Final mediation talks on PAL labor row fails

By Philip Tubeza, Norman Bordadora
Philippine Daily Inquirer
First Posted 10/06/2010

President Benigno Aquino III announced the government would assume jurisdiction over the labor dispute between Philippine Airlines (PAL) and its flight attendants’ union after final mediation talks collapsed Tuesday.

The President expressed optimism that Labor Secretary Rosalinda Baldoz could still settle the dispute even as the Flight Attendants and Stewards Association of the Philippines (FASAP) announced it would go on strike by the end of the month.

“The Labor Secretary will assume jurisdiction over the case,” Mr. Aquino told reporters, adding that there was no need to panic and allow foreign carriers to take over PAL’s routes.

Taking her cue, Labor Secretary Baldoz said she would make a decision on the case in five to 10 days.

Baldoz’s move would bar any strike in the flag carrier, whose operations are deemed imbued with “the national interests.”

PAL management and FASAP failed to reach an agreement in “last ditch” mediation hearings at the National Conciliation and Mediation Board regarding a new collective bargaining agreement that would include new maternity benefits for stewardesses and repeal the company’s mandatory retirement age of 40.

Both sides blamed each other for the impasse.

Baldoz noted that FASAP did not raise an objection when PAL manifested during Tuesday’s mediation hearing that the case be submitted to her for arbitration.

But during a press conference after the hearing, FASAP president Bob Anduiza said the union was opposed to PAL’s move to submit the case for government arbitration.

Anduiza said the union would hold a strike vote next week and then go on strike by the end of the month or the first week of November.

“The strike vote will start next week then there will be a seven-day waiting period, which is required by law. After that, we go on strike,” he said.

PAL: We’re prepared

PAL management insisted a strike was “very remote” because the labor secretary had already taken over the case.

However, PAL spokesperson Cielo Villaluna said the flag carrier was preparing its “contingency measures.”

“It is most unfortunate that no agreement was reached (Tuesday), the fifth round of talks. We believe however that there is light at the end of the tunnel and for this reason, PAL management manifested its willingness to submit the case for arbitration before the office of the labor secretary,” Villaluna said.