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<br />The City of San Marcos Facilities Service Contract <br /> <br />(D) Crediting Years of Service and Accrued Time. The Company shall <br />recognize each Designated Employee's years of service with the City (determined as of the <br />Commencement Date without regard to any accrued annual leave, accrued sick leave or <br />accrued compensatory time) as years of service with the Company for the following purposes: <br />(1) any job-related matter based on seniority (such as off-days, shift preference, and overtime) <br />to the extent that the Company uses seniority for such job-related matters; (2) determining <br />eligibility for and vesting under (but not benefit accrual or contributions to) the Company's <br />employee benefit plans; and (3) determining eligibility for and the amount of vacation, sick <br />leave and any other payroll policies of the Company. <br />SECTION 5.2. INDEMNIFICATION FOR DESIGNATED EMPLOYEE CLAIMS. <br />The Company shall indemnify and hold harmless the City, in the manner provided in <br />Section 14.3, against any Loss-and-Expense which may result from any claim, demand, <br />grievance or Legal Proceeding made or f1led, at any time during or after the Term hereof, by any <br />Designated Employee for any claim, demand, grievance or legal proceeding pertaining to an <br />action or treatment of such employee by the Company which occurred subsequent to the <br />Commencement Date. This indemnity shall survive the termination or expiration of this <br />Service Contract. <br /> <br />32 <br />