24-Sep-2010 8:59 AM

Philippine Airlines offers flight attendants new PHP105m deal

Philippine Airlines announced (23-Sep-2010) the carrier and the Flight Attendants’ and Stewards’ Association of the Philippines (FASAP) on 22-Sep-2010 “agreed in principle” to expand maternity benefits but remained “deadlocked” on the issue of compensation and changes in the retirement age of crew. On top of PAL’s original USD1.8 million (PHP80 million) offer last week, the carrier offered the union a USD565,995 (PHP25 million) increase in their rice allowance for the period 2007 to 2010. This brings to USD2.4 million (PHP105 million) the total economic package offered to FASAP. However, the carrier stressed that the expanded benefits and allowances are part of a package. Hence, their approval are contingent on the signing by PAL and FASAP of a final agreement that puts to rest all economic, gender and retirement issues under discussion. "Sticky" points remaining in negotiations include the compensation package and changes in the retirement age of crew members. PAL stated it is willing to change the retirement age to 45 from 40 for both male and female crew members, on the condition that FASAP agrees to a mixed crew complement – a work rule arrangement allowing younger cabin crew to fly international with the more senior attendants, and vice-versa, the senior crew taking domestic flight assignments. FASAP responded stating PAL is “muddling the issues” and the request for “younger cabin crew to fly international [routes] is another issue” (Manila Times, 24-Sep-2010). [more]

Want More News Like This?

CAPA Membership gives you access to all news and analysis on the site, along with access to many areas of our comprehensive databases and toolsets.
Find Out More