GMA mgm’t, union ink CBA

MANILA, Philippines - Broadcast giant GMA Network Inc. has signed a new collective bargaining agreement (CBA) with its employees’ union last Thursday a few weeks after the company announced the entry of businessman Ramon S. Ang as a strategic investor.

The agreement contains a signing bonus of P95,000 for all rank and file employees, and a wage increase of P7,000 distributed over a period of three years.

GMA chairman and chief executive officer Felipe Gozon led the management in signing of the CBA together with GMA president and chief operating officer Gilberto Duavit, and GMA executive vice president and chief finance officer Felipe Yalong.

GMA Union president Robert Manalastas and other GMA Union officers represented the group in the signing.

“This agreement clearly manifests the good relationship between the network’s management and its employees. Our people can trust that the management will continue to be transparent and generous as far as they are concerned,” Gozon said.

GMA had a workforce of 2,535 as of end-December comprising of 62 officers as well as 1,099 regular employees and 1,375 rank and file employees. It expects to hire one additional officer, 124 regular employees as well as 77 rank and file employees this year.

Earnings of GMA plunged 46 percent to P325 million in the first quarter of the year compared to P601 million in the same quarter last year as revenues fell 12 percent to P2.85 billion from P3.24 billion due to the absence of non-recurring political advertisements.

The company’s operating expenses was flat at P2.36 billion as it managed to cut production costs by seven percent to P1.27-billion offsetting the 10-percent growth in general administrative expenses to P1.09 billion due to the 12-percent increase in personnel costs.

Last June 24, GMA announced that its major stockholders led by the Gozon, Duavit, and Jimenez families have agreed to sell a participating minority equity interest in the company to the Ang Group.

Ang is beefing up his broadcast media portfolio with the acquisition of a 30- percent stake in GMA after both groups announced last May 5 that talks were underway.