Labor unrest threatens North Harbor takeover

MANILA, Philippines—Manuel V. Pangilinan’s entry into the port operations business may have been hailed by most industry players, but labor issues are threatening to scuttle the group’s efforts to modernize Manila North Harbor—the country’s busiest but most inefficient port.

The Philippine Ports Authority (PPA) on Jan. 15 suspended for another month the handover of the port’s operations to Manila North Harbor Port Inc. (MNHPI) partly to save the more than 1,000 jobs that would have been lost if the private consortium had its way.

PPA officials said new policies of MNHPI, a joint venture between Reghis Romero III’s Harbour Centre Terminal Port Inc. (65 percent) and the Pangilinan-led Metro Pacific Investments Corp. (35 percent), were mostly aimed at making the port more efficient and streamlining its operations.

PPA General Manager Oscar Sevilla said the 30-day suspension was meant to ensure that the most ambitious port privatization deal in the country’s history went smoothly.

“Most of the problems with the shipping lines have already been settled,” Sevilla said. But in contrast to the P14.5-billion privatization deal’s promise of creating thousands of new jobs, he said labor issues have become a major stumbling block.

Sevilla said that in efforts to rationalize Manila North Harbor’s operations, MNHPI had initially wanted to sack about 1,600 workers at the port.

Those at risk of losing their jobs at the time, Sevilla said, included porters and vendors at the port, who were deemed either redundant or unnecessary by MNHPI.

He also noted that other employees at the port have yet to be assured of their security of tenure under the new management, causing some weariness among the harbor’s workforce.

“I’m trying to work out a solution favorable to both parties,” Sevilla said.” I just don’t want any bloodshed.” –Paolo Montecillo, Philippine Daily Inquirer