In Muntinlupa City, DOLE’s NCMB averts strike in elevator company; union and management forge P105-M, five-year CBA

An economic package worth P105 million highlighted a five-year collective bargaining agreement (CBA) that the National Conciliation and Mediation Board (NCMB) had facilitated between the union and management of the International Elevator and Equipment Inc. in Muntinlupa City.

This was the report NCMB Director Edgar G. Aquino to Labor and Employment Secretary Rosalinda Dimapilis-Baldoz who said the forging of the CBA had averted a strike action at the company.

“I commend the management and the union of the company for amicably settling their dispute. It was a wise decision that enhanced industrial peace and harmony and preserved jobs in the company,” said Baldoz after receiving the report.

“I also commend the NCMB for expeditiously facilitating the conciliation-mediation process and assisting the parties to arrive at an amicable settlement without the need for litigation,” she added.

Conciliation-mediation is a DOLE strategy on dispute prevention and settlement with a planned outcome of sustained cooperation between labor and employers.

“Since 2010, the DOLE has laid down institutional reforms in dispute prevention, settlement, and case disposition that have been very successful. It continues to fine-tune these reforms to attain inclusive labor justice and to promote industrial peace that contributes to an economic environment conducive to investments,” said Baldoz.

The dispute arose on 16 May 2014 when the International Elevator & Equipment Inc. Employees Union (IEEIEU) filed with the NCMB a notice of strike (NOS) against the company, citing deadlock in negotiations on the economic and political provisions of their CBA, specifically on salary increase; rice subsidy benefits; signing bonus; and union leave credits.

On 4 June, the union conducted a strike vote, with the result showing that 227 out of 247 union members favoured a strike. The union submitted the result of the strike vote to the NCMB on 5 June.

Acting fast to address the dispute, the NCMB, through conciliator-mediator Estelita S. Bautista, facilitated a series of conciliation proceedings. With the parties seated across the table, they satisfactorily agreed to resolve their dispute on 11 June with the following terms:

(1) Wage increases-P1,200 to be effective on 1 April 2014; P1,260 to be effective on 1 April 2015; P1,300 to be effective on 1 April 2016; P1,700 to be effective on 1 April 2017; and P1,700 to be effective on 1 April 2018;
(2) Rice Subsidy Allowance of additional P100 per covered employee;
(3) A taxable signing bonus of P15,000 per covered employee; and
(4) Union leave credits of 30 days.

“The CBA covering the period from 1 April 2014 to 31 March 2019 involves an economic package worth P105,155,568. Agreement on this package finally ended the conflict. All other political and economic provisions of the CBA not modified or superseded by the settlement agreement shall be incorporated in the new CBA,” Director Aquino said.

He stated that the settlement of the dispute led to the ratification of the five-year CBA, and could be attributed to the desire of management and the workers to continue their harmonious workplace cooperation.

International Elevator and Equipment Inc. is engaged in elevator and air conditioning services and installation. Its office is located at Km. 23 West Service Road, South Superhighway, Cupang, Muntinlupa City. It has about 400 employees, represented by Aurora Gonzalvo, company treasurer, and assisted by Atty. Miguel Damaso.

On the other hand, the International Elevator & Equipment Inc. Employees Union is the exclusive bargaining agent of 294 rank-and-file union members. It is led by union president Joel M. Bulandos and assisted by Atty. Cesar Maravilla.

END/Stella P. Bañares

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