Palace expects to solve PAL row

By GENALYN KABILING
August 3, 2010, 8:06am
Manila Bulletin

The Aquino government is optimistic the bitter dispute between Philippine Airlines (PAL) management and its pilots can be resolved within the week.

Transportation and Communications Secretary Jose de Jesus said the resolution of the conflict at the airline company is a “work in progress” after the government held Monday separate dialogues with the contending parties in Malacañang.

De Jesus, emerging from the meetings, ruled out any government takeover of the embattled domestic airline firm, saying they were able to convince the two groups to hold a dialogue to settle the conflict and avoid further economic disruptions.

The latest labor conflict at PAL stemmed from the abrupt resignation of more than two dozen pilots that led to the cancellation and delay of several international and domestic flights.

“The long and short of this is that it is still a work in progress. We have tried to ask the PAL officials what the issues are, and we tried to do the same with the pilots, the representatives of the pilots. What we have agreed on is that we will meet with the other pilots, with the pilots that they represent tomorrow. After that, we will arrange a dialogue with PAL, between the two groups,” he said in a news conference in the Palace.

“Hopefully within the week," De Jesus said when asked how soon the conflict will be resolved. "We’re urging of course both the PAL and the pilots to remember that they are engaged in a public service that partakes of public interest and they should be aware that in the case of pilots their licenses, in case of the airlines their franchises are given in order to serve the public,” he added.
Upon the directive of President Aquino, senior government officials met with PAL executives in the Palace from 3 p.m. to 5 p.m., followed by a separate hour-long meeting with representatives from the pilots who reportedly resigned due to low salaries.

Included in the government side were De Jesus, Executive Secretary Paquito Ochoa Jr, Justice Secretary Leila de Lima, Labor Secretary Rosalinda Baldoz, Civil Aviation Authority of the Philippines (CAAP) director general Alfonso Cusi, Senior Executive Secretary Amor Amorado, and Presidential Spokesman Edwin Lacierda.

PAL President Jaime Bautista and representatives from Cebu Pacific led by Lance Gokongwei also attended the first meeting with Ochoa’s group. In a statement, Cebu Pacific said Monday “we are not experiencing problems with our pilots and continue to operate according to schedule.”

During the meetings, De Jesus said he informed PAL management and the pilots of the serious repercussions to the domestic economy if the conflict is not resolved soon. He said the two parties were cautioned of the government powers to whip them into line if they refuse to mend their differences.

“It will affect trade, it will affect tourism and ultimately it will affect our reputation and this is the matter were putting before both the pilots and the PAL management to be aware that this has very serious consequences unless it is resolved,” he said.

Pending a resolution of the conflict, he said PAL has promised to publish a new schedule of flights, including the merging of some flights, to minimize inconvenience of passengers.

The company also plans to invite the pilots to return to work “without any sanctions,” he said. “Some of them have left the country, some are still here and they will try to talk to them and persuade them to come back without any sanctions imposed,” he added.

De Jesus said the government invited Cebu Pacific to join the meeting to ask them to temporarily accommodate other PAL flights but the company could not do so since they are already “fully stretched.”