ANTO COMETA
Strengthening the worker’s right to self-organization has been one of the major dilemmas that the Philippine Industrial Relations System is confronted with. The lapsing of the labor bill which is a consolidation of Senate Bill No. 2466 and House Bill No. 1351 into Republic Act. No. 9481 poses several implications that could change the structure of the Philippine Industrial Relations scene. Major apprehensions on both end of the business and labor sector has surfaced due to the enactment of the aforementioned labor law.
The labor movement is confronted with a lot of problems branching out from the effects of economic restructuring, market-driven policies, technological change, degree of government intervention among others. The perceived deterioration of the country’s labor movement is mainly due to the structural causes intensified by the unrelenting trends in the labor market which tend to limit the base of union organizing.[1] The new labor law which lapsed last 25th of May 2007 enacted as Republic Act. No. 9481 will further advance the labor movement’s membership as well as extend its representation in the legislation of national policies concerning worker’s welfare and rights.
Malacanang has allowed the bill to lapse into law due to the surefire circumstance that it could perturb the current labor relations as well as the industrial peace that the country is currently experiencing.[2] The evident reason was that endorsement of the labor bill could instigate none support from the business sector, and if vetoed, reprisal from the workers league. Together with the amendments that include requirements for registration for union legitimacy, cessation of union registration, chartering and establishment of regional chapters, intermingling of rank-and-file union and supervisors’ union operating within the same firm in the same federation or national union, representation issue in organized establishments and petitions in unorganized establishments, the new labor law could aid in addressing the challenges that the Philippine labor movement is facing.
With the lapsing into law of Republic Act. No. 9481, the employers bloc were somehow taken aback since there were provisions in the new labor law that regulates (or limits) their capacity to control the emergence and expansion of labor unions as well as the underlying implications that goes with it. Concerns such as how will the expanded rights of workers to self-organization impact on investors’ confidence and industrial peace and stability?, how should businesses respond to this new law?, what are the implications and how could this be mitigated?, what are the next steps towards implementing the new law?, and how will the implementing rules be formulated?,[3] reveal the augmentation of the labor sectors’ influence over labor and economic policies which deemed as a probable risk and to a certain extent burden to the capitalist paradigm. On the labor sectors’ end, although it may be perceived as advantageous in one way or another, reservations on increased inter union conflict has emerged. The amendments outlined could lead to increased discord on ideologies and approaches since membership and representation became more lenient. No doubt that the current conflict between unions has been one of the factors aside from those influenced or brought about by the external and internal features of the system has weakened the entire organization.
It is held that the new labor law may possibly impinge the rule enforcement on union finances, substandard collective bargaining acts, and illegal exaction of fees from employers, among others. Moreover, the provision that managerial and supervisory employees may join, assist or form separate collective bargaining units as well as legitimate labor organizations of their own could instigate an imbalance in the establishment since managers and supervisors are the frontline representatives of the management and are the significant to running it effectively. The new law permits the rank and file employees and supervisors unions operating within the same establishment to join the same federation or national union. By allowing the supervisors and rank-and-file unions to share common cause could affect business operations and the effectiveness of its management.[4] These are the most pressing concerns that need to be anticipated as it may cause instability not only to the firm they are connected to but also to the system itself.
Whatever the concerns and issues related to industrial relations which have always been at the forefront of the country’s political, social and financial economy whether blatantly ignored or addressed have greatly shaped the current country’s industrial relations landscape over time. Moreover, the apprehensions of parties involved could not prevent the system from adapting or transforming itself as they themselves were responsible for its stagnancy or modification.
The changing landscape in the Philippine Industrial Relations is inexorable as it needs to facilitate and address the concerns, issues and shifting structure of the relationships between the actors in the country’s industrial relations system. Moreover, with the current political and economic set up of the country, it is undeniable that the labor sector in the
From a theoretical point of view, reconciliation of divergent views is very much feasible if we were to apply the framework of ideology of tripartism. The Dunlopian model of an industrial realations system which implies unity, interdependence, and an internal balance which is likely to be restored if the system is displaced [6], implies a hope of structural modification provided that the actors are agreeable and the dispute settlement mechanism and strategies are acceptable by the parties. The enactment of the new labor law could be deemed as a significant step in order to establish a new or modified paradigm towards the generation of a more flexible labor market, collective bargaining and policy construction that is affable for the actors or parties concerned in the industrial relations systems of the country.
[1] Bitonio Jr, B. Unions on the Brink: Issues, Challenges and Choices Facing the Labor Movement in the 21st Century,
[2] Bengco, R. “On Brion’s advice, Arroyo lets labor bill lapse into law”, http://www.malaya.com.ph, posted May 29, 2007
[3] Employers Confederation of the Philippines, Republic Act 9481: Boon or Bane for Employers, http://www.ecop.org.ph, June 06, 2007
[4] Sun Star, “Arroyo allows pro-union bill to lapse into law”, http://www.sunstar.com.ph, posted June 06, 2007
[5] Macaraya, B. and Ofreneo, R. Structural Adjustments and Industrial Relations: The Philippine Experience,
[6] Dunlop, J. 1958, An Industrial Relations System - Industrial Relations System, Harvard Business School, Boston
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