PHHC v Court of Industrial Relations, 150 SCRA 296

FACTS: Te PHHC !Peoples Homesite and Housing Corporation) see"s a reversal of te Resolution of
te CIR en #an$ in orderin% te& to 'a( 'rivate res'ondents )a%e differential for )or"* The
Philippine government and World Food Program (WFP) entered into an agreement in a plan for the Sapang
Palay resettlement area in the PHHC proposing a self-help projet to !e underta"en !y the s#uatter
families for the onstrution of t$o dams% Te 'arti$i'ants )ere assi%ned to )or" on $anals and roads+
o)ever, te 'ro,e$ts a%reed #et)een te PHHC and -FP )ere never full( i&'le&ented* They $ere
ordered to aomplish a time sheet $hih is the !asis for the payment of &' entavos(day and a $ee"ly
food ration%
Ho$ever) the 'arti$i'ants )ent to te .e'art&ent of /a#or $o&'lainin% a#out teir )or" and
$o&'ensation )i$ Se$retar( 0'le su%%est tat te )or"ers in te said 'ro,e$t &ust #e 'aid in
&ini&u& )a%e la)* *fter that) petitioner suspended $or" and the $or"ers assert their minimum $age and
the &' entavos !e paid to them% The 'etitioner ans)ered #efore te CIR tat te( )ere e1er$isin%
%overn&ental fun$tions and tat te( did not ire 'rivate res'ondents and CIR ad no ,urisdi$tion
over te&* The Court dismissed the ation of the petitioner sine there $as no evidene that private
respondents rendered overtime $or"% The petitioner moved to reonsider !efore the C+, !ut denied the
laims% Thus) they elevated the ase to the Supreme Court%
Issue- Whether the C+, has jurisdition over PHHC) a government o$ned and(or ontrolled orporation)
and if the PHHC is performing a governmental of propriety funtions%
Held- 20% The C+, has jurisdition over la!or disputes involving government o$ned or ontrolled
orporation performing propriety funtions) !ut not those performing governmental funtions% Te PHHC is
a %overn&ental institution 'erfor&in% %overn&ental fun$tions, #e$ause it is tas"ed )it te &ass
ousin% and resettle&ent 'ro%ra& to &eet te needs of Fili'inos for de$ent ousin%*