Make-or-break Meeting on PAL Today

Malaya

Monday, September 21, 1998

By Regina Bengco and Eva Foronda

Officials of Philippine Airlines and PAL Employees’ Association will hold today a make-or-break meeting with President Estrada to avert the flag carrier's closure on Wednesday.

Sources said management will propose a referendum on its offer of a 20 percent equity and three seats in the 15-man board in exchange for a 10-year suspension of PAL's collective bargaining agreement.

The PALEA board insisted on a referendum when it accepted the offer Sept. 11. Internal wrangling, however, prompted the PALEA board to scrap the previous agreement on Sept. 14.

PALEA officials on Friday rejected the proposed referendum, but said they are open for a CBA suspension for five years.

PAL, in deciding to close operations on Wednesday, said the 10-year CBA freeze was demanded by creditors and potential investors.

Press Undersecretary Icasiano Gutierrez said President Estrada is not giving up and "is exhausting all efforts to arrive at a middle ground.”

Filemon Lagman, Chairman of the Bukluran ng Manggagawang Pilipino to which PALEA is affiliated, criticized Estrada for allegedly siding with PAL owner Lucio Tan by endorsing the 20 percent equity offer.

Estrada on Saturday critized unnamed labor leaders and lawyers who claim to represent the employes but are out to enrich themselves at the workers' expense.

"Baka mawalan ng trabaho ang mga abogado at labor leader na ito," he said.

Hundreds of rank-and-file employes of Philippine Airlines yesterday blamed "politics outside PAL" for the scheduled closure.

The employes, who belong to the Save PAL Movement, gathered with their families at the PAL Sports Center at Nichols Air Base for Mass.

Capt. Johnny de Jesus, international pilot, said it was "very depressing that PAL’s fate is in the hands of the few who do not really know how the rank-and-file employes feel."

"I don't need to name names but some people, outside PAL, are poisoning our minds, and its very unfortunate since insiders should not have a hand in deciding the company's fate," De Jesus said.

The Save PAL Movement was first formed after the pilots’ strike last June. Its members have been cautioning, against strikes and protest actions that could send PAL into deeper financial trouble.

"Actually, some 80 percent of PAL employes are Save PAL Movement supporters. Pati 'yang mga union-members, if you ask them, sasabihin din nila sa iyo na ayaw nilang magutom and they want PAL to stay," De Jesus said.

"I did not imagine that a company as big as PAL will shut down just like that — not until Mr. Tan set the date. We just hope we can work in unison, not as members of the leftists or the rightists, but as (people) who need an honest to goodness job and food on our table," De Jesus said.

The Save PAL Movement will hold prayer rallies and vigils during PAL'S three final days at different PAL offices, including those in the provinces.

"We are fighting for the company's survival. This is a last-ditch appeal. Please allow us cling on PAL. For in reality we are clinging on to Dear life," a letter addressed to the union said.