247219614-Labor-case-Digests.doc

Table Table of Contents

THE APPL APPLICA ICABLE BLE LAWS LAWS 1 GENE GENERA RALL PRIN PRINCI CIPL PLES ES 1 1. Si Singer Se Sewing Ma Machine vs vs. NL NLRC, 19 19 SC SCRA !"1 1 !. Mani#a G$#% C# C#&' vs. IAC, !" SC SCRA !(" 1 . Enc)c# Enc)c#$*e $*e+ia +ia Brian Brianica ica vs. NLRC, NLRC, !- SCRA SCRA  /199 /199-0 -0 ! . Car&ngc$ng vs. S&n#i%e, ! SCRA 19! 2. Ra3$s Ra3$s vs CA, ( SCRA SCRA -"  -. S$n4 S$n4aa vs. vs. ABS ABS5CB 5CBN, N, G.R. G.R. N$. 1(21 1(21,, 6&ne 6&ne 1(, 1(, !(( !((  ". La4 La4ar ar$$ vs. vs. S$ci S$cia# a# Sec Sec&r &rii)) C$33i C$33iss ssi$ i$n, n, 2 2 SCR SCRA A "! "! /!( /!(( (00  . Phi#. Phi#. G#$' G#$'a# a# C$33&n C$33&nica icai$ i$ns ns v. 7e 8er 8era, a, 29 29 SCRA SCRA !-( !-( /!((2 /!((200 2 9. ABS5CB 5CBN vs. vs. Na4a Na4are ren$ n$,, G.R. G.R. N$. N$. 1-1 1-122-, Se* e*. !-, !-, !((!((1(. 1(. ra ranc ncis isc$ c$ vs. NLRC NLRC,, 2(( 2(( SCRA SCRA -9( -9( /!( /!(((-00 11. 11. N$ga# N$ga#es es e. e. a#., a#., vs. vs. Ca*i Ca*i$# $# Me+i Me+ica# ca# Cener Cener e a#., a#., G.R. G.R. N$. N$. 1!1!-!2, !2, 7ece3' 7ece3'er er 19, 19, !((!((" 1!. C$ca5 C$ca5C$# C$#aa B$#er B$#erss Phi#s., Phi#s., vs. vs. 7r. 7r. C#i3ac C#i3ac$, $, G.R. G.R. N$. N$. 1-1, 1-1, e'r& e'r&ar) ar) 12, 12, !((" !(("  1. C$ns$# C$ns$#i+a i+ae+ e+ Br$a+c Br$a+cas asing ing S)se3 S)se3 vs. :'eri$ :'eri$,, G.R. G.R. N$. 1-! 1-!,, 6&ne 6&ne , , !((" !((" 9 1. 7&3*i5M$ri##$ vs. CA, G.R. N$. 1--2!, 6&ne , !((", ciing !(( S$n4a 1( 12. L$*e4 vs. B$+ega Ci), G.R. N$. 122"1, Se*. , !((", ciing !(( A'ane ; !((2 C$ns&#a 1( 1-. Ca#a3'a Me+ica# Cener vs. NLRC e a#., G.R. N$. 1"-, N$v. N$v. !2, !(( 11 1". 1". Esca Escasi sina nass e a#., a#., vs. vs. Shan Shangr gri5# i5#as as Mac Maca ann Is#a Is#an+ n+ Res Res$r $r e a#., a#., G.R. G.R. N$. N$. 1" 1"!" !",, Mar March ch , , !((9 !((9 1! 1. T$ng<$ ng<$ v. v. Man&%a Man&%ac& c&rer rer Li%e Li%e Ins& Ins&ran rance ce C$. C$. =MAN>L =MAN>LIE IE?? Inc. Inc.,, e e a#., a#., G.R. G.R. N$ N$ 1-"1-"-!!, !!, 6an&ar 6an&ar)) !2, !2, !(1 !(111 19. 19. Ca$ Ca$ng ng,, 6r. 6r. v. Beg Beg&a &a#$ #$s, s, G.R. G.R. N$. N$. 1"9 1"9! !, , 6an& 6an&ar ar)) !-, !-, !(1 !(11 12 !(. A$< A$< Big Big We+ge We+ge C$3*an C$3*an)) vs. Gis$ Gis$n, n, G.R. G.R. N$. 1-921( 1-921(,, A&g& A&g&s s , !(11 !(11 1!1. Se3' Se3'#an #ane e vs. CA, CA, G.R. G.R. N$. N$. 19-!-, 19-!-, A&g& A&g&s s 12, !(11 !(11 1 !!. !!. Ber Berna narree vs. vs. Phi# Phi#.. Bas< Bas
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RIGHT T: SEC>RIT@ : TEN>RE ! 1. AL>5T L>5T>C >CP P vs. vs. NLRC NLRC,, ! ! SCRA SCRA -" -" /19 /199 900 ! !. C$s3$s C$s3$s B$#ing B$#ing C$r*., C$r*., vs NLRC, !22 SCRA SCRA 2 2 /199-0 /199-0 ! . P& P&re%$$+s v. v. NLRC ! ! SC SCRA 1- /1 /199"0 !2 . Phi# Phi#.. r& r&ii an+ an+ 8e 8egea gea'# '#ee In+ In+&s &sr rie iess v. v. NLRC NLRC,, 1( 1( SCRA SCRA -( -( /19 /1999 9900 !2. Phi#i* Phi#i*ss Se3i Se3ic$n c$n+&c +&c$r $r vs. ar+i ar+i&e# &e#a, a, G.R. G.R. N$. 11"1" 11"1",, A*ri A*ri## 1, 1, !(( !(( !" -. A#cira A#cira vs. NLRC, G.R. N$. 1929, 1929, 6&ne 9, !(( !9 ". Mis&' Mis&'ish ishii M$$ M$$rs rs Phi# Phi#s. s. vs. Chr)s# Chr)s#er er Phi# Phi# La'$r La'$r >ni$ >ni$n, n, G.R. G.R. N$. 1" 1",, 6&ne 6&ne !9, !9, !(( !(( ( . Pangi#inan Pangi#inan vs. Genera# Genera# Mi##ing Mi##ing C$., G.R. N$. 19!9, 19!9, 6&#) !, !(( ( 9. Ravag$ Ravag$ vs. Ess$ Easern Easern Marine Marine L+., L+., G.R. G.R. N$. N$. 12!, 12!, March 1, !((2 1 1(. Hacien Hacien+a +a Bin$H$ Bin$H$renc rencia ia Sar< Sar< vs. vs. C&enca, C&enca, G.R. N$. 12(" 12(",, A*ri# A*ri# 12, 12, !((2, !((2, ciing ciing !(( Hacien+a Hacien+a ai3a ai3a ! 11. 11. Phi# Phi# G#$'a# G#$'a# C$33 C$33&ni &nica cai$n i$n v. v. 7e 8er 8era, a, G.R. G.R. N$. N$. 12"!1 12"!1,, 6&ne ", ", !((2 !((2  1!. Inegrae+ C$nrac$r an+ P#&3'ing W$rniver >niversa# sa# R$'ina R$'ina S&ga S&garr Mi##i Mi##ing ng C$r*. C$r*.,, e a#., a#., G.R. G.R. N$. N$. 129 129, , Se*e3 Se*e3'er 'er !, !, !((" !(("  !1. !1. Pier Pier  Arras rrasrree ; Se Seve ve+$ +$riring ng Ser Servi vice ces, s, Inc Inc.. vs B$c# B$c#$ $,, G.R. G.R. N$. N$. 1" 1" 9, 9, Se* Se*e e3' 3'er er !, !, !((" !((" 2 !!. Pac&ing vs. C$ca5C$#a B$#ers Phi#s., Inc., G.R. N$. 12"9--, 6an&ar) 1, !((, ciing Magsa#in vs. Nai$na# :rgani4ai$n $% W$r
!. Price, Price, e a#., a#., v Inn$+a Inn$+aa a Phi# Phi#s., s., G.R. G.R. N$. N$. 1"2(2 1"2(2,, Se* Se*e3' e3'er er (, (, !(( !(( 21 !2. Ag&san Ag&san +e# N$re N$re E#ecric E#ecric C$$*eraive C$$*eraive v. v. Caga3*ang Caga3*ang,, G.R. N$. 1-"-!", 1-"-!", :c$'er :c$'er 1(, !(( 2 !-. !-. Wi# Wi##i#ia3 a3 >) C$ns C$nsrr&c &cii$n $n e. e. a# a# vs. vs. Trini rini+a +a+, +, GR N$. N$. 1 1!2 !2(, (, Marc Marchh 1(, 1(, !(1( !(1( 2 !". 7ac&ia# 7ac&ia# vs. L.M. L.M. Ca3&s Ca3&s Engineeri Engineering ng C$r*.,G.R. C$r*.,G.R. N$. 1"-", 1"-", Se*e3'er Se*e3'er 1, !(1( !(1( 22 !. Mi##eni&3 Mi##eni&3 Erec$rs Erec$rs C$r*. C$r*. vs. Maga##anes, Maga##anes, G.R. N$. 1-!, 1-!, N$ve3'e N$ve3'err 12, !(1( 2!9. E:7>S INTERNATI:NAL INTERNATI:NAL C:NSTR>CTI:N C:RP:RATI:N C:RP:RATI:N vs. G>ILLERM: BISC:CH: e. a#.G.R. N$. 1--1(9, e'r&ar) !, !(11 2" (. Le)e Le)e Ge$h Ge$her3 er3a# a# P$wer P$wer Pr$gre Pr$gressi ssive ve E3*#$ E3*#$)ee )eess >ni$n >ni$n v. Phi# Phi# Nai$ Nai$na# na# :i# :i# C$., G.R. G.R. N$. N$. 1"-21 1"-21,, March March (, !(11 !(11 2 1. S. Pa&# C$##ege D&e4$n Ci) vs. Anchea Anchea II, G.R. G.R. N$. 1-99(2, Se*e3'er ", !(11 -( !. L)nvi# L)nvi# ishing ishing Ener*ris Ener*rises es vs. Ari$#a, Ari$#a, G.R. G.R. N$. 119" 119",, e'r&ar) e'r&ar) 1, !(1! -! . 7.M. 7.M. C$ns&ni C$ns&ni Inc. Inc. vs. 6a3in, 6a3in, G.R. G.R. N$. N$. 19!21, 19!21, A*ri# A*ri# 1, !(1! ciing ciing Marag&in$ Marag&in$ - MANA MANAGE GEME MENT NT PRER PRER:G :GA ATI8E I8E -1. 7$sch vs. NLRC, 1! SCRA !9- /190-!. PT;T v. v. C$&r $% A**ea#s, A**ea#s, G.R. G.R. N$. 12!(2", 12!(2", Se*e3'er Se*e3'er !, !(( !(( -" . Men+$4a vs. R&ra# Ban< $% L&c'an, G.R. N$. 122!1, 6&#) ", !((- . 7&ncan Assn. $% 7eai#3an5PTW: vs G#aF$ We##c$3e Phi#s. G.R. 1-!99 -9 2. N$r
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TERMINATI:N TERMINATI:N : EMPL:@MENT EMPL:@MENT " 1. Re Re&) &)aa v. v. NLR NLRC, C, G.R G.R.. N$. N$. 1 1 ,, A&g A&g&s &s 2, !(( !((, , ci ciin ingg B&s B&sa3 a3an ane e " !. Aga'$n Aga'$n vs. NLRC, G.R. N$. 12-9, 12-9, N$ve3'er 1", !((  . 6ani$n vs. NLRC, G.R. N$. 1-2"2", :c$'er 1", !((-, ciing N$rh 7ava$ Mining 92 9. S) vs. Mer$ Ban<, G.R. N$. 1-(-1, N$ve3'er !, !((- 91(. 1(. in ingg $% $% in ings gs Trans rans*$ *$rr vs. vs. NLR NLRC, C, G.R. G.R. N$. N$. 1-1--!( !(, , 6&ne 6&ne !9, !9, !(( !(("" 9" 11. 6$h 6$hns ns$n $n ; 6$h 6$hns ns$n $n v. 6$hn 6$hns$ s$nn :%% :%%ic icee ; Sa#e Sa#ess >ni >ni$n $n,, G.R G.R.. N$. N$. 1"!" 1"!"99 99,, 6&# 6&#)) -, -, !(( !(("" 99 1!. Asian Ter3ina# Ter3ina# vs. NLRC, G.R. N$. 122, 7ece3'er 19, !((", ciing San+ar+ E#ecric M%g. vs. San+ar+ E#ecric E3*# E3*#$) $)ee eess >ni >ni$n $n,, G.R. G.R. N$. N$. 1--1 1--1111, A&g&s &g&s !2, !2, !(( !((22 1(( 1(( 1. S3ar S3ar C$33&n C$33&nica icai$ i$ns ns v. As$r As$rga, ga, G.R. G.R. N$. N$. 11!, 11!, 6an&a 6an&ar) r) !, !(( !(( 1(1 1. Enri Enri&e &e44 v. Ban< Ban< $% he Phi# Phi#i** i**ine ine Is#a Is#an+s n+s,, G.R. G.R. N$. 1"! 1"!1!, 1!, e'r e'r&ar &ar)) 1!, !(( !(( 1( 12. RB Michae# Michae# Press vs. Ga#i, Ga#i, G.R. N$. 1221(, e'r&ar) 1, !(( 1(2 1-. C$s3$s B$#ing C$r*$rai$n v. Nagra3a, G.R. N$ 1-(, March , !((1(" 1". Sch$$# Sch$$# $% he H$#) H$#) S*ir S*irii $% D.C. D.C. vs. vs. Tag&ia3, g&ia3, G.R. G.R. N$. N$. 1-22 1-22-2, -2, 6&#) 6&#) 1, 1, !(( !(( 1( 1. >niversa# Sa%%ing Sa%%ing Services Inc. Inc. v. NLRC, G.R. N$. N$. 1""2"-, 6&#) !1, !(( 1(9 19. #igh Aen+ans an+ Sewar+ Ass$ciai$n $% he Phi#i**ines =ASAP? =ASAP? v. Phi#i**ine Air#ines, Air#ines, G.R. N$. 1"(, G.R. N$. 1"( 1"( ,, 6&#) 6&#) !!, !!, !(( !(( 11( !(. 6$hn 6$hn Hanc$ Hanc$c< c< Li%e Li%e Ins&ra Ins&rance nce C$r*. C$r*. vs. vs. 7avi 7avis, s, G.R. G.R. N$. 1-929 1-929,, Se*. Se*. , !(( !(( 11

!. Price, Price, e a#., a#., v Inn$+a Inn$+aa a Phi# Phi#s., s., G.R. G.R. N$. N$. 1"2(2 1"2(2,, Se* Se*e3' e3'er er (, (, !(( !(( 21 !2. Ag&san Ag&san +e# N$re N$re E#ecric E#ecric C$$*eraive C$$*eraive v. v. Caga3*ang Caga3*ang,, G.R. N$. 1-"-!", 1-"-!", :c$'er :c$'er 1(, !(( 2 !-. !-. Wi# Wi##i#ia3 a3 >) C$ns C$nsrr&c &cii$n $n e. e. a# a# vs. vs. Trini rini+a +a+, +, GR N$. N$. 1 1!2 !2(, (, Marc Marchh 1(, 1(, !(1( !(1( 2 !". 7ac&ia# 7ac&ia# vs. L.M. L.M. Ca3&s Ca3&s Engineeri Engineering ng C$r*.,G.R. C$r*.,G.R. N$. 1"-", 1"-", Se*e3'er Se*e3'er 1, !(1( !(1( 22 !. Mi##eni&3 Mi##eni&3 Erec$rs Erec$rs C$r*. C$r*. vs. Maga##anes, Maga##anes, G.R. N$. 1-!, 1-!, N$ve3'e N$ve3'err 12, !(1( 2!9. E:7>S INTERNATI:NAL INTERNATI:NAL C:NSTR>CTI:N C:RP:RATI:N C:RP:RATI:N vs. G>ILLERM: BISC:CH: e. a#.G.R. N$. 1--1(9, e'r&ar) !, !(11 2" (. Le)e Le)e Ge$h Ge$her3 er3a# a# P$wer P$wer Pr$gre Pr$gressi ssive ve E3*#$ E3*#$)ee )eess >ni$n >ni$n v. Phi# Phi# Nai$ Nai$na# na# :i# :i# C$., G.R. G.R. N$. N$. 1"-21 1"-21,, March March (, !(11 !(11 2 1. S. Pa&# C$##ege D&e4$n Ci) vs. Anchea Anchea II, G.R. G.R. N$. 1-99(2, Se*e3'er ", !(11 -( !. L)nvi# L)nvi# ishing ishing Ener*ris Ener*rises es vs. Ari$#a, Ari$#a, G.R. G.R. N$. 119" 119",, e'r&ar) e'r&ar) 1, !(1! -! . 7.M. 7.M. C$ns&ni C$ns&ni Inc. Inc. vs. 6a3in, 6a3in, G.R. G.R. N$. N$. 19!21, 19!21, A*ri# A*ri# 1, !(1! ciing ciing Marag&in$ Marag&in$ - MANA MANAGE GEME MENT NT PRER PRER:G :GA ATI8E I8E -1. 7$sch vs. NLRC, 1! SCRA !9- /190-!. PT;T v. v. C$&r $% A**ea#s, A**ea#s, G.R. G.R. N$. 12!(2", 12!(2", Se*e3'er Se*e3'er !, !(( !(( -" . Men+$4a vs. R&ra# Ban< $% L&c'an, G.R. N$. 122!1, 6&#) ", !((- . 7&ncan Assn. $% 7eai#3an5PTW: vs G#aF$ We##c$3e Phi#s. G.R. 1-!99 -9 2. N$r
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TERMINATI:N TERMINATI:N : EMPL:@MENT EMPL:@MENT " 1. Re Re&) &)aa v. v. NLR NLRC, C, G.R G.R.. N$. N$. 1 1 ,, A&g A&g&s &s 2, !(( !((, , ci ciin ingg B&s B&sa3 a3an ane e " !. Aga'$n Aga'$n vs. NLRC, G.R. N$. 12-9, 12-9, N$ve3'er 1", !((  . 6a ni$n vs. NLRC, G.R. N$. 1-2"2", :c$'er 1", !((-, ciing N$rh 7ava$ Mining 92 9. S) vs. Mer$ Ban<, G.R. N$. 1-(-1, N$ve3'er !, !((- 91(. 1(. in ingg $% $% in ings gs Trans rans*$ *$rr vs. vs. NLR NLRC, C, G.R. G.R. N$. N$. 1-1--!( !(, , 6&ne 6&ne !9, !9, !(( !(("" 9" 11. 6$h 6$hns ns$n $n ; 6$h 6$hns ns$n $n v. 6$hn 6$hns$ s$nn :%% :%%ic icee ; Sa#e Sa#ess >ni >ni$n $n,, G.R G.R.. N$. N$. 1"!" 1"!"99 99,, 6&# 6&#)) -, -, !(( !(("" 99 1!. Asian Ter3ina# Ter3ina# vs. NLRC, G.R. N$. 122, 7ece3'er 19, !((", ciing San+ar+ E#ecric M%g. vs. San+ar+ E#ecric E3*# E3*#$) $)ee eess >ni >ni$n $n,, G.R. G.R. N$. N$. 1--1 1--1111, A&g&s &g&s !2, !2, !(( !((22 1(( 1(( 1. S3ar S3ar C$33&n C$33&nica icai$ i$ns ns v. As$r As$rga, ga, G.R. G.R. N$. N$. 11!, 11!, 6an&a 6an&ar) r) !, !(( !(( 1(1 1. Enri Enri&e &e44 v. Ban< Ban< $% he Phi# Phi#i** i**ine ine Is#a Is#an+s n+s,, G.R. G.R. N$. 1"! 1"!1!, 1!, e'r e'r&ar &ar)) 1!, !(( !(( 1( 12. RB Michae# Michae# Press vs. Ga#i, Ga#i, G.R. N$. 1221(, e'r&ar) 1, !(( 1(2 1-. C$s3$s B$#ing C$r*$rai$n v. Nagra3a, G.R. N$ 1-(, March , !((1(" 1". Sch$$# Sch$$# $% he H$#) H$#) S*ir S*irii $% D.C. D.C. vs. vs. Tag&ia3, g&ia3, G.R. G.R. N$. N$. 1-22 1-22-2, -2, 6&#) 6&#) 1, 1, !(( !(( 1( 1. >niversa# Sa%%ing Sa%%ing Services Inc. Inc. v. NLRC, G.R. N$. N$. 1""2"-, 6&#) !1, !(( 1(9 19. #igh Aen+ans an+ Sewar+ Ass$ciai$n $% he Phi#i**ines =ASAP? =ASAP? v. Phi#i**ine Air#ines, Air#ines, G.R. N$. 1"(, G.R. N$. 1"( 1"( ,, 6&#) 6&#) !!, !!, !(( !(( 11( !(. 6$hn 6$hn Hanc$ Hanc$c< c< Li%e Li%e Ins&ra Ins&rance nce C$r*. C$r*. vs. vs. 7avi 7avis, s, G.R. G.R. N$. 1-929 1-929,, Se*. Se*. , !(( !(( 11

!1. Merin Merin vs. vs. NLRC NLRC,, G.R. G.R. N$. 1"1"9( 1"1"9(,, :c$' :c$'er er 1", 1", !(( !(( 112 112 !!. !!. @ra @ras& s&eg eg&i &i vs. vs. Phi Phi## Air#i ir#ine nes, s, G.R. G.R. N$. N$. 1- 1-( (1, 1, :c. :c. 1", 1", !(( !(( 11" !. !. Sag Saga# a#es es v. R&s R&san anss C$3 C$33e 3erc rcia ia## C$r C$r*$ *$ra raii$n $n,, G.R G.R.. N$. N$. 1--2 1--22 2,, N$v N$ve3 e3'e 'err !", !", !(( !(( 11 !. Garcia vs. PAL, G.R. N$. 1-2-, 6an. !(, !((9, En Banc, ciing Gen&in$ vs . NLRC, G.R. N$. 1!"!5, 7ece3'er , !((" 1!( !2. La >ni$n Ce3en W$rni$n e a#., vs NLRC e a#., G.R. N$. 1"-!1, 6an&ar) (, !((9 !((9 1!1 !-. Men+ Men+r$s r$s,, 6r. 6r. vs. Mis Mis&'i &'ishi shi M$$ M$$rs rs Phi#s Phi#s C$r*., C$r*., G.R. G.R. N$. N$. 1-9" 1-9"(, (, e'. e'. 1-, 1-, !((9 !((9 1! !". R$sa R$sa vs. A3'assa+ A3'assa+$r $r H$e#, H$e#, G.R. G.R. N$. N$. 1""(29, 1""(29, March March 1, !((9 1! !. M$$r$ M$$r$#a #a Phi#s. Phi#s. v. A3'r$ci$ A3'r$ci$,, G.R. G.R. N$. 1"!"9, 1"!"9, March March (, (, !((9 !((9 1!2 !9. Pere4 e a#., vs. Phi# Te#egra*h Te#egra*h ; Te#e*h$ne Te#e*h$ne C$3*an) e a#., G.R. G.R. N$. 12!(, A*ri# ", !((9 1!(. Te# Te#ec$33 ec$33&nica &nicai$ns i$ns 7isri'& 7isri'&$rs $rs S*ecia#iss S*ecia#iss Inc. e a#., a#., vs. Garrie#, Garrie#, G.R. N$. 1"91, 1"91, Ma) !2, !((9, ciing ciing !((9 Pere4 1!" 1. 1. Tri& Tri&3* 3*hh Iner Inerna naii$n $na# a# Phi Phi#i#i** **in ines es v. v. A*$ A*$s s$# $#,, G.R. G.R. N$. N$. 1- 1-! !, , 6&ne 6&ne 1-, 1-, !(( !((99 1! 1! !. Techn$#$gica# Techn$#$gica# Insi&e $% he Phi#s Teachers Teachers an+ E3*#$)ees :rgani4ai$n vs. C$&r $% A**ea#s, e a#., G.R. N$. 12"(, 6&ne !-, !((9 1( . L#a3as L#a3as v. :cean :cean Gae Gaewa) wa) Marii Marii3e 3e an+ Manage Manage3en 3en Serv Service icess Inc., Inc., G.R. G.R. N$. N$. 1"9!9 1"9!9,, A&g& A&g&s s 1, 1, !((9 !((9 11 . . L$w L$wee Inc Inc.,., v. CA, CA, G.R. G.R. 1- 1-1 1 ; 1" 1"29 29(, (, A&g&s &g&s 1, 1, !((9 !((9 1! 1! 2. Esa Esaci$ ci$ v. v. Pa3* Pa3*ang angaa I E#ecr E#ecric ic C$$*e C$$*era raive ive,, G.R. G.R. N$. 11 119-, 9-, A&g& A&g&s s 19, !((9 !((9 1 -. -. Mar Mara# a#ii v. PNB PNB,, G.R G.R.. N$. N$. 1-" 1-" ,, A&g A&g&s &s !, !, !((9 !((9 1 1 ". D&eve+$ D&eve+$ v. v. Beng&e Beng&e E#ecric E#ecric C$$*era C$$*eraive, ive, G.R. G.R. N$. 1-9!", 1-9!", Se*e3' Se*e3'er er 11, 11, !((9 1. P#ac P#aci+$ i+$ e e a#. v. NLRC, NLRC, G.R. G.R. N$. N$. 1( 1(, , Se* Se*e3' e3'er er 1, 1, !((9 !((9 1" 9. 9. Mar Mariine ne44 v. v. B;B B;B is ishh Br$ Br$niv >nivers ersi) i) $% $% he I33 I33ac& ac&#a #aee C$nce*c C$nce*ci$n i$n vs. vs. NLRC, NLRC, G.R. G.R. N$. N$. 111 111-, -, 6an& 6an&ar) ar) !-, !-, !(11 !(11 1"9 "1. "1. Si3 Si3i4 i4&& Phi Phi#s #s C$n C$nra rac c$r $rss v. v. Ca## Ca##an ana a,, G.R G.R.. N$. N$. 1-29 1-29! !,, Se* Se*e e3' 3'er er !9, !9, !(1 !(1(( 1( 1( "!. Mani#a Mani#a Mining C$r*. E3*#$)e E3*#$)ees es Ass$ciai Ass$ciai$n5W $n5W vs. Mani#a Mani#a Mining Mining C$r*., G.R. G.R. N$. 1"!!!5!, 1"!!!5!, Se*e3'er Se*e3'er !9, !(1( 1!

". L$*e4 L$*e4 vs. A#&ras A#&ras Gr$&* Gr$&* $% C$3*an C$3*anies, ies, G.R. G.R. N$. 191((, 191((, A*ri# A*ri# 11, 11, !(11 !(11 1 ". A*aci A*aci'#e '#e vs. vs. M&# M&#i3e i3e++ In+&s In+&sri ries es Inc., Inc., G.R. G.R. N$. N$. 1"9( 1"9(, , Ma) Ma) (, (, !(1 !(111 1 "2. "2. Bar Barr$ r$ga ga vs. vs. 7a 7aaa Cen Cene err C$# C$##e #ege ge,, G.R G.R.. N$. N$. 1"1 1"12 2,, 6&n 6&nee !", !", !(1 !(11 12 12 "-. "-. L$* L$*e4 e4 vs. vs. e* e**e *e## Ban Ban<< Phi Phi#s #s.,., G.R. G.R. N$. N$. 1"1"-( ((, (, Se* Se*e3 e3'e 'err 2, !(1 !(11 11"". S. Pa&# C$##ege D&e4$n Ci) vs. Anchea Anchea II, G.R. G.R. N$. 1-99(2, Se*e3'er ", !(11 1" ". 6&3&a+ vs. Hi5#)er $$+, G.R. G.R. N$. 1"", Se*e3'er ", !(11 !(11 1 "9. "9. Niss Nissan an M$$ M$$rr Phi Phi#s #s.. Ang Ange# e#$, $, G.R G.R.. N$. N$. 1-1 1-11 1,, Se* Se*e e3' 3'er er 1, 1, !(1 !(11 19 19 (. (. Phi# Phi#.. Nai Nai$n $na# a# Ban Ban<< vs. vs. Pa+a Pa+a$, $, G.R G.R.. N$. N$. 1( 1(9 9,, N$ve N$ve3' 3'er er 1-, 1-, !(1 !(111 19( 19( 1. Ta3 Ta3s$ns s$ns Ener*r Ener*rises ises Inc. Inc. vs. CA, CA, G.R. N$. 19!1, 19!1, N$ve3'e N$ve3'err 1-, !(11 !(11 191 !. C$nce*ci C$nce*ci$n $n vs. MineF MineF I3*$r I3*$r C$r*., C$r*., G.R. G.R. N$. 122-9, 122-9, 6an&ar) 6an&ar) !, !(1! !(1! 19! . M$ra#es vs. Har'$&r Cenre P$r Ter3ina# Ter3ina# Inc., G.R. G.R. N$. 1"!(, 6an&ar) !2, !(1! 19 . Mansi$n Mansi$n Prini Prining ng Cener Cener vs. Biara Biara,, G.R. G.R. N$. 1-1!(, 1-1!(, 6an&ar) 6an&ar) !2, !(1! 19 2. 2. Mani Mani#a #a E#e E#ec criricc C$. C$. vs. vs. Be# Be#r ran an,, G.R. G.R. N$. N$. 1" 1""" "", , 6an 6an&a &ar) r) (, (, !(1 !(1!! 1919-. Ban< $% L&'a$ L&'a$ vs. Mana'a, Mana'a, G.R. N$. N$. 1"!!, 1"!!, e'r&ar) e'r&ar) 1, !(1! 19" ". Cana+ian :**$r&niies >n#i3ie+ vs. 7a#angin, G.R. N$. 1"!!!, e'r&ar) -, !(1!19 . Mani#a Mani#a E#ecric E#ecric C$. C$. vs. Ga#a, G.R. N$. 191! 191! ; 191(, 191(, March March ", !(1! !(1! 199 9. Ar$ vs. NLRC, G.R. N$. 1""9!, March ", !(1! !(( 9(. 9(. @3' @3'$n $ngg vs. vs. ABS5C BS5CBN BN Br$a Br$a+c +cas asiing ng C$r* C$r*.,., G.R. G.R. N$. N$. 1 1 2, 2, Marc Marchh ", ", !(1 !(1!! !(1 !(1 91. B#&e B#&e S<) Tra+i Tra+ing ng C$. vs. B#as, B#as, G.R. G.R. N$. 19(229, 19(229, March March ", !(1! !( 9!. Ine Inerna rnai$ i$nn 3anage 3anage3en 3en Servic Services es vs. L$gar L$gara, a, G.R. G.R. N$. N$. 1--2 1--2", ", A*ri A*ri## 1, !(1! !(1! !( 9. 6i6ia$ vs vs. NL NLRC, G. G.R. N$ N$. 1 1!1, A*ri# 1 1, !(1! !(9. 9. Rea Rea#+ #+aa vs. vs. New New Age Age Gra* Gra*hi hics cs Inc. Inc.,, G.R G.R.. N$. N$. 19!1 19!19( 9(,, A*r A*ri#i# !2, !2, !(1 !(1!! !(" !(" 92. a
!(

S>SPENSI:N : : B>SINESS :P :PERATI:NS !11 1. 6PL 6PL Mar< Marni$n vs. Marc$**er Mining C$r*., G.R. N$. 1"-1, N$v. 11, 11, !(( !1 2. Eag#e Sar Sar Sec&ri) Services Inc. vs. Miran+$ e a#., G.R. G.R. N$. 1"921!, 6&#) (, !((9 !12 -. Nai$n Nai$nwi+ wi+ee Sec&ri Sec&ri)) ; A##ie A##ie++ Service Servicess v. 8a# 8a#+er +era3a a3a,, G.R. G.R. N$. 1--1 1--1, , e'r&a e'r&ar) r) !, !(11 !(11 !1". Ni** Ni**$n $n H$& H$&si sing ng Phi Phi#s #s.. vs. vs. Le)n Le)nes es,, G.R G.R.. N$. N$. 1"" 1""1 1-, -, A&g&s &g&s , , !(1 !(111 !1 !1 7ISEASE AS AS A GR:>N7 : :R TE TERMINAT NATI:N !!1 1. S) S) vs. vs. C$&r C$&r $% A**ea **ea#s #s,, G.R. G.R. N$. N$. 1! 1!!9 !9, , e' e'r& r&ar ar)) !", !", !(( !(( !!1 !!1 !. Man#) Man#) EF*r EF*ress ess vs. vs. Pa)$ng Pa)$ng,, G.R. G.R. N$. 1-" 1-"-!, -!, :c$ :c$'er 'er !2, !2, !((2 !((2 !!1 . 7&er 7&eree vs. vs. ing ingsw$ sw$$+ $+ Tra+i Tra+ing ng C$., C$., G.R. G.R. N$. N$. 1-( 1-(!2, !2, :c$'e :c$'err , !((" !((" . 8i##a i##ar& r&e# e# vs. vs. @e @e$ Han Han G&an G&an,, G.R G.R.. N$. N$. 1-91 1-9191 91,, 6&n 6&nee 1, 1, !(1 !(111 !! !!

!!!

:THER :THER CA>S CA>SES ES : SE8 SE8ERA ERANCE NCE : EMPL: EMPL:@ME @MENT NT RELAT RELATI:N I:N !!1. Pan anranc ranc$$ N$r N$rh h EF*re F*ress ss vs. vs. NLR NLRC, C, !29 !29 SCR SCRA A 1-1 1-1 /19 /1999-00 !!!!!. Phi#. Phi#. Air#ines Air#ines vs. Air#in Air#inee Pi#$s Pi#$s Ass$. Ass$. :% :% Phi#s., Phi#s., G.R. G.R. N$. N$. 1--, 1--, 6an&ar) 6an&ar) 12, !((! !((! !!" . Caina Cah$#ic Sch$$# vs. Caina Cah$#ic Sch$$# E3*#$)ees >ni$n, G.R. N$. 121(!1, Ma) , !((- c iing 199- Panranc$ N$rh N$rh EF*r EF*ress ess !!" . 6ac&#'e vs. Si##i3an Si##i3an >niversi >niversi), ), G.R. G.R. N$. 12-9, 12-9, March 1-, !((" !!9 2. G#$'e G#$'e Te# Te#ec$ ec$3 3 vs. Cris$ Cris$#$g #$g$, $, G.R. G.R. N$. N$. 1"-, 1"-, A&g&s A&g&s 1(, !((" !((" !! -. BMG Rec$r+s Phi#s e a#., vs. A*areci$, e a#., G.R. N$. 12!9(, Se*e3'er 2, !((", ciing Phi# T$+a) T$+a) vs. NLRC, !-" SCRA !(! /199-0 ! ". B#&e Ange# Ange# Man*$wer an+ Sec&ri) Services vs. CA, G.R. N$. 1-119-, 1-119-, 6&#) !, !(( ! . G&er4$n G&er4$n 6r e a# vs. vs. Pasig Pasig In+&s In+&sries ries Inc., Inc., e a#., a#., G.R. G.R. N$. 1"(!--, 1"(!--, Se*. 1!, !(( !(( !2 9. S&are4 S&are4 6r. e e a#., vs. vs. Nai$na# Nai$na# See# See# C$r*., C$r*., G.R. N$. N$. 12(1(, 12(1(, :c. 1", 1", !(( !1(. 1(. G$$ G$$+r +ric ichh M%g M%g C$r* C$r* vs. vs. Aiv$ iv$ e a#., a#., G.R. G.R. N$. N$. 1 1(( ((!, !, e'. e'. 1, !(1( !(1( !" !" 11. 11. $rean $rean Air Air C$. C$. L+. L+. v. @&s$n, @&s$n, G.R. G.R. N$. N$. 1"(1"(-9, 9, 6&ne 6&ne 1-, !(1( !(1( ! 1!. Cerca+ Cerca+$$ v. v. >ni*r$ >ni*r$3 3 Inc., Inc., G.R. G.R. N$. N$. 112 112, , :c$ :c$'er 'er 1, !(1( !(1( !9 1. Bi#'a$ Bi#'a$ vs. Sa&+i Ara'ian Ara'ian Air#in Air#ines, es, G.R. G.R. N$. 1912, 1912, 7ece3'er 7ece3'er 1, !(11 !(11 !(

1. 1. San San Mig& Mig&e# e# Pr$ Pr$*e *errie iess vs. vs. G&ca G&ca'a 'an, n, G.R G.R.. N$. N$. 129 129! !,, 6&#) 6&#) 1, 1, !(1 !(111 12. Sni >nie+ e+ Paci%i Paci%icc vs. vs. 7$4a 7$4a,, G.R. G.R. N$. 1"222 1"222,, e'r e'r&ar &ar)) , !(1! !(1!

!1 !1 !

PRESCRIPTI:N : CLAIMS !2 1. L&+$ L&+$ ; L&) L&)3 3 C$r C$r*. *. vs Sa$r Sa$rni ni+$ +$,, G.R G.R.. N$. N$. 1(9 1(9-( -(,, 6an 6an&a &ar) r) !(, !(, !(( !(( !2 !2 !. 7eg 7ega3 a3$$ vs. vs. Ava Avan nga gar+ r+ee Shi* Shi**i *ing ng c$r c$r*. *.,, G.R. G.R. n$. n$. 12 12-( -(,, N$ve N$ve3' 3'er er !!, !!, !(( !((22 !!. Ine Inerc$ rc$ni ninen nena# a# Br$a+c Br$a+cas asing ing C$r* C$r*.. vs. Pangan Pangani'a i'an, n, G.R. G.R. N$. N$. 121 121(", (", e'r&a e'r&ar) r) -, !((" !((" !. ar ar Eas Eas Agri Agric&# c&#&r &ra# a# S&**# S&**#)) vs. Le'a Le'ai i&e, &e, G.R. G.R. N$. 1-!1 1-!1,, e'r&a e'r&ar) r) 1!, 1!, !((" !((" !" 2. 8ic$ 8ic$r) r) Line Liner,r, Inc. Inc. vs. vs. Race Race,, G.R. G.R. N$. 1-!( 1-!(,, Marc Marchh !, !, !((" !((" ! -. 6.. 6.. Merca+ Merca+$$ ; S$ns S$ns Agric Agric&# &#&ra &ra## Ener Ener*ri *rises ses vs. vs. S$. S$. T$3as, 3as, G.R. G.R. N$. N$. 12( 12(, , A&g&s A&g&s !9, !9, !(( !(( ". Re)e Re)ess vs. vs. N#rc N#rc,, G.R G.R.. N$. N$. 1(2 1(221 21,, e' e'r& r&ar ar)) 1(, 1(, !((9 !((9 !2( !2( . LW8 LW8 C$nsr&ci$n C$r*. vs. 7&*$, G.R. N$. 1"!!, 6&#) 1, !((9 !21 9. PL7T PL7T v.v. Ping$# Ping$#,, G.R. G.R. N$. 1!-!! 1!-!!,, Se* Se*e3' e3'er er , , !(1( !(1( !2! 1(. Me+# Me+#ine ine Mana Manage3 ge3en en Inc. Inc. vs. vs. R$s# R$s#in+ in+a, a, G.R. G.R. N$. N$. 1-"12 1-"12,, Se*e3 Se*e3'er 'er 12, 12, !(1( !(1( !2 11. 11. >niversi) >niversi) $% Eas vs. vs. >niversi) >niversi) $% $% Eas E3*#$) E3*#$)ees ees Ass$c., Ass$c., G.R. G.R. N$. 1"929, 1"929, Se*e3'e Se*e3'err 1, !(11 !(11

!9

!22

LABOR RELATIONS Aty. Jeferson M. Marquez

CASES

acs Singer Machine C$##ec$rs >ni$n5Bag&i$ %i#e+ a *eii$n %$r +irec ceri%icai$n as he s$#e an+ eFc#&sive 'argaining agen $% a## c$##ec$rs $% Singer Sewing Machine. The c$3*an) $**$se+ he *eii$n 3ain#) 'eca&se he &ni$n 3e3'ers are n$ e3*#$)ees '& in+e*en+en c$nrac$rs as evi+ence+ ') he c$##eci$n agenc) agree3en which he) signe+. Me+5Ar'ier r&#e+ ha here eFiss an e3*#$)ee5e3*#$)er re#ai$nshi* an+ grane+ he ceri%icai$n e#eci$n which was a%%ir3e+ ') Sec. 7ri#$n. The c$3*an) %i#es he *resen *eii$n $n he +eer3inai$n $% he re#ai$nshi*. The &ni$n insiss ha he *r$visi$ns $% he C$##eci$n Agree3en 'e#ie he c$3*an)s *$sii$n ha he &ni$n 3e3'ers are in+e*en+en c$nrac$rs. R&#ing The *resen case ca##s %$r he a**#icai$n $% he c$nr$# es, which i% n$ sais%ie+, w$&#+ #ea+ $ he c$nc#&si$n ha n$ e3*#$)ee5e3*#$)er re#ai$nshi* eFiss. I% he &ni$n 3e3'ers are n$ e3*#$)ees, n$ righ $ $rgani4e %$r he *&r*$se $% 'argaining $r as a 'argaining agen cann$ 'e rec$gni4e+. The %$##$wing e#e3ens are genera##) c$nsi+ere+ in he +eer3inai$n $% he re#ai$nshi* he se#eci$n an+ engage3en $% he e3*#$)ee, *a)3en $% wages, *$wer $% +is3issa# an+ he *$wer $ c$nr$# he e3*#$)ees c$n+&c which is he 3$s i3*$ran e#e3en. The na&re $% he re#ai$nshi* 'eween a c$3*an) an+ is c$##ecing agens +e*en+s $n he circ&3sances $% each *aric&#ar re#ai$nshi*. N$ a## c$##ecing agens are e3*#$)ees an+ neiher are a## c$##ecing agens in+e*en+en c$nrac$rs. The agree3en c$n%ir3s he sa&s $% he c$##ecing agens as in+e*en+en c$nrac$r. The re&ire3en ha c$##eci$n agens &i#i4e $n#) recei* %$r3s an+ re*$r %$r3s iss&e+ ') he c$3*an) an+ ha re*$rs sha## 'e s&'3ie+ a #eas $nce a wee< is n$ necessari#) an in+icai$n $% c$nr$# $ver he 3eans ') which he $' c$##eci$n is $ 'e *er%$r3e+. Even i% re*$r re&ire3ens are $ 'e ca##e+ c$nr$# 3eas&res, an) c$nr$# is $n#) wih res*ec $ he en+ res&# $% he c$##eci$n since he re&ire3ens reg&#ae he hings $ 'e +$ne a%er he *er%$r3ance $% he c$##eci$n $' $r he ren+ii$n $% service. The *#ain #ang&age $% he agree3en revea#s ha he +esignai$n as c$##eci$n agen +$es n$ creae an e3*#$)3en re#ai$nshi* an+ ha he a**#ican is $ 'e c$nsi+ere+ a a## i3es as an in+e*en+en c$nrac$r. The c$&r %in+s ha since *rivae res*$n+ens are n$ e3*#$)ees $% he c$3*an), he) are n$ eni#e+ $ he c$nsi&i$na# righ $ %$r3 $r $in a #a'$r $rgani4ai$n %$r he *&r*$ses $% c$##ecive 'argaining. There is n$ c$nsi&i$na# an+ #ega# 'asis %$r heir &ni$n $ 'e grane+ heir *eii$n %$r +irec ceri%icai$n.

acs This is $rigina##) %i#e+ wih he S$cia# Sec&ri) C$33issi$n =SSC? via *eii$n $% 1" *ers$ns wh$ s)#e+ he3se#ves as J Ca++ies $% Mani#a G$#% an+ C$&nr) C#&'5PTCCEAK %$r he c$verage an+ avai#3en $% 'ene%is $% he S$cia# Sec&ri) Ac as a3en+e+, PTCCEA =Phi#i**ine Technica#, C#erica#, C$33ercia# E3*#$)ees Ass$ciai$n? a #a'$r $rgani4ai$n where which he) c#ai3 %$r 3e3'ershi*. The sa3e i3e w$ $her *r$cee+ings were %i#e+ an+ *en+ing. These are ceri%icai$n e#eci$n case %i#e+ ') PTCCEA $n 'eha#% $% he sa3e ca++ies $% Mani#a G$#% an+ C$&nr) c#&' which was in %av$r $% he ca++ies an+ c$3*&#s$r) ar'irai$n case inv$#ving PTCCEA an+ Mani#a G$#% an+ C$&nr) C#&' which was +is3isse+ an+ r&#e+ ha here was n$ e3*#$)er5e3*#$)ee re#ai$nshi* 'eween he ca++ies an+ he c#&'. The &esi$n inv$#ve+ in he case is wheher $r n$ ren+ering ca++)ing services %$r 3e3'ers $% g$#% c#&'s an+ heir g&ess in sai+ c#&'s c$&rses $r *re3ises are he e3*#$)ees $% s&ch c#&'s an+ here%$re wihin he c$3*&#s$r) c$verage $% he S$cia# Sec&ri) S)se3 =SSS?. R&#ing The C$&r +$es n$ agree ha he %acs #$gica##) *$in $ he e3*#$)er5e3*#$)ee re#ai$nshi*. In he ver) na&re $% hings, ca++ies 3&s s&'3i $ s$3e s&*ervisi$n $% heir c$n+&c whi#e en$)ing he *rivi#ege $% *&rs&ing heir $cc&*ai$n wihin he *re3ises an+ gr$&n+s $% whaever c#&' Page 1


he) +$ w$r< in. The) w$r< %$r he c#&' $ which he) aach he3se#ves $n s&%%erance '&, $n he $her han+, a#s$ wih$& having $ $'serve an) w$rn+er s&ch circ&3sances, he ca++) 3a) #eave he *re3ises an+ $ g$ $ s&ch $her *#ace $% w$r< ha he wishes. These are hings 'e)$n+ he c$nr$# $% he *eii$ner. The ca++) =LLa3ar? is n$ an e3*#$)ee $% *eii$ner Mani#a G$#% an+ C$&nr) C#&' an+ he *eii$ner is &n+er n$ $'#igai$n $ re*$r hi3 %$r c$3*&#s$r) c$verage $% SSS.

acs Li3$c$ was a Sa#es 7ivis$n $% Enc)c#$*ae+ia Briannica an+ was in charge $% se##ing he *r$+&cs hr$&gh s$3e sa#es re*resenaives. As c$3*ensai$n, he w$&#+ receive c$33issi$ns %r$3 he *r$+&cs s$#+ ') his agens. He was a#s$ a##$we+ $ &se he *eii$ners na3e, g$$+wi## an+ #$g$. I was agree+ ha $%%ice eF*enses w$&#+ 'e +e+&ce+ %r$3 Li3$c$s c$33issi$ns. In 19", Li3$c$ resigne+ $ *&rs&e his *rivae '&siness an+ %i#e+ a c$3*#ain agains *eii$ner %$r a##ege+ n$n5*a)3en $% se*arai$n *a) an+ $her 'ene%is an+ a#s$ i##ega# +e+&ci$n %r$3 sa#es c$33issi$ns. Peii$ner a##ege+ ha Li3$c$ was n$ an e3*#$)ee $% he c$3*an) '& an in+e*en+en +ea#er a&h$ri4e+ $ *r$3$e an+ se## is *r$+&cs an+ in re&rn, receive+ c$33issi$ns herein. Peii$ner a#s$ c#ai3s ha i ha+ n$ c$nr$# an+ s&*ervisi$n $ver he c$3*#ainan as $ he 3anners an+ 3eans he c$n+&ce+ his '&siness $*erai$ns. Li3$c$ 3ainaine+ $herwise. He a##ege+ he was hire+ ') he *eii$ner an+ was assigne+ in he sa#es +e*ar3en. The La'$r Ar'ier r&#e+ ha Li3$c$ was an e3*#$)ee $% he c$3*an). NLRC a#s$ a%%ir3e+ he +ecisi$n an+ $*ine+ ha here was n$ evi+ence s&**$ring a##egai$n ha Li3$c$ was an in+e*en+en c$nrac$r $r +ea#er. :n a**ea#, *eii$ner assai#s ha here was n$ e3*#$)ee5e3*#$)er re#ai$nshi*. R&#ing There was n$ e3*#$)ee5e3*#$)er re#ai$nshi*. In +eer3ining he re#ai$nshi*, he %$##$wing e#e3ens 3&s 'e *resen se#eci$n an+ engage3en $% he e3*#$)ee, *a)3en $% wages, *$wer $% +is3issa# an+ *$wer $ c$nr$# he e3*#$)ees c$n+&c. The *$wer $% c$nr$# is c$33$n#) regar+e+ as he 3$s cr&cia# an+ +eer3inaive in+ica$r $% he *resence $r a'sence $% an e3*#$)ee5e3*#$)er re#ai$nshi*. >n+er he c$nr$# es, an e3*#$)ee5e3*#$)er re#ai$nshi* eFiss where he *ers$n %$r wh$3 he services are *er%$r3e+ reserves a righ $ c$nr$# n$ $n#) he en+ $ 'e achieve+, '& a#s$ he 3anner an+ 3eans $ 'e e3*#$)e+ in reaching ha en+. The iss&ance $% g&i+e#ines ') he *eii$ner was 3ere#) g&i+e#ines $n c$3*an) *$#icies which sa#es 3anagers %$##$w an+ i3*$se $n heir res*ecive agens. Li3$c$ was n$ an e3*#$)ee $% he c$3*an) since he ha+ he %ree rein in he 3eans an+ 3eh$+s %$r c$n+&cing he 3ar
acs S&san Car&ngc$ng 'egan her career in he ins&rance in+&sr) in 19" as an agen $% S&n Li%e Ass&rance C$3*an) $% Cana+a. She signe+ an Agen Agree3en wih S&n Li%e. In vir&e $% which she was +esignae+ he #aers agen $ s$#ici a**#icai$ns %$r is ins&rance an+ ann&i) *$#icies. This c$nrac was s&*erse+e+ s$3e %ive )ears #aer when she signe+ w$ =!? new agree3ens. The %irs, +en$3inae+ Career Agens $r >ni Managers Agree3en, +ea# wih s&ch 3aers as he agens c$33issi$ns, his $'#igai$ns, #i3iai$ns $n his a&h$ri), an+ er3inai$n $% he agree3en ') +eah, $r ') wrien n$ice wih $r wih$& ca&se. The sec$n+ was i#e+, Managers S&**#e3enar) Agree3en. I eF*#ici#) +escri'e+ as a J%&rher agree3enK. Car&ngc$ng an+ S&n Li%e eFec&e+ an$her Agree3en na3e+ New B&siness Manager wih he %&nci$n genera##) $ 3anage a New B&siness :%%ice esa'#ishe+. This #aes Agree3en sresse+ ha he New B&siness Manager in *er%$r3ance $% his Page 2


+&ies +e%ine+ herein, sha## 'e c$nsi+ere+ an in+e*en+en c$nrac$r an+ n$ an e3*#$)ee $% S&n Li%e, an+ ha &n+er n$ circ&3sance sha## he New B&siness Manager an+$r his e3*#$)ees 'e c$nsi+ere+ e3*#$)ees $% S&n Li%e. Ms. E#ei4er Si'a)an, Manager $% S&n Li%es Inerna# A&+i 7e*ar3en, c$33ence+ an in&ir) in$ he s*ecia# %&n+ avai#3ens $% Car&ngc$ng an+ $her New B&siness Managers. Res*$n+en Lance e3*, ha+ 'een receiving re*$rs $% an$3a#ies in re#ai$n here$ %r$3 &ni 3anagers an+ agens. Therea%er, $n 6an&ar) 199(, Car&ngc$ng was c$n%r$ne+ wih an+ as, 7irec$r, Marni Managers Agree3enK %irs signe+ ') her, ha in *er%$r3ance $% her +&ies +e%ine+ herein. Car&ngc$ng w$&#+ 'e c$nsi+ere+ an in+e*en+en c$nrac$r an+ n$ an e3*#$)ee $% S&n Li%e, an+ ha &n+er n$ circ&3sance sha## he New B&siness Manager an+$r his e3*#$)ees 'e c$nsi+ere+ e3*#$)ees $% S&n Li%e. Car&ngc$ng is an in+e*en+en c$nrac$r. I was in+icae+ in he ver) %ace $% he c$nrac. The r&#es an+ reg&#ai$ns $% he c$3*an) is n$ s&%%icien $ esa'#ish an e3*#$)er5e3*#$)ee re#ai$nshi*. I +$es n$ necessari#) creae an) e3*#$)er5e3*#$)ee re#ai$nshi* where he e3*#$)ers c$nr$#s have $ iner%ere in he 3eh$+s an+ 3eans ') which e3*#$)ee w$&#+ #i
acs Peii$ner Er#in+a Ra3$s was a+vise+ $ &n+erg$ an $*erai$n %$r he re3$va# $% her s$ne in he ga## '#a++er. She was re%erre+ $ 7r. H$sani an+ sa)e+ here %$r a 3$nh. Since he i##5%ae+ $*erai$n, Er#in+a re3aine+ in c$3a$se c$n+ii$n &ni# she +ie+. The %a3i#) $% Ra3$s s&e+ he3 %$r +a3ages. :ne $% he iss&es inv$#ve+ was ha here was an e3*#$)ee5e3*#$)er re#ai$nshi* ha eFise+ 'eween he 3e+ica# cener an+ 7rs. H$sa
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acs In Ma) 199, ABS5CBN signe+ an agree3en wih he Me# an+ 6a) Manage3en an+ 7eve#$*3en C$r*$rai$n =M6M7C?. ABS5CBN was re*resene+ ') is c$r*$rae $%%icers whi#e M6M7C was re*resene+ ') S$n4a, as Presi+en an+ genera# 3anager, an+ Tiangc$ as is E8P an+ reas&rer. Re%erre+ $ in he agree3en as agen, M6M7C agree+ $ *r$vi+e S$n4as services eFc#&sive#) $ ABS5CBN as a#en %$r ra+i$ an+ e#evisi$n. ABS5CBN agree+ $ *a) S$n4a a 3$nh#) a#en %ee $% P1(, ((( %$r he %irs )ear an+ P1", ((( %$r he sec$n+ an+ hir+ )ear. :n A*ri# 199-, S$n4a wr$e a #eer $ ABS5CBN where he irrev$ca'#) resigne+ in view $% he recen evens c$ncerning his *r$gra3 an+ career. A%er he sai+ #eer, S$n4a %i#e+ wih he 7e*ar3en $% La'$r an+ E3*#$)3en a c$3*#ain a##eging ha ABS5CBN +i+ n$ *a) his sa#aries, se*arai$n *a), service incenive *a),1 h 3$nh *a), signing '$n&s, rave# a##$wance an+ a3$&ns &n+er he E3*#$)ees S$c< :*i$n P#an =ES:P?. ABS5CBN c$nen+e+ ha n$ e3*#$)ee5e3*#$)er re#ai$nshi* eFise+ 'eween he *aries. H$wever, ABS5CBN c$nin&e+ $ re3i S$n4as 3$nh#) a#en %ees '& $*ene+ an$her acc$&n %$r he sa3e *&r*$se. The La'$r Ar'ier +is3isse+ he c$3*#ain an+ %$&n+ ha here is n$ e3*#$)ee5e3*#$)er re#ai$nshi*. NLRC a%%ir3e+ he +ecisi$n $% he La'$r Ar'ier. CA a#s$ a%%ir3e+ he +ecisi$n $% NLRC. R&#ing Case #aw has c$nsisen#) he#+ ha he e#e3ens $% an e3*#$)ee5e3*#$)er re#ai$nshi* are se#eci$n an+ engage3en $% he e3*#$)ee, he *a)3en $% wages, he *$wer $% +is3issa# an+ he e3*#$)ers *$wer $ c$nr$# he e3*#$)ee $n he 3eans an+ 3eh$+s ') which he w$r< is acc$3*#ishe+. The #as e#e3en, he s$5ca##e+ c$nr$# es, is he 3$s i3*$ran e#e3en. S$n4as services $ c$5h$s is e#evisi$n an+ ra+i$ *r$gra3s are 'eca&se $% his *ec&#iar a#ens, s
acs Res*$n+en R$sa#ina M. La&+a$ %i#e+ a *eii$n 'e%$re he SSC %$r s$cia# sec&ri) c$verage an+ re3iance $% &n*ai+ 3$nh#) s$cia# sec&ri) c$nri'&i$ns agains her hree =? e3*#$)ers. A3$ng he res*$n+ens was herein *eii$ner Ange#i$ L. La4ar$, *r$*rie$r $% R$)a# Sar Mar
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ha+ n$ c$nr$# $ver he aciviies $% La&+a$. $r he *&r*$se $% +eer3ining wheher he res*$n+en is eni#e+ $ s$cia# sec&ri) c$nri'&i$ns, i 3&s 'e sh$wn ha La&+a$ was a reg&#ar e3*#$)ee $% R$)a# Sar Mar
acs Phi#i**ine G#$'a# C$33&nicai$ns inc. is a c$r*$rai$n engage+ in he '&siness $% c$33&nicai$n services an+ a##ie+ aciviies whi#e Ricar+$ +e 8era is a *h)sician ') *r$%essi$n wh$3 *eii$ner en#ise+ $ aen+ $ he 3e+ica# nee+s $% is e3*#$)ees. The c$nr$vers) r$se when *eii$ner er3inae+ his engage3en. In 191, 7r. +e 8era $%%ere+ his services $ *eii$ner. The *aries agree+ an+ %$r3a#i4e+ he res*$n+ens *r$*$sa# in a +$c&3en +en$3inae+ as reainershi* c$nrac which wi## 'e %$r a *eri$+ $% $ne )ear, s&'ec $ renewa# an+ c#ear#) sae+ ha res*$n+en wi## c$ver he reainershi* he c$3*an) *revi$&s#) wih 7r. E&#a&. The agree3en wen &ni# 199, in he )ears 19925199-, i was renewe+ ver'a##). The &rning *$in $% he *aries re#ai$nshi* was when *eii$ner, hr& a #eer 'earing he s&'ec TERMINATI:N O RETAINERSHIP C:NTRACT, in%$r3e+ 7r. +e 8era $% is +ecisi$n $ +isc$nin&e he #aers reainer c$nrac 'eca&se he 3anage3en has +eci+e+ ha i w$&#+ 'e 3$re *racica# $ *r$vi+e 3e+ica# services $ is e3*#$)ees hr$&gh accre+ie+ h$s*ia#s near he c$3*an) *re3ises. :n 6an&ar) 199", +e 8era %i#e+a c$3*#ain %$r i##ega# +is3issa# 'e%$re he NLRC, a##eging ha he ha+ 'een ac&a##) e3*#$)e+ ') he c$3*an) as is c$3*an) *h)sician since 1991. The c$33issi$n ren+ere+ +ecisi$n in %av$r $% Phi#c$3 an+ +is3isse+ he c$3*#ain sa)ing ha +e 8era was an in+e*en+en c$nrac$r. :n a**ea# $ NLRC, i reverse+ he +ecisi$n $% he La'$r Ar'ier saing ha +e 8era is a reg&#ar e3*#$)ee an+ +irece+ he c$3*an) $ reinsae hi3. Phi#c$3 a**ea#e+ $ he CA where i ren+ere+ +ecisi$n +e#eing he awar+ '& reinsaing +e 8era. Phi#c$3 %i#e+ his *eii$n inv$#ving he +i%%erence $% a $' c$nracing agree3ens %r$3 e3*#$)ee5e3*#$)er re#ai$nshi*. Iss&e Wheher $r n$ here is an e3*#$)er5e3*#$)ee re#ai$nshi* 'eween he *aries. SC R&#ing The e#e3ens $% an e3*#$)er5e3*#$)ee re#ai$nshi* is waning in his case. The rec$r+ are re*#ee wih evi+ence sh$wing ha res*$n+en ha+ $ 'i## *eii$ner %$r his 3$nh#) *r$%essi$na# %ees. I si3*#) r&ns agains he grain $% c$33$n eF*erience $ i3agine ha an $r+inar) e3*#$)ee has )e $ 'i## his e3*#$)er $ receive his sa#ar). The *$wer $ er3inae he *aries re#ai$nshi* was 3&&a##) vese+ $n '$h. Eiher 3a) er3inae he arrange3en a wi##, wih $r wih$& ca&se. Re3ar
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Peii$ner ha+ n$ c$nr$# $ver he 3eans an+ 3eh$+s ') which res*$n+en wen a'$& *er%$r3ing his w$r< a he c$3*an) *re3ises. In %ine, he *aries he3se#ves *racica##) agree+ $n ever) er3s an+ c$n+ii$ns $% he engage3en, which here') negaes he e#e3en $% c$nr$# in heir re#ai$nshi*.

acs Peii$ner ABS5CBN Br$a+casing C$r*$rai$n =ABS5CBN? is engage+ in he 'r$a+casing '&siness an+ $wns a new$r< $% e#evisi$n an+ ra+i$ sai$ns, wh$se $*erai$ns rev$#ve ar$&n+ he 'r$a+cas, rans3issi$n, an+ re#a) $% e#ec$33&nicai$n signa#s. I se##s an+ +ea#s in $r $herwise &i#i4es he airi3e i generaes %r$3 is ra+i$ an+ e#evisi$n $*erai$ns. I has a %ranchise as a 'r$a+casing c$3*an), an+ was #in+er*a)3en $% :veri3e Pa), H$#i+a) Pa), Pre3i&3 Pa), Service Incenive Pa), Sic< Leave Pa), an+ 1h M$nh Pa) wih 7a3ages agains he *eii$ner 'e%$re he NLRC. The La'$r Ar'ier ren+ere+ &+g3en in %av$r $% he res*$n+ens, an+ +ec#are+ ha he) were reg&#ar e3*#$)ees $% *eii$ner as s&ch, he) were awar+e+ 3$near) 'ene%is. NLRC a%%ir3e+ he +ecisi$n $% he La'$r Ar'ier. Peii$ner %i#e+ a 3$i$n %$r rec$nsi+erai$n '& CA +is3isse+ i. The iss&e inv$#ve+ is wheher he res*$n+ens were c$nsi+ere+ reg&#ar e3*#$)ees $% ABS5CBN. R&#ing The res*$n+ens are reg&#ar e3*#$)ees $% ABS5CBN. I was he#+ ha where a *ers$n has ren+ere+ a #eas $ne )ear $% service, regar+#ess $% he na&re $% he acivi) *er%$r3e+, $r where he w$r< is c$nin&$&s $r iner3ien, he e3*#$)3en is c$nsi+ere+ reg&#ar as #$ng as he acivi) eFiss, he reas$n 'eing ha a c&s$3ar) a**$in3en is n$ in+is*ensa'#e 'e%$re $ne 3a) 'e %$r3a##) +ec#are+ as having aaine+ reg&#ar sa&s. In >niversa# R$'ina C$r*$rai$n v. Caa*ang, he C$&r saes ha he *ri3ar) san+ar+, here%$re, $% +eer3ining reg&#ar e3*#$)3en is he reas$na'#e c$nneci$n 'eween he *aric&#ar acivi) *er%$r3e+ ') he e3*#$)ee in re#ai$n $ he &s&a# ra+e $r '&siness $% he e3*#$)er. The es is wheher he %$r3er is &s&a##) necessar) $r +esira'#e in he &s&a# '&siness $r ra+e $% he e3*#$)er. The c$nneci$n can 'e +eer3ine+ ') c$nsi+ering he na&re $% w$r< *er%$r3e+ an+ is re#ai$n $ he sche3e $% he *aric&#ar '&siness $r ra+e in is enire). A#s$, i% he e3*#$)ee has 'een *er%$r3ing he $' %$r a #eas a )ear, even i% he *er%$r3ance is n$ c$nin&$&s an+ 3ere#) iner3ien, he #aw +ee3s re*eae+ an+ c$nin&ing nee+ %$r is *er%$r3ance as s&%%icien evi+ence $% he necessi) i% n$ in+is*ensa'i#i) $% ha acivi) $ he '&siness. Hence, he e3*#$)3en is c$nsi+ere+ reg&#ar, '& $n#) wih res*ec $ s&ch acivi) an+ whi#e s&ch acivi) eFiss. A++ii$na##), res*$n+ens cann$ 'e c$nsi+ere+ as *r$ec $r *r$gra3 e3*#$)ees 'eca&se n$ evi+ence was *resene+ $ s h$w ha he +&rai$n an+ sc$*e $% he *r$ec were +eer3ine+ $r s*eci%ie+ a he i3e $% heir engage3en. In he case a 'ar, h$wever, he e3*#$)er5e3*#$)ee re#ai$nshi* 'eween *eii$ner an+ res*$n+ens has 'een *r$ven. In he se#eci$n an+ engage3en $% res*$n+ens, n$ *ec&#iar $r &ni&e s
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acs Pei$ner was hire+ ') asei C$r*$rai$n +&ring he inc$r*$rai$n sage. She was +esignae+ as acc$&nan an+ c$r*$rae secrear) an+ was assigne+ $ han+#e a## he acc$&ning nee+s $% he c$3*an). She was a#s$ +esignae+ as Lias$n :%%icer $ he Ci) $% Mani#a $ sec&re *er3is %$r he $*erai$n $% he c$3*an).In 199-, Peii$ner was +esignae+ as Acing Manager. She was assigne+ $ han+#e recr&i3en $% a## e3*#$)ees an+ *er%$r3 3anage3en a+3inisrai$n %&nci$ns. In !((1, she was re*#ace+ ') Li4a &enes as Manager. asei C$r*$rai$n re+&ce+ her sa#ar) $ P!,2(( *er 3$nh which was &ni# Se*e3'er. She as
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The res$#&i$n $% his iss&e ress, $n he $her han+, $n he ascerain3en $% he re#ai$nshi* 'eween 7r. Esra+a an+ CMC. The C$&r a#s$ 'e#ieves ha a +eer3inai$n $% he eFen $% #ia'i#i) $% he $her res*$n+ens is inevia'#e $ %ina##) an+ c$3*#ee#) +is*$se $% he *resen c$nr$vers). A%er a h$r$&gh eFa3inai$n $% he v$#&3in$&s rec$r+s $% his case, he C$&r %in+s n$ sing#e evi+ence *$ining $ CMCs eFercise $% c$nr$# $ver 7r. Esra+as rea3en an+ 3anage3en $% C$ra4$ns c$n+ii$n. I is &n+is*&e+ ha hr$&gh$& C$ra4$ns *regnanc), she was &n+er he eFc#&sive *renaa# care $% 7r. Esra+a. A he i3e $% C$ra4$ns a+3issi$n a CMC an+ +&ring her +e#iver), i was 7r. Esra+a, assise+ ') 7r. 8i##a%#$r, wh$ aen+e+ $ C$ra4$n. There was n$ sh$wing ha CMC ha+ a *ar in +iagn$sing C$ra4$ns c$n+ii$n. Whi#e 7r. Esra+a en$)e+ sa%% *rivi#eges a CMC, s&ch %ac a#$ne +i+ n$ 3a
acs 7r. 7ean N. C#i3ac$ is a 3e+ica# +$c$r wh$ was hire+ ') C$ca5C$#a B$#ers Phi#s., Inc. ') vir&e $% a Reainer Agree3en. The Reainer Agree3en, which 'egan $n 6an&ar) 1, 19, was renewe+ ann&a##). The #as $ne eF*ire+ $n 7ece3'er 1, 199. 7es*ie he n$n5renewa# $% he Reainer Agree3en, res*$n+en c$nin&e+ $ *er%$r3 his %&nci$ns as c$3*an) +$c$r $ C$ca5C$#a &ni# he receive+ a #eer +ae+ March 9, 1992 %r$3 he c$3*an) c$nc#&+ing heir reainershi* agree3en e%%ecive ( +a)s %r$3 recei* here$%. 7r. C#i3ac$ in&ire+ %r$3 he 3anage3en $% he c$3*an) wheher i was agreea'#e $ rec$gni4ing hi3 as a reg&#ar e3*#$)ee. The 3anage3en re%&se+ $ +$ s$. :n e'r&ar) !, 199, res*$n+en %i#e+ a C$3*#ain 'e%$re he NLRC, Bac$#$+ Ci), see
+escri*i$n sh$ws ha wha was s$&gh $ 'e c$nr$##e+ ') EBTC was ac&a##) he en+ res&# $% he as<, e.g., ha he +ai#) inc$3ing an+ $&g$ing e#egra*hic rans%er $% %&n+s receive+ an+ re#a)e+ ') her, res*ecive#), a##ies wih ha $% he regiser. The g&i+e#ines were #ai+ +$wn 3ere#) $ ens&re ha he +esire+ en+ res&# was achieve+. I +i+ n$, h$wever, e## Neri h$w he ra+i$e#eF 3achine sh$&#+ 'e $*erae+.K Thr$&gh he C$3*rehensive Me+ica# P#an, *r$vi+e+ g&i+e#ines 3ere#) $ ens&re ha he en+ res&# was achieve+, '& +i+ n$ c$nr$# he 3eans an+ 3eh$+s ') which res*$n+en *er%$r3e+ his assigne+ as
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aen+ing $ his *rivae *racice in he ci), where he services his *aiens, 'i##s he3 acc$r+ing#) 55 an+ i% i is an e3*#$)ee $% res*$n+en c$3*an) wh$ is aen+e+ $ ') hi3 %$r s*ecia# rea3en ha nee+s h$s*ia#i4ai$n $r $*erai$n, his is s&'ec $ a s*ecia# 'i##ing. M$re $%en han n$, an e3*#$)ee is re&ire+ $ sa) in he e3*#$)ers w$r<*#ace $r *r$Fi3ae#) c#$se here$ ha he cann$ &i#i4e his i3e e%%ecive#) an+ gain%&##) %$r his $wn *&r*$se. S&ch is n$ he *revai#ing si&ai$n here. The Reainershi* Agree3en grane+ $ '$h *aries he *$wer $ er3inae heir re#ai$nshi* &*$n giving a (5+a) n$ice. Hence, Peii$ner C$3*an) +i+ n$ wie#+ he s$#e *$wer $% +is3issa# $r er3inai$n. C$nsi+ering ha here is n$ e3*#$)er5e3*#$)ee re#ai$nshi* 'eween he *aries, he er3inai$n $% he Reainershi* Agree3en, which is in acc$r+ance wih he *r$visi$ns $% he Agree3en, +$es n$ c$nsi&e i##ega# +is3issa# $% res*$n+en. C$nse&en#), here is n$ 'asis %$r he 3$ra# an+ eFe3*#ar) +a3ages grane+ ') he C$&r $% A**ea#s $ res*$n+en +&e $ his a##ege+ i##ega# +is3issa#.

acs Res*$n+ens a##ege+ ha he) were e3*#$)e+ as +ra3a a#ens ') 7@WB5B$3'$ Ra+)$, a ra+i$ sai$n $wne+ an+ $*erae+ ') *eii$ner C$ns$#i+ae+ Br$a+casing S)se3, Inc. The) re*$re+ %$r w$r< +ai#) %$r siF +a)s in a wee< an+ were re&ire+ $ rec$r+ heir +ra3a *r$+&ci$n in a+vance. S$3e $% he3 were e3*#$)e+ ') *eii$ner since 19", whi#e he #aes $ne was hire+ in 199". Their +ra3a *r$gra3s were aire+ n$ $n#) in Bac$#$+ Ci) '& a#s$ in he siser sai$ns $% 7@WB in he 8isa)as an+ Min+ana$ areas. S$3ei3e in A&g&s 199, *eii$ner re+&ce+ he n&3'er $% is +ra3a *r$+&ci$ns %r$3 1 $ 11, '& was $**$se+ ') res*$n+ens. A%er he neg$iai$ns %ai#e+, he #aer s$&gh he inerveni$n $% he 7e*ar3en $% La'$r an+ E3*#$)3en =7:LE?, which $n N$ve3'er 1!, 199, c$n+&ce+ hr$&gh is Regi$na# :%%ice, an ins*eci$n $% 7W@B sai$n. The res&#s here$% revea#e+ ha *eii$ner is g&i#) $% vi$#ai$n $% #a'$r san+ar+ #aws. Peii$ner c$nen+e+ ha res*$n+ens are n$ is e3*#$)ees an+ re%&se+ $ s&'3i he *a)r$## an+ +ai#) i3e rec$r+s +es*ie he s&'*$ena +&ces ec&3 iss&e+ ') he 7:LE Regi$na# 7irec$r. Peii$ner %&rher arg&e+ ha he case sh$&#+ 'e re%erre+ $ he NLRC 'eca&se he Regi$na# 7irec$r has n$ &ris+ici$n $ver he +eer3inai$n $% he eFisence $% e3*#$)er5e3*#$)ee re#ai$nshi* which inv$#ves evi+eniar) 3aers ha are n$ veri%ia'#e in he n$r3a# c$&rse $% ins*eci$n. 8eFe+ ') he res*$n+ens c$3*#ain, *eii$ner a##ege+#) *ress&re+ an+ ini3i+ae+ res*$n+ens. Res*$n+ens :'eri$ an+ 7e#a were s&s*en+e+ %$r 3in$r #a*ses an+ he *a)3en $% heir sa#aries were *&r*$re+#) +e#a)e+. Even&a##), $n e'r&ar) , 1999, *en+ing he $&c$3e $% he ins*eci$n case wih he Regi$na# 7irec$r, res*$n+ens were 'arre+ ') *eii$ner %r$3 re*$ring %$r w$r< h&s, he %$r3er c#ai3e+ c$nsr&cive +is3issa#. Iss&es 1. Wheher res*$n+ens were e3*#$)ees $% *eii$ner. !. Wheher res*$n+ens +is3issa# was i##ega#. R&#ing 1. @es, res*$n+ens e3*#$)3en wih *eii$ner *asse+ he %$&r5%$#+ es $n e3*#$)er5e3*#$)ee re#ai$ns, na3e#) =1? he se#eci$n an+ engage3en $% he e3*#$)ee, $r he *$wer $ hire =!? he *a)3en $% wages =? he *$wer $ +is3iss an+ =? he *$wer $ c$nr$# he e3*#$)ee. Peii$ner %ai#e+ $ c$nr$ver wih s&'sania# evi+ence he a##egai$n $% res*$n+ens ha he) were hire+ ') he %$r3er $n vari$&s +aes %r$3 19" $ 199". I% *eii$ner +i+ n$ hire res*$n+ens an+ i% i was he +irec$r a#$ne wh$ ch$se he a#ens, *eii$ner c$&#+ have easi#) sh$wn, 'eing in *$ssessi$n $% he rec$r+s, a c$nrac $ s&ch e%%ec. H$wever, *eii$ner 3ere#) re#ie+ $n is c$neni$n ha res*$n+ens were *iece rae c$nrac$rs wh$ were *ai+ ') res&#s.N$e ha &n+er P$#ic) Insr&ci$n N$. (, *eii$ner is $'#ige+ $ eFec&e he necessar) c$nrac s*eci%)ing he na&re $% he w$r< $ 'e *er%$r3e+, raes $% *a), an+ he *r$gra3s in which he) wi## w$r<. M$re$ver, *r$ec $r c$nrac&a# e3*#$)ees are re&ire+ $ 'e a**rise+ $% he *r$ec he) wi## &n+era
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acs Ass$ciae+ Br$a+casing C$3*an) =ABC? hire+ The#3a 7&3*i5M&ri##$ &n+er a a#en c$nrac as a newscaser an+ c$5anch$r %$r Ba#iang5 Ba#ia , an ear#) evening news *r$gra3. The c$nrac was %$r a *eri$+ $% hree 3$nhs. A%er %$&r )ears $% re*eae+ renewa#s, *eii$ners a#en c$nrac eF*ire+. Tw$ wee
acs Peii$ner was he #a+)

T$ ascerain he eFisence $% an e3*#$)er5e3*#$)ee re#ai$nshi*, &ris*r&+ence has invaria'#) a**#ie+ he %$&r5%$#+ es, na3e#) =1? he 3anner $% se#eci$n an+ engage3en =!? he *a)3en $% wages =? he *resence $r a'sence $% he *$wer $% +is3issa# an+ =? he *resence $r a'sence $% he *$wer $% c$nr$#. :% hese %$&r, he #as $ne is he 3$s i3*$ran. The s$5ca##e+ c$nr$# es is c$33$n#) regar+e+ as he 3$s cr&cia# an+ +eer3inaive in+ica$r $% he *resence $r a'sence $% an e3*#$)er5e3*#$)ee re#ai$nshi*. >n+er he c$nr$# es, an e3*#$)er5e3*#$)ee re#ai$nshi* eFiss where he *ers$n %$r wh$3 he services are *er%$r3e+ reserves he righ $ c$nr$# n$ $n#) he en+ achieve+, '& a#s$ he 3anner an+ 3eans $ 'e &se+ in reaching ha en+. Peii$ner %ai#e+ $ cie a sing#e insance $ *r$ve ha she was s&'ec $ he c$nr$# $% res*$n+ens ins$%ar as he 3anner in which she sh$&#+ *er%$r3 her $' as a #a+)
acs The Ca#a3'a Me+ica# Cener =*eii$ner?, a *rivae#)5$wne+ h$s*ia#, engage+ he services $% 3e+ica# +$c$rs5s*$&ses R$na#+$ Lan4anas =7r. Lan4anas? an+ Merce+iha Lan4anas =7r. Merce+iha? in March 199! an+ A&g&s 1992, res*ecive#), as *ar $% is ea3 $% resi+en *h)sicians. :n March ", 199, 7r. Me#&4 Trini+a+ =7r. Trini+a+?, a#s$ a resi+en *h)sician a he h$s*ia#, ina+veren#) $verhear+ a e#e*h$ne c$nversai$n $% res*$n+en 7r. Lan4anas wih a %e##$w e3*#$)ee, 7i$s+a+$ Misca#a, hr$&gh an eFensi$n e#e*h$ne #ine. A**aren#), 7r. Lan4anas an+ Misca#a were +isc&ssing he #$w cens&s $r a+3issi$n $% *aiens $ he h$s*ia#. 7r. 7esi*e+a wh$se aeni$n was ca##e+ $ he a'$ve5sai+ e#e*h$ne c$nversai$n iss&e+ $ 7r. Lan4anas a Me3$ran+&3 $% March ", 199. In he 3eani3e, hen Sec. Cresencian$ Traan$ $% he 7e*ar3en $% La'$r an+ E3*#$)3en =7:LE? ceri%ie+ he #a'$r +is*&e $ he NLRC %$r c$3*&#s$r) ar'irai$n an+ iss&e+ $n A*ri# !1, 199 re&rn5$5w$r< :r+er $ he sri
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he CMC Me+ica# 7irec$r i3*#e3ening he La'$r Secrear)s :R7ERQ@$& are #iWP? $ 'e &n#aw%&##) *arici*aing as 3e3'er in he ran<5an+5%i#e &ni$ns c$ncere+ aciviies +es*ie n+er he c$nr$# es, an e3*#$)3en re#ai$nshi* eFiss 'eween a *h)sician an+ a h$s*ia# i% he h$s*ia# c$nr$#s '$h he 3eans an+ he +eai#s $% he *r$cess ') which he *h)sician is $ acc$3*#ish his as<. As *ri$r#) sae+, *rivae res*$n+ens 3ainaine+ s*eci%ic w$r<5 sche+&#es, as +eer3ine+ ') *eii$ner hr$&gh is 3e+ica# +irec$r, which c$nsise+ $% !5h$&r shi%s $a#ing %$r)5eigh h$&rs each wee< an+ which were sric#) $ 'e $'serve+ &n+er *ain $% a+3inisraive sanci$ns.Tha *eii$ner eFercise+ c$nr$# $ver res*$n+ens gains #igh %r$3 he &n+is*&e+ %ac ha in he e3ergenc) r$$3, he $*eraing r$$3, $r an) +e*ar3en $r war+ %$r ha 3aer, res*$n+ens w$r< is 3$ni$re+ hr$&gh is n&rsing s&*ervis$rs, charge n&rses an+ $r+er#ies. Wih$& he a**r$va# $r c$nsen $% *eii$ner $r is 3e+ica# +irec$r, n$ $*erai$ns can 'e &n+era
acs Regisere+ n&rses 6er$3ie 7. Escasinas an+ Evan Rig$r Singc$ =*eii$ners? were engage+ in 1999 an+ 199-, res*ecive#), ') 7r. 6essica 6$)ce R. Pe*i$ =res*$n+en +$c$r? $ w$r< in her c#inic a res*$n+en Shangri5#as Macan Is#an+ Res$r =Shangri5#a? in Ce'& $% which she was

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a reaine+ *h)sician. In #ae !((!, *eii$ners %i#e+ wih he Nai$na# La'$r Re#ai$ns C$33issi$n =NLRC? Regi$na# Ar'irai$n Branch N$. 8II =NLRC5RAB N$. 8II? a c$3*#ain %$r reg&#ari4ai$n, &n+er*a)3en $% wages, n$n5*a)3en $% h$#i+a) *a), nigh shi% +i%%erenia# an+ 1h 3$nh *a) +i%%erenia# agains res*$n+ens, c#ai3ing ha he) are reg&#ar e3*#$)ees $% Shangri5#a. Shangri5#a c#ai3e+, h$wever, ha *eii$ners were n$ is e3*#$)ees '& $% res*$n+en +$c$r wh$3 i reaine+ via Me3$ran+&3 $% Agree3en =M:A? *&rs&an $ Aric#e 12" $% he La'$r C$+e, as a3en+e+. Res*$n+en +$c$r %$r her *ar c#ai3e+ ha *eii$ners were a#rea+) w$rn+er he %$reg$ing *r$visi$n, Shangri5#a, which e3*#$)s 3$re han !(( w$r

*$wer wih res*ec $ he hiring, %iring an+ *a)3en $% he c$nrac$rs w$r
acs T$ng<$ was, iniia##) an ins&rance agen $% Man&#i%e wh$ was *r$3$e+ $ he r$#e $% a 3anager. The c$nrac&a# re#ai$nshi* 'eween T$ng<$ an+ Man&#i%e ha+ w$ 'asic *hases. The iniia# *hase 'egan $n 6&#) 1, 19""&n+er a Career Agens Agree3en which regar+e+ hi3 as an in+e*en+en c$nrac$r, n$ an e3*#$)ee. As an agen, his asni Manager. In 199(, he 'eca3e a Branch Manager. In 199-, T$ng<$ 'eca3e a Regi$na# Sa#es Manager, where he earne+ c$33issi$ns, *ersisenc) inc$3e an+ 3anage3en $verri+es. Since he 'eginning, T$ng<$ c$nsisen#) +ec#are+ hi3se#% se#%5e3*#$)e+ in his inc$3e aF re&rns. H$wever, in !((1, Man&#i%e insi&e+ 3an*$wer +eve#$*3en *r$gra3s which +irece+ he 3anagers $ increase he n&3'er $% agens $ a #eas 1,((( sr$ng %$r a sar. I was %$&n+ ha T$ng<$s regi$n was he #$wes *er%$r3er in er3s $% recr&iing in !(((. S&'se&en#), T$ng<$ receive+ an$her #eer, +ae+ 7ece3'er 1, !((1, er3inaing his services. T$ng<$ hen %i#e+ an i##ega# +is3issa# c$3*#ain wih he NLRC Ar'irai$n Branch. He a##ege+ he eFisence $% an e3*#$)3en re#ai$nshi*. In s&**$r $% his he assere+ ha as >ni Manager, he was *ai+ an ann&a# $ver5ri+er, a rave# an+ enerain3en a##$wance in a++ii$n $ his $verri+ing c$33issi$ns. He was as
LA N$ e3*#$)er5e3*#$)ee re#ai$nshi* eFise+ 'eween he *aries. NLRC I %$&n+ he eFisence $% an e3*#$)er5e3*#$)ee re#ai$nshi*. There was i##ega# +is3issa#. CA I revere+ $ he #a'$r ar'iers +ecisi$n ha n$ e3*#$)er5e3*#$)ee re#ai$nshi* eFise+ 'eween he3. SC In reversing he CA r&#ing, i +ec#are+ ha an e3*#$)3en re#ai$nshi* eFise+ 'eween he3. irs, here eFiss he *$ssi'i#i) $% an ins&rance agen 'ec$3ing an e3*#$)ee $% an ins&rance c$3*an) i% evi+ence sh$ws ha he c$3*an) *r$3&#gae+ r&#es $r reg&#ai$ns ha e%%ecive#) c$nr$##e+ $r resrice+ an ins&rance agens ch$ice $% 3eh$+s $r he 3eh$+s he3se#ves in se##ing ins&rance. Sec$n+, Man&#i%e ha+ he *$wer $% c$nr$# $ver T$ng<$, s&%%icien $ characeri4e hi3 as an e3*#$)ee, as sh$wn ') he %ac ha he c$3*#ie+ wih  +i%%eren c$+es $% c$n+&c an+ ha he *er%$r3e+ a+3inisraive +&ies. A#s$, T$ng<$ was as
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Hence, a M$i$n %$r Rec$nsi+erai$n was %i#e+ ') Man&#i%e an+ was grane+ ') he SC. Iss&e Wheher $r n$ here eFiss an e3*#$)er5e3*#$)ee re#ai$nshi*. SC R&#ing R&#es regar+ing he +esire+ res&#s =e.g., he re&ire+ v$#&3e $ c$nin&e $ &a#i%) as a c$3*an) agen ; #ega# ehica# r&#es $ 'e %$##$we+? are '&i#5in e#e3ens $% c$nr$# s*eci%ic $ an ins&rance agenc) an+ sh$&#+ n$ an+ cann$ 'e rea+ as e#e3ens $% c$nr$# ha aen+ an e3*#$)3en re#ai$nshi* g$verne+ ') he La'$r C$+e. Base+ $n +eci+e+ cases, a +eer3inai$n $% he *resence $% he La'$r C$+e e#e3en $% c$nr$# was 3a+e $n he 'asis $% he si*&#ai$ns $% he s&'se&en c$nracs. In his case, whi#e T$ng<$ was #aer $n +esignae+ &ni 3anager in 19, Branch Manager in 199(, an+ Regi$na# Sa#es Manager in 199-, n$ %$r3a# c$nrac regar+ing hese &n+era
T$ng<$ is &s an AGENT. In e%%ec, he SC is e##ing &s ha, %irs, here 3&s 'e an evi+ence $% a c$nrac ha sh$ws ha he re#ai$nshi* has 'een c$nvere+ %r$3 c$nrac $% agenc) $ ha $% e3*#$)3en, which is a'sen in he case a 'ar. Sec$n+#), a+herence $ a c$+e $% c$n+&c is n$, *er se, in+icaive $% c$nr$# when i 3ere#) c$nr$#s he +esire+ res&#s an+ n$ he 3eans an+ he 3anner ') which agens are $ c$n+&c heir sa#es. The +irecive $% 7e 7i$s $ T$ng<$ =in increasing he n&3'er $% agens? was 3ere#) s&ggesive. Hence, n$ in+icaive $% c$nr$#

acs Peii$ners Pri3$ E. Ca$ng, 6r. =Ca$ng?, A#eFan+er 6. Tres&i$ =Tres&i$?, an+ L$rian$ 7. 7a#&)$n =7a#&)$n? were e3*#$)e+ ') res*$n+en Ave#in $ Reg&a#$s &n+er a '$&n+ar) agree3en, as +rivers $% his ee*ne)s . In N$ve3'er !((1, he) %i#e+ se*arae

Page 15


c$3*#ainsh*sc.&+iciar).g$v.*h&ris*r&+ence!(11an&ar)!(111"9!.h3 5 %n! %$r i##ega# +is3issa# agains res*$n+en wh$ 'arre+ he3 %r$3 +riving he vehic#es +&e $ +e%iciencies in heir '$&n+ar) *a)3ens. Iss&e Wheher $r n$ he *$#ic) $% s&s*en+ing +rivers *en+ing *a)3en $% arrears in heir '$&n+ar) $'#igai$ns is reas$na'#e.

I is a#rea+) se#e+ ha he re#ai$nshi* 'eween ee*ne) $wners$*era$rs an+ ee*ne) +rivers &n+er he '$&n+ar) s)se3 is ha $% e3*#$)er5 e3*#$)ee an+ n$ $% #ess$r5#essee. The %ac ha he +rivers +$ n$ receive %iFe+ wages '& $n#) ge he a3$&n in eFcess $% he s$5ca##e+ J'$&n+ar)K ha he) *a) $ he $wner$*era$r is n$ s&%%icien $ negae he re#ai$nshi* 'eween he3 as e3*#$)er an+ e3*#$)ee. Peii$ners s&s*ensi$n cann$ 'e caeg$ri4e+ as +is3issa#, c$nsi+ering ha here was n$ inen $n he *ar $% res*$n+en $ sever he e3*#$)er5e3*#$)ee re#ai$nshi* 'eween hi3 an+ *eii$ners. In %ac, i was 3a+e c#ear ha *eii$ners c$&#+ *& an en+ $ he s&s*ensi$n i% he) $n#) *a) heir recen arrears. As i was, he s&s*ensi$n +ragge+ $n %$r )ears 'eca&se $% *eii$ners s&''$rn re%&sa# $ *a). I w$&#+ have 'een +i%%eren i% *eii$ners c$3*#ie+ wih he c$n+ii$n an+ res*$n+en si## re%&se+ $ rea+3i he3 $ w$r<. Then here w$&#+ have 'een a c#ear ac $% +is3issa#. B& s&ch was n$ he case. Insea+ $% *a)ing, *eii$ners even %i#e+ a c$3*#ain %$r i##ega# +is3issa# agains res*$n+en. Res*$n+ens *$#ic) $% s&s*en+ing +rivers wh$ %ai# $ re3i he %&## a3$&n $% he '$&n+ar) was %air an+ reas$na'#e &n+er he circ&3sances. Res*$n+en eF*#aine+ ha he n$ice+ ha his +rivers were geing #aF in re3iing heir '$&n+ar) *a)3ens an+, in %ac, herein *eii$ners ha+ a#rea+) inc&rre+ a c$nsi+era'#e a3$&n $% arrears. He ha+ $ *& a s$* $ i as he a#s$ re#ie+ $n hese '$&n+ar) *a)3ens $ raise he %&## a3$&n $% his 3$nh#) a3$ri4ai$ns $n he ee*ne)s . 7e3$nsraing heir $'sinac), *eii$ners, $n he +a)s i33e+iae#) %$##$wing he i3*#e3enai$n $% he *$#ic), inc&rre+ +e%iciencies in heir '$&n+ar) re3iances. I is ac
acs The res*$n+en in his case, 6es&s P. Gis$n, was engage+ as *ar5i3e c$ns&#an $% he *eii$ner, A$< Big We+ge C$3*an) h$r&gh is hen Ass. 8P an+ Acing Resi+en Manager, R&i##$ A. T$rres. As a c$ns&#an $n reainer 'asis, he %$r3er assise+ he *eii$ners reaine+ #ega# c$&nse# wih 3aers *eraining $ he *r$sec&i$n $% cases agains i##ega# s&r%ace $cc&*ans wihin he area c$vere+ ') he c$3*an)s 3inera# c#ai3s. He a#s$ as
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Res*$n+en herein, %i#e+ a c$3*#ain wih SSS agains *eii$ners re%&sa# $ ca&se his regisrai$n wih he SSS. The Resi+en Manager $% he *eii$ner iss&e+ hen a Me3$ran+&3 a+vising res*$n+en ha wihin ( +a)s %r$3 recei* here$%, *eii$ners services as a reainerc$ns&#an wi## 'e er3inae+ since his services are n$ #$nger necessar). As a res&#, res*$n+en %i#e+ a c$3*#ain %$r i##ega# +is3issa#, &n%air #a'$r *racice, &n+er*a)3en $% wages, n$n5*a)3en $% 1h M$nh *a), vacai$n *a) an+ sic< #eave wih he NLRC, Regi$na# Ar'irai$n Branch an+ C$r+i##era A+3inisraive Regi$n agains he *eii$ner. The La'$r Ar'ier ren+ere+ a +ecisi$n in %av$r $% he *eii$ner r&#ing ha here is n$ e3*#$)er5e3*#$)ee re#ai$nshi* an+ +is3isse+ he c$3*#ain %$r #ac< $% 3eri. An a**ea# was 3a+e 'e%$re he NLRC '& sa3e was +is3isse+ an+ a%%ir3e+ he +ecisi$n $% he La'$r Ar'ier. A *eii$n %$r review was %i#e+ &n+er R&#e -2 'e%$re he C$&r $% A**ea#s. The C$&r $% A**ea#s ann&#e+ an+ has se asi+e he +ecisi$n $% NLRC. The CA $*ine+ ha, '$h he La'$r Ar'ier an+ NLRC $ver#$$

cas&a# e3*#$)ees, %$r *&r*$ses $% +eer3ining he righ $% an e3*#$)ee $ cerain 'ene%is, $ $in $r %$r3 a &ni$n, $r $ sec&ri) $% en&re i +$es n$ a**#) where he eFisence $% an e3*#$)3en re#ai$nshi* is in +is*&e.I is, here%$re, err$ne$&s $n he *ar $% he C$&r $% A**ea#s $ re#) $n Aric#e !( in +eer3ining wheher an e3*#$)er5e3*#$)ee re#ai$nshi* eFiss 'eween res*$n+en an+ he *eii$ner. C$nsi+ering ha here is n$ e3*#$)er5e3*#$)ee re#ai$nshi* 'eween he *aries, he er3inai$n $% res*$n+ens services ') he *eii$ner a%er +&e n$ice +i+ n$ c$nsi&e i##ega# +is3issa# warraning his reinsae3en an+ he *a)3en $% %&## 'ac
acs Peii$ners Marici$ Se3'#ane an+ 7&'ric< Pi#ar w$r
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acs C$3*#ainans =6$se Me# Bernare an+ Rena$ G&evarra? aver ha he) were invie+ $ $in he PBA as re%erees. 7&ring he #ea+ershi* $% C$33issi$ner E3i#i$ Bernar+in$, he) were 3a+e $ sign c$nracs $n a )ear5$5)ear 'asis. 7&ring he er3 $% C$33issi$ner Ea#a, h$wever, changes were 3a+e $n he er3s $% heir e3*#$)3en. C$3*#ainan Bernare, %$r insance, was n$ 3a+e $ sign a c$nrac +&ring he %irs c$n%erence $% he A##5i#i*in$ C&* which was %r$3 e'r&ar) !, !(( $ 6&ne !((. I was $n#) +&ring he sec$n+ c$n%erence when he was 3a+e $ sign a $ne an+ a ha#% 3$nh c$nrac %$r he *eri$+ 6&#) 1 $ A&g&s 2, !((. :n 6an&ar) 12, !((, Bernare receive+ a #eer %r$3 he :%%ice $% he C$33issi$ner a+vising hi3 ha his c$nrac w$&#+ n$ 'e renewe+ ciing his &nsais%ac$r) *er%$r3ance $n an+ $%% he c$&r. I was a $a# sh$c< %$r Bernare wh$ was awar+e+ Re%eree $% he )ear in !((. He %e# ha he +is3issa# was ca&se+ ') his re%&sa# $ %iF a ga3e &*$n $r+er $% Ernie 7e Le$n. :n he $her han+, c$3*#ainan G&evarra a##eges ha he was invie+ $ $in he PBA *$$# $% re%erees in e'r&ar) !((1. :n March 1, !((1, he signe+ a c$nrac as rainee. Beginning !((!, he signe+ a )ear#) c$nrac as Reg&#ar C#ass C re%eree. :n Ma) -, !((, res*$n+en Marine4 iss&e+ a 3e3$ran+&3 $ G&evarra eF*ressing +issais%aci$n $ver his &esi$ning $n he assign3en $% re%erees $%%iciaing $&5$%5$wn ga3es. Beginning e'r&ar) !((, he was n$ #$nger 3a+e $ sign a c$nrac. Res*$n+ens aver, $n he $her han+, ha c$3*#ainans enere+ in$ w$ c$nracs $% reainer wih he PBA in he )ear !((. The %irs c$nrac was %$r he *eri$+ 6an&ar) 1, !(( $ 6&#) 12, !(( an+ he sec$n+ was %$r Se*e3'er 1 $ 7ece3'er !((. A%er he #a*se $% he #aer *eri$+, PBA +eci+e+ n$ $ renew heir c$nracs. C$3*#ainans were n$ i##ega##) +is3isse+ 'eca&se he) were n$ e3*#$)ees $% he PBA. Their res*ecive c$nracs $% reainer were si3*#) n$ renewe+. PBA ha+ he *rer$gaive $% wheher $r n$ $ renew heir c$nracs, which he)
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'#$ws he whis#e 'eca&se s&ch a&h$ri) eFc#&sive#) 'e#$ngs $ he re%erees. The ver) na&re $% *eii$ners $' $% $%%iciaing a *r$%essi$na# 'as
acs Res*$n+en Wi#3er 7. Gen$via %i#e+ a c$3*#ain agains *eii$ner Cesar Liri$ an+$r Ce#<$r A+ S$nic3iF Rec$r+ing S&+i$ %$r i##ega# +is3issa#, n$n5*a)3en $% c$33issi$n an+ awar+ $% 3$ra# an+ eFe3*#ar) +a3ages. Res*$n+en Gen$via a##ege+ in his *$sii$n *a*er ha $n A&g&s 12, !((1, he was hire+ as s&+i$ 3anager ') *eii$ner Liri$, $wner $% Ce#<$r A+ S$nic3iF Rec$r+ing S&+i$ =Ce#<$r?. He was e3*#$)e+ $ 3anage an+ $*erae Ce#<$r an+ $ *r$3$e an+ se## he rec$r+ing s&+i$s services $ 3&sic enh&siass an+ $her *r$s*ecive c#iens. He receive+ a 3$nh#) sa#ar) $% P",(((.((. The) a#s$ agree+ ha he was eni#e+ $ an a++ii$na# c$33issi$n $% P1((.(( *er h$&r as rec$r+ing echnician whenever a c#ien &ses he s&+i$ %$r rec$r+ing, e+iing $r an) re#ae+ w$r<. He was 3a+e $ re*$r %$r w$r< %r$3 M$n+a) $ ri+a) %r$3 9(( a.3. $ - *.3. :n Sa&r+a)s, he was re&ire+ $ w$r< ha#%5+a) $n#), '& 3$s $% he i3e, he si## ren+ere+ eigh h$&rs $% w$r< $r 3$re. A## he e3*#$)ees $% *eii$ner, inc#&+ing res*$n+en, ren+ere+ $veri3e w$r< a#3$s ever)+a), '& *eii$ner never
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Res*$n+en assers ha he was i##ega##) +is3isse+ as he was er3inae+ wih$& an) va#i+ gr$&n+s, an+ n$ hearing was c$n+&ce+ 'e%$re he was er3inae+, in vi$#ai$n $% his c$nsi&i$na# righ $ +&e *r$cess. Having w$r
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+e+&ci$ns +&e $ a'sences inc&rre+ ') res*$n+en an+ =!? c$*ies $% *e) cash v$&chers, sh$wing he a3$&ns he receive+ an+ signe+ %$r in he *a)r$##s. The sai+ +$c&3ens sh$we+ ha *eii$ner hire+ res*$n+en as an e3*#$)ee an+ he was *ai+ 3$nh#) wages $% P",(((.((. Peii$ner wie#+e+ he *$wer $ +is3iss as res*$n+en sae+ ha he was ver'a##) +is3isse+ ') *eii$ner, an+ res*$n+en, herea%er, %i#e+ an aci$n %$r i##ega# +is3issa# agains *eii$ner. The *$wer $% c$nr$# re%ers 3ere#) $ he eFisence $% he *$wer. I is n$ essenia# %$r he e3*#$)er $ ac&a##) s&*ervise he *er%$r3ance $% +&ies $% he e3*#$)ee, as i is s&%%icien ha he %$r3er has a righ $ wie#+ he *$wer. Neverhe#ess, *eii$ner sae+ in his P$sii$n Pa*er ha i was agree+ ha he w$&#+ he#* an+ each res*$n+en h$w $ &se he s&+i$ e&i*3en. In s&ch case, *eii$ner cerain#) ha+ he *$wer $ chec< $n he *r$gress an+ w$r< $% res*$n+en. :n he $her han+, *eii$ner %ai#e+ $ *r$ve ha his re#ai$nshi* wih res*$n+en was $ne $% *arnershi*. S&ch c#ai3 was n$ s&**$re+ ') an) wrien agree3en. The C$&r n$es ha in he *a)r$## +ae+ 6&#) 1, !((1 $ March 12, !((!, here were +e+&ci$ns %r$3 he wages $% res*$n+en %$r his a'sence %r$3 w$r<, which negaes *eii$ners c#ai3 ha he wages *ai+ were a+vances %$r res*$n+ens w$r< in he *arnershi*. The C$&r agrees wih he C$&r $% A**ea#s ha he evi+ence *resene+ ') he *aries sh$we+ ha an e3*#$)er5e3*#$)ee re#ai$nshi* eFise+ 'eween *eii$ner an+ res*$n+en. In er3inai$n cases, he '&r+en is &*$n he e3*#$)er $ sh$w ') s&'sania# evi+ence ha he er3inai$n was %$r #aw%&# ca&se an+ va#i+#) 3a+e.Aric#e !"" ='? $% he La'$r C$+e *&s he '&r+en $% *r$ving ha he +is3issa# $% an e3*#$)ee was %$r a va#i+ $r a&h$ri4e+ ca&se $n he e3*#$)er, wih$& +isinci$n wheher he e3*#$)er a+3is $r +$es n$ a+3i he +is3issa#. $r an e3*#$)ees +is3issa# $ 'e va#i+, =a? he +is3issa# 3&s 'e %$r a va#i+ ca&se, an+ ='? he e3*#$)ee 3&s 'e a%%$r+e+ +&e *r$cess. Pr$ce+&ra# +&e *r$cess re&ires he e3*#$)er $ %&rnish an e3*#$)ee wih w$ wrien n$ices 'e%$re he #aer is +is3isse+ =1? he n$ice $ a**rise he e3*#$)ee $% he *aric&#ar acs $r $3issi$ns %$r which his s$&gh, which is he e&iva#en $% a charge an+ =!? he n$ice in%$r3ing he e3*#$)ee $% his +is3issa#, $ 'e iss&e+ a%er he e3*#$)ee has 'een given reas$na'#e $**$r&ni) $ answer an+ $ 'e hear+ $n his +e%ense. Peii$ner %ai#e+ $ c$3*#) wih hese #ega# re&ire3ens hence, he C$&r $% A**ea#s c$rrec#) a%%ir3e+ he La'$r Ar'iers %in+ing ha res*$n+en was i##ega##) +is3isse+, an+ eni#e+ $ he *a)3en $% 'ac
acs Peii$ner 3ainaine+ ha res*$n+en BCC Pr$+&c Sa#es Inc. =BCC? an+ is Presi+en, Terrance T), e3*#$)e+ hi3 as c$3*r$##er saring %r$3 Se*e3'er 1992 wih a 3$nh#) sa#ar) $% P!(,(((.(( $ han+#e he %inancia# as*ec $% BCCs '&siness. :n :c$'er 19,1992, he sec&ri) g&ar+s $% BCC, acing &*$n he insr&ci$n $% T), 'arre+ hi3 %r$3 enering he *re3ises $% BCC where he hen w$r
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CASES

acs Nai$na# See# C$r*$rai$n =NSC? e3*#$)e+ *eii$ners in c$nneci$n wih is ive @ear EF*ansi$n Pr$gra3. I &n+er$$< his *r$gra3 wih he en+ in view $% eF*an+ing he v$#&3e an+ increasing he
acs Gi# C. Casr$ was e3*#$)e+ ') C$s3$s B$#ing C$r*$rai$n %$r a s*eci%ic *eri$+. Having sais%ac$ri#) serve+ he c$3*an) %$r w$ =!? er3s, Casr$ was rec$33en+e+ %$r ree3*#$)3en wih he c$3*an)s Mainenance Tea3 %$r he 7ava$ Pr$ec, he was re5hire+ an+ assigne+ $ he Mainenance 7ivisi$n $% he 7ava$ Pr$ec as

c$3*#ain %$r i##ega# +is3issa# agains C$s3$s B$#ing C$r*$rai$n wih he La'$r Ar'ier c$nen+ing ha 'eing a reg&#ar e3*#$)ee, he c$&#+ n$ 'e +is3isse+ wih$& a &s an+ va#i+ ca&se. The c$3*an) a##ege+ ha Casr$ was a 3ere *r$ec e3*#$)ee wh$se e3*#$)3en was c$5 er3in$&s wih he *r$ec %$r which he was hire+. Iss&e Wheher $r n$ *rivae res*$n+en Gi# C. Casr$ is a reg&#ar e3*#$)ee $r was a 3ere *r$ec e3*#$)ee $% *eii$ner C$s3$s B$#ing C$r*$rai$n. R&#ing Privae res*$n+en 'eing a *r$ec e3*#$)ee, $r $ &se he c$rrec er3, seas$na# e3*#$)ee, c$nsi+ering ha his e3*#$)3en was #i3ie+ $ he insa##ai$n an+ +is3an#ing $% *eii$ners anneF *#an 3achines a%er which here was n$ 3$re w$r< $ +$, his e3*#$)3en #ega##) en+e+ &*$n c$3*#ei$n $% he *r$ec. Tha 'eing s$, he er3inai$n $% his e3*#$)3en cann$ an+ sh$&#+ n$ c$nsi&e an i##ega# +is3issa#. Neiher sh$&#+ i c$nsi&e rerench3en as *rivae res*$n+en was a seas$na# e3*#$)ee wh$se services were a#rea+) er3inae+ $n Ma) !1, 199( *ri$r $ he er3inai$n $% he $her reg&#ar e3*#$)ees $% C$s3$s ') reas$n $% rerench3en.

acs The *rivae res*$n+ens =n&3'ering 9(-? were hire+ ') *eii$ner P&re $$+s C$r*$rai$n $ w$r< %$r a %iFe+ *eri$+ $% %ive 3$nhs a is &na canner) *#an. A%er he eF*irai$n $% heir res*ecive c$nracs $% e3*#$)3en, heir services were er3inae+. The) heneFec&e+ a JRe#ease an+ D&ic#ai3K saing ha he) ha+ n$ c#ai3 whas$ever agains P&re $$+s. The *rivae res*$n+ens %i#e+ 'e%$re he NLRC S&'5Regi$na# Ar'irai$n Branch, a c$3*#ain %$r i##ega# +is3issa# agains he *eii$ner an+ is *#an 3anager. P&re $$+s C$r* s&'3is ha he *rivae res*$n+ens are n$w es$**e+ %r$3 &esi$ning heir se*arai$n %r$3 *eii$ners e3*#$) in view $% heir eF*ress c$n%$r3i) wih he %ive53$nh +&rai$n $% heir e3*#$)3en c$nracs. Besi+es, he) %e## wihin he eFce*i$n *r$vi+e+ in Aric#e !( $% he La'$r C$+e which rea+s J/E0Fce* where he e3*#$)3en has 'een %iFe+ %$r a s*eci%ic *r$ec $r &n+era
Page 24


An e3*#$)3en sha## 'e +ee3e+ $ 'e cas&a# i% i is n$ c$vere+ ') he *rece+ing *aragra*h Pr$vi+e+, Tha, an) e3*#$)ee wh$ has ren+ere+ a #eas $ne )ear $% service, wheher s&ch service is c$nin&$&s $r 'r$
acs Privae res*$n+en Phi#i**ine r&i an+ 8egea'#e W$rni$n5T&*as L$ca# Cha*er, %$r an+ in 'eha#% $% 1!" $% is 3e3'ers, %i#e+ a c$3*#ain %$r &n%air #a'$r *racice an+$r i##ega# +is3issa# wih +a3ages agains Peii$ner C$r*$rai$n. The) a##ege+ ha he +is3issa#s were +&e $ c$3*#ainans inv$#ve3en in &ni$n aciviies an+ were wih$& &s ca&se.

Page 25


La'$r Ar'ier ren+ere+ &+g3en ha Phi#i**ine r&i ; 8egea'#e In+&sries, Inc =P8II? were in+ee+ g&i#) $% I##ega# 7is3issa#. :n a**ea#, NLRC se asi+e he La'$r Ar'iers +ecisi$n an+ re3an+e+ he sai+ case $ he Ar'irai$n Branch %$r %&rher *r$cee+ings. Ar'irai$n Branch ren+ere+ a +ecisi$n %in+ing P8II #ia'#e %$r i##ega# +is3issa#. :n a**ea#, NLRC a%%ir3e+ he Ar'irai$n Branchs +ecisi$n '& 3$+i%ie+ he awar+s $% a$rne)s %ees. P8II %i#e+ a 3$i$n %$r rec$nsi+erai$n which was +enie+ ') NLRC Iss&e Wheher $r n$ he c$3*#ainans were i##ega# +is3isse+ ') P8II :ne $% P8IIs c$neni$ns is ha he c$3*#ainans are seas$na# w$rLAR EMPL:@EES B@ 8IRT>E : THE ACT THAT THE@ PER:RME7 >NCTI:NS WHICH ARE NECESSAR@ AN7 7ESIRABLE IN THE >S>AL B>SINESS : P8II.

acs

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The *eii$ner Phi#i*s Se3ic$n+&c$rs =Phi#s.?, Inc. is a +$3esic c$r*$rai$n engage+ in he *r$+&ci$n an+ asse3'#) $% se3ic$n+&c$rs s&ch as *$wer +evices, R 3$+&#es, CAT8 3$+&#es, R an+ 3ea# ransis$rs an+ g#ass +i$+s. I caers $ +$3esic an+ %$reign c$r*$rai$ns ha 3an&%ac&re c$3*&ers, e#ec$33&nicai$ns e&i*3en an+ cars. Asi+e %r$3 c$nrac&a# e3*#$)ees, he *eii$ner e3*#$)e+ 1,(!9 reg&#ar w$r
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acs Mi++#e') Phi#i**ines C$r*. hire+ *eii$ner as engineering s&**$r services s&*ervis$r $n a *r$'ai$nar) 'asis %$r siF 3$nhs. :n !( N$ve3'er 199-, a seni$r $%%icer $% Mi++#e') wihhe#+ his i3e car+ an+ +i+ n$ a##$w hi3 $ w$r<. A#cira %i#e+ wih he NLRC a c$3*#ain %$r i##ega# +is3issa# $n he c$neni$n ha he ha+ 'ec$3e a reg&#ar e3*#$)ee when he was i##ega##) +is3isse+. In heir +e%ense, res*$n+ens c#ai3 ha, +&ring *eii$ners *r$'ai$nar) e3*#$)3en, he sh$we+ *$$r *er%$r3ance in his assigne+ as
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acs Ne#s$n Paras %irs w$r, a #egii3ae #a'$r $rgani4ai$n an+ he +&#) ceri%ie+ 'argaining agen $% he h$&r#)5*ai+ reg&#ar ran< an+ %i#e e3*#$)ees $% MMPC in which Paras was a 3e3'er, arg&e+ ha Paras was +is3isse+ $n his $ne h&n+re+ eigh) hir+ =1r+? +a) $% e3*#$)3en, $r hree =? +a)s a%er he eF*irai$n $% he *r$'ai$nar) *eri$+ $% siF =-? 3$nhs, hence, he was a#rea+) a reg&#ar e3*#$)ee $n he +ae $% he er3inai$n $% his *r$'ai$nar) e3*#$)3en. Meanwhi#e, MMPC arg&e+ ha &n+er Aric#e 1 $% he New Civi# C$+e, Paras *r$'ai$nar) e3*#$)3en which c$33ence+ $n Ma) !", 199- w$&#+ eF*ire $n N$ve3'er !", 199-. Since he receive+ he n$ice $% er3inai$n $% his e3*#$)3en $n N$ve3'er !2, 199-, he sa3e sh$&#+ 'e c$nsi+ere+ $ have 'een serve+ wihin he siF53$nh *r$'ai$nar) *eri$+. Iss&e Wheher $r n$ Paras was a#rea+) a reg&#ar e3*#$)ee when he was er3inae+. R&#ing @es. In+ee+, an e3*#$)er, in he eFercise $% is 3anage3en *rer$gaive, 3a) hire an e3*#$)ee $n a *r$'ai$nar) 'asis in $r+er $ +eer3ine his %iness $ *er%$r3 w$r<. >n+er Aric#e !1 $% he La'$r C$+e, he e3*#$)er 3&s in%$r3 he e3*#$)ee $% he san+ar+s %$r which his e3*#$)3en 3a) 'e c$nsi+ere+ %$r reg&#ari4ai$n. S&ch *r$'ai$nar) *eri$+, &n#ess c$vere+ ') an a**reniceshi* agree3en, sha## n$ eFcee+ siF =-? 3$nhs %r$3 he +ae he e3*#$)ee sare+ w$r
acs The res*$n+en Genera# Mi##ing C$r*$rai$n is a +$3esic c$r*$rai$n engage+ in he *r$+&ci$n an+ sa#e $% #ives$c< an+ *$&#r). I is, #i

>*$n he eF*irai$n $% heir res*ecive c$nracs, heir services were er3inae+. The) #aer %i#e+ se*arae c$3*#ains %$r i##ega# +is3issa# an+ n$n5*a)3en $% h$#i+a) *a), 1 h 3$nh *a), nigh5shi% +i%%erenia# an+ service incenive #eave *a) agains he res*$n+en. The *eii$ners a##ege+ ha heir w$r< as chicLATE7 THAT THE C:N7ITI:N : THE EMPL:@MENT C:NTRACT SHALL BE AS :LL:WS 1. This e3*#$)3en c$nrac sha## 'e $n a 7A@5T:57A@ BASIS an+ sha## n$ eFen+ 'e)$n+ he *eri$+ s*eci%ie+ herein !. The e3*#$)ee a%$re3eni$ne+ 3a) 'e #ai+ $%% $r se*arae+ %r$3 he ir3, E8EN BE:RE THE EPIR@ 7ATE : THIS C:NTRACT, i% hisher services are n$ #$nger nee+e+, $r i% s&ch services are %$&n+ $ 'e &nsais%ac$r), $r i% shehe has vi$#ae+ an) $% he esa'#ishe+ r&#es an+ reg&#ai$ns $% he C$3*an) . In an) case, he *eri$+ $% e3*#$)3en sha## n$ g$ 'e)$n+ he +&rai$n $% he w$r< $r *&r*$se %$r which he a%$re3eni$ne+ e3*#$)ee has 'een engage+ . Tha he e3*#$)ee here') agrees $ w$r< in an) w$r< shi% sche+&#e ha 3a) 'e assigne+ $ hi3 ') he ir3 +&ring he *eri$+ $% his c$nrac an+ This Te3*$rar)Cas&a# E3*#$)3en c$nrac, &n#ess s$$ner er3inae+ %$r an) $% he ca&ses a'$ve5cie+, sha## hen a&$3aica##) cease $n is eF*ir) +ae, wih$& he necessi) $% an) *ri$r n$ice $ he e3*#$)ee c$ncerne+. The rec$r+s revea# ha he si*&#ai$ns in he e3*#$)3en c$nracs were
acs R$'er$ Ravag$ was hire+ ') Trans5G#$'a# $ w$r< as a sea3an $n '$ar+ vari$&s Ess$ vesse#s. :n e'r&ar) 1, 19"(, Ravag$ c$33ence+ his +&) as SN wi*er $n '$ar+ he Ess$ Baaan &n+er a c$nrac ha #ase+ &ni# e'r&ar) 1(, 19"1. Therea%er, he was assigne+ $ w$r< in +i%%eren Ess$ vesse#s where he was +esignae+ +iverse as
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h$s*ia#i4e+ a he Phi#i**ine :rh$*e+ic H$s*ia#. As a res&# $% his in&r), Ravag$s +$c$r $*ine+ ha he w$&#+ n$ 'e a'#e $ c$*e wih he $' $% a sea3an an+ s&ggese+ ha he 'e given a +es< $'. Ravag$s #e% #eg ha+ 'ec$3e a**aren#) sh$rer, 3a
acs H$rencia L. Sar
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Sar
acs Peii$ner Phi#i**ine G#$'a# C$33&nicai$ns, Inc. =Phi#C$3?, is a c$r*$rai$n engage+ in he '&siness $% c$33&nicai$n services an+ a##ie+ aciviies, whi#e res*$n+en Ricar+$ 7e 8era is a *h)sician ') *r$%essi$n wh$3 *eii$ner en#ise+ $ aen+ $ he 3e+ica# nee+s $% is e3*#$)ees. :n 12 Ma) 191, 7e 8era, via a #eer $%%ere+ his services $ he *eii$ner, herein *r$*$sing his *#an $% w$r
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Phi#c$3 hen wen $ he C$&r $% A**ea#s which ren+ere+ a +ecisi$n, 3$+i%)ing ha $% he NLRC ') +e#eing he awar+ $% rave#ing a##$wance, an+ $r+ering *a)3en $% se*arai$n *a) $ 7e 8era in #ie& $% reinsae3en. Iss&e Wheher he case is $ne $% a LEGITIMATE 6:B C:NTRACTING AGREEMENT $r an EMPL:@ER5EMPL:@EE RELATI:NSHIP. R&#ing The *ri3$r+ia# iss&e $% wheher an e3*#$)er5e3*#$)ee re#ai$nshi* eFiss 'eween *eii$ner an+ res*$n+en, he eFisence $% which is, in ise#%, a &esi$n $% %ac we## wihin he *r$vince $% he NLRC. N$nehe#ess, given he rea#i) ha he NLRCs %in+ings are a $++s wih h$se $% he #a'$r ar'ier, he C$&r is c$nsraine+ $ #$$< +ee*er in$ he aen+an circ&3sances $'aining in his case, as a**earing $n rec$r+. APPL@ING THE :>R5:L7 TEST T: THIS CASE, i was res*$n+en hi3se#% wh$ ses he *ara3eers $% wha his +&ies w$&#+ 'e in $%%ering his services $ *eii$ner, as '$rne ') n$ #ess han his $wn #eer which was s&'sania##) he 'asis $% he #a'$r ar'iers %in+ing ha Ohere eFise+ n$ e3*#$)er5e3*#$)ee re#ai$nshi* 'eween *eii$ner an+ res*$n+en in a++ii$n $ he %$##$wing %ac&a# seings /AS T: SELECTI:N :R HIRING0 The %ac ha Ohe c$3*#ainan was n$ c$nsi+ere+ an e3*#$)ee was rec$gni4e+ ') he c$3*#ainan hi3se#% in a signe+ LETTER $ he res*$n+en. The en$r $% his #eer in+icaes ha Ohe c$3*#ainan was *r$*$sing $ eFen+ his i3e wih he res*$n+en an+ see
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In %ine, he *aries he3se#ves *racica##) agree+ $n ever) er3s an+ c$n+ii$ns $% res*$n+ens engage3en, which here') negaes he e#e3en $% c$nr$# in heir re#ai$nshi*. $r s&re, res*$n+en has never cie+ even a sing#e insance when *eii$ner iner%ere+ wih his w$r<. ARTICLE !( : THE LAB:R C:7E =sic? *r$vi+es VThe *r$visi$ns $% wrien agree3en $ he c$nrar) n$wihsan+ing an+ regar+#ess $% he $ra# agree3ens $% he *aries, an e3*#$)3en sha## 'e +ee3e+ $ 'e REG>LAR where he e3*#$)ee has 'een engage+ $ *er%$r3 in he &s&a# '&siness $r ra+e $% he e3*#$)er, ECEPT where he e3*#$)3en has 'een %iFe+ %$r a s*eci%ic *r$ec $r &n+eraAL i% i is n$ c$vere+ ') he *rece+ing *aragra*h Pr$vi+e+, Tha, an) e3*#$)ee wh$ has ren+ere+ a #eas $ne =1? )ear $% service, wheher s&ch is c$nin&$&s $r 'r$LAR wih res*ec $ he acivi) in which he is e3*#$)e+ an+ his e3*#$)3en sha## c$nin&e whi#e s&ch acivi) eFiss. Parenheica##), he *$sii$n $% c$3*an) *h)sician, in he case $% *eii$ner, is &s&a##) necessar) an+ +esira'#e 'eca&se he nee+ %$r 3e+ica# aeni$n $% e3*#$)ees cann$ 'e %$reseen, hence, i is necessar) $ have a *h)sician a han+. In %ac, he i3*$rance an+ +esira'i#i) $% a *h)sician in a c$3*an) *re3ises is rec$gni4e+ ') ART. 12" : THE LAB:R C:7E, which re&ires he *resence $% a *h)sician +e*en+ing $n he n&3'er $% e3*#$)ees an+ in he case a 'ench, in *eii$ners case, as %$&n+ ') *&'#ic res*$n+en, *eii$ner e3*#$)s 3$re han 2(( e3*#$)ees. The a**e##ae c$&rs *re3ise ha OREG>LAR EMPL:@EES are h$se wh$ *er%$r3 aciviies which are +esira'#e an+ necessar) %$r he '&siness $% he e3*#$)er O is n$ +eer3inaive in his case. $r, we aIREMENT *ri$r $ er3inai$n, he sa3e was n$ c$3*#ie+ wih ') *eii$ner when i er3inae+ he ver'a##)5renewe+ reainershi* agree3en. Page 34


Be ha as i 3a), he rec$r+ sh$ws, an+ his is a+3ie+ ') '$h *aries, ha eFec&i$n $% he NLRC +ecisi$n ha+ a#rea+) 'een 3a+e a he NLRC +es*ie he *en+enc) $% he *resen rec$&rse. $r s&re, acc$&ns $% *eii$ner ha+ a#rea+) 'een garnishe+ an+ re#ease+ $ res*$n+en +es*ie he *revi$&s Sa&s D&$ :r+er/!90 iss&e+ ') his C$&r. T$ a## inens an+ *&r*$ses, here%$re, he -(5+a) n$ice re&ire3en has 'ec$3e 3$$ an+ aca+e3ic i% n$ waive+ ') he res*$n+en hi3se#%. WHERE:RE, he *eii$n is GRANTE7 an+ he cha##enge+ +ecisi$n $% he C$&r $% A**ea#s RE8ERSE7 an+ SET ASI7E. The !1 7ece3'er 199 +ecisi$n $% he #a'$r ar'ier is REINSTATE7.

acs Peii$ner is a *#&3'ing c$nrac$r. Is '&siness +e*en+s $n he n&3'er an+ %re&enc) $% he *r$ecs i is a'#e $ c$nrac wih is c#iens. :n e'r&ar) !, 199, whi#e *rivae res*$n+en was a'$& $ #$g $& %r$3 w$r<, he was in%$r3e+ ') he wareh$&se3an ha he 3ain $%%ice ha+ insr&ce+ he3 $ e## hi3 i was his #as +a) $% w$r< as he ha+ 'een er3inae+. When *rivae res*$n+en wen $ he *eii$ners $%%ice $n e'r&ar) !, 199 $ veri%) his sa&s, he %$&n+ $& ha in+ee+, he ha+ 'een er3inae+. He %i#e+ a c$3*#ain a##eging ha he was i##ega##) +is3isse+ wih$& &s ca&se an+ wih$& +&e *r$cess. he La'$r Ar'ier r&#e+ ha *rivae res*$n+en was a reg&#ar e3*#$)ee an+ c$&#+ $n#) 'e re3$ve+ %$r ca&se. Peii$ner was $r+ere+ $ reinsae *rivae res*$n+en $ his %$r3er *$sii$n wih %&## 'ac
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Whi#e #engh $% i3e 3a) n$ 'e he c$nr$##ing es %$r *r$ec e3*#$)3en, i is via# in +eer3ining i% he e3*#$)ee was hire+ %$r a s*eci%ic &n+era
acs Res*$n+en Aene$ +e Mani#a >niversi) =Aene$? hire+, $n a c$nrac&a# 'asis, *eii$ner L$#ia R. Lac&esa as a *ar5i3e #ec&rer in is Eng#ish 7e*ar3en %$r he sec$n+ se3eser $% sch$$# )ear 195199. She was re5hire+, si## $n a c$nrac&a# 'asis, %$r he %irs an+ sec$n+ se3esers $% sch$$# )ear 1995199(. :n 6&#) 1, 199(, he *eii$ner was %irs a**$ine+ as %&##5i3e insr&c$r $n *r$'ai$n, in he sa3e +e*ar3en e%%ecive 6&ne 1, 199( &ni# March 1, 1991. Therea%er, her c$nrac as %ac&#) $n *r$'ai$n was renewe+ e%%ecive A*ri# 1, 1991 &ni# March 1, 199!. She was again hire+ %$r a hir+ )ear e%%ecive A*ri# 1, 199! &ni# March 1, 199. 7&ring hese hree )ears she was $n *r$'ai$n sa&s. Res*$n+en 7r. Le$vin$ Ma. Garcia, 7ean $% Aene$s Gra+&ae Sch$$# an+ C$##ege $% Ars an+ Sciences, n$i%ie+ *eii$ner ha her c$nrac w$&#+ n$ #$nger 'e renewe+ 'eca&se she +i+ n$ inegrae we## wih he Eng#ish 7e*ar3en.Peii$ner %i#e+ a c$3*#ain %$r i##ega# +is3issa# wih *ra)er %$r reinsae3en, 'ac< wages, an+ 3$ra# an+ eFe3*#ar) +a3ages. She c$nen+s ha Aric#es !( an+ !1 $% he La'$r C$+e, n$ he Man&a# $% Reg&#ai$ns %$r Privae Sch$$#s, is he a**#ica'#e #aw $ +eer3ine wheher $r n$ an e3*#$)ee in an e+&cai$na# insi&i$n has ac&ire+ reg&#ar $r *er3anen sa&s. She arg&es ha =1? &n+er Aric#e !1, *r$'ai$nar) e3*#$)3en sha## n$ eFcee+ siF =-? 3$nhs %r$3 +ae $% e3*#$)3en &n#ess a #$nger *eri$+ ha+ 'een si*&#ae+ ') an a**reniceshi* agree3en =!? &n+er Aric#e !(, i% he a**reniceshi* agree3en si*&#aes a *eri$+ #$nger han $ne )ear an+ he e3*#$)ee ren+ere+ a #eas $ne )ear $% service, wheher c$nin&$&s $r 'r$n+er P$#ic) Insr&ci$ns N$. 11 iss&e+ ') he 7e*ar3en $% La'$r an+ E3*#$)3en, Jhe *r$'ai$nar) e3*#$)3en $% *r$%ess$rs, insr&c$rs an+ eachers sha## 'e s&'ec $ he san+ar+s esa'#ishe+ ') he 7e*ar3en $% E+&cai$n an+ C&#&re.K Seci$n 9$% he 199! Man&a# $% Reg&#ai$ns %$r Privae Sch$$#s *r$vi+es ha %&##5i3e eachers wh$ have sais%ac$ri#) c$3*#ee+ heir *r$'ai$nar) *eri$+ sha## 'e c$nsi+ere+ reg&#ar $r *er3anen. M$re$ver, %$r h$se eaching in he eriar) #eve#, he *r$'ai$nar) *eri$+ sha## n$ 'e 3$re han siF c$nsec&ive reg&#ar se3esers $% sais%ac$r) service.The re&isies $ ac&ire *er3anen e3*#$)3en, $r sec&ri) $% en&re, are =1? he eacher is a %&##5i3e eacher =!? he eacher 3&s have ren+ere+ hree c$nsec&ive )ears $% service an+ =? s&ch service 3&s have 'een sais%ac$r). !. A *ar5i3e eacher cann$ ac&ire *er3anen sa&s. :n#) when $ne has serve+ as a %&##5i3e eacher can he ac&ire *er3anen $r reg&#ar sa&s. The *eii$ner was a *ar5i3e #ec&rer 'e%$re she was a**$ine+ as a %&##5i3e insr&c$r $n *r$'ai$n. As a *ar5i3e #ec&rer, her e3*#$)3en as s&ch ha+ en+e+ when her c$nrac eF*ire+. Th&s, he hree se3esers she serve+ as *ar5i3e #ec&rer c$&#+ n$ 'e cre+ie+ $

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her in c$3*&ing he n&3'er $% )ears she has serve+ $ &a#i%) her %$r *er3anen sa&s. An+ c$3*#eing he *r$'ai$n *eri$+ +$es n$ a&$3aica##) &a#i%) her $ 'ec$3e a *er3anen e3*#$)ee $% he &niversi). Peii$ner c$&#+ $n#) &a#i%) $ 'ec$3e a *er3anen e3*#$)ee &*$n %&#%i##ing he reas$na'#e san+ar+s %$r *er3anen e3*#$)3en as %ac&#) 3e3'er. C$nsisen wih aca+e3ic %ree+$3 an+ c$nsi&i$na# a&$n$3), an insi&i$n $% higher #earning has he *rer$gaive $ *r$vi+e san+ar+s %$r is eachers an+ +eer3ine wheher hese san+ar+s have 'een 3e.A he en+ $% he *r$'ai$n *eri$+, he +ecisi$n $ re5hire an e3*#$)ee $n *r$'ai$n, 'e#$ngs $ he &niversi) as he e3*#$)er a#$ne.

acs Peii$ner P$sei+$n ishing is a %ishing c$3*an) engage+ in he +ee*5sea %ishing in+&sr) wih Terr) +e 6es&s as he 3anager. 6i33) S. Es$&ia was e3*#$)e+ as Chie% Mae in 6an&ar) 19 an+ a%er %ive )ears. The c$nrac wih E&s$ia *er he as&n+&an, here was a *r$visi$n saing ha he was 'eing e3*#$)e+ $n#) $n a V*$r viae 'asis an+ ha his e3*#$)3en w$&#+ 'e er3inae+ a he en+ $% he ri* %$r which he was 'eing hire+. He was *r$3$e+ $ B$a Ca*ain '& was #aer +e3$e+ $ Ra+i$ :*era$r. As a Ra+i$ :*era$r, he 3$ni$re+ he +ai#) aciviies in heir $%%ice an+ rec$r+e+ in he +&) #$g'$$< he na3es $% he ca##ers an+ i3e $% heir ca##s. :n  6&#) !(((, Es$&ia %ai#e+ $ rec$r+ a "!2 a.3. ca## in $ne $% he #$g'$$
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Pr$ec e3*#$)ees is +e%ine+ as h$se w$r
In his case, E&s$&ia was never in%$r3e+ ha he wi## 'e assigne+ $ a s*eci%ic *r$ec $r &n+era
acs Peii$ner c$3*an) was engage+ in a c$nsr&ci$n '&siness where res*$n+ens where hire+ $n +i%%eren +aes %r$3 19"- $ 199! eiher as #a'$rers, r$a+ r$##er $*era$rs, *ainers $r +rivers. Res*$n+ens %i#e+ w$ se*arae c$3*#ains %$r i##ega# +is3issa# agains he c$3*an) an+ is Genera# Manager 'e%$re La'$r Ar'ier. The c$3*#ains inc#&+e+ c#ai3s %$r n$n5*a)3en $% 1 h 3$nh *a), 25+a)s service incenive #eave *a), *re3i&3 *a) %$r h$#i+a)s, res +a)s, an+ 3$ra# an+ eFe3*#ar) +a3ages. Peii$ners a##ege+ ha res*$n+ens were $n#) *r$ec e3*#$)ees wh$se e3*#$)3en was c$er3in$&s wih he *r$ec he) are assigne+. The) were n$ reg&#ar e3*#$)ees, wh$ w$&#+ en$) sec&ri) $% en&re an+ eni#e3en $% se*arai$n *a). LA +ec#are+ &+g3en +ec#aring res*$n+ens as reg&#ar e3*#$)ees 'e#$nge+ $ a Jw$r<*$$#K an+ where hire+ an+ rehire+ $ver a *eri$+ $% 1 )ears an+ *eii$ners are g&i#) $% i##ega# +is3issa#. Peii$ner a**ea#e+ $ NLRC which a%%ir3e+ LAs +ecisi$n. Peii$ner hen %i#e *eii$n %$r review $ CA a##eging ha he) were n$ g&i#) $% i##ega# +is3issa# since res*$n+ens services were 3ere#) *& $n h$#+ &ni# he res&3*i$n $% heir '&siness $*erai$ns. CA +is3isse+ he *eii$n %$r *eii$ner is 'arre+ %r$3 raising a new +e%ense a his sage $% he case. Iss&e Wheher $r n$ res*$n+ens are *r$ec e3*#$)ees $r reg&#ar e3*#$)ees. R&#ing Res*$n+ens are reg&#ar e3*#$)ees. 7&rai$n as we## as *aric&#ar w$r<service $ 'e *er%$r3e+ 3&s 'e +e%ine+ in an E3*#$)3en Agree3en an+ is 3a+e c#ear $ he e3*#$)ees a he i3e $% hiring. Peii$ners %ai#e+ $ c$3*#) wih his re&ire3en. Peii$ners inc$nsisen an+ c$n%#icing *$sii$n $n heir r&e re#ai$n wih he res*$n+ens 3a+e i a## he 3$re evi+en ha he #aer were in+ee+ heir reg&#ar e3*#$)ees. Peii$ner %ai#e+ $ a+here he w$5n$ice r&#e =1? a n$ice in%$r3ing he3 $% he *aric&#ar acs %$r which he) are 'eing +is3isse+ an+ =!? a n$ice a+vising he3 $% he +ecisi$n $ er3inae he e3*#$)3en. Res*$n+ens were never given s&ch n$ices. Peii$n is +enie+.

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acs Ce'& Mea# C$r*$rai$n is a c$r*$rai$n engage+ in '&)ing an+ se##ing $% scra* ir$n. In he Bac$#$+ 'ranch i has =? reg&#ar e3*#$)ees h$#+ing s&ch *$sii$ns as :%%icer5in5Charge, a sca#er, an+ a )ar+3an, wh$se sa#aries are *ai+ +irec#) ') is 3ain $%%ice in Ce'&. The c$3*#ainans, Greg$ri$ Sa#i#ing, E#ias B$#i+$, Man&e# A#&i4a, Benie A3*ara+$ are he $ne wh$ &n+eras&a##), here is a #ea+er %$r a *aric&#ar gr$&* wh$ is as
acs A%er w$r
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Iss&e 1. Wheher $r n$ he C$&r $% A**ea#s seri$&s#) erre+ in c$nc#&+ing ha *eii$ner is a *r$ec e3*#$)ee, n$ a reg&#ar e3*#$)ee R&#ing Peii$ner is a reg&#ar e3*#$)ee. A *r$ec e3*#$)ee is $ne wh$se e3*#$)3en has 'een %iFe+ %$r a s*eci%ic *r$ec $r &n+era

WHERE:RE, he *eii$n is GRANTE7 an+ he c ha##enge+ +ecisi$n $% he C$&r $% A**ea#s is RE8ERSE7 an+ SET ASI7E. The !! e'r&ar) !((1 7ecisi$n $% he La'$r Ar'ier is REINSTATE7.

acs Peii$ners were hire+ ') res*$n+en San Mig&e# C$r*$rai$n =SMC? as Re#ie% Sa#es3en %$r he Greaer Mani#a Area =GMA? &n+er se*arae '& a#3$s si3i#ar#) w$r+e+ C$nracs $% E3*#$)3en Wih iFe+ Peri$+. A%er having enere+ in$ s&ccessive c$nracs $% he sa3e na&re wih SMC, he services $% *eii$ners, as we## as +e Lara an+ A#$vera, were er3inae+ a%er SMC n$ #$nger agree+ $ %$rge an$her c$nrac wih he3. SMC an+ is c$5res*$n+en Ar3an Hicare, wh$ was is H&3an Res$&rces Manager, c#ai3e+ ha he hiring $% *eii$ners was n$ inen+e+ $ 'e *er3anen, as he sa3e was 3ere#) $ccasi$ne+ ') he nee+ $ %i## in a vac&&3 arising %r$3 SMCs gra+&a# ransii$n $ a new s)se3 $% se##ing an+ +e#ivering is *r$+&cs. Whi#e s$3e $% he &a#i%ie+ reg&#ar sa#es3en were rea+i#) &*gra+e+ $ he *$sii$n $% Acc$&ns S*ecia#is, res*$n+ens c#ai3e+ ha SMC si## ha+ $ se## is 'eer *r$+&cs &sing he c$nveni$na# r$&ing s)se3 +&ring he ransii$n sage, h&s giving rise $ he nee+ %$r e3*$rar) e3*#$)ees an+ he 3e3'ers $% he reg&#ar R$&e Crew hen eFising were re&ire+ $ &n+erg$ a raining *r$gra3 $ +eer3ine wheher he) *$ssesse+ $r c$&#+ 'e raine+ %$r he necessar) ai&+e an+ a*i&+e re&ire+ $% an Acc$&ns S*ecia#is, hence, he hiring $% *eii$ners an+ $hers %$r a %iFe+ *eri$+, c$5er3in&s wih he c$3*#ei$n $% he ransii$n *eri$+ an+ Training Pr$gra3 %$r a## *r$s*ecive Acc$&ns S*ecia#iss The *eii$ners a##ege+ ha he) were i##ega##) +is3isse+ ') SMC. The La'$r Ar'ier he#+ *eii$ners were i##ega##) +is3isse+. The 7ecisi$n $% he La'$r Ar'ier was a%%ir3e+ $n a**ea# ') he NLRC. C$&r $% A**ea#s reverse+ he +ecisi$n $% he La'$r Ar'ier an+ $% he NLRC Iss&e W:N he er3inai$n $% he *eii$ners is va#i+. R&#ing Aric#e !( $% he La'$r C$+e +e%ines reg&#ar e3*#$)3en as %$##$ws ART. !(. Reg&#ar an+ cas&a# e3*#$)3en. O The *r$visi$ns $% wrien agree3en $ he c$nrar) n$wihsan+ing an+ regar+#ess $% he $ra# agree3en $% he *aries, an e3*#$)3en sha## 'e +ee3e+ $ 'e reg&#ar where he e3*#$)ee has 'een engage+ $ *er%$r3 aciviies which are &s&a##) necessar) $r +esira'#e in he &s&a# '&siness $r ra+e $% he e3*#$)er, eFce* where he e3*#$)3en has 'een %iFe+ %$r a s*eci%ic *r$ec $r &n+era
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Since res*$n+ens ari'&e he er3inai$n $% *eii$ners e3*#$)3en $ he eF*irai$n $% heir res*ecive c$nracs, a +eer3inai$n $% wheher *eii$ners were hire+ as *r$ec $r seas$na# e3*#$)ees, $r as %iFe+5er3 e3*#$)ees wih$& an) %$rce, +&ress $r i3*r$*er *ress&re having 'een eFere+ agains he3 is in $r+er. I% *eii$ners %a## &n+er an) $% hese caeg$ries, hen in+ee+ heir er3inai$n %$##$ws %r$3 he eF*irai$n $% heir c$nracs. The NLRC ha+ s&%%icien 'asis $ 'e#ieve ha he shi% $% SMC $ he Pre5Se##ing S)se3 was n$ he rea# 'asis %$r he %$rging $% %iFe+5er3 c$nracs $% e3*#$)3en wih *eii$ners an+ ha he *eri$+s were %iFe+ $n#) as a 3eans $ *rec#&+e *eii$ners %r$3 ac&iring sec&ri) $% en&re. Tha *eii$ners he3se#ves insise+ $n he $ne5)ear %iFe+5er3 is n$ even a##ege+ ') res*$n+ens. In %ac, he s&saine+ +esire $% each $% he *eii$ners $ ener in$ an$her e3*#$)3en c$nrac &*$n he er3inai$n $% he ear#ier $nes c#ear#) in+icaes heir ineres in c$nin&ing $ w$r< %$r SMC. M$re$ver, res*$n+ens have n$ esa'#ishe+ ha he engage3en $% *eii$ners services, which is n$ in he na&re $% a *r$ec e3*#$)3en, re&ire+ a +e%inie +ae $% er3inai$n as a sine &a n$n.

acs Peii$ner an+ cerain in+ivi+&a#s na3e#) Sergi$ Bena3in =Bena3in?, MaFi3in$ G$n4a#es =G$n4a#es?, an+ N$e# A*$s$# =A*$s$#? were e3*#$)e+ ') he res*$n+en as Swich3an He#*ers in is T$n+$ EFchange :%%ice =TE:?. A%er *arici*aing in severa# rainings an+ se3inars, *eii$ner, Bena3in, an+ G$n4a#es were *r$3$e+ as Swich3en. A*$s$#, $n he $her han+, was e#evae+ $ he *$sii$n $% ra3e3an. :ne $% heir +&ies as Swich3en an+ ra3e3an was he 3an&a# $*erai$n an+ 3ainenance $% he E#ecr$nic Mechanica# 7evice =EM7? $% he TE:. In N$ve3'er 1992, res*$n+en PL7T i3*#e3ene+ a c$3*an)5wi+e re+&n+anc) *r$gra3. S&'se&en#), he res*$n+en PL7T gave se*arae #eers +ae+ 12 6&#) 199- $ *eii$ner, Bena3in, G$n4a#es, an+ A*$s$# in%$r3ing he3 ha heir res*ecive *$sii$ns were +ee3e+ re+&n+an +&e $ he a'$ve5cie+ reas$ns an+ ha heir services wi## 'e er3inae+ $n 1- A&g&s 199-. 1( The) re&ese+ he res*$n+en PL7T %$r rans%er $ s$3e vacan *$sii$ns '& heir re&ess were +enie+ since a## *$sii$ns were a#rea+) %i##e+ &*. Hence, $n 1- A&g&s 199-, res*$n+en PL7T +is3isse+ he %$&r %r$3 e3*#$)3en. R&#ing The La'$r Ar'ier, he NLRC, an+ he C$&r $% A**ea#s a## %$&n+ ha s&'sania# evi+ence s&**$rs he a'sence $% i##ega# +is3issa# in he *resen case. Aric#e ! $% he La'$r C$+e *r$vi+es ha an e3*#$)er 3a) +is3iss %r$3 w$r< an e3*#$)ee ') reas$n $% re+&n+anc). The sa3e *r$visi$n a#s$ saes he *r$ce+&ra# re&ire3ens %$r he va#i+i) $% he +is3issa#. I is c#ear ha he %$reg$ing +$c&3enar) evi+ence c$nsi&e+ s&'sania# evi+ence $ s&**$r he %in+ings $% La'$r Ar'ier L&sria an+ he NLRC ha *eii$ners e3*#$)3en was er3inae+ ') res*$n+en PL7T +&e $ a va#i+ $r #ega# re+&n+anc) *r$gra3 since s&'sania# evi+ence 3ere#) re%ers $ ha a3$&n $% evi+ence which a reas$na'#e 3in+ 3igh acce* as a+e&ae $ s&**$r a c$nc#&si$n. The rec$r+s sh$w ha res*$n+en PL7T ha+ s&%%icien#) esa'#ishe+ he eFisence $% re+&n+anc) in he *$sii$n $% Swich3an. I is evi+en %r$3 he %$reg$ing %acs ha res*$n+en PL7Ts &i#i4ai$n $% high echn$#$g) e&i*3en in is $*erai$n s&ch as c$3*&ers an+ +igia# swiches necessari#) res&#e+ in he re+&ci$n $% he +e3an+ %$r he services $% a Swich3an since c$3*&ers an+ +igia# swiches can a*#) *er%$r3 he %&nci$n $% severa# Swich3en. In+&'ia'#), he *$sii$n $% Swich3an has 'ec$3e re+&n+an. As $ wheher La4a3 was c$3*een $ esi%) $n he e%%ecs $% res*$n+en PL7Ts a+$*i$n $% new echn$#$g) vis5U5vis he *eii$ners *$sii$n $% Swich3an, he rec$r+s sh$w ha La4a3 was high#) &a#i%ie+ $ +$ s$. He is a #icense+ e#ecrica# engineer an+ has 'een e3*#$)e+ ') he res*$n+en PL7T since 19"1. He was a Seni$r Manager %$r Swiching 7ivisi$n in severa# $%%ices $% he res*$n+en PL7T, an+ ha+ aen+e+ 3&#i*#e raining *r$gra3s $n E#ecr$nic Swiching S)se3s in *r$gressive c$&nries. He was a#s$ a raining insr&c$r $% Swich3en in he res*$n+ens $%%ice. The %ac ha res*$n+en PL7T hire+ c$nrac&a# e3*#$)ees a%er i3*#e3ening is re+&n+anc) *r$gra3 +$es n$ necessari#) negae he eFisence $% re+&n+anc). As a3*#) sae+ ') he res*$n+en PL7T, s&ch hiring was inen+e+ s$#e#) %$r win+ing &* $*erai$ns &sing he $#+ s)se3. Since he res*$n+en PL7T +eer3ine+ ha *eii$ners services are n$ #$nger necessar) eiher as a Swich3an $r in an) $her *$sii$n, an+ s&ch +eer3inai$n was 3a+e in g$$+ %aih an+ in %&rherance $% is '&siness ineres, he *eii$ners c$neni$n ha he sh$&#+ 'e he #as swich3an $ 'e #ai+5$%% ') reas$n $% his &a#i%icai$ns an+ $&san+ing w$r< 3&s %ai#. WHERE:RE, he *eii$n is 7ENIE7. S: :R7ERE7.

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acs >niversa# R$'ina S&gar Mi##ing C$r*$rai$n =res*$n+en? is a c$r*$rai$n engage+ in he cane s&gar 3i##ing '&siness. Pe+) Caseres =*eii$ner Caseres? sare+ w$rn+eraRS>MC:, w$&#+ c#ear#) revea# ha he ver) na&re $% he er3s an+ c$n+ii$ns $% heir hiring w$&#+ sh$w ha c$3*#ainans were re&ire+ $ *er%$r3 *hases $% s*ecia# *r$ecs which are n$ re#ae+ $ he 3ain $*erai$n $% he res*$n+en %$r a +e%inie *eri$+, a%er which heir services are avai#a'#e $ an) %ar3 $wner. The NLRC, agreeing wih he LA, %&rher r&#e+ ha In he case a 'ar, We n$e ha c$3*#ainans never '$here+ $ +en) ha he) v$#&nari#), RS>MC: $n 6an&ar) 9, 199 as a w$r*$n a**#icai$n, Caseres was inerviewe+ an+ 3a+e $ &n+ersan+ ha his e3*#$)3en w$&#+ 'e c$5er3in&s wih he *hase $% w$r< $ which he w$&#+ 'e hen assigne+, ha is &ni# e'r&ar) 2, 199 an+ herea%er he w$&#+ 'e %ree $ see< e3*#$)3en e#sewhere. Caseres agree+ an+ signe+ he c$nrac $% e3*#$)3en %$r s*eci%ic *r$ec $r &n+era

w$&#+ 'e hen assigne+ ha is %r$3 6&#) 1", 199 $ 6&#) !(, 199 an+ ha herea%er he is %ree $ see< e3*#$)3en e#sewhere $ which Caseres agree+ an+ rea+i#) signe+ he c$nrac $% e3*#$)3en %$r s*eci%ic *r$ec $r &n+eraRS>MC:s w$r< %$rce was n$ *er3anen '& c$5er3in$&s wih he *r$ecs $ which he e3*#$)ees were assigne+ an+ %r$3 wh$se *a)r$##s he) were *ai+ =Pa#$3ares vs. NLRC, !"" SCRA 9?. Peii$ners re*eae+ an+ s&ccessive re5e3*#$)3en $n he 'asis $% a c$nrac $% e3*#$)3en %$r 3$re han $ne )ear cann$ an+ +$es n$ 3a
acs Peii$ner Pier  Arrasre an+ Seve+$ring Services, Inc. =PASSI? is a +$3esic c$r*$rai$n engage+ in he '&siness $% *r$vi+ing arrasre an+ seve+$ring services/20 a Pier  in he Mani#a N$rh Har'$r. PASSI has 'een ren+ering arrasre an+ seve+$ring services a he *$r area since 19" an+ e3*#$)s seve+$res wh$ assis in he #$a+ing an+ &n#$a+ing $% carg$es $ an+ %r$3 he vesse#s. Peii$ner E#i$+$r$ C. Cr&4 is is 8ice5Presi+en an+ Genera# Manager. Res*$n+en 6e%% B. B$c#$ was hire+ ') PASSI $ *er%$r3 he %&nci$ns $% a seve+$re saring !( Se*e3'er 1999. The %acs sh$w ha res*$n+en ren+ere+ ac&a# services $ PASSI +&ring he %$##$wing *eri$+s Peri$+ 7&rai$n Se*e3'er 5 7ece3'er 1999 = 3$nhs? !1 +a)s 6an&ar) 5 A*ri# !((( = 3$nhs? !( +a)s March 5 7ece3'er !((1 =1( 3$nhs? 2 +a)s 6an&ar) 5 7ece3'er !((! =1! 3$nhs? "(.2 +a)s 6an&ar) 5 6&ne !(( =- 3$nhs? ! +a)s T$a# - 3$nhs !!.2 +a)s :n 12 A*ri# !(((, he Phi#i**ine P$rs A&h$ri) =PPA? sei4e+ he %aci#iies an+ $$< $ver he $*erai$ns $% PASSI hr$&gh is S*ecia# Tani, a's$r'ing PASSI w$r
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a'#e $ regain c$nr$# $% heir arrasre an+ seve+$ring $*erai$ns a Pier  $n 1! March !((1. :n 9 Ma) !((, res*$n+en %i#e+ a C$3*#ain wih he La'$r Ar'ier $% he NLRC, c#ai3ing reg&#ari4ai$n *a)3en $% service incenive #eave an+ 1h 3$nh *a)s 3$ra#, eFe3*#ar) an+ ac&a# +a3ages an+ a$rne)XYs %ees. Res*$n+en a##ege+ ha he was hire+ ') PASSI in :c$'er 1999 an+ was iss&e+ c$3*an) I7 N$. (, a PPA Pass an+ SSS +$c&3ens. In %ac, res*$n+en c$nen+e+ ha he 'eca3e a reg&#ar e3*#$)ee ') A*ri# !(((, since i was his siFh c$nin&$&s 3$nh in service in PASSIXYs reg&#ar c$&rse $% '&siness. He arg&e+ $n he 'asis $% Aric#es !(/90 an+ !1 $% he La'$r C$+e. He 3ainains ha &n+er *aragra*h ! $% Aric#e !(, he sh$&#+ 'e +ee3e+ a reg&#ar e3*#$)ee having ren+ere+ a #eas $ne )ear $% service wih he c$3*an). Acc$r+ing $ res*$n+en, he re3aine+ a cas&a# e3*#$)ee %r$3 he i3e he was %irs hire+ $ *er%$r3 he services $% a seve+$re. Th&s, res*$n+en c#ai3e+ he was +enie+ he righs an+ *rivi#eges $% a reg&#ar e3*#$)ee, inc#&+ing h$se grane+ &n+er he C$##ecive Bargaining Agree3en =CBA? s&ch as wage increase 3e+ica#, +ena# an+ h$s*ia#i4ai$n 'ene%is vacai$n an+ sic< #eaves &ni%$r3s, Chris3as gi%s, *r$+&civi) '$n&s, acci+en ins&rance, s*ecia# se*arai$n *a)s, an+ $hers. In he insan *eii$n, *eii$ners are vehe3en#) +en)ing ha res*$n+en has 'ec$3e PASSI reg&#ar e3*#$)ee. Peii$ners insis ha res*$n+en was hire+ as a 3ere seve+$re an+, h&s, c$&#+ n$ 'ec$3e a reg&#ar seve+$re. Peii$ners *resene+ a #is $% he +a)s when res*$n+enXYs services as seve+$re were engage+, $ s&**$r is c#ai3 ha res*$n+en is a re#iever. Peii$ners aver ha he e3*#$)3en $% he seve+$res is g$verne+ ') a s)se3 $% r$ai$n. Base+ $n his s)se3 $% r$ai$n, he w$r< avai#a'#e $ re#iever seve+$res is +e*en+en $n he ac&a# seve+$ring an+ arrasre re&ire3ens a a c&rren given i3e. Peii$ners *$si ha res*$n+en, as a re#iever seve+$re, is a 3ere eFra w$r

*aragra*h $% reg&#ar, *r$ec an+ seas$na# e3*#$)ees, are +ee3e+ cas&a# e3*#$)ees./!20 N$ &a#i%)ing &n+er an) $% he ni$n an+ he C$3*an) =PASSI? here') agree $ a+$* he >ni$n Sh$* as a c$n+ii$n $% e3*#$)3en $ he *$sii$n =sic? c$vere+ ') his Agree3en. >n+er a &ni$n5sh$* agree3en, a#h$&gh n$n3e3'ers 3a) 'e hire+, an e3*#$)ee is re&ire+ $ 'ec$3e a &ni$n 3e3'er a%er a cerain *eri$+, in $r+er $ reain e3*#$)3en. This re&ire3en a**#ies $ *resen an+ %&&re e3*#$)ees./-0 The sa3e aric#e $% he CBA si*&#aes ha e3*#$)3en in PASSI cann$ 'e $'aine+ wih$& *ri$r 3e3'ershi* in he &ni$n. A*r$*$s, a**#)ing he %$reg$ing *r$visi$ns $% he CBA, res*$n+en sh$&#+ 'e c$nsi+ere+ a reg&#ar e3*#$)ee a%er siF 3$nhs $% acc&3&#ae+ service. I is c#ear#) si*&#ae+ herein ha *eii$ners sha## agree $ c$nver $ reg&#ar sa&s a## inc&3'en *r$'ai$nar) $r cas&a# e3*#$)ees an+ w$r
acs E++ie Pac&ing, R$+eric< Cenen$, 6&ani$ M. G&erra, C#ar$ 7&*i#a+, 6r., L$&ie Cenen$, 7avi+ Re'#$ra, Ra)3&n+$ An+ra+e =*eii$ners? were sa#es r$&e he#*ers $r carga+$res5*ahinanes $% C$ca5C$#a B$#ers Phi#i**ines, Inc., =res*$n+en?, wih he #engh $% e3*#$)3en as %$##$ws Na3e 7ae Hire+ 7ae 7is3isse+ E++ie P. Pac&ing R$+eric< Cenen$ 6&ani$ M. G&erra C#ar$ 7&*i#a+, 6r. 7avi+ R. Re'#$ra

6&ne 1, 19" N$ve3'er 12, 192 6&ne 1-, 19( March 1, 199! Se*e3'er 12, 19

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6an&ar) (, 19 6an&ar) 12, 1992 e'r&ar) !(, 1992 6&ne (, 1992 7ece3'er 12, 1992


L$&ie Cenen$ Ra)3&n+$ An+ra+e

Se*e3'er 12, 19 6an&ar) 12, 19

March 12, 199:c$'er 12, 1992

Peii$ners were *ar $% a c$3*#e3en $% hree *ers$nne# c$3*rise+ $% a +river, a sa#es3an an+ a reg&#ar r$&e he#*er, %$r ever) +e#iver) r&c<. The) w$r

circ&3veni$n $% he #aw cann$ 'e c$&nenance+. The %ac ha res*$n+en w$r
acs The *resen c$nr$vers) se33e+ %r$3 %ive in+ivi+&a# c$3*#ains %$r i##ega# +is3issa# %i#e+ $n ') e+eric$ . 8isca =8isca?, 6$hnn) G. Barre+$, R$na#+ D. Ti'&s, Richar+ G. 8isca an+ Ra%%ie G. 8isca =res*$n+ens? agains C$c$3angas H$e# Beach Res$r an+$r is $wner53anager, S&san M&nr$ =*eii$ners? 'e%$re S&'5Regi$na# Ar'irai$n Branch N$. 8I $% he Nai$na# La'$r Re#ai$ns C$33issi$n =NLRC? in a#i'$, A<#an. In heir c$ns$#i+ae+ P$sii$n Pa*er res*$n+ens a##ege+ ha he) were reg&#ar e3*#$)ees $% *eii$ners, wih +esignai$ns an+ +aes $% e3*#$)3en as %$##$ws Na3e 7esignai$n 7ae E3*#$)e+ e+eric$ . 8isa $re3an 6$hnn) G. Barre+$ Car*ener R$na#+ D. Ti'&s Mas$n Richar+ G. 8isca Car*ener Ra%%ie G. 8isca Mas$nCar*ener as
:c$'er 1, 19" A*ri# !, 199 N$ve3'er 9, 199A*ri# 199 March !", 199

Maria Ni+a I[\ig$5Ta[\a#a, he r$n 7es< :%%icerSa#es Manager, in%$r3e+ he3 n$ $ re*$r %$r w$r< since he $ng$ing c$nsr&ci$ns an+ re*airs w$&#+ 'e e3*$rari#) s&s*en+e+ 'eca&se he) ca&se+ irriai$n an+ ann$)ance $ he res$rs g&ess as insr&ce+, he) +i+ n$ re*$r %$r w$r< he s&ccee+ing +a)s. 6$hn M&nr$, h&s'an+ $% *eii$ner S&san M&nr$, s&'se&en#) visie+ res*$n+en %$re3an 8isca an+ in%$r3e+ hi3 ha he w$r< s&s*ensi$n was +&e $ '&+gear) c$nsrains. When res*$n+en 8isca #aer +isc$vere+ ha %$&r new w$r
hen

%i#e+

a

M$i$n

%$r

Rec$nsi+erai$n,

arg&ing

Page 48

ha

res*$n+ens

were

*r$ec

e3*#$)ees.


NLRC =M$i$n %$r Rec$nsi+erai$n? Acing &*$n he *eii$ners 3$i$n, he NLRC 3a+e a c$3*#ee &rna'$& %r$3 is $rigina# +ecisi$n an+ iss&e+ a Res$#&i$n +is3issing he c$3*#ain, h$#+ing ha res*$n+ens were n$ reg&#ar e3*#$)ees '& *r$ec e3*#$)ees, hire+ %$r a sh$r *eri$+ $% i3e $ +$ s$3e re*air $'s in *eii$ners res$r '&siness. N$nehe#ess, i $r+ere+ *a)3en $% P1(,(((.(( $ each c$3*#ainan as %inancia# assisance. CA The CA he#+ res*$n+ens were reg&#ar e3*#$)ees, n$ *r$ec w$r

he res$r. The re*eae+ an+ c$nin&ing nee+ %$r heir services is s&%%icien evi+ence $% he necessi), i% n$ in+is*ensa'i#i), $% heir services $ *eii$ners res$r '&siness. In Marag&in$, 6r. v. Nai$na# La'$r Re#ai$ns C$33issi$n , he C$&r r&#e+ ha $nce a *r$ec $r w$r< *$$# e3*#$)ee has 'een =1? c$nin&$&s#), as $**$se+ $ iner3ien#), rehire+ ') he sa3e e3*#$)er %$r he sa3e as
acs INN:7ATA ha+ since cease+ $*erai$ns +&e $ '&siness #$sses in 6&ne !((!. Peii$ners Cherr) 6. Price, Se*hanie G. 7$3ing$, an+ L$#ia Ar'i#era were e3*#$)e+ as %$r3aers ') INN:7ATA. The *aries eFec&e+ an e3*#$)3en c$nrac +en$3inae+ as a C$nrac $% E3*#$)3en %$r a iFe+ Peri$+, si*&#aing ha he c$nrac sha## 'e e%%ecive %r$3 EB. 1-, 1999 $ EB. 1-, !((( a *eri$+ $% :NE @EAR. :n 1- e'r&ar) !(((, he HRA7 Manager $% INN:7ATA wr$e *eii$ners in%$r3ing he3 $% heir #as +a) $% w$r<, a he en+ $% he c#$se $% '&siness h$&rs $ne'r&ar) 1-, !(((. Acc$r+ing $ INN:7ATA, *eii$ners e3*#$)3en a#rea+) cease+ +&e $ he en+ $% heir c$nrac. :n !! Ma) !(((, *eii$ners %i#e+ a C$3*#ain %$r i##ega# +is3issa# an+ +a3ages agains res*$n+ens. Peii$ners c#ai3e+ ha he) sh$&#+ 'e c$nsi+ere+ reg&#ar e3*#$)ees since heir *$sii$ns as %$r3aers were necessar) an+ +esira'#e $ he &s&a# '&siness $% INN:7ATA as an enc$+ing, c$nversi$n an+ +aa *r$cessing c$3*an). Peii$ners %ina##) arg&e+ ha he) c$&#+ n$ 'e c$nsi+ere+ *r$ec e3*#$)ees c$nsi+ering ha heir e3*#$)3en was n$ c$er3in$&s wih an) *r$ec $r &n+era
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The C$&r %in+s 3eri in he *resen Peii$n. There were n$ va#i+ %iFe+5er3 c$nracs an+ *eii$ners were reg&#ar e3*#$)ees $% he INN:7ATA wh$ c$&#+ n$ 'e +is3isse+ eFce* %$r &s $r a&h$ri4e+ ca&se. The e3*#$)3en sa&s $% a *ers$n is +e%ine+ an+ *rescri'e+ ') #aw an+ n$ ') wha he *aries sa) i sh$&#+ 'e. E&a##) i3*$ran $ c$nsi+er is ha a c$nrac $% e3*#$)3en is i3*resse+ wih *&'#ic ineres s&ch ha #a'$r c$nracs 3&s )ie#+ $ he c$33$n g$$+. Th&s, *r$visi$ns $% a**#ica'#e sa&es are +ee3e+ wrien in$ he c$nrac, an+ he *aries are n$ a #i'er) $ ins&#ae he3se#ves an+ heir re#ai$nshi*s %r$3 he i3*ac $% #a'$r #aws an+ reg&#ai$ns ') si3*#) c$nracing wih each $her. Reg&#ar e3*#$)3en has 'een +e%ine+ ') Aric#e !( $% he La'$r C$+e, as a3en+e+, which rea+s Ar. !(. Reg&#ar an+ Cas&a# E3*#$)3en. The *r$visi$ns $% wrien agree3en $ he c$nrar) n$wihsan+ing an+ regar+#ess $% he $ra# agree3en $% he *aries, an e3*#$)3en sha## 'e +ee3e+ $ 'e reg&#ar where he e3*#$)ee has 'een engage+ $ *er%$r3 aciviies which are &s&a##) necessar) $r +esira'#e in he &s&a# '&siness $r ra+e $% he e3*#$)er, eFce* where he e3*#$)3en has 'een %iFe+ %$r a s*eci%ic *r$ec $r &n+eran+ersc$ring $&rs?. Base+ $n he a%$re5&$e+ *r$visi$n, he %$##$wing e3*#$)ees are acc$r+e+ reg&#ar sa&s =1? h$se wh$ are engage+ $ *er%$r3 aciviies which are necessar) $r +esira'#e in he &s&a# '&siness $r ra+e $% he e3*#$)er, regar+#ess $% he #engh $% heir e3*#$)3en an+ =!? h$se wh$ were iniia##) hire+ as cas&a# e3*#$)ees, '& have ren+ere+ a #eas $ne )ear $% service, wheher c$nin&$&s $r 'r$n+$&'e+#), *eii$ners 'e#$ng $ he %irs )*e $% reg&#ar e3*#$)ees. >n+er Aric#e !( $% he La'$r C$+e, he a**#ica'#e es $ +eer3ine wheher an e3*#$)3en sh$&#+ 'e c$nsi+ere+ reg&#ar $r n$n5reg&#ar is he reas$na'#e c$nneci$n 'eween he *aric&#ar acivi) *er%$r3e+ ') he e3*#$)ee in re#ai$n $ he &s&a# '&siness $r ra+e $% he e3*#$)er. In he case a 'ar, *eii$ners were e3*#$)e+ ') INN:7ATA $n 1" e'r&ar) 1999 as %$r3aers. The *ri3ar) '&siness $% INN:7ATA is +aa enc$+ing, an+ he %$r3aing $% he +aa enere+ in$ he c$3*&ers is an essenia# *ar $% he *r$cess $% +aa enc$+ing. $r3aing $rgani4es he +aa enc$+e+, 3an+enia'#), he w$r< *er%$r3e+ ') *eii$ners was necessar) $r +esira'#e in he '&siness $r ra+e $% INN:7ATA. H$wever, i is a#s$ r&e ha whi#e cerain %$r3s $% e3*#$)3en re&ire he *er%$r3ance $% &s&a# $r +esira'#e %&nci$ns an+ eFcee+ $ne )ear, hese +$ n$ necessari#) res&# in reg&#ar e3*#$)3en &n+er Aric#e !( $% he La'$r C$+e. >n+er he Civi# C$+e, %iFe+5er3 e3*#$)3en c$nracs are n$ #i3ie+, as he) are &n+er he *resen La'$r C$+e, $ h$se ') na&re seas$na# $r %$r s*eci%ic *r$ecs wih *re+eer3ine+ +aes $% c$3*#ei$n he) a#s$ inc#&+e h$se $ which he *aries ') %ree ch$ice have assigne+ a s*eci%ic +ae $% er3inai$n. The +ecisive +eer3inan in er3 e3*#$)3en is he +a) cerain agree+ &*$n ') he *aries %$r he c$33ence3en an+ er3inai$n $% heir e3*#$)3en re#ai$nshi*, a +a) cerain 'eing &n+ers$$+ $ 'e ha which 3&s necessari#) c$3e, a#h$&gh i 3a) n$ 'e
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LABOR RELATIONS RELATIONS Aty. Jeferson M. Marquez

A%er c$nsi+ering *eii$ners c$nracs in heir enire), as we## as he circ&3sances s&rr$&n+ing *eii$ners e3*#$)3en a INN:7ATA, INN:7ATA, he C$&r is c$nvince+ ha he er3s %iFe+ herein were 3ean $n#) $ circ&3ven *eii$ners righ $ sec&ri) $% en&re an+ are, here%$re, inva#i+. The c$nracs $% e3*#$)3en s&'3ie+ ') res*$n+ens are high#) s&s*ec %$r n$ $n#) 'eing a3'ig&$&s, '& a#s$ %$r a**earing $ 'e a3*ere+ wih.The) #aer $n a+3ie+ in heir Me3$ran+&3 %i#e+ wih his C$&r ha *eii$ners were $rigina##) hire+ $n 1- e'r&ar) 1999 '& he *r$ec %$r which he) were e3*#$)e+ was c$3*#ee+ 'e%$re he eF*irai$n $% $ne )ear. Peii$ners were 3ere#) rehire+ $n - Se*e3'er 1999 %$r a new *r$ec. Whi#e res*$n+ens s&'3ie+ e3*#$)3en c$nracs wih - Se*e3'er 1999 as 'eginning +ae $% e%%ecivi), i is $'vi$&s ha in $ne $% he3, he $rigina# 'eginning +ae $% e%%ecivi), 1- e'r&ar) 1999, was 3ere#) cr$sse+ $& an+ re*#ace+ wih - Se*e3'er 1999. S&ch 3$+i%icai$n an+ +enia# ') res*$n+ens as $ he rea# 'eginning +ae $% *eii$ners e3*#$)3en c$nracs ren+er he sai+ c$nracs a3'ig&$&s. The c$nracs he3se#ves sae ha he) w$&#+ 'e e%%ecive &ni# 1- e'r&ar) !((( %$r a *eri$+ $% $ne )ear. I% he c$nracs $$< e%%ec $n#) $n - Se*e3'er 1999, hen is *eri$+ $% e%%ecivi) w$&#+ $'vi$&s#) 'e #ess han $ne )ear, $r %$r a *eri$+ $% $n#) a'$& %ive 3$nhs. :'vi$&s#), res*$n+ens wane+ $ 3an+er Seci$n , Aric#e 8I $% he C$nsi&i$n, i is he *$#ic) $% he Sae $ ass&re he w$r
acs Res*$n+ens 6$e# Caga3*ang an+ G#enn Gar4$n sare+ w$r
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Iss&e W:N Caga3*ang an+ Gar4$n are reg&#ar e3*#$)eesw$rn%$r&nae#), h$wever, wha *eii$ners +i+ was 3ere#) $ re%&se, wih$& &si%ia'#e reas$n, $ renew res*$n+ens w$r< c$nracs %$r he *er%$r3ance $% wha w$&#+ $herwise 'e reg&#ar $'s in re#ai$n $ he ra+e $r '&siness $% he %$r3er. /10S&ch c$n+&c +is3a##) %a##s sh$r $% he re&ire3ens $% $&r #a'$r #aws regar+ing +is3issa#s. N$ win n$ices $% er3inai$n were iss&e+ $ he e3*#$)ees, hence he e3*#$)er +i+ n$ $'serve +&e *r$cess in +is3issing he3 %r$3 heir e3*#$)3en. Their +is3issa#s were *aen#) i##ega#. E3*#$)er is '&r+ene+ $ *r$ve &s ca&se %$r er3inaing he e3*#$)3en $% is e3*#$)ee wih c#ear an+ c$nvincing evi+ence. The wea
acs Res*$n+en 6$rge R. Trini+a+ %i#e+ a c $3*#ain %$r i##ega# +is3issa# an+ &n*ai+ 'ene%is agains *eii$ner Wi##ia3 >) C$nsr&ci$n C$r*$rai$n. Trini+a+ ni+a+ c#ai3e+ c#ai3e+ ha he ha+ 'een w$r
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in$ c$nsi+erai$n he hree5)ear *rescri*ive *eri$+ %$r 3$ne) c#ai3s.h*sc.&+iciar).g$v.*h&ris*r&+ence!(1(3arch!(1(1!2(.h3 5 %n! The La'$r Ar'ier he#+ ha, since Trini+a+ was a *r$ec e3*#$)ee an+ since his c$3*an) s&'3ie+ he a**r$*riae esa'#ish3en er3inai$n re*$r $ 7:LE, his #$ss $% w$r< cann$ 'e regar+e+ as &n&s +is3issa#. Iss&e Wheher $r n$ *eii$ner c$3*an)s re*eae+ rehiring $% res*$n+en Trini+a+ $ver severa# )ears as *r$ec e3*#$)ee %$r is vari$&s *r$ecs a&$3aica##) a&$3aica##) eni#e+ hi3 $ he sa&s $% a reg&#ar e3*#$)ee. R&#ing The es %$r +ising&ishing a J*r$ec e3*#$)eeK %r$3 a Jreg&#ar e3*#$)eeK is wheher $r n$ he has 'een ass igne+ $ carr) $& a Js*eci%ic *r$ec $r &n+era
acs Peii$ners =LMCEC E3*#$)ees? %i#e+ a c$3*#ain %$r i##ega# +is3issa# an+ n$n5*a)3en $% 3$near) 'ene%is agains res*$n+en LM Ca3&s Engineering C$r*. 'e%$re he Nai$na# La'$r Re#ai$ns C$33issi$n =NLRC?. The e3*#$)ees a##ege+ ha he) were i##ega##) +is3isse+ %r$3 e3*#$)3en an+ ha heir e3*#$)er %ai#e+ $ *a) he3 heir h$#i+a) *a), *re3i&3 *a) %$r h$#i+a), res +a), service incenive #eave *a), an+ 1h 3$nh *a) +&ring he eFisence an+ +&rai$n $% heir e3*#$)3en. The) a#s$ averre+ ha he) were n$ *r$vi+e+ wih sic< an+ vacai$n #eaves. Res*$n+ens +enie+ ha *eii$ners were i##ega##) +is3isse+ %r$3 e3*#$)3en. The) c#ai3e+ ha *eii$ners were *r$ec e3*#$)ees an+, &*$n he c$3*#ei$n $% each *r$ec, he) were serve+ n$ices $% *r$ec c$3*#ei$n. The) c#ari%ie+ ha he er3inai$n $% *eii$ners e3*#$)3en was +&e $ he c$3*#ei$n $% he *r$ecs %$r which he) were hire+. Peii$ners, h$wever, c$&nere+ ha he) were reg&#ar e3*#$)ees as he) ha+ 'een engage+ $ *er%$r3 aciviies which are &s&a##) necessar) $r +esira'#e in he &s&a# '&siness $r ra+e $% LMCEC. The) +enie+ ha he) were *r$ec $r c$nrac&a# e3*#$)ees 'eca&se heir e3*#$)3en

was c$nin&$&s an+ &ninerr&*e+ %$r 3$re han $ne =1? )ear. ina##), he) 3ainaine+ ha he) were *ar $% a w$r< *$$# %r$3 which LMCEC +rew is w$r
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#i3ie+ 'acE Wheher $r n$ he C$&r $% A**ea#s is c$rrec in c$nc#&+ing ha he *eii$ners are PR:6ECT EMPL:@EES an+ ha heir +is3issa# %r$3 e3*#$)3en was #ega# R>LING The S&*re3e C$&r s*ea
acs Res*$n+en 8irgi#i$ Maga##anes sare+ w$rLING 1. A *r$ec e3*#$)ee is $ne wh$se e3*#$)3en has 'een %iFe+ %$r a s*eci%ic *r$ec $r &n+era
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h$#+ $n $ heir w$r< $r *$sii$n &ni# heir services are er3inae+ ') an) $% he 3$+es rec$gni4e+ &n+er he La'$r C$+e. =e3*hasis an+ &n+ersc$ring s&**#ie+? Ass&3ing arg&en+$ ha *eii$ner hire+ res*$n+en iniia##) $n a *er *r$ec 'asis, his c$nin&e+ rehiring, as sh$wn ') he sa3*#e *a)r$##s c$nvere+ his sa&s $ ha $% a reg&#ar e3*#$)ee !. In #a'$r cases, r&#es $% *r$ce+&re sh$&#+ n$ 'e a**#ie+ in a ver) rigi+ an+ echnica# sense. Technica#iies sh$&#+ n$ 'e *er3ie+ $ san+ in he wa) $% e&ia'#) an+ c$3*#ee#) res$#ving he righs an+ $'#igai$ns $% he *aries. Where he en+s $% s&'sania# &sice sha## 'e 'eer serve+, he a**#icai$n $% echnica# r&#es $% *r$ce+&re 3a) 'e re#aFe+. As $ he +e%ecive veri%icai$n in he a**ea# 3e3$ran+&3 'e%$re he NLRC, he sa3e #i'era#i) a**#ies. A%er a##, he re&ire3en regar+ing veri%icai$n $% a *#ea+ing is %$r3a#, n$ &ris+ici$na#. WHERE:RE, he *eii$n is 7ENIE7.

acs EF$+&s Inernai$na# C$nsr&ci$n C$r*$rai$n $'aine+ a c$nrac %r$3 7&ch B$) Phi#i**ines, Inc. %$r he *aining $% he I3*eria# S<) Gar+en #$cae+ in Bin$n+$, Mani#a. 7&ch B$) awar+e+ an$her c$nrac $ EF$+&s %$r he *aining $% Paci%ic P#a4a, T$wers in $r B$ni%aci$, Tag&ig Ci). In he %&rherance $% is '&siness, EF$+&s hire+ res*$n+ens as *ainers $n +i%%eren +aes. :n N$ve3'er !", !(((, res*$n+ens %i#e+ a c$3*#ain %$r i##ega# +is3issa# an+ n$n5*a)3en $% h$#i+a) *a), service incenive #eave *a), 1h 3$nh *a) an+ nigh5shi% +i%%erenia# *a). Peii$ners +enie+ res*$n+ens a##egai$ns. As regar+s Greg$ri$, *eii$ners averre+ ha he a'sene+ hi3se#% %r$3 w$r< an+ a**#ie+ as a *ainer wih SAEI5EEI which is he genera# '&i#+ing c$nrac$r $% Paci%ic P#a4a T$wers. T$wers. Since hen, he never re*$re+ 'ac< $ w$r<. G&i##er3$ a'sene+ hi3se#% %r$3 w$r< wih$& #eave. When he re*$re+ %$r w$r< he %$##$wing +a), he was re*ri3an+e+ s$ he w$r
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here 3&s have 'een a c#ear ineni$n $n he *ar $% he e3*#$)ee $ sever he e3*#$)er5e3*#$)ee re#ai$nshi* 3ani%ese+ ') s$3e $ver ac. I is he e3*#$)er wh$ has he '&r+en $% *r$$% $ sh$w a +e#i'erae an+ &n&si%ie+ re%&sa# $% he e3*#$)ee $ res&3e his e3*#$)3en wih$& an) ineni$n $% re&rning. I is here%$re inc&3'en &*$n *eii$ners $ ascerain he res*$n+ens ineres $r n$n5ineres in he c$nin&ance $% heir e3*#$)3en. H$wever, *eii$ners %ai#e+ $ +$ s$. Peii$ners *$si ha he reinsae3en $% res*$n+ens $ heir %$r3er *$sii$ns, which were n$ #$nger eFising, is i3*$ssi'#e, high#) &n%air an+ &n&s. The *r$ec was a#rea+) c$3*#ee+ ') *eii$ners, having c$3*#ee+ heir as
acs /Res*$n+en Phi#i**ine Nai$na# :i# C$r*$rai$n05Energ) 7eve#$*3en C$r*$rai$n /PN:C5E7C0 is a g$vern3en5$wne+ an+ c$nr$##e+ c$r*$rai$n engage+ in eF*#$rai$n, +eve#$*3en, &i#i4ai$n, generai$n an+ +isri'&i$n $% energ) res$&rces #i
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were #aer $n c$ns$#i+ae+ *&rs&an $ he New NLRC R&#es $% Pr$ce+&re. The c$ns$#i+ae+ case was +$cni$n are *r$ec e3*#$)ees $% res*$n+en an+ Wheher he $%%icers an+ 3e3'ers $% *eii$ner >ni$n engage+ in an i##ega# srini$n c$nen+s ha is $%%icers an+ 3e3'ers *er%$r3e+ aciviies ha were &s&a##) necessar) an+ +esira'#e $ res*$n+ens &s&a# '&siness. In %ac, *eii$ner >ni$n reieraes ha is $%%icers an+ 3e3'ers were assigne+ $ he C$nsr&ci$n 7e*ar3en $% res*$n+en as car*eners an+ 3as$ns, an+ $ $her $'s *&rs&an $ civi# w$rni$n #ini$n, 3ani%ess ha he ^&n+erani$n. The +isinci$n 'eween a reg&#ar an+ a *r$ec e3*#$)3en is *r$vi+e+ in Aric#e !(, *aragra*h 1, $% he La'$r C$+e ART. !(. Reg&#ar an+ Cas&a# E3*#$)3en .55 The *r$visi$ns $% wrien agree3en $ he c$nrar) n$wihsan+ing an+ regar+#ess $% he $ra# agree3en $% he *aries, an e3*#$)3en sha## 'e +ee3e+ $ 'e reg&#ar where he e3*#$)ee has 'een engage+ $ *er%$r3 aciviies which are &s&a##) necessar) $r +esira'#e in he &s&a# '&siness $r ra+e $% he e3*#$)er, eFce* where he e3*#$)3en has 'een %iFe+ %$r a s*eci%ic *r$ec $r &n+erani$n signe+ e3*#$)3en c$nracs in+icaing he s*eci%ic *r$ec $r *hase $% w$r< %$r which he) were hire+, wih a %iFe+ *eri$+ $% e3*#$)3en. The NLRC c$rrec#) +is*$se+ $% his iss&e A +ee*er eFa3inai$n a#s$ sh$ws ha /he in+ivi+&a# 3e3'ers $% *eii$ner >ni$n0 in+ee+ signe+ an+ acce*e+ he /e3*#$)3en c$nracs0 %ree#) an+ v$#&nari#). N$ evi+ence was *resene+ ') /*eii$ner0 >ni$n $ *r$ve i3*r$*er *ress&re $r &n+&e in%#&ence when he) enere+, *er%ece+ an+ c$ns&33ae+ /he e3*#$)3en0 c$nracs. In %ac, i was c#ear#) esa'#ishe+ in he c$&rse $% he ria# $% his case, as eF*#aine+ ') n$ #ess han he Presi+en $% /*eii$ner0 >ni$n, ha he c$nracs $% e3*#$)3en were rea+, c$3*rehen+e+, an+ v$#&nari#) acce*e+ ') he3. F F F.

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As c#ear#) sh$wn ') /*eii$ner0 >ni$ns $wn a+3issi$n, '$h *aries ha+ eFec&e+ he c$nracs %ree#) an+ v$#&nari#) wih$& %$rce, +&ress $r acs en+ing $ viiae he w$rni$n were *r$ec e3*#$)ees. N$nehe#ess, *eii$ner >ni$n insiss ha he) were reg&#ar e3*#$)ees since he) *er%$r3e+ w$r< which was &s&a##) necessar) $r +esira'#e $ he &s&a# '&siness $r ra+e $% he C$nsr&ci$n 7e*ar3en $% res*$n+en. P$#ic) Insr&ci$n N$. 1! $% he 7e*ar3en $% La'$r an+ E3*#$)3en +isc#$ses ha he c$nce* $% reg&#ar an+ cas&a# e3*#$)ees was +esigne+ $ *& an en+ $ cas&a# e3*#$)3en in reg&#ar $'s, which has 'een a'&se+ ') 3an) e3*#$)ers $ *reven s$ 5 ca##e+ cas&a#s %r$3 en$)ing he 'ene%is $% reg&#ar e3*#$)ees $r $ *reven cas&a#s %r$3 $ining &ni$ns. The sa3e insr&ci$ns sh$w ha he *r$vis$ in he sec$n+ *aragra*h $% Ar. !( was n$ +esigne+ $ si%#e s3a##5sca#e '&sinesses n$r $ $**ress agric&#&ra# #an+ $wners $ %&rher he ineress $% #a'$rers, wheher agric&#&ra# $r in+&sria#. Wha i see
acs Re3igi$ Michae# Anchea was a %&##5i3e *r$'ai$nar) eacher in he Sch$$# @ear 199-5199" which was renewe+ in he %$##$wing S@ 199"5199. His wi%e, C)nhia was hire+ as a *ar i3e eacher $% he Mass C$33&nicai$n 7e*ar3en in he sec$n+ se3eser $% S@ 199-5199" an+ her a**$in3en was renewe+ %$r S@ 199"5199. :n e'r&ar) 1, 199, res*$n+ens signi%ie+ heir ineni$ns $ renew heir c$nracs %$r S@ 19951999. The) were #aer sen w$ #eers in%$r3ing he3 ha he sch$$# is eFen+ing $ he3 new c$nracs %$r S@ 19951999. Therea%er, a #eer was wrien $ Re3igi$ Michae#, en&3eraing he +e*ar3ena# an+ insr&ci$na# *$#icies ha s*$&ses %ai#e+ $ c$3*#) wih, s&ch as he #ae s&'3issi$n $% %ina# gra+es, %ai#&re $ s&'3i %ina# es &esi$ns $ he Pr$gra3 C$$r+ina$r, he giving $% ess in he essa) %$r3 insea+ $% he 3&#i*#e ch$ice %$r3a as 3an+ae+ ') he sch$$#, %ai#&re $ re*$r $ w$r< $n i3e he high n&3'er $% s&+ens wih %ai#ing gra+es in he c#asses ha he) han+#e+, an+ n$ 'eing $*en $ s&ggesi$ns $ i3*r$ve he3se#ves as eachers, a3$ng $hers. Therea%er, Sr. Berna+ee =7e*ar3en C$$r+ina$r? en+$rse+ he i33e+iae er3inai$n $% he eaching services $% he s*$&ses. Res*$n+en s*$&ses were given an $**$r&ni) $ c$33en $n he #eer5rec$33en+ai$n. S&'se&en#) h$wever, he) receive+ heir res*ecive #eers $% er3inai$n. Th&s, s*$&ses %i#e+ a C$3*#ain %$r i##ega# +is3issa#. S. Pa&# c$nen+s ha i +i+ n$ eFen+ he c$nracs $% res*$n+en s*$&ses. A#h$&gh, i has sen #eers $ he s*$&ses in%$r3ing he3 ha he sch$$# is eFen+ing $ he3 new c$nracs %$r he c$3ing sch$$# )ear, he #eers +$ n$ c$nsi&e as ac&a# e3*#$)3en c$nracs '& 3ere#) $%%ers $ each $n he sai+ sch$$# )ear. Iss&es W:N res*$n+ens were c$nsi+ere+ reg&#ar e3*#$)ees

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W:N he) were i##ega##) +is3isse+ R&#ing =1? E3*#$)3en $n *r$'ai$nar) sa&s $% eaching *ers$nne# is ha he) are n$ g$verne+ *&re#) ') he La'$r C$+e. The La'$r C$+e is s&**#e3ene+ wih res*ec $ he *eri$+ $% *r$'ai$n ') s*ecia# r&#es %$&n+ in he Man&a# $% Reg&#ai$ns %$r Privae Sch$$#s. :n he 3aer $% *r$'ai$nar) *eri$+, Seci$n 9! $% hese reg&#ai$ns *r$vi+es Seci$n 9!.Pr$'ai$nar) Peri$+. ] S&'ec in a## insances $ c$3*#iance wih he 7e*ar3en an+ sch$$# re&ire3ens, he *r$'ai$nar) *eri$+ %$r aca+e3ic *ers$nne# sha## n$ 'e 3$re han hree =? c$nsec&ive )ears $% sais%ac$r) service %$r h$se in he e#e3enar) an+ sec$n+ar) #eve#s, siF =-? c$nsec&ive reg&#ar se3esers $% sais%ac$r) service %$r h$se in he eriar) #eve#, an+ nine =9? c$nsec&ive ri3esers $% sais%ac$r) service %$r h$se in he eriar) #eve# where c$##egiae c$&rses are $%%ere+ $n a ri3eser 'asis. A *r$'ai$nar) e3*#$)ee $r *r$'ai$ner is $ne wh$ is $n ria# %$r an e3*#$)er, +&ring which he #aer +eer3ines wheher $r n$ he is &a#i%ie+ %$r *er3anen e3*#$)3en. The *r$'ai$nar) e3*#$)3en is inen+e+ $ a%%$r+ he e3*#$)er an $**$r&ni) $ $'serve he %iness $% a *r$'ai$nar) e3*#$)ee whi#e a w$r<, an+ $ ascerain wheher he wi## 'ec$3e an e%%icien an+ *r$+&cive e3*#$)ee. Whi#e he e3*#$)er $'serves he %iness, *r$*rie) an+ e%%icienc) $% a *r$'ai$ner $ ascerain wheher he is &a#i%ie+ %$r *er3anen e3*#$)3en, he *r$'ai$ner, $n he $her han+, see*$n he eF*irai$n $% his c$nrac $% e3*#$)3en, 'eing si3*#) $n *r$'ai$n, he cann$ a&$3aica##) c#ai3 sec&ri) $% en&re an+ c$3*e# he e3*#$)er $ renew his e3*#$)3en c$nrac. =!? N$. Seci$n 91 $% he Man&a# $% Reg&#ai$ns %$r Privae Sch$$#s, saes ha Seci$n 91.E3*#$)3en C$nrac. ] Ever) c$nrac $% e3*#$)3en sha## s*eci%) he +esignai$n, &a#i%icai$n, sa#ar) rae, he *eri$+ an+ na&re $% service an+ is +ae $% e%%ecivi), an+ s&ch $her er3s an+ c$n+ii$n $% e3*#$)3en as 3a) 'e c$nsisen wih #aws an+ r&#es, reg&#ai$ns an+ san+ar+s $% he sch$$#. A c$*) $% he c$nrac sha## 'e %&rnishe+ he *ers$nne# c$ncerne+. I is i3*$ran ha he c$nrac $% *r$'ai$nar) e3*#$)3en s*eci%) he *eri$+ $r er3 $% is e%%ecivi). The %ai#&re $ si*&#ae is *recise +&rai$n c$&#+ #ea+ $ he in%erence ha he c$nrac is 'in+ing %$r he %&## hree5)ear *r$'ai$nar) *eri$+. There%$re, he #eers sen ') *eii$ner Sr. Berna+ee, which were v$i+ $% an) s*eci%ics cann$ 'e c$nsi+ere+ as c$nracs. The c#$ses he) can rese3'#e $ are ha $% in%$r3a# c$rres*$n+ence a3$ng he sai+ in+ivi+&a#s. As s&ch, *eii$ner sch$$# has he righ n$ $ renew he c$nracs $% he res*$n+ens, he $#+ $nes having 'een eF*ire+ a he en+ $% heir er3s. Ass&3ing, arg&en+$ , ha he e3*#$)3en c$nracs 'eween he sch$$# an+ he s*$&ses were renewe+, his C$&r %in+s ha here was a va#i+ an+ &s ca&se %$r heir +is3issa#. The La'$r C$+e c$33an+s ha 'e%$re an e3*#$)er 3a) #ega##) +is3iss an e3*#$)ee %r$3 he service, he re&ire3en $% s&'sania# an+ *r$ce+&ra# +&e *r$cess 3&s 'e c$3*#ie+ wih. >n+er he re&ire3en $% s&'sania# +&e *r$cess, he gr$&n+s %$r er3inai$n $% e3*#$)3en 3&s 'e 'ase+ $n &s $r a&h$ri4e+ ca&ses. :% he charges agains Re3igi$ Michae#, his s*$&se a#s$ share+ he sa3e +e%enses an+ a+3issi$ns as $ he charges agains her. The *#ain a+3issi$ns $% he charges agains he3 were he c$nsi+erai$ns a
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acs Peii$ner L)nvi# ishing Ener*rises, Inc. =L)nvi#? is engage+ in +ee*5sea %ishing. Res*$n+ens services were engage+ in vari$&s ca*aciies An+res G. Ari$#a, ca*ain 6essie 7. A#c$ven+as, chie% 3ae 6i33) B. Ca#ina$, chie% engineer Is3ae# G. N&'#a, c$$< E#$r+e Ba_e4, $i#er an+ Le$*$#+$ G. Se'&##en, '$+eger$. :n A&g. 1, 199, L)nvi# receive+ a re*$r %r$3 Ra3$ni$ C#ari+$, $ne $% is e3*#$)ees, ha $n 6&#) 1, 199, he winesse+ ha whi#e $n '$ar+ he c$3*an) vesse# Ana#)n 8III, res*$n+ens c$ns*ire+ wih $ne an$her an+ s$#e eigh &'s $% J*a3*an$K an+ Jangig&eK %ish an+ +e#ivere+ he3 $ an$her vesse#. Peii$ner %i#e+ a cri3ina# c$3*#ain agains res*$n+ens 'e%$re he $%%ice $% he Ci) Pr$sec&$r $% Ma#a'$n Ci) which %$&n+ *r$'a'#e ca&se %$r in+ic3en $% res*$n+ens %$r he cri3e $% &a#i%ie+ he%. Re#)ing $n he %in+ing an+ Nasi*i L&3'er C$3*an) v. NLRC, !2" Phi#. 9" =199?, L)nvi# assere+ here was s&%%icien 'asis %$r va#i+ er3inai$n $% e3*#$)3en $% res*$n+ens 'ase+ $n seri$&s 3isc$n+&c an+$r #$ss $% r&s an+ c$n%i+ence. Iss&es Wheher a %in+ing $% he ci) *r$sec&$r $% *r$'a'#e ca&se $ in+ic e3*#$)ees $% &a#i%ie+ he% is s&%%icien 'asis %$r va#i+ er3inai$n %$r seri$&s 3isc$n+&c an+$r #$ss $% r&s $r c$n%i+ence Wheher he e3*#$)ees were va#i+#) er3inae+ R&#ing :n he %irs iss&e, he S&*re3e C$&r r&#e+ in he negaive. We r&#e+ ha *r$$% 'e)$n+ reas$na'#e +$&' $% an e3*#$)ees 3isc$n+&c is n$ re&ire+ when #$ss $% c$n%i+ence is he gr$&n+ %$r +is3issa#. I is s&%%icien i% he e3*#$)er has Js$3e 'asisK $ #$se c$n%i+ence $r ha he e3*#$)er has reas$na'#e gr$&n+ $ 'e#ieve $r $ enerain he 3$ra# c$nvici$n ha he e3*#$)ee c$ncerne+ is res*$nsi'#e %$r he 3isc$n+&c an+ ha he na&re $% his *arici*ai$n herein ren+ere+ hi3 a's$#&e#) &nw$rh) $% he r&s an+ c$n%i+ence +e3an+e+ ') his *$sii$n. L)nvi# cann$ arg&e ha since he :%%ice $% he Pr$sec&$r %$&n+ *r$'a'#e ca&se %$r he% he La'$r Ar'ier 3&s %$##$w he %in+ing as a va#i+ reas$n %$r he er3inai$n $% res*$n+ens e3*#$)3en. The *r$$% re&ire+ %$r *&r*$ses ha +i%%er %r$3 $ne an+ he $her are #i
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In he c$neF $% he %acs ha =1? he res*$n+ens were +$ing as
acs :n 7ece3'er 1", 19-, *eii$ner 7.M. C$ns&ni, Inc. =7MCI?, a c$nsr&ci$n c$3*an), hire+ res*$n+en Ese#i$ L. 6a3in as a #a'$rer. S$3ei3e in 19"2, 6a3in 'eca3e a he#*er car*ener. Since his iniia# hiring, 6a3ins e3*#$)3en c$nrac ha+ 'een renewe+ a n&3'er $% i3es. :n March !(, 1999, his w$r< a 7MCI was er3inae+ +&e $ he c$3*#ei$n $% he SM Mani#a *r$ec. This er3inai$n 3arE Wheher here was vi$#ai$n $% sec&ri) $% en&re. R>LING 6a3in w$r
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7MCI ha+ re*eae+#), c$nin&$&s#) an+ s&ccessive#) engage+ 6a3ins services since he was hire+ $n 7ece3'er 1", 19- $r %$r a $a# $%  i3es ] 2 as sh$wn ') he sche+&#e $% *r$ecs s&'3ie+ ') 7MCI $ he #a'$r ar'ier an+ hree 3$re *r$ecs $r engage3ens a++e+ ') 6a3in, which he c#ai3e+ 7MCI ineni$na##) +i+ n$ inc#&+e in is sche+&#e s$ as $ 3a
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acs He#3& 7$sch, an A3erican cii4en, 3arrie+ $ a i#i*ina, was he resi+en Manager $% N$rhwes Air#ines, Inc. in he Phi#i**ines. He has $ his cre+i e#even =11? )ears $% c$nin&$&s service wih he c$3*an), inc#&+ing nine =9? )ears as N$rhwes Manager wih sai$n a Mani#a. He receive+ an iner5$%%ice c$33&nicai$n %r$3 R.C. 6en.S.A., e%%ecive i33e+iae#). 7$sch in his #eer, eF*resse+ a**reciai$n %$r he *r$3$i$n an+ a he sa3e i3e regree+ ha %$r *ers$na# reas$ns an+ reas$ns inv$#ving his %a3i#) , he is &na'#e $ acce* a rans%er %r$3 he Phi#i**ines an+ ha he w$&#+, here%$re, *re%er $ re3ain in his *$sii$n, $% Manager5Phi#i**ines &ni# s&ch i3e ha his services in ha ca*aci) are n$ #$nger re&ire+ ') he c$3*an). Peii$ner rie+ $ res&3e his +&ies as Manager a%er an a&h$ri4e+ vacai$n '& he 8ice5Presi+en %$r he :rien Regi$n $% N$rhwes a+vise+ *eii$ner ha in view $% his #eer, his sa&s as an e3*#$)ee $% he c$3*an) cease+ $n he c#$se $% '&siness an+ he c$3*an) here%$re c$nsi+ers his #eer $ 'e a resignai$n wih$& n$ice.

Iss&es 7$es he e3*#$)ers #eer c$nsi&e a rans%er as a va#i+ eFercise $% a 3anage3en *rer$gaive Ass&3ing arg&en+$ ha he c$33&nicai$n $r #eer $% Mr. 6en.S.A. I is n$ 3ere#) a rans%er $r+er a#$ne '& as he S$#ici$r Genera# c$rrec#) $'serves, i is 3$re in he na&re $% a *r$3$i$n ha a rans%er, he #aer 'eing 3ere#) inci+ena# $ s&ch *r$3$i$n. The iner5$%%ice c$33&nicai$n $% 8ice Presi+en 6en

whaever 3isse*s 3a) 'e c$33ie+ ') #a'$r $&gh n$ $ 'e visie+ wih a c$nse&ence s$ severe. I is n$ $n#) 'eca&se $% he #aws c$ncern %$r he w$rne3*#$)3en 'rings &n$#+ har+shi*s an+ s$rr$ws $n h$se +e*en+en $n he wage5earner. The 3iser) an+ *ain aen+an $n he #$ss $% $'s hen c$&#+ 'e av$i+e+ i% here 'e acce*ance $% he view ha &n+er a## he circ&3sances $% his case, *eii$ners sh$&#+ n$ 'e +e*rive+ $% heir 3eans $% #ive#ih$$+. N$r is his $ c$n+$ne wha ha+ 'een +$ne ') he3. $r a## his $ c$n+$ne wha ha+ 'een +$ne ') he3. $r a## his whi#e, since *rivae res*$n+en c$nsi+ere+ he3 se*arae+ %r$3 he service, he) ha+ n$ 'een *ai+. $r he sric#) &ri+ica# san+*$in, i cann$ 'e $$ sr$ng#) sresse+, $ %$##$w 7avis in his 3aser#) w$r<, 7iscrei$nar) 6&sice , ha where a +ecisi$n 3a) 'e 3a+e $ res $n in%$r3e+ &+g3en raher han rigi+ r&#es, a## he e&iies $% he case 3&s 'e acc$r+e+ heir +&e weigh. ina##), #a'$r #aw +eer3inai$ns, $ &$e %r$3 B&#3ann, sh$&#+ 'e n$ $n#) sec&n+&3 rai$ne3 '& a#s$ sec&n+&3 cariae3. =This eFcer* was cie+ in A#3ira vs. B.. G$$+rich Phi#i**ines, Inc., 2 SCRA 1!(, 11.?

acs The *eii$ner is a +$3esic c$r*$rai$n engage+ in he '&siness $% *r$vi+ing e#egra*h an+ c$33&nicai$n services hr& is 'ranches a## $ver he c$&nr). I e3*#$)e+ vari$&s e3*#$)ees, a3$ng wh$3 were herein *rivae res*$n+ens. S$3ei3e in 199", a%er c$n+&cing a series $% s&+ies regar+ing he *r$%ia'i#i) $% is reai# $*erai$ns, is eFising 'ranches an+ he n&3'er $% e3*#$)ees, he *eii$ner ca3e &* wih a Re#$cai$n an+ Resr&c&ring Pr$gra3 +esigne+ $ =a? s&sain is =PT;Ts? reai# $*erai$ns ='? +ec$nges s&r*#&s w$r<%$rce in s$3e 'ranches, $ *r$3$e e%%icienc) an+ *r$+&civi) =c? #$wer eF*enses inci+ena# $ hiring an+ raining new *ers$nne# an+ =+? av$i+ rerench3en $% e3*#$)ees $cc&*)ing re+&n+an *$sii$ns. :n A&g&s 11, 199", *rivae res*$n+ens receive+ se*arae #eers %r$3 he *eii$ner, giving he3 he $*i$n $ ch$$se he 'ranch $ which he) c$&#+ 'e rans%erre+. Therea%er, he *rivae res*$n+ens an+ $her *eii$ners e3*#$)ees were +irece+ $ Jre#$caeK $ heir new PT;T Branches. The a%%ece+ e3*#$)ees were +irece+ $ re*$r $ heir res*ecive re#$cai$n assign3ens in a Leer +ae+ Se*e3'er 1-, 199". The *eii$ner $%%ere+ 'ene%isa##$wances $ h$se e3*#$)ees wh$ w$&#+ agree $ 'e rans%erre+ &n+er is new *r$gra3. The *rivae res*$n+ens reece+ he *eii$ners $%%er. Their 3ain c$ncern is he *r$Fi3i) $% heir rans%er ha i w$&#+ 'e '&r+ens$3e %$r he3 $ #eave heir %a3i#ies an+ re#$cae $ h$se areas. 7issais%ie+ wih his eF*#anai$n, he *eii$ner c$nsi+ere+ he *rivae res*$n+ens re%&sa# as ins&'$r+inai$n an+ wi##%&# +is$'e+ience $ a #aw%&# $r+er hence, he *rivae res*$n+ens were +is3isse+ %r$3 w$r<. The) %$rhwih %i#e+ heir res*ecive c$3*#ains agains he *eii$ner 'e%$re he a**r$*riae s&'5regi$na# 'ranches $% he NLRC. S&'se&en#), he *rivae res*$n+ens 'argaining agen, PT;T W$rni$n5NAL>5M>, %i#e+ a c$3*#ain agains he *eii$ner %$r i##ega# +is3issa# an+ &n%air #a'$r *racice 'e%$re he ar'irai$n 'ranch $% he NLRC. In heir *$sii$n *a*er, he c$3*#ainans =herein *rivae res*$n+ens? +ec#are+ ha heir re%&sa# $ rans%er c$&#+ n$ *$ssi'#) give rise $ a va#i+ +is3issa# $n he gr$&n+ $% wi##%&# +is$'e+ience, as heir rans%er was *re&+icia# an+ inc$nvenien h&s &nreas$na'#e. $r is *ar, he *eii$ner =res*$n+en herein? a##ege+ ha he *rivae res*$n+ens rans%ers were 3a+e in he #aw%&# eFercise $% is 3anage3en *rer$gaive an+ were +$ne in g$$+ %aih. The rans%ers were ai3e+ a +ec$ngesing s&r*#&s e3*#$)ees an+ +eai#ing he3 $ a 3$re +e3an+ing 'ranch. Iss&e W:N he rans%er was ana3$&n $ a *r$3$i$n. An+ i% i is, W:N *rivae res*$n+ens c$33ie+ ins&'$r+inai$n in re%&sing s&ch *r$3$i$nrans%er which w$&#+ hen &si%) PT;Ts ac $% +is3issing he3 in eFercise $% 3anage3en *rer$gaive. R&#ing The *eii$n is +enie+ +&e c$&rse. @ES, he rans%er was in+ee+ in a na&re $% a *r$3$i$n. Hence, here can 'e n$ ins&'$r+inai$n in re%&sing s&ch *r$3$i$n an+ s&'se&en#), here can 'e n$ va#i+ &si%icai$n in +is3issing he *rivae res*$n+ens. In is *$sii$n wih he #a'$r ar'ier, he *eii$ner a+vere+ ha when he *rivae res*$n+ens were rans%erre+, he) were a#s$ *r$3$e+, h&s C#ear#), he rans%er $% he c$3*#ainans is n$ &nreas$na'#e n$r +$es i inv$#ve +e3$i$n in ran<. The) are 'eing 3$ve+ $ 'ranches where he c$3*#ainans wi## %&nci$n wih 3aFi3&3 'ene%i $ he c$3*an) an+ he) were in %ac *r$3$e+ n$ +e3$e+ %r$3 a #$wer $'5gra+e $ a higher $'5gra+e an+ receive even higher sa#aries han 'e%$re. Th&s, rans%er $% he c$3*#ainans w$&#+ n$ a#s$ res&# in +i3in&i$n in *a) 'ene%i an+ *rivi#ege since he sa#aries $% he c$3*#ainan w$&#+ 'e receiving a 'igger sa#ar) i% n$ he sa3e sa#ar) *#&s a++ii$na# s*ecia# re#$cai$n

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*ac
acs :n A*ri# !2, 1999, he B$ar+ $% 7irec$rs $% he R&ra# Ban< $% L&c'an, Inc., iss&e+ B$ar+ Res$#&i$n N$s. 9952! an+ 9952, which rea+ JB$ar+ Res. N$. 9952! JVRES:L8E7 AS IT IS HEREB@ RES:L8E7 ha in #ine wih he *$#ic) $% he 'an< $ %a3i#iari4e 'an< e3*#$)ees wih he vari$&s *hases $% 'an< $*erai$ns an+ %&rher srenghen he eFising inerna# c$nr$# s)se3/,0 a## $%%icers an+ e3*#$)ees are s&'ec $ resh&%%#e $% assign3ens. M$re$ver, his res$#&i$n +$es n$ *rec#&+e he rans%er $% assign3en $% 'an< $%%icers an+ e3*#$)ees %r$3 he 'ranch $%%ice $ he hea+ $%%ice an+ vice5versa.K Peii$ner E#3er Men+$4a eF*resse+ his $*ini$n $n he resh&%%#e in an &n+ae+ #eer a++resse+ $ 7a)a, 'an< '$ar+ chair3an, ha he resh&%%#ing +ee3e+ $ 'e a +e3$i$n wih$& an) #ega# 'asis an+ is a '#aan harass3en $n %r$3 he e3*#$)er as a *re#&+e *eii$ners er3inai$n in +&e i3e. Tha i res&#e+ $ &n%air #a'$r *racice. 7a)a re*#ie+ ha i was never he ineni$n =$% 3anage3en? $ +$wngra+e *eii$ners *$sii$n, an+ ha he resh&%%#e wi## a#s$ a%%$r+ 3anage3en an e%%ecive $$# in *r$vi+ing he 'an< a s$&n+ inerna# c$nr$# s)se3chec< an+ 'a#ance an+ a 'asis in eva#&aing he *er%$r3ance $% each e3*#$)ee. Peii$ner avai#e+ ( +a)s in $a# #eave $% a'sence an+ $n 6&ne !, 1999 *eii$ner %i#e+ a C$3*#ain %$r i##ega# +is3issa#, &n+er*a)3en, se*arai$n *a) an+ +a3ages agains he R&ra# Ban< $% L&c'an an+$r is *resi+en, A#e$ B. 7a)a an+ is Ta)a'as 'ranch 3anager, Bricci$ 8. Ca+a. Iss&e Page 66


Wheher $r n$ he resh&%%#ing $r rans%er is +ee3e+ $ 'e a +e3$i$n $n *eii$ners *$sii$n. R&#ing Manage3en Prer$gaive $ Trans%er E3*#$)ees. 6&ris*r&+ence rec$gni4es he eFercise $% 3anage3en *rer$gaives. $r his reas$n, c$&rs

$%en +ec#ine $ iner%ere in #egii3ae '&siness +ecisi$ns $% e3*#$)ers. In+ee+, #a'$r #aws +isc$&rage iner%erence in e3*#$)ers &+g3ens c$ncerning he c$n+&c $% heir '&siness. The #aw 3&s *r$ec n$ $n#) he we#%are $% e3*#$)ees, '& a#s$ he righ $% e3*#$)ers. In he *&rs&i $% is #egii3ae '&siness ineres, 3anage3en has he *rer$gaive $ rans%er $r assign e3*#$)ees %r$3 $ne $%%ice $r area $% $*erai$n $ an$her 55 *r$vi+e+ here is n$ +e3$i$n in ran< $r +i3in&i$n $% sa#ar), 'ene%is, an+ $her *rivi#eges an+ he aci$n is n$ 3$ivae+ ') +iscri3inai$n, 3a+e in 'a+ %aih, $r e%%ece+ as a %$r3 $% *&nish3en $r +e3$i$n wih$& s&%%icien ca&se. This *rivi#ege is inheren in he righ $% e3*#$)ers $ c$nr$# an+ 3anage heir ener*rise e%%ecive#). The righ $% e3*#$)ees $ sec&ri) $% en&re +$es n$ give he3 vese+ righs $ heir *$sii$ns $ he eFen $% +e*riving 3anage3en $% is *rer$gaive $ c hange heir assign3ens $r $ rans%er he3. Peii$ners Trans%er Law%&#. Peii$ners rans%er was 3a+e in *&rs&i $% res*$n+ens *$#ic) $ J%a3i#iari4e 'an< e3*#$)ees wih he vari$&s

*hases $% 'an< $*erai$ns an+ %&rher srenghen he eFising inerna# c$nr$# s)se3K $% a## $%%icers an+ e3*#$)ees. We have *revi$&s#) he#+ ha e3*#$)ees 3a) 'e rans%erre+ 55 'ase+ $n heir &a#i%icai$ns, a*i&+es an+ c$3*eencies 55 $ *$sii$ns in which he) can %&nci$n wih 3aFi3&3 'ene%i $ he c$3*an). There a**ears n$ &si%icai$n %$r +en)ing an e3*#$)er he righ $ rans%er e3*#$)ees $ eF*an+ heir c$3*eence an+ 3aFi3i4e heir %&## *$enia# %$r he a+vance3en $% he esa'#ish3en. Peii$ner was n$ sing#e+ $& $her e3*#$)ees were a#s$ reassigne+ wih$& heir eF*ress c$nsen. Neiher was here an) +e3$i$n in he ran< $% *eii$ner $r an) +i3in&i$n $% his sa#ar), *rivi#eges an+ $her 'ene%is. This %ac is c#ear in res*$n+ens B$ar+ Res$#&i$ns, he A*ri# (, 1999 #eer $% Ban< Presi+en 7a)a $ Branch Manager Ca+a, an+ he Ma) 1(, 1999 #eer $% 7a)a $ *eii$ner.

acs Peii$ner Tecs$n was hire+ ') res*$n+en G#aF$ We##c$3e Phi#s. as 3e+ica# re*resenaive. Tecs$n signe+ a c$nrac $% e3*#$)3en, which si*&#aes a3$ng $hers, ha he agrees $ +isc#$se eFising $r %&&re re#ai$nshi* wih c$5e3*#$)ees an+ e3*#$)ees $% c$3*eing c$3*anies ha sh$&#+ s&ch re#ai$nshi* *$ses a c$n%#ic $% ineres, $ resign %r$3 he c$3*an). 7es*ie re*eae+ warnings, Tecs$n an+ Bes), an e3*#$)ee $% a c$3*eing c$3*an), g$ 3arrie+. G#aF$ rans%erre+ Tecs$n $ B&&an, '& he +e%ie+ s&ch $r+ers an+ c$nin&e+ acing as 3e+ica# re*resenaive in Ca3arines area. The Nai$na# C$nci#iai$n an+ Me+iai$n '$ar+ ren+ere+ as va#i+ he *$#ic) an+ he righ $ rans%er. Iss&e Wheher $r n$ he *$#ic) c$nsi&es a *r$hi'ii$n agains 3arriage. R&#ing N$. G#aF$s *$#ic) *r$hi'iing an e3*#$)ee %r$3 having a re#ai$nshi* is a va#i+ eFercise $% 3anage3en *rer$gaives as re#ai$nshi*s $% ha na&re 3igh c$3*r$3ise he ineress $% he c$3*an). G#aF$ has a righ $ g&ar+ is ra+e secres, 3an&%ac&ring %$r3&#as, 3ar
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Peii$ner N$r*$n re&rning $ Naga Ci), h$wever, *rivae res*$n+en #earne+ ha he 3anage3en insr&ce+ $ +en) her enr) $ he 'ranch *re3ises an+ access $ c$3*an) rec$r+s. She was $r+ere+ $ re*$r 'ac< $ he 3ain $%%ice an+ $ eF*#ain wh) n$ +isci*#inar) aci$n sh$&#+ 'e a
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acs Peii$ner Phi#i**ine L$ng 7isance Te#e*h$ne C$3*an), Inc. =PL7T? has !" EFchanges in is Greaer Mer$ Mani#a =GMM? New$r<. A#%re+$ S. Pag&i$ was he Hea+ $% he Garne EFchange wh$ sen a #eer $ his i33e+iae s&*ervis$r an+ Ass. 8P criici4ing he PL7T crieria %$r *er%$r3ance raing as &n%air 'eca&se he) +e*en+e+ $n 3an*$wer a%er receiving is a**raisa# raing. He a#s$ s&ggese+ ha he crieria %ai#e+ $ rec$gni4e ha eFchanges wih new *#ans c$&#+ easi#) 3ee he $'ecives $% GMM c$3*are+ $ h$se wih $#+ *#ans. 7es*ie Pag&i$s criicis3, Garne EFchange, he $#+es *#an in GMM, $'aine+ he $* raing in he GMM. Neverhe#ess, Pag&i$ reierae+ his #eer $ San$s an+ $'ece+ $ he *er%$r3ance raing as i was 'ase+ $n#) $n he aain3en $% $'ecives, wih$& c$nsi+ering $her re#evan %ac$rs. Tw$ )ears #aer $n 6&ne 199-, PL7T re'a#ance+ he 3an*$wer $% he Eas Cener. Pag&i$ wr$e San$s an+ re&ese+ rec$nsi+erai$n $% he 3an*$wer re'a#ancing, c#ai3ing i was &n%air $ Garne EFchange 'eca&se as he $#+es eFchange in he Eas Cener, i was +isa##$we+ $ &se c$nrac$rs %$r new insa##ai$ns an+ was n$ 3a+e 'ene%iciar) $% he c&5$ver '$n&s. He was hen was reassigne+ as Hea+ %$r S*ecia# Assign3en a he :%%ice $% he GMM Eas Cener an+ as
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acs Acc$r+ing $ he res*$n+ens, Si3'$# an+ C$3ia a##ege ha he) +i+ n$ resign v$#&nari#) he) were c$3*e##e+ $ resign in view $% an i##ega# c$3*an) *$#ic). As $ res*$n+en Esre##a, she a##eges ha she ha+ a re#ai$nshi* wih c$5w$r
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Peii$ners s$#e c$neni$n ha Jhe c$3*an) +i+ n$ &s wan $ have w$ =!? $r 3$re $% is e3*#$)ees re#ae+ 'eween he hir+ +egree ') a%%ini) an+$r c$nsang&ini)K is #a3e. Tha he sec$n+ *aragra*h was 3ean $ give eeh $ he %irs *aragra*h $% he &esi$ne+ r&#e is evi+en#) n$ he va#i+ reas$na'#e '&siness necessi) re&ire+ ') he #aw. I is signi%ican $ n$e ha in he case a 'ar, res*$n+ens were hire+ a%er he) were %$&n+ %i %$r he $', '& were as
acs Rivera sare+ w$rn+eran+era*$n #earning his, S$#i+'an< wr$e a #eer +ae+ Ma) 1, 1992, in%$r3ing Rivera ha he ha+ vi$#ae+ he >n+eran+eran+eran+era
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wih %&## awareness $% wha he was +$ing an+ enere+ in$ an+ carrie+ $& in g$$+ %aih. S&ch a c$nrac wi## n$ 'e +iscar+e+ even i% here was a 3isan+enia'#), *eii$ner reire+ &n+er he SRP an+ receive+ P9-,-19.! %r$3 res*$n+en. H$wever, *eii$ner is n$ *r$scri'e+, ') waiver $r es$**e#, %r$3 assai#ing he *$s5reire3en c$3*eiive e3*#$)3en 'an since &n+er Aric#e 1(9 $% he New Civi# C$+e, h$se c$nracs wh$se ca&se, $'ec $r *&r*$se is c$nrar) $ #aw, 3$ra#s, g$$+ c&s$3s, *&'#ic $r+er $r *&'#ic *$#ic) are ineFisen $r v$i+ %r$3 he 'eginning. Es$**e# cann$ give va#i+i) $ an ac ha is *r$hi'ie+ ') #aw $r $ne ha is agains *&'#ic *$#ic). Res*$n+en, as e3*#$)er, is '&r+ene+ $ esa'#ish ha a resricive c$venan 'arring an e3*#$)ee %r$3 acce*ing a c$3*eiive e3*#$)3en a%er reire3en $r resignai$n is n$ an &nreas$na'#e $r $**ressive, $r in &n+&e $r &nreas$na'#e resrain $% ra+e, h&s, &nen%$rcea'#e %$r 'eing re*&gnan $ *&'#ic *$#ic). C$&rs sh$&#+ care%&##) scr&ini4e a## c$nracs #i3iing a 3ans na&ra# righ $ %$##$w an) ra+e $r *r$%essi$n an)where he *#eases an+ in an) #aw%&# 3anner. B& i is &s as i3*$ran $ *r$ec he en$)3en $% an esa'#ish3en in ra+e $r *r$%essi$n, which is e3*#$)er has '&i# &* ') his $wn h$nes a**#icai$n $ ever) +a) +&) an+ he %aih%&# *er%$r3ance $% he as
acs P#ain&3 P#ans Phi#i**ines, Inc. is a +$3esic c$r*$rai$n engage+ in he *re5nee+ in+&sr). r$3 19" $ 199, *eii$ner 7ais) B. Ti& was is 7ivisi$n Mar
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Ti& c$&nere+ ha he n$n5inv$#ve3en c#a&se was &nen%$rcea'#e %$r 'eing agains *&'#ic $r+er $r *&'#ic *$#ic) irs, he resrain i3*$se+ was 3&ch greaer han wha was necessar) $ a%%$r+ res*$n+en a %air an+ reas$na'#e *r$eci$n. Peii$ner c$nen+e+ ha he rans%er $ a riva# c$3*an) was an acce*e+ *racice in he *re5nee+ in+&sr). C$&r $% A**ea#s an+ ria# c$&r r&#e+ agains Ti&. I reas$ne+ ha *eii$ner enere+ in$ he c$nrac $n her $wn wi## an+ v$#ii$n. Th&s, she '$&n+ herse#% $ %&#%i## n$ $n#) wha was eF*ress#) si*&#ae+ in he c$nrac, '& a#s$ a## is c$nse&ences ha were n$ agains g$$+ %aih, &sage, an+ #aw. The a**e##ae c$&r a#s$ r&#e+ ha he si*&#ai$n *r$hi'iing n$n5e3*#$)3en %$r w$ )ears was va#i+ an+ en%$rcea'#e c$nsi+ering he na&re $% res*$n+ens '&siness. Iss&e W:N he n$n5inv$#ve3en c#a&se is va#i+. R&#ing The *eii$n is 7ENIE7 %$r #ac< $% 3eri. S&*re3e C$&r he#+ ha sai+ ha s&ch c#a&se was &nreas$na'#e resrain $% ra+e an+ here%$re agains *&'#ic *$#ic). H$wever, a n$n5 inv$#ve3en c#a&se is n$ necessari#) v$i+ %$r 'eing in resrain $% ra+e as #$ng as here are reas$na'#e #i3iai$ns as $ i3e, ra+e, an+ *#ace. Neverhe#ess, in his case, he n$n5inv$#ve3en c#a&se has a i3e #i3i w$ )ears %r$3 he i3e *eii$ners e3*#$)3en wih res*$n+en en+s. I is a#s$ #i3ie+ as $ ra+e, since i $n#) *r$hi'is *eii$ner %r$3 engaging in an) *re5nee+ '&siness a
acs Peii$ner C$nsancia P. 7&#+&#a$ was hire+ ') res*$n+en Bag&i$ C$##eges $&n+ai$n =BC? as secrear)c#er<5)*is an+ assigne+ $ he C$##ege $% Law s$3ei3e in 6&ne $% 19". In A&g&s 199-, a cerain #aw s&+en %i#e+ a c$3*#ain agains *eii$ner %$r a##ege+ irreg&#ariies in he *er%$r3ance $% her w$r<. Peii$ner was $#+ $ s&'3i her answer $ he c$3*#ain an+ given severa# eFensi$ns wihin which $ +$ s$. 7es*ie he eFensi$ns, she %ai#e+ $ s&'3i her answer. :n 1 :c$'er 199-, 7ean H$n$ra$ 8. A&in$ $% he C$##ege $% Law in%$r3e+ res*$n+ens Presi+en, A). E+i#'er$ B. Tene%rancia, $% *eii$ners %ai#&re $ %i#e her answer an+ rec$33en+e+ he assign3en $% *eii$ner $&si+e he C$##ege $% Law, n$ $n#) 'eca&se $% s&ch %ai#&re $ answer '& a#s$ her having a+3ie+ %raerni4ing wih s&+ens $% he C$##ege. :n he sa3e +a), res*$n+ens 8ice Presi+en %$r A+3inisrai$n, Le$nar+$ S. +e#a Cr&4, iss&e+ a 7e*ar3en :r+er $ Mrs. 7&#+&#a$ in%$r3ing her $% her rans%er $ he :%%ice $% he Princi*a#s $% he High Sch$$# an+ E#e3enar) 7e*ar3ens. :n !1 6an&ar) 199", he A+3inisraive Invesigaing C$33iee %$&n+ he 7e*ar3en :r+er a**r$*riae since i was inen+e+ $ *reven he c$nr$vers) 'eween *eii$ner an+ he

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c$3*#aining s&+en %r$3 a+verse#) a%%ecing a har3$ni$&s re#ai$nshi* wihin he C$##ege $% Law a3$ng a## is c$nsi&ens. :n 1" e'r&ar) 199", *eii$ner %i#e+ a c$3*#ain %$r c$nsr&cive +is3issa# wih *ra)er %$r 3$ra# an+ eFe3*#ar) +a3ages an+ a$rne)s %ees 'e%$re he NLRC Regi$na# Ar'irai$n Branch5C$r+i##era A+3inisraive Regi$n. She sae+ ha asi+e %r$3 'eing aine+ wih *r$ce+&ra# #a*ses in vi$#ai$n $% her righ $ +&e *r$cess, he rans%er a#s$ a3$&ne+ $ her +e3$i$n in ran<. The NLRC +is3isse+ he c$3*#ain %$r #ac< $% 3eri which +ecisi$n was a%%ir3e+ ') he C$&r $% A**ea#s. Iss&e Wheher *eii$ners rans%er as secrear)c#er<5)*is %r$3 he C$##ege $% Law $ he High Sch$$# an+ E#e3enar) 7e*ar3ens a3$&ns $ c$nsr&cive +is3issa#. R&#ing There was n$ c$nsr&cive +is3issa#. There is c$nsr&cive +is3issa# i% an ac $% c#ear +iscri3inai$n, insensi'i#i), $r +is+ain ') an e3*#$)er 'ec$3es s$ &n'eara'#e $n he *ar $% he e3*#$)ee ha i w$&#+ %$rec#$se an) ch$ice ') hi3 eFce* $ %$reg$ his c$nin&e+ e3*#$)3en. I eFiss where here is cessai$n $% w$r< 'eca&se c$nin&e+ e3*#$)3en is ren+ere+ i3*$ssi'#e, &nreas$na'#e $r &n#i
8icene S. A#3ari$ =A#3ari$?, was hire+ ') res*$n+en, Phi#i**ine Air#ines, Inc. =PAL?, as a B$eing "" S)se3s Engineer. He s&ccess%&##) 'i+ %$r he higher *$sii$n $% Air'&s (( =A5((? irs :%%icer. Since sai+ higher *$sii$n re&ire+ a++ii$na# raining, he &n+erwen, a PALs eF*ense, 3$re han %ive 3$nhs $% raining c$nsising $% gr$&n+ sch$$#ing in Mani#a an+ %#igh si3&#ai$n in Me#'$&rne, A&sra#ia. A%er c$3*#eing he raining c$&rse, A#3ari$ serve+ as A5(( irs :%%icer $% PAL, '& a%er eigh 3$nhs $% service, he en+ere+ his resignai$n, %$r J*ers$na# reas$ns.K PAL sen A#3ari$ a #eer in%$r3ing ha his *r$*$se+ resignai$n wi## 3a
W:N A#3ari$ sh$&#+ rei3'&rse he raining c$s. @es. PAL invese+ %$r he raining $% A#3ari$ $ ena'#e hi3 $ ac&ire a higher #eve# $% s
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Ar. !!. Ever) *ers$n wh$ hr$&gh an ac $% *er%$r3ance ') an$her, $r an) $her 3eans, ac&ires $r c$3es in$ *$ssessi$n $% s $3ehing a he eF*ense $% he #aer wih$& &s $r #ega# gr$&n+, sha## re&rn he sa3e $ hi3,

acs :n ! :c$'er 19(, San Mig&e# C$r*$rai$n =*eii$ner? e3*#$)e+ Ange# C. P$ni##as =res*$n+en? as a +ai#) wage c$3*an) g&ar+. In 19 res*$n+en 'eca3e a 3$nh#)5*ai+ e3*#$)ee which eni#e+ hi3 $ )ear#) increases in sa#ar). Res*$n+en a##ege+ ha his )ear#) sa#ar) increases were $n#) a *ercenage $% wha he $her sec&ri) g&ar+s receive+. :n 19 :c$'er 199, res*$n+en %i#e+ an aci$n %$r rec$ver) $% +a3ages +&e $ +iscri3inai$n &n+er Aric#e 1((  $% he La'$r C$+e, as we## as %$r rec$ver) $% sa#ar) +i%%erenia# an+ 'ac
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'& he re%&se+ $ receive he n$ices $n he *reeF ha he was war) 'eca&se $% his *en+ing case agains *eii$ner. REINSTATE 7ecisi$n $% he La'$r Ar'ier.

acs Peii$ners are e3*#$)ees $% Tr)c$ Phar3ace&ica#s C$r*$rai$n, 3a
Was here c$nsr&cive +is3issa# +&e $ he rans%er $% he *eii$ners %r$3 Ca#$$can Ci) $ San Ra%ae# B&#acan R&#ing

The *eii$n has n$ 3eri. in+ings $% %ac $% #a'$r $%%icia#s, wh$ are +ee3e+ $ have ac&ire+ eF*erise in 3aers wihin heir res*ecive &ris+ici$n, are genera##) acc$r+e+ n$ $n#) res*ec '& even %ina#i), an+ 'in+ &s when s&**$re+ ') s&'sania# evi+ence.This is *aric&#ar#) r&e when he %in+ings $% he La'$r Ar'ier, he NLRC an+ he CA are in a's$#&e agree3en. In his case, he La'$r Ar'ier, he NLRC, an+ he CA &ni%$r3#) agree+ ha he *eii$ners were n$ c$nsr&cive#) +is3isse+. Tr)c$s +ecisi$n $ rans%er is *r$+&ci$n aciviies $ San Ra%ae#, B&#acan, regar+#ess $% wheher i was 3a+e *&rs&an $ he #eer $% he B&rea& $% Ani3a# In+&sr), was wihin he sc$*e $% is inheren righ $ c$nr$# an+ 3anage is ener*rise e%%ecive#). Whi#e he #aw is s$#ici$&s $% he we#%are $% e3*#$)ees, i 3&s a#s$ *r$ec he righ $% an e3*#$)er $ eFercise wha are c#ear#) 3anage3en *rer$gaives. The %ree wi## $% 3anage3en $ c$n+&c is $wn '&siness a%%airs $ achieve is *&r*$se cann$ 'e +enie+. This *rer$gaive eFen+s $ he 3anage3ens righ $ reg&#ae, acc$r+ing $ is $wn +iscrei$n an+ &+g3en, a## as*ecs $% e3*#$)3en, inc#&+ing he %ree+$3 $ rans%er an+ reassign e3*#$)ees acc$r+ing $ he re&ire3ens $% is '&siness.Manage3ens *rer$gaive $% rans%erring an+ reassigning e3*#$)ees %r$3 $ne area $% $*erai$n $ an$her in $r+er $ 3ee he re&ire3ens $% he '&siness is, here%$re, genera##) n$ c$nsi&ive $% c$nsr&cive +is3issa#. Th&s, he c$nse&en rans%er $% Tr)c$s *ers$nne#, assigne+ $ he Pr$+&ci$n 7e*ar3en was we## wihin he sc$*e $% is 3anage3en *rer$gaive. When he rans%er is n$ &nreas$na'#e, $r inc$nvenien, $r *re&+icia# $ he e3*#$)ee, an+ i +$es n$ inv$#ve a +e3$i$n in ran< $r +i3in&i$n $% sa#aries, 'ene%is, an+ $her *rivi#eges, he e3*#$)ee 3a) n$ c$3*#ain ha i a3$&ns $ a c$nsr&cive +is3issa#. H$wever, he e3*#$)er has he '&r+en $% *r$ving ha he rans%er $% an e3*#$)ee is %$r va#i+ an+ #egii3ae gr$&n+s. The e3*#$)er 3&s sh$w ha he rans%er is n$ &nreas$na'#e, inc$nvenien, $r *re&+icia# $ he e3*#$)ee n$r +$es i inv$#ve a +e3$i$n in ran< $r a +i3in&i$n $% his sa#aries, *rivi#eges an+ $her 'ene%is. In+is*&a'#), in he insan case, he rans%er $r+ers +$ n$ enai# a +e3$i$n in ran< $r +i3in&i$n $% sa#aries, 'ene%is an+ $her *rivi#eges $% he *eii$ners. Peii$ners, here%$re, anch$r heir $'eci$n s$#e#) $n he gr$&n+ ha i w$&#+ ca&se he3 grea inc$nvenience since he) are a## resi+ens $% Mer$ Mani#a an+ he) w$&#+ inc&r a++ii$na# eF*enses $ rave# +ai#) %r$3 Mani#a $ B&#acan.

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The C$&r has *revi$&s#) +ec#are+ ha 3ere inci+ena# inc$nvenience is n$ s&%%icien $ warran a c#ai3 $% c$nsr&cive +is3issa#. :'eci$n $ a rans%er ha is gr$&n+e+ s$#e#) &*$n he *ers$na# inc$nvenience $r har+shi* ha wi## 'e ca&se+ $ he e3*#$)ee ') reas$n $% he rans%er is n$ a va#i+ reas$n $ +is$'e) an $r+er $% rans%er. Hence *eii$n was +enie+ %$r #ac< $% 3eri.

C$ca5C$#a hire+ res*$n+en Ange# >. +e# 8i##ar =7e# 8i##ar? $n Ma) 1, 199( as Ph)sica# 7isri'&i$n #ee Manager wih a $' gra+e $% S5" an+ 3$nh#) sa#ar) $% P2(,(((.((, asi+e %r$3 he &se $% a c$3*an) car, gas$#ine a##$wance, an+ ann&a# %$reign rave#, a3$ng $her 'ene%is. In 199!, as *ar $% he re$rgani4ai$n $% he C$3*an), 7e# 8i##ar 'eca3e he Trans*$rai$n Services Manager, &n+er he B&siness L$gisic 7irec$rae, hea+e+ ') 7irec$r E+gar+$ I. San 6&an =San 6&an?. As Trans*$rai$n Services Manager, 7e# 8i##ar *re*ares he '&+ge %$r he vehic#es $% he C$3*an) nai$nwi+e. 7e# 8i##ar s&'3ie+ a Re*$r $ he C$3*an) Presi+en, +eai#ing an a##ege+ %ra&+&#en sche3e &n+erana'#e $ en+&re an) %&rher he harass3en, 7e# 8i##ar %i#e+ wih he Ar'irai$n Branch $% he NLRC $n N$ve3'er 11, 199- a c$3*#ain agains he C$3*an) %$r i##ega# +e3$i$n an+ %$r%ei&re $% c$3*an) *rivi#eges. Acc$r+ing $ C$ca5C$#a /7e# 8i##ar0 was n$ $&righ#) +is3isse+ insea+, he was re3$ve+ %r$3 his %$r3er *$sii$n as Trans*$rai$n Services Manager, an+ +e3$e+ $ Sa%% Assisan $ he C$r*$rae P&rchasing an+ Maeria#s C$nr$# Manager. The C$3*an) e3'ar
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is, we +$ n$ even see an) +isc#$s&re $% he sca3 an+ his a##ege+ +e3$i$n. I% in+ee+ he s$5ca##e+ grea gran+3$her $% C$ca c$#a sca3s $% 199- were r&e, he #$gica# c$nse&ence $% s&ch +isc#$s&re is %$r he *resi+en $% he c$3*an) $ +is3iss he erring e3*#$)ees an+ $%%icers %$r heir high#) irreg&#ar acs an+ n$ $ *ena#i4e /7e# 8i##ar0 %$r 3a

i3*$ran *$sii$n c$nsi&ing a re+&ci$n $ a #$wer gra+e $r ran<, wih a c$rres*$n+ing +ecrease in +&ies an+ res*$nsi'i#iies, an+ &s&a##) acc$3*anie+ ') a +ecrease in sa#ar). 7e# 8i##ars +e3$i$n is rea+i#) a**aren in his new +esignai$n. $r3er#), he was he Trans*$rai$n Services Manager hen he was 3a+e a Sa%% Assisan a s&'$r+inae $ an$her 3anager, *aric&#ar#), he C$r*$rae P&rchasing an+ Maeria#s C$nr$# Manager. Sec$n+, he w$ *$ss are n$ $% he sa3e weigh in er3s $% +&ies an+ res*$nsi'i#iies. 7e# 8i##ars *$sii$n as Trans*$rai$n Services Manager inv$#ve+ a high +egree $% res*$nsi'i#i), he 'eing in charge $% *re*aring he '&+ge %$r a## $% he vehic#es $% he C$3*an) nai$nwi+e. As Sa%% Assisan $% he C$r*$rae P&rchasing an+ Maeria#s C$nr$# Manager, 7e# 8i##ar c$nen+e+ ha he was n$ assigne+ an) 3eaning%&# w$r< a a##. Thir+, whi#e 7e# 8i##ars rans%er +i+ n$ res&# in he re+&ci$n $% his sa#ar), here was a +i3in&i$n in his 'ene%is. The C$3*an) a+3is ha as Sa%% Assisan $% he C$r*$rae P&rchasing an+ Maeria#s C$nr$# Manager, 7e# 8i##ar c$&#+ n$ #$nger en$) he &se $% a c$3*an) car, gas$#ine a##$wance, an+ ann&a# %$reign rave#, which 7e# 8i##ar *revi$&s#) en$)e+ as Trans*$rai$n Services Manager. $&rh, i was n$ 'a+ en$&gh ha 7e# 8i##ar was +e3$e+, '& he was even *#ace+ ') he C$3*an) &n+er he c$nr$# an+ s&*ervisi$n $% Pine+a as he #aers Sa%% Assisan. T$ reca##, Pine+a was $ne $% he C$3*an) $%%icia#s wh$ 7e# 8i##ar acc&se+ $% +e%ra&+ing he C$3*an) in his Re*$r +ae+ 6an&ar) , 199-. I is n$ $$ +i%%ic&# $ i3agine ha he w$r
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An e3*#$)ee wh$ is i##ega##) +is3isse+ is eni#e+ $ he win re#ie%s $% %&## 'acn+er Re*&'#ic Ac N$. -"12, e3*#$)ees wh$ are i##ega##) +is3isse+ are eni#e+ $ %&## 'ac
acs R$sari$ G. Li3 =res*$n+en?, a#s$ NIN LAHAT NG BI@A@A NG MERALC:, NGA@:N NAMAN A@ G>ST: M:NG PALAM:N ANG B>:NG >MPAN@A SA MGA B>WA@A NG G:B@ERN:. APAL NG M>HA M:, L>MA@AS A RIT:, WALANG >TANG NA L::B Res$&rce Sa%%ing, +irece+ he rans%er $% res*$n+en $ MERALC:s A#a'ang Sec$r in M&nin#&*a as A :TMS C#er<, e%%ecive 6&#) 1, !(( in #igh $% he recei* $% . . . re*$rs ha here were acc&sai$ns an+ hreas +irece+ agains her %r$3 &n
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acs Res*$n+en B$ni%aci$ Sec&ri) Services, Inc. =BSSI? is a +$3esic *rivae c$r*$rai$n engage+ in he '&siness $% *r$vi+ing sec&ri) services. In 6&#) !((1, he BSSI hire+ Be##$ as a r$ving ra%%ic 3arsha# $ 3anage ra%%ic an+ $ c$n+&c sec&ri) an+ sa%e)5re#ae+ $*erai$ns in he B$ni%aci$ G#$'a# Ci) =BGC? . In A&g&s !((1, Be##$ was *$se+ a he Negr$s Navigai$n C$3*an) in Pier !, N$rh Har'$r, $ s&*ervise sec$ra# $*erai$ns. In N$ve3'er !((1, he was assigne+ a BGC as assisan +each3en c$33an+er. A%er a wee<, he was rans%erre+ $ Paci%ic P#a4a T$wers as assisan +each3en c$33an+er an+ #aer as +each3en c$33an+er. In 6&ne !((!, he was assigne+ a Pier !, N$rh Har'$r as assisan +each3en c$33an+er, '& #aer reassigne+ $ BGC. In A&g&s !((!, he BSSI hire+ a new $*erai$ns 3anager, res&#ing in he re$rgani4ai$n $% *$ss. In :c$'er !((!, Be##$ was assigne+ as r$ving ra%%ic 3arsha# a he BGC. :n :c$'er !2, !((!, he %i#e+ an in+e%inie #eave $% a'sence when his new assign3en $$< e%%ec. :n N$ve3'er 2, !((!, Be##$ %i#e+ a c$3*#ain agains he BSSI an+ is Genera# Manager, res*$n+en Sa3&e# T$3as, wih he Nai$na# La'$r Re#ai$ns C$33issi$n =NLRC? , c#ai3ing ha he ha+ 'een c$nsr&cive#) +is3isse+ when he was +e3$e+ %r$3 a +each3en c$33an+er $ a 3ere ra%%ic 3arsha#. He a##ege+ ha he receive+ a series $% *r$3$i$ns %r$3 !((1 $ !((!, %r$3 ra%%ic 3arsha# $ s&*ervis$r, $ assisan +each3en c$33an+er, an+ $ +each3en c$33an+er. The BSSI +enie+ Be##$s c#ai3 $% c$nsr&cive +is3issa#, arg&ing ha n$ *r$3$i$n $$< *#ace Be##$s +esignai$n as assisan +each3en c$33an+er $r +each3en c$33an+er was n$ an e3*#$)3en *$sii$n '& a +&)5re#ae+ assign3en Be##$ a'an+$ne+ his $' when he wen $n an in+e%inie #eave $% a'sence an+ +i+ n$ re*$r %$r w$r<. La'$r Ar'ier Cresenci$ G. Ra3$s, 6r. %$&n+ ha Be##$ was i##ega##) +is3isse+, n$ing ha he BSSI %ai#e+ $ a++&ce evi+ence ha Be##$ a'an+$ne+ his e3*#$)3en. In is March !-, !(( res$#&i$n, he NLRC a%%ir3e+ he #a'$r ar'iers +ecisi$n, %in+ing ha Be##$ ha+ 'een c$nsr&cive#) +is3isse+ when he was +e3$e+ $ he ran<5an+5%i#e *$sii$n $% ra%%ic 3arsha# a%er $cc&*)ing he s&*ervis$r) *$sii$n $% assisan +each3en c$33an+er an+ +each3en c$33an+er. The CA n&##i%ie+ he NLRC res$#&i$ns, %in+ing he rec$r+s 'ere% $% evi+ence s&'saniaing he #a'$r ar'iers an+ he NLRCs c$nc#&si$ns ha Be##$ ha+ 'een c$nsr&cive#) +is3isse+. I n$e+ ha Be##$ $%%ere+ n$ evi+ence $ *r$ve ha here was a series $% *r$3$i$ns ha w$&#+ &si%) his c#ai3 $% s&'se&en +e3$i$n. The CA +enie+ he BSSIs 3$i$n %$r rec$nsi+erai$n, *aving he wa) %$r he *resen *eii$n. Iss&e Wheher $r n$, Be##$ was i##ega##) +is3isse+. R&#ing We %in+ n$ reas$n $ +is&r' he CA c$nc#&si$n ha here was n$ c$nsr&cive +is3issa#. Case #aw +e%ines c$nsr&cive +is3issa# as a cessai$n $% w$r< 'eca&se c$nin&e+ e3*#$)3en has 'een ren+ere+ i3*$ssi'#e, &nreas$na'#e, $r &n#i
acs Res*$n+ens Sai+a#i Pasawi#an, Wi#%re+$ 8erce#es an+ Me#ch$r B&#&san were a## e3*#$)e+ ') *eii$ner A#er Sec&ri) an+ Invesigai$n Agenc), Inc. =A#er Sec&ri)? as sec&ri) g&ar+s 'eginning March 1, 199-, 6an&ar) 1, 199", an+ 6an&ar) !, 199", res*ecive#). The) were *ai+ 1-2.(( *es$s a +a) as reg&#ar e3*#$)ees, an+ assigne+ a he 7e*ar3en $% Science an+ Techn$#$g) =7:ST? *&rs&an $ a sec&ri) service c$nrac 'eween he 7:ST an+ A#er Sec&ri).

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Res*$n+ens aver ha 'eca&se he) were &n+er*ai+, he) %i#e+ a c$3*#ain %$r 3$ne) c#ai3s agains A#er Sec&ri) an+ is *resi+en an+ genera# 3anager, *eii$ner Man&e# 7. 7asig, 'e%$re La'$r Ar'ier Arie# C. San$s. As a res&# $% heir c$3*#ain, he) were re#ieve+ %r$3 heir *$ss in he 7:ST an+ were n$ given new assign3ens +es*ie he #a*se $% siF 3$nhs. :n 6an&ar) !-, 1999, he) %i#e+ a $in c$3*#ain %$r i##ega# +is3issa# agains *eii$ners. Peii$ners, $n he $her han+, +en) ha he) +is3isse+ he res*$n+ens. Peii$ners *resene+ 7&) 7eai# :r+ers ha A#er Sec&ri) iss&e+ $ sh$w ha res*$n+ens were in %ac assigne+ $ LRTA. Res*$n+ens, h$wever, %ai#e+ $ re*$r a he LRTA an+ insea+
acs

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7e#a+a was he >ni$n Presi+en $% he Mani#a Pavi#i$n S&*ervis$rs Ass$ciai$n a MPH. He was $rigina##) assigne+ as Hea+ Waier $% R$isserie, a %ine5+ining resa&ran $*erae+ ') *eii$ner. P&rs&an $ a s&*ervis$r) *ers$nne# re$rgani4ai$n *r$gra3, MPH reassigne+ hi3 as Hea+ Waier $% Seas$ns C$%%ee Sh$*, an$her resa&ran $*erae+ ') *eii$ner a he sa3e h$e#. Res*$n+en +ec#ine+ he iner5$&#e rans%er an+ insea+ as
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acs Privae res*$n+en, Ins&#ar B&i#+ers, Inc., is a %a3i#)5$wne+ c$r*$rai$n 3anage+ an+ $*erae+ *rinci*a##) ') An$ni$ M&ri##$, %aher, an+ his s$n, R$+$#%$ M&ri##$. I is engage+ in he c$nsr&ci$n '&siness. Peii$ners, $n he $her han+, were w$rn+er he circ&3sances, he CA was c$rrec in &*h$#+ing he #a'$r ar'iers %in+ing ha he) ha+ 'een i##ega##) +is3isse+. Having 'een i##ega##) +is3isse+, *eii$ners sh$&#+ 'e awar+e+ 'ac< wages in acc$r+ance wih B&sa3ane v. NLRC. The %ac ha he) w$rn+er he circ&3sances, he CA was c$rrec in &*h$#+ing he #a'$r ar'iers %in+ing ha he) ha+ 'een i##ega##) +is3isse+. Having 'een i##ega##) +is3isse+, *eii$ners sh$&#+ 'e awar+e+ 'ac< wages in acc$r+ance wih B&sa3ane v. NLRC. The %ac ha he) w$r
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#aw. Be i n$e+ ha, wih$& heir c$nsen, heir e3*#$)3en was change+. The) 'eca3e new e3*#$)ees $% he #aer %ir3 an+, as s&ch, were +e*rive+ $% seni$ri) an+ $her e3*#$)3en 'ene%is he) ha+ when he) were si## wih heir %$r3er e3*#$)er.

acs Riviera H$3e I3*r$ve3ens, Inc. is engage+ in he '&siness $% se##ing an+ insa##ing $rna3ena# an+ c$nsr&ci$n 3aeria#s. I e3*#$)e+ *eii$ners 8irgi#i$ Aga'$n an+ 6enn) Aga'$n as g)*s&3 '$ar+ an+ c$rnice insa##ers $n 6an&ar) !, 199! &ni# e'r&ar) !, 1999 when he) were +is3isse+ %$r a'an+$n3en $% w$r<. Peii$ners hen %i#e+ a c$3*#ain %$r i##ega# +is3issa# an+ *a)3en $% 3$ne) c#ai3s an+ $n 7ece3'er !, 1999. The La'$r Ar'ier +ec#are+ he +is3issa#s i##ega# an+ $r+ere+ *rivae res*$n+en $ *a) he 3$near) c#ai3s. NLRC reverse+ he La'$r Ar'ier 'eca&se i %$&n+ ha he *eii$ners ha+ a'an+$ne+ heir w$r<, an+ were n$ eni#e+ $ 'ac
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=c? A wrien n$ice $% er3inai$n serve+ $n he e3*#$)ee in+icaing ha &*$n +&e c$nsi+erai$n $% a## he circ&3sances, gr$&n+s have 'een esa'#ishe+ $ &si%) his er3inai$n. In case $% er3inai$n, he %$reg$ing n$ices sha## 'e serve+ $n he e3*#$)ees #as n%$r&nae#) %$r he *rivae res*$n+en, his is n$ a va#i+ eFc&se 'eca&se he #aw 3an+aes he win n$ice re&ire3ens $ he e3*#$)ees #as
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ha i a##$ws is e3*#$)ees 1( +a)s #eave wih *a), $her han 'eing se#%5serving, +$ n$ c$nsi&e *r$$% $% *a)3en. C$nse&en#), i %ai#e+ $ +ischarge he $n&s *r$'an+i here') 3a
acs Res*$n+ens 7arwin Pac$, R$'er Par$hin$g, 7avi+ Bisnar, Mar#$n 7$3ing$, Rh$e# Lescan$ an+ 6$nahan Caga'ca' were ear#ier hire+ ') *eii$ner 6AA $$+s Pr$cessing C$r*$rai$n =6AA, %$r sh$r? &ni# he #aer er3inae+ heir e3*#$)3en $n A&g&s !9, 199" 'eca&se he c$r*$rai$n was Jin +ire %inancia# sraisK. I is n$ +is*&e+, h$wever, ha he er3inai$n was e%%ece+ wih$& 6AA c$3*#)ing wih he re&ire3en &n+er Aric#e ! $% he La'$r C$+e regar+ing he service $% a wrien n$ice &*$n he e3*#$)ees an+ he 7e*ar3en $% La'$r an+ E3*#$)3en a #eas $ne =1? 3$nh 'e%$re he inen+e+ +ae $% er3inai$n. In i3e, res*$n+ens se*arae#) %i#e+ wih he regi$na# Ar'irai$n Branch $% he Nai$na# La'$r Re#ai$ns C$33issi$n =NLRC? c$3*#ains %$r i##ega# +is3issa#, &n+er*a)3en $% wages an+ n$n*a)3en $% service incenive #eave an+ 1 h 3$nh *a) agains 6AA an+ is HR7 Manager, R$sana Case#$. A%er +&e *r$cee+ings, he La'$r Ar'ier ren+ere+ a +ecisi$n +ec#aring he er3inai$n i##ega# an+ $r+ering 6AA an+ is HR7 Manager $ reinsae res*$n+ens wih %&## 'ac
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!! '& he e3*#$)er %ai#e+ $ c$3*#) wih he n$ice re&ire3en, he sanci$n $ 'e i3*$se+ &*$n hi3 sh$&#+ 'e e3*ere+ 'eca&se he +is3issa# *r$cess was, in e%%ec, iniiae+ ') an ac i3*&a'#e $ he e3*#$)ee an+ =!? i% he +is3issa# is 'ase+ $n an a&h$ri4e+ ca&se &n+er Aric#e ! '& he e3*#$)er %ai#e+ $ c$3*#) wih he n$ice re&ire3en, he sanci$n sh$&#+ 'e si%%er 'eca&se he +is3issa# *r$cess was iniiae+ ') he e3*#$)ers eFercise $% his 3anage3en *rer$gaive. I is, here%$re, esa'#ishe+ ha here was gr$&n+ %$r res*$n+ens +is3issa#, i.e., rerench3en, which is $ne $% he a&h$ri4e+ ca&ses en&3erae+ &n+er Aric#e ! $% he La'$r C$+e. Li
acs 1. Peii$ner Ma&rici$, sare+ w$r
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JThe s&'3issi$n $% c#earance %r$3 a *revi$&s e3*#$)er is a reas$na'#e re&ire3en $ &a#i%) as a reg&#ar e3*#$)ee &*$n he eF*irai$n $% he siF 3$nhs *r$'ai$nar) e3*#$)3en. This reas$na'#e reg&#ai$n is 3an+a$r) in he sense ha i s*eani$n vs. :*#e =1"( SCRA !2?, he H$n$ra'#e S&*re3e C$&r r&#e+ ha JEFce* as #i3ie+ ') s*ecia# #aws, an e3*#$)er is %ree $ reg&#ae acc$r+ing $ his $wn +iscrei$n an+ &+g3en, a## as*ecs $% e3*#$)3en, inc#&+ing hiring.K

The *re5e3*#$)3en re&ire3ens $% res*$n+en 'an< which was 3a+e
acs

In+&sria# P#)w$$+ Gr$&* C$r*$rai$n =IPGC? is he $wner $% a *#)w$$+ *#an #$cae+ a Ag&san, Pe&e_$, B&&an Ci), #ease+ $ In+&sria# Ti3'er C$r*$rai$n =ITC? $n A&g&s (, 192 %$r a *eri$+ $% %ive )ears. Therea%er, ITC c$33ence+ $*erai$n $% he *#)w$$+ *#an an+ hire+ " w$r
Wheher $r n$ A'a'$n, e a#. were i##ega##) +is3isse+ +&e $ he c#$s&re $% ITCs '&siness an+ wheher he) are eni#e+ $ se*arai$n *a), 'ac
>n+er Aric#e ! $% he La'$r C$+e, hree re&ire3ens are necessar) %$r a va#i+ cessai$n $% '&siness $*erai$ns =a? service $% a wrien n$ice $ he e3*#$)ees an+ $ he 7:LE a #eas $ne 3$nh 'e%$re he inen+e+ +ae here$% ='? he cessai$n $% '&siness 3&s 'e '$na %i+e in characer an+ =c? *a)3en $ he e3*#$)ees $% er3inai$n *a) a3$&ning $ $ne 3$nh *a) $r a #eas $ne5ha#% 3$nh *a) %$r ever) )ear $% service, whichever is higher. As '$rne $& %r$3 he rec$r+s, res*$n+en ITC ac&a##) &n+erwen Vn$ *#an $*erai$n since 19 March 199( +&e $ #ac< $% #$g s&**#). This %ac is a+3ie+ ') c$3*#ainans =Min&es $% hearing, ! :c$'er 1991?. Since hen severa# s&'se&en inci+ens *revene+ res*$n+en ITC $ res&3e is '&siness $*erai$ns e.g. eF*irai$n an+ n$n5renewa# $% he w$$+ *r$cessing *#an *er3i, ani5*$##&i$n *er3i, an+ he #ease c$nrac $n he *#)w$$+ *#an.

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LABOR RELATIONS Aty. Jeferson M. Marquez Wih$& he raw 3aeria#s res*$n+en ITC has n$hing $ *r$+&ce. Wih$& he *er3is i cann$ #aw%&##) $*erae he *#an. An+ wih$& he

c$nrac $% #ease res*$n+en ITC has n$ $*i$n '& $ cease $*erai$n an+ &rn $ver he *#an $ he #ess$r. Having esa'#ishe+ ha ITCs c#$s&re $% he *#)w$$+ *#an was +$ne in g$$+ %aih an+ ha i was +&e $ ca&ses 'e)$n+ is c$nr$#, he c$nc#&si$n is inevia'#e ha sai+ c#$s&re is va#i+. C$nse&en#), A'a'$n, e a#. c$&#+ n$ have 'een i##ega##) +is3isse+ $ 'e eni#e+ $ %&## 'ac
acs Res*$n+en Sa+ac was a**$ine+ 8ice Presi+en $% he Lega# 7e*ar3en $% *eii$ner Ban< e%%ecive 1 A&g&s 191, an+ s&'se&en#) Genera# C$&nse# here$% $n  7ece3'er 191. :n !- 6&ne 199, nine #aw)ers $% *eii$ner Ban<s Lega# 7e*ar3en, in a #eer5*eii$n $ he Chair3an $% he B$ar+ $% 7irec$rs, acc&se+ res*$n+en Sa+ac $% a'&sive c$n+&c an+ *eii$ne+ %$r a change in #ea+ershi* $% he +e*ar3en. :n he gr$&n+ $% #ac< $% c$n%i+ence in res*$n+en Sa+ac, &n+er he r&#es $% c#ien an+ #aw)er re#ai$nshi*, *eii$ner Ban< insr&ce+ res*$n+en Sa+ac $ +e#iver a## 3aeria#s in his c&s$+) in a## cases in which he #aer was a**earing as is c$&nse# $% rec$r+. In reaci$n here$, res*$n+en Sa+ac re&ese+ %$r a %&## hearing an+ %$r3a# invesigai$n '& he sa3e re3aine+ &nhee+e+. :n 9 N$ve3'er 199, res*$n+en Sa+ac %i#e+ a c$3*#ain %$r i##ega# +is3issa# wih +a3ages agains *eii$ner Ban< an+ in+ivi+&a# 3e3'ers $% he B$ar+ $% 7irec$rs here$%. A%er #earning $% he %i#ing $% he c$3*#ain, *eii$ner Ban< er3inae+ he services $% res*$n+en Sa+ac. ina##), $n 1( A&g&s 199, res*$n+en Sa+ac was re3$ve+ %r$3 his $%%ice an+ $r+ere+ +iseni#e+ $ an) c$3*ensai$n an+ $her 'ene%is. The iss&es $n he eFisence $% e3*#$)er5e3*#$)ee re#ai$nshi* as we## as he #ega#i) $% he +is3issa# were +eci+e+ ') he C$&r in he case $% E&ia'#e Ban
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iner*ree+ as eiher an a##$wance $r a 'ene%i. Sa#ar) increases are n$ a
acs The H$&se $% Sara Lee =*eii$ner? is engage+ in he +irec se##ing $% a varie) $% *r$+&c #ines %$r 3en an+ w$3en, inc#&+ing c$s3eics, ini3ae a**are#s, *er%&3es, rea+) $ wear c#$hes an+ $her n$ve#) ie3s, hr$&gh is vari$&s $&#es nai$nwi+e. In he *&rs&i $% is '&siness, he *eii$ner engages an+ c$nracs wih +ea#ers $ se## he a%$re3eni$ne+ 3erchan+ise. These +ea#ers,
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c$n%i+ence $n he *ar $% he e3*#$)er. Being he Cre+i A+3inisrai$n S&*ervis$r $% he Caga)an +e :r$ an+ B&&an Ci) 'ranches $% he *eii$ner, res*$n+en $cc&*ie+ a high#) sensiive an+ criica# *$sii$n an+ 3a) h&s 'e +is3isse+ $n he gr$&n+ $% #$ss $% r&s an+ c$n%i+ence. The +&ies $% he res*$n+en inc#&+e+ he sric 3$ni$ring $% he 5 $r 2!5+a) Jr$##ing +&e +aeK $% each $% is IBMs an+ IGSs, as we## as he s&*ervisi$n $% he cre+i an+ c$##eci$n $% *a)3ens an+ $&san+ing acc$&ns +&e $ he *eii$ner %r$3 is +ea#ers. M$re i3*$ran#), res*$n+en has a +irec han+ in he *re*arai$n an+ c$3*&ai$n $% he Service ees $r sa#es c$33issi$ns accr&ing $ each +ea#er. The c$3*&ai$n $% hese c$33issi$ns +e*en+s $n wheher he +ea#er c$ncerne+ was a'#e $ re3i he sa#es *r$cee+s wihin he 5+a) $r 2!5+a) r$##ing +ea+#ine. C#ear#), res*$n+ens *$sii$n inv$#ves a high +egree $% res*$nsi'i#i) re&iring r&s an+ c$n%i+ence. The *$sii$n carrie+ wih i he +&) $ $'serve *r$*er c$3*an) *r$ce+&res in he %&#%i##3en $% her $', as i re#aes c#$se#) $ he %inancia# ineress $% he c$3*an). Res*$n+ens &na&h$ri4e+ eFensi$ns $% he cre+i *eri$+s $% he +ea#ers are *re&+icia# $ he ineres $% he *eii$ner an+ 'ear seri$&s %inancia# i3*#icai$ns. E3*#$)ers, genera##), are a##$we+ a wi+er #ai&+e $% +iscrei$n in er3inaing he e3*#$)3en $% 3anageria# *ers$nne# $r h$se $% si3i#ar ran< *er%$r3ing %&nci$ns which ') heir na&re re&ire he e3*#$)ers r&s an+ c$n%i+ence, han in he case $% $r+inar) ran<5 an+5%i#e e3*#$)ees. There can 'e n$ +$&' c$nin&ance in he sensiive %i+&ciar) *$sii$n $% Cre+i A+3inisrai$n S&*ervis$r w$&#+ 'e *aen#) ini3ica# $ he ineress $% he *eii$ner. I w$&#+ 'e $**ressive an+ &n&s $ $r+er he *eii$ner $ a
acs Ga#aFie is a c$r*$rai$n engage+ in he '&siness $% 3an&%ac&ring an+ sa#e $% re5'ars an+ see# 'i##es which are &se+ *ri3ari#) in he c$nsr&ci$n $% high5rise '&i#+ings. :n acc$&n $% seri$&s '&siness #$sses which $cc&rre+ in 199" &* $ 3i+51999 $a#ing ar$&n+ P1!",(((,(((.((, Ga#aFie +eci+e+ $ c#$se +$wn is '&siness $*erai$ns. Ga#aFie h&s %i#e+ $n 6&#) (, 1999 a wrien n$ice wih he 7:LE in%$r3ing he #aer $% is inen+e+ c#$s&re an+ he c$nse&en er3inai$n $% is e3*#$)ees e%%ecive A&g&s 1, 1999. An+ i *$se+ he n$ice $% c#$s&re $n he c$r*$rae '&##ein '$ar+. Peii$ners Ga#aFie See# W$rni$n an+ Ga#aFie e3*#$)ees %i#e+ a c$3*#ain %$r i##ega# +is3issa#, &n%air #a'$r *racice, an+ 3$ne) c#ai3s agains Ga#aFie. The La'$r Ar'ier +ec#are+ va#i+ Ga#aFies c#$s&re $% '&siness '& neverhe#ess $r+ere+ i $ *a) he e3*#$)ees se*arai$n *a), *r$5raa 1 h 3$nh *a), an+ vacai$n an+ sic< #eave cre+is. The NLRC &*he#+ he La'$r Ar'iers +ecisi$n '& reverse+ he awar+ $% *r$5raa 1 h 3$nh *a) an+ vacai$n an+ sic< #eave cre+is, he sa3e n$ 'eing a3$ng *eii$ners ca&ses $% aci$n as in %ac he) were n$ even 3eni$ne+ in heir *#ea+ings. An+ i reverse+ $$ he awar+ %$r se*arai$n *a), he c#$s&re $% Ga#aFies '&siness 'eing +&e $ seri$&s '&siness #$sses. Neverhe#ess, he NLRC +irece+ Ga#aFie $ gran *eii$ners, ') wa) $% %inancia# assisance, he sa3e a3$&n given $ he e3*#$)ees wh$ ha+ eFec&e+ &ic#ai3s. Their 3$i$n %$r rec$nsi+erai$n having 'een +enie+, *eii$ners %i#e+ a *eii$n %$r ceri$rari wih he C$&r $% A**ea#s, arg&ing ha he NLRC ace+ wih grave a'&se $% +iscrei$n in n$ %in+ing Ga#aFie g&i#) $% &n%air #a'$r *racice an+ $% vi$#aing *eii$ners righ $ n$ice $% c#$s&re, an+ in +e#eing he awar+ $% se*arai$n *a). CA &*he#+ he NLRC +ecisi$n. Hence, he *resen *eii$n %$r review. Iss&es Wheher $r n$ Ga#aFie is g&i#) $% &n%air #a'$r *racice in c#$sing is '&siness $*erai$ns sh$r#) a%er *eii$ner &ni$n %i#e+ %$r ceri%icai$n e#eci$n. Wheher $r n$ *eii$ners are eni#e+ $ se*arai$n *a). Wheher $r n$ he wrien n$ice *$se+ ') Ga#aFie $n he c$3*an) '&##ein '$ar+ s&%%icien#) c$3*#ies wih he n$ice re&ire3en &n+er Aric#e ! $% he La'$r C$+e. R&#ing Peii$ners c$nen+ ha he C$&r $% A**ea#s erre+ in n$ %in+ing ha Ga#aFies c#$s&re $% '&siness $*erai$ns was 3$ivae+ n$ ') seri$&s '&siness #$sses '& ') heir ani5&ni$n sance. I is se#e+ ha SC is n$ a rier $% %acs, a r&#e which a**#ies wih greaer %$rce in #a'$r cases where he %in+ings $% %ac $% he NLRC are acc$r+e+ res*ec an+ even %ina#i), as #$ng as he) are s&**$re+ ') s&'sania# evi+ence %r$3 which an in+e*en+en eva#&ai$n $% he %acs 3a) 'e 3a+e. In his case, he La'$r Ar'ier, he NLRC, an+ he CA were &nani3$&s in r&#ing ha Ga#aFies c#$s&re $r cessai$n $% '&siness $*erai$ns was +&e $ seri$&s '&siness #$sses $r %inancia# reverses, an+ n$ 'eca&se $% an) a##ege+ ani5&ni$n *$sii$n. The C$&r %in+s n$ reas$n $ 3$+i%) s&ch %in+ing. In an) even, *eii$ners c$nen+ ha Ga#aFie +i+ n$ serve wrien n$ices $% he c#$s&re $% '&siness $*erai$ns &*$n is e3*#$)ees, i having 3ere#) *$se+ a n$ice $n he c$3*an) '&##ein '$ar+. In+ee+, Ga#aFies +$c&3enar) evi+ence sh$ws ha i ha+ 'een eF*eriencing seri$&s %inancia# #$sses a he i3e i c#$se+ '&siness $*erai$ns. As a*#) %$&n+ ') he C$&r $% A**ea#s The NLRCs %in+ing $n he #ega#i) $% he c#$s&re sh$&#+ 'e &*he#+ %$r i is s&**$re+ ') s&'sania# evi+ence c$nsising $% he a&+ie+ %inancia# sae3ens sh$wing ha Ga#aFie c$nin&$&s#) inc&rre+ #$sses %r$3 199" &* $ 3i+51999, $ wi P -2,"2,(.-2 in 199", P,!9,"2.9 in 199, an+ P1,!(,9.9" in 1999 an+ $% he vari$&s +e3an+ n$ices $% *a)3ens %r$3 cre+i$r 'an
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Tr&e, he &ni$n was see*$n he $her han+, *eii$ners %ai#e+ $ *resen c$ncree evi+ence s&**$ring heir c#ai3 $% &n%air #a'$r *racice. >n%air #a'$r *racice re%ers $ acs ha vi$#ae he w$r
acs Peii$ner 7ennis S) was he 'ranch 3anager in Baa+a, 7ava$ Ci) $% res*$n+en Mer$*$#ian Ban< an+ Tr&s C$3*an). S) w$&#+ have ren+ere+ ( )ears $% service ') A&g&s 1, 1999 &n+er he 'an<s reire3en *#an, which *r$vi+es ha an e3*#$)ee 3&s reire &*$n reaching 22 )ears $% age $r a%er ren+ering ( )ears $% service, whichever c$3es ear#ier. H$wever, $n e'r&ar) 2, 1999, a %ew 3$nhs 'e%$re he was s&**$se+ $ reire, he 'an< rea**$ine+ hi3 as 'ranch 3anager %$r a er3 $% $ne )ear %r$3 A&g&s 1, 1999 &ni# A&g&s 1, !(((, wih a c$rres*$n+ing sa#ar) increase e%%ecive A&g&s 1-, 1999. In N$ve3'er 1999, he 'an< re#ease+ he res&#s $% he a&+i c$n+&ce+. S), $n N$ve3'er 12, 1999, en+ere+ an irrev$ca'#e #eer $% reire3en, wherein he re&ese+ he i3e#) re#ease $% his reire3en *a) an+ $her 'ene%is. His re&es was +enie+. The 'an< averre+ ha S) has a##$we+ c#ien5S*$&ses :ng $ c$n+&c Jnc$nvince+ $% S) eF*#anai$n, he 'an< +is3isse+ S). S) hen %i#e+ a case %$r i##ega# +is3issa#, which was +is3isse+ ') he #a'$r ar'ier %$r #ac< $% 3eri. :n a**ea#, he NLRC +ee3e+ S) c$3*&#s$ri#) reire+. When 'r$&gh &* $ he C$&r $% A**ea#s, he #a'$r ar'iers +ecisi$n was reinsae+. Iss&es Was S) i##ega##) er3inae+ I% his +is3issa# was va#i+, w$&#+ he si## 'e eni#e+ $ reire3en 'ene%is R&#ing

N$. S) was va#i+#) +is3isse+ $n he gr$&n+ $% %ra&+ an+ wi##%&# 'reach $% r&s &n+er Aric#e !! $% he La'$r C$+e. Rec$r+s sh$w ha as 'an< 3anager, he a&h$ri4e+ Jn#i
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reire3en &n+er he 'an<s Reire3en P#an. H$wever, he $*e+ $ acce* he 'an<s $%%er $% eFen+ing his e3*#$)3en %$r an$her )ear wih a c$rres*$n+ing sa#ar) increase. Th&s, in e%%ec, he ha+ never reire+. >n%$r&nae#) %$r hi3, whi#e serving s&ch eFen+e+ er3, he 'an< +isc$vere+ his &na&h$ri4e+ gran $% acc$33$+ai$n $ acc$&ns engage+ in Jn+er he La'$r C$+e, $n#) &n&s#) +is3isse+ e3*#$)ees are eni#e+ $ reire3en 'ene%is an+ $her *rivi#eges inc#&+ing reinsae3en an+ 'ac
acs Res*$n+en Ma3ac was hire+ as '&s c$n+&c$r $% 7$n Marian$ Transi C$r*$rai$n =7MTC? $n A*ri# !9, 1999. Res*$n+en was re&ire+ $ acc$3*#ish a C$n+&c$rs Tri* Re*$r an+ s&'3i i $ he c$3*an) a%er each ri*. As a 'ac*$n a&+i $% he :c$'er !, !((1 C$n+&c$rs Re*$r $% res*$n+en, TI n$e+ an irreg&#ari). I +isc$vere+ ha res*$n+en +ec#are+ severa# s$#+ ic
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e3*#$)3en is s$&gh $ 'e er3inae+ a wrien n$ice c$naining a sae3en $% he ca&ses %$r er3inai$n an+ sha## a%%$r+ he #aer a3*#e $**$r&ni) $ 'e hear+ an+ $ +e%en+ hi3se#% wih he assisance $% his re*resenaive i% he s$ +esires in acc$r+ance wih c$3*an) r&#es an+ reg&#ai$ns *r$3&#gae+ *&rs&an $ g&i+e#ines se ') he 7e*ar3en $% La'$r an+ E3*#$)3en. An) +ecisi$n a
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Thir+, n$ hearing was c$n+&ce+. Regar+#ess $% res*$n+ens wrien eF*#anai$n, a hearing was si## necessar) in $r+er %$r hi3 $ c#ari%) an+ *resen evi+ence in s&**$r $% his +e%ense. M$re$ver, res*$n+en 3a+e he #eer 3ere#) $ eF*#ain he circ&3sances re#aing $ he irreg&#ari). He was &naware ha a +is3issa# *r$cee+ing was a#rea+) 'eing e%%ece+. Sanci$n %$r N$n5c$3*#iance wih 7&e Pr$cess Re&ire3ens As sae+ ear#ier, a%er a %in+ing ha *eii$ners %ai#e+ $ c$3*#) wih he +&e *r$cess re&ire3ens, he CA awar+e+ %&## 'ac
acs A c$3*#ain %$r i##ega# +is3issa# was %i#e+ ') res*$n+ens Ma. 6es&sa B$ns$# an+ Ri4a#in+a Hir$n+$ agains *eii$ners 6$hns$n ; 6$hns$n =Phi#s.?, Inc. an+ 6anssen Phar3ace&ica, $ne $% he %$r3ers +ivisi$ns. The La'$r Ar'ier +is3isse+ he c$3*#ain, *r$3*ing res*$n+ens $ e#evae he 3aer $ he NLRC. :n 1 7ece3'er !((1, he NLRC ren+ere+ a Res$#&i$n, 3$+i%)ing he +ecisi$n $% he La'$r Ar'ier. The NLRC r&#e+ ha he vi$#ai$ns $% c$3*an) *r$ce+&re c$33ie+ ') res*$n+ens +i+ n$ c$nsi&e seri$&s 3isc$n+&c $r wi##%&# +is$'e+ience warraning heir +is3issa# hence, res*$n+ens were eni#e+ $ reinsae3en. 6$hns$n an+ 6$hns$n s$&gh *aria# rec$nsi+erai$n '& he NLRC +enie+ he 3$i$n in a Res$#&i$n +ae+ 11 e'r&ar) !((!. Neiher *ar) a**ea#e+ %r$3 he res$#&i$n +ecisi$n $% he NLRC wihin he reg#e3enar) *eri$+. The Res$#&i$n +ae+ 1 7ece3'er !((1 'eca3e %ina# an+ eFec&$r). 1 March !((  A a c$n%erence he#+, *eii$ner 6$hns$n an+ 6$hns$n reierae+ heir ineni$n $ sais%) res*$n+ens 3$near) awar+ '& he #aer re%&se+ an+ insise+ $n heir reinsae3en. Therea%er, *eii$ner %i#e+ a Mani%esai$n an+ M$i$n, arg&ing ha he 1 7ece3'er !((1 Res$#&i$n grane+ he3 he righ $ ch$$se 'eween he *a)3en $% se*arai$n *a) an+ he reinsae3en $% res*$n+ens 'ase+ $n he %in+ing ha whi#e heir er3inai$n was i##ega#, res*$n+ens were n$ enire#) %a&##ess as he) +i+ n$ %$##$w he eFac *r$ce+&re in he *er%$r3ance $% heir +&ies. Peii$ners a#s$ c#ai3e+ ha reinsae3en was n$ #$nger %easi'#e in view $% he sraine+ re#ai$ns 'eween he *aries. 1 6&ne !((  he NLRC iss&e+ a Res$#&i$n, which +irece+ he reinsae3en $% res*$n+ens *&rs&an $ he 1 7ece3'er !((1 Res$#&i$n. The NLRC rec$gni4e+ res*$n+ens righ $ ch$$se 'eween reinsae3en an+ se*arai$n *a) an+ +isregar+e+ *eii$ners c#ai3 $% sraine+ re#ai$ns. Peii$ners 3$i$n %$r rec$nsi+erai$n was +enie+ in he Res$#&i$n +ae+ ! 6&#) !((. The C$&r $% A**ea#s a%%ir3e+ he res$#&i$ns $% he NLRC +ae+ 1 6&ne !(( an+  6&#) !((. Th&s in a *eii$ner %$r ceri$rari 'e%$re he SC, 6 $hns$n an+ 6$hns$n c$nen+s ha he inen $% he 1 7ece3'er !((1 Res$#&i$n was $ gran he3 he $*i$n $ reinsae res*$n+ens $ heir %$r3er *$sii$ns wih$& he *a)3en $% 'ac
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The *eii$n has n$ 3eri. We##5enrenche+ is he r&#e ha an i##ega##) +is3isse+ e3*#$)ee is eni#e+ $ reinsae3en as a 3aer $% righ. :ver he )ears, h$wever, case #aw +eve#$*e+ ha where reinsae3en is n$ %easi'#e, eF*e+ien $r *racica#, as where reinsae3en w$&#+ $n#) eFacer'ae he ensi$n an+ sraine+ re#ai$ns 'eween he *aries, $r where he re#ai$nshi* 'eween he e3*#$)er an+ e3*#$)ee has 'een &n+&#) sraine+ ') reas$n $% heir irrec$nci#a'#e +i%%erences, *aric&#ar#) where he i##ega##) +is3isse+ e3*#$)ee he#+ a 3anageria# $r #i3ae#), he NLRC has he a&h$ri) $ eFec&e is &+g3en an+ $ se#e an) iss&e ha 3a) arise *eraining $ he 3anner $r +eai#s $% i3*#e3ening is &+g3en. In he insan case, a#h$&gh he $**$sing *aries )ie#+e+ $ he &+g3en $% he NLRC an+ +i+ n$ an)3$re e#evae he #a'$r +is*&e $ he a**e##ae c$&r, he) are n$w a $++s as $ h$w he 1 7ece3'er !((1 Res$#&i$n sh$&#+ 'e i3*#e3ene+. Th&s, he NLRC *r$*er#) eFercise+ is a&h$ri) $ res$#ve he c$nr$vers) when i iss&e+ he Res$#&i$n +ae+ 1 6&ne !((, where i caeg$rica##) $r+ere+ he reinsae3en $% res*$n+ens $ heir %$r3er *$sii$ns, in c$ns$nance wih is ear#ier r&#ing. The NLRC &*he#+ he c$nin&ing *ri3ac) $% reinsae3en as he avai#a'#e re#ie% an+ 3a+e sh$r shri% $% *eii$ners av$wa# ha se*arai$n *a) sh$&#+ 'e awar+e+ in #ie& $% reinsae3en. E%%ecive#), he NLRC an+ he C$&r $% A**ea#s +isregar+e+ *eii$ners c#ai3 ha he re#ai$n 'eween he *aries was s$ sraine+ ha $n#) he *a)3en $% he 3$near) awar+ was %easi'#e &n+er he circ&3sances. The C$&r +e%ers, as i sh$&#+, $ he c$33$n %in+ing $% he NLRC an+ C$&r $% A**ea#s since he iss&e $% he eFisence $% sraine+ re#ai$ns 'eween he *aries is %ac&a# in na&re.

acs R$3e$ La'rag&e =res*$n+en? was a seve+$re anig$ e3*#$)e+ wih Asian Ter3ina#s, Inc. since he 19(s. Beginning Se*e3'er 9, 199, res*$n+en %ai#e+ $ re*$r %$r w$r< a##ege+#) 'eca&se he was arrese+ an+ *#ace+ in +eeni$n %$r reas$ns n$ re#ae+ $ his w$r<. A%er res*$n+en ha+ 'een a'sen %$r 3$re han $ne )ear, Asian Ter3ina#s, Inc., hr$&gh A). R$+$#%$ G. C$rvie, 6r., =*eii$ners? sen hi3 =res*$n+en? a #eer, +ae+ 7ece3'er !", 199, a his #as
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an+ *eii$n %$r ceri$rari 'e%$re CA, *eii$ners never &esi$ne+ he r&h a'$& res*$n+ens +eeni$n. Peii$ners sni$n5NAL>5M>, vi4. The %acs in Pe+r$s$ v. Casr$ are si3i#ar $ he se $% %acs in he *resen case. The *eii$ners herein were arrese+ an+ +eaine+ ') he 3i#iar) a&h$riies ') vir&e $% a Presi+enia# C$33i3en :r+er a##ege+#) %$r he c$33issi$n $% C$ns*irac) $ C$33i Re'e##i$n &n+er Aric#e 1- $% he RPC. As a res&#, heir e3*#$)er hire+ s&'si&e w$r
acs Regina M. As$rga =As$rga? was e3*#$)e+ ') res*$n+en SMART $n Ma) , 199" as 7isric Sa#es Manager $% he C$r*$rae Sa#es Mar
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7es*ie he a'$#ii$n $% he CSMGS7, As$rga c$nin&e+ re*$ring %$r w$r<. B& $n March , 199, SMART iss&e+ a 3e3$ran+&3 a+vising As$rga $% he er3inai$n $% her e3*#$)3en $n gr$&n+ $% re+&n+anc), e%%ecive A*ri# , 199. As$rga receive+ i $n March 1-, 199. The er3inai$n $% her e3*#$)3en *r$3*e+ As$rga $ %i#e a C$3*#ain %$r i##ega# +is3issa#, n$n5*a)3en $% sa#aries an+ $her 'ene%is wih *ra)er %$r 3$ra# an+ eFe3*#ar) +a3ages agains SMART an+ Ann Margare 8. Saniag$ =Saniag$?. She c#ai3e+ ha a'$#ishing CSMG an+, c$nse&en#), er3inaing her e3*#$)3en was i##ega# %$r i vi$#ae+ her righ $ sec&ri) $% en&re. She a#s$ *$sie+ ha i was i##ega# %$r an e3*#$)er, #i

CSMGS7 $ SNMI, SMART has creae+ a 3$re c$3*een an+ s*ecia#i4e+ $rgani4ai$n $ *er%$r3 he w$r< re&ire+ %$r c$r*$rae acc$&ns. I is a#s$ re#ieve+ SMART $% a## a+3inisraive c$ss 3anage3en, i3e an+ 3$ne)5nee+e+ in 3ainaining he CSMGS7. The +eer3inai$n $ $&s$&rce he +&ies $% he CSMGS7 $ SNMI was, $ :&r 3in+, a s$&n+ '&siness &+g3en 'ase+ $n re#evan crieria an+ is here%$re a #egii3ae eFercise $% 3anage3en *rer$gaive. In+ee+, $& $% $&r c$ncern %$r h$se #esser circ&3sance+ in #i%e, his C$&r has inc#ine+ $war+s he w$r
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acs Enri&e4 an+ Sia were he 'ranch 3anager an+ assisan 'ranch 3anager, res*ecive#), $% he BPI5Bac$#$+ Singcang Branch. Enri&e4 was %irs e3*#$)e+ ') BPI in 19"1 an+ ha+ 'een an e3*#$)ee here$% %$r ! )ears a he i3e $% her er3inai$n, whereas Sia ha+ 'een wih since 19", $r %$r a $a# $% !9 )ears a he i3e $% his +is3issa#. Res*$n+en L&is A. P&eneve##a =P&eneve##a? is $ne $% res*$n+ens *rinci*a# $%%icers an+ was i3*#ea+e+ in his *ers$na# ca*aci). Peii$ners versi$n $% he %acs

Peii$ners 3ainain ha $n !" 7ece3'er !((!, heir 'ranch eF*erience+ a heav) v$#&3e $% ransaci$ns $wing $ he %ac ha i was he #as 'an
BPI has a +i%%eren versi$n $% wha rans*ire+ $n !" 7ece3'er !((!. Acc$r+ing $ he3, e##er 7escarins sh$rage $% P-,(((.((, which she c$n%i+e+ $ her c$5e##er regi#, was inc&rre+ 'eca&se she ha+ e3*$rari#) '$rr$we+ he 3$ne) ha wee< $ *a) her %inancia# $'#igai$ns '& inen+e+ $ re&rn he sa3e $n he %irs wee< $% 6an&ar). Te##er regi# re*$re+ he 3aer $ Sia an+ Enri&e4, '$h $% wh$3 s&ggese+ ha e##er 7escarin %i## he sh$rage wih a #$an %r$3 her %a3i#). Te##er 7escarin re*#ie+ ha her %a3i#) +i+ n$ have he 3$ne), she insea+ '$rr$we+ he a3$&n %r$3 her in5#aws. Th&s, a 2!1 *.3., e##er 7escarin *$se+ he &nsigne+ wih+rawa# s#i* %$r he a3$&n $% P-,(((.(( agains he $in acc$&n $% her *arens5in5#aw. As he a3$&n eFcee+e+ he %#$$r #i3i %$r e##ers which w$&#+ re&ire he a**r$va# $% a s&*eri$r $%%icer, eiher Enri&e4 $r Sia a**r$ve+ he ransaci$n a 2!! *.3. as re%#ece+ $n he acc$&n rec$r+s. Te##er 7escarin herea%er #e% he 'an< $ sec&re he signa&re $% her 3$her5in5#aw Re3e+i$s an+ re&rne+ a *as "(( *.3. wih he signe+ wih+rawa# s#i*. Th&s, s$3ei3e in e'r&ar) !((, res*$n+en P&eneve##a iniiae+ %&rher invesigai$n $n he inci+en. Laer, $n  March !((, e##er regi# rerace+ her $rigina# sae3en an+ insea+ eFec&e+ an$her #eer c#ai3ing ha here was a c$ver5&* $% he sh$rage $n he +a) in &esi$n. Res*$n+ens asser ha he invesigai$n c$n+&ce+ ') he A&+iing 7ivisi$n $% BPI '$#sere+ e##er regi#s c#ai3s $% irreg&#ari) as he a&+i re*$r +isc#$se+ ha *eii$ners %ai#e+ $ 3a
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is r$&ine#) charge+ wih he care an+ c&s$+) $% he e3*#$)ers 3$ne) $r *r$*er). M$re$ver, he 'reach 3&s 'e re#ae+ $ he *er%$r3ance $% he e3*#$)ees %&nci$n. A#s$, i 3&s 'e sh$wn ha he e3*#$)ee is a 3anageria# e3*#$)ee, since he er3 r&s an+ c$n%i+ence is resrice+ $ sai+ c#ass $% e3*#$)ees. The SC %$&n+ s&%%icien 'asis in evi+ence $ acc$r+ %&## *r$'aive va#&e $ Te##er regi#s reraci$n #eer which she #aer a%%ir3e+ hr$&gh s&'se&en a%%i+avis. The in+e*en+en a&+i c$n+&ce+ ') he a&+iing +ivisi$n $% BPI n$a'#) s&**$rs her c#ai3 ha he wr$ng+$ing was c$ncea#e+ ') *eii$ners %r$3 res*$n+en 'an<. M$re$ver, a review $% he e##ers ransaci$n s&33ar) $% e##er 7escarin rein%$rces he c$nc#&si$n ha he sh$rage in her *ic$ '$F was +&e $ a e3*$rar) '$rr$wing, he c$ver5&* $% which was sanci$ne+ ') *eii$ners. I is #in+er he *ers$nne# *$#icies $% BPI, his ac $% *eii$ners &si%ies heir +is3issa# even $n he %irs $%%ense. Even ass&3ing he versi$n $% *eii$ners as he r&h, he %ac re3ains ha he) wi##%&##) +eci+e+ agains re*$ring he sh$rage ha $cc&rre+. As a res&#, in eiher si&ai$n, *eii$ners acs have ca&se+ res*$n+ens $ have a #egii3ae reas$n $ #$se he r&s re*$se+ in he3 as seni$r 3anageria# e3*#$)ees. Their *arici*ai$n in he c$ver5&* $% he 3isc$n+&c $% e##er 7escarin 3a
acs Res*$n+en was e3*#$)e+ ') *eii$ner R.B. Michae# Press as an $%%se 3achine $*era$r, wh$se w$r< sche+&#e was %r$3 (( a.3. $ 2(( *.3., M$n+a)s $ Sa&r+a)s, an+ he was *ai+ PhP!( a +a). 7&ring his e3*#$)3en, Ga#i was ar+) %$r a $a# $% 19( i3es, $a#ing $ -,11" 3in&es, an+ was a'sen wih$& #eave %$r a $a# $% nine an+ a ha#% +a)s. :n e'r&ar) !!, 1999, res*$n+en was $r+ere+ $ ren+er $veri3e service in $r+er $ c$3*#) wih a $' $r+er +ea+#ine, '& he re%&se+ $ +$ s$. The %$##$wing +a), res*$n+en re*$re+ %$r w$r< '& *eii$ner Esc$'ia $#+ hi3 n$ $ w$r<, an+ $ re&rn #aer in he a%ern$$n %$r a hearing. When he re&rne+, a c$*) $% an :%%ice Me3$ran+&3 was serve+ $n hi3, as %$##$ws T$Mr. Nicasi$ Ga#i r$3ANNALENE RE@ES5ESC:BIA ReWARNING :R 7ISMISSAL N:TICE : HEARING

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This warning %$r +is3issa# is 'eing iss&e+ %$r he %$##$wing $%%enses =1?ha'i&a# an+ eFcessive ar+iness =!?c$33iing acs $% +isc$&res), +isres*ec in a++ressing s&*eri$rs =?%ai#&re $ w$r< $veri3e a%er having 'een insr&ce+ $ +$ s$ =?Ins&'$r+inai$n ] wi##%&##) +is$'e)ing, +e%)ing $r +isregar+ing c$3*an) a&h$ri) The $%%enses )$&ve c$33ie+ are &s ca&ses %$r er3inai$n $% e3*#$)3en as *r$vi+e+ ') he La'$r C$+e. @$& were given ver'a# warnings 'e%$re, '& here ha+ 'een n$ i3*r$ve3en $n )$&r c$n+&c. &rher invesigai$n $% his 3aer is re&ire+, here%$re, )$& are s&33$ne+ $ a hearing a (( *.3. $+a). The hearing wi## +eer3ine )$&r e3*#$)3en sa&s wih his c$3*an). =SG7? ANNALENE RE@ES5ESC:BIA Manager :n e'r&ar) !, 1999, res*$n+en was er3inae+ %r$3 e3*#$)3en. The e3*#$)er, hr$&gh *eii$ner Esc$'ia, gave hi3 his w$5+a) sa#ar) an+ a er3inai$n #eer averring ha Ga#i was +is3isse+ +&e $ he %$##$wing $%%enses =1? ha'i&a# an+ eFcessive ar+iness =!? c$33issi$n $% +isc$&re$&s acs an+ +isres*ec%&# c$n+&c when a++ressing s&*eri$rs =? %ai#&re $ ren+er $veri3e w$r< +es*ie insr&ci$n $ +$ s$ an+ =? ins&'$r+inai$n, ha is, wi##%&# +is$'e+ience $%, +e%iance $, $r +isregar+ $% c$3*an) a&h$ri).. Res*$n+en s&'se&en#) %i#e+ a c$3*#ain %$r i##ega# +is3issa# an+ 3$ne) c#ai3s 'e%$re he Nai$na# La'$r Re#ai$ns C$33issi$n =NLRC?. Iss&es =1? W:N here was &s ca&se $ er3inae he e3*#$)3en $% res*$n+en, an+ wheher +&e *r$cess was $'serve+ in he +is3issa# *r$cess =!? W:N res*$n+en is eni#e+ $ 'ac
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In he *resen case, *eii$ners '&siness is a *rining *ress wh$se *r$+&ci$n sche+&#e is s$3ei3es %#eFi'#e an+ var)ing. I is $n#) reas$na'#e ha w$rn+er he win n$ice re&ire3en, he e3*#$)ees 3&s 'e given w$ =!? n$ices 'e%$re his e3*#$)3en c$&#+ 'e er3inae+ =1? a %irs n$ice $ a**rise he e3*#$)ees $% heir %a&#, an+ =!? a sec$n+ n$ice $ c$33&nicae $ he e3*#$)ees ha heir e3*#$)3en is 'eing er3inae+. N$ $ 'e a
acs Res*$n+en Pa'#$ Nagra3a, 6r. was iniia##) e3*#$)e+ ') *eii$ner as a 3ainenance 3echanic $n 6&ne !, 199 a he C$s3$s P#an in Ca&a)an, Isa'e#a. :n Se*e3'er 1", 199-, he was e#ece+ ') he #$ca# &ni$n as chie% sh$* sewar+. Res*$n+en was +esignae+ ') *eii$ner as wase waer rea3en $*era$r e%%ecive Se*e3'er !", 1999. Peii$ner hire+ C#ean #$w Phi#i**ines, Inc. $ c$n+&c raining se3inars $ ac&ain *eii$ners *ers$nne# $n he $*erai$ns $% he waer rea3en *#an. Res*$n+en was insr&ce+ $ aen+ he se3inar $ 'e he#+ $n Se*e3'er !"5(, 1999. He %ai#e+ $ aen+ he %irs w$ =!? +a)s $% he se3inar. In a #eer ') his i33e+iae s&*ervis$r, 6$se*hine 7. Ca#acien, +ae+ Se*e3'er !9, 1999, res*$n+en was in%$r3e+ ha charges $% a'an+$n3en $% +&) an+ gr$ss ins&'$r+inai$n ha+ 'een #$+ge+ agains hi3. He was re&ire+ $ s&'3i his wrien eF*#anai$n.

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Res*$n+en %i#e+ his eF*#anai$n $n Se*e3'er (, 1999. He c$nen+e+ ha he ha+ $ aen+ $ an a+3inisraive hearing %$r %e##$w &ni$niss which were he#+ a Saniag$, Isa'e#a ha 'e%$re he wen, he %irs sec&re+ *er3issi$n %r$3 he *#an c$nr$##er. He averre+ ha as a &ni$n $%%icia#, he is $'#igae+ $ aen+ $ he *r$'#e3s $% his %e##$w &ni$n 3e3'ers. Iss&e Is he +is3issa# 'ase+ $n he gr$&n+s $% a'an+$n3en an+ gr$ss ins&'$r+inai$n va#i+ R&#ing Tw$ =!? e#e3ens 3&s 'e sais%ie+ %$r an e3*#$)ee $ 'e g&i#) $% a'an+$n3en. The %irs is he %ai#&re $ re*$r %$r w$r< $r a'sence wih$& va#i+ $r &si%ia'#e reas$n. The sec$n+ is a c#ear ineni$n $ sever he e3*#$)er5e3*#$)ee re#ai$nshi*. The sec$n+ e#e3en is he 3$re +eer3inaive %ac$r an+ 3&s 'e evince+ ') $ver acs. Li
acs C$ra4$n P. Tag&ia3 was he C#ass A+viser $% Gra+e 25Es3era#+a $% he *eii$ner, Sch$$# $% he H$#) S*iri $% D&e4$n Ci). :n March 1(, !(((, he c#ass *resi+en, wr$e a #eer $ he gra+e sch$$# *rinci*a# re&esing *er3issi$n $ h$#+ a )ear5en+ ce#e'rai$n a he sch$$# gr$&n+s. The *rinci*a# a&h$ri4e+ he acivi) an+ a##$we+ he *&*i#s $ &se he swi33ing *$$#. In his c$nneci$n, res*$n+en +isri'&e+ he *arensg&ar+ians *er3i %$r3s $ he *&*i#s. C$ra4$n P. Tag&ia3 a+3ie+ ha Chiara Mae e+eric$s *er3i %$r3 was &nsigne+. Neverhe#ess, she c$nc#&+e+ ha Chiara Mae was a##$we+ ') her 3$her $ $in he acivi) since her 3$her *ers$na##) 'r$&gh her $ he sch$$# wih her *acn%$r&nae#), whi#e res*$n+en was awa), Chiara Mae +r$wne+. When she re&rne+, he 3ainenance 3an was a#rea+) a+3inisering car+i$*$nar) res&sciai$n $n Chiara Mae. The chi#+ was si## a#ive when res*$n+en r&she+ her $ he Genera# Ma#var H$s*ia# where she was *r$n$&nce+ +ea+ $n arriva#. C$ra4$n P. Tag&ia3 was +is3isse+ %$r gr$ss neg#igence res&#ing $ #$ss $% c$n%i+ence.

Was he +is3issa# 'ase+ $n he gr$&n+ as sae+ va#i+

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R&#ing @es he +is3issa# was va#i+. >n+er Aric#e !! $% he La'$r C$+e, gr$ss an+ ha'i&a# neg#ec $% +&ies is a va#i+ gr$&n+ %$r an e3*#$)er $ er3inae an e3*#$)ee. Gr$ss neg#igence i3*#ies a wan $r a'sence $% $r a %ai#&re $ eFercise s#igh care $r +i#igence, $r he enire a'sence $% care. I evinces a h$&gh#ess +isregar+ $% c$nse&ences wih$& eFering an) e%%$r $ av$i+ he3. Ha'i&a# neg#ec i3*#ies re*eae+ %ai#&re $ *er%$r3 $nes +&ies %$r a *eri$+ $% i3e, +e*en+ing &*$n he circ&3sances. Res*$n+en ha+ 'een gr$ss#) neg#igen. irs , i is &n+is*&e+ ha Chiara Maes *er3i %$r3 was &nsigne+. @e, res*$n+en a##$we+ her $ $in he acivi) 'eca&se she ass&3e+ ha Chiara Maes 3$her has a##$we+ her $ $in i ') *ers$na##) 'ringing her $ he sch$$# wih her *ac
acs Res*$n+en Grace M. M$ra#es =M$ra#es? a**#ie+ %$r an+ was hire+ as rece*i$nis ') *eii$ner >niversa# Sa%%ing Services, Inc. =>SSI? in 'eha#% $% is *rinci*a# 6in iang Inernai$na# La'$&r S&**#) $% >nie+ Ara' E3iraes =>.A.E.?. The c$nrac +&#) a**r$ve+ ') he Phi#i**ine :verseas E3*#$)3en A+3inisrai$n =P:EA?, *r$vi+e+ %$r an e3*#$)3en er3 $% w$ =!? )ears wih a 3$nh#) sa#ar) $% 7hs1, 1((.((. A%er Ten =1(? 3$nhs $% w$r< in A# San+$s S&ies =A# San+$s? A'& 7ha'i, >.A.E. M$ra#es e3*#$)3en was er3inae+ a##ege+#) +&e $ her *$$r w$r< *er%$r3ance. M$ra#es receive+ 7hs1,((.(( as %&## an+ %ina# se#e3en $% a## her c#ai3s $n 6an&ar) 1, !((, an+ was re*ariae+ $n 6an&ar) ", !((. C#ai3ing ha she was i##ega##) er3inae+, M$ra#es %i#e+ a c$3*#ain %$r i##ega# +is3issa# an+ n$n5*a)3en $% $veri3e an+ vacai$n *a) agains >SSI an+ A# San+$s H$e# Manage3en wih he La'$r Ar'ier. Iss&e Wheher $r n$ M$ra#es is i##ega##) +is3isse+ R&#ing

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>SSI insiss ha M$ra#es +is3issa# was 'ase+ $n a va#i+ an+ #ega# gr$&n+. The La'$r Ar'ier #en cre+ence $ >SSIs *$s&re an+ +is3isse+ M$ra#es c$3*#ain, '& he NLRC an+ he CA reverse+ he Ar'iers %in+ings. M$ra#es was +is3isse+ %$r her a##ege+ *$$r *er%$r3ance. As a genera# c$nce*, *$$r *er%$r3ance is e&iva#en $ ine%%icienc) an+ inc$3*eence in he *er%$r3ance $% $%%icia# +&ies. >n+er Aric#e !! $% he La'$r C$+e, an &nsais%ac$r) raing can 'e a &s ca&se %$r +is3issa# $n#) i% i a3$&ns $ gr$ss an+ ha'i&a# neg#ec $% +&ies. Th&s, he %ac ha an e3*#$)ees *er%$r3ance is %$&n+ $ 'e *$$r $r &nsais%ac$r) +$es n$ necessari#) 3ean ha he e3*#$)ee is gr$ss#) an+ ha'i&a##) neg#igen $% his +&ies. Gr$ss neg#igence i3*#ies a wan $r a'sence $% $r %ai#&re $ eFercise s#igh care $r +i#igence, $r he enire a'sence $% care. I evinces a h$&gh#ess +isregar+ $% c$nse&ences wih$& eFering an) e%%$r $ av$i+ he3. N$ s&'sania# evi+ence was *resene+ $ s&'saniae he ca&se $% M$ra#es +is3issa#. irs, >SSI %ai#e+ $ cie *aric&#ar acs $r insances ha w$&#+ va#i+ae is c#ai3 $% M$ra#es *$$r *er%$r3ance. Sec$n+, n$ c$nvincing *r$$% was $%%ere+ $ s&'saniae M$ra#es a##ege+ *$$r *er%$r3ance. The *rinci*#e ech$e+ an+ reech$e+ in &ris*r&+ence is ha he $n&s $% *r$ving ha he e3*#$)ee was +is3isse+ %$r a &s ca&se ress $n he e3*#$)er, an+ he #aers %ai#&re $ +ischarge ha '&r+en w$&#+ res&# in a %in+ing ha he +is3issa# is &n&si%ie+. &rher3$re, M$ra#es was n$ acc$r+e+ +&e *r$cess. >n+er Aric#e !""='? $% he La'$r C$+e, he e3*#$)er 3&s sen+ he e3*#$)ee wh$ is a'$& $ 'e er3inae+, a wrien n$ice saing he ca&ses %$r er3inai$n an+ 3&s give he e3*#$)ee he $**$r&ni) $ 'e hear+ an+ $ +e%en+ hi3se#%. There was n$ sh$wing ha A# San+$s warne+ M$ra#es $% her a##ege+ *$$r *er%$r3ance. Liniversa# Sa%%ing Services, Inc. is $r+ere+ $ *a) M$ra#es hree =? 3$nhs sa#ar) $r 7hs,((.((, $r is *es$ e&iva#en. The awar+s $% $veri3e an+ h$#i+a) *a), as we## as a$rne)s %ees, are 7ELETE7.

acs Peii$ner ASAP is he +&#) ceri%ie+ c$##ecive 'argaining re*resenaive $% PAL %#igh aen+ans an+ sewar+s, $r c$##ecive#)
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Meanwhi#e, 3$nhs a%er he 6&ne 12, 199 3ass +is3issa# $% is ca'in crew *ers$nne#, PAL 'egan reca##ing $ service h$se i ha+ *revi$&s#) rerenche+. Th&s, in N$ve3'er 199 an+ &* $ March 1999 severa# $% h$se rerenche+ were ca##e+ 'ac< $ service. T$ +ae, PAL c#ai3s $ have reca##e+ !( $% he rerenche+ ca'in crew *ers$nne#. ASAP, h$wever, c#ai3s ha $n#) ( were reca##e+ as $% 6an&ar) !((1. Iss&e Wheher PALs rerench3en sche3e was &si%ie+. R&#ing N$. >n+er he La'$r C$+e, rerench3en $r re+&ci$n $% e3*#$)ees is a&h$ri4e+ as %$##$ws ART. !. C#$s&re $% esa'#ish3en an+ re+&ci$n $% *ers$nne#. 5 The e3*#$)er 3a) a#s$ er3inae he e3*#$)3en $% an) e3*#$)ee +&e $ he insa##ai$n $% #a'$r5saving +evices, re+&n+anc), rerench3en $ *reven #$sses $r he c#$sing $r cessai$n $% $*erai$n $% he esa'#ish3en $r &n+era
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The e3*#$)ers *rer$gaive $ #a)$%% e3*#$)ees is s&'ec $ cerain #i3iai$ns. The #aw s*eaRTH ELEMENT C$nce+e+#), rerench3en $ *reven #$sses is an a&h$ri4e+ ca&se %$r er3inaing e3*#$)3en an+ he +ecisi$n wheher $ res$r $ s&ch 3$ve $r n$ is a 3anage3en *rer$gaive. H$wever, he righ $% an e3*#$)er $ +is3iss an e3*#$)ee +i%%ers %r$3 an+ sh$&#+ n$ 'e c$n%&se+ wih he 3anner in which s&ch righ is eFercise+. I 3&s n$ 'e $**ressive an+ a'&sive since i a%%ecs $nes *ers$n an+ *r$*er). :n he re&ire3en ha he *rer$gaive $ rerench 3&s 'e eFercise+ in g$$+ %aih, we have r&#e+ ha he hiring $% new e3*#$)ees an+ s&'se&en rehiring $% rerenche+ e3*#$)ees c$nsi&e 'a+ %aih ha he %ai#&re $% he e3*#$)er $ res$r $ $her #ess +rasic 3eas&res han rerench3en seri$&s#) 'e#ies is c#ai3 ha rerench3en was +$ne in g$$+ %aih $ av$i+ #$sses an+ ha he +e3$nsrae+ ar'irariness in he se#eci$n $% which $% is e3*#$)ees $ rerench is %&rher *r$$% $% he i##ega#i) $% he e3*#$)ers rerench3en *r$gra3, n$ $ 3eni$n is 'a+ %aih. When PAL i3*#e3ene+ P#an !!, insea+ $% P#an 1, which was wha i ha+ $rigina##) 3a+e

reca##e+ '& assigne+ $ #$wer *$sii$ns =i.e., +e3$e+?, an+, w$rse, s$3e as new hires, wih$& +&e regar+ %$r heir #$ng )ears $% service wih he air#ine. The irreg&#ari) $% PALs i3*#e3enai$n $% P#an 1 'ec$3es 3$re a**aren when i rehire+ 1( *r$'ai$nar) ca'in aen+ans wh$se services i ha+ *revi$&s#) er3inae+, an+ )e *r$cee+e+ $ er3inae he services $% is *er3anen ca'in crew *ers$nne#. In s&3, we %in+ ha PAL ha+ i3*#e3ene+ is rerench3en *r$gra3 in an ar'irar) 3anner an+ wih evi+en 'a+ %aih, which *re&+ice+ he en&ria# righs $% he ca'in crew *ers$nne#. ITH ELEMENT In se#ecing e3*#$)ees $ 'e +is3isse+, %air an+ reas$na'#e crieria 3&s 'e &se+, s&ch as '& n$ #i3ie+ $ =a? #ess *re%erre+ sa&s =e.g., e3*$rar) e3*#$)ee?, ='? e%%icienc) an+ =c? seni$ri). In he i3*#e3enai$n $% is rerench3en sche3e, PAL eva#&ae+ he ca'in crew *ers$nne#s *er%$r3ance +&ring he )ear *rece+ing he rerench3en =199"?, 'ase+ $n he %$##$wing se $% crieria $r raing varia'#es %$&n+ in he Per%$r3ance Eva#&ai$n $r3 $% he ca'in crew *ers$nne#s Gr$$3ing an+ A**earance Han+'$$< A.

INLIGHT PR:ICIENC@ E8AL>ATI:N (

B.

6:B PER:RMANCE 2 S*ecia# Awar+ `2 C$33en+ai$ns `! A**reciai$n `1 7isci*#inar) Aci$ns Re3in+er =5?, WarningA+3$nii$n ; Re*ri3an+s =52?, S&s*ensi$n =5!(?, Passenger C$3*#ains =5(?, A**earance =51(?

C.

ATTEN7ANCE 2 Per%ec Aen+ance `! Misse+ Assign3en 5( Sic< Leaves in eFcess $% a##$3en an+ $her #eaves in eFcess $% a##$3en 5!( Tar+iness 51( 1/90

The a**e##ae c$&r he#+ ha here was n$ nee+ %$r PAL $ c$ns&# wih ASAP regar+ing san+ar+s $r crieria ha he air#ine w$&#+ &i#i4e in he i3*#e3enai$n $% he rerench3en *r$gra3 an+ ha he crieria ac&a##) &se+ which was &ni#aera##) %$r3&#ae+ ') PAL &sing is Per%$r3ance Eva#&ai$n $r3 in is Gr$$3ing an+ A**earance Han+'$$< was reas$na'#e an+ %air. In+ee+, PAL was n$ $'#igae+ $ c$ns&# ASAP regar+ing he san+ar+s i w$&#+ &se in eva#&aing he *er%$r3ance $% he each ca'in crew. H$wever, he crieria &i#i4e+ ') PAL in he ac&a# rerench3en were n$ reas$na'#e an+ %air. In+ee+, he NLRC 3a+e a +eai#e+ #ising $% he rerench3en sche3e 'ase+ $n he ICC7 Maseran< an+ Seni$ri) 199" Raings. I %$&n+ he %$##$wing 1. !. . . 2.

N&3'er $% e3*#$)ees rerenche+ +&e $ inverse seni$ri) r&#e an+ $her reas$ns 55 2 N&3'er $% e3*#$)ees rerenche+ +&e $ eFcess sic< #eaves 55 !99 N&3'er $% e3*#$)ees wh$ were rerenche+ +&e $ eFcess sic< #eave an+ $her reas$ns 55 -1 N&3'er $% e3*#$)ees wh$ were rerenche+ +&e $ $her reas$ns 55 1(" N&3'er $% e3*#$ )ees wh$ were +e3$e+ 55 22!

T$a# 55 1,". Pr$3inen %r$3 he a'$ve +aa is he rerench3en $% ca'in crew *ers$nne# +&e $ $her reas$ns which, h$wever, are n$ s*eci%ica##) sae+ an+ sh$wn $ 'e %$r a va#i+ ca&se. This is n$ a##$we+ 'eca&se i has n$ 'asis in %ac an+ in #aw. M$re$ver, in assessing he $vera## *er%$r3ance $% each ca'in crew *ers$nne#, PAL $n#) c$nsi+ere+ he )ear 199". This 3a
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c$nce* $% seni$ri), #$)a#) an+ *as e%%icienc), an+ reae+ a## ca'in aen+ans as i% he) were $n e&a# %$$ing, wih n$ $ne 3$re seni$r han he $her . In s&3, PALs rerench3en *r$gra3 is i##ega# 'eca&se i was 'ase+ $n wr$ng%&# *re3ise =P#an 1, which in rea#i) &rne+ $& $ 'e P#an !!, res&#ing in rerench3en $% 3$re ca'in aen+ans han was necessar)? an+ in a se $% crieria $r raing varia'#es ha is &n%air an+ &nreas$na'#e when i3*#e3ene+. I %ai#e+ $ a
IN7ING res*$n+en Phi#i**ine Air#ines, Inc. G>ILT@ $% i##ega# +is3issa#

!. :R7ERING Phi#i**ine Air Lines, Inc. $ rein sae he ca'in crew *ers$nne# wh$ were c$vere+ ') he rerench3en an+ +e3$i$n sche3e $% 6&ne 12, 199 3a+e e%%ecive $n 6&#) 12, 199, wih$& #$ss $% seni$ri) righs an+ $her *rivi#eges, an+ $ *a) he3 %&## 'ac
:R7ERING Phi#i**ine Air#ines, Inc. $ *a) a$rne)s %ees e&iva#en $ en *ercen =1(? $% he $a# 3$near) awar+.

C$ss agains res*$n+en PAL.

acs 6$anna Canre 7avis was agenc) a+3inisrai$n $%%icer $% 6$hn Hanc$c< Li%e Ins&rance C$r*$rai$n. :n :c$'er 1, !(((, Paricia @&sec$, 6HLICs c$r*$rae a%%airs 3anager, +isc$vere+ ha her wa##e was 3issing. She i33e+iae#) re*$re+ he #$ss $% her cre+i car+s $ AIG an+ BPI EF*ress. T$ her s&r*rise, she was in%$r3e+ ha Paricia @&sec$ ha+ &s 3a+e s&'sania# *&rchases &sing her cre+i car+s in vari$&s s$res in he Ci) $% Mani#a. She was a#s$ $#+ ha a *r$*$se+ ransaci$n in A'ens$ns5R$'ins$ns P#ace was +isa**r$ve+ 'eca&se she gave he wr$ng in%$r3ai$n &*$n veri%icai$n. Beca&se #$ss $% *ers$na# *r$*er) a3$ng is e3*#$)ees ha+ 'ec$3e ra3*an in is $%%ice, *eii$ner s$&gh he assisance $% NBI. The NBI, $'aine+ a sec&ri) vi+e$ %r$3 A'ens$ns sh$wing he *ers$n wh$ &se+ @&sec$s cre+i car+s. @&sec$ an+ $her winesses *$siive#) i+eni%ie+ he *ers$n in he vi+e$ as 7avis NBI an+ @&sec$ %i#e+ a c$3*#ain %$r &a#i%ie+ he% agains 7avis '& 'eca&se he a%%i+avis *resene+ ') he NBI =i+eni%)ing res*$n+en as he c &#*ri? were n$ *r$*er#) veri%ie+, he ci) *r$sec&$r +is3isse+ he c$3*#ain +&e $ ins&%%icienc) $% evi+ence. Meanwhi#e, *eii$ner *#ace+ 7avis &n+er *revenive s&s*ensi$n an+ insr&ce+ her $ c$$*erae wih is $ng$ing invesigai$n. 7avis %i#e+ a c$3*#ain %$r i##ega# +is3issa# a##eging ha *eii$ner er3inae+ her e3*#$)3en wih$& ca&se. The #a'$r ar'ier, in Ma) !1, !((!, %$&n+ ha 7avis c$33ie+ seri$&s 3isc$n+&c =she was he *rinci*a# s&s*ec %$r &a#i%ie+ he% c$33ie+ insi+e *eii$ners $%%ice +&ring w$r< h$&rs?. There was a va#i+ ca&se %$r her +is3issa#. Th&s, he c$3*#ain was +is3isse+ %$r #ac< $% 3eri. >*$n a**ea#, NLRC a%%ir3e+ he #a'$r ar'ier in 6&#) 1, !(( an+ +enie+ her 3$i$n %$r rec$nsi+erai$n in :c$'er (, !((. >*$n *eii$n %$r ceri$rari %i#e+ wih he CA, CA $n 6&#) , !((2 grane+ he *eii$n h$#+ing ha he #a'$r ar'ier an+ NLRC 3ere#) a+$*e+ he %in+ings $% he NBI regar+ing res*$n+ens c&#*a'i#i). Beca&se he a%%i+avis $% he winesses were n$ veri%ie+, he) +i+ n$ c$nsi&e s&'sania# evi+ence. The #a'$r ar'ier an+ NLRC sh$&#+ have assesse+ evi+ence in+e*en+en#) as &ns&'saniae+ s&s*ici$ns, acc&sai$ns an+ c$nc#&si$ns $% e3*#$)ers =+i+? n$ *r$vi+e #ega# &si%icai$n %$r +is3issing an e3*#$)ee. Peii$ner 3$ve+ %$r rec$nsi+erai$n '& i was +enie+. Hence, his *eii$n where *eii$ner arg&es ha he gr$&n+ %$r an e3*#$)ees +is3issa# nee+ $n#) 'e *r$ven ') s&'sania# evi+ence. Th&s, he +r$**ing $% charges agains an e3*#$)ee =es*ecia##) $n a echnica#i) s&ch as #ac< $% *r$*er veri%icai$n? $r his s&'se&en ac&ia# +$es n$ *rec#&+e an e3*#$)er %r$3 +is3issing hi3 +&e $ seri$&s 3isc$n+&c. Iss&e Wheher $r n$ *eii$ner s&'sania##) *r$ve+ he *resence $% va#i+ ca&se %$r res*$n+ens er3inai$n.

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LABOR RELATIONS Aty. Jeferson M. Marquez R&#ing

S&*re3e C$&r grane+ he *eii$n an+ r&#e+ ha *eii$ner va#i+#) +is3isse+ 7avis %$r ca&se ana#$g$&s $ seri$&s 3isc$n+&c. Aric#e !! $% he La'$r C$+e *r$vi+es Ter3inai$n ') E3*#$)er. ] An e3*#$)er 3a) er3inae an e3*#$)3en %$r an) $% he %$##$wing ca&ses =a? Seri$&s 3isc$n+&c $r wi##%&# +is$'e+ience ') he e3*#$)ee $% he #aw%&# $r+ers $% his e3*#$)er $r his re*resenaives in c$nneci$n wih his w$r< =e? :her ca&ses ana#$g$&s $ he %$reg$ing. Misc$n+&c inv$#ves he ransgressi$n $% s$3e esa'#ishe+ an+ +e%inie r&#e $% aci$n, %$r'i++en ac, a +ere#ici$n $% +&), wi##%&# in characer, an+ i3*#ies wr$ng%&# inen an+ n$ 3ere err$r in &+g3en. $r 3isc$n+&c $ 'e seri$&s an+ here%$re a va#i+ gr$&n+ %$r +is3issa#, i 3&s 'e $% grave an+ aggravae+ characer an+ n$ 3ere#) rivia# $r &ni3*$ran an+ c$nnece+ wih he w$r< $% he e3*#$)ee. In his case, *eii$ner +is3isse+ 7avis 'ase+ $n he NBIs %in+ing ha he #aer s$#e an+ &se+ @&sec$s cre+i car+s. B& since he he% was n$ c$33ie+ agains *eii$ner ise#% '& agains $ne $% is e3*#$)ees, res*$n+ens 3isc$n+&c was n$ w$r<5re#ae+ an+ here%$re, she c$&#+ n$ 'e +is3isse+ %$r seri$&s 3isc$n+&c. N$nehe#ess, Aric#e !! =e? $% he La'$r C$+e a#
acs Res*$n+en Ma3ac was hire+ as '&s c$n+&c$r $% 7$n Marian$ Transi C$r*$rai$n =7MTC? $n A*ri# !9, 1999. Res*$n+en was re&ire+ $ acc$3*#ish a C$n+&c$rs Tri* Re*$r an+ s&'3i i $ he c$3*an) a%er each ri*. As a 'ac*$n a&+i $% he :c$'er !, !((1 C$n+&c$rs Re*$r $% res*$n+en, TI n$e+ an irreg&#ari). I +isc$vere+ ha res*$n+en +ec#are+ severa# s$#+ ic
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Iss&e Wheher $r n$ *r$ce+&ra# re&ire3ens were c$3*#ie+ wih. R&#ing 7&e *r$cess &n+er he La'$r C$+e inv$#ves w$ as*ecs %irs, s&'sanive ] he va#i+ an+ a&h$ri4e+ ca&ses $% er3inai$n $% e3*#$)3en &n+er he La'$r C$+e an+ sec$n+, *r$ce+&ra# ] he 3anner $% +is3issa#. N$n5c$3*#iance wih he 7&e Pr$cess Re&ire3ens Ar. !"" $% he La'$r C$+e *r$vi+es he 3anner $% er3inai$n $% e3*#$)3en, h&s Ar. !"". Misce##ane$&s Pr$visi$ns. ] . . . ='?S&'ec $ he c$nsi&i$na# righ $% w$r
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In he insan case, TI a+3is ha i ha+ %ai#e+ $ *r$vi+e res*$n+en wih a charge shee. H$wever, i 3ainains ha i ha+ s&'sania##) c$3*#ie+ wih he r&#es, c#ai3ing ha res*$n+en w$&#+ n$ have iss&e+ a wrien eF*#anai$n ha+ he n$ 'een in%$r3e+ $% he charges agains hi3. We are n$ c$nvince+. irs, res*$n+en was n$ iss&e+ a wrien n$ice charging hi3 $% c$33iing an in%raci$n. The #aw is c#ear $n he 3aer. A ver'a# a**raisa# $% he charges agains an e3*#$)ee +$es n$ c$3*#) wih he %irs n$ice re&ire3en. In Pe*si C$#a B$#ing C$. v. NLRC, he C$&r he#+ ha c$ns&#ai$ns $r c$n%erences are n$ a s&'si&e %$r he ac&a# $'servance $% n$ice an+ hearing. Sec$n+, he C$&r $'serve+ he irreg&#ari) re*$rs agains res*$n+en %$r his $her $%%enses ha s&ch c $naine+ 3ere#) a genera# +escri*i$n $% he charges agains hi3. The re*$rs +i+ n$ even sae a c$3*an) r&#e $r *$#ic) ha he e3*#$)ee ha+ a##ege+#) vi$#ae+. Li
acs Ar3an+$ G. @ras&eg&i was a %$r3er inernai$na# %#igh sewar+ $% Phi#i**ine Air#ines, Inc. =PAL?. He san+s %ive %ee an+ eigh inches =2K? wih a #arge '$+) %ra3e. The *r$*er weigh %$r a 3an $% his heigh an+ '$+) sr&c&re is %r$3 1" $ 1-- *$&n+s, he i+ea# weigh 'eing 1-- *$&n+s, as 3an+ae+ ') he Ca'in an+ Crew A+3inisrai$n Man&a# $% PAL. His weigh *r$'#e3 +aes 'ac< $ 19 when PAL a+vise+ hi3 $ g$ $n an eFen+e+ vacai$n #eave %r$3 7ece3'er !9, 19 $ March , 192 $ a++ress his weigh c$ncerns. $r %ai#&re $ 3ee he weigh san+ar+s an$her #eave wih$& *a) %r$3 March 2, 192 $ N$ve3'er 192 was i3*$se+. He 3e he re&ire+ weigh an+ was a##$we+ $ w$r< '& his weigh *r$'#e3 rec&rre+, h&s an$her #eave wih$& *a) %r$3 :c$'er 1", 19 $ e'r&ar) 199. r$3 199 $ 199! his weigh %#&c&ae+ %r$3 !(9#', !12#', !1"#', !1!#', an+ !(2. 7&ring ha *eri$+ he was re&ese+ $ #$se weigh an+ $ re*$r %$r weigh chec
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LABOR RELATIONS Aty. Jeferson M. Marquez &a#i%icai$ns %$r an e3*#$)ees *$sii$n. Q The %ai#&re $ 3ee he e3*#$)ers &a#i%)ing san+ar+s is in %ac a gr$&n+ ha +$es n$ s&are#)

%a## &n+er gr$&n+s =a? $ =+? an+ is here%$re $ne ha %a##s &n+er Aric#e !!=e? O he J$her ca&ses ana#$g$&s $ he %$reg$ing.K B) is na&re, hese J&a#i%)ing san+ar+sK are n$r3s ha a**#) *ri$r $ an+ a%er an e3*#$)ee is hire+. F F F We h$#+ ha he $'esi) $% *eii$ner, when *#ace+ in he c$neF $% his w$r< as %#igh aen+an, 'ec$3es an ana#$g$&s ca&se &n+er Aric#e !!=e? $% he La'$r C$+e ha &si%ies his +is3issa# %r$3 he service. His $'esi) 3a) n$ 'e &ninen+e+, '& is n$nehe#ess v$#&nar). II. The +is3issa# $% *eii$ner can 'e *re+icae+ $n he '$na %i+e $cc&*ai$na# &a#i%icai$n +e%ense. E3*#$)3en in *aric&#ar $'s 3a) n$ 'e #i3ie+ $ *ers$ns $% a *aric&#ar seF, re#igi$n, $r nai$na# $rigin &n#ess he e3*#$)er can sh$w ha seF, re#igi$n, $r nai$na# $rigin is an ac&a# &a#i%icai$n %$r *er%$r3ing he $'. The &a#i%icai$n is ca##e+ a '$na %i+e $cc&*ai$na# &a#i%icai$n =B:D?. A c$33$n carrier, %r$3 he na&re $% is '&siness an+ %$r reas$ns $% *&'#ic *$#ic), is '$&n+ $ $'serve eFra$r+inar) +i#igence %$r he sa%e) $% he *assengers i rans*$rs. Th&s, i is $n#) #$gica# $ h$#+ ha he weigh san+ar+s $% PAL sh$w is e%%$r $ c$3*#) wih he eFacing $'#igai$ns i3*$se+ &*$n i ') #aw ') vir&e $% 'eing a c$33$n carrier. The *ri3ar) $'ecive $% PAL in he i3*$sii$n $% he weigh san+ar+s %$r ca'in crew is %#igh sa%e). The as< $% a ca'in crew $r %#igh aen+an is n$ #i3ie+ $ serving 3ea#s $r aen+ing $ he whi3s an+ ca*rices $% he *assengers. The 3$s i3*$ran acivi) $% he ca'in crew is $ care %$r he sa%e) $% *assengers an+ he evac&ai$n $% he aircra% when an e3ergenc) $cc&rs. Passenger sa%e) g$es $ he c$re $% he $' $% a ca'in aen+an. Tr&#), air#ines nee+ ca'in aen+ans wh$ have he necessar) srengh $ $*en e3ergenc) +$$rs, he agi#i) $ aen+ $ *assengers in cra3*e+ w$r
acs Peii$ner 6&#i$ Saga#es was e3*#$)e+ ') res*$n+en R&sans C$33ercia# C$r*$rai$n $cc&*)ing he *$sii$n $% Chie% C$$< a he @&3 @&3 Tree C$%%ee Sh$* %r$3 :c$'er 19"( &ni# 6&#) !-, !((1, when he was er3inae+. He was *ai+ a 'asic 3$nh#) sa#ar) $% P9,(.((. He was a#s$ receiving service charge $% n$ #ess han P,(((.(( a 3$nh an+ $her 'ene%is &n+er he #aw. Peii$ner was a#s$ a c$nsisen reci*ien $% n&3er$&s ciai$ns %$r his *er%$r3ance. A%er receiving his #aes awar+, *eii$ner c$nve)e+ $ res*$n+en his ineni$n $% reiring, a%er reaching 1 )ears in service. Peii$ner, h$wever, was n$ a##$we+ $ reire wih his h$n$r inac. :n 6&ne 1, !((1, Sec&ri) G&ar+ Magang$' a**rehen+e+ *eii$ner in he ac $% a
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hea+s serve+ $ c&s$3ers. He '$&gh he s&i+ hea+s s$ ha he) c$&#+ 'e eaen insea+ $% 'eing hr$wn awa). I% he inen+e+ $ sea# %r$3 res*$n+en, he c$&#+ have s$#en $her va#&a'#e ie3s insea+ $% scra*. Pine+a 'e#ieve+ he versi$n $% *eii$ner an+ rec$33en+e+ he +is3issa# $% he case %$r J#ac< $% evi+ence.K A %$r3a# invesigai$n was c$n+&ce+ ') he Lega# 7e*ar3en $n 6&#) -, !((1. Res*$n+en +i+ n$ %in+ 3eri in he eF*#anai$n $% *eii$ner. Th&s, *eii$ner was +is3isse+ %r$3 service $n 6&#) !-, !((1. A ha i3e, *eii$ner ha+ 'een &n+er *revenive s&s*ensi$n %$r 1 3$nh. Aggrieve+, *eii$ner %i#e+ a c$3*#ain %$r i##ega# +is3issa# agains res*$n+en. He a#s$ *ra)e+ %$r &n*ai+ sa#arieswages, $veri3e *a), as we## as 3$ra# an+ eFe3*#ar) +a3ages, a$rne)s %ees, an+ service charges. La'$r Ar'ier Pai +is3isse+ he c$3*#ain. Acc$r+ing $ he La'$r Ar'ier, he na&re $% he res*$nsi'i#i) $% *eii$ner Jwas n$ ha $% an $r+inar) e3*#$)ee.K I hen wen $n $ caeg$ri4e *eii$ner as a s&*ervis$r in Ja *$sii$n $% res*$nsi'i#i) where r&s an+ c$n%i+ence is inheren#) in%&se+.K As s&ch, i 'eh$$ve+ hi3 J$ 'e 3$re

Sec&ri) $% en&re is a *ara3$&n righ $% ever) e3*#$)ee ha is he#+ sacre+ ') he C$nsi&i$n. The reas$n %$r his is ha #a'$r is +ee3e+ $ 'e J*r$*er)K wihin he 3eaning $% c$nsi&i$na# g&aranees. In+ee+, as i is he *$#ic) $% he Sae $ g&aranee he righ $% ever) w$r
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acs This case se33e+ %r$3 an a+3inisraive charge %i#e+ ') PAL agains e3*#$)ees, herein *eii$ners a%er a##ege+#) 'eing ca&gh in he ac $% sni%%ing sha'& in he w$r<*#ace. A%er +&e n$ice, PAL +is3isse+ *eii$ners *r$3*ing he #aer $ %i#e a c$3*#ain %$r i##ega# +is3issa# which was res$#ve+ ') he La'$r Ar'ier in heir %av$r $r+ering iner a#ia heir reinsae3en. S&'se&en#), res*$n+en c$3*an) was *#ace+ &n+er c$r*$rae reha'i#iai$n. r$3 he La'$r Ar'ier, res*$n+en a**ea#e+ $ NLRC which reverse+ sai+ +ecisi$n. Laer, a wri $% eFec&i$n as regar+s he reinsae3en was iss&e+ ') he La'$r Ar'ier. Res*$n+en hen %i#e+ an &rgen *eii$n %$r in&nci$n $n he gr$&n+ ha i cann$ c$3*#) wih he reinsae3en $r+er +&e $ is c$r*$rae reha'i#iai$n. Iss&es 1. Wheher a s&'se&en %in+ing $% a va#i+ +is3issa# ') NLRC re3$ves he 'asis %$r i3*#e3ening he reinsae3en as*ec $% he La'$r Ar'iers +ecisi$n !. Wheher res*$n+en c$3*an) is &si%ie+ in re%&sing $ c$3*#) wih s&ch reinsae3en $r+er in view $% is c$r*$rae reha'i#iai$n R&#ing :n he %irs iss&e, &ris*r&+enia# ren+ has 3ainaine+ ha even i% he $r+er $% reinsae3en $% he La'$r Ar'ier is reverse+ $n a**ea#, i is $'#iga$r) $n he *ar $% he e3*#$)er $ reinsae an+ *a) he wages $% he +is3isse+ e3*#$)ee +&ring he *eri$+ $% a**ea# &ni# reversa# ') he higher c$&r. The e3*#$)ee is n$ re&ire+ $ rei3'&rse whaever sa#ar) he 3a) have receive+ %$r he is eni#e+ $ s&ch. The $**$sie view is aric&#ae+ in Gen&in$ vs NLRC which saes JI% he +ecisi$n $% he La'$r Ar'ier is #aer reverse+ $n a**ea# &*$n he %in+ing ha he gr$&n+ %$r +is3issa# is va#i+, hen he e3*#$)er has he righ $ re&ire he +is3isse+ e3*#$)ee $n *a)r$## reinsae3en $ re%&n+ he sa#aries he $r she receive+ whi#e he case was *en+ing a**ea#, FFF. C$nsi+ering ha Gen&in$ was n$ reinsae+ $ w$r< $r *#ace+ $n *a)r$## reinsae3en, an+ her +is3issa# is 'ase+ $n a &s ca&se, hen she is n$ eni#e+ $ 'e *ai+ he sa#aries FFF.K H$wever, he +earh $% a&h$ri) s&**$ring Gen&in$ ren+ers in&i#e he rai$na#e $% reinsae3en *en+ing a**ea#. P&rs&an $ *$#ice *$wer, he Sae 3a) a&h$ri4e an i33e+iae i3*#e3enai$n, *en+ing a**ea# $% a +ecisi$n reinsaing a +is3isse+ $r se*arae+ e3*#$)ee since ha saving ac is +esigne+ $ s$*, a#h$&gh e3*$rari#) since he a**ea# 3a) 'e +eci+e+ in %av$r $% he a**e##an, a c$nin&ing hrea $r +anger $ he s&rviva# $r even he #i%e $% he +is3isse+ $r se*arae+ e3*#$)ee an+ his %a3i#). Th&s, he J Re%&n+ 7$crine K easi#) +e3$nsraes h$w a %av$ra'#e +ecisi$n ') he La'$r Ar'ier c$&#+ har3 3$re han he#* a +is3isse+ e3*#$)ee. The e3*#$)ee, $ 3a
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acs Privae res*$n+en Bacn$an Ce3en C$r*$rai$n =res*$n+en c$3*an)?, n$w ni$n Ce3en W$rni$n =*eii$ner >ni$n? enere+ in$ a Me3$ran+&3 $% Agree3en $n 19 6&#) 199", where') res*$n+en c$3*an) c$33ie+ $ gran se*arai$n *a) e&iva#en $ 12( $% he 3$nh#) 'asic *a) %$r ever) )ear $% service *#&s he a++ii$na# %iFe+ a3$&n $% P!",(((.(( $ e3*#$)ees wh$ w$&#+ 'e er3inae+ as a res&# $% he c#$s&re $% he we #ine. In an $*en #eer +ae+ 11 A&g&s 199", Mag+a#en$ B. A#'arracin, 6r., he res*$n+en c$3*an)s Seni$r EFec&ive 8ice Presi+en, n$i%ie+ he e3*#$)ees $% he is +ecisi$n $ 3$h'a## he we #ine an+ he er3inai$n $% h$se wh$se e3*#$)3en w$&#+ 'ec$3e &nnecessar) as a res&# $% he c#$s&re. :n 12 A&g&s 199", res*$n+en c$3*an) sen a #eer $ he $%%ice $% Ricar+$ S. Marine4, Regi$na# 7irec$r $% he 7e*ar3en $% La'$r an+ E3*#$)3en =7:LE?, in%$r3ing hi3 a'$& res*$n+en c$3*an)s +ecisi$n $ sh& +$wn he we #ine an+ %&rnishing hi3 he #is $% a%%ece+ e3*#$)ees. :n 1- A&g&s 199", res*$n+en c$3*an) sen n$ices $% er3inai$n $ 3$re $r #ess !(( e3*#$)ees inc#&+ing *eii$ner A#3$ie. >*$n he recei* $% he se*arai$n *a), a n&3'er $% he a%%ece+ e3*#$)ees signe+ in+ivi+&a# Re#ease Waiver an+ D&ic#ai3. S$3ei3e in N$ve3'er 199", *eii$ner >ni$n an+ s$3e ( $% is 3e3'ers inc#&+ing *eii$ner A#3$ie %i#e+ c$3*#ains %$r &n%air #a'$r *racice, i##ega# #a)5$%% an+ i##ega# +is3issa# agains res*$n+en c$3*an) 'e%$re he NLRC Regi$na# Ar'irai$n Branch 1 in San ernan+$, La >ni$n. The *eii$ners a##ege+ ha whi#e he c#$s&re a%%ece+ $n#) he we #ine, a3$ng he e3*#$)ees er3inae+ were $*eraing he +r) #ine $r *er%$r3ing s&**$r services %$r '$h we an+ +r) #ines. The) %&rher a##ege+ ha a%er he c#$s&re $% he we #ine, res*$n+en c$3*an) c$nrace+ $& he services *er%$r3e+ ') he e3*#$)ees wh$ were er3inae+. :n#) 1 $% he ( e3*#$)ees *&rs&e+ he c$3*#ains 'e%$re he La'$r Ar'ier. A%er s&'3issi$n $% he *aries *$sii$n *a*ers an+ *#ea+ings, La'$r Ar'ier Irenarc$ R. Ri3an+$ ren+ere+ a 7ecisi$n $n 19 March 1999 +is3issing he c$3*#ains. La'$r Ar'ier Ri3an+$ %$&n+ ha res*$n+en c$3*an) c$3*#ie+ wih he re&isie n$ice an+ severance *a) 3an+ae+ &n+er Aric#e ! $% he La'$r C$+e. As regar+s he c#ai3 ha he services *er%$r3e+ ') he c$3*#ainans were even&a##) ass&3e+ ') e3*#$)ees wh$ were reaine+ $r were c$nrace+ $&, La'$r Ar'ier Ri3an+$ r&#e+ ha he e3*#$)er ha+ he *rer$gaive $ &i#i4e is re3aining w$r<%$rce $ he 3aFi3&3. Peii$ners a**ea#e+ $ he NLRC, arg&ing ha res*$n+en c$3*an) %ai#e+ $ *r$ve wih s&'sania# evi+ence ha he rerench3en was a's$#&e#) necessar) an+ &nav$i+a'#e 3ain#) 'eca&se he a%%ece+ e3*#$)ees were a#s$ *er%$r3ing s&**$r services in he we #ine. P&'#ic res*$n+en NLRC a%%ir3e+ in $$ he +ecisi$n $% La'$r Ar'ier Ri3an+$. I he#+ ha he a**ea# was 'r$&gh ') *eii$ner >ni$n an+ n$ ') is 3e3'ers wh$ were he rea# *aries5in5ineres an+, h&s, 3&s 'e +is3isse+ $&righ. The NLRC he#+ ha he rerench3en $n he gr$&n+ $% re+&n+anc) was va#i+ in an) case. I c$nc#&+e+ ha he sca#ing +$wn $% aciviies re&iring s&**$r services was a c$nse&ence $% he c#$s&re $% he we #ine hence, he er3inai$n $% he eFcess e3*#$)ees *er%$r3ing s&ch s&**$r services %$##$we+ as a 3aer $% c$&rse. R&#ing In a Res$#&i$n +ae+ 1 7ece3'er !((-, he C$&r +is3isse+ he *eii$n wih res*ec $ *eii$ner >ni$n %$r ins&%%icienc) $r +e%ecive veri%icai$n an+ ceri%icai$n $% n$n5%$r&3 sh$**ing, as $n#) he *resi+en $% *eii$ner >ni$n signe+ he sa3e in vi$#ai$n $% Seci$ns  an+ 2, R&#e " $% he R&#es $% C$&r. The &+g3en $% +is3issa# has 'ec$3e %ina# an+ eFec&$r) wih res*ec $ *eii$ner >ni$n $n ( e'r&ar) !((". The insan *eii$n raises w$ iss&es na3e#), wheher *eii$ner >ni$n is he rea# *ar)5in5ineres in his case an+ wheher *eii$ner A#3$ies er3inai$n was va#i+. The &esi$n $% *eii$ner >ni$ns ca*aci) $ s&e $n 'eha#% $% is 3e3'ers has 'ec$3e 3$$ an+ aca+e3ic in view $% he &+g3en $% +is3issa# $% he insan *eii$n which has a#rea+) 'ec$3e %ina# an+ eFec&$r) wih res*ec $ *eii$ner >ni$n. Th&s, he re3aining iss&e $ 'e res$#ve+ in his *eii$n *erains $ *eii$ner A#3$ies c#ai3 ha *eii$ner >ni$n has %ai#e+ $ *r$ve ha his w$r< as an $i#er %$r '$h he we an+ +r) #ines has 'ec$3e re+&n+an wih he c#$s&re $% he we #ine. Peii$ner A#3$ies c#ai3 is c#ear#) a %ac&a# &esi$n which is 'e)$n+ he *r$vince $% a R&#e 2 *eii$n. In an) even, he C$&r %in+s n$ c$gen reas$n $ +is&r' he &+g3en $% he C$&r $% A**ea#s a%%ir3ing he La'$r Ar'ier an+ NLRC r&#ings ha he er3inai$n $% *eii$ner A#3$ie an+ he $her e3*#$)ees $% res*$n+en c$3*an). As eF*#aine+ ') he NLRC, he er3inai$n $% *eii$ner A#3$ie was a necessar) c$nse&ence $% he *aria# c#$s&re $% $*erai$ns $% res*$n+en c$3*an). Peii$ner A#3$ies w$r< as an $i#er %$r '$h he we #ine an+ +r) #ine has 'ec$3e re+&n+an $r s&*er%#&$&s %$##$wing he c#$s&re $% he we #ine. B) an+ #arge, he +eer3inai$n $% wheher $ 3ainain $r *hase $& an enire +e*ar3en $r seci$n $r $ re+&ce *ers$nne# #ies wih he 3anage3en. Th&s, his er3inai$n $n he gr$&n+ $% re+&n+anc) is an a&h$ri4e+ ca&se %$r er3inai$n &n+er Aric#e ! $% he La'$r C$+e. The C$&r &$es wih a**r$va# he %$##$wing c$nc#&si$ns $% he NLRC F F F There is n$ +is*&e as $ he %ac ha here was a *aria# c#$s&re $r cessai$n $% $*erai$ns wih he 3$h'a##ing $% he $#+ we5*r$cess *r$+&ci$n #ine $% he c$3*an) O a si&ai$n which %a##s a3$ng he a&h$ri4e+ ca&ses %$r er3inai$n a##$we+ &n+er Aric#e ! $% he La'$r C$+e. F F F Neiher is here an) +is*&e ha he #$gica# an+ c$nse&ence / sic 0$% s&ch *aria# cessai$n $% $*erai$ns was $ ren+er cerain e3*#$)ees re+&n+an. :'vi$&s#) en$&gh, since here was a c&rai#3en in $*erai$ns, cerain aciviies were ren+ere+ eiher eFcess $r n$ #$nger necessar), hence, re+&n+an. The $n#) $sensi'#e arg&3en *resene+ ') a**e##an is

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he 'are a##egai$n ha 3$s $% he3 were n$ eFc#&sive#) assigne+ $ he we *r$cess #ine '& were *er%$r3ing s&**$r services %$r '$h he we #ine an+ he +r) #ine. There%$re, he) arg&e ha he) c$&#+ n$ 'e +ec#are+ re+&n+an ') vir&e $% he c#$s&re $% he we #ine a#$ne. This #ine $% arg&3en is n$n se&i&r , %a##aci$&s an+ $a##) &nena'#e. I *r$cee+s %r$3 he err$ne$&s *re3ise ha $n#) h$se eFc#&sive#) assigne+ $ he we #ine can 'e +ec#are+ re+&n+an. The 3ere %ac ha an e3*#$)ee was *er%$r3ing s&**$r services %$r '$h he we an+ he +r) #ine +$es n$ in an) wa) eFc#&+e hi3 %r$3 'eing +ec#are+ as re+&n+an. :n he c$nrar), wih he c#$s&re $% he we #ine an+ he c$nse&en sca#ing +$wn $% aciviies re&iring s&**$r services, i san+s $ reas$n ha here was a#rea+) an eFcess $% e3*#$)ees *er%$r3ing s&**$r services. Res*$n+en ha+ here%$re a## he reas$n $ inc#&+e s&ch e3*#$)ees a3$ng h$se wh$3 i c$nsi+ere+ re+&n+an. WHERE:RE, he insan *eii$n %$r review $n ceri$rari is 7ENIE7 an+ he +ecisi$n an+ res$#&i$n $% he C$&r $% A**ea#s in CA5G.R. SP N$. 9(29" are AIRME7.

acs MMPC hire+ Men+r$s in 199 as reg&#ar '$+) re*3an, #aer *r$3$e+ $ asse3'#er 3a$r in he c$3*an)s 3an&%ac&ring +ivisi$n. 7&e $ severe +rasic s#&3* $% is vehic#e sa#es 'r$&gh a'$& ') he %inancia# crisis in 199", MMPC as *er a&+ie+ %inancia# sae3ens, s&saine+ a #$ss $% PhP "( 3i##i$n in 199", an+ PhP ""1 3i##i$n in 199. MMPC i3*#e3ene+ vari$&s c$s5c&ing 3eas&res, s$3e $% which are e3*#$)3en5hiring %ree4ing, se*arai$n $% cas&a#s an+ rainees, 3an*$wer services re+&ci$n, *#an sh&+$wns, an+ re+&ce+ w$r< wee< %$r 3anageria# an+ $her 3$nh#) sa#arie+ *ers$nne#. In e' 199, i insi&e+ he %irs sage $% is rerench3en *r$gra3 a%%ecing 21 h$&r#) 3an&%ac&ring e3*#$)ees, which *r$ve+ in a+e&ae. I hen #a&nche+ a e3*$rar) #a)5$%% *r$gra3 $% 1"( h$&r#) e3*#$)ees, inc#&+ing Men+r$s. The #aer receive+ a #eer in%$r3ing hi3 $% he e3*$rar) s&s*ensi$n $% his e3*#$)3en %$r siF 3$nhs %r$3 6an  $ 6&#) !, 1999. In he ineri3, he was &*+ae+ $% he '&siness c$n+ii$ns ') MMPC. In 6&ne 1, 1999, MMPC n$i%ie+ 7:LE ha he e3*$rar) #a)5$%% is 'eing 3a+e *er3anen e%%ecive 6&#) !, 1999 +&e $ c$nin&ing a+verse 3ar*$n a**ea#, he NLRC reverse+ sai+ +ecisi$n an+ +ec#are+ ha he +is3issa# was i##ega# saing ha he 3eri raing s)se3 a+$*e+ ') MMPC as a++ii$na# crieri$n %$r rerench3en was err$ne$&s an+ ar'irar), 'eing agains he CBA. Acc$r+ing $ he NLRC, he CBA #ise+ $n#) Jseni$ri)K an+ Jnee+s $% he c$3*an)K as +eer3inaive %ac$rs. The NLRC sai+ ha MMPC ha+ n$ n$i%ie+ Men+r$s $% he a++ii$na# crieri$n an+ $% he %in+ings $% he 3eri eva#&ai$n, h&s n&##i%)ing he rerench3en. The CA +eci+e+ in %av$r $% MMPC, an+ reinsae+ he LAs r&#ing. Iss&e Wheher $r n$ he e3*$rar) #a)5$%% an+ even&a# rerench3en was va#i+. R&#ing The rerench3en was va#i+. The righ $r 3anage3en $ rerench w$r
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*arach&esK, can scarce#) c#ai3 $ 'e rerenching in g$$+ %aih $ av$i+ #$sses. T$ i3*ar $*erai$na# 3eaning $ he c$nsi&i$na# *$#ic) $% *r$vi+ing J%&## *r$eci$nK $ #a'$r, he e3*#$)ers *rer$gaive $ 'ring +$wn #a'$r c$ss ') rerenching 3&s 'e eFercise+ essenia##) as a 3eas&re $% #as res$r, a%er #ess +rasic 3eans ]e.g., re+&ci$n $% '$h 3anage3en an+ ran<5an+5%i#e '$n&ses an+ sa#aries, g$ing $n re+&ce+ i3e, c$ss, ec.]have 'een rie+ an+ %$&n+ waning. Las#), a##ege+ #$sses i% a#rea+) rea#i4e+, an+ he eF*ece+ i33inen #$sses s$&gh $ 'e %$resa##e+, 3&s 'e *r$ve+ ') s&%%icien an+ c$nvincing evi+ence. The reas$n %$r re&iring his &an&3 $% *r$$% is rea+i#) a**aren an) #ess eFacing san+ar+ $% *r$$% w$&#+ ren+er $$ eas) he a'&se $% his gr$&n+ %$r er3inai$n $% services $% e3*#$)ees. There can har+#) 'e an) +is*&e ha MMPC s&%%ere+ s&'sania# an+ heav) #$sses in @ 199" an+ c$nin&e+ $ '#ee+ in 199. As sh$wn in is AS %$r h$se %isca# )ears, i inc&rre+ an aggregae #$ss $% PhP 1.!! 'i##i$n %$r is w$5)ear $*erai$n. An) s&ggesi$n ha a 'i##i$n *es$ *#&s #$ss is +e 3ini3is in eFen has $ 'e +is3isse+ %$r sheer a's&r+i). I 'ears $ sae ha Ar. ! $% he C$+e &ses he *hrase Jrerench3en $ *reven #$sses.K The *hrase necessari#) i3*#ies ha rerench3en 3a) 'e e%%ece+ even in he even $n#) $% i33inen, i3*en+ing, $r eF*ece+ #$sses. The e3*#$)er nee+ n$ wai %$r s&'sania# #$sses $ 3aeria#i4e 'e%$re eFercising &#i3ae an+ +rasic $*i$n $ *reven s&ch #$sses. In he case a 'ench, MMPC was a#rea+) %inancia##) he3$rrhaging 'e%$re %ina##) res$ring $ rerench3en. Men+r$s arg&es ha since Ar. 8, Sec 2=c? $% he CBA *r$vi+es %$r $n#) w$ %ac$rs, =1? seni$ri) =#as5in, %irs5$&? an+ =!? he nee+s $% he c$3*an), $ 'e c$nsi+ere+ in rerenching MMPC e3*#$)ees, he c$3*an) is 'ere% $% a&h$ri) $ ar'irari#) i3*$se $her %ac$rs $r crieria in e%%ecing his rerench3en. The C$&r is n$ *ers&a+e+. Sec. 1, Ar. 8 $% he CBA, a##$ws MMPC, in he eFercise $% is c&s$3ar) 3anage3en %&nci$ns an+ *rer$gaives $n 3aers $% *r$3$i$ns, rans%er, #a)5$%%, an+ reca##, $ c$nsi+er as g&i+ing n$r3s he %$##$wing %ac$rs $r crieria JSeni$ri), E%%icienc) an+ Ai&+e, 6$' n$w#e+ge an+ P$enia#, an+ Aen+ance.K An+ $ c$3*#e3en his *rer$gaive, he c$3*an), in he sa3e seci$n, is given he +iscrei$n $ JeFercise &s an+ %air eva#&ai$n $% s&ch %ac$rs,K 3eaning ha he c$3*an) is acc$r+e+ a reas$na'#e #ai&+e $ assign a c$rres*$n+ing weigh $ each %ac$r. The Sec. 2=c? Jnee+s $% he c$3*an)K %ac$r, i% viewe+ ') is se#% wih$& #in
acs Peii$ners %i#e a c$3*#ain wih he 7e*ar3en $% La'$r an+ E3*#$)3en5NCR which *r$3*e+ an ins*eci$n $% he h$e#s *re3ises ') a #a'$r ins*ec$r, res*$n+en was %$&n+ $ have 'een vi$#aing #a'$r san+ar+s #aws an+ was h&s $r+ere+ $ *a) he3 s$3e 3$ne) c#ai3s. This *&r*$re+#) angere+ res*$n+ens 3anage3en which rea#iae+ ') s&s*en+ing an+$r c$nsr&cive#) +is3issing he3 ') +rasica##) re+&cing heir w$r< +a)s hr$&gh he a+$*i$n $% a w$r< re+&ci$nr$ai$n sche3e. Cri3ina# cases %$r esa%a were #i
Wheher $r n$ *eii$ners Jsi3*#) +isa**eare+K %r$3 heir w$r< c$nsi&e a'an+$n3en

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LABOR RELATIONS RELATIONS Aty. Jeferson M. Marquez R&#ing

Case #aw h$#+s ha c$nsr&cive +is3issa# $cc&rs when here is cessai$n $% w$r< 'eca&se c$nin&e+ e3*#$)3en is ren+ere+ i3*$ssi'#e, &nreas$na'#e $r &n#i*$n he $her han+, *eii$ners i33e+iae %i#ing $% c$3*#ains %$r i##ega# s&s*ensi$n an+ i##ega# +is3issa# a%er he i3*#e3enai$n $% he &esi$ne+ w$r< sche3e, which sche3e was a+$*e+ s$$n a%er *eii$ners c$3*#ains agains res*$n+en %$r vi$#ai$n $% #a'$r san+ar+s #aws were %$&n+ 3eri$ri$&s, negaes res*$n+ens c#ai3 $% a'an+$n3en. An e3*#$)ee wh$ a
acs S$3ei3e in 199", M$$r$#a Phi#i**ines, Inc. =MPI?, +eci+e+ $ c#$se is Para_a&e *#an in $r+er $ c$ns$#i+ae is $*erai$ns a is Car3$na, Cavie *#an, $%%ering $ is a%%ece+ e3*#$)ees a re+&n+anc)se*arai$n re+&n+anc)se*arai$n *ac
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/7e*ar3en0 $% La'$r an+ E3*#$)3en a #eas $ne =1? 3$nh 'e%$re he inen+e+ +ae here$%. In case $% er3inai$n +&e $ he insa##ai$n $% #a'$r5saving +evices $r re+&n+anc), he w$r
acs e#iF B. Pere4 an+ A3ane G. 7$ria were e3*#$)e+ ') Phi#i**ine Te#egra*h Te#egra*h an+ Te#e*h$ne Te#e*h$ne C$3*an) =PT;T? as shi**ing c#er< an+ s&*ervis$r, res*ecive#), in PT;Ts Shi**ing Seci$n, Maeria#s Manage3en Manage3en Gr$&*. Acing $n an a##ege+ &nsigne+ #eer regar+ing an$3a#$&s ransaci$ns a he Shi**ing Seci$n, PT;T %$r3e+ a s*ecia# a&+i ea3 $ invesigae he 3aer. I was +isc$vere+ ha he Shi**ing Seci$n ac
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+is3issa# was wih$& &s $r a&h$ri4e+ ca&se an+ here was n$ +&e *r$cess, Aric#e !"9 $% he La'$r C$+e, 3an+aes ha he e3*#$)ee is eni#e+ $ reinsae3en wih$& #$ss $% seni$ri) righs an+ $her *rivi#eges an+ %&## 'ac
acs Ra)3&n+ Garrie# was a C&s$3er Service Assisan =CSA? w$r
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res$&rce +e*ar3en ') hese hree c&s$3ers. Garrie# was hen given a n$ice $ eF*#ain wh) he vi$#ae+ c$3*an) r&#es an+ *r$ce+&res. Garrie# +enies a## he acc&sai$ns 'e%$re hi3. An invesigai$n ens&e+. Therea%er, Garrie# was +is3isse+ $n gr$&n+s $% seri$&s 3isc$n+&c an+ #$ss $% r&s an+ c$n%i+ence. Garrie# %i#es an i##ega# +is3issa# case agains he c$3*an). Iss&e 1. Was Garrie# i##ega##) +is3isse+ !. Was +&e *r$cess $'serve+ in +is3issing Garrie# R&#ing There was a va#i+ +is3issa#. An e3*#$)ee enr&se+ wih he c$3*an)s g$$+s an+ *r$*eries, wh$ herea%er vi$#aes c$3*an) *$#icies wih regar+ $ he 3a
acs Res*$n+en A*$s$# was hire+ as assisan 3anager ') *eii$ner Tri&3*h Inernai$na# =Phi#s.?, Inc. =TIPI? in March 1991, an+ was er3inae+ ') TIPI $n !1 6an&ar) !(((. :n he $her han+, res*$n+en :*&#encia was hire+ as a wareh$&se he#*er ') TIPI s$3ei3e in 199(, an+ was he c$3*an)s wareh$&se s&*ervis$r a he i3e $% he er3inai$n $% his e3*#$)3en $n !1 6an&ar) !(((. A*$s$# was he i33e+iae i33e+iae s&*eri$r $% :*&#encia :*&#encia.. :n 1 an+ 12 A&g&s A&g&s 1999, 1999, TIPI c$n+&ce+ c$n+&ce+ an inven$r) inven$r) c)c#e c$&n $% is +irec +irec an+ reai# reai# sa#es in is M&_$4 wareh$&se. wareh$&se. The inven$r) c)c#e c$&n )ie#+e+ +iscre*ancies 'eween is res&# an+ he s$c< #is 'a#ance S&g&e =TIPIs Mar
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:n !1 6an&ar) !(((, TIPI, hr$&gh S&g&e, serve+ n$ices $ A*$s$# an+ :*&#encia, saing ha heir e3*#$)3en ha+ 'een er3inae+ %$r c$33iing in%raci$ns $% he c$3*an)s r&#es an+ reg&#ai$ns. S*eci%ica##), S*eci%ica##), A*$s$# was %$&n+ $ have c$33ie+ :%%ense N$.  =ra&+ $r wi##%&# 'reach ') an e3*#$)ee $% he r&s re*$se+ in hi3 ') he C$3*an)? an+ :%%ense N$. !2 =>sing, &ering $r sa)ing *r$%ane, in+ecen, a'&sive, +er$ga$r) an+$r in+ec$r$&s w$r+s $r #ang&age agains he e3*#$)er $r s&*ervis$r?, whi#e :*&#encia was %$&n+ $ have c$33ie+ :%%ense N$.  $n#). :n ! 6an&ar) !(((, A*$s$# an+ :*&#encia %i#e+ wih he La'$r Ar'ier a c$3*#ain %$r i##ega# +is3issa# an+ n$n5*a)3en $% sa#aries an+ $her 'ene%is agains agains TIPI. La'$r Ar'ier Ar'ier ren+ere+ a 7ecisi$n +is3issing +is3issing he C$3*#ain C$3*#ain %$r #ac< $% 3eri. :n a**ea#, he NLRC a%%ir3e+ a%%ir3e+ he 7ecisi$n $% he La'$r Ar'ier. :n !( e'r&ar) !((, he C$&r $% A**ea#s ren+ere+ &+g3en, reversing an+ seing asi+e he NLRC 7ecisi$n. Iss&es W:N res*$n+ens were i##ega##) +is3isse+. R&#ing N:. We %in+ he a**ea# 3eri$ri$&s. In cases $% er3inai$n $% e3*#$)ees, he we##5enrenche+ *$#ic) is ha n$ w$r
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&s ca&se %$r +is3issa#, he ac c$3*#aine+ $% 3&s 'e Jw$r<5re#ae+K s&ch as w$&#+ sh$w he e3*#$)ee c$ncerne+ $ 'e &n%i $ c$nin&e w$r
acs Peii$ner Mag+a#ena T. Sa#$n = Sa#$n ? was a C$##ege Insr&c$r  $% he H&3aniies an+ S$cia# Science 7e*ar3en = HSS7 ? $% res*$n+en Techn$#$gica# Insi&e $% he Phi#i**ines = TIP ? an+ a 3e3'er $% he Techn$#$gica# Insi&e $% he Phi#i**ines Teachers an+ E3*#$)ees :rgani4ai$n =TIPTE: ?. S$3ei3e in )ear !(((, he TIP receive+ c$3*#ains %r$3 s&+ens c#ai3ing ha Sa#$n was c$##ecing P1.2( *er *age %$r he es *a*er &se+ in he s&'ec she was eaching a he i3e. She re*$re+#) as
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8$#&nar) Ar'ira$r r&#e+ in %av$r $% Sa#$n. :n a**ea# &n+er R&#e , sai+ +ecisi$n was a%%ir3e+ ') CA. H$wever, $n 3$i$n %$r rec$nsi+erai$n, CA reverse+ ise#%, r&#ing in %av$r $% TIP an+ agains Sa#$n, '& grane+ se*arai$n *a). Iss&e 1. Wheher $r n$ Sa#$n is g&i#) $% vi$#aing TIPs Me3$ran+&3 N$. P5--, %$r &na&h$ri4e+ se##ing $% eFa3inai$n *a*ers !. Wheher $r n$ Sa#$n is g&i#) $% seri$&s 3isc$n+&c %$r %a#si%)ing Mana#$s =he s$n a c$5%ac&#) 3e3'er? gra+e an+ vi$#aing he gra+ing r&#es &n+er he Man&a# $% Reg&#ai$ns %$r Privae Sch$$#s R&#ing Sa#$n is g&i#) $% he w$ va#i+ ca&ses. :n he sa#e $% Pa*ers The c$s $% he sa#e $% es *a*ers ') Sa#$n $ her s&+ens was wihin he *rescri'e+ *ara3eers $% he sch$$#. H$wever,

i cann$ 'e +enie+ ha Sa#$n +i+ n$ %irs $'ain he *ri$r *er3issi$n $% he *r$*er sch$$# a&h$ri), a c$n+ii$n *rece+en re&ire+ ') TIP Me3$ran+&3 n$. P5--. C#ear#), she ransgresse+ he sch$$# reg&#ai$n. :n gra+e a3*ering I is a vi$#ai$n agains he Man&a# $% Reg&#ai$n %$r Privae Sch$$#s wh$se Seci$n "9 *r$vi+es Sec. "9. Basis %$r

Gra+ing. The %ina# gra+e $r raing given $ a *&*i# $r s&+en in a s&'ec sh$&#+ 'e 'ase+ $n his sch$#asic rec$r+. An) a++ii$n $r +i3in&i$n $ he gra+e F F F sha## n$ 'e a##$we+. The *resen vi$#ai$n inv$#ves e#e3ens $% %a#si%icai$n an+ +ish$nes). n$wing %&##) wha Mana#$ +eserve+, Sa#$n gave hi3 a gra+e $% -.( insea+ $% a %ai#ing gra+e. In he *r$cess, she change+ O in sh$r, %a#si%ie+ O her $wn rec$r+s ') changing he s&'3ie+ rec$r+ an+ he s&**$ring +$c&3ens. 8iewe+ in an) #igh, his is Seri$&s Misc$n+&c &n+er Aric#e !!=a? $% he La'$r C$+e, an+ a &s ca&se %$r er3inai$n $% e3*#$)3en. :n se*arai$n *a) CA erre+ $n his 3aer. The vi$#ai$n c$nsi&e+ seri$&s 3isc$n+&c $r a ca&se re#aing $ he e3*#$)ees 3$ra# characer. The %ac ha Sa#$n c$33ie+ an $%%ense %$r he %irs i3e, $r she has serve+ %$r 1( )ears in TIP, an+ he a##egai$n ha here was n$ 3a#ice $r 'a+ ineni$n $n her *ar are 3is*#ace+ arg&3ens. Th&s, se*arai$n *a) is n$ *r$*er. WHERE:RE, *re3ises c$nsi+ere+, we here') 7EN@ he *eii$n %$r #ac< $% 3eri. We here') AIRM he a3en+e+ +ecisi$n $% he C$&r $% A**ea#s *r$3&#gae+ $n Ma) !!, !((, '& 7ELETE he awar+ $% se*arai$n *a). C$ss agains he *eii$ners.

acs :cean Gaewa) Marii3e an+ Manage3en, Inc =:GMM?. hire+ E+en L#a3as as an acc$&ning 3anager. :GMMs Chie% EFec&ive :%%icer Macaraig ca##e+ *eii$ners aeni$n 'eca&se $% her %ai#&re, +es*ie re*eae+ +e3an+s, $ acc$3*#ish he #$ng $ver+&e 3$nh#) an+ ann&a# c$3*an) %inancia# re*$rs an+ $ re3i he c$3*an)s c$nri'&i$ns $ he SSS an+ Phi#Hea#h. B& L#a3as %ai#e+ $ c$3*#) wih he insr&ci$n as 3$ne) %$r he *&r*$se was n$ cre+ie+ $ he c$3*an)s acc$&n a he 'an<. Macaraig sen a 3e3$ran+&3 $ *eii$ner charging her wih gr$ss an+ ha'i&a# neg#ec $% +&) an+$r 3isc$n+&c $r wi##%&# +is$'e+ience an+ ins&'$r+inai$n, +eai#ing herein he 'ases $% he charges, an+ re&iring her $ s&'3i a wrien eF*#anai$n wh) she sh$&#+ n$ 'e *ena#i4e+ $r +is3isse+ %r$3 e3*#$)3en '& :MGG %$&n+ he eF*#anai$n &nsais%ac$r) Iss&es W:N he +is3issa# was %$r a &s ca&se W:N +&e *r$cess was $'serve+ R&#ing THE 7ISMISSAL WAS :R A 6>ST CA>SE.

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>n+er Aric#e !! ='? $% he La'$r C$+e, neg#igence 3&s 'e '$h gr$ss an+ ha'i&a# $ &si%) he +is3issa# $% an e3*#$)ee. Gr$ss neg#igence is characeri4e+ ') wan $% even s#igh care, acing $r $3iing $ ac in a si&ai$n where here is a +&) $ ac, n$ ina+veren#) '& wi##%&##) an+ ineni$na##) wih a c$nsci$&s in+i%%erence $ c$nse&ences ins$%ar as $her *ers$ns 3a) 'e a%%ece+.

In he *resen case, L#a3as, as res*$n+ens Acc$&ning Manager, %ai#e+ $ +ischarge her i3*$ran +&) $% re3iing SSSPhi#Hea#h c$nri'&i$ns n$ $nce '& &a+r&*#e i3es, res&#ing in res*$n+ens inc&rring $% *ena#ies $a#ing P1,2(.1, n$ $ 3eni$n he e3*#$)ees3e3'ers c$nri'&i$ns 'eing &n&*+ae+. Her c#ai3 $% 'eing $verw$r
L$we is an a+verising agenc), an+ Maria E#i4a'eh Mari#es L. G&si#$ =G&si#$? 9 is he Chie% EFec&ive :%%icer an+ Presi+en $% L$we, whi#e Ra&# M. Casr$ =Casr$? is he EFec&ive Creaive 7irec$r . B$h were inc#&+e+ in he c$3*#ain %$r i##ega# +is3issa# in heir ca*aci) as $%%icers $% L$we. A he heigh $% he in%#&F $% a+verising *r$ecs, L$we hire+ M&&c as a Creaive 7irec$r $ he#* $& he %$&r $her Creaive 7irec$rs $% L$we. M&&c was given a sa#ar) $% P1((,((( a 3$nh an+ M&&c 'eca3e a reg&#ar e3*#$)ee. A )ear a%er, 3$s $% L$wes c#iens re+&ce+ heir a+verising '&+ge. In res*$nse $ he si&ai$n, L$we i3*#e3ene+ c$s5c&ing 3eas&res inc#&+ing a re+&n+anc) *r$gra3 an+ L$we er3inae+ M&&cs services 'eca&se her *$sii$n was +ec#are+ re+&n+an.

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M&&c %i#e+ a c$3*#ain %$r i##ega# +is3issa#, n$n*a)3en $% 1h 3$nh *a) wih *ra)er %$r he awar+ $% 3$ra# an+ eFe3*#ar) +a3ages *#&s a$rne)s %ees agains L$we. La'$r Ar'ier +is3isse+ M&&cs c$3*#ain NLRC reverse+ he +ecisi$n. B$h L$we an+ M&&c %i#e+ *eii$ns %$r ceri$rari 'e%$re he C$&r $% A**ea#s. The C$&r $% A**ea#s 3$+i%ie+ he NLRCs +ecisi$n ren+ere+ in %av$r $% M&&c, hence his *eii$n.

1. W:N M&&c was va#i+#) +is3isse+ ') reas$n $% re+&n+anc) !. W:N M&&c is eni#e+ $n#) $ se*arai$n *a) an+ *r$*$ri$nae 1h 3$nh *a)

@es. Re+&n+anc) eFiss when he service $% an e3*#$)ee is in eFcess $% wha is reas$na'#) +e3an+e+ ') he ac&a# re&ire3ens $% he '&siness. $r a va#i+ i3*#e3enai$n $% a re+&n+anc) *r$gra3, he e3*#$)er 3&s c$3*#) wih he %$##$wing re&isies =1? wrien n$ice serve+ $n '$h he e3*#$)ee an+ he 7:LE a #eas $ne 3$nh *ri$r $ he inen+e+ +ae $% er3inai$n =!? *a)3en $% se*arai$n *a) e&iva#en $ a #eas $ne 3$nh *a) $r a #eas $ne 3$nh *a) %$r ever) )ear $% service, whichever is higher =? g$$+ %aih in a'$#ishing he re+&n+an *$sii$n an+ =? %air an+ reas$na'#e crieria in asceraining wha *$sii$ns are $ 'e +ec#are+ re+&n+an. =See Ar. !? The c$nr$vers) #ies $n wheher L$we &se+ an) %air an+ reas$na'#e crieria in +ec#aring M&&cs *$sii$n re+&n+an an+ wheher here was 'a+ %aih in he a'$#ii$n $% her *$sii$n. The +eer3inai$n $% he c$nin&ing necessi) $% a *aric&#ar $%%icer $r *$sii$n in a '&siness c$r*$rai$n is a 3anage3en *rer$gaive, an+ he c$&rs wi## n$ iner%ere &n#ess ar'irar) $r 3a#ici$&s aci$n $n he *ar $% 3anage3en is sh$wn. In+ee+, an e3*#$)er has n$ #ega# $'#igai$n $
acs This is a Peii$n %$r Review $n Ceri$rari. Res*$n+en PELC: I is an e#ecric c$$*eraive +&#) $rgani4e+, inc$r*$rae+, an+ regisere+ *&rs&an $ Presi+enia# 7ecree N$. !-9. Res*$n+en Engr. A##as is he Genera# Manager Peii$ner Esaci$ ha+ 'een e3*#$)e+ a res*$n+en PELC: I as a 'i## c&s$+ian since 19"", whi#e *eii$ner Man#ic#ic ha+ 'een w$r
2

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Res*$n+en Engr. A##as iss&e+ a Me3$ran+&3 $ *eii$ner Esaci$ in%$r3ing her $% he a&+i %in+ings, an+ +irecing her $ eF*#ain in wriing, wihin "! h$&rs &*$n recei* here$%, wh) n$ +isci*#inar) aci$n sh$&#+ 'e i3*$se+ &*$n her %$r Gr$ss Neg#igence $% 7&). In her wrien eF*#anai$n, *eii$ner Esaci$ averre+ ha she ha+ n$ c$nr$# $ver an+ sh$&#+ n$ 'e he#+ answera'#e %$r he %ai#&re $% he 'i## c$##ec$rs a he San L&is Area :%%ice $ re3i heir +ai#) c$##eci$ns. >nsais%ie+ wih *eii$ner Esaci$s eF*#anai$n, res*$n+en Engr. A##as iss&e+ a Me3$ran+&3 charging Esaci$ wih gr$ss neg#igence $% +&). A %$r3a# invesigai$nhearing hen ens&e+, +&ring which *eii$ner Esaci$ was +&#) re*resene+ ') c$&nse#. Res*$n+en Engr. A##as ren+ere+ a 7ecisi$n which a+$*e+ he rec$33en+ai$n $% he invesigai$n c$33iee +is3issing *eii$ner Esaci$ %r$3 service, wih %$r%ei&re $% her 'ene%is, wih he 3$+i%icai$n +e#eing he charge $% +ish$nes). Peii$ner Esaci$ s$&gh a rec$nsi+erai$n $% he sai+ +ecisi$n '& i was +enie+ ') res*$n+en Engr. A##as. La'$r Ar'ier r&#e+ in %av$r $% res*$n+ens. NLRC +isagree+ wih he La'$r Ar'ier. Iss&e W:N Esaci$ an+ Man#ic#ic were #ega##) +is3isse+ R&#ing @es. There was a #ega# +is3issa# $% *eii$ner Esaci$. C$&r r&#es ha here is va#i+ ca&se %$r *eii$ner Man#ic#ic +is3issa# %r$3 service. I is &n+is*&e+ ha *eii$ners were acc$r+e+ +&e *r$cess. Thr$&gh he Me3$ran+a iss&e+ ') res*$n+en Engr. A##as, *eii$ners were +&#) in%$r3e+ $% he res&#s $% he a&+i c$n+&ce+ ') Inerna# A&+i$r La4ar$, which were &n%av$ra'#e $ *eii$ners. The C$&r a#s$ %in+s ha here was va#i+ ca&se %$r *eii$ner Esaci$s +is3issa#. Gr$ss neg#igence c$nn$es wan $r a'sence $% $r %ai#&re $ eFercise even s#igh care $r +i#igence, $r he $a# a'sence $% care. I evinces a h$&gh#ess +isregar+ $% c$nse&ences wih$& eFering an) e%%$r $ av$i+ he3. T$ warran re3$va# %r$3 service, he neg#igence sh$&#+ n$ 3ere#) 'e gr$ss, '& a#s$ ha'i&a#. Peii$ner Esaci$, +es*ie he $**$r&niies given $ her, +i+ n$ $%%er an) sais%ac$r) eF*#anai$n $r evi+ence in her +e%ense. Her $n#) reas$n %$r %ai#ing $ c$3*#) wih he re&isie +ai#) acc$&ning an+ re*$ring $% he 'i## c$##eci$ns was he erri'#e weaher c$n+ii$n. Peii$ner Esaci$s %ai#&re $ 3a
acs Eser B. Mara#i =Mara#i? w$r
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=!? in a 3e3$ran+&3 +ae+ 9 6&#) 199, 8ice Presi+en #$renci$ C. La $% Branch :*erai$ns an+ C$ns&3er Ban
acs Peii$ners P#aci+$ an+ Caraga) ha+ 'een e3*#$)e+ as ca'#e s*#icers ') PL7T. PL7T ha+ 'een receiving re*$rs $% he% an+ +esr&ci$n $% is ca'#es. PL7T ins*ec$r an+ sec&ri) g&ar+, res*$n+ing $ a re*$r ha ca'#es were 'eing sri**e+ an+ '&rne+ in $ne $% he resi+ences, *r$cee+e+ $ he sai+ area where he) saw *eii$ners service vehic#e *ar
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W:N *eii$ners were +enie+ +&e *r$cess an+ were i##ega##) +is3isse+ R&#ing N$, *eii$ners were n$ +enie+ +&e *r$cess. The) were #ega##) +is3isse+. Aric#e !"" $% he La'$r C$+e *r$vi+es ='? S&'ec $ he c$nsi&i$na# righ $% w$rni $ eF*#ain heir si+e, '& he) %ai#e+ $ hee+ he3. A hearing was c$n+&ce+ where *eii$ners aen+e+ a#$ng wih heir &ni$n MP re*resenaives +&ring which he *rinci*a# winesses $ he inci+en were *resene+. Peii$ners were h&s a%%$r+e+ he $**$r&ni) $ c$n%r$n h$se winesses an+ *resen evi+ence in heir 'eha#%, '& he) %ai#e+ $ +$ s$. SC %$&n+ ha as he ca'#es '$re he PL7T 3ar
acs :+i#$n L. Marine4 =*eii$ner? was e3*#$)e+ as a cashier ') B;B ish Br$
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As cashier, *eii$ners +&ies c$nsise+ $% iss&ing recei*s $n ie3s a
acs

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Peii$ner ASAP is he +&#) ceri%ie+ c$##ecive 'argaining re*resenaive $% PAL %#igh aen+ans an+ sewar+s, $r c$##ecive#)
acs Es*a+er$ ha+ 'een e3*#$)e+ ') Eas5ceera $$+ Services :&#e since 6&ne (, !((1 as cashier. When she re*$re+ %$r +&), Es*a+er$ +isc$vere+ ha her i3e car+ was a#rea+) *&nche+ in. A%er as
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$ eF*#ain her si+e an+ *resene+ he a%%i+avi $% s&*ervis$r Re+&ca /c$naining he inci+en re*$r0 he) c$n+&ce+ an i3*aria# invesigai$n $% he inci+en an+ %$&n+ s&'sania# evi+ence ha Es*a+er$ was in cah$$s wih a c$5w$r*$n a**ea#, he NLRC reverse+ he La'$r Ar'iers %in+ings. Aggrieve+, res*$n+ens %i#e+ a *eii$n %$r ceri$rari 'e%$re he CA, wh$ ren+ere+ a r&#ing a%%ir3ing he La'$r Ar'iers *r$n$&nce3en ha Es*a+er$ was n$ a%%$r+e+ +&e *r$cess. The a**e##ae c$&r a#s$ $'serve+ ha he *&nish3en $% +is3issa# was $$ harsh an+ &n&si%ie+. Iss&es wheher Es*a+er$ was a%%$r+e+ her righ $ +&e *r$cess *ri$r $ 'eing +is3isse+ %r$3 her $' wheher Es*a+er$s in%raci$n was seri$&s en$&gh $ warran he *ena#) $% +is3issa#. R&#ing Aric#e !! $% he La'$r C$+e inc#&+es O seri$&s 3isc$n+&c, %ra&+ an+ wi##%&# 'reach $% r&s a3$ng he &s ca&ses %$r er3inai$n. B& *ri$r $ er3inai$n $n s&ch gr$&n+s, he e3*#$)er 3&s sais%) '$h s&'sanive an+ *r$ce+&ra# +&e *r$cess. N$ $n#) 3&s he e3*#$)ee 'e a%%$r+e+ a reas$na'#e $**$r&ni) $ 'e hear+ an+ $ s&'3i an) evi+ence he 3a) have in s&**$r $% his +e%ense, '& he +is3issa# 3&s 'e %$r a &s $r a&h$ri4e+ ca&se as *r$vi+e+ ') #aw. THE PR:CE7>RAL RED>IREMENTS are se %$rh in Seci$n !=+?, R&#e I $% he I3*#e3ening R&#es $% B$$< 8I $% he La'$r C$+e, $ wi SEC. !. Sec&ri) $% Ten&re. F F F. F F F F =+? In a## cases $% er3inai$n $% e3*#$)3en, he %$##$wing san+ar+s $% +&e *r$cess sha## 'e s&'sania##) $'serve+ $r er3inai$n $% e3*#$)3en 'ase+ $n &s ca&ses as +e%ine+ in Aric#e !! $% he La'$r C$+e A wrien n$ice serve+ $n he e3*#$)ee s*eci%)ing he gr$&n+ $r gr$&n+s %$r er3inai$n, an+ giving sai+ e3*#$)ee reas$na'#e $**$r&ni) wihin which $ eF*#ain his si+e. A hearing $r c$n%erence +&ring which he e3*#$)ee c$ncerne+, wih he assisance $% c$&nse# i% he s$ +esires is given $**$r&ni) $ res*$n+ $ he charge, *resen his evi+ence, $r re'& he evi+ence *resene+ agains hi3. A wrien n$ice $% er3inai$n serve+ $n he e3*#$)ee, in+icaing ha &*$n +&e c$nsi+erai$n $% a## he circ&3sances, gr$&n+s have 'een esa'#ishe+ $ &si%) his er3inai$n. Peii$ners c$3*#ie+ wih he sec$n+ n$ice re&ire3en. Grea +e#a H$sria, as *ers$nne# 3anager, iss&e+ a Me3$ran+&3 saing wih c#ari) he reas$n %$r Es*a+er$s +is3issa#. S>BSTANTI8EL@, we a#s$ s&sain *eii$ners reas$ning ha O Es*a+er$s *$sii$n as a cashier 5 is $ne ha re&ires a high +egree $% r&s an+ c$n%i+ence, an+ ha her in%raci$n reas$na'#) ains s&ch r&s an+ c$n%i+ence re*$se+ &*$n her ') her e3*#$)er. A P:SITI:N : TR>ST AN7 C:NI7ENCE 5 has 'een +e%ine+ as $ne O where a *ers$n is enr&se+ wih c$n%i+ence $n +e#icae 3aers, $r wih he c&s$+), han+#ing, $r care an+ *r$eci$n $% he e3*#$)ers *r$*er) an+$r %&n+s. :ne s&ch *$sii$n is ha $% a cashier. A cashier is a high#) sensiive *$sii$n which re&ires a's$#&e r&s an+ h$nes) $n he *ar $% he e3*#$)ee. I is %$r his reas$n ha he C$&r has s&saine+ he +is3issa# $% cashiers wh$ have 'een %$&n+ $ have 'reache+ he r&s an+ c$n%i+ence $% heir e3*#$)ers. In $ne case, he C$&r &*he#+ he va#i+i) $% he +is3issa# $% a sch$$# cashier +es*ie her 19 )ears $% service a%er evi+ence sh$we+ ha O here was a +iscre*anc) in he a3$&n she was enr&se+ $ +e*$si wih a 'an<. In Mer$ 7r&g C$r*$rai$n v. Nai$na# La'$r Re#ai$ns C$33issi$n , we eF*#aine+ L:SS : C:NI7ENCE 5 as a gr$&n+ %$r +is3issa# O +$es n$ enai# *r$$% 'e)$n+ reas$na'#e +$&' $% he e3*#$)ees 3isc$n+&c. I is en$&gh ha here 'e Js$3e 'asisK %$r s&ch #$ss $% c$n%i+ence $r ha Jhe e3*#$)er has reas$na'#e gr$&n+s $ 'e#ieve, i% n$ $ enerain he 3$ra# c$nvici$n/,0 ha he e3*#$)ee c$ncerne+ is res*$nsi'#e %$r he 3isc$n+&c an+ ha he na&re $% his *arici*ai$n herein ren+ere+ hi3 a's$#&e#) &nw$rh) $% he r&s an+ c$n%i+ence +e3an+e+ ') his *$sii$n. Page 138


The r&#e, here%$re, is ha 5 i% here is s&%%icien evi+ence $ sh$w ha O he e3*#$)ee $cc&*)ing 5 a *$sii$n $% r&s an+ c$n%i+ence 5 is g&i#) $% a 'reach $% r&s, $r ha his e3*#$)er 5 has a3*#e reas$n $ +isr&s hi3, he #a'$r ri'&na# cann$ &s#) +en) he e3*#$)er 5 he a&h$ri) $ +is3iss s&ch e3*#$)ee. In he insan case, *eii$ners cann$ 'e %a&#e+ %$r #$sing heir r&s in Es*a+er$. As an e3*#$)ee $cc&*)ing a $' 5 which re&ires &3$s %i+e#i) $ her e3*#$)ers, she %ai#e+ $ re*$r $ her i33e+iae s&*ervis$r 5 he a3*ering $% her i3e car+. Wheher her %ai#&re was +e#i'erae 5 $r +&e $ sheer neg#igence, an+ wheher Es*a+er$ was $r was n$ 5 in cah$$s wih a c$5w$rCT has 'een +e%ine+ as i3*r$*er $r wr$ng c$n+&c he ransgressi$n $% s$3e esa'#ishe+ $r +e%inie r&#e $% aci$n, a %$r'i++en ac, a +ere#ici$n $% +&), wi##%&# in characer, an+ i3*#ies wr$ng%&# inen an+ n$ 3ere err$r in &+g3en. The 3isc$n+&c, $ 'e seri$&s, 3&s 'e $% s &ch a grave characer an+ n$ 3ere#) rivia# $r &ni3*$ran. T$ c$nsi&e &s ca&se %$r er3inai$n, i 3&s 'e in c$nneci$n wih he e3*#$)ees w$r<. Wih he +egree $% r&s eF*ece+ $% Es*a+er$, s&ch in%raci$n can har+#) 'e c#assi%ie+ as $ne ha is rivia# $r &ni3*$ran. Her %ai#&re $ *r$3*#) re*$r he inci+en re%#ecs a cava#ier regar+ %$r he res*$nsi'i#i) re&ire+ $% her in he +ischarge $% he +&ies $% her *$sii$n.

acs In c$3*#iance wih RA 91-2 =C$3*rehensive 7anger$&s 7r&gs Ac?, P#anai$n Ba) c$n+&ce+ s&r*rise ran+$3 +r&g ess $n 1!! &ns&s*ecing vici3s. .errr. . .e3*#$)ees. The ess were +$ne wih he assisance $% PNP S:C: =scene $% he cri3e $*erai$ns? wih ! #a's c$n+&cing he ess =1? MARTELL +r&g #a' a+3inisere+ he iniia# ess an+ =!? PHIL. 7R>G SCREENING LAB c$n+&ce+ he c$n%ir3a$r) ess. Res*$n+ens R$3e# 7&'ric$, G$+%re) Ng&$ an+ 6&#i&s 8i##a%#$r were a3$ng !1 e3*#$)ees %$&n+ *$siive %$r &se $% 3eha3*hea3ine h)+r$ch#$ri+e =sha'&?. In c$3*#iance wih severa# 3e3$ran+a, he) s&'3ie+ heir eF*#anai$ns $n he res&#s $% he ess, which P#anai$n Ba) %$&n+ &nsais%ac$r) hence, he) were +is3isse+. La'$r Ar'ier %$&n+ he3 g&i#) $% seri$&s 3isc$n+&c an+ r&#e+ ha here was n$ i##ega# +is3issa#. NLRC reverse+ sa)ing here was i##ega# +is3issa# an+ ha res*$n+ens were n$ rea##) &sing +r&gs CA a%%ir3e+ NLRC +ecisi$n 'ase+ $n evi+ence which sh$we+ a +iscre*anc) 'eween he ess c$n+&ce+ ') Phi#. 7r&g an+ Mare##. P#anai$n Ba) $'ece+ $ he e3*#$)ees &esi$ning he veraci) $% he ess $n#) in he NLRC M$i$n %$r Rec$n, an iss&e n$ raise+ +&ring he *r$cee+ings. A++ii$na##), he) 3ainain ha in er3inaing he services $% res*$n+ens, he) re#ie+ $n he res&#s $% he ran+$3 +r&g ess &n+era
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Exhibit A (Note that the con!ato" test sho#e$ ealie es%lts that the initial test &'& Na3e

7r&g Tes

C$n%ir3a$r) Tes

R$3e# 7&'ric$ >rine sa3*#e receive+ $n (9!9( a 21 *.3.

Iss&e+ $n (9!9( a 2" *.3.

G$+%re) Ng&$ >rine sa3*#e receive+ $n (9!9( a 2! *.3.

Iss&e+ $n (9!9( a 2" *.3.

6&#i&s 8i##a%#$r

Iss&e+ $n (9!9( a 12 *.3.

>rine sa3*#e receive+ $n (9!9( a 2! *.3.

Where here is n$ sh$wing $% a c#ear, va#i+ an+ #ega# ca&se %$r er3inai$n, he #aw c$nsi+ers he case a 3aer $% i##ega# +is3issa#. The '&r+en is $n he e3*#$)er $ *r$ve ha he er3inai$n was %$r a va#i+ an+ #ega# ca&se. WHERE:RE, he Peii$n is 7ENIE7.

acs Inv$#ve+ in his case are w$ se*arae cases. The %irs $ne is wih regar+s $ he reg&#ari4ai$n $% he *eii$ners whi#e he sec$n+ $ne is wih regar+s $ he i##ega# +is3issa# $% s&ch *eii$ners REG>LARIATI:N CASE

ILLEGAL 7ISMISSAL CASE

Peii$ners %i#e+ w$ se*arae c$3*#ains agains ABSCBN %$r Whi#e he a**ea# $% ABSCBN $ he NLRC was PEN7ING, *eii$ners reg&#ari4ai$n, &n%air #a'$r *racice, an+ severa# 3$ne) c#ai3s. were +is3isse+ ') ABSCBN. Peii$ners were +rivers, ca3era3an, e#e*r$3*ers, e+i$rs, *ers$na# In +e%ense, ABS5CBN a##ege+ ha even 'e%$re he #a'$r ar'ier assisans, an+ 8TR e+i$rs. ren+ere+ his +ecisi$n in he reg&#ari4ai$n case, i ha+ a#rea+) The *eii$ners a##ege+ ha ABS5CBN an+ he ABS5CBN Ran<5an+5 &n+erani$n eFec&e+ a CBA where he) ha+ 'een eFc#&+e+ sr&c&re $ a++ress is $*erai$na# re&ire3ens. I hen +eci+e+ $ %r$3 is c$verage as ABS5CBN c$nsi+ere+ he3 e3*$rar) an+ n$ c$&rse hr$&gh #egii3ae service c$nrac$rs a## +riving, 3essengeria#, reg&#ar e3*#$)ees, in vi$#ai$n $% he La'$r C$+e. The) c#ai3e+ he) ani$ria#, &i#i), 3a
NLRC reverse+ he #a'$r ar'iers r&#ing in he i##ega# +is3issa# case i %$&n+ ha *eii$ners ha+ 'een i##ega##) +is3isse+ an+ awar+e+ he3 'ac
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Peii$ners an+ ABSCBN '$h %i#e+ %$r a M:TI:N :R REC:NSI7ERATI:N $% he a'$ve +ecisi$n 'e%$re he NLRC. NLRC s$$+ ') he r&#ing ha he *eii$ners were reg&#ar e3*#$)ees eni#e+ $ he 'ene%is an+ *rivi#eges $% reg&#ar e3*#$)ees.

:n he i##ega# +is3issa# case, he *eii$ners, whi#e rec$gni4e+ as reg&#ar e3*#$)ees, were +ec#are+ #ega##) +is3isse+ +&e $ re+&n+anc).

Iss&eS Wheher $r n$ *eii$ners were reg&#ar e3*#$)ees $% ABSCBN Wheher $r n$ *eii$ners were i##ega##) +is3isse+ ') ABSCBN R&#ing REG>LARIATI:N CASE S&*re3e C$&r agree+ wih he ear#ier +ecisi$ns ha *eii$ners were in+ee+ reg&#ar e3*#$)ees $% ABSCBN. As reg&#ar e3*#$)ees, he *eii$ners %a## wihin he c$verage $% he 'argaining &ni an+ are here%$re eni#e+ $ CBA 'ene%is as a 3aer $% #aw an+ c$nrac.

ILLEGAL 7ISMISSAL CASE The er3inai$n $% e3*#$)3en $% he %$&r +rivers $cc&rre+ &n+er high#) &esi$na'#e circ&3sances an+ wih *#ain an+ &na+&#erae+ 'a+ %aih. The rec$r+s sh$w ha he reg&#ari4ai$n case was in %ac he r$$ $% he res&#ing 'a+ %aih as his case gave rise an+ #e+ $ he +is3issa# case. irs, he reg&#ari4ai$n case was %i#e+ #ea+ing $ he #a'$r ar'iers +ecisi$n +ec#aring he *eii$ners $ 'e reg&#ar e3*#$)ees. ABS5CBN a**ea#e+ he +ecisi$n an+ 3ainaine+ is *$sii$n ha he *eii$ners were in+e*en+en c$nrac$rs. In he c$&rse $% his a**ea#, ABS5CBN $$< 3aers in$ is $wn han+s an+ er3inae+ he *eii$ners services, c#ear#) +isregar+ing is $wn a**ea# hen *en+ing wih he NLRC. T$ &si%) he er3inai$n $% service, he c$3*an) cie+ re+&n+anc) as is a&h$ri4e+ ca&se '& $%%ere+ n$ &si%ica$r) s&**$ring evi+ence. I 3ere#) c#ai3e+ ha i was c$nracing $& he *eii$ners aciviies in he eFercise $% is 3anage3en *rer$gaive. ABS5CBN %e## in$ a +$wnwar+ s*ira# $% irrec$nci#a'#e #ega# *$sii$ns. ABS5CBN %$rg$ #a'$r #aw an+ is rea#iies. I %$rg$ ha ') c#ai3ing re+&n+anc) as a&h$ri4e+ ca&se %$r +is3issa#, i i3*#ie+#) a+3ie+ ha he *eii$ners were reg&#ar e3*#$)ees wh$se services, ') #aw, can $n#) 'e er3inae+ %$r he &s an+ a&h$ri4e+ ca&ses +e%ine+ &n+er he La'$r C$+e. I si3i#ar#) %$rg$ ha an eFercise $% 3anage3en *rer$gaive can 'e va#i+ $n#) i% i is &n+era
PETITI:N GRANTE7. Peii$ners are reg&#ar e3*#$)ees $% ABSCBN an+ he) are h&s eni#e+ $ he 'ene%is &n+er he CBA. Peii$ners were #i
acs :n 7ece3'er 1, !((!, res*$n+en 7esin) inancia# P#ans, Inc., a *re5nee+ ins&rance c$3*an), hire+ *eii$ner as Hea+ $% is Mar

7irec$r $% he c$3*an). :n e'r&ar) 1, !((, *eii$ner s&'3ie+ his #eer $% eF*#anai$n $ res*$n+en c $3*an). :n e'r&ar) 1", !((, he '$ar+ $% +irec$rs $% res*$n+en c$3*an) er3inae+ *eii$ners services $n he gr$&n+ $% #$ss $% c$n%i+ence. Th&s, $n March 1-, !((, *eii$ner %i#e+ 'e%$re he La'$r Ar'ier a c$3*#ain %$r i##ega# +is3issa#, wih *ra)er %$r reinsae3en, *a)3en $% %&## 'acn+er Aric#e !!=c? $% he La'$r C$+e, an e3*#$)er can er3inae he e3*#$)3en $% he e3*#$)ee c$ncerne+ %$r %ra&+ $r wi##%&# 'reach ') an e3*#$)ee $% he r&s re*$se+ in hi3 ') his e3*#$)er $r +&#) a&h$ri4e+ re*resenaive. The +$crine $% #$ss $% c$n%i+ence re&ires he c$nc&rrence $% he %$##$wing =1? #$ss $% c$n%i+ence sh$&#+ n$ 'e si3&#ae+ =!? i sh$&#+ n$ 'e &se+ as a s&'er%&ge %$r ca&ses which are i3*r$*er, i##ega#, $r &n&si%ie+ =? i 3a) n$ 'e ar'irari#) assere+ in he %ace $% $verwhe#3ing evi+ence $ he c$nrar) =? i 3&s 'e gen&ine, n$ a 3ere a%erh$&gh $ &si%) an ear#ier aci$n a
acs Be#en was hire+ ') 6ave##ana as c$3*an) +river an+ assigne+ hi3 he as
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Peii$ner Be#en %&rher a##ege+ ha his #$ng an+ ar+&$&s +a) %ina##) en+e+ a ( a.3. $% he %$##$wing +a), A&g&s !(, 1999. B& a%er &s hree h$&rs $% s#ee*, res*$n+en 6ave##ana s&33$ne+ hi3 $ he $%%ice. When he arrive+ a !( a.3., 6ave##ana ha+ #e%. A%er 'eing $#+ ha he #aer w$&#+ n$ 'e 'ac< &ni# (( *.3., Be#en +eci+e+ $ g$ h$3e an+ ge s$3e 3$re s#ee*. Peii$ner Be#en was *r$3*#) a he $%%ice a (( *.3. '& res*$n+en 6ave##ana s&++en#) '#&re+ $& ha he was %iring Be#en %r$3 w$r<. 7ee*#) w$rrie+ ha he 3igh n$ s$$n ge an$her $', Be#en as
acs Peii$ner is 6$ce#)n Ga#era, an A3erican cii4en wh$ was recr&ie+ %r$3 he >S ') *rivae res*$n+en 6$hn See+3an, Chair3an5WPP W$r#+wi+e an+ Chie% EFec&ive :%%icer $% Min+share, C$., a c$r*$rai$n 'ase+ in H$ng $ng, China, $ w$r< in he Phi#i**ines %$r *rivae res*$n+en WPP Mar
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Iss&e Wheher Ga#era is an E3*#$)ee $r a C$r*$rae :%%icer. Wheher WPP i##ega##) +is3isse+ Ga#era. R&#ing E3*#$)ee. Ga#era, $n he 'e#ie% ha she is an e3*#$)ee, %i#e+ her c$3*#ain 'e%$re he La'$r Ar'ier. :n he $her han+, WPP, See+3an, We'ser an+ Lansang c$nen+ ha Ga#era is a c$r*$rae $%%icer hence, an) c$nr$vers) regar+ing her +is3issa# is &n+er he &ris+ici$n $% he Regi$na# Tria# C$&r. We agree wih Ga#era. C$r*$rae $%%icers are given s&ch characer eiher ') he C$r*$rai$n C$+e $r ') he c$r*$rai$ns ')5#aws. Ga#eras a**$in3en as a c$r*$rae $%%icer =8ice5Presi+en wih he $*erai$na# i#e $% Managing 7irec$r $% Min+share? +&ring a s*ecia# 3eeing $% WPPs B$ar+ $% 7irec$rs is an a**$in3en $ a n$n5eFisen c$r*$rae $%%ice. A he i3e $% Ga#eras a**$in3en, WPP a#rea+) ha+ $ne 8ice5Presi+en in he *ers$n $% We'ser an+ a## %ive +irec$rshi* *$sii$ns *r$vi+e+ in he ')5#aws are a#rea+) $cc&*ie+. An$her in+ica$r ha she was a reg&#ar e3*#$)ee an+ n$ a c$r*$rae $%%icer is Seci$n 1 $% he c$nrac, which c#ear#) saes ha she is a *er3anen e3*#$)ee ] n$ a 8ice5Presi+en $r a 3e3'er $% he B$ar+ $% 7irec$rs. An$her c$nvincing in+icai$n ha she was $n#) a reg&#ar e3*#$)ee an+ n$ a c$r*$rae $%%icer is he +isci*#inar) *r$ce+&re, which saes ha her righ $% re+ress is hr$&gh Min+shares Chie% EFec&ive :%%icer %$r he Asia5Paci%ic. This i3*#ies ha she was n$ &n+er he +isci*#inar) c$nr$# $% *rivae res*$n+en WPPs B$ar+ $% 7irec$rs =B:7?, which sh$&#+ have 'een he case i% in %ac she was a c$r*$rae $%%icer 'eca&se $n#) he B$ar+ $% 7irec$rs c$&#+ a**$in an+ er3inae s&ch a c$r*$rae $%%icer. WPPs +is3issa# $% Ga#era #ac
acs ive %$r3er %ac&#) 3e3'ers $% AMA C$3*&er C$##ege in Para_a&e Ci) eFec&e+ in+ivi+&a# Teachers C$nracs %$r each $% he ri3esers he) were engage+ $ each. $r he sch$$# )ear !(((5!((1, when AMACC i3*#e3ene+ new %ac&#) screening g&i+e#ines, he *eii$ners %ai#e+ $ $'ain a *assing raing 'ase+ $n he *er%$r3ance san+ar+s. Th&s, AMACC +i+ n$ give he3 an) sa#ar) increase. 7&e $ his, he) %i#e+ a c$3*#ain %$r &n+er*a)3en $% wages. C$nse&en#), he) were +is3isse+ as heir c$nracs have eF*ire+ ; were n$ renewe+. The La'$r Ar'ier r&#e+ ha he) ha+ 'een i##ega##) +is3isse+. The NLRC a%%ir3e+ he LAs +ecisi$n. In a++ii$n, h$wever, i $'serve+ ha he a**#ica'#e #aw is Seci$n 9! $% he Man&a# $% Reg&#ai$ns %$r Privae Sch$$#s =which 3an+aes a *r$'ai$nar) *eri$+ $% nine c$nsec&ive ri3esers $% sais%ac$r) service %$r aca+e3ic *ers$nne# in he eriar) #eve# where c$##egiae c$&rses are $%%ere+ $n a ri3eser 'asis?, n$ Aric#e !1 $% he La'$r C$+e =which *rescri'es a *r$'ai$nar) *eri$+ $% siF 3$nhs? as he LA r&#e+. 7es*ie his, he NLRC si## a%%ir3e+ he LAs %in+ing $% i##ega# +is3issa# $n he 'asis $% san+ar+s ha were $n#) inr$+&ce+ near he en+ $% heir *r$'ai$nar) *eri$+ an+ n$ a he i3e $% engage3en. The CA +is3isse+ he aci$n %$r i##ega# +is3issa# r&#ing ha &n+er he Man&a# %$r Reg&#ai$ns %$r Privae Sch$$#s, a eaching

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*ers$nne# in a *rivae e+&cai$na# insi&i$n =1? 3&s 'e a %&## i3e eacher =!? 3&s have ren+ere+ hree c$nsec&ive )ears $% service an+ =? s&ch service 3&s 'e sais%ac$r) 'e%$re he $r she can ac&ire *er3anen sa&s. Since he) ha+ n$ c$3*#ee+ hree =? c$nsec&ive )ears $% service =i.e. siF reg&#ar se3esers $r nine c$nsec&ive ri3esers $% sais%ac$r) service? an+ were si## wihin heir *r$'ai$nar) *eri$+, hen he) cann$ ac&ire *er3anen sa&s. The n$n5renewa# $% c$nrac is a va#i+ 3anage3en *rer$gaive. Iss&e Wheher $r n$ he +is3issa# is va#i+. R&#ing AMACC %ai#e+ $ *r$ve ') s&'sania# evi+ence ha here was &s ca&se %$r he n$n5renewa# $% he *eii$ners c$nracs. The La'$r C$+e is s&**#e3ene+ wih res*ec $ he *eri$+ $% *r$'ai$n ') s*ecia# r&#es %$&n+ in he Man&a# $% Reg&#ai$ns %$r Privae Sch$$#s. :n he 3aer $% *r$'ai$nar) *eri$+, Seci$n 9! $% hese reg&#ai$ns *r$vi+es Seci$n 9!. Pr$'ai$nar) Peri$+. O S&'ec in a## insances $ c$3*#iance wih he 7e*ar3en an+ sch$$# re&ire3ens, he *r$'ai$nar) *eri$+ %$r aca+e3ic *ers$nne# sha## n$ 'e 3$re han hree =? c$nsec&ive )ears $% sais%ac$r) service %$r h$se in he e#e3enar) an+ sec$n+ar) #eve#s, siF =-? c$nsec&ive reg&#ar se3esers $% sais%ac$r) service %$r h$se in he eriar) #eve#, an+ nine =9? c$nsec&ive ri3esers $% sais%ac$r) service %$r h$se in he eriar) #eve# where c$##egiae c$&rses are $%%ere+ $n a ri3eser 'asis.

:her han $n he *eri$+, he %$##$wing &$e+ *$ri$n $% Aric#e !1 $% he La'$r C$+e si## %&##) a**#ies The services $% an e3*#$)ee wh$ has 'een engage+ $n a *r$'ai$nar) 'asis 3a) 'e er3inae+ %$r a &s ca&se when he %ai#s $ &a#i%) as a reg&#ar e3*#$)ee in acc$r+ance wih reas$na'#e san+ar+s 3a+e *$n he eF*irai$n $% his c$nrac $% e3*#$)3en, 'eing si3*#) $n *r$'ai$n, he cann$ a&$3aica##) c#ai3 sec&ri) $% en&re an+ c$3*e# he e3*#$)er $ renew his e3*#$)3en c$nrac. The sch$$#, h$wever, cann$ %$rge ha is s)se3 $% %iFe+5er3 c$nrac is a s)se3 ha $*eraes +&ring he *r$'ai$nar) *eri$+ an+ %$r his reas$n is s&'ec $ he er3s $% Aric#e !1 $% he La'$r C$+e. Given he c#ear c$nsi&i$na# an+ sa&$r) inens, we cann$ '& c$nc#&+e ha in a si&ai$n where he *r$'ai$nar) sa&s $ver#a*s wih a %iFe+5er3 c$nrac n$ s*eci%ica##) &se+ %$r he %iFe+ er3 i $%%ers, Aric#e !1 sh$&#+ ass&3e *ri3ac) an+ he %iFe+5*eri$+ characer $% he c$nrac 3&s give wa). Whi#e we can gran ha he san+ar+s were +&#) c$33&nicae+ $ he *eii$ners an+ c$&#+ 'e a**#ie+ 'eginning he 1s ri3eser $% he sch$$# )ear !(((5!((1, g#aring an+ ver) 'asic ga*s in he sch$$#s evi+ence si## eFis. The eFac er3s $% he san+ar+s were never inr$+&ce+ as evi+ence neiher +$es he evi+ence sh$w h$w hese san+ar+s were a**#ie+ $ he *eii$ners. Hence, he +is3issa# was i##ega#.

acs SCA H)giene Pr$+&cs C$r*. = SCA H)giene %$r sh$r?, a c$r*$rai$n engage+ in sa#e, 3a
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$%%ere+ wih rans%ers ? re%&se+ $ 'e rans%erre+ $% which his services were er3inae+ ') reas$n $% re+&n+anc) $% *$sii$n. Pan$a hen receive+ se*arai$n *a) =which was han+s$3e#) $ver an+ a'$ve wha was *r$vi+e+ ') #aw? an+ eFec&e+ a re#ease an+ &ic#ai3 in he c$r*s %av$r. H$wever, $n 6&ne !(((, Pan$a %i#e+ a c$3*#ain %$r i##ega# +is3issa# agains SCA H)giene %$r #ac< $% va#i+ ca&se. Pan$a iner*$se+ ha n$ *er3anen sh&+$wn $% Pa*er Mi## N$.  +&e $ is c$nin&$&s $*erai$n since his er3inai$n, *resening in evi+ence Pa*er Mi## Pers$nne# Sche+&#e %$r Mi## N$. %$r 6&ne, 6&#) an+ A&g&s !((( h&s, c$r*. was in 'a+ %aih r)ing $ circ&3ven his en&ria# sec&ri) when n$ s&'sania# reas$n eFis. La'$r Ar'ier +is3isse+ Pan$as c$3*#ain saing his reeci$n $% rans%er an+ recei* $% he se*arai$n *a) 'e#ie Pan$as i##ega# +is3issa#. :n a**ea# ') Pan$a, NLRC reverse+ he Ar'iers +ecisi$n saing he re+&n+anc) *r$gra3 is #ega##) in%ir3 $n %eigne+ sh&+$wn $% $*erai$ns. :n rec$nsi+erai$n ') SCA H)giene asseveraing ha $n 1999 when Mi## N$. was sh& +$wn +&e $ #$w *r$+&ci$n $&*&, here was a necessi) $ $ccasi$na##) r&n %r$3 i3e $ i3e he 3achines $n#) %$r he *&r*$se $% 3ainaining an+ *reserving he sa3e an+ +$es n$ 3ean ha Pa*er Mi## N$.  c$nin&e+ $ 'e $*erai$na#. @e, NLRC re3ain &n*ers&a+e+. :n a**ea# ') SCA H)giene, CA reinsae+ La'$r Ar'iers +ecisi$n. Iss&e Wheher $r n$ Pan$a was i##ega##) +is3isse+ R&#ing Pan$a is n$ i##ega##) +is3isse+. SCA H)gienes righ $% 3anage3en *rer$gaive was eFercise+ in g$$+ %aih. In Inernai$na# Harveser Mac#e$+, Inc. v. Iner3e+iae A**e##ae C$&r, he +eer3inai$n $% he nee+ $ *hase $& a *aric&#ar +e*ar3en an+ c$nse&en re+&ci$n $% *ers$nne# an+ re$rgani4ai$n as a #a'$r an+ c$s saving +evice is a rec$gni4e+ 3anage3en *rer$gaive which he c$&rs wi## n$ genera##) iner%ere wih. Circ&3sances *$ining g$$+ %aih $n SCA H)gienes *ar 5 he a'$#ish3en $% Pa*er Mi## N$.  was a '&siness &+g3en arrive+ a +&e $ #$w +e3an+ %$r he *r$+&ci$n $% in+&sria# *a*er a he i3e. 7es*ie an a**aren reas$n $ i3*#e3en a rerench3en *r$gra3 as a c$s5c&ing 3eas&re, SCA H)giene, +i+ n$ $&righ#) +is3iss he w$r
acs Rec$r+s sh$w ha res*$n+en, Ara3'&#$, was iniia##) e3*#$)e+ as C#er< in 19"! a Ci)r&s Ban
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i3es when res*$n+en w$&#+ %ai# $ re&rn he 3$ne) wih+rawn res&#ing in sh$rages $n he *ar $% A4&cena. When res*$n+en was rans%erre+ $ L$s Ba_$s, Lag&na, A4&cena a++e+ ha he sa3e *racice was c$nin&e+ ') her s$n, Arie Ara3'&#$. BPI c$n+&ce+ a h$r$&gh invesigai$n an+ +isc$vere+ ha res*$n+en ha+ a**r$ve+ severa# wih+rawa#s %r$3 vari$&s acc$&ns $% c#iens wh$se signa&res were %$rge+. The assisan 'ranch 3anager $% he sai+ 'ranch a#s$ i3*&e+ %a&# $ Ara3'&#$. Ara3'&#$ a+3ie+ ha she *re*are+ he &nsigne+ wih+rawa# s#i*s $n he acc$&n $% Mr. 8icene A3ane =Mr. A3ane? $a#ingP"((,(((.(( &*$n re&es $% he #aer. She a#s$ eF*#aine+ ha she *r$cesse+ he wih+rawa# s#i*s $% Mr. E3eeri$ 7iST AN7 C:NI7ENCE %$r gr$ss vi$#ai$n $% *$#icies an+ *r$ce+&res. Ara3'&#$ %i#e+ a c$3*#ain %$r i##ega# +is3issa#. The NLRC an+ CA r&#e+ ha res*$n+ens +is3issa# %$r ca&se in acc$r+ance wih he #aw. I was esa'#ishe+ ha res*$n+en ha+ a**r$ve+ wih+rawa#s which were #aer *r$ven $ 'e %$rge+ '& $r+ere+ he *a)3en $% se*arai$n *a). Iss&e W:N ARAMB>L: IS ENTITLE7 T: SEPARATI:N PA@. R&#ing N:. =C$&r a**#ie+ is r&#ing in T$)$a vs NLRC? Whi#e as a genera# r&#e, an e3*#$)ee wh$ has 'een +is3isse+ %$r an) $% he &s ca&ses en&3erae+ &n+er Aric#e !! $% he La'$r C$+e is n$ eni#e+ $ se*arai$n *a), he C$&r has a##$we+ in n&3er$&s cases he gran $% se*arai$n *a) $r s$3e $her %inancia# assisance $ an e3*#$)ee +is3isse+ %$r &s ca&ses $n he 'asis $% e&i). In he #ea+ing case $% Phi#i**ine L$ng 7isance Te#e*h$ne C$. v. NLRC, he C$&r sae+ ha se*arai$n *a) sha## 'e a##$we+ as a 3eas&re $% s$cia# &sice $n#) in h$se insances where he e3*#$)ee is va#i+#) +is3isse+ %$r ca&ses $her han seri$&s 3isc$n+&c $r h$se re%#ecing $n his 3$ra# characer. In graning se*arai$n *a) $ res*$n+en, he NLRC an+ C$&r $% A**ea#s '$h a+here+ $ his &ris*r&+enia# *rece* an+ c#eare+ res*$n+en $% 'a+ %aih. H$wever, he s&ccee+ing case $% T$)$a M$$r Phi#s. C$r*. W$r
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acs P&#gar was he 3anager $% PRRMs 'ranch $%%ice ] he Ta)a'as Ba) ie#+ :%%ice =TB:? ] in D&e4$n Pr$vince. When P&#gar was reassigne+ $ PRRMs cenra# $%%ice, PRRM, hr$&gh G$)ena S$#is =S$#is?, c$n+&ce+ an invesigai$n in$ a##ege+ %inancia# an$3a#ies c$33ie+ a he TB:. In her invesigai$n re*$r, S$#is sae+ ha *ar $% he %&n+s a##$e+ $ he TB: was 3issing $r n$ *r$*er#) acc$&ne+ %$r. The re*$r a#s$ sae+ ha s$3e $% he recei*s ha he TB: s&'3ie+ $ #i&i+ae he $rgani4ai$ns %inancia# ransaci$ns were %icii$&s an+ 3an&%ac&re+. The PRRM 3anage3en sen P&#gar a c$*) $% he re*$r, $geher wih a 3e3$ran+&3, as
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T$ '$#ser his c$neni$n ha he was c$nsr&cive#) +is3isse+, P&#gar assers ha his *ers$na# hings were a
acs Peii$ner Mari'ag$ is a c$r*$rai$n $*eraing a res$r h$e# an+ resa&ran in Baranga) Mari'ag$, La*&5La*& Ci). In 1992 , i hire+ res*$n+en 7&a# as waier an+ *r$3$e+ hi3 #aer as $&#e cashier $% is P$$#'arA##egr$ Resa&ran. S$3ei3e in !((2, a gr$&* $% 6a*anese g&ess an+ heir c$3*ani$ns +ine+ a A##egr$. Ca*ain waier Hi)as $$< heir +inner $r+ers c$3*rising $% siF =-? ses $% #a3' an+ siF =-? ses $% %ish. As *er c$3*an) *r$ce+&re, Hi)as %$rwar+e+ $ne c$*) $% he $r+er s#i* $ he
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3anager, iss&e+ 3e3$ran+a, re&iring res*$n+en 7&a#, A#vin Hi)as, Ernes$ Aveni+$ an+ Basi#i$ A#c$se'a $ eF*#ain wh) he) sh$&#+ n$ 'e *ena#i4e+ %$r vi$#aing H$&se R&#e .1 =+ish$nes) in an) na&re?. 7&ring he c#ari%ica$r) hearing, '&cher A#egra+$ esi%ie+ ha O waier A#c$se'a wen $ he '&cher) #$$
:herwise, an e3*#$)ee &n&s#) +is3isse+ %r$3 w$r< is eni#e+ $ reinsae3en an+ %&## 'ac
In Aga'$n v. Nai$na# La'$r Re#ai$ns C$33issi$n, cra#aw we r&#e+ ha5 vi$#ai$n $% he e3*#$)ees sa&$r) righ $ +&e *r$cess 3a
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M$re$ver, res*$n+ens c#ai3 ha 5 he receive+ P,1((.(( $n#) an+ gave Missi$n P-.(( as change is n$ sh$wn ') he recei* ha he iss&e+. The iss&e+ recei* +$es n$ sh$w ha O change was given. In a++ii$n, he a3$&n in+icae+ in he recei* +$es n$ c$inci+e wih 7&a#s c$neni$n ha $n#) %$&r =? +ishes were cance##e+ an+ w$ =!? +ishes were given %ree $% charge. I% s&ch were he case, hen he a3$&n charge+ $ he g&ess sh$&#+ have 'een %$r eigh =? ses $% +inner an+ n$ siF =-? ses. As esa'#ishe+ +&ring he c#ari%ica$r) hearing, we#ve =1!? ses $% +inner were serve+ $ g&ess an+ w$ =!? +inner ses were given $ he $&r g&i+es %ree $% charge. I is c#ear#) in+icae+ in he a#ere+ $r+er s#i* ha siF =-? $& $% he we#ve =1!? ses $% +inner were cance##e+. The a##egai$n $% 7&a# ha 5 siF =-? +inner ses were in+ee+ cance##e+ as evi+ence+ ') he +ishes he a##ege+#) saw in he &ensi# sai$n is negae+ ') he esi3$nies $% he S MISC:N7>CT O which is a &s ca&se %$r er3inai$n &n+er he #aw. THET c$33ie+ ') an e3*#$)ee is a va#i+ reas$n %$r his +is3issa# ') he e3*#$)er. A#h$&gh as a r&#e his C$&r #eans $ver 'ac
JIn $r+er $ va#i+#) +is3iss an e3*#$)ee, he 3&s 'e acc$r+e+ '$h s&'sanive an+ *r$ce+&ra# +&e *r$cess ') he e3*#$)er. Pr$ce+&ra# +&e *r$cess re&ires ha he e3*#$)ee 'e given a n$ice $% he charge agains hi3, an a3*#e $**$r&ni) $ 'e hear+, an+ a n$ice $% er3inai$n. Even i% he a%$resai+ *r$ce+&re is c$n+&ce+ a%er he %i#ing $% he i##ega# +is3issa# case, he #ega#i) $% he +is3issa#, as $ is *r$ce+&ra# as*ec, wi## 'e &*he#+ *r$vi+e+ ha he e3*#$)er is a'#e $ sh$w ha c$3*#iance wih hese re&ire3ens was n$ a 3ere a%erh$&gh.K acs In 1999, *eii$ner New P&er$ C$33ercia# hire+ res*$n+ens e#iF Gavan an+ R$+e# L$*e4 as a +e#iver) *ane# +river an+ as a r$ving sa#es3an, res*ecive#). >n+er a r$##ing s$re sche3e, *eii$ners assigne+ res*$n+ens $ se## g$$+s s$c
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sari5sari s$res $% %ar5%#&ng 'aranga)s an+ 3&nici*a#iies $&si+e P&er$ Princesa Ci), Pa#awan. Res*$n+ens were +&)5'$&n+ $ c$##ec he acc$&ns receiva'#es an+ re3i he sa3e &*$n heir re&rn $ *eii$ners s$re $n a wee<#) 'asis. In !(((, res*$n+ens %i#e+ a C$3*#ain %$r i##ega# +is3issa# an+ n$n5*a)3en $% 3$near) 'ene%is agains *eii$ners wih he Regi$na# :%%ice $% he 7:LE in P&er$ Princesa Ci). :n N$ve3'er !(, !(((, a c$nci#iai$n c$n%erence was he#+ '& he *aries %ai#e+ $ reach an a3ica'#e se#e3en. As a res&#, he c$3*#ain was en+$rse+ %$r c$3*&#s$r) ar'irai$n a he RAB $% he NLRC. Previ$&s#) $r $n N$ve3'er !, !(((, *eii$ners sen res*$n+ens n$ices $ eF*#ain wh) he) sh$&#+ n$ 'e +is3isse+ %$r gr$ss 3isc$n+&c 'ase+ $n =1? he a##ege+ 3isa**r$*riai$n $% heir sa#es c$##eci$ns, an+ =!? heir a'sence wih$& #eave %$r 3$re han a 3$nh. The n$ice a#s$ re&ire+ res*$n+ens $ a**ear 'e%$re *eii$ners #aw)er $n 7ece3'er !, !((( $ give heir si+e wih regar+ $ he %$reg$ing charges. Res*$n+ens re%&se+ $ aen+ sai+ hearing. :n 7ece3'er 1, !(((, *eii$ners serve+ n$ices $% er3inai$n $n res*$n+ens $n he gr$&n+s $% gr$ss 3isc$n+&c an+ a'sence wih$& #eave %$r 3$re han $ne 3$nh. The La'$r Ar'ier +is3isse+ he c$3*#ain %$r i##ega# +is3issa#. The NLRC a%%ir3e+ he r&#ing $% he La'$r Ar'ier. I r&#e+ ha +a3ages cann$ 'e awar+e+ in %av$r $% res*$n+ens 'eca&se heir +is3issa# was %$r &s ca&ses. The CA a%%ir3e+ wih 3$+i%icai$n he r&#ing $% he NLRC, $ wi, i awar+e+ n$3ina# +a3ages $% P(,(((.(( each $ *eii$ners 'eca&se he) were +enie+ +&e *r$cess. Iss&e Wheher he res*$n+ens were +enie+ *r$ce+&ra# +&e *r$cess &si%)ing he awar+ $% n$3ina# +a3ages in acc$r+ance wih he r&#ing in Aga'$n v. Nai$na# La'$r Re#ai$ns C$33issi$n

R&#ing The *eii$n is 3eri$ri$&s. When he re&ire3ens $% *r$ce+&ra# +&e *r$cess are sais%ie+, he awar+ $% n$3ina# +a3ages is i3*r$*er.

In er3inai$n *r$cee+ings $% e3*#$)ees, *r$ce+&ra# +&e *r$cess c$nsiss $% he win re&ire3ens $% n$ice an+ hearing. The e3*#$)er 3&s %&rnish he e3*#$)ee wih w$ wrien n$ices 'e%$re he er3inai$n $% e3*#$)3en can 'e e%%ece+ =1? he %irs a**rises he e3*#$)ee $% he *aric&#ar acs $r $3issi$ns %$r which his +is3issa# is s$&gh an+ =!? he sec$n+ in%$r3s he e3*#$)ee $% he e3*#$)ers +ecisi$n $ +is3iss hi3. The re&ire3en $% a hearing is c$3*#ie+ wih as #$ng as here was an $**$r&ni) $ 'e hear+, an+ n$ necessari#) ha an ac&a# hearing was c$n+&ce+. As we eF*#aine+ in Pere4 v. Phi#i**ine Te#egra*h an+ Te#e*h$ne C$3*an) An e3*#$)ees righ $ 'e hear+ in er3inai$n cases &n+er Aric#e !"" ='? as i3*#e3ene+ ') Seci$n ! =+?, R&#e I $% he I3*#e3ening R&#es $% B$$< 8I $% he La'$r C$+e sh$&#+ 'e iner*ree+ in 'r$a+ sr$

serve+ n$ices $% er3inai$n $n res*$n+ens %$r gr$ss 3isc$n+&c in 3isa**r$*riaing heir sa#es c$##eci$ns an+ a'sence wih$& #eave %$r 3$re han a 3$nh. As can 'e seen, &n+er he *ec&#iar circ&3sances $% his case, i cann$ 'e c$nc#&+e+ ha he sen+ing $% he n$ices an+ seing $% hearings were a 3ere a%erh$&gh 'eca&se *eii$ners were si## awaiing he re*$r %r$3 Bagasa#a when res*$n+ens *re5e3*e+ he res&#s $% he $ng$ing invesigai$n ') %i#ing he s&'ec #a'$r c$3*#ain. $r his reas$n, here was s&%%icien c$3*#iance wih he win re&ire3ens $% n$ice an+ hearing even i% he n$ices were sen an+ he hearing c$n+&ce+ a%er he %i#ing $% he #a'$r c$3*#ain. Th&s, he awar+ $% n$3ina# +a3ages ') he a**e##ae c$&r is i3*r$*er.

acs Peii$ner 6$se P. Ari%ici$ was e3*#$)e+ as sec&ri) g&ar+ ') res*$n+en RP G&ar+ians Sec&ri) Agenc), Inc., a c$r*$rai$n +&#) $rgani4e+ an+ eFising &n+er Phi#i**ine Laws an+ #i
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c#ien in #igh $% he seri$&s a##egai$n $% c$n+&c &n'ec$3ing a sec&ri) g&ar+ s&ch as a'an+$n3en $% *$s +&ring nigh shi% +&), #igh hreas an+ irreg&#ariies in he $'servance $% *r$*er re#ieving i3e. Besi+es, Manage3en has he *rer$gaive $ +isci*#ine is e3*#$)ees an+ $ i3*$se a**r$*riae *ena#ies $n erring w$r
acs :n 6&#) 1-, 1999, a C$3*#ain  %$r i##ega# +is3issa#, &n%air #a'$r *racice, &n+er*a)3en $% wages an+ 1h 3$nh *a), n$n5*a)3en $% service incenive #eave *a), $veri3e *a), *re3i&3 *a) %$r h$#i+a), res +a), nigh shi% a##$wances an+ se*arai$n *a) was %i#e+ ') herein *eii$ner E#*i+i$ Ca#i*a), $geher wih A#%re+$ Missi$n an+ Ernes$ 7i3a#ana agains herein *rivae res*$n+ens Triang#e Ace C$r*$rai$n =Triang#e? an+ 6$se Lee. Ca#i*a) an+ he $her c$3*#ainans a##ege+ in heir P$sii$n Pa*er ha in he c$&rse $% heir e3*#$)3en, he) were n$ given an) s*eci%ic w$r< assign3en he) *er%$r3e+ vari$&s
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A**ea#e+ $ CA which ren+ere+ is 7ecisi$n +is3issing he *eii$n. Ca#i*a) %i#e+ a M$i$n %$r Rec$nsi+erai$n, '& he CA +enie+ Hence, he insan *eii$n $% Ca#i*a) raising he %$##$wing iss&es Iss&e Wheher $r n$ here was a'an+$n3en $% w$r< a &s gr$&n+ %$r +is3issa# He#+ Ca#i*a) an+ he $her c$3*#ainans %ai#e+ $ s&%%icien#) re%&e hese %in+ings $% he La'$r Ar'ier in heir a**ea# %i#e+ wih he NLRC. The) si3*#) insise+ ha he) +i+ n$ re*$r %$r w$r<, 'eca&se he) were a#rea+) er3inae+. H$wever, he) +i+ n$ *resen an) evi+ence $ *r$ve heir a##egai$n. :n he $her han+, as he#+ ') he La'$r Ar'ier, *rivae res*$n+ens were a'#e $ *resen he 7TRs an+ Sa#ar) 8$&chers $% Ca#i*a) an+ he $her c$3*#ainans sh$wing ha he) in+ee+ re*$re+ %$r w$r< even a%er heir a##ege+ er3inai$n %r$3 e3*#$)3en. !- Ca#i*a) an+ he $her c$3*#ainans a#s$ %ai#e+ $ *resen evi+ence $ *r$ve heir a##egai$n ha he) were %$rce+ $ sign '#an< %$r3s $% heir 7TRs an+ Sa#ar) 8$&chers. :n he 'asis $% he %$reg$ing, he C$&r arrives a he c$nc#&si$n ha he %i#ing $% he c$3*#ain %$r i##ega# +is3issa# a**ears $n#) as a c$nvenien a%erh$&gh $n he *ar $% *eii$ner an+ he $her c$3*#ainans a%er he) were +is3isse+ in acc$r+ance wih #aw. 6&ris*r&+ence has he#+ i3e an+ again ha a'an+$n3en is $a##) inc$nsisen wih he i33e+iae %i#ing $% a c$3*#ain %$r i##ega# +is3issa#, 3$re s$ i% he sa3e is acc$3*anie+ ') a *ra)er %$r reinsae3en. !" In he *resen case, h$wever, *eii$ner %i#e+ his c$3*#ain 3$re han $ne )ear a%er his a##ege+ er3inai$n %r$3 e3*#$)3en. M$re$ver, *eii$ner an+ he $her c$3*#ainans inc$nsisenc) in heir san+ is a#s$ sh$wn ') he %ac ha in he c$3*#ain %$r3 which he) *ers$na##) %i##e+ &* an+ %i#e+ wih he NLRC, he) $n#) as
acs :n 12 6&ne 1992, S&#*ici$ Lines, Inc. =S&#*ici$ Lines? hire+ Nacag&e as Jhe*e +e viaeK $r he re*resenaive $% S&#*ici$ Lines $n '$ar+ is vesse# M8 Princess $% he W$r#+ =he shi*?. :n 1 e'r&ar) !((, Ceasar T. Chic$, a h$&se
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Iss&e W:N he er3inai$n is va#i+. R&#ing Nacag&e 3ainains ha he S.M. La4$ C#inic +r&g es was n$ cre+i'#e 'eca&se S&#*ici$ Lines %ai#e+ $ sh$w ha S.M. La4$ C#inic is an a&h$ri4e+ +r&g esing cener. Nacag&e a#s$ a##eges ha he &rine sa3*#es were gahere+ care#ess#) wih$& *r$*er #a'e#s $ i+eni%) heir $wners an+ ha S.M. La4$ C#inic +i+ n$ as< Nacag&e i% he was an+er Aric#e !"9 $% he La'$r C$+e, an e3*#$)er 3a) er3inae he services $% an e3*#$)ee %$r &s ca&ses $r %$r a&h$ri4e+ ca&ses. &rher3$re, &n+er Aric#e !""='? $% he La'$r C$+e, he e3*#$)er 3&s sen+ he e3*#$)ee wh$ is a'$& $ 'e er3inae+, a wrien n$ice saing he ca&ses %$r er3inai$n an+ 3&s give he e3*#$)ee he $**$r&ni) $ 'e hear+ an+ $ +e%en+ hi3se#%. Th&s, $ c$nsi&e va#i+ +is3issa# %r$3 e3*#$)3en, w$ re&isies 3&s c$nc&r =1? he +is3issa# 3&s 'e %$r a &s $r a&h$ri4e+ ca&se an+ =!? he e3*#$)ee 3&s 'e a%%$r+e+ an $**$r&ni) $ 'e hear+ an+ $ +e%en+ hi3se#%. Seci$n - $% R.A. N$. 91-2 *r$vi+es ha +r&g ess sha## 'e *er%$r3e+ $n#) ') a&h$ri4e+ +r&g esing ceners. M$re$ver, Seci$n - a#s$ *rescri'es ha +r&g esing sha## c$nsis $% '$h he screening es an+ he c$n%ir3a$r) es. Seci$n - $% R.A. N$. 91-2 rea+s SEC. -. A&h$ri4e+ 7r&g Tesing. A&h$ri4e+ +r&g esing sha## 'e +$ne ') an) g$vern3en %$rensic #a'$ra$ries $r ') an) $% he +r&g esing #a'$ra$ries accre+ie+ an+ 3$ni$re+ ') he 7:H $ sa%eg&ar+ he &a#i) $% es res&#s. The 7:H sha## a
acs

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:n March , 1999, res*$n+en *re*are+ a CAPE %$r3 %$r eFerna# %aF 3$+e3s an+ er3ina# server, *er $r+er $% Technica# :*erai$ns Manager 6ai3e Garcia, 6r. an+ en+$rse+ i $ Marivic 8i##an&eva, Secrear) $% EFec&ive 8ice5Presi+en Ricar+$ T. P$, %$r he #aers signa&re. The CAPE %$r3, h$wever, +i+ n$ have he c$3*#ee +eai#s an+ s$3e re&ire+ signa&res. The %$##$wing +a), March , 1999, wih he %$r3 a**aren#) signe+ ') P$, res*$n+en rans3ie+ i $ P&rchasing :%%icer L$rena Pa4 in Tag&ig Main :%%ice. Pa4 *r$cesse+ he *a*er an+ %$&n+ ha s$3e +eai#s in he CAPE %$r3 were #e% '#an<. She a#s$ +$&'e+ he gen&ineness $% he signa&re $% P$, as a**earing in he %$r3. Pa4 hen rans3ie+ he CAPE %$r3 $ P&rchasing Manager 8irgie Garcia an+ in%$r3e+ her $% he &esi$na'#e signa&re $% P$. C$nse&en#), he re&es %$r he e&i*3en was *& $n h$#+ +&e $ P$s %$rge+ signa&re. H$wever, +&e $ he &rgenc) $% *&rchasing 'a+#) nee+e+ e&i*3en, res*$n+en was $r+ere+ $ 3ans&'saniae+ s&s*ici$ns, acc&sai$ns, an+ c$nc#&si$ns $% e3*#$)ers +$ n$ *r$vi+e %$r #ega# &si%icai$n %$r +is3issing e3*#$)ees. In case $% +$&', s&ch cases sh$&#+ 'e res$#ve+ in %av$r $% #a'$r, *&rs&an $ he s$cia# &sice *$#ic) $% #a'$r #aws an+ he C$nsi&i$n. Peii$ner 'ase+ res*$n+ens +is3issa# $n is &ns&'saniae+ s&s*ici$ns an+ c$nc#&si$n ha since res*$n+en was he c&s$+ian an+ he $ne wh$ *re*are+ he CAPE %$r3s, he ha+ he 3$ive $ c$33i he %$rger). We have *revi$&s#) he#+ ha e3*#$)ers are a##$we+ a wi+er #ai&+e $% +iscrei$n in er3inaing he services $% e3*#$)ees wh$ *er%$r3 %&nci$ns which ') heir na&re re&ire he e3*#$)ers %&## r&s an+ c$n%i+ence an+ he 3ere eFisence $% 'asis %$r 'e#ieving ha he e3*#$)ee has 'reache+ he r&s $% he e3*#$)er is s&%%icien, his +$es n$ 3ean ha he sai+ 'asis 3a) 'e ar'irar) an+ &n%$&n+e+. The righ $% an e3*#$)er $ +is3iss an e3*#$)ee $n he gr$&n+ ha i has #$s is r&s an+ c$n%i+ence in hi3 3&s n$ 'e eFercise+ ar'irari#) an+ wih$& &s ca&se. L$ss $% r&s an+ c$n%i+ence, $ 'e a va#i+ ca&se %$r +is3issa#, 3&s 'e 'ase+ $n a wi##%&# 'reach $% r&s an+ %$&n+e+ $n c#ear#) esa'#ishe+ %acs. The 'asis %$r he +is3issa# 3&s 'e c#ear#) an+ c$nvincing#) esa'#ishe+, '& *r$$% 'e)$n+ reas$na'#e +$&' is n$ necessar). I 3&s res $n s&'sania# gr$&n+s an+ n$ $n he e3*#$)ers ar'irariness, whi3, ca*rice $r s&s*ici$n $herwise, he e3*#$)ee w$&#+ eerna##) re3ain a he 3erc) $% he e3*#$)er. Peii$ners re#iance $n res*$n+ens *revi$&s ar+iness in re*$ring %$r w$r< as a gr$&n+ %$r his +is3issa# is #i
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Res*$n+ens i##ega# +is3issa# carries he #ega# c$nse&ences +e%ine+ &n+er Aric#e !"9 $% he La'$r C$+e, ha is, an e3*#$)ee wh$ is &n&s#) +is3isse+ %r$3 w$r< sha## 'e eni#e+ $ reinsae3en wih$& #$ss $% seni$ri) righs an+ $her *rivi#eges, an+ $ he *a)3en $% his %&## 'acn+er he +$crine $% sraine+ re#ai$ns, he *a)3en $% se*arai$n *a) has 'een c$nsi+ere+ an acce*a'#e a#ernaive $ reinsae3en when he #aer $*i$n is n$ #$nger +esira'#e $r via'#e. :n he $ne han+, s&ch *a)3en #i'eraes he e3*#$)ee %r$3 wha c$&#+ 'e a high#) $**ressive w$r< envir$n3en. :n he $her han+, he *a)3en re#eases he e3*#$)er %r$3 he gr$ss#) &n*a#aa'#e $'#igai$n $% 3ainaining in is e3*#$) a w$r
acs Res*$n+ens An$ni$ G$'res, Mage##an 7a#isa), G$+$%re+$ Paragsa, E3i#i$ A#ea an+ Gener$s$ Me#$ w$r
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'eween he *rinci*a# an+ c$nrac$r, &n#ess he +is3issa# is %$r &s $r a&h$ri4e+ ca&se s&'ec $ he re&ire3ens $% +&e *r$cess $r *ri$r n$ice, $r is 'r$&gh a'$& ') he c$3*#ei$n $% he *hase $% he *r$ec $r c$nrac %$r which he e3*#$)ee was engage+. Rec$r+s sh$w ha res*$n+ens were +is3isse+ a%er he eF*irai$n $% heir res*ecive *r$ec e3*#$)3en c$nracs, an+ +&e $ he c$3*#ei$n $% he *hases $% w$r< res*$n+ens were engage+ %$r. Hence, he cie+ *r$visi$ns re&ire3ens $% +&e *r$cess $r *ri$r n$ice when an e3*#$)ee is +is3isse+ %$r &s $r a&h$ri4e+ ca&se =&n+er Aric#es !! an+ ! $% he La'$r C$+e? *ri$r $ he c$3*#ei$n $% he *r$ec $r *hase here$% %$r which he e3*#$)ee was engage+ +$ n$ a**#) $ his case. AEC7HS &rher, Seci$n ! =III?, R&#e III, B$$< 8 $% he :3ni'&s R&#es I3*#e3ening he La'$r C$+e *r$vi+es Seci$n !. San+ar+ $% +&e *r$cess re&ire3ens $% n$ice . ] In a## cases $% er3inai$n $% e3*#$)3en, he %$##$wing san+ar+s $% +&e *r$cess sha## 'e s&'sania##) $'serve+. 1 .$r er3inai$n $% e3*#$)3en 'ase+ $n &s ca&ses as +e%ine+ in Aric#e !! $% he C$+e =a?A wrien n$ice serve+ $n he e3*#$)ee s*eci%)ing he gr$&n+ $r gr$&n+s %$r er3inai$n, an+ giving $ sai+ e3*#$)ee reas$na'#e $**$r&ni) wihin which $ eF*#ain his si+e ='?A hearing $r c$n%erence +&ring which he e3*#$)ee c$ncerne+, wih he assisance $% c$&nse# i% he e3*#$)ee s$ +esires, is given $**$r&ni) $ res*$n+ $ he charge, *resen his evi+ence $r re'& he evi+ence *resene+ agains hi3 an+ =c?A wrien n$ice /$%0 er3inai$n serve+ $n he e3*#$)ee in+icaing ha &*$n +&e c$nsi+erai$n $% a## he circ&3sance, gr$&n+s have 'een esa'#ishe+ $ &si%) his er3inai$n. In case $% er3inai$n, he %$reg$ing n$ices sha## 'e serve+ $n he e3*#$)ees #as
acs Peii$ner He#en 8a#en4&e#a =He#en? was a *r$+&ci$n ass$ciae in res*$n+en eihin Phi#i**ines C$r*$rai$n =eihin?, a c$3*an) engage+ in he *r$+&ci$n $% ina
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!((, He#en receive+ a n$ice $% +isci*#inar) aci$n in%$r3ing her ha eihin has +eci+e+ $ er3inae her services $n he gr$&n+ $% seri$&s 3isc$n+&c. :n :c$'er 12, !((, *eii$ners %i#e+ a c$3*#ainagains res*$n+en %$r i##ega# +is3issa#, n$n5*a)3en $% 1h 3$nh *a), wih a *ra)er %$r reinsae3en an+ *a)3en $% %&## 'ac< wages, as we## as 3$ra# an+ eFe3*#ar) +a3ages. Iss&es Wheher $r n$ he +is3issa# was i##ega# R&#ing I. SHE WAS G>ILT@ : SERI:>S MISC:N7>CT The *eii$ners arg&e ha seri$&s 3isc$n+&c &n+er eFising #aw an+ &ris*r&+ence c$&#+ n$ 'e ari'&e+ $ He#en 'eca&se she was n$ 3$ivae+ ') 3a#ici$&s inen. i was He#ens h$nes 'e#ie% ha he a*e she $$< was $% n$ &se $r va#&e an+ ha she +i+ n$ hi+e he sa3e. Misc$n+&c is +e%ine+ as he ransgressi$n $% s$3e esa'#ishe+ an+ +e%inie r&#e $% aci$n, a %$r'i++en ac, a +ere#ici$n $% +&), wi##%&# in characer, an+ i3*#ies wr$ng%&# inen an+ n$ 3ere err$r in &+g3en. $r seri$&s 3isc$n+&c $ &si%) +is3issa# &n+er he #aw, =a? i 3&s 'e seri$&s, ='? 3&s re#ae $ he *er%$r3ance $% he e3*#$)ees +&ies an+ =c? 3&s sh$w ha he e3*#$)ee has 'ec$3e &n%i $ c$nin&e w$r
acs Res*$n+ens M$#ina an+ 8e#asc$, '$h A$rne) 8 $% he GSIS, receive+ w$ se*arae Me3$ran+a %r$3 *eii$ner charging he3 wih grave 3isc$n+&c. S*eci%ica##), M$#ina was charge+ %$r a##ege+#) c$33iing he %$##$wing acs 1? +irec#) an+ c$nin&$&s#) he#*ing s$3e a##ege+ +isgr&n#e+ e3*#$)ees $ c$n+&c c$ncere+ *r$es aci$ns an+$r i##ega# asse3'#ies agains he 3anage3en an+ he GSIS Presi+en an+ Genera# Manager !? #ea+ing he c$ncere+ *r$es aciviies he#+ in he 3$rning $% Ma) !!, !((! +&ring $%%ice h$&rs wihin he GSIS c$3*$&n+ an+ ? c$nin&$&s#) *er%$r3ing sai+ aciviies +es*ie warning %r$3 his i33e+iae s&*eri$rs. In a++ii$n $ he charge %$r grave 3isc$n+&c %$r *er%$r3ing he sa3e acs as M$#ina, 8e#asc$ was acc&se+ $% *er%$r3ing acs in vi$#ai$n $% he R&#es $n :%%ice 7ec$r&3 %$r #eaving his $%%ice wih$& in%$r3ing his s&*ervis$r $% his wherea'$&s an+ gr$ss ins&'$r+inai$n %$r *ersisen#) +isregar+ing *eii$ners insr&ci$ns ha 8e#asc$ sh$&#+ re*$r $ he *eii$ners $%%ice. These acs, acc$r+ing $ *eii$ner, were c$33ie+ in $*en 'era)a# $% he c$n%i+enia# na&re $% heir *$sii$ns an+ in $&righ +e%iance $% he R&#es an+ Reg&#ai$ns $n P&'#ic Sec$r >ni$nis3.

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C$nsi+ering he gravi) $% he charges agains he3, *eii$ner $r+ere+ he *revenive s&s*ensi$n $% res*$n+ens %$r nine) =9(? +a)s wih$& *a), e%%ecive i33e+iae#). The %$##$wing +a), a c$33iee was c$nsi&e+ $ invesigae he charges agains res*$n+ens. Res*$n+ens %i#e+ wih he Civi# Service C$33issi$n =CSC? an >rgen Peii$n $ Li% Prevenive S&s*ensi$n :r+er. The) c$nen+e+ ha he acs he) a##ege+#) c$33ie+ were ar'irari#) characeri4e+ as grave 3isc$n+&c. C$nsisen wih heir san+ ha *eii$ner c$&#+ n$ ac as he c$3*#ainan, *r$sec&$r an+ &+ge a he sa3e i3e, res*$n+ens %i#e+ wih he CSC a Peii$n $ Trans%er Invesigai$n $ This C$33issi$n. 7es*ie heir &rgen 3$i$ns, he CSC %ai#e+ $ res$#ve res*$n+ens 3$i$ns $ #i% *revenive s&s*ensi$n $r+er an+ $ rans%er he case %r$3 he GSIS $ he CSC. Res*$n+ens %i#e+ wih he CA a s*ecia# civi# aci$n %$r ceri$ari an+ *r$hi'ii$n wih *ra)er %$r Te3*$rar) Resraining :r+er =TR:?. Res*$n+ens s$&gh he annen an+ seing asi+e $% *eii$ners $r+er +irecing he %$r3er $ s&'3i $ he &ris+ici$n $% he c$33iee creae+ $ hear an+ invesigae he a+3inisraive case %i#e+ agains he3. The CA ren+ere+ a +ecisi$n in %av$r $% res*$n+ens JP&'#ic res*$n+ens are here') PERPET>ALL@ RESTRAINE7 %r$3 hearing an+ invesigaing he a+3inisraive case agains *eii$ners, wih$& *re&+ice $ *&rs&ing he sa3e wih he Civi# Service C$33issi$n $r an) $her agenc) $% g$vern3en as 3a) 'e a##$we+ %$r =sic? ') #aw.K Aggrieve+, *eii$ner c$3es 'e%$re he C$&r in his *eii$n %$r review $n ceri$rari &n+er R&#e 2 $% he R&#es $% C$&r. In he 3eani3e, he CSC res$#ve+ res*$n+ens Peii$n $ Li% :r+er $% Prevenive S&s*ensi$n an+ Peii$n $ Trans%er Invesigai$n $ he C$33issi$n. As $ he #i%ing $% he $r+er $% *revenive s&s*ensi$n, he CSC c$nsi+ere+ he iss&e 3$$ an+ aca+e3ic c$nsi+ering ha he *eri$+ ha+ #a*se+ an+ res*$n+ens ha+ 'een a##$we+ $ res&3e heir s*eci%ic %&nci$ns. This n$wihsan+ing, he CSC $*e+ $ +isc&ss he 3aer ') wa) $% $'ier +ic&3. Wih$& 3a
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acs The *eii$ners were a3$ng he reg&#ar e3*#$)ees $% res*$n+en Pinani$n?. A ( in he 3$rning $% March 1, 199, a## he $%%icers an+ s$3e !(( 3e3'ers $% he >ni$n wa#ni$n charge+ wih $ra# +e%a3ai$n ') A&r$ra Man$r, PINAs *ers$nne# 3anager, an+ @$#an+a a'e##a, Man$rs secrear). I a**ears ha he *r$cee+ings in he 'aranga) res&#e+ in a se#e3en, an+ he $%%icers an+ 3e3'ers $% he >ni$n a## re&rne+ $ w$r< herea%er. As a res&# $% he wa#<$&, PINA *revenive#) s&s*en+e+ a## $%%icers $% he >ni$n 'eca&se $% he March 1, 199 inci+en. PINA er3inae+ he $%%icers $% he >ni$n a%er a 3$nh. :n A*ri# 1, 199, PINA %i#e+ a c$3*#ain %$r &n%air #a'$r *racice =>LP? an+ +a3ages. The c$3*#ain was assigne+ $ hen La'$r Ar'ier Ra&# A&in$, wh$ r&#e+ in his +ecisi$n +ae+ 6&#) 1, 199 ha he March 1, 199 inci+en was an i##ega# wa#<$& c$nsi&ing >LP an+ ha a## he >ni$ns $%%icers, eFce* Ca_ee, ha+ here') #$s heir e3*#$)3en. :n A*ri# !, 199, he >ni$n %i#e+ a n$ice $% srini$n he#+ a srini$n v$e+ $ sriLP an+ a'an+$n3en $% w$r<, saing ha he) ha+ vi$#ae+ *r$visi$ns $n sri
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w$r< ') $ining he i##ega# sriLP, c$nsi+ering ha a srini$n, he C$&r s resse+ ha %$r his eFce*i$n $ a**#), i is re&ire+ ha he srin+er he *rinci*#e $% a %air +a)s wage %$r a %air +a)s #a'$r, he *eii$ners were n$ eni#e+ $ he wages +&ring he *eri$+ $% he srini$n, c$nsi+ering ha he sri
acs Shi3i4& Phi#s. a c$r*$rai$n engage+ in he c$nsr&ci$n '&siness, e3*#$)e+ 8irgi#i$ Ca##ana $n A&g&s !, 199 as Sa%e) :%%icer assigne+ a @&a
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La'$r Ar'ier ren+ere+ a +ecisi$n h$#+ing ha Mr. Ca##ana was va#i+#) rerenche+. He %$&n+ ha s&%%icien evi+ence was *resene+ $ esa'#ish c$3*an) #$sses ha *eii$ner $%%ere+ res*$n+en his se*arai$n *a) an+ ha *eii$ner +&#) n$i%ie+ 7:LE a'$& he rerench3en. The La'$r Ar'ier %&rher re#ie+ $n *eii$ners %ac&a# versi$n re#aing $ res*$n+ens e3*#$)3en 'ac
As an a&h$ri4e+ ca&se %$r se*arai$n %r$3 service &n+er Aric#e ! $% he La'$r C$+e, rerench3en is a va#i+ eFercise $% 3anage3en *rer$gaive s&'ec $ he sric re&ire3ens se ') &ris*r&+ence =1? Tha he rerench3en is reas$na'#) necessar) an+ #i
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Shi3i4& i3*#e3ene+ is rerench3en *r$gra3 in g$$+ %aih 'eca&se i &n+er$$< severa# 3eas&res in c&ing +$wn is c$ss, $ wi, wih+rawing cerain *rivi#eges $% *eii$ners eFec&ives an+ eF*ariaes #i3iing he gran $% a++ii$na# 3$near) 'ene%is $ 3anageria# e3*#$)ees an+ c&ing +$wn eF*enses se##ing $% c$3*an) vehic#es an+ in%&sing %resh ca*ia# in$ he c$3*an). Res*$n+en +i+ n$ ae3* $ re%&e ha *eii$ner a+$*e+ hese 3eas&res 'e%$re i3*#e3ening is rerench3en *r$gra3. Shi3i4& was a'#e $ *r$ve ha i inc&rre+ s&'sania# '&siness #$sses, ha i $%%ere+ $ *a) res*$n+en his se*arai$n *a), ha he rerench3en sche3e was arrive+ a in g$$+ %aih, an+ #as#), ha he crieria $r san+ar+ &se+ in se#ecing he e3*#$)ees $ 'e rerenche+ was w$r< e%%icienc) which *asse+ he es $% %airness an+ reas$na'#eness. The er3inai$n n$ice sen $ 7:LE +i+ n$ c$3*#) wih he (5+a) n$ice re&ire3en, h&s, res*$n+en is eni#e+ $ in+e3ni) %$r vi$#ai$n $% +&e *r$cess. H$wever, *eii$ner a+3ie+ ha he re*$rs were s&'3ie+ !1 +a)s, in he case $% he %irs n$ice, an+ 1- +a)s, in he case $% he sec$n+ n$ice, 'e%$re he inen+e+ +ae $% res*$n+ens +is3issa#. The *&r*$se $% he $ne 3$nh *ri$r n$ice r&#e is $ give 7:LE an $**$r&ni) $ ascerain he veraci) $% he ca&se $% er3inai$n. N$n5 c$3*#iance wih his r&#e c#ear#) vi$#aes he e3*#$)ees righ $ sa&$r) +&e *r$cess. C$nse&en#), we a%%ir3 he NLRCs awar+ $% in+e3ni) $ res*$n+en %$r wan $% s&%%icien +&e n$ice. B& $ 'e c$nsisen wih $&r r&#ing in 6a
acs S$3ei3e in :c$'er 1999, *eii$ner S$#i+'an< an+ res*$n+en S$#i+'an< E3*#$)ees >ni$n =>ni$n? were se $ reneg$iae he ec$n$3ic *r$visi$ns $% heir 199"5!((1 C$##ecive Bargaining Agree3en =CBA? $ c$ver he re3aining w$ )ears here$%. Neg$iai$ns c$33ence+ $n N$ve3'er 1", 1999 '& seeing ha an agree3en was &n#ini$n +ec#are+ a +ea+#$c< $n 7ece3'er !!, 1999 an+ %i#e+ a N$ice $% Srini$n 3e3'ers sage+ a series $% 3ass aci$ns. In view $% he i3*en+ing ac&a# srini$n $%%icers an+ 3e3'ers +eci+e+ $ *r$es he sa3e ') h$#+ing a ra##) in%r$n $% he :%%ice $% he Secrear) $% La'$r an+ E3*#$)3en in Inra3&r$s, Mani#a, si3&#ane$&s wih he %i#ing $% heir 3$i$n %$r rec$nsi+erai$n $% he March !, !((( :r+er. Th&s, $n A*ri# , !(((, an $verwhe#3ing 3a$ri) $% e3*#$)ees, inc#&+ing he in+ivi+&a# res*$n+ens, $ine+ he 3ass #eave an+ *r$es aci$n a he 7e*ar3en $% La'$r an+ E3*#$)3en =7:LE? $%%ice whi#e he 'an<s *r$vincia# 'ranches in Ce'&, I#$i#$, Bac$#$+ an+ Naga %$##$we+ s&i an+ '$)c$e+ reg&#ar w$r<.K The &ni$n 3e3'ers a#s$ *ic. Ga3ier, E#ena R. C$n+evi##a3ar, 6anice L. Arri$#a an+ :*he#ia C. 7e G&43an. $r heir %ai#&re $ re&rn $ w$r<, he sai+ 199 e3*#$)ees were each iss&e+ a sh$w5ca&se 3e3$ +irecing he3 $ s&'3i a wrien eF*#anai$n wihin wen)5%$&r =!? h$&rs wh) he) sh$&#+ n$ 'e +is3isse+ %$r he i##ega# sri
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Ga3ier, C$n+evi##a3ar, Arri$#a an+ 7e G&43an %i#e+ c$3*#ains %$r i##ega# +is3issa#, 3$ra# an+ eFe3*#ar) +a3ages an+ a$rne)s %ees. Iss&e Wheher he res*$n+ens were va#i+#) er3inae+ R&#ing The C$&r has c$nsisen#) r&#e+ ha $nce he Secrear) $% La'$r ass&3es &ris+ici$n $ver a #a'$r +is*&e, s&ch &ris+ici$n sh$&#+ n$ 'e iner%ere+ wih ') he a**#icai$n $% he c$ercive *r$cesses $% a srin+er he circ&3sances, res*$n+ens reinsae3en wih$& 'ac
acs 1. Res*$n+en Gaca)an w$r
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2. She %i#e+ a c$3*#ain %$r i##ega# +is3issa#, n$n5*a)3en $% service incenive #eave, sic< #eave an+ vacai$n #eave wih *ra)er %$r reinsae3en, *a)3en $% 'ac
$r #$ss $% r&s an+ c$n%i+ence $ 'e a va#i+ gr$&n+ %$r +is3issa#, i 3&s 'e s&'sania# an+ %$&n+e+ $n c#ear#) esa'#ishe+ %acs. L$ss $% c$n%i+ence 3&s n$ 'e &se+ as a s&'er%&ge %$r ca&ses which are i3*r$*er, i##ega# $r &n&si%ie+ i 3&s 'e gen&ine, n$ a 3ere a%erh$&gh, $ &si%) ear#ier aci$n a
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In he insan case, i was $n#) in he Re*#) $ Res*$n+ens C$33en, ha *eii$ner 3a+e 3eni$n $% an$her gr$&n+ %$r he +is3issa# $% res*$n+en, ha $% seri$&s 3isc$n+&c, when she s&'3ie+ a#ere+ $r a3*ere+ recei*s $ s&**$r her c#ai3 %$r rei3'&rse3en. S&ch a##egai$n a**ears $ 'e a 3ere a%erh$&gh, 'eing ar+i#) raise+ $n#) in he Re*#). The a##ege+ in%raci$ns $% res*$n+en c$&#+ har+#) 'e c$nsi+ere+ seri$&s 3isc$n+&c. I is we## $ sress ha in $r+er $ c$nsi&e seri$&s 3isc$n+&c which wi## warran he +is3issa# $% an e3*#$)ee, i is n$ s&%%icien ha he ac $r c$n+&c c$3*#aine+ $% has vi$#ae+ s$3e esa'#ishe+ r&#es $r *$#icies. I is e&a##) i3*$ran an+ re&ire+ ha he ac $r c$n+&c 3&s have 'een +$ne wih wr$ng%&# inen. S&ch is, h$wever, #acn+er Aric#e !"9 $% he La'$r C$+e, an e3*#$)ee wh$ is &n&s#) +is3isse+ %r$3 w$r< sha## 'e eni#e+ $ reinsae3en wih$& #$ss $% seni$ri) righs an+ $her *rivi#eges an+ $ his %&## 'ac
acs Res*$n+en was a *r$'ai$nar) e3*#$)ee $% *eii$ner R$'ins$ns Ga##eriaR$'ins$ns S&*er3ar
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A *r$'ai$nar) e3*#$)ee, #i
acs Res*$n+en 7e Casr$ sare+ w$r
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Casr$ +irece+ war+5c#er< $rienee G&i##ergan $ chec< he *aien. The via# signs $% he *aien were n$r3a#. Laer, he *h)sician $n +&) an+ he n&rsing sa%% $n +&) %$r he neF shi% again aen+e+ $ *aien Ca&saren. Chie% N&rse 6$se%ina M. 8i##an&eva in%$r3e+ 7r. As&nci$n A'a)a5M$ri+$, A'a)a5M$ri+$, *resi+en an+ h$s*ia# +irec$r, a'$& he inci+en an+ re&ese+ %$r a %$r3a# invesigai$n. :n Ma) 11, 1999, he #ega# c$&nse# $% *eii$ner h$s*ia# +irece+ +irece+ res*$n+en 7e Casr$ an+ hree $her n&rses $n +&), Sa%% N&rse 6anih 8. Pa+eres an+ N&rsing Assisans Mari#$& Res*ici$ an+ Beri##a T. Taa+, $ a**ear 'e%$re he Invesigai$n C$33iee. 7e Casr$ eF*#aine+ ha a ar$&n+ !( a.3. $ (( a.3., she was aen+ing $ a new#)5a+3ie+ *aien a R$$3 "1( an+, 'eca&se $% his, she insr&ce+ N&rsing Assisan Taa+ $ chec< he via# signs $% *aien Ca&saren, wih war+5c#er< $rienee G&i##ergan acc$3*an)ing he #aer. When he w$ arrive+ a he r$$3, he *aien was in a s&aing *$sii$n, wih he righ righ ar3 $n he 'e+ an+ he #e% han+ h$#+ing $n $ a chair. In he Invesigai$n Re*$r, he Invesigai$n C$33iee %$&n+ ha he s&'ec inci+en ha**ene+ 'eween 11(( a.3. $ 11( a.3. $% March !, 1999. The hree $her n&rses %$r he shi% were n$ a he n&rse sai$n. Sa%% N&rse Pa+eres was hen in an$her an$her n&rse sai$n enc$+ing he 3e+icines %$r he c&rren a+3issi$ns $% *aiens, whi#e N&rsing Assisan Res*ici$ was 3a
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Was 7e Casr$ g&i#) $% seri$&s 3isc$n+&c Was he *ena#) $% er3inai$n reas$na'#e R&#ing The h$s*ia# is g&i#) $% i##ega# +is3issa#. Aric#e !! ='? $% he La'$r C$+e *r$vi+es ha an e3*#$)er 3a) er3inae an e3*#$)3en %$r gr$ss an+ ha'i&a# neg#ec ') he e3*#$)ee $% his +&ies. The CA r&#e+ ha *er he E3*#$)ees Han+'$$< Han+'$$< $% *eii$ner h$s*ia#, res*$n+en 7e Casr$s in%raci$n is c#assi%ie+ as a #ess seri$&s $%%e $%%ens nsee %$r %$r Jc$3 Jc$33i 3iss ssi$ i$nn $% neg# neg#ig igen en acs acs +&ri +&ring ng w$r
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acs Ne#s$n C&#i#i was e3*#$)e+ ') Easern Te#ec$33&nicai$ns a Seni$r Technician. In 199, +&e $ '&siness #$sses, ETPI was c$3*e##e+ $ i3*#e3en a Righ5Si4ing Pr$gra3 which c$nsise+ $% w$ *hases he %irs *hase inv$#ve+ inv$#ve+ he re+&ci$n $% ETPIs w$r<%$rce $ $n#) h$se e3*#$)ees ha were necessar) an+ which ETPI c$&#+ s&sain he sec$n+ *hase enai#e+ enai#e+ a c$3*an)5wi+e re$rgani4ai$n which w$&#+ res&# in he rans%er, 3erger, a's$r*i$n $r a'$#ii$n $% cerain +e*ar3ens $% ETPI. A3$ng he +e*ar3ens a'$#ishe+ was he Service D&a#i) 7e*ar3en. As a res&#, C&#i#is *$sii$n was a'$#ishe+ +&e $ re+&n+anc). >*$n %i#ing a c$3*#ain, he La'$r Ar'ier ren+ere+ a +ecisi$n %in+ing ETPI g&i#) $% i##ega# +is3issa# an+ &n%air #a'$r *racice, which was a%%ir3e+ ') he NLRC. H$wever, he C$&r $% A**ea#s %$&n+ ha C&#i#is *$sii$n was va#i+#) a'$#ishe+ +&e $ re+&n+anc). I was high#) &n#i
acs Page 172


The Pers$nne# an+ A+3inisrai$n Manager $% P#asi3er iss&e+ a Me3$ran+&3 in%$r3ing a## is e3*#$)ees $% he +ecisi$n $% he B$ar+ $% 7irec$rs $ +$wnsi4e an+ re$rgani4e is '&siness $*erai$ns +&e $ wih+rawa# $% inves3ens an+ shares $% s$c

+a)s 'e%$re is e%%ecivi). Peii$ners %ai#&re $ c$3*#) wih he $ne53$nh n$ice $ he 7:LE is $n#) a *r$ce+&ra# in%ir3i) an+ +$es n$ ren+er he rerench3en i##ega#. In n&##i%) v. NLRC , we r&#e+ ha when he +is3issa# is %$r a &s ca&se, he a'sence $% *r$*er n$ice sh$&#+ n$ n&##i%) he +is3issa# $r ren+er i i##ega# $r ine%%ec&a#. Insea+, he e3*#$)er sh$&#+ in+e3ni%) he e3*#$)ee %$r he vi$#ai$n $% his sa&$r) righs. Here, he %ai#&re $ %&##) c$3*#) wih he $ne53$nh n$ice $% er3inai$n $% e3*#$)3en +i+ n$ ren+er he rerench3en i##ega# '& i eni#es res*$n+ens $ n$3ina# +a3ages. 8a#i+i) $% Rerench3en The %ac ha here was a ne inc$3e in !(( +$es n$ &si%) he C$&r $% A**ea#s r&#ing ha here was n$ va#i+ reas$n %$r he rerench3en. Rec$r+s sh$we+ ha he ne inc$3e $% P-,12,"(".(2 %$r !(( was n$ even en$&gh %$r *eii$ners $ rec$ver %r$3 he P2!,9(,!9". P2!,9(,!9". #$ss in !((!. Aric#e ! $% he La'$r C$+e rec$gni4es rerench3en $ *reven #$sses as a righ $% he 3anage3en $ 3ee c#ear an+ c$nin&ing ec$n$3ic hreas $r +&ring *eri$+s $% ec$n$3ic recessi$n $ *reven #$sses. There is n$ nee+ %$r he e3*#$)er $ wai %$r s&'sania# #$sses $ 3aeria#i4e 'e%$re eFercising &#i3ae an+ +rasic $*i$n $ *reven s&ch #$sses. 8a#i+i) $% Waivers an+ D&ic#ai3s The C$&r has r&#e+ ha a waiver $r &ic#ai3 is a va#i+ an+ 'in+ing agree3en 'eween he *aries, *r$vi+e+ ha i c$nsi&es a cre+i'#e an+ reas$na'#e se#e3en, an+ ha he $ne acc$3*#ishing i has +$ne s$ v$#&nari#) an+ wih a %&## &n+ersan+ing $% is i3*$r. We agree wih he La'$r Ar'ier an+ he NLRC ha res*$n+ens were s&%%icien#) a**rise+ $% heir righs &n+er he waivers an+ &ic#ai3s ha he) signe+. Each +$c&3en c$naine+ he signa&res $% Marcai+a, PICCB Presi+en, an+ A). 7iwa, he c$&nse# %$r he &ni$n, which *r$ve+ ha res*$n+ens were +&#) assise+ when he) signe+ he waivers an+ &ic#ai3s. &rher, Marcai+as #eer $ Te$ Te$ ee Bin, +ae+ ! Ma) !((, *r$ve+ ha *r$*er assisance was eFen+e+ &*$n res*$n+ens. Hence, we r&#e ha he waivers an+ &ic#ai3s ha res*$n+ens signe+ were va#i+. WHERE:RE, we SET ASI7E he 7ecisi$n an+ Res$#&i$n $% he C$&r $% A**ea#s, an+ here') REINSTATE he 7ecisi$n $% he La'$r Ar'ier an+ he Res$#&i$ Res$#&i$nn $% he NLRC &*h$#+ing &*h$#+ing he va#i+i) va#i+i) $% res*$n+en res*$n+ens s rerench3en rerench3en wih M:7IICA M:7IICATI:N TI:N ha *eii$ners *eii$ners *a) each $% he res*$n+ens he a3$&n $% P(,((( as n$3ina# +a3ages %$r n$n5c$3*#iance wih sa&$r) +&e *r$cess.

acs :n +i%%eren +aes in he #ae 199(s, *eii$ner hire+ res*$n+ens Ca#i'$+, La&i$, Sanan+er, Sai#e an+ M$ne+era3$s, as c#assr$$3 eachers, an+ res*$n+en Pa#aci$, as g&i+ance c$&nse#$r. In se*arae #eers +ae+ March 1, !(((, h$wever, *eii$ner in%$r3e+ he3 ha heir re5 a**#icai$n %$r sch$$# )ear !(((5!((1 c$&#+ n$ 'e acce*e+ 'eca&se he) %ai#e+ $ *ass he Licens&re EFa3inai$n %$r Teachers =LET?. Acc$r+ing $ *eii$ner, as n$n5'$ar+ *assers, res*$n+ens c$&#+ n$ c$nin&e *racicing heir eaching *r$%essi$n *&rs&an $ he 7e*ar3en $% E+&cai$n, C&#&re an+ S*$rs =7ECS? Me3$ran+&3 N$. 1(, S. 199 " which re&ires inc&3'en eachers $ regiser as *r$%essi$na# eachers *&rs&an $ Seci$n !"$% Re*&'#ic Ac =RA? N$. "-, $herwise
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LABOR RELATIONS Aty. Jeferson M. Marquez The +is3issa# $% Teresia Pa#aci$, Ca#i'$+, La&i$, Sanan+er, an+ M$ne+era3$s was *re3a&re an+ +e%eae+ heir righ $ sec&ri) $% en&re. Sai#es +is3issa# has #ega# 'asis %$r #ac< $% he re&ire+ &a#i%icai$n nee+e+ %$r c$nin&e+ *racice $% eaching

P&rs&an $ RA"-, is res$#&i$n an+ s&'se&en 3e3$ran+&3, e%%ecive Se*e3'er !(, !(((, $n#) h$#+ers $% va#i+ ceri%icaes $% regisrai$n, va#i+ *r$%essi$na# #icenses an+ va#i+ s*ecia#e3*$rar) *er3is can engage in eaching in '$h *&'#ic an+ *rivae sch$$#s. ! C#ear#), res*$n+ens, in he case a 'ar, ha+ &ni# Se*e3'er 19, !((( $ c$3*#) wih he 3an+a$r) re&ire3en $ regiser as *r$%essi$na# eachers. As res*$n+ens are caeg$ri4e+ as h$se n$ &a#i%ie+ $ regiser wih$& eFa3inai$n, he #aw re&ires he3 $ regiser ') an+er he *$#ic) $% s$cia# &sice, he #aw 'en+s $ver 'ac
acs Res*$n+en was e3*#$)e+ ') *eii$ner Phi#i**ine L$ng 7isance Te#e*h$ne C$3*an) in 191 as C#er< II &ni# his er3inai$n %r$3 service $n 6&ne 1, 199!. Peii$ner er3inae+ res*$n+en hr$&gh an Iner5:%%ice Me3$ran+&3 +ae+ Ma) !9, 199! $n acc$&n $% his hree =? &na&h$ri4e+ #eaves $% a'sence c$33ie+ wihin hree =? )ears in vi$#ai$n $% *eii$ners r&#es an+ reg&#ai$ns. Res*$n+en was a'sen %r$3 A&g&s ! $ Se*e3'er , 199( as his wi%e gave 'irh an+ s&%%ere+ c$3*#icai$ns. Res*$n+en ca##e+ &* hr$&gh a hir+ *ar) $ in%$r3 *eii$ner ha he w$&#+ g$ $n an eFen+e+ #eave. >*$n his re*$ring %$r w$r<, he wr$e *eii$ner a #eer c$n%ir3ing his #eave $% a'sence wih$& *a) %$r ha *eri$+ an+ saing he reas$ns here$%, wih his wi%es 3e+ica# ceri%icae aache+. 7issais%ie+, *eii$ner re&ire+ res*$n+en $ s&'3i %&rher eF*#anai$n which he #aer +i+ reieraing his *revi$&s eF*#anai$n. H$wever, i %$&n+ res*$n+ens eF*#anai$n $ 'e &nacce*a'#e an+ &n3eri$ri$&s %$r he #aers %ai#&re $ ca##, n$i%) $r re&es *eii$ner %$r s&ch #eave an+ s&s*en+e+ res*$n+en %r$3 w$r< wih$& *a) %$r !( +a)s. Res*$n+en was a'sen %r$3 Ma) !9 $ 6&ne 1!, 1991 his e#+es an+ )$&nges +a&ghers geing sic< an+ ha+ $ 'e c$n%ine+ in he h$s*ia#. &rher, res*$n+en a##ege+ ha he ha+ re#a)e+ sai+ 3essage $ an $%%ice3ae wh$ &n%$r&nae#) +i+ n$ a#s$ re*$r %$r w$r<. Peii$ner %$&n+ res*$n+ens eF*#anai$n ins&%%icien, res*$n+en was s&s*en+e+ wih$& *a) %$r 2 +a)s. Eigh 3$nhs herea%er, res*$n+en avai#e+ $% a seven5+a) #eave $% a'sence an+ eFen+e+ s&ch #eave $ c$3*#ee his ann&a# vacai$n #eave. H$wever, res*$n+en %ai#e+ $ re*$r %$r w$r< %r$3 e'r&ar) 11 $ e'r&ar) 19, 199! which was 3a+e $ *r$#$ng *a)3en $% his +e3an+a'#e %inancia# $'#igai$ns in he $%%ice. He %&rher sae+ ha he rea#i4e+ ha wha he +i+ was wr$ng an+ $n#) w$rsene+ his si&ai$n an+ as
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res*$n+ens a'sences %r$3 e'r&ar) 11 $ 19, 199! was his %irs an+ $n#) &na&h$ri4e+ a'sences +&ring his 11 )ears $% sa), an+ i +i+ n$ 3eri he harsh *ena#) $% +is3issa#. Iss&e Wheher $r n$ here is s&%%icien gr$&n+ %$r he er3inai$n $% res*$n+en. He#+ We %in+ ha res*$n+ens er3inai$n %$r c$33iing hree &na&h$ri4e+ a'sences wihin a hree5)ear *eri$+ ha+ n$ 'asis h&s, here was n$ va#i+ ca&se %$r res*$n+ens +is3issa#. Even ass&3ing ha res*$n+ens a'seneeis3 c$nsi&es wi##%&# +is$'e+ience, s&ch $%%ense +$es n$ warran res*$n+ens +is3issa#. N$ ever) case $% ins&'$r+inai$n $r wi##%&# +is$'e+ience ') an e3*#$)ee reas$na'#) +eserves he *ena#) $% +is3issa#. There 3&s 'e a reas$na'#e *r$*$ri$na#i) 'eween he $%%ense an+ he *ena#). Peii$ners c#ai3 ha he a##ege+ *revi$&s in%raci$ns 3a) 'e &se+ as s&**$ring &si%icai$n $ a s&'se&en si3i#ar $%%ense, which w$&#+ 3eri +is3issa#, %in+s n$ a**#icai$n in his case. Res*$n+ens a'sence %r$3 A&g&s ! $ Se*e3'er , 199( was &si%ie+ an+ n$ &na&h$ri4e+ as here was *ri$r n$ice. His a'sence %r$3 Ma) !9 $ 6&ne 1!, 1991, a#h$&gh %$&n+ $ 'e &na&h$ri4e+, was n$ a a## &n&si%ie+. Th&s, his a'sence +&ring he *eri$+ %r$3 e'r&ar) 11 $ 19, 1991, 'eing he $n#) &na&h$ri4e+ an+ &n&si%ie+ a'sence an+ his sec$n+ &na&h$ri4e+ a'sence, sh$&#+ n$ 3eri he *ena#) $% +is3issa#. Whi#e 3anage3en has he *rer$gaive $ +isci*#ine is e3*#$)ees an+ $ i3*$se a**r$*riae *ena#ies $n erring w$r
acs Te$+$ra C. AFa#an is a reg&#ar %ac&#) 3e3'er h$#+ing he *$sii$n $% Ass$ciae Pr$%ess$r II in he >niversi) $% he I33ac&#ae C$nce*i$n in 7ava$. She was +is3isse+ +&e $ ! insances wherein she was a##ege+#) a'sen wih$& #eave, aen+ing se3inars in D&e4$n Ci) an+ Bag&i$ Ci), res*ecive#). :n he %irs insance, AFa#an c#ai3e+ ha she he#+ $n#ine c#asses. She was c$nvince+ ha she cann$ 'e c$nsi+ere+ a'sen an+ $*e+ n$ $ wrie he #eer $% a*$#$g) re&ese+ $% her ') he >niversi) Presi+en $ av$i+ an) a+3inisraive charge. :n he sec$n+ insance, AFa#an c#ai3e+ ha she as
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He#+ N:, here was n$ c$nsr&cive +is3issa#, AFa#an having 'een va#i+#) va#i+#) s&s*en+e+ %$r ca&se an+ in acc$r+ wih *r$ce+&ra# +&e *r$cess. C$nsr&cive +is3issa# $cc&rs when here is cessai$n $% w$r< 'eca&se c$nin&e+ e3*#$)3en is ren+ere+ i3*$ssi'#e, &nreas$na'#e, $r &n#i
acs Shi3i4& Phi#s. a c$r*$rai$n engage+ in he c$nsr&ci$n '&siness, e3*#$)e+ 8irgi#i$ Ca##ana $n A&g&s !, 199 as Sa%e) :%%icer assigne+ a @&a
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he $n#) $ne +is3isse+ $& $%  e3*#$)ees. W$rse, &ni$r an+ ineF*erience+ e3*#$)ees were a**$ine+assigne+ in his sea+ $ new *r$ecs h&s a#s$ ign$ring seni$ri) in hiring an+ %iring e3*#$)ees. Shi3i4& arg&e+ ha when i s&'3ie+ he rerench3en n$iceer3inai$n re*$r $ 7:LE, here was a#rea+) s&'sania# c$3*#iance wih he re&ire3en. La'$r Ar'ier ren+ere+ a +ecisi$n h$#+ing ha Mr. Ca##ana was va#i+#) rerenche+. He %$&n+ ha s&%%icien evi+ence was *resene+ $ esa'#ish c$3*an) #$sses ha *eii$ner $%%ere+ res*$n+en his se*arai$n *a) an+ ha *eii$ner +&#) n$i%ie+ 7:LE a'$& he rerench3en. The La'$r Ar'ier %&rher re#ie+ $n *eii$ners %ac&a# versi$n re#aing $ res*$n+ens e3*#$)3en 'ac
As an a&h$ri4e+ ca&se %$r se*arai$n %r$3 service &n+er Aric#e ! $% he La'$r C$+e, rerench3en is a va#i+ eFercise $% 3anage3en *rer$gaive s&'ec $ he sric re&ire3ens se ') &ris*r&+ence =1? Tha he rerench3en is reas$na'#) necessar) an+ #i
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Mr. Ca##ana arg&e+ ha ha he was sing#e+ $& %$r er3inai$n as a##ege+#) sh$wn in *eii$ners 3$nh#) er3inai$n re*$r %$r he 3$nh $% 6&#) 199" %i#e+ wih he 7:LE +$es n$ *ers&a+e his C$&r. San+ing a#$ne, his +$c&3en is n$ *r$$% $% he $a# n&3'er $% rerenche+ e3*#$)ees $r ha res*$n+en was he $n#) $ne rerenche+. I 3ere#) serves as n$ice $ 7:LE $% he na3es $% e3*#$)ees er3inae+ rerenche+ $n#) %$r he 3$nh $% 6&#). In $her w$r+s, i cann$ 'e +ee3e+ as an evi+ence $% he n&3'er $% e3*#$)ees a%%ece+ ') he rerench3en *r$gra3. Th&s we cann$ c$nc#&+e ha n$ $her e3*#$)ees were *revi$&s#) rerenche+. Shi3i4& i3*#e3ene+ is rerench3en *r$gra3 in g$$+ %aih 'eca&se i &n+er$$< severa# 3eas&res in c&ing +$wn is c$ss, $ wi, wih+rawing cerain *rivi#eges $% *eii$ners eFec&ives an+ eF*ariaes #i3iing he gran $% a++ii$na# 3$near) 'ene%is $ 3anageria# e3*#$)ees an+ c&ing +$wn eF*enses se##ing $% c$3*an) vehic#es an+ in%&sing %resh ca*ia# in$ he c$3*an). Res*$n+en +i+ n$ ae3* $ re%&e ha *eii$ner a+$*e+ hese 3eas&res 'e%$re i3*#e3ening is rerench3en *r$gra3. Shi3i4& was a'#e $ *r$ve ha i inc&rre+ s&'sania# '&siness #$sses, ha i $%%ere+ $ *a) res*$n+en his se*arai$n *a), ha he rerench3en sche3e was arrive+ a in g$$+ %aih, an+ #as#), ha he crieria $r san+ar+ &se+ in se#ecing he e3*#$)ees $ 'e rerenche+ was w$r< e%%icienc) which *asse+ he es $% %airness an+ reas$na'#eness. The er3inai$n n$ice sen $ 7:LE +i+ n$ c$3*#) wih he (5+a) n$ice re&ire3en, h&s, res*$n+en is eni#e+ $ in+e3ni) %$r vi$#ai$n $% +&e *r$cess. H$wever, *eii$ner a+3ie+ ha he re*$rs were s&'3ie+ !1 +a)s, in he case $% he %irs n$ice, an+ 1- +a)s, in he case $% he sec$n+ n$ice, 'e%$re he inen+e+ +ae $% res*$n+ens +is3issa#. The *&r*$se $% he $ne 3$nh *ri$r n$ice r&#e is $ give 7:LE an $**$r&ni) $ ascerain he veraci) $% he ca&se $% er3inai$n. N$n5 c$3*#iance wih his r&#e c#ear#) vi$#aes he e3*#$)ees righ $ sa&$r) +&e *r$cess. C$nse&en#), we a%%ir3 he NLRCs awar+ $% in+e3ni) $ res*$n+en %$r wan $% s&%%icien +&e n$ice. B& $ 'e c$nsisen wih $&r r&#ing in 6a
acs Res*$n+en Mani#a Mining C$r*$rai$n =MMC? is a *&'#ic#)5#ise+ c$r*$rai$n engage+ in #arge5sca#e 3ining %$r g$#+ an+ c$**er $re. MMC is re&ire+ ') #aw $ 3ainain a ai#ings c$nain3en %aci#i) $ s$re he wase 3aeria# generae+ ') is 3ining $*erai$ns. C$nse&en#), MMC c$nsr&ce+ severa# ai#ings +a3s $ rea an+ s$re is wase 3aeria#s. :ne $% hese +a3s was Tai#ings P$n+ N$. " =TP N$. "?, which was c$nsr&ce+ in 199 an+ was $*erae+ &n+er a *er3i iss&e+ ') he 7e*ar3en $% Envir$n3en an+ Na&ra# Res$&rces =7ENR?, hr$&gh is Envir$n3ena# Manage3en B&rea& =EMB? in B&&an Ci), Ag&san +e# N$re. >*$n eF*irai$n $% he ai#ings *er3i $n !2 6&#) !((1, 7ENR5EMB +i+ n$ iss&e a *er3anen *er3i +&e $ he ina'i#i) $% MMC $ sec&re an Envir$n3ena# C$3*#iance Ceri%icae =ECC?. An essenia# c$3*$nen $% an ECC is s $cia# acce*a'i#i) $r he c$nsen $% he resi+ens in he c$33&ni) $ a##$w TP N$. " $ $*erae, which MMC %ai#e+ $ $'ain. Hence, i was c$3*e##e+ $ e3*$rari#) sh& +$wn is 3ining $*erai$ns, res&#ing in he e3*$rar) #a)5$%% $% 3$re han (( e3*#$)ees in he 3ine sie. :n ( 6&#) !((1, MMC ca##e+ %$r he s&s*ensi$n $% neg$iai$ns $n he CBA wih he >ni$n &ni# res&3*i$n $% 3ining $*erai$ns. A3$ng he e3*#$)ees #ai+5$%%, c$3*#ainans Sa3&e# &_iga, M)rna Ma&i$, 7$r$e$ T$rre, Arseni$ Mar< Pere4, E+3&n+$ Ga#ve4, 7iana R&h Re##$res, 6$nahan Aranea, Teresia Lag3an, Re)na#+$ An4&res, Gerar+$ :*ena, an+ E+win T&a4$n, $geher wih he >ni$n %i#e+ a c$3*#ain 'e%$re he #a'$r ar'ier $n even +ae *ra)ing %$r reinsae3en, rec$gnii$n $% he >ni$n as he s$#e an+ eFc#&sive re*resenaive $% is ran<5an+5 %i#e e3*#$)ees, an+ *a)3en $% 3$ra# an+ eFe3*#ar) +a3ages an+ a$rne)s %ees. In heir P$sii$n Pa*er, c$3*#ainans cha##enge+ he va#i+i) $% heir #a)5$%% $n he aver3en ha MMC was n$ s&%%ering %r$3 '&siness #$sses. The) a##ege+ ha MMC +i+ n$ wan $ 'argain c$##ecive#) wih he >ni$n, s$ ha insea+ $% s&'3iing heir c$&ner*r$*$sa# $ he CBA, MMC +eci+e+ $ er3inae a## &ni$n $%%icers an+ acive 3e3'ers. Peii$ners &esi$ne+ he i3ing $% heir #a)5$%%, an+ a##ege+ ha %irs, here was n$ sh$wing ha c$s5c&ing 3eas&res were a
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Res*$n+ens &si%ie+ he e3*$rar) #a)5$%% as '$na %i+e in characer an+ a va#i+ 3anage3en *rer$gaive *en+ing he iss&ance $% he *er3i $ c$nin&$&s#) $*erae TP N$. ". The #a'$r ar'ier r&#e+ in %av$r $% MMC an+ he#+ ha he e3*$rar) sh&+$wn $% he 3ining $*erai$n, as we## as he e3*$rar) #a)5$%% $% he e3*#$)ees, is va#i+. :n a**ea#, he Nai$na# La'$r Re#ai$ns C$33issi$n =NLRC? 3$+i%ie+ he &+g3en $% he #a'$r ar'ier an+ $r+ere+ he *a)3en $% se*arai$n *a) e&iva#en $ $ne 3$nh *a) %$r ever) )ear $% service. I rai$cinae+ ha he e3*$rar) #a)5$%%, which eFcee+e+ 3$re han siF =-? 3$nhs, ha+ he e%%ec $% severance $% he e3*#$)er5e3*#$)ee re#ai$nshi*. Iss&e W:N here was 'a+ %aih $n he *ar $% MMC in i3*#e3ening he e3*$rar) #a)5$%% res&#ing in he c$3*#ainans c$nsr&cive +is3issa# He#+ The #a)5$%% is neiher i##ega# n$r can i 'e c$nsi+ere+ as &n%air #a'$r *racice. 7es*ie a## e%%$rs eFere+ ') MMC, i +i+ n$ s&ccee+ in $'aining he c$nsen $% he resi+ens $% he c$33&ni) where he ai#ings *$n+ w$&#+ $*erae, $ne $% he c$n+ii$ns i3*$se+ ') 7ENR5EMB in graning is a**#icai$n %$r a *er3anen *er3i. I is *recise#) MMCs %a&##ess %ai#&re $ sec&re a *er3i which ca&se+ he e3*$rar) sh&+$wn $% is 3ining $*erai$ns. $r a charge $% &n%air #a'$r *racice $ *r$s*er, i 3&s 'e sh$wn ha he e3*#$)er was 3$ivae+ ') i##5wi##, 'a+ %aih $r %ra&+, $r was $**ressive $ #a'$r. The e3*#$)er 3&s have ace+ in a 3anner c$nrar) $ 3$ra#s, g$$+ c&s$3s, $r *&'#ic *$#ic) ca&sing s$cia# h&3i#iai$n, w$&n+e+ %ee#ings $r grave anFie). Whi#e he #aw 3an+er Aric#e !, he e3*#$)er can #aw%&##) c#$se sh$* an)i3e as #$ng as cessai$n $% $r wih+rawa# %r$3 '&siness $*erai$ns is '$na %i+e in characer an+ n$ i3*e##e+ ') a 3$ive $ +e%ea $r circ&3ven he en&ria# righs $% e3*#$)ees, an+ as #$ng as he *a)s his e3*#$)ees heir er3inai$n *a) in he a3$&n c$rres*$n+ing $ heir #engh $% service. The cessai$n $% $*erai$ns, in he case a 'ar is $% s&ch na&re. I was *r$ven ha MMC s$**e+ is $*erai$ns *recise#) +&e $ %ai#&re $ sec&re *er3i $ $*erae a ai#ings *$n+. Se*arai$n *a) 3&s n$nehe#ess 'e given $ he s e*arae+ e3*#$)ees.

acs Peii$ner L$*e4 is he r&c< +river $% he res*$n+en. He was given a n$ice $ he e%%ec ha he w$&#+ 'e er3inae+ ') he res*$n+en $n he gr$&n+ ha he was ca&gh ') he sec&ri) g&ar+ sea#ing scra* ir$ns ') s3&gg#ing he3 $& %r$3 he c$3*an) *re3ises. Laer $n, he res*$n+en %i#e+ a cri3ina# case $% &a#i%ie+ he% agains he res*$n+en. Peii$ner hen %i#e+ an i##ega# +is3issa# case agains he res*$n+en $n he gr$&n+ ha he was +is3isse+ ') he res*$n+en wih$& &s ca&se an+ ha he was n$ a%%$r+e+ +&e *r$cess as he was n$ given a c$&nse# an+ an $**$r&ni) $ c$n%r$n winesses. As he case was a**ea#e+, he NLRC r&#e+ ha here was a vi$#ai$n $% +&e *r$cess in +is3issing he *eii$ner as he was n$ a%%$r+e+ a3*#e $**$r&ni) $ re%&e he a##egai$ns #$+ge+ agains hi3. &rher3$re, *eii$ner a+vance+ ha here was n$ s&%%icien ca&se $ er3inae hi3 as s&ch gr$&n+ was $n#) a 3ere s&'er%&ge $% he res*$n+en s$ as %$r hi3 n$ $ #$+ge a c$3*#ain $% &n+er*a)3en $% wages.

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Iss&e Wheher $r n$ he +is3issa# is i##ega# R&#ing N$, he +is3issa# is n$ i##ega#. 7is3issa#s have w$ %aces he #ega#i) $% he ac $% +is3issa#, which c$nsi&es s&'sanive +&e *r$cess, an+ he #ega#i) $% he 3anner $% +is3issa# which c$nsi&es *r$ce+&ra# +&e *r$cess. As $ s&'sanive +&e *r$cess, he C$&r %in+s ha res*$n+en c$3*an)s #$ss $% r&s an+ c$n%i+ence arising %r$3 *eii$ners s3&gg#ing $& $% he scra* ir$n, c$n*$&n+e+ ') his *as acs $% &na&h$ri4e+ se##ing car$ns 'e#$nging $ res*$n+en c$3*an), c$nsi&e+ &s ca&se %$r er3inaing his services. L$ss $% r&s an+ c$n%i+ence as a gr$&n+ %$r +is3issa# $% e3*#$)ees c$vers e3*#$)ees $cc&*)ing a *$sii$n $% r&s wh$ are *r$ven $ have 'reache+ he r&s an+ c$n%i+ence re*$se+ $n he3 The #ang&age $% Aric#e !!=c? $% he La'$r C$+e saes ha he #$ss $% r&s an+ c$n%i+ence 3&s 'e 'ase+ $n wi##%&# 'reach $% he r&s re*$se+ in he e3*#$)ee ') his e3*#$)er. S&ch 'reach is wi##%&# i% i is +$ne ineni$na##),
acs Peii$ner 6&#ie A*aci'#e was hire+ s$3ei3e in 199 ') res*$n+en. She r$se %r$3 he ran
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:n :c$'er -, !((, *eii$ner re&ese+ ha she 'e given her +ai#) w$r< assign3en in Ce'&, which re&es was #aer $ 'e +enie+ ') :#ga ') #eer +ae+ :c$'er , !((. :n :c$'er ", !((, *eii$ner was given a sh$w ca&se n$ice %$r her $ eF*#ain in wriing wh) she sh$&#+ n$ 'e sanci$ne+ %$r ins&'$r+inai$n %$r %ai#&re $ c$3*#) wih he rans%er $r+er. :n N$ve3'er , !((!, res*$n+en c$3*an) sen *eii$ner a n$ice $% er3inai$n e%%ecive N$ve3'er ", !(( %$r ins&'$r+inai$n, *r$3*ing *eii$ner $ %i#e a c$3*#ain %$r i##ega# +is3issa#, n$n5*a)3en $% $veri3e *a), 1h 3$nh *a), service incenive #eave *a), se*arai$n *a), +a3ages an+ a$rne)s %ees 'e%$re he La'$r Ar'ier. The C$&r $% A**ea#s r&#e+ ha *eii$ner was n$ eni#e+ $ se*arai$n *a) 'eca&se, c$nrar) $ he NLRCs %in+ing, she #acE Wheher *eii$ner is eni#e+ se*arai$n *a) ') wa) $% %inancia# assisance. R>LING N:. Ren$ $$+s, Inc. v. Nag
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acs :n N$ve3'er 11, 1991, *eii$ner was e3*#$)e+ as an Insr&c$r in 7aa Cener C$##ege La$ag Ci) 'ranch in I#$c$s N$re. In a Me3$ran+&3 +ae+ 6&ne -, 199!, res*$n+ens rans%erre+ hi3 $ >niversi) $% N$rhern Phi#i**ines =>NP? in 8igan, I#$c$s S&r where he sch$$# ha+ a ie5&* *r$gra3. Peii$ner was in%$r3e+ hr$&gh a #eer +ae+ 6&ne -, 199! ha he w$&#+ 'e receiving, in a++ii$n $ his 3$nh#) sa#ar), a P1,!((.(( a##$wance %$r '$ar+ an+ #$+ging +&ring his sin as insr&c$r in >NP58igan. In 199, he was reca##e+ $ La$ag ca3*&s. :n :c$'er , !((, *eii$ner receive+ a Me3$ran+&3 rans%erring hi3 $ 7aa Cener C$##ege Bang&e+, A'ra 'ranch as Hea+ %$r E+&cai$nInsr&c$r +&e $ an &rgen nee+ %$r an eF*erience+ $%%icer an+ c$3*&er insr&c$r herea. H$wever, *eii$ner +ec#ine+ $ acce* his rans%er $ A'ra ciing he +eeri$raing hea#h c$n+ii$n $% his %aher an+ he a'sence $% a++ii$na# re3&nerai$n $ +e%ra) eF*enses %$r '$ar+ an+ #$+ging which c$nsi&es i3*#ici +i3in&i$n $% his sa#ar). :n N$ve3'er 1(, !((, *eii$ner %i#e+ a C$3*#ain %$r c$nsr&cive +is3issa# agains res*$n+ens. Peii$ner a##ege+ ha his *r$*$se+ rans%er $ A'ra c$nsi&es a +e3$i$n in ran< an+ +i3in&i$n in *a) an+ w$&#+ ca&se *ers$na# inc$nvenience an+ har+shi*. $r heir *ar, res*$n+ens c#ai3e+ ha he) were 3ere#) eFercising heir 3anage3en *rer$gaive $ rans%er e3*#$)ees %$r he *&r*$se $% a+vancing he sch$$#s ineress. The) arg&e+ ha *eii$ners re%&sa# $ 'e rans%erre+ $ A'ra c$nsi&es ins&'$r+inai$n. R&#ing Peii$ners rans%er is n$ ana3$&n $ c$nsr&cive +is3issa#. Peii$ner was $rigina##) a**$ine+ as insr&c$r in 1991 an+ was given a++ii$na# a+3inisraive %&nci$ns as Hea+ %$r E+&cai$n +&ring his sin in La$ag 'ranch. He +i+ n$ +en) having 'een +esignae+ as Hea+ %$r E+&cai$n in a e3*$rar) ca*aci) %$r which he cann$ inv$
acs Peii$ner E#3er L$*e4 was he Branch Manager $% he res*$n+en e**e# Ban< Phi#i**ines, Inc. ='an
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The righ $% an e3*#$)er $ %ree#) se#ec $r +ischarge his e3*#$)ee is a rec$gni4e+ *rer$gaive $% 3anage3en an e3*#$)er cann$ 'e c$3*e##e+ $ c$nin&e e3*#$)ing $ne wh$ has 'een g&i#) $% acs ini3ica# $ is ineress. When his ha**ens, he e3*#$)er can +is3iss he e3*#$)ee %$r #$ss $% c$n%i+ence. A he sa3e i3e, #$ss $% c$n%i+ence as a &s ca&se $% +is3issa# was never inen+e+ $ *r$vi+e e3*#$)ers wih a '#an< chec< %$r er3inaing e3*#$)3en. L$ss $% c$n%i+ence sh$&#+ i+ea##) a**#) $n#) =1? $ cases inv$#ving e3*#$)ees $cc&*)ing *$sii$ns $% r&s an+ c$n%i+ence, $r =!? $ si&ai$ns where he e3*#$)ee is r$&ine#) charge+ wih he care an+ c&s$+) $% he e3*#$)ers 3$ne) $r *r$*er). T$ he %irs c#ass 'e#$ng 3anageria# e3*#$)ees, i.e., h$se vese+ wih he *$wers an+ *rer$gaives $ #a) +$wn 3anage3en *$#ices an+$r $ hire, rans%er, s&s*en+, #a)5$%%, reca##, +ischarge, assign $r +isci*#ine e3*#$)ees, $r e%%ecive#) rec$33en+ s&ch 3anageria# aci$ns. T$ he sec$n+ c#ass 'e#$ng cashiers, a&+i$rs, *r$*er) c&s$+ians, $r h$se wh$, in he n$r3a# an+ r$&ine eFercise $% heir %&nci$ns, reg&#ar#) han+#e signi%ican a3$&ns $% 3$ne) $r *r$*er). As 'ranch 3anager, L$*e4 c#ear#) $cc&*ies a *$sii$n $% r&s. His h$#+ $n his *$sii$n an+ his sa) in he service +e*en+ $n he e3*#$)ers r&s an+ c$n%i+ence in hi3 an+ $n his 3anageria# services. Acc$r+ing $ he 'an<, L$*e4 'era)e+ his r&s an+ c$n%i+ence when he iss&e+ he s&'ec P:s wih$& a&h$ri) an+ +es*ie he eF*ress +irecive $ *& he c#iens a**#icai$n $n h$#+. In res*$nse, L$*e4 insiss ha he ha+ s&%%icien a&h$ri) $ ac as he +i+, as his a&h$ri) is inheren in his *$sii$n as 'an< 3anager. He *$ins $ his rec$r+ in he *as when he iss&e+ P:s which were h$n$re+ an+ *ai+ ') he 'an< an+ which c$nsi&e+ he ar'iers $verwhe#3ing evi+ence in s&**$r $% he %in+ing ha c$3*#ainans +is3issa# %r$3 w$r< was wih$& &s ca&se, hence, i##ega#. As a 'an< $%%icia#, he *eii$ner 3&s have 'een aware ha i is 'asic in ever) s$&n+ 3anage3en ha *e$*#e &n+er $nes s&*ervisi$n an+ +ireci$n are '$&n+ $ %$##$w insr&ci$ns $r $ in%$r3 heir s&*eri$r $% wha is g$ing $n in heir res*ecive areas $% c$ncern, es*ecia##) regar+ing 3aers $% via# ineres $ he ener*rise. >n+er hese %acs, we %in+ i &n+is*&e+ ha L$*e4 +is$'e)e+ he 'an<s +irecive $ *& he Her4 #$an a**#icai$n $n h$#+, an+ +i+ n$ wai &ni# is negaive cre+i raing was c#eare+ 'e%$re *r$cee+ing $ ac. Tha he 3igh have 'een *r$ven righ is i33aeria#. Neiher +$es he s&'3issi$n ha he 'an< h$n$re+ an+ *ai+ he %irs P: an+ even rea#i4e+ a *r$%i %r$3 he ransaci$n, 3iigae he gravi) $% L$*e4s +e%iance $% he +irecive $% higher a&h$ri) $n a '&siness &+g3en. Wha a**ears c#ear is ha he 'an< cann$ in he %&&re r&s he *eii$ner as a 3anager wh$ w$&#+ %$##$w +irecives %r$3 higher a&h$riies $n '&siness *$#ic) an+ +ireci$ns. The 'an< can 'e *#ace+ a ris< i% his n+er he circ&3sances $% his case, we are c$nvince+ ha he 'an< was &si%ie+ in er3inaing L$*e4s e3*#$)3en ') reas$n $% #$ss $% r&s an+ c$n%i+ence. He a+3ie+ iss&ing he w$ P:s, c#ai3ing 3ere#) ha he ha+ he re&isie a&h$ri). He c$&#+ n$ *resen an) *r$$% in his regar+, h$wever, eFce* $ sa) ha i was *ar $% his inheren +&) as 'an< 3anager. He a#s$ c#ai3e+ ha he 'an< ac&iesce+ $ he iss&ance $% he P:s as i *ai+ he %irs P: an+ he P:s he iss&e+ in he *as. This s&'3issi$n %#ies in he %ace $% he 'an<s +irecive %$r hi3 n$ $ *r$cee+ &n#ess 3aers are c#eare+ wih he 'an<s cre+i c$33iee. The 'an< ha+ a gen&ine c$ncern $ver he iss&e as i %$&n+ hr$&gh is cre+i c$33iee ha Her4 was a cre+i ris<. Wheher he cre+i c$33iee was c$rrec $r n$ is i33aeria# as he 'an<s +irec $r+er #e% L$*e4 wih$& an) a&h$ri) $ c#ear he #$an a**#icai$n $n his $wn. A%er his +e%iance, we cann$ '#a3e he 'an< %$r #$sing is c$n%i+ence in L$*e4 an+ in se*araing hi3 %r$3 he service.

acs Res*$n+en Re3igi$ Michae# Anchea II an+ his wi%e, res*$n+en C)nhia was hire+ ') he sa3e sch$$# as a *ar i3e eacher $% he Mass C$33&nicai$n 7e*ar3en. A #eer was sen $ *eii$ner Sr. Berna+ee an+ signe+ ') s$3e $% he eachers $% SPCDC, inc#&+ing he res*$n+en s*$&ses. The sai+ #eer c$naine+ he eachers seni3ens regar+ing w$ sch$$# *$#icies, na3e#) %irs, he *$#ic) $% *ena#i4ing he +e#a) in enc$+ing %ina# gra+es an+, sec$n+, he *$#ic) $% wihh$#+ing sa#aries $% he eachers. The #eer en&3erae+ he +e*ar3ena# an+ insr&ci$na# *$#icies ha res*$n+en Re3igi$ Michae# %ai#e+ $ c$3*#) wih, s&ch as he #ae s&'3issi$n $% %ina# gra+es, %ai#&re $ s&'3i %ina# es &esi$ns $ he Pr$gra3 C$$r+ina$r, he giving $% ess in he essa) %$r3 insea+ $% he 3&#i*#e ch$ice %$r3a as 3an+ae+ ') he sch$$# an+ he high n&3'er $% s&+ens wih %ai#ing gra+es in he c#asses ha he han+#e+. Mr. Anchea %ai#e+ !" in a c#ass $%  s&+ens, an+ ha+ a $a# n&3'er $% 2- %ai#&res in his seci$ns $% Phi#i**ine His$r). Mrs. Anchea %ai#e+ 11 s&+ens in a c#ass $% ", an+ ha+ a $a# n&3'er $% 1- %ai#&res in her ! c#asses $% C$33&nicai$n The$ries. S&'se&en#), he res*$n+en s*$&ses receive+ heir res*ecive #eers $% er3inai$n. Res*$n+en s*$&ses sen a #eer %$r rec$nsi+erai$n $ *eii$ner Sr. Li#ia, '& was even&a##) +enie+. Th&s, res*$n+en s*$&ses %i#e+ a c$3*#ain %$r i##ega# +is3issa# wih he NLRC '& he La'$r Ar'ier +is3isse+ he c$3*#ain. Iss&e Wheher $r n$ he res*$n+en s*$&ses were va#i+#) +is3isse+

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He#+ I is n$ +is*&e+ ha res*$n+en Re3igi$ Michae# was a %&##5i3e *r$'ai$nar) e3*#$)ee an+ his wi%e, a *ar5i3e eacher $% he *eii$ner sch$$#. A rea#i) we have $ %ace in he c$nsi+erai$n $% e3*#$)3en $n *r$'ai$nar) sa&s $% eaching *ers$nne# is ha he) are n$ g$verne+ *&re#) ') he La'$r C$+e. The La'$r C$+e is s&**#e3ene+ wih res*ec $ he *eri$+ $% *r$'ai$n ') s*ecia# r&#es %$&n+ in he Man&a# $% Reg&#ai$ns %$r Privae Sch$$#s. :n he 3aer $% *r$'ai$nar) *eri$+, Seci$n 9! $% hese reg&#ai$ns *r$vi+es Seci$n 9!.Pr$'ai$nar) Peri$+. ] S&'ec in a## insances $ c$3*#iance wih he 7e*ar3en an+ sch$$# re&ire3ens, he *r$'ai$nar) *eri$+ %$r aca+e3ic *ers$nne# sha## n$ 'e 3$re han hree =? c$nsec&ive )ears $% sais%ac$r) service %$r h$se in he e#e3enar) an+ sec$n+ar) #eve#s, siF =-? c$nsec&ive reg&#ar se3esers $% sais%ac$r) service %$r h$se in he eriar) #eve#, an+ nine =9? c$nsec&ive ri3esers $% sais%ac$r) service %$r h$se in he eriar) #eve# where c$##egiae c$&rses are $%%ere+ $n a ri3eser 'asis. A *r$'ai$nar) e3*#$)ee $r *r$'ai$ner is $ne wh$ is $n ria# %$r an e3*#$)er, +&ring which he #aer +eer3ines wheher $r n$ he is &a#i%ie+ %$r *er3anen e3*#$)3en. The *r$'ai$nar) e3*#$)3en is inen+e+ $ a%%$r+ he e3*#$)er an $**$r&ni) $ $'serve he %iness $% a *r$'ai$nar) e3*#$)ee whi#e a w$r<, an+ $ ascerain wheher he wi## 'ec$3e an e%%icien an+ *r$+&cive e3*#$)ee. Whi#e he e3*#$)er $'serves he %iness, *r$*rie) an+ e%%icienc) $% a *r$'ai$ner $ ascerain wheher he is &a#i%ie+ %$r *er3anen e3*#$)3en, he *r$'ai$ner, $n he $her han+, see*$n he eF*irai$n $% his c$nrac $% e3*#$)3en, 'eing si3*#) $n *r$'ai$n, he cann$ a&$3aica##) c#ai3 sec&ri) $% en&re an+ c$3*e# he e3*#$)er $ renew his e3*#$)3en c$nrac. Peii$ner sch$$# c$nen+s ha i +i+ n$ eFen+ he c$nracs $% res*$n+en s*$&ses. I c#ai3s ha, a#h$&gh, i has sen #eers $ he s*$&ses in%$r3ing he3 ha he sch$$# is eFen+ing $ he3 new c$nracs %$r he c$3ing sch$$# )ear, he #eers +$ n$ c$nsi&e as ac&a# e3*#$)3en c$nracs '& 3ere#) $%%ers $ each $n he sai+ sch$$# )ear. Seci$n 91 $% he Man&a# $% Reg&#ai$ns %$r Privae Sch$$#s, saes ha Seci$n 91.E3*#$)3en C$nrac. ] Ever) c$nrac $% e3*#$)3en sha## s*eci%) he +esignai$n, &a#i%icai$n, sa#ar) rae, he *eri$+ an+ na&re $% service an+ is +ae $% e%%ecivi), an+ s&ch $her er3s an+ c$n+ii$n $% e3*#$)3en as 3a) 'e c$nsisen wih #aws an+ r&#es, reg&#ai$ns an+ san+ar+s $% he sch$$#. A c$*) $% he c$nrac sha## 'e %&rnishe+ he *ers$nne# c$ncerne+. I is i3*$ran ha he c$nrac $% *r$'ai$nar) e3*#$)3en s*eci%) he *eri$+ $r er3 $% is e%%ecivi). The %ai#&re $ si*&#ae is *recise +&rai$n c$&#+ #ea+ $ he in%erence ha he c$nrac is 'in+ing %$r he %&## hree5)ear *r$'ai$nar) *eri$+. There%$re, he #eers sen ') *eii$ner Sr. Raca+i$, which were v$i+ $% an) s*eci%ics cann$ 'e c$nsi+ere+ as c$nracs. The c#$ses he) can rese3'#e $ are ha $% in%$r3a# c$rres*$n+ence a3$ng he sai+ in+ivi+&a#s. As s&ch, *eii$ner sch$$# has he righ n$ $ renew he c$nracs $% he res*$n+ens, he $#+ $nes having 'een eF*ire+ a he en+ $% heir er3s. Ass&3ing, arg&en+$ , ha he e3*#$)3en c$nracs 'eween he *eii$ner sch$$# an+ he res*$n+en s*$&ses were renewe+, his C$&r %in+s ha here was a va#i+ an+ &s ca&se %$r heir +is3issa#. The La'$r C$+e c$33an+s ha 'e%$re an e3*#$)er 3a) #ega##) +is3iss an e3*#$)ee %r$3 he service, he re&ire3en $% s&'sania# an+ *r$ce+&ra# +&e *r$cess 3&s 'e c$3*#ie+ wih. >n+er he re&ire3en $% s&'sania# +&e *r$cess, he gr$&n+s %$r er3inai$n $% e3*#$)3en 3&s 'e 'ase+ $n &s $r a&h$ri4e+ ca&ses. The *#ain a+3issi$ns $% he charges agains he3 were he c$nsi+erai$ns a

c$vere+ an+ *r$ece+ ') is 3anage3en *rer$gaive ] he righ $% an e3*#$)er $ reg&#ae a## as*ecs $% e3*#$)3en, s&ch as hiring, he %ree+$3 $ *rescri'e w$r< assign3ens, w$r
acs Peii$ner Pa3e#a #$renina P. 6&3&a+ 'egan her e3*#$)3en wih res*$n+en Hi5#)er $$+, Inc. as 3anage3en rainee. Base+ $n her *er%$r3ance hr$&gh he )ears, 6&3&a+ receive+ severa# *r$3$i$ns &ni# she 'eca3e he area 3anager %$r he enire 8isa)as5Min+ana$ 1 regi$n. S$3ei3e $n :c$'er !((, Hi5#)er c$n+&ce+ a %$$+ sa%e), service an+ saniai$n a&+i an+ revea#e+ severa# saniai$n vi$#ai$ns, s&ch as he *resence $% r$+ens an+ he &se $% a +e%ecive chi##er %$r he s$rage $% %$$+. When as
acs Res*$n+en 8ic$rin$ Ange#$ was e3*#$)e+ ') Nissan as $ne $% is *a)r$## sa%%. Res*$n+en was n$ a'#e $ *re*are he *a)r$## %$r he sai+ *eri$+ as he was $n sic< #eave. :n his a**r$ve+ vacai$n #eave, he was n$ again a'#e $ *re*are he *a)r$## %$r ha *aric&#ar *eri$+. Res*$n+en receive+ a Me3$ran+&3 %r$3 he *eii$ner saing ha he c$3*an) is c$nsi+ering his +is3issa# %r$3 e3*#$)3en $n he gr$&n+s $% seri$&s 3isc$n+&c, wi##%&# +is$'e+ience an+ gr$ss neg#ec $% +&ies. I was sae+ in he 3e3$ran+&3 ha he s&**$se+ c&5$%% +ae %$r *a)r$## *&r*$ses, he res*$n+en wen h$3e ear#) wih$& %inishing his w$r<. The %$##$wing +a), he +i+ n$ re*$r %$r w$r<, wih$& an) n$ice $ he c$3*an) $r $ an) $% his i33e+iae s&*eri$r seci$n hea+. As a res&#, he c$3*an) was +$ing he *a)r$## hr& IT an+ ha he a3$&n re#ease+ $ he e3*#$)ees were n$ acc&rae. C$nse&en#), 3an) e3*#$)ees g$ angr) he +e+&ci$ns %r$3 sa#aries was n$ %inishe+, he Page 186


sa#aries $% c$nrac&a#s, a**renices were a#s$ n$ %inishe+. Since he 'an< $n#) rea+s acc$&n n&3'ers $% e3*#$)ees, he c$3*an) eF*erience+ +e#a) in he *a)r$## *r$cessing. As a c$nse&ence $% a## hese, he 3an&%ac&ring e3*#$)ees, n&3'ering a'$& 2( *e$*#e $r a'$& -2 $% /Nissans $a# *$*&#ai$n0, have sare+ $ +ec#ine ren+ering $veri3e w$r<, sa)ing a%er heir 12 +a)s $% w$r< he) receive+ $n#) #ess han P!(( whi#e s$3e even receive+ $n#) P(. In s&3, he c$3*an) has s&%%ere+ 3assive #$ss $% $**$r&ni) $ se## 'eca&se $% %ai#&re $ *r$+&ce in he *r$+&ci$n area +&e $ n$n5avai#a'i#i) $% w$r
acs :n A&g&s !1, 191, Pa+a$ was hire+ ') PNB as a c#er< a is 7i*$#$g Ci) Branch. He was #aer +esignae+ as a cre+i invesiga$r in an acing ca*aci) $n N$ve3'er 9, 199. :n March !, 1992, he was a**$ine+ reg&#ar Cre+i Invesiga$r III, an+ was &#i3ae#) *r$3$e+ $ he *$sii$n $% L$an an+ Cre+i :%%icer I8. S$3ei3e in 199, PNB 'eca3e e3'r$i#e+ in a scan+a# inv$#ving J'ehes #$ans.K A cerain Sih Wa ai c$3*#aine+ $ he Pr$vincia# :%%ice $% he C$33issi$n $n A&+i =C:A? $% a3'$anga +e# N$re ha an$3a#$&s #$ans were 'eing grane+ ') is $%%icers Assisan 8ice Presi+en =A8P? an+ Branch Manager A&re#i$ 7e G&43an =A8P +e G&43an?, Assisan 7e*ar3en Manager an+ Cashier :#s$n Sa#a =Sa#a?, an+ L$ans an+ Seni$r Cre+i Invesiga$r Pri3iiv$ 8ir&+a4$ =8ir&+a4$?. The &esi$na'#e #$ans were re*$re+#) 'eing eFen+e+ $ se#ec 'an< c#iens, a3$ng he3 6$se*h Li$ng, 7ani#$ 7angca#an, 6acin$ Sa#ac, Caherine :*&#enisi3a, an+ 8irgie Pang$. The eF*$s riggere+ he c$n+&c $% se*arae invesigai$ns ') he C:A an+ PNBs Inerna# A&+i 7e*ar3en =IA7? %r$3 6an&ar) $ A&g&s 1992. B$h invesigai$ns c$n%ir3e+ ha he c$##aera# *r$vi+e+ in n&3er$&s #$an acc$33$+ai$ns were gr$ss#) $ver5a**raise+. The cre+i san+ing $% he #$an a**#icans was a#s$ %a'ricae+, a##$wing he3 $ $'ain #arger #$an *$r%$#i$s %r$3 PNB. These '$rr$wers even&a##) +e%a&#e+ $n he *a)3en $% heir #$ans, ca&sing PNB $ s&%%er 3i##i$ns in #$sses. :n 6&ne 1, 199-, Pa+a$ was a+3inisraive#) charge+ wih 7ish$nes), Grave Misc$n+&c, Gr$ss Neg#ec $% 7&), C$n+&c Pre&+icia# $ he Bes Ineres $% he Service, an+ vi$#ai$n $% R.A. N$. (19. The case agains Pa+a$ was gr$&n+e+ $n his having a##ege+#) *resene+ a +ece*ive#) *$siive sa&s $% he '&siness, cre+i san+ingraing an+ %inancia# ca*a'i#i) $% #$an a**#icans Re)na#+$ an+ L&4vi##a Ba#&3a an+ e#even =11? $hers. I was #aer %$&n+ ha eiher sai+ '$rr$wers '&sinesses were ina+e&ae $ 3ee heir #$an $'#igai$ns, $r ha he *r$ecs he) s$&gh $ 'e %inance+ +i+ n$ eFis.

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Pa+a$ was a#s$ acc&se+ $% having $ver5a**raise+ he c$##aera# $% he s*$&ses Gar+i$ an+ A#3a Aer$, he s*$&ses I'a'a, an+ R$##) Pang$. :n 6an&ar) 1(, 199", a%er +&e invesigai$n, PNB %$&n+ Pa+a$ g&i#) $% gr$ss an+ ha'i&a# neg#ec $% +&) an+ $r+ere+ hi3 +is3isse+ %r$3 he 'an<. Iss&e W$n he c$&r $% a**ea#s erre+ in reaing he ac $% %a#si%)ing he cre+i an+ a**raisa# re*$rs an+ ha $% 3ere#) a%%iFing $nes signa&re in a %a#se re*$r *re*are+ ') an$her as $ne an+ he sa3e +egree $% 3isc$n+&c which warrans #ega# +is3issa#. He#+ In his case, Pa+a$ was +is3isse+ ') PNB %$r gr$ss an+ ha'i&a# neg#ec $% +&ies &n+er Aric#e !! ='? $% he La'$r C$+e. Th&s, in cases $% reg&#ar e3*#$)3en, he e3*#$)er is *r$hi'ie+ %r$3 er3inaing he services $% an e3*#$)ee eFce* %$r a &s $r a&h$ri4e+ ca&se. S&ch &s ca&ses %$r which an e3*#$)er 3a) er3inae an e3*#$)ee are en&3erae+ in Aric#e !! $% he La'$r C$+e =a? Seri$&s 3isc$n+&c $r wi##%&# +is$'e+ience ') he e3*#$)ee $% he #aw%&# $r+ers $% his e3*#$)er $r re*resenaive in c$nneci$n wih his w$r< ='? Gr$ss an+ ha'i&a# neg#ec ') he e3*#$)ee $% his +&ies =c? ra&+ $r wi##%&# 'reach ') he e3*#$)ee $% he r&s re*$se+ in hi3 ') his e3*#$)er $r +&#) a&h$ri4e+ re*resenaive =+? C$33issi$n $% a cri3e $r $%%ense ') he e3*#$)ee agains he *ers$n $% his e3*#$)er $r an) i33e+iae %a3i#) 3e3'er $% his %a3i#) $r his +&#) a&h$ri4e+ re*resenaive an+ =e? :her ca&ses ana#$g$&s $ he %$reg$ing. In his case, Pa+a$ was +is3isse+ ') PNB %$r gr$ss an+ ha'i&a# neg#ec $% +&ies &n+er Aric#e !! ='? $% he La'$r C$+e. Gr$ss neg#igence c$nn$es wan $% care in he *er%$r3ance $% $nes +&ies, whi#e ha'i&a# neg#ec i3*#ies re*eae+ %ai#&re $ *er%$r3 $nes +&ies %$r a *eri$+ $% i3e, +e*en+ing $n he circ&3sances. Gr$ss neg#igence has 'een +e%ine+ as he wan $r a'sence $% $r %ai#&re $ eFercise s#igh care $r +i#igence, $r he enire a'sence $% care. I evinces a h$&gh#ess +isregar+ $% c$nse&ences wih$& eFering an) e%%$r $ av$i+ he3. Pa+a$s re*eae+ %ai#&re $ +ischarge his +&ies as a cre+i invesiga$r $% he 'an< a3$&ne+ $ gr$ss an+ ha'i&a# neg#ec $% +&ies &n+er Aric#e !! ='? $% he La'$r C$+e. He n$ $n#) %ai#e+ $ *er%$r3 wha he was e3*#$)e+ $ +$, '& a#s$ +i+ s$ re*eiive#) an+ ha'i&a##), ca&sing 3i##i$ns $% *es$s in +a3age $ PNB. Th&s, PNB ace+ wihin he '$&n+s $% he #aw ') 3eing $& he *ena#) $% +is3issa#, which i +ee3e+ a**r$*riae given he circ&3sances. H$wever, Pa+a$ is n$ eni#e+ $ %inancia# assisance. In T$)$a M$$r Phi#s. C$r*. W$r
acs This case se33e+ %r$3 a c$3*#ain %$r i##ega# +is3issa# wih 3$ne) c#ai3s %i#e+ ') res*$n+en R$se3arie L. S) =S)? 'e%$re he Ar'irai$n Branch, Nai$na# Ca*ia# Regi$n, NLRC, agains *eii$ners Ta3s$ns Ener*rises, Inc. =Ta3s$ns? , Ne#s$n Lee =Lee?, he c$3*an) Presi+en an+ Li#i'eh :ng =:ng? an+ 6$hns$n Ng =Ng? , her c$5e3*#$)ees.

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:n Se*e3'er 1, !((-, S) was hire+ ') Ta3s$ns as Assisan $ he Presi+en. 7es*ie he i#e, she +i+ n$ ac as s&ch 'eca&se, *er insr&ci$n $% Lee, she was +irece+ $ ac as *a)r$## $%%icer, h$&gh she ac&a##) w$rE W:N he er3inai$n $% S), a *r$'ai$nar) e3*#$)ee, was va#i+ $r n$. HEL7 The C$&r %in+s he *eii$n +ev$i+ $% 3eri. The *erinen #aw g$verning he *resen case is Aric#e !1 $% he La'$r C$+e which *r$vi+es as %$##$ws Ar. !1. Pr$'ai$nar) e3*#$)3en. ] Pr$'ai$nar) e3*#$)3en sha## n$ eFcee+ siF 3$nhs %r$3 he +ae he e3*#$)ee sare+ w$rn+ersc$ring s&**#ie+? I is se#e+ ha even i% *r$'ai$nar) e3*#$)ees +$ n$ en$) *er3anen sa&s, he) are acc$r+e+ he c$nsi&i$na# *r$eci$n $% sec&ri) $% en&re. This 3eans he) 3a) $n#) 'e er3inae+ %$r a &s ca&se $r when he) $herwise %ai# $ &a#i%) as reg&#ar e3*#$)ees in acc$r+ance wih reas$na'#e san+ar+s 3a+e n+er he er3s $% he La'$r C$+e, hese san+ar+s sh$&#+ 'e 3a+e
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sar $% her *r$'ai$nar) *eri$+, S) &a#i%ie+ as a reg&#ar e3*#$)ee. As he#+ ') his C$&r in he ver) recen case $% Hacien+a Pri3era 7eve#$*3en C$r*$rai$n v. 8i##egas . Being a reg&#ar e3*#$)ee wh$se er3inai$n was i##ega#, S) is eni#e+ $ he win re#ie% $% reinsae3en an+ 'ac
acs Res*$n+en is engage+ in he reai# $% se3i5*reci$&s s$nes, se##ing he3 in
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In a## cases $% er3inai$n $% e3*#$)3en, he %$##$wing san+ar+s $% +&e *r$cess sha## 'e s&'sania##) $'serve+. $r er3inai$n $% e3*#$)3en 'ase+ $n &s ca&ses as +e%ine+ in Aric#e !! $% he La'$r C$+e =i? A wrien n$ice serve+ $n he e3*#$)ee s*eci%)ing he gr$&n+ $r gr$&n+s %$r er3inai$n, an+ giving sai+ e3*#$)ee reas$na'#e $**$r&ni) wihin which $ eF*#ain his si+e. =ii? A hearing $r c$n%erence +&ring which he e3*#$)ee c$ncerne+, wih he assisance $% c$&nse# i% he s $ +esires is given $**$r&ni) $ res*$n+ $ he charge, *resen his evi+ence, $r re'& he evi+ence *resene+ agains hi3. =iii? A wrien n$ice $% er3inai$n serve+ $n he e3*#$)ee, in+icaing ha &*$n +&e c$nsi+erai$n $% a## he circ&3sances, gr$&n+s have 'een esa'#ishe+ $ &si%) his er3inai$n In his case he res*$n+ens i33e+iae#) ha+ her arrese+ an+ invesigae+ ') he *$#ice a&h$riies %$r &a#i%ie+ he% which c$nsi&es a +enia# $% her righ $ +&e *r$cess $% #aw, c$nsising in he $**$r&ni) $ 'e hear+ an+ $ +e%en+ herse#%. In %ac, heir +ecisi$n $ +is3iss her was a#rea+) %ina# even 'e%$re he *$#ice a&h$ri) c$33ence+ an invesigai$n $% he he%, he %ina#i) 'eing c$n%ir3e+ ') n$ #ess han S)#via Marian$ herse#% e##ing he *eii$ner +&ring heir *h$ne c$nversai$n %$##$wing he #aers re#ease %r$3 *$#ice c&s$+) ha she =S)#via? Jn$ #$nger wane+ $ seeK her. The %ac ha he *eii$ner was he $n#) *ers$n s&s*ece+ $% 'eing res*$nsi'#e %$r he he% aggravae+ he +enia# $% +&e *r$cess.

acs Peii$ner was hire+ ') res*$n+en Har'$&r Cenre P$r Ter3ina#, Inc. =HCPTI? as an Acc$&nan an+ Acing inance :%%icer, wih a 3$nh#) sa#ar) $% P1,(((. M$ra#es was #aer $n *r$3$e+ $ 7ivisi$n Manager $% he Acc$&ning 7e*ar3en, %$r which he was c$3*ensae+ a 3$nh#) sa#ar) $% P,"((.((, *#&s a##$wances . S&'se&en $ HCPTIs rans%er $ is new $%%ices a 8ias, T$n+$, Mani#a M$ra#es receive+ an iner5 $%%ice 3e3$ran+&3 reassigning hi3 $ :*erai$ns C$s Acc$&ning, as
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+e3$i$n is evi+en %r$3 he %ac ha his reassign3en enai#e+ a rans%er %r$3 a 3anageria# *$sii$n $ $ne which was n$ even inc#&+e+ in he c$r*$rai$ns *#ani##a. Whi#e $r+inari#) 3anage3en *rer$gaive is n$ iner%ere+ wih, i is a#s$ n$ a's$#&e an+ is s&'ec $ #i3iai$ns i3*$se+ ') #aw, c$##ecive 'argaining agree3en, an+ genera# *rinci*#es $% %air *#a) an+ &sice. Th&s, an e3*#$)er 3a) rans%er $r assign e3*#$)ees %r$3 $ne $%%ice $r area $% $*erai$n $ an$her, *r$vi+e+ here is n$ +e3$i$n in ran< $r +i3in&i$n $% sa#ar), 'ene%is, an+ $her *rivi#eges, an+ he aci$n is n$ 3$ivae+ ') +iscri3inai$n, 3a+e in 'a+ %aih, $r e%%ece+ as a %$r3 $% *&nish3en $r +e3$i$n wih$& s&%%icien ca&se. Res*$n+en h$wever %ai#e+ $ &si%) he +e3$i$n $% *eii$ner $n he gr$&n+ ha i was re$rgani4ing is '&siness sr&c&re, his was evi+ence+ ') he %ac ha M$ra#es was a'#e $ *r$ve ha HCPTIs eFising *#ani##a +i+ n$ inc#&+e an :*erai$ns C$s Acc$&ning 7e*ar3en an+$r an :*erai$ns C$s Acc$&nan. As he *ar) 'e#ae+#) see
acs Peii$ner Mansi$n Prining Cener is a sing#e *r$*rie$rshi* regisere+ &n+er he na3e $% is *resi+en an+ c$5*eii$ner C#e3en Cheng. I is engage+ in he *rining $% &a#i) se#%5a+hesive #a'e#s, 'r$ch&res, *$sers, sic
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In $r+er $ va#i+#) +is3iss an e3*#$)ee, he e3*#$)er is re&ire+ $ $'serve '$h s&'sanive an+ *r$ce+&ra# as*ecs ] he er3inai$n $% e3*#$)3en 3&s 'e 'ase+ $n a &s $r a&h$ri4e+ ca&se $% +is3issa# an+ he +is3issa# 3&s 'e e%%ece+ a%er +&e n$ice an+ hearing. Peii$ners c$3*#ie+ wih s&'sanive +&e *r$cess c$nsi+ering ha his er3inai$n was n$ $n#) +&e $ his recen a'sences '& his was 'eca&se $% his *revi$&s in%raci$ns ca**e+ ') his recen &na&h$ri4e+ a'sences. Peii$ners were even a'#e $ sais%ac$ri#) esa'#ish ha res*$n+ens a'sences were in+ee+ &na&h$ri4e+. An+ he) were a'#e $ esa'#ish ha res*$n+en was gr$ss neg#igen $% his +&ies as he was ha'i&a##) ar+) evi+ence+ ') his a+3issi$n in his a*$#$g), an+ )e even a%er s&ch a*$#$g), he c$nin&e+ $ 'e ar+). C#ear#), *eii$ners a#s$ c$3*#ie+ wih *r$ce+&ra# +&e *r$cess since he) serve+ hi3 wih n$ice, 'e%$re having er3inae+ hi3. We sai+ ha *r$ce+&ra# +&e *r$cess ca##e+ %$r w$ re&isies =1? he e3*#$)er 3&s in%$r3 he e3*#$)ee $% he s*eci%ic acs $r $3issi$ns %$r which his +is3issa# is s$&gh an+ =!? a%er he e3*#$)ee has 'een given he $**$r&ni) $ 'e hear+, he e3*#$)er 3&s in%$r3 hi3 $% he +ecisi$n $ er3inae his e3*#$)3en Peii$ners have re*eae+#) ca##e+ he aeni$n $% res*$n+en c$ncerning his ha'i&a# ar+iness, an+ he %irs Me3$ran+&3 given $ hi3 re&ire+ hi3 $ eF*#ain his ar+iness. Having receive+ his Me3$ran+&3, he s&'3ie+ a #eer $%%ering an a*$#$g) an+ &n+er$$< $ hence%$rh re*$r %$r +&) $n i3e, '& a%erwar+ *r$ve+ &navai#ing. The S&*re3e C$&r cie+ a *revi$&s &ris*r&+ence +e%ining gr$ss neg#igence as wan $% care in he *er%$r3ance $% $nes +&ies 2( an+ ha'i&a# neg#ec as re*eae+ %ai#&re $ *er%$r3 $nes +&ies %$r a *eri$+ $% i3e, +e*en+ing &*$n he circ&3sances. 21 These are n$ $ver#) echnica# er3s, which, in he %irs *#ace, are eF*ress#) sanci$ne+ ') he La'$r C$+e $% he Phi#i**ines. Bearing in 3in+ ha he ar+iness an+ a'sences $% res*$n+en were n$ is$#ae+ inci+ens, '& 3ani%ese+ a *aern $% ha'i&a#i), hen *eii$ners were c$rrec wih heir re3e+) $% er3inaing hi3 a%er having *r$*er#) serve+ hi3 wih a N$ice $% Ter3inai$n ha he re%&se+ $ acce*.

acs Be#ran was e3*#$)e+ ') MERALC: an+ a he i3e 3aeria# $ his case, she was h$#+ing he *$sii$n $% Seni$r Branch C#er< a MERALC:s Pasig 'ranch. Whi#e ren+ering $veri3e w$r< $n Se*e3'er !, 199-, a Sa&r+a), Be#ran acce*e+ P12,1-. %r$3 C$##eci$n R$&e S&*ervis$r Ber#in Marc$s =Marc$s?, which he #aer receive+ %r$3 c&s$3er An+) Chang =Chang?. The cash *a)3en was 'eing 3a+e in #ie& $% a re&rne+ chec< ear#ier iss&e+ as *a)3en %$r Changs e#ecric 'i##.Be#ran receive+ he *a)3en an+ iss&e+ A&Fi#iar) Recei* N$. "9- which she +ae+ Se*e3'er (, 199-, a M$n+a), insea+ $% Se*e3'er !, 199-. This was +$ne $ sh$w ha i was an acc$33$+ai$n, an acce*e+ *racice in he $%%ice. She herea%er *#ace+ he 3$ne) an+ he $rigina# a&Fi#iar) recei* an+ $her +$c&3ens *erinen $ he re&rne+ chec< &n+erneah her $her %i#es insi+e he +rawer $% her a'#e. Be#ran, h$wever, was $n#) a'#e $ re3i Changs *a)3en $n 6an&ar) 1, 199". Th&s, in a Me3$ran+&3 +ae+ 6an&ar) 1-, 199", she was *#ace+ &n+er *revenive s&s*ensi$n e%%ecive 6an&ar) !(, 199" *en+ing c$3*#ei$n $% an invesigai$n. MERALC: c$nsi+ere+ as 3isa**r$*riai$n $r wihh$#+ing $% c$3*an) %&n+s her %ai#&re $ i33e+iae#) re3i sai+ *a)3en in vi$#ai$n $% is C$+e $n E3*#$)ee 7isci*#ine. Garcia, he A+3inisraive S&*ervis$r $% MERALC:s Pasig 'ranch, $n he $her han+, esi%ie+ ha whi#e +$ing an acc$&ning $% a## $&san+ing re&rne+ chec*$n %&rher in&ir), she +isc$vere+ ha Chang ha+ a#rea+) re+ee3e+ he re&rne+ chec< a%er *a)ing P12,1-. $ Be#ran, wh$ in &rn iss&e+ an A&Fi#iar) Recei* +ae+ Se*e3'er (, 199-. I was a#s$ +isc$vere+ ha he *a)3en has n$ )e 'een re3ie+. This *r$3*e+ her $ in&ire %r$3 Be#ran $n 6an&ar) ", 199" a'$& he s&**$se+ *a)3en an+ i33e+iae#) $r+ere+ he re3iance $% he sa3e. Be#ran, h$wever, %ai#e+ $ +$ s$ $n ha +a) an+ even $n he neF +a) when she re*$re+ %$r w$r<. Be#ran s&'se&en#) wen $n #eave $% a'sence $n 6an&ar) 9 an+ 1(, 199". I was $n#) $n 6an&ar) 1, 199" ha he 3$ne) wih he *erinen +$c&3ens was han+e+ $ver. In a 3e3$ran+&3 +ae+ e'r&ar) !2, 199", he invesiga$r %$&n+ Be#ran g&i#) $% 3isa**r$*riaing an+ wihh$#+ing Changs *a)3en $% P 12,1-. an+ rec$33en+e+ her +is3issa# %r$3 service. Be#ran %i#e+ a c$3*#ain %$r i##ega# +is3issa# agains MERALC:. She arg&e+ ha she ha+ n$ ineni$n $ wihh$#+ c$3*an) %&n+s. Besi+es, i was n$ her c&s$3ar) +&) $ c$##ec an+ re3i *a)3ens %r$3 c&s$3ers. She c#ai3e+ g$$+ %aih, 'e#ieving ha her acce*ance $% Changs *a)3en is c$nsi+ere+ g$$+wi## in %av$r $% '$h MERALC: an+ is c&s$3er. I% a a##, her $n#) vi$#ai$n was a si3*#e +e#a) in re3iing he *a)3en, which ca&se+ n$ c$nsi+era'#e har3 $ he c$3*an). In a 7ecisi$n $% he La'$r Ar'ier regar+e+ he *ena#) $% +is3issa# as n$ c$33ens&rae $ he +egree $% in%raci$n c$33ie+ as here was n$ a+e&ae *r$$% $% 3isa**r$*riai$n $n he *ar $% Be#ran. I% here was +e#a) in Be#rans re3iance $% Changs *a)3en, i was &nineni$na# an+ sa3e cann$ serve as s&%%icien 'asis $ c$nc#&+e ha here was 3isa**r$*riai$n $% c$3*an) %&n+s. In %ac, Be#ran +i+ n$ even ae3* $ +en) *$ssessi$n $%, $r re%&se $ han+ in, he 3$ne). The La'$r Ar'ier h&s gave c$3*assi$nae c$nsi+erai$n %$r he neg#ec $ re3i he 3$ne) *r$3*#), saing ha i is eFc&sa'#e %$r Be#ran $ c$33i #a*ses in her w$r< +&e $ seri$&s %a3i#) +i%%ic&#ies.

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>*$n a**ea#, he NLRC reverse+ he La'$r Ar'iers 7ecisi$n an+ +is3isse+ Be#rans c$3*#ain agains MERALC: in is 7ecisi$n. I %$&n+ ha Be#ran wihhe#+ c$3*an) %&n+s ') %ai#ing $ re3i i %$r a#3$s %$&r 3$nhs. The NLRC h&s r&#e+ ha MERALC: va#i+#) +is3isse+ Be#ran %r$3 he service in he eFercise $% is inheren righ $ +isci*#ine is e3*#$)ees. When Be#ran 'r$&gh he case $ he CA he NLRCs r&#ing was reverse+. The CA insea+ agree+ wih he %in+ings $% he La'$r Ar'ier ha here were n$ seri$&s gr$&n+s $ warran Be#rans +is3issa#. The CA he#+ ha he *ena#) $% +is3issa# is harsh c$nsi+ering he in%raci$n c$33ie+ an+ Be#rans nine )ears $% &n'#e3ishe+ service wih MERALC:. Iss&e Wheher $r n$ Be#ran +is3issa# is va#i+ %in+ing ha she is g&i#) $% wihh$#+ing c$3*an) %&n+s. R&#ing S&*re3e C$&r s&**$r he CAs %in+ing ha here are n$ s&%%icien gr$&n+s $ warran Be#rans +is3issa#. $r #$ss $% r&s an+ c$n%i+ence $ 'e a va#i+ gr$&n+ %$r +is3issa#, i 3&s 'e 'ase+ $n a wi##%&# 'reach $% r&s an+ %$&n+e+ $n c#ear#) esa'#ishe+ %acs. A 'reach is wi##%&# i% i is +$ne ineni$na##),
acs S$3ei3e in !((1, R$33e# 6. Mana'a =res*$n+en? was hire+ ') *eii$ner Ban< $% L&'a$, a r&ra# 'an<, as a Mar
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c$rreci$ns in he 'an<s c$3*&er.Thas wh) he *eii$ner %i#e+ severa# c ri3ina# c$3*#ains %$r &a#i%ie+ he% agains Linga+ an+ he res*$n+en wih he M&nici*a# Tria# C$&r =MTC? $% L&'a$, Pa3*anga. Therea%er, ciing seri$&s 3isc$n+&c ana3$&n $ wi##%&# 'reach $% r&s as gr$&n+, i er3inae+ he res*$n+ens e3*#$)3en. B& res*$n+en %i#e+ a C$3*#ain %$r i##ega# +is3issa# wih he Regi$na# Ar'irai$n Branch $% he Nai$na# La'$r Re#ai$ns C$33issi$n =NLRC? in San ernan+$ Ci), Pa3*anga. In he sai+ c$3*#ain, he res*$n+en, $ '$#ser his c#ai3 ha here was n$ va#i+ gr$&n+ %$r his +is3issa#, averre+ ha he charge agains hi3 %$r &a#i%ie+ he% was +is3isse+ %$r #ac< $% s&%%icien 'asis $ c$nc#&+e ha he c$ns*ire+ wih Linga+. The res*$n+en s$&gh an awar+ %$r se*arai$n *a), %&## 'acn+$&'e+#), he *eii$ners %i#ing $% vari$&s cri3ina# c$3*#ains agains he res*$n+en %$r &a#i%ie+ he% an+ he s&'se&en %i#ing ') he #aer $% he c$3*#ain %$r i##ega# +is3issa# agains he #aer, a
acs 7a#angin was hire+ ') Cana+ian :**$r&niies >n#i3ie+ Inc. $n :c$'er !((1 as I33igrai$n an+ Lega# Manager. He was *#ace+ $n *r$'ai$n %$r siF 3$nhs. His as
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Bare#) a 3$nh #aer, $n :c$'er !", !((1, he c$3*an) er3inae+ 7a#angins e3*#$)3en, +ec#aring hi3 &n%i an+ &n&a#i%ie+ $ c$nin&e his w$r<. The) a##ege+ ha +&ring his 'rie% e3*#$)3en in he c$3*an), 7a#angin sh$we+ #ac< $% enh&sias3 $war+s his w$r< an+ was in+i%%eren $war+s his c$5e3*#$)ees an+ he c$3*an) c#iens. 7a#angin re%&se+ $ c$3*#) wih he c$3*an)s *$#icies an+ *r$ce+&res, r$&ine#) a
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I% he er3inai$n is 'r$&gh a'$& ') he c$3*#ei$n $% a c$nrac $r *hase here$%, $r ') %ai#&re $% an e3*#$)ee $ 3ee he san+ar+s $% he e3*#$)er in he case $% *r$'ai$nar) e3*#$)3en, i sha## 'e s&%%icien ha a wrien n$ice is serve+ he e3*#$)ee wihin a reas$na'#e i3e %r$3 he e%%ecive +ae $% er3inai$n. H$wever, he n$ice serve+ $n 7a#angin +i+ n$ give hi3 a reas$na'#e i3e, %r$3 he e%%ecive +ae $% his se*arai$n, as re&ire+ ') he r&#es. He was +is3isse+ $n he ver) +a) he n$ice was given $ hi3, $r $n :c$'er !", !((1. A#h$&gh we cann$ inva#i+ae his +is3issa# in #igh $% he va#i+ ca&se %$r his se*arai$n, he c$3*an)s n$n5c$3*#iance wih he n$ice re&ire3en eni#es 7a#angin $ in+e3ni), in he %$r3 $% n$3ina# +a3ages $% P1(,(((.((.

acs Res*$n+en 6an Car#$ Ga#a was hire+ ') *eii$ner Mera#c$ as a *r$'ai$nar) #ine3an $n March !, !((-. :n 6&#) !", !((-, 'are#) %$&r 3$nhs $n he $', Ga#a was +is3isse+ %$r a##ege+ c$3*#ici) in *i#%erages $% Mera#c$s e#ecrica# s&**#ies, *aric&#ar#), %$r he inci+en which $$< *#ace $n Ma) !2, !((-. :n ha +a), Ga#a an+ $her Mera#c$ w$rnn+er *aragra*h  $% he agree3en, he was s&'ec $ sric c$3*#iance wih, an+ n$n5vi$#ai$n $% he C$3*an) C$+e $n E3*#$)ee 7isci*#ine, Sa%e) C$+e, r&#es an+ reg&#ai$ns an+ eFising *$#icies. Paragra*h 1( re&ire+ hi3 $ $'serve a a## i3es he highes +egree $% rans*arenc), se#%#essness an+ inegri) in he *er%$r3ance $% his +&ies an+ res*$nsi'i#iies, %ree %r$3 an) %$r3 $% c$n%#ic $r c$nra+icing wih his $wn *ers$na# ineres. :n he wh$#e, he $a#i) $% he circ&3sances $'aining in he case c$nvinces &s ha Ga#a c$&#+ n$ '& have
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acs Severa# e3*#$)ees $% *rivae res*$n+en Benhe# 7eve#$*3en C$r*$rai$n, inc#&+ing he *eii$ners, %i#e+ a C$3*#ain %$r i##ega# +is3issa# wih vari$&s 3$ne) c#ai3s an+ *ra)er %$r +a3ages agains he #aer, in he NLRC Ar'irai$n Branch N$. 8II in Ce'& Ci) an+ +$c
3$i$n r&#ing ha *rivae res*$n+en %ai#e+ $ esa'#ish he +ae $% he c$3*#ei$n $% he *r$ec. As a rec$&rse, *rivae res*$n+en %i#e+ a *eii$n %$r ceri$rari wih he CA, a##eging ha *&'#ic res*$n+en c$33ie+ grave a'&se $% +iscrei$n in *r$3&#gaing is assai#e+ +ecisi$n an+ +en)ing is 3$i$n %$r rec$nsi+erai$n. The CA grane+ he *eii$n, here%$re, ann&##ing an+ s eing asi+e he +ecisi$n an+ res$#&i$n $% he NLRC as $ he awar+ %$r 'ac
acs

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Peii$ner Ernes$ G. @3'$ng sare+ w$r:N 7ATEMARCH !2, 199 S>B6ECTAS STATE7 P#ease 'e in%$r3e+ ha *er c$3*an) *$#ic), an) e3*#$)eea#en wh$ wans $ r&n %$r an) *$sii$n in he c$3ing e#eci$n wi## have $ %i#e a #eave $% a'sence he 3$3en heshe %i#es hisher ceri%icae $% can+i+ac). The services ren+ere+ ') he c$ncerne+ e3*#$)eea#en $ his c$3*an) wi## hen 'e e3*$rari#) s&s*en+e+ %$r he enire ca3*aigne#eci$n *eri$+. A%er he iss&ance $% he March !2, 199 Me3$ran+&3, @3'$ng g$ in $&ch wih L&4$n. L&4$n c#ai3s ha @3'$ng a**r$ache+ hi3 an+ $#+ hi3 ha he w$&#+ #eave ra+i$ %$r a c$&*#e $% 3$nhs 'eca&se he wi## ca3*aign %$r he a+3inisrai$n ic
We have c$nsisen#) he#+ ha s$ #$ng as a c$3*an)s 3anage3en *rer$gaives are eFercise+ in g$$+ %aih %$r he a+vance3en $% he e3*#$)ers ineres an+ n$ %$r he *&r*$se $% +e%eaing $r circ&3vening he righs $% he e3*#$)ees &n+er s*ecia# #aws $r &n+er va#i+ agree3ens, his C$&r wi## &*h$#+ he3. In he insan case, ABS5CBN va#i+#) &si%ie+ he i3*#e3enai$n $% P$#ic) N$. HR5ER5(1-. I is we## wihin is righs $ ens&re ha i 3ainains is $'ecivi) an+ cre+i'i#i) an+ %reeing ise#% %r$3 an) a**earance $% i3*aria#i) s$ ha he Page 199


c$n%i+ence $% he viewing an+ #isening *&'#ic in i wi## n$ 'e in an) wa) er$+e+. Even as he #aw is s$#ici$&s $% he we#%are $% he e3*#$)ees, i 3&s a#s$ *r$ec he righ $% an e3*#$)er $ eFercise wha are c#ear#) 3anage3en *rer$gaives. The %ree wi## $% 3anage3en $ c$n+&c is $wn '&siness a%%airs $ achieve is *&r*$se cann$ 'e +enie+. P$#ic) N$. HR5ER5(1- was n$ s&*erse+e+ ') he March !2, 199 Me3$ran+&3

The CA c$rrec#) r&#e+ ha h$&gh L&4$n, as Assisan Sai$n Manager %$r Ra+i$ $% ABS5CBN, has *$#ic)53a
As P$#ic) N$. HR5ER5(1- is he s&'sising c$3*an) *$#ic) an+ n$ L&4$ns March !2, 199 Me3$ran+&3, @3'$ng is +ee3e+ resigne+ when he ran %$r c$&nci#$r. @3'$ngs $ver ac $% r&nning %$r c$&nci#$r $% La*&5La*& Ci) is ana3$&n $ resignai$n $n his *ar. He was se*arae+ %r$3 ABS5CBN n$ 'eca&se he was +is3isse+ '& 'eca&se he resigne+. Since here was n$ er3inai$n $ s*ea< $%, he re&ire3en $% +&e *r$cess in +is3issa# cases cann$ 'e a**#ie+ $ @3'$ng. Th&s, ABS5CBN is n$ +&)5'$&n+ $ as< hi3 $ eF*#ain wh) he +i+ n$ en+er his resignai$n 'e%$re he ran %$r *&'#ic $%%ice as 3an+ae+ ') he s&'ec c$3*an) *$#ic). In a++ii$n, we +$ n$ s&'scri'e $ @3'$ngs c#ai3 ha he was n$ in a *$sii$n $
acs Peii$ner B#&e S<) Tra+ing C$3*an), Inc. =B#&e S<)? is a +&#) regisere+ +$3esic c$r*$rai$n engage+ in he i3*$rai$n an+ sa#e $% 3e+ica# s&**#ies an+ e&i*3en. The res*$n+ens Ar#ene P. B#as =Ar#ene? an+ 6$se*h 7. Si#van$ =6$se*h? were reg&#ar e3*#$)ees $% B#&e S<) an+ he) res*ecive#) he#+ he *$sii$ns $% s$c< c#er< an+ wareh$&se he#*er 'e%$re he) were +is3isse+ %r$3 service $n e'r&ar) 2, !((2. An inci+en $cc&rre+ where siF *airs $% inensi%)ing screens were 3issing. :n e'r&ar) , !((2, 6ean B. 7e La Pa4 =6ean?, H&3an Res$&rce 7e*ar3en Hea+ iss&e+ n$ices $ eF*#ain*revenive s&s*ensi$n $ Ar#ene, 6$se*h, +e#iver) *ers$nne# 6a)+e Tan$5an =6a)+e? an+ 3ainenance *ers$nne#+river Wi#%re+$ as$ni#a$ =Wi#%re+$?. The n$ices in%$r3e+ he3 ha he) were 'eing acc&se+ $% gr$ss +ish$nes) in c$nneci$n wih heir a##ege+ *arici*ai$n in an+ c$ns*irac) wih $her e3*#$)ees in c$33iing he% agains c$3*an) *r$*er), s*eci%ica##) re#aive $ he #$ss $% he siF inensi%)ing screens. :n e'r&ar) 2, !((2, 6ean iss&e+ $ Ar#ene, 6$se*h, 6a)+e an+ Wi#%re+$ n$ices $% +is3issa# %$r ca&se saing herein ha evi+ence ha he) ha+ c$ns*ire+ wih each $her $ c$33i he% agains c$3*an) *r$*er) was $$ g#aring $ ign$re. B#&e S<) ha+ #$s is r&s an+ c$n%i+ence $n he3 an+ as an ac $% se#%5*reservai$n, heir er3inai$n %r$3 service was in $r+er. :n e'r&ar) , !((2, Ar#ene, 6$se*h, He#ari$, 6a)+e an+ Wi#%re+$ %i#e+ wih he Nai$na# La'$r Re#ai$ns C$33issi$n =NLRC? a c$3*#ain %$r i##ega# +is3issa# an+ s&s*ensi$n, &n+er*a)3en $% $veri3e *a), an+ n$n5*a)3en $% e3ergenc) c$s $% #iving a##$wance =EC:LA?, wih *ra)ers %$r reinsae3en an+ *a)3en $% %&## 'ac
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$n he $her han+ %$&n+ 3eri $n heir c #ai3s, h$&gh %$&n+ res*$n+ens $ have *$sii$ns $% r&s an+ c$n%i+ence, *eii$ner in his case %ai#e+ $ s&%%icien#) esa'#ish he charge agains res*$n+ens which was he 'asis %$r is #$ss $% r&s an+ c$n%i+ence ha warrane+ heir +is3issa#. Iss&e Wheher $r n$ res*$n+ens B#as an+ Si#van$ c$33ie+ a 'reach $% r&s R&#ing The r&#e is #$ng an+ we## se#e+ ha, in i##ega# +is3issa# cases #i
acs Recr&i3en agenc), Inernai$na# Manage3en Services =IMS?, $wne+ an+ $*erae+ ') Mari#)n C. Pasc&a#, +e*#$)e+ res*$n+en R$e# P. L$gara $ w$r< %$r Per$c$n Ara'ia Li3ie+ =Per$c$n? in A#
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Per$c$n %$r he Sa&+i Ara'ian :i# C$3*an) =Sa&+i Ara3c$?. Res*$n+en was e3*#$)e+ %$r a *eri$+ $% w$ =!? )ears, c$33encing $n :c$'er !, 199", wih a 3$nh#) sa#ar) $% eigh h&n+re+ >S 7$##ars =>Sf((.((?. :n A*ri# !9, 199, Sa&+i Ara3c$ n$i%ie+ Per$c$n ha +&e $ changes in he genera# engineering services w$r< %$recas %$r 199, he 3an5 h$&rs ha were %$r3er#) a##$e+ $ Per$c$n is g$ing $ 'e re+&ce+ ') ( which c$nsraine+ Per$c$n $ re+&ce is *ers$nne#. Th&s, $n 6&ne 1, 199, Per$c$n gave res*$n+en a wrien n$ice in%$r3ing he #aer ha +&e $ he #ac< $% *r$ec w$r*$n his re&rn, res*$n+en %i#e+ a c$3*#ain wih he Regi$na# Ar'irai$n Branch 8II, Nai$na# La'$r Re#ai$ns C$33issi$n =NLRC?, Ce'& Ci), agains *eii$ner as he recr&i3en agenc) which e3*#$)e+ hi3 %$r e3*#$)3en a'r$a+. In %i#ing he c$3*#ain, res*$n+en s$&gh $ rec$ver his &nearne+ sa#aries c$vering he &neF*ire+ *$ri$n $% his e3*#$)3en c$nrac wih Per$c$n $n he gr$&n+ ha he was i##ega##) +is3isse+. The La'$r Ar'ier ren+ere+ &+g3en in %av$r $% he res*$n+en an+ $r+ere+ *eii$ner $ *a) he *es$ e&iva#en $% >Sf2,-((.(( 'ase+ $n he rae a he i3e $% ac&a# *a)3en, as *a)3en $% his wages %$r he &neF*ire+ *$ri$n $% his c$nrac $% e3*#$)3en. The NLRC $n a**ea# a%%ir3e+ he La'$r Ar'iers +ecisi$n '& re+&ce+ he awar+ $ $n#) >Sf,((.(( $r is *es$ e&iva#en a he i3e $% *a)3en. The CA #i
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As a*#) %$&n+ ') he NLRC an+ &s#) s&saine+ ') he CA, Per$c$n eFercise+ is *rer$gaive $ rerench is e3*#$)ees in g$$+ %aih an+ he c$nsi+era'#e re+&ci$n $% w$r< a##$3ens $% Per$c$n ') Sa&+i Ara3c$ was s&%%icien 'asis %$r Per$c$n $ re+&ce he n&3'er $% is *ers$nne#. As %$r he n$ice re&ire3en, h$wever, c$nrar) $ *eii$ners c$neni$n, *r$*er n$ice $ he 7:LE wihin ( +a)s *ri$r $ he inen+e+ +ae $% rerench3en is necessar) an+ 3&s 'e c$3*#ie+ wih +es*ie he %ac ha res*$n+en is an $verseas i#i*in$ w$r
acs The *eii$ners were reg&#ar e3*#$)ees $% he Phi#i**ine Ban
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As heir *$sii$ns were inc#&+e+ in he re+&n+anc) +ec#arai$n, he *eii$ners avai#e+ $% he SSP, signe+ acce*ance #eers an+ eFec&e+ &ic#ai3s in G#$'a#'an<s %av$r in c$nsi+erai$n $% heir recei* $% se*arai$n *a) e&iva#en $ 12( $% heir 3$nh#) sa#aries %$r ever) )ear $% service. S&'se&en#), he *eii$ners %i#e+ se*arae c$3*#ains %$r n$n5*a)3en $% se*arai$n *a) wih *ra)er %$r +a3ages an+ a$rne)s %ees 'e%$re he Nai$na# La'$r Re#ai$ns C$33issi$n =NLRC? The *eii$ners assere+ ha, &n+er he :#+ P#an, he) were eni#e+ $ an a++ii$na# 2( $% heir gra&i) *a) $n $* $% 12( $% $ne 3$nhs sa#ar) %$r ever) )ear $% service he) ha+ a#rea+) receive+. The) insise+ ha 1(( $% he 12( righ%&##) 'e#$ngs $ he3 as heir se*arai$n *a). Th&s, he re3aining 2( was $n#) ha#% $% he gra&i) *a) ha he) are eni#e+ $ &n+er he :#+ P#an. The *eii$ners %&rher arg&e+ ha he &ic#ai3s he) signe+ sh$&#+ n$ 'ar he3 %r$3 c#ai3ing heir %&## eni#e3en &n+er he #aw. The) a#s$ c#ai3e+ ha he) were +e%ra&+e+ in$ signing he sa3e wih$& %&##
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e3*#$)3en, $r %r$3 enering in$ agree3ens $n e3*#$)ee 'ene%is, s$ #$ng as he) +$ n$ vi$#ae he La'$r C$+e $r an) $her #aw, an+ are n$ c$nrar) $ 3$ra#s, g$$+ c&s$3s, *&'#ic $r+er, $r *&'#ic *$#ic). In he a'sence $% *r$$% ha an) $% he vices $% c$nsen are *resen, he *eii$ners acce*ance #eers an+ &ic#ai3s are va#i+ h&s, 'arring he3 %r$3 c#ai3ing a++ii$na# se*arai$n *a). The C$&r, in $her cases, has &*he#+ &ic#ai3s i% %$&n+ $ c$3*#) wih he %$##$wing re&isies =1? he e3*#$)ee eFec&es a +ee+ $% &ic#ai3 v$#&nari#) =!? here is n$ %ra&+ $r +ecei $n he *ar $% an) $% he *aries =? he c$nsi+erai$n $% he &ic#ai3 is cre+i'#e an+ reas$na'#e an+ =? he c$nrac is n$ c$nrar) $ #aw, *&'#ic $r+er, *&'#ic *$#ic), 3$ra#s $r g$$+ c&s$3s $r *re&+icia# $ a hir+ *ers$n wih a righ rec$gni4e+ ') #aw. We h$#+ ha Mer$'an< cann$ 'e he#+ #ia'#e %$r he *eii$ners c#ai3s.

acs Peii$ner Rea#+a was +is3isse+ ') Res*$n+en New Age Gra*hics Inc. %$r &n&si%ie+ re%&sa# $ ren+er $veri3e w$r<, &neF*#aine+ %ai#&re $ $'serve *rescri'e+ w$r< san+ar+s, ha'i&a# ar+iness an+ chr$nic a'seneeis3 +es*ie warning an+ n$n5c$3*#iance wih he +irecive %$r hi3 $ eF*#ain his n&3er$&s &na&h$ri4e+ a'sences. The C$&r $% A**ea#s rec$gni4e+ he eFisence $% &s ca&ses %$r *eii$ners +is3issa#, h$wever, he a**e##ae c$&r %$&n+ ha he res*$n+en %ai#e+ $ $'serve he *r$ce+&ra# re&ire3ens $% +&e *r$cess an+, as a c$nse&ence, awar+e+ he *eii$ner P2,(((.(( as N$3ina# 7a3ages. Iss&es W$N he +is3issa# 'ase+ $n he gr$&n+s cie+ c$nsi&e+ &s ca&ses an+ W$N he a3$&n awar+e+ as N$3ina# 7a3ages $% P2,(((.(( was va#i+ R&#ing irs , he *eii$ners ar'irar) +e%iance $ Gra*hics, Inc.s $r+er %$r hi3 $ ren+er $veri3e w$r< c$nsi&es wi##%&# +is$'e+ience. Ta
c$n&nci$n wih his inc#inai$n $ a'sen hi3se#% an+ $ re*$r #ae %$r w$r< +es*ie 'eing *revi$&s#) *ena#i4e+, he CA c$rrec#) r&#e+ ha he *eii$ner is in+ee+ &er#) +e%ian $% he #aw%&# $r+ers an+ he reas$na'#e w$r< san+ar+s *rescri'e+ ') his e3*#$)er. Sec$n+ , he *eii$ners %ai#&re $ $'serve Gra*hics, Inc.s w$r< san+ar+s c$nsi&es ine%%icienc) ha is a va#i+ ca&se %$r +is3issa#. ai#&re $

$'serve *rescri'e+ san+ar+s $% w$r<, $r $ %&#%i## reas$na'#e w$r< assign3ens +&e $ ine%%icienc) 3a) c$nsi&e &s ca&se %$r +is3issa#. S&ch ine%%icienc) is &n+ers$$+ $ 3ean %ai#&re $ aain w$r< g$a#s $r w$r< &$as, eiher ') %ai#ing $ c$3*#ee he sa3e wihin he a##$e+ reas$na'#e *eri$+, $r ') *r$+&cing &nsais%ac$r) res&#s. As he $*era$r $% Gra*hics, Inc.s *riner, he is 3an+ae+ $ chec< wheher he c$#$rs ha w$&#+ 'e *rine+ are in acc$r+ance wih he c#iens s*eci%icai$ns an+ %$r hi3 $ +$ s$, he 3&s c$ns&# he Genera# Manager an+ he c$#$r g&i+e &se+ ') Gra*hics, Inc. 'e%$re 3an%$r&nae#), he %ai#e+ $ $'serve his si3*#e *r$ce+&re an+ *r$cee+e+ $ *rin wih$& 3a
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acs Peii$ners were %$r3er +rivers $% he res*$n+en ings*$in EF*ress, a s$#e *r$*rie$rshi* &n+er he na3e $% C$ which is engage+ in he '&siness $% rans*$ring g$$+s. The) were +is3isse+ %r$3 service $n 6an&ar) !(, !((- $n he gr$&n+s $% seri$&s 3isc$n+&c, +ish$nes), #$ss $% r&s an+ c$n%i+ence an+ c$33issi$n $% acs ini3ica# $ he ineres $% ings*$in EF*ress. ings*$in EF*ress iss&e+ se*arae n$ices $ eF*#ain $ he in+ivi+&a# *eii$ners $n 6an&ar) 1-, !((- he charges $% +ish$nes), seri$&s 3isc$n+&c an+ #$ss $% c$n%i+ence ') %i#ing wih he NLRC %a#se, 3a#ici$&s an+ %a'ricae+ cases agains he c$3*an), an+ heir a##ege+#) &nwarrane+ re%&sa# $ &n+erg$ +r&g esing. The) were re&ire+ $ s&'3i heir answer $ he charges wihin %$r)5eigh =? h$&rs %r$3 recei* $% he n$ices wih a warning ha %ai#&re $ +$ s$ w$&#+ 3ean waiver $% heir answer. The) were a#s$ *#ace+ &n+er *revenive s&s*ensi$n in he 3eani3e. Peii$ners %ai#e+ $ s&'3i heir wrien eF*#anai$n wihin he sae+ *eri$+. S&'se&en#), ings*$in EF*ress iss&e+ $ he3 se*arae )e &ni%$r3#) w$r+e+ n$ices $n 6an&ar) !(, !((-, in%$r3ing he3 $% heir +is3issa# %$r he a'$ve3eni$ne+ charges 'ase+ $n he %$##$wing acs %a'ricai$n $% 'ase#ess 3$ne) c#ai3s agains he c$3*an), 3is#ea+ing %e##$w c$5w$r
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Th&s, even i% ings*$in EF*ress +e%ecive ae3* $ c$3*#) wih *r$ce+&ra# +&e *r$cess +$es n$ negae he eFisence $% a &s ca&se %$r heir +is3issa#, ings*$in EF*ress is si## #ia'#e $ in+e3ni%) he +is3isse+ e3*#$)ees, wih he eFce*i$n $% Pan&e#$s, 7i4$n an+ 7i3a'a)a$, wh$ +i+ n$ a**ea# he +is3issa# $% heir c$3*#ains, wih n$3ina# +a3ages in he a3$&n $% P(,(((.((.

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acs Peii$ner is he e3*#$)er $% *rivae res*$n+ens G$n4a#es, A'esa an+ Anini*$. The hree are assigne+ as aen+ans in vari$&s %ir3s where he *r$+&cs $% Ca#i%$rnia Mar
acs e+eri$ B. Pi+$ was e3*#$)e+ ') Cher&'i3 Sec&ri) an+ Genera# Services, Inc. as a sec&ri) g&ar+. He was assigne+ a he A)a#a M&se&3, '& was #aer rans%erre+ $ he T$wer an+ EFchange P#a4a $% A)a#a Cener where he w$r

Peii$ner was #aer $ c#ai3 ha he was s&s*en+e+ ') res*$n+en %$##$wing his arg&3en wih A#canara. As 3$re han nine 3$nhs ha+ e#a*se+ since he invesigai$n was c$n+&ce+ ') res*$n+en wih n$ caeg$rica# %in+ings here$n 3a+e, *eii$ner %i#e+ $n :c$'er !, !((( a c$3*#ain %$r i##ega# c$nsr&cive +is3issa#, i##ega# s&s*ensi$n, an+ n$n5*a)3en an+ &n+er*a)3en $% sa#aries, h$#i+a) *a), res +a), service incenive #eave, 1h 3$nh *a), 3ea# an+ rave# a##$wance an+ nigh s hi% +i%%erenia# agains res*$n+en, a#$ng wih is e3*#$)ee R$sari$ . Ba#ais wh$ was a##ege+#) res*$nsi'#e %$r r&nning he +a) $ +a) a%%airs $% res*$n+ens '&siness. Peii$ner #i
acs

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:n A*ri# !, 199, Mega%$rce hire+ Laca$ as a sec&ri) g&ar+. He was +eai#e+ a Mervi##e Par< S&'+ivisi$n in Para_a&e Ci). :n A*ri# , !(((, he %i#e+ wih he Ar'irai$n Branch $% he NLRC a c$3*#ain agains Mega%$rce %$r &n+er*a)3en $% wages, n$n5*a)3en $% $veri3e *a), service incenive #eave *a) an+ 1h 3$nh *a). :n Ma) , !(((, Laca$ was reassigne+ $ ABB In+&sr), Inc. in S&ca, Para_a&e Ci) '& wasa reca##e+ ') Mega%$rce +irecing hi3 $ re*$r $ he Hea+&arers %$r *r$*er +is*$sii$n an+ new assign3en. When Laca$ re*$re+ $ he Hea+&arers '& he was n$ given a new assign3en. Be#ieving he was er3inae+, Laca$ a3en+e+ his c$3*#ain $n 6&ne ", !((( $ $ne %$r i##ega# +is3issa# wih *ra)er %$r reinsae3en wih he sa3e *ra)er %$r &n+er*a)3en $% wages, n$n5*a)3en $% $veri3e *a), service incenive #eave *a) an+ 1h 3$nh *a), *#&s 3$ra# an+ eFe3*#ar) +a3ages an+ a$rne)s %ees. Laca$ c#ai3s ha in rea#iai$n $ his %i#ing $% he c$3*#ain Mega%$rce c$nsr&cive#) +is3isse+ hi3 ') re#ieving hi3 %r$3 his *$s an+ n$ giving hi3 a new assign3en. In is P$sii$n Pa*er , Mega%$rce +enie+ he i##ega# +is3issa# charge. The La'$r Ar'ier +is3isse+ he c$3*#ain %$r #ac< $% 3eri. :n a**ea#, he NLRC se asi+e he LAs +ecisi$n, r&#ing ha Laca$ was c$nsr&cive#) +is3isse+. Hence, he *resen *eii$n. Iss&e WHETHER :R N:T LACTA: WAS C:NSTR>CTI8EL@ 7ISMISSE7 MAING THE 7ISMISSAL ILLEGAL. R&#ing Mega%$rce c$nen+s ha i is n$ g&i#) $% i##ega# +is3issa# 'eca&se Laca$ was 3ere#) reca##e+ %r$3 his *$s an+ he %ai#&re $ give hi3 a new assign3en wihin seven +a)s %r$3 his reca## is n$ c$nsr&cive +is3issa# 'eca&se a sec&ri) g&ar+ 3a) 'e *#ace+ $n %#$aing sa&s %$r a *eri$+ n$ eFcee+ing siF 3$nhs &n+er *revai#ing &ris*r&+ence Laca$ never re*$re+ 'ac< %$r reassign3en an+ his re%&sa# $ re*$r 'ac< $ w$r< sh$&#+ n$ 'e an+er Aric#e !"9 $% he La'$r C$+e, as a3en+e+, an e3*#$)ee wh$ is &n&s#) +is3isse+ %r$3 w$r< sha## 'e eni#e+ $ reinsae3en wih$& #$ss $% seni$ri) righs an+ $her *rivi#eges $ his %&## 'ac
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acs 7e*ar3en $% Envir$n3en an+ Na&ra# Res$&rces = 7ENR ? $r+ere+ he in+e%inie s&s*ensi$n $% MARC:PPERs $*erai$ns %$r ca&sing +a3age $ he envir$n3en $% he Pr$vince $% Marin+&&e ') s*i##ing he c$3*an)s 3ine wase $r ai#ings %r$3 an $#+ &n+ergr$&n+ i3*$&n+ing area in$ he B$ac River, in vi$#ai$n $% is Envir$n3ena# C$3*#iance Ceri%icae. NAMAW> was he eFc#&sive 'argaining re*resenaive $% he ran<5an+5%i#e w$r c#ai3e+ ha +&e $ he in+e%inie s&s*ensi$n $% MARC:PPERs $*erai$ns, is 3e3'ers were n$ *ai+ he wages +&e he3 %$r siF 3$nhs =%r$3 A*ri# 1!, 199- $ :c$'er 1!, 199-?. I %&rher c#ai3e+ ha is 3e3'ers are a#s$ eni#e+ $ 'e *ai+ heir se*arai$n *a) *&rs&an $ heir c$##ecive 'argaining agree3en wih MARC:PPER. MARC:PPER +enie+ #ia'i#i), c$nen+ing ha NAMAW> ha+ n$ 'een a&h$ri4e+ ') he in+ivi+&a# e3*#$)ees 5 he rea# *aries5in5ineres 5 $ %i#e he c$3*#ain an+ ha he c$3*#ain sh$&#+ 'e +is3isse+ %$r #ac< $% ceri%icai$n $% n$n5%$r&3 sh$**ing, %$r he *en+enc) $% an$her aci$n 'eween he sa3e *aries, an+ %$r #ac< $% %ac&a# an+ #ega# 'asis. La'$r Ar'ier Pe+r$ C. Ra3$s r&#e+ in NAMAW>s %av$r. MARC:PPER a**ea#e+ he +ecisi$n $ he NLRC. In his a**ea#, i a#s$ 3$ve+ ha i 'e a##$we+ n$ $ *$s an a**ea# '$n+ %$r -12 NAMAW> 3e3'ers 5 %$r3er MARC:PPER e3*#$)ees wh$ ha+ 'een +is3isse+ e%%ecive March ", 1992 +&e $ an ear#ier i##ega# sri 3e3'ers c$vere+ ') he La'$r Ar'iers awar+ $ 'e &si%ie+ since heir e3*#$)3en ha+ 'een er3inae+ as ear#) as March ", 1992, i.e., *ri$r $ he s&s*ensi$n $% $*erai$ns %$r which wages an+ se*arai$n *a) were 'eing c#ai3e+. The CAs +enia# $% NAMAW>s 3$i$n %$r he rec$nsi+erai$n $% he CAs :c$'er 1, !(( +ecisi$n. Iss&eS 1. W:N here is necessi) %$r he %i#ing $% an a**ea# '$n+ c$nsi+ering ha he e3*#$)3en $% *eii$ner NAMAW>s 3e3'ers was er3inae+ even 'e%$re he iss&ance ') he 7ENR $% is $r+er $n A*ri# 1, 199-. !. W:N he e3*#$)ees are eni#e+ $ heir wages +&e he3 %$r siF 3$nhs W:N he) are eni#e+ $ se*arai$n *a) R&#ing :n he irs Iss&e The e3*#$)3en $% he NAMAW> $%%icers an+ 3e3'ers ha+ 'een +ec#are+ er3inae+ $n March ", 1992 as a res&# $% heir %ai#&re $ re&rn $ w$r< a%er heir sri 3e3'ers wh$ were n$ #$nger c$3*an) e3*#$)ees. The CA +ecisi$n +ecreeing he er3inai$n $% e3*#$)3en $% h$se inv$#ve+ in he i##ega# sri 3e3'ers, he er3inai$n $% e3*#$)3en $% hese NAMAW> 3e3'ers was a#rea+) a se#e+ 3aer ha he NLRC was in n$ *$sii$n $ +isregar+. In his #igh, he CA was c$rrec in reversing he +is3issa# $% MARC:PPERs a**ea# %$r %ai#&re $ %i#e an a**ea# '$n+. P&rs&e+ $ is #$gica# en+, he CA c$nc#&si$ns sh$&#+ #ea+ $ he +is3issa# $% NAMAW>s c$3*#ain wih res*ec $ is -12 *revi$&s#) +is3isse+ 3e3'ers. :n he Sec$n+ Iss&e The s&s*ensi$n $% MARC:PPERs $*erai$ns was +ecree+ in an EF5Pare :r+er +ae+ A*ri# 1, 199- iss&e+ ') he P$##&i$n A+&+icai$n B$ar+ $% he 7ENR. Se*arae#) %r$3 his :r+er, he 7ENR Secrear) $r+ere+ $n 6&ne !1, 199- he cance##ai$n $% MARC:PPERs ECC wih$& which MARC:PPER c$&#+ n$ c$nin&e $ &n+era
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$% $*erai$ns 'e%$re he services $% he hree e3*#$)ees were +ee3e+ er3inae+. In La'$r C$+e er3s, he cance##ai$n $% he ECC $n 6&ne !1, 199- a3$&ne+ $ a c$3*an) c#$s&re g$verne+ ') Aric#e ! $% he La'$r C$+e 5 he *r$visi$n ha g$verns he re#ai$nshi* $% e3*#$)ers an+ e3*#$)ees in c#$s&re si&ai$ns. Whi#e he 3ine ai#ing #ea *r$vi+e %$r he c$nse&ences $% a s&s*ensi$n $% $*erai$n +&e $ envir$n3ena# ca&ses. >n+er he circ&3sances, we can $n#) c$nc#&+e ha he genera# n$ w$r<, n$ *a) r&#e sh$&#+ *revai# wih res*ec $ e3*#$)ees wages +&ring he s&s*ensi$n *eri$+, s&'ec $ eFising CBA er3s $n #eave cre+is an+ si3i#ar 'ene%is $% e3*#$)ees .

Beca&se he iniia# s&s*ensi$n $% $*erai$ns ha he 7ENR i3*$se+ even&a##) &rne+ in$ an inv$#&nar) c#$s&re as +isc&sse+ a'$ve, Aric#e ! $% he La'$r C$+e c$3es in$ *#a) eni#ing he hree re3aining e3*#$)ees he *a)3en $% se*arai$n *a) c$3*&e+ &n+er he er3s $% ha Aric#e. The er3inai$n $% e3*#$)3en +ae, %$r se*arai$n *a) *&r*$ses, sh$&#+ 'e c$3*&e+ %r$3 6&ne !1, 199- an+ n$ %r$3 :c$'er 1!, 199- =$r siF 3$nhs %r$3 he A*ri# 1!, 199- s&s*ensi$n $% $*erai$n +ae? 6&ne !1, 199- 3&s 'e he c#$s&re +ae as i is %r$3 his +ae ha MARC:PPER, ') #aw, cease+ $ have an) a&h$ri) $ c$n+&c is 3ining $*erai$ns. In he a'sence $% an) sh$wing ha NAMAW> c$&#+ re*resen $her si3i#ar#) si&ae+ e3*#$)ees wh$ are n$ is 3e3'ers, we cann$ c$nsi+er hese $her e3*#$)ees =wh$se circ&3sances have never 'een +isc&sse+ an+ wh$ a## re3ain &nna3e+? $ 'e c$vere+ ') he er3s $% his 7ecisi$n.

acs Miran+$, wh$ was hire+ ') Eag#e Sar Sec&ri) Services, Inc. as a sec&ri) g&ar+ $n 6&#) !9, 199", was *$se+ a he Her$es Hi## Branch $% E&ia'#e5PCI Ban< =n$w Banc$ +e :r$5EPCI Ban
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RES:L8E7 %&rher as i is here') res$#ve+ ha Mr. RE@NAL7: G. TA>R:, sha## 'e a**$ine+ as a&h$ri4e+ re*resenaive $% he C$r*$rai$n, $ re*resen an+ sign in 'eha#% $% he c$r*$rai$n he 8eri%icai$n an+ Ceri%icai$n $% he *eii$n %$r a%$re53eni$ne+ case. C#ear#), i was a+$*e+ %$r he *&r*$se $% a&h$ri4ing Ta&r$ $ %i#e *eii$ners *eii$n %$r Ceri$rari 'e%$re he C$&r $% A**ea#s. 7es*ie *eii$ners awareness in is Re*#) $ res*$n+ens C$33en %i#e+ 'e%$re his C$&r $% he +e%ec in Ta&r$ a&h$ri) $ sign %$r an+ in is 'eha#% he 8eri%icai$n an+ Ceri%icai$n agains N$n5$r&3 Sh$**ing, i %ai#e+ even $ 'e#ae+#) %i#e he re&isie a&h$ri). &ene'e##a an+ R$##ing Hi##s Me3$ria# Par< v. Casr$,$n he re&ire3en $% a ceri%icai$n agains %$r&3 sh$**ing, eF*#ains The reas$n %$r his is ha he *rinci*a# *ar) has ac&a#
acs In his case, *eii$ner an+ res*$n+en *resene+ w$ +i%%eren si+es $% he s$r). RESP:N7ENT 8AL7ERAMAS SI7E : THE ST:R@

PETITI:NERS SI7E : THE ST:R@

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8a#+era3a was hire+ ') *eii$ner as sec&ri) g&ar+ a he Phi#i**ine Hear Cener. A%er he was re#ive+ %r$3 his $', n$ %&rher assign3en was given $ hi3. Th&s, he %i#e+ a c$3*#ain %$r c$nsr&cive +is3issa# an+ n$n*a)3en $% 1h 3$nh *a), wih *ra)er %$r +a3ages agains *eii$ner.

8a#+era3a was n$ c$nsr&cive#) $r i##ega##) +is3isse+, '& ha+ v$#&nari#) resigne+. Res*$n+en vi$#a e+ sec&ri) r&#es $% he w$r< *#ace. &rher3$re, he was charge+ wih c$n+&c &n'ec$3ing which he was re&ire+ $ eF*#ain. $r his, he was s&s*en+e+ %$r " +a)s. Res*$n+en +is*#a)e+ his +isc$&re$&s an+ r&+e ai&+e &*$n his s&*eri$r. He sai+ $ hi3 in a high *ich an$ 'a sir, *ers$na#an 'a i$, sa'ihin 3$ #ang <&ng an$ g&s$ 3$. Peii$ner re&ire+ hi3 $ eF*#ain wh) n$ +isci*#inar) aci$n s h$&#+ 'e 3ee+ agains hi3. Seven sec&ri) g&ar+s, inc#&+ing 8a#+era3a were 3a+e $ eF*#ain heir %ai#&re $ re*$r %$r +&) wih$& in%$r3ing he $%%ice +es*ie he insr&ci$n +&ring heir %$r3ai$n +a) which was he#+ a +a) 'e%$re. 7each3en C$33an+er, R$) 7ai#es, re*$re+ ha 8a#+era3a c$n%r$ne+ an+ cha##enge+ hi3 in a high *ich an+ $n $* $% his v$ice r&+e#) sh$wing +isc$&res) an+ r&+eness. Being his s&*eri$r, 7ai#es rec$33en+e+ he re#ie% $% 8a#+era3a. B) $r+er $% he :*erai$ns Manager, he was re#ieve+ %r$3 his *$s a he Phi#i**ine Hear Cener. He was hen +irece+ $ re*$r $ he $%%ice where he g$ his cash '$n+ an+ %irear3 +e*$si. 7es*ie his v$#&nar) resignai$n, *eii$ner sen hi3 a #eer hr$&gh regisere+ 3ai# $ re*$r %$r he $%%ice an+ give in%$r3ai$n $n wheher $r n$ he was si## inerese+ %$r re*$r %$r +&) $r n$. 8a#+era3a +i+ n$ '$her $ re*#). Neiher +i+ he re*$r $ he $%%ice.

The La'$r Ar'ier ren+ere+ a +ecisi$n sa)ing ha 8a#+era3a was c$nsr&cive#) +is3isse+. I sai+ ha he *eii$ners +e%ense is &ns&'saniae+. :n a**ea#, he NLRC 3$+i%ie+ he LA +ecisi$n. I +ec#are+ ha res*$n+en was neiher c$nsr&cive#) er3inae+ n$r +i+ he v$#&nari#) resign. As s&ch, res*$n+en re3aine+ an e3*#$)ee $% *eii$ner. The NLRC h&s $r+ere+ res*$n+en $ i33e+iae#) re*$r $ *eii$ner an+ ass&3e his +&). Res*$n+en wen $ he CA via ceri$rari. CA ren+ere+ a 7ecisi$n seing asi+e he res$#&i$ns $% he NLRC an+ reinsaing ha $% he LA. In gis, he CA s&saine+ res*$n+ens c#ai3 $% c$nsr&cive +is3issa#. Iss&e Wheher $r n$ he res*$n+en was c$nsr&cive#) +is3isse+ R&#ing In cases inv$#ving sec&ri) g&ar+s, a re#ie% an+ rans%er $r+er in ise#% +$es n$ sever e3*#$)3en re#ai$nshi* 'eween a sec&ri) g&ar+ an+ his agenc). An e3*#$)ee has he righ $ sec&ri) $% en&re, '& his +$es n$ give hi3 a vese+ righ $ his *$sii$n as w$&#+ +e*rive he c$3*an) $% is *rer$gaive $ change his assign3en $r rans%er hi3 where his service, as sec&ri) g&ar+, wi## 'e 3$s 'ene%icia# $ he c#ien. Te3*$rar) $%%5 +eai# $r he *eri$+ $% i3e sec&ri) g&ar+s are 3a+e $ wai &ni# he) are rans%erre+ $r assigne+ $ a new *$s $r c#ien +$es n$ c$nsi&e c$nsr&cive +is3issa#, s$ #$ng as s&ch sa&s +$es n$ c$nin&e 'e)$n+ siF 3$nhs. The $n&s $% *r$ving ha here is n$ *$s avai#a'#e $ which he sec&ri) g&ar+ can 'e assigne+ ress $n he e3*#$)er. When a sec&ri) g&ar+ is *#ace+ $n a %#$aing sa&s, he +$es n$ receive an) sa#ar) $r %inancia# 'ene%i *r$vi+e+ ') #aw. 7&e $ he gri3 ec$n$3ic c$nse&ences $ he e3*#$)ee, he e3*#$)er sh$&#+ 'ear he '&r+en $% *r$ving ha here are n$ *$ss avai#a'#e $ which he e3*#$)ee e3*$rari#) $& $% w$r< can 'e assigne+. Peii$ner c#ai3s ha res*$n+en a'an+$ne+ his $'. The &ris*r&+enia# r&#e $n a'an+$n3en is c$nsan. I is a 3aer $% ineni$n an+ cann$ #igh#) 'e *res&3e+ %r$3 cerain e&iv$ca# acs. T$ c$nsi&e a'an+$n3en, w$ e#e3ens 3&s c$nc&r =1? The %ai#&re $ re*$r %$r w$r< $r a'sence wih$& va#i+ $r &si%ia'#e reas$n =!? A c#ear inen, 3ani%ese+ hr$&gh $ver acs, $ sever he e3*#$)er5e3*#$)ee re#ai$nshi*. In his case, *eii$ner %ai#e+ $ esa'#ish c#ear evi+ence $% res*$n+ens ineni$n $ a'an+$n his e3*#$)3en. EFce* %$r *eii$ners 'are asseri$n ha res*$n+en +i+ n$ re*$r $ he $%%ice %$r reassign3en, n$ *r$$% was $%%ere+ $ *r$ve ha res*$n+en inen+e+ $ sever he e3*#$)er5e3*#$)ee re#ai$nshi*. Besi+es, he %ac ha res*$n+en %i#e+ he insan c$3*#ain negaes an) ineni$n $n his *ar $ %$rsa
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Si3i#ar#), we cann$ acce* *eii$ners arg&3en ha res*$n+en v$#&nari#) resigne+. Resignai$n is he v$#&nar) ac $% an e3*#$)ee wh$ is in a si&ai$n where $ne 'e#ieves ha *ers$na# reas$ns cann$ 'e sacri%ice+ in %av$r $% he eFigenc) $% he service, an+ $ne has n$ $her ch$ice '& $ +iss$ciae $nese#% %r$3 e3*#$)3en. I is a %$r3a# *r$n$&nce3en $r re#in&ish3en $% an $%%ice, wih he ineni$n $% re#in&ishing he $%%ice acc$3*anie+ ') he ac $% re#in&ish3en. As he inen $ re#in&ish 3&s c$nc&r wih he $ver ac $% re#in&ish3en, he acs $% he e3*#$)ee 'e%$re an+ a%er he a##ege+ resignai$n 3&s 'e c$nsi+ere+ in +eer3ining wheher, he $r she, in %ac, inen+e+ $ sever his $r her e3*#$)3en. In his case, *eii$ner was %ir3 in assering ha res*$n+en v$#&nari#) resigne+. :++#), i %ai#e+ $ *resen he a##ege+ resignai$n #eer $% res*$n+en. 6&ris*r&+ence is rie wih *r$n$&nce3ens ha he e3*$rar) inacivi) $r %#$aing sa&s $% sec&ri) g&ar+s sh$&#+ c$nin&e $n#) %$r siF 3$nhs. :herwise, he sec&ri) agenc) c$ncerne+ c$&#+ 'e #ia'#e %$r c$nsr&cive +is3issa#./!0 The %ai#&re $% *eii$ner $ give res*$n+en a w$r< assign3en 'e)$n+ he reas$na'#e siF53$nh *eri$+ 3an+er Aric#e !"9 $% he La'$r C$+e, an e3*#$)ee wh$ is &n&s#) +is3isse+ %r$3 w$r< sha## 'e eni#e+ $ reinsae3en wih$& #$ss $% seni$ri) righs an+ $her *rivi#eges $ his %&## 'ac
acs Peii$ner, $rigina##) engage+ in he '&siness $% *r$vi+ing '&i#+ing 3ainenance r$3 is $rigina# ven&re+ in$ '&i#+ing 3anage3en an+ gaine+ Ba) Gar+ens C$n+$3ini&3 Pr$ec =he Pr$ec? $% he Ba) Gar+ens C$n+$3ini&3 C$r*$rai$n =BGCC? as is %irs an+ $n#) '&i#+ing 3ainenance c#ien. In his regar+, *eii$ner hire+ res*$n+en Maiah Ange#a Le)nes $n !- March !((1 %$r he *$sii$n $% Pr$*er) Manager, wih a sa#ar) $% P(,(((.(( *er 3$nh. Her res*$nsi'i#iies inc#&+e s&rve)ing he re&ire3ens $% he g$vern3en an+ he c#ien %$r sai+ *r$ec, he %$r3&#ai$n $% h$&se r&#es an+ reg&#ai$ns, he *re*arai$n $% he ann&a# $*eraing an+ ca*ia# eF*en+i&re '&+ge, hiring an+ +e*#$)3en $% 3an*$wer, sa#ar) an+ *$sii$n +eer3inai$n as we## as he assign3en $% he sche+&#es an+ res*$nsi'i#iies $% e3*#$)ees. Le)nes ha+ a 3is&n+ersan+ing wih he '&i#+ing engineer $% he *r$ec =Can&'a? an+ 'arre+ he #aers enr) $ he sie. The Engr. a#s$ acc&se+ he %$r3er $% c$ncei, *ri+e an+ *$$r 3anageria# s
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The rec$r+, 3$re$ver, sh$ws ha NHPI si3*#) *#ace+ her $n %#$aing sa&s &ni# s&ch i3e ha an$her *r$ec c$&#+ 'e sec&re+ %$r her. Tra+ii$na##) inv$
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acs Privae res*$n+en 6ai3e Sah$ has 'een w$r*$n he a+vice $% SBT Tr&c
acs S$3ei3e in 7ece3'er 1999, R$3&a#+$ Pa)$ng, 6r., was c$3*#aining $% e)esigh *r$'#e3s. He was 'r$&gh $ an e)e s*ecia#is ') *rivae res*$n+en Man#) EF*ress, Inc. an+$r Si) Eng T. Ching, he was +iagn$se+ $ 'e s&%%ering %r$3 e)e caarac. 7es*ie having he caarac

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re3$ve+ in 6an&ar) $% !(((, he was +isa##$we+ $ re&rn $ his w$r< ') Ching. M&ch #aer, $n A&g&s 1, !(((, he was given a #eer $% er3inai$n $% e3*#$)3en. Th&s, a c$3*#ain %$r i##ega# +is3issa# wih 3$ne) c#ai3s was %i#e+ agains Man#). Iss&e Wheher $r n$ he +is3issa# $n he gr$&n+ $% +isease was va#i+. R&#ing In $r+er $ va#i+#) er3inae e3*#$)3en $n his gr$&n+, Seci$n , R&#e I, B$$< 8I $% he :3ni'&s R&#es I3*#e3ening he La'$r C$+e re&ires Sec. . 7isease as a gr$&n+ %$r +is3issa#. O Where he e3*#$)ee s&%%ers %r$3 a +isease an+ his c$nin&e+ e3*#$)3en is *r$hi'ie+ ') #aw $r *re&+icia# $ his hea#h $r $ he hea#h $% his c$5e3*#$)ees, he e3*#$)er sha## n$ er3inae his e3*#$)3en &n#ess here is a ceri%icai$n ') a c$3*een *&'#ic hea#h a&h$ri) ha he +isease is $% s&ch na&re $r a s&ch a sage ha i cann$ 'e c&re+ wihin a *eri$+ $% siF =-? 3$nhs even wih *r$*er 3e+ica# rea3en. I% he +isease $r ai#3en can 'e c&re+ wihin he *eri$+, he e3*#$)er sha## n$ er3inae he e3*#$)ee '& sha## as< he e3*#$)ee $ a
acs Peii$ner was hire+ as r&c<rai#er +river ') res*$n+en ingsw$$+ Tra+ing C$3*an), Inc. =TC? $% which c$5res*$n+en i#e3$n Li3 is he Presi+en. Peii$ner was $n he -(( a.3. O -(( *.3. shi%. He average+ !1 ri*s *er 3$nh, geing P"(( *er ri*. When n$ +riving, *eii$ner was assigne+ $ c#ean an+ 3ainain res*$n+en TCs e&i*3en an+ vehic#es %$r which he was *ai+ P1!2 *er +a). Reg&#ar#), *eii$ner w$&#+ 'e sec$n+e+ ') res*$n+en i#e3$n Li3 $ +rive %$r $ne $% TCs c#iens, he Phi#i**ine Nai$na# :i# C$r*$rai$n, '& a#wa)s s&'ec $ res*$n+ens c$nvenience. :n N$ve3'er , 199, *eii$ner ha+ his %irs hear aac< an+ was c$n%ine+ %$r w$ wee*$n re#ease, he sa)e+ h$3e an+ s*en i3e $ rec&*erae. Peii$ner ae3*e+ $ re*$r 'ac< $ w$r< '& was $#+ $ #$$< %$r an$her $' 'eca&se he was &n%i. Res*$n+ens re%&se+ $ +ec#are *eii$ner %i $ w$r< &n#ess *h)sica##) eFa3ine+ ') he c$3*an) *h)sician. Res*$n+ens *r$3ise $ *a) *eii$ner his se*arai$n *a) &rne+ $& $ 'e an e3*) $ne. Insea+, *eii$ner was *resene+, %$r his signa&re, a +$c&3en as *r$$% $% his recei* $% he a3$&n $% P1,"2.(( as %irs insa##3en $% his S$cia# Sec&ri) S)se3 =SSS? 'ene%is. Having receive+ n$ s&ch a3$&n, *eii$ner re%&se+ $ a%%iF his signa&re here$n an+

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insea+ re&ese+ %$r he necessar) +$c&3ens %r$3 res*$n+ens $ ena'#e hi3 $ c#ai3 his SSS 'ene%is, '& he #aer +i+ n$ hee+ his re&es. R&#ing The #aw is &ne&iv$ca# he e3*#$)er, 'e%$re i can #ega##) +is3iss is e3*#$)ee $n he gr$&n+ $% +isease, 3&s a++&ce a ceri%icai$n %r$3 a c$3*een *&'#ic a&h$ri) ha he +isease $% which is e3*#$)ee is s&%%ering is $% s&ch na&re $r a s&ch a sage ha i cann$ 'e c&re+ wihin a *eri$+ $% siF 3$nhs even wih *r$*er rea3en. Here, he rec$r+ +$es n$ c$nain he re&ire+ ceri%icai$n. An+ when he res*$n+ens as
acs Peii$ner a##ege+ ha in 6&ne 19-, he was e3*#$)e+ as a 3achine $*era$r ') Ri'$nee Man&%ac&ring C$3*an), an ener*rise engage+ in he '&siness $% 3an&%ac&ring an+ se##ing P8C *i*es an+ is $wne+ an+ 3anage+ ') herein res*$n+en @e$ Han G&an. :ver a *eri$+ $% a#3$s wen) =!(? )ears, he c$3*an) change+ is na3e %$&r i3es. Saring in 199 &* $ he i3e $% he %i#ing $% *eii$ners c$3*#ain in 1999, he c$3*an) was $*eraing &n+er he na3e $% @&hans Ener*rises. 7es*ie he changes in he c$3*an)s na3e, *eii$ner re3aine+ in he e3*#$) $% res*$n+en. Peii$ner %&rher a##ege+ ha $n :c$'er 2, 199, he g$ sic< an+ was c$n%ine+ in a h$s*ia# $n 7ece3'er 1!, 199, he re*$re+ %$r w$r< '& was n$ #$nger *er3ie+ $ g$ 'ac< 'eca&se $% his i##ness he as
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In c$ns$nance wih he a'$ve %in+ings, he C$&r %in+s ha *eii$ner was he $ne wh$ iniiae+ he severance $% his e3*#$)3en re#ai$ns wih res*$n+en. I is evi+en %r$3 he vari$&s *#ea+ings %i#e+ ') *eii$ner ha he never inen+e+ $ re&rn $ his e3*#$)3en wih res*$n+en $n he gr$&n+ ha his hea#h is %ai#ing. In+ee+, *eii$ner +i+ n$ as< %$r reinsae3en. In %ac, he reece+ res*$n+ens $%%er %$r hi3 $ re&rn $ w$r<. This is ana3$&n $ resignai$n. Resignai$n is +e%ine+ as he v$#&nar) ac $% an e3*#$)ee wh$ %in+s hi3se#% in a si&ai$n where he 'e#ieves ha *ers$na# reas$ns cann$ 'e sacri%ice+ in %av$r $% he eFigenc) $% he service an+ he has n$ $her ch$ice '& $ +isass$ciae hi3se#% %r$3 his e3*#$)3en. I 3a) n$ 'e a3iss $ *$in $& a his &nc&re ha asi+e %r$3 Aric#e ! $% he La'$r C$+e, he awar+ $% se*arai$n *a) is a#s$ a&h$ri4e+ in he si&ai$ns +ea# wih in Aric#e ! /1-0 $% he sa3e C$+e an+ &n+er Seci$n  ='?, R&#e I, B$$< 8I $% he I3*#e3ening R&#es an+ Reg&#ai$ns $% he sai+ C$+e /1"0 where here is i##ega# +is3issa# an+ reinsae3en is n$ #$nger %easi'#e. B) wa) $% eFce*i$n, his C$&r has a##$we+ grans $% se*arai$n *a) $ san+ as Ja 3eas&re $% s$cia# &siceK where he e3*#$)ee is va#i+#) +is3isse+ %$r ca&ses $her han seri$&s 3isc$n+&c $r h$se re%#ecing $n his 3$ra# characer ./10 H$wever, here is n$ *r$visi$n in he La'$r C$+e which grans se*arai$n *a) $ v$#&nari#) resigning e3*#$)ees. In %ac, he r&#e is ha an e3*#$)ee wh$ v$#&nari#) resigns %r$3 e3*#$)3en is n$ eni#e+ $ se*arai$n *a), eFce* when i is si*&#ae+ in he e3*#$)3en c$nrac $r CBA, $r i is sanci$ne+ ') esa'#ishe+ e3*#$)er *racice $r *$#ic). /190 In he *resen case, neiher he a'$ve3eni$ne+ *r$visi$ns $% he La'$r C$+e an+ is i3*#e3ening r&#es an+ reg&#ai$ns n$r he eFce*i$ns a**#) 'eca&se *eii$ner was n$ +is3isse+ %r$3 his e3*#$)3en an+ here is n$ evi+ence $ sh$w ha *a)3en $% se*arai$n *a) is si*&#ae+ in his e3*#$)3en c$nrac $r sanci$ne+ ') esa'#ishe+ *racice $r *$#ic) $% herein res*$n+en, his e3*#$)er. Since *eii$ner was n$ er3inae+ %r$3 his e3*#$)3en an+, insea+, is +ee3e+ $ have resigne+ here%r$3, he is n$ eni#e+ $ se*arai$n *a) &n+er he *r$visi$ns $% he La'$r C$+e. The %$reg$ing n$wihsan+ing, his C$&r, in a n&3'er $% cases, has grane+ %inancia# assisance $ se*arae+ e3*#$)ees as a 3eas&re $% s$cia# an+ c$3*assi$nae &sice an+ as an e&ia'#e c$ncessi$n. Ta
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acs Privae res*$n+en was hire+ ') *eii$ner in 19- as a '&s c$n+&c$r. He even&a##) $ine+ he Panranc$ E3*#$)ees Ass$ciai$n, PTGW:. He c$nin&e+ in *eii$ners e3*#$) &ni# A&g&s 1!, 199, when he was reire+ a he age $% 2! a%er having ren+ere+ wen) %ive )ears service. The 'asis $% his reire3en was he c$3*&#s$r) reire3en *r$visi$n $% he c$##ecive 'argaining agree3en 'eween he *eii$ner an+ he a%$rena3e+ &ni$n. Privae res*$n+en receive+ P9, ((.(( as reire3en *a). Privae res*$n+en %i#e+ a c$3*#ain %$r i##ega# +is3issa# agains *eii$ner wih he S&'5Regi$na# Ar'irai$n Branch $% he res*$n+en C$33issi$n in 7ag&*an Ci). The c$3*#ain was c$ns$#i+ae+ wih w$ $her cases $% i##ega# +is3issa# having si3i#ar %acs an+ iss&es, %i#e+ ') $her e3*#$)ees, n$n &ni$n 3e3'ers. Iss&e Is a C$##ecive Bargaining Agree3en *r$visi$n a##$wing c$3*&#s$r) reire3en 'e%$re age -( '& a%er wen) %ive )ears $% service #ega# an+ en%$rcea'#e Wh$ has &ris+ici$n $ver a case inv$#ving s&ch a &esi$n 55 he #a'$r ar'ier $r ar'ira$rs a&h$ri4e+ ') s&ch CBA R&#ing :n he %irs iss&e The '$ne $% c$neni$n in his case is he *r$visi$n $n c$3*&#s$r) reire3en a%er !2 )ears $% service. Aric#e I, Seci$n 1 =e? =2? $% he Ma) !, 199 C$##ecive Bargaining Agree3en 'eween *eii$ner c$3*an) an+ he &ni$n saes Seci$n 1. The C:MPAN@ sha## %$r3&#ae a reire3en *#an wih he %$##$wing 3ain %ea&res FFF FFF FFF =e? The C:MPAN@ agrees $ gran he reire3en 'ene%is herein *r$vi+e+ $ reg&#ar e3*#$)ees wh$ 3a) 'e se*arae+ %r$3 he C:MPAN@ %$r an) $% he %$##$wing reas$ns FFF FFF FFF >*$n reaching he age $% siF) =-(? )ears $r &*$n c$3*#eing wen)5%ive =!2? )ears $% service $ he C:MPAN@, whichever c$3es %irs, an+ he e3*#$)ee sha## 'e c$3*&#s$r) reire+ an+ *ai+ he reire3en 'ene%is herein *r$vi+e+. Ar. !" $% he La'$r C$+e as w$r+e+ *er3is e3*#$)ers an+ e3*#$)ees $ %iF he a**#ica'#e reire3en age a 'e#$w -( )ears. M$re$ver, *r$vi+ing %$r ear#) reire3en +$es n$ c$nsi&e +i3in&i$n $% 'ene%is. In a#3$s a## c$&nries $+a), ear#) reire3en, i.e., 'e%$re age -(, is c$nsi+ere+ a rewar+ %$r services ren+ere+ since i ena'#es an e3*#$)ee $ rea* he %r&is $% his #a'$r ] *aric&#ar#) reire3en 'ene%is, wheher #&3*5s&3 $r $herwise ] a an ear#ier age, when sai+ e3*#$)ee, in *res&3a'#) 'eer *h)sica# an+ 3ena# c$n+ii$n, can en$) he3 'eer an+ #$nger. As a 3aer $% %ac, $ne $% he a+vanages $% ear#) reire3en is ha he c$rres*$n+ing reire3en 'ene%is, &s&a##) c$nsising $% a s&'sania# cash win+%a##, can ear#) $n 'e *& $ *r$+&cive an+ *r$%ia'#e &ses ') wa) $% inc$3e5generaing inves3ens, here') a%%$r+ing a 3$re signi%ican 3eas&re $% %inancia# sec&ri) an+ in+e*en+ence %$r he reiree wh$, &* i## hen, ha+ $ c$nen+ wih #i%es vicissi&+es wihin he *ara3eers $% his %$rnigh#) $r wee<#) wages. Th&s we are n$w seeing 3an) CBAs wih s&ch ear#) reire3en *r$visi$ns. An+ he sa3e cann$ 'e c$nsi+ere+ a +i3in&i$n $% e3*#$)3en 'ene%is. I is a#s$ %&rher arg&e+ ha, 'eing a &ni$n 3e3'er, *rivae res*$n+en is '$&n+ ') he CBA 'eca&se is er3s an+ c$n+ii$ns c$nsi&e he #aw 'eween he *aries. The *aries are '$&n+ n$ $n#) $ he %&#%i##3en $% wha has 'een eF*ress#) si*&#ae+ '& a#s$ $ a## he c$nse&ences which acc$r+ing $ heir na&re, 3a) 'e in

Phi#i**ines which g$verns he re#ai$ns 'eween #a'$r an+ ca*ia#, =i? is n$ 3ere#) c$nrac&a# in na&re '& i3*resse+ wih *&'#ic ineres, h&s i 3&s )ie#+ $ he c$33$n g$$+. As s&ch, i 3&s 'e c$nsr&e+ #i'era##) raher han narr$w#) an+ echnica##), an+ he c$&rs 3&s *#ace a *racica# an+ rea#isic c$nsr&ci$n &*$n i, giving +&e c$nsi+erai$n $ he c$neF in which i is neg$iae+ an+ *&r*$se which i is inen+e+ $ serve. Being a *r$+&c $% neg$iai$n, he CBA 'eween he *eii$ner an+ he &ni$n inen+e+ he *r$visi$n $n c$3*&#s$r) reire3en $ 'e 'ene%icia# $ he e3*#$)ees5&ni$n 3e3'ers, inc#&+ing herein *rivae res*$n+en. When *rivae res*$n+en rai%ie+ he CBA wih he &ni$n, he n$ $n#) agree+ $ he CBA '& a#s$ agree+ $ c$n%$r3 $ an+ a'i+e ') is *r$visi$ns. Th&s, i cann$ 'e sai+ ha he was i##ega##) +is3isse+ when he CBA *r$visi$n $n c$3*&#s$r) reire3en was a**#ie+ $ his case. :n he sec$n+ iss&e In San)$ Phi#i**ines W$rni$n ] PSSL> vs. Ca_i4ares, a case cie+ ') he *eii$ner, his C$&r r&#e+ JF F F Hence, $n#) +is*&es inv$#ving he &ni$n an+ he c$3*an) sha## 'e re%erre+ $ he grievance 3achiner) $r v$#&nar) ar'ira$rs. In he insan case, '$h he &ni$n an+ he c$3*an) are &nie+ $r have c$3e $ an agree3en regar+ing he +is3issa# $% *rivae res*$n+ens. N$ grievance 'eween he3 eFiss which c$&#+ 'e 'r$&gh $ a grievance 3achiner). The *r$'#e3 $r +is*&e in he *resen case is 'eween he &ni$n an+ he c$3*an) $n he $ne han+ an+ s$3e &ni$n an+ n$n5&ni$n 3e3'ers wh$ were +is3isse+, $n he $her han+. The +is*&e has $ 'e se#e+ 'e%$re an i3*aria# '$+). The grievance 3achiner) wih 3e3'ers +esignae+ ') he &ni$n an+ he c$3*an) cann$ 'e eF*ece+ $ 'e i3*aria# agains he +is3isse+ e3*#$)ees. 7&e *r$cess +e3an+s ha he +is3isse+ w$r
acs This case was se33e+ %r$3 *eii$ners ac $% &ni#aera##) reiring air#ine *i#$ Ca*ain A#'in$ C$##anes $wn Reire3en P#an. C$nen+ing, iner a#ia , ha he reire3en $% Ca*ain C$##anes c$nsi&e+ i##ega# +is3issa# an+ &ni$n '&sing. The Secrear) $% he 7:LE ass&3e+ &ris+ici$n $ver he #a'$r +is*&e. Base $n his +ecisi$n, PAL sh$&#+ %irs c$ns&# he *i#$ c$ncerne+ 'e%$re i3*#e3ening his reire3en. Iss&e Is he +ecisi$n $% he Secrear) $% 7:LE c$rrec in sa)ing ha in he eFercise $% reiring heir e3*#$)ees, he e3*#$)er sh$&#+ %irs c$ns&# heir e3*#$)ee c$ncerne+ 'e%$re i3*#e3ening he reire3en R&#ing N:. The reire3en $% an e3*#$)ee 3a) 'e +$ne &*$n iniiaive an+ $*i$n $% he 3anage3en. S&re#), he re&ire3en $ c$ns&# he *i#$s *ri$r $ heir reire3en +e%eas he eFercise ') 3anage3en $% is $*i$n $ reire he sai+ e3*#$)ees. I gives he *i#$ c$ncerne+ an &n+&e *rer$gaive $ assai# he +ecisi$n $% 3anage3en. 7&e *r$cess $n#) re&ires ha n$ice 'e given $ he *i#$ $% *eii$ners +ecisi$n $ reire hi3. Hence, he Secrear) $% La'$r $verse**e+ he '$&n+aries $% reas$n an+ %airness when he i3*$se+ $n *eii$ner he a++ii$na# re&ire3en $% c$ns&#ing each *i#$ *ri$r $ reiring hi3. &rher3$re, when he Secrear) $% La'$r an+ E3*#$)3en i3*$se+ he a++e+ re&ire3en ha *eii$ner sh$&#+ c$ns&# is *i#$s *ri$r $ reire3en, he res$#ve+ a &esi$n which was $&si+e $% he iss&es raise+, here') +e*riving *eii$ner an $**$r&ni) $ 'e hear+ $n his *$in.

acs

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:n - March 19-, a C$##ecive Bargaining Agree3en =CBA? was enere+ in$ 'eween Caina Cah$#ic Sch$$# =Sch$$#? an+ he Caina Cah$#ic Sch$$# E3*#$)ees >ni$n =>ni$n? e%%ecive 1 6an&ar) 19- $ 1 Ma) 199. :n 12 :c$'er 199, he Sch$$# reire+ L#agas an+ 6avier, wh$ ha+ ren+ere+ 3$re han wen) =!(? )ears $% c$nin&$&s service, *&rs&an $ Seci$n !, Aric#e  $% he CBA, $ wi JAn e3*#$)ee 3a) 'e reire+, eiher &*$n a**#icai$n ') he e3*#$)ee hi3se#% $r ') he +ecisi$n $% he 7irec$r $% he Sch$$#, &*$n reaching he age $% siF) =-(? $r a%er having ren+ere+ a #eas wen) =!(? )ears $% service $ he Sch$$# he #as hree =? )ears $% which 3&s 'e c$nin&$&s.K Three =? +a)s #aer, he >ni$n %i#e+ a n$ice $% srini$n sr&c< an+ *icni$n %i#e+ a c$3*#ain 9 %$r &n%air #a'$r *racice 'e%$re he NLRC. Three =? iss&es were *asse+ &*$n ') he NLRC, na3e#) =1? wheher he reire3en $% L#agas an+ 6avier is #ega# =!? wheher he Sch$$# is g&i#) $% &n%air #a'$r *racice an+ =? wheher he srini$n %r$3  $ 1! N$ve3'er 199 is i##ega#, here') +ec#aring a## &ni$n $%%icers $ have #$s heir e3*#$)3en sa&s. In reversing he +ecisi$n $% he NLRC, he C$&r $% A**ea#s c$nsr&e+ he reire3en $% L#agas an+ 6avier as an ac a3$&ning $ &n%air #a'$r *racice when viewe+ agains he 'ac<+r$* $% he re#evan circ&3sances $'aining in he c ase. Iss&e The n+$&'e+#), he reire3en $% he w$ =!? &ni$n $%%icers riggere+ he +ec#arai$n $% srini$n, an+ he r&#ing $n wheher he srini$n. P&rs&an $ he eFising CBA, he Sch$$# has he $*i$n $ reire an e3*#$)ee &*$n reaching he age #i3i $% siF) =-(? $r a%er having ren+ere+ a #eas wen) =!(? )ears $% service $ he Sch$$#, he #as hree =? )ears $% which 3&s 'e c$nin&$&s. Reire3en is a +i%%eren s*ecie $% er3inai$n $% e3*#$)3en %r$3 +is3issa# %$r &s $r a&h$ri4e+ ca&ses &n+er Aric#es !! an+ ! $% he La'$r C$+e. Whi#e in a## hree cases, he e3*#$)ee $ 'e er3inae+ 3a) 'e &nwi##ing $ *ar %r$3 service, here are e3inen#) higher san+ar+s $ 'e 3e ') he e3*#$)er va#i+#) eFercising he *rer$gaive $ +is3iss %$r &s $r a&h$ri4e+ ca&ses. In h$se w$ insances, i is in+is*ensa'#e ha he e3*#$)er esa'#ish he eFisence $% &s $r a&h$ri4e+ ca&ses %$r +is3issa# as s*e##e+ $& in he La'$r C$+e. Reire3en, $n he $her han+, is he res&# $% a 'i#aera# ac $% he *aries, a v$#&nar) agree3en 'eween he e3*#$)er an+ he e3*#$)ee where') he #aer a%er reaching a cerain age agrees an+$r c$nsens $ sever his e3*#$)3en wih he %$r3er. Aric#e !" $% he La'$r C$+e, as a3en+e+, g$verns reire3en $% e3*#$)ees, saing ART. !". Reire3en. O An) e3*#$)ee 3a) 'e reire+ &*$n reaching he reire3en age esa'#ishe+ in he c$##ecive 'argaining agree3en $r $her a**#ica'#e e3*#$)3en c$nrac. In case $% reire3en, he e3*#$)ee sha## 'e eni#e+ $ receive s&ch reire3en 'ene%is as he 3a) have earne+ &n+er eFising #aws an+ an) c$##ecive 'argaining agree3en an+ $her agree3ens Pr$vi+e+, h$wever, Tha an e3*#$)ees reire3en 'ene%is &n+er an) c$##ecive 'argaining agree3en an+ $her agree3ens sha## n$ 'e #ess han h$se *r$vi+e+ herein. In he a'sence $% a reire3en *#an $r agree3en *r$vi+ing %$r reire3en 'ene%is $% e3*#$)ees in he esa'#ish3en, an e3*#$)ee &*$n reaching he age $% siF) =-(? )ears $r 3$re, '& n$ 'e)$n+ siF)5%ive =-2? )ears which is here') +ec#are+ he c$3*&#s$r) reire3en age, wh$ has serve+ a #eas %ive =2? )ears in he sai+ esa'#ish3en, 3a) reire an+ sha## 'e eni#e+ $ reire3en *a) e&iva#en $ a #eas $ne5ha#% =1!? 3$nh sa#ar) %$r ever) )ear $% service, a %raci$n $% a #eas siF =-? 3$nhs 'eing c$nsi+ere+ as $ne wh$#e )ear. The CBA in he case a 'ar esa'#ishe+ -( as he c$3*&#s$r) reire3en age. H$wever, i is n$ a##ege+ ha eiher 6avier $r L#agas ha+ reache+ he c$3*&#s$r) reire3en age $% -( )ears, '& insea+ ha he) ha+ ren+ere+ a #eas !( )ears $% service in he Sch$$#, he #as hree =? )ears c$nin&$&s. C#ear#), he CBA *r$visi$n a##$ws he e3*#$)ee $ 'e reire+ ') he Sch$$# even 'e%$re reaching he age $% -(, *r$vi+e+ ha heshe ha+ ren+ere+ !( )ears $% service. W$&#+ s&ch a si*&#ai$n 'e va#i+ 6&ris*r&+ence a%%ir3s he *$sii$n $% he Sch$$#.

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B) heir acce*ance $% he CBA, he >ni$n an+ is 3e3'ers are $'#ige+ $ a'i+e ') he c$33i3ens an+ #i3iai$ns #i3iai$ns he) ha+ agree+ $ ce+e $ 3anage3en. The &esi$ne+ reire3en *r$visi$ns cann$ 'e +ee3e+ as an i3*$sii$n %$ise+ $n he >ni$n, which ver) we## ha+ he righ $ have re%&se+ $ agree $ a##$wing 3anage3en $ reire reire e3*#$)ees wih a #eas !( )ears $% service. I sh$&#+ n$ 'e an+er $r+inar) c$ne3*#ai$n, a CBA *r$visi$n eni#ing an e3*#$)ee $ reire a%er !( )ears $% service an+ acc$r+ing#) c$##ec reire3en 'ene%is is Jrewar+ %$r services ren+ere+ since i ena'#es an e3*#$)ee $ rea* he %r&is $% his #a'$r ] *aric&#ar#) reire3en 'ene%is, wheher #&3*5s&3 $r $herwise ] a an ear#ier age, when sai+ e3*#$)ee, in *res&3a'#) 'eer *h)sica# an+ 3ena# c$n+ii$n, can en$) he3 'eer an+ #$nger.K N$nehe#ess, he *re3ise warrans c$nsi+ering wheher 3anage3en 3a) 'e *rec#&+e+ %r$3 reiring an e3*#$)ee wh$3 i is eni#e+ $ reire &*$n a +eer3inai$n ha he r&e ca&se %$r c$3*&#s$r) reire3en is he e3*#$)ees e3*#$)ees &ni$n aciviies. The #aw an+ his C$&r %r$wns &*$n &n%air #a'$r *racices ') 3anage3en, inc#&+ing s$5ca##e+ &ni$n5'&sing. S&ch i##ega# *racices wi## n$ 'e s&saine+ ') he C$&r, even i% g&ise+ &n+er $sensi'#) #ega# *re3ises. B& wih res*ec $ an acive &ni$ni4e+ e3*#$)ee wh$ c#ai3s having #$s hisher $' %$r &ni$n aciviies, here are +i%%eren c$nsi+erai$ns c$nsi+erai$ns *resene+ i% he er3inai$n is &si%ie+ &n+er &s $r a&h$ri4e+ ca&se &n+er he La'$r C$+e an+ i% se*arai$n %r$3 service is e%%ece+ hr$&gh he eFercise $% a +&#) acc$r+e+ 3anage3en *rer$gaive $ reire an e3*#$)ee. There is *erha*s a greaer i3*eraive $ rec$gni4e he 3anage3en *rer$gaive $n reire3en han he *rer$gaive $ +is3iss e3*#$)ees %$r &s $r a&h$ri4e+ ca&ses. $r $ne, here is a greaer s&'ecivi), n$ $ 3eni$n %ac&a# +is*&e, aache+ $ he c$nce*s $% &s $r a&h$ri4e+ ca&se han reire3en which n$r3a##) c$ne3*#aes 3ere#) he aain3en $% a cerain age $r a cerain n&3'er $% )ears in he service. I w$&#+ 'e easier %$r 3anage3en +esir$&s $ e#i3inae *es<) &ni$n 3e3'ers $ a'&se he *rer$gaive $% er3inai$n %$r s&ch *&r*$se since he +eer3inai$n $% &s $r a&h$ri4e+ ca&se is rare#) a si3*#isic &esi$n, '& inv$#ves %acs high#) *r$ne $ +is*&e an+ s&'ecive iner*reai$n. :n he $her han+, he eFercise ') 3anage3en $% is reire3en *rer$gaive is #ess s&sce*i'#e $ +&'ia'i#i) as $ he &esi$n wheher an e3*#$)ee c$&#+ 'e va#i+#) reire+. The $n#) %ac&a# 3aer $ c$nsi+er hen is wheher he e3*#$)ee c$ncerne+ ha+ aaine+ he re&isie age $r n&3'er $% )ears in service *&rs&an $ he CBA $r e3*#$)3en agree3en, $r i% n$ne, *&rs&an $ Aric#e !" $% he La'$r C$+e. In %ac, he &esi$n $% he a3$&n $% reire3en 'ene%is is 3$re #ini$n. A r&#ing in is %av$r is ana3$&n $ a c$ncessi$n ha a va#i+#) +rawn 3anage3en *rer$gaive $ reire is e3*#$)ees can 'e &+icia##) iner%ere+ $n a sh$wing ha he e3*#$)ee in &esi$n is high#) va#&a'#e $ he &ni$n. S&ch a r&#e w$&#+ 'e a s$&rce $% 3ischie%, even i% narr$w#) carve+ $& ') he C$&r, %$r i w$&#+ i3*#) ha an acive &ni$n 3e3'er $r $%%icer 3a) 'e, ') reas$n $% hisher i3*$rance $ he &ni$n, s$3eh$w eFe3*e+ %r$3 he n$r3a# san+ar+s $% reire3en a**#ica'#e $ he $her, *erha*s #ess via# 3e3'ers $% he &ni$n. In+ee+, $&r #aws *r$eci$n $% he righ $ $rgani4e #a'$r +$es n$ rans#ae in$ *er*e&a# $' sec&ri) %$r &ni$n #ea+ers ') reas$n $% heir #ea+ershi* r$#e a#$ne. Sh$&#+ we enerain s&ch a n$i$n, he +eri3en is &#i3ae#) $ he &ni$n ise#%, *r$3$ing as i w$&#+ a sagnaing enrenche+ #ea+ershi*. We can h&s can c$3%$ra'#) &*h$#+ he *rinci*#e, as reierae+ in Phi#i**ine Air#ines,  ha he eFercise ') he e3*#$)er $% a va#i+ an+ +&#) esa'#ishe+ *rer$gaive $ reire an e3*#$)ee +$es n$ c$nsi&e &n%air #a'$r *racice.

acs Res*$n+en, hr$&gh is H&3an Res$&rces 7eve#$*3en :%%ice, in%$r3e+ *eii$ner ha she was a**r$aching her 2h )ear $% service wih he &niversi) an+ was +&e %$r a&$3aic reire3en $n N$ve3'er 1, 199, a which i3e she w$&#+ 'e 2" )ears $#+. This was *&rs&an $ res*$n+ens reire3en *#an %$r is e3*#$)ees which *r$vi+e+ ha is 3e3'ers c$&#+ 'e a&$3aica##) reire+ &*$n reaching he age $% -2 $r

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a%er 2 )ears $% &ninerr&*e+ service $ he &niversi). Res*$n+en re&ire+ cerain +$c&3ens in c$nneci$n wih *eii$ners i3*en+ing reire3en. Peii$ner e3*haica##) e3*haica##) insise+ ha he c$3*&#s$r) reire3en &n+er he *#an was ana3$&n $ a +is3issa# an+ *#ea+e+ wih res*$n+en $ 'e a##$we+ $ w$r< &ni# he age $% -( 'eca&se his was he 3ini3&3 age a which she c$&#+ &a#i%) %$r SSS *ensi$n. B& res*$n+en s$$+ *a $n is +ecisi$n $ reire her, ciing c$3*an) *$#ic). :n N$ve3'er 12, 199, *eii$ner %i#e+ a c$3*#ain in he Nai$na# La'$r Re#ai$ns C$33issi$n =NLRC? %$r er3inai$n $% service wih *re#i3inar) in&nci$n an+$r resraining $r+er. :n N$ve3'er 1, 199, res*$n+en c$3*&#s$ri#) reire+ *eii$ner. Iss&eS 1? +i+ res*$n+ens reire3en *#an i3*$sing a&$3aic reire3en a%er 2 )ears $% service c$nravene he sec&ri) $% en&re c#a&se in he 19" C$nsi&i$n an+ he La'$r C$+e !? +i+ res*$n+en c$33i i##ega# +is3issa# ') reiring *eii$ner s$#e#) ') reas$n $% s&ch *r$visi$n in is reire3en *#an La'$r Ar'ier %$&n+ res*$n+en g&i#) $% i##ega# +is3issa# an+ $r+ere+ ha *eii$ner 'e reinsae+ an+ *ai+ %&## 'acniversi) wi## a&$3aica##) 'ec$3e 3e3'ers $% he P#an, *r$vi+e+, h$wever, ha h$se wh$ have reire+ %r$3 he >niversi), even i% rehire+, are n$ #$nger e#igi'#e %$r 3e3'ershi* in he P#an. A 3e3'er wh$ c$nin&es $ serve he >niversi) cann$ wih+raw %r$3 he P#an. Page 225


FFF FFF FFF SECTI:N ! O EECTI8IT@ : MEMBERSHIP Me3'ershi* in he P#an sars $n he +a) a *ers$n is hire+ $n a %&##5i3e 'asis ') he >niversi). SECTI:N  O TERMINATI:N : MEMBERSHIP Ter3in Ter3inai$ ai$nn $% 3e3'ershi* 3e3'ershi* in he P#an sha## 'e &*$n he +eah +eah $% he 3e3'er, 3e3'er, resignai$ resignai$nn $r er3inai$n er3inai$n $% e3*#$)ees $)ees c$nrac c$nrac ') he >niversi), $r reire3en %r$3 he >niversi). R&#e I8, $n c$nri'&i$ns, sae+ The P#an is c$nri'&$r). The >niversi) sha## se asi+e an a3$&n e&iva#en $  $% he 'asic sa#aries $% he %ac&#) an+ sa%%. T$ his sha## 'e a++e+ a 2 +e+&ci$n %r$3 he 'asic sa#aries $% he %ac&#) an+ sa%%. A 3e3'er $n #eave wih he >niversi) a**r$va# sha## c$nin&e *a)ing, 'ase+ $n his *a) whi#e $n #eave, his #eave wih$& *a) sh$&#+ *a) his c$nri'&i$ns $ he P#an. H$wever, a 3e3'er, wh$ has 'een $n #eave wih$& *a) sh$&#+ *a) his c$nri'&i$ns 'ase+ $n his sa#ar) *#&s he >niversi)s c$nri'&i$ns whi#e $n #eave $r he %&## a3$&n wihin $ne 3$nh i33e+iae#) a%er he +ae $% his reinsae3en. Pr$vi+e+/,0 %&rher ha i% a 3e3'er has n$ s&%%icien s$&rce $% inc$3e whi#e $n #eave 3a) *a) wihin siF 3$nhs a%er his reinsae3en. r$3 he #ang&age $% he %$reg$ing reire3en *#an r&#es, he c$3*&#s$r) na&re $% '$h 3e3'ershi* in an+ c$nri'&i$n $ he *#an +e'&n
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acs Res*$n+en 6enee Marie B. Cris$#$g$, a #aw)er, $ine+ G#$'e Te#ec$3 =G#$'e? $n N$ve3'er , 199 as a 3anager in is c$r*$rae #ega# services +e*ar3en./-0 Her as
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M$re$ver, he resignai$n #eer was s&'3ie+ ') res*$n+en an+ was acce*e+ ') G#$'e $n A*ri# 1!, !((!. This %ac a#$ne c$3*#ee#) negae+ her c#ai3 ha *eii$ners c$erce+ her $ resign $n A*ri# (, !((!. In+ee+, h$w c$&#+ she have 'een %$rce+ $ resign $n ha +ae when she ha+ a#rea+) en+ere+ her resignai$n 3$re han w$ wee
acs Peii$ner BMG Rec$r+s =Phi#s.?, Inc. =BMG? is engage+ in he '&siness $% se##ing vari$&s a&+i$ rec$r+s nai$nwi+e. :n Se*e3'er !, 199(, i hire+ *rivae res*$n+en Ai+a C. A*areci$ =A*areci$? as $ne $% he *r$3$ gir#s in is Ce'& 'ranch. $r w$r
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In a n&she##, A*areci$ s&'3is ha %ra&+, &n+&e in%#&ence, ini3i+ai$n, an+$r 3isa*$n s&ch acce*ance, i 3a) n$ 'e &ni#aera##) wih+rawn wih$& he c$nsen $% *eii$ners. When he e3*#$)ee #aer signi%ie+ he ineni$n $% c$nin&ing his $r her w$r<, i was a#rea+) &* $ he e3*#$)er $ acce* he wih+rawa# $% his $r her resignai$n. The 3ere %ac ha he wih+rawa# was n$ acce*e+ +$es n$ c$nsi&e i##ega# +is3issa#, he acce*ance $% he wih+rawa# $% he resignai$n 'eing he e3*#$)ers s$#e *rer$gaive. As he#+ in Inerr$+ Marii3e, Inc. v. NLRC :nce an e3*#$)ee resigns an+ his resignai$n is acce*e+, he n$ #$nger has an) righ $ he $'. I% he e3*#$)ee #aer changes his 3in+, he 3&s as< %$r a**r$va# $% he wih+rawa# $% his resignai$n %r$3 his e3*#$)er, as i% he were re5a**#)ing %$r he $'. I wi## hen 'e &* $ he e3*#$)er $ +eer3ine wheher $r n$ his service w$&#+ 'e c$nin&e+. I% he e3*#$)er acce*s sai+ wih+rawa#, he e3*#$)ee reains his $'. I% he e3*#$)er +$es n$ F F F he e3*#$)ee cann$ c#ai3 i##ega# +is3issa# %$r he e3*#$)er has he righ $ +eer3ine wh$ his e3*#$)ees wi## 'e. T$ sa) ha an e3*#$)ee wh$ has resigne+ is i##ega##) +is3isse+, is $ encr$ach &*$n he righ $% e3*#$)ers $ hire *ers$ns wh$ wi## 'e $% service $ he3. A resigne+ e3*#$)ee wh$ +esires $ a
acs B#&e Ange#, a 3essengeria# an+ sec&ri) agenc), hire+ *rivae res*$n+ens R$3e# Casi##$, Wi#s$n Ciriac$, Gar) Garces, an+ Cheser%ie#+ Merca+er as sec&ri) g&ar+s an+ +eai#e+ he3 a he Nai$na# C$##ege $% B&siness an+ Ars =NCBA? in C&'a$, D&e4$n Ci). Casi##$ an+ Merca+er, #aer $ine+ ') Ciriac$ an+ Garces, %i#e+ a c$3*#ain %$r i##ega# +e+&ci$ns an+ $her 3$ne) c#ai3s agains B#&e Ange#. Even&a##), he) a3en+e+ heir c$3*#ain $ inc#&+e i##ega# +is3issa#. Acc$r+ing $ he %$&r g&ar+s, he) were re&ire+, whi#e si## wih B#&e Ange#,

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$ w$r< %r$3 "(( a.3. $ "(( *.3. wih$& $veri3e an+ *re3i&3 h$#i+a) *a), a3$ng $her 'ene%is. The) a#s$ a##ege+ receiving $n#) PhP 2,((( a 3$nh $r PhP 1-- *er +a) an+, %r$3 his a3$&n, B#&e Ange# +e+&ce+ PhP 1(( as cash '$n+. The) %&rher averre+ ha B#&e Ange#, when a**rise+ $% heir $rigina# c$3*#ain, i##ega##) er3inae+ Garces an+ Ciriac$, res*ecive#), an+ Casi##$ an+ Merca+er. The %$&r g&ar+s *ra)e+ %$r =1? *a)3en $% 'ac
acs Peii$ners were e3*#$)ees $% res*$n+en Pasig In+&sries, Inc. =PII? sai$ne+ in is Ma
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Hence, *eii$ners avai#e+ $% his rec$&rse c$nen+ing ha he CA erre+ in a%%ir3ing he +ecisi$n $% he NLRC. Res*$n+ens a##ege+#) %ai#e+ $ *r$ve ha PII ha+ 'een inc&rring #$sses $ &si%) is re$rgani4ai$n. The) c#ai3e+ he) were +is3isse+ wih$& &s $r a&h$ri4e+ ca&se. Iss&es Wheher $r n$ he *eii$ners were i##ega##) +is3isse+. Is he srea3#ining an a&h$ri4e+ ca&se %$r he er3inai$n $% he *ei$ners R&#ing The *eii$ners were N:T i##ega##) +is3isse+. As he) v$#&nari#) resigne+ %r$3 PII. Peii$ners he#+ res*$nsi'#e *$sii$ns in PII. E3*#$)ees $% heir e+&cai$na# 'ac
acs Nai$na# See# C$r*$rai$n was engage+ in he '&siness $% 3an&%ac&ring see# *r$+&cs nee+e+ %$r *i*e 3a*$n a**ea#, NLRC grane+ he a**ea# an+ reverse+ he r&#ing $% he La'$r Ar'ier. B) wa) $% Peii$n %$r Ceri$rari, CA +ec#are+ ha *eii$ners were n$ #$nger eni#e+ $ reire3en 'ene%is a%er having receive+ he se*arai$n *a), an+ were *rec#&+e+ %r$3 c#ai3ing s&ch 'ene%is 'eca&se $% heir &ic#ai3s. Iss&e Wheher $r n$ *eii$ners =rerenche+ e3*#$)ees? can s i## rec$ver reire3en 'ene%is in a++ii$n $ heir se*arai$n *a). R&#ing N$, *eii$ners are n$ #$nger eni#e+ $ rec$ver reire3en 'ene%is. Having 'een se*arae+ %r$3 e3*#$)3en +&e $ an a&h$ri4e+ ca&se, *eii$ners are 'arre+ %r$3 receiving reire3en 'ene%is *&rs&an $ Aric#e =E? $% res*$n+ens reire3en *#an. Wih he inc#&si$n $% s&ch *r$visi$n in he reire3en *#an, res*$n+en caeg$rica##) +isa##$ws *a)3en $% reire3en 'ene%is $ rerenche+ e3*#$)ees. The) are $n#) eni#e+ $ *a)3en $% se*arai$n *a) in acc$r+ance wih Aric#e ! $% he La'$r C$+e. The CA c$33ie+ n$ err$r in c$nsi+ering he a%%i+avis as c$ne3*$rane$&s an+ s&'se&en acs %r$3 which he ineni$n $% he *aries $ he CBA can 'e in%erre+. Whi#e he CBA, $n is %ace, +$es n$ c$nain an eF*ress *r$hi'ii$n $% *a)3en $% reire3en 'ene%is $ rerenche+ e3*#$)ees, he *aries 3a) si## *r$ve i ') 3eans $% c$ne3*$rane$&s an+ s&'se&en acs $% he *aries $ he agree3en, s&ch as he eFec&i$n $% he a%%i+avis. In heir a%%i+avis, he) aese+ ha &n+er he CBA, an e3*#$)ee wh$ is se*arae+ *&rs&an $ a rerench3en

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*r$gra3 an+ wh$ receive+ he c$rres*$n+ing se*arai$n *ac
acs E3er#ina Aiv$ e a#., are %$r3er e3*#$)ees $% *eii$ner G$$+rich Man&%ac&ring C$r*$rai$n =G$$+rich? assigne+ as 3achine $r 3ainenance $*era$rs. In he #as &arer $% !((, G$$+rich s&%%ere+ %inancia# c$nsrains an+ gave a## is e3*#$)ees he $*i$n $ v$#&nari#) resign %r$3 he c$3*an). Res*$n+ens were a3$ng h$se wh$ avai#e+ $% ha $*i$n an+ were *ai+ heir se*arai$n *a). Aiv$ e a#., eFec&e+ heir waivers an+ &ic#ai3s. H$wever, he) change+ heir 3in+s an+ %i#e+ %$r i##ega# +is3issa# agains G$$richwih *ra)er %$r *a)3en $% heir %&## 3$near) 'ene%is 'e%$re he NLRC. The La'$r Ar'ier he#+ ha here was n$ i##ega# +is3issa# '& r&#e+ ha G$$+rich was si## #ia'#e %$r he e3*#$)ees SIL, EC:LA, an+ 1h 3$nh *a), an+ ha he se*arai$n *a) was ins&%%icien. M&&a##) &nha**), '$h *aries a**ea#e+ $ he NLRC which reverse+ he LAs +ecisi$n. The NLRC sai+ ha he c$nsi+erai$ns he) receive+ are n$ &nreas$na'#e, vis5U5vis he awar+s grane+ /$0 he3 in he assai#e+ 7ecisi$n. N$a'#), he awar+s even inc#&+e he 1h 3$nh *a)s %$r !((! an+ !(( which, ') res*$n+ens *r$$% a**ear a#rea+) *ai+. We a#s$ n$e+ ha c$3*#ainans are n$ sh$wn $ have signe+ he +ee+s $% waiver an+ &ic#ai3 inv$#&nari#), wih$& &n+ersan+ing he i3*#icai$n an+ c$nse&ences here$%. The case was 'r$&gh 'e%$re he CA which ren+erre+ a +ecisi$n in %av$r $% Aiv$ e. a#., h$#+ing ha he) are eni#e+ $ receive heir &n*ai+ 1h 3$nh *a), SIL, an+ EC:LA. An+ s$ he iss&e is n$w 'e%$re he S&*re3e C$&r. Iss&e WN he re#ease, waiver an+ &ic#ai3 signe+ ') res*$n+ens are va#i+ an+ 'in+ing an+ wheher res*$n+ens 3a) si## receive he +e%icienc) a3$&ns +&e he3. R&#ing The re#ease, waiver an+ &ic#ai3 are v a#i+ an+ 'in+ing. Ca*ia# wins his i3e. Re&isies $% a va#i+ &ic#ai3 I is r&e ha he #aw #$$
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&ic#ai3s, res*$n+ens h$nes#) 'e#ieve+ ha he a3$&ns receive+ ') he3 were %air an+ reas$na'#e se#e3ens $% he a3$&ns which he) w$&#+ have receive+ ha+ he) re%&se+ $ v$#&nari#) resign %r$3 he sai+ c$3*an). Res*$n+ens were n$ +eceive+ Aiv$ an+ c$3*an) c#ai3 ha he) were +eceive+ 'eca&se *eii$ners +i+ n$ rea##) er3inae heir '&siness since Mr. Ch&a G$) ha+ se &* an$her c$3*an) wih he sa3e #ine $% '&siness as G$$+rich. S&ch c$neni$n, h$wever, was n$ *r$ven +&ring he hearing 'e%$re he La'$r Ar'ier an+ he NLRC. Hence, s&ch c#ai3 is 'ase+ $n#) $n res*$n+ens s&r3ises an+ s*ec&#ai$ns which, &n%$r&nae#), can never 'e &se+ as a va#i+ an+ #ega# gr$&n+ $ re*&+iae res*$n+ens &ic#ai3s. C$nsi+erai$ns receive+ were n$ gr$ss#) ina+e&ae As c$rrec#) *$ine+ $& ') he NLRC, he $a# awar+s c$3*&e+ ') he La'$r Ar'ier wi## +e%inie#) even 'e #esser a%er +e+&cing he 1h 3$nh *a) %$r he )ears !((! an+ !((, which have a#rea+) 'een receive+ ') he res*$n+ens *ri$r $ he %i#ing $% heir c$3*#ains, '& which he La'$r Ar'ier si## inc#&+e+ in his c$3*&ai$n. The +i%%erence 'eween he a3$&ns eF*ece+ %r$3 h$se ha were receive+ 3a), here%$re, 'e c$nsi+ere+ as a %air an+ reas$na'#e 'argain $n he *ar $% '$h *aries. Peii$n is grane+. CA +ecisi$n is reverse+ an+ se asi+e. The NLRCs +ecisi$n is reinsae+.

$rean Air hire+ @&s$n as reservai$ns agen. $rean Air *r$3$e+ @&s$n $ assisan 3anager in 199, an+ $ *assenger sa#es 3anager in 1999. In A*ri# !((1, @&s$n re&ese+ $rean Air ha she 'e rans%erre+ %r$3 he *assenger sa#es +e*ar3en $ he carg$ +e*ar3en, an+ s$ $rean Air e3*$rari#) rans%erre+ @&s$n $ he carg$ +e*ar3en as carg$ +is*ach. @&s$n c$nin&e+ $ receive he sa3e c$3*ensai$n an+ eFercise he sa3e a&h$ri) as *assenger sa#es 3anager. In $r+er $ c& c$ss, $rean Air $%%ere+ is e3*#$)ees an ear#) reire3en *r$gra3 =ERP?. @&s$n acce*e+ he $%%er %$r ear#) reire3en. S&< =3anager? in%$r3e+ @&s$n ha she was eFc#&+e+ %r$3 he ERP 'eca&se she was reiring $n  6an&ar) !((!. @&s$n c#ai3e+ ha $rean Air was '$&n+ ') he *er%ece+ c$nrac an+ acc&se+ he c$3*an) $% harass3en an+ +iscri3inai$n. :n ! N$ve3'er !((1, @&s$n %i#e+ wih he ar'irai$n 'ranch $% he NLRC a c$3*#ain agains $rean Air an+ S&< %$r *a)3en $% 'ene%i &n+er he ERP, 3$ra# +a3ages, eFe3*#ar) +a3ages, an+ a$rne)s %ees. LA +enie+ %$r #ac< $% 3eri @&s$ns c#ai3s an+ he#+ ha he ERP 3e3$ran+&3 inc#&+e+ $n#) ran<5an+5%i#e, an+ eFc#&+e+ 3anageria#, e3*#$)ees an+ s&ch 3e3$ was reserve+ $ $rean Air +iscrei$n in a**r$ving a**#icai$ns %$r he ERP an+ ha a**r$va# $% a**#icai$ns %$r he ERP was a va#i+ eFercise $% $rean Airs 3anage3en *rer$gaive. A c$3*r$3ise agree3en was enere+ in$ 'eween $rean Air an+ @&s$n, $n 1 e'r&ar) !((, where') he agree3en inc#&+e+ a3$ng $hers he *a)3en $% P1,-"1,2-.9!, re*resening her reire3en 'ene%i *&rs&an $ Aric#e !" $% he La'$r C$+e, as a3en+e+. NLRC a%%ir3e+ LA +ecisi$n, h$wever CA se asi+e he +ecisi$n.

W:N @&s$n 3a) si## c#ai3 'ene%i &n+er he ERP. N$, @&s$n 3a) n$ #$nger c#ai3 he 'ene%i &n+er he ERP. Thir+ *aragra*h $% Aric#e !" saes ha In he a'sence $% a reire3en *#an $r agree3en *r$vi+ing %$r reire3en 'ene%is $% e3*#$)ees in he esa'#ish3en, an e3*#$)ee &*$n reaching he age $% siF) =-(? )ears $r 3$re, '& n$ 'e)$n+ siF)5%ive =-2? )ears which is here') +ec#are+ he c$3*&#s$r) reire3en age, wh$ has serve+ a #eas %ive =2? )ears in he sai+ esa'#ish3en, 3a) reire an+ sha## 'e eni#e+ $ reire3en *a) e&iva#en $ a #eas $ne5ha#% =1!? 3$nh sa#ar) %$r ever) )ear $% service, a %raci$n $% a #eas siF =-? 3$nhs 'eing c$nsi+ere+ as $ne wh$#e )ear. Page 233


:n 1 e'r&ar) !((, @&s$n acce*e+ P1,-"1,2-.9! as reire3en 'ene%i &n+er Aric#e !". Her c#ai3 %$r 'ene%i &n+er he ERP 'eca3e 3$$ when she avai#e+ $% he $*i$na# reire3en &n+er Aric#e !" an+ acce*e+ he 'ene%i. B) her acce*ance $% he 'ene%i, @&s$n is +ee3e+ $ have $*e+ $ reire &n+er Aric#e !". The C$&r $% A**ea#s he#+ ha @&s$n 3a) c#ai3 'ene%i &n+er he ERP 'eca&se he $%%er was cerain an+ he acce*ance is a's$#&e hence, here is a va#i+ c$nrac *&rs&an $ he #as *aragra*h $% Aric#e 112 $% he New Civi# C$+e. The C$&r +isagrees. In he *resen case, he $%%er is n$ cerain =1? he !1 A&g&s !((1 3e3$ran+&3 c#ear#) saes ha, MNLSM Manage3en, $n is +iscrei$n, is here') $%%ering he sai+ ear#) reire3en *r$gra3 $ is sa%% =!? a**#icai$ns %$r he ERP were %$rwar+e+ $ he hea+ $%%ice %$r a**r$va#, an+ %&rher acs $n he $%%er$rs *ar were necessar) 'e%$re he c$nrac c$&#+ c$3e in$ eFisence an+ =? he !1 A&g&s !((1 3e3$ran+&3 c#ear#) saes $rean Airs ineni$n, which was, $ *reven %&rher #$sses. $rean Air c$&#+ n$ have inen+e+ $ 3iniseria##) a**r$ve a## a**#icai$ns %$r he ERP.

acs Peii$ner L$&r+es A. Cerca+$ =Cerca+$? sare+ w$rNIPR:M $n 7ece3'er 12, 19" as a icNIPR:M insi&e+ an E3*#$)ees N$n5 C$nri'&$r) Reire3en P#an which *r$vi+es ha an) *arici*an wih wen) =!(? )ears $% service, regar+#ess $% age, 3a) 'e reire+ a his $*i$n $r a he $*i$n $% he c$3*an). I a3en+e+ he reire3en *#an in c$3*#iance wih Re*&'#ic Ac =R.A.? N$. "-1. >n+er he revise+ reire3en *#an, >NIPR:M reserve+ he $*i$n $ reire e3*#$)ees wh$ were &a#i%ie+ $ reire &n+er he *r$gra3. >NIPR:M i3*#e3ene+ a c$3*an)5wi+e ear#) reire3en *r$gra3 %$r is 1 e3*#$)ees, inc#&+ing herein *eii$ner, wh$, a ha i3e, was " )ears $#+, wih !! )ears $% c$nin&$&s service $ he c$3*an). She was $%%ere+ an ear#) reire3en *acNIPR:M eFercise+ is $*i$n &n+er he reire3en *#an, an+ +eci+e+ $ reire Cerca+$ e%%ecive a he en+ $% '&siness h$&rs $n e'r&ar) 12, !((1. A chec< $% even +ae in he a3$&n $% P1((,11."(, re*resening her reire3en 'ene%is &n+er he reg&#ar reire3en *acNIPR:M n$nehe#ess *&rs&e+ is +ecisi$n an+ Cerca+$ was n$ #$nger given an) w$r< assign3en a%er e'r&ar) 12, !((1. This *r$3*e+ Cerca+$ $ %i#e a c$3*#ain %$r i##ega# +is3issa# 'e%$re he La'$r Ar'ier =LA?, a##eging, a3$ng $hers, ha >NIPR:M +i+ n$ have a '$na %i+e reire3en *#an, an+ ha even i% here was, she +i+ n$ c$nsen here$. The Nai$na# La'$r Re#ai$ns C$33issi$n =NLRC? a%%ir3e+ he LAs +ecisi$n ha Cerca+$ was i##ega##) +is3isse+. H$wever, he CA se asi+e he +ecisi$ns $% he LA an+ he NLRC. Hence, his *eii$n. Iss&eS Wheher >NIPR:M has a '$na %i+e reire3en *#an Wheher *eii$ner was va#i+#) reire+ *&rs&an here$ R&#ing The assai#e+ reire3en *#an $% >NIPR:M is n$ e3'$+ie+ in a CBA $r in an) e3*#$)3en c$nrac $r agree3en assene+ $ ') *eii$ner an+ her c$5e3*#$)ees. :n he c$nrar), >NIPR:Ms E3*#$)ees N$n5C$nri'&$r) Reire3en P#an was &ni#aera##) an+ c$3*&#s$ri#) i3*$se+ $n he3. This is evi+en in he %$##$wing *r$visi$ns $% he 19( reire3en *#an an+ is a3en+e+ versi$n in !((( ARTICLE III ELIGIBILIT@ :R PARTICIPATI:N Seci$n 1. An) reg&#ar e3*#$)ee, as $% he E%%ecive 7ae, sha## a&$3aica##) 'ec$3e a Parici*an in he P#an, *r$vi+e+ he E3*#$)ee was hire+ 'e#$w age -(. 8eri#), *eii$ner was %$rce+ $ *arici*ae in he *#an, an+ he $n#) wa) she c$&#+ have reece+ he sa3e was $ resign $r #$se her $'. The assai#e+ CA 7ecisi$n +i+ n$ rea##) 3a
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*assive ac&iescence $n he *ar $% e3*#$)ees, c$nsi+ering ha an e3*#$)ers ear#) reire3en age $*i$n inv$#ves a c$ncessi$n $% he %$r3ers c$nsi&i$na# righ $ sec&ri) $% en&re. Reire3en is he res&# $% a 'i#aera# ac $% he *aries, a v$#&nar) agree3en 'eween he e3*#$)er an+ he e3*#$)ee where') he #aer, a%er reaching a cerain age, agrees $ sever his $r her e3*#$)3en wih he %$r3er. Acce*ance ') he e3*#$)ees $% an ear#) reire3en age $*i$n 3&s 'e eF*#ici, v$#&nar), %ree, an+ &nc$3*e##e+. Whi#e an e3*#$)er 3a) &ni#aera##) reire an e3*#$)ee ear#ier han he #ega##) *er3issi'#e ages &n+er he La'$r C$+e, his *rer$gaive 3&s 'e eFercise+ *&rs&an $ a 3&&a##) insi&e+ ear#) reire3en *#an. In $her w$r+s, $n#) he i3*#e3enai$n an+ eFec&i$n $% he $*i$n 3a) 'e &ni#aera#, '& n$ he a+$*i$n an+ insi&i$n $% he reire3en *#an c$naining s&ch $*i$n. $r he $*i$n $ 'e va#i+, he reire3en *#an c$naining i 3&s 'e v$#&nari#) assene+ $ ') he e3*#$)ees $r a #eas ') a 3a$ri) $% he3 hr$&gh a 'argaining re*resenaive. Hence, c$nsisen wih he C$&rs r&#ing in 6ac&#'e case, having er3inae+ *eii$ner 3ere#) $n he 'asis $% a *r$visi$n in he reire3en *#an which was n$ %ree#) assene+ $ ') her, >NIPR:M is g&i#) $% i##ega# +is3issa#.

acs Bi#'a$ was a %$r3er e3*#$)ee $% res*$n+en Sa&+ia, having 'een hire+ as a #igh Aen+an $n Ma) 1, 19- &ni# her se*arai$n %r$3 Sa&+ia in Se*e3'er !((. 7&ring he c$&rse $% her e3*#$)3en, Bi#'a$ was assigne+ $ w$r< a he Mani#a :%%ice, a#h$&gh he na&re $% her w$r< as a %#igh aen+an enai#e+ reg&#ar %#ighs %r$3 Mani#a $ 6e++ah, Sa&+i Ara'ia, an+ 'ac<. :n A&g&s !2, !((, he In5#igh Service Seni$r Manager $% Sa&+ia assigne+ in Mani#a receive+ an iner5$%%ice Me3$ran+&3 +ae+ A&g&s 1", !(( %r$3 is 6e++ah :%%ice regar+ing he rans%er $% 1( %#igh aen+ans %r$3 Mani#a $ 6e++ah e%%ecive Se*e3'er 1, !((. The sai+ 3e3$ran+&3 eF*#aine+ ha s&ch rans%er was 3a+e J+&e $ $*erai$na# re&ire3ens.K /0 Bi#'a$ was a3$ng he 1( %#igh aen+ans $ 'e rans%erre+.Bi#'a$ iniia##) c$3*#ie+ wih he rans%er $r+er an+ *r$cee+e+ $ 6e++ah %$r her new assign3en. H$wever, $n Se*e3'er ", !((, she $*e+ $ resign an+ re#in&ish her *$s ') en+ering a resignai$n #eer. :n :c$'er !, !((, Bi#'a$ eFec&e+ an+ signe+ an >n+eran+era*$n he $her han+, Sa&+ia averre+ ha he resignai$n #eers %r$3 Bi#'a$ an+ her c$5c$3*#ainans were v$#&nari#) 3a+e since he) were ac&a##) han+5wrien an+ +&#) signe+. Sa&+ia assere+ ha Bi#'a$ an+ her c$5c$3*#ainans were n$ s&'ece+ $ an) %$rce, ini3i+ai$n, $r c$erci$n when he) wr$e sai+ resignai$n #eers an+ even heir &n+era
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Resignai$n is he v$#&nar) ac $% an e3*#$)ee wh$ is in a si&ai$n where $ne 'e#ieves ha *ers$na# reas$ns cann$ 'e sacri%ice+ in %av$r $% he eFigenc) $% he service, an+ $ne has n$ $her ch$ice '& $ +iss$ciae $nese#% %r$3 e3*#$)3en. I is a %$r3a# *r$n$&nce3en $r re#in&ish3en $% an $%%ice, wih he ineni$n $% re#in&ishing he $%%ice acc$3*anie+ ') he ac $% re#in&ish3en. As he inen $ re#in&ish 3&s c$nc&r wih he $ver ac $% re#in&ish3en, he acs $% he e3*#$)ee 'e%$re an+ a%er he a##ege+ resignai$n 3&s 'e c$nsi+ere+ in +eer3ining wheher he $r she, in %ac, inen+e+ $ sever his $r her e3*#$)3en. In he insan case, Bi#'a$ en+ere+ her resignai$n #eer a wee< a%er her rans%er $ he 6e++ah $%%ice. In he sai+ #eer, Bi#'a$ eF*resse+ her grai&+e %$r he s&**$r which Sa&+ia ha+ given her %$r her eigheen )ears $% service. C#ear#), her &se $% w$r+s $% a**reciai$n an+ grai&+e negaes he n$i$n ha she was %$rce+ an+ c$erce+ $ resign. Besi+es, he resignai$n #eer was han+5wrien ') Bi#'a$ $n a Sa&+ia %$r3 an+ was in Eng#ish, a #ang&age she is c$nversan in. A++ii$na##), insea+ $% i33e+iae#) %i#ing a c$3*#ain %$r i##ega# +is3issa# a%er she was a##ege+#) %$rce+ $ resign, Bi#'a$ eFec&e+ an >n+eran+er hese circ&3sances, i can har+#) 'e sai+ ha Bi#'a$ was c$erce+ in$ resigning %r$3 Sa&+ia. Besi+es, Bi#'a$ +i+ n$ a++&ce an) c$3*een evi+ence $ *r$ve ha she was %$rce+ $r hreaene+ ') Sa&+ia. I 3&s 'e re3e3'ere+ ha %$r ini3i+ai$n $ viiae c$nsen, he %$##$wing re&isies 3&s 'e *resen =1? ha he ini3i+ai$n ca&se+ he c$nsen $ 'e given =!? ha he hreaene+ ac 'e &n&s $r &n#aw%&# =? ha he hrea 'e rea# $r seri$&s, here 'eing evi+en +is*r$*$ri$n 'eween he evi# an+ he resisance which a## 3en can $%%er, #ea+ing $ he ch$ice $% +$ing he ac which is %$rce+ $n he *ers$n $ +$ as he #esser evi# an+ =? ha i *r$+&ces a we##5gr$&n+e+ %ear %r$3 he %ac ha he *ers$n %r$3 wh$3 i c$3es has he necessar) 3eans $r a'i#i) $ in%#ic he hreaene+ in&r) $ his *ers$n $r *r$*er). /190 In he insan case, Bi#'a$ +i+ n$ *r$ve he eFisence $% an) $ne $% hese essenia# e#e3ens. Anen he >n+eran+era
acs Res*$n+en G&ca'an, civi# engineer, $ine+ he w$r<%$rce $% *eii$ner San Mig&e# Pr$*eries Phi#i**ines, Inc. =SMPI? in 1991. Iniia##) engage+ as a c$nsr&ci$n 3anage3en s*ecia#is, she, ') her sais%ac$r) *er%$r3ance $n he $', was *r$3$e+ in 199 an+ 1992, res*ecive#), $ he *$sii$n $% echnica# services 3anager, an+ hen $% *r$ec +eve#$*3en 3anager. As *r$ec +eve#$*3en 3anager, she a#s$ sa as a 3e3'er $% he c$3*an)s 3anage3en c$33iee. She ha+ 'een in c$nin&$&s service in he #aer ca*aci) &ni# her severance %r$3 he c$3*an) in e'r&ar) 199. In her c$3*#ain %$r i##ega# +is3issa#, G&ca'an a##ege+ ha her se*arai$n %r$3 service was *racica##) %$rce+ &*$n her ') 3anage3en. She c#ai3e+ ha $n 6an&ar) !", 199, she was in%$r3e+ ') SMPIs Presi+en an+ Chie% EFec&ive :%%icer ha he c$3*an) was *#anning $ re$rgani4e is 3an*$wer in $r+er $ c& $n c$ss, an+ ha she 3&s %i#e %$r resignai$n $r $herwise %ace er3inai$n. G&ca'an c$3*#aine+ $% he &g#) rea3en which she ha+ since receive+ %r$3 G$n4a#e4 an+ he 3anage3en s&**$se+#) $n acc$&n $% her re%&sa# $ sign he resignai$n #eer. She c#ai3e+ she ha+ 'een
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G&ca'an s&r3ise+ ha she ha+ 3ere#) 'een ric
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acs Peii$ner +e*#$)e+ 7e Gracia, Laa an+ A*r$sa $ w$r< $n '$ar+ he vesse# M8 Wis+$3 Sar. :n 7ece3'er  199, Sni$n. :n 6an&ar) !, 1999, he i#i*in$ sea%arers were &ncere3$ni$&s#) +ischarge+ an+ i33e+iae#) re*ariae+. >*$n arriva# in he Phi#i**ines, he) %i#e+ a c$3*#ain %$r i##ega# +is3issa# wih he LA. The LA +is3isse+ he sea%arers c$3*#ain as he sea%arers +e3an+ %$r i33e+iae re*ariai$n +&e $ he +issais%aci$n wih he shi* is c$nsi+ere+ a v$#&nar) *re5er3inai$n $% e3*#$)3en. S&ch ac was +ee3e+ a
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Ar'ier an+ NLRC '$re c$n%#icing +aes $% !! 6an&ar) 199 an+ !! 6an&ar) 1999, giving +$&' $ he veraci) an+ a&henici) $% he +$c&3en. In !! 6an&ar) 199, 7e Gracia, e a#., were n$ even e3*#$)e+ )e ') he %$reign *rinci*a#.

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CASES

acs Peii$ner L>7: ; L>@M C:RP:RATI:N is engage+ in he 3an&%ac&re $% c$c$n& $i#, c$rn sarch, g#&c$se an+ re#ae+ *r$+&cs. I $*eraes a 3an&%ac&ring *#an an+ a whar% where raw 3aeria#s an+ %inishe+ *r$+&cs are shi**e+ $&. L>7: engage+ he arrasre services $% Cresenci$ L& Arrasre Services =CLAS? %$r he #$a+ing an+ &n#$a+ing $% is %inishe+ *r$+&cs a he whar%. Acc$r+ing#), severa# arrasre w$r7:. These arrasre w$r7: ever) i3e he #aer nee+e+ a++ii$na# 3an*$wer services. Sai+ e3*#$)ees herea%er $ine+ res*$n+en &ni$n, he L>7: E3*#$)ees >ni$n =LE>?, which ace+ as he eFc#&sive 'argaining agen $% he ran<5an+5%i#e e3*#$)ees. Res*$n+en &ni$n enere+ in$ a c$##ecive 'argaining agree3en wih L>7: which *r$vi+es cerain 'ene%is $ he e3*#$)ees, he a3$&n $% which var) acc$r+ing $ he #engh $% service ren+ere+ ') he avai#ing e3*#$)ee. Therea%er, he &ni$n re&ese+ L>7: $ inc#&+e in is 3e3'ers *eri$+ $% service he i3e +&ring which he) ren+ere+ arrasre services $ L>7: hr$&gh he CLAS s$ ha he) c$&#+ ge higher 'ene%is. L>7: %ai#e+ $ ac $n he re&es. Th&s, he 3aer was s&'3ie+ %$r v$#&nar) ar'irai$n. Iss&e Wheher $r n$ 'ene%is c$nsising $% sa#ar) increases, vacai$n #eave an+ sic< #eave 'ene%is %$r he )ears 19"" $ 19" are a#rea+) 'arre+ ') *rescri*i$n when *rivae res*$n+ens %i#e+ heir case in 6an&ar) 1992 R&#ing N$. As regar+s *eii$ners c$neni$n ha he 3$ne) c#ai3 in his case is 'arre+ ') *rescri*i$n, we h$#+ ha his c$neni$n is wih$& 3eri. S$ is *eii$ners sance ha he 'ene%is c#ai3e+ ') he res*$n+ens, i.e., sic< #eave, vacai$n #eave an+ 1h53$nh *a), ha+ a#rea+) *rescri'e+, c$nsi+ering he hree5)ear *eri$+ %$r he insi&i$n $% 3$near) c#ai3s. S&ch +eer3inai$n is a &esi$n $% %ac which 3&s 'e asceraine+ 'ase+ $n he evi+ence, '$h $ra# an+ +$c&3enar), *resene+ ') he *aries 'e%$re he 8$#&nar) Ar'ira$r. In his case, he 8$#&nar) Ar'ira$r %$&n+ ha *rescri*i$n has n$ as )e se in $ 'ar he res*$n+ens c#ai3s %$r he 3$near) 'ene%is awar+e+ $ he3. Basic is he r&#e ha %in+ings $% %ac $% a+3inisraive an+ &asi5&+icia# '$+ies, which have ac&ire+ eF*erise 'eca&se heir &ris+ici$n is c$n%ine+ $ s*eci%ic 3aers, are genera##) acc$r+e+ n$ $n#) grea res*ec '& even %ina#i). Here, he 8$#&nar) Ar'ira$r receive+ he evi+ence $% he *aries %irs5 han+. N$ c$3*e##ing reas$n has 'een sh$wn %$r &s $ +iverge %r$3 he %in+ings $% he 8$#&nar) Ar'ira$r, es*ecia##) since he a**e##ae c$&r a%%ir3e+ his %in+ings, ha i $$< s$3e i3e %$r res*$n+en e3*#$)ees $ veni#ae heir c#ai3s 'eca&se $% he re*eae+ ass&rances 3a+e ') he *eii$ner ha i w$&#+ review he c$3*an) rec$r+s an+ +eer3ine here%r$3 he va#i+i) $% he c#ai3s, wih$& eF*ressing a caeg$rica# +enia# $% heir c#ai3s. As e#&ci+ae+ ') he 8$#&nar) Ar'ira$r The res*$n+ens ha+ raise+ *rescri*i$n as +e%ense. The c$nr$##ing #aw, as r&#e+ ') he High C$&r, is The ca&se $% aci$n accr&es &ni# he *ar) $'#igae+ re%&ses FFF $ c$3*#) wih his +&). Being war+e+ $%% ') *r$3ises, he w$r
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acs :n N$ve3'er , 199, res*$n+en Avangar+e Shi**ing C$r*$rai$n, acing in 'eha#% $% is %$reign *rinci*a#, res*$n+en Se3'awang 6$hns$n Manage3en, Pe., L+., hire+ *eii$ner La&r$ 7ega3$ as :i#er $% he vesse# Ni**$n Ree%er. Whi#e w$r
acs

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Res*$n+en Irene$ Pangani'an was e3*#$)e+ as Assisan Genera# Manager $% he *eii$ner Inerc$ninena# Br$a+casing C$r*$rai$n %r$3 Ma) 19- &ni# his *revenive s&s*ensi$n $n A&g&s !-, 19. Res*$n+en resigne+ %r$3 his e3*#$)3en $n Se*e3'er !, 19. :n A*ri# 1!, 199, res*$n+en %i#e+ wih he ria# c$&r a case agains he 3e3'ers $% he B$ar+ $% A+3inisra$rs =B:A? $% *eii$ner a##eging, a3$ng $hers, n$n5*a)3en $% his &n*ai+ c$33issi$ns. A 3$i$n $ +is3iss was %i#e+ ') 6$se#i$ Saniag$, $ne $% he +e%en+ans, $n he gr$&n+ $% #ac< $% &ris+ici$n, as res*$n+ens c#ai3 was a #a'$r 3$ne) c#ai3, '& his was +enie+ ') he RTC. Th&s, Saniag$ %i#e+ a *eii$n %$r ceri$rari wih he CA, which grane+ Saniag$s *eii$n %$r #ac< $% &ris+ici$n an+ se asi+e he RTCs :r+ers. Therea%er, res*$n+en was e#ece+ ') he B:A as 8ice5Presi+en %$r Mar
acs Peii$ner ar Eas hire+ $n March , 199- *rivae res*$n+en 6i33) Le'ai&e as r&c< +river wih a +ai#) wage $% P!!.2(. He +e#ivere+ ani3a# %ee+s $ he c$3*an)s c#iens. :n 6an&ar) !, !(((, Le'ai&e c$3*#aine+ $% n$n*a)3en $% $veri3e w$r< *aric&#ar#) $n 6an&ar) !!, !(((, when he was re&ire+ $ 3a), 'r$her $% ar Eass Genera# Manager an+ *eii$ner A#eFan+er >), s&s*en+e+ Le'ai&e a**aren#) %$r i##ega# &se $% c$3*an) vehic#e. Even s$, Le'ai&e re*$re+ %$r w$r< he neF +a) '& he was *r$hi'ie+ %r$3 enering he c$3*an) *re3ises. :n 6an&ar) !-, !(((, Le'ai&e s$&gh he assisance $% he 7e*ar3en $% La'$r an+ E3*#$)3en =7:LE? P&'#ic Assisance an+ C$3*#ains >ni c$ncerning he n$n*a)3en $% his $veri3e *a). Acc$r+ing $ Le'ai&e, w$ +a)s #aer, he receive+ a e#egra3 %r$3 *eii$ners re&iring hi3 $ re*$r %$r w$r<. When he +i+ he neF +a), 6an&ar) !9, !(((, A#eFan+er as
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Peii$ners 3ainain ha Le'ai&e, as a +river, is n$ eni#e+ $ $veri3e *a) since he is %ie#+ *ers$nne# wh$se i3e $&si+e he c$3*an) *re3ises cann$ 'e +eer3ine+ wih reas$na'#e cerain). Acc$r+ing $ *eii$ners, he +rivers +$ n$ $'serve reg&#ar w$r
acs In 6&ne 199, res*$n+en was e3*#$)e+ ') he *eii$ner as a '&s +river. :n he nigh $% ! A&g&s 199, he '&s he was +riving was '&3*e+ ') a 7ag&*an5'$&n+ '&s. As a c$nse&ence here$%, res*$n+en s&%%ere+ a %rac&re+ #e% #eg an+ was r&she+ $ he C$&nr) Me+ica# an+ Tra&3a Cener in Tar#ac Ci) where he was $*erae+ $n an+ c$n%ine+ %r$3 ! A&g&s 199 &* $ 1( :c$'er 199. :ne 3$nh a%er his re#ease %r$3 he sai+ h$s*ia#, he res*$n+en was c$n%ine+ again %$r %&rher rea3en $% his %rac&re+ #e% #eg a he S*ecia#is Gr$&* H$s*ia# in 7ag&*an Ci). His c$n%ine3en herein #ase+ a 3$nh. Peii$ner sh$&#+ere+ he +$c$rs *r$%essi$na# %ee an+ he $*erai$n, 3e+icai$n an+ h$s*ia# eF*enses $% he res*$n+en in he a%$resae+ h$s*ia#s. In 6an&ar) 199, he res*$n+en, si## #i3*ing heavi#), wen $ he *eii$ners $%%ice $ re*$r %$r w$r<. He was, h$wever, in%$r3e+ ') he *eii$ner ha he was c$nsi+ere+ resigne+ %r$3 his $'. Res*$n+en re%&se+ $ acce+e an+ insise+ $n having a +ia#$g&e wih he *eii$ners $%%icer na3e+ @$#an+a M$nes. 7&ring heir 3eeing, M$nes $#+ hi3 ha he was +ee3e+ $ have resigne+ %r$3 his w$r< an+ $ acce* a c$nsi+erai$n $% P2(,(((.((. Res*$n+en reece+ he eF*#anai$n an+ $%%er. Therea%er, 'e%$re Chris3as $% 199, he again c$nverse+ wih M$nes wh$ reierae+ $ hi3 ha he was regar+e+ as resigne+ '& raise+ he c$nsi+erai$n herein $ P1((,(((.((. Res*$n+en re'&%%e+ he increase+ $%%er. :n ( 6&ne 1999, res*$n+en, hr$&gh his c$&nse#, sen a #eer $ he *eii$ner +e3an+ing e3*#$)3en5re#ae+ 3$ne) c#ai3s. There 'eing n$ res*$nse %r$3 he *eii$ner, he res*$n+en %i#e+ 'e%$re he La'$r Ar'ier $n 1 Se*e3'er 1999 a c$3*#ain %$r =1? &n%air #a'$r *racice =!? i##ega# +is3issa# =? &n+er*a)3en $% wages =? n$n*a)3en $% $veri3e an+ h$#i+a) *re3i&3, service incenive #eave *a), vacai$n an+ sic< #eave 'ene%is, 1h 3$nh *a) =2? eFcessive +e+&ci$n $% wihh$#+ing aF an+ SSS *re3i&3 an+ =-? 3$ra# an+ eFe3*#ar) +a3ages an+ a$rne)s %ees. In is P$sii$n Pa*er +ae+ !" March !(((, *eii$ner c#ai3e+ ha he res*$n+ens ca&se $% aci$n agains *eii$ner ha+ a#rea+) *rescri'e+ 'eca&se when he %$r3er insi&e+ he a%$resai+ c$3*#ain $n 1 Se*e3'er 1999, 3$re han %ive )ears ha+ a#rea+) #a*se+ %r$3 he accr&a# $% his ca&se $% aci$n $n ! A&g&s 199. Iss&e Wheher $r n$ he ca&se $% aci$n $% res*$n+en has a#rea+) *rescri'e+

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R&#ing In i##ega# +is3issa# cases, he e3*#$)ee c$ncerne+ is given a *eri$+ $% %$&r )ears %r$3 he i3e $% his +is3issa# wihin which $ insi&e a c$3*#ain. This is 'ase+ $n Aric#e 11- $% he New Civi# C$+e which saes ha aci$ns 'ase+ &*$n an in&r) $ he righs $% he *#aini%% 3&s 'e 'r$&gh wihin %$&r )ears. The %$&r5)ear *rescri*ive *eri$+ sha## c$33ence $ r&n $n#) &*$n he accr&a# $% a ca&se $% aci$n $% he w$r
acs :n 7ece3'er , 199, he Regi$na# Tri*arie Wages an+ Pr$+&civi) B$ar+, Regi$n I, iss&e+ Wage :r+er N$. RTWPB5I5(, graning a C$s $% Living A##$wance =C:LA? $ c$vere+ w$rrgen M$i$n %$r Wri $% EFec&i$n, an+ Wri $% Garnish3en in RTWPB5I5(5CBBE59 NWPBC Case N$. E5925(" Case N$. R11(( see
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R&#ing Ar. !91 $% he La'$r C$+e a**#ies $ 3$ne) c#ai3s in genera# an+ *r$vi+es %$r a 5)ear *rescri*ive *eri$+ $ %i#e he3. :n he $her han+, res*$n+en e3*#$)ees 3$ne) c#ai3s in his case ha+ 'een re+&ce+ $ a &+g3en, in he %$r3 $% a Wage :r+er, which has 'ec$3e %ina# an+ eFec&$r). The *rescri*i$n a**#ica'#e, here%$re, is n$ he genera# $ne ha a**#ies $ 3$ne) c#ai3s, '& he s*eci%ic $ne a**#)ing $ &+g3ens. Th&s, he righ $ en%$rce he &+g3en, having 'een eFercise+ wihin %ive )ears, has n$ )e *rescri'e+. Sae+ $herwise, a c#ai3an has hree )ears $ *ress a 3$ne) c#ai3. :nce &+g3en is ren+ere+ in her %av$r, she has %ive )ears $ as< %$r eFec&i$n $% he &+g3en, c$&ne+ %r$3 is %ina#i). This is c$nsisen wih he r&#e $n sa&$r) c$nsr&ci$n ha a genera# *r$visi$n sh$&#+ )ie#+ $ a s*eci%ic $ne an+ wih he 3an+ae $% s$cia# &sice ha +$&'s sh$&#+ 'e res$#ve+ in %av$r $% #a'$r.

acs The *resen Peii$n ar$se %r$3 a C$3*#ain %$r i##ega# +is3issa# wih c#ai3s %$r 3$ra# an+ eFe3*#ar) +a3ages an+ a$rne)s %ees %i#e+ ') *eii$ner agains res*$n+ens C$ca C$#a B$#ers Phi#i**ines =CCBP? an+ R$ai+a Tag&i'a$ =Tag&i'a$? 'e%$re he La'$r Ar'ier $n 1 6&ne !((. Res*$n+en CCBP is a c$r*$rai$n engage+ in he '&siness $% *r$+&ci$n an+ +isri'&i$n $% car'$nae+ +rin
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acs Peii$ner, a +$3esic c$r*$rai$n which recr&is i#i*in$ w$rSf1!,-(.. :n he $her han+, *eii$ner *resene+ w$ +e%enses na3e#) *a)3en an+ *rescri*i$n. irs#), *eii$ner sai+ he #$ng service awar+ has a#rea+) 'een *ai+ ever) i3e each $% he c$nracs $% e3*#$)3en $% he res*$n+en c$3es $ an en+, since, he c$nrac is %$r a %iFe+ *eri$+ $% i3e. In e%%ec, he severance *a) receive+ ') he res*$n+en ever) i3e each $% he - c$nracs $% e3*#$)3en c$3es $ an en+, is a#s$ he #$ngevi) service awar+. Peii$ner c#ai3e+ ha #$ng service awar+ is he sa3e wih severance *a). Sec$n+#), *eii$ner insiss ha *rescri*i$n 'arre+ res*$n+ens c#ai3 %$r #$ng service awar+ 'eca&se &n+er Aric#e 1 $% he Sa&+i La'$r Law i *r$vi+es ha n$ case $r c#ai3 re#aing $ an) $% he righs *r$vi+e+ %$r &n+er sai+ #aw sha## 'e hear+ a%er he #a*se $% 1! 3$nhs %r$3 he +ae $% he er3inai$n $% he c$nrac. Res*$n+ens siFh c$nrac en+e+ $n A*ri# (, 1999 he +ae he #e% his w$r< which was a#s$ in e%%ec he +ae $% he er3inai$n $% his c$nrac, an+ he %i#e+ he case $n 7ece3'er 11, !((( which is 1 )ear an+ seven 3$nhs %r$3 he +ae $% he er3inai$n $% his c$nrac. The #a'$r ar'ier, NLRC, an+ CA +eci+e+ a## in %av$r $% he res*$n+en. Iss&es Wheher $r n$ CA erre+ in r&#ing ha res*$n+en is eni#e+ $ #$ng s ervice *a) which is +i%%eren %r$3 severance *a). !. Wheher $r n$ he ca&se $% aci$n has *rescri'e+. R&#ing SC sai+ ha CA has c$33ie+ an err$r in r&#ing ha he #$ng service *a) is +i%%eren %r$3 severance *a). Acc$r+ing $ SC he severance *a) receive+ ') he res*$n+en a he en+ $% each $% he siF c$nracs $% e3*#$)3en is e&iva#en $ he #$ng service *a). This is he reas$n wh) he %$r3&#a in c$3*&ing he severance *a) is he sa3e wih he c$3*&ai$n $% he #$ng service awar+. M$re$ver, SC sai+ ha res*$n+ens e3*#$)3en c$nracs eF*ress#) sae+ ha his e3*#$)3en en+e+ &*$n his +e*ar&re %r$3 w$r<. Each )ear he +e*are+ %r$3 w$r< an+ s&ccessive#) new c$nracs were eFec&e+ 'e%$re he re*$re+ %$r w$r< anew. His service was n$ c&3&#aive. Perinen#), in Bren Sch$$#, Inc. v. a3$ra , we sai+ ha Ja %iFe+ er3 is an essenia# an+ na&ra# a**&renanceK $% $verseas e3*#$)3en c$nracs as in his case. We a#s$ sai+ in ha case ha &n+er A3erican #aw, J/w0here a c$nrac s*eci%ies he *eri$+ $% is +&rai$n, i er3inaes $n he eF*irai$n $% s&ch *eri$+. A c$nrac $% e3*#$)3en %$r a +e%inie *eri$+ er3inaes ') is $wn er3s a he en+ $% s&ch *eri$+.K As i is, Aric#e "! $% he Sa&+i La'$r Law is a#s$ $% si3i#ar i3*$r. I rea+s A #a'$r c$nrac c$nc#&+e+ %$r a s*eci%ie+ *eri$+ sha## er3inae &*$n he eF*ir) $% is er3. I% '$h *aries c$nin&e $ en%$rce he c$nrac, herea%er, i sha## 'e c$nsi+ere+ renewe+ %$r an &ns*eci%ie+ *eri$+.

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SC r&#e+ ha he c#ai3 has n$ )e *rescri'e+ 'eca&se he #aw ha sh$&#+ 'e a**#ie+ $n *rescri*i$n is n$ he Sa&+i Law which grans 1! 3$nhs *eri$+ $% i3e $ %i#e he c#ai3 %r$3 he i3e $% he er3inai$n $% c$nrac '& i sh$&#+ 'e he La'$r C$+e *aric&#ar#) ART. !91. M$ne) c#ai3s. ] A## 3$ne) c#ai3s arising %r$3 e3*#$)er5e3*#$)ee re#ai$ns accr&ing +&ring he e%%ecivi) $% his C$+e sha## 'e %i#e+ wihin hree =? )ears %r$3 he i3e he ca&se $% aci$n accr&e+ $herwise he) sha## 'e %$rever 'arre+. The reas$n is 'eca&se *rescri*i$n is a *r$ce+&ra# #aw an+ &n+er he c$n%#ic $% #aws r&#es $% he Phi#i**ines he *r$ce+&ra# #aw $% he #eF %$ri $r #aw $% he %$r&3 =#aw $% he *#ace where he case is %i#e+? 3&s 'e a**#ie+. H$wever, an arg&3en can 'e raise+ ha even i% he c$n%#ic $% #aws r&#e *r$vi+es ha he *r$ce+&ra# #aw $% he #eF %$ri 3&s 'e %$##$we+, Sec.  $% $&r C$+e $% Civi# Pr$ce+&re which is a '$rr$wing sa&e *r$vi+es ha JI% ') he #aws $% he sae $r c$&nr) where he ca&se $% aci$n ar$se, he aci$n is 'arre+, i is a#s$ 'arre+ in he Phi#i**ine Is#an+s.K Seci$n  has n$ 'een re*ea#e+ $r a3en+e+ ') he Civi# C$+e $% he Phi#i**ines. Aric#e !!"( $% sai+ C$+e re*ea#e+ $n#) h$se *r$visi$ns $% he C$+e $% Civi# Pr$ce+&re as $ which were inc$nsisen wih i. There is n$ *r$visi$n in he Civi# C$+e $% he Phi#i**ines, which is inc$nsisen wih $r c$nra+ic$r) $ Seci$n  $% he C$+e $% Civi# Pr$ce+&re =Paras, Phi#i**ine C$n%#ic $% Laws, 1( /" h e+.0?. In he #igh $% he 19" C$nsi&i$n, h$wever, Seci$n  /$% he C$+e $% Civi# Pr$ce+&re0 cann$ 'e en%$rce+ eF *r$*ri$ vig$re ins$%ar as i $r+ains he a**#icai$n in his &ris+ici$n $% /Aric#e0 12- $% he A3iri 7ecree N$. ! $% 19"-. The c$&rs $% he %$r&3 wi## n$ en%$rce an) %$reign c#ai3 $'n$Fi$&s $ he %$r&3s *&'#ic *$#ic). T$ en%$rce he $ne5)ear *rescri*ive *eri$+ $% he Sa&+i Law as regar+s he c#ai3s in &esi$n w$&#+ c$nravene he *&'#ic *$#ic) $n he *r$eci$n $ #a'$r. Res*$n+ens c$3*#ain was %i#e+ we## wihin he hree5)ear *rescri*ive *eri$+ &n+er Aric#e !91 $% $&r La'$r C$+e. This *$in, h$wever, has a#rea+) 'een 3$$e+ ') SCs %in+ing ha res*$n+ens service awar+ ha+ 'een *ai+, a#'ei he *a)r$## er3e+ s&ch *a)3en as severance *a). Peii$n is Grane+.

acs In 19"9, res*$n+en R$'er$ R. Ping$# =Ping$#? was hire+ ') *eii$ner PL7T in 19"9, as a 3ainenance echnician. :n A*ri# 1, 1999, whi#e si## &n+er he e3*#$) $% PL7T, Ping$# was a+3ie+ a The Me+ica# Ci), Man+a#&)$ng Ci), %$r J*aran$i+ *ers$na#i) +is$r+erK +&e $ %inancia# an+ 3aria# *r$'#e3s. He was +ischarge+ %r$3 he h$s*ia#. Therea%er, he re*$re+ %$r w$r< '& %re&en#) a'sene+ hi3se#% +&e $ his *$$r 3ena# c$n+ii$n. Ping$# was a'sen %r$3 w$r< wih$& $%%icia# #eave %r$3 Se*e3'er 1-, 1999 $ 7ece3'er 1, 1999. PL7T, sen hi3 n$ices wih a sern warning ha he w$&#+ 'e +is3isse+ %r$3 e3*#$)3en i% he c$nin&e+ $ 'e a'sen wih$& $%%icia# #eave J*&rs&an $ PL7T S)se3s Pracice A5((" which *r$vi+es ha VA'sence wih$& a&h$ri4e+ #eaves %$r seven ="? c$nsec&ive +a)s is s&'ec $ er3inai$n %r$3 he service. 6an&ar) 1, !(((, PL7T er3inae+ his services $n he gr$&n+s $% &na&h$ri4e+ a'sences an+ a'an+$n3en $% $%%ice. :n March !9, !((, %$&r )ears #aer, Ping$# %i#e+ a C$3*#ain %$r C$nsr&cive 7is3issa# an+ M$near) C#ai3s/-0 agains PL7T . In his c$3*#ain, he a##ege+ ha he was hasi#) +is3isse+ %r$3 his e3*#$)3en $n 6an&ar) 1, !(((. In res*$nse, PL7T %i#e+ a 3$i$n $ +is3iss c#ai3ing, a3$ng $hers, ha res*$n+ens ca&se $% aci$n ha+ a#rea+) *rescri'e+ as he c$3*#ain was %i#e+ %$&r =? )ears an+ hree =? 3$nhs a%er his +is3issa#. La'$r Ar'ier =LA? iss&e+ an $r+er graning *eii$ners M$i$n $ 7is3iss $n he gr$&n+ $% *rescri*i$n. As c$rrec#) cie+ ') =PL7T?, as r&#e+ ') he S&*re3e C$&r in he case $% Ca##ana vs. Carnai$n Phi#s., 12 SCRA !-, he c$3*#ain %$r i##ega# +is3issa# 3&s 'e %i#e+ wihin %$&r =? )ears %r$3 an+ a%er he +ae $% +is3issa#. The NLRC in is N$ve3'er 12, !((- Res$#&i$n reverse+ he LAs res$#&i$n an+ %av$re+ Ping$#. Le he enire rec$r+s $% he case 'e REMAN7E7 $ he La'$r Ar'ier a &$ %$r %&rher *r$cee+ings. Iss&es Wheher $r n$ res*$n+en Ping$# %i#e+ his c$3*#ain %$r c$nsr&cive +is3issa# an+ 3$ne) c#ai3s wihin he *rescri*ive *eri$+ $% %$&r =? )ears as *r$vi+e+ in Aric#e 11- $% he Civi# C$+e/110/1!0 res*ecive#) an+ hree =? )ears as *r$vi+e+ in Aric#e !91 $% he La'$r C$+e, When is he *iv$a# +ae when he ca&se $% aci$n $% res*$n+en Ping$# accr&e+

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R&#ing Paries a**aren#) +$ n$ +is*&e he a**#ica'#e *rescri*ive *eri$+. Aric#e 11- $% he New Civi# C$+e *r$vi+es Ar. 11-. The %$##$wing aci$ns 3&s 'e insi&e+ wihin %$&r )ears =1? >*$n an in&r) $ he righs $% he *#aini%% In Ca##ana v. Carnai$n ,/1-0 when $ne is ar'irari#) an+ &n&s#) +e*rive+ $% his $' $r 3eans $% #ive#ih$$+, he aci$n insi&e+ $ c$nes he #ega#i) $% $nes +is3issa# %r$3 e3*#$)3en c$nsi&es, in essence, an aci$n *re+icae+ &*$n an in&r) $ he righs $% he *#aini%%, as c$ne3*#ae+ &n+er Ar. 11- $% he New Civi# C$+e, which 3&s 'e 'r$&gh wihin %$&r =? )ears. Wih regar+ $ he *rescri*ive *eri$+ %$r 3$ne) c#ai3s, Aric#e !91 $% he La'$r C$+e saes Aric#e !91. M$ne) C#ai3s. O A## 3$ne) c#ai3s arising %r$3 e3*#$)er5e3*#$)ee re#ai$ns accr&ing +&ring he e%%ecivi) $% his C$+e sha## 'e %i#e+ wihin hree =? )ears %r$3 he i3e he ca&se $% aci$n accr&e+ $herwise he) sha## 'e 'arre+ %$rever. I is a se#e+ &ris*r&+ence ha a ca&se $% aci$n has hree =? e#e3ens, $ wi =1? a righ in %av$r $% he *#aini%% ') whaever 3eans an+ &n+er whaever #aw i arises $r is creae+ =!? an $'#igai$n $n he *ar $% he na3e+ +e%en+an $ res*ec $r n$ $ vi$#ae s&ch righ an+ =? an ac $r $3issi$n $n he *ar $% s&ch +e%en+an vi$#aive $% he righ $% he *#aini%% $r c$nsi&ing a 'reach $% he $'#igai$n $% he +e%en+an $ he *#aini%%. Ping$# assers ha his c$3*#ain was %i#e+ wihin he *rescri*ive *eri$+ $% %$&r =? )ears. He c#ai3s ha his ca&se $% aci$n +i+ n$ accr&e $n 6an&ar) 1, !((( 'eca&se he was n$ caeg$rica##) an+ %$r3a##) +is3isse+ $r his 3$near) c#ai3s caeg$rica##) +enie+ ') *eii$ner PL7T $n sai+ +ae. &rher, res*$n+en Ping$# *$sis ha he c$nin&$&s %$##$w5&* $% his c#ai3 wih *eii$ner PL7T %r$3 !((1 $ !(( sh$&#+ 'e c$nsi+ere+ in he rec<$ning $% he *rescri*ive *eri$+. Peii$ner PL7T, $n he $her han+, c$nen+s ha res*$n+en Ping$# was +is3isse+ %r$3 he service $n 6an&ar) 1, !((( an+ s&ch %ac was even a##ege+ in he c$3*#ain he %i#e+ 'e%$re he LA. He never c$nra+ice+ his *revi$&s a+3issi$n ha he was +is3isse+ $n 6an&ar) 1, !(((. S&ch a+3ie+ %ac +$es n$ re&ire *r$$%. The C$&r agrees wih *eii$ner PL7T. 6&+icia# a+3issi$ns 3a+e ') *aries in he *#ea+ings, $r in he c$&rse $% he ria# $r $her *r$cee+ings in he sa3e case are c$nc#&sive an+ s$ +$es n$ re&ire %&rher evi+ence $ *r$ve he3. These a+3issi$ns cann$ 'e c$nra+ice+ &n#ess *revi$&s#) sh$wn $ have 'een 3a+e hr$&gh *a#*a'#e 3isa
res*$n+en Ping$# was n$ a##$we+ $ *er%$r3 his &s&a# an+ reg&#ar $' as a 3ainenance echnician. Res*$n+en Ping$# cie+ he sa3e +ae $% +is3issa# in his c$3*#ain 'e%$re he LA. As, h&s, c$rrec#) r&#e+ ') he LA, he c$3*#ain %i#e+ ha+ a#rea+) *rescri'e+. Res*$n+en c#ai3s ha 'eween !((1 an+ !((, he 3a+e %$##$w5&*s wih PL7T 3anage3en regar+ing his 'ene%is. This, $ his 3in+, $##e+ he r&nning $% he *rescri*ive *eri$+. The r&#e in his regar+ is c$vere+ ') Aric#e 1122 $% he Civi# C$+e. Is a**#ica'i#i) in #a'$r cases was &*he#+ in he case $% Inernai$na# Br$a+casing C$r*$rai$n v. Pangani'an where i was wrien Li
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Ping$# never 3a+e an) wrien eFra&+icia# +e3an+. Neiher +i+ *eii$ner 3an%$r&nae#), res*$n+en Ping$# has n$ $ne '& hi3se#% $ '#a3e %$r his $wn *re+ica3en. B) his $wn a##egai$ns in his c$3*#ain, he has 'arre+ his re3e+) an+ eFing&ishe+ his righ $% aci$n. A#h$&gh he C$nsi&i$n is c$33ie+ $ he *$#ic) $% s$cia# &sice an+ he *r$eci$n $% he w$r
acs Peii$ner Me+#ine Manage3en, Inc. =MMI?, $n 'eha#% $% is %$reign *rinci*a#, *eii$ner Grec$3ar Shi**ing Agenc) =GSA?, hire+ 6&#ian$ R$s#in+a =6&#ian$? $ w$r< $n '$ar+ he vesse# M8 8ic$r). 6&#ian$ was *revi$&s#) e3*#$)e+ ') he *eii$ners &n+er w$ s&ccessive se*arae e3*#$)3en c$nracs $% var)ing +&rai$ns. His #aes c$nrac was a**r$ve+ ') he P:EA $n Se*e3'er 9, 199 %$r a +&rai$n $% nine 3$nhs. In acc$r+ance wih which, he '$ar+e+ he vesse# M8 8ic$r) $n :c$'er !2, 199 as an $i#er an+, a%er severa# 3$nhs $% eFensi$n, was +ischarge+ $n 6an&ar) !(, !(((. M$nhs a%er his re*ariai$n, $r $n March -, !(((, 6&#ian$ c$ns&#e+ 7r. Pa3e#a R. L#$ren =7r. L#$ren? $% Mer$*$#ian H$s*ia#. He c$3*#aine+ a'$& a'+$3ina# +iseni$n which is he 3e+ica# er3 %$r a *aien wh$ v$3is *revi$&s#) ingese+ %$$+s. r$3 March  $ A&g&s !, !(((, 6&#ian$ has &n+erg$ne He3$+ia#)sis, a 3eh$+ $% re3$ving wase *r$+&cs s&ch as creainine an+ &rea, as we## as %reeing waer %r$3 he '#$$+, when he *$n a**r$va#, he sa3e sha## 'e +ee3e+ an inegra# *ar $% he San+ar+ E3*#$)3en C$nrac =SEC? %$r sea%arers. Seci$n ! $% he P:EA SEC saes SECTI:N !.6>RIS7ICTI:N  Rec$gni4ing he *ec&#iar na&re $% $verseas shi*'$ar+ e3*#$)3en, he e3*#$)er an+ he sea%arer agree ha a## c#ai3s arising %r$3 his c$nrac sha## 'e 3a+e wihin $ne =1? )ear %r$3 he +ae $% he sea%arers re&rn $ he *$in $% hire . =E3*hasis s&**#ie+? :n he $her han+, he La'$r C$+e saes ART. !91.M$ne) c#ai3s. ] A## 3$ne) c#ai3s arising %r$3 e3*#$)er5e3*#$)ee re#ai$ns accr&ing +&ring he e%%ecivi) $% his C$+e sha## 'e %i#e+ wihin hree =? )ears %r$3 he i3e he ca&se $% aci$n accr&e+ $herwise he) sha## %$rever 'e 'arre+. In S$&heasern Shi**ing v. Navarra, 6r. , we r&#e+ ha Aric#e !91 is he #aw g$verning he *rescri*i$n $% 3$ne) c#ai3s $% sea%arers, a c#ass $% $verseas c$nrac w$r
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