Gen. Milling Corp and Earl Cone, Petitioners vs. Hon.

Torres in his capacity as secretary of Labor and

Employment, et. Al.
G.R. NO. 9366 April 22, 1991
Feliciano, J.

Facts:

The NCR – Dept. Labor and Employment issued Alien Employment permit in favor of petitioner Earl
Cone, a US citizen as sports consultant and assistant coach for GMC in May 1989. Then in December
1989 GMC and Cone entered into a contract of employment. On January 1990, the board of special
inquiry of the commission and deportation approved Cone’s application for a change of admission status
from temporary visitor to pre – arranged employee. Then GMC requested for renewal of Cone’s alien
employment permit which was granted by DOLE regional director on February 1990. Said alien
employment is valid until December 1990. Respondent BCAP then now appealed the issuance of the said
alien employment permit to the secretary of labor who then issued a decision ordering the cancellation of
Cone’s employment permit on the ground that there was no showing that there is no person in the
Philippines who is competent, able and willing to perform the services required not that the hiring of
Cone redound to the national interest.

A motion was filed by GMC for reconsideration and 2 supplemental motions for reconsideration were
both denied by the acting secretary Laguesma.

ISSUE:

GMC alleging before the court a petition for certiorari alleging (1) Secretary of Labor gravely abused his
discretion when he revoked the alien employment permit and (2) Labor code does not empower secretary
to determine if the employment of an alien would redound the national interest.

RULLING:

Said petition was dismissed. Petitioners have failed to show any grave abuse of discretion on the part of
the secretary. The alleged failure to notify of the appeal filed by BCAP was cured when petitioners were
allowed to file their motion for reconsideration before secretary of labor. GMC’s claim that hiring the
alien coach is an employer’s prerogative has no legal basis at all. Under Art 40 of the labor code, an
employment permit is required to hire a foreigner, as it applies to non-resident aliens. GMS can’t claim
that Secretary’s decision would amount to impairment of the obligations of contracts because Labor code
requires alien employment permits to enter a contract of employment for foreigners. The contention of
GMC that Secretary of labor should have deferred to the finding of Comm. On Immigration and
Deportation as the necessity of employing Cone is also without basis. The labor code specifically
empowers secretary to make a determination as to the validity of the services of a person in the
Philippines.