Chairman of the Philippine airlines, Lucio Tan faced a problem in the year of 1997 to 1999, where the airlines have been on the situation that it would close and most of all the employees would be removed on the said Department. This crisis would be the decreasing of demand on air travels and most especially the lack of financial obligations to its employees and to the government. As per the case, Lucio Tan already propose to the PALEA officers something that will make the PAL survives from its crisis on-going. The PALEA officers already accepted the proposal however the member of the association demands to return the officers. On the moment, the management was on the stage of bankruptcy and the only way to save it is the proposal which Lucio Tan engaged to the PALEA to prevent the closure of the PAL.