DOLE reminds employers: Bus drivers, conductors should start getting fixed pay

Bus drivers and conductors should be getting regular salaries and benefits starting February, the Department of Labor and Employment reminded bus owners. DOLE Secretary Rosalinda Baldoz said Department Order (DO) No. 118-12 establishes the rules and regulations governing the working conditions of drivers and conductors. “This is a novel scheme which drastically changes an age-old commission-based pay practice. D.O. 118-12 will improve the working conditions in the bus transport sector through the implementation of labor standards including monetary and social benefits and workplace safety and health measures, which will ensure the health and fitness of drivers and conductors,” she said. But a separate report on "Unang Balita" said bus drivers and conductors may start expecting regular salaries by Feb. 15. The DOLE said this aims to ensure the protection and welfare of bus drivers and conductors. According to the DOLE, this seeks to replace the commission-based system of wages for bus drivers and conductors – which has been blamed for accidents caused by drivers trying to get as many passengers as possible. The Unang Balita report said bus firms could not immediately implement the regular wages at this time because they are waiting for implementing rules. Baldoz said the DOLE expects support from its tripartite partners in the monitoring of compliance with D.O. 118-12. D.O. 118-12 was published on January 17, 2012 in a newspaper of national circulation. Baldoz said the National Wages and Productivity Commission (NWPC) is mandated by law to fix and determine the applicable minimum wage, not only on regional and provincial level, but also on industry level. D.O. 188-12 outlines the minimum compensation and social welfare benefits, including PhilHealth, Social Security System (SSS), and Pag-IBIG (Home Development Mutual Fund); wage-related benefits; and training and development for workers in the said sector. It will initially cover the public utility bus transport plying routes in Metro Manila. It will apply to other public utility bus companies by July 2012. Benefits Bus drivers and conductors will have “part-fixed and part performance-based” wage/compensation system to ensure income security, which will also reduce the risk-taking behavior of drivers with a purely commission-based system. Under D.O. 118-12, the fixed wage component will be based on an amount mutually agreed by the owner and the drivers/conductors. The amount agreed will not be lower than the applicable minimum wage for normal work hours and days. On the other hand, the performance-based component will be based on safety performance, business performance, and other related parameters. D.O. 118-12 assures that all public utility drivers and conductors will be entitled to minimum wage rates which will be paid at least once every two weeks or twice a month, at intervals not exceeding 16 days. The workers in the said industry will also be entitled to wage-related benefits, holiday pay, overtime pay, night shift differential, service incentive leave, 13th month pay, paternity and maternity leave, and other statutory monetary benefits under the labor code and other labor-related laws. Bus drivers and workers will have the right to security of tenure and due process as provided by law. "This means bus drivers and conductors can only be terminated from work for just or authorized causes based on the provisions of the Labor Code," the DOLE said. Bus owners and operators will also adopt, implement, and promote occupational safety and health programs with the provisions of the occupational safety and health standards (OSHS), and other DOLE-related issuances including the prevention and control of tuberculosis, HIV and AIDS, hepatitis B, and drugs in the workplace. Bus companies are also encouraged to create a labor-management committee and labor-management mechanism which will be composed of representatives from management and drivers/conductors. The committee will be tasked to develop and implement labor-management schemes and welfare programs for the workers. Meanwhile, the NWPC will issue the operational guidelines to implement the compensation scheme including the formula to be used by bus companies. Companies may submit their proposed compensation scheme to respective Regional Tripartite Wages and Productivity Board on or before March 31. The Technical Education and Skills Development Authority (TESDA), in coordination with the Land Transportation Office (LTO), Land Transportation Franchising Regulatory Board (LTFRB), and the Metro Manila Development Authority (MMDA) shall implement an assessment and certification program for professional drivers. The assessment will focus on knowledge, attitude, and skills. The certificate from TESDA is one of the requirements in getting Certificates of Public Convenience from the LTFRB. In the first six months but not later than one year from effectivity, the provisions of the D.O. shall be liberally construed to enable compliance by the bus companies. — LBG, GMA News