CEBU, Philippines – The Human Resources Department (HRD) of Philippine Airlines (PAL) has been swarmed with requests for computation of separation benefits from workers to be affected by the spin off of three non-core units after the flag carrier announced early this week that it will abide by the order of the Department of Labor and Employment (DOLE).
A number of PAL staff belonging to PAL Employees Association (PALEA) have been discretely calling or emailing HRD's Employee Benefits & Services division to ask for an exact computation of their total separation pay based on the increased benefits package contained in DOLE's October 29 decision.
According to Jose S.L. Uybarreta, PAL's vice president for human resources, HRD staff have been working overtime doing computations since details of the separation package were revealed in a press conference last November 3.
During the media briefing, PAL President Jaime J. Bautista announced that PALEA members to be affected by the ruling may get an average of P1 million as part of their severance package.
Uybarreta explained that some PALEA workers seem to be rushing to know their exact benefits before everyone else gets in line. "We wish to assure our workers that our department is rushing to meet their requests for computation and that everyone will be accommodated," he stressed.
"Surprisingly, I was told by my staff that even some PALEA officers have been discreetly inquiring about their separation benefits," he added.
However, payment of the separation benefits - including 125% of the monthly salary for every year of service, P50,000 cash as gratuity pay, conversion to cash of unused sick leave and vacation leave, and others - would have to be withheld in case PALEA secures a temporary restraining order (TRO) from the Court of Appeals.
More and more PALEA members are silently accepting the increased benefits as revealed by Pres. Bautista after union officials publicly denounced the spin off but intentionally omitted details of the separation package to their members.
Bautista said he hopes PALEA, instead of contesting the decision, would sit down with management to discuss the smooth transition while PAL seeks bank financing for the P2.5-billion severance package.
"I'm sure PALEA members to be affected by the spin off are expecting the financial windfall in time for the coming holidays. At the same time, the opportunity to work for the service providers, should they choose to accept it, is likewise a welcome development," he said.
The non-economic component of the package includes free tickets for the employee and qualified dependents (number of tickets depend on years of service) and comprehensive medical/hospitalization coverage for the employee and his/her family for one year after leaving PAL. (FREEMAN)