Collective Negotiation Agreement made and entered into the date and place hereinafter by and between
the Association of City Employees for Solidarity of Mati, Inc. (ACES) a duly registered and accredited Public Sector Union by its Presdent Engr. Zenaida M. Loon and the City Government of Mati, Davao Oriental, a duly established Local Government Unit by its City Mayor, Honorable Michelle N. Rabat.

The 1987 Constitution specifically Article III Section 8, provides among others that “The right of the people including those employed in the Public and Private to form unions, association and societies for purposes not contrary tom law, shall not be abridged”.

Association of Municipal Employees of Davao oriental (AMEMDO) renamed into Association of City Employees for Solidarity of Mati, Inc. (ACES) has been registered as a Public Sector Union pursuant to Registration Certificate No. 1348.

The ACES, Inc. and the LGU mutually consent to enter into a formal Collective Negotiation Agreement (CNA) in order to promote harmonious relationship as a primary foundation for a lasting partnership in Public service.

The parties hereby manifest their collective agreement as follows:

Article 1- Recognition, Authorized Representative and Bargaining Unit, the LGU hereby recognizes the ACES as the sole authorized representative and bargaining unit for all rank and file employees of the LGU.

Article II- Negotiating Unit is composed of all rank and file employees as defined in Executive Order No. 180, Series of 1987 entitled “Providing Guidelines for the Exercise of the Right to Organize of Government Employees Creating a Public Sector Labor Management Council, and for other Purposes”.

Article IV- Conflict, if there is conflict between the implementation of this agreement and the provision of any rules and regulations hereto promulgated or laid down by the LGU and applicable to LGU.

Collective Negotiation Agreement Incentives, in recognition of the joint efforts of labor and management to achieve all plan targets, programs and services approved in the budget of agency at a lesser cost, a CNA cash incentives is hereby granted to all rank-and-file employees covered by this Agreement pursuant to Administrative Order No. 35 Section 2 Limitations as well as Resolution No. 04, series of 2002 of the Public Sector Labor and Management Council.

Collective Negotiation Agreement Appropriations. The CNA incentives for covered employees shall be appropriated as follows: One year and above- 100% of the CNA incentives for the year, as determined based on the savings. Below one (1) year- pro-rated monthly.

Provided that all recipients of the CNA incentives shall participate to at least 4 major and 5 minor activities spearheaded by the City Government of Mati and ACES, Inc.

Separability Clause, if any provision of this agreement is held contrary to law by a court of competent jurisdiction, said provision or the application thereof, will be deemed invalid, except to the extent permitted by law, but all other provisions or applications will continue to be in full force and effect.

This Agreement shall remain in full force and effect for a period of three (3) years commencing from the date of execution.