Ricardo Martinez, DOLE-National Capital Region (NCR) director, said the possibility of ISM’s closure was an "unfounded" fear because it was highly unlikely for the new owners to consider such an option.
He pointed out that even if ISM is awarded to the teachers in case no business group bids for the property, they are still expected to continue the operations of ISM.
"In all likelihood they would continue with operations because their livelihood depends on it," Martinez said. "We do not expect changes even after ISM has been auctioned."
He added that the current owners of ISM are also allowed under the law to get back the property within a year if they seek to do so.
Earlier, foreign businessmen with children studying at ISM expressed concern over the possible closure of the school once the institution has been sold.
The businessmen called on the government to suspend the scheduled auction of ISM on Sept. 5. They said many would be forced to transfer to other countries if their children are unable to attend school.
However, Martinez said DOLE was simply complying with a Supreme Court order to auction the 7.5-hectare ISM property in Fort Bonifacio so management can pay the $4.3-million backwages of teachers.
ISM is embroiled in a labor dispute with locally hired teachers over a court decision to raise the salaries of locally hired teachers.
Martinez said they would proceed with the scheduled auction unless the court stops DOLE.
Meanwhile, a possible disruption in the operations of the University of East Ramon Magsaysay Memorial Medical Center (UERMMC) was averted after DOLE settled the three-month-old labor dispute between employees and management of the hospital.
Labor Undersecretary Manuel Imson said that upon the intervention of DOLE, both management and employees agreed to end the dispute and forge a new collective bargaining agreement (CBA).
Imson added that the new CBA guaranteed a P13-million economic package for the 563 members of the UERM Employees Association for the next three years, apart from financial assistance of P1,500 per employee upon signing of the agreement.
Last May, hospital employees filed a notice of strike with the DOLE-National Conciliation and Mediation Board following a deadlock in CBA negotiations.
To prevent a possible strike that could disrupt the operations of a major medical institution, Labor Secretary Patricia Sto. Tomas assumed jurisdiction over the dispute.
"The agreement is both beneficial to both management and employees, thus we hope labor-management harmony would be finally restored at UERMMC," Imson said.