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MEMORANDUM OF UNDERSTANDING BETWEEN CHAPTER 337
OF THE NATIONAL TREASURY EMPLOYEES UNION
AND THE COMMODITY FUTURES TRADING COMMISSION

TERMS AND CONDITIONS

INTRODUCTION

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Chapter 337 of the National Treasury Employees Union (“NTEU” or “Union”) and the Commodity Futures Trading Commission (“CFTC” or “Agency”) (collectively, “the Parties”) hereby enter into this Memorandum of Understanding (“MOU”) concerning a proposed multi- divisional reorganization (“Reorganization”). The Union was given notice of the proposed Reorganization on January 15, 2020, but has, to date, received updated position descriptions (“PDs”) for only 8 of the 93 bargaining unit employees (“BUEs”) that the Agency informed the Union will be impacted by the Reorganization. On February 25, 2020, the Union proposed that the parties engage in phased bargaining, beginning with changes impacting the fewest number of employees. On June 5, 2020, the Agency agreed to the Union’s proposal, with the further condition that the Reorganization would be effective when bargaining over all phases has concluded. Thereafter, the Parties commenced bargaining on phases 1 and 2 and have completed bargaining on those phases. On September 22, 2020, the Agency informed the Union that it desired to make the Reorganization effective overall on October 25, 2020. Following bargaining, the Parties have agreed that the Reorganization shall become effective on November 8, 2020, subject to the provisions below intended to preserve the Union’s ability to bargain over impact and implementation of the Reorganization.

SUMMARY OF THE REORGANIZATION

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The Agency states that the goal of the Agency’s Reorganization is to realign and re- organize certain key functions. The Reorganization will result in the following changes at the Agency: 1) Creation of a new Division of Data (“DOD”) from data-centric components found in the current Division of Market Oversight (“DMO”) and the Office of Data and Technology (“ODT”); 2) Enhancement of structural and operational efficiency by adding the operational functions in ODT into the Office of Executive Director (“OED”) and renaming it the Division of Administration (“DOA”); 3) Reassignment of the Executive Secretariat Branch (without the Proceedings Section) from OED to the Office of the General Counsel (“OGC”) and rename OGC the Legal Division (“LD”); 4) Rename and realign the Division of Swap Dealer and Intermediary Oversight (“DSIO”) and the Office of Consumer Education and Outreach (“OCEO”) to Division of Market Participants (“DMP”); 5) Realign the Division of Clearing and Risk (“DCR”) and DSIO to provide a clearing examinations presence in the New York Regional Office; and 6) Realign the web services and Audio Visual studio under ODT under the Office of Public Affairs (“OPA”). The Agency states that 93 BUEs are impacted by this Reorganization.

TERMS AND CONDITIONS

The Parties hereby agree to the following terms and conditions:

Formal Meetings Following Execution of this MOU.

Section 1

Within seven (7) days of the effective date of the Reorganization, the Agency will conduct formal meetings with all impacted BUEs, in accordance with Article 4 of the parties’ Master Collective Bargaining Agreement (“CBA”). At the meetings, the Agency will provide an overview of the Reorganization and provide updated organizational charts that will identify employees’ new rating and reviewing officials. The Agency and NTEU will answer any questions raised by BUEs or NTEU representatives. The Agency and NTEU shall respond to any unanswered questions within ten (10) calendar days of the meetings. Such responses shall be in writing and provided to NTEU and all impacted BUEs. A copy of the MOU will be posted on the CFTC intranet page upon execution.

Follow-up Division Meetings.

Section 2

Division directors will hold follow-up meetings at the 3- month, 6-month, and 12-month marks after the implementation of this Reorganization. During these meetings, employees may ask questions and offer suggestions. These meetings will include any updates about implementation of the Reorganization. The Agency will highlight any changes in function, work, expectations, and working conditions generally and answer any related questions. NTEU will be invited to attend these meetings in accordance with Article 4 of the CBA.

Delivery of Performance Plan.

In accordance with Article 13 Section 3(A) of the CBA, supervisors will meet with each affected employee to answer questions and provide information regarding work expectations and how such work factors into the Reorganization and Agency’s overall mission. During these meetings, employees may ask questions and offer suggestions.

Section 3

Employee Requested Meetings.

In accordance with Article 13, Section 2(C) of the CBA, affected employees may discuss in a timely manner with their supervisors any factors the employee believes might affect his or her performance, including, but not limited to, necessary training, and the supervisors will take into account any mitigating impact of such factors when evaluating the employee’s performance.

Section 4

Pay/Grade/Career Ladders/Promotions.

The CFTC agrees that, except as provided herein for DSIO employees being re-assigned to DCR, there will be no change in the affected BUEs’ series, grades, pay (including locality), career ladders, or promotion opportunities as a result of the Reorganization. No BUEs will be downgraded, involuntarily relocated (change of duty station), or separated as a result of the Reorganization.

Section 5

PD/Performance Management Appraisal Program (“PMAP”)/Duties.

Section 6

  • Divisional Changes Only/Notice and Bargaining of Further Changes: The Agency represents that, with the exception of DSIO employees being re-assigned to DCR (the “DSIO employees”) (identified in the attached table), employees will not experience a change in current position descriptions or scope of duties described therein, performance plans, or critical elements. With the exception of the DSIO employees, all other employees will be provided upon the effective date of this MOU with PDs that change only their division by no later than November 9, 2020. Where there is a need for a change in current PDs or scope of duties described therein, performance plans, or critical elements, the Agency will provide notice and bargain to the extent required by the CBA and law.

  • Employee Rights Under CBA to Request Review of PD: The Parties agree that in accordance with Article 15, Section 2(A) and (B) of the CBA, affected BUEs may also inform their managers if they believe that their PDs do not accurately reflect their major duties and responsibilities or the grade level of their work under the Reorganization as effective on November 8, 2020.

  • Phases 1 and 2 Employees: The Parties further agree that, with respect to the new, agreed upon PDs for Chanel Smith and LaSharn Dozier, in accordance with Article 15, Sections 2(A) and (B) of the CBA, they will inform their managers in a reasonably timely manner if either of them believe their PDs do not reflect the major duties and responsibilities of the position or if either of them dispute the grade level of their work, and they may request desk audits and appeal in accordance with Article 15, Sections 2(A) and (B) of the CBA. To the extent that their separate MOU does not address an issue or issues with respect to this Reorganization, Chanel Smith and LaSharn Dozier are also covered by the terms and conditions of this MOU including, but not limited to, the terms and timing of the meetings following execution of this MOU, as outlined above in paragraphs 1 and 3. No additional meetings outside of this MOU will be required for these employees.

  • DSIO Employees Being Re-Assigned to DCR: The Agency acknowledges that the DSIO employees may experience a change in current PDs, PMAPs, critical elements, general work duties, and/or job series upon or shortly following their re- assignment. For these employees, the Agency will provide notice and bargain to the extent required by the CBA and law.

Rating and Reviewing Officials.

Section 7

  • Consistent with Article 13, Section 5(E) of the CBA, generally new supervisors of employees affected by the Reorganization will act as the rating officials for annual performance reviews, except that where a new supervisor is assigned within 90 days of the end of the review period, the review shall include information from the prior supervisor about the employee’s performance. Normally, the rating and reviewing officials shall not be the same person.

Training and Support Needs.

Section 8

Training will be provided in accordance with Article 22 of the CBA.

Leave.

Section 9

Approved leave will be managed in accordance with the CBA.

Schedules.

Section 10

Any change in work schedules or telework agreements shall be in accordance with the CBA and the law. In addition, for the first 60 days following the re- organization, the Employer will not change existing work schedules unless requested by an employee or for mission, staffing, or workload requirements. Employees and supervisors will follow the process to change/terminate work schedules in accordance with Article 7, Section 10 of the CBA. Approved reasonable accommodations will remain in effect under the normal process.

ONGOING DUTIES AND OBLIGATIONS

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  1. Expansion or Modification of Organizational Changes. If the CFTC decides to expand or modify this Reorganization in a way that is beyond what is described in this MOU, then it will do so in accordance with Article 6 of the CBA.

  2. Unanticipated Problems. If either of the Parties becomes aware of significant unanticipated problems that arise due to the implementation of the Reorganization, the Agency or NTEU will inform the other, and the Parties will meet to discuss and resolve them as soon as possible and conduct further bargaining, if necessary.

  3. No Waiver. Nothing in this MOU shall be construed as a waiver of any CFTC or Union right. Unless otherwise provided for, nothing in this MOU shall be construed to derogate or nullify any rights reserved to the NTEU or the CFTC under the terms of any collective bargaining agreement then in effect between the NTEU and the CFTC, or provided for and/or recognized under statutes and/or rules or regulations promulgated thereunder. The specific terms and conditions agreed here apply to the Reorganization, but where specific terms have not been agreed to then the parties’ CBA applies, or past practice if not covered by the CBA. Nothing in this agreement will establish a precedent or past practice.

EXECUTION OF THIS MOU

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  1. This MOU constitutes the complete understanding of the Parties for negotiations of the Reorganization. No other promises or agreements, explicit or implied, shall be binding on the Parties, unless agreed to in writing and signed by all of the Parties.

  2. The Parties retain their future statutory or contractual rights. The Parties retain their statutory rights under this MOU unless such waiver is clear and unmistakable.

  3. A facsimile or scanned electronic signature on any of the signature blocks of this MOU is deemed genuine and acceptable for all purposes.

  4. Each signatory to this MOU represents and warrants that he/she has the full right, power and authority to execute this MOU.

  5. Effective date: The Reorganization, subject to any and all applicable provisions of the CBA except where expressly stated herein, as well as the specific terms and conditions agreed upon by the Parties herein, will become effective on November 8, 2020.

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