G.R. No.
162783 July 14, 2005 striking workers to return to work except those who were terminated
PHILIPPINE LONG DISTANCE TELEPHONE CO. INC., petitioner, vs.
MANGGAGAWA NG KOMUNIKASYON NG PILIPINAS AND THE COURT
OF APPEALS, respondents.
Chico-Nazario, J.
Topic: Arbitration Process Initiation Certification of Dispute and
Secretary DOLE
FACTS: Respondent MKP is a labor union of rank and file employees in
PLDT. Its members learned that a redundancy program would be
implemented by PLDT. It filed a Notice of Strike with the NCMB on the
ground of ULP1. 7 days later, MKP filed another Notice of Strike on the
ground of ULP.2
A number of conciliation meetings conducted by NCMB proved futile.
MKP then staged a strike. 383 union members were terminated from
service pursuant to PLDTs redundancy program. The DOLE Secretary
then issued a Return-to-work Order, finding that PLDTs operations is
impressed with public and national interest3. The Secretary ordered all
1
1. PLDTs abolition of the Provisioning Support Division, together with the redundancy of PSD
employees and the farming out of the jobs to casuals and contractuals, violates the duty to bargain
collectively with MKP in good faith.
2. PLDTs unreasonable refusal to honor its commitment that it will provide MKP its comprehensive
plan/s with respect to personnel downsizing/reorganization and closure of exchanges violates its
duty to bargain collectively with MKP in good faith.
3. PLDTs continued hiring of contractual, temporary, project and casual employees for The strike occurred on Dec. 23, 2002. Art. 263(G) directs that the
regular jobs performed by union members, resulting in the decimation of the union membership
and in the denial of the right to self-organization to the concerned employees.
4. PLDTs gross violation of the legal and CBA provisions on overtime work and compensation.
5. PLDTs gross violation of the CBA provisions on promotions and job grade re-evaluation or
reclassification.
2
PLDTs alleged restructuring of its GMM Operation Services and its closure of traffic operations at
the Batangas, Calamba, Davao, Iloilo, Lucena, Malolos and Tarlac Regional Operator Services. These
unjustly imperil the job security of 503 of MKPs members and will substantially decimate the
parties bargaining unit. And in the light of PLDTs previous commitment that it will provide MKP its
comprehensive plan/s with respect to personnel downsizing/reorganization and closure of
exchanges and of its more recent declaration that the Davao operator services will not be closed,
these moves are treacherous and are thus violative of PLDTs duty to bargain collectively with MKP
in good faith. These moves were effected with PLDT paying only lip service to its duties under Art.
Iii, Section 9 of the parties CBA signifies PLDTs gross violation of said CBA.
3
PLDT is the largest telecommunications entity in the Philippines whose operations are closely
linked with the countrys other telecommunication companies. It operates the countrys
international gateway system through which overseas telecommunications are made. Its operations
are also vital to the services of cellular phone companies. The Company employs more or less 13,000
employees, about 7,000 of whom are members of the union. A work stoppage at PLDT, without
doubt, will adversely affect the smooth operations of PLDT as well as those other telecommunication
due to redundancy.
ISSUE: Whether the Orders of the DOLE Secretary excluding from the
Return-to-Work Order the workers dismissed due to the redundancy
program are valid. NO.
RATIO: When the Secretary exercises the powers granted by Art.
263(g)4, he is, indeed, granted great breadth of discretion. However, the
application of this power is not without limitation.
As Art. 263(g) is clear and unequivocal in stating that ALL striking or
locked out employees shall immediately return to work, and the
employer shall immediately resume operations and readmit ALL
workers under the same terms and conditions prevailing before the
strike or lockout, then the mandate must be followed by the Secretary.
Assumption of jurisdiction over a labor dispute, or the certification
of the same to the NLRC for compulsory arbitration, always co-exists
with an order for workers to return to work immediately and for
employers to readmit all workers under the same terms and
conditions prevailing before the strike or lockout. (Trans-Asia
Shipping v. CA)
employer must readmit all workers under the same terms and
companies dependent upon the continuous operations of PLDT to the detriment of the public.
Undoubtedly, PLDTs operations is impressed with public and national interest as
communication plays a vital role in furtherance of trade, commerce, and industry specially at this
time of globalized economy where information is vital to economic survival. Work stoppage at PLDT
will also adversely effect the ordinary day-to-day life of the public in areas of its franchise.
Communication is also a component of state security.
xxx
These considerations have in the past guided this Office in consistently exercising its
powers under Article 263(g) of the Labor Code, as amended, in handling labor disputes involving the
Philippine Long Distance Telephone Company and other telecommunications companies.
4
Art 263. Strikes, picketing, and lockouts. x x x
(g) When in his opinion, there exists a labor dispute causing or likely to cause a strike or lockout in
an industry indispensable to the national interest, the Secretary of Labor and Employment may
assume jurisdiction over the dispute and decide it or certify the same to the Commission for
compulsory arbitration. Such assumption or certification shall have the effect of automatically
enjoining the intended or impending strike or lockout as specified in the assumption or certification
order. If one has already taken place at the time of assumption or certification, all striking or locked
out employees shall immediately return to work and the employer shall immediately resume
operations and readmit all workers under the same terms and conditions prevailing before the
strike or lockout.
conditions prevailing before the strike, hence, the condition present on
Dec. 22 must be maintained. On the latter date, the members of MKP who
were dismissed due to alleged redundancy were still employed by PLDT
and holding their respective positions. This is the status quo that must be
maintained.