Common use of HEALTH AND WELFARE AND/OR PENSION Clause in Contracts

HEALTH AND WELFARE AND/OR PENSION. The Union is willing to entertain the concept of “buying” uniform pension contribution language contingent upon the actual cost of said language. The Employer will provide this information to the Union within six (6) months from the ratification date of this Agreement. It is agreed that should the Western Conference of Teamsters Pension Trust Fund modify contribution rules during the life of this Agreement, the Employer and the Union shall meet and negotiate a fair and equitable resolution to allow United Parcel Service and the Union to participate and share in cost savings that might occur as a result of such modifications. For probationary employees hired on or after August 1st, 2002, the Employer shall pay an hourly contribution rate of ten cents ($0.10) (including $0.01 for PEER/80 for full-time employees and PEER/84 for part-time employees) during the probationary period as defined in Article 4, Section 1, but in no case for a period longer than the first ninety (90) calendar days from an employees first date of hire. If and when this period is completed, the full standard contribution rate shall apply. Contributions shall be calculated on the same basis as described in this Article. Pension contributions payable into the Western Conference of Teamsters Pension Trust Fund on account of each part-time and full-time employee of the bargaining unit shall be paid for each hour for which compensation was paid (all compensable hours) up to a maximum of 2080 hours per calendar year. The respective Riders and/or Addendums signatory to this Agreement shall reduce to writing the agreed to method for each Rider and/or Addendum which funds the increased pension benefit of all part-time and full-time employees being paid for each hour for which compensation was paid (all compensable hours) up to a maximum of 2080 hours per calendar year. The one dollar ($1.00) per hour effective August 1, 2013, the one dollar ($1.00) per hour effective August 1, 2014, the one dollar ($1.00) per hour effective August 1, 2015, the one dollar ($1.00) per hour effective August 1, 2016 and the one dollar ($1.00) per hour effective August 1, 2017 set forth in National Master United Parcel Service Agreement Article 34 - Health & Welfare and Pension shall be allocated each year within the Western Region in accordance with Article 34 of the National Master Agreement. 1. There shall be separate Package/Feeder and Sort Riders and/or Addenda established in Oregon and Washington. The remaining areas within the Western Region of Teamsters shall retain existing separate Package/Feeder and Sort Riders and/or Addenda. 2. The Company shall continue to pay any increases necessary to maintain Health and Welfare benefits in the applicable Union Health and Welfare Plans for the term of the Labor Agreement in view of this maintenance of benefits provision, subject to Article 34, Section 1, (f). This paragraph shall not apply to the Teamsters Western Region and Local 177 Health Care Plan. (a) Part-time and full-time employees covered by a Teamster Health and Welfare Fund will continue to be covered by those funds. (b) For those full-time or part-time employees who have received health and welfare benefits from the Company Health & Welfare Plan, benefits on and after January 1, 2014 will be provided by Teamsters Western Region and Local 177 Health Care Plan in accordance with the Letter of Agreement on the Teamsters Western Region and Local 177 Health Care Plan dated September 6, 2013. The Company will continue to provide health&welfare benefit coverage under the existing plan through December 31, 2013. (c) Any eligible employee covered by this Section who retires effective January 1, 2014 or thereafter shall be provided retiree medical benefits through the Teamsters Western Region and Local 177 Health Care Plan. (d) Current retirees who are receiving benefits through a UPS sponsored plan shall receive coverage on and after January 1, 2014 under the terms of the Memorandum Concerning UPS Sponsored Plans, attached to the National Master Agreement. 3. All employees who are covered by the terms of the respective Western Region of Teamsters Package/Feeder and Sort Agreements shall receive pension contributions into the Western Conference of Teamsters Pension Trust in accordance with Article 34 of the National Master Agreement.

HEALTH AND WELFARE AND/OR PENSION. The Union is willing to entertain the concept of “"buying” " uniform pension contribution language contingent upon the actual cost of said language. The Employer will provide this information to the Union within six (6) months from the ratification date of this Agreement. It is agreed that should the Western Conference of Teamsters Pension Trust Fund modify contribution rules during the life of this Agreement, the Employer and the Union shall meet and negotiate a fair and equitable resolution to allow United Parcel Service and the Union to participate and share in cost savings that might occur as a result of such modifications. For probationary employees hired on or after August 1st, 2002, the Employer shall pay an hourly contribution rate of ten cents ($0.10) (including $0.01 for PEER/80 for full-time employees and PEER/84 for part-time employees) during the probationary period as defined in Article 4, Section 1, but in no case for a period longer than the first ninety (90) calendar days from an employees employee’s first date of hire. If and when this period is completed, the full standard contribution rate shall apply. Contributions shall be calculated on the same basis as described in this Article. Pension contributions payable into the Western Conference of Teamsters Pension Trust Fund on account of each part-time and full-time employee of the bargaining unit shall be paid for each hour for which compensation was paid (all compensable hours) up to a maximum of 2080 hours per calendar year. The respective Riders and/or Addendums signatory to this Agreement shall reduce to writing the agreed to method for each Rider and/or Addendum which funds the increased pension benefit of all part-time and full-time employees being paid for each hour for which compensation was paid (all compensable hours) up to a maximum of 2080 hours per calendar year. The one dollar ($1.00) per hour effective August 1, 20132023 2018, the one dollar ($1.00) per hour effective August 1, 20142024 2019, the one dollar ($1.00) per hour effective August 1, 20152025 2020, the one dollar ($1.00) per hour effective August 1, 2016 2026 2021 and the one dollar ($1.00) per hour effective August 1, 2017 2027 2022 set forth in National Master United Parcel Service Agreement Article 34 - Health & Welfare and Pension shall be allocated allocated, to the extent available pursuant to Article 34, each year within the Western Region in accordance with Article 34 of the National Master Agreement. 1. There shall be separate Package/Feeder and Sort Riders and/or Addenda established in Oregon and Washington. The remaining areas within the Western Region of Teamsters shall retain existing separate Package/Feeder and Sort Riders and/or Addenda. 2. The Company shall continue to pay any increases necessary to maintain Health and Welfare benefits in the applicable Union Health and Welfare Plans for the term of the Labor Agreement in view of this maintenance of benefits provision, subject to Article 34, Section 1, (f). This paragraph shall not apply to the Teamsters Western Region and Local 177 Health Care Plan. (a) Part-time and full-time employees covered by a Teamster Health and Welfare Fund will continue to be covered by those funds. (b) For those full-time or part-time employees who have received health and welfare benefits from the Company Health & Welfare Plan, benefits on and after January 1, 2014 will be provided by Teamsters Western Region and Local 177 Health Care Plan in accordance with the Letter of Agreement on the Teamsters Western Region and Local 177 Health Care Plan dated September 6, 2013. The Company will continue to provide health&welfare health & welfare benefit coverage under the existing plan through December 31, 2013. For all full-time and part-time employees who receive health and welfare benefits from the Teamsters Western Region and Local 177 Health Care Plan the employer shall make health and welfare contributions for employees who have been injured on the job for a period of one (1) year, and for employees who are ill or have been injured off the job for a period of four (4) weeks, with the Teamsters Western Region and Local 177 Plan covering the remaining weeks up to a maximum of twenty-six (26) weeks. (c) Any eligible employee covered by this Section who retires effective January 1, 2014 or thereafter shall be provided retiree medical benefits through the Teamsters Western Region and Local 177 Health Care Plan. (d) Current retirees who are receiving benefits through a UPS sponsored plan shall receive coverage on and after January 1, 2014 under the terms of the Memorandum Concerning UPS Sponsored Plans, attached to the National Master Agreement. 3. All employees who are covered by the terms of the respective Western Region of Teamsters Package/Feeder and Sort Agreements shall receive pension contributions into the Western Conference of Teamsters Pension Trust in accordance with Article 34 of the National Master Agreement. Pension contribution increases to the Western Conference of Teamsters Pension Trust will be made in accordance with Article 34 of the National Master Agreement and may be affected by the provisions contained in Article 34, Section 4, Paragraph 2 – Health & Welfare and Pension. In accordance with, and subject to, the provisions contained in National Master United Parcel Service Agreement Article 34, Section 4, Paragraph 2 – Health & Welfare and Pension, each respective Western Region of Teamsters Package/Feeder and Sort Agreement may exercise the right to re- allocate pension contributions to general wage increases and any such decision to do so will be reflected in each respective Agreement. 4. Package/Feeder Agreement Effective on the date indicated below, the Employer shall pay total contributions split between amounts for accrual of benefits and amounts for PEER 80 under the Program for Enhanced Early Retirement (PEER). The contributions required to provide PEER 80 will not be taken into consideration for benefit accrual purposes under the plan. The contributions for PEER 80 must at all times be 16.5% of the basic contributions and cannot be decreased or discontinued at any time. A. Effective August 1, 2018 2023 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2018 7/31/2023 contribution rate. Agreement Local Union or Area Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Local 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 B. Effective August 1, 2019 2024 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2019 7/31/2024 contribution rate. Agreement Local Union or Area Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Local 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 C. Effective August 1, 2020 2025 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2020 7/31/2025 contribution rate. Agreement Local Union or Area Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Local 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 D. Effective August 1, 2021 2026 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2021 7/31/2026 contribution rate. Agreement Local Union or Area Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Local 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 E. Effective August 1, 2022 2027 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2022 7/31/2027 contribution rate. Agreement Local Union or Area Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Local 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 NOTE: Local 396, 481, 495, 959 and 996 do not participate in the Western Conference of Teamsters Prepaid Legal Service Plan and the cost of this premium ten cents ($0.10) per hour is included in the Western Conference of Teamsters Pension Rate (Package/Feeder and Sort). In the event the Western Conference of Teamsters Prepaid Legal Trust is discontinued because of losing its tax exemption, the cost of ten cents ($0.10) per hour will be diverted to the Western Conference of Teamsters Pension Plan on behalf of all participating employees covered by the respective Package/Feeder Addenda and the Local 396 Addendum and to the Pacific Coast Benefit Trust on behalf of all participating employees covered by respective Sort Addenda. 5. Sort Agreement Effective on the date indicated below, the Employer shall pay total contributions split between amounts for the accrual of benefits and amounts for PEER 84 under the Program for Enhanced Early Retirement (PEER). The contributions required to provide PEER 84 will not be taken into consideration for benefit accrual purposes under the Plan. The contributions for PEER 84 must at all times be 6.5% of the basic contributions and cannot be decreased or discontinued at any time. A. Effective August 1, 2018 2023 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2018 7/31/2023 contribution rate. Agreement Local Union or Area Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Locals 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 B. Effective August 1, 2019 2024 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2019 7/31/2024 contribution rate. Agreement Local Union or Area Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Locals 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 C. Effective August 1, 2020 2025 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2020 7/31/2025 contribution rate. Agreement Local Union or Area Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Locals 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 D. Effective August 1, 2021 2026 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2021 7/31/2026 contribution rate. Agreement Local Union or Area Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Locals 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 E. Effective August 1, 2022 2027 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2022 7/31/2027 contribution rate. Agreement Local Union or Area Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Locals 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 NOTE: Local 396, 481, 495, 959 and 996 do not participate in the Western Conference of Teamsters Prepaid Legal Service Plan and the cost of this premium ten cents ($0.10) per hour is included in the Western Conference of Teamsters Pension Rate (Package/Feeder and Sort). In the event the Western Conference of Teamsters Prepaid Legal Trust is discontinued because of losing its tax exemption, the cost of ten cents ($0.10) per hour will be diverted to the Western Conference of Teamsters Pension Plan on behalf of all participating employees covered by the respective Package/Feeder Addenda and the Local 396 Addendum and to the Pacific Coast Benefit Trust on behalf of all participating employees covered by respective Sort Addenda.

HEALTH AND WELFARE AND/OR PENSION. The Union is willing to entertain the concept of “"buying” " uniform pension contribution language contingent upon the actual cost of said language. The Employer will provide this information to the Union within six (6) months from the ratification date of this Agreement. It is agreed that should the Western Conference of Teamsters Pension Trust Fund modify contribution rules during the life of this Agreement, the Employer and the Union shall meet and negotiate a fair and equitable resolution to allow United Parcel Service and the Union to participate and share in cost savings that might occur as a result of such modifications. For probationary employees hired on or after August 1st, 2002, the Employer shall pay an hourly contribution rate of ten cents ($0.10) (including $0.01 for PEER/80 for full-time employees and PEER/84 for part-time employees) during the probationary period as defined in Article 4, Section 1, but in no case for a period longer than the first ninety (90) calendar days from an employees employee’s first date of hire. If and when this period is completed, the full standard contribution rate shall apply. Contributions shall be calculated on the same basis as described in this Article. Pension contributions payable into the Western Conference of Teamsters Pension Trust Fund on account of each part-time and full-time employee of the bargaining unit shall be paid for each hour for which compensation was paid (all compensable hours) up to a maximum of 2080 hours per calendar year. The respective Riders and/or Addendums signatory to this Agreement shall reduce to writing the agreed to method for each Rider and/or Addendum which funds the increased pension benefit of all part-time and full-time employees being paid for each hour for which compensation was paid (all compensable hours) up to a maximum of 2080 hours per calendar year. The one dollar ($1.00) per hour effective August 1, 2013, the one dollar ($1.00) per hour effective August 1, 2014, the one dollar ($1.00) per hour effective August 1, 2015, the one dollar ($1.00) per hour effective August 1, 2016 and the one dollar ($1.00) per hour effective August 1, 2017 set forth in National Master United Parcel Service Agreement Article 34 - Health & Welfare and Pension shall be allocated each year within the Western Region in accordance with Article 34 of the National Master Agreement. 1. There shall be separate Package/Feeder and Sort Riders and/or Addenda established in Oregon and Washington. The remaining areas within the Western Region of Teamsters shall retain existing separate Package/Feeder and Sort Riders and/or Addenda. 2. The Company shall continue to pay any increases necessary to maintain Health and Welfare benefits in the applicable Union Health and Welfare Plans for the term of the Labor Agreement in view of this maintenance of benefits provision, subject to Article 34, Section 1, (f). This paragraph shall not apply to the Teamsters Western Region and Local 177 Health Care Plan. (a) Part-time and full-time employees covered by a Teamster Health and Welfare Fund will continue to be covered by those funds. (b) For those full-time or part-time employees who have received health and welfare benefits from the Company Health & Welfare Plan, benefits on and after January 1, 2014 will be provided by Teamsters Western Region and Local 177 Health Care Plan in accordance with the Letter of Agreement on the Teamsters Western Region and Local 177 Health Care Plan dated September 6, 2013. The Company will continue to provide health&welfare health & welfare benefit coverage under the existing plan through December 31, 2013. (c) Any eligible employee covered by this Section who retires effective January 1, 2014 or thereafter shall be provided retiree medical benefits through the Teamsters Western Region and Local 177 Health Care Plan. (d) Current retirees who are receiving benefits through a UPS sponsored plan shall receive coverage on and after January 1, 2014 under the terms of the Memorandum Concerning UPS Sponsored Plans, attached to the National Master Agreement. 3. All employees who are covered by the terms of the respective Western Region of Teamsters Package/Feeder and Sort Agreements shall receive pension contributions into the Western Conference of Teamsters Pension Trust in accordance with Article 34 of the National Master Agreement. Pension contribution increases to the Western Conference of Teamsters Pension Trust will be made in accordance with Article 34 of the National Master Agreement and may be affected by the provisions contained in Article 34, Section 4, Paragraph 2 – Health & Welfare and Pension. In accordance with, and subject to, the provisions contained in National Master United Parcel Service Agreement Article 34, Section 4, Paragraph 2 – Health & Welfare and Pension, each respective Western Region of Teamsters Package/Feeder and Sort Agreement may exercise the right to re-allocate pension contributions to general wage increases and any such decision to do so will be reflected in each respective Agreement. 4. Package/Feeder Agreement Effective on the date indicated below, the Employer shall pay total contributions split between amounts for accrual of benefits and amounts for PEER 80 under the Program for Enhanced Early Retirement (PEER). The contributions required to provide PEER 80 will not be taken into consideration for benefit accrual purposes under the plan. The contributions for PEER 80 must at all times be 16.5% of the basic contributions and cannot be decreased or discontinued at any time. A. Effective August 1, 2013 Effective August 1, 2013, twenty- five cents ($0.25) of the first year pension allocation for Local 104, Local 492, Local 631, Joint Council 42, Local 396, Local 481 and Local 495 shall be reallocated to the Teamsters Western Region and Local 177 Health Care Plan. Agreement Area Local Union or Joint Council Basic Contribution Peer/80 Total Contribution Arizona Local 104 $8.46 $1.39 $9.85 New Mexico Local 492 $8.46 $1.39 $9.85 S. Nevada Local 631 $8.46 $1.39 $9.85 S. California JC 42 $8.46 $1.39 $9.85 S. California Local 396/481/495 $8.58 $1.42 $10.00 Oregon JC 37 (The hourly pension contribution increase will be in accordance with Article 34 of the National Master Agreement and may be up to $0.50 which will be added to the 7/31/2013 contribution rate of $9.83) Xxxxxxxxxx XX 28 $8.41 $1.39 $9.80 Montana JC 3 $8.84 $1.46 $10.30 Utah & Idaho JC 3 $8.41 $1.39 $9.80 Idaho Local 483 (The hourly pension contribution increase will be in accordance with Article 34 of the National Master Agreement and may be up to $0.50 which will be added to the 7/31/2013 contribution rate of $9.83) Alaska Local 959 (The hourly pension contribution increase will be in accordance with Article 34 of the National Master Agreement - See Local 959 Rider Agreement for rates) B. Effective August 1, 2014 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2014 contribution rate. Agreement Area Arizona New Mexico Local Union or Joint Council Local 104 Local 492 Basic Contribution Peer/80 Total Contribution

HEALTH AND WELFARE AND/OR PENSION. The Union is willing to entertain the concept of “"buying” " uniform pension contribution language contingent upon the actual cost of said language. The Employer will provide this information to the Union within six (6) months from the ratification date of this Agreement. It is agreed that should the Western Conference of Teamsters Pension Trust Fund modify contribution rules during the life of this Agreement, the Employer and the Union shall meet and negotiate a fair and equitable resolution to allow United Parcel Service and the Union to participate and share in cost savings that might occur as a result of such modifications. For probationary employees hired on or after August 1st, 2002, the Employer shall pay an hourly contribution rate of ten cents ($0.10) (including $0.01 for PEER/80 for full-time employees and PEER/84 for part-time employees) during the probationary period as defined in Article 4, Section 1, but in no case for a period longer than the first ninety (90) calendar days from an employees employee’s first date of hire. If and when this period is completed, the full standard contribution rate shall apply. Contributions shall be calculated on the same basis as described in this Article. Pension contributions payable into the Western Conference of Teamsters Pension Trust Fund on account of each part-time and full-time employee of the bargaining unit shall be paid for each hour for which compensation was paid (all compensable hours) up to a maximum of 2080 hours per calendar year. The respective Riders and/or Addendums signatory to this Agreement shall reduce to writing the agreed to method for each Rider and/or Addendum which funds the increased pension benefit of all part-time and full-time employees being paid for each hour for which compensation was paid (all compensable hours) up to a maximum of 2080 hours per calendar year. The one dollar ($1.00) per hour effective August 1, 20132018, the one dollar ($1.00) per hour effective August 1, 20142019, the one dollar ($1.00) per hour effective August 1, 20152020, the one dollar ($1.00) per hour effective August 1, 2016 2021 and the one dollar ($1.00) per hour effective August 1, 2017 2022 set forth in National Master United Parcel Service Agreement Article 34 - Health & Welfare and Pension shall be allocated each year within the Western Region in accordance with Article 34 of the National Master Agreement. 1. There shall be separate Package/Feeder and Sort Riders and/or Addenda established in Oregon and Washington. The remaining areas within the Western Region of Teamsters shall retain existing separate Package/Feeder and Sort Riders and/or Addenda. 2. The Company shall continue to pay any increases necessary to maintain Health and Welfare benefits in the applicable Union Health and Welfare Plans for the term of the Labor Agreement in view of this maintenance of benefits provision, subject to Article 34, Section 1, (f). This paragraph shall not apply to the Teamsters Western Region and Local 177 Health Care Plan. (a) Part-time and full-time employees covered by a Teamster Health and Welfare Fund will continue to be covered by those funds. (b) For those full-time or part-time employees who have received health and welfare benefits from the Company Health & Welfare Plan, benefits on and after January 1, 2014 will be provided by Teamsters Western Region and Local 177 Health Care Plan in accordance with the Letter of Agreement on the Teamsters Western Region and Local 177 Health Care Plan dated September 6, 2013. The Company will continue to provide health&welfare health & welfare benefit coverage under the existing plan through December 31, 2013. For all full-time and part-time employees who receive health and welfare benefits from the Teamsters Western Region and Local 177 Health Care Plan the employer shall make health and welfare contributions for employees who have been injured on the job for a period of one (1) year, and for employees who are ill or have been injured off the job for a period of four (4) weeks, with the Teamsters Western Region and Local 177 Plan covering the remaining weeks up to a maximum of twenty-six (26) weeks. (c) Any eligible employee covered by this Section who retires effective January 1, 2014 or thereafter shall be provided retiree medical benefits through the Teamsters Western Region and Local 177 Health Care Plan. (d) Current retirees who are receiving benefits through a UPS sponsored plan shall receive coverage on and after January 1, 2014 under the terms of the Memorandum Concerning UPS Sponsored Plans, attached to the National Master Agreement. 3. All employees who are covered by the terms of the respective Western Region of Teamsters Package/Feeder and Sort Agreements shall receive pension contributions into the Western Conference of Teamsters Pension Trust in accordance with Article 34 of the National Master Agreement. Pension contribution increases to the Western Conference of Teamsters Pension Trust will be made in accordance with Article 34 of the National Master Agreement and may be affected by the provisions contained in Article 34, Section 4, Paragraph 2 – Health & Welfare and Pension. In accordance with, and subject to, the provisions contained in National Master United Parcel Service Agreement Article 34, Section 4, Paragraph 2 – Health & Welfare and Pension, each respective Western Region of Teamsters Package/Feeder and Sort Agreement may exercise the right to re-allocate pension contributions to general wage increases and any such decision to do so will be reflected in each respective Agreement. 4. Package/Feeder Agreement Effective on the date indicated below, the Employer shall pay total contributions split between amounts for accrual of benefits and amounts for PEER 80 under the Program for Enhanced Early Retirement (PEER). The contributions required to provide PEER 80 will not be taken into consideration for benefit accrual purposes under the plan. The contributions for PEER 80 must at all times be 16.5% of the basic contributions and cannot be decreased or discontinued at any time. A. Effective August 1, 2018 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2018 contribution rate. Agreement Local Union or Area Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Local 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 B. Effective August 1, 2019 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2019 contribution rate. Agreement Local Union or Area Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Local 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 C. Effective August 1, 2020 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2020 contribution rate. Agreement Local Union or Area Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Local 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 D. Effective August 1, 2021 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2021 contribution rate. Agreement Local Union or Area Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Local 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 E. Effective August 1, 2022 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2022 contribution rate. Agreement Local Union or Area Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Local 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 NOTE: Local 396, 481, 495, 959 and 996 do not participate in the Western Conference of Teamsters Prepaid Legal Service Plan and the cost of this premium ten cents ($0.10) per hour is included in the Western Conference of Teamsters Pension Rate (Package/Feeder and Sort). In the event the Western Conference of Teamsters Prepaid Legal Trust is discontinued because of losing its tax exemption, the cost of ten cents ($0.10) per hour will be diverted to the Western Conference of Teamsters Pension Plan on behalf of all participating employees covered by the respective Package/Feeder Addenda and the Local 396 Addendum and to the Pacific Coast Benefit Trust on behalf of all participating employees covered by respective Sort Addenda. 5. Sort Agreement Effective on the date indicated below, the Employer shall pay total contributions split between amounts for the accrual of benefits and amounts for PEER 84 under the Program for Enhanced Early Retirement (PEER). The contributions required to provide PEER 84 will not be taken into consideration for benefit accrual purposes under the Plan. The contributions for PEER 84 must at all times be 6.5% of the basic contributions and cannot be decreased or discontinued at any time. A. Effective August 1, 2018 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2018 contribution rate. Agreement Local Union or Area Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Locals 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 B. Effective August 1, 2019 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2019 contribution rate. Agreement Local Union or Area Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Locals 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 C. Effective August 1, 2020 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2020 contribution rate. Agreement Local Union or Area Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Locals 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 D. Effective August 1, 2021 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2021 contribution rate. Agreement Local Union or Area Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Locals 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 E. Effective August 1, 2022 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2022 contribution rate. Agreement Local Union or Area Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Locals 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 NOTE: Local 396, 481, 495, 959 and 996 do not participate in the Western Conference of Teamsters Prepaid Legal Service Plan and the cost of this premium ten cents ($0.10) per hour is included in the Western Conference of Teamsters Pension Rate (Package/Feeder and Sort). In the event the Western Conference of Teamsters Prepaid Legal Trust is discontinued because of losing its tax exemption, the cost of ten cents ($0.10) per hour will be diverted to the Western Conference of Teamsters Pension Plan on behalf of all participating employees covered by the respective Package/Feeder Addenda and the Local 396 Addendum and to the Pacific Coast Benefit Trust on behalf of all participating employees covered by respective Sort Addenda.

HEALTH AND WELFARE AND/OR PENSION. The Union is willing to entertain the concept of “buying” uniform pension contribution language contingent upon the actual cost of said language. The Employer will provide this information to the Union within six (6) months from the ratification date of this Agreement. It is agreed that should the Western Conference of Teamsters Pension Pen- sion Trust Fund modify contribution rules during the life of this Agreement, the Employer and the Union shall meet and negotiate a fair and equitable resolution to allow United Parcel Service and the Union to participate and share in cost savings that might occur as a result of such modifications. For probationary employees hired on or after August 1st, 2002, the Employer shall pay an hourly contribution rate of ten cents ($0.10) (including $0.01 for PEER/80 for full-time employees and PEER/84 for part-time employees) during the probationary period as defined in Article 4, Section 1, but in no case for a period longer than the first ninety (90) calendar days from an employees employee’s first date of hire. If and when this period is completed, the full standard contribution rate shall apply. Contributions shall be calculated on the same basis as described in this Article. Pension contributions payable into the Western Conference of Teamsters Pension Trust Fund on account of each part-time and full-time employee of the bargaining unit shall be paid for each hour for which compensation was paid (all compensable hours) up to a maximum of 2080 hours per calendar year. The respective Riders and/or Addendums signatory to this Agreement Agree- ment shall reduce to writing the agreed to method for each Rider and/or Addendum which funds the increased pension benefit of all part-time and full-time employees being paid for each hour for which compensation was paid (all compensable hours) up to a maximum max- imum of 2080 hours per calendar year. The one dollar ($1.00) per hour effective August 1, 20132023, the one dollar ($1.00) per hour effective August 1, 20142024, the one dollar ($1.00) per hour effective August 1, 20152025, the one dollar ($1.00) per hour effective August 1, 2016 2026 and the one dollar ($1.00) per hour effective August 1, 2017 2027 set forth in National Master United Parcel Service Agreement Article 34 - 34—Health & Welfare and Pension Pen- sion shall be allocated allocated, to the extent available pursuant to Article 34, each year within the Western Region in accordance with Article 34 of the National Master Agreement. 1. There shall be separate Package/Feeder and Sort Riders and/or Addenda established in Oregon and Washington. The remaining areas within the Western Region of Teamsters shall retain existing separate Package/Feeder and Sort Riders and/or Addenda. 2. The Company shall continue to pay any increases necessary to maintain Health and Welfare benefits in the applicable Union Health and Welfare Plans for the term of the Labor Agreement in view of this maintenance of benefits provision, subject to Article 34, Section 1, (f). This paragraph shall not apply to the Teamsters Western Region and Local 177 Health Care Plan. (a) Part-time and full-time employees covered by a Teamster Health and Welfare Fund will continue to be covered by those funds. (b) For those full-time or part-time employees who have received re- ceived health and welfare benefits from the Company Health & Welfare Plan, benefits on and after January 1, 2014 will be provided pro- vided by Teamsters Western Region and Local 177 Health Care Plan in accordance with the Letter of Agreement on the Teamsters Team- sters Western Region and Local 177 Health Care Plan dated September Sep- tember 6, 2013. The Company will continue to provide health&welfare health & welfare benefit coverage under the existing plan through December Decem- ber 31, 2013. For all full-time and part-time employees who receive health and welfare benefits from the Teamsters Western Region and Local 177 Health Care Plan the employer shall make health and welfare con- tributions for employees who have been injured on the job for a period of one (1) year, and for employees who are ill or have been injured off the job for a period of four (4) weeks, with the Team- sters Western Region and Local 177 Plan covering the remaining weeks up to a maximum of twenty-six (26) weeks. (c) Any eligible employee covered by this Section who retires effective ef- fective January 1, 2014 or thereafter shall be provided retiree medical med- ical benefits through the Teamsters Western Region and Local 177 Health Care Plan. (d) Current retirees who are receiving benefits through a UPS sponsored plan shall receive coverage on and after January 1, 2014 under the terms of the Memorandum Concerning UPS Sponsored Plans, attached to the National Master Agreement. 3. All employees who are covered by the terms of the respective Western Region of Teamsters Package/Feeder and Sort Agreements shall receive pension contributions into the Western Conference of Teamsters Pension Trust in accordance with Article 34 of the Na- tional Master Agreement. Pension contribution increases to the Western Conference of Teamsters Pension Trust will be made in accordance with Article 34 of the National Master Agreement and may be affected by the provisions contained in Article 34, Section 4, Paragraph 2— Health & Welfare and Pension. In accordance with, and subject to, the provisions contained in National Master United Parcel Ser- vice Agreement Article 34, Section 4, Paragraph 2—Health & Welfare and Pension, each respective Western Region of Team- sters Package/Feeder and Sort Agreement may exercise the right to re-allocate pension contributions to general wage increases and any such decision to do so will be reflected in each respective Agreement. 4. Package/Feeder Agreement Effective on the date indicated below, the Employer shall pay total contributions split between amounts for accrual of benefits and amounts for PEER 80 under the Program for Enhanced Early Re- tirement (PEER). The contributions required to provide PEER 80 will not be taken into consideration for benefit accrual purposes under the plan. The contributions for PEER 80 must at all times be 16.5% of the basic contributions and cannot be decreased or dis- continued at any time. A. Effective August 1, 2023 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in ac- cordance with Article 34 of the National Master Agreement and will be added to the 7/31/2023 contribution rate. Agreement Area Local Union or Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Local 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 B. Effective August 1, 2024 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in ac- cordance with Article 34 of the National Master Agreement and will be added to the 7/31/2024 contribution rate. Agreement Area Local Union or Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Local 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 C. Effective August 1, 2025 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in ac- cordance with Article 34 of the National Master Agreement and will be added to the 7/31/2025 contribution rate. Agreement Area Local Union or Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Local 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 D. Effective August 1, 2026 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in ac- cordance with Article 34 of the National Master Agreement and will be added to the 7/31/2026 contribution rate. Agreement Area Local Union or Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Local 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 E. Effective August 1, 2027 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in ac- cordance with Article 34 of the National Master Agreement and will be added to the 7/31/2027 contribution rate. Agreement Area Local Union or Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Local 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 NOTE: Local 396, 481, 495, 959 and 996 do not participate in the Western Conference of Teamsters Prepaid Legal Service Plan and the cost of this premium ten cents ($0.10) per hour is included in the Western Conference of Teamsters Pension Rate (Package/Feeder and Sort). In the event the Western Conference of Teamsters Prepaid Le- gal Trust is discontinued because of losing its tax exemption, the cost of ten cents ($0.10) per hour will be diverted to the Western Confer- ence of Teamsters Pension Plan on behalf of all participating employ- ees covered by the respective Package/Feeder Addenda and the Local 396 Addendum and to the Pacific Coast Benefit Trust on behalf of all participating employees covered by respective Sort Addenda. 5. Sort Agreement Effective on the date indicated below, the Employer shall pay total contributions split between amounts for the accrual of benefits and amounts for PEER 84 under the Program for Enhanced Early Retire- ment (PEER). The contributions required to provide PEER 84 will not be taken into consideration for benefit accrual purposes under the Plan. The contributions for PEER 84 must at all times be 6.5% of the basic contributions and cannot be decreased or discontinued at any time. A. Effective August 1, 2023 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in ac- cordance with Article 34 of the National Master Agreement and will be added to the 7/31/2023 contribution rate. Agreement Area Local Union or Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Locals 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 B. Effective August 1, 2024 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in ac- cordance with Article 34 of the National Master Agreement and will be added to the 7/31/2024 contribution rate. Agreement Area Local Union or Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Locals 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 C. Effective August 1, 2025 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in ac- cordance with Article 34 of the National Master Agreement and will be added to the 7/31/2025 contribution rate. Agreement Area Local Union or Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Locals 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 D. Effective August 1, 2026 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in ac- cordance with Article 34 of the National Master Agreement and will be added to the 7/31/2026 contribution rate. Agreement Area Local Union or Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Locals 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 E. Effective August 1, 2027 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in ac- cordance with Article 34 of the National Master Agreement and will be added to the 7/31/2027 contribution rate. Agreement Area Local Union or Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Locals 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 NOTE: Local 396, 481, 495, 959 and 996 do not participate in the Western Conference of Teamsters Prepaid Legal Service Plan and the cost of this premium ten cents ($0.10) per hour is included in the Western Conference of Teamsters Pension Rate (Package/Feed- er and Sort). In the event the Western Conference of Teamsters Pre- paid Legal Trust is discontinued because of losing its tax exemp- tion, the cost of ten cents ($0.10) per hour will be diverted to the Western Conference of Teamsters Pension Plan on behalf of all participating employees covered by the respective Package/Feeder Addenda and the Local 396 Addendum and to the Pacific Coast Benefit Trust on behalf of all participating employees covered by respective Sort Addenda.

HEALTH AND WELFARE AND/OR PENSION. The Union is willing to entertain the concept of “buying” uniform pension contribution language contingent upon the actual cost of said language. The Employer will provide this information to the Union within six (6) months from the ratification date of this Agreement. It is agreed that should the Western Conference of Teamsters Pension Trust Fund modify contribution rules during the life of this Agreement, the Employer and the Union shall meet and negotiate a fair and equitable resolution to allow United Parcel Service and the Union to participate and share in cost savings that might occur as a result of such modifications. For probationary employees hired on or after August 1st, 2002, the Employer shall pay an hourly contribution rate of ten cents ($0.10) (including $0.01 for PEER/80 for full-time employees and PEER/84 for part-time employees) during the probationary period as defined in Article 4, Section 1, but in no case for a period longer than the first ninety (90) calendar days from an employees first date of hire. If and when this period is completed, the full standard contribution con- tribution rate shall apply. Contributions shall be calculated on the same basis as described in this Article. Pension contributions payable into the Western Conference of Teamsters Pension Trust Fund on account of each part-time and full-time employee of the bargaining unit shall be paid for each hour for which compensation was paid (all compensable hours) up to a maximum of 2080 hours per calendar year. The respective Riders and/or Addendums signatory to this Agreement shall reduce to writing the agreed to method for each Rider and/or Addendum which funds the increased pension benefit of all part-time and full-time employees being paid for each hour for which compensation was paid (all compensable hours) up to a maximum max- imum of 2080 hours per calendar year. The one dollar ($1.00) per hour effective August 1, 20132008, the one dollar ($1.00) per hour effective August 1, 20142009, the one dollar ($1.00) per hour effective August 1, 20152010, the one dollar ($1.00) per hour effective August 1, 2016 2011 and the one dollar ($1.00) per hour effective August 1, 2017 2012 set forth in National Master United Parcel Service Agreement Article 34 - Health & Welfare and Pension shall be allocated each year within the Western Region as thirty-five cents ($0.35) per year to Health and Welfare and sixty-five cents ($0.65) per year to Pension in accordance with Article 34 of the National Master Agreement.following manner: 1. There shall be separate Package/Feeder and Sort Riders and/or Addenda established in Oregon and Washington. The remaining areas within the Western Region of Teamsters shall retain existing separate Package/Feeder and Sort Riders and/or Addenda. 2. The Company shall continue to pay any increases necessary to maintain Health and Welfare benefits in both the applicable Company and the respective Union Health and Welfare Plans for the term of the Labor Agreement. Monies allocated to Health and Welfare under Article 34 – Health & Welfare and Pension of the National Master United Parcel Service Agreement ($0.35 per year) shall not be applicable in view of this maintenance of benefits provision, subject to Article 34, Section 1, (f). This paragraph shall not apply to the Teamsters Western Region and Local 177 Health Care Plan. (a) Part-time and full-time employees covered by a Teamster Health and Welfare Fund will continue to be covered by those funds. (b) For those full-time or part-time employees who have received health and welfare benefits from the Company Health & Welfare Plan, benefits on and after January 1, 2014 will be provided by Teamsters Western Region and Local 177 Health Care Plan in accordance with the Letter of Agreement on the Teamsters Western Region and Local 177 Health Care Plan dated September 6, 2013. The Company will continue to provide health&welfare benefit coverage under the existing plan through December 31, 2013. (c) Any eligible employee covered by this Section who retires effective January 1, 2014 or thereafter shall be provided retiree medical benefits through the Teamsters Western Region and Local 177 Health Care Plan. (d) Current retirees who are receiving benefits through a UPS sponsored plan shall receive coverage on and after January 1, 2014 under the terms of the Memorandum Concerning UPS Sponsored Plans, attached to the National Master Agreement. 3. All employees who are covered by the terms of the respective Western Region of Teamsters Package/Feeder and Sort Agreements shall receive pension contributions the following increases into the Western Conference of Teamsters Pension Trust Trust: sixty-five cents ($0.65) per hour effective August 1, 2008, an additional sixty-five cents ($0.65) per hour effective August 1, 2009, an additional sixty-five cents ($0.65) per hour effective August 1, 2010, an additional sixty-five cents ($0.65) per hour effective August 1, 2011 and an additional sixty-five cents ($0.65) per hour effective August 1, 2012. The increases set forth above may be affected by the provisions con- tained in National Master United Parcel Service Agreement Article 34, Section 4, Paragraph 2 – Health & Welfare and Pension. In accordance with with, and subject to, the provisions contained in National Master United Parcel Service Agreement Article 34 34, Section 4, Paragraph 2 – Health & Welfare and Pension, each respective Western Region of Teamsters Package/Feeder and Sort Agreement may exercise the right to re-allocate pension contribu- tions to general wage increases and any such decision to do so will be reflected in each respective Agreement. 4. Package/Feeder Agreement Effective on the date indicated below, the Employer shall pay total contributions split between amounts for accrual of benefits and amounts for PEER 80 under the Program for Enhanced Early Retirement (PEER). The contributions required to provide PEER 80 will not be taken into consideration for benefit accrual purposes under the plan. The contributions for PEER 80 must at all times be 16.5% of the National Master Agreementbasic contributions and cannot be decreased or discon- tinued at any time. A. Effective August 1, 2008 B. Effective August 1, 2009 C. Effective August 1, 2010 Agreement Area Local Union or Joint Council Basic Contribution Peer/80 Total Contribution Arizona Local 104 $7.13 $1.17 $8.30 New Mexico Local 492 $7.13 $1.17 $8.30 S. Nevada Local 631 $7.13 $1.17 $8.30 S. California JC 42 $7.13 $1.17 $8.30 S. California Local 396/481/495 $7.25 $1.20 $8.45 Oregon JC 37 $7.32 $1.21 $8.53 Xxxxxxxxxx XX 28 (See JC 28 Rider & Sort Supplemental Agreements) Montana, Utah & Idaho JC 3 $7.30 $1.20 $8.50 Idaho Local 483 $7.32 $1.21 $8.53 Alaska Local 959 $3.35 $0.55 $3.90 D. Effective August 1, 2011 Agreement Area Local Union or Joint Council Basic Contribution Peer/80 Total Contribution Arizona Local 104 $7.68 $1.27 $8.95 New Mexico Local 492 $7.68 $1.27 $8.95 S. Nevada Local 631 $7.68 $1.27 $8.95 S. California JC 42 $7.68 $1.27 $8.95 S. California Local 396/481/495 $7.81 $1.29 $9.10 Oregon JC 37 $7.88 $1.30 $9.18 Xxxxxxxxxx XX 28 (See JC 28 Rider & Sort Supplemental Agreements) Montana, Utah & Idaho JC 3 $7.85 $1.30 $9.15 Idaho Local 483 $7.88 $1.30 $9.18 Alaska Local 959 $3.35 $0.55 $3.90

HEALTH AND WELFARE AND/OR PENSION. The Union is willing to entertain the concept of “buying” uniform pension contribution language contingent upon the actual cost of said language. The Employer will provide this information to the Union within six (6) months from the ratification date of this Agreement. It is agreed that should the Western Conference of Teamsters Pension Pen- sion Trust Fund modify contribution rules during the life of this Agreement, the Employer and the Union shall meet and negotiate a fair and equitable resolution to allow United Parcel Service and the Union to participate and share in cost savings that might occur as a result of such modifications. For probationary employees hired on or after August 1st, 2002, the Employer shall pay an hourly contribution rate of ten cents ($0.10) (including $0.01 for PEER/80 for full-time employees and PEER/84 for part-time employees) during the probationary period as defined in Article 4, Section 1, but in no case for a period longer than the first ninety (90) calendar days from an employees employee’s first date of hire. If and when this period is completed, the full standard contribution rate shall apply. Contributions shall be calculated on the same basis as described in this Article. Pension contributions payable into the Western Conference of Teamsters Pension Trust Fund on account of each part-time and full-time employee of the bargaining unit shall be paid for each hour for which compensation was paid (all compensable hours) up to a maximum of 2080 hours per calendar year. The respective Riders and/or Addendums signatory to this Agreement Agree- ment shall reduce to writing the agreed to method for each Rider and/or Addendum which funds the increased pension benefit of all part-time and full-time employees being paid for each hour for which compensation was paid (all compensable hours) up to a maximum of 2080 hours per calendar year. The one dollar ($1.00) per hour effective August 1, 20132018, the one dollar ($1.00) per hour effective August 1, 20142019, the one dollar ($1.00) per hour effective August 1, 20152020, the one dollar ($1.00) per hour effective August 1, 2016 2021 and the one dollar ($1.00) per hour effective August 1, 2017 2022 set forth in National Master United Parcel Service Agreement Article 34 - Health & Welfare and Pension shall be allocated each year within the Western Region in accordance with Article 34 of the National Master Agreement. 1. There shall be separate Package/Feeder and Sort Riders and/or Addenda established in Oregon and Washington. The remaining areas within the Western Region of Teamsters shall retain existing separate Package/Feeder and Sort Riders and/or Addenda. 2. The Company shall continue to pay any increases necessary to maintain Health and Welfare benefits in the applicable Union Health and Welfare Plans for the term of the Labor Agreement in view of this maintenance of benefits provision, subject to Article 34, Section 1, (f). This paragraph shall not apply to the Teamsters Western Region and Local 177 Health Care Plan. (a) Part-time and full-time employees covered by a Teamster Health and Welfare Fund will continue to be covered by those funds. (b) For those full-time or part-time employees who have received health and welfare benefits from the Company Health & Welfare Plan, benefits on and after January 1, 2014 will be provided by Teamsters Western Region and Local 177 Health Care Plan in accordance with the Letter of Agreement on the Teamsters Western West- ern Region and Local 177 Health Care Plan dated September 6, 2013. The Company will continue to provide health&welfare health & welfare benefit coverage under the existing plan through December 31, 2013. For all full-time and part-time employees who receive health and welfare benefits from the Teamsters Western Region and Local 177 Health Care Plan the employer shall make health and welfare con- tributions for employees who have been injured on the job for a period of one (1) year, and for employees who are ill or have been injured off the job for a period of four (4) weeks, with the Team- sters Western Region and Local 177 Plan covering the remaining weeks up to a maximum of twenty-six (26) weeks. (c) Any eligible employee covered by this Section who retires effective ef- fective January 1, 2014 or thereafter shall be provided retiree medical med- ical benefits through the Teamsters Western Region and Local 177 Health Care Plan. (d) Current retirees who are receiving benefits through a UPS sponsored spon- sored plan shall receive coverage on and after January 1, 2014 under un- der the terms of the Memorandum Concerning UPS Sponsored Plans, attached to the National Master Agreement. 3. All employees who are covered by the terms of the respective Western Region of Teamsters Package/Feeder and Sort Agreements shall receive pension contributions into the Western Conference of Teamsters Pension Trust in accordance with Article 34 of the Na- tional Master Agreement. Pension contribution increases to the Western Conference of Team- sters Pension Trust will be made in accordance with Article 34 of the National Master Agreement and may be affected by the provi- sions contained in Article 34, Section 4, Paragraph 2 – Health & Welfare and Pension. In accordance with, and subject to, the provi- sions contained in National Master United Parcel Service Agree- ment Article 34, Section 4, Paragraph 2 – Health & Welfare and Pension, each respective Western Region of Teamsters Package/ Feeder and Sort Agreement may exercise the right to re-allocate pension contributions to general wage increases and any such deci- sion to do so will be reflected in each respective Agreement. 4. Package/Feeder Agreement Effective on the date indicated below, the Employer shall pay total contributions split between amounts for accrual of benefits and amounts for PEER 80 under the Program for Enhanced Early Re- tirement (PEER). The contributions required to provide PEER 80 will not be taken into consideration for benefit accrual purposes under the plan. The contributions for PEER 80 must at all times be 16.5% of the basic contributions and cannot be decreased or dis- continued at any time. A. Effective August 1, 2018 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in ac- cordance with Article 34 of the National Master Agreement and will be added to the 7/31/2018 contribution rate. Agreement Area Local Union or Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Local 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 B. Effective August 1, 2019 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in ac- cordance with Article 34 of the National Master Agreement and will be added to the 7/31/2019 contribution rate. Agreement Area Local Union or Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Local 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 C. Effective August 1, 2020 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in ac- cordance with Article 34 of the National Master Agreement and will be added to the 7/31/2020 contribution rate. Agreement Area Local Union or Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Local 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Xxxxx 000 Xxxxxx Xxxxx 000 X. Effective August 1, 2021 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in ac- cordance with Article 34 of the National Master Agreement and will be added to the 7/31/2021 contribution rate. Agreement Area Local Union or Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Local 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 E. Effective August 1, 2022 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in ac- cordance with Article 34 of the National Master Agreement and will be added to the 7/31/2022 contribution rate. Agreement Area Local Union or Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Local 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 NOTE: Local 396, 481, 495, 959 and 996 do not participate in the Western Conference of Teamsters Prepaid Legal Service Plan and the cost of this premium ten cents ($0.10) per hour is included in the Western Conference of Teamsters Pension Rate (Package/Feeder and Sort). In the event the Western Conference of Teamsters Prepaid Le- gal Trust is discontinued because of losing its tax exemption, the cost of ten cents ($0.10) per hour will be diverted to the Western Confer- ence of Teamsters Pension Plan on behalf of all participating employ- ees covered by the respective Package/Feeder Addenda and the Local 396 Addendum and to the Pacific Coast Benefit Trust on behalf of all participating employees covered by respective Sort Addenda. 5. Sort Agreement Effective on the date indicated below, the Employer shall pay total contributions split between amounts for the accrual of benefits and amounts for PEER 84 under the Program for Enhanced Early Retire- ment (PEER). The contributions required to provide PEER 84 will not be taken into consideration for benefit accrual purposes under the Plan. The contributions for PEER 84 must at all times be 6.5% of the basic contributions and cannot be decreased or discontinued at any time. A. Effective August 1, 2018 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in ac- cordance with Article 34 of the National Master Agreement and will be added to the 7/31/2018 contribution rate. Agreement Area Local Union or Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Locals 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 B. Effective August 1, 2019 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in ac- cordance with Article 34 of the National Master Agreement and will be added to the 7/31/2019 contribution rate. Agreement Area Local Union or Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Locals 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 C. Effective August 1, 2020 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in ac- cordance with Article 34 of the National Master Agreement and will be added to the 7/31/2020 contribution rate. Agreement Area Local Union or Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Locals 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 D. Effective August 1, 2021 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in ac- cordance with Article 34 of the National Master Agreement and will be added to the 7/31/2021 contribution rate. Agreement Area Local Union or Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Locals 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 E. Effective August 1, 2022 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in ac- cordance with Article 34 of the National Master Agreement and will be added to the 7/31/2022 contribution rate. Agreement Area Local Union or Joint Council Arizona Local 104 New Mexico Local 492 S. Nevada Local 631 S. California JC 42 S. California Locals 396/481/495 Oregon JC 37 Xxxxxxxxxx XX 28 Montana JC 3 Utah & Idaho JC 3 Idaho Local 483 Alaska Local 959 NOTE: Local 396, 481, 495, 959 and 996 do not participate in the Western Conference of Teamsters Prepaid Legal Service Plan and the cost of this premium ten cents ($0.10) per hour is included in the Western Conference of Teamsters Pension Rate (Package/Feeder and Sort). In the event the Western Conference of Teamsters Prepaid Le- gal Trust is discontinued because of losing its tax exemption, the cost of ten cents ($0.10) per hour will be diverted to the Western Confer- ence of Teamsters Pension Plan on behalf of all participating employ- ees covered by the respective Package/Feeder Addenda and the Local 396 Addendum and to the Pacific Coast Benefit Trust on behalf of all participating employees covered by respective Sort Addenda.

HEALTH AND WELFARE AND/OR PENSION. The Union is willing to entertain the concept of “"buying” " uniform pension contribution language contingent upon the actual cost of said language. The Employer will provide this information to the Union within six (6) months from the ratification date of this Agreement. It is agreed that should the Western Conference of Teamsters Pension Trust Fund modify contribution rules during the life of this Agreement, the Employer and the Union shall meet and negotiate a fair and equitable resolution to allow United Parcel Service and the Union to participate and share in cost savings that might occur as a result of such modifications. For probationary employees hired on or after August 1st, 2002, the Employer shall pay an hourly contribution rate of ten cents ($0.10) (including $0.01 for PEER/80 for full-time employees and PEER/84 for part-time employees) during the probationary period as defined in Article 4, Section 1, but in no case for a period longer than the first ninety (90) calendar days from an employees first date of hire. If and when this period is completed, the full standard contribution rate shall apply. Contributions shall be calculated on the same basis as described in this Article. Pension contributions payable into the Western Conference of Teamsters Pension Trust Fund on account of each part-time and full-time employee of the bargaining unit shall be paid for each hour for which compensation was paid (all compensable hours) up to a maximum of 2080 hours per calendar year. The respective Riders and/or Addendums signatory to this Agreement shall reduce to writing the agreed to method for each Rider and/or Addendum which funds the increased pension benefit of all part-time and full-time employees being paid for each hour for which compensation was paid (all compensable hours) up to a maximum of 2080 hours per calendar year. The one dollar ($1.00) per hour effective August 1, 20132008, the one dollar ($1.00) per hour effective August 1, 20142009, the one dollar ($1.00) per hour effective August 1, 20152010, the one dollar ($1.00) per hour effective August 1, 2016 2011 and the one dollar ($1.00) per hour effective August 1, 2017 2012 set forth in National Master United Parcel Service Agreement Article 34 - Health & Welfare and Pension shall be allocated each year within the Western Region as thirty-five cents ($0.35) per year to Health and Welfare and sixty-five cents ($0.65) per year to Pension in accordance with Article 34 of the National Master Agreement.following manner: 1. There shall be separate Package/Feeder and Sort Riders and/or Addenda established in Oregon and Washington. The remaining areas within the Western Region of Teamsters shall retain existing separate Package/Feeder and Sort Riders and/or Addenda. 2. The Company shall continue to pay any increases necessary to maintain Health and Welfare benefits in both the applicable Company and the respective Union Health and Welfare Plans for the term of the Labor Agreement. Monies allocated to Health and Welfare under Article 34 – Health & Welfare and Pension of the National Master United Parcel Service Agreement ($0.35 per year) shall not be applicable in view of this maintenance of benefits provision, subject to Article 34, Section 1, (f). This paragraph shall not apply to the Teamsters Western Region and Local 177 Health Care Plan. (a) Part-time and full-time employees covered by a Teamster Health and Welfare Fund will continue to be covered by those funds. (b) For those full-time or part-time employees who have received health and welfare benefits from the Company Health & Welfare Plan, benefits on and after January 1, 2014 will be provided by Teamsters Western Region and Local 177 Health Care Plan in accordance with the Letter of Agreement on the Teamsters Western Region and Local 177 Health Care Plan dated September 6, 2013. The Company will continue to provide health&welfare benefit coverage under the existing plan through December 31, 2013. (c) Any eligible employee covered by this Section who retires effective January 1, 2014 or thereafter shall be provided retiree medical benefits through the Teamsters Western Region and Local 177 Health Care Plan. (d) Current retirees who are receiving benefits through a UPS sponsored plan shall receive coverage on and after January 1, 2014 under the terms of the Memorandum Concerning UPS Sponsored Plans, attached to the National Master Agreement. 3. All employees who are covered by the terms of the respective Western Region of Teamsters Package/Feeder and Sort Agreements shall receive pension contributions the following increases into the Western Conference of Teamsters Pension Trust Trust: sixty-five cents ($0.65) per hour effective August 1, 2008, an additional sixty-five cents ($0.65) per hour effective August 1, 2009, an additional sixty-five cents ($0.65) per hour effective August 1, 2010, an additional sixty-five cents ($0.65) per hour effective August 1, 2011 and an additional sixty-five cents ($0.65) per hour effective August 1, 2012. The increases set forth above may be affected by the provisions contained in National Master United Parcel Service Agreement Article 34, Section 4, Paragraph 2 – Health & Welfare and Pension. In accordance with with, and subject to, the provisions contained in National Master United Parcel Service Agreement Article 34 34, Section 4, Paragraph 2 – Health & Welfare and Pension, each respective Western Region of Teamsters Package/Feeder and Sort Agreement may exercise the right to re-allocate pension contributions to general wage increases and any such decision to do so will be reflected in each respective Agreement. 4. Package/Feeder Agreement Effective on the date indicated below, the Employer shall pay total contributions split between amounts for accrual of benefits and amounts for PEER 80 under the Program for Enhanced Early Retirement (PEER). The contributions required to provide PEER 80 will not be taken into consideration for benefit accrual purposes under the plan. The contributions for PEER 80 must at all times be 16.5% of the National Master Agreementbasic contributions and cannot be decreased or discontinued at any time. A. Effective August 1, 2008 Agreement Area Local Union or Joint Council Basic Contribution Peer/80 Total Contribution Arizona Local 104 $6.01 $0.99 $7.00 New Mexico Local 492 $6.01 $0.99 $7.00 S. Nevada Local 631 $6.01 $0.99 $7.00 S. California JC 42 $6.01 $0.99 $7.00 S. California Local 396/481/495 $6.14 $1.01 $7.15 Oregon JC 37 $6.21 $1.02 $7.23 Xxxxxxxxxx XX 28 (See JC 28 Rider & Sort Supplemental Agreements) Montana, Utah & Idaho JC 3 $6.18 $1.02 $7.20 Idaho Local 483 $6.21 $1.02 $7.23 Alaska Local 959 $3.35 $0.55 $3.90 B. Effective August 1, 2009 Agreement Area Local Union or Joint Council Basic Contribution Peer/80 Total Contribution Arizona Local 104 $6.57 $1.08 $7.65 New Mexico Local 492 $6.57 $1.08 $7.65 S. Nevada Local 631 $6.57 $1.08 $7.65 S. California JC 42 $6.57 $1.08 $7.65 S. California Local 396/481/495 $6.70 $1.10 $7.80 Oregon JC 37 $6.76 $1.12 $7.88 Xxxxxxxxxx XX 28 (See JC 28 Rider & Sort Supplemental Agreements) Montana, Utah & Idaho JC 3 $6.74 $1.11 $7.85 Idaho Local 483 $6.76 $1.12 $7.88 Alaska Local 959 $3.35 $0.55 $3.90 C. Effective August 1, 2010 Agreement Area Local Union or Joint Council Basic Contribution Peer/80 Total Contribution Arizona Local 104 $7.13 $1.17 $8.30 New Mexico Local 492 $7.13 $1.17 $8.30 S. Nevada Local 631 $7.13 $1.17 $8.30 S. California JC 42 $7.13 $1.17 $8.30 S. California Local 396/481/495 $7.25 $1.20 $8.45 Oregon JC 37 $7.32 $1.21 $8.53 Xxxxxxxxxx XX 28 (See JC 28 Rider & Sort Supplemental Agreements) Montana, Utah & Idaho JC 3 $7.30 $1.20 $8.50 Idaho Local 483 $7.32 $1.21 $8.53 Alaska Local 959 $3.35 $0.55 $3.90 D. Effective August 1, 2011 Agreement Area Local Union or Joint Council Basic Contribution Peer/80 Total Contribution Arizona Local 104 $7.68 $1.27 $8.95 New Mexico Local 492 $7.68 $1.27 $8.95 S. Nevada Local 631 $7.68 $1.27 $8.95 S. California JC 42 $7.68 $1.27 $8.95 S. California Local 396/481/495 $7.81 $1.29 $9.10 Oregon JC 37 $7.88 $1.30 $9.18 Xxxxxxxxxx XX 28 (See JC 28 Rider & Sort Supplemental Agreements) Montana, Utah & Idaho JC 3 $7.85 $1.30 $9.15 Idaho Local 483 $7.88 $1.30 $9.18 Alaska Local 959 $3.35 $0.55 $3.90 E. Effective August 1, 2012 Agreement Area Local Union or Joint Council Basic Contribution Peer/80 Total Contribution Arizona Local 104 $8.24 $1.36 $9.60 New Mexico Local 492 $8.24 $1.36 $9.60 S. Nevada Local 631 $8.24 $1.36 $9.60 S. California JC 42 $8.24 $1.36 $9.60 S. California Local 396/481/495 $8.37 $1.38 $9.75 Oregon JC 37 $8.44 $1.39 $9.83 Xxxxxxxxxx XX 28 (See JC 28 Rider & Sort Supplemental Agreements) Montana, Utah & Idaho JC 3 $8.41 $1.39 $9.80 Idaho Local 483 $8.44 $1.39 $9.83 Alaska 5. Sort Agreement Local 959 $3.35 $0.55 $3.90 Effective on the date indicated below, the Employer shall pay total contributions split between amounts for the accrual of benefits and amounts for PEER 84 under the Program for Enhanced Early Retirement (PEER). The contributions required to provide PEER 84 will not be taken into consideration for benefit accrual purposes under the Plan. The contributions for PEER 84 must at all times be 6.5% of the basic contributions and cannot be decreased or discontinued at any time. A. Effective August 1, 2008 Agreement Area Local Union or Joint Council Basic Contribution Peer/84 Total Contribution Arizona Local 104 $4.70 $0.30 $5.00 New Mexico Local 492 $5.00 $0.32 $5.32 S. Nevada Local 631 $4.70 $0.30 $5.00 S. California JC 42 $4.79 $0.31 $5.10 S. California Locals 396/481/495 $4.79 $0.31 $5.10 Oregon JC 37 $5.93 $0.39 $6.32 Xxxxxxxxxx XX 28 (See JC 28 Rider & Sort Supplemental Agreements) Montana, Utah & Idaho JC 3 $5.08 $0.33 $5.41 Idaho Local 483 $5.93 $0.39 $6.32 Alaska Local 959 $2.25 $0.15 $2.40 B. Effective August 1, 2009 Agreement Area Local Union or Joint Council Basic Contribution Peer/84 Total Contribution Arizona Local 104 $5.31 $0.34 $5.65 New Mexico Local 492 $5.61 $0.36 $5.97 S. Nevada Local 631 $5.31 $0.34 $5.65 S. California JC 42 $5.40 $0.35 $5.75 S. California Locals 396/481/495 $5.40 $0.35 $5.75 Oregon JC 37 $6.54 $0.43 $6.97 Xxxxxxxxxx XX 28 (See JC 28 Rider & Sort Supplemental Agreements) Montana, Utah & Idaho JC 3 $5.69 $0.37 $6.06 Idaho Local 483 $6.54 $0.43 $6.97 Alaska Local 959 $2.25 $0.15 $2.40

HEALTH AND WELFARE AND/OR PENSION. The Union is willing to entertain the concept of “buying” uniform pension contribution language contingent upon the actual cost of said language. The Employer will provide this information to the Union within six (6) months from the ratification date of this Agreement. It is agreed that should the Western Conference of Teamsters Pension Trust Fund modify contribution rules during the life of this Agreement, the Employer and the Union shall meet and negotiate a fair and equitable resolution to allow United Parcel Service and the Union to participate and share in cost savings that might occur as a result of such modifications. For probationary employees hired on or after August 1st, 2002, the Employer shall pay an hourly contribution rate of ten cents ($0.10) (including $0.01 for PEER/80 for full-time employees and PEER/84 for part-time employees) during the probationary period as defined in Article 4, Section 1, but in no case for a period longer than the first ninety (90) calendar days from an employees employee’s first date of hire. If and when this period is completed, the full standard contribution con- tribution rate shall apply. Contributions shall be calculated on the same basis as described in this Article. Pension contributions payable into the Western Conference of Teamsters Pension Trust Fund on account of each part-time and full-time employee of the bargaining unit shall be paid for each hour for which compensation was paid (all compensable hours) up to a maximum of 2080 hours per calendar year. The respective Riders and/or Addendums signatory to this Agreement shall reduce to writing the agreed to method for each Rider and/or Addendum which funds the increased pension benefit of all part-time and full-time employees being paid for each hour for which compensation was paid (all compensable hours) up to a maximum max- imum of 2080 hours per calendar year. The one dollar ($1.00) per hour effective August 1, 2013, the one dollar ($1.00) per hour effective August 1, 2014, the one dollar ($1.00) per hour effective August 1, 2015, the one dollar ($1.00) per hour effective August 1, 2016 and the one dollar ($1.00) per hour effective August 1, 2017 set forth in National Master United Parcel Service Agreement Article 34 - Health & Welfare and Pension shall be allocated each year within the Western Region in accordance with Article 34 of the National Master Agreement. 1. There shall be separate Package/Feeder and Sort Riders and/or Addenda established in Oregon and Washington. The remaining areas within the Western Region of Teamsters shall retain existing separate Package/Feeder and Sort Riders and/or Addenda. 2. The Company shall continue to pay any increases necessary to maintain Health and Welfare benefits in the applicable Union Health and Welfare Plans for the term of the Labor Agreement in view of this maintenance of benefits provision, subject to Article 34, Section 1, (f). This paragraph shall not apply to the Teamsters Western Region and Local 177 Health Care Plan. (a) Part-time and full-time employees covered by a Teamster Health and Welfare Fund will continue to be covered by those funds. (b) For those full-time or part-time employees who have received health and welfare benefits from the Company Health & Welfare Plan, benefits on and after January 1, 2014 will be provided by Teamsters Western Region and Local 177 Health Care Plan in accordance with the Letter of Agreement on the Teamsters Western Region and Local 177 Health Care Plan dated September 6, 2013. The Company will continue to provide health&welfare health & welfare benefit coverage under the existing plan through December 31, 2013. (c) Any eligible employee covered by this Section who retires effective January 1, 2014 or thereafter shall be provided retiree medical benefits through the Teamsters Western Region and Local 177 Health Care Plan. (d) Current retirees who are receiving benefits through a UPS sponsored spon- sored plan shall receive coverage on and after January 1, 2014 under the terms of the Memorandum Concerning UPS Sponsored Plans, attached to the National Master Agreement. 3. All employees who are covered by the terms of the respective Western Region of Teamsters Package/Feeder and Sort Agreements shall receive pension contributions into the Western Conference of Teamsters Pension Trust in accordance with Article 34 of the National Master Agreement. Pension contribution increases to the Western Conference of Teamsters Pension Trust will be made in accordance with Article 34 of the National Master Agreement and may be affected by the pro- visions contained in Article 34, Section 4, Paragraph 2 – Health & Welfare and Pension. In accordance with, and subject to, the provi- sions contained in National Master United Parcel Service Agreement Article 34, Section 4, Paragraph 2 – Health & Welfare and Pension, each respective Western Region of Teamsters Package/Feeder and Sort Agreement may exercise the right to re- allocate pension contributions to general wage increases and any such decision to do so will be reflected in each respective Agreement. 4. Package/Feeder Agreement Effective on the date indicated below, the Employer shall pay total contributions split between amounts for accrual of benefits and amounts for PEER 80 under the Program for Enhanced Early Retirement (PEER). The contributions required to provide PEER 80 will not be taken into consideration for benefit accrual purposes under the plan. The contributions for PEER 80 must at all times be 16.5% of the basic contributions and cannot be decreased or dis- continued at any time. A. Effective August 1, 2013 Effective August 1, 2013, twenty- five cents ($0.25) of the first year pension allocation for Local 104, Local 492, Local 631, Joint Council 42, Local 396, Local 481 and Local 495 shall be reallocated to the Teamsters Western Region and Local 177 Health Care Plan. Agreement Area Local Union or Joint Council Basic Contribution Peer/80 Total Contribution Arizona Local 104 $8.46 $1.39 $9.85 New Mexico Local 492 $8.46 $1.39 $9.85 S. Nevada Local 631 $8.46 $1.39 $9.85 S. California JC 42 $8.46 $1.39 $9.85 S. California Local 396/481/495 $8.58 $1.42 $10.00 Oregon JC 37 (The hourly pension contribution increase will be in accordance with Article 34 of the National Master Agreement and may be up to $0.50 which will be added to the 7/31/2013 contribution rate of $9.83) Xxxxxxxxxx XX 28 $8.41 $1.39 $9.80 Montana JC 3 $8.84 $1.46 $10.30 Utah & Idaho JC 3 $8.41 $1.39 $9.80 Idaho Alaska Local 483 Local 959 (The hourly pension contribution increase will be in accordance with Article 34 of the National Master Agreement and may be up to $0.50 which will be added to the 7/31/2013 contribution rate of $9.83) (The hourly pension contribution increase will be in accordance with Article 34 of the National Master Agreement - See Local 959 Rider Agreement for rates) B. Effective August 1, 2014 For each Local Union or Joint Council listed below the amount of the hourly pension contribution increase will be determined in accordance with Article 34 of the National Master Agreement and will be added to the 7/31/2014 contribution rate. Agreement Area Arizona New Mexico Local Union or Joint Council Local 104 Local 492 Basic Contribution Peer/80 Total Contribution