Bankard Employees Union-Workers Alliance Trade Unions v.

NLRC
Facts:
The Board of Directors of Bankard, Inc. approved a “New Salary Scale” which increased the hiring rates of
new employees. Accordingly, the salaries of employees who fell below the new minimum rates were also
adjusted to reach such rates under their levels.
Bankard Employees Union-WATU pressed for an increase in the salary of its old, regular employees, but
Bankard took the position that it had no obligation to grant an across-the-board salary increase.

Issue:
Does wage distortion exist in this situation?