CA affirms: Airlines don't have to shoulder BOC-NAIA workers' overtime pay

MANILA, Philippines - Airlines cannot be compelled through an administrative order to pay millions of pesos in overtime pay and allowances to Bureau of Customs (BOC) employees assigned at the Ninoy Aquino International Airport (NAIA), the Court of Appeals has ruled.

The CA upheld its decision last year voiding Customs Administrative Order No. 1-2005.

It granted a petition of the Board of Airline Representatives (BAR) questioning the decision of the Office of the President declaring the order legal.

The CA said the BOC should push for the amendment of the Tariff and Customs Code if it wants airline companies, aircraft owners and operators to pay overtime pay and allowances to its employees at NAIA.

“Only through such moves can we assure BOC personnel of an unimpeded enjoyment of the overtime pay they deserve,” read the CA decision.

Under Customs Administrative Order 7-92, BOC officers and employees at NAIA were to receive P30-P38 hourly overtime pay, P50 traveling allowance per way, and P50 allowance per meal.

On the other hand, under Customs Administrative Order 1-2005, the hourly overtime pay of BOC officers and employees would range from P66 to P83, P110 flat rate for traveling allowance and P110 allowance per meal.

On April 1992, Customs Administrative Order No. 7 required airline companies to pay overtime pay, traveling, board and lodging expenses and/or meal allowance of BOC personnel at NAIA.

Under Customs Administrative Order No. 1–2005, approved by the Department of Finance on February 2005, the payments were increased by over 100 percent.

The CA decision was penned by Associate Justice Vicente Veloso, with Associate Justices Normandie Pizarro and Francisco Acosta.