Stanfilco, a division of Dole Asia, has come under fire from labour unions in the Philippines over its decision to close a 140ha banana farm - effectively putting 400 people out of work.
According to a report in Filipino newspaper the Sun Star, the company stated the closure of the 140ha farm in Guinuyuran was due to moko and sigatoka infestation and poor harvests. Labour activists, however, claim the decision was an act of ‘illegal lockout and union busting’.
Members of a labour group picketed in front of the region’s Department of Labour and Employment office on Monday in response to the terminations.
Alliance for Progressive Labour (APL) secretary general for Northern Mindanao Karl Yngojo said a notice of termination was served to employees of the operation without prior notification and credible reasons.
Yngojo said the farm was profitable and generated around P5m (US$116,279) worth of produce a day with operational costs of just P300,000 per day.
This raised suspicions the company was shutting down the farm temporarily to allow it to employ contract workers on lower wages who could be banned from joining labour unions, he told the newspaper.
