Workers in a German-owned factory producing wood-carved religious icons at the Cavite Export Processing Zone, Philippines hold a strike

UPDATE #2: That the strike was triggered by the company's (KACI) unfair labor practice of dismissing two union officers (the president and vice-president), both of whom are very active in forwarding the demands of the workers. Also, the strike was due to the company's violations of labor standards. The claim of Mr. Hans Eibl regarding the reasons for the dismissal of the two union officers (beating and sleeping) were mere allegations and needs to be decided by the National Labor Relations Commission of the Department of Labor and Employment (NLRC-DOLE). The company has filed a case for illegal strike and asks the labor court for preliminary injunction and temporary restraining order last January 26, 2000. Both the union and the WAC were held as respondents in the case filed before the NLRC. There is a scheduled hearing of the case on February 18, 2000.

• Futhermore, according to Mr. Manny Anglo - KACI Union President, it must be noted that prior to the strike, the union have tried to talk with the management regarding their demands and that two separate memoranda of agreement were signed by representatives of the union and management before the National Conciliation and Mediation Board of the Department of Labor and Employment and the Industrial Relations Division of the Philippine Economic Zone Authority, respectively. The dismissal of the two union officers was, in fact, a move by the management of KACI to bust the union and prevent the union from forwarding their demands.

• That the company has often delayed the release of wages to the workers.

• That the workers (specifically the carvers) were only paid of their complete 13th month pay in 1999. They demand for the completion of their 13th month pay for the year 1996, 1997, 1998. Here is the explanation: at the carving section, the workers are paid on a piece-rate basis, meaning they are paid for every item that they carve for one day. The computation of their 13th month pay must be based on their basic earnings per day and not on the standard minimum wage. But there was the undercomputation of the 13th month pay of the carvers. The company based its computation of the 13th month pay on the standard minimum wage and not the basic earnings per day of the carvers.

• That the company is delinquent in remitting the payment for workers' Social Security and PAG-IBIG fund. While the company regularly deducts certain amount from the wages of the workers for the SSS and PAG-IBIG fund, the company last remitted its payment for the SSS during the first quarter of 1998. On the other hand, from 1996 to 1999, there were only five remittances made to the PAG-IBIG Fund. Because of this, the workers cannot avail of their needed credit, health, and other benefits from the two agencies.

• That the company does not provide safety devices to its workers. This has resulted in work-related accidents in the past.

• The workers unused sickness and vacation leave were not being paid by the company. That the tax refund of the workers for the year 1995 and 1996 were not paid by the company.

• Since August of last year, the company has forbidden the workers to have their 15-minute afternoon break period. According to the Philippine Labor Code, the employees are allowed to have 30 minutes of break period with compensation, 15 minutes in the morning and another 15 minutes in the afternoon.

• The claim of Mr. Eibl that the strike has ended and that the court has decided the strike to be illegal is a big LIE. The strike goes on and the union is determined to continue with it until their demands are met by the company. The company is also wrong in accusing that the "current unlawful and illegal strike is under the control and direction of the Workers' Assistance Center." KACI's illegal labor practice and violations of labor standards prompted the union to hold a strike.

As a non-government organization and support center for workers at the Cavite Export Processing Zone and other economic zones in the province of Cavite, the WAC only fulfills its mission of helping the workers by providing legal assistance, labor education, organizing assistance, and trade union consultancy.

The workers have done their part in the production of EIBL's carved religious icons/items, all Mr. Eibl has to do is to implement the basic labor standards and respect the workers' right to unionize and bargain collectively. Any Christian would agree that by treating the workers justly and fairly, Mr. Eibl would get greater chances to be closer to heaven than merely profitting from the misery of his workers.

Sincerely, Zernan Toledo
Workers' Assistance Center, Inc.
Bahay Manggagawa Indian Mango St.,
Manggahan Compound,
Sapa 1,
Rosario 4106 Cavite, PhilippinesTel/fax: +63-46-4384736

PROTEST LETTER. Please continue sending protest letter/s to the following --

The Director
Hans Eibl GmbH
Am Weilebach 1
93149 Nittenau,
Germany
Fax: +49-9436 2402
E-mail: info@eibl-nittenau.de

Dear Sir/Madam:

We are writing to express our concern about the on-going strike of the workers at the Kalayaan Arts & Crafts, Inc. located at the Cavite Export Processing Zone, Philippines.

We have been informed that there were gross violations of workers’ rights in the factory that triggered the strike since January 10, 2000.

The workers’ union demands the following:

1. Immediate reinstatement to work of the union president and vice-president to their respective former positions, without loss of seniority rights, compensation, tenure, and other benefits. Likewise, to pay each of the dismissed officers their back wages, computed from the time of their dismissal up to the time of their actual reinstatement.

2. That the company updates and gives the wages of the workers on time.

3. That the company remit the payment to the Social Security Systems and PAG-IBIG Fund so that the workers can avail of their credit, health and other benefits.

4. That the company pays the workers of their back wages for their 13th month pay.

5. That the company pays the workers of their unused sickness and vacation leaves.

6. That the company provides safety gadgets and devices to its workers.

7. That the company respects the rights of the workers to organize, to be heard of their grievances, and to cease from union busting.

We believe that the workers rightfully deserved their fair share from the fruits of their labor.

As a company that provides the Catholics in Europe religious icons to facilitate the strengthening of their Catholic faith, we know that you can do more by heeding the demands of your workers.

Sincerely,

Cc: His Excellency Joseph Ejercito Estrada
President of the Republic of the Philippines
Malacanang, Manila, Philippines
Fax No.: +63-2 735-8006

Hon. Bienvenido Laguesma
Secretary Department of Labor and Employment
2nd Floor, DOLE Executive Building
San Jose Street, Intramuros, Manila
Philippines
Fax: +63-2 527-3494

Atty. Lilia de Lima
Director General
Philippine Economic Zone Authority
Roxas Boulevard corner San Luis Street
Pasay City, Philippines
Fax: +63-2 891-6380 / +63-2 891-6382
Email: dg@wpi.webquest.com

Hon. Mar Roxas
c/o Acting Secretary Lilia Bautista
Department of Trade and Industry
4th Floor, Industry and Investments Building
Senator Gil Puyat Avenue
Makati City,
Philippines
Fax: +63-2 896-1166

SOLIDARITY LETTER. Letters of solidarity to the struggling workers at Kalayaan Arts & Crafts, Inc. (KACI) can be sent through --

Workers' Assistance Center, Inc.
Bahay Manggagawa
Indian Mango St., Manggahan Compound,
Sapa 1, Rosario 4106
Cavite, Philippines
Fax: +63-46 438-4736 E-mail:
wac1@cvt.csi.com.ph

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