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LABOR RELATIONS

CASE DIGESTS SET 7

agreement & FTLO & PINCOCO executed a CBA


for 3 yrs.

Strikes and Lockouts


(Art 263-266)

PICEWO then held a strike PINCOCO instructed


them to return to work none returned
PINCOCO posted again a notice advising them to
signify their ability to work & submit to police
clearance & medical & physical exam PICEWO
signified its intent to return to work but none of
the strikers were allowed to work.

76. Toyota Motors 19 Oct 07


77. SSS vs. CA 175 SCRA 28 July 89
78. Samahan GR No. 119467
79. NSFW vs. Ovejera GR. 59743 31 May 82
80. Union vs. Nestle GR 88710-13 19 Dec 90
81. Union vs. NLRC GR 119293 June 03

82. Peoples Industrial and Commercial


Employees &
Wokers Org vs Peoples Industrial and
Commercial
Corp (PINCOCO)
G.R. No. 37657 15 March 1982
in the absence of enforceable provisions in the
federations consti preventing disaffiliation of a
local union, a local may sever its relationship w/
its parent
FACTS:
After the termination of the agreement between
FTLO and PINCOCO, an election of the Rizal
Chapter of the FTLO was conducted. With the
knowledge of ER PINCOCO individual petitioners
were elected. The new officers & 51 other EEs
executed a certification stating that they are
members of FTLO, have changed the name of
their union (to PICEWO Peoples Industrial &
Commercial Employees Workers Org), have
affiliated this new union with the FFW (Federation
of Free Workers). Union counsel Atty Advincula
was disauthorized to represent the signatories
*contains no reason or cause for the change of
union name
Pagayatan, as chapter pres of FTLO & not as pres
of PICEWO, notified in writing PINCOCO of their
desire to terminate the working agreement
replied that in time they will. Consequently, FTLO
expelled petitioners on the ground of disloyalty &
working for the interest of another labor
federation. Pagayatan, this time as pres of
PICEWO, filed a notice of strike on the ground of
ERs refusal to bargain. FTLO demanded PINCOCO
to
dismiss
petitioners by
enforcing
the
maintenance of membership shop of the working

From there, arose 3 cases resolved by the CIR.


a. Art 2 of the working agreement required the
maintenance of the membership in the federation
as a condition for continued employment
b. Cause for expulsion was 1 expressly stated in
the agreement
c. FTLO is the sole & EBR limitation to
petitioners right to leave the union & join
another
No ULP & that the strike was not on account of
any ULP
ISSUE:
WON petitioners act of disaffiliating from the
mother federation constitutes an act of disloyalty
to the union w/c would warrant their expulsion &
consequently their dismissal from the company in
pursuance to the union security clause in the CBA
Petitioners contend that there was no disloyalty
they merely changed the name of their union
HELD:
NO. Assailed decision is set aside.
While the court is not convinced that they just
changed their name (having registered the new
union & affiliated it w/ a new federation FFW),
petitioners do not dismissal.
The validity of the dismissal pursuant to security
clause of the CBA hinges on the validity of the
disaffiliation of the local union from the
federation.
The right to withdraw from the federation
depends on the CBL nothing shown in the
records that the local union was expressly
forbidden to disaffiliate from the federation but
for the union security clause. But this is rebutted
by the fact that 85% (51/60) of the union
members decided to reorganize the union & to
disaffiliate from the mother federation.
No disloyalty since the federation & the union are
2 diff entities it was the federation that even
actively initiated the dismissal of the petitioners.

New decision: reinstatement w/ back wages.

83. NATIONAL FEDERATION vs. NLRC GR


113466 15 Dec 07

84. ILAW AT BUKLOD NG MANGGAGAWA


(IBM) vs.
NLRC
G.R. No. 91980 27 June 1991
FACTS:
Upon the effectivity of RA 6727, the union, Ilaw at
Buklod ng Manggagawa (the Union) presented to
San Miguel Corporation (SMC) a "demand" for
correction of the significant distortion in the
workers wage. However, the Union alleged that
they were ignored. To compel SMC to correct the
distortion in their wages brought about by the
implementation of RA 6640 and RA 6727 to
newly-hired
employees,
workers who are
members of the Union refused to work beyond 8
hours everyday at the Polo Plant of SMC.
SMC claimed that the abandonment of the longstanding schedule of work which the workers
welcomed and encouraged before and the
reversion to the 8-hour shift caused substantial
losses to SMC. SMC filed an action to declare the
strike or slowdown illegal in the NLRC.
It contends that the coordinated reduction by the
Union's members of the work time, willingly and
consistently observed by them, causing financial
losses to the employer in order to compel it to
yield to the demand for correction of "wage
distortions," is an illegal and "unprotected"
activity. It is, SMC argues, contrary to the law and
to the CBA.
ISSUE:
WON the strike or slowdown is illegal as it is
contrary to law and to the CBA between SMC and
the Union?
HELD:
YES. Strikes or slowdowns may be forbidden or
restricted by law or contract. In the particular
instance of "distortions of the wage structure
within an establishment" resulting from "the
application of any prescribed wage increase by
virtue of a law or wage order," Section 3 of RA
6727 prescribes a specific, detailed and
comprehensive procedure for the correction
thereof, thereby implicitly excluding strikes or

lockouts or other concerted activities as modes of


settlement of the issue.
Section 16, Chapter I of the IRR of R.A. 6727,
after reiterating the policy that wage distortions
be first settled voluntarily by the parties and
eventually by compulsory arbitration, declares
that, "Any issue involving wage distortion shall
not be a ground for a strike/lockout."
CBA prescribes a similar eschewal of strikes or
other similar or related concerted activities as a
mode of resolving disputes or controversies,
generally, said agreement clearly stating that
settlement of "all disputes, disagreements or
controversies of any kind" should be achieved by
the stipulated grievance procedure and ultimately
by arbitration.
The Union was thus prohibited to declare and
hold a strike or otherwise engage in non-peaceful
concerted activities for the settlement of its
controversy with SMC in respect of wage
distortions, or for that matter; any other issue
"involving or relating to wages, hours of work,
conditions of employment and/or employeremployee relations." The partial strike or
concerted refusal by the Union members to follow
the five-year-old work schedule which they had
therefore been observing, resorted to as a means
of coercing correction of "wage distortions," was
therefore forbidden by law and contract and, on
this account, illegal.
Even if there were no such legal prohibition, and
even assuming the controversy really did not
involve the wage distortions caused by RA 6727,
the
activity in question would still be illicit
because it is contrary to the workers' explicit
contractual commitment "that there shall be no
strikes, walkouts, stoppage or slowdown of work,
boycotts, secondary boycotts, refusal to handle
any merchandise, picketing, sit-down strikes of
any kind, sympathetic or general strikes, or any
other interference with any of the operations of
the COMPANY during the term of CBA
The legislative intent that solution of the problem
of wage distortions shall be sought by voluntary
negotiation or abitration, and not by strikes,
lockouts, or other concerted activities of the
employees or management, is made clear in the
rules implementing RA 6727 issued by the
Secretary of Labor and Employment 12 pursuant
to the authority granted by Section 13 of the Act.
13 Section 16, Chapter I of these implementing
rules, after reiterating the policy that wage
distortions be first settled voluntarily by the
parties and eventually by compulsory arbitration,
declares that, "Any issue involving wage
distortion shall not be a ground for a
strike/lockout."

85. UNIVERSITY OF SAN AGUSTIN


G.R. No. 169632 28 March 2006 p.603

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