OPASCOR unions’ disaffiliation surprises ALU

CEBU, Philippines — The decision of both the supervisory and rank-and-file unions of the Oriental Port and Allied Services Corporation (OPASCOR) to disaffiliate from the Associated Labor Unions (ALU) has surprised the officials of the country’s biggest labor federation.

Lawyer Zeus Mabanag, regional vice president of the ALU–Central Visayas, said the federation respects the move of the OPASCOR Supervisory Union headed by Vivencio Ybañez Jr. and the rank-and-file Employees Union represented by Michelle May D. Tamondong, but stressed that the decision should have been made with the full participation of the general membership.

Noting that the president of the rank-and-file union did not sign the alleged Board Resolution of Disaffiliation, Mabanag said they will verify whether the general membership of both local unions was consulted and had approved the disaffiliation.

“As to their complaint of dissatisfaction in our services, I am completely surprised because the members of both the supervisory and the rank-and-file local unions in OPASCOR are being given full support by the federation whenever they ask for assistance. Recently, ALU provided both the supervisory and the rank-and-file local unions technical assistance during the renewal of their CBAs. We were always there when they have concerns,” Mabanag said.

ALU formed OPASCOR as a workers’ enterprise 30 years ago, after the Cebu Port Authority (CPA) granted it the exclusive cargo-handling concession at the Cebu International Port. The federation had previously fought to ensure renewal of OPASCOR’s contract with CPA when an earlier administration wanted it removed from the port.

According to Mabanag, the current unrest within the unions is allegedly being stirred by management to serve personal interests, even as OPASCOR faces serious business reverses, losing about 50 percent of its operations to the newly opened Cargo Handling Services in Talisay.

“Taking advantage of the situation, the management allegedly seeks to dilute stock ownership of OPASCOR by the union members with the end in view of gaining big profit to the disadvantage of the workers, should OPASCOR close down operation and liquidate its assets,” Mabanag said.

Aside from industrial relations services, ALU-CVR has reportedly assisted union members in CBA drafting and administration, labor-management conferences, grievance hearings, and daily concerns. It has also provided free medical and dental services to members and their dependents.

Mabanag added that ALU-CVR officers and lawyers have attended to personal matters of members beyond work-related issues.

“And yes, it is true that both local unions are among those that contribute the highest dues every month. But let it be clear that ALU-CVR never demanded such dues—they were voluntarily given by the local unions through their former officers,” he clarified.

On ALU-CVR’s decision not to sign the latest CBA, Mabanag said this was “a matter of principle” meant to protect members’ interests. He explained that during negotiations, ALU discovered that union officers had agreed with management to reduce existing benefits under the company’s proposed Cost Minimization Program.

This was later confirmed by APSOTEU Board Resolution No. 001-6-25, Series of 2025, which ratified a 20 to 35 percent cost reduction in CBA benefits.

ALU-CVR, through Industrial Relations Officer Rosemie Baloran Escobal, reminded union officers that such reductions required prior consent and ratification by the members.

“Your board resolution decreases the benefits under the CBA, so there must be consent from your members,” Escobal told the officers.

Despite this reminder, the union officers reportedly proceeded to ratify and sign the CBA without the federation’s concurrence, prompting ALU-CVR to withhold its signature “to safeguard the members’ rights and avoid legitimizing a reduction of benefits done without proper consultation.”

Mabanag said claims that ALU was unresponsive or biased were “belied by documentary proof.”

On July 7, APSOTEU officers requested a meeting with ALU “for the presentation and discussion of the proposed CBA cost minimization,” which the federation attended the same day at the OPASCOR boardroom.

He said majority of the rank-and-file officers also met with ALU on August 26 to discuss the Social Impact Fund, where they “simply asked the federation to acknowledge receipt of their board resolution.”

Escobal documented that ALU was always open to dialogue but that some officers allegedly avoided engagement for fear of management retaliation.

ALU-CVR also refuted Ybañez’s claim about non-remittance of hospitalization and education funds.

“These funds were never remitted to the Federation. Management directly deposits them to the local unions’ accounts based on the provisions of their CBAs,” Mabanag said.

Escobal said officers themselves admitted disbursing the funds directly to members for hospitalization or education assistance, and reminded them that such ad hoc distribution required transparency and recordkeeping.

“Yes, the Federation is more than willing to give an accounting to management should it wish for one. We can always request our national office for it because it is the one that keeps it,” Mabanag added.

“However, the hospitalization and education funds being questioned were never handled by ALU-CVR.”

As to Ybañez’s complaint about the absence of education programs, Mabanag said the union had not remitted any education fund to the federation.

“It is therefore incumbent upon Mr. Ybañez and Ms. Tamondong to explain to their memberships how these locally retained funds were spent,” he said.

Mabanag clarified that the ground for the earlier notice of strike was OPASCOR’s violation of the CBA, specifically its failure to implement salary increases for two consecutive years.

“ALU-CVR intervened to protect the affected members and ensure compliance with the agreed benefits. This intervention resulted in positive outcomes, as members successfully obtained their salary differentials previously withheld,” he said.

He added that 11 members were later terminated by management—an act ALU-CVR considers harassment against union supporters. The federation is now assisting them in cases pending before the Regional Arbitration Branch.

Mabanag maintained that ALU-CVR remains committed to upholding the rights and welfare of all OPASCOR workers.

“If genuine consultation had taken place and the will of the membership had been respected, none of these divisions would have arisen. The Federation will always stand on the side of fairness and the protection of workers’ benefits,” he said.

Earlier, more than 400 OPASCOR employees—38 supervisory and 410 rank-and-file—announced their intent to formally disaffiliate from ALU-TUCP, citing alleged neglect, lack of transparency, and unilateral decision-making by the federation.

They claimed that despite paying ?390 to ?500 in monthly union dues, they received little to no direct benefits from the federation, particularly during the pandemic and amid OPASCOR’s current business troubles.

Among their grievances were: the filing of a notice of strike in September 2024 allegedly without consultation, unauthorized fund withdrawals, nondisclosure of company contributions for programs such as Labor Day and Social Impact, and alleged conflicts of interest involving federation officials.

The unions have since passed board resolutions revoking ALU-TUCP’s authority to represent them, withdrawing from federation participation in their existing CBAs, and moving to establish an independent union. They are expected to file formal notice of disaffiliation with the Department of Labor and Employment (DOLE) and the CPA in the coming weeks.

“This is a step towards protecting our rights, ensuring transparency, and securing our future as workers and owners of OPASCOR,” the employees’ unions said. — (FREEMAN)