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\dbch \af2 \hich \af0 \loch \af0 {\fs22 \kerning2 \dbch \af4 \hich \af4 \loch
\f4 \lang9 \langnp9 PAL versus HASSARAM}{\fs22 \kerning2 \dbch \af4 \hich \af4
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\fs21 \kerning2 \dbch \af2 \hich \af0 \loch \af0 {\fs22 \kerning2 \dbch \af4
\hich \af4 \loch \f4 \lang9 \langnp9 JUNE 5, 2017}{\fs22 \kerning2 \dbch \af4 \hich
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\dbch \af2 \hich \af0 \loch \af0 {\fs22 \kerning2 \dbch \af4 \hich \af4 \loch
\f4 \lang9 \langnp9 Hassaram filed a complaint before the LA against PAL for
illegal dismissal and the payment for retirement benefits, damages, and atty.'s
fees. He claimed that he had applied for retirement from PAL in August 2000 after
rendering }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9
\highlight7 24 years of service as pilo}{\fs22 \kerning2 \dbch \af4 \hich \af4
\loch \f4 \lang9 \langnp9 t but his application was denied allegedly on the gorund
that he had lost his employment in the company as of June 9, 1998 in view of his }
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 \highlight7
failure to comply with the return to work order issued by the Labor Secretary
against members of Airline Pilots Association of the Phil. (ALPAP) }{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 on June 7, 1998.}
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 \par }\pard \plain
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\lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2 \hich \af0 \loch \af0 {\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 \highlight7 Hassaram
argued that he was not covered by the return to work order as he was on his way to
Taipei to report for work at EVA Air pursuant to a 4-year contract approved by PAL}
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 . He further
claimed that, }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9
\highlight7 as per agreement with PAL, he is allowed to go on leave without pay
while working for EVA Air,}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang9 \langnp9 with }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9
\langnp9 \highlight7 right to accrue seniroity and retire from PAL during the
period of his leave}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9
\langnp9 . }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9
\par }\pard \plain \qj \li0 \ri0 \lisb0 \sa200 \lisa0 \widctlpar \aspalpha
\aspnum \adjustright \lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2 \hich \af0 \loch
\af0 {\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 On the other
hand, PAL contended among others, that if at all, Hassaram was entitled only to
retirement benefits of }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9
\langnp9 \highlight7 5 thousand for every year of service pursuant to a CBA between
PAL and ALPAP}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 .
Said CBA expired on December 31, 2000.}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch
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\dbch \af2 \hich \af0 \loch \af0 {\fs22 \kerning2 \dbch \af4 \hich \af4 \loch
\f4 \lang9 \langnp9 The LA ruled in favor of Hassaram and awarded him retirement
benefits and atty.'s fees. The LA ruled that Hassaram }{\fs22 \kerning2 \dbch \af4
\hich \af4 \loch \f4 \lang9 \langnp9 \highlight7 did not defy the return to work
order as he was already on leave when said order was implemented}{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 . The LA further ruled
that Art. 287 of the Labor Code be applied in the computation of Hassaram's
benefits since it provided better benefits than the PAL-ALPAP CBA.}{\fs22 \kerning2
\dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 \par }\pard \plain \qj \li0 \ri0
\lisb0 \sa200 \lisa0 \widctlpar \aspalpha \aspnum \adjustright \lin0 \rin0
\itap0 \fs21 \kerning2 \dbch \af2 \hich \af0 \loch \af0 {\fs22 \kerning2 \dbch \af4
\hich \af4 \loch \f4 \lang9 \langnp9 Upon appeal to the NLRC, PAL asserted among
others that Hassaram was not entitled to retirement benefits because he had been
earlier terminated for defying the return to work order. The NLRC affirmed the
decision of the LA. On motion for reconsideration, }{\fs22 \kerning2 \dbch \af4
\hich \af4 \loch \f4 \lang9 \langnp9 \highlight7 PAL for the first time cited
Hassaram's
receipt of retirement benefits in the amount of 4,456,817.75 by virtue of the PAL
Pilot's Retirement Benefit Plan.}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch
\f4 \lang9 \langnp9 PAL further argued that due to the newly discovered payment,
any claim made by Hassaram for retirement benefits should be deemed extinguished.}
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 \par }\pard \plain
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\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 The }{\fs22 \kerning2
\dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 \highlight7 NLRC granted PAL's
motion for reconsideration and ruled that the payment received by Hassaram was
sufficient to discharge his claim for retirement benefit}{\fs22 \kerning2 \dbch
\af4 \hich \af4 \loch \f4 \lang9 \langnp9 s. Hassaram sought reconsideration but
was denied. Hassaram then elevated the case to the CA via a petiton for
certiorari.}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9
\par }\pard \plain \qj \li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar
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\hich \af0 \loch \af0 {\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9
\langnp9 Before the CA, Hassaram}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch
\f4 \lang13321 \langnp13321 , w}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang9 \langnp9 hile admitting t}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch
\f4 \lang13321 \langnp13321 he receipt of }{\fs22 \kerning2 \dbch \af4 \hich
\af4 \loch \f4 \lang9 \langnp9 4,456,817.75 under the}{\fs22 \kerning2 \dbch
\af4 \hich \af4 \loch \f4 \lang13321 \langnp13321 }{\fs22 \kerning2 \dbch \af4
\hich \af4 \loch \f4 \lang13321 \langnp13321 \highlight7 PAL Pilot's Retirement
Benefit Plan}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9
\highlight7 ,}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321
\langnp13321 \highlight7 }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang9 \langnp9 \highlight7 maintained that his receipt of that sum did not
preclude him from claiming retirement benefits from PAL, since that amount
represented only a return of his share in a distinct and separate provident fund
established for PAL pilots}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang13321 \langnp13321 . }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang9 \langnp9 PAL belied Hassaram's claims}{\fs22 \kerning2 \dbch \af4 \hich \af4
\loch \f4 \lang13321 \langnp13321 and}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch
\f4 \lang9 \langnp9 asserted that the Plan was a retirement fund it "wholly
financed",}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321 \langnp13321
thus}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 the payment
Hassaram received therefrom should be considered part of his retirement pay.}{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 \par }\pard \plain \qj
\li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar \aspalpha \aspnum
\adjustright \lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2 \hich \af0 \loch \af0
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321 \langnp13321 The CA
reversed }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 the NLRC
}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321 \langnp13321 ruling }
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 and reinsta}{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321 \langnp13321 ted that }
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 of the LA. The
appellate court declared that the funds received }{\fs22 \kerning2 \dbch \af4 \hich
\af4 \loch \f4 \lang13321 \langnp13321 by Hassaram pursuant to PAL Pilot's
Retirement Benefits Plan }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang9 \langnp9 were not the retirement benefits contemplated by law}{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321 \langnp13321 , hence Hassaram
is }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 entitled to
receive retirement benefits in the amount of \uc1 \u8369 ?2, 111,984.60 pursuant to
Article 287 of the Labor Code.}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang13321 \langnp13321 }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang9 \langnp9 PAL sought reconsideration of the ruling, but its motion was
denied.}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9
\par }\pard \plain \qj \li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar
\aspalpha \aspnum \adjustright \lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2
\hich \af0 \loch \af0 {\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang13321 \langnp13321 \par }\pard \plain \qj \li0 \ri0 \lisb0 \sa200 \lisa0
\sl276 \slmult1 \widctlpar \aspalpha \aspnum \adjustright \lin0 \rin0 \itap0
\fs21 \kerning2 \dbch \af2 \hich \af0 \loch \af0 {\fs22 \kerning2 \dbch \af4
\hich \af4 \loch \f4 \lang13321 \langnp13321 ISSUE:}{\fs22 \kerning2 \dbch \af4
\hich \af4 \loch \f4 \lang13321 \langnp13321 \par }\pard \plain \qj \li0 \ri0
\lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar \aspalpha \aspnum \adjustright
\lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2 \hich \af0 \loch \af0 {\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321 \langnp13321 \tab }{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 1. Whether the amount
received by Hassaram under the}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang13321 \langnp13321 PAL Pilot's Retirement Benefit Plan}{\fs22 \kerning2 \dbch
\af4 \hich \af4 \loch \f4 \lang9 \langnp9 should be deemed }{\fs22 \kerning2 \dbch
\af4 \hich \af4 \loch \f4 \lang13321 \langnp13321 \tab }{\fs22 \kerning2 \dbch \af4
\hich \af4 \loch \f4 \lang13321 \langnp13321 \tab }{\fs22 \kerning2 \dbch \af4
\hich \af4 \loch \f4 \lang13321 \langnp13321 }{\fs22 \kerning2 \dbch \af4 \hich
\af4 \loch \f4 \lang9 \langnp9 part of his retirement pay}{\fs22 \kerning2 \dbch
\af4 \hich \af4 \loch \f4 \lang9 \langnp9 \par }\pard \plain \qj \li0 \ri0
\lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar \aspalpha \aspnum \adjustright
\lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2 \hich \af0 \loch \af0 {\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321 \langnp13321 \tab }{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 2. Whether Hassaram is
entitled to receive retirement benefits under Article 287 of the Labor Code}
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 \par }\pard \plain
\qj \li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar \aspalpha \aspnum
\adjustright \lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2 \hich \af0 \loch \af0
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 PAL no longer
questions the entitlement of Hassaram to retirement benefits. Its only contention
is that the CA erred in declaring that his benefits should be computed on the basis
of Section 287 of the Labor Code. PAL asse}{\fs22 \kerning2 \dbch \af4 \hich
\af4 \loch \f4 \lang13321 \langnp13321 rt}{\fs22 \kerning2 \dbch \af4 \hich \af4
\loch \f4 \lang9 \langnp9 s, instead, that its own company retirement plans - both
the PAL Pilots' Retirement Benefit Plan and the 1967 PAL-ALPAP Retirement Plan -
should have been applied to determine Hassaram's retirement benefits.}{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 \par }\pard \plain \qj
\li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar \aspalpha \aspnum
\adjustright \lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2 \hich \af0 \loch \af0
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321 \langnp13321 On the
other hand, }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9
Hassaram insists that the sum he received was a benefit separate from that provided
under Article 287 of the Labor Code. He reiterates that his receipt of \uc1
\u8369 ?4,456,817. 75 does not preclude him from claiming his retirement pay under
the statute, because }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9
\langnp9 \highlight7 those benefits he obtained were supposedly meant to reward him
for his loyalty and service to PAL}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang9 \langnp9 . He likewise asse}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang13321 \langnp13321 rts}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9
\langnp9 that the }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321
\langnp13321 \highlight7 PAL Pilot's Retirement Benefit }{\fs22 \kerning2 \dbch
\af4 \hich \af4 \loch \f4 \lang9 \langnp9 \highlight7 Plan was not truly a
retirement plan, but a provident fund "set up for the benefit of the pilots-members
by way of saving a portion of their salary [forced savings]. }{\fs22 \kerning2
\dbch \af4 \hich \af4 \loch \f4 \lang13321 \langnp13321 \highlight7 It}{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321 \langnp13321 }{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 was }{\fs22 \kerning2
\dbch \af4 \hich \af4 \loch \f4 \lang13321 \langnp13321 his}{\fs22 \kerning2
\dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 understanding that their shares in
the fund would be returned upon retirement, disability or unemployment.}{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 \par }\pard \plain \ql
\li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar \aspalpha \aspnum
\adjustright \lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2 \hich \af0 \loch \af0
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321 \langnp13321 RULING:}
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321 \langnp13321
\par }\pard \plain \ql \li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar
\aspalpha \aspnum \adjustright \lin0 \rin0 \itap0
\fs21 \kerning2 \dbch \af2 \hich \af0 \loch \af0 {\fs22 \kerning2 \dbch \af4 \hich
\af4 \loch \f4 \lang13321 \langnp13321 T}{\fs22 \kerning2 \dbch \af4 \hich \af4
\loch \f4 \lang9 \langnp9 he amount received by Hassaram under the Plan must be
considered part of his retirement pay. Combined with the retirement benefits under
the CBA between PAL and ALP AP, this scheme would allow Hassaram to receive
superior retirement benefits, thereby rendering Article 287 of the Labor Code
inapplicable}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321
\langnp13321 \par }\pard \plain \ql \li0 \ri0 \lisb0 \sa200 \lisa0 \sl276
\slmult1 \widctlpar \aspalpha \aspnum \adjustright \lin0 \rin0 \itap0 \fs21
\kerning2 \dbch \af2 \hich \af0 \loch \af0 {\fs22 \kerning2 \dbch \af4 \hich
\af4 \loch \f4 \lang9 \langnp9 It is clear from the provisions of the }{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321 \langnp13321 PAL Pilot's
Retirement Benefit Plan}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9
\langnp9 that it is the company that contributes to a "retirement fund" for the
account of the pilots. These contributions comprise the benefits received by the
latter upon retirement, separation from service, or disability. }{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 \par }\pard \plain \ql
\li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar \aspalpha \aspnum
\adjustright \lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2 \hich \af0 \loch \af0
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 The PAL Pilots'
Retirement Benefit Plan is a retirement fund raised from contributions exclusively
from }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321 \langnp13321 PAL}
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 of amounts
equivalent to 20% of each pilot's gross monthly pay. Upon retirement, each pilot
stands to receive the full amount of the contribution. In sum, therefore, the pilot
gets an amount equivalent to 240% of his gross monthly income for every year of
service he rendered to petitioner. This is in addition to the amount of not less
than \uc1 \u8369 ?100,000.00 that he shall receive under the 1967 Retirement Plan.}
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 \par }\pard \plain
\ql \li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar \aspalpha \aspnum
\adjustright \lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2 \hich \af0 \loch \af0
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 Hassaram's
retirement pay should be computed on the basis of the retirement plans provided by
PAL.}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9
\par }\pard \plain \ql \li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar
\aspalpha \aspnum \adjustright \lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2
\hich \af0 \loch \af0 {\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang13321 \langnp13321 \tab }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang9 \langnp9 Art. 287. Retirement. Any employee may be retired upon reaching the
retirement age established in the }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang13321 \langnp13321 \tab }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang13321 \langnp13321 \tab }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang9 \langnp9 collective bargaining agreement or other applicable employment
contract.}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9
\par }\pard \plain \ql \li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar
\aspalpha \aspnum \adjustright \lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2
\hich \af0 \loch \af0 {\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9
\langnp9 \par }\pard \plain \ql \li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1
\widctlpar \aspalpha \aspnum \adjustright \lin0 \rin0 \itap0 \fs21 \kerning2
\dbch \af2 \hich \af0 \loch \af0 {\fs22 \kerning2 \dbch \af4 \hich \af4 \loch
\f4 \lang13321 \langnp13321 \tab }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch
\f4 \lang9 \langnp9 In case of retirement, the employee shall be entitled to
receive such retirement benefits as he may have earned }{\fs22 \kerning2 \dbch \af4
\hich \af4 \loch \f4 \lang13321 \langnp13321 \tab }{\fs22 \kerning2 \dbch \af4
\hich \af4 \loch \f4 \lang9 \langnp9 under existing laws and any collective
bargaining agreement and other agreements: Provided, however, That an }{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321 \langnp13321 \tab }{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 employee's retirement
benefits under any collective bargaining and other agreements shall not be less
than }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321 \langnp13321 \tab
}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 those provided
therein.}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9
\par }\pard \plain \ql \li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar
\aspalpha \aspnum \adjustright \lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2
\hich \af0 \loch \af0 {\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9
\langnp9 \par }\pard \plain \ql \li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1
\widctlpar \aspalpha \aspnum \adjustright \lin0 \rin0 \itap0 \fs21 \kerning2
\dbch \af2 \hich \af0 \loch \af0 {\fs22 \kerning2 \dbch \af4 \hich \af4 \loch
\f4 \lang13321 \langnp13321 \tab }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch
\f4 \lang9 \langnp9 In the absence of a retirement plan or agreement providing for
retirement benefits of employees in the }{\fs22 \kerning2 \dbch \af4 \hich \af4
\loch \f4 \lang13321 \langnp13321 \tab }{\fs22 \kerning2 \dbch \af4 \hich \af4
\loch \f4 \lang9 \langnp9 establishment, an employee upon reaching the age of sixty
(60) years or more, but not beyond sixty-five (65) }{\fs22 \kerning2 \dbch \af4
\hich \af4 \loch \f4 \lang13321 \langnp13321 \tab }{\fs22 \kerning2 \dbch \af4
\hich \af4 \loch \f4 \lang9 \langnp9 years which is hereby declared the compulsory
retirement age, who has served at least five (5) years in the said }{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321 \langnp13321 \tab }{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 establishment, may retire
and shall be entitled to retirement pay equivalent to at least one-half (1 /2)
month }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321 \langnp13321
\tab }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 salary for
every year of service, a fraction of at least six (6) months being considered as
one whole year.}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9
\par }\pard \plain \ql \li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar
\aspalpha \aspnum \adjustright \lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2
\hich \af0 \loch \af0 {\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang13321 \langnp13321 ART. 287 of the Labor Code clearly}{\fs22 \kerning2
\dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 is applicable only to a situation
where}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9
\par }\pard \plain \ql \li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar
\aspalpha \aspnum \adjustright \lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2
\hich \af0 \loch \af0 {\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang13321 \langnp13321 \tab }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang9 \langnp9 (l)}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321
\langnp13321 \tab }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9
there is no CBA or other applicable employment contract providing for retirement
benefits for an }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321
\langnp13321 \tab }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321
\langnp13321 \tab }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321
\langnp13321 \tab }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9
employee, or }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 \par
}\pard \plain \ql \li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar
\aspalpha \aspnum \adjustright \lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2
\hich \af0 \loch \af0 {\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang13321 \langnp13321 \tab }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4
\lang9 \langnp9 (2) }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321
\langnp13321 \tab }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9
there is a CBA or other applicable employment contract providing for retirement
benefits for an }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321
\langnp13321 \tab }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321
\langnp13321 \tab }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321
\langnp13321 \tab }{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9
employee, but it is below the requirement set by law. }{\fs22 \kerning2 \dbch
\af4 \hich \af4 \loch \f4 \lang9 \langnp9 \par }\pard \plain \ql \li0 \ri0
\lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar \aspalpha \aspnum \adjustright
\lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2 \hich \af0 \loch \af0 {\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 The determining factor in
choosing which retirement scheme to apply is still superiority in terms of benefits
provided. Thus, even if there is an existing CBA but the same does not provide for
retirement benefits equal or superior to that which is provided under Article 287
of the Labor Code, the latter will apply. In this manner, the employee can be
assured of a reasonable amount of retirement pay for his sustenance.}{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 \par }\pard \plain \ql
\li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar \aspalpha \aspnum
\adjustright
\lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2 \hich \af0 \loch \af0 {\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 It is clear from the
records that Hassaram is a member of ALP AP and as such, is entitled to benefits
from both the retirement plans under the 196 7 PAL-ALPAP CBA and the Plan. }
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang13321 \langnp13321 T}
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 he CBA expired
only on 31 December 2000, while Hassaram had applied for retirement earlier, on 31
August 2000. The provisions of the CBA are therefore applicable as they would
allow Hassaram to claim the following benefits under two separate plans provided
under the CBA: (a) the amount of \uc1 \u8369 ?5,000 for every year of service under
the PAL-ALP AP Retirement Plan; and (b) an equity equivalent to 240% of his gross
monthly salary for every year of employment pursuant to the Plan.}{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 \par }\pard \plain \ql
\li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar \aspalpha \aspnum
\adjustright \lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2 \hich \af0 \loch \af0
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 In contrast,
Article 287 would entitle a retiring pilot to the equivalent of only 22.5 days of
his monthly salary for every year of service.This scheme was thus considered by the
Court as inferior to the retirement plans granted by PAL to the latter's pilots.}
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 \par }\pard \plain
\ql \li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar \aspalpha \aspnum
\adjustright \lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2 \hich \af0 \loch \af0
{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 Comparing the
benefits under the two (2) retirement schemes, it can readily be perceived that the
22.5 days worth of salary for every year of service provided under Article 287 of
the Labor Code cannot match the 240% of salary or almost two and }{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang1033 \langnp1033 i}{\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 a half worth of monthly
salary per year of service provided under the PAL Pilots' Retirement Benefit Plan,
which will be further added to the \uc1 \u8369 ?125,000.00 to which the petitioner
is entitled under the PAL-ALP AP Retirement Plan. Clearly then, it is to the
petitioner's advantage that PAL's retirement plans were applied in the computation
of his retirement benefits.}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9
\langnp9 \par }\pard \plain \ql \li0 \ri0 \lisb0 \sa200 \lisa0 \sl276 \slmult1
\widctlpar \aspalpha \aspnum \adjustright \lin0 \rin0 \itap0 \fs21 \kerning2
\dbch \af2 \hich \af0 \loch \af0 {\fs22 \kerning2 \dbch \af4 \hich \af4 \loch
\f4 \lang9 \langnp9 Hassaram's retirement benefits must be computed based on the
retirement plans of PAL, and not on Article 287 of the Labor Code.}{\fs22 \kerning2
\dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 \par }\pard \plain \ql \li0 \ri0
\lisb0 \sa200 \lisa0 \sl276 \slmult1 \widctlpar \aspalpha \aspnum \adjustright
\lin0 \rin0 \itap0 \fs21 \kerning2 \dbch \af2 \hich \af0 \loch \af0 {\fs22
\kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 In view of the undisputed
fact that Hassaram has received his benefits under the Plan, 56 he is now entitled
to claim only his remaining benefits under the CBA, i.e. the amount of \uc1
\u8369 ?l20,000 (24 years x \uc1 \u8369 ?5,000) for his 24 years of service to the
company.}{\fs22 \kerning2 \dbch \af4 \hich \af4 \loch \f4 \lang9 \langnp9 \par }}

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