PLDT, PAL violating labor standards: labor department

April 19, 2017

Two of the Philippines’ largest companies were found to be violating several labor standards, including engaging in banned forms of contracting and sub-contracting employment. In a press conference Wednesday, Labor Secretary Silvestre Bello III said these were Philippine Long Distance Telephone Co. (PLDT) and Philippine Airlines (PAL). "At PLDT, we found violations. Mostly among its sub-contractors and majority of which are not even registered or with expired registrations," said Bello. "PAL and PAL Express, including their contractors and sub-contractors, is where we also noted violations of general labor standards and occupational safety and health standards," Bello said. Bello said the labor department found at least 10,000 workers who can be regular employees. "I will order the regularization of close to 10,000 workers under contracting and subcontracting arrangements but are performing jobs that are directly related to PLDT's business," said Bello. Labor Undersecretary Joel Maglunsod said "the 10,000 is just from Metro Manila and nearby provinces.” We could fund more if we include other areas in Luzon, Visayas, and Mindanao," said Maglunsod. Bello said PAL violated general labor standards, such as underpayment of wages, overtime pay, and service incentive leaves; as well as occupational safety standards, such as no valid fire  safety inspection certificate, and no trained safety and health officer. "We have no figures yet as we still have to complete our inspection and assessment of PAL. These are just initial findings," Maglunsod said. Maglunsod said they are looking at finishing their assessment of PAL before or after May 1. National Capital Region Director John Caniete said the two big firms were included in the department's "priority establishments" list. Bello said they “will slap” PLDT and PAL “with the appropriate penalty if they refuse to comply. The labor department said its campaign against all forms of illegal contractualization has resulted to 45,605 workers being regularized by their employers. DMS