Professional Documents
Culture Documents
V.
B. Unfair
Labor
Practices
Employers: Art. 248, 261
of
Chapter II
UNFAIR LABOR PRACTICES OF EMPLOYERS
ART. 248. Unfair labor practices of employers.
- It shall be unlawful for an employer to
commit any of the following unfair labor
practice:
(a) To interfere with, restrain or coerce
employees in the exercise of their
right to self-organization;
-very
broad, the examples what is the er
thinking hr nec carries unnec wt these
questions are innocent, but wld have to
depend on the tenor, history
At the same time it could really be an
innocent thing, what if the ee really
knows that the hr is just trying to avoid
that
(b) To require as a condition of employment
that a person or an employee shall not join a
labor organization or shall withdraw from one
to which he belongs;
(c) To contract out services or functions
being performed by union members
when such will interfere with, restrain
or coerce employees in the exercise of
their rights to self-organization;
(d) To initiate, dominate, assist or otherwise
interfere with the formation or administration
of any labor organization, including the
giving of financial or other support to it or its
organizers or supporters; note even if you initiated it as the er you
cannot do this (the er cant be allowed to
meddle it
(e) To discriminate in regard to wages,
hours of work and other terms and conditions
of employment in order to encourage or
discourage membership in any labor
organization. Nothing in this Code or in any
other law shall stop the parties from
requiring membership in a recognized
collective bargaining agent as a condition for
employment, except those employees who
are already members of another union at the
time of the signing of the collective
bargaining agreement. Employees of an
appropriate bargaining unit who are not
members of the recognized collective
bargaining agent may be assessed a
reasonable fee equivalent to the dues and
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other fees paid by members of the
recognized collective bargaining agent, if
such non-union members accept the benefits
under the collective bargaining agreement:
Provided, that the individual authorization
required under Article 242, paragraph (o) of
this Code shall not apply to the nonmembers of the recognized collective
bargaining agent;
CASES:
Insular Life Assurance Co.
Employees Association v.
Insular Life Assurance Co., 37
SCRA 244 (Azucena pg 287)
The co president sent individual letters
to the striking ees urging them to
abandon their strike with a promise of
free coffee and movies and paid ot. He
also warned them that if they failed to
return to work by a certain date, they
might be repalaced in their jobs. Aside
from this, company-hired men broke into
the picket line, resulting in violence and
filing criminal charges against some
union officers and members. When the
strike was over, the co refuse to readmit
the unionists facing criminal charges.
Held:
Letter to ind ees is an act of
interference for the er to send letters to
all ees notifying them to return to work
at a time specified therein, otherwise
new ees wld be engaged to perform their
jobs. Ind solicitation of the ees or
visiting their homes, w/the er or his rep
urgint he ees to cease union activity
Steam and Navigation v.
Philippine Marine Officers
Guild, 15 SCRA 174
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Interrogating an ee as to his union
affiliation is not per se ULP but
circumstances may make it such.
EMPLOYER AND EMPLOYEE; UNFAIR LABOR
PRACTICE; RIGHT OF EMPLOYER TO
INTERROGATE ITS EMPLOYEES AS TO THEIR
UNION AFFILIATION. The rule in this
jurisdiction is that subjection by the company
of its employees to a series of questioning
regarding their membership in the union or
their union activities, in such a way as to
hamper the exercise of free choice on their
part, constitutes unfair labor practice (Scoty's
Department Store vs. Micaller; 52 Off. Gaz.,
5119).
STRIKES; REINSTATEMENT OF STRIKING
EMPLOYEES. The striking employees are
entitled to reinstatement, whether or not, the
strike was the consequence of the employer's
unfair labor practice, unless, where the strike
was not the consequence of any unfair labor
practice, the employer has hired others to
take the place of the strikers and has
promised them continued employment
(Cromwell Commercial Employees and
Laborers Union (PTUC) vs. C.I.R., et el., L19778, September 30, 1964, citing 2 Teller,
LABOR DISPUTES AND COLLECTIVE
BARGAINING, Sec. 371, pp. 996-997).
WHEN EMPLOYER BOUND TO REINSTATE
STRIKERS. Even if the employer hires
others to replace the strikers, thereby
avoiding paralysis of his business, if the strike
is against an unfair labor practice on its part,
the employer is bound to reinstate the
strikers.
VOLUNTARY OFFER: TO RETURN TO WORK
WITHOUT ANY CONDITION, WHEN RELEVANT.
A voluntary offer to return to work without
any condition is relevant only to the question
of payment of back wages in addition to
reinstatement. Since in these cases no back
wages were awarded, and the union has not
appealed, said
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before its registration. In short, mgt
contended that it could not commit ULP while
there was no union yet.
ulp5
not sufficient to warrant a reversal of the
questioned order.
Manila Hotel Co. v. Pines Hotel
Employees Association, 47
SCRA 88
Discrimination in Bonus Allocation or
Salary Adjustments
There is unfair and unjust discrimination in
the granting of salary adjustments where
the evidence shows that (a) the
management paid the employees of the
unionized branch; (b) where salary
adjustments were granted to employees of
one of its non - unionized branches although
it was losing in its operations; and (c) the
total salary adjustments given every ten of
its unionize employees would not even
equal the salary adjustments given one
employee in the non unionized branch.
(Manila Hotel Company v. Pines Hotel
Employees Assn. (CUGCO) and CIR, G.R.
No. L-30818, 28 September 1972)
Discrimination in Layoff or Dismissal
Even where business conditions justified a
layoff of employees, unfair labor practices in
the form of discriminatory dismissal were
found where only unionists were
permanently dismissed while non unionists
were not.
Test of Discrimination
For the purpose of determining whether or
not a discharge is discriminatory, it is
necessary that the underlying reason for the
discharge be established.
The fact that a lawful cause for discharge
is available is not a defense where the
employee is actually discharged because of
his union activities. If the discharge is
actually motivated by a lawful reason, the
fact that the employee is engaged in union
activities at the time will not lie against the
employer and prevent him from the exercise
of his business judgment to discharge an
employee for cause. (NLRB v. Ace Comb Co.,
342 F. 2 841)
INDUSTRIAL PEACE ACT; UNFAIR LABOR
PRACTICE; DISCRIMINATORY DISTRIBUTION
OF CHRISTMAS BONUS; RELIEF GRANTED IN
INSTANT CASE. Where petitioner was
found guilty of discrimination amounting to
unfair labor practice in the granting of the
1965 Christmas bonus to the employees of
the Manila Hotel the Taal Vista and the Pines
Hotel, and such exercise of discretion had
no factual basis, the Court of Industrial
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its claim that the union members sought no
reinstatement has no factual basis in the
record. The union precisely sought an
injunction against the abrupt termination of
its members and claimed that they were
entitled to continued employment as
guaranteed by their collective bargaining
agreement.
ISSUE THAT ONLY UNION COUNSEL "FILED
UNFAIR" LABOR PRACTICE CHARGE
IRRELEVANT WHERE THERE IS SETTLEMENT.
Where no prejudice could be said to have
been caused to petitioner by the filing of the
unfair labor practice charge by the union
counsel with respondent court, for the very
merit of the union complaint is borne out by
the fact that the parties promptly arrived at
a satisfactory settlement thereof upon
petitioner's undertaking to pay retirement
gratuity to all 86 affected employees,
petitioner's claim that the union counsel
could not file such unfair labor practice
charge directly with the CIR, loses
relevance.
PAYMENT OF GRATUITY DIRECTLY BY THE
COURT, IMPROPER. Payment of the
retirement gratuity to the employees
directly through the respondent court from
the amount therein deposited by petitioner
(and not through the GSIS in accordance
with the usual practice) might disregard and
not take into account "some
accountabilities" and "outstanding
obligation" of said employees.
PAYMENT ORDER BY CIR TO EMPLOYEES
WITH LESS THAN 20 YEARS OF SERVICE IN L30818. Respondent court in issuing the
appealed payment order to employees with
less than 20 years of service was but acting
within its jurisdiction properly assumed of
implementing the very agreement and
settlement for payment of retirement
gratuity arrived at by the parties in the case
before it.
Wise and Co., Inc. v. Wise and
Co., Inc. Employees Union, Oct.
13, 1989 (pg 279. Azucena)
Issue: Whether the grant by mgt of profitsharing benefits to its ees who are nonunion members is discriminatory against the
union members. Is the act of discrimination
amounting to ULP?
Held: There can be no discrimination
committed by the employer as the situation
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authorize the substitution of the judgment
of the employer in the conduct of its
business. Such management prerogative
may be availed of without fear of any
liability so long as it is exercised in good
faith for the advancement of the employers'
interest and not for the purpose of defeating
or circumventing the rights of employees
under special laws or valid agreement and
are not exercised in a malicious, harsh,
oppressive, vindictive or wanton manner or
out of malice or spite.
GRANT OF PROFIT SHARING BENEFITS TO
THOSE OUTSIDE THE "BARGAINING UNIT",
WITHIN THE AMBIT OF ITS MANAGERIAL
PREROGATIVE. The grant by petitioner of
profit sharing benefits to the employees
outside the "bargaining unit" falls under the
ambit of its managerial prerogative. It
appears to have been done in good faith
and without ulterior motive. More so when
as in this case there is a clause in the CBA
where the employees are classified into
those who are members of the union and
those who are not. In the case of the union
members, they derive their benefits from
the terms and conditions of the CBA
contract which constitute the law between
the contracting parties. Both the employer
and the union members are bound by such
agreement.
Sime Darby Pilipinas, Inc. v.
NLRC, 289 SCRA 86 (1998)
The employer may change the meal
break from 30 mins. fully paid to 60
mins. without pay. For a full one hour
undisturbed lunch break, the employees
can freely and effectively use this hour
not only for eating but also for their
rest and comfort. Since the employees
are no longer required to work during
this 1-hour lunch break, there is no
more
Facts:
Petitioner Sime Darby Pilipinas, Inc. is
engaged in the manufacture of automotive
tires, tubes and other rubber products, while
private respondent Sime Darby Salaried
Employees Association is an association of
monthly salaried employees of petitioner at
its Marikina factory, All company workers in
Marikina including members of the private
respondent union worked from 7:45 a.m. to
3:45 p.m. with a 30-minute paid "on call"
lunch break. On August 14, 1992, petitioner
issued a memorandum advising all its
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time because the factory employees were
required to work if necessary and were paid
accordingly for working. With the new work
schedule, the employees are now given a
one-hour lunch break without interruption
from their employer. For a full one-hour
undisturbed lunch break, the employees can
freely and effectively use this hour not only
for eating but also for their rest and comfort
which are conducive to more efficiency and
better performance in their work. Since the
employees are no longer required to work
during this one-hour break, there is no more
need for them to be compensated for this
period. We agree with the Labor Arbiter that
the new work schedule fully complies with
the daily work period of eight (8) hours
without violating the Labor Code. Besides,
the new schedule applies to all employees in
the factory similarly situated whether they
are union members or not.
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its rank and file employees disaffiliated simply
because of a letter it received to that effect,
all the more sustains the finding of bad faith
for it is not for the petitioner BALMAR to
question which group is the collective
bargaining representative of its rank and file
employees. Balmar's taking side with the rank
and file employee who allegedly disaffiliated,
renders its stand on the matter highly
suspicious. It can, therefore, be inferred that
BALMAR's refusal to bargain collectively with
ALU is a clear act of unfair labor practice.
Article 248 (Labor Code, as amended),
enumerates unfair labor practices committed
by employers.
Mabeza v. NLRC, 271 SCRA 670
(1997)
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lodging were provided and indeed constituted
facilities, such facilities could not be deducted
without the employer complying first with
certain legal requirements. Without satisfying
these requirements, the employer simply
cannot deduct the value from the employee's
wages. First, proof must be shown that such
facilities are customarily furnished by the
trade. Second, the provision of deductible
facilities must be voluntarily accepted in
writing by the employee. Finally, facilities
must be charged at fair and reasonable value.
These requirements were not met in the
instant case. More significantly, the food and
lodging, or the electricity and water
consumed by the petitioner were not facilities
but supplements. A benefit or privilege
granted to an employee for the convenience
of the employer is not a facility. The criterion
in making a distinction between the two not
so much lies in the kind (food, lodging) but
the purpose. Considering., therefore, that
hotel workers are required to work different
shifts and are expected to be available at
various odd hours. their ready availability is a
necessary matter in the operations of a small
hotel, such as the private respondent's hotel.
MONEY CLAIMS; PROPER MONETARY AWARD
IN CASE AT BAR. Petitioner is entitled to the
payment of the deficiency in her wages
equivalent to the full wage applicable from
May 13, 1988 up to the date of her illegal
dismissal. Additionally, petitioner is entitled to
payment of service incentive leave pay,
emergency cost of living allowance, night
differential pay, and 13th month pay for the
periods alleged by the petitioner as the
private respondent has never been able to
adduce proof that petitioner was paid the
aforestated benefits. However, the claims
covering the period of October 1987 up to the
time of filing the case on May 13, 1988 are
barred by prescription as P.D. 442 (as
amended) and its implementing rules limit all
money claims arising out of employeremployee relationship to three (3) years from
the time the cause of action accrues.
ILLEGAL DISMISSAL; SEPARATION PAY IN LIEU
OF REINSTATEMENT PROPER IN VIEW OF
STRAINED RELATIONS BETWEEN THE PARTIES.
We depart from the settled rule that an
employee who is unjustly dismissed from work
normally should be reinstated without loss of
seniority rights and other privileges. Owing to
the strained relations between petitioner and
private respondent, allowing the former to
return to her job would only subject her to
possible harassment and future
embarrassment. In the instant case,
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facts indicate a concerted effort on the part of
respondents to remove petitioners from the
company and thus abate the growth of the
union and block its actions to enforce their
demands in accordance with the Labor
Standards laws. The Court held in Insular Life
Assurance Co., Ltd., Employees AssociationNATU vs. Insular Life Assurance Co., Ltd.: 10
"The test of whether an employer has
interfered with and coerced employees within
the meaning of section (a) (1) is whether the
employer has engaged in conduct which it
may reasonably be said tends to interfere
with the free exercise of employees' rights
under section 3 of the Act, and it is not
necessary that there be direct evidence that
any employee was in fact intimidated or
coerced by statements of threats of the
employer if there is a reasonable inference
that anti-union conduct of the employer does
have an adverse effect on self-organization
and collective bargaining." 11
We are not persuaded by the argument of
respondent FTC denying the presence of an
employer-employee relationship. We find that
the Labor Arbiter correctly applied the
doctrine of piercing the corporate veil to hold
all respondents liable for unfair labor practice
and illegal termination of petitioners'
employment. It is a fundamental principle in
corporation law that a corporation is an entity
separate and distinct from its stockholders
and from other corporations to which it is
connected. However, when the concept of
separate legal entity is used to defeat public
convenience, justify wrong, protect fraud or
defend crime, the law will regard the
corporation as an association of persons, or in
case of two corporations, merge them into
one. The separate juridical personality of a
corporation may also be disregarded when
such corporation is a mere alter ego or
business conduit of another person. 12 In the
case at bar, it was shown that FISI was a mere
adjunct of FTC. FISI, by virtue of a contract for
security services, provided FTC with security
guards to safeguard its premises. However,
records show that FISI and FTC have the same
owners and business address, and FISI
provided security services only to FTC and
other companies belonging to the Lucio Tan
group of companies. The purported sale of the
shares of the former stockholders to a new set
of stockholders who changed the name of the
corporation to Magnum Integrated Services,
Inc. appears to be part of a scheme to
terminate the services of FISI's security
guards posted at the premises of FTC and
bust their newly-organized union which was
then beginning to become active in
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or ratified unfair labor practices shall be
held criminally liable. (As amended by
Batas Pambansa Bilang 130, August 21,
1981).
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Having been dismissed from the service
owing to an unfair labor practice on the part
of the union, petitioner is entitled to
reinstatement as member of the union and to
his former or substantially equivalent position
in the company, without prejudice to his
seniority and/or rights and privileges and with
back pay, which back pay shall be borne
exclusively by the union. In the exercise of its
sound judgment and discretion, the lower
court may, however, take such measures as it
may deem best, including the power to
authorize the company to make deductions
for petitioner's benefit, from the sums due to
the union by way of check off or otherwise.
United Restaurors Employees
and Labor Union v. Torres, 26
SCRA 435
COLLECTIVE BARGAINING; ISSUE AS TO THE
PROPRIETY OF INJUNCTION TO RESTRAIN
PICKETING IS MOOT AND ACADEMIC. When
the Union struck and picketed on January 16,
1965, it might have been true that the Union
commanded a majority of Sulo's employees.
Without need of certification, it could, under
such circumstances, conclude a collective
bargaining agreement with Sulo. But it is not
disputed that on, October 4, 1965, i.e., shortly
after this case was filed on September 18,
1965, a consent election was held. Not
controverted, too, is the fact that, in that
consent election, SELU defeated the Union,
petitioner herein. Because of this SELU was
certified to the Sulo management as the
"collective bargaining representative of the
employees . . . for collective bargaining
purposes as regards wages, hours of work,
rates of pay and/or such other terms and
conditions of employment allowed them by
law." Under the circumstances, the issue as to
the propriety of the injunction issued to
restrain picketing has become moot and
academic.