Title
NUWHRAIN-Manila Pavilion Hotel Chapter vs. Secretary of Labor and Employment
Case
G.R. No. 181531
Decision Date
Jul 31, 2009
A certification election dispute arose over excluded probationary employees' votes; the Court ruled their inclusion invalidated HIMPHLU's majority, ordering a run-off election.

Case Summary (G.R. No. 181531)

Procedural Background

NUWHRAIN-MPHC sought review of:

  1. Court of Appeals (CA) Decision (Nov. 8, 2007) affirming SOLE’s Resolution (Jan. 22, 2007)
  2. SOLE’s Resolution (March 22, 2007 denying reconsideration)
    These decisions upheld Med-Arbiter Calabocal’s Orders (Jan. 22, 2007; Mar. 22, 2007) concerning a June 16, 2006 certification election at Holiday Inn Manila Pavilion Hotel.

Election Results and Segregated Votes

  • Voters’ list: 353 rank-and-file employees
  • Votes cast: 346 (151 NUWHRAIN-MPHC; 169 HIMPHLU; 1 no union; 3 spoiled; 22 segregated)
    Segregated ballots belonged to:
    • 11 dismissed employees (pending legality of dismissal)
    • 6 supervisory appointees (promotions effective pre-election)
    • 5 probationary employees (CBA-based exclusion)
    One probationary employee, Jose Gatbonton, nonetheless had his vote counted.

Med-Arbiter’s Resolution

By Order dated August 22, 2006, Med-Arbiter Calabocal directed opening and counting of 17 of 22 segregated ballots (those cast by 11 dismissed and 6 supervisory employees), excluding the 5 probationaries.

Secretary’s Resolution

Acting Secretary Padilla affirmed the Med-Arbiter’s Order (Jan. 22, 2007):

  • Probationary employees hired after the issuance of the August 9, 2005 Med-Arbiter Order could not vote.
  • Dismissed employees’ ballots were valid pending appeal.
  • Supervisory employees remained rank-and-file as of the August 9, 2005 Order.
  • Gatbonton’s uncontested vote estopped challenge to other probationary ballots.
    Even if all 17 opened ballots favored NUWHRAIN-MPHC, HIMPHLU’s 169 votes still represented a majority of valid votes cast (321).

Court of Appeals’ Decision

The CA (Nov. 8, 2007) affirmed:

  • Airtime Specialist, Inc. v. Ferrer-Calleja inapplicable because the six probationaries were not employed at the filing of the certification petition.
  • Gatbonton’s vote, being unchallenged, could not justify including other probationaries.
  • “Majority” meant majority of valid votes cast, not simple majority of all ballots.

Petitioner’s Contentions

NUWHRAIN-MPHC argued that:

  • Excluding probationary employees other than Gatbonton violated equal protection and contradicted Airtime Specialist.
  • The eligibility cut-off should be the final and executory SOLE Order date (March 10, 2006), not the Med-Arbiter’s August 9, 2005 Order.
  • Even if probationary votes were included, HIMPHLU’s 169 votes would fall one vote short of the 50% + 1 threshold out of 338 valid votes.
  • Estoppel favored including all probationary ballots.

Issues for Resolution

  1. Are probationary employees eligible to vote in a certification election?
  2. Did HIMPHLU secure the required majority of valid votes cast?

Supreme Court’s Ruling on Probationary Employees’ Right to Vote

  • Labor Code Art. 255 and DO 40-03 Rule II Sec. 2 grant all rank-and-file employees—including probationaries—the right to vote from their first day of service.
  • DO 40-03 Rule XI Sec. 5 must be harmonized with this principle; its voter's cutoff date is when the SOLE Order becomes final and executory, not the Med-Arbiter’s initial Order.
  • Appeals to the SOLE stay the Med-Arbiter’s Order; employees hired during the appeal must not be disenfranchised.
  • All probationary employees whose names appeared on the bargaining-unit list submitted after the final SOLE resolution are entitled to vote.
  • Supervisory employees whose promotions took effect before the election are properly excluded.

Supreme Court’s Ruling

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