public transportation

LRT1 operator defers job cuts

Aika Rey

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Light Rail Manila Corporation will instead offer voluntary retirement for employees aged 56 to 59, and mandatory retirement for those 60 years old above

Light Rail Manila Corporation (LRMC) on Thursday, August 13, announced that it would defer its retrenchment program at the Light Rail Transit Line 1, after the Department of Transportation expressed concerns over the layoffs.

“While the factual basis behind the redundancy program remains legally valid, LRMC is putting it on hold for now to allow the company to recalibrate strategies and continue supporting team members and government partners as long as it can,” said LRMC.

“The Department of Transportation has also pledged to support LRMC and find equitable solutions to support our employees during this difficult time,” it added.

LRMC said Thursday that 65 employees or around 5% of its workforce were up for retirement. Ages 56 to 59 would be offered to retire early, while employees aged 60 above would have to undergo mandatory retirement.

The railway operator also said that all employees would undergo swab testing from August 14 to 19.

On Tuesday, August 11, LRMC said that over 100 employees, including the retirees, would be laid off starting September.

After the announcement, Transportation Secretary Arthur Tugade raised concerns about personnel losing jobs in the middle of a pandemic. He said he wanted other railway lines to absorb qualified workers. – Rappler.com

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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 aika.rey@rappler.com.