Manila, Metro Manila, Philippines (AHN) – Filipino businessman Manuel Pangilinan, who owns the country’s largest telecommunications company PLDT, wants to foray into aviation. According to reports, Pangilinan has agreed in principle to purchase flag carrier Philippine Airlines.
However, Pangilinan’s condition for the buy-in is that the air carrier’s labor problem must be resolved first. PAL employees are picketing and striking over the layoff of several thousand call center agents, ground crew and catering staff as a result of the company’s plan to outsource those jobs to a third party.
Despite the Department of Labor’s approval of the outsourcing, PAL Employees Association filed a lawsuit with the Court of Appeals.
Pangilinan is apparently in favor of the outsourcing plan because he wants a leaner PAL staff when he takes over; but the retained employees would have higher pay and financial benefits.
Last weekend PALEA conducted a strike action at the Ninoy Aquino International Airport to protest the outsourcing, but failed to paralyze the air carrier. During the job walkoff, PAL registered an 85 percent on-time performance and all scheduled flights pushed through.
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