PRESS RELEASE
NATIONAL CONCILIATION AND MEDIATION BOARD
02 FEBRUARY 2016

Davao City – Regional Conciliation and Mediation Branch XI announced today the settlement of preventive mediation case between LBC Davao Employees Union (LDEU) and LBC Express-SEM, Inc. over alleged unfair labor practices.

“Union officers pointed out that the allowance should be availed off on a cash basis and not on reimbursement scheme as clearly embodied on the CBA,” OIC Ma. Theresa M. Francisco said.

On January 15, 2015, the union alleged management’s non-implementation of the CBA.

“The union specifically pointed out the non-implementation of medicine allowance, grievance machinery, and the exclusion of non-union members from CBA benefits,” Francisco said.

The union urged management to implement the medicine allowance on a cash basis.

On February 10, 2015, both parties have reached an agreement as regards the issue on the medicine allowance.

According to agreements, the medicine allowance shall be availed of every September of each year, to be liquidated within three days from the date of release of funds with official receipts.

Delivery hubs shall make a request for funding from the Central Finance. While funds for the medicine allowance for the Sales team shall be taken from their Petty Cash to be approved as cash advance, as practiced.

On the issue of non-implementation of grievance machinery, the union insisted to take part in the administrative investigation conducted by the management.

“They moved for the review of sanctions through grievance machinery before its implementation,” Francisco said.

According to the union, it has been a practice by management to immediately impose sanctions after conducting an investigation.

On December 1, 2015, both parties agreed to observe the CBA provision on grievance procedure for all disciplinary cases based on some provisions of Department Order 147-15, series 2015.

Meantime, the issue on offering different employment benefits to non-union members within the bargaining unit shall be submitted to voluntary arbitration.

“I would like to commend the parties for the peaceful settlement of the controversies,” Francisco said.

OIC-Francisco added that through conciliation-mediation, the relationship of the management and union is maintained, if not improved, at the LBC Express-SEM, Inc.

LDEU is affiliated with Association of Democratic Labor Union-Kilusang Mayo Uno (ADLU-KMU) which represents 122 union members for collective bargaining purposes. It is headed by Mr. Butch Gajudo, union president.

LBC Express-SEM, Inc., engaged in express courier and money remittance local and abroad, is located at CM Recto Ave., Davao City. It has a total workforce of 140 employees more or less, and is represented by Mr. Cesar Atibagos Jr., regional vice president for Mindanao.

END/ Dennis M. Galorio