ARTICLE SEVEN. TRAINING

Section A. Workforce Training Program
Section B. Institute for Career Development

Section A. Workforce Training Program

1. Commitments

The parties are committed to:

a. the Company's workforce being sufficiently skilled so that all Bargaining Unit Work can be performed in accordance with this Agreement by Employees; and

b. Employees receiving sufficient training to allow for all reasonable opportunities to progress within the workforce and maximize their skills to the greatest extent possible.

2. Plant Training Committees

a. Appointment and Composition

The parties shall establish ,a Plant Training Committee at each of the Company's facilities. The Plant Training Committee shall be composed of three (3) Union representatives who are Employees of the Company and an equal number of Company representatives. The Company members of each Plant Training Committee shall include the Plant Manager (who shall serve as the Company Co-Chair). The Company Members of the Committee shall be selected and serve at the pleasure of the Plant Manager. The Union members of each Plant Training

Committee shall include the Local Union President/Chair (who shall serve '

as the Union Co-Chair). The Union Members of the Committee shall be selected and serve at the pleasure of the Local Union President/Unit Chair at the plant.

b. Staff

Each Plant Training Committee shall have one (1) full time Training Coordinator who will be responsible for coordination and oversight of the Training Program. The Training Coordinator will be an Employee selected by and serving at the pleasure of the Chair of the Union Negotiating Committee and the Corporate Manager of Labor Relations, it being understood that the Union Committee Chair shall consult with the Local Union President(s)/Unit Chair(s) at the plant of the Company. The Training Coordinator shall be compensated in the same manner as the Contract Coordinators referred to in Article Six, Section C of this Agreement.

3. Study of Workforce Training Needs

Within six (6) months of the Effective Date, each Plant Training Committee shall complete a report (Report) of the expected training needs of the workforce over the term of the Agreement, given the Commitments outlined in Paragraph 1 above. Such Report shall include Findings and. ,Recommendations as described below.

a. Findings

                          (1) an age and service profile and the anticipated attrition rates of the

                                    workforce over the life of the Agreement;

(2) an assessment of the current skill requirements (both competencies and force levels) of the plant, the availability of such skill requirements within the existing workforce and any training practices or programs necessary to bring the competencies and! or force levels of the current workforce into prompt conformity with the plant's current skill requirements;

(3) an evaluation of the appropriateness of existing training programs and the necessity of developing additional training programs, giving due consideration to changing technology and future skill needs;

(4) an examination of current overtime levels and an assessment of whether Employees in certain positions are working excessive overtime;

(5) an examination of methods by which productivity can be improved

                                    through additional training of Employees;

(6) an examination of the plant's business plan, including projected capital spending, planned or potential new technology or technological change and other relevant factors over the term of the Agreement; and

(7) an assessment of the work practices and the training practices at the plant, as compared to those of other steel producers represented by the Union.

b. Recommendations

Based on its Findings, the Plant Training Committee shall develop a comprehensive training program, including a detailed implementation plan and all necessary resources for administration, implementation, delivery and evaluation (Training Program) designed to, on a practical and timely basis, meet the commitments outlined in Paragraph I above.

c. Update

Each year the Plant Training Committee shall prepare an Update that reviews the Findings and modifies them based on changed circumstances, measures the success of the Training Program against its objectives and modifies the Training Program accordingly.

d. Separate Statements

The Report and each Update will include separate statements by the parties with respect to any Finding or Recommendation as to which they disagree.

4. Action by the Chairs of the Negotiating Committee

a. Within thirty (30) days of receipt of the Report or an Update, the Chair of the Union Negotiating Committee and the Chair of the Company Negotiating Committee shall approve a Training Program or Update (including modifications upon which they can agree) or submit those matters on which they do not agree to an Arbitrator, pursuant to procedures to be agreed upon by the parties.

b. The dispute will be resolved on the basis of a final offer submission by the parties at a hearing. The arbitrator will determine which of the submissions best meets the Commitments outlined in Paragraph I above, in light of the Findings referred to in Paragraph 3(a) above. The arbitrator shall have the power to determine the procedures pursuant to which the hearing is conducted.

5. Administration and Union Role

a. In accordance with Section AI. and to facilitate the provisions of Section 3b. of this Article, each Plant Training Committee shall jointly oversee the administration and delivery of its Training Program, the expenditure of Company funds necessary for its operation, and an annual audit of such activity.

b. In the event that the Union members of the Plant Training Committee propose that the Union or its designee take responsibility for any or all aspects of the administration, delivery, or implementation of the Training Program, the Company members of the Committee shall give recognition to the special advantages that such Union responsibility would contribute to the Training Program, including but not limited to the knowledge of the Union concerning the Program and its development, the familiarity of the Union with the capabilities and learning styles of Employees, and the added credibility that Union responsibility would add to the Program. Any dispute over aspects of the administration, delivery, or implementation of the Program shall be a matter for resolution under paragraph 7 below.

6. Safeguards and Resources

a. The Company shall provide the members of the Plant Training Committee and the Training Coordinator with such training as is necessary to enable them to perform their responsibilities under this Section with a high degree of competence. Employee participation in the Plant Training Committee shall normally occur during normal work hours. All meeting time and necessary and reasonable expenses of the Plant Training Committee shall be paid for by the Company and Employees attending such meetings shall be compensated in accordance with standard local plant understandings.

b. Union members of the Plant Training Committee shall be entitled to adequate opportunity on Company time to caucus for purposes of study, preparation, consultation and review, and shall be compensated in the same manner as set forth in Paragraph (a) above. Requests for caucus time shall be made to the appropriate Company representative in a timely manner, and such requests shall not be unreasonably denied.

c. To the extent that Company facilities are available and appropriate for

Training Program activities, they will be made available.

7. Dispute Resolution

In addition to the matters covered by the dispute resolution procedure described in Paragraph 4 above, in the event that the Plant Training Committee is unable to reach agreement on any matter involving the Training Program, the Plant Training Committee shall appoint the arbitrator referred to in Paragraph 4(a) to resolve such dispute. The further details of this procedure shall be as agreed to by the Plant Training-Committee unless they are unable to reach such agreement, in which case

they shall be determined by the arbitrator.

Section B. Institute for Career Development

1. Establishment

The Union and the Company hereby establish the USWA/ISG Institute for Career Development (the Institute) which, in conjunction with similar programs negotiated by the Union with various other employers, will be administered under the rules and procedures of the Institute for Career Development (ICD).

2. Purpose

The purpose of the Institute is to provide resources and support services for the education, training and personal development of the Employees of the Company, including upgrading their basic skills and educational levels.

3. Guiding Principles

The Institute and ICD shall be administered in a manner consistent with the following principles:

a. workers must playa significant role in the design and development of their

               jobs, their training and education and their working environment;

b. workers should be capable of reacting to change, challenge and

               opportunity and this requires ongoing training, education and growth;

                    and

                      c. worker growth and development can only succeed in an atmosphere of

                               voluntary participation in self-designed and self-directed training and

                    education.

4. Financing

The Institute will be financed by $0.15 for each hour worked by all Employees. The parties will also seek and use funds from federal, state and local governmental agencies.

5. Administration

a. The Institute will be administered jointly by the Company and the Union in accordance with procedures, rules, regulations and policies agreed to by the parties.

b. Training is separately provided for in the Agreement. The Company may, however, contract with the Institute to provide services and resources in support of such training.

c. The Company agrees to participate fully as a member of ICD in accordance with policies, rules and regulations established by the ICD. The Company's financial contributions to the Institute will continue to be separately tracked. ICD will continue to be under the joint supervision of the Union and participating employers with a Governing Board consisting of an equal number of Union and employer appointees.

6. Reporting, Auditing, Accountability and Oversight

The following minimum requirements shall govern reporting, auditing, accountability and oversight of the funds provided for in Paragraph 4.

a. Reporting

(1) For each calendar year quarter, and within thirty (30) days of the close of such quarter, the Company shall account to the lCD, the International Union President and the Chair of the Union Negotiating Committee for all changes in the financial condition of the Institute. Such reports shall be on formes) developed by the Institute broken down by plant and shall include at least the following information:

                                    (a) The Company's contribution, an explanation thereof and

                                     the cumulative balance; and

                                     (b) a detailed breakdown of actual expenditures related to

                                     approved program activities during said quarter.

                              (2) The Union Co-Chairs of each of the Local Joint Committees shall

                                      receive a report with the same information for their plant or Local

                                    Union, as the case may be.

b. Auditing

The Company or the Union may, for good reason, request an audit of the Company reports described in Paragraph 6(a) above and of the underlying Institute activities made in accordance with the following: (1) the Company