Common use of Health & Welfare Contributions Clause in Contracts

Health & Welfare Contributions. The Employer shall continue to contribute to the same Health and Welfare Funds it was contributing to as of March 31, 2019 and abide by each Fund’s rules and regulations. The Employer shall execute all documents and participation agreements required by each Fund to maintain participation. The Employer shall continue to contribute at the rates required as of March 31, 2019 as determined by the applicable Fund. Effective August 1, 2019 and each August 1 thereafter during the life of the Agreement, the Employer shall increase its contribution by the amount determined by the Funds, as being necessary to maintain benefits and/or comply with legally mandated benefit levels, not to exceed an increase of up to $0.50 per hour (or weekly/monthly equivalent) per year. August 1, 2019 $ .50 per hour August 1, 2020 $ .50 per hour August 1, 2021 $ .50 per hour August 1, 2022 $ .50 per hour August 1, 2023 $ .50 per hour Once a Fund issues a determination that an increase is reasonably necessary to maintain benefits in a given year, the increase shall become due and owing upon written notice from the Fund to the Employer, provided the combined Health and Welfare increase does not exceed $0.50 per hour. The Article 20 approval process is no longer required. If the Employer refuses to honor a request for an increase from the applicable Fund, the matter shall proceed directly to the National Grievance Committee for consideration. If the National Grievance Committee deadlocks, the request of the Fund shall prevail and be honored by the Employer. Failure to comply within seventy-two (72) hours shall constitute an immediate delinquency. For the funds listed below, however, the following guaranteed contribution rate increases shall apply, regardless of need: • Central Pennsylvania Teamsters Health & Welfare Fund • Central States, Southeast and Southwest Areas, Health and Welfare Fund • Local 705 International Brotherhood of Teamsters Health & Welfare Plan • Local 710 International Brotherhood of Teamsters Health & Welfare Plan • Michigan Conference of Teamsters Welfare Fund • Suburban Teamsters of Northern Illinois Welfare Fund • Teamsters Health and Welfare Fund of Philadelphia and Vicinity • Western Teamsters Welfare Trust August 1, 2019 $ .40 per hour August 1, 2020 $ .42 per hour August 1, 2021 $ .45 per hour August 1, 2022 $ .50 per hour August 1, 2023 $ .50 per hour Monthly, daily and/or weekly contributions shall be converted from the hourly contributions in accordance with past practice. The trigger in all Supplements for qualifying for a week’s health and welfare contribution will remain three (3) days, except for Supplements that have a longer requirement. Those Supplements on an hourly contribution will continue their respective practices. The trigger for the obligation to make health & welfare contributions in Supplements that provide for a monthly-based contribution shall remain the same.