"Kowloon House warns of business collapse amid labor dispute", 19 April 2026

… The legal counsel of a popular and long-time dimsum factory and restaurant warned of a possible collapse of the business if the workers will continue their strike.

Perlito Campanilla, counsel of Katipunan Food Services Inc. (KFSI), which owns Kowloon House whose factory is located in Quezon City, said the unrest is a major challenge for the company.

“The company is at a critical crossroads, balancing worker demands against a harsh economic reality that has already seen several franchisees withdraw their support,” Campanilla said in a statement.

Dismissing claims that management has turned a blind eye to the workers' plight, Campanilla said it has been consistently appearing before the National Conciliation and Mediation Board (NCMB)…

He said the Kowloon management has already conceded to several union demands, including 17 days vacation leave, 15 days sick leave which can be converted to cash if unused, birthday leave with cash incentive, mid-year bonus, early retirement for employees with 15 years of continuous service and 180 cumulative union leave days.

… He said that despite the union members’ blocking the entrance and conducting a “premature strike,” the management still opted not to file a case to declare their strike illegal or ask for the termination of their employment.

While the union was demanding ₱25 daily wage increase, the KSFI lawyer explained that the global oil crisis has severely crippled operations, causing production costs to soar while customer volume drops.

… He said that the union’s ‘slowdown strike’ and refusal to do overtime have backfired, causing unserved orders that prompted franchisees—who account for 80 percent Kowloon’s profit—to pre-terminate their contracts…