Section One. The annual service ratings shall be completed at least three (3) months prior to the Employee’s annual increase date and otherwise shall comply with Regulation 5-237-l. A service rating will be conducted by the Employee’s immediate supervisor or a supervisor familiar with the Employee’s work and deemed to be qualified to rate the employee.

A rating of "unsatisfactory" in one (l) category or of "fair" in two (2) categories shall constitute a rating of "less than good". Prior to issuing an "unsatisfactory" service rating, supervisors shall forewarn or notify the employee of any deficiency. When an employee is rated "unsatisfactory" in any category, the rating supervisor shall state reasons, and, if practicable, suggestions for improvement. All service ratings less than good must be discussed with the employee at an informal meeting to be scheduled by the rating supervisor, normally within seven (7) days after the employee has seen the report. For the purposes of deciding eligibility for an annual increment (step raise), a single "unsatisfactory" rating or two (2) category ratings of "fair" may be considered grounds for denial of such step.

Section Two. Disputes over service ratings may be subject to the grievance and arbitration procedure. In any such arbitration, the arbitrator shall not substitute his/her judgment for that of the evaluator in applying the relevant evaluation standards unless the evaluator can be shown to have acted arbitrarily, capriciously, or without supportive documentation. It is understood that only "fair" and/or "unsatisfactory" ratings in any category shall be grievable.

Section Three. Service Rating forms will be provided for the annual evaluation. These forms shall contain space for constructive statements or suggestions for improvement. Such statements shall be consistent with the rating.

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