Effective Date: January 1, 2013
Objective
This Policy seeks to help assure that CSX hiring, promotion and compensation decisions are merit-based and fair. Accordingly, it sets forth guidelines for employees of CSX and its wholly-owned subsidiaries (“CSX”) on the employment of relatives, fraternization among employees and the direct and indirect business reporting relationships that are affected at CSX.
For questions concerning this policy contact the VP HR & Chief Diversity Officer at 904-359-1288.
Employees are encouraged to refer and recommend qualified individuals for job openings. CSX recognizes that a strict prohibition on employing relatives of current employees may be both unwise and unfair. However, being related to, being a friend of, or being involved in a romantic relationship with a CSX employee must be neither an advantage nor a disadvantage and the employment of individuals in such relationships is controlled by this Policy.
In addition, CSX recognizes the possibility that employees may develop romantic relationships with one another. While CSX does not prohibit all relationships of this nature, the guidelines in this Policy are necessary in the interest of maintaining a professional work environment free from real or perceived favoritism, actual or potential conflicts of interest, and problems of supervision, security and morale, or possible claims of sexual harassment.
Highlights
- An individual who is related to, or engaged in a romantic relationship with, a CSX employee may be hired, assigned, transferred, promoted or demoted to either a contract or non-contract position so long as that employment decision does not create a direct or indirect reporting relationship to a relative. An individual who is related to, or engaged in a romantic relationship with, a CSX employee may be engaged as an outside contractor (including as an intern) so long as the relative or person with whom the individual is in a romantic relationship does not oversee the contractor’s project assignments or compensation.
- Relatives of, and those in romantic relationships with either the Chairman, President and CEO of CSX Corporation or those executives that report directly to him/her will not be employed in any positions or engaged as an outside contractor (including as an intern) within CSX Corporation or its wholly-owned subsidiaries.
- Employees in non-union, management positions including those with apparent supervisory authority such as project managers, team leads, etc., may not pursue or engage in romantic relationships with any employee they directly or indirectly supervise or who is otherwise within their line of responsibility or authority or with an outside contractor (including an intern) whose project assignments they oversee.
Common Terms Used Throughout This Policy
- Direct Reporting Relationship – A direct reporting relationship exists when an employee is assigned to a supervisor, manager or lead person who is responsible for decisions regarding the employee’s hiring, promotions, termination, transfers or demotions, training, discipline, shifts, hours of work, vacation, compensation, performance management, benefits or any other terms or conditions of employment.
- Fraternization or Romantic Relationship – includes but is not limited to dating, sharing living accommodations, or intimate relationships between employees.
- Indirect Reporting Relationship – An indirect reporting relationship exists when an employee is assigned in the line of management or chain of command of a manager or supervisor and there are one or more levels of management between the employee and the manager or supervisor.
- Nepotism – Showing of favoritism toward relatives based upon that relationship.
- Relative or Related to – For the purpose of compliance with this Policy, a “relative” or “related to” includes members of the immediate family (parents, spouses, domestic partners, children, fiancés, siblings, stepbrothers, stepsisters, stepparents, stepchildren, ex-spouses, grandparents, grandchildren) as well as close family members (aunts, uncles, nephews, nieces, cousins, in-laws) and those immediate family and close family members of spouses and domestic partners.
Policy
Employing relatives and entering into or maintaining certain relationships between employees is permitted, subject to the following guidelines:
- An individual may not be hired, assigned, transferred, promoted, or demoted to either a contract or non-contract position if that employment decision creates a direct or indirect reporting relationship to a relative or someone with whom the individual is in a romantic relationship. Nor may an individual be engaged as an outside contractor (including as an intern) if a relative or someone with whom the contractor is in a romantic relationship would be responsible for overseeing the contractor’s project assignments.
- Employees in non-union, management positions including those with apparent supervisory authority such as project managers, team leads, etc. may not pursue or engage in romantic relationships with any employee they directly or indirectly supervise or who is otherwise within their line of responsibility or authority. Employees who become part of the same household are treated in accordance with these guidelines.
- Relatives of and those in romantic relationships with either the Chairman, President and CEO of CSX Corporation and those executives that report directly to him/her will not be employed in any positions or engaged as an outside contractor (including as an intern) within CSX Corporation or its wholly-owned subsidiaries.
Additional Requirements for Senior Director and Above
For Senior Directors or above the following additional restrictions apply:
- Relatives of and those in romantic relationships with, Senior Directors and above positions may not be hired, assigned, transferred or promoted to any position or engaged as an outside contractor (including as an intern) within CSX Corporation or its wholly-owned subsidiaries unless approved in advance by the VP HR & Chief Diversity Officer.
- Employees MUST NOT attempt to influence the hiring, promotion, or other terms or conditions of employment, or the engaging as an outside contractor (including as an intern), of a relative or any person with whom they have a romantic relationship. If a relative of a Senior Director or above executive applies for a position with CSX or its subsidiaries or seeks engagement as an outside contractor (including as an intern), the executive must inform the VP HR & Chief Diversity Officer and the leader’s supervisor that a relative is seeking employment.
Employee Responsibility and Company Handling
- If a reporting relationship arises or may arise between relatives due to circumstances such as marriage or reorganization, or if a prohibited romantic relationship as described above develops or may develop, the employees must immediately report the relationship or potential relationship to their Human Resources Business Partner.
- Once informed, the company will attempt to identify other available positions for one or both of the affected employees. To the extent possible, the individuals involved will be permitted to participate in the decision as to which employee will move to a different position. If no alternate position is identified, the employees will have thirty (30) days to decide which employee will remain with the company. If the employees do not reach a decision within this time period, the Human Resources Business Partner, in consultation with the VP HR & Chief Diversity Officer and appropriate departmental managers, will make the decision and the departing employee will be terminated no later than forty-five (45) days after the decision.
- Until a change is made, any personnel-related decisions (performance-based increases, MICP bonuses, promotions, etc.) affecting the subordinate employee should be reviewed by the next highest ranked manager and VP HR & Chief Diversity Officer or designee.
- Employees who have a good faith reasonable belief as to the existence of a relationship that violates this Policy are encouraged to report the information to their Manager, Human Resources Business Partner or the Ethics Hotline. Reports will be investigated. Retaliation against an employee who makes such a report is strictly prohibited.
Exceptions
Any exceptions to this Policy must be approved in advance by the VP HR & Chief Diversity Officer.
