in Marginalia

Philippine Airlines’ labor agreement on outsourcing


“The Company undertakes not to contract out existing positions, jobs, divisions, and departments presently occupied by present or future regular employees within the collective bargaining unit. All existing programs whereby positions, jobs, divisions, and departments presently occupied by regular employees are being contracted out temporarily arising from exigencies of operations, shall immediately be deemed discontinued when the said exigencies or needs cease. Thereafter, where these programs have resulted in transfers and/or other adverse implications on security of tenure, all affected employees shall be immediately restored to their status and position prior to said contracting out, without any loss of seniority or diminution of benefits.

In case the Company deems it necessary to reorganize its corporate structure for the viability of its operations by forming joint ventures and spin-offs, the Company shall do so only after proper consultations with PALEA [Philippine Airlines’ Employees Association] not less than forty-five (45) days before the implementation of said reorganization for the protection of the Union and those affected employees.”

— From Article 24, Section 4 of the 1995-2000 labor agreement between Philippine Airlines (PAL) and the PALEA. Arguably, the agreement remains in effect after both parties agreed to extend it in 1998. During that time, the company sought — and later secured — court approval to temporarily suspend debt payments to creditors. In October, the Philippines’ Department of Labor and Employment affirmed an earlier decision dated June, allowing the outsourcing of 4,000 jobs in the airlines’ inflight catering, airport services, and reservations staff. The June 2010 decision was made after workers appealed a much earlier verdict rendered in March that also ruled against their favor. Earlier, workers filed a case against PAL, disputing its plans to contract out its labor needs. The case also sought to renew the labor agreement that had already lapsed. [See: Labor Dept. allows layoff of PAL workers]

Write a Comment


This site uses Akismet to reduce spam. Learn how your comment data is processed.


  1. well, I could have written the same words, or better yet, borrowed from a standard book of legal forms –every lawyer’s best friend — to produce such a verbose document…..

  2. Uploaded it just to emphasize that what PAL did — and what the Labor Department endorsed — is against the form and spirit (as you lawyers say) of the labor agreement. :)

  3. Once you turn it on and dive headlong an eBook, the world
    disappears — just about the same kind of magic you get from reading a

  4. book with magnificent prose and effortless storytelling.
    Of course, there’s more to the Kindle than just replicating and enhancing the
    reading experience on a digital screen.

  5. Except you can’t see a fancy
     colorful icon representing the music being
    played unlike in other devices

  6. hold its own against say, the hubbub of a regular household.)
    The Kindle 3 can also connect to a wireless network even though typing

  7. on its keyboard is more tedious than texting on a touchscreen.
    But then again, all this is beside the point.
    Nobody intends to buy a Kindle just to use

  8. You get a Kindle because you’re a voracious reader and, for one reason
    or another, you’d like to try your hand at eBooks

  9. Here are my
    five reasons why you should get a Kindle now.

  10. people who use gadgets judge  them by how they look and not just

  11. about what they do. This partly explains the popularity of Apple