Monday, September 26, 2011

News Update Union fights Philippine Airlines outsourcing plan

MANILA, Philippines (AP) — An employees' union says it will fight a plan by Philippine Airlines to outsource thousands of jobs in catering, ground handling and telephone reservations.
Union leader Gerry Rivera said Sunday only a small number of workers have accepted separation packages offered by the airline.
PAL President Jaime Bautista announced last month that about 2,600 employees will be laid off by Sept. 30 but could seek employment with companies contracted to take over the airline services.
PAL says it will proceed with the outsourcing plan and will temporarily reduce domestic and international flights during the transition.
The layoffs will cut PAL's staff to 5,000 and are part of a survival plan launched in 2010 after it lost $312 million in the previous two years.