November 03, 2010 01:37:00
Christine O. Avendaño Philip Tubeza Jeannette Andrade
Philippine Daily Inquirer
MANILA, Philippines—Malacañang Tuesday backed the labor department’s ruling allowing Philippine Airlines to outsource its in-flight catering, cargo handling and call center-reservation services, as some of those who could lose their jobs marched on Chino Roces Bridge to ask the Palace to reverse the decision.
Union leader Gerry Rivera said the outsourcing could lead to the loss of 2,600 jobs.
Deputy presidential spokesperson Abigail Valte said the Palace could not intervene “at this point” but added that PAL employees could “avail [themselves] of the remedies that are entitled to them” under the law.
“From what I understand, they can file a motion for reconsideration and then eventually, they can appeal the decision of the Department of Labor and Employment (DoLE),” Valte, a lawyer, told reporters.
She said she read the decision of Labor Secretary Rosalinda Baldoz and found it to be “based on law.”
Respect ruling
Riot police blocked a road leading to Malacañang as about 500 PAL employees and supporters called on President Benigno Aquino III to reverse the Baldoz ruling that was handed down on Friday.
“We stand to lose our jobs, and many of us have invested our lives (in) the airline,” said Rivera, the president of PAL Employees Association (PALEA).
“The President can always reverse the unlawful decision, because the labor department is an extension of his office,” he said.
PAL president Jaime Bautista called on the ground staff to respect the ruling and warned them against walking out and disrupting operations.
Bautista told local television that the airline planned to implement its outsourcing plan for ground crew in consultation with the union to ensure a smooth change.
$312-M losses
PAL plans to sell its units providing in-flight catering, airport services and call reservations to third parties and engage their services to reduce costs and stay afloat.
The flag carrier claims that it lost $312 million in the past two years.
The DoLE ruling says PAL must guarantee that employees who are laid off are given a fair severance pay and absorbed by the service providers.
But Rivera said the union planned to sue PAL and continue its street protests. Employees are concerned about their salaries and benefits if they are forced to leave PAL.
For the second straight day, the ground crew union of PAL Tuesday held protests against the DoLE decision.
Members of PALEA and the Partido ng Manggagawa (PM) said the decision of Baldoz showed that despite the Aquino administration’s reformist rhetoric it was no different from its unpopular predecessor.
The protesters trooped to the DoLE office in Intramuros and had dried fish and rice for lunch “to signify the dismal holidays that PAL workers face.” They later proceeded to Chino Roces Bridge (formerly Mendiola).
‘Contractual boss’
The protesters also put up a “makeshift cemetery” at the DoLE office to symbolize the death of job security at PAL.
One of the grave markers read: “DoLE Building in Intramuros, cemetery of regular jobs.”
“P-Noy has strayed from the straight path. There shouldn’t be a boss who is contractual. There shouldn’t be a boss who is abusive,” PM secretary general Judy Ann Miranda said, playing on the President’s famous quote that he considered the public his boss.
Litmus test
Rivera, also a PM vice chair, noted that Baldoz once said that the PAL-PALEA dispute was a litmus test of labor relations under the Aquino administration.
“With her order permitting mass layoff and labor contractualization, then we can only expect anti-labor decisions and policies from this administration,” he said.
Rivera also disputed Baldoz’s claim that nobody would be unemployed since all the 2,600 to be retrenched would be rehired by the service providers.
“The retrench-then-rehire scheme is a scam to implement contractualization. Baldoz cannot and did not promise job security in the service providers. As contractuals, we will have no security of tenure,” he said.
He said they “can be laid off at the whim of the service providers. We will have no union to protect us as employees in the service providers.”
Two congressional allies of Mr. Aquino rejected the “Baldoz formula” in resolving any labor dispute which, they said, legitimized mass layoffs and contractualization.
Eastern Samar Rep. Ben Evardone and Akbayan party-list Rep. Walden Bello joined the call of labor groups to rescind the order.
Three restive unions
The dispute with the ground staff, one of three restive unions within the airline, is the latest in a string of setbacks for PAL.
Last month, the government stopped a planned strike by cabin crew who were demanding higher wages and a lifting of a company policy that forces female attendants to retire at age 40.
The labor department is set to rule on that case this month after it ordered the two sides to submit to arbitration.
In August, 25 pilots and first officers on PAL’s short-haul aircraft suddenly resigned for higher paying jobs abroad, forcing the abrupt cancellation of several flights. With reports from Michael Lim Ubac and Agence France-Presse
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