Title
Funa vs. Chairman, Civil Service Commission
Case
G.R. No. 191672
Decision Date
Nov 25, 2014
CSC Chairman Duque's ex officio designation to GOCC boards ruled unconstitutional, violating independence and multiple-office prohibition.

Case Digest (G.R. No. 138971)
Expanded Legal Reasoning Model

Facts:

  • Antecedents
    • January 11, 2010: President Gloria Macapagal-Arroyo appoints Francisco T. Duque III as Chairman of the Civil Service Commission (CSC); confirmed by the Commission on Appointments on February 3, 2010.
    • February 22, 2010: President Arroyo issues Executive Order (EO) No. 864, directing the CSC Chairman to sit ex officio on the Boards of Directors/Trustees of:
      • Government Service Insurance System (GSIS)
      • Philippine Health Insurance Corporation (PhilHealth)
      • Employees’ Compensation Commission (ECC)
      • Home Development Mutual Fund (HDMF)
    • EO 864 cites Section 14, Chapter 3, Title I-A, Book V of the 1987 Administrative Code (EO 292), Republic Acts and Presidential Decrees empowering the President to reorganize the Executive Branch, and the mandate to protect the welfare of government employees.
  • Petition
    • April 8, 2010: Dennis A.B. Funa, taxpayer, concerned citizen and lawyer, files a petition for certiorari and prohibition challenging:
      • EO 864
      • Section 14, Chapter 3, Title I-A, Book V of EO 292 (Administrative Code)
      • Duque’s designation as ex officio board member of GSIS, PhilHealth, ECC, HDMF
    • Grounds: Violation of Section 1 (independence) and Section 2 (prohibition against holding any other office or employment) of Article IX-A, 1987 Constitution; implied amendment of GOCC charters; conflict of interest; impairment of CSC’s independence.
  • Respondents’ Position
    • EO 864 and Admin Code Sec 14 preserve CSC independence:
      • GSIS, PhilHealth, ECC, HDMF are GOCCs with original charters exempt from executive control.
      • Ex officio roles involve no additional compensation and are incidental to CSC functions.
      • Charters are silent on CSC membership; no repeal by implication.
    • Conflict of interest is minimal; decisions are collegial and can exclude Duque’s vote.
    • Reliance on Civil Liberties Union v. Executive Secretary: ex officio positions permitted without extra emoluments.

Issues:

  • Does EO 864 and the designation of Duque as ex officio board member of GSIS, PhilHealth, ECC, HDMF:
    • Impair the independence of the Civil Service Commission (Section 1, Art IX-A)?
    • Violate the prohibition against holding any other office or employment (Section 2, Art IX-A)?
  • Can EO 864 validly amend GOCC charters by executive order or does it exceed executive power?

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

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