FINAL DRAFT (Progam Would Be Piloted for First Quarter of 2006 Before a Final Decision

Kennedy Valve – April 2006 (program will be continued for the 2nd quarter of 2006 before a final decision by the Safety Promotion Team and Management on permanency)

Suggestion Program for Employees

Kennedy Valve recognizes the power of employee participation. Employees' suggestions are important. Employees are in an excellent position to see where opportunities to improve safety and working conditions, save money, improve organizational culture, notice where duplication and/or waste exist. Employees are the best resource for suggesting ways to do things better. With such help, KV can become more efficient and effective.

Purpose

The purpose of the Employee Suggestion Program is to generate worthwhile suggestions for increasing safety and improving the quality of the work life, reducing costs, saving jobs, saving energy, saving resources, and saving time. The Safety Department will administer the Employee Suggestion Program with assistance from the Joint Safety Committee and the Safety Promotion Sub-Committee.

Why the program?

The Employee Suggestion Program provides an avenue whereby employees can freely submit their ideas for consideration. Employees are in the best position to suggest ways to enhance operations at KV.

Benefits

The Employee Suggestion Program recognizes individual creativity, initiative and ingenuity. It is educational and challenging to put together a suggestion. It is also a great feeling to be recognized by fellow employees and administration for a job well done.

Who is eligible?

All employees may submit suggestions. All eligible suggestions will receive an acknowledgment letter and will be entered in the awards drawings.

What is an eligible suggestion?

A positive and complete written suggestion on the Safety Suggestion Form (although not just for safety any more) that improves the organization. The suggestion must:

1. identify a specific problem or deficiency along with a solution. Merely submitting a problem without presenting a concrete solution may not qualify as an eligible suggestion.

2. recognizing that improvement should not wait and ideas/suggestions may be implemented any time with proper approval, the form may also be completed / submitted up to one week afterwards.

Submitting your suggestions

After completing a suggestion form, it should be placed in the employee suggestion box. The suggestion box and forms are located in the cafeteria. If desired, suggestions may be submitted through or with your supervisor. However, it is not necessary to submit a suggestion through or with your supervisor. Employees may submit as many suggestions as desired. Submissions may also be made by more than one employee if the suggestion is a group effort / idea.

Assistance to submit a suggestion will be coordinated as needed upon supervisor request.

The Safety Department will route the suggestion(s) to the appropriate department(s) or individual(s), for review (feasibility) and input. All suggestions will be given a reply, usually in 2 weeks or less. All suggestions will be reviewed periodically by the Safety Promotion Sub-Committee.

Awards

Each eligible suggestion will get each suggestor an entry in monthly and quarterly (and possibly annual) prize drawings. Two entries will be awarded for each eligible safety suggestion. All other eligible suggestions (cost, quality, etc.) will get one entry in the drawings. A single eligible suggestion qualifies for that month’s drawing and the quarterly drawing with no limit on suggestions / drawing entries.

Above and beyond the drawings, every employee that submits at least 5 eligible suggestions will also receive their choice of a $24 certificate subject to a limit of one certificate per quarter.

Above and beyond the drawings and cumulative awards, the Safety Promotion Sub-Committee and Management will also award extraordinary suggestions / improvements on a case by case basis.

Monthly Drawing (an individual can win up to two)

25 X $24 Certificate

Quarterly Drawing(an individual can only win one certificate)

25 X $49 Certificate

*Certificates will be choice of Renkos Meat, Olive Garden / Red Lobster, safety shoes or prescription safety glasses.