THE employees’ union of Philippine Airlines (PAL) will ask the Court of Appeals (CA) to reverse a labor department decision allowing PAL to spin off three non-core units.
“PAL’s decision to outsource its catering, call center and airport services units is illegal,” the PAL Employees Association (PALEA) said in a statement, noting it will mean unemployment for 2,600 employees.
Aside from elevating the issue to the CA, PALEA also held a protest march on Monday in Mendiola to secure the sympathy of Malacañang.
Labor Secretary Rosalinda Baldoz said her agency has decided to stand by an earlier decision that the spinoff is legal. It will ask PAL to increase the package offered to affected workers and to guarantee their absorption by companies that will take over the outsourced units.
PAL said the outsourcing is necessary considering the airline still needs to recover at least $312 million or it may shut down operations, affecting more than 7,000 employees.
Aside from the PALEA complaint, PAL is dealing with another labor row involving its flight attendants and stewards who have threatened to go on strike if their demands related to gender discrimination, retirement benefits and unfair labor practice are not addressed.
