Case Summary (G.R. No. 170132)
Petitioner
Government Service Insurance System (GSIS) and its President and General Manager, Winston F. Garcia
Respondent
Kapisanan ng mga Manggagawa sa GSIS (KMG)
Key Dates
- October 4–7, 2004: GSIS employees, including KMG members, staged rallies and mass walkouts at the GSIS main office during office hours
- October 10–25, 2004: GSIS management issued show-cause directives and filed administrative charges against participating employees
- December 17, 2004: Additional charges filed against 230 KMG members
- June 16, 2005: Court of Appeals (CA) Decision granting KMG’s petition for prohibition
- October 18, 2005: CA Resolution denying GSIS’s motion for reconsideration
- December 6, 2006: Supreme Court decision
Applicable Law
- 1987 Constitution: guarantees self-organization of government employees (Art. IX-B, Sec. 2[5]) but limits the right to strike “in accordance with law” (Art. XIII, Sec. 3[2])
- Republic Act No. 8291 (GSIS Act of 1997), Section 45: vests in the GSIS President authority to discipline personnel for cause in conformity with Civil Service rules
- Executive Order No. 180 (1987): guidelines for public‐sector self-organization
- Civil Service Commission Resolution No. 021316: defines and prohibits concerted mass actions causing work stoppage or service disruption
- Code of Conduct and Ethical Standards for Public Officials and Employees (RA 6713)
Factual and Procedural Background
Between October 4 and 7, 2004, nearly half of GSIS main-office employees absented themselves during office hours to participate in street rallies and demonstrations aimed at protesting management style. GSIS management issued show-cause orders beginning October 10, 2004, and formally charged a total of 278 employees (both union and non-union members) with grave misconduct and conduct prejudicial to the best interest of the service. KMG filed a petition for prohibition before the Court of Appeals, contending that the charges were arbitrary, vindictive, and violated employees’ rights to free expression and self-organization.
Court of Appeals Ruling
The CA granted KMG’s petition, holding that filing administrative charges against 361 (later 278) members amounted to grave abuse of discretion. The CA viewed the mass action as an exercise of protected free-speech and assembly rights, disallowed disciplinary sanctions for participation, and enjoined GSIS from implementing existing or future charges arising from the October 2004 events.
Issue
Whether the mass demonstrations by GSIS employees constituted a “prohibited concerted mass action” or strike, thus permitting the GSIS President to file administrative charges under Section 45 of RA 8291, or whether such disciplinary measures were arbitrary and violative of free-expression and self-organization rights.
Supreme Court Analysis
- Public-sector employees enjoy the constitutional right to self-organization but not the right to strike or to engage in mass work stoppages that disrupt service. Precedents (Alliance of Government Workers v. Minister of Labor; Bangalisan v. CA; Jacinto v. CA; Gesite v. CA) uniformly hold that self-organization does not encompass strikes or walkouts.
- CSC Resolution No. 021316 expressly prohibits collective activities intended to cause work stoppage or service disruption, including mass leaves and walkouts.
- The four-day absence of up to 48% of GSIS staff during business hours disrupted services and falls squarely within the definition of prohibited concerted activity.
- Under
Case Syllabus (G.R. No. 170132)
Factual Background
- From October 4 to 7, 2004, rank-and-file employees of the GSIS, including members of respondent union KMG, staged a four-day concerted demonstration, rallies and en masse walkout in front of the GSIS main office in Pasay City.
- Other government-agency contingents joined the protest, targeting petitioner Garcia’s management style.
- A rally permit was allegedly issued by the Mayor of Pasay City, but participating GSIS employees did not secure prior approved leave.
Initial Administrative Action
- On about October 10, 2004, the GSIS Investigating Unit manager served 131 employees a show-cause memorandum to explain their participation in the mass action.
- KMG’s counsel, Atty. Manuel Molina, sought reconsideration, noting employees had returned to work on October 8 under a return-to-work order.
- On October 25, 2004, administrative charges for grave misconduct and conduct prejudicial to the best interest of the service were filed against some 110 KMG members.
Petition for Prohibition Before the Court of Appeals
- On November 2, 2004, KMG, through President Albert Velasco, filed a Petition for Prohibition (CA-G.R. SP No. 87220) assailing the administrative charges.
- Two supplements were filed alleging (a) preventive suspension of Atty. Molina for 90 days and deprivation of benefits for KMG members, and (b) additional formal charges against 230 members on December 17, 2004.
- Garcia, in his December 14, 2004 comment, argued Velasco lacked authority to represent KMG and cited forum-shopping, noting duplicative petitions pending before the Supreme Court.
Status of Administrative Cases Pending on Appeal
- As of May 18, 2005, 207 of the 278 administrative cases had been resolved: 20 employees were exonerated, 182 reprimanded, and 5 suspended for one month.
Decision and Resolution of the Court of Appeals
- On June 16, 2005, the CA granted KMG’s petition, holding that Garcia’s filing of charges against 361 (later 278) members amounted to grave abuse of discretion.
- The CA characterized the October rallies as protected free-expression and assembly, not strikes, and deemed the mass charges vindictive and punitive.
- The CA perpetually enjoined Garcia from implementing existing charges or issuing new ones arising from the October 2004 events.
- On October 18, 2005, the CA denied Garcia’s motion for reconsideration.
Issue for Resolution
- Whether the GSIS employees’ four-day mass action constituted a prohibited concerted activity or strike under