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Cebu News

PALEA dissolves picket lines

Mitchelle L. Palaubsanon - The Freeman

CEBU, Philippines - After more than two years of labor dispute, the Philippine Airlines Employees Union (PALEA) “demolished” their picket lines including at Mactan Cebu International Airport after a settlement agreement was reached between the union and the airline management.

PALEA President Gerry Rivera told The Freeman that they demolished their picket lines nationwide including in Cebu the other day.

“This is a victory for both the union and management. This is also a victory for the labor sector in general which serves as a reminder that security of tenure of an employee is very important as human being, who should be treated with dignity and a partner in the business development, not just a commodity,” Rivera said.

It can be recalled that PALEA launched a nationwide protest in 2011 after the airline management implemented a contractualization scheme that ended the employment of 2,600 employees.

Not everyone joined the picket lines, however, Rivera said. 

Of the 2,600 employees, 600 were transferred to service providers; 1,500 chose to receive separation benefit; while 600 launched the protest.

“The 600 remaining employees, as part of our settlement agreement shall retire with an assurance to be rehired in a regular position,” Rivera said.

The agreement between the PAL management and the workers granted higher separation benefits to PALEA members and allowed them to apply anew for an opportunity to be rehired as regular employees.

The two parties arrived at a settlement following talks with the company’s new management, San Miguel Corporation, which bought 49 percent stake in the flag carrier in June last year.

Important points in the agreement include:

• Termination of pending cases between PAL and PALEA.

• PALEA members who have not yet received their separation benefits as of the signing of the agreement shall be granted an additional amount equivalent to 75% of their last salary for every year of service rendered, plus P50,000 on top of the 125% separation pay and P100,000 gratuity pay ordered by the Department of Labor and Employment (DOLE) and the Office of the President.

• Within three months from the signing of the agreement, PAL shall inform PALEA of its members who would be hired as regular PAL employees to fill available positions in the company. Likewise, PAL shall process applications for re-employment of covered PALEA members who will be given priority for hiring in available positions in the company following consistent and fair assessment process.

• PALEA members may also seek employment from companies under the San Miguel Group and that PAL shall inform PALEA members who will be rehired as regular employees within the San Miguel Group.

• PALEA agrees to vacate and clean up the protest camp upon the signing of the agreement. —  (FREEMAN)

AGREEMENT

DEPARTMENT OF LABOR AND EMPLOYMENT

EMPLOYEES

MACTAN CEBU INTERNATIONAL AIRPORT

OFFICE OF THE PRESIDENT

PALEA

PRESIDENT GERRY RIVERA

RIVERA

SAN MIGUEL GROUP

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