Sigma Corporation , 700 Goldman Drive, Cream Ridge, NJ08514

Sigma Corporation, 700 Goldman Drive, Cream Ridge, NJ08514

SIGMA

Employee

Manual

(January 2009)

ATTENTION

THE POLICIES, PRACTICES AND PROCEDURES PUBLISHED BY SIGMA AS CONTAINED IN THIS MANUAL ARE NOT IN ANY WAY TO BE INTERPRETED AS AN EMPLOYMENT CONTRACT BETWEEN SIGMA AND ANY OF OUR EMPLOYEES. THERE IS NO PROMISE OF ANY KIND BY SIGMA CONTAINED IN THIS MANUAL, AND REGARDLESS OF WHAT THE MANUAL SAYS OR PROVIDES, SIGMA PROMISES NOTHING AND REMAINS FREE TO CHANGE WAGES AND ALL OTHER WORKING CONDITIONS WITHOUT HAVING TO CONSULT WITH ANYONE AND WITHOUT ANYONE’S AGREEMENT.

SIGMA CONTINUES TO HAVE THE ABSOLUTE POWER TO FIRE ANYONE AT ANY TIME, WITH OR WITHOUT CAUSE, AND WITH OR WITHOUT PRIOR NOTICE. THIS MANUAL SUPERSEDES AND REPLACES ALL PRIOR OR EXISTING MANUALS, WRITTEN POLICIES, ORAL POLICIES, OR PRACTICES IN EFFECT PRIOR TO THE EFFECTIVE DATE OF THIS MANUAL.

No individual other than the President has the authority to enter into any employment or other agreement that modifies SIGMA policy. Any such modification must be in writing.

PURPOSE OF THIS MANUAL

This Employee Manual is intended to provide you with general information and guidelines for the exercise of management discretion in the personnel area. It contains general statements of policy and it should not be read as including the fine details of each policy, nor as forming an express or implied contract or promise that the policies discussed in it will be applied to all cases.

This manual is the property of SIGMA, and it is intended solely for use by SIGMA’s supervisors and employees. Circulation of the manual outside of SIGMA requires the prior written approval of the Human Resources Manager.

Should any provision of this Employee Manual be found to be invalid, such finding does not invalidate the entire Employee Manual.

Table Of Contents

Prepared by: Dave PressReviewed by: Siddharth Bhattacharji

Date: 1/4/2009Page 1Revision 2

Sigma Corporation, 700 Goldman Drive, Cream Ridge, NJ08514

Purpose Of This Manual 2

Personnel Administration4

Your Personnel File4

Employment Policies 4 Introductory Period5

Summary Of Benefits 5

At Will Employment5

Business Hours5

Confidential Information6

Customer Relations6

Equal Employment Opportunity6

Harassment6

Health Examinations7

Non-Compete Agreement7

Proof Of U.S. Citizenship And/Or

Right To Work7

We Need Your Ideas8

Disciplinary Actions8

Dismissal 8

Repayment of Loan/Advance8 Docking From Wages9

Error In Pay9

Overtime Pay9

Pay Period & Hours9

Pay Cycle9

Paycheck Distribution Procedures9

Inclement Weather9

Wage & Salary Policies10

Paycheck Deductions (Mandatory)10

Deductions (Other)/Direct Deposit10

Time Cards / Records10

Wage Assignments (Garnishments)11

Performance Reviews11

Work Schedule11

Absence Or Lateness12

Attendance12

Closure After Starting Time12

Lunch Period12

Lunch Room Facility13

Record Of Absence Or Lateness 13

Paid Leaves Of Absence 13

Holidays 13

Recognized Holidays 13

Holiday Policies 14

Paid Vacation 14

Vacation Policies 15

Payment In Lieu Of Vacation 15

Other Paid Leaves 15

Funeral (Bereavement) Leave 15

Jury Duty 15

Personal Leave/Sick Leave 15

Unpaid Leaves Of Absence 16

Family and Medical Leave 16

Personal Leave 17

Salary Continuation During Leave 18

Outside Employment During

Unpaid Leave 18

Workers' Compensation 18

Unemployment Compensation 19

Social Security 19

Bulletin Boards 19

Communications 19

SIGMA Meetings 20

Dress Code / Personal Appearance 20

Exit Interviews 20

Neutral References 20

Expense Reimbursement 20

Internet and Web Access 20

Grievances & Suggestions 21

Housekeeping 21

Payroll Advances 21

Personal Phone Calls 22

Return Of SIGMA Property 22

Uniforms 22

Safety Rules 22

Smoking 23

Alcohol & Controlled Substances

Policy 23

Substance Abuse 24

Violations Of Policies 24

Receipt & Acknowledgement 25

Employee Acknowledgement 26

Prepared by: Dave PressReviewed by: Siddharth Bhattacharji

Date: 1/4/2009Page 1Revision 2

Sigma Corporation, 700 Goldman Drive, Cream Ridge, NJ08514

Personnel Administration

The task of handling personnel records and related personnel administration functions at SIGMA has been assigned to the Human Resources Department. Questions regarding insurance, wages, and interpretation of policies may be directed to the Manager of Human Resources.

Your Personnel File

Keeping your personnel file up-to-date can be important to you with regard to pay, deductions, benefits and other matters. If you have a change in any of the following items, please be sure to notify your supervisorand Human Resources in writing as soon as possible:

1.Legal name

2.Home address

3.Home telephone number

4.Person to call in case of emergency

5.Number of dependents

6.Marital status

7.Change of beneficiary

8.Military or draft status

9.Exemptions on your W-4 tax form

10.Immigration Status

Coverage or benefits that you and your family may receive under SIGMA's benefits package could be negatively affected if the information in your personnel file is incorrect.

Since SIGMA refers to your personnel file when we need to make decisions in connection with promotions, transfers, layoffs and recalls, it's to your benefit to be sure your personnel file includes information about completion of educational or training courses, outside civic activities, and areas of interest and skills that may not be part of your current position here.

You may see information that is kept in your own personnel file if you wish, and you may request and receive copies of all documents you have signed. Please ask your supervisor to make arrangements for you with Human Resources.

Employment Policies

Whether you are a new hire or a former employee returning to SIGMA, you may feel a little strange in your new surroundings. Your fellow employees, especially your supervisor, want to help you get off to a good start. Feel free to ask them for help concerning anything you don't understand.

One of the first things you should do is carefully read this Manual. It is designed to answer many of your questions about the practices and policies of SIGMA, what you can expect from SIGMA, and what SIGMA expects from you.

Summary of Benefits for Regular Full-Time Employees

SIGMA is committed to a creating the right conditions for a highly motivated family of employees. It recognizes that productivity can be expected when the employees have a high morale and our benefits package is tailored to attract and retain the best employees. Our benefits package includes:

Health Insurance (Medical/Dental/Prescription) for Employee and Family with a nominal employee contribution

Vision Plan

Paid Annual Holidays

Paid Vacation

Personal / Sick Days

401(K) Retirement Account with Matching Contribution from SIGMA

Flexible Spending Account

Company Paid Life Insurance (1x salary with a $50,000 maximum)

Introductory Period

SIGMA attempts to hire the best employees for the job. To ensure this, SIGMA provides for an initial period of employment for the employee to assess Sigma and the job content, and for SIGMA to determine whether the employee shall become eligible for company benefits. All new employees must complete to SIGMA’s satisfaction an introductory period (thirty (30) days for salaried employees and ninety (90) days for hourly employees) beginning with the date of initial employment. The employee’s supervisor will conduct a performance review before the introductory period is completed. At SIGMA’s discretion, an employee’s introductory period may be extended one or more times.

Employees are not eligible for and do not earn benefits during the introductory period. Upon successful completion of the introductory period, an employee will become a regular employee. Completion of the introductory period does not, however, guarantee employment for any specific duration or change the at-will status of regular employment.

At Will Employment

All employment at SIGMA is "at will". This means that both employees and SIGMA have the right to terminate employment at any time, with or without cause. No one other than the President has the authority to alter this arrangement, to enter into an agreement for employment for a specific period of time, or to make any agreement contrary to this policy, and any such agreement must be in writing and must be signed by the President.

Business Hours

Our regular operating hours are 8 A.M. to 5 P.M.(local time) Monday through Friday for all facilities. Certain employees may be assigned an earlier or later starting time based on business needs. Most employees are assigned to work a forty (40) hour workweek. Your particular hours of work and the scheduling of your lunch period will be determined and assigned by your supervisor.

Confidential Information

Your employment with SIGMA assumes an obligation to maintain confidentiality, even after you leave our employ. Any violation of confidentiality seriously injures SIGMA's reputation and effectiveness.

No one is permitted to remove, transmit or make copies of any SIGMA records, reports or documents without management’s prior written approval.

Because of its seriousness, disclosure of confidential information could lead to dismissal.

Customer Relations

The success of SIGMA depends upon the quality of the relationships between SIGMA, our employees, our customers, our suppliers and the general public. Our customers' impression of SIGMA and their interest and willingness to purchase from us is greatly formed by the people who serve them. In a sense, regardless of your position, you are SIGMA's ambassador. The more goodwill you promote, the more our customers will respect and appreciate you, SIGMA and SIGMA's products and services.

Equal Employment Opportunity

SIGMA provides equal employment opportunity providing for the treatment of all employees and applicants for employment without unlawful discrimination as to race, creed, color, national origin, religion, sex, age, disability, marital status, sexual orientation, citizenship status or any other basis prohibited by law. In addition, laws regarding veterans' status are observed. This is reflected in all SIGMA practices and employment decisions including but not limited to recruitment, hiring, compensation, training and apprenticeship, promotion, upgrading, demotion, downgrading, transfers, lay-off and termination, and all other terms of employment.

It is the responsibility of any employee who feels that he has been harassed or discriminated against, or who witnesses an act of harassment or discrimination, to report that act in conformity with the complaint procedure detailed below under the heading “Harassment”.

Note: Throughout this Employee Manual, masculine pronouns such as he, his, or him shall be construed so as to include both sexes.

Harassment

SIGMA intends to provide a work environment that is pleasant, healthy, comfortable, and free from intimidation, hostility or other offenses that might interfere with work performance. Harassment of any sort verbal, physical and/or visual will not be tolerated.

Sexual harassment may include unwelcome sexual advances, requests for sexual favors, sending of unwelcome messages by electronic mail, fax or written notes, other verbal or physical contact of a sexual nature when such conduct creates an intimidating environment, prevents an individual from effectively performing the duties of their position, or when such conduct is made a condition of employment or compensation, either implicitly or explicitly.

As a SIGMA employee, you are responsible for keeping our work environment free of harassment. Any employee, who becomes aware of an incident of harassment, whether by witnessing the incident or being told of it, must report it to your immediate supervisor, Human Resources or any officer of SIGMA. When SIGMA becomes aware that harassment might exist, it is obligated by law to take prompt and appropriate action, whether or not the victim wants SIGMA to do so.

If you feel that you have experienced harassment, report the incident immediately to your immediate supervisor, Human Resources or any officer of SIGMA. Appropriate investigation and disciplinary action, if warranted, will be taken. All reports will be promptly investigated with due regard for the privacy of everyone involved. Any employee found to have harassed a fellow employee or subordinate will be subject to severe disciplinary action or possible discharge. SIGMA will also take any additional action necessary to appropriately correct the situation. SIGMA will not retaliate against any employee who makes a good faith report of alleged harassment, even if the employee was in error.

SIGMA accepts no liability for harassment of one employee by another employee. The individual who makes unwelcome advances, threatens or in any way harasses another employee can be personally liable for such actions and their consequences. SIGMA will reserve its right to refuse to provide legal, financial or any other assistance to an individual accused of harassment if a legal complaint is filed.

Health Examinations

Your employment with SIGMA may be contingent on passing a physical / health examination at SIGMA's expense. Also, at any point during your employment, you may be asked to undergo a health examination on SIGMA time and at SIGMA's expense, to ensure that you are physically capable of handling the tasks involved in your job position safely and without possible harm to others.

Non-Compete Agreement

Certain new employees, such as outside/field salespeople and others, may be required to sign a Non-Compete Agreement as a condition of employment.

Proof Of U.S. Citizenship And/Or Right To Work

Federal regulations require that 1) before becoming employed, all applicants must complete and sign a Federal Form I-9, Employment Eligibility Verification Form; and 2) all applicants who are hired need to present documents of identity and eligibility to work in the U. S.

We Need Your Ideas

SIGMA believes the person doing a job is in the best position to think of ways of doing it more easily, more efficiently, and more effectively. If you think of a better way of doing your job or the job of a fellow employee, discuss it with your supervisor, who will welcome your suggestions and ideas. Please give us the benefit of your unique experience and thoughts.

Disciplinary Actions

Unacceptable behavior that does not lead to immediate dismissal may be dealt with in the following manner, subject to the sole discretion of SIGMA:

Verbal Warning

First Written Warning

Second Written Warning

Third Written Warning

Dismissal

Written warnings may include the reasons for the supervisor's dissatisfaction and any supporting evidence. Disciplinary actions may also include suspensions or other measures deemed appropriate to the circumstances.

Nothing in this policy alters “at will” employment, nor requires SIGMA to issue warnings prior to an employee’s dismissal.

Dismissal

Employment and compensation with SIGMA is "at will" in that you can be terminated with or without cause, and with or without notice, at any time, at the option of either SIGMA or yourself, except as otherwise provided by law.

If your performance is unsatisfactory due to lack of ability, failure to abide by SIGMA rules or failure to fulfill the requirements of your job, you will be notified of the problem. If satisfactory change does not occur, you may be dismissed. Some incidents may result in immediate dismissal without notice of the problem and SIGMA retains the right to terminate employees without prior notification or warning.

Docking From Wages

The wages of any "non-exempt" employee who is tardy for work will be "docked" for the time not worked. A record of all lateness and absenteeism for all employees will be maintained. An “Exempt” employee will also be “docked” for time missed beyond their permissable time off.

Error In Pay

Every effort is made to avoid errors in your paycheck. If you believe an error has been made, tell your supervisor immediately. SIGMA reserves the right to seek reimbursementfor monies paid in error or above and beyond what an employee is entitled to.

Overtime Pay

From time to time, it may be necessary for you to perform overtime work in order to complete a job on time. SIGMA abides by federal and state laws governing minimum wage and overtime pay requirements. All overtime must be approved in advance by your supervisor and will be compensated at time and a half the employee’s regular hourly rate of pay for all hours in excess of forty hours during the week (with the exception of California workers who will receive time and a half of their regular hourly pay for hours in excess of eight per day in accordance with state law). When it is necessary to work overtime, you’re cooperation is anticipated. Executive, administrative, professional and outside sales employees, who are treated as “Exempt” for wage and hour purposes, are not entitled to overtime pay.

Pay Period & Hours

Our payroll workweek begins on Sunday at 12:01 a.m. and ends on Saturday at 12:00midnight.

Pay Cycle

Calendar Pay Period / Semi-Monthly: (24 pay periods per year). Payday is normally on the 15th and the 31st of every month for services performed for the period ending the 15th of the month and the end of the calendar month respectively. It is SIGMA’s policy to distribute payroll on the last working day before the regular payday when that day falls on a holiday or a week-end.

Paycheck Distribution Procedures

Paychecks are distributed at the end of the workday on payday. SIGMA encourages the use of direct deposit to haveyour pay deposited directly to your bank account.

Inclement Weather & "Acts Of God"

In the event that inclement weather, power/utility failure, fire, flood or some other "Act of God" keeps us from operating, you will receive your regular pay, provided SIGMA officially declares that it is closed for that time. Such a closure will be confirmed on the day of closure, and if that is not possible, by explanation the first day SIGMA returns for business. The decision will be made by the President, Vice President, or the appropriate Regional Manager.

Wage & Salary Policies

SIGMA has developed policies to insure wages and salaries comparable to those of other employees with similar jobs, experience and performance at SIGMA or in our industry. Our wage and salary policy is designed to attract and retain the best-qualified people available.

You are employed by SIGMA and will be carried directly on our payroll. No person may be paid directly out of petty cash or any other such fund for work performed. The only exception to this policy is where a contract relationship exists with a bona fide contractor.

Deductions From Paycheck (Mandatory)

SIGMA is required by law to make certain deductions from your paycheck each time one is prepared. Among these are your federal, state and local income taxes and your contribution to Social Security as required by law. These deductions will be itemized on your check stub. The amount of the deductions may depend on your earnings and on the information you furnish on your W-4 form regarding the number of dependents/exemptions you claim. Any change in name, address, telephone number, marital status or number of exemptions must be reported to your supervisorand Human Resources immediately, to ensure proper credit for tax purposes. The W-2 form you receive for each year indicates precisely how much of your earnings were deducted for these purposes.