Soriano Aviation v. Employees Association

G.R. No. 166879 · 2009-08-14 · J. CARPIO MORALES, J.: · Primary: Labor; Secondary: Civil
REITERATION

Facts

The Antecedents: Petitioner A. Soriano Aviation (the company) and respondent Employees Association of A. Soriano Aviation (the Union) entered into a Collective Bargaining Agreement (CBA) with a "No-Strike, No-Lockout" clause. Eight mechanics refused to render overtime work on legal holidays, which the company deemed a violation of the CBA and meted a 30-day suspension. The company filed a complaint for illegal strike, which was later dismissed to give way to settlement. Procedural History: The settlement failed, and the Union filed a Notice of Strike, alleging various unfair labor practices by the company. The Union went on strike on October 22, 1997. The company refiled its complaint for illegal strike. The Labor Arbiter declared the "first strike" (refusal to work overtime) illegal due to a non-strikeable issue and non-compliance with procedural requirements. The Union appealed, but the NLRC affirmed. Subsequently, the company filed a complaint for the "second strike," alleging pervasive use of force and violence. The Labor Arbiter declared this "second strike" illegal, citing the violation of the CBA and the commission of violent acts. The NLRC affirmed this decision. The Court of Appeals reversed, holding that the acts of violence were not as serious or pervasive as to warrant loss of employment. The appellate court noted the incidents occurred over nine non-consecutive days during an eight-month strike and consisted mainly of name-calling and banners. The Petition: The company filed a petition for certiorari, insisting that the acts of the strikers were serious and pervasive, leading to loss of goodwill and business. It argued the strike was illegal due to violation of the "No-Strike-No-Lockout" clause and being grounded on non-strikeable issues.

Issue(s)

Whether the strike staged by respondents is illegal due to the alleged commission of illegal acts and violation of the "No Strike-No Lockout" clause of the CBA. Whether individual respondents are deemed to have lost their employment status on account of the illegal strike.

Ruling

The Supreme Court granted the petition, reversed the Court of Appeals decision, and affirmed the NLRC ruling with modification. The case was remanded to the NLRC for determination of the union status and respective liabilities of the individual respondents.

Ratio Decidendi

On the illegality of the strike: The Court ruled that the "first strike," stemming from the mechanics' refusal to work overtime on holidays due to disagreement with the new work schedule, was illegal because the issue was non-strikeable and the Union failed to comply with the procedural requirements for a strike, thus violating the "No Strike-No Lockout" clause in the CBA. Regarding the "second strike," while the Union complied with procedural requirements, the Court found that it became invalid due to the commission of illegal acts during its course. The Court emphasized that the right to strike is not absolute and the employment of violence, intimidation, restraint, or coercion, or obstruction of ingress/egress, or public thoroughfares, renders a strike illegal. The Court detailed numerous instances of verbal abuse, threats, splashing of water, throwing of gravel, and the use of vulgar language and insulting epithets on placards and banners, which it deemed illegal acts under Article 264 of the Labor Code and relevant jurisprudence. The Court rejected the appellate court's reasoning that the sporadic nature of the incidents over nine days made them excusable, stating that illegality does not require continuous violence or violence for the entire duration of the strike. The Court also found that the imputation of criminal negligence and the display of banners aimed at intimidating clientele were serious enough to render the strike illegal, given the nature of the company's business. On the loss of employment: The Court applied Article 264(a) of the Labor Code, which states that any union officer who knowingly participates in an illegal strike and any worker or union officer who knowingly participates in the commission of illegal acts during an illegal strike may be declared to have lost their employment status. The Court noted that the Labor Arbiter and NLRC had deemed all individual respondents to have lost their employment due to the illegal strike, without distinction. However, the Court found that the records did not sufficiently indicate the union status of all individual respondents or their specific participation in illegal acts. While Julius Vargas was identified as a union officer, his knowing participation in the illegal strike was not clear. Therefore, the Court remanded the case to the NLRC for the determination of the union status of the individual respondents and their respective liabilities, if any, based on their individual participation in the illegal strike or commission of illegal acts during the strike.

Main Doctrine

While the right to strike is guaranteed, it is not absolute. The commission of illegal acts during a strike, even if the strike was initially legal, can render the strike illegal and lead to the loss of employment for participants, particularly union officers or those who committed such acts.

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