House approves bill ensuring workers' claims in case of employer's bankruptcy

The House Committee on Labor and Employment has approved for floor deliberation a measure that assures the wages and other monetary claims of workers in case of bankruptcy of employers even without formal declaration of insolvency.

House Bill 5308, which substituted House Bill 2547 authored by TUCP Party-list Rep. Raymond Democrito C. Mendoza, amends Article 10 of Presidential Decree No. 442, as amended, otherwise known as the Labor Code of the Philippines. It was co-authored by Rep. Karlo Alexei B. Nograles, chairman of the labor and employment panel.

In Committee Report 530, the panel said the bill seeks to protect the rights of the workers to be the first lien in case of bankruptcy of the employer.

"It requires that in the event of bankruptcy of the employer, the workers should be given the first preference as regards their wages and other monetary claims," the committee said.

The bill likewise provides that such unpaid wages and other monetary claims shall be paid in full even without the formal declaration of bankruptcy or insolvency, the committee added.

According to Mendoza, workers are at a disadvantage when employers start non-payment of their wages, benefits and other entitlements in cases of employers' bankruptcy.

This should not be the case because the Philippine Constitution affirms "labor as primary social and economic force" and mandates the State to "protect the rights of workers and promote their welfare," Mendoza stressed.

"Presidential Decree No. 442, as amended, otherwise known as the Labor Code of the Philippines, declares as a State policy to afford protection to labor. One such protection to labor is to satisfy their claims against the employers' business," Mendoza said.

Mendoza said the bill seeks to uphold the provision of the Labor Code.

"Workers should be given first lien in case of bankruptcy to satisfy their money claims against the business. Such money claims should not require formal declaration of bankruptcy or insolvency to save workers and their families from slipping into the quagmire of mere subsistence or poverty," Mendoza said. - congress.gov.ph Media Relations Service-PRIB

House labor committee okays bill repealing Productivity Incentives Act of 1990

The House Committee on Labor and Employment has reported out for plenary deliberation a bill establishing a Productivity Improvement Program, repealing Republic Act 6971 otherwise known as the Productivity Incentives Act of 1990.

Rep. Rufus B. Rodriguez (2nd District, Cagayan de Oro City), one of the authors of consolidated House Bill 5292, said more than ten years into the implementation of the law, only a handful of business enterprises have yet adopted the program due to certain restrictive provisions of the law that make it hard to implement.

"The measure addresses such concerns making a law more responsive to the situations prevailing in labor and employment," Rodriguez said.

Rep. Karlo Alexei B. Nograles (1st District, Davao City), committee chairman, urged his colleagues to support the passage of the bill.

"The measure shall encourage the formation of productivity incentives committees in business enterprises with the end of establishing productivity incentives programs that will provide schemes for measuring productivity, and sharing of productivity bonuses with employees," Nograles said.

Rep. Diosdado Macapagal Arroyo (2nd District, Camarines Sur), another author of the bill, said the government should protect the rights and promote the welfare of all workers as the primary social economic force.

Rep. Emmeline Aglipay Villar (Party-list, DIWA), also a co-author of the bill, said the "adoption of a productivity program will result not only in increased income for both the workers and the establishments; it will likewise make the Filipino workforce more competitive in international trade, thereby contributing to poverty reduction through job generation."

Under the measure, tax incentives to business enterprises that adopt a productivity incentives program for their employees shall be provided by granting a special deduction from the gross income equivalent to 50 percent of the total productivity bonuses given to the employees.

An additional special deduction shall also be provided from gross income equivalent to 50 percent of the total grants for manpower training and special studies given by business enterprises to their rank and file employees.

Priority training programs and services shall also be provided by the Department of Labor and Employment (DOLE) and partner government agencies to businesses adopting productivity incentives programs.

Productivity Incentives Program, duly ratified by the employees, shall contain, among others, provisions for measuring productivity and efficiency improvements, sharing of productivity bonuses, coverage, percentage sharing, forms of bonus payment, and manner and frequency of distribution, in accordance with the terms and conditions that may be agreed upon by both labor and management.

Other co-authors of the bill are Reps. Imelda Calixto-Rubiano (Lone District, Pasay City), Gloria Macapagal-Arroyo (2nd District, Pampanga), Maximo Rodriguez, Jr. (Party List, ABAMIN), Francis Gerald Abaya (1st District, Cavite), Christopher Co (Party List, AKO BICOL), Rodel Batocabe (Party List, AKO BICOL), Emil Ong (2nd District, Northern Samar), Angelina DL. Tan (4th District, Quezon), Leah Paquiz (Party List, ANG NARS), Maria Victoria Sy-Alvarado (1st District, Bulacan), Roy Señeres, Sr. (Party List, OFW), Emmi De Jesus (Party List, GABRIELA), Eric Olivarez (1st District, Parañaque City), Raymond Democrito Mendoza (Party List, TUCP), and Gustavo Tambunting (2nd District, Parañaque City).

- By: Jazmin S. Camero, congress.gov.ph Media Relations Service-PRIB Media Relations Service, Public Relations and Information Bureau

Collapsed high-rise floor kills 2

Accident site. This is an artist’s drawing of the 63-story Suites Presidential Tower on 5th Avenue and 28th Street in the Fort Bonifacio Global City where two workers were killed when one of its floors collapsed.

ONE floor of a 63-story residential tower under construction in the upscale Bonifacio Global City collapsed on Wednesday, killing two construction workers and injuring 11 others.

Nine of those injured were taken to the St. Luke’s Medical Center while the other two were brought to the Ospital ng Makati.

Most of the victims suffered arm, shoulder and back injuries.

It was not immediately clear what caused the floor at The Suites Residential Tower to collapse around 8:15 am, but there were claims the incident happened while cement was being poured into the floor.

“I had just left the building when it collapsed,” construction worker Edwin Suarez said.

Taguig City police chief Arthur Felix Asis said his men were now investigating the construction on 5th Avenue and 28th Street.

Based on its project profile, the single-tower residential building, owned by Ayala Land Premier, will consist of 284 residential suites and limited- edition Sky Collections rendered in two- to four-bedroom configurations.

The project will also feature Triple-A-grade office building and is intended to be home to top local and multinational companies. The Suites is right beside the new Hotel Shangri-La, Mind Museum, and the Unified Philippine Stock Exchange.

In a statement, Fort Bonifacio Development Corp. said it will provide assistance to the victims.

“The Bureau of Fire Protection of Taguig City is currently undertaking search and rescue operations,” the company said.

“We are still awaiting the official report on the number of casualties and currently investigating the cause of the incident. Rest assured that, together with MDC and Fastem, we will assist the families of the workers.”

The Department of Labor and Employment assured the families of the two workers who died and the others who were hurt of financial assistance and to hold the people accountable for the incident.

But the labor group Trade Union Congress of the Philippines-Nagkaisa blamed the Labor Department and local officials in the city for the incident. - By Joel E. ZurbanoWith Vito Barcelo

Taguig building collapses, 2 dead

CRUSHED Rescuers retrieve one of the bodies of two workers who died. Eleven workers were also injured in the incident. PHOTO BY RENE H. DILAN

The Trade Union Congress of the Philippines-Nagkaisa (TUCP-Nagkaisa) has blamed the Department of Labour and Employment (DOLE) for the collapse of a building at the Bonifacio Global City (BGC) in Taguig City (Metro Manila) that killed two construction workers and injured 11 others yesterday.

The Bureau of Fire Protection identified the dead as Ruben Racraquiam and Renato dela Cruz.
They were crushed by debris from the collapsed portion of The Suite Hotel, located on 5th Avenue and 28th Street. The hotel is under construction.

Taken to the St Luke’s Hospital Global City were Sandy Vargas, Jaymar Carberta, Regan Labmutin, Larry Magguray, Wendil Behim, Aldrin Gahuman, Roberto Lorca, Darwin Avara, Bernard Tugade, Jonathan Agoso and Delinger Abara.

DOLE representatives and building inspectors from the Taguig city government are conducting separate investigations, to determine liability of the contractors.

But the TUCP said the accident could have been prevented if inspections were conducted regularly before and after construction permits were issued.

“It was obvious that authorities overseeing building construction were napping,” Alan Tanjusay, spokesperson for TUCP, said.

He added that government officials must ensure that building owners and contractors are aware of rules and protocols in the construction of high-rise buildings. Tanjusay said building owners and contractors must also comply with the DOLE Rule 1414 on Scaffoldings of the 1989 Occupational Health and Safety Standards, which put the responsibility of the erection, installation and dismantling of scaffolds to a highly trained competent person called scaffold erector. - By Fernan Marasigan/Manila Times