8/9/2019 Fulache vs. ABSC-CBN
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Republic of the PhilippinesSupreme Court
Manila
SECOND DIVISION
FARLEY FULACHE, MANOLO
JABONERO, DAVID CASTILLO,
JEFFREY LAGUNZAD,
MAGDALENA MALIG-ON
BIGNO, FRANCISCO CABAS,
JR., HARVEY PONCE and ALAN
C. ALMENDRAS,
Petitioners,
- versus -
ABS-CBN BROADCASTING
CORPORATION, Respondent.
G.R. No. 1!1"
Present:
CARPIO, J., Chairperson,
BRION,
DEL CASTILLO, ABAD, and
PEREZ,JJ.
Prou!"ated:
#anuar$ %&, %'&'
(-------------------------------------------------------------------------------------- (
D E C I S I O N
BRION,J.:
T)e petition *or revie+ on certiorari&no+ e*ore us see/s to set aside t)e
de0ision%and reso!ution1o* t)e Court o* Appea!s, Nineteent) Division 2CA3
prou!"ated on 4ar0) %5, %''6 and #u!$ 6, %''6, respe0tive!$, in CA- 7.R. SP
No. '&616.8
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T#$ An%$&$d$n%'
T#$ R$()*a+a%on Ca'$.
In #une %''&, petitioners 9ar!e$ 9u!a0)e, 4ano!o #aonero, David Casti!!o,
#e**re$ La"unad, 4a"da!ena 4a!i"-on Bi"no, 9ran0is0o Caas, #r., ;arve$ Pon0e
and A!an C. A!endras 2petitioners3 and Cresente Atinen 2Atinen3 *i!ed t+o
separate 0op!aints *or re"u!ariation, un*air !aor pra0ti0e and severa! one$
0!ais 2regularization case3 a"ainst ABS-CBN Broad0astin" Corporation-Ceu
2ABS-CBN3. 9u!a0)e and Casti!!o +ere drivers
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On #anuar$ &@, %''%, Laor Ariter Rendoue rendered )is
de0ision5)o!din" t)at t)e petitioners +ere re"u!ar ep!o$ees o* ABS-CBN, not
independent 0ontra0tors, and are entit!ed to t)e ene*its and privi!e"es o* re"u!arep!o$ees.
ABS-CBN appea!ed t)e ru!in" to t)e Nationa! Laor Re!ations Coission
2NLRC3 9ourt) Division, ain!$ 0ontendin" t)at t)e petitioners +ere independent
0ontra0tors, not re"u!ar ep!o$ees.?
T#$ I**$(a* D'''a* Ca'$.
While the appeal of the regularization case as pen!ing, ABS-CBN
disissed 9u!a0)e, #aonero, Casti!!o, La"unad and Atinen 2a!! drivers3 *or t)eir
re*usa! to si"n up 0ontra0ts o* ep!o$ent +it) servi0e 0ontra0tor A!e
Servi0es. T)e *our drivers and Atinen responded $ *i!in" a &o/*an% 0o+**$(a*
d'''a*2illegal !is"issal case3. T)e 0ase 2RAB >II Case No. '@-&1''-%''%3
+as !i/e+ise )and!ed $ Laor Ariter Rendoue.
In de*ense, ABS-CBN a!!e"ed t)at even e*ore t)e !aor ariter rendered )is
de0ision o* #anuar$ &@, %''% in t)e re"u!ariation 0ase, it )ad a!read$ underta/en a
0opre)ensive revie+ o* its e(istin" or"aniationa! stru0ture to address its
operationa! reuireents. It t)en de0ided to 0ourse t)rou") !e"itiate servi0e
0ontra0tors a!! drivin", essen"eria!, anitoria!, uti!it$, a/e-up, +ardroe and
se0urit$ servi0es *or ot) t)e 4etro 4ani!a and provin0ia! stations, to iprove its
operations and to a/e t)e ore e0onoi0a!!$ via!e. 9u!a0)e, #aonero,
Casti!!o, La"unad and Atinen +ere not sin"!ed out *or disissa!= as drivers, t)e$
+ere disissed e0ause t)e$ e!on"ed to a o 0ate"or$ t)at )ad a!read$ een
0ontra0ted out. It ar"ued t)at even i* t)e petitioners )ad een *ound to )ave een
i!!e"a!!$ disissed, t)eir reinstateent )ad e0oe a p)$si0a! ipossii!it$
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T)e petitioners oved *or re0onsideration, 0ontendin" t)at 9u!a0)e,
#aonero, Casti!!o and La"unad are entit!ed to reinstateent and *u!! a0/+a"es,
sa!ar$ in0reases and ot)er CBA ene*its as +e!! as &1t)
ont) pa$, 0as) 0onversiono* si0/ and va0ation !eaves, edi0a! and denta! a!!o+an0es, edu0ationa! ene*its
and servi0e a+ards. Atinen appeared to )ave een e(0!uded *ro t)e otion and
t)ere +as no s)o+in" t)at )e sou")t re0onsideration on )is o+n.
ABS-CBN !i/e+ise oved *or t)e re0onsideration o* t)e de0ision,
reiteratin" t)at 9u!a0)e, #aonero, Casti!!o and La"unad +ere independent
0ontra0tors, +)ose servi0es )ad een terinated due to redundan0$= t)us, no
a0/+a"es s)ou!d )ave een a+arded. It *urt)er ar"ued t)at t)e petitioners +ere
not entit!ed to t)e CBA ene*its e0ause t)e$ never 0!aied t)ese ene*its in t)eir
position paper e*ore t)e !aor ariter +)i!e t)e NLRC *ai!ed to a/e a 0!ear and
positive *indin" t)at t)at t)e$ +ere part o* t)e ar"ainin" unit= neit)er +as t)ere
eviden0e to support t)is *indin".
T)e NLRC reso!ved t)e otions *or re0onsideration on 4ar0) %8,
%''?&'$ reinstatin" t)e t+o separate de0isions o* t)e !aor ariter dated #anuar$
&@, %''%,&&andApri! %&, %''1,&%respe0tive!$. T)us, on t)e re"u!ariation issue,
t)e NLRC stood $ t)e ru!in" t)at t)e petitioners +ere re"u!ar ep!o$ees entit!ed
to t)e ene*its and privi!e"es o* re"u!ar ep!o$ees. On t)e i!!e"a! disissa! 0ase,
t)e petitioners, +)i!e re0o"nied as re"u!ar ep!o$ees, +ere de0!ared disissed
due to redundan0$. T)e NLRC denied t)e petitioners se0ond otion *or
re0onsideration in its order o* 4a$ 1&, %''? *or ein" a pro)iited p!eadin".&1
T#$ CA P$%%on and D$&'on
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T)e petitioners +ent to t)e CA t)rou") a petition *or certiorariunder Ru!e
?5 o* t)e Ru!es o* Court.&8 T)e$ 0)ar"ed t)e NLRC +it) "rave ause o*
dis0retion in: 2&3 den$in" t)e t)e ene*its under t)e CBA= 2%3 *indin" noeviden0e t)at t)e$ are part o* t)e 0opan$s ar"ainin" unit= 213 not reinstatin"
and a+ardin" a0/+a"es to 9u!a0)e, #aonero, Casti!!o and La"unad= and 283
ru!in" t)at t)e$ are not entit!ed to daa"es and attorne$s *ees.
ABS-CBN, on t)e ot)er )and, uestioned t)e propriet$ o* t)e petitioners
use o* a certioraripetition. It ar"ued t)at t)e proper reed$ *or t)e petitioners +as
an appea! *ro t)e reinstated de0isions o* t)e !aor ariter.
In its de0ision o* 4ar0) %5, %''6,&5t)e appe!!ate 0ourt rus)ed aside ABS-
CBNs pro0edura! uestion, )o!din" t)at t)e petition +as usti*ied e0ause t)ere is
no p!ain, speed$ or adeuate reed$ *ro a *ina! de0ision, order or reso!ution o*
t)e NLRC= t)e reinstateent o* t)e !aor ariters de0isions did not ean t)at t)e
pro0eedin"s reverted a0/ to t)e !eve! o* t)e ariter. It !i/e+ise a**ired t)e
NLRC ru!in" t)at t)e petitioners se0ond otion *or re0onsideration is a pro)iited
p!eadin" under t)e NLRC ru!es.&?
On t)e erits o* t)e 0ase, t)e CA ru!ed t)at t)e petitioners *ai!ed to prove
t)eir 0!ai to CBA ene*its sin0e t)e$ never raised t)e issue in t)e 0opu!sor$
aritration pro0eedin"s, and did not appea! t)e !aor ariters de0ision +)i0) +as
si!ent on t)eir entit!eent to CBA ene*its. T)e CA *ound t)at t)e petitioners
*ai!ed to s)o+ +it) spe0i*i0it$ )o+ Se0tion & 2Appropriate Bar"ainin" nit3 and
t)e ot)er provisions o* t)e CBA app!ied to t)e.
On t)e i!!e"a! disissa! issue, t)e CA up)e!d t)e NLRC de0ision reinstatin"
t)e !aor ariters Apri! %&, %''1 ru!in".&@T)us, t)e drivers J 9u!a0)e, #aonero,
Casti!!o and La"unad J +ere not i!!e"a!!$ disissed as t)eir separation *ro t)e
servi0e +as due to redundan0$= t)e$ )ad not presented an$ eviden0e t)at ABS-
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CBN aused its prero"ative in 0ontra0tin" out t)e servi0es o* drivers. E(0ept *or
separation pa$, t)e CA denied t)e petitioners 0!ai *or a0/+a"es, ora! and
e(ep!ar$ daa"es, and attorne$s *ees.
T)e petitioners oved *or re0onsideration, ut t)e CA denied t)e otion in a
reso!ution prou!"ated on #u!$ 6, %''6.&6 ;en0e, t)e present petition.
T#$ P$%%on
T)e petitioners 0)a!!en"e t)e CA ru!in" on ot) pro0edura! and sustantive
"rounds. As pro0edura! uestions, t)e$ suit t)at t)e CA erred in: 2&3 a**irin"
t)e NLRC reso!ution +)i0) reversed its o+n de0ision= 2%3 sustainin" t)e NLRC
ru!in" t)at t)eir se0ond otion *or re0onsideration is a pro)iited p!eadin"= 213 not
ru!in" t)at ABS-CBN aditted in its position paper e*ore t)e !aor ariter t)at
t)e$ +ere eers o* t)e ar"ainin" unit as t)e atter +as not raised in its appea!
to t)e NLRC= and, 283 not ru!in" t)at not+it)standin" t)eir *ai!ure to appea! *ro
t)e *irst de0ision o* t)e Laor Ariter, t)e$ 0an sti!! parti0ipate in t)e appea! *i!ed
$ ABS-CBN re"ardin" t)eir ep!o$ent status.
On t)e sustantive aspe0t, t)e petitioners 0ontend t)at t)e CA "rave!$ erred
in: 2&3 not 0onsiderin" t)e eviden0e suitted to t)e NLRC on appea! to o!ster
t)eir 0!ai t)at t)e$ +ere eers o* t)e ar"ainin" unit and t)ere*ore entit!ed to
t)e CBA ene*its= 2%3 not orderin" ABS-CBN to pa$ t)e petitioners sa!aries,
a!!o+an0es and CBA ene*its a*ter t)e NLRC )as de0!ared t)at t)e$ +ere re"u!ar
ep!o$ees o* ABS-CBN= 213 not ru!in" t)at under e(istin" urispruden0e, t)e
position o* driver 0annot e de0!ared redundant, and t)at t)e petitioners-drivers
+ere i!!e"a!!$ disissed= and, 283 not ru!in" t)at t)e petitioners +ere entit!ed to
daa"es and attorne$s *ees.
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T)e petitioners ar"ue t)at t)e NLRC reso!ution o* 4ar0) %8, %''?& +)i0)
set aside its oint de0ision o* De0eer &5, %''8%'and reinstated t)e t+in
de0isions o* t)e !aor ariter,%&)ad t)e e**e0t o* prou!"atin" a ne+ de0ision
ased on issues t)at +ere not raised in ABS-CBNs partia! appea! to t)eNLRC. T)e$ suit t)at t)e NLRC s)ou!d )ave a!!o+ed t)eir se0ond otion *or
re0onsideration so t)at it a$ e a!e to euita!$ eva!uate t)e parties Fconflicting
#ersions of the factsG instead o* den$in" t)e otion on a ere te0)ni0a!it$.
On t)e uestion o* t)eir CBA 0overa"e, t)e petitioners 0ontend t)at t)e CA
erred in not 0onsiderin" t)at ABS-CBN aditted t)eir eers)ip in t)e
ar"ainin" unit, *or no+)ere in its partia! appea! *ro t)e !aor ariters de0ision
in t)e re"u!ariation 0ase did it a!!e"e t)at t)e petitioners *ai!ed to prove t)at t)e$
are eers o* t)e ar"ainin" unit= instead, t)e 0opan$ stood $ its position t)at
t)e petitioners +ere not entit!ed to t)e CBA ene*its sin0e t)e$ +ere independent
0ontra0tors
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ne+s tea= Pon0e and A!endras, to s)oot s0enes and events +it) t)e use o*
0aeras o+ned $ ABS-CBN= 4a!i"-on Bi"no, as studio produ0tion assistant and
assistant editorTR a0)ine re0order. As produ0tion assistants,t)e petitioners suit t)at t)e$ are ran/-and-*i!e ep!o$ees 20itin" in support o*
t)eir position t)e Courts ru!in" inABS-CBN Broa!casting Corp. #. Nazareno%13
+)o are entit!ed to sa!ar$ in0reases and ot)er ene*its under t)e CBA. Re!$in" on
t)e Courts ru!in" inNe $acific %i"&er an! Suppl' Co"pan', (nc. #. NLRC,%8 t)e$ posit t)at to e(0!ude t)e *ro t)e CBA F+ou!d 0onstitute undue
dis0riination and +ou!d deprive t)e o* onetar$ ene*its t)e$ +ou!d ot)er+ise
e entit!ed to.)
As t)eir *ina! point, t)e petitioners ar"ue t)at even i* t)e$ +ere not a!e to
prove t)at t)e$ +ere eers o* t)e ar"ainin" unit, t)e CA s)ou!d not )ave
disissed t)eir petition. K)en t)e CA a**ired t)e ru!in"s o* ot) t)e !aor
ariter and t)e NLRC t)at t)e$ are re"u!ar ep!o$ees, t)e CA s)ou!d )ave ordered
ABS-CBN to re0o"nie t)eir re"u!ar ep!o$ee status and to "ive t)e t)e sa!aries,
a!!o+an0es and ot)er ene*its and privi!e"es under t)e CBA.
On t)e disissa! o* 9u!a0)e, #aonero, Casti!!o and La"unad, t)e
petitioners ipute ad *ait) on ABS-CBN +)en it ao!is)ed t)e positions o*
drivers 0!aiin" t)at t)e 0opan$ *ai!ed to 0op!$ +it) t)e reuisites o* a va!id
redundan0$ a0tion. T)e$ aintain t)at ABS-CBN did not present an$ eviden0e on
t)e ne+ sta**in" pattern as approved $ t)e ana"eent o* t)e 0opan$, and did
not even ot)er to s)o+ +)$ it 0onsidered t)e positions o* drivers super*!uous and
unne0essar$= it is not true t)at t)e positions o* drivers no !on"er e(isted e0ause
t)ese positions +ere 0ontra0ted out to an a"en0$ t)at, in turn, re0ruited *our drivers
to ta/e t)e p!a0e o* 9u!a0)e, #aonero, Casti!!o and La"unad. As *urt)er
indi0ation t)at t)e redundan0$ a0tion a"ainst t)e *our drivers +as done in ad *ait),
t)e petitioners 0a!! attention to ABS-CBNs ao!ition o* t)e position o* drivers a*ter
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!on"er e t)e sue0t o* a petition *or certiorari= t)e petitioners 0annot otain *ro
t)e appe!!ate 0ourt a**irative re!ie* ot)er t)an t)ose "ranted in t)e appea!ed
de0ision. It a!so ar"ues t)at t)e NLRC did not 0oit an$ "rave ause o*
dis0retion in reinstatin" t)e t+in de0isions o* t)e !aor ariter, t)ere$ a**irin"t)at no CBA ene*its 0an e a+arded to t)e petitioners= in t)e asen0e o* an$
i!!e"a! disissa!, t)e petitioners +ere not entit!ed to reinstateent, a0/+a"es,
daa"es, and attorne$s *ees.
T#$ Co)+%' R)*n(
Ke *irst reso!ve t)e parties pro0edura! uestions.
ABS-CBN +ants t)e petition to e disissed outri")t *or its a!!e"ed *ai!ure
to 0op!$ +it) t)e reuireent o* Ru!e 85 o* t)e Ru!es o* Court t)at t)e petition
raises on!$ uestions o* !a+.%?
Ke *ind no ipropriet$ in t)e petition *ro t)e standpoint o* Ru!e 85. T)e
petitioners do not uestion t)e *indin"s o* *a0ts o* t)e assai!ed de0isions. T)e$
uestion t)e isapp!i0ation o* t)e !a+ and urispruden0e on t)e *a0ts re0o"nied $
t)e de0isions. 9or e(ap!e, t)e$ uestion as 0ontrar$ to !a+ t)eir e(0!usion *ro
t)e CBA a*ter t)e$ +ere re0o"nied as re"u!ar ran/-and-*i!e ep!o$ees o* ABS-
CBN. T)e$ a!so uestion t)e asis in !a+ o* t)e disissa! o* t)e *our drivers and
t)e !e"a! propriet$ o* t)e redundan0$ a0tion ta/en a"ainst. To reiterate t)e
esta!is)ed distin0tions et+een uestions o* !a+ and uestions o* *a0t, +e uote
)ereunder our ru!in" inNe Rural Ban* of Gui"&a +N.. (nc. #. er"ina S. A&a!
an! Rafael Susan/%@
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2$ +$%$+a%$ %#$ d'%n&%on 3$%4$$n a 5)$'%on o0 *a4 and a 5)$'%on
o0 0a&%. A 5)$'%on o0 *a4 $6'%' 4#$n %#$ do)3% o+ &on%+o7$+'8 &on&$+n' %#$
&o++$&% a//*&a%on o0 *a4 o+ 9)+'/+)d$n&$ %o a &$+%an '$% o0 0a&%': o+ 4#$n
%#$ '')$ do$' no% &a** 0o+ an $6ana%on o0 %#$ /+o3a%7$ 7a*)$ o0 %#$
$7d$n&$ /+$'$n%$d, %#$ %+)%# o+ 0a*'$#ood o0 %#$ 0a&%' 3$n( ad%%$d. A
5)$'%on o0 0a&% $6'%' 4#$n a do)3% o+ d00$+$n&$ a+'$' a' %o %#$ %+)%# o+0a*'$#ood o0 0a&%' o+ 4#$n %#$ 5)$+8 n7%$' &a*3+a%on o0 %#$ 4#o*$ $7d$n&$
&on'd$+n( an*8 %#$ &+$d3*%8 o0 %#$ 4%n$''$', %#$ $6'%$n&$ and
+$*$7an&8 o0 '/$&0& ')++o)ndn( &+&)'%an&$', a' 4$** a' %#$+ +$*a%on %o
$a o%#$+ and %o %#$ 4#o*$, and %#$ /+o3a3*%8 o0 %#$ '%)a%on.
Ke a!so *ind no error in t)e CAs a**iration o* t)e denia! o* t)e petitioners
se0ond otion *or re0onsideration o* t)e 4ar0) %8, %''? reso!ution o* t)e NLRC
reinstatin" t)e !aor ariters t+in de0isions. T)e petitioners se0ond otion *orre0onsideration +as a pro)iited p!eadin" under t)e NLRC ru!es o* pro0edure.%6
T)e parties ot)er pro0edura! uestions dire0t!$ ear on t)e erits o* t)eir
positions and are dis0ussed and reso!ved e!o+, to"et)er +it) t)e 0ore
sustantive issues o*: 2&3 +)et)er t)e petitioners, as re"u!ar ep!o$ees, are
eers o* t)e ar"ainin" unit entit!ed to CBA ene*its= and 2%3 +)et)er
petitioners 9u!a0)e, #aonero, Casti!!o and La"unad +ere i!!e"a!!$ disissed.
T#$ C*a 0o+ CBA B$n$0%'
2$ 0nd $+% n %#$ /$%%on$+'; /o'%on'.
As re"u!ar ep!o$ees, t)e petitioners *a!! +it)in t)e 0overa"e o* t)e
ar"ainin" unit and are t)ere*ore entit!ed to CBA ene*its as a atter o* !a+ and
0ontra0t. In t)e root de0ision 2t)e !aor ariters de0ision o* #anuar$ &@, %''%3 t)at
t)e NLRC and CA a**ired, t)e !aor ariter de0!ared:
2HEREFORE, IN THE LIGHT OF THE FOREGOING, ta/in" into
a00ount t)e *a0tua! s0enario and t)e eviden0e addu0ed $ ot) parties, it is
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de0!ared t)at 0op!ainants in t)ese 0ases are REGULAR EMPLOYEESo*
respondent ABS-CBN and not INDEPENDENT CONTRACTORS and t)us
)en0e*ort) t)e$ are entit!ed to t)e ene*its and privi!e"es atta0)ed to re"u!ar statuso* t)eir ep!o$ent.
T)is de0!aration uneuivo0a!!$ sett!ed t)e petitioners ep!o$ent status:
t)e$ are ABS-CBNs re"u!ar ep!o$ees entit!ed to t)e ene*its and privi!e"es o*
re"u!ar ep!o$ees. T)ese ene*its and privi!e"es arise *ro entit!eents under t)e
!a+ 2spe0i*i0a!!$, t)e Laor Code and its re!ated !a+s3, and *ro t)eir ep!o$ent
0ontra0t as re"u!ar ABS-CBN ep!o$ees, part o* +)i0) is t)e CBA i* t)e$ *a!!
+it)in t)e 0overa"e o* t)is a"reeent. T)us, +)at on!$ needs to e reso!ved as an
issuefor purposes of i"ple"entation of the !ecisionis +)et)er t)e petitioners *a!!
+it)in CBA 0overa"e.
T)e parties &-%''% CBA provided in its Arti0!e I 2S0ope o* t)e
A"reeent3 t)at:%
Se0tion &. APPROPRIATE BAR7AININ7 NIT. J T)e parties a"reet)at t)e appropriate ar"ainin" unit s)a!! e +$()*a+ +an
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supervisor$ or 0on*identia! ep!o$ees= neit)er are t)e$ 0asua! nor proationar$
ep!o$ees. 4ost iportant!$, t)e !aor ariters de0ision o* #anuar$ &@, %''% J
a**ired a!! t)e +a$ up to t)e CA !eve! J ru!ed a"ainst ABS-CBNs suission t)at
t)e$ are independent 0ontra0tors. T)us, as re"u!ar ran/-and-*i!e ep!o$ees, t)e$*a!! +it)in CBA 0overa"e under t)e CBAs e(press ters and are entit!ed to its
ene*its.
Ke see no erit in ABS-CBNs ar"uents t)at t)e petitioners are not
entit!ed to CBA ene*its e0ause: 2&3 t)e$ did not 0!ai t)ese ene*its in t)eir
position paper= 2%3 t)e NLRC did not 0ate"ori0a!!$ ru!e t)at t)e petitioners +ere
eers o* t)e ar"ainin" unit= and 213 t)ere +as no eviden0e o* t)is
eers)ip. To *urt)er 0!ari*$ +)at +e stated aove, CBA 0overa"e is not on!$ a
uestion o* *a0t, ut o* !a+ and 0ontra0t. T)e *a0tua! issue is +)et)er t)e
petitioners are re"u!ar ran/-and-*i!e ep!o$ees o* ABS-CBN. T)e triuna!s e!o+
uni*or!$ ans+ered t)is uestion in t)e a**irative. 9ro t)is *a0tua! *indin"
*!o+s !e"a! e**e0ts tou0)in" on t)e ters and 0onditions o* t)e petitioners re"u!ar
ep!o$ent. T)is +as +)at t)e !aor ariter eant +)en )e stated in )is de0ision
t)at 0henceforth the' are entitle! to the &enefits an! pri#ileges attache! to regular
status of their e"plo'"ent.)Si"ni*i0ant!$, ABS-CBN itse!* posited e*ore t)is
Court t)at 0the Court of Appeals !i! not gra#el' err nor gra#el' a&use its
!iscretion hen it affir"e! the resolution of the NLRC !ate! 1arch 23, 2445
reinstating an! a!opting in toto the !ecision of the La&or Ar&iter !ate! Januar'
67, 2442 8 8 8.)1'T)is representation a!one *u!!$ reso!ves a!! t)e oe0tions J
pro0edura! or ot)er+ise J ABS-CBN raised on t)e re"u!ariation issue.
T#$ D'''a* o0 F)*a$, Ja3on$+o,Ca'%**o and La()nad
T)e terination o* ep!o$ent o* t)e *our drivers o00urred under )i")!$
uestiona!e 0ir0ustan0es and +it) p!ain and unadu!terated ad *ait).
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T)e re0ords s)o+ t)at t)e re"u!ariation 0ase +as in *a0t t)e root o* t)e
resu!tin" ad *ait) as t)is 0ase "ave rise and !ed to t)e disissa! 0ase. irst, t)e
re"u!ariation 0ase +as *i!ed !eadin" to t)e !aor ariters de0ision1&
de0!arin" t)epetitioners, in0!udin" 9u!a0)e, #aonero, Casti!!o and La"unad, to e re"u!ar
ep!o$ees. ABS-CBN appea!ed t)e de0ision and aintained its position t)at t)e
petitioners +ere independent 0ontra0tors.
In t)e 0ourse o* t)is appea!, ABS-CBN too/ atters into its o+n )ands and
terinated t)e petitioners servi0es, 0!ear!$ disre"ardin" its o+n appea! t)en
pendin" +it) t)e NLRC. Nota!$, t)is appea! posited t)at t)e petitioners +ere not
ep!o$ees 2+)ose servi0es t)ere*ore 0ou!d e terinated t)rou") disissa! under
t)e Laor Code3= t)e$ +ere independent 0ontra0tors +)ose servi0es 0ou!d e
terinated at +i!!, sue0t on!$ to t)e ters o* t)eir 0ontra0ts. To usti*$ t)e
terination o* servi0e, t)e 0opan$ 0ited redundan0$ as its aut)oried 0ause ut
o**ered no usti*i0ator$ supportin" eviden0e. It ere!$ 0!aied t)at it +as
0ontra0tin" out t)e petitioners a0tivities in t)e e(er0ise o* its ana"eent
prero"ative.
ABS-CBNs intent, o* 0ourse, ased on t)e re0ords, +as to trans*er t)e
petitioners and t)eir a0tivities to a servi0e 0ontra0tor +it)out pa$in" an$ attention
to t)e reuireents o* our !aor !a+s= )en0e, ABS-CBN disissed t)e petitioners
+)en t)e$ re*used to si"n up +it) t)e servi0e 0ontra0tor. 1% In t)is anner, ABS-
CBN *e!! into a do+n+ard spira! o* irre0on0i!a!e !e"a! positions, a!! underta/en in
t)e )ope o* savin" itse!* *ro t)e de0ision de0!arin" its Fta!entsG to e re"u!ar
ep!o$ees.
B$ doin" a!! t)ese, ABS-CBN *or"ot !aor !a+ and its rea!ities.
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It *or"ot t)at $ 0!aiin" redundan0$ as aut)oried 0ause *or disissa!, it
ip!ied!$ aditted t)at t)e petitioners +ere re"u!ar ep!o$ees +)ose servi0es, $
!a+, 0an on!$ e terinated *or t)e ust and aut)oried 0auses de*ined under t)e
Laor Code.
Li/e+ise ABS-CBN *or"ot t)at it )ad an e(istin" CBA +it) a union, +)i0)
a"reeent ust e respe0ted in an$ ove a**e0tin" t)e se0urit$ o* tenure o*
a**e0ted ep!o$ees= ot)er+ise, it ran t)e ris/ o* 0oittin" un*air !aor pra0ti0e J
ot) a 0riina! and an adinistrative o**ense.11 It sii!ar!$ *or"ot t)at an e(er0ise
o* ana"eent prero"ative 0an e va!id on!$ i* it is underta/en in "ood *ait) and
+it) no intent to de*eat or 0ir0uvent t)e ri")ts o* its ep!o$ees under t)e !a+s or
under va!id a"reeents.18
Last!$, it *or"ot t)at t)ere +as a standin" !aor ariters de0ision t)at, +)i!e
not $et *ina! e0ause o* its o+n pendin" appea!, 0annot sip!$ e disre"arded. B$
ip!eentin" t)e disissa! a0tion at t)e tie t)e !aor ariters ru!in" +as under
revie+, t)e 0opan$ uni!atera!!$ ne"ated t)e e**e0ts o* t)e !aor ariters ru!in"
+)i!e at t)e sae tie appea!!in" t)e sae ru!in" to t)e NLRC. T)is uni!atera!
ove is a dire0t a**ront to t)e NLRCs aut)orit$ and an ause o* t)e appea!
pro0ess.
A!! t)ese "o to s)o+ t)at ABS-CBN a0ted +it) patent ad *ait). A 0!ose
para!!e! +e 0an dra+ to 0)ara0terie t)is ad *ait) is t)e pro)iition a"ainst *oru-
s)oppin" under t)e Ru!es o* Court. In *oru-s)oppin", t)e Ru!es 0)ara0terie as
ad *ait) t)e a0t o* *i!in" sii!ar and repetitive a0tions *or t)e sae 0ause +it) t)e
intent o* soe)o+ *indin" a *avora!e ru!in" in one o* t)e a0tions *i!ed. 15 ABS-
CBNs a0tions in t)e t+o 0ases, as des0ried aove, are o* t)e sae 0)ara0ter,
sin0e its ovious intent +as to de*eat and render use!ess, in a roundaout +a$ and
ot)er t)an t)rou") t)e appea! it )ad ta/en, t)e !aor ariters de0ision in t)e
re"u!ariation 0ase. 9oru-s)oppin" is pena!ied $ t)e disissa! o* t)e a0tions
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invo!ved. T)e pena!t$ a"ainst ABS-CBN *or its ad *ait) in t)e present 0ase
s)ou!d e no !ess.
T)e errors and oissions do not e!on" to ABS-CBN a!one. T)e !aorariter )ise!* +)o )and!ed ot) 0ases did not see t)e tota!it$ o* t)e 0opan$s
a0tions *or +)at t)e$ +ere. ;e appeared to )ave !ind!$ a!!o+ed +)at )e "ranted
t)e petitioners +it) )is !e*t )and, to e ta/en a+a$ +it) )is ri")t )and, unind*u!
t)at t)e 0opan$ a!read$ e()iited a ad"e o* ad *ait) in see/in" to terinate t)e
servi0es o* t)e petitioners +)ose re"u!ar status )ad ust een re0o"nied. ;e
s)ou!d )ave re0o"nied t)e ad *ait) *ro t)e tiin" a!one o* ABS-CBNs
0ons0ious and purpose*u! oves to se0ure t)e u!tiate ai o* avoidin" t)e
re"u!ariation o* its so-0a!!ed Fta!ents.G
T)e NLRC, *or its part, initia!!$ re0o"nied t)e presen0e o* ad *ait) +)en it
ori"ina!!$ ru!ed t)at:
K)i!e noti0e )as een ade to t)e ep!o$ees +)ose positions +ere
de0!ared redundant, t)e e!eent o* "ood *ait) in ao!is)in" t)e positions o* t)e0op!ainants appear to e +antin". In *a0t, it reains undisputed t)at )erein
0op!ainants +ere terinated +)en t)e$ re*used to si"n an ep!o$ent 0ontra0t+it) A!e Servi0es +)i0) +ou!d a/e t)e appear as ep!o$ees o* t)e a"en0$
and not o* ABS-CBN. Su0) a0t $ itse!* 0!ear!$ deonstrates ad *ait) on t)epart o* t)e respondent in 0arr$in" out t)e 0opan$s redundan0$ pro"ra ( ( (.1?
On otion *or re0onsideration $ ot) parties, t)e NLRC reiterated its
Fpronoun0eent t)at 0op!ainants +ere i!!e"a!!$ terinated as e(tensive!$
dis0ussed in our #oint De0ision dated De0eer &5, %''8.G1@ et, in an
ine(p!i0a!e turnaround, it re0onsidered its oint de0ision and reinstated not on!$
t)e !aor ariters de0ision o* #anuar$ &@, %''% in t)e re"u!ariation 0ase, ut a!so
)is i!!e"a! disissa! de0ision o* Apri! %&, %''1.16T)us, t)e NLRC oined t)e !aor
ariter in )is error t)at +e 0annot ut 0)ara0terie as "rave ause o* dis0retion.
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T)e Court 0annot !eave un0)e0/ed t)e !aor triuna!s patent "rave ause o*
dis0retion t)at resu!ted, +it)out dout, in a "rave inusti0e to t)e petitioners +)o
+ere 0!aiin" re"u!ar ep!o$ent status and +ere un0ereonious!$ deprived o*
t)eir ep!o$ent soon a*ter t)eir re"u!ar status +as re0o"nied. n*ortunate!$, t)eCA *ai!ed to dete0t t)e !aor triuna!s "ross errors in t)e disposition o* t)e
disissa! issue. T)us, t)e CA itse!* oined t)e sae errors t)e !aor triuna!s
0oitted.
T)e inusti0e 0oitted on t)e petitioners
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&. Con*irin" t)at petitioners 9ARLE 9LAC;E, 4ANOLO
#ABONERO, DA>ID CASTILLO, #E99RE LA7NZAD,
4A7DALENA 4ALI7-ON BI7NO, 9RANCISCO CABAS, #R.,;AR>E PONCE and ALAN C. AL4ENDRAS are
re"u!arep!o$ees o* ABS-CBN BROADCASTIN7
CORPORATION, and de0!arin" t)e entit!ed to a!! t)e ri")ts,
ene*its and privi!e"es, in0!udin" CBA ene*its, *ro t)e tie t)e$
e0ae re"u!ar ep!o$ees in a00ordan0e +it) e(istin" 0opan$
pra0ti0e and t)e Laor Code=
%. De0!arin" i!!e"a! t)e disissa! o* 9u!a0)e, #aonero, Casti!!o
and La"unad, and orderin" ABS-CBN to iediate!$ reinstate t)e
to t)eir *orer positions +it)out !oss o* seniorit$ ri")ts +it) *u!!
a0/+a"es and a!! ot)er onetar$ ene*its, *ro t)e tie t)e$ +ere
disissed up to t)e date o* t)eir a0tua! reinstateent=
1. A+ardin" ora! daa"es o* P&'','''.'' ea0) to 9u!a0)e,
#aonero, Casti!!o and La"unad= and,
8. A+ardin" attorne$s *ees o* &'H o* t)e tota! onetar$ a+ard
de0reed in t)is De0ision.
Costs a"ainst t)e respondent.
SO ORDERED.ARTURO D. BRION
Asso0iate #usti0e
2E CONCUR:
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ANTONIO T. CARPIO
Asso0iate #usti0e
Chairperson
MARIANO C. DEL CASTILLO
Asso0iate #usti0e
ROBERTO A. ABAD
Asso0iate #usti0e
JOSE P. PEREZ
Asso0iate #usti0e
ATTESTATION
I attest t)at t)e 0on0!usions in t)e aove De0ision )ad een rea0)ed in
0onsu!tation e*ore t)e 0ase +as assi"ned to t)e +riter o* t)e opinion o* t)e Courts
Division.
ANTONIO T. CARPIO Asso0iate #usti0e
Chairperson
CERTIFICATION
Pursuant to Se0tion &1, Arti0!e >III o* t)e Constitution, and t)e Division
C)airpersons Attestation, it is )ere$ 0erti*ied t)at t)e 0on0!usions in t)eaove De0ision )ad een rea0)ed in 0onsu!tation e*ore t)e 0ase +as assi"ned to
t)e +riter o* t)e opinion o* t)e Courts Division.
REYNATO S. PUNO
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C)ie* #usti0e
& Rollo, pp. 16-@6= 9i!ed pursuant to Ru!e 85 o* t)e Ru!es o* Court.% (!. at -%%= penned $ Asso0iate #usti0e A$ C. Laaro-#avier and 0on0urred in $ Asso0iate #usti0e Papio A.
Aarintos and Asso0iate #usti0e 9ran0is0o P. A0osta.1 (!. at pp.1%-11.8 arle' ulache, et al. #. NLRC, et al.5(!. at &%@-&1'= Petition, Anne( FE.G?(!. at &1&-&@1= Petition, Anne( F9.G@(!. at &61-&&= Petition, Anne( F;.G6LABOR CODE, Arti0!e %61.
Rollo, pp. %68-%= Petition, Anne( F#.G&'(!. at 1''-1&'= Petition, Anne( FM.G&&Supranote 5.&%Supranote @.&1Rollo, pp. 1&&-1&%= Petition, Anne( FL.G&8(!. at 1&1-1?&.&5Supranote %.&?T)e %''5 Revised Ru!es o* Pro0edure o* t)e Nationa! Laor Re!ations Coission, Ru!e >II, Se0tion &5.&@Supranote @.&6Supranote 1.&Supranote &'.%'Supranote .%&Dated #anuar$ &@, %''% and Apri! %&, %''1.%%Rollo, pp. &1-%68= Petition, Anne( FI.G%17.R. No. &?8&5?, Septeer %?, %''?, 5'1 SCRA %'8.%87.R. No. &%8%%8, 4ar0) &@, %''', 1%6 SCRA 8'8.%5Rollo, pp. 1%-88?.%?SECTION &. 9i!in" o* petition +it) Supree Court. - A part$ desirin" to appea! $ certiorari*ro a ud"ent or
*ina! order or reso!ution o* t)e Court o* Appea!s, t)e Sandi"ana$an, t)e Re"iona! Tria! Court or ot)er 0ourts
+)enever aut)oried $ !a+, a$ *i!e +it) t)e Supree Court a veri*ied petition *or revie+ on certiorari. T)e
petition s)a!! raise on!$ uestions o* !a+ +)i0) ust e distin0t!$ set *ort).%@7.R. No. &?&6&6, Au"ust %', %''6, 5?% SCRA 5'1.%6Supranote &.%Rollo, p. %[email protected]'Coent, p. %, 7round No. III= rollo, p. 11.1&Supranote 5.1%Rollo,p. &8= CA De0ision, p. ?, !ast para"rap).
11LABOR CODE, Arti0!e %[email protected] 1iguel Breer' Sales orce Union-$%GW9 #. 9ple, 7.R. No. 515&5, 9eruar$ 6, &6, &@' SCRA %5.15irst $hilippine (nternational Ban* #. Court of Appeals, 7.R. No. &&568, #anuar$ %8, &?, %5% SCRA %5.1?Rollo,p. %%= 4RC #oint De0ision, p. , para"rap) &.1@(!.at 1', NLRC reso!ution dated 4ar0) %8, %''?, p. &', par. &.16(!. at 1'= NLRC reso!ution dated 4ar0) %8, %''?, p. &', dispositive portion.1 LABOR CODE, Arti0!e %@.8':a' $ro!ucts, (nc. #. CA, 7.R. No. &?%8@%, #u!$ %6, %''5, 8?8 SCRA 588.8&Liton;ua Group of Ca"panies #.
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