‘Non-payment of financial obligations’: Union workers picket mine site

MANKAYAN, Benguet- About 70 union members and officers picketed the Lepanto Mining Consolidated Co. here Thursday protesting the reduction of working days and work rotation, non- payment of benefits and financial obligations among others.

The groups were Lepanto employees Union, National Federation of Labor Unions and Kilusang Mayo Uno.

LEU members said they had expected a public dialogue with management which was informed and scheduled but management officials reportedly failed to appear.

Manuel Binhaon, LEU president said if the company will not listen to the workers’ demand, the union will push through with its campaigns. "The management will expect a series of actions to be undertaken until they will address the problems and issues concerning the workers.”

The union also called the attention of the Mankayan local government to intervene and make immediate action on said issues.

Binhaon said reduction of working days of workers was “a gross violation of the collective bargaining agreement. The forced implementation of the vacation leave, rest leave, rest leave and sick leave as well as the implementation of force retirement is a manifestation of unfair labor practices and violation of the Labor Code.”

The management reportedly issued a notice to the union dated Oct. 27, 2008 about its plan to reduce working days to 20 days per month with the implementation of the rotation work scheme of all surface employees and some 119 underground employees effected Nov. 1.

The union protested the proposal and asked the company not to implement the scheme pending the consultation of the workers through a general membership assembly.

But instead of considering the union’s request, the company reportedly issued another memorandum dated Oct. 31, 2008 stressing the immediate implementation of the rotation scheme that shall now affect all surface and underground and staff rank-and-file employees effective Nov. 1.

According to the management of the LCMC mine division the reason for the reduction and cutting down of benefits is because of the low production the company is experiencing.
But union workers said LCMC owes the workers their unremitted social benefit contributions collected from them for some two years now.

“It should not be using these diversionary tactics to evade its financial obligations to the workers,” they said in a statement. “The company is liable for estafa because of its non-remittance of Social Security System premiums and loan-payments amounting to P52,220,509.43 and P 3.4 million un-remitted to Pag-Ibig since April 2007, non-payments of ack-wages starting Nov. 2007 after the 24TH CBA was concluded on March 8. The company should stop delaying the release of wages as a tactic to persecute the workers.”

“The company’s leadership should be men enough and learn to respect and comply to a gentlemen’s agreement they had signed with the Union at government’s National Labor Relations Commission,” they said.

The NAFLU-KMU and the Cordillera Labor Center condemned the company’s actions saying these were a violation of workers’ rights. “This is a direct assault and attack against the workers’ rights to security of tenure, to fair wages and right to self-organization. This maneuver is clearly leading towards contractualization of labor, retrenchment and subsequently could lead to union busting.”