Labor party calls for strict regulation of labor standards in BPO industry

Press Release

August 2, 2012

The Partido ng Manggagawa (PM) today called on the government to strictly monitor and enforce labor standards in the business process outsourcing (BPO) industry in the wake of the abrupt closure of a call center in Cebu City which left more than 600 workers without jobs and with unpaid wages, benefits and unremitted social security contributions.

“In the SONA of President Benigno Aquino III he applauded the BPO industry but behind this so-called sunrise industry lurks storm clouds that batter workers’ working conditions. Within an industry which prides itself with above-standard systems are substandard practices that are common in other businesses. The Labor Department and other agencies cannot be complacent that all is well for workers in the BPO industry. But the best regulator of labor standards are empowered workers and so we call for representatives to be elected by workers with the mandate to talk with management regarding working conditions, terms of employment, employee benefits and work load including setting of quotas, metrics and performance indexes,” said Renato Magtubo, PM national chairperson.

PM is assisting the employees of Direct Access Corporation, a locator in the Asiatown IT Park in Cebu City, which shutdown without due notice last July 30 to the surprise of its workforce. In arguably the first such protest among BPO workers, hundreds of Direct Access employees spontaneously held a rally last Monday in the prestigious ecozone.

Dennis Derige, PM-Cebu spokesperson, announced that the scheduled teleconference today between leaders of the Direct Access workers and the US-based owner was postponed for tomorrow. He also explained that no agreement was reached yesterday at mediation called by the National Conciliation and Mediation Board, and a meeting with the Cebu tripartite industrial peace council. “Direct Access workers welcome the offer of employment at other BPO companies even as they press for their demands with the different institutions that are intervening. They demand justice for workers, the payment of some PhP 6.4 million in wages and other emoluments, and the company’s culpability for violations of labor laws,” Derige insisted.

Magtubo recognized that numerous studies have called attention to health and safety concerns specific to the BPO industry, especially due to the graveyard working shift prevalent in call centers. “BPO companies must provide health insurance that is on top of the mandatory Philhealth membership and guarantees wider coverage and better benefits that especially address call center-specific health issues and afflictions.”

“Further, government must push for industry-wide standards for wages, benefits and entitlements that is well above the minimum set by law and commensurate to the dollar-earning nature of the BPO sector.” Magtubo argued. In the SONA, President Aquino mentioned that the BPO industry already employs more than 600,000 workers and earns revenues of some PhP 11 billion, equivalent to 5% of the country’s GDP.

PNoy’s SONA: Long in duration, short on its claim

Press Statement

July 24, 2012

President Benigno Aquino III’s SONA speech may have been the longest in history but it falls short on its claim of historic changes under his administration. The changes instituted are merely superficial not thoroughgoing. No social and economic reform has been implemented in the last two years and none forthcoming. PNoy even lacks the commitment to push for the Freedom of Information bill which should be a plank of his good governance advocacy.

PNoy asserts that good governance is leading to palpable improvements but only social justice will bring concrete change to ordinary peoples’ lives. Glaringly absent from the tons of numbers and data mentioned in PNoy’s SONA are statistics on poverty and hunger. It is no wonder since despite a decade of so-called GNP growth, the number of poor and hungry have remained intractable.

GNP growth only means increasing numbers of ‘Gutom Na Pilipino’ for workers and the poor. From 2003-2009 the economy grew by an average of 4.8% but the number of poor Filipinos increased from 19.8 million to 23.1 million. Poverty will not be dented no matter how many cases are filed against former president Gloria Arroyo and how many of her minions are jailed together with ex-Comelec chief Benjamin Abalos.

Regular jobs and living wages are needed not the conditional cash transfer which is a band-aid solution at best. Among the ASEAN nations, the Philippines has the most persistent incidence of poverty (defined as living on less than US$1.25 a day). We have the highest percentage of slum residents as a percent of its urban population among six Asian countries.

While the employment rate went up, as PNoy insisted, the number of underemployed—those who have work but are still seeking work—has increased from 7.6 million in April 2011 to 7.8 million in April 2012. Even as PNoy remains hardline in the struggle to bring Arroyo to justice, he is nonetheless is soft on the fight for social justice against entrenched vested interests. He was challenged and found wanting on the issue of outsourcing at Philippine Airlines which is the biggest labor dispute in the country. PNoy may have garnered the confidence of investors for the privatization projects under the Public-Private Partnerhip program, but he has earned the ire of workers for his approval of contractualization at the flag carrier.

Truly the real state of the nation is reflected in the lack of jobs, food, housing and justice for the Filipino masses. To tackle the challenges of destitution and joblessness, the anti-corruption campaign of President Aquino will not suffice. The answer lies in taking a new path of development away from the Aquinomics of privatization, contractualization and globalization.

“New path of development” called for in counter-SONA

Press Release

July 23, 2012

Several thousand workers will join the counter-SONA protest today to call for a “new path of development” and “alternative economics” as they insisted that poverty and unemployment has not been eradicated despite a decade of economic growth. “The anti-corruption campaign of President Aquino will not solve the problem of destitution and joblessness. The answer lies in taking a new path of development away from the Aquinomics of privatization, contractualization and globalization,” declared Renato Magtubo, Partido ng Manggagawa (PM) chairperon.

Whether it rains or shines, some 1,000 members of PM are ready to join the “March for Alternative Economics” together with the labor coalition Nagkaisa (United) and the multisectoral alliances Freedom from Debt Coalition and Kampanya para sa Makataong Pamumuhay (Campaign for a Humane Life). A total of 7,000 rallyists will march for “alternative economics” starting at 1:00 pm from the corner of Luzon and Commonwealth Avenues then proceed to the Batasang Pambansa.

“It is expected that PNoy will trumpet inclusive growth under his administration. But for workers and the poor, GNP growth only means increasing numbers of ‘Gutom Na Pilipino,’” Magtubo added.

Gerry Rivera, president of the Philippine Airlines Employees Association (PALEA), said that “Even as PNoy garners the confidence of investors for the privatization projects under the Public-Private Partnerhip program, he has earned the ire of workers for his approval of outsourcing and contractualization at Philippine Airlines.”

Meanwhile PM echoed the criticism of the Reproductive Health Advocacy Network (RHAN) against President Aquino for omiiting the Reproductive Health bill among his government’s priority bills and the House of Representatives for its indifference and utter disregard to the plight of poor and working women.

“This is PNoy’s third SONA and women’s mortality rate has increased to 221 per 100,000 live births in 2011 from 162 per 100,000 live births in 2009.  Besides the fact that the Philippines must lower the maternal mortality rate to 52 per 100,000 live births, the important matter is how the executive and legislative view women’s right to reproductive health care.” explained PM secretary-general Judy Ann Miranda.

“Regular job and living wages are needed not the conditional cash transfer which is a band-aid solution at best. From 2003-2009 the economy grew by an average of 4.8% but the number of poor Filipinos increased from 19.8 million to 23.1 million. Poverty will not be dented no matter how many cases are filed against former president Gloria Arroyo and how many of her minions are jailed together with ex-Comelec chief Benjamin Abalos,” Rivera stressed.

Magtubo reiterated that “Among the ASEAN nations, the Philippines have the most persistent incidence of poverty (defined as living on less than US$1.25 a day). The Philippines has the highest percentage of slum population as a percent of its urban population among six Asian countries.”

Alternatibong ekonomiya, hiling ng manggagawa sa kontra-SONA

Press Release

July 22, 2012

Libu-libong manggagawa ang lalahok sa kontra-SONA na ilulunsad ng mga grupo bukas upang hilingin ang “isang alternatibong ekonomiya” at “bagong landas ng pag-unlad.” “Ang patuloy na kahirapan ng milyun-milyong Pilipino ay di matutugunan lang ng tuwid na landas ng kontra-katiwalian. Ang kailangan ay bagong landas ng pag-unlad palayo sa pribatisasyon, kontraktwalisasyon at globalisasyon,” ani Renato Magtubo, tagapangulo ng Partido ng Manggagawa (PM).

Umulan man o umaraw ay nakahanda ang 1,000 kasapi ng PM upang sumanib sa “Martsa para sa Alternatibong Ekonomiya” na lalahukan ng labor coalition na Nagkaisa at multisectoral alliances na Freedom from Debt Coalition at Kampanya para sa Makataong Pamumuhay. Nasa 7,000 ang kabuuang bilang ng raliyista ang magmamartsa para sa “alternatibong ekonomiya” mula ala una

sa Luzon Ave.

corner Commonwealth Ave. tungong Batasang Pambansa.

“Inaasahan na magpapasikat si Pangulong Aquino sa SONA tungkol sa inclusive growth sa ilalim ng kanyang administrasyon. Pero para sa manggagawa at maralita, ang tanging kahulugan ng GNP growth ay dumadaming ‘Gutom Na Pilipino,’” dagdag ni Magtubo.

Paliwanag naman ni Gerry Rivera, pangulo ng PALEA, “Nakakakuha man ang pamamahala ni PNoy ng kumpyansa mula sa investors, umaani naman ng batikos mula manggagawa ang kanyang pagsang-ayon sa kontraktwalisasyon sa Philippine Airlines.”

“Regular na trabaho at sweldong nakabubuhay ang kailangan hindi CCT na pantawid-gutom lang. Mula 2003 hanggang 2009, umunlad ang ekonomiya ng humigit-kumulang 4.8% pero ang bilang ng naghihikahos na Pilipino ay lumaki pa rin mula 19.8 milyon hanggang 23.1 milyon. Hindi ito magbabago kahit pa ilang kaso ang madagdag kay Gloria Arroyo at ilan pang tauhan niya ang makulong kasama ni Abalos,” diin ni Rivera.