On Wednesday, March 5, 2025, the Nexperia Philippines Inc. Workers Union – NAFLU – KMU (NPIWU-NAFLU-KMU) has begun a strike, halting production at the Philippine semiconductor company.
The strike has been declared after numerous negotiations, as the company’s management continues to offer a daily wage increase of only PHP 17 (US$0.30), an increase far below the union demand of PHP 50 (US$0.87) despite the high productivity of the workers, who are currently manufacturing around seven million microchips per day.
Nexperia workers continue to fight for fair wages, job security and freedom of association: 80% of the 1,800 workers have joined the strike.
On the very day the strike began, Nexperia’s management cut off the water and electricity supply and closed the canteen, the only source of food for the workers who work two shifts inside the factory. However, the workers remain determined and support continues to grow.
From SETEM, we give our support to the union struggle of the Nexperia workers, and:
– We express our rejection of the DOLE’s assumption of jurisdiction order and condemn Nexperia’s labor rights violations and union repression.
– We demand that the workers’ demands be heard and that they be granted the Php50 wage increase.
– We call for the reinstatement of the union leaders unjustly fired by management.
– We call for an end to the wave of layoffs and exploitation of workers at Nexperia.
More information on how to support the union struggle of the Nexperia workers on the website of the international network Good Electronics.
To follow the strike news, you can do so through their Facebook page All Nexperia Fight (in Filipino).
Mary Ann Castillo, president of the union, who was invited to participate in the 10th edition of the Mobile Social Congress, was unable to attend the panel in which she was supposed to participate, since it coincided with the start of the strike. Even so, she sent a video to explain the struggle and to ask for solidarity from the factory in the middle of the strike. This is the video:
Greetings and solidarity to all comrades!
First, i would like to thank SETEM for giving us the chance to share our union experiences and the present situation of the workers in Nexperia.
I am Mary Ann Castillo, currently the union president of Nexperia Philippines Inc. Workers Union in the region. Also the president of Metal Workers Alliance of the Phils.
The hardships experienced by the workers of Nexperia are also being experienced by other workers in the Philippines and around the world. Because of the nature of capitalism, which seeks to accumulate increasing profits, with governments as accomplices, neoliberal policies are being widely implemented against the working class. These policies include contractualization, imposing extremely low wages, implementing wage regionalization, large-scale layoffs due to cost optimization, automation, and others.
The workers of Nexperia are part of the vast number of workers whose wages are being undervalued amidst the high prices of goods, rent, water, electricity… being laid off, being deprived of rights, and so on. As a result, thousands of families are being pushed into extreme poverty.
From Nexperia’s website, it proudly states that it produces more than 90 billion essential semiconductors every year. Nexperia takes pride in its plant in Cabuyao, Laguna as the “home for assembly and testing.” It processes an estimated one billion “clip bond/power package capabilities” or chips used in essential electric products every year.
This level of productivity by Nexperia in the Philippines is only made possible because of the workers. However, due to the inherent greed of capitalists, they want to further increase their profits – expanding production while reducing labor costs. This is the reason for the layoffs and the undervaluation of workers’ wages and benefits.
It is also expected that layoffs will continue at Nexperia due to its ongoing cost-optimization efforts in pursuit of higher profits. It aims to reach a 1:9 worker-to-machine ratio. This goal—improving production to increase profits at the expense of workers’ welfare (keeping wages low and laying off workers)—is a natural characteristic of capitalist production.
The Collective Bargaining Agreement (CBA) negotiations with Nexperia have lasted for over a year, with discussions starting in January 2024. Before this year, in 2023, there was widespread layoff, continuing into 2024, where over 500 workers lost their jobs. Eleven union members were forcibly laid off, allegedly due to being low performers. Management violated our CBA and carried out layoffs during the negotiation period. As a result, we filed a Notice of Strike and held a Strike Voting, which overwhelmingly voted “Yes” to strike. Management settled by prioritizing rehiring them once the volume increased and provided proper separation packages and CBA grants.
Because of Nexperia’s desire to force workers to accept a meager wage increase of ₱17 over three years, the negotiations reached a deadlock. We filed another Notice of Strike for the CBA on December 10, 2024. In retaliation, Management fired four union officers on fabricated charges on December 17. Nexperia’s clear intention was to intimidate and weaken the union by firing the four officers who led the fight for higher wages and job security.
We filed another Notice of Strike and conducted another Strike Voting, which again overwhelmingly voted “Yes” to strike. The workers were preparing for the strike, but just before the strike was about to break out, an Assumption of Jurisdiction (AJ) was issued on February 5 of this year to prevent the strike. Management sought the intervention of the Department of Labor and Employment (DOLE), collaborating with them because they did not want the production to stop.
Now that the discussions are under the AJ, Nexperia has been firm in offering a low settlement and only wants to reinstate two officers. Our union stands firm that all four officers should be reinstated, and the CBA should be completed.
By dismissing the union officers, who also serve as the negotiation panel, Management has deprived the union of its fundamental right to organize, bargain, and participate in democratic processes. Based on these facts, it is clear to the workers: A strike is the answer to greedy capitalists like Nexperia.
The entire union membership is now On strike. 700 workers are now inside the plant while the others are here in the picket near the gate of economic zone in the region.
Our shout and call:
#Support Nexperia Workers on strike!
#Nexperia and DOLE, Anti-Worker! #Nexperia, Greedy for Profit!
#DOLE Anti-Worker!
#Reinstate 4 dismissed union leaders!
#Fight for decent wages, job security and rights!
#Respect Collective bargaining agreement
