stolen, notify management immediately. Rosemark WomenCare Specialists may ask the employee to wait a reasonable amount of time to see if the check clears the bank. If it does not, the company will issue a new check to the employee only, unless a written authorization instructs otherwise. 2.02 SALARIES Starting salaries are based upon the employee’s abilities and experience. Every employee’s pay rate will be reviewed at the end of the first three months of employment and at least annually Page 13 thereafter on the anniversary of his or her employment. Salary adjustments will depend on the performance of the employee and the availability of funds. All salaries are strictly confidential. Discussion of any employee’s salary with anyone, including but not limited to, other employee’s is cause for immediate termination of employment. 2.03 TIMEKEEPING REQUIREMENTS Accurately recording time worked is the responsibility of every hourly or salaried nonexempt employee. Federal and state laws require Rosemark WomenCare Specialists to keep an accurate record of time worked in order to calculate employee pay and benefits. Time worked is all the time actually spent on the job performing job-related duties. Nonexempt employees should accurately record the time they begin and end their work, as well as the beginning and ending time of each meal period. They should also record the beginning and ending time of any split shift or departure from work for personal reasons. Altering, falsifying, or in anyway tampering with time records, or recording time on another employee's time record may result in disciplinary action, up to and including termination of employment. It is the employee's responsibility to sign his or her time record to certify the accuracy of all time recorded. The office manager will review the time record before submitting it for payroll processing. In addition, if corrections or modifications are made to the time record, both the employee and the manager must verify the accuracy of the changes by initialing the time record. Any errors found on your timecard should be immediately reported to the office manager. 2.04 EVALUATIONS All employees will be evaluated on a yearly basis (with the exception of the 90-day introductory period evaluation for new employees.) Employees will be evaluated on appearance, rapport with patients and staff, cooperation, initiative, attitude, attention to detail, punctuality, and absenteeism. A special or annual evaluation for an employee may result in the CEO requiring a performance plan, and/or an additional probationary period due to deficiencies in that employee’s performance. Such a performance plan will be in writing, setting forth certain standards and goals which the employee will be expected to meet, and will specify the length of time for the additional probationary period. Both the CEO and the employee will sign the performance plan before it is implemented. Employee salaries will also be reviewed in conjunction with performance evaluations. Raises will be based upon merit and not seniority. Special evaluation of an employee’s pay may be conducted at any time if warranted. Page 14 2.05 PAYROLL DEDUCTIONS The actual amount of your paycheck does not tell the whole story of your pay. Your real paycheck is the total before deductions. Rosemark WomenCare Specialists is required to deduct from each employee's pay, where applicable, amounts including, but not limited to, federal and state withholding taxes, social security taxes, and any garnishments or court ordered assignments. Other deductions may be made, only with your written authorization, for items such as employee purchases, insurance contributions, charitable contributions, and credit union accounts. 2.06 GARNISHMENTS Your credit rating is a very valuable possession and we know that you make every effort to protect it. Should we be served with a court-ordered assignment or garnishment on your wages, we are required by law to withhold the amount stated. In addition, we may also withhold a reasonable administrative fee. 2.07 OVERTIME Our normal workweek and hours may differ within the company. From time to time, circumstances may require that the employee work in excess of 40 hours during the workweek. Each non-exempt employee will be paid time and one-half the regular rate for hours worked in excess of 40 hours per week. We will also comply with any state industry-specific overtime requirements. The supervisor or office manager must approve overtime in advance. Unauthorized overtime will be subject to disciplinary action, up to and including termination. According to the federal Fair Labor Standards Act (FLSA), only actual hours worked are computed for purposes of determining hours worked for overtime calculation. Therefore, Rosemark WomenCare Specialists will not count vacation time, sick time, holiday time, or any other time for which you are compensated but do not actually perform work when computing hours worked in a workweek. The workweek for payroll purposes is Sunday through Saturday. Any change in scheduling of hours is done by your supervisor. 2.08 COMPENSATORY TIME Rosemark WomenCare Specialists does not grant compensatory time to exempt or non-exempt employees. Compensatory time is defined as time off granted to an employee during one pay period in consideration for time worked and "banked" in another pay period. Page 15 SECTION 3.0 - EMPLOYEE BENEFITS & LEAVE POLICIES 3.01 HOLIDAYS As a benefit, Rosemark WomenCare Specialists will give our employees a paid day off on the following holidays: New Year's Day, Independence Day, Memorial Day, Labor Day, Thanksgiving Day, and Christmas Day. Employees must have worked or received paid time off the scheduled work shift preceding and the scheduled work shift following the holiday to receive holiday pay. Employee(s) on leave of absence are not eligible for holiday pay. Should one of the company holidays fall during your vacation period, you are entitled to another day off. When a scheduled holiday occurs on Saturday, it will be observed on the preceding Friday. If the holiday falls on Sunday, the following Monday will be observed. 3.02 VACATION As a benefit, Rosemark WomenCare Specialists provides paid vacation as one of the many ways in which it shows its appreciation for employees’ loyalty and service. All regular full-time employees of Rosemark WomenCare Specialists who have been employed continuously for twelve months are eligible for a two-week paid vacation per year. A three-week paid vacation per year is granted after five years of continuous service. Vacation time will start accruing after completion of the introductory period. Vacation time should be approved and scheduled with your supervisor. If there is a scheduling conflict, preference will be given to the employee who first requested the vacation time. Vacation is a time for employees to rest, relax, and pursue special interests. Therefore, pay will not be given in lieu of taking a vacation. Vacation pay will be based on the employee's regular straight time rate of pay at the time vacation is taken. If at the end of the employees year if all vacation time is not used only 5 days will be carried over to the next year up to a maximum of 25 days. In the event of termination, vacation pay that has been earned in accordance with the formula described above, but not taken, will be paid. 3.03 SICK LEAVE Sick leave benefits are designed to provide income protection for you in the event you become ill or disabled. Full-time employees will begin accruing 5 days sick leave after one year of employment. Sick leave payment is calculated on your base hourly rate, exclusive of overtime and bonuses. Employees are eligible to use sick leave as it is accrued. If at the end of the employee’s year if all sick leave is not used, only 3 days will be carried over to the next year up to a maximum of 10 days. Accrued sick leave is to be used in the event of illness, disability, and medical appointments, and in conjunction with applicable federal or state leave provisions. To receive sick pay, you must notify your supervisor by telephone on the first day of absence and each subsequent day thereafter. Rosemark WomenCare Specialists reserves the right to require written certification as to the bona fide nature of an illness or injury from an attending physician, and/or a release from the Page 16 physician to return to your normal duties. Unused sick leave will not be paid upon termination of employment. 3.04 MATERNITY AND ADOPTION LEAVE Provisions related to pregnancy and adoptions are covered under the State and Federal Fair Employment Practices and Human Rights Act. It is the intent of Rosemark WomenCare Specialists to follow the requirements of the Act in dealing with employees. An employee may continue her employment during her pregnancy with the permission of her physician, as long as the employee can carry out her duties in a satisfactory manner. For an uncomplicated pregnancy and postpartum period, six weeks of leave is allowed. Employees taking maternity leave must first use available sick leave, then available vacation time. The remainder of the leave will then be unpaid time off. If an employee takes time off for adoption and/or paternity leave, he/she is only allowed to use vacation time or personal time. 3.05 INCLEMENT WEATHER Employees are generally expected to report to work during severe weather conditions if Rosemark WomenCare Specialists does not declare an emergency closure. During inclement weather periods, employees are responsible for contacting the company regarding opening or closing hours. Nonexempt employees who are unable to report because of weather conditions will be granted an authorized unpaid absence. Nonexempt employees who are late due to weather conditions will be provided a chance to make up their missed time, if work schedules and conditions permit. 3.06 WORKERS' COMPENSATION State law provides for compensation in the event you suffer an industrial injury or occupational illness, as defined by the worker's compensation law. In the event of an industrial injury or occupational illness of any kind, the following steps should be taken: • • Immediately notify your supervisor. If in need of medical treatment, except in emergencies, obtain a signed authorization from your supervisor. Medical fees and weekly loss of time benefits are paid as provided in the state worker's compensation law. The Company pays one hundred percent of the premium cost. 3.07 HEALTH INSURANCE A group medical insurance program is available to all regular full-time employees (32 hours minimum) after completion of 90 days of continuous employment. The company pays 100% of the premium per month for the employee. Details of the insurance plan are available from the CEO. Page 17 3.07(A) Employee Write-offs: One of the many benefits of working in a medical office is access to medical care. Rosemark WomenCare Specialists will write-off 100% of employee medical expenses incurred in our office. Rosemark will also write-off 100% of immediate family office visits. However, if we have to send items to another facility, such as a reference lab, the employee is responsible for the charge incurred and should pay Rosemark WomenCare Specialists directly. Immediate family consists of spouse and children up to age 21 or married. Employees are required to set an appointment so as to not disrupt the overall schedule of the office. 3.08 UNEMPLOYMENT INSURANCE State law provides for unemployment compensation benefits if you lose your job through no fault of your own, such as a layoff due to lack of work. This benefit will provide you with a temporary income until you find other employment. State law determines the eligibility requirements and waiting period. The company pays all costs of unemployment insurance. 3.09 LEAVE OF ABSENCE – (NON-FMLA) If you find it necessary to be absent from work for a prolonged period of time, you may request, in writing, a leave of absence for up to 30 days. However, no employee is guaranteed a leave of absence. Management may recommend either approval or denial of a leave based upon numerous business considerations. If management approves the leave, the portion of medical insurance coverage that is paid by the employer will not be extended beyond the 30-day period. Should the leave be extended by mutual agreement beyond the 30-day period, you may be able to continue your insurance coverage at your own expense. Please check with the office for details. Vacation and sick credits are not accrued during an approved unpaid leave of absence. Please understand that because of fluctuating business needs, we cannot guarantee reemployment when you return from your leave. If your position or comparable position is not available, your name will be placed on a hiring list and considered for future vacancies if you meet the qualifications. Rosemark WomenCare Specialists will afford reasonable accommodation to qualified employees with a known disability or for an employee's religious beliefs. The company will also provide leave under particular circumstances as mandated by federal or state law. 3.10 BEREAVEMENT LEAVE Bereavement leave, as needed, up to 10 days may be granted in the event of death of an immediate member of the family. Immediate family is defined as spouse, children, parents, siblings, and corresponding in-laws. In the event of termination, bereavement leave will not be paid out. 3.11 JURY DUTY & WITNESS DUTY If you receive a jury summons, you should immediately advise your supervisor. During the period of actual service on the jury, exempt employees will receive no deductions for absences of less than one workweek. However, non-exempt employees will receive only the stipend paid by the court for their service on the jury. Page 18 The company encourages employees to appear in court for witness duty when subpoenaed. If you receive a subpoena, you should immediately advise your supervisor. Under either circumstance, you will be expected to report for your regular duties when temporarily excused from attendance in court. 3.12 MILITARY LEAVE If you require time off from work to fulfill military duties, you will be treated in accordance with applicable requirements of state and federal laws. You are expected to notify your supervisor and provide a copy of your orders as soon as possible. An eligible employee who provides advance written or oral notice of reserve training or military service will be granted an unpaid military leave of absence for up to five years. During your military leave of absence, your benefit coverage will be the same as for any other employee on an unpaid leave of absence. Medical coverage may be continued based on the provisions of the Uniformed Services Employment Rights Act of 1994 (USERRA). Employees may apply any earned, accrued vacation time before the beginning of their unpaid military service leave if they wish; however, they are not obliged to do so. 3.13 COBRA The federal Consolidated Omnibus Budget Reconciliation Act (COBRA) gives employees and their qualified beneficiaries the opportunity to continue health insurance coverage under the company's health plan when a "qualifying event" would normally result in the loss of eligibility. Some common qualifying events are resignation, termination of employment (for reasons other than gross misconduct), or death of an employee; a reduction in an employee's hours or a leave of absence; an employee's divorce or legal separation; and a dependent child no longer meeting eligibility requirements. The company provides each eligible employee with a written notice describing rights granted under COBRA when employees become eligible for coverage under the company's health insurance plan. The notice contains important information about employees’ rights and obligations. You will have 60 days from the date you lose coverage or 60 days from the date you receive such information, whichever is later, to elect continued coverage. Under COBRA, the employee or beneficiary pays the full cost of coverage at the company's group rates plus an administration fee. Coverage will end if any of the following events should occur: the company no longer provides group health coverage to any of its employees; the premium for continued coverage is not paid; you become eligible as an employee or otherwise under another group health plan; or you become eligible for Medicare. 3.14 401(k) PLAN Employees, at least 21 years of age, with a minimum of 2080 hours in one year of service are eligible to participate in the 401(k) plan. The plan is provided voluntarily by the employer and may be modified, revised, or terminated at its option at any time or in any manner without notice or recourse to the participants. In the event of plan termination, the provisions of the plan Page 19 shall apply with respect to any benefit vesting in the employees. If a dispute arises, the terms of the original plan document shall be controlling. Employee participation is controlled by the plan documents and their restrictions, which, upon request of the employee, will be fully explained. Employees will be informed of their eligibility under the plan and will be given the opportunity to participate when eligible. Information regarding vesting benefits in the 401(k) plan can be obtained from the CEO. A complete copy of the plan description is available for inspection and review from the CEO. SECTION 4.0 - GENERAL RULES 4.01 PATIENT RELATIONS Our reputation is built on excellent service and quality medical care. To maintain this reputation requires the active participation of every employee. As a representative of Rosemark WomenCare Specialists, employees will conduct themselves in a professional manner. Employees must be courteous and respectful to patients and fellow employees at all times. Employees should listen carefully to patient inquiries and complaints and then deal with them in a responsive, professional manner. If a patient should become unreasonable, abusive, or harassing, and the employee cannot resolve the problem, the patient should be referred to the CEO. Employees are also encouraged to report recurring patient-related problems to their immediate supervisor and should be prepared to make suggestions for problem-solving changes. 4.02 SAFETY It is the policy of this company to be in compliance with laws, rules, and regulations concerning safe practices, as published by governmental agencies having jurisdiction over such matters. Sound judgment and safe practices must be exercised in the work habits of all employees. Equipment is to be operated only by those authorized as a result of their knowledge, training, and experience. Before operating equipment for the first time, you must have the approval of your supervisor. A good safety record results from safe working conditions, combined with alertness to common sense safety practices. If your assignment involves the use of hazardous or toxic materials, you must comply with all laws, rules, and regulations concerning their safe handling and disposal, as published by the company and governmental agencies having jurisdiction over such matters. Consult your supervisor for full details, including Material Safety Data Sheets, container labeling, and training including information regarding exposure to and handling of such materials. Your job may have additional safety guidelines that are established for your protection and the protection of others. If so, you will be required to know and follow them carefully. All workrelated injuries and illnesses--regardless of their extent or nature, unsafe working conditions, and the need for maintenance or repair of vehicles or equipment must be immediately reported to management. Employees concerned about the possible safety of a work act should talk to their supervisor before performing that task. No one has to perform an unsafe act. Page 20 4.03 USE OF COMMUNICATION SYSTEMS Telephones: Employees may not use company telephones for personal calls except for serious emergencies. Incoming phone messages will be taken in the office and delivered to you as soon as possible. You may then return calls during your lunch period. Long distance calls may not be made from company phones without permission. Mail: The use of company-paid postage for personal correspondence is permitted ONLY if the employee repays Rosemark WomenCare Specialists for the postage immediately. The postage due should be given to the CEO at the time the letter is sent. Facsimile: Transmissions using the company’s facsimile machine are to be made for business purposes only. All company policies apply to the material transmitted from this office. Improper use of company communication services will subject the employee to disciplinary action, including possible termination. Cellular Phones: The company may issue cellular telephones to employees if necessary for the efficient conduct of company business. Use of the cellular telephones must be restricted to company business. Employees should provide cellular telephone numbers only to persons with whom the company is conducting business. 4.04 VOICE AND ELECTRONIC MAIL Voice Mail. While our voice mail system is designed to increase productivity, it is expected that you will treat employees with respect when leaving messages. Please do not leave curt or last minute messages for anyone. Do not use the voice mail system to "hide" from co-workers or patients. If you are at your desk, you are generally expected to answer your telephone. Generally, the voice mail system is not to be used for personal messages such as soliciting contributions for your favorite charity, arranging for after work get-togethers or the like. Messages may be randomly monitored to determine whether any outsiders are using the system, or whether any violations of company policy have occurred. Electronic Mail. Generally, sensitive information is not to be sent via electronic mail. For example, performance reviews are not to be sent to the CEO through electronic mail. Similarly, if you have outside access to electronic mail through a modem, you are not to send a message to your supervisor that you are going to be absent that day. Instead, you need to comply with company policy and personally speak with your supervisor about your inability to work that day. Company policies apply to the use of the voice mail and electronic mail system. For example, our policies concerning courtesy, solicitation, harassment, and reporting absences all apply. Employees who fail to comply with the voice mail, electronic mail, or other company policies are subject to discipline, up to and including termination. Page 21 Employees have no personal privacy right in anything created, received, or sent on or from the e-mail or voicemail system, and by accessing the system, employees expressly waive any right of privacy in anything they create, store, send, or receive on the system. By accessing the system, employees further consent to allowing personnel of the company to access all material created, sent, or received on the system. 4.05 INTERNET POLICY Employees may use the Internet to increase productivity. Employees are expected to comply with all company policies that may be applicable to the Internet. These include, but are not limited to, confidentiality, harassment, solicitation, outside employment, and business ethics. Under no circumstances are pornographic or harassing materials to be sent, received, viewed, or downloaded using company facilities at any time or using personal facilities during working hours. Personal use of the Internet is prohibited if it interferes with job responsibilities and productivity. Anonymous messages are not to be sent. Aliases are not to be used. Employees are not to place personal copies of software or data on any computer without prior authorization. If you are using an Internet site paid for by the company, you are expected to only use it for business purposes. All work created or received using company equipment or its facilities is company property. Illegal use of software is prohibited. The company does monitor its phone system, network, and computers. Information stored in or on company facilities is subject to inspection at any time without notice. Employees have no personal privacy right in anything created, received, or sent on or from the computer and/or Internet system; by accessing the system, employees expressly waive any right of privacy in anything they create, store, send, or receive on the system. By accessing the system, employees further consent to allowing personnel of the company to access all material created, sent, or received on the system. Violation of this company policy may lead to discipline, including discharge. 4.06 VISITATIONS Personal visitors in the working areas cause safety hazards and disrupt production; therefore, the company discourages all visitors. In case of an emergency, you will be called to meet your visitor in another area. 4.07 SOLICITATION & DISTRIBUTION OF LITERATURE To avoid disruption of company operations, the following rules apply to solicitations and distribution of literature on company property: • Page 22 Employees may not solicit other employees for membership, contributions, funds, or other purposes during the employee's working time, or at any other time if the solicitation interferes with other employees who are scheduled to work. • Persons who are not employed by the company may not solicit or distribute literature on company property at any time for any purpose without express permission from the CEO. Working time includes the working time of both the employee doing the soliciting and/or distributing and the employee to whom the soliciting and/or distributing is directed. Working time does not include break periods and/or meal periods. In some instances, the collection of money for presents, flowers, parties, donations, or for cases of particular hardship can be considered appropriate. In these exceptional cases, such collections may be permitted with the approval of management. All such approved solicitations should be made during regularly scheduled rest and lunch periods. The only exception to the above is that the company may authorize the solicitation of funds for recognized and established charities, which benefit the general community. Bulletin boards have special notices and important information you will want to know about. Items to be posted on bulletin boards or anywhere on the premises must be submitted to management for prior approval. We urge that you check the bulletin boards regularly for items of interest to you. 4.08 ABSENCE FROM WORK OR TARDINESS Employees are expected to report to work on time. If, for any reason, you are unable to report for work at your scheduled time, you are expected to notify your supervisor as far in advance as possible so that arrangements can be made to cover your responsibilities. Unless there is an emergency, relative and friends are not to call on behalf of the employee. Excessive absenteeism (in excess of 10 days per calendar year) causes problems in providing an adequate, qualified work force to meet the company's workload. We may make reasonable efforts to find alternative solutions to this problem, including possible eligibility for a leave of absence; however, it may become necessary to reassign, demote, or terminate and replace an employee so that dependable help is available. We will afford reasonable accommodation to qualified employees with disabilities or for employees’ religious beliefs. This policy is not applicable to employees on designated state or federal military leave, family medical leave, or jury duty. Additionally, nothing in this policy should be construed to change the company’s atwill relationship with all employees. Employees who fail to report to work for 3 consecutive workdays without notifying the company will be deemed to have voluntarily quit. 4.09 PERSONAL STANDARDS You are expected to maintain appropriate standards of grooming, personal hygiene, and dress during working hours and on company property. No wearing apparel, personal grooming, or hygiene practices should distract others or create a safety hazard to you or your coworkers. Your supervisor will answer any questions you have about appropriate dress or grooming for your department. Each employee shall observe all applicable federal or state safety and health laws pertaining to dress and grooming. Page 23 4.10 DRESS CODES NON-CLINICIAL EMPLOYEESEmployees should use good judgment and follow the guidelines below in determining appropriate dress and grooming: Acceptable attire: Casual business attire encompasses many looks. However, for purposes of this policy, casual business attire means clothing that allows employees to feel comfortable at work, yet is appropriate for an office environment. Casual business attire includes, but is not limited to: slacks, khakis, colored jeans that are neat and not faded and without holes or tears, sport shirts, skirts and dresses, turtlenecks, sweaters, sleeveless tops are acceptable if they have a collar or turtle neck, loafers, tennis shoes, and sandals. Clothing must be neat, clean and ironed if needed. Unacceptable attire: Unacceptable clothing includes, but is not limited to: t-shirts; sweatpants, sweatshirts, or workout attire; cutoffs; beach attire; halter or tank tops; dresses, skirts or shirts that are excessively short; shorts; sheer clothing or clothing that other wise is revealing, distracting, or provocative. Grooming: Hairstyles, make-up, and the grooming of beards and mustaches are left to the discretion of employees. However, employees’ personal grooming should contribute to a clean and neat appearance. CLINICIAL EMPLOYEESAcceptable attire: Scrubs, white pants, white jumper or white skirt with an appropriate top (blouse or sweater) or white lab style coat worn over appropriate office environment clothing and shoes. Sleeveless tops are acceptable if they have a collar or turtleneck. Unacceptable attire: Unacceptable clothing includes, but is not limited to: t-shirts; sweatpants, sweatshirts, or workout attire; cutoffs; beach attire; halter or tank tops; dresses, skirts or shirts that are excessively short; shorts; sheer clothing or clothing that other wise is revealing, distracting, or provocative, open toed shoes or sandals. Grooming: Hairstyles, make-up, and the grooming of beards and mustaches are left to the discretion of employees. However, employees’ personal grooming should contribute to a clean and neat appearance. STAFF SHALL WEAR NAME TAGS AT ALL TIMES. If an employee dresses inappropriately, their immediate supervisor will counsel him or her. Dress code violations that are exceptionally unprofessional or unsafe can result in the employee being sent home. Repeated violations of the dress and grooming policy can result in disciplinary action up to and including termination of employment. 4.11 STANDARDS OF CONDUCT Standards of conduct have been developed for everyone in Rosemark WomenCare Specialists to maintain a principle of day-to-day relations with fellow employees. It is important that all employees adhere to a consistent set of guidelines. Employees are expected to conduct themselves in a professional manner at all times. Employees are not to engage in behavior that Page 24 would be detrimental to the company’s business and/or reputation, or that would constitute a violation of company policies or jeopardize the safety of others. Any conduct, behavior, or attitude inconsistent with these principles may result in a need to evaluate an employee’s willingness to act responsibly and demonstrate a commitment to this company through his or her behavior. 4.12 OFF-DUTY CONDUCT While Rosemark WomenCare Specialists does not seek to interfere with the off-duty and personal conduct of its employees, certain types of off-duty conduct may interfere with the company's legitimate business interests. For this reason, employees are expected to conduct their personal affairs in a manner that does not adversely affect the company's or their own integrity, reputation, or credibility. Illegal or immoral off-duty conduct on the part of an employee that adversely affects the company's legitimate business interests or the employee's ability to perform his or her job will not be tolerated. 4.13 RESPONSIBILITY/COMMITMENT REVIEW Rosemark WomenCare Specialists believes that a successful business depends upon each employee’s commitment to be responsible for his or her own behavior. An employee who decides not to live up to his or her responsibilities may be faced with the following: Responsibility Reminder: When an employee behaves in a manner that is inconsistent with the company’s statement of conduct or if an employee demonstrates a lack of commitment to this company, the behavior and/or attitude will be thoroughly discussed with the employee, including what constitutes responsible, committed behavior. Notation of the date, time, and nature of the discussion will be made. Written Commitment Reminder: When an informal responsibility reminder has not resulted in a decision to change behavior, a written commitment reminder will be issued. A supervisor will meet with the employee to discuss the employee’s commitment to the company and to invite the employee to present his or her views on the behavior. The Commitment Reminder will advise the employee that a decision not to live up to his or her responsibilities in the workplace will result in further review, including a possible decision-making leave or terminating employment with the company. Decision-making Leave: If the employee continues to behave in a manner that demonstrates that he or she is not committed to this company and/or is not acting responsible for his or her own behavior, the employee may be placed on a Decision Making Leave (DML) which is a one-day suspension with pay. On this day, the employee must decide to solve the specific problem and make a total performance commitment to the job or quit. Termination: If the employee decides not to solve the specific problem and make a total performance commitment, the employee will be deemed to have voluntarily quit. The company reserves the right to terminate employees at any time, for any reason not expressly prohibited by law. Page 25 Use of the review process is optional and each step may not be followed in any particular order or in any order at all. Nothing in this policy amends or restricts the company’s right to terminate employees at any time, with or without notice, for any or no reason. 4.14 NON-DISCLOSURE AND CONFIDENTIALITY Each employee is responsible for safeguarding confidential information obtained in connection with his or her employment. In the course of your work, you may have access to confidential information regarding Rosemark WomenCare Specialists, its suppliers, its patients, and/or coworkers. Such confidential information includes, but is not limited to the following: patient illness, treatment, or medical condition. Employees with access to such confidential information are responsible for its security and are required to sign confidentiality agreements upon employment. Employees are prohibited from attempting to obtain confidential information for which they have not received access authorization. Any employee who discloses confidential information (other than as necessary in the performance of his or her job duties) will be subject to disciplinary action, up to and including termination of employment and legal action, even if he or she does not actually benefit from the disclosed information. 4.15 EMPLOYEE REFERENCES All requests for references must be directed to the CEO. No other manager, supervisor, or employee is authorized to release references for current or former employees. 4.16 ALCOHOL AND DRUGS Our company has a strong commitment to endeavor to provide a safe workplace for its employees. Consistent with that commitment, the company has adopted an alcohol and drugfree work site policy. Our policy prohibits the use, sale, distribution, manufacture, or possession of alcohol or drugs, paraphernalia, the unauthorized use of prescription drugs, the use of any legally obtained drug (prescriptions or over-the-counter medications) when such use adversely affects the employee’s job performance or safety, or any combination thereof, on company premises or any location at which the company does business. In addition, this policy forbids reporting to work or working while under the influence of alcohol or drugs. Employees who are taking prescription drugs or over-the-counter drugs that may affect their performance should discuss their situation with their supervisor and obtain permission before beginning work. Employees may be required to provide properly written medical authorization from a physician to work while using such authorized medications. Any violation of this policy will result in disciplinary action, up to and including termination. Rosemark WomenCare Specialists will employ every legal means available to it to operate its business free from alcohol and drugs. Accordingly, where the law permits, we reserve the right to conduct drug testing for baseline testing, random testing purposes, pre-employment screening, specific incidents, probable cause, fitness for duty, and post-accident. This list is not intended to limit the events which would require a drug test, and the company reserves the right to test for alcohol and drug abuse for other lawful reasons. A positive test result will be deemed a violation of this policy, and will result in disciplinary action, up to and including termination. An employee does have the right not to consent to being tested. However, refusal to submit to testing when requested will result in disciplinary action, up to and including immediate termination of employment. Page 26 4.17 SMOKING Rosemark WomenCare Specialists is strongly committed to maintaining and improving the health and well-being of all employees; therefore, employees have the right to work in an environment free of the hazards of tobacco smoke. To protect the health of all our employees, smoking is not permitted in company buildings and facilities, except in specially designated areas. Smoking is never permitted in areas where there is sensitive or hazardous material and in other places designated by the company. 4.18 WORKPLACE VIOLENCE It is our goal to endeavor to maintain a work environment free from intimidation, threats, or violent acts. To that end, Rosemark WomenCare Specialists has adopted a zero tolerance policy regarding violence in the workplace. This includes, but is not limited to, intimidating, threatening, or hostile behaviors; physical abuse; vandalism; arson; sabotage; use of weapons; carrying weapons of any kind on to company property; or any other act, which, in management's opinion, is inappropriate to the workplace. Employees who feel they have been subjected to any of the behaviors listed above are requested to immediately report the incident to their supervisor or the CEO. Complaints will be fully investigated. Based upon the results, disciplinary action will be taken against the offender, if appropriate. Employees who observe or have knowledge of any violation of this policy should immediately report it to the CEO. We will take action when unforeseen events transpire and look to employees for support of this policy. Employees are empowered to contact the proper law enforcement authorities without first informing management if they believe a threat to the safety of others exists. Rosemark WomenCare Specialists reserves the right to conduct searches and inspections of employees, employees' personal effects, or company-provided materials such as lunch pails, boxes, thermoses, purses, lockers, desks, personal computer files, cabinets, file drawers, packages, or vehicles without notice. Any illegal and unauthorized articles discovered may be taken into custody and may be turned over to law enforcement representatives. Any company employee who refuses to submit to a search or is found in possession of prohibited articles will be subject to disciplinary action, up to and including termination. 4.19 THEFT Internal theft is a serious problem for many businesses. Although taking small items of company property may seem inconsequential, the cumulative effect can be very large. Stealing from the company is like stealing from yourself. Losses from theft immediately affect our ability to increase salaries and can jeopardize the profitability of the company. Rosemark WomenCare Specialists will not tolerate property theft of any type. We consider property theft to include the unauthorized use of company services or facilities or the taking of any company property for personal use. Page 27 Violators of this policy will be subjected to disciplinary action, up to and including possible discharge and prosecution. 4.20 DATA SECURITY Information is one of our company’s most valuable assets. Our company relies on information and information processing to conduct its business and make important decisions. It is vital to the company's success that this information be accurate, reliable, confidential, and safe. All employees use information in their daily work. Our Data Security Policy applies to all information from written reports to computer files. All information, including computerized information, is a corporate asset. Protection of corporate assets is a basic business principle. Accordingly, steps will be taken to protect information from accidental or intentional misuse or destruction. All equipment, software, and data are property of Rosemark WomenCare Specialists and will be treated as such. Anyone violating software copyright laws (i.e., copying company-purchased software for personal or unauthorized business use) or introducing unapproved software or data on company equipment shall be subject to disciplinary action, up to and including termination. Page 28 AKNOWLEDGMENT This employee handbook is for your use and a source of information about your company and your job. It is not a contract of employment, express or implied, but merely sets forth regulations of employment, methods for resolving conflicts, and an explanation of your benefits and policies. Your signature below acknowledges your receipt of a copy of this employee handbook and your understanding and acceptance that: 1. I am responsible for reading, understanding, and adhering to the policies outlined in the Rosemark WomenCare Specialists employee handbook and am invited to ask my supervisor any questions that I may have; 2. The provisions of this employee handbook are guidelines, statements of policy, and procedure that may be changed by the company at any time; 3. Management reserves the right to revise, modify, delete, or add to any and all policies, procedures, work rules, or benefits stated in this handbook or in any document at any time. However, any such changes will be in writing and must be signed by the CEO; 4. Rosemark WomenCare Specialists does not guarantee me specific benefits because company benefits, policies, and procedures may change from time to time without my consent; 5. No supervisor or other representative of Rosemark WomenCare Specialists other than its CEO, has the authority to enter into any agreement for employment for a specified period of time or to make any agreement contrary to the policies contained in this manual; and 6. Rosemark WomenCare Specialists or I may terminate my employment relationship at any time, for any reason not expressly prohibited by law. _______________________________ ____ Employee Signature ___________________________________ Witness Page 29 _______________________ Date