Selected Papers on Labor and Social Legislation in the Philippines (Vol.

2)

LABOR RELATIONS
Four Labor Relations Pillars for this Century
by Cesario A. Azucena Jr.

1. Business survival and success

* a paradigm shift in labor laws that would help businesses succeed to that workers will receive
more benefits, enjoy rising income, and retain their jobs.

* no provision in the Labor Code about the right of business to ROI, to expansion and growth.

*lopsided orientation of the Code towards labor influences decision makers’ treatment of business,
which also needs a safety net.

*invented paradigm contradicts the reality that business should first succeed before employed labor
can be protected; allows imposition of heavy and bloated union demands; puts up roadblocks and
checkpoints when business resorts to outsourcing or contracting
 LABOR RELATIONS

Four Labor Relations Pillars for this Century

by Cesario A. Azucena Jr.

2. Workplace Democracy and Refocused Unionism

*The need for business survival and growth must be balanced by concern for the workers’
security and protection.
*Innovated unionism model: enterprise level, non-adversarial atmosphere between
employer/management and workers’ organizations, promoted by the government

-allow workers’ associations or similar groupings, apart from registered unions, to

collectively bargain, i.e., associational bargaining
-Workplace democracy should not be equated to unionization. It is workers’ representation
and participation in whatever form it may take: multiply the avenues that enable these
efforts.
-“…many success stories in the implementation of change programs…high premium is
given to the democratic process, honest communication, and open participation of all those
to be affected by change…“ (former Labor Secretary Bienvenido E. Laguesma)
 LABOR RELATIONS
Four Labor Relations Pillars for this Century
by Cesario A. Azucena Jr.

2. Workplace Democracy and Refocused Unionism

*Genuine unionism distributes wealth and supports economic growth by serving as a partner of
industry. Growing businesses need to use part of the profits to increase salary and improve work
conditions
*Unions should be abreast with developments. They should collaborate with fellow unions in other
Asian countries to assure that they do not compete with one another on the basis of cheap labor.

-Social clause requiring observance of labor standards by and among Asian economies, as
articulated during the WTO meeting in 1996.
3. Productivity
*Key to continuing national growth
*A must: indicative of competitive strength and profit – neither wrong nor dirty; means more jobs
that lead to larger consumer base. Enlarging the middle class and increasing their purchasing power.
*Relaxing the law on contracting/subcontracting:
- this creates job opportunities and promotes skills formation;
- job contracting and labor-only contacting have blurred definition;
- breeds corruption;
- specialization – efficient way of delivering services.
 LABOR RELATIONS
Four Labor Relations Pillars for this Century
by Cesario A. Azucena Jr.
3. Productivity
*Strikes or work stoppages are anti-productivity.
Grounds should be re-examined and constricted duration of strikes.
- (1) union busting and (2) refusal to bargain
*the right to strike becomes a form of self-defense in favor of the union
*provision allowing employers to hire replacements should be omitted
*strikers should be allowed to picket entrance and exit points
- other forms of unfair labor practice (ULP) should be non-strikeable
*because they are interpretative and debatable allegations
- problem-solving way and use of arbitration to settle deadlock
- prolonged period of strike is wasteful
*company closure or voluntary/compulsory arbitration for resolution
- put productive assets to active use rather than let them remain idle

4. Labor Education
*Education will help workers realize many things:
workplace democracy, productivity, union rights, etc.
*Be included in high school curriculum
*“…proper training and education…the most important policy…”