Arroyo Hand Seen in North Harbor Privatization Snag

Press Release
March 16, 2010

Labor center Kilusang Mayo Uno today accused the Arroyo government for being responsible for the snag in the privatization of the Manila North Harbor, saying the government is using a “corrupt” labor leader to thwart the port’s privatization.

The privatization of the Manila North Harbor has recently reached an impasse, with Philippine Ports Authority (PPA) general manager Oscar Sevilla citing workers’ continuing intransigence. He said that despite guarantees that workers’ security of tenure and collective bargaining agreements will be upheld under the new management of Manila North Harbour Port Inc. (MNHPI), workers continue to oppose the takeover of the new management.

“Mrs. Arroyo is behind the snag. She wants to thwart the takeover of the new management so a new bidding process can commence after June 30 – with a new president in place or with her still at the helm of government. The goal is to hand over the privatization deal to a wealthy and influential family closely allied with the regime,” said Elmer “Bong” Labog, KMU chairperson.

Disclaimer | What you are reading is either a press release/ statement or a manifesto. These materials do not go through our editorial process and do not reflect our policy or position.

“It is Mrs. Arroyo’s regime which pushed for the privatization of the Manila North Harbor. But when things didn’t work out the way it wanted, when another faction of the ruling classes bagged the deal, it decided to make a turnaround and thwart the takeover of the winning bidder,” Labog added.

KMU said the Arroyo regime is using Andy Mortel, a “corrupt” local labor leader to derail the port’s privatization. It said Mortel has been exposed as trying to extort money and various favors from the winning bidder on the one hand and making the payment of workers’ past services a precondition for the winning bidder’s takeover on the other.

“Andy Mortel is conniving with the Arroyo regime to derail the new management’s takeover. He is demanding the payment of workers’ past services from the MNHPI, which is not responsible for this. Worse, he is making the payment of workers’ past services a precondition for the takeover. He is crucial to the regime’s scheme to thwart the takeover of the new management,” Labog said.

Labog also called on Manila North Harbor workers to continue struggling for their security of tenure as regular workers which he says is the “most crucial thing” in the fight for the payment of workers’ past services.

“The most crucial thing for the workers’ struggle for the payment of their past services is to be absorbed by the new management as regular workers. If Andy Mortel gets his way and the payment of past services is set as precondition to the new management’s takeover, workers may end up with nothing – no jobs, no unions and no payment for past services as well,” Labog said. #

Share This Post