 1888 MILLS PLANT ASSOCIATE HANDBOOK 

WELCOME......................................................................................................................................................................3
Equal Employment Opportunity............................................................................................................................4
Employment-At-Will..............................................................................................................................................4
Orientation Program.............................................................................................................................................4
Confidentiality of Information...............................................................................................................................4
EMPLOYMENT POLICIES................................................................................................................................................6
Attendance Policy..................................................................................................................................................6
Chain of Command................................................................................................................................................6
Code of Conduct....................................................................................................................................................7
Dress Code............................................................................................................................................................7
Associate Relations...............................................................................................................................................7
Employment Records.............................................................................................................................................7
Entering and Exiting the Building.........................................................................................................................8
Harassment Policy................................................................................................................................................8
Outside Employment.............................................................................................................................................9
Smoking.................................................................................................................................................................9
Solicitation and Distribution.................................................................................................................................9
Suppliers, Customers and Others with Whom 1888 Mills Transacts Business.....................................................9
Telephones.............................................................................................................................................................9
Visitors and Deliveries..........................................................................................................................................9
Use of Audio-Visual Equipment..........................................................................................................................10
1888 Mills Property............................................................................................................................................10
JOB POSTING PROCEDURE..........................................................................................................................................10
Internal Job Posting for Hourly Associates, Non-Supervisory...........................................................................10
Section Leader positions.....................................................................................................................................10
DRUG-FREE WORKPLACE...................................................................................................................................11

SAFETY IN THE WORKPLACE.....................................................................................................................................12

WORKERS COMPENSATION POLICY...........................................................................................................................13

COMPUTER USAGE.......................................................................................................................................................14

COMPENSATION POLICIES.................................................................................................................................15
Pay Procedures...................................................................................................................................................15
Overtime Pay.......................................................................................................................................................15
Performance Reviews..........................................................................................................................................15
ASSOCIATE BENEFITS..................................................................................................................................................16
Benefits Eligibility Schedule................................................................................................................................16
TIME-OFF BENEFITS..............................................................................................................................................17
Paid Sick and/or Personal Days.........................................................................................................................17
Paid Vacation Time.............................................................................................................................................17
Holidays..............................................................................................................................................................18
FAMILY AND MEDICAL LEAVE ACT................................................................................................................18

1 Updated September 2020

 Requesting a Leave..............................................................................................................................................19
Duration of Leave................................................................................................................................................19
Insurance Premium Payment during Leave........................................................................................................19
Returning from Leave..........................................................................................................................................19
Military Leaves of Absence.................................................................................................................................20
GROUP HEALTH AND OTHER BENEFITS........................................................................................................21
Associate Health Benefit Programs....................................................................................................................21
Social Security/Medicare....................................................................................................................................21
Continuing or Converting Your Group Health Insurance Coverage (COBRA).................................................21
401K Retirement Program..................................................................................................................................22
CORRECTIVE ACTION POLICY..........................................................................................................................22

TERMINATION OF EMPLOYMENT....................................................................................................................25
HANDBOOK RECEIPT ACKNOWLEDGMENT.................................................................................................26

Notice of Revision:

This associate handbook is a revised version of a previous associate handbook issued by 1888
Mills, LLC.  This handbook supersedes and revokes all prior versions of a handbook or any
memo, bulletin, policy, or procedure on any subject discussed in this handbook that has been
issued prior to the date occurring below.

This revised associate handbook is effective September 1, 2020.

Updated September 2020 2

 WELCOME
Welcome to 1888 Mills. You have joined an exciting company, comprised of many talented and
committed people who work extremely hard. 1888 Mills is a leading manufacturer and
distributor of home and commercial textiles. We have an established tradition of providing our
customers with the highest quality products and service available. Our ability to carry on this
tradition and to grow within the industry is related to the performance, enthusiasm and loyalty of
our associates. You are a member of a winning team!

This Associate Handbook is a guide to help you understand the employment provisions and
expectations of 1888 Mills. It contains general information and guidelines. It is not intended to
be comprehensive or to address all the possible applications or exceptions to the general policies
and procedures described. The policies outlined in this Handbook are based on the belief that
common sense, good judgment, and consideration for the rights of others are paramount to our
ability to serve our customers and ourselves. If you have any questions concerning eligibility for
a particular benefit or the applicability of a policy or practice, you should address your specific
questions to your manager or Human Resources.

Please read this Handbook thoroughly and keep it for future reference. From time to time at the
sole discretion of 1888 Mills, you may receive updated information concerning changes in
policy. Should you have any questions regarding policies, please ask your manager or Human
Resources for assistance.

Jonathan R. Simon
CEO

This Handbook does not guarantee any fixed terms and conditions of your employment.
Your employment is not for any specific time and may be terminated at will, with or
without cause and without prior notice by 1888 Mills or you may resign for any reason at
any time. It is requested that if you are leaving our employment you give proper notice.

3 Updated September 2020

Equal Employment Opportunity

1888 Mills is an equal employment opportunity employer and does not discriminate against
associates or applicants on the basis of race, color, religion, sex (including pregnancy), sexual
orientation, national origin, age, disability, veteran status, genetic information or any other status
or condition protected by applicable federal or state law. This policy applies to all terms and
conditions of employment including, but not limited to application, hiring, counseling,
placement, advancement, termination, layoff, recall, transfer, leaves of absence, compensation
and training.

1888 Mills shall not retaliate against a person who files a charge of discrimination, participates in
a discrimination proceeding, or otherwise opposes an unlawful employment practice.

Employment-At-Will

You and 1888 Mills are engaged in an “at-will” employment relationship. Therefore,
employment at 1888 Mills is for no definite period of time and may be terminated at will. This
means that either you or 1888 Mills may terminate the employment relationship at any time, with
or without reason, or advance notice. 1888 Mills is also not bound by any oral promises
concerning your length of employment.

Orientation Program

The first ninety (90) days of your employment are considered an orientation and training period.
Take advantage of this period to ask questions of your managers and make sure that you
understand how to effectively perform your job. During this period the company will be
monitoring your performance, just like you should evaluate us! The goal is to ensure the right fit!

Confidentiality of Information

During your employment at 1888 Mills you will find that we communicate confidential
information within the 1888 Mills family. However, we must be extremely careful to ensure that
such information is not communicated to our competitors or any person who does not have a
need to know. Releasing confidential information is not only harmful; it places 1888 Mills in a
decided business disadvantage.

Associates have an obligation to protect 1888 Mills interests by not disclosing any information of
a confidential nature regarding our processes, equipment, materials, drawings and products to
competitors or other outside agents. To Do So Will Result In Immediate Dismissal. Associates
are not permitted to engage in the unauthorized use of any trade secret or other confidential
research, development or commercial information relating to our business, or to permit others to
use or divulge such information.

Updated September 2020 4

 ABOUT 1888 MILLS
The goals and standards by which we continue to grow and achieve perfection are the backbone of our
many years of success.
Brand Purpose
Weaving a Better World®

Our Brand Promise

We are people with an uncompromising commitment to do the
right thing for those we proudly serve.

Our Sandbox: (where we play)

Designing and producing quality home and commercial textiles
that are innovative and affordable.

Luxury Sandbox
Producing the finest home and commercial textiles through
creativity, innovation, elegance, and design that appeal to
the aspirations of individuals around the world.

Our Core Values

 Customer First  Integrity and Expertise
 Strong Work Ethic  Family and Cultural Diversity
 Flexibility/Adaptability  Sustainability: People, Planet, Prosperity
 Teamwork  Innovation

We love our customers!

1888 Mills domestic and international customers are highly valued. We strive to provide our
customers with high quality products. We listen carefully to customers and enjoy hosting them at
our facilities.

Quality is our top priority! We maintain a commitment to top quality customer service. As an
associate we expect you will feel personally responsible for the quality of every product.

We work with our vendors!

1888 Mills suppliers are also important. We treat our suppliers with respect. We regularly work
together to solve problems and create opportunities for our mutual benefit.

We are global!

Our partnerships are built on mutual respect and success! With our excellent technological
resources, we maintain good communication! Our relationships are crucial to our success and we
expect nothing less when working with our global partners.

5 Updated September 2020

 EMPLOYMENT POLICIES
1888 Mills believes policies and procedures are essential for our operations and for the
protection and fair treatment of all associates. We have clearly identified performance
expectations so that everyone can act in accordance with our workplace standards. Courtesy
and common sense should always prevail. The following work rules are not all-inclusive but
serve to demonstrate work behaviors considered important.

Attendance Policy

The purpose of the policy is to provide fair and equal attendance requirements for all. While
there are unique situations, we expect you to have a good daily on the job attendance.
 Associates should maintain an on the job work percentage of 95% or better. A complete day
consists of 6.0 hours or more worked. Any day worked less is subject to corrective action.
o Plant closure days do not count in Attendance Policy as either days missed, or days
scheduled.
o Send out days do not count in the Attendance Policy as either days missed, or days
scheduled.
 Excused absences are considered Personal Days, Vacation Days, Jury Duty, Military Leave
and Deaths of Immediate Family, which includes spouse, children, parents, brothers, sisters,
grandparents, and grandchildren.
 Two days with no report within a 30-day period is immediate discharge – assume quit.
 Tardiness/Partial shifts that are less than 6.0 hours are subject to corrective action.
 It is your responsibility to get to and from work on time. Repeated tardiness may result in
corrective action.
 Unless you are physically unable to do so, you must call yourself in to your supervisor if you
are going to be late or absent at least 30 minutes before the start of your shift.
 Corrective action, if needed, is as follows:
- First Counsel: 30 days – Verbal warning placed in employment file.
- Second Counsel: After first counsel, if percentage falls below 95% within 60 days a
discipline, a write up will be placed in employment file.
- Third Counsel: If percentage falls below 95% within 60 days again, a written interview,
probation of up to 30 days or discharge may result.

Chain of Command

We take pride in our open-door policy. Our management team can always make time to sit down
and listen to anything you feel is important. By keeping all lines of communication open, we can
foster initiative and creativity through input by all our associates. Associates with grievances
should take them to their manager first. If, for any reason, the associate wishes to discuss this
further, he/she should feel free to do so with another manager or HR.

In any group of people, honest differences of opinion or questions of policy may arise. If you
feel that there is an issue that needs resolution, or if there is a concern about the correct
application of policy, you are encouraged to bring it to the attention of management.

Updated September 2020 6

The dispute resolution procedure is a method for impartial hearing of the complaint. It is
intended to resolve the problem and to provide you a fair and objective review of any concern.
All issues will be handled without prejudice or retaliation.

Code of Conduct

 You are expected to regard your workplace with respect and attention. 1888 Mills records,
equipment, and property are to be treated carefully and appropriately. You are responsible
for those items in your custody and will be held accountable for their maintenance,
appropriate use and/or accuracy.
 You are expected to act in accordance with all appropriate codes, laws, regulations, and
policies, regardless of whether they are set by 1888 Mills or outside regulatory bodies.
 You are expected to conduct yourself in a professional manner at all times while representing
our company.
 You are expected to maintain the confidentiality of 1888 Mills information or customer
information in your possession (i.e. personnel information, trade secrets, etc.)

Dress Code

What you wear to work should be neat in appearance, keeping in mind the impression made on
customers, visitors, other associates and the need to promote safety. The following is considered
unsuitable for a manufacturing/distribution facility:
 Open toe shoes, cloth shoes, flip flops, etc.
 Tank tops, short shorts, loose-fitting garments or jewelry. (Loose fitting clothing or jewelry
could get caught in the machinery and result in a serious accident.) Shirts, blouses and other
clothing should cover the body. Pants must be worn properly at the waist.
 Printed or graphic clothing which might be offensive to another’s race, color, religion, sex,
sexual orientation, national origin, age, disability, or veteran status is prohibited.

Associate Relations

1888 Mills has a commitment to maintaining superior associate relations according to the
following principals:
 Every associate is entitled to respect, courtesy, dignity, fair wages, and safe working
conditions.
 1888 Mills will endeavor to enforce all policies in a uniform and consistent manner.
However, 1888 Mills reserves the right to change its rules and policies at any time and to
take whatever action it deems appropriate in each individual circumstance.

Employment Records

When you begin to work for 1888 Mills, a personnel file is established with your basic
information and will be actively maintained during your time here. Please notify Human
Resources if you change any pertinent information such as address, phone number, marital
status, etc. You are entitled to review your file if necessary. Please contact your manager or HR
for a copy.

7 Updated September 2020

Entering and Exiting the Building

For your safety and your coworkers’ safety, we have a badge system to enter our facilities. You
should enter and exit the building through the door designated by your Manager. Once you enter
the building, we ask that you not leave unless you have your Manager’s approval. Remember,
this is for your safety!

Plenty of parking is provided for you near the associate entrance. Please do not park on the lawn!
Also, we have handicap parking for those that need it. Please do not park in these spaces unless
you have designated handicap license plates. The main gate is open 30 minutes before and after
shift changes. If you are dropped off or picked up, you should be here to enter the main gate.
Also, please make sure that your ride drops you off before the associate entrance gate.

Harassment Policy

1888 Mills will not tolerate conduct by any associate that harasses, disrupts, or interferes with
another’s work performance or which creates an intimidating, offensive, or hostile environment.
1888 Mills wants to maintain a working environment free from all forms of harassment, whether
based upon race, color, religion, sex (including pregnancy), sexual orientation, national origin,
age, disability, veteran status, genetic information or any other status or condition protected by
applicable federal or state law.

Harassment can take the form of slurs, graffiti, offensive or derogatory comments or other verbal
or physical conduct. While all forms of harassment are prohibited, it is our policy to emphasize
that sexual harassment is specifically prohibited. Actions are considered to be sexual harassment
under the following conditions:
 If submission to the conduct is in any way deemed to be a term or condition of employment;
 If submission to, or rejection of, the conduct is used as the basis for any employment-related
decisions;
 If the conduct has the purpose or effect of unreasonably interfering with an individual’s work
performance or creating an intimidating, hostile, or offensive work environment.
 Harassment of an associate outside of the workplace is also prohibited.

Management provides and supports a dispute resolution procedure for receiving and
resolving complaints alleging discriminatory practices in employment relations. You have
the responsibility to immediately report any actions or words by a manager, co-worker or
vendor that you believe to be harassment. You should report the incident to your manager or to
HR if the complaint involves your manager. 1888 Mills will not tolerate or permit retaliation by
management, associates, or co-workers or non-associates. All complaints of harassment will be
investigated promptly and in an impartial manner. Discretion will be used during the
investigation to maintain as much confidentiality as is possible while still being able to
effectively complete the investigation. If you are not satisfied with the handling of a complaint
or the action taken, you should then bring the complaint to the next higher level of authority. In
all cases, you will be advised of the findings and conclusion.

Any associate or member of management who is found to have engaged in harassment of another
associate or to have retaliated against an associate for reporting harassment will be subject to
appropriate corrective action, up to and including immediate termination.

Updated September 2020 8

Outside Employment

What you do on your free time is your own business. However, if you are employed by 1888
Mills in a full-time position, we expect you to considerate us your primary employer. Any
supplies, equipment or other property of 1888 Mills should not be used for outside business.

Smoking

This policy is in effect during and after work hours and will apply to:
 All 1888 associates on all shifts;
 Customers, vendors, clients, consultants, contractors and all other visitors; and

Smoking and tobacco use of any kind shall be prohibited at all 1888 Mills campuses and
grounds. Smoking on the property will result in a write up. Smoking in any of the buildings is
grounds for immediate dismissal.

Solicitation and Distribution

Associates may not solicit or distribute literature for any purpose at any work time in any
working areas. Working time does not include periods of authorized free time such as meals,
breaks and before and after a shift.

Suppliers, Customers and Others with Whom 1888 Mills Transacts Business

Associates are to deal with suppliers, customers, contractors, consultants, and all others doing
business with us without favor or preference based on any personal considerations. No associate
may accept, directly or indirectly, any payment, loan or excessive entertainment from any
individual or from the representative of any concern doing or seeking to do business with 1888
Mills without prior management approval.

Telephones

Please use the phone only when necessary and keep the length of your call to a minimum. You
will be able to receive incoming calls only in an emergency, so please inform anyone that might
call you of this rule. Cell phones may only be used during your designated break times at
designated places. In addition, Blue Tooth headsets are not allowed to be used in the plant
or warehouse.

Visitors and Deliveries

Visitors are not allowed onto company premises except during regular office hours from 8:00 am
to 5:00 pm. All visitors must register at the front office and obtain a visitor’s badge. The visitor
must be escorted through the facilities. No deliveries including meals, will be allowed.

9 Updated September 2020

Use of Audio-Visual Equipment

1888 Mills policy prohibits the use of photographic or recording equipment within the facilities
unless management has given approval. Permission must be secured for associates, vendors,
other visitors or consultants to use audio-visual equipment in the building or on our grounds.

1888 Mills Property

Associates are responsible for the proper care, use and protection of 1888 Mills equipment and
property. Breakdowns or damage to property must be promptly reported to your manager.
Unauthorized use or theft of equipment or other 1888 Mills property is absolutely prohibited.
Violations will subject you to discharge. If your job requires the removal of 1888 Mills property
from the premises, your manager must pre-approve removal of the property/equipment.

JOB POSTING PROCEDURE

Internal Job Posting for Hourly Associates, Non-Supervisory

It is our goal to promote from within whenever possible! All plant associate non-supervisory
positions will be posted throughout the facility to give you an opportunity to move up or try new
jobs throughout the facility.

Qualifications and seniority are determining factors when promoting from within. Qualified
means that you have been paid by 1888 Mills to do the job in our company. Management will
make the final decision for qualifications and training. If all qualifications are equal, company
length of service is the determining factor.

To be eligible, you must be employed by 1888 Mills for 90 days, not in training, have a record of
attendance at or above 95%, and no written write ups within the last 6 months. Down bids are
not generally allowed, unless both managers agree. Lateral moves will be allowed for shift
change.

1. Job will be posted in throughout the facility for one week, usually Monday through Friday.
2. If you are interested and meet job posting requirements, sign up at HR office.
3. HR will review the potential candidates to determine eligibility and award the job.
4. Once you move to the new job, you have one week to decide if it’s right for you!
a. If you stay on the new job, we’ll work to fill your old one!
b. If you want your old job back, you can go back. However, you’ll have to wait
another 6 months before you transfer again.

Section Leader positions

Section Leader positions will be awarded based on merit and qualifications. These positions will
not be posted but a candidate will be selected from a pool of eligible associates with first
preference given to those who have gone through our management training program. Once you

Updated September 2020 10

are an hourly supervisor, you can then become eligible should a salaried management level
position become available.

11 Updated September 2020

 DRUG-FREE WORKPLACE
It is the policy of 1888 Mills to create a drug-free workplace. The use of controlled substances is
illegal, inconsistent with the behavior expected of associates, subjects all associates and visitors
to our facilities to unacceptable safety risks, and undermines the ability of 1888 Mills to operate
effectively and efficiently. In this connection, the unlawful distribution, dispensation,
possession, sale or use of a controlled substance in the workplace or while engaged in 1888 Mills
business is strictly prohibited.

Associates convicted of controlled substance-related violations in the workplace (included pleas

of nolo contendere, i.e. no contest) must inform the 1888 Mills within five days of such
conviction or plea. Associates who violate any aspect of this policy may be subject to
appropriate corrective action, up to and including termination. At its discretion, the 1888 Mills
may require associates who violate this policy to successfully complete a drug abuse assistance
or rehabilitation program as a condition of continued employment.

To assist in providing a safe and healthy workplace, 1888 maintains a resources file of
information of various means of associate assistance in our community, including by not limited
to drug and alcohol abuse programs. Associates are encouraged to use this resource file located
in the HR office.

Any associate whose conduct violates the Substance Abuse Policy will be disciplined up to
and including termination. 1888 reserves the right to perform random drug screens if
suspicious activity is suspected. Also, should you be involved in an accident of any kind
while on the campus, you will be given a drug test, as per our workers comp policy.

Updated September 2020 12

 SAFETY IN THE WORKPLACE
Your safety is extremely important! Your managers are constantly working to ensure that you
have safe working conditions and equipment. To further stress safety, you will find several
safety programs designed to promote safe working and safety awareness. However, being safe
involves more than just safe working conditions or being a part of a safety program; it involves
your participation. Safety awareness means you look out for yourself and the people working
with you, being constantly on the alert for unsafe conditions.

Each shift has a Safety Committee comprised of 6-8 members from different departments. The
committee meets monthly to discuss how to make our facility a safer place. If this is something
you might be interested in, please talk to your Manager or HR.

The rules of safety will be reviewed with you by a plant trainer or manager. It is important that
you learn these rules and apply them to your daily job. Your area may have specific safety rules
that pertain to your job. You will attend a safety orientation and be asked to sign the pertinent
safety rules. Safety comes first always. Learn to do things the safe way by following the safety
instructions given by your manager. Any unsafe conditions should be reported to your
manager immediately.

Here are some safety “musts”:

 If you are in an accident, or injured on the job, report it to your manager at once, regardless
of how minor the injury may seem. Prompt attention often helps prevent more serious
complications. Failure to do so may result in loss of Worker’s compensation benefits for the
injury.
 Clean up waste and keep your tools and materials in good order.
 Before you touch or clean any part of a machine, be sure the machine is stopped (with the
stop button in the “STOP” position) or switch is pulled.
 Horseplay isn’t humorous when someone gets hurt, so avoid clowning around while in the
plant.
 Lift things properly, bending your knees and lifting with your legs, not your back. Never try
to lift something alone that requires two or more people.
 Associates are prohibited from operating any truck, machine or other equipment unless
specifically authorized to do so by their manager.
 Walk, never run in the plant.
 Safety guards and other devices are installed at all hazardous areas. Associates are not
permitted to remove any of these safeguards.
 Associates in certain areas of the plant are required to wear personal protective equipment
provided by the company for their own protection and health.
 Shoes that cover your entire feet are required in the production area.
 Fork Lift Drivers must be certified before operating any lift. This includes following all
safety rules for the proper operation of the lift.

Each associate must do his/her part to make our plant a safe place to work. We’re all proud of
our safety record. Better to be safe than sorry!

13 Updated September 2020

 WORKERS COMPENSATION POLICY
If you are hurt or injured on the job, our Workers Compensation Policy will cover you. You
must inform your manager immediately. Your manager will see that you get the appropriate
medical attention and will fill out an accident report form as required by the state. If your injury
is determined to be work related, you will be covered by Workers Compensation Insurance.
Failure to immediately notify your manager of a job injury could jeopardize your Workers
Compensation benefits. If the injury has not been reported after the second day, the claim
will no longer be active, and you will lose any Workers Compensation benefits. Falsifying
a job injury report is grounds for immediate termination.

A drug screen will be performed on all injuries. Failure to pass the drug screen will void the
Workers Compensation claim and is grounds for immediate termination.

Workers Compensation Insurance covers the following:

 All necessary medical treatment for a job-related injury.
 If an associate is injured on the job and unable to work for more than seven (7) days, he/she
will be entitled to benefits under the Workers Compensation Act.
 If an associate is permanently disabled or disfigured as determined by the Workers
Compensation commission, it will provide compensation.

An associate may use personal or vacation time during the first seven (7) days of a job-related
injury if he/she has any time available. You must inform your manager of your time request.
The company will arrange for you to see a doctor, and if you need a specialist, the doctor will
make a referral for you. Failure to make scheduled appointments with the doctor could result in
loss of benefits.

You cannot return to work until you have been released by the doctor and present a written
release to your manager. If the doctor gives you a conditional release, your manager will
evaluate your condition and determine if you can return to your job or another job. We will try
to accommodate a light duty request; however, it must not interfere with the normal course of
business.

Updated September 2020 14

 COMPUTER USAGE
The nature of our business and global reach requires extensive use of computers and technology.
A detailed computer usage agreement is maintained as a separate document that is provided to
each associate on his/her first day, and available in the HR office. It is your responsibility to
read the document thoroughly, sign the usage agreement and return it to Human
Resources. Important points to remember include, but are not limited to:

 1888 Mills understands its legal and social obligations to respect the privacy of authorized
users of its computer network and telephone resources. However, users must recognize that
the confidentiality of their electronic communications cannot be guaranteed by 1888 Mills.
 1888 Mills reserves the right to audit or monitor any uses of its computers, internet, and
telephone when necessary to ensure compliance with company policy, and federal, state or
local law.
 Users must maintain the confidentiality and integrity of the information accessed and must
not use company information for any unauthorized purpose.
 Use of pornographic website, Internet gambling websites and Internet radio are strictly
prohibited.
 Streaming Audio or Video via 1888 Mills’ networks should be limited to business use only.
 Usage of personal memory storage devices (IE: USB Flash Drives; Handheld devices such as
PDA’s, iPods, portable hard drives, smart phones) is prohibited unless authorized by the
associate’s manager and Information Technology prior to its use.
 Downloading of application programs is not allowed.

Failure to follow company policy is subject to appropriate corrective action, up to and including
termination.

15 Updated September 2020

 COMPENSATION POLICIES

Pay Procedures

Plant associates are paid weekly by direct deposit. Electronic time clocks are used as a record of
work time and assure proper payment for time worked. We use Paychex for our payroll system
to record time and attendance.

All required deductions, such as federal, state and local taxes, and all authorized voluntary
deductions, will be withheld automatically from your paychecks.

Upon hire, you will receive your associate ID# to be enrolled into the timekeeping system. Our
system works on finger prints so you will need to be responsible for clocking in/out when you
work. Paychex online access registration will be part of your orientation. With online access you
will be able to review your paycheck for errors. If you find a mistake, please report it to your
manager. It is important that you alert HR of any changes to your banking info.

Overtime Pay

The company pays one and one-half (1 ½) times regular pay for any hours worked in excess of
forty hours during a one-week pay period. Our payroll weeks run Monday to Sunday. To receive
overtime, you must:
 Have actual work hours that are over 40 in a week. If you take vacation or sick time,
those hours do not count towards your 40-hour work week. Example: you work 35
hours and take one vacation day in the week. You will be paid for 43 hours of
straight time, no overtime.
 Daily work hours can be more than 8, but overtime is only paid if your total work
hours are more than 40 in a one week pay period.

Performance Reviews

To help you succeed in your job, we provide periodic feedback. During your initial orientation,
you will have reviews on your progress. (30-60-90 days). Both the job and the associate’s
performance are reviewed periodically by management. Associates may periodically receive a
written or verbal review of his/her job performance as the manager deems necessary.

Updated September 2020 16

 ASSOCIATE BENEFITS
1888 Mills is proud to offer a full range of benefits with as low costs to our associates as
possible. It is important to maintain your good health and well being for the benefit of you, your
family and 1888 Mills. This is a summary of the benefits available to you. More specific details
are available through Human Resources.

Benefits Eligibility Schedule

The Benefits Eligibility Schedule is a summary of company benefits based on full time
employment.

TIME OFF BENEFITS MINIMUM SERVICE ELIGIBILITY

Sick/Personal 90 days

Vacation One Year

Holiday Pay 90 days

Family Leave One Year

Military Leave Pay One Year

GROUP BENEFITS MINIMUM SERVICE ELIGIBILITY

Health Benefits 60 days (1st of the month after 60)

401K Retirement Program One Year

Bereavement 3 days, unpaid, but does not count against attendance.

17 Updated September 2020

 TIME-OFF BENEFITS

1888 Mills recognizes the importance of time off! Full-time associates will be awarded paid
leave time as follows.

Paid Sick and/or Personal Days

A combined five day maximum per year may be used for personal and/or sick days. You will earn .75
hours of personal leave for each 40 hour pay period you work, up to 40 hours per year. “These hours are
not vacation days and are not accumulated or owed to you upon leaving the company”. You will not be
paid cash in lieu of personal days. If you need to use any of the time for reasons other than sickness, the
following restrictions apply:

 For one day or less off, you must give at least 48 hours’ notice to your manager.
 For more than one day off, you must give at least 5 days’ notice to your manager.
 Personal Days may not be taken in conjunction with vacation unless approved by your manager.
 Personal Days may not be taken immediately following a paid holiday unless approved by your
manager.
 You can accumulate up to 30 days of unused Personal Days.

Paid Vacation Time

After you have been with the company for one-year full time, the following paid vacation benefits apply:

1 through 4 years of employment 5 days (40 hours)

5 years of employment 10 days (80 hours)

One additional vacation day may be earned for each full year worked beyond 10 years of service, up to 5
additional vacation days for a total of three normal work weeks paid vacation for 15 years of service.

In the manufacturing plant, the 40 hours of vacation time must be used to coincide with the Fourth
of July plant shut down. This is a planned shut down, and not subject to partial unemployment
benefits.

You may accumulate vacation time; however, you are encouraged to take it. Associates may accumulate
“two normal work weeks” 80 hours of unused vacation time with less than five years of service and up to
three normal work weeks 120 hours with over five years of service. “Upon leaving the company
accumulated vacation hours will be paid in last check up to a maximum of 120 hours”.

Note: The Company reserves the right to deny Personal Days or Vacation requests if it is necessary
for the critical job functions at the time of request especially during peak months.

Updated September 2020 18

To avoid disruptions in office operations, vacation periods should not exceed two-week
blocks unless approved by your manager and Human Resources.

Associates will not be allowed to take vacation pay in lieu of taking vacation time.

Vacation and sick/personal days will be deducted in full or half day increments 8 hours or
4 hours.

Holidays

As a full-time associate of 1888 Mills, you are eligible for 8 hours of paid time off for the
following holidays as they occur after your initial 90-day orientation:

 New Year’s Day

 Memorial Day
 Labor Day
 Thanksgiving Day
 Christmas Eve
 Christmas Day

IMPORTANT: To be eligible for the holiday pay, you must work your scheduled work
days immediately before and after the holiday, unless approved by your manager, or
because of illness, which must be supported by a physician’s certificate of illness. Holiday
pay is not paid during a leave of absence.

FAMILY AND MEDICAL LEAVE ACT

In accordance with the Family and Medical Leave Act (FMLA), associates with 12 or more
months of continuous service who have worked 1,250 hours or more in the preceding 12 months
are eligible to take up to 12 weeks of unpaid leave within any rolling 12-month period (the date
the associate’s first Leave of Absence begins). Any available vacation, personal/sick must be
used at the beginning of an approved medical or personal leave unless state law requires
otherwise. Use of vacation or personal/sick pay does not extend the leave period. Any request
for a Leave of Absence must be approved by your Manager. Each request will be evaluated
on an individual need basis, subject to current business needs and availability. Leave may
be granted for the following reasons:

 To care for the associate’s newborn, or newly placed adopted or foster child
 To care for the associate’s spouse, child, or parent who has a qualifying, documented
serious health condition
 For a serious health condition that makes the associate unable to perform their job
 Maternity Leave falls under FMLA as an unpaid leave.

19 Updated September 2020

The FMLA defines serious health conditions to include “an illness, injury, impairment or
physical or mental condition that involves: (1) inpatient care in a hospital, hospice, or residential
care facility, or (2) continuing treatment by a healthcare provider coupled with incapacitation for
more than 3 days.

In the event both husband and wife work for the company, the amount of leave is limited to an
aggregate of 12 weeks for “bonding” (the birth, adoption, or foster care placement of a child) or
to care for a sick parent. If the leave is for the care of a sick child, to care for the other spouse, or
for the associate’s own serious health condition, each spouse is allowed 12 weeks leave.

Requesting a Leave

Associates who wish to request a family or medical leave are to provide 30 days’ notice when
the leave is foreseeable. When unforeseen events occur that require a leave, notice must be
given immediately upon learning of the need for leave.

Requests are submitted on the Family and Medical Leave Request Form and must include a
completed Certification of Health Care Provider. Forms are available from the Human
Resources Department.

Final approval will be granted only after medical certification is provided. Certification must be
provided prior to the start of the leave or within 15 days of the leave request. Failure to provide
adequate medical certification will result in denial of the leave.

Duration of Leave

Leave may be granted for up to a total of 12 work weeks in any rolling 12-month period (the date
the associate’s first Leave of Absence begins). A Leave should consist of a single continuous
period, except where intermittent leave is required due to a documented medical necessity.

Any period of more than three scheduled consecutive work days absence, due to a work or non-
work related qualifying illness or injury, will be a qualifying event. In such cases, Leave
entitlement will be reduced by the total number of days absent due to that illness or injury.

Insurance Premium Payment during Leave

While on a Leave 1888 Mills will continue group insurance benefits (medical, dental, life) under
the same terms as provided to other associates, for up to 12 weeks. Associates are responsible
for continuing their contributions for benefits as if they were still working. Human
Resources will work with you to make arrangements for paying your portion of coverage. Failure
to make required payments of more than 4 weeks may result in loss of coverage, and you will
then be eligible for COBRA benefits.

Returning from Leave

Associates must contact their manager and Human Resources at least seven work days prior to
the expiration of their Leave to establish a date and time for their return. Associates must return
at the expiration of the Leave or provide written notice of intent not to return. Failure to do so
will be considered a voluntary resignation effective the last day worked.
Updated September 2020 20
If the Leave was for the associate’s own serious health condition, before returning to work,
he/she must provide a statement from the medical provider indicating ability to return to work in
the position held when the Leave began.

Upon returning to work at the end of the Leave, associates will be reinstated to the same or an
equivalent position to the extent required by applicable law, provided they would have
maintained such a position had the Leave not been taken. Benefits will be restored to the level in
effect prior to the beginning of the Leave.

If an associate does not return after the 12 weeks FMLA leave, you may be subject to
termination. If you return past the 12 weeks and are eligible to continue employment, 1888 Mills
will do our best to accommodate you in a similar position, but your same position and wages are
no longer guaranteed under FMLA.

Associates are responsible for initiating the written request for a Medical Leave, obtaining all
necessary documentation, paying required contributions, and keeping their manager and Human
Resources informed of their status and return date.

Military Leaves of Absence

All Leaves of Absence for Military and National Guard will be administered in accordance with
applicable state and federal laws.

If you are an active member of a reserve unit, you will be granted time off, exclusive of vacation.
If you have one or more years of service with 1888 Mills, the company will pay the difference
between your military pay voucher and your basic 1888 Mills pay for the two-week period of
required annual training duty. Upon your return from the annual training duty you must submit
your pay voucher to your manager. Please allow five working days for the payment.

21 Updated September 2020

 GROUP HEALTH AND OTHER BENEFITS
Associate Health Benefit Programs

1888 Mills has established a variety of associate health benefit programs designed to assist you
and your eligible dependents in meeting the financial burdens that can result from illness, death,
and personal problems. If your spouse is eligible for medical coverage under another employer
sponsored group health plan, they will not be eligible for any medical plan offered by 18888
Mills. You will be asked to certify eligibility should you chose to cover your spouse.

Our associate benefits related programs are described more fully in our Enrollment Booklets,
with which you are provided once you are eligible to participate in these programs. 1888 Mills
reserves the right to amend or terminate any of these programs or to require or increase associate
premium contributions toward any benefits at its discretion.

Social Security/Medicare

All associates are covered by the Federal Social Security Act. A required percentage of your
salary is deducted from your paycheck to pay the associate’s portion of this protection, and 1888
Mills matches your deduction based on Social Security guidelines.

Continuing or Converting Your Group Health Insurance Coverage (COBRA)

Upon resignation or termination, you will no longer be eligible to participate in one of the group
health insurance plans. You and your eligible dependents have the right to continue to
participate at your expense pursuant to the COBRA coverage continuation rules as described in
the Summary Plan Documents of the health insurance coverage in effect at the time the need
arises. (Summary Plan Documents are available in the HR office)

Should you or your eligible dependents elect to continue as members of 1888 Mills plans, you
will be charged the applicable premium charged to 1888 Mills by our carriers. The premium is
subject to change if the rates charged to 1888 Mills increase or decrease.

Continuation coverage for you and/or your eligible dependents may end, however, if any of the
following events occurs: (1) failure to make timely payments of all premiums; (2) assumption of
coverage under another group plan or entitlement to Medicare; or (3) termination of the 1888
Mills group health plans.

1888 Mills uses a third-party Plan Administrator who will contact you concerning these options
at the time termination occurs. However, in the event you become divorced or legally separated,
or one of your dependents ceases to be eligible for coverage under our group health insurance
plans, you and/or your dependents are responsible for contacting the Plan Administrator to
discuss your continuation/conversion rights.

For further details regarding continuing or converting your group health insurance benefits,
please contact Human Resources.

Updated September 2020 22

401K Retirement Program

1888 Mills participates in a 401K Retirement Program that is open to you the first of the month
after one year of employment. Associates must make contributions before the company will
match. 1888 Mills will match 100% of the first three percent (3%) and 50% of the next two
percent (2%) for a possible total match of 4%. Vesting takes immediately at 100%. While this
is an optional benefit, you are encouraged to take advantage of this benefit as the associate
contribution is tax free. Specific information on the administering company and choice of funds
will be available to you upon eligibility.

CORRECTIVE ACTION POLICY

1888 Mills has high performance expectations because we strongly believe that everyone
benefits when we all work together and conduct ourselves in a manner that mutually reflects the
best interests of coworkers, customers and the company. It is the philosophy of 1888 Mills to
take corrective action measures when needed for performance deficiency or to deal with
violations of policies and work rules. The purpose of corrective action is to both correct the
situation and avoid repetition.

Corrective actions may be taken at the discretion of management and include any of the
following: (all actions will be documented in the associates personnel file)

 Verbal counseling which will be confirmed in writing.

 Written warning.
 Suspension, which is normally used to remove an associate from regular duties during an
investigation, or as a disciplinary action. This may be paid or unpaid.
 Discharge.

The corrective action process may not always commence with a verbal counseling or include
every step. Some acts, particularly those that are intentional or serious, warrant more severe
action on the first or subsequent offense.

This policy does not constitute an exhaustive list of all the acts that will subject an associate to
corrective action. Cases of unacceptable work behavior not covered by these rules will be
handled on an individual basis, subject to such actions as deemed appropriate for the nature of
misconduct. 1888 Mills reserves the right to alter or amend its policies and take into
consideration the specific facts surrounding each incident when determining appropriate
disciplinary action.

Any associate who has been discharged will, upon request within five days from termination, be
granted an interview with Human Resources.

23 Updated September 2020

Associates who commit any of the following acts which have been determined to be serious
violations may be suspended pending review and subject to discharge for the first offense:

1. Insubordination, including failure or refusal to promptly carry out the instructions of any
manager or member of management while on duty or on our property.

2. Provoking or engaging in a fight while on duty or on our property.

3. Threatening physical harm to an associate, manager, management, customer or vendor.

4. Directing profane, abusive, insulting, or threatening language toward an associate,

manager, management, customer or vendor or any other person on 1888 Mills property.

5. Willful destruction, damage, misuse or abuse of our property or the property of others.

6. Theft of 1888 Mills property or the property of other associates, or the unauthorized use
or possession of any such property.

7. Possession, display or use of explosives, firearms or other dangerous weapons while on

duty on our property or at 1888 Mills-sponsored functions.

8. Using, possessing or being under the influence of alcoholic beverages, illegal drugs or
other narcotics or hallucinogens while on duty or on our property. (To include coming to
work under the influence.)

9. Conviction of any criminal offense (other than a minor traffic violation) while on duty or
on our property, or commission of any criminal offense which might adversely affect the
associate’s work or work relationships or that of our business or reputation.

10. Acts of dishonesty, including falsification or alteration of any other documents used in
connection with work.

11. Violation of policies concerning Trade Mark, secrets or confidential 1888 Mills
information.

12. Gross violations endangering the safety of others.

13. Failure to follow any of our safety and security rules, regulations or procedures or to
cooperate fully in security checks.

14. Failure to report to work on 2 consecutive working days without notifying your manager
or Human Resources.

15. Smoking in any of the buildings.

Updated September 2020 24

Associates who commit any of the following acts will be subject to corrective action. The action
taken will be determined by the manager and/or Human Resources with a written record placed
in the associate’s personnel file and may include suspension or termination.

1. Excessive use of working hours for personal matters. This misuse of hours includes
making or receiving non-emergency, personal telephone calls during scheduled work
periods, etc.

2. Initiating disharmony among associates or interfering with other associates on the job.

3. Engaging in conduct that violates our policy concerning business ethics and conflicts of
interest.

4. Poor workmanship, low productivity, substandard performance or poor work habits.

5. Use of 1888 Mills computer resources for personal purposes without prior management
approval.

6. Abuse and misuse of any of our computer resources, including equipment, hardware,
software, PC’s, copyrights, etc.

7. Sleeping on the job.

8. Smoking and/or use of tobacco of any kind on company premises; internal and external
areas, and all company vehicles, and company sponsored events.

25 Updated September 2020

 TERMINATION OF EMPLOYMENT
Associates who wish to terminate their employment relationship with 1888 Mills are urged to
notify their manager at least two weeks in advance of their intended termination date. You must
work the 2-week notice period to receive unused vacation pay. Two weeks’ notice generally
allows 1888 Mills sufficient time to calculate your final paycheck. At that time, Human
Resources will inform you of your remaining benefits, including vacation pay, insurance benefits
and COBRA eligibility.

Associates who plan to retire are urged to provide 1888 Mills with a minimum of two months’
notice. This will allow ample time for the processing of appropriate forms to ensure that any
benefits to which an associate is entitled will begin in a timely manner.

Updated September 2020 26

 HANDBOOK RECEIPT ACKNOWLEDGMENT

As an associate of 1888 Mills, LLC, I acknowledge the following:

I have received a copy of the 1888 Mills Associate Handbook. I understand that the Handbook
contains important information about company polices, work rules and benefits. I also
understand that the Handbook outlines my responsibilities as an associate of 1888 Mills. I
understand that I have the responsibility to read and understand the information in the Handbook,
and to ask my manager or Human Resources for clarification of any information.

I understand that this Handbook is not a contract of employment or a guarantee of specific

treatment in specific situations. I understand that this Handbook supersedes all prior Handbooks,
policies and understandings on the subjects contained in it.

I understand 1888 Mills has the right to change, modify, and to substitute or eliminate, interpret
and apply, in its sole judgment, the policies, rules and benefits described in this Handbook.

I have received a copy of 1888’s computer systems usage agreement. I recognize that 1888’s
computer systems are to be used for conducting the company’s business. I understand that use of
this equipment for private purposes, other than what is contained within this document, is
prohibited and subject to inspection. As an associate of 1888 Mills, and user of the company’s
gateway to the Email/Internet systems, I understand that this policy applies to me.

I am aware that I may be given confidential information during my employment such as

customer lists or other information. I understand that this information is critical to the success of
1888 Mills and that I may not disseminate or use it outside of the workplace. In the event of my
termination, either voluntary or involuntary, I understand I may not use this information or
communicate it in any way.

I understand that my employment relationship with 1888 Mills, LLC is at-will with no
contractual employment rights either expressive or implied, which means that either 1888
Mills or I can terminate the employment relationship at any time, with or without reason
or notice.

I also acknowledge that I have asked for and received clarification on any of the items listed
above on this acknowledgement that I did not understand before signing it.

______________________________________ ____________________________
Signature of Associate Date

______________________________________
Name (printed)

______________________________________ ____________________________
Witness and Title Date

27 Updated September 2020