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BUSINESS

ORGANIZATIONAL JUSTICE:
ASEAN CONTEXT

Atty. Josephus B. Jimenez


Former Undersecretary / Deputy Minister of Department/Ministry of Labor and Employment, Republic
of the Philippines | Former President of Philippines’ PMAP (People Management Association of the
Philippines | Currently Corporate Consultant in multinational banks, global cement company and food
and beverage conglomerate; Professor of Labor Law; and, Author of several Labor Relations Books
A"y. JBJ‘s 23 Years Of Solid
Corporate Experience in Leading,
Teaching and Managing Human
Capital and Private CorporaIons

Vice President for Human Resources and


Employee Relations Manager
Legal and Corporate Affairs and Senior Labor Attorney
(5 Years) (3 Years)

Director for Employee


and Labor Relations and
Director for Labor and
Industrial Relations
Litigation (12 Years)

Resource Person and Professor of Law (30 Years)


Atty. JBJ‘s 20 Years of
Government Service
•  Undersecretary, DOLE 2002 – 2005
•  Labor A"aché II (Malaysia, 2005 – 2008)
•  Labor A"aché II (Kuwait, 2008 – 2010)
•  Labor A"aché II (Central Taiwan, 2010 – 2011)
ExecuIve Director, NaIonal MariIme Polytechnic

•  Labor Arbiter, 1977 – 1981


•  Chief InformaIon Officer, Chief, Complaints And AcIon Unit, 1976 – 1977
•  Med-Arbiter, Labor RegulaIon Officer, 1974 - 1976
•  Court Interpreter, Cebu City Court, 1970 - 1974
TODAY’S CHALLENGES on
ORGANIZATIONAL JUSTICE:
1.  THE QUESTION OF CONTRACTUALIZATION
2.  THE ISSUES ON DISCRIMINATION, AND DIMINUTION IN WAGES & BENEFITS
3.  THE INCIDENCE OF HARRASSMENTS
& PERSECUTIONS
4. THE QUESTIONS OF UNFAIR LABOR PRACTICES
5. THE ISSUES ON CONSTRUCTIVE DISMISSALS &
OTHER FORMS OF ILLEGAL DISMISSALS
6. THE RESURGENCE OF LABOR ACTIVISM
7. DELAYS IN LABOR DISPUTE-RESOLUTION
8. ISSUES ON HIV, DRUGS, HEPATITIS & PTB
CHALLENGES
on
ORGANIZATIONAL JUSTICE: ASEAN CONTEXT
1.  CROSS-BORDER TALENT ACQUISITION
2.  THE WAGE AND COMPENSATION INTRA-ASEAN DIFFERENTIATION
3.  THE QUESTIONS ON TRAFFICKING OF WOMEN AND MINORS
4. THE QUESTIONS ARISING FROM INTRA-ASEAN MERGERS, CONSOLIDATIONS
AND CORPORATE ACQUISITIONS
5. THE ISSUES ON DISMISSALS OF EXPATS AND MIGRANTS WORKERS &
OTHER FORMS OF ILLEGAL DISMISSALS
6. THE ISSUE OF UNIONISM ACROSS NATIONAL BORDERS
7.  LABOR DISPUTE-RESOLUTION INVOLVING EMPLOYERS AND
EMPLOYEES COMING FROM DIFFERENT COUNTRIES
8. THE CHALLENGE TO COME UP WITH AN ASEAN LABOR CODE
ORGANIZATIONAL JUSTICE

•  Is seen as the equitable and


just allocation of Employee
Rights and Management
Prerogatives with the end in
view that a viable balance is
maintained so as to promote
cooperation and harmony that
shall produce PRODUCTIVITY,
QUALITY and well being for
PEOPLE
Indonesian HR Summit 2015 – Atty. Josephus B. Jimenez
DEFINITION OF THE TOPIC

• How Do Business
Corporations Administer
Justice For Their
Employees in
ASEAN COUNTRIES?

Indonesian HR Summit 2015 – Atty. Josephus B. Jimenez


The 4 Main Focus of Organizational
Justice
•  Talent •  Rewards
Acquisition and Management
Disengagement •  Compensation
Benefits, etc

1 2

4 3
•  Employee •  Development &
Engagement Empowerment
•  Conflict •  Training &
Management Career

Indonesian HR Summit 2015 – Atty. Josephus B. Jimenez


The 4 Main Focus of Organizational
Justice
•  Contractualization •  Diminution
•  Employment •  Discrimination
Status •  Productivity
•  Total Rewards

1 2

4 3
•  Discipline & •  Non-Compete
•  Dismissal •  Cost of Training
•  Strikes & •  & Development
•  Dispute Settlement

Indonesian HR Summit 2015 – Atty. Josephus B. Jimenez


I. Singapore: The Most Advanced
1.

•  Well-established tripartite system


2.

•  Proactive and progressive IR


measures
3.

•  Bold tripartite programs to address


working conditions and employability
4.
•  Able to cope with crises due to strong IR
frameworks
•  (a) 1997-1998 Asian Financial Crisis
•  (b) 2001 Sent attack of NY Trade Twin Towers
•  (c) 2003 SARS Outbreak
Indonesian HR Summit 2015 – Atty. Josephus B. Jimenez
I. Singapore: The Most Advanced
5.
•  Comprehensive Legal Framework on Industrial
Relations and Dispute Settlement
6.
•  Two Major Labor Laws

Employment Act Industrial RelaIons Act

•  Minimum standards for •  Union formation


employment •  Collective bargaining
•  Wages •  Dispute settlement
•  Hours of work
•  OT
•  Work Leaves

Indonesian HR Summit 2015 – Atty. Josephus B. Jimenez


II. Malaysia - Near Developed
1.
•  Adopted in 1975 Code of Conduct for Industrial Harmony
governing redundancy/ retirement due to economic crisis
•  Early warning of impending retrenchment
•  Retraining and placement assistance
•  Consultations with workers representative
•  Voluntary retrenchment and retirement
•  LIFO Policy
•  Job Search, government-led
2.
•  Emphasizes Institutions of
•  Collective Bargaining
•  Work Place Cooperation
•  Harmonious Employer-Union Relationship in the resolving
industrial conflicts
•  Industrial Peace
•  Social Dialogue: Bipartite or Tripartite
Indonesian HR Summit 2015 – Atty. Josephus B. Jimenez
II. Malaysia - Near Developed
3.

•  Relatively mature IR System


4.

•  3 Principal Legislation (IR Framework)

Industrial RelaIons Trade Union Act Employment Act


Act of 1967 of 1959 Of 1955

•  Promote industrial
harmony
•  Regulate L/M rel.
•  Settle differences:
To achieve social
justice on the basis
of CB, conciliation
and arbitration
III. Indonesia – Fast Developing
1.
•  Has made great advances in strengthening its industrial
democracy
2.
•  In 1998, in one sweeping move, Indonesia ratified all the ILO
Core Conventions listed in the 1998 Declaration of the
Fundamental Principles and Rights at Work
•  Freedom of Association
•  Collective Bargaining
•  Non-discrimination
•  Non-Use of Forced Labor
•  Elimination of Extreme Foreign Forced Labor
3.
•  Indonesia has Tripartite
•  Enterprise/Industry Law
•  National
•  Municipal
4.
•  Face to face dialogue, most important mechanism for settling
labor dispute
III. Indonesia – Fast Developing
4.

•  In 1998, Indonesia rallied all the ILO Core Convention

5.
•  ACT No. 22 (1957) – Every problem and dispute shout be
settled peacefully through tripartite negotiations
•  Resolution reached shall be used as nutual agreement
3.

•  3 Major Laws related to IR and dispute settlement

Act 21 (2000) Act 13 (2003) Act 2 (2004) - IR


Trade Union Manpower Dispute Se"lement

•  Union •  Rights of both •  Fixed duration for


employers and every phase of
employees settlement
procedure
IV. Philippines: Fast DevelopingsII
1.
•  Stable industrial relations systems
2 IMPROVING LR CONDITIONS.
•  Social dialogue has helped stabilized after the turbulene the
1980’s after the 1986 EDSA Revolution
3. SOCIAL DIALOGUES
•  DOLE-initiated tripartite consultations
4 FLEXI-TIME.
•  Flexible work arrangements including compressed work week
without reducing work hours
5 LABOR-MANAGEMENT COUNCILS.
•  LMC’s
6. TRIPARTISM
•  Tripartism in Government Agencies
7.FROM CONCILIATION TO ARBITRATION
•  Multiple approaches to dispute settlement (preference on
voluntary modes)
Indonesian HR Summit 2015 – Atty. Josephus B. Jimenez
V. Thailand : Political Turmoil
1.
•  First to be hit by the 1997 Asian Financial Crisis, Thailand
(tripartite social partners) developed practical guidelines for
promotion of IR in Economic crisis
•  Including job placement assistance for laid-off workers
•  Skill development for employee
2. 3:3 (3 Reductions and 3 Increases)
•  3 Reductions
•  (a) Termination (promote liquidity of employer and
employability of employees
•  (b) Labor Mobility (Stay in the proximity)
•  (c) Living Costs (Reduce utilities and transport cost)
•  3 Increases
•  (a) Programs increasing employment for displaced workers
•  (b) Job opportunities through alternative occupation
•  (c) In labor skills through training programs

Indonesian HR Summit 2015 – Atty. Josephus B. Jimenez


V. Thailand
3.
•  Ministry of Labor and Social Welfare was established only in
1993
4.
•  First Labor Law: Labor Act 1956 – To promote cooperation and
understanding between employers and employees
5.
•  Labor Dispute Settlement Act of 1965
6.
•  Labor Relation Act of 1975
7.
•  Dispute Settlement
•  Conciliation first
•  Arbitration next

Indonesian HR Summit 2015 – Atty. Josephus B. Jimenez


VI. Vietnam
1.
•  Steady increases in strikes culminating in labor disputes of
2007 and 2008
•  Issues on Wages and Benefits
•  Poor Working Conditions
•  Failure to comply with compensation commitments
2.
•  Exacerbated by the GFC (Global Financial Crisis)
3.
•  MOLISA (Ministry of Labor, Invalids and Social Affairs)
4.
•  Transformed the crisis into opportunities
•  Convened National Tripartite Consultations
•  Encouraged bipartite cooperation dialogue system in enterprise
•  Enhanced the capability of provinces to settle industrial disputes
•  Building enterprise capacity in IR
5.
•  Vietnam Chamber of Commerce and Industry promoting good
IR practices
Indonesian HR Summit 2015 – Atty. Josephus B. Jimenez
VII. Cambodia
1.

•  Developed a conciliation/ mediation system in the country’s


evolving market economy

2.

•  Challenges in the newly institutionalized collective bargaining


system

3.

•  Cambodian’s labor law enacted in 1997

4.

•  Being helped by ILO to develop its system of collective


bargaining
Indonesian HR Summit 2015 – Atty. Josephus B. Jimenez
VIII. Laos PDR
1.

•  Enacted 3 labor legislatures


•  The Labor Law Amendment of 2006
•  The Law on Lao Trade Unions Federation of 2007
•  Labor Administration Agency

2.

•  2010 Lao PDR ratified its ILO Convention No. 144 in tripartite
consultation

3.

•  Established a National Tripartite Committee


Indonesian HR Summit 2015 – Atty. Josephus B. Jimenez
IX. Myanmar
1.LEGISLATIONS

•  Enacted 2 legislations
•  The Labor Law Amendment of 2005
•  The Law on Trade Unions Federation of 2002
•  Labor and Employment Administration Agency

2.ILO RATIFICATIONS

•  Limited Ratifications

3. GOVERNMENT AGENCIES

•  Established a National Tripartite Committee


Indonesian HR Summit 2015 – Atty. Josephus B. Jimenez
X. Brunei DARUSSALAM
1.LEGISLATIONS

•  Enacted 4 labor legislaTIONS


•  The Labor Law Amendment of 2003
•  The Law on Unions and Federation of 2007
•  Manpower Agency

2 ILO RATIFICATIONS.

•  2010 Lao PDR ratified its ILO Convention No. 144 in tripartite
consultation

3. GOVERNMENT AGENCIES.

•  Established a National Tripartite Commission


Indonesian HR Summit 2015 – Atty. Josephus B. Jimenez
Ratification Status Across ASEAN
I. ILO Conventions 87: Freedom of Association and Protection of the Right to Organize (1948)

•  Cambodia
•  Indonesia
•  Myanmar
•  Philippines

II. Convention 98: Right to Organize & Collective Bargaining


Convention (1949)
•  Cambodia
•  Indonesia
•  Malaysia
•  Philippines
•  Singapore

III. Convention 144: Tripartite Consultation (1976)

•  Indonesia
•  Lao PDR
•  Malaysia
•  Philippines
•  Singapore
•  Vietnam
Indonesian HR Summit 2015 – Atty. Josephus B. Jimenez
Ratification Status Across ASEAN

IV. Labor Inspection Convention C81 (1947)

•  Indonesia
•  Malaysia
•  Singapore
•  Vietnam

V. Convention 150 Labor Administration (1978)

•  Cambodia

VI. Convention 170, Minimum Wage Fixing (1970)

Indonesian HR Summit 2015 – Atty. Josephus B. Jimenez


Stimuli for IR Reform in ASEAN
Unclear Labor Laws

Rising Labor Disputes

• Disciplinary Measures
• Unpaid Wages
• Separation and Retirement Benefits
• Unfair Dismissal
• Violations of Labor Standards
• Precarious Employment/ Short-term Labor
Hiring
• Lack of common understanding of laws
• Delays in the process of union registration
Indonesian HR Summit 2015 – Atty. Josephus B. Jimenez
ASEAN GUIDELINES
1. BASIC LABOR RIGHTS
•  Recognition of basic rights especially
•  Freedom of Association
•  Collective Bargaining
2. TERMS AND CONDITIONS OF EMPLOYMENT
•  Capacity building for compliance with labor
standards
3. DISPUTE RESOLUTION

•  Effective dispute settlement system

4. PARTICIPATION IN POLICY AND DECISION MAKING

•  Tripartite partnership of Social Dialogues


Indonesian HR Summit 2015 – Atty. Josephus B. Jimenez
BURNING ISSUES IN THE
PHILIPPINES
1. CONTRACTUALIZATION
•  The need to compete globally
•  Intra-ASEAN competition
2. THE ISSUE OF LIVING WAGE
•  Minimum wage versus living wage
•  Across-the-board or performance based
3. STATUS OF EMPLOYMENT
•  Regular, Casual, Contractual, Project-based
4. THE ISSUE OF SAFETY & HEALTH OF WORKERS
•  Pollution & Environmental Concerns
•  Harassments & Maltreatment of workers
BURNING ISSUES IN THE
PHILIPPINES
5. UNIONISM & COLLECTIVE BARGAINING
•  The right to self-organization
•  Collective Bargaining
6. UNFAIR LABOR PRACTICES & STRIKES
•  Protecting workers from ULP
•  The right to peaceful concerted action
7. TERMINATION OF EMPLOYMENT
•  Just Cause & Authorized Cause
•  Due-process
8. RESOLUTION OF LABOR DISPUTES
•  Grievance Machinery & Voluntary Arbitration
•  Compulsory Arbitration & Enforcement
CONCLUSIONS AND
RECOMMENDATIONS
ALIGNMENT OF ASEAN LABOR LAWS
•  The right to self-organization
•  Collective Bargaining
CONCERTED ACTION BALANCED WITH BUSINESS
•  The right to peaceful concerted action
RESPECT FOR SECURITY OF TENURE
•  Just Cause & Authorized Cause
•  Due-process
COMMON RESOLUTION OF LABOR DISPUTES
•  Grievance Machinery & Voluntary Arbitration
•  Compulsory Arbitration & Enforcement
Atty. JBJ‘s 20 Years of
Government Service
•  Undersecretary, DOLE 2002 – 2005
•  Labor A"aché II (Malaysia, 2005 – 2008)
•  Labor A"aché II (Kuwait, 2008 – 2010)
•  Labor A"aché II (Central Taiwan, 2010 – 2011)
•  ExecuIve Director, NaIonal MariIme Polytechnic

•  Labor Arbiter, 1977 – 1981


•  Chief InformaIon Officer, Chief, Complaints And AcIon Unit, 1976 – 1977
•  Med-Arbiter, Labor RegulaIon Officer, 1974 - 1976
•  Court Interpreter, Cebu City Court, 1970 - 1974
A"y. JBJ‘s 45 years of Solid Corporate
Experience in Leading, Teaching and Managing
Human Capital In Private CorporaIons

Vice President for Human Resources and


Employee RelaIons Manager and
Legal and Corporate Affairs Senior Labor A"orney
(5 Years) (3 Years)

Director for Employee and


Labor RelaIons and Director
for Labor and Industrial
RelaIons LiIgaIon (12
Years)

Resource Person and Professor of Law (30 Years)




ALWAYS ASK FOR
EXPERT ADVICE
The Resource Personʼs
Credentials Address


THE RESOURCE EXPERT:

A"y. JOSEPHUS B. JIMENEZ
AB, LLB, MPA, CESO, FPM
1.  Solid Corporate Experience In Leading And Managing Human Capital and
OrganizaIons.
(1.1) Global Beverage Company: PEPSI COLA as Vice President for Human
Resources and Legal and Corporate Affairs - 5 years
(1.2) Biggest Philippine Consumer Food/Beverage Conglomerate: SAN
MIGUEL CORPORATION as Director for Employee and Labor RelaIons and
Director for Labor and Industrial RelaIons LiIgaIon - 12 years
(1.3) Biggest Philippine OIL, Energy and Shipping Transport Conglomerate:
PETRON (Petrophil), PNOC , HR & E R DIRECTOR,- 3 years
(1.4) Former Consultant to various Business OrganizaIons: Dealing in Oil,
Food, Transport, Hotel, Banks and other leading businesses.
Copyright J. B. Jimenez 2012 66
2.  Strong Networks with Government and Mastery of Laws and RegulaIons :
DOLE, Judiciary, NLRC, Labor Diplomacy (Malaysia, Kuwait and Taiwan)
– total of 20 years

3.  Extensive Mastery of HUMAN RESOURCES and LABOR LAWS as Professor


of Law in UST, UE, FEU, etc. and Resource Person in PMPP, UP-SOLAIR,
Chambers of Commerce and other professional and industry groups
- for 30 years
4. AUTHOR of BOOKS on

(4.1) Employee Discipline
(4.2) Philippine Labor Standards
(4.3) Philippine Labor RelaIons
5.  A Much Sought-aler Resource Person and InspiraIonal Speaker
Contact Details :
Email Add : attyjosephusbjimenez@yahoo.com

Tel No. 09178606997

Copyright J. B. Jimenez 2012 67


THANK YOU! DIOS TI’ AGNINA!
THE LAW ON JOB CONTRACTING AND LABOR-ONLY

MARAMING TERIMAH KASHI!


SALAMAT!
DAGHANG SALAMAT! SHUKRAN!
DAMO NGA DOMO ARIGATO!
SALAMAT! MUCHAS GRACIAS!
DIOS MABALOS!
CONTRACTING

MERCI!
-JBJ

THAT IN CASE OF DOUBT, IT IS BETTER TO ASK


THE EXPERT.
Atty. Josephus B. Jimenez Tel No. 09178606997

Email Add : attyjosephusbjimenez@yahoo.com


Copyright J. B. Jimenez 2012 68

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