ARTICLE VII
PRODUCTIVITY FUND/SPECIAL ALLOWANCE

Productivity Fund

1. (a) For each tour of duty or trip identified in Article I, Sections 1 and 3 operated on the Eastern District with a crew consist of one (1) Conductor/Foreman and one (1) Brakeman/Helper or one (1) Conductor/Foreman only over the number of employee on the Tier II Reserve Board in the Zone where the trip is operated, the company will pay into the appropriate Employes' Productivity Fund the sun of $52.00 For example, if there were 10 Local and Extra Assignments, Yard jobs and Pool Turns, and 10 employee counted on the Tier II Reserve Board, no payments would be made. If there were a total of 10 Local and Extra Assignments, Yard jobs and Pool Turns, and 5 employee counted on the Tier II Reserve Board, payments would be made into the Employes' Productivity Fund for 5 Local and Extra assignments, Yard jobs and Pool Turns on a tour of duty/trip basis in accordance with the basic Crew Consist Agreement

NOTE: Since employee on the Tier II Reserve Board are paid on a 5-day per week basis, the Carrier will only count 5/7 (71%) of the number of positions on the Tier II Reserve Board on any given day. For example if there were 1O employee on the Tier II Reserve Board, only 7 employee would be used as an offset.

(b) When there are no employee holding a Tier II Reserve Board position, the Productivity Fund payment will increase to $55.00. Each Zone will be treated separately under this section.

2. Productivity Fund payments, provided for in Section 1 above, will be made in accordance with the basic Crew Consist Agreement.

Special Allowance

3. (a) The Special Allowance payments set forth below will apply, to crews identified in Article I, Sections 1 and operated with one (1) Conductor/Foreman and one (1) Brakeman/Helper or one (1) Conductor/Foreman only. Employes hired after the effective date of this Agreement will not be eligible for the Special Allowance.

$10.00 per eligible employe - payable effective February 1, 1992.

$12.00 per eligible employe - payable when no employes are holding a Tier II Reserve Board position in the applicable Zone.

(b) The amounts set forth above are subject to wage and COLP adjustments for employee hired prior to October 31, 1985. The $12.00 payment is not subject to adjustments prior to its effective date. If the $10.00 rate surpasses the $12.00 rate due to adjustments, the higher rate shall be used.

(c) The amounts set forth above are frozen for employee hired subsequent to October 31, 1985, but prior to the effective date of this Agreement. Employes hired subsequent to the date of this Agreement are not eligible for the Special Allowance.