CA cuts salary hike awarded by Dole to Fasap members

THE Court of Appeals (CA) has maintained its earlier decision to slash by more than half the P220-million total wage increases that the Department of Labor and Employment (Dole) earlier awarded to members of the Philippine Airlines’s Flight Attendants and Stewards Association of the Philippines (Fasap).

In an 11-page resolution written by Associate Justice Ramon Cruz, the CA’s Special Former Seventh Division denied Fasap’s motion for reconsideration, seeking the reversal of its June 18, 2013 decision.

It held that Fasap failed to present persuasive arguments that would warrant the reversal of its ruling.

“We stand pat in our earlier finding that there was a grave abuse of discretion on the part of Dole when it awarded the P220-million economic package [to Fasap members],” the CA ruled.

“As we have stated in our decision dated June 18, 2013, the findings of the Dole do not conform to the evidence on record and are not supported by substantial evidence, thus, the consequent finding of grave abuse of discretion,” it added.

In its June 18, 2013 decision, the appellate court modified its December 23, 2010 and April 1, 2011 resolutions of the Dole, directing the country’s flag carrier to implement P220-million wage increases for its flight attendants and to fix their retirement age at 60 years.

PAL had only offered P80 million in 2010.

The CA decided to “balance our award of wage increases” from July 16, 2007, to July 17, 2010, by ordering the flag carrier to set aside a lump sum amount of P100 million for the Fasap members.

It noted that the amount is enough to accommodate PAL’s proven lack of capacity to afford higher increase owing to losses, but is still substantial enough to accommodate the workers’ right for salary increases.

The CA also struck down DOLE’s order on retirement and set a new retirement age scheme.

Female Fasap members hired by PAL before November 22, 1996, should retire by age 55 and male by age 60.

Female and male flight attendants hired after November 22, 1996, should both retire by 45.

Those hired after November 22, 2000, and after November 22, 2007, are required in the CA ruling to retire by 40. –Joel R. San Juan, Businessmirror