Case Summary (G.R. No. L-30139)
Case Background and Initial Complaints
The initial case originated from a charge of unfair labor practices filed by the respondent union against the petitioner. The issues evolved from the abrupt termination of employment due to the sale of the Pines Hotel, along with allegations of discrimination related to the distribution of a Christmas bonus and salary adjustments pursuant to the Minimum Wage Law, Republic Act No. 4180.
Findings of the Court of Industrial Relations
Upon review, the Court of Industrial Relations found the petitioner guilty of unfair labor practices on two counts: first, for discrimination in the grant of Christmas bonuses in 1965, and second, for failing to adjust salaries in compliance with the new minimum wage laws. The court ordered the Manila Hotel Company to cease and desist from these practices, implement salary adjustments, and distribute bonuses in a manner similar to prior years.
Appeal and Dispute Over Terminations
During the pendency of the initial case, the 86 employees received notices of termination on the same day the hotel was sold. Responding to this, the union filed an urgent petition to restrain the implementation of these termination notices. The industrial court recognized this petition as a supplemental case to the original unfair labor dispute.
Settlement and Gratuity Payment
In subsequent conferences, the petitioner agreed to pay retirement gratuities to the employees, which led to the union lifting its picket lines. The petitioner deposited a total of P100,000 with the court for the purpose of covering gratuity payments, agreeing to provide retirement benefits based on length of service.
Court Orders and Gratuity Scheme
The court details specific payments to various groups of employees based on their respective years of service. Sixteen employees with over 20 years of service were entitled to higher gratuity amounts, while others with less time were entitled to one month’s salary for each year worked, capped at twelve months. The total obligations of the petitioner established a clear framework for determining the amounts due to the employees.
Jurisdiction and Procedural Matters
In their appeals, the petitioner raised jurisdictional issues, arguing that the industrial court did not have authority over the case due to the absence of an employer-employee relationship following the sale of th
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Case Overview
- This case involves three appeals filed by the Manila Hotel Company and Sofronio G. Rivera against the Court of Industrial Relations and the Pines Hotel Employees Association (CUGCO).
- The appeals stem from incidents related to an unfair labor practice charge filed by the union against the company, culminating in the abrupt dismissal of eighty-six employees following the sale of the Pines Hotel on March 28, 1968.
- The cases were consolidated due to their related nature and were decided by the Supreme Court on September 28, 1972.
Background of the Case
- The case began with an unfair labor practice complaint filed by the Pines Hotel Employees Association against the Manila Hotel Company, which was operating the Pines Hotel in Baguio City.
- The complaint included various counts, of which four were dismissed, and the company was found guilty of two counts: discrimination in the granting of the 1965 Christmas bonus and salary adjustments under the Minimum Wage Law (Republic Act 4180).
- The Court of Industrial Relations issued a cease-and-desist order and required the distribution of the Christmas bonus and implementation of salary adjustments.
Events Leading to the Dismissal of Employees
- On March 28, 1968, the employees received termination notices due to the sale of the Pines Hotel to the Resort Hotels Corporation.
- The union filed an urgent petition for a tempo