MOCK BAR EXAM

LABOR LAW
1. Which takes precedence in conflicts arising between employers’ MANAGEMENT
PREROGATIVE and the employees’ right to security of tenure? Why? (5%)

2. Q: Malyn Vartan is a well-known radio-N talk show host. She signed a contract with
XYZ Entertainment Network to host a one-hour daily talk show where she interviews
various celebrities on topical subjects that she herself selects. She was paid a monthly
remuneration of P300.000.00. The program had been airing for almost two years
when sponsors' advertising revenues dwindled, constraining the network to cancel
the show upon the expiration of its latest contract with Ms. Vartan. The talk-show
host protested the discontinuance of her monthly talent fee, claiming that it was
tantamount to her illegal dismissal from the network since she has already attained
the status of a regular employee.
(a) As the network's legal counsel, how would you justify its decision to cancel
Ms. Vartan's program which in effect terminated her services in the
process?
(b) As counsel for the-talk-show host, how would you argue your case? (10%)

3. Because of alleged “unfair labor practices" by the management of GFI System, a

government-owned and controlled financial corporation, Its employees walked out
from their jobs and refused to return to work until the management would grant
their union official recognition and start negotiations with them. The leaders of the
walk-out were dismissed, and the other participants were suspended for sixty days.
In arguing their case before the Civil Service Commission, they cited the principle of
social justice for workers and the right to self- organization and collective action,
including the right to strike. They claimed that the Constitution shielded them from
any penalty because their walk-out was a concerted action pursuant to their rights
guaranteed by the basic law. Is the position taken by the walk-out leaders and
participants legally correct? Reason briefly. (5%)

4. Zapato Custom-made Shoes, Inc. (ZaCSI) made shoes to customer specification and
repaired them. As a service to customers, a shoe shine stand was operated on its
premises. There were 10 shoe shine boys at the stand. They owned their shoe shine
boxes with cleaning agent polish, brushes, and rags. Walk-in customers willing to
wait were led by the shoe shine boys to a seat at the stand where he waited while the
boy shined the shoes. After the shoes were cleaned, the boy asked the customer to
pay to the receptionist. Customers not willing to wait left the shoes with the stand’s
receptionist who gave a receipt with the price for the service and pick-up date and
time indicated. The boys were free to get shoes to be shined from the receptionist
when there were no waiting walk-ins. For each pair shined, the boys got markers
corresponding to the price for their service. ZaCSI’s staff did not interfere with, nor
supervise, how the boys went about their tasks. At day’s end, the markers held by
each boy were tallied and paid for. The boys signed a receipt to acknowledge full
payment for work done.
 A labor federation organized ZaCSI and filed a petition for a consent election. The
boys, sympathizing with the workers, joined the union. At the pre-election conference,
the lawyer for ZaCSI moved to exclude the boys as voters.

(a) As Med-Arbiter handling the case, rule on the objection.

(b) Would your ruling be different if in this case, ZaCSI provided the boys with the
shoe shine boxes and their contents? Explain. (10%)

5. Asia Security & Investigation Agency (ASIA) executed a one-year contract with the
Baron Hotel (BARON) for the former to provide the latter with twenty (2,0) security
guards to safeguard the persons and belongings of hotel guests, among others. The
security guards filled up Baron application form and submitted the executed forms
directly to the Security Department of Baron. The pay slips of the security guards
bore Baron’s logo and showed that Baron deducted therefrom the amounts for SSS
premiums, medicare contributions and withholding taxes. Assignments of security
guards, who should be on duty or on call, promo-tions, suspensions, dismissals and
award citations for meritorious services were all done upon approval by Baron’s
chief Security officer. After the expiration of the contract with Asia, Baron did not
renew the same and instead executed another contract for-security services with
another agency. Asia placed the affected security guards on “floating status" on “no
work no pay” basis. Having been displaced from work, the Asia security guards filed a
case against the Baron Hotel for illegal dismissal, overtime pay, minimum wage
differentials, vacation leave and sick leave benefits, and 13th month pay. Baron Hotel
denied liability alleging that Asia is the employer of the security guards and therefore,
their complaint for illegal dismissal and payment of money claims should be directed
against Asia. Nevertheless, Baron filed a Third Party Complaint against Asia.

a. Is there an employer-employee relationship between the Baron Hotel, on one

hand, and the Asia security guards, on the other hand? Explain briefly.
b. Assuming that ASIA is the employer, is the act of ASIA in placing the security
guards on "floating status" lawful? Why? (10%)

6. Gabriela Liwanag has been working as bookkeeper at Great foods. Inc., which
operates a chain of high-end restaurants throughout the country, since 1970 when it
was still a small eatery at Binondo. In the early part of the year 2003. Gabriela. Who
was already 50 years old, reported for work after a week-long vacation in her
province. It was the height of the SARS (Severe Acute Respiratory Syndrome) scare,
and management learned that the first confirmed SARS death case in the Philippines.
A “balikbayan" nurse from Canada, is a townmate of Gabriela. Immediately, a
memorandum was issued by management terminating the services of Gabriela on the
ground that she is a probable carrier of SARS virus and that her continued
employment is prejudicial to the health of her co-employees. Is the action taken by
the employer justified? (5%)

7. Domingo, a bus conductor of San Juan Transportation Company, intentionally did not
issue a ticket to a female passenger, Kim, his long-time crush. As a result, Domingo
 was dismissed from employment for fraud or willful breach of trust. Domingo
contests his dismissal, claiming that he is not a confidential employee and, therefore,
cannot be dismissed from the service for breach of trust. Is Domingo correct?
Reasons. (5%)

8. Corporation “X” is engaged in a collective bargaining negotiation with the Union of its
employees. With respect to the demand for profit-sharing the corporation patiently
but consistently alleged that it cannot accept the said demand. The corporation and
the union several times to arrive at the proper resolution of the issue but the
corporation would not yield. Finally, the union filed an unfair labor practice case
accusing the corporation of bargaining in bad faith and refusing to accede to its
demand of profit-sharing. Decide. (5%)

9. The Secretary of Labor assumed jurisdiction over a strike in Manila Airlines and
eventually issued a return-to-work. The Manila Airlines Employees Union defied the
return-to-work order and continued with their strike. The management of Manila
Airlines then declared all the employees who participated in the strike dismissed
from employment. What are the effects of an assumption of jurisdiction by the
Secretary of Labor upon the striking employees and Manila Airlines? (5%)

10. Can the Bureau of Labor Relations certify a union as the exclusive bargaining
representative after showing proof of majority representation thru union
membership cards without conducting an election? (5%)

11. Can a dispute falling within the exclusive jurisdiction of the Labor Arbiter be
submitted to voluntary arbitration? Why or why not? (5%)

12. Distinguish between an award for back wages and an award for unpaid wages. (5%)

13. Flight attendant A, five feet and six inches tall, weighing 170 pounds ended up
weighing 220 pounds in two years. Pursuant to the long standing Cabin and Crew
Administration Manual of the employer airline that set a 147-pound limit for A’s
height, management sent A a notice to “shape up or ship out” within 60 days. At the
end of the 60-day period, A reduced her weight to 205 pounds. The company finally
served her a Notice of Administration Charge for violation of company standards on
weight requirements. Should A be dismissed? Explain. (5%)

14. Antonio Antuquin, a security guard, was caught sleeping on the job while on duty at
the Yosi Cigarette Factory, As a result, he was dismissed from employment by the
Wagan Security Agency, an independent contractor. At the time of his dismissal,
Antonio had been serving as a watchman in the factory for many years, often at
stretches of up to 12 hours, even on Sundays and holidays, without overtime,
nighttime and rest da~ benefits, He thereafter filed a complaint for illegal dismissal
and non-payment of benefits against Yosi Cigarette Factory, which he claimed was his
actual and direct employer. As the Labor Arbiter assigned to hear the case, how
would you correctly resolve Antonio's charge of illegal dismissal? (5%)
15. Mansueto was hired by the Philippine Packing Company (PPC) sometime in 1960 as
an hourly paid research field worker at its pineapple plantation in Bukidnon. In 1970,
he was transferred to the general crops plantation in Misamis Oriental. Mansueto was
promoted to the position of a monthly paid regular supervisor four years after.
Subsequently, research activity in Misamis Oriental was phased out in March of 1982
for having become unnecessary. Mansueto thereafter received a written
memorandum from the PPC, reassigning him to the Bukidnon plantation effective
April 1, 1982, with assurance that his position of supervisor was still there for him to
hold. Mansueto tried to persuade the PPC management to reconsider his transfer and
if this was not possible, to at least consider his position as redundant so that he could
be entitled to severance pay. PPC did not accept Mansueto's proposal. When
Mansueto continuously failed to report for work at the Bukidnon plantation, PPC
terminated his employment by reason of his refusal to accept his new assignment.
Mansueto claims that his reassignment is tantamount to an illegal constructive
dismissal. Do you agree with Mansueto? Explain. (5%)

16. XYZ Employees Association filed a complaint against ABC Bank for wrongful
diminution of benefits. It alleged that the bank had been providing for a mid-year
bonus equivalent to one-month basic pay and a Christmas bonus equivalent to one-
month basic pay since 1971. Upon the effectivity of Presidential Decree (P.D.) No. 851
in 1975 which granted the 13th month pay, the bank started giving its employees a
one-month basic pay as mid-year bonus, one-month basic pay as Christmas bonus,
and one-month basic pay as 13th month pay. In 1980, the bank was placed under
conservatorship and by virtue of a monetary board resolution of the Central Bank,
the bank only gave one month basic pay mandated by P.D. 851, and it no longer gave
its employees the traditional mid-year and Christmas bonuses. Could ABC Bank be
compelled, given the circumstances, to continue paying its employees the traditional
mid-year and Christmas bonuses in addition to the 13th month pay? (5%)

17. . Fil-Aire Aviation Company (FIL-AIRE) is a new airline company recruiting flight
attendants for its domestic flights. It requires that the applicant be single, not more
than 24 years old attractive, and familiar with three (3) major Visayan dialects, viz:
Ilongo, Cebuano and Waray. Lourdes. 23 years old was accepted as she possessed all
the qualifications. After passing the probationary period. Lourdes disclosed that she
got married when she was 18 years old but the marriage was already in the process
of being annulled on the ground that her husband was afflicted with a sexually
transmissible disease at the time of the celebration of their marriage. As a result of
this revelation. Lourdes was not hired as a regular flight attendant. Consequently, she
filed a complaint against FIL-AIRE alleging that the pre-employment qualifications
violate relevant provisions of the Labor Code and are against public policy. Is the
contention of Lourdes tenable? Discuss fully. (5%)