National Conciliation and Mediation Board

Regional Branch No. V

September 27, 2018


Legazpi City- Director Reynaldo S. Foncardas of the Regional Conciliation and Mediation Board V (RCMB-V) was invited on Wednesday, September 26, 2018 at Hotel St. Ellis to grace the conclusion of the Collective Bargaining Agreement (CBA) between  Philippine Geothermal Production Company (PGPC) and Philippine Geothermal Inc. Employees’ Union (PGIEU).


During his opening remarks at the signing ceremony, Director Foncardas said that signing of CBA is very important in terms of industrial relationship between management and union because it determines the terms and condition of employment as well as cause of party mechanism to resolve problems arising from interpretation and implementation of CBA as well as the company rules and regulation. In reality, he said that the moment one asks the intervention of the Department of Labor and Employment (DOLE) the management often sees it as meddling, that’s the implication.

Director Foncardas further said that, “if union asks for assistance from the National Conciliation and Mediation Board, particularly Region V, I would explain to them that when the union files a Notice of Strike it doesn’t mean that a strike will already happen”. On the other hand, preventive mediation is only an avenue to discuss other problems. The very purpose of which is for communication. Director Foncardas also added that the trend today is that the moment you sign salary increases and benefits, it has an effect on the part of the company because these will be charged to their profits. So it is imperative on the part of the workers that there must be a corresponding productivity so that the inflation rate will not go up.


“You must work hand in hand, both the management and union, increase productivity and improve relationship”, Director gave emphasis on this. Meaning to say, the management and union for purposes of sustaining the relationship at the same time there will be a guarantee of security of tenure. There will only be a security of tenure if the business is viable. And the moment you sign a CBA it only shows that there is a good relationship between the management and the union.”


After 10 months of in-depth negotiations and discussions, PGPC and PGIEU signed their CBA. The agreement takes effect on September 26, 2018.


“Union and Management has the same objective, that is, to make sure that the company will prosper. And the existence of the company gives security of tenure to both management and union,” Nap Saporsantos, PGPC President, said during the ceremonial signing of the CBA. Louie Magsino, the Union president said that PGIEU will always support the management.


At the end of the ceremony, one of the members of the management panel expresses its congratulations and said, “Today is a celebratory occasion and event since this is another milestone of signing of CBA after 10 months”. It is very important because PGPC and the management believe that Human Resource people are important for the continued success of the company. – contributed by Ms. Jennifer Mae A. Novela



Reviewed by:                                                                APPROVED FOR RELEASE


EFLEDA A. HOURANI                                              REYNALDO S. FONCARDAS

Senior LEO/Cashier-designate                                  Regional Branch Director