3 senators nix gov’t takeover of PAL

By Maila Ager
INQUIRER.net
First Posted 20:47:00 08/03/2010

MANILA, Philippines—Senators on Tuesday opposed a state takeover of the flag-carrier Philippine Airlines, pointing out government's bad record in running private companies.

“I'm not in favor of that. You know, the government is never good at running private companies,” Senator Franklin Drilon told reporters.

Senator Serge Osmeña III also opposed the idea, saying the government should instead look at the airline industry as a whole “and guarantee a level playing field for all.”

“What can government do? Subsidize again?” Osmeña said in a text message.

“The government must look at airline industry as a whole and guarantee a level playing field for all,” the senator added.

Senate President Juan Ponce-Enrile also doubts that a government takeover of PAL operations could resolve disputes between the management and pilots, who resigned en mass because of low pay.

“Even if you take over, even if the government will take over, who are the pilots who will go there? Air Force? I don't think they are rated for those kinds of wings. So that's going to be a problem,” said Enrile in a separate interview.

“Essentially in a situation like that, government should step in. But whether they can really operate is another thing because you need pilots. The people involved I supposed are well trained and rated for these aircrafts that they are flying,” he said.

As a matter of principle, Drilon said no one could compel the pilots to return to work because that would be an “involuntary servitude.”

“But they can be liable for breach of contract and they can be liable for damages. But you can’t force somebody to work if he doesn't want to work,” he stressed.

Senator Loren Legarda said the labor dispute should be resolved as soon as possible so as not to further affect the country's tourism.

“In the public interest, it should be resolved soonest,” said Legarda.

“I will not interfere in a private entity and I think it must be resolved among themselves, take into consideration the needs of the employees and officials of PAL,” she added.