BAGUIO CITY—After tumultuous negotiations, the employees’ union and management of Lepanto Mining Co., located in Mankayan, Benguet, finally met on common ground and are due to sign a collective-bargaining agreement (CBA) today, Nov. 10.
The 25th CBA between the company and the employees’ union contained in a 27-page document are expected to be signed by the parties today, ratifying the meeting of the minds of both parties.
The CBA specifically stipulates the continued harmonious relations between the company and its regular rank-and-file employees as well as to secure the continuous, harmonious, efficient, economical and profitable operations of the mining company.
In mid-2000, the mining company experienced financial difficulties, aggravated by a series of strikes, work stoppage and the “high grading” (pilferage) of gold ore.
The CBA provision also expects to prevent strikes, slow-downs, lockouts, and other employee-instigated actions to disrupt production and be able to obtain the highest level of employee efficiency, eliminate waste and realize maximum quantity and quality of output.
The CBA included economic pertaining to job classification and pay including a P6,000-lump sum given to Lepanto union members employed as of Oct. 15, in lieu of an increase. Effective Nov. 17, an increase of P25 a day will be applied to the employee’s daily basic wage and an additional P25 per day effective Nov. 16, 2012. An acting allowance of P12 per day will be added to an employee who is temporarily assigned to a higher position but with a lower pay rate. Also, P5 per day will be added to the daily rate of an employee who is temporarily assigned to a staff position.
Transfer, termination due to just causes were also spelled out in the agreement, occupation to a higher position for 120 days shall also be confirmed to the higher position. As regards overtime pay, the company’s policy of providing 50 percent of the daily wage will continue to be received by the employees. Night-shift differential will also be continuously received as embodied by the laws.
Benefits including life insurance, retirement and pension plans, and other economic benefits of the employees were also stipulated in the CBA.
The CBA becomes effective on Nov. 17. However, employees holding technical positions, confidential positions and supervisory positions as listed by the company, casual, temporary and probationary employees and members of the Lepanto Security Force, are excluded from the CBA. Once they attain permanent work status, they will be included in the benefis specified in the CBA.
Effective for three years, the officers and members agree that no strikes, walk-outs, sit-downs, stoppage of work, boycotts, secondary boycotts, sympathetic or general strikes, or any acts that would interfere with normal business operations, or picketing of any kind or form, however peaceful, will be undertaken by the union.
Lepanto Mining Co. was the first mining firm to operate in the province. It is undergoing an option period with Goldfields, a South African mining firm which released an initial option money of $10 million to Lepanto, to settle its labor dispute arising from the workers’ unpaid salaries, wages and benefits.
Goldfields also recently turned over another $66 million, part of the purchase price of the 60-percent share of the Far Southeast project of Lepanto, reported to have a good volume of ore deposit.
