THE HEAD of the Artlets faculty club has urged the University administration to update its medical benefits cap that has remained unchanged for almost three decades to make it more responsive to inflation and rising health costs.
As employees await the decision on the collective bargaining agreement (CBA), Arts and Letters Faculty Association (ALFA) president Assoc. Prof. Rene Tadle cited the need for substantial upgrades to the medical benefits of faculty members, saying their purchasing power has been diminished by inflation.
“The current medical and hospitalization benefits for faculty need major improvements to provide real support and security for our fellow teachers during illness,” Tadle told The Flame.
According to him, the faculty union is negotiating for benefits similar to those of UST Hospital employees, such as the 100% free hospital confinement insurance.
Each part-time and full-time faculty personnel receive P50,000 and P100,000 hospitalization benefits, respectively, per academic year. They started enjoying the benefits in 1997 under then-rector Fr. Roland de la Rosa, O.P.
However, the academic staff lost purchasing power amounting to nearly P28 million due to inflation and peso depreciation in the last four academic years, Tadle said.
UST Faculty Union (USTFU) data showed that one needs nearly P332,000 this year to cover costs worth P100,000 in 1996, with the purchasing power of the peso dropping by more than 230% because of inflation.
Tadle pointed out that the rates at UST Hospital continued to increase, including those of laboratory tests and medical supplies.
Under Section 18.5.2 of the 2016-2021 CBA, a joint USTFU-UST committee may review and increase the benefits allocation in line with rising hospital rates while “taking into consideration the self-sufficiency and capacity of the fund to pay for the new benefit.”
The University gives an additional P2 million to the P8 million in hospitalization benefits every academic year. Despite adjustments to the medical allocations, Tadle believes UST needs more funds to make the benefits of the Thomasian faculty and hospital personnel uniform.
‘Solid’ financial position
Tadle said the University’s financial statement from 2016 to 2023 showed steady growth, with its net assets rising from P11.05 billion to P14.9 billion, largely due to its increased student enrollment and revenues.
Meanwhile, the unrestricted funds, which could be used for general needs, also rose to P11.5 billion in 2023 from P10.6 billion in 2022.
According to Tadle, UST is in a “solid financial position with a growing safety net” as its financial obligations remain below 20% of its total assets. The financial status makes UST capable of supporting long-term investments in programs, facilities, and staff, he added. The University, Tadle said, should show “greater generosity” to its employees who contributed to its success.
‘Christian compassion’
The ALFA president also argued that withholding the tuition hike share has no legal basis and that the Catholic institution has a “moral obligation” to assist its employees with their financial struggles.
He said the faculty union is appealing to the UST administration’s “sense of Christian compassion” to release the faculty’s shares, especially as the holiday season approaches.
“I am concerned that many faculty members will accept whatever CBA is negotiated—not because they believe it is fair or think UST has provided what they deserve, but because they feel cornered,” Tadle said.
“With Christmas approaching, the pressure is even higher, and USTFU’s bargaining power weakens as the holiday season nears,” he added.
In an Oct. 10 petition letter, the USTFU called for the immediate release of the faculty’s share in the tuition hike, but temporarily excluded the P10 million allocation for hospitalization benefits.
Tadle explained that the assessment of the additional source of hospitalization funding, which may come from the tuition reimbursement or UST’s other income sources, caused its exclusion from the computation of the faculty’s share.
The University allocates 70% of the tuition increase every academic year for the salaries, wages, allowances and other benefits of its teaching and non-teaching staff, while 20% is allotted for the development and maintenance of facilities. The allocation is based on the regulations of the Commission on Higher Education (CHED) and Republic Act 6728.
USTFU and ALFA said the administration was not required to finalize the CBA before releasing the tuition hike share. However, UST decided to withhold the tuition hike disbursements until the CBA negotiations for 2021 to 2026 are completed.
“The University is committed to working in good faith with USTFU to expedite the negotiations and come to an agreement that is fair and beneficial for all parties involved. However, until such negotiations are finalized, we must adhere to the legal guidelines and requirements established by CHED,” UST’s statement posted on its Facebook page last Oct. 15 read.
READ: UST to withhold faculty’s share of tuition hike pending
Deadlock possible
Tadle said the faculty’s shares remain unpaid for three years since the CBA has not yet been finalized. He expressed hope that the discussions would result in a policy change that would disassociate the tuition hike shares from CBA negotiations.
Tadle added that the union and the administration could negotiate on the amount of tuition increase to plan for its allocations for salaries and benefits, similar to other schools.
“This agreement would be part of the tuition fee consultation process, allowing stakeholders to know in advance how [the tuition hike share] will be used and ensuring its immediate incorporation into faculty salaries and benefits without waiting for CBA completion,” he said.
According to him, the USTFU may resort to legal actions or declare a deadlock, if the administration rejects its proposals.
“USTFU has legal options, including declaring a deadlock in negotiations. The real question is whether members would support such a move,” Tadle said.
“Their support depends on how well they understand the issues and whether they have enough reasons to stand by the decision, given their own concerns. It also hinges on how united and strong the union is as an organization.” F