Title
Aboitiz Shipping Employees Association vs. Trajano
Case
G.R. No. 112955
Decision Date
Sep 1, 1997
A labor union filed a wage underpayment claim against Aboitiz Shipping. The Supreme Court upheld the finality of a P1.35M award, ruling that the Secretary of Labor overstepped by reducing it post-finality.
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Case Summary (G.R. No. 112955)

Case Background

  • The Aboitiz Shipping Employees Association (Petitioner) filed a complaint against Aboitiz Shipping Corporation (ASC) in 1987 for non-compliance with mandated minimum wage laws.
  • The complaint cited violations of Presidential Decrees (P.D.) Nos. 1713 and 1751, as well as various Wage Orders.
  • An inspection by the Department of Labor and Employment (DOLE) Regional Director led to an order for ASC to pay P1,350,828.00 for underpayment of daily allowances.

Legal Proceedings and Appeals

  • ASC appealed the Regional Director's order, which was dismissed by the Secretary of Labor.
  • ASC's subsequent motion for reconsideration was denied, leading to a petition for certiorari.
  • The Supreme Court affirmed the Regional Director's order but excluded one complainant, Mr. Elizardo Manuel, from the award.

Execution of Judgment

  • In August 1991, the Petitioner filed for an alias writ of execution, which was initially granted.
  • However, this order was set aside by the Secretary of Labor, who created a Special Committee to reassess ASC's liability.

Findings of the Special Committee

  • The Special Committee reduced the amount owed from P1,350,828.00 to P209,183.42, citing compliance with various wage decrees except for minor adjustments.
  • The Petitioner contested this reduction, arguing it was not appealable and that the Secretary of Labor lacked jurisdiction to modify the final award.

Supreme Court Ruling

  • The Court found merit in the Petitioner's claims, emphasizing that the reduction of the final judgment was unjustified.
  • The basis for the modification was evidence that could have been presented earlier by ASC, thus not warranting a change in the executed order.
  • The Court reiterated that a final and executory judgment cannot be altered unless new facts arise after the judgment.

Key Legal Principles

  • Finality of Judgment: Once a judgment becomes final and executory, it is generally immune to alteration except in specific circumstances.
  • Jurisdiction: The Secretary of Labor's authority to modify final awards is limited and cannot contravene established judgments.

Relevant Legal References

  • P.D. No. 1713 and P.D. No. 1751 concerning minimum wage and living allowances.
  • Previous case law, including Aboitiz Shipping Corporation v. Hon. Dionisio de la Serna, affirming the original award.

Key Takeaways

  • The Supreme Court re
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