Alaska Milk Corporation to lay off 200 workers by July 1

Milk manufacturer Alaska Milk Corporation will be terminating about 200 workers at its plant in San Pedro City, Laguna, in a bid to keep its products "affordable for long-term business sustainability."

In a statement on Thursday, May 20, Alaska said it is undergoing a screening process "to allow an objective and transparent evaluation of affected employees."

Termination will be effective by July 1.

"The decision to let go of some of our employees in San Pedro, Laguna, based on redundant positions was a painful one for all of us at Alaska. We understand that this is a difficult time for those who will be affected," said Alaska corporate affairs director Maria Angela Esquivel.

Esquivel added that the firm will provide a support package that includes severance pay above the minimum mandated by law, monthly grocery allowances, and additional gratuity pay.

In addition, Alaska pledged to provide health benefits to affected employees and their dependents until the end of 2021.

The milk manufacturer will also work with the Department of Labor and Employment to help affected workers find new opportunities. Alaska said it will set up job fairs and employment seminars for them.

"We know that proper job transition support must also include practical help, which is why we are offering business and résumé building seminars. We will also offer financial and entrepreneurship workshops to the employees," said Esquivel.

Esquivel appealed to union members to join the screening process to explore how they can continue working with Alaska or how they can be supported when transitioning to a new job.

Alaska said its business "remains stable" but changes had to be made to ensure jobs for the majority of employees, as well as the affordability of products. This is in line with parent Royal FrieslandCampina's global directive to "optimize business operations."

The Alaska brand offers evaporated milk, condensed milk, culinary creams, powdered milk, and ready-to-drink milk, among others. –

Aika Rey

Aika Rey is a business reporter for Rappler. She covered the Senate of the Philippines before fully diving into numbers and companies. Got tips? Find her on Twitter at @reyaika or shoot her an email at