The Big Stick

Oct. 17, 2010
By Benjamin G. Defensor
THE Manila Times

THEY were not by any means speaking with a soft voice but it turned out they had a big stick that is why the Philippine Airlines (PAL) management was able to dampen what could be a crippling strike by the Flight Attendants and Stewards Association (Fasap). For years the members of the PAL cabin crew were seeking the elimination of the age limits on flight stewardesses, who are now forced to retire at 40 or transfer to other tasks in the airline.

The cabin crew union, of course, have the usual economic demands and for years the age limit stayed on in the their collective bargaining agreement and now those who signed the contract face the threat of being phased out.

At about the same time that the cabin crew members were pushing through their protests against the age limit on their jobs, PAL received a sudden jolt when 25 of its pilots and first officers on short-haul aircraft suddenly resigned to accept higher paying jobs from pilot-strapped overseas airlines forcing the cancellation of some of PAL’s flights.

Fasap may have seen an opportunity to ratchet up its pressure on PAL by threatening to strike and stop the airlines operations unless their demands were met.

PAL being an essential service, the government may assume jurisdiction over the dispute and frustrate any attempt at a strike.

However, a threat from the Palace that the government may hasten the adoption of an open skies police which PAL says would be its end as foreign airlines may start coming in to serve the nation’s air transportation needs may have turned the trick. On the surface, open skies will promote competition leading to better service and cheaper fares.

However, big international airlines can afford to slash their fares to kill off competition from smaller airlines like PAL and other Philippine air carriers. Once these are driven off the air, the surviving airlines may then revert back to their higher fares with less competition.

With presidential spokesperson Edwin Lacierda quoting President Aquino as saying that if the strike threat was not resolved, “the government would be forced to rush the open skies . . .”

“What is important to the President is the concern for the riding public,” Lacierda said.

This could happen if the Secretary of Labor does not take jurisdiction over the dispute. While at the start of the row, Secretary of Labor Rosalinda Baldoz already made it known that she was indeed going to step into the dispute of avert the strike.

However, it was assumed that she would have to take her signals from the President on this matter. After all, she was one of three members of the Cabinet who were appointed in an acting capacity. But at the time, the PAL dispute was raging, President Aquino removed her designation as acting secretary and asked her if was willing to stay on the job permanently. She was and her permanent appointment was promptly drawn up.

The following day she announced that the government is assuming jurisdiction over the labor dispute at PAL. Secretary Baldoz then said that any strike or work stoppage by disgruntled PAL flight attendants would be illegal.

The flight attendants union promptly dismantled preparations for the strike that was scheduled for the last week of this month or the first week of November. Fasap issued a statement saying it “will respect the authority of Secretary Baldoz to assume jurisdiction over the dispute” but added the their fight against the unfair retirement age policy and discrimination against female flight attendants would continue.

PAL spokesperson Celia Villaluna said the airline was grateful for the assumption of jurisdiction because the strike threat was of grave concern for PAL clients.

“Since Fasap is banned from staging strike or any work stoppage, our passengers are assured of unhampered operations. We advise them to book early for their flights especially for the coming semester break and All Saints’/Souls’ Day holiday.”

She said PAL hopes; Secretary Baldoz would “judiciously resolve the contentious issues soonest so that PAL can operate smoothly and efficiently without threats of any work stoppage that unnecessarily scare away customers and investors.”