By Paulo Loreto Lim
With the recent announcement of layoffs by Coca-Cola FEMSA Philippines, attributed to the implementation of the Tax Reform for Acceleration and Inclusion (TRAIN) Law, after the company cited “recent developments within the beverage industry,” labor unions have spoken out, calling the matter a “blatant disregard” for workers’ rights.
Unions within the corporation, including the Federation and Cooperation of Cola, Beverage, and Allied Industry Unions (FCCU-SENTRO/IUF), have since banded together to form the All Coke Unions.
In a release put out by the group, they dismissed claims the TRAIN Law played a role in the decision to layoff over 600 employees, which include around 51 workers at the Bacolod City plant.
“[Coca-Cola] management uses the implementation of the [TRAIN Law] as a façade for their union busting, despite having no evidence yet of [a] decline in sales due to the excise tax on sugary and sweet beverages,” they said.
The group claims the move is purely about union busting, noting, “The workers and their families are not stupid and gullible to accept such elementary reasoning.”
They also pointed out, FCCU-SENTRO/IUF and Coca-Cola management have an existing contract wherein the two parties must conduct negotiations regarding labor issues, adding no such talks took place ahead of the decision to restructure.
“We are angered that [Coca-Cola] management [cast] us out of the decision-making regarding the retrenchment of our co-workers,” the group stated.
They went on to demand an agreement to ensure there is no restructuring without negotiation with unions.
Earlier this month, General Alliance of Workers Association (GAWA) Secretary-General Wennie Sancho claimed, with the TRAIN Law contributing to higher fuel prices, as well as increased operating expenses, companies may not be able to sustain their current expenses, which may require them to downsize./PLL, WDJ