MEMORANDUM OF AGREEMENT
  #2203040283
  between
UNION PACIFIC RAILROAD COMPANY
for the territory
EASTERN DISTRICT - ZONE 100

 UNITED TRANSPORTATION UNION (CE&T)

MODIFICATION OF MEMORANDUM OF AGREEMENT 2209159483 -ZONE 100

          Changes in hiring practices have resulted in most student brakeman/yardmen being selected and trained as a group. Because of scheduling of interviews and physical examinations does not provide a determination which applicant is actually first hired, we have agreed to use the following process.

RULE 92 (1) (b):

"Brakemen's/yardmen's rights will date from the day they pass the required Transportation Department's rules examination.

"In cases where more than one student is examined in a class, the first student who successfully completes the required final Transportation Department's rules examination will establish the seniority date for the entire class. The relative standing within the class of new brakemen/yardmen shall be determined as follows:

"1.          Employees transferring from another craft with continuous service on the Union Pacific Railroad will be placed on the roster in the order of their original employment with the Carrier, ahead of newly hired employees. In the event more than one employee has the same hire date with the Company under this Section 1, their ranking will be established by the provisions of Section 2 below.

"2.         Members of the class will be ranked among themselves by the last four digits of their Social Security number, with the larger number ranking ahead of the smaller number and placed behind employees transferring from another craft. In the event more than one employee has the same last four digits, the tie will be broken by including the two middle digits of the Social Security number.

 EXAMPLE 1:

"Q.     Employee "A" (SSX458-11-0123) and employee "B" (SS#458-12-0321) have prior service with the Carrier and were hired on the same date. How are the two employees ranked?

A:       Employee "B" will be ranked ahead of employee "A", due to employee's "B" last four digit of the Social Security number (0321) is greater than employee's "A" Social Security number (0123).

EXAMPLE 2:

"Q:     Employee "A" (SS#458-11-0123) and employee "B" (SS#458-12-0321) are hired for train service the same date, however employee "A" is transferring from Maintenance of Way. How are the two employees ranked?

A:       Employee "A" is sequenced ahead of employee "B", due to transferring from another craft.

EXAMPLES:

"Q:        Employee "A" (SS#458-11-0123) and employee "B" (SS#458-12-0123) are hired on the same date and do not have continuous prior service with the Union Pacific Railroad. How are the two employees ranked?

A:       Employee "B" is placed ahead of Employee "A". Both employees "A" and "B" have the same last four digits of their Social Security number. Employee "B" will rank ahead of employee "A" due to his two middle digits being larger.

NOTE:            In the event two (2) or more classes are given their final rules examinations on the same date at different locations on the same seniority district, the classes will be consolidated for the purpose of ranking on the seniority rosters in accordance with the provisions of this Agreement

This Memorandum of Agreement will become effective January 1, 2002 and it is understood that cancels Memorandum of Agreement 2209159483 and modifies Rule 92 (1)(b). If this Memorandum of Agreement conflicts with any provisions or practice of other rules, the terms and intent of his agreement shall prevail. This Memorandum of Agreement will remain in full force and effect unless cancelled by either party signatory hereto with a serving of a thirty (30) day advance written notice upon the other. If such advance notice is service and this Memorandum is cancelled, the provisions of Rule 92 (1) (b) will be restored.

Signed this sixth day of  May, 2002

     FOR THE UNITED                                                      FOR THE UNION
TRANSPORTION UNION:                                  PACIFIC RAILROAD COMPANY

Dean Hazlett                                                          F. A. Tamisiea

General Chairman (UTU) (C,E&T)                         Director - Labor Relations