Employee Handbook

Welcome to Shepherd Electric Supply! We are delighted that you have chosen to join our organization and hope that you will enjoy a long and successful career with us. As you become familiar with our culture and mission, we hope you will take advantage of the opportunities to enhance your career and further Shepherd Electric Supply’s goals.

You are joining an organization that has been servicing the electrical industry since 1892. We are committed to providing quality products and service to our customers. We rely on our employees to maintain our high standards by monitoring and managing quality throughout the Company. Our people make a difference. With your active involvement, creativity, and support, Shepherd Electric Supply will continue to achieve its goals. We sincerely hope you will take pride in being an important part of Shepherd Electric Supply's success.

Please take time to review the policies contained in this handbook. This policy covers any behavior that occurs in the workplace or at company-sponsored functions. If you have questions, feel free to ask your supervisor or contact Human Resources.

Our Corporate Philosophy

To be the most successful electrical distributor in the market:

• We will constantly deliver legendary service, the type of service and attention that our customers will tell stories about.
• We will strive to achieve the highest volume of sales while diligently working to increase our profit margins.
• We will develop and nurture loyal repeat trade by finding what our customers want and making sure they get it.
• We will continue to reexamine our operations to stay fresh and responsive to our changing market requirements.
• We will hire the most qualified people we can find.

To earn the reputation as the best employer in the area:

• We must firmly believe that only a happy and professional staff can give the level of personal service we demand.
• We must support their development from within and outside our organization.
• We must talk to them, listen to them, learn from them, pay them well, and demand a lot from them.
• We must see the investment in our people as an investment in the future growth and development of our Company.
•  We must believe in a trusting relationship with our staff. In this environment, we can work out most issues together. We cannot imagine a problem that cannot effectively be resolved among ourselves.
•  We must be innovative in the areas of compensation, employee match, rewards, and recognition.
•  We must build fun and lightness into our Company in the interest of our collective mental health and peace of mind.

Employment at Will

Employment at Shepherd Electric Supply is on an at-will basis unless otherwise stated in a written individual employment agreement signed by the President of the company.

This means that either the employee or the company may terminate the employment relationship at any time, for any reason, with or without notice.

Nothing in this employee handbook is intended to create an employment agreement, express or implied. Nothing contained in this, or any other document provided to the employee is intended to be, nor should it be, construed as a contract that employment or any benefit will be continued for any period. In addition, no company representative may modify this policy for any employee or to enter into any agreement, oral or written, that changes the at-will relationship.

Any salary figures provided to an employee in annual or monthly terms are said for the sake of convenience or to facilitate comparisons and are not intended and do not create an employment contract for any specific period.

Nothing in this statement is intended to interfere with, restrain, or prevent concerted activity as protected by the National Labor Relations Act. Such activity includes employee communications regarding wages, hours, or other terms or conditions of employment. Shepherd Electric Supply employees have the right to engage in or refrain from such activities.

Equal Opportunity

Shepherd Electric Supply provides equal employment opportunities to all employees and applicants for employment without regard to race, color, ancestry, national origin, gender, sexual orientation, marital status, religion, age, disability, gender identity, results of genetic testing, or service in the military. Equal employment opportunity applies to all terms and conditions of employment, including hiring, placement, promotion, termination, layoff, recall, transfer, leave of absence, compensation, and training.

Shepherd Electric Supply expressly prohibits any form of unlawful employee harassment or discrimination based on any of the characteristics mentioned above. Improper interference with the ability of other employees to perform their expected job duties is not tolerated.

Any employees with questions or concerns about equal employment opportunities in the workplace are encouraged to bring these issues to the attention of Human Resources. The Company will not allow any form of retaliation against individuals who raise issues of equal employment opportunity. If an employee feels they have been subjected to any such retaliation, they should bring it to the attention of Human Resources immediately.

Retaliation means adverse conduct taken because an individual reported an actual or perceived violation of this policy, opposed practices prohibited by this policy, or participated in the reporting and investigation process described below. “Adverse conduct” includes but is not limited to:

(1) shunning and avoiding an individual who reports harassment, discrimination, or retaliation.

(2) expressed or implied threats or intimidation intended to prevent an individual from reporting harassment, discrimination, or retaliation; or

(3) denying employment benefits because an applicant or employee reported harassment, discrimination or retaliation or participated in the reporting and investigation process.

Complaints of harassment and/or discrimination should be filed with Human Resources.

At Shepherd Electric Supply, we welcome suggestions for continued improvement and welcome your ideas for better ways to do your job, produce or sell the products or services of our Company, or meet customer and customers needs.   We also encourage you to offer any suggestions derived from seminars/conferences, magazines, network events, podcasts, or any other outside source of information you belief would add value to the Company.

To share a suggestion for improvement, please email Suggestions@shepherdelec.com as a way for you to share your ideas. All submissions will remain anonymous and reviewed by Human Resources and Executive Management.

Shepherd Electric Supply abides by all pay-equity laws on a federal and state level, achieve fair pay across all teams within the company. This addresses issues such as:

• Prohibiting wage discrimination based on gender.
• Prohibiting employers from asking job applicants and employees about salary history or otherwise seeking such information.
• Prohibiting employers from banning wage discussions among co-workers

To ensure equal employment opportunities to qualified individuals with a disability, Shepherd Electric Supply will make reasonable accommodations for the known disability of an otherwise qualified individual, unless undue hardship on the operation of the business would result.

Employees who may require reasonable accommodation should contact Human Resources.

Shepherd Electric Supply is committed to creating and maintaining a workplace in which all employees have an opportunity to participate and contribute to the success of the business and are valued for their skills, experience, and unique perspectives. This commitment is embodied in company policy and the way we do business at Shepherd Electric Supply and is an important principle of sound business management.

Harassment Policy

Sexual and other unlawful harassment is a violation of Title VII of the Civil Rights Act of 1964 (Title VII), as amended, as well as many state laws. Harassment based on a characteristic protected by law, such as race, color, ancestry, national origin, gender, sex, sexual orientation, gender identity, marital status, religion, age, disability, veteran status, or other characteristic protected by state or federal law, is prohibited.

It is Shepherd Electric Supply’s policy to provide a work environment free of sexual and other harassment. To that end, harassment of Shepherd Electric Supply’s employees by management, supervisors, coworkers, or non-employees who are in the workplace is absolutely prohibited. Further, any retaliation against an individual who has complained about sexual or other harassment or retaliation against individuals for cooperating with an investigation of a harassment complaint is similarly unlawful and will not be tolerated. Shepherd Electric Supply will take all steps necessary to prevent and eliminate unlawful harassment.

Definition of Unlawful Harassment. “Unlawful harassment” is conduct that has the purpose or effect of creating an intimidating, hostile, or offensive work environment; has the purpose or effect of substantially and unreasonably interfering with an individual’s work performance; or otherwise adversely affects an individual’s employment opportunities because of the individual’s membership in a protected class.

Unlawful harassment includes, but is not limited to, epithets; slurs; jokes; pranks; innuendo; comments; written or graphic material; stereotyping; or other threatening, hostile, or intimidating acts based on race, color, ancestry, national origin, gender, sex, sexual orientation, marital status, religion, age, disability, veteran status, or other characteristic protected by state or federal law.

Definition of Sexual Harassment. While all forms of harassment are prohibited, special attention should be paid to sexual harassment. “Sexual harassment” is generally defined under both state and federal law as unwelcome sexual advances, requests for sexual favors, and other verbal or physical conduct of a sexual nature where:

• Submission to or rejection of such conduct is made either explicitly or implicitly a term or condition of any individual’s employment or as a basis for employment decisions; or
• Such conduct has the purpose or effect of unreasonably interfering with an individual’s work performance or creating an intimidating, hostile, or offensive work environment.

Other sexually oriented conduct, whether intended or not, that is unwelcome and has the effect of creating a work environment that is hostile, offensive, intimidating, or humiliating to workers may also constitute sexual harassment.

While it is not possible to list all those additional circumstances that may constitute sexual harassment, the following are some examples of conduct that, if unwelcome, may constitute sexual harassment depending on the totality of the circumstances, including the severity of the conduct and its pervasiveness:

• Unwanted sexual advances, whether they involve physical touching or not.
• Sexual epithets, jokes, written or oral references to sexual conduct, gossip regarding one’s sex life, comments about an individual’s body, comments about an individual’s sexual activity, deficiencies, or prowess.
• Displaying sexually live objects, pictures, or cartoons.
• Unwelcome leering, whistling, brushing up against the body, sexual gestures, or suggestive or insulting comments.
• Inquiries into one’s sexual experiences; and
• Discussion of one’s sexual activities.

Shepherd Electric Supply strives to provide a comfortable, productive, legal, and ethical work environment. To this end, we encourage all employees to bring any problems, concerns, or grievances about the workplace to the attention of your manager, and if necessary, to Human Resources or Executive Management. To help manage conflict resolution, if you believe there is inappropriate conduct the part of the Company, management, its employees, vendors, customers, or any other persons related to the Company, bring your concerns to the attention of your manager immediately. If you have already brought this matter to your manager, or if you believe they are the source of the complaint, present your concerns to Human Resources or a member of Executive Management. Describe the problem, those involved, efforts you have made to resolve the problem and any suggested solution you may have.

Conflicts of Interest (Ethics Statement)

Shepherd Electric Supply expects all employees to conduct themselves and company business in a manner that reflects the highest standards of ethical conduct, and in accordance with all federal, state, and local laws and regulations. This includes avoiding real and potential conflicts of interests.

Exactly what constitutes a conflict of interest, or an unethical business practice is both a moral and a legal question. Shepherd Electric Supply recognizes and respects the individual employee’s right to engage in activities outside of employment which are private in nature and do not in any way conflict with or reflect poorly on the company.

It is not possible to define all the circumstances and relationships that might create a conflict of interest. If a situation arises where there is a potential conflict of interest, the employee should discuss this with a manager for advice and guidance on how to proceed. The list below suggests some of the types of activity that indicate improper behavior, unacceptable personal integrity, or unacceptable ethics:

1.   Simultaneous employment by another firm that is a competitor of or supplier to Shepherd Electric Supply.

2.   Carrying on company business with a firm in which the employee, or a close relative of the employee, has a substantial ownership or interest.

3.   Holding a substantial interest in, or participating in the management of, a firm to which the company makes sales or from which it makes purchases.

4.   Borrowing money from customers or firms, other than recognized loan institutions, from which our company buys services, materials, equipment, or supplies.

5.   Accepting gifts or entertainment, more than $100 from an outside organization or agency.

6.   Speculating or dealing in materials, equipment, supplies, services, or property purchased by the company.

7.   Participating in civic or professional organization activities in a manner that divulges confidential company information.

8.   Misusing privileged information or revealing confidential data to outsiders.

9.   Using one’s position in the company or knowledge of its affairs for personal gains.

10. Engaging in practices or procedures that violate antitrust laws, commercial bribery laws, copyright laws, discrimination laws, campaign contribution laws, or other laws regulating the conduct of company business.

The protection of confidential business information and trade secrets is vital to the interests and success of Shepherd Electric Supply. Confidential information is any, and all information disclosed to or known by you because of employment with the company that is not known to people outside the company about its business.

An employee who improperly uses or discloses trade secrets or confidential business information will be subject to disciplinary action up to and including termination of employment and legal action, even if they do not actually benefit from the disclosed information.

All inquiries from the media must be referred to the Marketing team.

This provision is not intended to, and should not be interpreted to, prohibit employees from discussing wages and other terms and conditions of employment if they so choose.

Employment Classification

To determine eligibility for benefits and overtime status and to ensure compliance with federal and state laws and regulations, Shepherd Electric Supply classifies its employees as shown below. Shepherd Electric Supply may review or change employee classifications at any time.

Exempt. Exempt employees are paid on a salaried basis and are not eligible to receive overtime pay.

Nonexempt. Nonexempt employees are paid on an hourly basis and are eligible to receive overtime pay for overtime hours worked.

Regular, Full-Time. Employees who are not in a temporary status work a minimum of 30 hours weekly and maintain continuous employment status. Generally, these employees are eligible for the full-time benefits package and are subject to the terms, conditions, and limitations of each benefits program.

Regular, Part-Time. Employees who are not in a temporary status and who are regularly scheduled to work fewer than 30 hours weekly, but at least 20 hours weekly, and who maintain continuous employment status. Part-time employees are eligible for some of the benefits offered by the company and are subject to the terms, conditions, and limitations of each benefits program.

The introductory period for regular full-time and regular part-time employees lasts 90 calendar days from the date of hire. During this time, employees can evaluate Shepherd Electric Supply as a place to work and management has an opportunity to evaluate the employee.

During this introductory period, both the employee and the Company have the right to terminate employment without advance notice or reason. Employment is at will during the 90-day introductory period, with no guarantee of employment upon completion. The introductory period may be extended at the Company’s discretion.

All employees, regardless of classification or length of service, are expected to meet and maintain Company standards for job performance and behavior. Employees must successfully complete their introductory period in good standing to be considered for any other opportunities within the company.

Work Week and Hours of Work

The standard workweek is from Wednesday 12:00 a.m. until Tuesday 11:59 p.m. and consists of 40 work hours. Office hours are 7:00 a.m. to 5:00 p.m. Lunch periods are 1 hour in duration, depending on your role. Individual work schedules may vary depending on the needs of each department.

Meal and Rest Breaks

Employees are entitled to a meal break each day. If a nonexempt employee is required to work through a meal break, they will be paid for the 1-hour period. Employees are also entitled to two 10-minute rest periods each day. Ideally, one break be taken during the AM and the second break must be taken during the PM. Meal and rest breaks will be scheduled by the manager.

Time Records

All nonexempt employees are required to complete accurate weekly time reports showing all time actually worked. These records are required by governmental regulations and are used to calculate regular, and overtime pay. At the end of each work week, the employee and his or her manager must approve the time card attesting to its correctness before forwarding it to Human Resources. Any employee or manager who falsifies a time entry is subject to disciplinary action up to and including termination of employment. 

Overtime

The Company does not make improper deductions from the salaries of exempt employees and complies with the salary basis requirements of the Fair Labor Standards Act (FLSA). Employees classified as exempt from the overtime pay requirements of the FLSA will be notified of this classification at the time of hire or change in position.

Permitted deductions. The FLSA limits the types of deductions that may be made from the pay of an exempt employee. Deductions that are permitted include:

• Deductions that are required by law, e.g., income taxes.
• Deductions for employee benefits when authorized by the employee.
• Absence from work for one or more full days for personal reasons other than sickness or disability.
• Absence from work for one or more full days due to sickness or disability if the deduction is made in accordance with a bona fide plan, policy, or practice of providing compensation for salary lost due to illness.
• Offset for amounts received as witness or jury fees, or for military pay; or 
• Unpaid disciplinary suspensions of one or more full days imposed in good faith for workplace conduct rule infractions.

During the week, an exempt employee begins work for the company or during the last week of employment, the employee will only be paid for actual hours worked. In addition, an employee may be paid only for hours worked during a period when the employee is using unpaid leave under the Family and Medical Leave Act (FMLA).

Improper deductions. If an employee classified as exempt believes that an improper deduction has been taken from his or her pay, the employee should immediately report the deduction to Human Resources. The report will be promptly investigated and if it is found that an improper deduction has been made, the company will reimburse the employee for the improper deduction.

Shepherd Electric Supply’s standard pay period for employees is biweekly on Friday. If pay day falls on a federal holiday, employees will receive their paycheck on the preceding workday. Paychecks are directly deposited into your checking and/or savings accounts.

Employment with the Company may be terminated by an employee or by the Company for any reason, with or without notice. The types of separation include reasons for Performance, Discipline, Layoff and Termination.

In all cases of voluntary resignation (one initiated by the employee); employees are asked to provide a written notice to their supervisors at least 10 working days in advance of the last day of work. The 10 days must be actual working days. Holidays and paid time off (PTO) will not be counted toward the 10-day notice. Shepherd Electric Supply requests all Managers provide a minimum of four (4) week’s notice. Employees who provide the requested amount of notice will be considered to have resigned in good standing and generally will be eligible for rehire.

In most cases, Human Resources will conduct an exit interview on or before the last day of employment to collect all company property, and to discuss final pay. All final checks will be processed on the next scheduled pay date and will include any unused Vacation time. Any salesperson who resigns will be paid commission for the last completed workday. Upon receipt of a letter of resignation, the Company reserves the right to accelerate the employee’s intended resignation date. If applicable, information regarding benefits continuation through the Consolidated Omnibus Budget Reconciliation Act (COBRA) will be sent to the employee’s home address.

Once an employee has provided notice of resignation, no further Vacation or Sick Time will be approved for the employee.

Should it become necessary because of business conditions to reduce the number of employees or work hours, this will be done at the discretion of the company.

Employee files are maintained by Human Resources and are considered confidential. Managers may only have access to personnel file information regarding their direct reports, on a need-to-know basis, through our payroll portal. Employee files may not be exported from our payroll portal or taken outside Human Resources. Representatives of government or law enforcement agencies, in the course of their duties, may be allowed access to file information.

The company may hire relatives and domestic partners if (1) the persons concerned will not work in a direct supervisory relationship, and (2) the employment will not pose difficulties for supervision, security, safety, or morale that could influence the objectivity of the Manager. For the purposes of this policy, “relatives” are defined as an employee’s spouse, parents, stepparents, siblings, children, stepchildren, grandparents, in-laws, grandchildren, aunts, uncles, cousins, or an adult who stood in loco patrentis to the employee during childhood.

Current employees who marry each other or become involved in a domestic partnership will be permitted to continue employment with the company provided they do not work in a direct supervisory relationship with each other or otherwise pose difficulties as mentioned above. If employees who marry or live together do work in a direct supervisory relationship with each other, the company will attempt to reassign one of the employees to another position for which they are qualified if such a position is available. If no such position is available, the employees will be permitted to determine which one of them will be reassigned within the company.

Commitment to Safety

Protecting the safety of our employees and visitors is the most important aspect of running our business.

All employees have the opportunity and responsibility to contribute to a safe work environment by using commonsense rules and safe practices and by notifying management when any health or safety issues are present. All employees are encouraged to partner with management to ensure maximum safety for all.

The company provides fully stocked First Aid kits at each location. Fire extinguishers are also located throughout each location’s office and warehouse. In the event of an emergency, dial 911 immediately.

Shepherd Electric Supply is committed to providing a safe, violence-free workplace for our employees. Due to this commitment, we discourage employees from engaging in any physical confrontation with a violent or potentially violent individual or from behaving in a threatening or violent manner. Threats, threatening language, or any other acts of aggression or violence made toward or by any employee will not be tolerated. A threat may include any verbal or physical harassment or abuse, attempts to intimidate others, menacing gestures, stalking, or any other hostile, aggressive, and/or destructive actions taken for the purposes of intimidation. This policy covers any violent or potentially violent behavior that occurs in the workplace or at company-sponsored functions.

All Shepherd Electric Supply employees bear the responsibility of keeping our work environment free from violence or potential violence. Any employee who witnesses or is the recipient of violent behavior should promptly inform their manager, or Human Resources. All threats will be promptly investigated. No employee will be subject to retaliation, intimidation, or discipline because of reporting a threat in good faith under this guideline.

Any individual engaging in violence against the company, its employees, or its property will be prosecuted to the full extent of the law. All acts will be investigated, and the appropriate action will be taken. Any such act or threatening behavior may result in disciplinary action up to and including termination.

Shepherd Electric Supply always prohibits the possession of weapons on its property, including our parking lots or company vehicles. Additionally, while on duty, employees may not carry a weapon of any type. Weapons include, but are not limited to, handguns, rifles, automatic weapons, and knives that can be used as weapons (excluding pocketknives, utility knives, and other instruments that are used to open packages, cut string, and for other miscellaneous tasks), martial arts paraphernalia, stun guns, and tear gas. Any employee violating this policy is subject to discipline up to and including dismissal for the first offense.

If an employee is arrested or convicted of a crime concerning conduct that impacts the ability to perform their job, threatens the safety of the Company’s work environment or has the potential to undermine public confidence in Shepherd Electric Supply, the employee must immediately inform their manager and Human Resources. The decision as to whether an arrest or conviction will affect an employee’s employment status with the Company depends on the circumstances, and such decision will be made at the sole discretion of the Company, in accordance with applicable federal, state, and local laws.

The company reserves the right to inspect all belongings of employees on its premises, including packages, briefcases, purses and handbags, gym bags, and personal vehicles on company property. In addition, the company may inspect the contents of lockers, storage areas, file cabinets, desks, and workstations at any time and may remove all Company property and other items that are in violation of Company rules and policies.

It is the policy of Shepherd Electric Supply to maintain a drug- and alcohol-free work environment that is safe and productive for employees and others doing business with the company.

The unlawful use, possession, purchase, sale, distribution, or being under the influence of any illegal drug and/or the misuse of legal drugs while on company or client premises or while performing services for the company is prohibited. Shepherd Electric Supply also prohibits reporting to work or performing services under the influence of alcohol or consuming alcohol while on duty or during work hours. In addition, the company prohibits off-premises abuse of alcohol and controlled substances, as well as the possession, use, or sale of illegal drugs, when these activities adversely affect job performance, job safety, or the Company’s reputation in the community.

To ensure compliance with this policy, substance abuse screening may be conducted in the following situations:

Pre-employment: As required by the company for all prospective employees who receive a conditional offer of employment

Reasonable Suspicion: Employees are subject to testing based on, but not limited to, observations of apparent workplace use, possession, or impairment by at least two members of Shepherd Electric Supply Management. Human Resources should be consulted before sending an employee for testing. Shepherd Electric Supply Management must use the reasonable suspicion training to document specific observations and behaviors that create a reasonable suspicion that an employee is under the influence of illegal drugs or alcohol. Examples include:

• Odors (smell of alcohol, body odor or urine).
• Movements (unsteady, fidgety, dizzy).
• Eyes (dilated, constricted or watery eyes, or involuntary eye movements).
• Face (flushed, sweating, confused or blank look).
• Speech (slurred, slow, distracted mid-thought, inability to verbalize thoughts).
• Emotions (argumentative, agitated, irritable, drowsy).
• Actions (yawning, twitching).
• Inactions (sleeping, unconscious, no reaction to questions).

When reasonable suspicion testing is warranted, both Shepherd Electric Supply management and Human Resources will meet with the employee to explain the observations and the requirement to undergo a drug and/or alcohol test within two hours. Refusal by an employee will be treated as a positive drug test result and will result in immediate termination of employment.

Under no circumstances will the employee be allowed to drive himself or herself to the testing facility. A member of Shepherd Electric Supply Management must transport the employee or arrange for a cab/carshare and arrange for the employee to be transported home.

Post-accident: Employees are subject to testing when they cause or contribute to accidents that seriously damage a Shepherd Electric Supply vehicle, machinery, equipment, or property or that result in an injury to themselves or another employee requiring offsite medical attention. A circumstance that constitutes probable belief will be presumed to arise in any instance involving a work-related accident or injury in which an employee who was operating a motorized vehicle (including a Shepherd Electric Supply forklift, pickup truck, etc.) is found to be responsible for causing the accident. In any of these instances, the investigation and subsequent testing must take place within two hours following the accident, if not sooner. Refusal by an employee will be treated as a positive test result and can result in immediate termination of employment.

Random Drug Testing: In accordance with DOT regulations, Shepherd Electric Supply abides by a Random Drug Testing Policy. All Truck Drivers, based on a random generator report provided by Concentra, will be subject to a random DOT Drug and/or Alcohol test. Please see the Random Drug Testing Policy for more information.

Compliance with this policy is a condition of employment. Employees who test positive or who refuse to submit to substance abuse screening will be subject to termination. Notwithstanding any provision herein, this policy will always be enforced in accordance with applicable state and local law.

Any employee violating this policy is subject to discipline, up to and including termination, for the first offense.

Purpose: This policy describes Shepherd Electric Supply’s procedures for conducting random drug testing of employees in its efforts to maintain a safe and drug-free workplace.

Random Selection: Shepherd Electric Supply will randomly drug-test employees for compliance with its drug-free workplace policy on a quarterly basis. Random testing means employees will be selected for testing using a computer-based random-number generator. This will result in an equal probability that any employee from the entire group of employees will be tested.

Each quarter, on a day selected by a computer-based random-date generator, the Human Resources team will pull a random selection of employee names and immediately notify the employees selected for testing. Testing must be completed on the same workday the employee is selected, absent extenuating circumstances such as out-of-town travel. In all circumstances, testing must be completed within 24 hours of selection.

If an employee selected for testing is unavailable for a legitimate reason such as an extended medical absence, Human Resources will document the circumstances for failure to test. Shepherd Electric Supply has no discretion to waive the selection of an employee selected at random.

Substances Covered by Drug and Alcohol Testing: Employees will be tested for their use of commonly abused controlled substances, which include Marijuana/Cannabis, Cocaine, Opiates, Amphetamines, Phencyclidine (PCP), and chemical derivatives of these substances.

Employees must advise the testing lab of all prescription drugs taken in the past month before the test and must be prepared to show proof of such prescriptions upon request.

Testing Methods and Procedures: All testing will be conducted by a licensed independent medical laboratory, which will follow testing standards established by the state or federal government. Testing will be conducted on a urine sample provided by the employee to the testing laboratory under procedures established by the laboratory to ensure the privacy of the employee, while also protecting against tampering with or alteration of the test results.

Employees will be engaged at work during the time spent taking a drug test and will be compensated for such time at their regular rate of pay, except for retesting at the request of the employee.

Shepherd Electric Supply will pay for the cost of the initial testing, including the confirmation of any positive test result by gas chromatography. The testing lab will retain samples in accordance with state law, so that an employee may request a retest of the sample at his or her own expense if the employee disagrees with the test result.

Abiding by the FMCSA drug and alcohol reporting requirements all drug and alcohol test results and refusals will be reported to the federal database "Clearinghouse". Employees are able but not required to register with Clearinghouse to access results directly, those who wish to do so should contact their Clearinghouse Administrator.

Refusal to Test: Employees who refuse to submit to a test or who adulterate, dilute, or otherwise tamper with a test specimen will be subject to immediate termination.

Consequences of Positive Test Results: If an employee tests positive on an initial screening test, the employee will be suspended while the confirmation test is being conducted. A positive test result confirmed by a Medical Review Officer of the laboratory will result in termination of employment in accordance with Shepherd Electric Supply’s zero-tolerance drug-free workplace policy.

All employees have the right to discuss their test results with testing laboratory personnel and Shepherd Electric Supply. These discussions should be considered confidential except that information disclosed will be communicated to personnel within Shepherd Electric Supply or within the laboratory who need to know such information to make proper decisions regarding the test results or regarding the employment of the individual.

Recordkeeping: All records concerning test results will be kept by Shepherd Electric Supply in medical files that are maintained separately from employee personnel files. Employees have a right to obtain copies of all test results from the testing laboratory or from Shepherd Electric Supply.

Retesting: Employees may request a retest of their positive test results within five working days after notification of a positive test result. This retest is at the expense of the individual unless the original test result is called into question by the retest.

Where the employee believes that the positive test result was affected by taking lawful or prescribed substances not in violation of company policy, the employee may be suspended without pay pending substantiation of the employee’s claims. Employees will be provided with no more than five business days in which to produce this additional information.

Smoking is not allowed in company buildings or work areas at any time. “Smoking” includes the use of any tobacco products (including chewing tobacco), electronic smoking devices, e-cigarettes and related products that rely on vaporization or aerosolization.

Smoking is only permitted during break times in designated outdoor areas. Employees using these areas are expected to dispose of any smoking debris safely and properly.

Smoking in trucks is strictly prohibited. Failure to obey this policy will result in disciplinary action up to and including termination.

Parking

Employees are required to park in designated parking spaces. Employees who have cars double parked or blocking fire lanes are subject to immediate towing. Employees are not permitted to park in spaces which are reserved for our customers and will be towed at the employees’ expense.

Baltimore Branch: You may park in front of the building in any spot not designated for our customers. Employees may park on the curbside in the front of the building and along 65^th St. Regarding the parking spaces along the side of the building, the first 7 spots are reserved for Executive Management, the remainder of spots are available to employees.

Laurel, Frederick, and Sterling Branches:  All employees can park in the designed parking lot but not in any spaces designated for customers.

Shepherd Electric Supply will always make every attempt to be open for business. In situations in which some employees are concerned about their safety, management may advise the department managers to notify their departments that the office is not officially closed, but anyone may choose to leave the office if they feel uncomfortable.

If the office is officially closed during the day to permit employees to leave early, all employees who are working on-site as of the time of the closing will be paid for a full day. If you choose not to come in or leave earlier than the official closing time, you will be paid only for actual hours worked, less the approved closing time, or you can take vacation or personal/sick time.

All announcements will be made on the telephone system at each location, will be placed on the company website at www.shepherdelec.com and on our social media sites.

Attendance

All employees are expected to arrive on time, ready to work, every day they are scheduled. If unable to arrive at work on time, or if an employee will be absent for an entire day, the employee must contact their manager as soon as possible. Excessive absenteeism or tardiness will result in discipline up to and including termination.

Good attendance is defined as being at your assigned workplace, prepared to work at the beginning of your scheduled time, and for your full shift. An occurrence (Absence) is defined as unscheduled time away from work and includes, but is not limited to, unscheduled late arrival and/or early departure.

Tracking will be done by way of exception points applied by our payroll system. Points will be reported monthly to department managers. Details of points and company action are listed below.

*This does not include Bereavement, Jury Duty, or FMLA.

*Absence for 3 or more days may be required to provide documentation, incidents with documentation will be subject to no more than one (1) occurrence point.

Communication between employees and managers is especially important. Discussions regarding job performance are ongoing and often informal. Employees should initiate conversations with their managers if they feel additional ongoing feedback is needed.

Formal performance reviews are conducted annually. These reviews include a written performance appraisal and discussion between the employee and the manager about job performance and expectations for the coming year.

Employees who conduct business in a Shepherd Electric Supply vehicle must be authorized and insured by the company. All insured drivers will have their motor vehicle record monitored and any speeding tickets or driving infractions must be reported to Human Resources.

We have a responsibility to our customers, our employees, and the general public to ensure that our vehicles are always in safe operating condition and operated only by licensed, qualified and safe drivers.

Shepherd Electric Supply considers safety and accident prevention to be one of our highest priorities in all areas of operation, including vehicle safety. Since most vehicle accidents are caused by driver error, one of our goals is to employ only drivers who have a safe driving record, and to ensure that they drive defensively. This policy is to ensure that all Shepherd Electric Supply vehicles are operated in a safe and professional manner in compliance with all company policies and applicable laws and regulations.

Employees are required to use hands-free devices when speaking on a cell phone if operating a company vehicle. It is the employee’s responsibility to pull off the road in a safe place if they need to take notes, work on a laptop, or send email or text messages.

All Shepherd Electric Supply vehicles, both interior and exterior, need to be maintained in a clean and presentable manner.

Traffic Violations: All employees using a Shepherd Electric Supply vehicle, or who receives a monetary allowance as reimbursement for expenses incurred in the operation and/or use of a personal vehicle for company business, must always maintain a valid operator’s license. Any Shepherd Electric Supply employee whose operating license or privileges have been suspended or revoked must notify Human Resources immediately. Operating or using a Shepherd Electric Supply vehicle or a personal vehicle for company business under a suspended or revoked license is a violation of this policy. Any employee with 2 or more points on their driver’s license must notify Human Resources and may be subject to discipline.

Automobile Accidents: Any employee involved in an automobile accident in a Shepherd Electric Supply vehicle or an employee's personal vehicle (while conducting company business) must immediately report the accident to his or her manager, Human Resources, and the CFO within 24 hours. If a personal vehicle is used for company business, an employee and their personal auto insurance is responsible for all costs associated with accidents. Employees involved in a preventable or an at-fault accident may be subject to disciplinary action, including the suspension of driving privileges. Every employee who will be in a driving role with us should review the Employee Safe Driving Procedure and Traffic Violation Procedures documents located on our intranet (Shepherd Wiki) upon joining our company.

Violations of this Policy: Vehicles owned or given a monetary allowance for business use of personal vehicles must be used appropriately, responsibly, and ethically. Use or operation of a Shepherd Electric Supply vehicle under any of the following circumstances is considered a direct violation of this policy:

• Unauthorized operation or use of a Shepherd Electric Supply vehicle.
• Operating a Shepherd Electric Supply vehicle without a valid operator’s license or under suspension or revocation of operating privileges.
• Operating a Shepherd Electric Supply vehicle by anyone under the influence of alcohol.
• Operating a Shepherd Electric Supply vehicle in a careless or dangerous manner, including speeding or any other unlawful operation.
• Operating, using, or occupying a Shepherd Electric Supply vehicle by anyone who has consumed or ingested any controlled or illegal substance or drug, unless the controlled substance or drug has been prescribed by a physician having knowledge that a vehicle may be operated or used by that person while under the influence of the controlled substance or drug.
• Operating a Shepherd Electric Supply vehicle for any reason except as may be necessary for traveling to and from work or for company business use.
• Operating or occupying a Shepherd Electric Supply vehicle while not wearing a seat belt

Employees are permitted to work a second job if it does not interfere with their job performance with Shepherd Electric Supply. Employees with a second job are expected to work their assigned schedules. A second job will not be considered an excuse for poor job performance, absenteeism, tardiness, leaving early, refusal to travel, or refusal to work overtime or different hours.

If outside work activity causes or contributes to job-related problems, it must be discontinued, or the employee may be subject to disciplinary action, up to and including termination.

Shepherd Electric Supply provides a casual yet business professional work environment for its employees. We take our professionalism seriously and feel it is important to project a professional image to our customers and visitors, who are here throughout the day.

Personal Appearance: All employees are expected to dress in a manner consistent with good hygiene, safety, and good taste. Please use common sense.

Office Employees: Our casual dress code signifies the employee may wear jeans, shorts, and casual clothing to work. Any questions or complaints regarding the appropriateness of attire should be directed to Human Resources. Decisions regarding attire will be made by Human Resources and not by individual departments or managers. Shepherd Electric Supply reserves the right to send an employee home if their attire is deemed inappropriate.

Warehouse / Counter Employees: All warehouse employees are prohibited from wearing open-toed shoes or sandals. All Counter employees are required to wear shirts provided by Shepherd Electric Supply and its vendors.

Customer / Vendor Visits: All employees should adopt business casual attire when visiting a customer site or when expecting a visitor to a Shepherd Electric Supply branch. Please see Human Resources for guidance, if needed.

Social Media Acceptable Use

Shepherd Electric Supply encourages employees to share information with co-workers and with those outside the company for the purposes of gathering information, generating innovative ideas, and learning from the work of others. Social media provides inexpensive, informal, and timely ways to participate in an exchange of ideas and information. However, information posted on a website is available to the public and, therefore, the company has established the following guidelines for employee participation in social media.

Note: As used in this policy, “social media” refers to blogs, forums, and social networking sites, such as Twitter/X, Facebook, LinkedIn, YouTube, Spotify, Instagram, SnapChat, and TikTok among others.

Off-duty use of social media. Employees may maintain personal websites or weblogs on their own time using their own facilities. Employees must ensure that social media activity does not interfere with their work. In general, the company considers social media activities to be personal endeavors, and employees may use them to express their thoughts or promote their personal business and ideas.

On-duty use of social media. Employees may engage in social media activity during work time provided it is related to their work, and does not negatively identify or reference company clients, customers, or vendors without express permission. The company monitors employee use of company computers and the Internet, including employee blogging and social networking activity.

Respect. Demonstrate respect for the dignity of the company, its owners, its customers, its vendors, and its employees. A social media site is a public place, and employees should avoid inappropriate comments. For example, employees should not divulge Shepherd Electric Supply confidential information such as trade secrets, client lists, or information restricted from disclosure by law on social media sites. Similarly, employees should not engage in harassing or discriminatory behavior that targets other employees or individuals because of their protected class status or make defamatory comments. Even if a message is posted anonymously, it may be possible to trace it back to the sender.

Post disclaimers. If an employee identifies himself or herself as a company employee or discusses matters related to the company on a social media site, the site must include a disclaimer on the front page stating that it does not express the views of the company and that the employee is expressing only his or her personal views. For example: “The views expressed on this website are mine alone and do not necessarily reflect the views of my employer.” Place the disclaimer in a prominent position and repeat it for each posting expressing an opinion related to the company or the company’s business. Employees must keep in mind that if they post information on a social media site that is in violation of company policy and/or federal, state, or local law, the disclaimer will not shield them from disciplinary action.

Competition. Employees should not use social media to criticize the company’s competition and should not use it to compete with the company.

Confidentiality. Do not identify or reference company clients, customers, or vendors without express permission. Employees may write about their jobs in general but may not disclose any confidential or proprietary information. For examples of confidential information, please refer to the confidentiality policy. If in doubt, ask before publishing.

New ideas. Please remember that new ideas related to work, or the company’s business belong to the company. Do not post them on a social media site without the company’s permission.

Links. Employees may provide a link from a social media site to the company’s website during employment (subject to discontinuance at the company’s sole discretion). Employees should contact the Web design group to obtain the graphics for links to the company’s site and to register the site with the company.

Trademarks and copyrights. Do not use the company’s or others’ trademarks on a social media site or reproduce the company’s or others’ material without first obtaining permission.

Legal. Employees are expected to comply with all applicable laws, including but not limited to, Federal Trade Commission (FTC) guidelines, copyright, trademark, and harassment laws.

Discipline. Violations of this policy may result in discipline up to and including immediate termination of employment.

Note: Nothing in this policy is meant to, nor should it be interpreted to, in any way limit your rights under any applicable federal, state, or local laws, including your rights under the National Labor Relations Act to engage in protected concerted activities with other employees to improve or discuss terms and conditions of employment, such as wages, working conditions, and benefits.

All required governmental postings are posted on the boards located in each branch. These boards may also contain general announcements.

Employees may submit to Human Resources notices of general interest, such as for-sale notices; recreational-type announcements and/or club functions (email should not be used for the aforementioned); postcards; expressions of gratitude or sympathy; and notices looking for/offering carpools, tickets, roommates, or pets.

Human Resources approves, posts, and takes down all notices. The company reserves the right to refuse permission to post or to take down any announcement.

Employees should be able to work in an environment that is free from unnecessary annoyances and interference with their work. To protect our employees and visitors, solicitation by employees is prohibited while either the employee being solicited or the employee doing the soliciting is on “working time.” “Working time” is defined as time during which an employee is not at a meal, on break, or on the premises immediately before or after his or her shift.

Employees are also prohibited from distributing written materials, handbills, or any other type of literature during working time and, always, in “working areas,” which includes all office areas. “Working areas” do not include break rooms, parking lots, or common areas shared by employees during nonworking time.

Nonemployees may not trespass or solicit or distribute materials anywhere on company property at any time.

The company provides a wide variety of communication tools and resources to employees for use in running day-to-day business activities. Whether it is the telephone system, voice mail, fax, scanner, Internet, intranet (Wiki), email, text messaging, instant messaging, interoffice mail, or any other company-provided technology, use should be reserved for business-related matters during working hours. All communication using these tools should be handled in a professional and respectful manner.

Employees should not have any expectation of privacy in their use of the company computer, phone, or other communication tools. All communications made using company-provided equipment or services, including email and internet activity, are subject to inspection by the company. Employees should keep in mind that even if they delete an email, voicemail or other communication, a copy may be archived on the company’s systems.

Employee use of company-provided communication systems, including personal email and internet use, which are not job-related have the potential to drain, rather than enhance, productivity and system performance. You should also be aware that information transmitted through email and the internet is not completely secure or may contain viruses or malware, and information you transmit and receive could damage the company’s systems as well as the reputation and/or competitiveness of the company.

To protect against potential problems, delete any email messages prior to opening that are received from unknown senders and advertisers. It also is against company policy to turn off antivirus protection software or make unauthorized changes to system configurations installed on company computers. Violations of this policy may result in termination for a first offense.

The company encourages employees to use email only to communicate with fellow employees, suppliers, customers, or potential customers regarding company business. Internal and external emails are considered business records and may be subject to federal and state recordkeeping requirements as well as to be discovered in the event of litigation. Be aware of this possibility when sending emails within and outside the company.

All use of company-provided communications systems, including email and internet use, should conform to our company guidelines/policies, including but not limited to Equal Opportunity, Harassment, Confidential Information, and Conflicts of Interest. So, for example, employees should not engage in harassing or discriminatory behavior that targets other employees or individuals because of their protected class status or make defamatory comments. Similarly, employees should not divulge confidential information such as trade secrets, client lists, or information restricted from disclosure by law on social media sites.

Because email, telephone and voice mail, and internet communication equipment are provided for company business purposes and are critical to the company’s success, your communications may be accessed without further notice by Information Technology department administrators and company management to ensure compliance with this guideline.

The electronic communication systems are not secure and may allow inadvertent disclosure, accidental transmission to third parties, etc. Sensitive information should not be sent via unsecured electronic means.

The Company telephone system is for business purposes. While the company recognizes that some personal calls are necessary, these should be kept as brief as possible and to a minimum. Personal use of the company’s cell phones is strongly discouraged. Abuse of these privileges is subject to corrective action up to and including termination.

The company reserves the right to monitor customer calls to ensure employees abide by company quality guidelines and provide appropriate levels of customer service. Employees working in sales and customer service will be subject to telephone monitoring and email. Should the subject matter of any telephone conversation become personal while monitoring is taking place, monitoring of the call will immediately be discontinued.

Nothing in this policy is designed to interfere with, restrain, or prevent employee communications regarding wages, hours, or other terms and conditions of employment as protected under the National Labor Relations Act. Employees have the right to engage in or refrain from such activities. 

The Company expects employees to comply with the Company’s standards of behavior and performance and to correct any noncompliance with these standards.

Under normal circumstances, the Company endorses a policy of progressive discipline in which it attempts to provide employees with notice of deficiencies and an opportunity to improve. It does, however, retain the right to administer discipline in any manner it sees fit. This policy does not modify the status of employees as employees-at-will or in any way restrict the Company’s right to bypass the disciplinary procedures suggested.

Note: The following steps are suggested in the discipline procedure. All steps should be documented in the employee’s personnel file, without exception.

Step 1: Informal Discussion (Coaching/Training). When a performance problem is first identified, the nature of the problem and the action necessary to correct it should be thoroughly discussed with the employee. While this is a Coaching session, the manager should still submit a summary of these attempts in our payroll system.

Step 2: Counseling (Verbal Warning). If a private informal discussion with the employee has not resulted in corrective action, following a thorough investigation if applicable, the manager should meet with the employee and (a) review the problem, (b) permit the employee to present his or her views on the problem, (c) advise the employee that the problem must be corrected, (d) inform the employee that failure to correct the problem will result in further disciplinary action which may include discharge, and (e) issue a counseling notice to the employee.  It is important to get acknowledgement from the employee after submitting this warning in our payroll system.  

Step 3: Reprimand (Written Warning). If satisfactory performance and corrective action are not achieved under Steps 1 and 2, the manager and his/her leader or a representative from Human Resources should meet with the employee in private and proceed via (a) through (d) above and issue a reprimand notice to the employee. This should be acknowledged by the employee and manager by submitting this warning in our payroll system.

Step 4: Final Written Warning/Suspension. Managers have the authority to temporarily remove employees from the workplace, with or without pay, if approved in advance by the department leader and the director of Human Resources. An exempt employee may not be suspended without pay for less than a full day, and the suspension must be related to written workplace conduct rules applicable to all employees, e.g., such as a written policy prohibiting sexual harassment or workplace violence. Nonexempt employees may not use paid vacation or a personal/sick day in lieu of the unpaid suspension.

Step 5: Failure to improve (Termination). Failure to improve performance or behavior after the written warning or suspension will result in termination.

The progressive disciplinary procedures described above also may be applied to an employee who is experiencing a series of unrelated problems involving attendance, job performance or behavior. Please see the Performance Improvement Plan and Corrective Action Forms on wiki for more information. All conversations, verbal or written, must be documented in our payroll system, and acknowledged by the employee.

In cases involving serious misconduct, or any time the manager determines it is necessary, such as a major breach of policy or violation of law, the procedures contained above may be disregarded. These breaches include but are not limited to fighting, assault of any employee, theft from anyone (regardless of amount involved), willful destruction of property, being under the influence of drugs or alcohol, and falsification of records. Typically, the manager should suspend the employee immediately (with or without pay) and an investigation of the incidents leading up to the suspension should be conducted to determine if any further action, such as termination, should be taken.

Holidays

The company observes and allows time off with pay for the following holidays:

• New Year’s Day
• Memorial Day
• Independence Day
• Labor Day
• Thanksgiving Day
• Day after Thanksgiving
• Christmas Day

Any additional holidays will be designated by the company at the start of each calendar year.

If one of these holidays falls on a Sunday, it will be observed on the following Monday. If the holiday falls on a Saturday, the company will select either the following Monday or the preceding Friday as a substitute holiday. The company reserves the right to pay eligible employees in lieu of time off if the holiday falls on a Saturday.

Holiday pay. All employees are eligible for holiday pay. Temporary employees, including summer employees and interns, are not eligible for holiday pay.

Holiday pay shall be at the employee’s regular straight-time rate, times his regularly scheduled hours (not to exceed 8 hours).

To receive holiday pay, an eligible nonexempt employee must be at work or taking an approved absence on the workdays immediately preceding and immediately following the day on which the holiday is observed. If an employee is absent on one or both days because of an illness or injury, the company may require verification of the reason for the absence before approving holiday pay.

Religious observances. Employees who need time off to observe religious practices or holidays not already scheduled by the company should speak with their manager. Employees may also be able to switch a scheduled day with another employee, or take vacation time, or take off unpaid days. The company will seek to reasonably accommodate individuals’ religious observances.

Shepherd Electric Supply recognizes the importance of time off from work to relax, spend time with family, and enjoy leisure activities. The company provides paid vacation time to full-time employees for this purpose and employees are encouraged to take vacation during the year. Part-time employees who are regularly scheduled to work 20 or more hours per week will be eligible for paid vacation on a pro-rated schedule.

Full-time employees will accrue paid vacation according to the following schedule (annual totals should be rounded to the nearest entire day):

Service Period                                                Monthly (Bi-Weekly) Vacation Accrual

First Calendar Year (after 120 days)               2 (.93) Hours

Calendar Years 2 – 9                                       6.67 (3.08) Hours, up to maximum of 10 days.

Calendar Years 10 +                                        10 (4.62) Hours, up to maximum of 15 days.

New employees begin to accrue vacation after 120 days of employment. Employees may not take paid vacation until they have earned or accrued the vacation time.

Employees should submit vacation plans to their manager, with as much notice as possible, in advance of the requested vacation date. Vacation days may be scheduled in increments of 1 hour up to a maximum of 2 weeks in a row. Managers have the right to designate when some or all the vacations must be taken.

Vacation should be used in the year it is earned. Employees will be permitted to carry over up to 5 days of accrued vacation to the following calendar year.

Upon an employee submitting their resignation/termination, any unused vacation time that has accrued (during the calendar year of given notice) will be paid on the next scheduled pay date.

Personal / Sick Days

Shepherd Electric Supply provides regular, full-time, and part-time employees with paid personal/sick days. Employees begin to accrue at hire date but are not eligible to use until completing 90 days of employment.

Service Period                                                Monthly (Bi-Weekly) Personal/Sick Time

First Day of Employment                                .03334/hr. (2.67) Hours

(5 days granted)                                              (based on 1 hr. for every 30 hrs. worked)  

Employees may carry accrued personal/sick days over from one year to the next. The maximum accrual allowed for full-time employees is 20 days.

If the need for personal/sick days is foreseeable, employees are required to give at least 30 days’ advance notice (e.g., a planned medical treatment) whenever possible. If the need for personal/sick days is not foreseeable, employees are asked to notify their manager as soon as is practical.

If an employee misses 3 or more consecutive days because of illness, Shepherd Electric Supply may require the employee to provide a physician’s written permission to return to work. Personal/Sick days may be used in increments of 1 hour.

Except as required by state law, unused personal/sick days are forfeited when an employee’s employment ends for any reason.

Shepherd Electric Supply complies with the federal Family and Medical Leave Act (FMLA), which requires employers to grant unpaid leaves of absence to qualified workers for certain medical and family-related reasons. The company also abides by any state and local leave laws. The more generous of the laws will apply to the employee if the employee is eligible under both federal and state laws.

Please note there are many requirements, qualifications, and exceptions under these laws, and each employee’s situation is different. Contact Human Resources to discuss options for leave.

The FMLA requires private employers with 50 or more employees and all public agencies, including state, local, and federal employers, and local education agencies (schools), to provide eligible employees up to 12 weeks of unpaid, job-protected leave in any 12-month period for certain family and medical reasons. The 12-month period is a rolling period measured backward from the date an employee uses any FMLA leave, except for leaves to care for a covered service member with a serious illness or injury. For those leaves, the leave entitlement is 26 weeks in a single 12-month period, measured forward from the date an employee first takes that type of leave.

Basic Leave Entitlement. The FMLA requires covered employers to provide up to 12 weeks of unpaid, job-protected leave to eligible employees for the following reasons: (1) for incapacity due to pregnancy, prenatal medical care, or child birth; (2) to care for the employee’s child after birth or placement for adoption or foster care; (3) to care for the employee’s spouse, son or daughter, or parent who has a serious health condition; or (4) for a serious health condition that makes the employee unable to work.

Military Family Leave Entitlements. Eligible employees with a spouse, son, daughter, or parent on active duty or called to active-duty status in the National Guard or Reserves in support of a contingency operation may use their 12-week leave entitlement to address certain qualifying exigencies. Qualifying exigencies may include addressing issues that arise from (1) short notice of deployment (limited to up to seven days of leave); (2) attending certain military events and related activity; (3) arranging childcare and school activities; (4) addressing certain financial and legal arrangements; (5) attending certain counseling sessions; (6) spending time with covered military family members on short-term temporary rest and recuperation leave (limited to up to five days of leave); (7) attending post-deployment reintegration briefings; (8) arranging care for or providing care to a parent who is incapable of self-care; and (9) any additional activities agreed upon by the employer and employee that arise out of the military member’s active duty or call to active duty.

The FMLA also includes a special leave entitlement that permits eligible employees to take up to 26 weeks of leave to care for a covered servicemember during a single 12-month period. A covered servicemember is a current member of the Armed Forces, including a member of the National Guard or Reserves, who has a serious injury or illness incurred in the line of duty on active duty that may render the servicemember medically unfit to perform his or her duties and for which the servicemember is undergoing medical treatment, recuperation, or therapy; or is in outpatient status; or is on the temporary disability retired list.

Benefits and Protections During FMLA Leave. During FMLA leave, the Company will maintain the employee’s health coverage under any “group health plan” on the same terms as if the employee had continued to work, at the employees cost. Upon return from FMLA leave, most employees will be restored to their original or equivalent positions with equivalent pay, benefits, and other employment terms. However, an employee on FMLA leave does not have any greater right to reinstatement or to other benefits and conditions of employment than if the employee had been continuously employed during the FMLA leave period.            

Use of FMLA leave cannot result in the loss of any employment benefit that accrued prior to the start of an employee’s leave.

Employee Eligibility. The FMLA defines eligible employees as employees who: (1) have worked for the Company for at least 12 months; (2) have worked for the Company for at least 1,250 hours in the previous 12 months; and (3) work at or report to a worksite which has 50 or more employees or is within 75 miles of Company worksites that taken together have a total of 50 or more employees.

Definition of Serious Health Condition. A serious health condition is an illness, injury, impairment, or physical or mental condition that involves either an overnight stay in a medical care facility or continuing treatment by a health care provider for a condition that either prevents the employee from performing the functions of the employee’s job or prevents the qualified family member from participating in school, work, or other daily activities.

Subject to certain conditions, the continuing treatment requirement may be met by a period of incapacity of more than three consecutive calendar days combined with at least two visits to a health care provider or one visit and a regimen of continuing treatment, or incapacity due to pregnancy, or incapacity due to a chronic condition. Other conditions may meet the definition of continuing treatment.

Use of Leave. An employee does not need to use this leave entitlement in one block. Leave can be taken intermittently or on a reduced work schedule when medically necessary. Employees must make reasonable efforts to schedule leave for planned medical treatment so as not to unduly disrupt the employer’s operations. Leave due to qualifying exigencies also may be taken on an intermittent or reduced work schedule basis.

Substitution of Paid Leave for Unpaid Leave. Shepherd Electric Supply requires employees to use any accrued paid vacation and personal/sick days during an unpaid period of FMLA leave taken because of the employee’s own serious health condition or the serious health condition of a family member or to care for a seriously ill or injured family member in the military. In addition, the employee must use any accrued paid vacation and personal/sick days during FMLA leave taken to care for a newborn or newly placed child or for a qualifying exigency arising out of a family member’s active duty or call to active-duty status in support of a contingency operation. To use paid leave for FMLA leave, employees must comply with the Company’s normal paid leave procedures found in its Vacation and Personal/Sick Days policies.

Employee Responsibilities. Employees must provide 30 days advance notice of the need to take FMLA leave when the need is foreseeable. When 30 days’ notice is not possible, the employee must provide notice as soon as practicable and generally must comply with the Company’s normal call-in procedures. The Company may delay leave to employees who do not provide proper advance notice of the foreseeable need for leave, absent unusual circumstances preventing the notice.

Employees must provide sufficient information for the Company to determine if the leave may qualify for FMLA protection and the anticipated timing and duration of the leave. Sufficient information may include that the employee is unable to perform job functions, the family member is unable to perform daily activities, the need for hospitalization or continuing treatment by a health care provider, or circumstances supporting the need for military family leave. Employees also must inform the Company if the requested leave is for a reason for which FMLA leave was previously taken or certified. Employees are also required to provide a certification and periodic recertification supporting the need for leave. The Company may also require a second opinion, when the leave is a result of the employee’s own serious health condition, a fitness for duty report to return to work at the Company’s expense. The Company also may delay or deny approval of leave for lack of proper medical certification.

Company Responsibilities. The Company will inform employees requesting leave whether they are eligible under the FMLA. If they are, the notice will specify any additional information required as well as the employees’ rights and responsibilities. If employees are not eligible, the Company will provide a reason for the ineligibility.

The Company will inform employees if leave will be designated as FMLA-protected and the amount of leave counted against the employee’s FMLA leave entitlement. If the Company determines that the leave is not FMLA-protected, the Company will notify the employee.

Shepherd Electric Supply supports the military obligations of all employees and grants leaves for uniformed service in accordance with applicable federal and state laws. Any employee who needs time off for uniform service should immediately notify their manager and Human Resources, who will provide details regarding the leave. If an employee is unable to supply notice before leaving for uniformed service, a family member should notify the manager as soon as possible.

Shepherd Electric Supply will pay the employee on military leave (up to 2 weeks) the difference between his or her take-home pay from the company. Employees may use any available accrued paid vacation and personal/sick days.

Upon return from military leave, employees will be granted the same seniority, pay, and benefits as if they had worked continuously. Employees will continue to accrue vacation and personal/sick days during their military leave. Failure to report for work within the prescribed time after completion of military service will be considered a voluntary termination.

All employees who enter military service may accumulate a total absence of 5 years and still retain employment rights.

Shepherd Electric Supply supports the military obligations of all employees and grants leaves for uniformed service in accordance with applicable federal and state laws. Any employee who needs time off for uniform service should immediately notify their manager and Human Resources, who will provide details regarding the leave. If an employee is unable to supply notice before leaving for uniformed service, a family member should notify the manager as soon as possible.

Shepherd Electric Supply will pay the employee on military leave (up to 2 weeks) the difference between his or her take-home pay from the company. Employees may use any available accrued paid vacation and personal/sick days.

Upon return from military leave, employees will be granted the same seniority, pay, and benefits as if they had worked continuously. Employees will continue to accrue vacation and personal/sick days during their military leave. Failure to report for work within the prescribed time after completion of military service will be considered a voluntary termination.

All employees who enter military service may accumulate a total absence of 5 years and still retain employment rights.

Bereavement Leave

Employees with more than 3 months service may take up to 3 days of paid bereavement leave upon the death of a member of their immediate family. Immediate family members are defined as an employee’s spouse, parents, stepparents, siblings, children, stepchildren, grandparent, father-in-law, mother-in-law, brother-in-law, sister-in-law, son-in-law, daughter-in-law, grandchild, adult who stood in loco parentis to the employee during childhood, and loss of pregnancy.

All full-time employees, with at least 3 months of service, may take up to one (1) day off with pay to attend the funeral of an extended family member. Extended family members are defined as aunts, uncles, cousins, nieces, and nephews.

The company may require verification of the need for the leave. The employee’s manager and Human Resources will consider this time off on a case-by-case basis. Payment for bereavement leave is computed at the regular hourly rate to a maximum of 8 hours for 1 day.

The company supports employees in their civic duty to serve on a jury. Employees must present any summons to jury duty to their manager as soon as possible after receiving the notice to allow advance planning for an employee’s absence.

All employees will be paid for up to 5 days of jury duty at their regular rate of pay. All employees may use any accrued time off if required to serve more than 1 week on a jury.

Time for appearance in court for personal business will be the individual employee’s responsibility. Normally, vacation or personal/sick days will be used for this purpose.

Shepherd Electric Supply recognizes that voting is a right and privilege of being a citizen of the United States and encourages employees to exercise their right to vote. In almost all cases, you will have enough time outside working hours to vote. If for any reason you think this will not be the case, contact your manager to discuss scheduling accommodation.

Shepherd Electric Supply recognizes the value of benefits to employees and their families. The company supports employees by offering a comprehensive and competitive benefits program. For more information regarding benefit programs, please refer to the company Summary Plan Descriptions, which are found on the company intranet (Shepherd Wiki) or contact Human Resources. Open Enrollment is scheduled for August 1 annually.

Medical, Dental, and Vision Insurance

Full-time employees working 30 hours or more per week are eligible for insurance on the first of the month following the employee’s hire date. To keep coverage in force, every insured employee must work a minimum of 30 hours per week.

Group Life Insurance

Shepherd Electric Supply provides life insurance for full-time employees who work a minimum of 30 hours per week. Employees are eligible for this benefit on the first of the month following the employee’s hire date. The life benefit is equal to an employee’s annualized base rate, plus commission. The cost of this coverage is paid for in full by the company.

Short-Term Disability

Short-term disability is offered to full-time employees working a minimum of 30 hours per week. Employees are eligible for this benefit on the first of the month following the employee’s hire date. Short-term disability is meant to bridge the 90-day period until long-term disability can cover an employee and begins after the 15^th day of absence. If an employee becomes disabled and cannot work for a brief period of time, this coverage pays 60 percent of the employee’s salary, plus commission for the previous year, up to the policy limits.

This is a voluntary benefit and is funded solely by the employee. In addition, employees will not be paid vacation or personal/sick days for approved absences covered by the company’s program, except to supplement the short-term disability benefits.

Short-term disability benefits may run concurrently with FMLA leave and/or any other leave permitted by state and federal law.

Shepherd Electric Supply offers tuition reimbursement for the purpose of providing financial assistance to its employees who would like to continue their education and expand their current skill level.

Shepherd Electric Supply has established a reimbursement program for expenses incurred through institutions or programs of learning, to include trade schools (Electrical, CDL, IT, etc.). The program offers eligible employees 100% reimbursement of tuition costs up to $3000 annually, if the skills acquired are related to a current job or would benefit in other areas associated with Shepherd’s needs/requirements. Shepherd Electric Supply requires that all classes be approved before registration and that the employees honor a two-year employment obligation effective after final grade submission.

Employees interested in taking advantage of this benefit must complete the Tuition Reimbursement Form, located in Wiki, after speaking with his or her manager and before enrolling in any course in which the employee would expect reimbursement. The employee must provide some pertinent information about the course for which they would like to receive reimbursement from their manager, Human Resources and/or our CFO, if requested.

Eligibility:

Employees are eligible to enroll in the Tuition Reimbursement Program after 90 days of employment. Course start dates must be on or after the employees 90 days of employment with Shepherd Electric Supply. Employees must work a minimum of 32 hours/week to be eligible for 100% reimbursement. Additionally, employees must be in good standing and must not be on any verbal or written warning at the time of the request.

Covered Expenses include Tuition, Books and Software - not to exceed $3000 per calendar year. Excluded expenses include but are not limited to: Athletic fees, Application fees, Aptitude Tests (GMAT, GRE, etc.), Car related expenses (parking, transportation), Meals, Graduation fees and any late fees incurred by the employee.

Reimbursement Options:

Employees have two weeks from the last day of the course to submit grades and proof of payment to Human Resources. Employees will be reimbursed if a Pass/Fail requirement has been met. If an employee does not pass the class or withdraws during the session, they will not be eligible for reimbursement. If an employee is terminated for any reason (voluntary or involuntary) during a given course period, the individual must pay back any outstanding fees under the Reimbursement program. The obligation is amortized monthly. For example, if the amount an employee owes is $2000 and the employee leaves after only completing one year of their employment obligation, the amount owed Shepherd is $1000. Any money due will be deducted from the employee’s final paycheck. If the paycheck does not cover the amount due to Shepherd, the remaining balance can be repaid via credit card or by arranging a repayment agreement. The repayment agreement will not extend longer than 3 months following termination and the employee is responsible for paying any applicable legal fees, court costs or collection fees that result from non-payment.

Shepherd Electric Supply recognizes the importance of saving for retirement and offers eligible employees a 401(k) plan. Employees are eligible to participate in the Plan after 6 months of service and may join the Plans as of the next entry date, either January 1st or July 1^st.

Shepherd Electric Supply matches 100% of the first 3% of eligible compensation and 50% of the next 2% of eligible compensation. The maximum company match is 4%.

Contributions, distributions, vesting, and all other matters relating to these plans are explained in the company Summary Plan Descriptions that can be obtained from Human Resources.

Workers’ compensation is a “no-fault” system that provides compensation for medical expenses and wage losses to employees who are injured or who become ill because of employment.

Shepherd Electric Supply pays the entire cost of the workers’ compensation insurance. The insurance provides coverage for related medical and rehabilitation expenses and a portion of lost wages to employees who sustain an injury on the job.

The company abides by all applicable state workers’ compensation laws and regulations.

If an employee sustains a job-related injury or illness, it is important to notify the manager and Human Resources immediately. The employee must complete an injury report form and return the form to Human Resources. Human Resources will file the claim with the insurance company. In cases of true medical emergencies, report to the nearest emergency room.

Workers’ compensation benefits (paid or unpaid) will run concurrently with FMLA leave, if applicable, where permitted by state and federal law. In addition, employees will not be paid vacation or personal/sick days for approved absences covered by the company’s workers’ compensation program, except to supplement the workers’ compensation benefits such as when the plan only covers a portion of the employee’s salary as allowed by state law.