DoLE assumes jurisdiction over PAL row, stops planned strike

Agence France-Presse
First Posted 10/06/2010

MANILA, Philippines—The government on Wednesday stopped a planned strike by Philippine Airlines cabin crew and ordered the union and the flag carrier to submit to arbitration, a union official said.

"This means we cannot pursue the process we have initiated, and at the same time the company will not be able to do anything against the union members," union leader Andy Ortega told Agence France-Presse after receiving a Department of Labor order.

The 1,600-member union had warned it would stage a walkout by the end of the month if the carrier did not raise pay and lift company policy that forces female attendants to retire when they turn 40.
Ortega said Labor Secretary Rosalinda Baldoz ordered the union and PAL to submit their positions to her within 10 days, and also gave each side five extra days to reply to the other's positions before she makes a ruling.

"We are now under compulsory arbitration," said Ortega, the vice president of the Flight Attendants Association of the Philippines.

The labor chief told Agence France-Presse it had no immediate comment.
Baldoz has previously warned that if this week's talks failed she would force both sides to submit to arbitration because a strike affecting the flag-carrier would be against the national interest.
PAL spokeswoman Cielo Villaluna said the management asked the labor department to arbitrate when the union rejected an offer to raise pay and food allowances, expand pregnancy-related benefits and push the retirement age to 45.

"This (arbitration) will enable parties to submit their respective positions to the labor secretary who will then decide the case on the merits," Villaluna said in a statement.

Villaluna said a cabin crew strike would have further impacted the loss-making airline's finances and affected the tourism industry.

The planned strike is the latest in a string of labor problems to hit the airline.
In August, 25 pilots and first officers on PAL's short-haul aircraft suddenly quit for higher paying jobs abroad, forcing the abrupt cancellation of several flights.