Wildcat PAL Strike Over

Malaya

Sunday, November 3, 1996

Full service resumes today

By MON ACASIO

The three-day wildcat strike staged by members of the Philippine Airlines Employees’ Association (PALEA) was lifted yesterday, and the airline said it expects to resume full domestic and international operations by this afternoon.

Senior Vice-President Antonio Ocampo, PAL Corporate Counsel and Secretary, and Union President Alexander Barrientos signed a return to work agreement witnessed by Labor Secretary Leonardo Quisumbing.

The agreement includes the lifting of the picket line, return to work no later than noon today and no retaliatory actions against those who joined the mass action. It was also agreed upon that both panels will meet immediately to iron out the labor dispute.

A new collective bargaining agreement should be concluded by the two parties within 10 days from Nov. 11, 1996.

PAL management is expected to come up with a counter proposal to PALEA's P3.2 billion CBA package by Tuesday.

The three-day work stoppage resulted in losses of at least P100 million. More than 100 international and domestic flights were cancelled.

International services accounted for 51.6 percent of the total number of operated flights, mounting 62 of 123 published flights or about 50.4 percent. On the other hand, only 58 or 24 percent of a total 240 published domestic flights were mounted.

Thirty-six percent or 63 of the total 175 published flights were able to depart from the Ninoy Aquino International Airport, while arrivals numbered 57 or 30 percent of a total of 188 published flights.

Domestic services suffered the most number of cancellations with only 32 of a total 115 scheduled flights able to depart from the Manila Domestic Airport, while arrivals numbered only 26 of a total 125.

The bulk of the loss comes from the rebooking of passengers when flights were cancelled and transferred to other airlines and checking-in of passengers to nearby hotels.

The P3.2-billion CBA package PALEA includes P5,000 monthly increase retroactive to 1991, Christmas bonus of 150 percent of an employee’s basic salary, mid-year bonus equivalent to an employee’s basic salary and an increase of the overtime pay from 35.5 percent to 50 percent.

The economic demands prompted the management to brand it as "unrealistic."

They are also asking to increase the vacation leave and sick leave from the present maximum of 20 working days to 30, increase of emergency leave from 5 to 10, introduction of other leaves such as menstrual (1), matrimonial (7) , family (3), 7-day parental leave plus a union anniversary leave.

A 15-day cash equivalent incentive for employees who will not avail of free hospitalization is also being demanded.

The union also drew up a retirement plan which consists of a lifetime allocation of a sack of rice a month, eight free tickets a year, hospitalization and medical services, professional fees, medicines and a monthly pension of P4,000 or 60 percent equivalent of latest basic pay in addition to existing retirement plan benefits.

They also want an educational loan, attendance incentives, shuttle bus, vacation pay of a month, day care center, housing and car loan.

At present, PALEA members are receiving 50 percent of the company's annual payroll of P4 billion.

A rank-and-file employee receives an annual basic salary of P88,175 aside from benefits amounting to P18,146 including one sack of rice monthly, comprehensive medical, hospitalization and dental benefits, medical plans for dependents.

They are given 13th month pay (mid-year) and 14th month pay (Christmas bonus).

They are also entitled to free and reduced air fare for the employee and dependents, which is about eight tickets resulting to P77.7 million in operational and revenue opportunity losses.