DISTRICT TRIPARTITE COUNCILS (DTC)

OF

NEGROS ORIENTAL

CAB, URC – URSUMCO & URC – TOLONG

NEGROS ORIENTAL DISTRICT TRIPARTITE COUNCILS’ VOLUNTARY CODE OF GOOD PRACTICES (VCGP)

DOLE7

N Negros

O Oriental

F Field

O Office

DISTRICT TRIPARTITE COUNCIL DISTRICT TRIPARTITE COUNCIL

DISTRICT TRIPARTITE COUNCIL

Republic of the Philippines

DEPARTMENT OF LABOR AND EMPLOYMENT Regional Office No. VII

NEGROS ORIENTAL FIELD OFFICE

DISTRICT TRIPARTITE COUNCILS (DTC) OF NEGROS ORIENTAL

(CAB, URC – URSUMCO & URC – TOLONG)

VOLUNTARY CODE OF GOOD PRACTICES

IN THE SUGAR INDUSTRY

The province of Negros Oriental is on the eastern part of Negros Island. It is part of Central Visayas designated as Region 7. The Province is blessed with vast fertile land, thereby; its major industry is agriculture where the major crops are sugar, corn, coconut and rice. There are three big sugar mills in the province catering to approximately 14,000 sugar planters – big and small, employing more or less 74,000 mill and field workers per crop-ping season, excluding the indirect workforce, e.g. truck drivers and those of contractors. The sugar industry of the province contributes greatly to the coffers of government and is the biggest employer of unskilled and low educated labor. Due to its employment season-ality and hazardous occupation, the industry is beset with many challenges such as pro-duction input on labor, occupational health and safety hazards, depleting number of field-workers, and looming just around the corner, the impact of the ASEAN Free Trade Agree-ment (AFTA) when Negros sugar competes with its ASEAN neighbors’ good quality & cheap sugar. To address these challenges besetting the sugar industry, it is fitting that the mechanism created by Republic Act 6982, the District Tripartite Council (DTC), will take the lead and serve as the channel for undertaking joint programs and services to achieve social and eco-nomic upliftment of the sugar industry’s workforce, sustain its economic growth and poli-cy determination through tripartism with greater participation by planters, millers and workers sector in the three sugar milling districts of Central Azucarera de Bais (CAB), Uni-versal Robina Corporation – (Sugar Division) - URSUMCO (URC-URSUMCO) and TO-LONG (URC-TOLONG). Conscious of its contribution in the economy of the province and in line with the Philip-pine labor and employment plan on inclusive growth through decent and productive work, We, the members of the Sugar Mill District Tripartite Councils (DTC) of CAB, URC-URSUMCO and URC-TOLON G, formulated and adopt this Voluntary Code of Good Prac-tices (VCGP) in the Sugar Industry, where commitments to engage in good practices and extend more than what the law provides are stated. We commit to support and adhere to this Code and to ensure its faithful implementation in the workplace and advocate for its replication industry wide.

OBJECTIVES Adopting the VCGP is aimed at achieving sustained increased productivity and compet-itive workforce in the sugar industry. Specifically, the VCGP aims to: Ensure compliance on General Labor Standards and Protect Workers’ Rights;

Ensure coverage and availment of social welfare benefits;

Protect workers’ against Occupational Hazards and Sickness;

Protect Workers Against Exploitation and Abuse;

Improve sugar production through Improved Competitive Workforce;

Initiate programs and services beneficial to workers

Maintain industrial peace in the sugar industry and Strengthen Tripartism.

THIS IS OUR STATEMENT OF COMMITMENT IN THE VOLUNTARY CODE OF GOOD PRACTICES (VCGP) IN THE SUGAR INDUSTRY:

As employers in the sugar industry:

1. COMPLIANCE ON GENERAL LABOR STANDARDS AND PROTECTION OF WORKERS’ RIGHTS

We shall provide our employees the exact wage and applicable wage-related ben-

efits in harmony with the General Labor Standards such as minimum wage, service incentive leave, holiday pay, premium pay, overtime pay, 13th month pay, among others;

We shall ensure that workers’ right to security of tenure are protected and that

we, as well as our contractor and subcontractors, observe fundamental due process in cases where termination is inevitable.

We shall only deal with legitimate contractors and sub-contractors who are hold-

ers of a “Certificate Of Compliance” duly issued by the Department of Labor and Employment.

2. ENSURE COVERAGE AND AVAILMENT OF SOCIAL WELFARE BENEFITS

We shall ensure full coverage in social welfare benefits immediately on the first day of employment or within a month upon hiring such as SSS, Philhealth and PAG-IBIG, and shall religiously remit, as scheduled, the employee-employer premiums;

We shall ensure that workers’ name are entered in the Cash Bonus Fund (CBF)

Special Payroll to enable the workers to avail of Maternity and Death Benefits and other Socio-Economic benefits in accordance with R.A. 6982;

We shall assist our workers or their dependent/s facilitates processing of their

claims to mandatory benefits and those of R.A. 6982.

3. PROTECT WORKERS AGAINST OCCUPATIONAL HAZARDS AND SICKNESS

We shall ensure that our plantation has safety officer/s who is/are trained on the

Basic Occupational Safety and Health Standards; We shall ensure that first aid medicine kit are available at all times to workers

with at least one personnel trained as first aider by the Red Cross or any ac-credited group;

We shall comply with the creation of a functional Health and Safety Committee who shall adhere to the “Health and Safety Programs” of the plantation/farm/mill and achieve zero accident for every cropping season;

We shall provide appropriate personal protective equipment (PPE) to applicable

workers that are trained on their usage;

We shall raise awareness, implement and observe policies on Occupational Health Policies such as Drug-free Workplace, Anti-TB, HIV-AIDS, Hepa-B and Anti-Sexual Harassment Policies within the work premises;

We shall observe the Local Government Unit’s implementation of the rules on fire

safety and the building code in consonance with the Occupational Safety and Health Standard;

We shall respect ordinances of the Local Government Unit relative to the health

and safety of workers and participate in Disaster Risk Reduction Management drills such as Fire & Earthquake Drills;

4. PROTECT WORKERS AGAINST EXPLOITATION AND ABUSE

We shall ensure that sugar produce in our plantations/farms/mills are not taint-ed with the sweat of child laborers;

We shall advocate for a child labor-free plantation/farm/mill in Negros Oriental

in respect to Childs Rights and in support of the Philippine Program Against Child Labor’s (PPACL) vision for a “Child Labor-free Philippines” and to pro-tect our sugar produce from international blacklisting campaign;

We shall adhere to the Rules and Regulations on the Recruitment of workers, par-

ticularly on Private Recruitment and Placement (Local Recruitment), Depart-ment Order 18-A, Series of 2011 in relation to Department Circular 1, Series of 2010 (Contractor/Sub-contractor), Department Order 7, Series of 1976 (Recruitment by Planter’s Representative) and Department Order 4, Series of 1999 (List of Hazardous Occupation);

We shall uphold the Magna Carta of Women and respect the rights of women

workers in the sugar industry.

5. INCREASE SUGAR PRODUCTION THROUGH IMPROVED WORKERS’ PRODUCTIVITY

We shall avail of vocational skills and technical trainings offered by government agencies and non-government organizations for our workers to acquire or en-hance their skills to improve productivity and have a competitive sugar indus-try work force;

We shall avail of the Regional Wages and Productivity Board’s seminars and

trainings to acquire tools and techniques on productivity that can be imple-mented in the workplace;

We shall adopt incentivizing schemes in the workplace taking cognizance of

worker’s above-standard performance and loyalty through monetary or non-monetary incentives or rewards such as productivity gain-sharing, salary up-grading, bonuses, promotion or certification;

6. COMPANY INITIATED PROGRAMS

We shall provide decent bunkhouses for our migratory sugar cane workers (MSW) with adequate facilities such as clean water supply, bath and comfort rooms, laundry area, kitchen and separate rooms for MSWs with family tag-ging along in the workplace;

We shall provide transportation for workers from adjacent barangays or towns to

and fro the workplace;

We shall assist our seasonal workers’ family during “tiempo muerto” to tide over this season through the availability of rice loan without interest and offer min-imal or odd jobs within the plantation/farm/mill;

We shall facilitate referral of our workers’ dependents to livelihood opportunities

from government and non-government organizations for livelihood augmen-tation;

We shall support the primary education of our workers’ children through the

provision of school supplies and, if we can afford, provide scholarship up to the collegiate level;

We shall provide housing unit to the family of our top regular workers in the

plantation/farms and prioritize hiring their family members upon retire-ment and can only vacate the housing unit when family members will no longer pursue work in the plantation/farm or upon termination of employ-ee-employer relation for just cause or criminal offense by the worker.

We (millers) shall provide fire truck assistance to planters whose fields are burned as well as to the surrounding community.

We (millers) shall provide “reparto” or hauling services for both small and big planters for free depending on the location and the quantity in tons of sug-arcane to be hauled to lessen expenses in sugarcane hauling

We shall provide medical services to small planters and fieldworkers through our mill’s medical facility and personnel; and

We shall celebrate the fruit of our labor in honor of our patron saints through a “Family Fun day” were we provide free food and giveaways to our workers and their children or dependents

7. MAINTAIN INDUSTRIAL PEACE AND STRENGTHEN TRIPARTISM

We shall continue to maintain industrial peace in the sugar industry through social dialogues and consultation with the labor and government sectors;

We shall support and take advantage of the programs of DOLE and keep our-

selves updated on the latest laws and issuances consistent with the imple-mentation of this Code;

We shall promote harmonious workplace relationship and submit to the rules

on conciliation and mediation; We shall continue to be active members of the District Tripartite Council and

recommends to the Regional Director on matters of policy in the implemen-tation of Department Order 114-11 or the Implementing Rules and Regula-tions of R.A. 6982;

We shall participate regularly to DTC activities such as meetings, consultations

and planning-workshops;

We shall continue to recognize the importance of tripartism and strengthen it

through coordination and cooperation with government and labor sector;

OUR IMPLEMENTING STRATEGIES In order to achieve the objectives of our VCGP, we employ the following strategies:

1. Voluntarily comply with the provision of the General Labor Standard and Occu-pational Safety and Health Standards;

2. Maintain strong coordination with the government sector and continue Labor

and Management Education to keep abreast of the latest laws and issuances. 3. Conduct plant level dialogues and maintain open communications between labor

and management for a harmonious workplace relationship; 4. Improve Company Policy on Conduct and Discipline in line with this Code and

Implement with impartiality; 5. Continue advocating for the rights of workers, women and children. OUR PARTNERS IN IMPLEMENTING THIS CODE:

In order to help us achieved the VCGP Objectives and implement its

provisions, we shall have the following partners :

The Department of Labor and Employment (DOLE) shall conduct advocacy on general labor standards including social welfare benefits, occupational safety and health stand-ards, labor management relations, and other related laws and issuances for the estab-lishments in the sugar industry attain compliance on standards and industrial peace; The Technical Education and Skills Development Authority (TESDA) shall conduct vocational skills training and assessment for a globally competitive workforce in the sugar industry; The Regional Tripartite Wages and Productivity Board (RTWPB) shall continuously, and reach out more, especially to small planters, in the conduct of seminars, trainings and consultation to improve productivity and wage adjustment; The National Conciliation and Mediation Board (NCMB) shall institutionalize concilia-tion-mediation mechanism towards speedy, inexpensive and impartial grievance and dispute settlement; The Social Security System (SSS), Philippine Health Insurance Corporation

(PHILHEALTH), and PAG-IBIG shall continue to advocate and implement the social welfare benefits;

The Public Employment Service Office (PESO), shall assist workers, planters and mil-lers in employment facilitation and bridging in the sugar industry. VCGP MONITORING

On our road to the successful achievement of our statement of commitment in this Code, we will continuously and voluntarily monitor our compliance with the guidance and assistance of the Department of Labor and Employment Regional Office No. 07 and its pool of Labor Laws Compliance Officers. We will also keep the relevance of this Code by synchronizing it with the latest laws and issuances related to labor and employment. We, the members of the three Sugar Mill District Tripartite Councils in the Province of Negros Oriental, voluntarily commit ourselves to have a productive, competitive and healthy sugar industry in the Province by supporting the goals of this VOLUNTARY CODE OF GOOD PRACTICES IN THE SUGAR INDUSTRY. IN WITNESS WHEREOF, we have hereunto affixed our signatures signifying our com-mitment to abide by this Code, this 22nd day of April 2015 in Dumaguete City, Negros Oriental, Philippines.

ATTESTED

BRUNO BOUFFARD III Planters Representative

Board of Director

Negros Oriental Planters’ Association, Inc.

LUISA A. VILLEGAS Planters Representative

Board of Director

Associacion Agricola de Bais y Tanjay, Inc.

HOOVER Z. GAYA Mill Workers Representative

BOT, CABELA Central Azucarera de Bais, Inc.

RAMON E. MAICOM Field Workers Representative

National Director

(PACIWU) – TUCP

Central Azucarera de Bais (CAB)

March 31, 2014 to March 31, 2017

EXEQUIEL R. SARCAUGA REGIONAL DIRECTOR and DTC CHAIRMAN

GREGORIO A. SANTILLAN JR Field Workers Representative

President, (PACIWU) – TUCP

Hacienda Montenegro & Co., Inc. (MCI) Chapter

MARTIN GERARD S. CORNELIO Millers Representative

Manager for Administration Central Azucarera de Bais, Inc.

DISTRICT TRIPARTITE COUNCIL

NEGROS ORIENTAL DISTRICT TRIPARTITE COUNCIL Central Azucarera de Bais (CAB) DTC Members

DOLE

7

N Negros

O Oriental

F Field

O Office

URC Sugar Division - URSUMCO (URC-URSUMCO) March 31, 2014 to March 31, 2017

EXEQUIEL R. SARCAUGA REGIONAL DIRECTOR and DTC CHAIRMAN

NEGROS ORIENTAL DISTRICT TRIPARTITE COUNCIL URC - URSUMCO DTC Members

DOLE

7

N Negros

O Oriental

F Field

O Office

ASELA GRACE C. ARAÑES Millers Representative

Human Resource Manager URC Sugar Division —URSUMCO

ELPIDIO S. ROSALES Mill Workers Representative

BOD, URSUMCO Supervisory

Union CIO-ALU

MARCELINO T. ROTEA Planters Representative

Board of Director

Associacion Agricola de Bais y Tanjay, Inc.

PEDRO MEGIO Planters Representative

Manager, USPANO Marketing Cooperative

Negros Oriental Planters’ Association, Inc.

MELCHOR A. BUENAVISTA Field Workers Representative

President, (PACIWU) – TUCP Diaz Hermanos Enter-

prises Labor Association Chapter

BERNALDO L. AMARO JR Field Workers Representative

Plantation Workers, Hda. Bocanegra Hermanos

DISTRICT TRIPARTITE COUNCIL

JOVIT ANTHONY NUIQUE Planters Representative

BOD, Tolong United Planters Association, Inc.

CLAVELITA B. RODRIGUEZ Planters Representative

Administrative Officer& Corporate Secretary

Associacion Agricola de Bais y Tanjay, Inc.

ARNELO B. AGDON Mill Workers Representative

Electrical Planner, URC Sugar Division - TOLONG

VACANT Field Workers Representative

URC Sugar Division - TOLONG (URC - TOLONG)

March 31, 2014 to March 31, 2017

EXEQUIEL R. SARCAUGA REGIONAL DIRECTOR and DTC CHAIRMAN

LORNA R. BAGA-AN Field Workers Representative

BOD, Tolong Multi-purpose Cooperative

JUNBY R. MATURAN Millers Representative

Human Resource Manager

URC Sugar Division - TOLONG

DISTRICT TRIPARTITE COUNCIL

NEGROS ORIENTAL DISTRICT TRIPARTITE COUNCIL URC - Tolong DTC Members

DOLE

7

N Negros

O Oriental

F Field

O Office