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CIVIL SERVICE COMMISSION v. SALAS likewise held that Section 16 of Presidential Decree No.

1869
has been superseded and repealed by Section 2(1), Article IX-
FACTS: B of the 1987 Constitution.

On October 7, 1989, respondent Salas was appointed by the ISSUES:


PAGCOR Chairman as Internal Security Staff (ISS) member 1. Whether Salas is a confidential employee? NO
and assigned to the casino at the Manila Pavilion Hotel. 2. Whether the Pinero doctrine is still applicable? YES
However, his employment was terminated by the Board of
Directors of PAGCOR on December 3, 1991, allegedly for loss HELD:
of confidence, after a covert investigation conducted by the
Intelligence Division of PAGCOR. The summary of intelligence Every appointment implies confidence, but more more than
information claimed that respondent was allegedly engaged ordinary confidence is reposed in the occupant of a position
in proxy betting as detailed in the affidavits purportedly that is primarily confidential. The latter phrase denotes not
executed by two customers of PAGCOR who claimed that only confidence in the aptitude of the appointee for the
they were used as gunners on different occasions by duties of the office, but primarily close intimacy which
respondent. The two polygraph tests taken by the latter also insures freedom of intercourse without embarrassment or
yielded corroborative and unfavorable results. freedom from misgivings of betrayals of personal trust or
confidential matters of the State.
On December 23, 1991, respondent Salas submitted a letter
of appeal to the Chairman and the Board of Directors of In Pinero, et. al. V. Hechanova, et. al. since the enactment of
PAGCOR, requesting reinvestigation of the case since he was RA 2260: the 1959 Civil Service Act, it is the nature of the
not given an opportunity to be heard, but the same was position which finally determines whether a position is: a.)
denied. On February 17, 1992, he appealed to the Merit primarily confidential b.) policy determining or c.) highly
Systems Protection Board (MSPB) which denied the appeal on technical. Senator Tanada: in the 1st
the ground that, as a confidential employee, respondent was instance, it is the appointing power that determines the
not dismissed from the service but his term of office merely nature of the position. In case of conflict, then it is the Court
expired. On appeal, the CSC issued Resolution No. 92-1283 that determines whether the position is primarily confidential
which affirmed the decision of the MSPB.[2] or not.-Employees occupying various positions in the Port
Patrol Division of the Bureau of Customs, which is part of the
Respondent Salas initially went to this Court on a petition for Customs police force, is not in itself sufficient indication that
certiorari assailing the propriety of the questioned CSC there positions are primarily confidential.
resolution. However, in a resolution dated August 15, 1995,
[3] the case was referred to the Court of Appeals pursuant to 1. No. Salas position is the lowest in the chain of command.
Revised Administrative Circular No. 1-95 which took effect on His job description is ordinary, routinary and quotidian in
June 1, 1995. character. His pay is only P2,200 per month. He does not
enjoy that primarily close intimacy which characterizes a
On September 14, 1995, the court of Appeals rendered its confidential employee. Where the position occupied is
questioned decision with the finding that herein respondent remote from that of the appointing authority, the element of
Salas is not a confidential employee, hence he may not be trust between them is no longer predominant. Citing Case
dismissed on the ground of loss of confidence. In so ruling, Tria V. Sto. Tomas, the fact that sometimes, private
the appellate court applied the "proximity rule" enunciated in respondent may handle ordinarily confidential matters or
the case of Grio, et al. vs. Civil Service Commission, et al. It
papers which are somewhat confidential in nature does not This later enactment only serves to bolster the validity of the
suffice to characterize his position as primarily confidential. categorization made under Section 16 PD 1869.Be that as it
2. Yes. PD 1869 can be no more than initial determinations may, such classification is not absolute and all-
that are not conclusive incases of conflict.1986 Constitutional encompassing. Prior to the passage of the Civil Service Act of
Commission Records The primary purpose of the framers of 1959, there were
the 1987 Constitution in providing for the declaration of a 2 recognized instances when a position may be declared
position as a.) primarily confidential, b.) policy determining or primarily confidential:
c.) highly technical is to exempt these categories from 1: when the President, upon recommendation of the
competitive examinations as a means for determining merit Commissioner of Civil Service, has declared the position to be
and fitness. It must be stressed further that these positions primarily confidential; 2:in the absence of such declaration,
are covered by the security of tenure, although they are when by the nature of the functions of the office, there exists
considered non-competitive only in the sense that appointees close intimacy between the appointing power which
thereto do not have to undergo competitive examinations for ensures freedom of intercourse without embarrassment of
purposes of determining merit and fitness. CSC Resolution freedom from misgivings of betrayals of personal trust or
91-830 does not make PAGCOR employees confidential, confidential matters of the State.
merely reiterates exemption from civil service eligibility
requirement. In reversing the decision of the CSC, the CA
opined that the provisions of Section 16, PD 1869 may no RA 2260: Civil Service Act (June 19, 1959)
longer be applied in the case at bar because the same is Section 5.
deemed to have been repealed in its entirety by Section 2 The non-competitive or unclassified service shall be
(1), ArticleIX-B of the 1987 Consti. This is not completely composed of positions expressly declared by law to be in the
correct. On this point, we approve the more logical non-competitive or unclassified service or those which are
interpretation advanced by the CSC to the effect that policy determining, primarily confidential or highly technical
Section 16 of PD 1869insofar as it exempts PAGCOR in nature.
positions from the provisions of the Civil Service Law & Rules General Rules Implementing PD 807: Civil Service Rules
has been amended, modified or deemed repealed by Section 1. appointments to the Civil Service, except as to
the1987 Consti & EO 292: Administrative Code of 1987. those which are policy determining, primarily confidential, or
highly technical in nature, shall be made only according to
However, the same cannot be said with respect to the last merit and fitness to be determined as far as practicable by
portion of Section16 which provides that All employees of competitive examinations.
the casinos and related services shall be classified as
Confidential appointees. While such executive declaration SEPARATE OPINIONS
emanated merely from the provisions of Implementing Rules VITUG, J ., concurring:
of the Civil Service Act of 1959 - Highlighted the phrase, "without prejudice to the filing of
Rule XXSection 2 The power to declare a position as: a.) administrative charges against (Salas) if warranted," found in
primarily confidential, b.) policy determining or c.) highly the dispositive portion of the decision of the appellate court.
technical, as defined therein has subsequently been codified It would seem to me that the adverse findings arrived at by
and incorporated in EO 292: Administrative Code of the Intelligence Division of PAGCOR which the Board of
1987Book V. Civil Service Commission Section 12. The Directors relied upon to terminate the services of Salas on
Commission shall have the ff powers and functions: (9). ground of loss of confidence could well be constitutive of the
Declare positions in the Civil Service as may properly be administrative infractions that the appellate court must have
primarily confidential, highly technical or policy determining. had in mind. The case should be remanded to the CSC to
specifically meet head-on PAGCOR's foregoing findings and to (CSC) on the basis with an opportunity for a hearing
thereby fully ventilate, as well as pass upon, the appeal to it adequately accorded to Salas

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