Title
Bigg's, Inc. vs. Boncacas
Case
G.R. No. 200487
Decision Date
Mar 6, 2019
Bigg’s Inc. vs. union: illegal strikes, unfair labor practices, and employee dismissals ruled; separation pay awarded due to procedural non-compliance and violence.

Case Summary (G.R. No. 200487)

Background and Summary of Facts

Bigg's, Inc. employed several workers represented by the Bigg's Employees Union, with Boncacas as president. A labor dispute arose after two strikes staged by union members—one on February 16, 1996, characterized by a "sit-down strike," and another on March 5, 1996, involving alleged violence and obstruction. Bigg's management contended that the strikes were illegal due to non-compliance with procedural requirements such as proper notice and strike votes. In response, Bigg's placed striking union members under preventive suspension, requiring explanations, and eventually terminated their employment on February 19, 1996 for participation in the strikes. The union accused Bigg's of unfair labor practices, including interference with union activities and dismissal due to union membership.

Procedural History Before Labor Tribunals

The union filed a complaint for unfair labor practices, illegal dismissal, and damages, which was consolidated with Bigg's complaint for illegal strike. The Labor Arbiter (LA) ruled the February 16 strike illegal for failure to observe procedural requirements—notice of strike, strike vote, and cooling-off period—and held the March 5 strike illegal due to violent and obstructive acts by union members. The LA found the dismissal of union officers valid for their knowing participation in illegal strikes, but ordered reinstatement of rank-and-file union members who did not participate in illegal acts. On appeal, the National Labor Relations Commission (NLRC) initially reversed the LA decision, ruling the first strike legal due to unfair labor practices by Bigg's, but on motion for reconsideration, the NLRC reinstated the LA's findings that both strikes were illegal and upheld the validity of union officers' dismissal.

Court of Appeals Decision

The CA partially granted the union's appeal, overturning the NLRC's findings regarding the February 16 strike by holding that Bigg's failed to prove a sit-down strike occurred, citing lack of corroborative evidence beyond one corporate officer’s testimony. The CA recognized unfair labor practices by Bigg's for barring union members’ entry and threatening dismissal based on union membership, effectively considering the union as having been "busted," thus excusing compliance with usual strike procedural requirements. However, the CA affirmed the illegality of the March 5 strike for violence and obstruction, including blocking delivery vans and using stones to prevent passage. The CA upheld dismissal of certain union officers for illegal acts while exonerating Boncacas from participation in those acts. The CA ordered reinstatement with backwages of certain union members, and excluded others based on alleged settlements or failure to be named petitioners.

Issues on Review

  1. Whether the strikes of February 16 and March 5, 1996 were illegal.
  2. Whether the dismissal of union officers and members was valid.
  3. Proper award of damages and identification of entitled parties.

Supreme Court's Review and Ruling

The Court acknowledged conflicting findings and undertook fact review. It emphasized that a valid strike under the Labor Code and its implementing rules must comply with procedural prerequisites: filing notice of strike, observing the cooling-off period (15 days for unfair labor practice strikes), conducting a majority strike vote with proper notice to the NCMB, and reporting results at least seven days before the strike. Exceptions to the cooling-off period include cases of union busting involving dismissal of union officers threatening union existence.

First Strike (February 16, 1996):
The Court ruled the February 16 strike illegal for failure to file the required Notice of Strike prior to the strike and failure to observe the cooling-off period. Bigg's presented substantial and corroborative evidence from multiple witnesses attesting to the sit-down strike where employees refused to work and remained idle, confirming illegality. The union’s post-strike filing of the Notice of Strike did not satisfy legal requirements. Furthermore, the union failed to prove unfair labor practices or union busting necessary to exempt compliance with the cooling-off period.

Second Strike (March 5, 1996):
Despite procedural compliance, the Court upheld the illegality of the March 5 strike due to violent and aggressive acts of union members, including forming barricades, throwing stones at delivery vehicles, obstructing ingress and egress, and intimidating customers. These acts violated Article 279 of the Labor Code prohibiting violence and obstruction during picketing. The CA’s findings on these matters were affirmed.

Dismissal of Union Officers and Members:
The dismissals of union officers—including Boncacas—were held valid because union officers who knowingly participate in illegal strikes may be validly terminated regardless of participation in illegal acts during the strike. For rank-and-file members, dismissal must be supported by proof of knowing participation in illegal acts during the strike. Boncacas’ dismissal was valid because he was proven to have organized both illegal strikes. Other union members who did not commit illegal acts during the strikes were ordered reinstated.

Proper Parties and Awards

The Court directed inclusion of certain union members (Menandro Ramos, Sheila Raymundo, and Gregorio Come) who were entitled to reinstatement but omitted from dispositive rulings without explanation, in line with the Labor Arbiter’s original decision, except for those who did not participate in the petition. The Court affirmed the Court of Appeals' ruling that


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