MCIAA approves P61M settlement for employees

Mactan Cebu International Airport Authority has approved the P61 million for the settlement of a class suit filed by its employees during their board meeting yesterday.

MCIAA General Manager, Nigel Paul Villarete said that the initial demand of the union was P73 million which was whittled down P61 million through amicable settlement.

“We will comply with the Supreme Court decision and there only remains the other condition which is the subject of the availability of funds and so our agreement is we will try to evaluate first the available surplus from last year,” Villarete said in the MCIA board meeting yesterday.

Once the availability of funds is ascertained, they will forward it for the approval of the court and then submit it to the National Treasury for payment.

He said, “Most probably, we will have the available first tranche immediately after we close the book for 2012 then the later tranche will be given until we have reached our targets for 2013”.

But the amicable settlement needs to be presented to the court since they will be providing the resolution of the case following the settlement between both parties.

Qualified recipients or employees who are entitled to receive the money even if they have died, separated or retired revealed one of the board members, Engr. Pericles Dakay, also chairman of Committee on Remuneration.

“All of these things are not in the discretion of the authority and still subject to existing rules and regulations,” Villarete explained to reporters.

Dakay on the other hand told reporters yesterday that the 10 year old case favored the employees and was amicably settled following an order from Supreme Court.

Last December, the MCIAA has received an order from the Supreme Court to settle the differences between both parties through an amicable settlement.

Employees of the MCIAA sought court assistance to collect allowances like living and amelioration allowances and other benefits like medical and hazard pay since Dec. 18, 1990 until their separation from service.