TUCP Calls for Improved Environment for FoA and CB in Special Economic Zones

Manila, 08 February 2014. –Over a hundred trade union leaders and activists called on DOLE to prioritize closing the gap between law and practice on workers’ freedom of association and collective bargaining in special economic zones (SEZs) in the Philippines.

TUCP also called on the Philippine Economic Zone Authority (PEZA) and zone locators to respect constitutionally-guaranteed and internationally supported labor standards as the responsible way of doing business.

“Government’s endeavour to achieve top-of-the-chart economic growth is admirable. However, without equal resolve to improve compliance with core labor standards, respect for worker’s rights, security of tenure, living wages through equitable sharing of profits and gains, and implementation of decent work principles, economic growth is meaningless,” says TUCP President Ernesto Herrera.

“It cannot be said that we are not doing our best in organizing workers. We are! Inside and outside special economic zones, organizing challenges are the same. But we can do better. DOLE and PEZA only have to implement the law, and implement it right,” says Herrera.

In a two-day national conference in Manila titled “Promoting Social Dialogue for Constructive Industrial Relations and Compliance with Core Labor Standards in Special Economic Zones in the Philippines,” enterprise unions and national federation representatives discussed current socio-economic and labor and employment conditions. They analyzed recent developments, policies, and challenges on industrial relations (IR) in the SEZs and prospects for trade unions. They shared good practices on social dialogue and IR and crafted recommendations for DOLE, PEZA, employers, and unions.

The conference was highlighted with presentations from DOLE Undersecretary Rebecca Chato; Field Projects Director Toshiyuki Wakatsuki of the Japan International Labor Foundation (JILAF); International Labor Organization-Bureau of Workers Activities (ILO-ACTRAV) Senior Specialist Shigeru Wada; BWC-DOLE Director Catherine Legados-Prado; and PEZA Officers Rene Joey Nipa and Ms. Rachel Angeles.

TUCP Vice President Alejandro Villaviza welcomed the participants and wished them a productive workshop. Japanese Labor Attaché Hiroyuki Enoki, JILAF Director Waka and ILO Senior Specialist Wada extended brief messages on behalf of the Japanese Embassy in Manila, the JILAF, and ILO Regional Office for Asia and the Pacific, respectively.

Global Perspective on CLS and IR

ILO-ACTRAV Senior Specialist Shigeru Wada presented recent ILO and trade union developments in Asia Pacific. He explained the Decent Work Framework anchored on eight core labor standards and Fundamental Principles and Rights at Work. He described the wave of industrial actions in Asia and Pacific including the calls for wage increases in Bangladesh, Cambodia, India, and Vietnam. He described workers struggle against contractualization and outsourcing leading to precarious working conditions in Myanmar, Indonesia, and Philippines.

He cited an ILO report referring to the deficit in job creation despite rapid growth and industrialization in the region. Regular jobs are replaced with contract workers aggressive anti-union sentiments in special economic zones. Likewise, he noted the growing number of migrant workers in the ASEAN and lack of corresponding social protection for them.

He challenged unions and other stakeholder for concerted action to achieve the goals of the 2006-2016 Asian Decent Work Decade.

Bro. Toshiyuki Wakatsuki of JILAF shared the experiences of Japanese trade unions in their pursuit of better labour representation at the national and enterprise levels. He highlighted the history of the Japanese trade unions towards one united national labour center that is now called the Japanese Trade Union Confederation (JTUC-RENGO). He explained the structural changes that the labor movement had to undergo to keep pace with the challenges of globalization. He described the Japanese ‘shunto’ (Spring Offensive) where collectively, trade unions push their demands on wages and other working conditions to government on an annual basis.

Local Labor Policies and Trade Unionism

DOLE Usec. Rebecca Chato presented recent trade union statistics citing the decreasing members of organized labor at 8.4% and the lesser number of workers enjoying benefits and protection of collective bargaining agreements. She noted that there are 1,331 collective bargaining agreements covering a total of 225,183 workers.

She reported that employment level slightly grew by 1% in 2013. Total employed persons increased to 37.92 million from 37.60 million a year ago. This represents an employment generation of 317,000. The latest growth figure was lower compared with 2012’s growth rate of 2.9% (+1.041 million).

She discussed development in industrial relations policies, particularly the tripartite adoption of the (1) Guidelines on the Conduct of the DOLE, DILG, DND, DOJ, AFP, and PNP Relative to the Exercise of Workers’ Rights and Activities; (2) Joint DOLE-PNP-PEZA Guidelines in the Conduct of PNP Personnel, Economic Zone Police and Security Guards, Company Security Guards and Similar Personnel during Labor Disputes; and (3) The Rules of Procedure of the Single Entry Approach (SEnA) in resolving labor disputes, among others.

PEZA officers Rene Joey Nipa and Ms. Rachel Angeles who spoke on industrial relations policies and practices in special economic zones. They proffered counselling and education services to union leaders, especially those who have lost certification lections and who are subjected to undue harassment and other pressure from employers.

BWC-DOLE Director Catherine Legados-Parado discussed the recently adopted Labor Law Compliance System (DO 131-13) as a mix of development and regulatory approaches that gives benefit to small and medium enterprises and address existing ‘rigidities’ in labor law compliance while ensuring decent and productive work. LLCS has three modalities of implementation: (1) Joint Assessment, (2) Compliance Visits, and (3) OSH Standards Investigations.

Trade union perspectives

Federation of Unions of Rizal (FUR) Executive Vice President Arturo Basea, Alyansa ng Manggagawa at Organisadong Pilipino (AMAPO) General Secretary Roberto Flores, and Voice of Workers in the Call Center Industry (VOICE) Officer Angelita Senorin shared organizing challenges and other experiences in Cavite Export Zone, Subic Freeport Zone and the BPO industry, respectively.

They recognize that SEZs and the BPO industry provide employment to many workers. SEZs and BPOs are growing. There is potential for more growth that would help address the increasing rate of unemployment and underemployment in the country.

However, they agree and believe that lingering social and labor issues in SEZs and BPOS should be addressed better than they are now.

Despite differences in their geographical and industrial areas of operations, their sharing pointed to similar challenges. Among others, they shared how difficult it is to enter “walled’ special economic zones for organizing and workers education purposes. They pointed out how workers daring to become new union leaders are treated like ‘common criminals’, where criminal charges are thrown at them just to counter union activities. Workers are threatened with company closure. Others are promised with promotion and other benefits if they vote against unions. And there too, are extremely bold employers, HR managers and unenlightened government officials who would do anything to subvert unions. (One of the speakers described them as ‘anti-development’ for their explicit refusal to allow unions to operate in the SEZs).

Union representatives from Laguna Auto Parts Manufacturing Corporation and Honda Parts Manufacturing Corporation in Laguna Technopark (LAMCOR) concurred that ‘Constructive industrial relations at the enterprise level is possible, but not without challenges.’

The Obrero Pilipino-LAMCOR Chapter struggled for ten years up to the Supreme Court, to establish itself as the sole and exclusive bargaining agent (SEBA) in the company. Honda Parts Employees Union – Obrero Pilipino, kept vigilance since 1998, to ensure unity and existence of the union, despite raiding attempts by other unions.

They shared the protection that they get from the union. They are especially proud and happy of the benefits they enjoy through collective bargaining that are way beyond what the law and other companies are provide. These include excellent compensation benefits (wages higher than most industry players pay, signing bonuses and other incentives), transportation services, rice subsidies, maternal and paternal benefits, union leaves for training, education and other purposes, longevity pay, and medical/health packages, among others.

They explained that, for good industrial relations to work at the enterprise level, it requires independent and vigorous unions (brave leaders and empowered members); consultation mechanisms (grievance committee, LMC, etc.) that are put in place through the CBA; labor standards-compliant employers; and labor policy that allows unions to thrive.

Conclusion

JILAF Director Shinichi Nakumara congratulated the participants for a successful program and committed JIALF’s continued partnership with the TUCP and unions in the Philippines. Likewise, BLR-DOLE Director Evelyn Ramos wished the best for the participants. She expressed DOLE’s continued efforts with the tripartite partners to improve labor policies and practice.

Former Executive Secretary and TUCP Executive Board Member Ruben Torres closed the program by highlighting union milestones achieved over years and years of struggle, benefits which workers now enjoy. He said that these benefits are not given to workers on a silver platter. These are fruits of unions’ sustained advocacy, paid with workers sweat and blood. He challenged the participants to do more, move faster, and act better.