PAL, union ‘agree’ on maternity benefits

Airline firm offers P105M to cabin crew union
INQUIRER.net
First Posted 09/23/2010

MANILA, Philippines—The management of Philippine Airlines (PAL) and officers of the Flight Attendants’ and Stewards’ Association of the Philippines (Fasap) have “agreed in principle” to expand maternity benefits, but remained “deadlocked” on the issue of compensation and changes in the retirement age of crew members.

In a statement released to media outfits, acting PAL spokesman Jonathan Gesmundo said that on top of the original P80 million PAL offered last week, the airline agreed to give the union a P25-million increase in rice allowance for the period 2007 to 2010.
This brings to P105 million the total economic package offered by PAL to its cabin crew union, he said.

Gesmundo stressed, however, that the expanded benefits and allowances are part of a package. This means their approval are contingent on the signing by PAL and Fasap of a final agreement that puts to rest all economic, gender, and retirement issues under discussion.

“The offers were made in good faith, proof that PAL is sincere in its efforts to settle and finally put closure to its 2005-2010 Collective Bargaining Agreement (CBA) with Fasap,” he said.

Despite significant strides on the PAL-Fasap talks, Gesmundo said “sticky” points remain such as the compensation package and changes in the retirement age of crew members. He said PAL could only offer P105 million after suffering huge losses in the last two years.

Meanwhile, he said PAL is willing to change the retirement age to 45 from 40 for both male and female crew members but only if Fasap agrees to the mixed crew complement that would allow younger PAL crew members to fly international routes side-by-side with their senior counterparts.

Gesmundo said PAL management believes that junior crew members are well-trained and are fully capable of serving international flights but provisions in their CBA prevent them from doing so.

He said current work rules restricting the flight assignments of younger flight attendants were inserted in the previous CBA by the cabin crew union itself. Because of this, he said, only senior crew members enjoy higher perks and per diems when they fly international.

“We want to introduce changes in the current work rules so that both young and senior cabin attendants can both serve in domestic and international routes,” he said.

Gesmundo said PAL hopes the union would agree to the proposed changes for the sake of younger crew members.