PRECARIOUSWORK:THE HOTEL INDUSTRY EXPERIENCE

Prof. Divina Edralin, D.M.Prof. Divina Edralin, D.M.27 February 2013 27 February 2013

De La Salle UniversityDe La Salle UniversityProfessorial Chair LectureProfessorial Chair Lecture

BACKGROUND OF THE STUDY

safe, healthy environment in conditions of

freedom, equity, security and

human dignity for women and men

=

=employment promotion

economic growth & social justice

equityemployment security

competitiveness, profit

WORKERS

GOVERNMENT

EMPLOYERS

CIVIL SOCIETY

(Gust, 2006)

BACKGROUND OF THE STUDY

Figure 1. National framework for equality and decent work

Concept of Precarious Workforms of work characterized by:

atypical employment contracts limited or no social benefits and

statutory entitlements high degrees of job insecurities low job tenure low wages high risks of occupational injury and

diseases

BACKGROUND OF THE STUDY

(Evans & Gibb, 2009)

Concept of Precarious Workis characterized by a combination of factors such as:

a limited duration or a high probability of the worker’s losing the job

little or no opportunity for workers to control the working conditions

absence of benefits or social security provisions

a low income in tandem with poverty

BACKGROUND OF THE STUDY

(ILO, 2007)

BACKGROUND OF THE STUDY

Figure 3. Incidence of precarious employment advance economies, 2007 and 2010Panel A. Involuntary part-time employment (percentage of part-time employment)

Source: International Institute for Labor Studies World of Work Report 2012, 2012

BACKGROUND OF THE STUDY

Figure 3. Incidence of precarious employment advance economies, 2007 and 2010Panel B. Involuntary temporary employment (percentage of temporary employment)

Source: International Institute for Labor Studies World of Work Report 2012, 2012

BACKGROUND OF THE STUDY

Figure 2. Employed persons in vulnerable employment by region and sex, 2004 - 2007

Source: Bureau of Labor and Employment Statistics LABSTAT Updates 16(31) 2012

BACKGROUND OF THE STUDY

Precarious Work Practices of Selected Countries

BACKGROUND OF THE STUDY

Precarious Work Practices of Selected Countries

BACKGROUND OF THE STUDY

Precarious Work Practices of Selected Countries

BACKGROUND OF THE STUDY

Precarious Work Practices of Global Companies

BACKGROUND OF THE STUDY

Precarious Work Practices of Global Companies

BACKGROUND OF THE STUDY

Precarious Work Practices of Global Companies

BACKGROUND OF THE STUDY

Precarious Work Practices of Global Companies

BRIEF ON PRECARIOUS WORKIN THE PHILIPPINES

Figure 4. Employees in Precarious Work (% of total employment)

Source: Bureau of Labor and Employment Statistics LABSTAT Updates 16(31) (2012).

Year Part-time CasualContract

ualTotals

1989 1.3 4.1 8.3 13.71990 1.6 3.7 8.2 13.51991 1.5 4.1 7.0 12.61992 1.5 4.1 10.0 15.61993 1.8 3.4 9.8 15.01994 1.5 4.3 7.9 13.71995 1.8 4.4 11.8 18.01996 2.0 4.1 12.3 18.41997 2.2 4.7 14.0 20.9

BRIEF ON PRECARIOUS WORKIN THE PHILIPPINES

Table 1. Non-regular employment in the Philippines as percent of total employment

Source: DOLE-BLES Yearbook of Labor Statistics, 2007

Determine the employment practices that are often associated with precarious work in the hotel industry.

Know the factors that drive the hotels to resort to precarious work practices.

RESEARCH OBJECTIVES

Describe the impact of precarious work on the following:Women workersWorkplace health and safetyUnionSustainable development

RESEARCH OBJECTIVES

Identify strategies or courses of action that can be taken by the following stakeholders to combat precarious work practices:UnionsEmployersGovernment International Labour Organization (ILO)

RESEARCH OBJECTIVES

CONCEPTUAL FRAMEWORK

(Gust, 2006)

Figure 6. Linkages between discrimination, equality & decent work

• low wages,• low job security• limited control

over workplace conditions

• little protection from health & safety risk

=

=WORKERS

GOVERNMENT

EMPLOYERSILO

OPERATIONAL FRAMEWORK OF PRECARIOUS WORK

Research DesignDescriptive

Research ApproachSurvey of unionized hotelsContent analysis of

government publications

METHODOLOGY

METHODOLOGY

Unionized NUWHRAIN Affiliate Hotels

Positions in the Union

Type of Work in the Hotel

Manila Peninsula Hotel President Board of

Directors Vice President Treasurer Councilor Union Member

Cook Bartender Lifeguard Electrician Room Attendant Outlet Cashier Chef Bellman Waiter Supervisor Telephone

Operator Kitchen Artist Food Attendant Steward

Mandarin Oriental ManilaSofitel Philippine PlazaCentury Park HotelHotel Intercontinental ManilaHoliday InnManila Pavilion HotelCebu Midtown Hotel

No. of Respondents

n = 84

Bohol Beach ClubMontebello Villa HotelHyatt Regency Manila/MIDAS Hotel

Table 2. Respondents’ profile

FINDINGS

Brief on the Hotel Industry

FINDINGS

Table 3. Total employment and number of non-regular workers in hotels and restaurants with 20 or more workers by category, Philippines: June 2010    Non-Regular Workers

 Total

Employment

TotalProbationa

ryWorkers 

CasualWorkers 

Contractual /Project-

based Workers

SeasonalWorkers

 

Apprentices

/Learners

Hotels and Restaurants

196,075 70,077 14,032 13,424 38,338 1,534 2,749

All Industries

3,042,750

850,085

179,384 170,817

445,020 28,815 26,049Note: Details may not add up to totals due to rounding of figures.Source: Bureau of Labor and Employment Statistics, 2009/2010 BLES Integrated Survey (BITS).

Table 4. Number of hotels and restaurants with agency hired workers with 20 or more workers by category, Philippines: June 2010

Source: Bureau of Labor and Employment Statistics, 2009/2010 BLES Integrated Survey (BITS).

    Agency-Hired Workers

 Total

Establishments

TotalPercent to

TotalPercent Share

Hotels and Restaurants

3,166 1,529 48.3 13.4

All industries

23,723 11,388 48.0 100.0

FINDINGS

Table 5. Number of agency-hired Workers in hotels and restaurants with 20 or more workers by type of jobs/services contracted out, Philippines: June 2010

Source: Bureau of Labor and Employment Statistics, 2009/2010 BLES Integrated Survey (BITS).

Agency-Hired WorkersHotel and

RestaurantsPercentag

eAll

IndustriesTotal Number of Agency-Hired Workers

19,691 341,703

Security Services 7,478 38.0% 98,790Food Service/Catering 6,041 30.7% 7,410Janitorial 3,301 16.8% 50,588General Administrative 1,307 6.6% 14,406Logistics/Transport 1,237 6.3% 6,630Marketing/Sales 163 0.8% 20,285Repair/Maintenance/Construction

108 0.5% 8,890

IT Services 56 0.3% 3,384

FINDINGS

Source: Bureau of Labor and Employment Statistics, 2009/2010 BLES Integrated Survey (BITS).

Agency-Hired Workers Hotel and Restaurants

All Industries

Packaging - 18,397Production/Assembly - 103,192Research and Development

- 1,692

Cashier - 477Human Resource - 20Messengerial - 453Billing/Payment - 194Data Processing/Encoding

- 165

Warehousing - 2,156Medical/Health Services - 138Others - 4,436

FINDINGS

Table 5. Number of agency-hired Workers in hotels and restaurants with 20 or more workers by type of jobs/services contracted out, Philippines: June 2010

Table 6. Number of hotels and restaurants engaged in subcontracting with 20 or more workers, Philippines: June 2010

Source: Bureau of Labor and Employment Statistics, 2009/2010 BLES Integrated Survey (BITS).

 

Establishments Resorting to Subcontractin

g

Percent to Total

Percent Share

Total Establishme

nts

Hotels and Restaurants

235 7.4 9.5 3,166

All industries 2,471 10.4 100.0 23,723

FINDINGS

Table 7. Number of hotel and restaurants engaged in subcontracting in with 20 or more workers by type of jobs/services contracted out, Philippines: June 2010

Source: Bureau of Labor and Employment Statistics, 2009/2010 BLES Integrated Survey (BITS).

  Hotel and Restaurants

All Industries

Production/Assembly - 193Finance/Accounting 134 1,091Data Processing/Encoding

24 141

Human Resource 42 420Learning/Training 24 299Billing and Payment 54 271Transport Services 59 462Courier Services 54 602Packaging/ Crating - 108Research and Development

12 129

Others 1 257Total 235 2,471

FINDINGS

SURVEY RESULTS

Table 8. Employment practice often associated with precarious work in the hotels

PracticesAverage Percentage (n=84)

Departmentmost affected

Hiring of labor via employment agencies or labor brokers 35.9 Housekeeping

On call/daily/per function hiring 29.1Food &

BeverageContracting out functions/tasks to other companies 25.9 Engineering

Direct hire on temporary labor contracts 23.4Food &

BeverageDisguised employment training contracts (as trainees) 22.3 Housekeeping

Limited employment to less than six (6) months 21.8Food &

BeverageFixed term contracts 14.0 Engineering

Abusive probationary periods 12.1Food &

BeverageIllegal or involuntary part-time work 7.1 F&B, stewardIndividual labor contracts as bogus “self-employed” workers 6.5 Engineering

Home working 3.0

F&B, seamstress,

laundry, accounting

Table 9. Factors/reasons why hotel resort to precarious work practices

SURVEY RESULTS

Table 10. Effects of precarious work on the union

SURVEY RESULTS

Table 11. Effects of precarious work on women

SURVEY RESULTS

Table 12. Effects of precarious work on workplace health and safety

SURVEY RESULTS

Table 13. Effects of precarious work on sustainable development

SURVEY RESULTS

SNIPPET OF PRECARIOUS WORK EXPERIENCE IN THE HOTEL

PANDOY Did not meet the cut off

during the final interview

Casual employee at Sofitel

since 1980

Married to a CPA

Banquet captain

Land based crew for 3

years in Saudi

HRD Policy: only one of the couple

can be regular

ized

50 years old

SNIPPET OF PRECARIOUS WORK IN EXPERIENCE IN THE HOTEL

MARIA

Room attendant at Sofitel

Casual employee for

5 years

In the housekeeping section, males are preferred

Asked to do most of the work and OT during peak

months

Management prefers HRM graduates

Single parent with

a child

Table 14. Roles/action that can be taken by unions to address/combat precarious work

SURVEY RESULTS

Table 15. Roles/action that can be taken by employers to address/combat precarious work

SURVEY RESULTS

Table 16. Roles/action that can be taken by the following groups to address/combat precarious work

SURVEY RESULTS

Table 17. Roles/action that can be taken by the ILO to address/combat precarious work

SURVEY RESULTS

Precarious employment is undermining worker rights,the scope and coverage of collective bargaining, as well as wages and working conditions in the hotel industry.

CONCLUSION

Precarious work is caused by factors such globalization, increasing intensified competition, government regulations, and corporate restructuring, in order to obtain greater efficiency, maximize employer profits and flexibility,and to shift risks onto workers.

CONCLUSION

Precarious work is the enemy of decent work. It should not become the dominant feature of the working relationship between workers and employers.

CONCLUSION

Trade Union Actioneducate their membership on the importance of combating precarious workuse collective bargaining to stop or prevent the spread of precarious work

RECOMMENDATION

Government Actiondevelop long-term goal that integrates decent work into our country’s growth pathadopt policies such as temporary employment guarantee schemes and access to health care

RECOMMENDATION

Employer Actionadopt the philosophy that “the business must not be single-mindedly focused on its own profits, but must have a bigger purpose that includes taking on some of the problems of the wider society for the common goodstop the use of precarious work to cut cost and pressure the government to legislate laws that are anti-labor

RECOMMENDATION

ILO Actionorganize a comprehensive Law and Practice Reportconvene an ILO expert meeting on obstacles to organizing and bargaining for precarious workersexamine the development of suitable instruments to limit, restrict and reduce the resort to precarious forms of employment

RECOMMENDATION

“ “Work is a good Work is a good belonging to all belonging to all

people and must be people and must be made available to all made available to all who are capable of who are capable of engaging in it.” engaging in it.”

(PCJP, 2004)(PCJP, 2004)

THANK YOU!