Writers and Article Contributors - The Philippine Industrial Relations

ANTO COMETA

The Deterioration of the Labor Movement and Expansion of Cooperatives and Its Impact on Philippine Industrial Relations

ANTO COMETA

Economic restructuring and policies, even technological change, brought about by trade liberalization and globalization has greatly impinged the current Philippine Industrial Relations Systems. The decline in both numbers and membership of unions in contrast to the mounting presence of cooperatives and its members has brought several implications in the representation of the formal labor sector- creation of national policies concerning the formal workforce and effectiveness of collective bargaining in the country.

The apparent decline in the Philippine labor movement could be attributed to the structural causes as well as institutional barriers which tend to regulate union organizing and expansion. [1] Foreign investments and its leveraging of resources and transfer of operations across borders particularly to third world countries has instigated not only an economic move but also social as well as political. It has affected the existing national set up of industrial relations system of the country which is executed through the reduction of regular workers and increase in contractual or casual employees, and the prevention of unionism.

Cooperatives has somehow benefited from the effects of trade liberalization and globalization. Companies lean towards the acceptance of cooperatives as compared to unions, which can be perceived in the approach used by numerous companies across industries – the “union avoidance approach”. Companies’ either directly undermine union organizing efforts or restructure the company and relocate the unionized business into a non-unionized setting.[2] Cooperatives are deemed by companies as somehow less problematic and muddled and to a certain extent advantageous as they have become providers of contractual or casual workers for the company they are affiliated or connected to. This has paved the way to the increase in cooperatives over trade unions.

As a major consequence of this growing trend, the underpinning in which the entire industrial relations system is situated has also been compromised - and that is the relationship between the tripartite actors. The core of the Philippine Labor Code which governs the actors is centered within the aspect of regular employment purposely for labor standards and protection.[3] The deteriorating number of non-regular employees due to labor flexibility or flexible labor arrangements brought about by globalization implies minimal influence of the labor sector in public policy and governance. Without ample and proper representation from the workers, its influence over national policies and collective bargaining in terms of employment relationship is at stake. The effectiveness of the national industrial relations system, its control over the employers and protection of the workers is inadequate if not desecrated.

If we are to efficiently address issues concerning the labor sector and its impact on the industrial relations system, major actors in the tripartite system should be properly represented. Programs and policies to be developed and implemented in order to achieve a well-balanced and affable industrial relations in the country should be done with proper consultation from the key actors which runs the national tripartite mechanism.

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[1] Bitonio Jr, B. Unions on the Brink: Issues, Challenges and Choices Facing the Labor Movement in the 21^st Century, 128

[2] Ofreneo, R. Globalization and Unionism: The SMU Challenge, 7

[3] Macaraya, B. The Labor Code and the Unprotected Workers, 230