ENERGIZER PHILIPPINES INC. LMC

Cebu Battery Plant

Mandaue City, Cebu

           

            Over the period of1980’s and 1990’s,  Energizer Phils., Inc was characterized by the a prolonged phase of strained   labor-management relations. A labor strike was waged in 1988,  labor disputes were protracted over long periods, over-all plant efficiencies dropped, policies and programs were met with resistance,  successive petitions were filed in 1999 to dislodge  some Management staff   over concerns of personal credibility and  integrity.  But after a shift in  management style into a proactive leadership, employee relations   turned around.  Team-based culture focused on  efforts at  building a One Team Concept across the entire organization.  Open, consistent and transparent  communications matrix on plans and programs and across all levels was adapted.  Labor-management relations, anchored on mutual trust and openness was harnessed, with commitment from Union leadership  to support company programs.     T

 

The new  working environment  paves for the creation of the Energizer LMC with seven (7) action committees under it, namely:    Employee Relations Committee,  Grievance Committee,  Safety Committee, Lean Support Committee, Committee on Decorum and Investigation, Assessment Team, and Faith Enrichment Committee.  Each action committee is well-structured and with specific functions. Communications matrix which consists of  monthly and quarterly meetings involving different groups, including so-called “daily accountability” at 3 tiers, utilizing visual aids right at the shopfloor. Projects are initiated bottom up especially through the kaizen program,  andAmpingan Ta”/We Care Program.   Performance indicators are well defined and measurable.     

 

The practice of corporate governance is  manifested by the fact that “above industry compensation and benefit package”  are  enjoyed by all colleagues across the organization.  It also endeavored to contribute to community  upliftment through various health and safety initiatives and, in partnership with Gawad Kalinga, has given generous donations of P6.8 Million  to build 100 homes to homeless families nd P2 million  for Bantay Kalikasan. 

 

            With genuine and full collaboration of labor and management  on policy and  program implementation, several milestones  in corporate achievements were realized  and a zero grievance  environment  was made possible since year 2000.

 

 

 

MABUHAY VINYL CORPORATION LMC

Iligan City

 

            The early 70s were glorious years  for MVC  being the first, largest and only chlor-alkali and poly-vinyl industry in the country. But the following decade of galloping  inflation and financial losses  that ensued  thereafter was too much for the workers and  their families  to endure.  Management could  no longer afford  to be as generous as before.  The fever of frequent absenteeism  and low productivity  has engulfed  the workers and  has become  their passive  weapon against  management’s perceived stingy policy.  CBA negotiations  were difficult  and were concluded  only after long period of  mass actions. It was not until the concept of LMC and its proactive  programs were introduced  and accepted that better relationship between labor and management has developed.

 

            By mid 90’s,  globalization  had begun  to have a profound impact on the company.   There was no way out but to reshape  ways of doing things, systems and  processes.  The union and management  realized the need  for a concerted effort  to  meet the challenges  of the economic downturn and intense competition, and so,  decided to revive  the LMC. The LMC was called Industrial Peace Council  (IPC).

 

           

The IPC focused on activities that give value to customers.   The Council drew up the IPC Vision, Mission and Credo to inspire all members  to take action.    The level of trust,  transparency grew through the meetings in the IPC.  Pre-CBA talks enabled the union and management to conclude its 2001-2006 and 2006-2011 CBAs after only 6 officials meetings without the intervention of a third party.  Other measureable gains from LMC are the number of small improvements that make jobs easier,  improved attendance,  and the ”good business forecast” for the company.

 

For the last three years,  the  IPC’s sub-committees were involved in values enhancement, productivity and continual improvement projects,  employee volunteerism and employee empowerment activities.  Each activity though, is a reflection  of each members’ commitment  to uphold  the  provision in the IPC Credo and each project mirrors  the individual”s  commitment  to continuously work for peace  and harmony  in the organization ensuring business growth and inspiring  the stakeholders.

 

The LMC was first introduced in 1987,  by Department of Trade and Industry-Center for Labor Relations Assistance (DTI-CLARA), and  the University of the Philippines Institute of Industrial Relations (UP-IIR). It was established on March 17, 1987.  In 1990,  MVC’s direct-buyout  with the Asset Privatization Trust was implemented. A major portion of the company’s indebtedness was liquidated, thereby ensuring the soundness of its financial position. The globalization of economic activity has spurred a number of interrelated trends.  At about this time,  the MVWU-FFW negotiated its first CBA with management, but not without a strike for 27 days, which necessitated DOLE to assume jurisdiction.  Due to the outcome of the negotiations and conflicts,  LMC meetings were not sustained. 

 

The supervisors also formed their own union. The management has another round of negotiations with the MVWU-FFW which “once more went into a snag”.   By mid 90’s globalization had begun to have a profound impact on the company.  There was no way out but to reshape ways of doing things, systems and processes.  The supervisory union and management realized the need for  a concerted effort to meet the challenges of the economic downturn and  the competition brought by globalization, and so revived the  LMC.  MVWU-FFW boycotted the revived LMC.   In 1995,  MVEU-SPFL took over the rank and file union,  and this time, they responded positively to management’s invitation to join the LMC meetings.     It was in 1998 when it was called Industrial Peace Council (IPC), after a strategic planning. 

 

 

DEL MONTE PHILS. PLANTATION LMC
 Bukidnon

 

            The DMPI  LMC started as a compliance to the  provision for maintenance of industrial peace, embodied  in the CBA in May 1983, and signed between ALU Local 302 and DMPI management,  the  Philippine Packing Corp. It served its purpose well as it promptly  and properly addressed  issues raised by the Union.    Nevertheless,  prompted  by the changing times  and challenged  by the impacts of  globalization, labor and management saw the need  to restructure and revitalize  the Plantation LMC.     In 2001,  NCMB X was  invited to give a reorientation on LMC and  inspired by NCMB,  labor and management re-launched its  LMC in May 2001 with the opening of  its Plantation wide Sportsfest.

           

            Actively  involved in the LMC are the location manager, middle management,  Union Camp Board member and shop stewards,  in each of the 7 Camp LMCs (Camp Philips,  Camp JMCrawford, Camp Fabia, Camp Luis F. Lorenzo, Camp 14,  East LMC,  West LMC, North LMC, Far East LMC).  These  Camp LMCs are under the umbrella of top level LMC.   The higher level of LMC is composed of the Plantation  Top Management, the  ALU-Local 302 Officers.  

 

            The Camp LMCs regularly meet  monthly to cover various concerns such as,  productivity and quality improvement,  family welfare, responsible parenthood, value formation, livelihood program, income generating projects, improvement of working condition, environmental  protection, health and sanitation, sports and recreation.   Because of an effective communication systems in place and cooperative partnership,  the  Camp LMCs  are continually  benefited in various  forms and company productivity has immensely improved.

 

            The LMCs got involved in Environment  Protection Program,  Implementation of Solid Waste management program,  fire prevention,  anti-rabies drive;   additional school bus service at Sumilao,  expanded motorcycle shed, installation of  picnic tables, food stand,  installation of proper road and traffic signs,  Family Life and Development Programs integrating Value Formation,  seminars on  parenting,  family budgeting.    

 

 

PHILIPPINE ASSOCIATED SMELTING AND REFINING CORPORATION LMC

Isabel, Leyte

 

            Called Labor-Management Cooperation Council, a total of 34 meetings were held in the past three years.  Personnel Administration/Human Resources management and Union concerns top the list of concerns for the past 3 years. These meetings were guided  by  the “Policy on the Conduct of LMCC Meeting”, thus,  concerns and issues discussed  therein are well-documented.  Agreements are through resolutions which are well  disseminated using the CopperFlash Bulletin newsletter.  

 

The LMCC became the company support group in various company-sponsored activities and programs such as sport and health activities, community relations.  The SFP crushing section was improved,  Union officers were deputized  as safety inspectors.  In 2006,  a new union office building and new motorcycle parking area were built.    As a result of cooperative endeavor, the LMCC has been the venue  for  the negotiations  of the non-economic provisions of the 2007-2012  CBA.  It even played an important role in resolving labor disputes in two other companies in Leyte,  and in creation of  LMCs therein.  After being conferred the Kapatiran sa Industriya ( KAPATID) Award 2005  Special Citation Outstanding Achievement on Industrial Peace and Harmony  by  the Employers Confederation of the Philippines  ( ECOP) the company has since become the forerunner and trailblazer for LMCs in the region,  especially to member LMCs of the Region Eight LMC Practitioners League.

 

HOLCIM PHILIPPINES LUGAIT PLANT  LMC

Lugait, Misamis Oriental

 

            Called  Pulong-pulong,  the LMC of this company and its rank and file union affiliated with the AWATU  was created in 1994.  The operations committee (OPCOM), composed of the Department Heads of all Functions and the Plant Manager, together with all elected union officials make up the steering committee.  The objectives of the “pulong-pulong” are to  foster good relationship among employees through good communications, peaceful and early settlement of conflicts; supplement the grievance process when necessary; formulate and implement projects and benefits outside of CBA scope,  and through committees, and facilitate programs from the shopfloor”.

 

            Community projects such as reforestation were undertaken hand-in-hand with the community. Union members themselves volunteered to implement the projects.   Savings and gains derived from meeting production targets are shared with the employees.    Projects are usually approved by the plant manager but  for  those requiring much more expenditure,  the Makati Office had to be consulted such as the conversion of the old warehouse into basketball/badminton courts. 

 

 

HOLCIM PHILIPPINES LA UNION PLANT LMC

Bacnotan, La Union

 

            As part of  its first CBA in 1957, the LMC was called “Work Council” and functioned  as an advisory mechanism for employees’ welfare and the plant’s operations.  It employed a suggestion system on work improvements  In 1961,  the CBA was renewed and the work  council was reorganized.              

The operations committee (OPCOM) and all union officials serve as steering committee and the support structure is being “overseen  by the HRD and middle management.   Other union members are tapped to compose the support group—to provide assistance and contribute to the meaningful planning and implementation of LMC activities.  The agenda items for monthly meetings are  prepared a day before the meeting. The NCMB Regional Branch I is furnished with minutes of meeting.     Project chairpersons are appointed to oversee the preparation and implementation of  each activity, which are aligned to the overall corporate plans on productivity improvement, safety,  and production goals.    

 

The company is the benchmark in salary level in the industry, and the union members are quite satisfied with the group incentives resulting from  savings.   The community around the plant is likewise benefited  through medical assistance,  livelihood,   mason skills development, business education, among others.

 

 

COCA COLA BOTTLERS PHILS ILOCOS PLANT LMC

San Nicolas, Ilocos Norte

 

In 1988  the “monthlies”  participated  in the LMC seminar by NCMB Region I; jointly with the Ilocos Union Sales Force Union, but it was only in  1999 that  their LMC was formed.  Representing management are the following: HR Manager or HR Specialist; Territory Sales Manager  or District Sales Supervisor, Manufacturing Mgr or QA Head,   Logistics  Mgr or Plant Warehouse Operation Supervisor,  Plant Financial Manager or Territory Finance  Manager. Five (5) Union officers of the monthlies sit in their own LMC, which is separate and distinct from the LMCs of the other group of employees.  For company-wide activities, such as sportsfest which involves everybody, all 3 LMCs meet together.  Trust among the members of the organization are thus built which in turn contributed to the enthusiastic participation in all efforts at Key Result Areas of the company.

 

 LMC issues and concerns with national impact are referred to CCPBI Central Office.  The LMC meets monthly, and in setting agenda, the members follow the Plan-Do-Check-Act framework.   

 

Among the tangible results of cooperative and harmonious labor-relations are in the area of Employee benefits  such as Health and Wellness Program,   Multi-purpose cooperative,  livelihood program,   perfect attendance incentive,  and in  Community Relations such as tree  planting , medical mission, family day, drug prevention and book donation. 

 

 

 

 

CENTRAL AZUCARERA DON PEDRO IS 2007 HALL OF FAMER

                                                                                                        

            The  DOLE bestowed on the  Labor-Management Committee of the Central Azucarera Don Pedro   the  second  Hall of Fame  award during the awarding  ceremony of the 2007 Search for Outstanding LMC for Industrial Peace, last November 29, 2007,  at the Punta Villa Resort, Iloilo City.      Accepting the award was the CADP Inc.  president Ramon A. Picornell, Jr.,  Batangas Labor Union  president  Rupert Bragado, and other management and labor representatives.  The awarding  ceremony coincided with the 6th National Convention on Labor-Management Cooperation,  jointly sponsored by the Philippine League of LMC Practitioners Inc. and the National Conciliation and Mediation Board.    The  award was given by NCMB Executive Director Reynaldo R. Ubaldo,  and the PHILAMCOP  officers.  (see photo)

 

            The Hall of Fame award  is given to companies with LMCs which won  for  3 consecutive  times  in the DOLE Search for Outstanding LMC for Industrial Peace.  The  Central Azucarera Don Pedro  was among the  Outstanding LMCs in 2001, 2003 and 2005.   The Search,  initiated by  the NCMB in 1993,  aims to recognize companies, both organized and unorganized, with  LMC mechanisms that have ‘greatly improved labor and management relations of the company for the mutual benefit of all stakeholders’. 

 

            CADP HR Manager Jimmy  Umandal said that the Labor-Management Committee (LMC) of CADP, Inc.,  a pioneer sugar miller in the Philippines established in 1912; now the country’s  topnotch  manufacturer of raw  and  refined sugar,   started in 1983,  “as one of the company’s initial measures in reaching out  for the support  of its employees  in the implementation  of various projects  needed by the company  to compete with local and foreign sugar products. 

 

            “At first, the union did not welcome the LMC.  Then   teambuilding  activities from 1983 onwards,   were carried out to surface grievances and to heal workplace relations.  Relations between labor and management were chaotic in the first decades. Management was autocratic, and dealt only with  the union president or through lawyers.  Twice in 1959 and 1971,  there were violent  strikes.”

 

            The  LMC of CADP was outstanding in its organization,  strategic partnership and business  results, the  three main criteria  for the Search.  There is a Central Committee composed of top management and top union officers. The committee  meets monthly to discuss  concerns related to family welfare  health and safety, job evaluation, among others.  It is  unique for having a Code of Industrial Harmony to “demonstrate their commitment to the principle of LMC”. The company  adopted a comprehensive technical and skills development  program, as well as planning workshops, worker advocacy projects, Employee Volunteerism program, among others.  The  LMC  is key to the company’s record of lower grievances, faster resolution  of grievances, speedy collective bargaining negotiations, no notices of strikes and lockouts,  and no actual strikes. For its 2001-2006 CBA, which they renamed into Agreement on Collective Concern,    negotiations were completed in  5 meetings, spread out in less than a month.  Through its LMC,  a 6-hectare property in Batangas Bilaran, Nasugbu, Batangas  was developed into a low cost subdivision for CADP’s workers.