ASSOCIATE HANDBOOK - dsg-it.com · DSG Associate Handbook Confidential Page 6 This handbook is designed to provide you with information about working conditions at Diverse Systems

May 2012

ASSOCIATE HANDBOOK

DSG Associate Handbook

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Table of ContentsGreetings from Keith 0Introductory Statement 1Employment 1Nature of Employment – Employment at Will 1Equal Employment Opportunity 1Religious Accommodation 2Continuing Education 2Disability Accommodation 3Code of Ethics 4Compliance Program 5Responsibilities 6

Immigration Law Compliance 6Outside Employment 6NonDisclosure 7

Employment Status & Records 7Employment Categories 7Access to Personnel Files 8Performance Evaluations 8

Benefit Programs 8Health Insurance 9Benefits Continuation (COBRA) 9Life, Accidental Death & Dismemberment Insurance 10Short and Long Term Disability 10401(k) 10

Leaves of Absence 11Leave without pay (LWOP) 11Family Medical Leave (FMLA) 11

Workers’ Compensation Insurance 12Notice Requirements 12Submitting Claims 12Pay and Benefits During Workers’ Compensation Absences 12Return to Work 13

Paid TimeOff (PTO) 13PTO Requests 15

Jury Duty 15Emergency Closures / Inclement Weather 16Holidays 16


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Payroll & Compensation 17Time Reporting 17Paydays 17Compensation 17Expenses 18Payroll Deductions 18

Work Conditions & Hours 18Safety 18Work Schedules 19Smoking 19Work Place Violence Prevention 19

Emergency Preparedness 20Use of Technology 20Phone and Mail Systems 20Equipment 20Computer and Email 20Computer BackUp Policy 22Internet Access 22Personal Use 24Work Place Monitoring 24

Company Policies & Procedures 24Expense Reimbursement Policy 24Driving on Company Business 24Safe Driving 25Mileage Reimbursement Policy 25Referral Submittal Bonuses 25Employee Conduct & Disciplinary Action 25Drug and Alcohol Use 26

AntiHarassment 28Sexual Harassment 28Other Unlawful Harassment 29Scope of Policy 29Complaint Procedure 29

Attendance and Punctuality 30Personal Appearance 30Solicitation 31Progressive Discipline 31Open Door Policy 31

Termination of Employment 32


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Grounds for Dismissal 32Job Abandonment 33Termination of Employment 33Return of Property 34

Confidentiality 34Code of Ethics and Acknowledgement 35Employee Acknowledgement Form 37


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Greetings from Keith

On behalf of the management team, I want to take this occasion to welcome you to the Diverse Systems Group (DSG) team and wish you every success here.We understand that each employee contributes directly to DSG’s growth and success, and we hope that you will take pride in being a member of our team.It is our goal at DSG to provide a work experience for every employee that is fulfilling and successful. We believe in providing an organizational structure that encourages collaboration and open communication on all platforms. The service provided to our clients should be with the highest level of professionalism and ethics and that will lead to an operational and efficient company.This handbook was developed to describe some of the expectations we have of our employees and to outline the policies, programs, and benefits available to eligible employees. Please familiarize yourself with the contents of this handbook as soon as possible for it will answer many questions about your employment with DSG.

Regards,

Keith ScottChief Executive OfficerDiverse System Group, LLC


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This handbook is designed to provide you with information about working conditions at Diverse Systems Group, LLC (DSG or the Company), Employee benefits, and some of the policies affecting your employment. You should read, understand, and comply with all provisions of the handbook. One of our objectives is to provide a work environment that is conductive to both personal and professional growth.No employee handbook can anticipate every circumstance or question about a policy. As DSG continues to grow, the need may arise for the company to add or change a policy or portion of this handbook from time to time. DSG management reserves the right to change, update, supplement or rescind any of the policies included in this handbook as it deems appropriate in its sole and absolute discretion. Employees will be notified of such changes to the handbook as they occur via email or updated postings to the intranet. The only recognized deviations from the stated policies are those authorized and signed by the President of DSG.Please be advised that this handbook does not create a contract of any kind, including, but not limited to an express or implied contract, nor does this handbook create any substantive or procedural due process rights.

Employment

Nature of Employment – Employment at WillDSG does not offer tenured or guaranteed employment. Either the Company or you can terminate the employment relationship at any time, with or without cause, with or without notice. This is called Employment at Will. This employment at will relationship exists regardless of any other written statements or policies contained in this Handbook or any other Company documents or any verbal statement to the contrary.

Equal Employment OpportunityIn order to provide equal employment and advancement opportunities to all individuals, employment decisions at DSG will be based on merit, qualifications, and abilities. DSG’s employment practices are without regard to race, color, religion, creed, sex, age, disability or medical condition, national origin, veteran status, and all other categories protected by federal, state, and local antidiscrimination laws.DSG will make reasonable accommodations for qualified individuals with known disabilities unless doing so would result in an undue hardship. This policy governs all aspects of employment, including selection, job assignment, compensation, discipline, termination, and access to benefits and training.Any Employees with questions or concerns about any type of discrimination in the workplace are encouraged to bring these issues to the attention of their immediate supervisor or a Manager. Employees can raise concerns and make reports without fear of reprisal. Anyone found engaged in any type of unlawful discrimination will be subject to disciplinary action, up to and including termination of employment.If you feel that you are a victim of discrimination IMMEDIATELY report it to your supervisor or a manager or the Human Resources Department even if you have


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discussed it directly with the individual(s) involved. Please provide the following information when reporting discrimination:Date(s), time(s), and location(s) of the incident/incidences that took place;Description of each incident : i.e. was any physical contact made?, what was said and/or done?, etc.;Name(s) of anyone present during each incident; andAnyone with whom you’ve discussed the incident/incidences.All complaints of discrimination will be investigated and the results of the investigation will be reported to the complaining party. Investigation of a discrimination complaint may include, but is not limited to, interviewing the complaining party as well as other associates and/or persons necessary to obtain sufficient information upon which to make an assessment of the situation. While DSG will make every effort to be sensitive to privacy issues, in the course of an investigation we will discuss relevant information with appropriate parties on a needtoknowbasis.Retaliation against an associate who complains of discrimination is strictly prohibited and will not be tolerated. DSG is committed to investigating and correcting any form of discrimination taking place within its company. DSG is committed to addressing these issues within its organization, and DSG believes it can effectively address such matters internally when associates advise the Company of a problem in this area.

Religious AccommodationIf possible, DSG will allow days off without pay to observe religious holidays that are not otherwise company holidays. Requests for time off for bona fide religious observances will be considered on a casebycase basis. So that DSG can reasonably accommodate an employee’s request, an employee must notify their immediate manager of their request to take time off to observe a religious holiday at least two weeks before the date of the planned absence. If personal time off (PTO) is available, an employee may use it for the observance of such holidays, otherwise, such time off is without pay.NOTE: This policy applies only to religious holidays. It does not apply to regular weekly days of worship. If an employee’s regular work schedule falls on his/her worship days, generally he/she will be required to work as scheduled. Questions regarding work schedule/worship day conflicts should be directed to the Human Resources Department.DSG will allow employees who, for religious reasons, must maintain a particular physical appearance or manner of dress in keeping with the tenets of their religion to wear religious garb on the job provided the garments do not constitute a safety hazard to the Employee or others around them.

Continuing EducationThere will be continuing education at some of the company’s monthly meetings. In addition to work related topics, we review our sexual discrimination and other ethical issues in order to maintain a comfortable, healthy and safe work environment. DSG will also pay for job required or certificate training. Requests for this reimbursement must be made in advance of enrollment to the CEO who has the sole discretionary


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right to approve or deny these requests. Reimbursements will only be made upon successful completion of the course with a passing grade or upon award of the certificate.DSG provides reimbursement for tuition, fees and books up to $2,000 per year to employees working on a degree program that will enhance their skills in their field. Regular, fulltime employees who have completed at least six months of employment at DSG may apply for the Educational Assistance benefit. Approval for courses is based upon available funds.

In order to qualify for the Educational Assistance Benefit:You must send a request, either via email or note, to the CEO that details the coursework you want to take and explains why it will assist you in your current position or in an open position in the company. This request must be approved by the CEO prior to enrolling in the class.The course or degree must be directly related to your current position and/.or enhance your value to DSG by obtaining new skills/knowledge that can be utilized within DSG.You must have at least six months of fulltime service with DSG.Reimbursements are only made upon successful completion of each course with a B or better average grade.

Once the course is completed, you must submit a certified transcript of grade/passing with receipts for eligible expenses to Human Resources. DSG will reimburse you the preapproved costs.

If, for any reason, your employment terminates within one year after completing a reimbursed course and/or degreed program, you must repay DSG the full amount you received under the Educational Assistance Benefit.

DSG will monitor the plan, its utilization and the resources available. DSG reserves the right to make changes upon its sole discretion.

Disability AccommodationDSG is committed to complying fully with the Americans with Disabilities Act (ADA) and ensuring equal opportunity in employment for qualified persons with disabilities. All employment practices and activities are conducted on a nondiscriminatory basis.Hiring procedures have been reviewed and provide persons with disabilities meaningful employment opportunities. Preemployment inquiries are made only regarding an applicant’s ability to perform the duties of the position being filled.Reasonable accommodation is available to all disabled Employees, where their disability affects the performance of job functions. All employment decisions are based on the merits of the situation in accordance with defined criteria, not the disability of the individual. It is the duty and obligation of the employee to request any reasonable accommodation.


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Qualified individuals with disabilities are entitled to equal pay and other forms of compensation (or changes in compensation) as well as in job assignments, classifications, organizational structures, position descriptions, lines of progression and seniority lists. Leave of all types will be available to all Employees on an equal basis.DSG is also committed to not discriminating against any qualified Employees or applicants because they are related to or employed with a person with a disability. DSG will follow any state or local law that provides individuals with disabilities greater protection than the ADA.This policy is neither exhaustive nor exclusive. DSG is committed to taking all other actions necessary to ensure equal employment opportunity for persons with disabilities in accordance with the ADA and all other applicable federal, state, and local laws.

Code of EthicsThe code of ethics is a written standard that is designed to deter wrongdoing and to promote honest and fair business dealings with customers, vendors and fellow employees. The successful business operation and reputation of DSG is built upon the principles of fair dealing and ethical conduct of our Employees. Our reputation for integrity and excellence requires careful observances of the spirit and letter of all applicable laws and regulations, as well as a scrupulous regard for the highest standards of conduct and personal integrity.The continued success of DSG is dependent upon the trust of our clients and candidates and we are dedicated to preserving that trust. Employees owe a duty to DSG clients and other employees to act in a way that will merit the continued trust and confidence of the public.At the end of this Manual on page 35, you will be asked to review and formally sign an acknowledgment that confirms your commitment to following the DSG Code of Ethics.

Immigration Law ComplianceDSG is committed to employing only United States citizens and aliens who are authorized to work in the United States and does not unlawfully discriminate on the basis of citizenship or national origin.In compliance with the Immigration Reform and Control Act of 1986 as Amended, each new Employee, as a condition of employment, must complete the Employment Eligibility Verification Form I9 and present documentation establishing identity and employment eligibility. Former Employees who are rehired must also complete the form if they have not completed an I9 with DSG within the past three years or if their previous I9 is no longer retained or valid.DSG participates in EVerify and will provide the Social Security Administration (SSA) and, if necessary, the Department of Homeland Security (DHS), with information from each new employee’s Form I9 to confirm work authorization. If the Government cannot confirm that you are authorized to work, you will be provided with instructions


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and an opportunity to contact SSA and/or DHS before DSG takes adverse action against you.

Outside EmploymentAn Employee may hold a job with another organization as long as he or she satisfactorily performs his or her job responsibilities with DSG. All Employees will be judged by the same performance standards and will be subject to DSG’s scheduling demands, regardless of any existing outside work requirements.If DSG determines that an Employee’s outside work interferes with performance or the ability to meet the requirements of DSG as they are modified from time to time, the Employee may be asked to terminate the outside employment if he/she wishes to remain with DSG.Outside employment will present a conflict of interest if it has an adverse impact on DSG. Each Employee, as a condition of employment, must read and accept a NonCompetition/ No Solicitation Agreement. Please refer to this document for further detailed information concerning outside employment during your employment with DSG and immediately following termination of your employment with DSG.

NonDisclosureThe protection of confidential business information and trade secrets is vital to the interests and the success of DSG and its clients. Such confidential information includes, but is not limited to, the following examples:Compensation dataPasswords and codesClient or Employee listsFinancial informationSales and Marketing strategiesProject details including billing and pay ratesPending contracts and Bid and Proposal effortsEmployees who improperly disclose trade secrets or confidential business information will be subject to disciplinary action, up to and including termination of employment and legal action, even if they do not actually benefit from the disclosed information.

Employment Status & Records

Employment CategoriesIt is the intent of DSG to clarify the definitions of employment classifications so that Employees understand their employment status and benefit eligibility. These classifications do not guarantee employment for any specified period of time. Accordingly, the right to terminate the employment relationship at will at any time is retained by both the Employee and DSG.

Full Time Employees



Full time Employees are those who are not in a temporary status and work a full time schedule over 32 hours per week. They are eligible for DSG’s benefits package, subject to the terms, conditions, and limitations of each benefit program. (ie: hourly or salaried)

Part Time EmployeesPart time Employees are those who work less than 32 hours per week. While they do receive all legally mandated benefits (such as Social Security and worker’s compensation insurance), they are ineligible for all of DSG’s other benefits programs.

1099 Employees1099 Employees are categorized as independent contractors. They are paid without any tax deductions and are compensated in lieu of participation in any benefit programs. They are personally responsible for taxes and benefits.

Access to Personnel FilesDSG maintains a personnel file on each Employee. The personnel file includes such information as the Employee’s job application, resume, records of training, documentation of performance appraisals and salary increases, and other employment records.Personnel files are the property of DSG and access to the information they contain is restricted. Generally, only supervisors, management personnel and HR and Payroll employees of DSG who have a legitimate reason to review information in a file are allowed to do so.Employees who wish to review their own personnel files may do so in DSG’s offices and in the presence of an individual appointed by DSG to maintain the files.I9 forms are filed separately from personnel files. This keeps your photo identification and tax information separate, which is not a factor when your personnel file is in review for promotions, raises, or probationary reasons.Beneficiary information and insurance enrollment information is also filed separately from personnel files and federal tax/status verification documentation. This information is also not necessary as a factor when a personnel file is being reviewed. It is immediately available for any benefits or beneficiary updates, changes or cancellations.

Performance EvaluationsSupervisors and employees are strongly encouraged to discuss job performance and goals on an informal, daytoday basis. Additional formal performance evaluations are conducted to provide both supervisors and Employees the opportunity to discuss job tasks, identify and correct weaknesses, encourage and recognize strengths, and discuss positive, purposeful approaches for meeting goals.Evaluations will be addressed no less than one year apart. Each position within DSG carries different promotional and financial rewards. Your individual manager will make the necessary assessment to ensure growth and professional development while an employee at DSG.



The decision to award promotions, in an effort to recognize truly superior employee performance, is dependent upon numerous factors and is made at the sole discretion of the company and its managers.

Benefit ProgramsFull time Employees are provided with a wide range of benefits. A number of the programs (such as Social Security, worker’s compensation, state disability, and unemployment insurance) cover all employees in the manner prescribed by law. Shown below is a summary of benefits offered to Full Time Employees. Details about the plans, the portion of the premium the Company pays and the cost to employees is provided in a separate document supplied to employees when they join DSG and during the open enrollment period.Employees eligible for benefits may enroll on the first of the month following their date of hire. The following benefit programs are available to eligible employees:Health, Dental and Vision InsuranceLife and AD&D InsuranceLongterm and Shortterm Disability401 (k) Retirement PlanPaid Time OffEducational ReimbursementPlease note that some benefit programs require contributions from the employee.

Health InsuranceDSG health insurance plan provides employees and their dependents with access to medical, dental, and vision insurance benefits. Full time employees are eligible to participate in the health insurance plan subject to all terms and conditions of the agreement between DSG and the insurance carrier. Please contact Human Resources in order to confirm current monthly costs, DSG contributions and payroll deductions. For questions about benefit plans, be sure to consult the plan documents and summary plan descriptions as the information contained there is controlling.A change in employment classification that would result in loss of eligibility to participate in the health insurance plan may qualify an employee for benefits continuation under the Consolidated Omnibus Budget Reconciliation Act (COBRA). Refer to the Benefits Continuation (COBRA) policy for more information.

Benefits Continuation (COBRA) The federal Consolidated Omnibus Budget Reconciliation Act (COBRA) gives Employees and their qualified beneficiaries the opportunity to continue health insurance coverage under DSG’s health plan when a “qualifying event” would normally result in the loss of eligibility. Some common qualifying events are resignation, termination of employment, or death of an Employee; a reduction in an Employee’s hours or a leave of absence; an Employee’s divorce or legal separation; and a dependent child no longer meeting eligibility requirements.



COBRA applies to employers with twenty or more full time Employees. Under COBRA, the Employee or beneficiary pays the full cost of coverage at DSG’s group rates plus an administration fee of 2%. DSG provides each eligible Employee with a written notice describing rights granted under COBRA when the Employee becomes eligible for coverage under DSG health insurance plan. The notice contains important information about the Employee’s rights and obligations.

Life and Accidental Death & Dismemberment InsuranceLife insurance offers you and your family important financial protection. DSG provides a basic life insurance plan for all full time Employees subject to all terms and conditions of the agreement between DSG and the insurance carrier.

Short and Long Term Disability DSG provides all full time employees with Short Term Disability (STD) and Long Term Disability (LTD) coverage which assures you of continuing income in the event that you are unable to work due to an accident or illness. Eligible employees may participate in the STD and LTD plan subject to all terms and conditions of the agreement between DSG and the insurance carrier.Short term disability (STD) provides coverage from income lost when employees are unable to work due to a nonoccupational accident, illness, or pregnancy. STD coverage can continue for up to 13 weeks depending on the situation. Disabilities arising from pregnancy or pregnancy related illness are treated the same as any other illness that prevents an employee from working. The STD plan will pay approximately 60% of your predisability salary up to $1,000 per week. As with life insurance, your disability coverage amount is based upon your enrollment form. An employee must be out of work for one week (5 business days) before STD will kick in. At this time payment will be received from the carrier and not from DSG. Any deductions usually held from an employee’s payroll such as health benefits, must be provided to DSG during this period of STD coverage.DSG provides a longterm disability (LTD) benefits plan to help eligible employees cope with an illness or injury that results in a longterm absence from employment. LTD is designed to ensure a continuing income for employees who are disabled and unable to work.Details of the LTD benefits plan including benefit amounts, when they are payable, and limitations, restrictions, and other exclusions are described in the Benefits Program Documentation provided to eligible employees. The LTD plan will pay approximately up to 60% of your predisability salary up to $6,000 per month (the entire 60% is guaranteed issue and not based on any health questions). Payments are coordinated with any state or Workers Compensation benefits that may be available to you.

401(k)DSG offers a 401(k) plan, the purpose of which is to help you save for retirement and other longterm financial goals. The IRS allows you to save on a pretax basis or an aftertax basis through a Roth 401K. Under limited circumstances you may withdraw



beforetax contributions from the plan before retirement; however, you may be required to pay taxes on the amount you withdraw plus certain tax penalties.Details about the company match, your ability to borrow against your saved balance and deposit limitations can be found in the Summary Plan Description.

Leaves of Absence

Leave without pay (LWOP)LWOP must be approved by your manager and the President in advance. LWOP may be granted for up to 30 days and your position will be held pending your return. LWOP may be renewed for another 30 days but without guarantee of a return to your original position.

Family Medical Leave (FMLA)In accordance with the Family and Medical Leave Act (FMLA), DSG allows employees to take up to a maximum of twelve weeks within any twelve month period. f for the birth, adoption, or placement of a foster child; or to care for a child, spouse, or parent with a serious health condition. FMLA also extends to employees with a serious health condition of their own. Employee who wish to take leave under the FMLA should contact Human Resources as soon as possible.EligibilityFMLA leave will be provided for those employees who:Have worked for DSG at least twelve (12) months without a break in service, and Worked at least 1000 hours in the twelve (12) months immediately preceding the start of the leave.

Care of Family MembersFor purposes of unpaid leave under FMLA to care for a family member with a serious health condition “family member” includes:A person to whom the employee is related by blood, legal custody, or marriage;A child who lives with the employee and for whom the employee assumes permanent parental responsibility; orA person with whom the employee shares (or has shared within the last year) a mutual residence and with whom the employee maintains a committed relationship.

Serious Health ConditionA serious health condition is a physical or mental illness, injury, or impairment requiring either inpatient care or continuing treatment by a health care provider.Advance Notice and Medical CertificationIf possible, an employee must provide reasonable notice when requesting FMLA leave. If leave is requested for an employee’s or an employee’s family member’s serious health condition, DSG may request certification of the employee’s or family member’s health condition from a health care provider. If DSG has reason to doubt



the certification, DSG may require second or third opinions (at DSG’s expense) and a fitness for duty report to return to work.

Amount and Crediting of FMLA LeaveLeave for the birth, adoption, or placement of a child must be taken within one year of the birth, adoption, or placement. Leave to care for a family member with a serious health condition may be taken intermittently to the extent medically necessary. If intermittent leave is not medically necessary, it may be taken only if DSG and the employee agree. In such circumstances, DSG may reduce the pay of the employee’s exempt under the Fair Labor Standards Act (FLSA) without jeopardizing the employee’s status as exempt from FLSA coverage.If, at the time an employee requests leave, he or she has accrued PTO, he or she will be required to exhaust this paid leave. In addition, leave taken as part of another benefit plan such as long term disability will count as leave available under this FMLA policy if the reason for the leave otherwise meets the standards for leave here. Both paid and unpaid leave will count toward the 12 weeks of leave allotments provided by FMLA.

Job Benefits and ProtectionFor the duration of FMLA leave, DSG will maintain the employee’s health coverage under the same terms and conditions as active employees. In most cases, upon returning from leave, an employee will be allowed to resume his or her former position or another one with equal pay, benefits, and terms and conditions of employment. There are certain exceptions to this for certain highly compensated and contract employees. Employees who are going to be denied reinstatement will be notified of the denial when DSG determines the denial is necessary.

Workers’ Compensation InsuranceUpon notification of an employee’s jobrelated injury, occupational illness, or death, DSG provides workers’ compensation benefits, including medical care and payment for lost wages to the employee or monetary benefits to eligible survivors, in accordance with applicable state workers’ compensation laws.

Notice RequirementsIf you are injured at work or become ill on the job, you must immediately notify your manage and/or Human Resources. Human Resources is responsible for maintaining the OSHA 301 (Injury and Illness Incident Report) and the OSHA 300 (Report of Occupational Illnesses and Injuries) logs for legal record keeping compliance. Human Resources, in consultation with you and your manager, complete the worker’s compensation reporting form and forward the information to the workers’ compensation provider. Following receipt of the injury report, the workers’ compensation provider may communicate directly with you.

Submitting Claims DSG’s workers’ compensation provider is responsible for paying your medical bills. You are responsible for submitting medical claims as instructed by the workers’



compensation provider. You should not submit claims for workrelated injuries to the group health insurance carrier.

Pay and Benefits During Workers’ Compensation Absences If you are deemed to qualify for workers’ compensation benefits, and you must be absent from work as a result of your injury, you will be reassigned from “active” status to “inactive” status. Your wages for lost work time are covered exclusively by workers’ compensation benefits.All health and welfare benefits for you and your eligible dependents continue for up to a maximum of six months during the workers’ compensation absence under the same conditions as if you had continued to work. You are responsible for any premiums or contributions required of an active employee (e.g. health coverage premiums). Because you receive payment from the workers; compensation provider rather than a paycheck from DSG, DSG cannot deduct the employee benefit contributions. You are responsible for paying any required insurance premiums and will be billed for them. Because worker’s compensation benefits are not wages, they are not eligible for 401(k) contributions. Contributions to DSG’s 401(k) plan are suspended during the period of workers’ compensation leave. If you return to work within 6 months of the onset of workers’ compensation leave, you may make up missed contributions. You should contact Human Resources for further information on the impact of workers’ compensation leave on 401(k) contributions and benefits.

Return to WorkDSG reinstates employees who return from workers’ compensation absence to their same or an equivalent position with equivalent benefits, pay and conditions of employment following the absence. However, employees have no greater right to reinstatement or other benefits and conditions of employment than if they had been working continuously.DSG requires you to provide medical certification of fitness to resume work upon return from workers’ compensation leave. If you do not provide required medical certification supporting your ability to return to work, you are not permitted to resume work and may be terminated.If you return to work on a reduced work schedule, you are returned to active status and the determination of benefits eligibility is based on the number of hours, scheduled to work. If you return to work on a schedule of at lest 32 hours per week, all benefits are made available to you subject to consideration of parttime benefits stated herein. If you return to work on a schedule of less than 32 hours per week, benefits eligibility is eliminated with the exception of participation in the 401(k) plan. Employees working a minimum of 1000 hours eper year will be permitted to participate in the 401(k) plan. If you do not return to work within the 6month period, employment with DSG is terminated upon completion of the 6month period. Neither DSG nor the insurance carrier will be liable for the payment of workers’ compensation benefits for injuries that occur during an employee’s voluntary participation in any offduty recreational, social, or athletic activity sponsored by DSG.



Paid TimeOff (PTO)Paid Time Off (PTO) is available to eligible employees to provide opportunities for rest, relaxation, and personal pursuits. Additionally, this time off is designated for days when an employee needs to stay home or to miss a part of a day due to illness or doctor’s appointment. The amount of PTO you are eligible for grows as your seniority at DSG grows.PTO accruals begin the first full week of the employee’s work the PTO accrual year ends one year later. In other words, if the employee starts on Wednesday, April 1, his/her PTO accrual starts the week starting Sunday April 5 and the PTO year would end on the pay period prior to April 5 of the following year. Employees can carry up to 40 hours of PTO into the new anniversary year and anything in excess of the 40 hours is on a “use it or lose it” basis.PTO time is only earned while an employee is actively working. Therefore, if no paycheck is generated, no PTO time will accumulate. For example, if an employee is out on shortterm or longterm disability, leave without pay or any other circumstance in which no paycheck is generated from DSG, the employee will NOT accumulate PTO during that time.Salaried Employees accrue PTO each week when working. If a salaried employee works less than 40 hours during a regularly scheduled work week, the differential between hours worked and 40 hours must be taken against the employee’s PTO balance.Hourly Employees accrue PTO each week when working. Overtime hours do not add to the PTO accrual.If an employee leaves DSG for any reason during the year, their earned, accrued PTO will be paid out on a check following their final paycheck. If the employee has a negative PTO accrual balance, their last paycheck will be reduced by the overage. The following chart shows the PTO accrual schedule for Associates based upon their tenure with DSG:

Employee Paid Time Off Schedule

Tenure with DSG PTO Granted

Maximum Carryover allowed into the following

anniversary yearStart thru end of 1st month

PTO accrues at a rate of 5 hours per pay period., but cannot be used

2nd – 12th month 5 hours per pay periodYear 1 – Year 5 5 hours per pay period up to

120 hours per year2 days may be carried over

Year 6 – Year 10 6.667 hours per pay period up to 20 days per year

4 days may be carried over

Year 11 on 8.333 hours per pay period up to 25 days per year

5 days may be carried over



PTO RequestsPTO must be requested in advance by the employee. These requests should be made through an email to their supervisor and should be submitted as much in advance as possible to ensure approval by your supervisor. PTO may be used anytime of the year; however it may not always be possible to receive your time off exactly when you wish to take it as your supervisor must consider business needs and staffing requirements. Time will be granted on a first asked first granted basis.Failure to submit a PTO request prior to scheduled time off may result in the employee using unpaid leave and can be considered a violation of the policy and treated as an attendance and discipline issue with ramifications as per the progressive discipline policy, up to and including termination.In the event of an emergency or illness that requires the use of PTO without notice (i.e.: sick time) please inform your manager by phone or email.After the PTO request has been granted you must enter the hours in the time reporting system as PTO. Failure to do so will be considered a violation of this policy and may result in a discipline issue as above.

Jury DutyDSG recognizes our employees’ commitment to the community, including jury and witness duty when requested. DSG encourages employees to fulfill this civic responsibility by serving when required. DSG complies with all federal, state, and local laws and regulations regarding jury duty. Therefore, DSG will pay employees their normal pay less any amount paid by the locality for serving, for up to three days during any twelve month period while you are on jury or witness duty and unable to work your regularly scheduled hours. Voluntary jury duty is not considered a paid leave under this program. Employees may utilize PTO time for any time spent at jury or witness duty in excess of three days.If you are called for jury or witness duty, you are expected to provide your immediate manager with a copy of the summons or notice immediately so that accommodations can be made for your absence. In rare cases, your manager may ask you to defer jury duty based on business needs, and will help you apply for a deferment.You are required to report to work if you are released from jury or witness duty during your normal work hours. You are further required to start working your regular work schedule immediately after being dismissed from a jury or witness duty.You must submit proper documentation from a court official indicating the time spent on jury or witness duty.

Emergency Closures / Inclement WeatherAt times, emergencies such as severe weather, fires, power failures, or earthquakes, can disrupt company operations. In extreme cases, the circumstances may require the closing of a work facility.When operations are officially closed due to emergency conditions, the time off from scheduled work will be paid. DSG operates in accordance with the Federal



Government and if the OPM reports a shut down due to inclement weather or other emergency situations, DSG employees are excused from work as well. In the event that the federal government is operational, but your home location prevents you from safely getting to work, please contact your immediate supervisor and an exception can be made to grant you PTO. We believe that the safety of our employees is a priority.

HolidaysDSG grants ten (10) paid holidays to full time employees. The scheduled holidays are listed below.

New Years Day January 1st

Martin Luther King Day January 19th

Presidents Day February 21st

Memorial Day last Monday in May Independence Day July 4th Labor Day first Monday in SeptemberColumbus Day October 10thVeterans Day November 11Thanksgiving Day Last Thursday in NovemberChristmas Day December 25th

In addition, at the company’s sole discretion, ½ days off may be granted on the day before a scheduled Holiday or due to inclement weather. If a recognized holiday falls during an eligible employees paid absence, (i.e. PTO), the employee will only receive compensation for the holiday and not both the holiday and the PTO. DSG, at its sole discretion may swap a listed holiday for another day based on work schedules or project demands. These swaps will be communicated to employees and posted prior to the end of the calendar year.Employees are expected to work the same Holiday schedule as the Customer. If the Customer observes a Holiday not listed above, the employee will be granted that day. However, if the Customer does not observe a Holiday shown below, the employee is expected to work that day.

Payroll & Compensation

Time ReportingAccurately recording time worked is the responsibility of every employee. Federal and state laws require DSG to keep an accurate record of time worked in order to calculate employee pay and benefits as well as to bill our clients. Time worked is all the time actually spent on the job performing assigned duties.



Employees should accurately record the time they work on particular tasks using the time reporting system. For hourly employees, overtime must always be approved by their supervisor prior to working the overtime hours. Inaccurate or falsified reporting of total time worked or time worked on specific projects or time spent on PTO will be cause for disciplinary action up to and including termination of employment with DSG. All employees will be given a copy of the DSG time reporting manual with details on how to record and submit time for approval using the employee web portal. Employees are responsible for understanding and following the instructions and if they have any questions of issues, they should contact their manager or the HR or Payroll department.

PaydaysEmployees are paid on a semimonthly basis (twice per month) for hours worked as follows:Period Time submittal Pay Date1st 15th of month 15th of month 20th of the month16th – end of month Last day of month 5th of the following month

In the event that a regularly scheduled payday falls on a weekend or holiday, employees will be paid no later than the first day of work following the regularly scheduled payday. If a regular payday falls during an employee’s vacation, the employee’s paycheck will be available upon his or her return from vacation.Employees may have pay directly deposited into their bank accounts if they provide advance written authorization to DSG. Employees will receive an itemized statement of wages when DSG makes direct deposit. The direct deposit form is available from the HR Department.Billable employee paychecks are mailed from the Payroll Department when received from the provider. This may result in a delay in receipt of the check and employees are strongly encouraged to use direct deposit to ensure immediate availability of their pay.

Compensation Our wage rates are established to reflect the value of each particular job to the company and our customers and are set to be competitive in the local employment market. Each Employee’s compensation is detailed in and agreed upon in their offer letter and/or compensation plan. Please refer to those documents for details specific to your particular position with DSG.

ExpensesDSG will reimburse full time Employees for reasonable business travel expenses incurred while on assignments away from the normal work location. These travel expenses are restricted to the per diem rates for the visited area as promulgated by the GSA. Further, all business travel and expenses must be approved by your immediate supervisor prior to incurring any amount. Employees are expected to limit their expenses to reasonable amounts. All reports should be accompanied by



receipts for all individual expenses. Expense report templates can be found on the employee portal.Abuse of this expense policy, including falsifying expense reports to reflect costs not incurred by the employee, can be grounds for disciplinary action, up to and including termination of employment at the company’s sole discretion.

Payroll DeductionsThe law requires that DSG make certain deductions from every Employee’s compensation. Among these are applicable federal, state and local income taxes. DSG also must deduct Social Security and Medicare taxes on each employee’s earnings up to a specified limit that is called the Social Security “wage base.” DSG matches the amount of Social Security taxes paid by each employee.DSG also makes deductions from you paycheck for your share of benefit premiums and 401k contributions. If you have any questions concerning why deductions were made from your paycheck or how they were calculated, please contact the payroll clerk or CFO for assistance in having your questions answered.

Work Conditions & Hours

SafetyDSG encourages each employee to assist in providing a safe and healthful work environment. DSG provides information to employees about workplace safety and health issues through regular internal communication channels such as supervisoremployee meetings, bulletin board postings, memos, or other communications.Each employee is expected to exercise caution in all work activities. Employees must immediately report any unsafe condition to the appropriate supervisor. Employees who violate safety standards, who cause hazardous or dangerous situations, or who fail to report or, where appropriate, remedy such situations, may be subject to disciplinary action up to and including termination of employment.In the case of accidents that result in injury, regardless of how insignificant the injury may appear, employees should immediately notify a supervisor. Such reports are necessary to comply with laws and initiate insurance and workers’ compensation benefits procedures.

Work SchedulesDSG’s regularly scheduled work hours are 8:30 AM to 5:30 PM with approximately one hour break given for lunch. DSG employees are expected to work a minimum of forty hours within any given week. Schedules for offsite employees will be established by the local program manager or the customer representative at the client site.Flexible scheduling, or flextime, is available in some cases to allow employees to vary their starting and ending times each day within established limits. Flextime may be possible if a mutually workable schedule can be negotiated with the supervisor involved. However, such issues as staffing needs, the employee’s performance, and



the nature of the job will be considered before approval of flextime. Employees should consult their supervisor to request participation in the flextime program.DSG also offers within the week flex time. For example, if you need to take two hours off for a doctors’ appointment you can make up those two hours during that calendar week with manager approval.

SmokingIn keeping with DSG’s intent to provide a safe and healthful work environment, smoking is prohibited within the workplace. This policy applies equally to all employees, clients, candidates, and visitors.

Workplace Violence PreventionDSG is committed to preventing workplace violence and to maintaining a safe work environment. Given the increasing violence in society in general, DSG has adopted the following guidelines to deal with intimidation, harassment, or other threats of (or actual) violence that may occur during business hours or on its premises.All employees, supervisors, contractors and managers, should be treated with courtesy and respect at all times. Employees are expected to refrain from fighting, “horseplay,” or other conduct that may be dangerous to others. Firearms, weapons, and other dangerous or hazardous devices or substances are prohibited from the premises of DSG and our clients without proper authorization.Conduct that threatens intimidates or coerces another employee, a client, a candidate or a member of the public at any time, including offduty periods, will not be tolerated. This prohibition includes all acts of harassment, including harassment that is based on an individual’s sex, race, age, sexual orientation, religion or any characteristic protected by federal, state or local law. All threats of (or actual) violence, both direct and indirect, should be reported as soon as possible to your immediate supervisor or any other member of management. This includes threats by employees, as well as threats by clients, candidates, vendors, solicitors, or other members of the public. When reporting a threat of violence, you should be as specific as possible.All suspicious individuals or activities should also be reported as soon as possible to a supervisor. Do not place yourself in peril. If you see or hear a commotion or disturbance near your work station, do not try to intercede or see what is happening.DSG will promptly and thoroughly investigate all reports of threats of (or actual) violence and of suspicious individuals and activities. The identity of the individual making a report will be protected as much as is practical. In order to maintain workplace safety and the integrity of its investigation, DSG may suspend employees, either with or without pay, pending investigation at its sole discretion,Anyone identified as responsible for threats of or actual violence or other conduct that is in violation of these guidelines will be subject to prompt disciplinary action up to and including termination of employment at the company’s sole discretion.DSG encourages employees to bring their disputes or differences with other employees to the attention of their supervisors before the situation escalates into



violence. DSG is eager to assist in the resolution of employee disputes, and will not discipline employees for raising such concerns.

Emergency PreparednessAll employees should make themselves familiar with the emergency exit plan at their work location and plan to evacuate the building as quickly and safely as possible in cases of emergency. In case of an evacuation, employees should report to their supervisor after the emergency is over for instructions on future work plans.

Use of TechnologyEmployees should review this section carefully to understand DSG policies on acceptable use of office technologies.

Phone and Mail SystemsTo ensure effective telephone communications, employees should always use a courteous and professional tone and speaking manner. Please confirm information received from the caller, and hang up only after the caller has done so.

EquipmentEquipment essential in accomplishing job duties is often expensive and may be difficult to replace. When using DSG property, employees are expected to exercise care, perform required maintenance, and follow all operating instructions, safety standards, and guidelines. Please notify your immediate supervisor if any equipment, machines, or tools appear to be damaged, defective, or in need of repair. Prompt reporting of damages, defects, and the need for repairs could prevent deterioration of equipment and possible injury to employees or others.The improper, careless, negligent, destructive, or unsafe use or operation of equipment can result in disciplinary action, up to an including termination of employment.

Computer and Email Computers, computer files, the email system, the intranet, and software furnished to employees are DSG property or the property of the client a the worksite and are intended for business use only. Employees should not use a password, access a file, or retrieve any stored communication without authorization. To ensure compliance with this policy, computer and email usage may be monitored.DSG strives to maintain a workplace free of harassment and sensitive to the diversity of its employees. Therefore, DSG prohibits the use of computers and the email system in ways that are disruptive, offensive to others, or harmful to morale. For example, the display or transmission of sexually explicit images, messages and cartoons is not allowed. Other such misuse includes but is not limited to, ethnic slurs, racial comments, offcolor jokes or anything that may be construed as harassment or showing disrespect for others.



Email sent or received on a DSG computer or using a DSG email account is and remains the property of DSG. The company reserves the right to monitor Employee email usage and open and read Employee emails.Although email may seem to be less formal that other written communication, the same rules apply. Therefore it is important that users are aware of the legal risks at hand: If you send or forward emails with any libelous, defamatory, offensive, racist, or obscene remarks, you and DSG can be held liable. If you unlawfully forward confidential information, you and DSG can be held liable. If you unlawfully forward or copy messages without permission, you and DSG can be held liable for copyright infringement. If you send an attachment that contains a virus, you and DSG can be held liableBy following the guidelines in this policy, the user can minimize the legal risks involved in the use of technology. If any user disregards the rules set out in this policy, the user will be fully liable and DSG will disassociate itself from the user as far as legally possible.Email may not be used to solicit others for commercial ventures, religious or political causes, outside organizations or other nonbusiness matters.Some other enforced guidelines are as follows:It is strictly prohibited to forge or attempt to forge email messages Do not send email messages using another person’s email account Do not disguise or attempt to disguise your identity when sending mailDo not forward a message or copy a message or attachment belonging to another user without permission of the originator DSG considers technology an important means of communication and recognizes the importance of proper email content and speedy replies in conveying a profession image and delivering good customer service. Therefore, DSG has established the following guidelines:Writing Emails:Write wellstructured emails and use short, descriptive subjectsSignatures must include your name, contact information and company nameUse the spell checker before you send out an emailDo not write emails in all capital lettersDo not use cc: of bcc: fields unless the recipient is aware that you will be copying an email to him/her and knows what action, if any, to takeIf you forward emails, state clearly what action you expect the recipient to takeOnly send emails of which the content could be displayed on a public notice board. If they cannot be displayed publicly in their current state, consider rephrasing the email, using other means of communication, or protecting information by using a pass wordOnly mark emails as important if they truly are important Confidential Information:Avoid sending confidential information via emailIf necessary, secure the information by including a Microsoft Word or Excel file and protecting it with a password



Provide the recipient with the password by means of other communication, for instance the telephoneReplying to Emails:Emails should be answered within at least 8 working hours, but users must endeavor to answer priority emails within 4 hoursPriority emails are emails from existing customers and business partnersMaintenance:Delete any email messages that you do not need to have a copy of, and set your email client to automatically empty your “deleted items” on closingDSG purchases software for business purposes and does not own the copyright to this software or its related documentation. Unless authorized by the software developer, DSG does not have the right to reproduce such software for use on more than one computer. Employees may only use software on local area networks or on multiple machines according to the software license agreement. DSG prohibits the illegal duplication of software and its related documentation. Employees should notify a member of management upon learning of violations of this policy. Employees who violate this policy will be subject to disciplinary action, up to and including termination of employment.

Computer BackUp PolicyThe Company endeavors to provide facilities to back up employee computers. However, it is the employee’s responsibility to make certain that these backups work and that important information is safeguarded.

Internet AccessInternet access is provided by DSG and its customers to assist employees in performing their job. The following guidelines have been established to help ensure responsible and productive Internet usage. While Internet usage is intended for jobrelated activities, occasional brief personal use is permitted within reasonable limits.All Internet data that is composed, transmitted, or received via our or our customer’s computer communications systems is considered to be part of the official records of DSG and, as such, is subject to disclosure to law enforcement or other third parties. Consequently, employees should always ensure that the business information contained in Internet email messages and other transmissions is accurate, appropriate, ethical, and lawful.The equipment, services, and technology provided to access the Internet remain at all times the property of DSG or its customers. As such, DSG reserves the right to monitor Internet traffic, and retrieve and read any data composed, sent, or received through our online connections and stored in our computer systems without notice to Employees.Data that is composed, transmitted, accessed, or received via the Internet must not contain content that could be considered discriminatory, offensive, obscene, threatening, harassing, intimidating, or disruptive to any employee or other person. Examples of unacceptable content may include, but are not limited to, sexual comments or images, racial slurs, genderspecific comments, or any other comments



or images that could reasonably offend someone on the basis of race, age, sex, religious or political beliefs, national origin, disability, sexual orientation, or any other characteristic protected by law.The unauthorized use, installation, copying, or distribution of copyrighted, trademarked, or patented material on the Internet is expressly prohibited. As a general rule, if an employee did not create material, does not own the rights to it, or has not received authorization for its use, it should not be put on the Internet. Employees are also responsible for ensuring that the person sending any material over the Internet has the appropriate distribution rights.Internet users should take the necessary antivirus precautions before downloading or copying any file from the Internet. All downloaded files are to be checked for viruses; all compressed files are to be checked before and after decompression.Abuse of the internet access provided by DSG or its customers in violation of law or DSG policies will result in disciplinary action, up to and including termination of employment. Employees may also be held personally liable for any violations of this policy. The following behaviors are examples of previously stated or additional actions and activities that are prohibited and can result in disciplinary action:Sending or posting discriminatory, harassing, or threatening messages or imagesusing the organization’s time and resources for personal gainStealing, using, or disclosing someone else’s code or password without authorizationViolating copyright lawSending or posting messages or material that could damage the organization’s image or reputationParticipating in the viewing or exchange of inappropriate or obscene materialsSending or posting messages that defame of slander other individualsAttempting to break into the computer system of another organization or personrefusing to cooperate with a security investigationJeopardizing the security of the organization’s electronic communications systemsEngaging in any other illegal activities

Personal UseAlthough the DSG technology system is meant for business use, DSG allows the reasonable use of technology for personal reasons if certain guidelines are adhered to:Personal use of technology should not interfere with workPersonal emails should be kept in a safe separate folder, named “Private”, and emails contained in this folder should be deleted weekly so as not to clog up the systemThe forwarding of chain letters, junk mail, jokes, and executables is strictly forbiddenDo not send mass mailingsAll messages distributed via the company’s email system, even personal emails, are the property of DSG and as such are subject to monitoring or reading by DSG security or management personnel.



Workplace MonitoringWork place monitoring may be conducted by DSG to ensure quality control, employee safety, security, and customer satisfaction.Computers furnished to employees are the property of DSG. As such, computer usage and files may be monitored or accessed. Personal equipment such as phones, laptops, handhelds and other devices that are hooked up to the DSG network may be monitored as well. Employees can request access to information gathered through workplace monitoring that may impact employment decisions. Access will be granted unless there is a legitimate business reason to protect confidentiality or an ongoing investigation. Because DSG is sensitive to the legitimate privacy rights of employees, every effort will be made to guarantee that workplace monitoring is done in an ethical and respectful manner.

Company Policies & Procedures

Expense Reimbursement PolicyExpense reimbursements are to be submitted to your immediate supervisor on a monthly basis. All receipts must be attached to each expense report. Approved and signed expense sheets are to then be submitted to the Accounting Manager for reimbursement.Fraudulent expense reporting is considered grounds for immediate dismissal.Monthly expenses not submitted within 90 days or without receipts may not be reimbursed at the company’s sole discretion.

Driving on Company BusinessEmployees may be required to drive on company business to meetings or to remote locations to perform their job. Whether they drive their personal vehicles or company vehicles on company business these policies must be followed.

Safe DrivingEmployees are to follow all local driving laws and regulations and should always obey traffic rules and speed limits. Vehicles should never be operated in an unsafe manner. Employees should never talk on their cell phones or smart phones without using a hands free device. Texting or checking email while operating a vehicle on company business is expressly prohibited and any employee observed doing so may face disciplinary action up to and including dismissal. Operating a motor vehicle on company business while impaired, intoxicated or under the influence of alcohol or drugs is grounds for immediate termination of employment at the company’s sole discretion.Employees must insure their personal vehicle used for business driving at the minimum levels required by state laws and must provide proof of this insurance to the company on an annual basis. In addition, employees must be legally licensed to drive on company business and must provide a copy of their current license to the



company on an annual basis. Employees may be required to provide driving records or authorization to investigate driving records to DSG management in order to receive permission to continue driving and to receive reimbursement for driving.

Mileage Reimbursement PolicyMileage for work related travel will be reimbursed at the current IRS approved rate. Mileage should be calculated as follows: Mileage from the office to a meeting with a return to the office will be reimbursed in total. Mileage from home to a meeting to the office will be reimbursed in excess of the normal commute miles. For example, if an Employee travels from home to a meeting then to the office, total mileage should be calculated, then the normal commute should be deducted and the remaining miles will be reimbursed. Additionally, all mileage must be preapproved by an immediate manager in order to be eligible for reimbursement. Management reserves the right to approve or not approve reimbursement at their discretion.

Referral Submittal BonusesDSG will pay up to $500 for any referral resulting in a hire. Employees who refer a candidate who is employed by DSG in a billable position will receive a $500 bonus once the employee has successfully completed his/her first 90 days with DSG. . Employees who refer a candidate who becomes employed by DSG in a backoffice position will receive a $250 bonus once the employee has successfully completed his/her first 90 days with DSG.

Employee Conduct & Disciplinary ActionTo ensure orderly operations and provide the best possible work environment, DSG expects employees to follow rules of conduct that will protect the interests and safety of all employees and the organization.It is not possible to list all of the forms of behavior that are considered unacceptable in the workplace. The following are examples of infractions of rules of conduct that may result in disciplinary action, up to and including termination of employment:Theft or inappropriate removal or possession of propertyFalsification of timekeeping recordsWorking under the influence of alcohol or illegal drugsPossession, distribution, sale, transfer, or use of alcohol or illegal drugs in the workplaceFighting or threatening violence in the work placeNegligence or improper conduct leading to damage of employerowned propertyInsubordination or other disrespectful conductViolation of safety or health rulesSexual or other unlawful or unwelcome harassmentPossession of dangerous or unauthorized materials, such as explosives or firearm, in the workplaceExcessive absenteeism or tardinessUnauthorized use of telephone, mail system, or other employerowned equipment



Unauthorized disclosure of business “secrets” or confidential informationViolation of personnel policiesUnsatisfactory performance or conductEmployment with DSG is at the mutual consent of DSG and the employee, and either party may terminate that relationship at any time, with or without cause, and with or without advance notice.

Drug and Alcohol UseDSG is committed to maintaining a safe, efficient, and healthy work environment. To promote this goal, employees are required to report to work in appropriate mental and physical condition to perform their jobs in a satisfactory manner.While on DSG premises and while conducting businessrelated activities off DSG premises, no employee may use, possess, distribute, sell, or be under the influence of alcohol or illegal drugs. Being on the job under the influence of any alcoholic beverage and/or illegal drug poses serious risks to employee health and safety. To protect the safety and health of all employees, DSG has established the following policy regarding alcohol and illegal drugs at work. “Illegal drug” is defined as any substance deemed illegal under federal or applicable state or local law.The legal use of prescribed drugs is permitted on the job only if it does not impair an employee’s ability to perform the essential functions of the job effectively an in a safe manner that does not endanger other individuals in the workplace. If you are using prescription or overthecounter medications that may impair your ability to perform your job safely, you must report such use to your immediate manager or the Human Resources Department before starting or resuming work. If you discover that such medication impairs or adversely impacts your ability to work, immediately stop working and report your condition to your supervisor. Working while affected by prescription or overthecounter medications is dangerous. Consult with your physician if you are impaired or affected by prescription or overthecounter medications. DSG reserves the right to require clearance from a qualified physician if the company has any questions regarding an employee’s ability to safely and effectively perform assigned duties while using such medications or drugs, or while demonstrating unusual behavior patterns that appear to be drug, narcotic or alcohol related.The consumption of alcohol on office property is forbidden except at company sponsored functions such as all hands meetings or other scheduled “gettogethers”, when limited quantities of alcoholic beverages may be provided by the company. Such functions are only considered “company sponsored” if authorized by a Corporate Officer. Employees who drink alcohol at company sponsored events are expected to do so in a prudent fashion an in accordance with applicable state law. If while attending such an event an employee feels that they may have overindulged, they are expected to seek assistance from a manager. In such situations, the company will provide transportation home and will pay reasonable expenses for such transportation. In the event that you become intoxicated at a company sponsored event, DSG’s primary concern is an employee’s safety and the safety of others. An employee will not be disciplined or retaliated against if they acknowledge their overindulgence and responsibly present themselves to management for



transportation home. The above applies to company sponsored social events held on and off company premises. DSG may require drug testing when:A reasonable suspicion exists that you are under the influence of any controlled substance, drug or alcohol while on the job, in the workplace, or traveling on company business; orwhen an accident, nearmiss, or incident occurs in which safety precautions are violated or careless acts are preformed, and a reasonable suspicion exists that you are “under the influence.” Alcohol or drug testing will involve an initial screening test at a qualified laboratory. If that test result is positive, a second test will be conducted using the original sample. Test results will be kept as confidential as possible. A positive test is grounds for disciplinary action up to an including immediate termination of employment. For new hiresFor the purposes of random screeningWhen required by the client as a condition of the contractRefusal to submit to testing when a reasonable suspicion has been established may result in disciplinary action up to and including termination of employment at the company’s sole discretion.In order to promote a safe, productive, substance abusefree workplace, DSG reserves the right to inspect employee clothing, personal vehicles on company property, packages, lunch bags, containers, articles in such areas, and other objects brought onto company property that might conceal alcohol, illegal drugs and/or other inappropriate materials. Any employee who does not consent to and fully cooperate with such inspections is subject to disciplinary action up to and including termination of employment.Violations of this policy may lead to disciplinary action, up to and including immediate termination of employment, and/or required participation in a substance abuse rehabilitation or treatment program. Such violations may also have legal consequences.Under the DrugFree Workplace Act, an employee who performs work for a government contract or grant must notify DSG of a criminal conviction for drugrelated activity occurring in the workplace. The report must be made within five days of the conviction.Employees with questions on this policy or issues related to drug or alcohol use in the workplace should raise their concerns with their immediate supervisor without fear of reprisal.

AntiHarassmentDSG is committed to providing a work environment that is free from all forms of discrimination and harassment, including sexual harassment. Harassment on the basis of an individual’s sex, race, color, national origin, age, religion, disability, sexual orientation or any other legally protected characteristic is unacceptable and will not



be tolerated. DSG provides ongoing sexual harassment training to ensure you the opportunity to work in an environment free of sexual and other unlawful harassment.

Sexual HarassmentSexual harassment has been defined generally as unwanted sexual advances, requests for sexual favors, or visual, verbal, or physical conduct of a sexual nature whenever: (1) submission to the conduct is an explicit or implicit term or condition of employment; (2) the employee’s reaction to the conduct is used as a basis for employment decisions affecting that employee; or (3) the conduct has the purpose or effect of interfering with the employee’s work performance or creating an intimidating, hostile or offensive working environment. Sexual harassment is not limited to demands for sexual favors. It also may include such actions as: (1) sexoriented verbal “kidding,” “teasing” or jokes; (2) repeated offensive sexual advances or propositions; (3) continued or repeated verbal abuse of a sexual nature; (4) graphic or degrading comments about an individual or his or her appearance; (5) the display of sexually suggestive objects or pictures; (6) subtle pressure for sexual activity; and (7) inappropriate physical contact.Sexual harassment does not refer to occasional compliments of a socially acceptable nature or consensual personal and social relationships without a discriminatory employment effect. It refers to behavior that is not welcome and that is personally intimidating, hostile, or offensive. This definition may include such conduct by a samesex supervisor that is motivated by a generally hostility to persons of the employee’s gender or is accompanied by disparate treatment against such persons. While the Company does not prohibit consensual personal relationships between employees outside of the workplace, DSG reserves the right to prohibit such relationships and to take all other remedial action as necessary to eliminate any appearance of impropriety in the workplace and to maintain a safe and hospitable working environment for all DSG employees.

Other Unlawful HarassmentHarassment on other grounds, including race, color, religion, national origin, age, marital status, or disability is also prohibited. Harassment includes jokes, verbal abuse and epithets, degrading comments, the display of offensive objects and pictures, and other conduct that the individual might reasonably find to be offensive.

Scope of PolicyThis policy prohibiting harassment, whether sexual or of another nature, is not limited to relationships between and among employees and prospective employees but also extends to interaction with clients and customers. No employee shall ever subject any client or prospective client of the company to sexual harassment of any nature, including that conduct described above. Furthermore, no employee will be required to suffer sexual harassment by any client, vendor, or supplier. Any unwelcome sexual overtures or other forms of sexual harassment by a client, vendor, or supplier should be reported immediately to the Employees supervisor or any Corporate Officer.

Complaint Procedure



The Company encourages reporting of all incidents of sexual or other harassment, regardless of the identity of the offender. While the Company encourages individuals who believe they are being harassed to firmly and promptly notify the offender that his or her behavior is unwelcome, the Company also recognizes that power and status disparities between the offender and the recipient of the offensive conduct may render the employee unwilling or unable to provide this notification. Consequently, such direct communication is not a requirement or prerequisite to filing a complaint.If you experience or witness sexual or other unlawful harassment in the workplace you must immediately report it to your supervisor. If the supervisor is unavailable or you believe it would be inappropriate to notify that person, you should contact the Human Resources Director or any other member of management. All allegations of sexual harassment will be promptly, thoroughly, and impartially investigated. To the extent possible given the Company’s duty to fully investigate the complaint, the confidentiality of the employee, any witnesses, and the alleged harasser will be protected against unnecessary disclosure. Anyone who is found to have engaged in unlawful discrimination or harassment will be subject to appropriate disciplinary action, including possibly termination of employment.No employee will be retaliated against for making a complaint or assisting with the investigation of a complaint.Any supervisor or manager who becomes aware of possible sexual or other unlawful harassment should immediately notify the Human Resources Department or Corporate Officer so that the issue can be investigated in a timely and confidential manner.

Attendance and PunctualityIndividual work efforts are very important to the overall success of DSG. To maintain a safe and productive work environment, DSG expects employees to be reliable and to be punctual in reporting for scheduled work. Absenteeism and tardiness place a burden on other Employees and DSG. In the rare instances when an employee cannot avoid being late to work or are unable to work as scheduled, they should notify their supervisor as soon as possible in advance of the anticipated tardiness or absence, but no more than one hour after the beginning of their scheduled starting time, except in the most unusual and extreme circumstances.Once your particular work schedule has been determined, you are expected to be at work on time and to work the full number of hours scheduled. Everyone must assume this responsibility in fairness to your coworkers and our clients. Some positions require that an employee be at his/her work station during a specified time frame. In such cases, being at your work station during this time is an essential function of your job. Other positions simply require the production or completion of certain assignments to meet a deadline but there can be flexibility as to when and where the work is produced. The requirements of your specific position will be worked out with your manager.Planned absences should be approved by your Manager, per the PTO policy, as far in advance as possible. If you are unable to give advance notice but find you must



be absent from work for any reason, please call your manager as soon as possible. Repeated violation of the attendance requirements of your position will be cause for written warnings, possible disciplinary actions, and/or eventual termination.Poor attendance and excessive tardiness are disruptive. Either may lead to disciplinary action, up to and including termination of employment.

Personal AppearanceDress, grooming, and personal cleanliness standards contribute to the morale of all Employees and affect the business image that DSG presents to clients, candidates, and visitors. During business hours or when representing DSG, you are expected to present a clean, neat and tasteful appearance. You should dress and groom yourself according to the requirements of your positions and acceptable social standards.The official dress code in headquarters is business casual; No jeans; No torn or frayed clothing; No flip flops. Employees working at client sites should follow the official dress code followed by the client.Ladies: Stockings are not required. Skirts falling no higher than approximately 2 inches from the knee, khakis, slacks, twin sets, button down shirts, and dressy open toed sandals are examples of what is acceptable. Thong sandals, spaghetti strap tank tops (uncovered), and inappropriately short dresses or skirts are examples of what is not acceptable. Gentlemen: Tie and jacket are not required. Khakis, button down shirts, and collared shirts, are examples of what is acceptable. Sleeveless shirts or tank tops, open toed shoes or sandals, cargo style bottoms, and tshirts are examples of what is not acceptable.DSG observes “casual day” on Fridays and at other times at its discretion during which times employees are allowed to dress in a more casual fashion than is normally required. On such occasions, employees are still expected to present a neat appearance and are not permitted to wear ripped or disheveled clothing, “short shorts,” “cutoffs,” ripped Tshirts, beachwear, sweatpants, athletic/workout attire, seethrough, revealing or inappropriately tightfitting clothing, bare feet or other similarly inappropriate attire. Jeans and casual foot wear are permissible on casual day provided they are not torn, faded, patched or unlaced. The above listed examples are intended to be information and are not intended to be allinclusive.

SolicitationIn an effort to ensure a productive and harmonious work environment, persons not employed by DSG may not solicit or distribute literature in the workplace at any time for any purpose. DSG recognizes that employees may have interests in events and organizations outside the work place. However, employees may not solicit or distribute literature concerning these activities during working time.

Progressive DisciplineThe purpose of this policy is to state DSG’s position on administering equitable and consistent discipline for unsatisfactory conduct in the workplace. The best



disciplinary measure is the one that does not have to be enforced and comes from good leadership and fair supervision at all employment levels. DSG’s own best interest lies in ensuring fair treatment of all employees and in making certain that disciplinary actions are prompt, uniform, and impartial. The major purpose of any disciplinary action is to correct the problem, prevent recurrence, and prepare the employee for satisfactory service in the future.

Although employment with DSG is at will, DSG may use progressive discipline at its discretion. Depending on the severity of the problem and the number of occurrences, disciplinary action may call for any of the following steps:verbal warning / discussionwritten warning suspension / probation without paytermination of employmentThere may be circumstances when one or more steps are bypassed at the company’s sole discretion.

Open Door PolicyPart of DSG’s commitment to providing the best possible working conditions for its employees is encouraging an open and frank atmosphere in which any problem, complaint, suggestion, or question receives a timely response from supervisors and management. Employees are encouraged to offer positive and constructive criticism. If employees disagree with established rules of conduct, policies, or practices, they can express their concerns to management. No employee will be penalized, formally or informally, for voicing a complaint with DSG in a reasonable, businesslike manner.Not every problem can be resolved to everyone’s total satisfaction, but only through understanding and discussion of mutual problems can employees and management develop confidence in each other. This confidence is important to the operation of an efficient and harmonious work environment.

Termination of Employment

Grounds for Dismissal Actions resulting in immediate termination are as follows:Physical assault on another person/EmployeeFraud of any kindTimesheet or expense report falsificationViolation of the No Solicitation /Noncompetition AgreementWitnessed sexual harassment or assaultReporting for work under the influence of drugs or alcohol Use of drugs or alcohol in the work place



Releasing classified information to unauthorized persons or organizationsOther situations as deemed unacceptable by law or management to the extent that it would require immediate terminationWhen a separation occurs due to such an action or event that requires immediate termination of an employee, any rights to pending, accrued, or future bonuses, expenses, and personal time off that may be due are forfeited.Events that may result in termination are as follows:Excessive absences or habitual tardinessUnexcused absence from your work station during working hoursIgnoring work duties or loafing during working hoursExcessive horseplay or disorderly conductBlatantly lying to a manager or coworkerRefusal or failure to carry out any instructions of a supervisorProven accusations of sexual harassment or assaultConviction of a serious crimeImproper conduct on or off the jobWillful destruction or defacement of Company propertyFalsification of any records or documentation Excessive inappropriate use of internet access (to an extent that it impedes upon your ability to perform well)Abuse of telephone/long distance access for excessive personal useMisuse of company resources for personal reasonsUsing threatening or abusive language toward a fellow EmployeeCreating a hostile work environment for other EmployeesAny other situations (or combination of situations) deemed by management as inappropriate and requiring citation, probation, and eventual terminationIt would be impossible to list all the possible reasons for dismissal of an employee; however the above noted examples are a sample of some common guidelines. Management reserves the right to use discretionary judgment on a case to case basis.

Job AbandonmentIf an employee is no show, no call for 3 days then they will be terminated for job abandonment. No one else may call on their behalf (unless in the situation of extreme accident, injury, or emergency). Calls in for absence must be made to the immediate manager (not another manager, coworker or HR) unless in the event that an immediate manager is unreachable.

Termination of EmploymentTermination of employment is an inevitable part of personnel activity within any organization, and many of the reasons for termination are routine. Below are some of the most common circumstances under which employment is terminated:



Resignation – voluntary employment termination initiated by an EmployeeDischarge – involuntary employment termination initiated by the organizationLayoff – involuntary employment termination initiated by the organization for nondisciplinary reasonsRetirement – voluntary employment termination initiated by the Employee meeting age, length of service, and any other criteria for retirement from the organization DSG will generally schedule exit interviews at the time of employment termination. Once an employee has submitted his/her resignation, he/she will not be permitted to take leaving during the last two weeks of employment. The exit interview will afford an opportunity to discuss such issues as employee benefits, conversion privileges, repayment of outstanding debts to DSG or return of DSG owned property. Suggestions, complaints, and questions can also be voiced at this time.Since employment with DSG is based on mutual consent, both the employee and DSG have the right to terminate employment at will, with or without cause, at any time. Employee benefits will be affected by employment termination in the following manner. All accrued, vested benefits that are due and payable at termination will be paid. Any PTO taken but unearned will be deducted from the final paycheck. The employee will be notified in writing of the benefits that may be continued and of the terms, conditions, and limitations of such continuance.In the event of a discharge or layoff, final paycheck will be provided within 48 hours of notice. In the event of a resignation or a retirement, final paycheck will be provided with the next payroll processed.

Return of PropertyEmployees are responsible for all DSG property, materials, or written information issued to them or in their possession or control. Employees must return all DSG property immediately upon request or upon termination of employment. When permitted by applicable laws, DSG may withhold from the employee’s check or final paycheck the cost of any items that are not returned when required. DSG may also take all action deemed appropriate to recover or protect its property.

ConfidentialityThis handbook is the sole property of DSG and is being loaned to you for use in the course of your employment with the company. You may not copy or reproduce any part of this manual. You are responsible for this manual while you are employed by DSG and will be required to return it to Management when your employment ends.



Code of Ethics and AcknowledgementDiverse Systems Group, LLC (DSG) conducts its business in compliance with the laws of the United States and other jurisdictions in which it operates and according to the highest ethical standards. Integrity is the cornerstone of the way DSG does business. Ethical conduct is not only the right thing to do, it is good business.Employees and consultants of DSG shall adhere to this policy. The following summarizes DSG’s highlevel policies on key ethical business issues.Corporate Citizenship – DSG and its employees will comply with all applicable laws and regulations.Work Place Conduct – DSG employees will act in a fair, honest and lawful manner in all business relationships with customers, suppliers, employees, applicants, and community members.Quality – No employee shall knowingly misrepresent the condition or status of DSG’s products or services.Procurement Integrity – No employee, either directly or through an intermediary, may knowingly obtain confidential information from or concerning a customer, supplier or competitor, unless the information is provided with the consent of all concerned parties.Conflicts of Interest – All employees will conduct themselves with the highest standards of integrity, honesty and fair dealing to preclude conflicts between the interests of DSG and the personal interests of employees.Providing Cost or Pricing Data to the US Government – Cost or pricing data shall be current, accurate and complete in accordance with the Truth in Negotiations Act. Employees will not make any material or nonapproved substitutions from specifications and will ensure that all products or services meet or exceed contractual specifications.Charges to US Government – Only costs that are allowable and allocable to a contract under law and Federal Acquisition Regulations may be charged to the US Government. DSG will always charge the following costs to an unallowable expense account:

a. Bad debt expenseb. Contingenciesc. Contributions or donations to othersd. Entertainment expensese. Fines and penaltiesf. Interest, fundraising and other financial costs

Financial Accounting, Records and Communications – Documents will be prepared as completely, honestly, and accurately as possible. Disbursements of funds and receipts will be properly and promptly recorded. Any inaccurate description of labor costs is strictly prohibited.Business Courtesies and Kickbacks – DSG will conduct business on the basis of quality, performance and price without giving or accepting anything of value that could, in fact or in appearance, influence the outcome of a transaction or negotiation.



International Business Practices – DSG employees will comply with the provisions of the Foreign Corrupt Practices Act and all export control laws and regulations.Employing and Recruiting US Government Personnel – DSG complies with laws and regulations concerning employment and recruiting of current or former US Government personnel.Classified and Proprietary Information – All employees will deal with sensitive information (including US Government classified information, DSG proprietary information, and proprietary information of others) in the proper manner, both as a matter of national security and to assure compliance with applicable laws, regulations and contractual requirements. Unauthorized access, dissemination, acceptance or handling of such material is prohibited and may constitute a violation of law.Compliance ProgramDSG maintains a program to enforce the letter and spirit of this policy. Violations of DSG’s standards will be met with disciplinary actions up to and including discharge from the company and/or legal action.DSG employees and anyone conducting business with DSG are encouraged to report any violations of DSG’s Code of Business Conduct or other related policies to DSG’s Senior Management or to any member of the Board of Advisors. Also, DSG employees may contact the Defense Hotline for Fraud, Waste and Abuse Reporting. DSG will not retaliate against employees who have conscientiously reported potential illegal or unethical acts.ResponsibilitiesThe CEO and the CFO have overall responsibility for compliance with this policy. The head of each business division is responsible for compliance with this policy by all employees within that division. Questions or concerns regarding DSG’s Standards of Business Conduct or its application to specific situations may be addressed to CEO or CFO.AcknowledgementI acknowledge that I have read and understand the DSG Code of Ethics and that I will follow this code in all business matters and report violations that I observe.

_________________________ _________________Employee Signature Date

_________________________Employee Name (Printed)



Employee Acknowledgement FormThe employee handbook and the referenced DSG Employee Benefit Program describes important information about DSG, and I understand that I should consult my immediate manager or corporate management regarding any questions not answered in the handbook. I have entered into my employment relationship with DSG voluntarily and acknowledge that there is no specified length of employment. Accordingly, either I or DSG can terminate the relationship at will, with or without cause, at any time, so long as there is no violation of applicable federal, state or local law.Since the information, policies, and benefits described here are necessarily subject to change, I acknowledge that revisions to the handbook may occur, except to DSG’s policy of employmentatwill. All such changes will be communicated through an official companywide email and updated postings to the Employee web portal, and I understand that revised information may supersede, modify, or eliminate existing policies. Only the Corporate Officers of DSG have the ability to adopt any revisions to the policies of this handbook.Furthermore, I acknowledge that this handbook in neither a contract of employment nor a legal document. I understand that it is my responsibility to read and comply with the policies contained in this handbook and any revisions made to it.

_________________________ _________________Employee Signature Date

_________________________Employee Name (Printed)