Title
Gold City Integrated Port Service, Inc. vs. National Labor Relations Commission
Case
G.R. No. 103560
Decision Date
Jul 6, 1995
INPORT employees staged an illegal strike in 1985; SC ruled union members entitled to separation pay but no backwages, while union officers received no relief.

Case Summary (G.R. No. 108052)

Facts and Procedural History

The employees conducted a mass action that led to the paralysis of INPORT’s operations and subsequently filed individual notices of strike with the Ministry of Labor and Employment. After unsuccessful conciliation attempts, INPORT sought a Labor Arbiter's intervention declaring the strike illegal. Despite the Labor Arbiter's ruling that the strike was illegal based on procedural deficiencies outlined in Article 264 of the Labor Code, INPORT initially permitted some strikers to return to work while refusing to reinstate others who continued their protest.

Decisions and Awards

The Labor Arbiter concluded that the private respondents were entitled to reinstatement irrespective of participation in the illegal strike, primarily due to lack of evidence of any illegal acts. However, the NLRC modified this ruling on January 14, 1991, permitting separation pay instead of reinstatement due to strained relations between the parties. The NLRC awarded twelve months' salary as separation pay and two years' backwages, emphasizing that the strike was more of a protest than an illegal action.

Subsequent Modifications

A subsequent NLRC resolution on December 12, 1991, revised the separation pay award to six months and removed the backwages entirely. The NLRC concluded that the workers were never officially terminated but were subjected to a controversial “screening” requirement, which the commission deemed unjustifiable. Private respondents argued against the reduction and the permanent deletion of backwages.

Legal Principles

The dispute hinges upon the applicability of laws concerning strikes. Under the Labor Code, specifically Article 264 and Article 265, a distinction exists between the rights of union officers and ordinary workers who participate in illegal strikes. Union officers may face termination for participating in illegal acts, while ordinary workers cannot be dismissed solely for participation without proof of wrongdoing.

Resolution of the Case

The Supreme Court ultimately found that while INPORT had accepted back other employees, private respondents were not entitled to reinstatement or backwages as they were expelled from the union and thus lost legal standing for reinstatement under the collective bargaining agreement. The decision favored a more practical solution of awarding separation pay. The Court's ruling illustrates that mere pa

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