PRESS RELEASE

“The notice of strike between Lapanday Workers Union (LWU) versus Lapanday Foods Corporation (LFC) has reached a resolution last July 21, 2020”, OIC-Director Aerrine Marie Reyes announced today!

LWU filed a complaint against LFC on the issue of diminution of wages, unsatisfactory quantity of leave credits, and illegal dismissal of 47 union members. This movement has reached its momentum with the union’s manifestation to stage a strike if there is no improved offer. A strike will be crippling for a plantation like LFC that harvests bananas every day. Moreover, with the decreasing export market due to the COVID-19 pandemic, LFC anticipates compounding losses if the strike ensued.

During the scheduled online conciliation conference on July 21, 2020 via zoom, OIC-Director Reyes and Conciliator-Mediator Rhium Truce Salvador tried to draw the parties to an agreement. Back and forth, they continued with mediating the proposal of the parties.

By late afternoon, LWU and LFC finally agreed on the provisions of the Collective Bargaining Agreement (CBA) and ceremonial signing of the said CBA on July 28. The CBA shall stipulate a wage increase, additional leave credits and other provisions agreed at plant-level, with the total estimated monetary benefit amounting to 1,934,012.00 pesos. Moreover, the management and the union agreed to conduct a time-and-motion study to further determine fairer wage rates.

In support with this agreement, the Department of Labor and Employment Region XI, through Regional Director Ofelia B. Domingo, and RCMBXI will be working hand-in-hand in providing livelihood assistance to the union.

“LFC and its management panel expresses their gratitude for the great and patient work of your office, for guiding the parties in the negotiation of CBA with our employees… Indeed the NCMB puts its knowledge and skills in letting parties arrive at a win-win solution to dispute settlement. YOU surely put the ART in pARTnership building very well,” LFC Negotiating Panel.

Lapanday Foods Corporation is primarily engaged in planting and exporting Cavendish Banana. Its principal office is based on Lanang, Davao City. The company employs more than 290 employees (MCO Plant) and is headed by its Chief Executive Officer (CEO), Ms. Rica P. Lorenzo.

Lapanday Workers Union is a legitimate labor organization registered with DOLE XI and representing 267 union-members and LFC employees. It is located at Paligue, Hagonoy Davao del Sur. Gary Bonghanoy