Title
Lopez Sugar Corp. vs. Secretary of Labor and Employment
Case
G.R. No. 93117
Decision Date
Aug 1, 1995
A labor union's petition for certification election was dismissed as it failed to meet legal requirements for legitimacy, despite Article 257's mandate.

Case Summary (G.R. No. 93117)

Applicable Law

The primary legal basis for the decision arises from Article 257 of the Labor Code of the Philippines, which dictates the process for conducting certification elections in unorganized establishments. The Labor Code, as amended, provides that petitions filed by legitimate labor organizations in unorganized establishments must be addressed promptly by the Med-Arbiter, requiring the conduct of a certification election.

Background of the Case

On July 26, 1989, NACUSIP filed a petition with the Department of Labor and Employment (DOLE) for direct certification or a certification election to determine the collective bargaining representative for the supervisory employees of Lopez Sugar Corporation. The petition asserted that NACUSIP was a legitimate labor organization and noted that LSC employed 55 supervisory employees, the majority of whom were union members. LSC contested the petition, arguing that it lacked legal and factual basis and asserting that there was general unawareness about the petition among its supervisory employees.

Interventions and Hearing Proceedings

Subsequent to the filing of the petition, CAILO sought to intervene, claiming substantial membership among the supervisory employees of LSC. After a series of hearings, which NACUSIP and CAILO failed to attend twice, the Med-Arbiter granted the petition for a certification election on October 16, 1989, stating that Article 257 required the conduct of the election upon filing such a petition.

Appeal and Secretary of Labor Decision

Lopez Sugar Corporation appealed the Med-Arbiter's decision to the Secretary of Labor. The appeal was denied on March 6, 1990, as the Secretary ruled that the holding of a certification election was mandatory under the law. He asserted that subsequent disaffiliations among some supervisory personnel did not hinder the election's legitimacy, highlighting that certification elections are essential for resolving representation disputes.

Arguments and Legal Analysis

In challenging the Secretary of Labor's decision, the petitioner argued that the refusal to dismiss the petition for certification election constituted a grave abuse of discretion. It insisted that the conditions require the petitioning union to be a legitimate organization, which it claimed was not met by NACUSIP-TUCP. The Solicitor General supported the Secretary's position, emphasizing that the law mandates certification elections in such contexts to uphold workers' rights to organize.

Findings on Legitimacy of the Union

The Supreme Court reviewed the legitimacy of NACUSIP-TUCP, indicating that while the federation itself was registered with the DOLE, it was critical for its local chapter, the NACUSIP-TUCP Lopez Sugar Central Supervisory Chapter, to also meet the requirements of being a legitimate labor organization in good stan

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