MANILA, Philippines - The labor union of the country's flag carrier, Philippine Airlines (PAL), is seeking to reverse a Department of Labor and Employment (DoLE) ruling that allowed management to outsource its critical operations, resulting in the possible mass layoff of some 3,000 employees.
The Philippine Airlines Employees' Association (PALEA) on Sunday, slammed DoLE's "midnight decision," in which Acting Labor Secretary Romeo Lagman decided in favor of PAL management, and signed an order that upheld the planned PAL spinoff as a valid exercise of management prerogative.
"If need be, we are ready to elevate the case up to the Supreme Court. We maintain that contracting out is illegal," Gerry Rivera, PALEA president and concurrent Partido ng Manggagawa (PM) vice-chairperson, said in a text message to abs-cbnNews.com
"Lagman's decision was released with suspicious haste and preempted the ongoing mediation proceedings at the DoLE. We wonder what reasons prompted him to make a decision just 15 days before a new administration assumes power and a new Labor Secretary is appointed," added Rivera.
Rivera said PALEA will file a motion for reconsideration on or before June 28. and exhaust all the means provided by law to protect the job security and labor rights of some 3,000 employees to be laid off as a result of the planned spinoff of airport services, inflight catering and call center operations.
The PAL union is also planning mass actions to protest the decision.
"Paleans will hold a protest rally at DoLE. We'll go to Times Street (the residence of President-elect Benigno Aquino III) the next day. Kung ang DoLE ay corrupt, kaming manggagawa ang maghihirap," Rivera told abs-cbnNews.com
"DoLE's decision is not yet final and executory," said Rivera.
abs-cbnNews.com tried several times, but was unable to reach PAL President Jaime Bautista for reactions.
Previously, Bautista said the airline is being stymied in its efforts to find new investors due to the labor dispute.
PAL wanted to start on June 1, the implementation of the next phase of its restructuring program, starting with the spinoff of its in-flight catering services; airport services, including ground handling, cargo terminal/cargo handling and ramp handling; and call center reservations.
Bautista said restructuring these operations are crucial to the company's survival amid increasing competition.
Rivera said that Lagman's June 15 order is faulty on both substantial and procedural grounds.
"It failed to consider the PAL-PALEA collective bargaining agreement's provision, prohibiting the outsourcing of jobs that are being performed by regular employees."
He said that the case has not been submitted for resolution, "and the order came only four working days after PALEA filed a motion for the production of certain documents, such as PAL's latest financial statement and its outsourcing contracts with service providers."
Rivera criticized the decision for opening the floodgates for mass contractualization.
"In truth PAL will not be outsourcing non-core functions, but merely engaging in illegal termination. It will layoff thousands of regular employees who will be absorbed by so-called service providers which are owned by Lucio Tan."
Rivera said the DoLE order, will make PAL's regular employees contractual workers and lose wages, benefits and job security even as they perform the job as before.
The militant PM said it will support PALEA's planned protest actions.
"The DoLE's decision, together with the measly P22 wage hike, exposes the real legacy of the Gloria Arroyo regime which is anti-labor to its last remaining days. The working class will remember the GMA government for legalizing mass contractualization and its cheap labor policy," said Renato Magtubo, PM chairperson.
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