JOINTLY RECOMMENDED OFFER TO EMPLOYEES

Amalgamated Sugar and Union leadership agreed on August 23, 2023 to unanimously recommend the following offer for approval by Union members.   This offer will allow Amalgamated to remain competitive in the market to attract and retain our valued employees.  The offer provides employees with significant wage increases, maintains zero-premium health insurance coverage for employees for the next five years, and introduces new benefits, including a boot allowance and a voluntary vacation buy-back program.

Ratification Bonus

The Company will pay employees a $1,000 ratification bonus if this offer is accepted and the new CBA is finalized by August 30, 2023.

Wage Increases

General Wage Increase – 8% general wage increase in Year 1

General wage increases for all job classifications as follows for the 5-year contract term:

• Year 1 – 8.0%
• Year 2 – 3.0%
• Year 3 – 3.0%
• Year 4 – 3.0%
• Year 5 – 3.0%
  • Assuming 200 hours nonscheduled overtime worked, employees not working the 12-hour rotating shift will see take home pay increase between approximately $3,300 and $6,000 per year.

Structural Wage Increases

In addition to the general wage increase, certain positions will see structural increases to remain competitive in recruiting and retaining top talent. Examples of positions that will see the additional structural increase include:

• Maintenance Lead / 1^st Class
• Electrician Lead / 1^st Class
• Welder Lead / 1^st Class
• End Foreman
  • Employees receiving a structural increase will receive an additional increase between approximately 1.50% and 11%, for a total wage increase between approximately 9.50% and 19%.
  • Assuming 200 hours of nonscheduled overtime worked, employees not working the 12-hour rotating shift will see take home pay increase between approximately $6,200 and $12,600 per year.

Factored Rate Elimination – 12-Hour Rotating Shift Employees

• Equal to an additional 2.3% general wage increase for employees assigned to a 12-hour rotating shift.
• Employees assigned to a rotating 12-hour shift will see a total general wage increase between approximately 10.5% and 22%.
• Employees working a 12-hour rotating shift will see take home pay increase between approximately $3,000 and $15,100 per year.

Merit increases absorbed with wage increases.

• The small number of employees that will receive less than 4% increase in year 1 under this offer because of existing merits will receive between a $625 and $3,125 one-time payment. Employees receiving no increase in year 2 under this offer will receive an additional lump sum payment in year 2.

Retroactive Pay

• All wage increases will be retroactive to August 1, 2023.
• However, if Union members do not approve this offer, no future offer will contain retroactive pay, and employees will not be entitled to any back pay with the higher offered wages.

 Employees eligible for benefits at 240 hours vs 1,806 hours, approximately 9 months sooner than under existing contract.

 Maintain best in class Health Care and Dental Plan

• ZERO Premiums
• $400 Individual Deductible
• $1,900 Individual Out of Pocket Max

Pension plan remains unchanged

 NEW Voluntary Vacation Sell Back Program

• Employees can sell back vacation at 100% in 40-hour increments.

NEW Boot Allowance Benefit

• Employees will receive $175 annually for the purchase of approved safety boots.

Other

• Annual prescription safety glass allowance increased from $150 to $250
• Enhanced bereavement policy allowing paid time off for employees.
• Employees no longer required to submit Jury Duty or Volunteer compensation to Company.