MEPZ firm closes, leaves 160 workers jobless

CEBU, Philippines - Over 160 employees of Japanese firm Cebu Nisico Corporation based at the Mactan Export Processing Zone (MEPZ) in Lapu-Lapu City lost their jobs after the management issued a closure order last Saturday.

CNC produced high optical lenses for cameras and cellular phones.

Ednie Rapiza, president of the Cebu Nisico Corporation Employees Union-ALU-TUCP, said they will be filing a complaint for illegal dismissal against the company.

Rapiza said the closure of the company, which has been operating for more than 20 years, came as a shock to the workers.

"Na-shock na lang mi pag Sabado sa dihang gihatagan na lang og order nga manira na ang kompaniya unya dili na mi pabalikon," Rapiza said.

The notice from the company reads:

"We regret to advice that despite efforts to save the company, management has failed to secure the financial support from our lenders.

It has been months, that we survive on a hand-to-mouth existence and we have reached the end of the rope. Our financial resources could no longer afford to proceed with our operations."

The notice was signed by Jeoffrey Escala, the company’s human resource manager, and Takeshii Kobayashi, the company's vice president.

The management said the employees will still receive salary until September 5 as equivalent for their sick and vacation leaves and part of their 13th month pay.

But the union refuses to believe the company’s reason for closure.

"Dili mi motoo ana kay daghan mi og raw materials ug ang mga empleyado sigi man og overtime sa wala pa sila nanira," Rapiza said.

The union was organized last January 10 and was certified as the sole bargaining agent.

The management, however, contested the same and filed an appeal before the Department of Labor and Employment (DOLE).

On June 28, DOLE issued an order recognizing their union as the sole CBA agent.

The union has at least 80 members out of the company’s more than 160 employees.

Rapiza said the union and the management were about to negotiate their Collective Bargaining Agreement (CBA) but this is now impossible with the company’s closure.

Rapiza said that among their proposals are a P10 per day wage increase, assurance of their length of service, and increase in the number of sick and vacation leaves, among others.

The CNCEU-ALU-TUCP is the first union organized by ALU-TUCP at MEPZ.

Rapiza, a machine operator, has worked for the company for 19 years. Some of his workmates have been with the company for 14 years and up to 22 years. (FREEMAN)