PAL says holiday bookings up by 10% as ground workers prepare to strike

Posted on 09:23 PM, December 09, 2010

FLAG CARRIER Philippine Airlines (PAL) yesterday reported a 10% increase in flight bookings during the holidays, as ground workers threatened to go on strike amid the Lucio C. Tan-led carrier’s plans to outsource three units and lay off workers.
In a statement yesterday, the airline said the increase in confirmed bookings for the month of December indicated “strong passenger confidence.”

“Close to 90% of PAL’s booked passengers have been issued confirmed tickets for Manila-inbound flights, indicative of the travelers’ trust in PAL’s ability to fly them to their respective destinations,” PAL spokeswoman Cielo C. Villaluna said in the statement.

“Based on sales data, almost all flights coming from the United States are full, registering the highest number of forward bookings, followed by those coming from Australia,” she added.

PAL said flights from North America, Australia, Hong Kong, and Singapore were “packed” everyday.

“Between Christmas and New Year, PAL’s airplanes are filled with vacationers bound for Kalibo, Hong Kong, Bangkok, Singapore and China,” Ms. Villaluna said.

Last year, PAL carried 9.2 million passengers, or an average of 25,630 passengers per day.

Meanwhile, the Philippine Airlines Employees’ Association (PALEA) said it would file a notice to strike after 86.13% of union members voted “yes” to the move.

“I’m very happy with this result because this shows that the members are aware of the issues,” said Gerardo F. Rivera, PALEA president.

“We have hurdled one process. Now, we have to talk it over with the officers of the union, and submit the result to the Labor department and the notice to conduct strike. Then, we can proceed to observing the seven-day cooling period or strike ban,” he said.

The Lucio C. Tan-led airline is questioning the move, saying PALEA’s complaints have been consolidated into one and that the union had agreed to a status quo.

The notice involves a new complaint in which PALEA claims the airline has been negotiating with workers individually over early retirement packages.

The previous case, which was taken over by the Labor secretary in April to prevent a strike, involves PAL’s decision to outsource in-flight catering, airport services, and call center reservations, which would result in the layoff of 2,600 workers.

Also yesterday, the Flight Attendants’ and Stewards’ Association of the Philippines (FASAP) urged the Labor department “to end the discrimination against its 1,600-strong members.”

The union of PAL cabin crew said in a letter to Labor Secretary Rosalinda D. Baldoz dated Dec. 9 “that discrimination in PAL violates the rights of the flight attendants, especially [of] women members.”

“If for PAL, retiring the flight attendants at 40, 45, and 55 years is but a business policy, to maintain young and fresh-looking women as frontline flight attendants, for our members, this policy has a more personal, real and profoundly painful effect,” the group said.

FASAP President Robert Anduiza said the union’s case, which stemmed from a collapse in collective bargaining negotiations, is still pending before the Labor department.

“We had filed a Notice of Strike last Sept. 9 over charges of Age and Gender Discrimination in PAL. However, the flight attendants have been prevented from staging a strike after the Labor department assumed jurisdiction of the labor dispute last Oct. 6,” he said.

“The case has been submitted for the DoLE’s resolution,” he added.

PAL posted modest gains of $28.2 million for the second quarter of its fiscal year covering July to September. In a filing with the Securities and Exchange Commission last month, PAL reported revenues of $399.5 million for the period, up by 33%.

Total expenses for the same period amounted to $371.2 million, a 7% increase.

In its last fiscal year that ended March, PAL reported a net comprehensive loss of $14.4 million. -- A. M. P. Dagcutan