Case Digest (G.R. No. 213299)
Facts:
PNCC Skyway Corporation v. Secretary of Labor and Employment and PNCC Skyway Corporation Employees Union, G.R. No. 213299, April 19, 2016, First Division, Perlas-Bernabe, J., writing for the Court. Petitioner is PNCC Skyway Corporation (PSC); respondents are the Secretary of Labor and Employment (DOLE Secretary) and the PSC Employees Union (PSCEU).In October 1977 the Republic, through the Toll Regulatory Board (TRB), and Philippine National Construction Corporation (PNCC) entered a Toll Operation Agreement for operation of the Skyway. Under a November 27, 1995 Supplemental TOA, PNCC retained the right to operate the Skyway but undertook to incorporate a subsidiary to perform its obligations; consequently PSC was incorporated on December 15, 1998 to operate and maintain the Skyway. On July 18, 2007, the TRB, PNCC and Citra Metro Manila Tollways Corporation (CITRA) executed an Amended STOA (ASTOA) that provided for turnover of operations from PSC to a Replacement Operator, later identified as Skyway O & M Corporation (SOMCO), with a transition period ending December 31, 2007.
On December 28, 2007 PSC issued termination letters and filed a notice of closure with DOLE notifying employees that their employment would be terminated effective January 31, 2008, and tendered a separation package (250% of monthly salary per year of service, P40,000 gratuity, 13th month pay, rice subsidy, leave conversions, medical reimbursement). On the same date the PSCEU filed a Notice of Strike alleging unfair labor practice and union busting; DOLE assumed jurisdiction on December 31, 2007.
In a Decision dated August 29, 2008 the DOLE Secretary dismissed the unfair labor practice and counter-charges but found the notices of dismissal invalid for noncompliance with the 30-day notice under Article 283 (now Article 298) of the Labor Code and ordered PSC to pay each terminated employee P30,000 indemnity, citing Agabon v. NLRC. Motions for reconsideration by PSC and PSCEU were denied in an August 26, 2009 Resolution. PSC filed a petition for certiorari to the Court of Appeals (CA).
In a Decision dated September 30, 2013, the CA in CA-G.R. SP No. 111201 affirmed the DOLE Secretary, reasoning that PSC took inconsistent positions about the termination date (Establishment Termination Report said January 31, 2008, but its Position Paper admitted...(Subscriber-Only)
Issues:
- Did the Court of Appeals err in affirming the DOLE Secretary’s finding that PSC failed to comply with the 30‑day prior written notice requirement under Article 298 (formerly Article 283) of the Labor Co...(Subscriber-Only)
Ruling:
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Ratio:
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Doctrine:
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