Newtech Pulp Incorporated Workers in Lanao del Norte Continue Strike Over Wage Dispute

PAPER INDUSTRY NEWS

Jino John

3/26/20262 min read

Workers at the country’s largest abaca pulp mill operated by Newtech Pulp Incorporated (NPI) in Balo-i, Lanao del Norte have entered their third week of work stoppage as they press for a fair wage increase amid stalled negotiations with management.

The strike, led by the Newtech Pulp Workers Union-Federation of Democratic Labor Organization (NPWU-FDLO) and supported by the Newtech Pulp Supervisory and Staff Union-Federation of Democratic Labor Organization (NPSSU-FDLO), began on March 6 following a deadlock in separate collective bargaining agreement (CBA) negotiations with NPI.

Union leaders rejected the company’s proposed monthly wage increases—₱1,150 for rank-and-file workers and ₱1,350 for supervisory staff—citing that these offers are significantly lower than previous increases granted in earlier agreements.

Junard Ramos, president of NPWU-FDLO, criticized the National Conciliation and Mediation Board (NCMB) for what he described as a lack of urgency in resolving the dispute. According to Ramos, mediation hearings are being conducted only once a week, prolonging the workers’ financial hardship due to lost wages.

The unions have since lowered their demands to ₱1,800 for rank-and-file workers and ₱2,000 for supervisory staff, contingent on maintaining the current monthly production target of 650 metric tons. They also proposed incremental increases tied to higher production levels. However, management has maintained its original offer.

Workers argue that the reduced production target—from 1,100 metric tons to 650 metric tons following management changes—should not justify lower wage increases, especially as they had agreed to the adjustment in good faith to align with market demand.

The striking workers have established a protest camp along the highway in Barangay Maria Cristina, drawing attention from the public and receiving support from various groups and individuals who have provided food and assistance.

The Center for Trade Union and Human Rights (CTUHR) has expressed solidarity with the workers, emphasizing that improving labor conditions should remain central to CBA negotiations amid rising living costs. The group also called on Magnera, NPI’s parent company, to intervene in the dispute.

Union leaders also raised concerns over the alleged suspension of rice and medical benefits despite workers not being terminated.

“The prolonged strike is taking a financial toll on workers, but we must continue to assert our right to fair wages,” Ramos said, urging the NCMB to expedite mediation and resolution efforts.