Lapanday Workers Union v. National Labor Relations Commission

G.R. Nos. 95494-97 · 1995-09-07 · J. PUNO, J.: · Primary: Labor; Secondary:
REITERATION

Facts

The Antecedents: Petitioners, Lapanday Workers Union (Union) and its members, sought to reverse the National Labor Relations Commission's (NLRC) decision declaring their strike illegal and ordering the dismissal of their leaders. The Union is the bargaining agent for the rank-and-file employees of private respondents, Lapanday Agricultural and Development Corporation and CADECO Agro Development Philippines, Inc. (private respondents). The dispute arose from management policies implemented by private respondents, including hiring a security agency whose guards the Union alleged were harassing members, and conducting seminars on Human Development and Industrial Relations (HDIR) which included a module that allegedly lumped the Union's affiliate (ANGLO) with outlawed leftist groups. These issues were discussed in a labor-management meeting, and the Union initially agreed to allow members to attend the seminar but later directed them not to. The Union also picketed the security agency's premises and filed a Notice of Strike on August 25, 1988, accusing the company of unfair labor practices. A conciliation conference resulted in an agreement for Union officials to attend the HDIR seminar and for a committee to establish guidelines for the guards. However, on September 8, 1988, a Union member, Danilo Martinez, was killed, allegedly by a member of the security forces. The following day, most Union members refused to report for work, and upon returning, they allegedly implemented a slowdown by not complying with the quota system, which private respondents termed economic sabotage. Private respondents filed charges for illegal strike, unfair labor practice, and damages. Petitioners subsequently skipped work on September 17 and 23, 1988, for a wake and a mass action. Dialogues mediated by the City Mayor proved fruitless. On October 3, 1988, the Union conducted a strike vote, which was submitted to the National Conciliation and Mediation Board (NCMB) on October 10, 1988. The Union struck on October 12, 1988. Procedural History: Labor Arbiter Antonio Villanueva declared the strike illegal and ordered the dismissal of the employees listed, including union leaders. Petitioners appealed to the NLRC. Separately, the Union filed complaints for unfair labor practice and illegal dismissal against the companies, which Labor Arbiter Newton Sancho ruled in favor of the Union, ordering reinstatement with backwages, considering the work stoppage on September 9, 1988, justified by the killing of Danilo Martinez. Private respondents appealed Sancho's decision. The NLRC consolidated all four cases and rendered a decision on August 29, 1990, upholding the Villanueva decision, declaring the strike illegal, ordering the dismissal of union officers and leaders, ordering reinstatement without backwages for rank-and-file members who joined the illegal strike, and dismissing the Union's complaints for unfair labor practice and illegal dismissal. The Petition: Petitioners filed a petition for certiorari with the Supreme Court, alleging grave abuse of discretion by the NLRC in declaring their activities from September 9, 1988, to October 12, 1988, as strike activities and in declaring the strike on October 12, 1988, illegal.

Issue(s)

Whether the strike staged on October 12, 1988, was illegal. Whether the NLRC gravely abused its discretion in declaring the activities from September 9, 1988, to October 12, 1988, as strike activities.

Ruling

The Supreme Court affirmed the decision of the National Labor Relations Commission, dismissing the petition for failure to show grave abuse of discretion. The strike staged on October 12, 1988, was declared illegal. The dismissal of union officers and leaders was upheld, while rank-and-file members who joined the illegal strike were ordered reinstated without backwages.

Ratio Decidendi

On the illegality of the strike staged on October 12, 1988: The Court ruled that the strike was illegal because it was conducted within the mandatory seven (7) day waiting period provided by Article 263(f) of the Labor Code, as amended by E.O. No. 111. This haste prevented the Department of Labor and Employment (DOLE) from verifying whether the strike had the approval of the majority of the union members, thereby negating an important policy consideration of the law. The Court emphasized that the procedural steps for staging a strike, including filing a notice of strike, obtaining a strike vote, and reporting the results to the DOLE at least seven (7) days before the intended strike, are mandatory. These steps are crucial for ensuring that the strike is supported by the majority of the union members and for allowing the DOLE to intervene or supervise the process. The Court cited previous rulings that these steps are mandatory in character and that their purpose is to ensure the legitimacy of the strike and to provide an opportunity for remedy if the report is false or if the majority does not truly support the strike. The seven-day waiting period specifically allows the DOLE to verify the majority's consent and to potentially mediate the dispute before work stoppage occurs. The Court found that the union's haste in holding the strike on October 12, 1988, directly violated this mandatory requirement, rendering the strike illegal. On the classification of activities from September 9, 1988, to October 12, 1988: The Court found that the ruling of the public respondent (NLRC) on the matter was supported by substantial evidence and did not find it necessary to exhaustively rule on the legality of the work stoppage conducted on September 9 and 23, 1988, given the finding that the strike on October 12, 1988, was illegal. The Court affirmed the NLRC's decision that the actions taken by the union and its members constituted illegal strike activities. The Court's primary focus remained on the illegality of the strike declared on October 12, 1988, due to the violation of the mandatory procedural requirements under the Labor Code. The Court reiterated that the right to strike, while constitutionally guaranteed, must be exercised in accordance with legal regulations. Violations of these legal requirements render the strike illegal, to the detriment of the workers themselves. The Court's affirmation of the NLRC's decision implies that the NLRC's characterization of these preceding activities as part of the lead-up to or as constituting illegal strike activities was reasonable and supported by the evidence presented, particularly in light of the subsequent illegal strike.

Main Doctrine

A strike conducted without complying with the mandatory seven (7) day waiting period after the submission of the strike vote results to the Department of Labor and Employment renders the strike illegal, and union officers knowingly participating in such illegal strike may be dismissed, while rank-and-file members who merely joined may be reinstated without backwages.

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