1. Who is Kem Krest?
Kem Krest is a privately owned minority certified company. Since 1979, Kem Krest has been providing fulfillment solutions through shipping packaged chemicals, parts and accessories direct to dealers and for major OEM’s in the Automotive, Ag/Industrial, Power Sports and Defense Industries. We have locations in Indiana, Michigan, Arizona, Las Vegas, Georgia, Edmonton and Toronto.
2. Will there be a change?
Yes, with a change of ownership there is always change. The founders of USI and the leadership team have done a great job in building a world-class company. Kem Krest wants to take that foundation and build on it. The name will change, but most of the people will stay the same. Janet will help us transition until late November. Mike Greany will take over as the General Manager. Most processes and systems will stay the same. We will use a new system for payroll and HR management.
USI will transition to Kem Krest effective July 1st. Kem Krest has entered into a 3 year lease with the current landlord and a 3 year contract with Harley Davidson. Pleasant Prairie’s location will remain and will be called Kem Krest.
3. When does actual work start with Kem Krest?
Tuesday July 5th, 2016, unless discussed with you specifically.
4. Will there be a new employee handbook?
Yes, Handbooks were handed out on April 14th / 15th. These new handbooks will be effective July1 and will supersede any previous USI copies.
5. When applying for credit/loan, who do I list as my employer?
Kem Krest LLC
6. Do I need to relocate?
Relocation is not necessary. Business will assume normal operations in Pleasant Prairie, WI.
7. Will there be opportunities for company transfers/promotions?
All open positions within the company will be posted internally. Anyone interested can submit an internal transfer request and a resume for consideration of any positions between Indiana, Michigan, and Arizona.
8. Do we need to fill out a new application for employment with Kem Krest?
All employees will fill out necessary paperwork to be entered into Kem Krest’s system and get appropriately on-boarded. This will take place at dates scheduled during June.
9. The Worker Adjustment and Retraining Notification ACT (WARN Act) letter states Kem Krest is making the decisions as to who is being offered jobs – how are they making those decisions? They don’t know us?
The sentence “While USI is hopeful that this transition can be accomplished with minimal impact on its current employees, the decisions concerning which current USI employees are offered positions will be Kem Krest’s.” is true.
The decision to hire anyone rests solely with Kem Krest. However, USI was involved in helping Kem Krest make decisions regarding to whom to make offers. The criteria for these decisions was the following:
A. Re-aligning responsibilities with the future workload that would be transitioning from USI to Kem Krest
C. Interpersonal Relationships
D. Adaptability to Change
E. Flexibility and range of skill sets
10. How long will we need to wait to hear if we have an offer?
If you haven’t received an offer from Kem Krest by Friday April 22nd then you should assume that your last day of employment will be Friday June 24th.
11. Shouldn’t the Supervisors/Managers tell us if we aren’t getting an offer?
The reason that employees who haven’t received offers yet have not been told that they will not be getting an offer is because it is still possible that they may receive an offer. A lot can happen between now and June 24th. However, employees that have not received an offer from Kem Krest by Friday April 22nd should assume and plan that their last day of employment will be Friday June 24th.
12. If we aren’t getting an offer, can we have time off for interviews?
If you have a job interview and you have time available, you should submit a request off as soon as possible. If you do not have time off, managers will do what they can to work with you.
13. Should we file unemployment with USI or Kem Krest?
14. If I’m laid off, can I come back as a temp?
If you are laid off and leave in good standing, you may go to QPS and possibly be assigned to Kem Krest at the current QPS temporary wage. The decision of placement is QPS’s.
15. Will we have a 60 day period to bring back anyone who has been laid off?
No, USI is closing and Kem Krest is a separate company.
16. Will we get paid for the 4 days between USI closing and Kem Krest opening?
The 4-days beginning Monday June 27th through Thursday June 30th will be treated by USI as a business closing. You may be asked to work that week by USI in which case you will be paid. Salaried employees will be paid as they normally are for business closings. Any unused vacation time you have with USI will be paid this week as well.
17. Will our vacation payout be included in a work week check or will it be a separate check?
It will be paid on the last check you receive from USI which will be dated and available on June 30th 2016.
18. Will my seniority change within the organization?
Everyone will keep their original hire date, keeping seniority intact. This will be used for PTO / vacation allocation.
19. Will I still be able to use my PTO?
YES everyone can still use PTO as long as it’s properly requested and approved. USI will pay out any unused Vacation hours to employees on their final pay check dated June 30th, 2016.
For Associates with a USI Vacation Accrual Date prior to June 30th:
Kem Krest is providing 16 hours of PTO to be used.
Associates can still take their planned vacation or plan vacations after July 1st but it will be unpaid beyond the 16 hours provided by Kem Krest. If the vacation was not already planned and approved before June 30th by USI, the time off will need to be properly requested and approved by Kem Krest.
For Vacation accrual date after July 1:
Kem Krest will provide a pro-rated PTO amount based on the month of your USI vacation accrual date. This will be listed in your offer letter.
Associates can still take their planned vacation or plan vacations after July 1st but it will be unpaid beyond the pro-rated PTO hours provided by Kem Krest. If the vacation was not already planned and approved before June 30th by USI, the time off will need to be properly requested and approved by Kem Krest.
Beginning in 2017, everyone will accrue their PTO benefit on January 1st like all other Kem Krest employees. Your full PTO allocation will be issued January 1st and must be used by December 31st. There will not be any rollover (use it or lose it).
20. If my Benefit Accrual Date with USI falls between 6/24-6/30, will I accrue and be paid my vacation time?
Yes, you will accrue and be paid for vacation time but you will not accrue and be paid safety/personal time.
21. Will there be any changes to the health insurance plan or costs for the plan?
We are evaluating the best program for our associates. We plan on offering a program that is at least comparable to what is currently being offered. You will no longer receive “wellness incentives” as this will be rolled into the group insurance program.
22. Can employees cancel their insurance now?
No. There will be a time for open enrollment in June that be considered a qualifying event. All employees will then be able to change their plans or join Kem Krest’s plan, if available.
23. Will my 401k change?
Yes, Kem Krest will offer a 401K with a match. Kem Krest will match 100% of the first 3% you invest and 50% of 4% and 5%. Principle Financial will take over the management of your 401K.
24. Can I roll over my 401K? Can I take a payout?
Each employee that has a 401K with USI will receive a notification with instructions and options from the bank with their check stub no later than May 20th, 2016.
25. 401K loans – what happens when USI is no longer?
Principle financial has confirmed that they are able to rollover current loans so long the entire 401K balance is transferred.
26. Will my FMLA start over or carry over from USI?
No, your FMLA status will carry over from USI to Kem Krest.
27. What happens to my short term disability when USI closes?
If you are not on disability at the time USI closes on June 30th 2016 then your benefits will end.
28. Employees who are on STD, what happens when USI is no longer open?
If you are on short term disability receiving benefits they will continue up to the maximum of 6 months.
29. Will my pay rate change?
No, pay rates and pay periods will stay the same. You will still get paid every Friday
30. Can we still have paper checks?
No, payroll with Kem Krest is 100% electronic, therefore direct deposit is mandatory. If you do not have an account, a debit card will be given to you and your funds will be available via an ATM machine.
31. When will reviews/appraisals be done?
With the announcement that USI will close it has been decided that all employee reviews/appraisals will be put on hold and resume in January of 2017. Kem Krest does employee reviews/appraisals annually every January. Past due reviews/appraisals will be taken into account when calculating employee pay changes.
32. Will there be a standard increase (i.e. 3% across the board) or is it decided according to the manager?
No, reviews will be done and increases will be based off performance/attendance/dependability, etc.
33. Will there be more competitive pay to keep up with competing businesses?
Compensation is not being changed during the transition from USI to Kem Krest. Reviews/appraisals will continue as noted earlier which may result in pay changes using the same pay scale currently being implemented by USI. Eventually all positions will be reviewed including compensation but a time frame for this has yet to be determined.
34. Will we use a new time clock, payroll system, and HR Management System?
Kem Krest will replace USI’s punch card time clock with a biometric hand scanner. This will involve scanning your hand, rather than swiping a card. This will also provide all employees web access to their information related to benefits, PTO, performance reviews, and other relevant employee information. All employees will be trained on this process.
35. Will we still be using FOB’s? If not, will we be reimbursed?
FOB’s will still be used. Employees that will not be working for Kem Krest will be reimbursed for their FOB’s provided that they are returned to USI.
36. Will Kem Krest hire temps after they worked 480 hours?
If employees are being hired, Kem Krest similar to USI will look to hire temps first like we have in the past.
37. Is Fliltran business staying?
We are currently working with Flitran to secure a relationship. At this time we are unsure.
38. Is Jockey business staying?
NO, Jockey will not continue with Kem Krest
39. Is CKD business staying?
NO, this business is being resourced by Harley Davidson and is not part of the three (3) year contract.
Kem Krest will provide you with the perks that are associated with being a Kem Krest employee, including supplier discounts on new cars for the customers we service. This includes NEW CAR purchases for GM, Ford, Nissan, Hyundai, Honda, and Chrysler. A process will be outlined and posted after July 1.
40. Education Reimbursement
Kem Krest values education and development and also has a reimbursement program of up to $4500 for postgraduate education upon developing a career path with your supervisor and HR.
41. EAP Program
Kem Krest provides an EAP (Employee Assistance Plan) for those in need of counseling due to stress, substance abuse, or mental stress.
42. Who should I contact in the future for benefit questions?
Your primary contact will remain Jenna who is located on-site. Additional support will be given by Kem Krest and outside providers once we start the sign-up process for Health Care, 401k, etc. We will make every effort to make this transition easy on all employees.
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