Philippine Supreme Court Jurisprudence


Philippine Supreme Court Jurisprudence > Year 1995 > July 1995 Decisions > G.R. No. 104682 July 14, 1995 - CAPITOL WIRELESS, INC. v. VICENTE S. BATE, ET AL.:




PHILIPPINE SUPREME COURT DECISIONS

FIRST DIVISION

[G.R. No. 104682. July 14, 1995.]

CAPITOL WIRELESS, INC., Petitioner, v. THE HON. VICENTE S. BATE and KILUSAN MAKA-MANGGAGAWA SA CAPWIRE (NAFLU), Respondents.

Cuevas De la Cuesta & De las Alas for Petitioner.

The Solicitor General for Respondents.


SYLLABUS


1. LABOR AND SOCIAL LEGISLATION; WAGE ORDERS; INTERPRETATION THEREOF SHOULD BE IN HARMONY WITH C.B.A. PROVISIONS; CASE AT BAR. — To decide the controversy submitted to him for resolution, the voluntary arbitrator had to construe the provision in Section 2 of Article XIV of the CBA that" [s]hould there be any government-mandated wage increases and/or allowances, the same shall be over and above the benefits herein granted." He was of the view that the government-mandated increases of P17.00 per day under Wage Order Nos. NCR-01 and NCR-01-A and P12.00 per day under Wage Order No. NCR-02 should be given to all employees of petitioner regardless of their daily minimum-wage rates. This is where he fell into error. The wage orders did not grant across-the-board increases to all employees in the National Capital Region but limited such increases only to those already receiving wage rates not more than P125.00 per day under Wage Orders Nos. NCR-01 and NCR-01-A and P142.00 per day under Wage Order No. NCR-02. Since the wage orders specified who among the employees are entitled to the statutory wage increases, then the increases applied only to those mentioned therein. The provisions of the CBA should be read in harmony with the wage orders, whose benefits should be given only to those employees covered thereby.

2. ID.; ID.; WAGE DISTORTION; REMEDY. — The Wage Orders issued by the Regional Tripartite Wages Productivity Board and Article 124 of the Labor Code of the Philippines, as amended, provide for the procedure to follow when the application of the prescribed minimum wage increase results in distortions of the wage structure in any establishment. Hence, any wage distortion created by the wage increase granted to specified employees pursuant to the wage order can be remedied.


D E C I S I O N


QUIASON, J.:


In this petition for certiorari, petitioner assails the Decision dated March 23, 1992 of respondent Voluntary Arbitrator in ordering petitioner to grant to all employees covered by the collective bargaining agreement the increase in the daily minimum wage under Wage Order No. NCR-01 as supplemented by Wage Orders Nos. NCR-01-A and NCR-02 without regard to the ceiling stated in said Wage Orders.chanrobles virtualawlibrary chanrobles.com:chanrobles.com.ph

I


On November 15, 1990, petitioner and respondent Kilusan Maka-Manggagawa sa Capwire (NAFLU) signed a collective bargaining agreement (CBA) with a duration of five years or from July 1, 1990 to June 30, 1995.

Included in the CBA is Section 2 of Article XIV on wages, which provides:jgc:chanrobles.com.ph

"The COMPANY shall grant to all rank and file employees covered by this Agreement the following across the board increases:chanrob1es virtual 1aw library

First Year — July 1, 1990 to June 30,

1991 an across the board

increase of P200.00 per

month to basic rate;

Second Year — July 1, 1991 to June 30,

1992 an across the board

increase of P250.00 per

month to basic rate;

Third Year — July 1, 1992 to June 30,

1993 an across the board

increase of P300.00 per

month of basic rate.

Should there be any government mandated wage increases and/or allowances, the same shall be over and above the benefits herein granted (Rollo, p. 31; Emphasis supplied)

any qualification whatsoever pursuant to paragraph 2, Section 2 of Article XIV of the CBA..

Failing to resolve the dispute, petitioner and private respondent agreed to submit it to voluntary arbitration before the National Conciliation and Mediation Board (NCMB).

After the parties have submitted their position papers, a decision was rendered by respondent Voluntary Arbitrator in favor of private respondent, the dispositive portion of which reads:jgc:chanrobles.com.ph

"WHEREFORE, Capwire is hereby ordered to grant the two government-mandated increases in daily minimum wage rates to all the employees covered by the CBA without regard to the ceiling in the (sic) stated therein. Further, Capwire is directed to reinstate the dismissed employees due to the retrenchment and pay their salaries, allowances and other emolument from the time of their dismissal until their actual reinstatement" (Rollo, p. 30).

Petitioner filed this petition, contending that the Voluntary Arbitrator erroneously concluded that the phrase over and above" appearing in paragraph 2, Section 2 of Article XIV of the CBA connotes an application of government—mandated increases indiscriminately irrespective of the ceiling provided for under Wage Order No. NCR-01 as supplemented by Wage Order Nos. NCR-01-A and NCR-02.

On the other hand, private respondent argues that paragraph 2, Section 2 of Article XIV of the CBA acts as a waiver on the part of petitioner with respect to the ceiling imposed under the wage orders. Furthermore, it claims petitioner’s interpretation of the CBA provision will result in substantial wage distortions.

II


To decide the controversy submitted to him for resolution, the voluntary arbitrator had to construe the provision in Section 2 of Article XIV of the CBA that" [s]hould there be any government-mandated wage increases and/or allowances, the same shall be over and above the benefits herein granted." He was of the view that the government-mandated increases of P17.00 per day under Wage Order Nos. NCR-01 and NCR-01-A and P12.00 per day under Wage Order No. NCR-02 should be given to all employees of petitioner regardless of their daily minimum-wage rates. This is where he fell into error. The wage orders did not grant across-the-board increases to all employees in the National Capital Region but limited such increases only to those already receiving wage rates not more than P125.00 per day under Wage Orders Nos. NCR-01 and NCR-01-A and P142.00 per day under Wage Order No. NCR-02. Since the wage orders specified who among the employees are entitled to the statutory wage increases, then the increases applied only to those mentioned therein. The provisions of the CBA should be read in harmony with the wage orders, whose benefits should be given only to those employees covered thereby.chanrobles.com:cralaw:red

Private respondent also contends that a substantial wage distortion will result in case petitioner’s interpretation is upheld. The Wage Orders issued by the Regional Tripartite Wages productivity Board and Article 124 of the Labor Code of the Philippines, as amended, provide for the procedure to follow when the application of the prescribed minimum wage increase results in distortions of the wage structure in any establishment. Hence, any wage distortion created by the wage increase granted to specified employees pursuant to the wage order can be remedied.chanrobles law library

WHEREFORE, the petition is GRANTED. The Decision dated March 23, 1992 of respondent Voluntary Arbitrator is REVERSED and SET ASIDE.

SO ORDERED.

Padilla, Davide, Jr., Bellosillo and Kapunan, JJ., concur.




Back to Home | Back to Main




















chanrobles.com





ChanRobles On-Line Bar Review

ChanRobles Internet Bar Review : www.chanroblesbar.com

ChanRobles MCLE On-line

ChanRobles Lawnet Inc. - ChanRobles MCLE On-line : www.chanroblesmcleonline.com






July-1995 Jurisprudence                 

  • Adm. Matter No. MTJ-93-835 July 3, 1995 - GERARDO C. ALVARADO v. LILY A. LAQUINDANUM

  • G.R. No. 107748 July 3, 1995 - PEOPLE OF THE PHIL. v. MARCIANO SAPURCO

  • G.R. No. 109248 July 3, 1995 - GREGORIO F. ORTEGA, ET AL. v. COURT OF APPEALS, ET AL.

  • G.R. No. 110558 July 3, 1995 - PEOPLE OF THE PHIL. v. CELEDONIO B. DE LEON, ET AL.

  • G.R. No. 112279 July 3, 1995 - PEOPLE OF THE PHIL. v. ROBERT ALBAN, ET AL.

  • G.R. No. 114698 July 3, 1995 - WELLINGTON INVESTMENT AND MANUFACTURING CORPORATION v. CRESENCIANO B. TRAJANO, ET AL.

  • G.R. No. 115304 July 3, 1995 - PEOPLE OF THE PHIL. v. ROLAND L. MELOSANTOS

  • G.R. No. 110240 July 4, 1995 - ENJAY INC. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 109036 July 5, 1995 - BARTOLOME F. MERCADO v. COURT OF APPEALS, ET AL.

  • Adm. Case No. 2747 July 6, 1995 - GODOFREDO A. VILLALON v. JIMENEZ B. BUENDIA

  • Adm. Matter No. P-94-1008 July 6, 1995 - FLORENTINA BILAG-RIVERA v. CRISANTO FLORA

  • Adm. Matter No. P-94-1026 July 6, 1995 - VICTOR BASCO v. DAMASO GREGORIO

  • G.R. No. 100912 July 6, 1995 - PEOPLE OF THE PHIL. v. ZALDY A. CRISTOBAL

  • G.R. Nos. 103560 & 103599 July 6, 1995 - GOLD CITY INTEGRATED PORT SERVICE, INC. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 109166 July 6, 1995 - HERNAN R. LOPEZ, JR. v. NATIONAL LABOR RELATIONS COMMISSIONS, ET AL.

  • G.R. Nos. 112973-76 July 6, 1995 - PEOPLE OF THE PHIL. v. FERNANDO PAGCU, JR.

  • G.R. No. 110321 July 7, 1995 - HILARIO VALLENDE, ET AL. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 112629 July 7, 1995 - PHIL. NATIONAL CONSTRUCTION CORPORATION v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 118644 July 7, 1995 - EPIMACO A. VELASCO v. COURT OF APPEALS, ET AL.

  • G.R. No. 102930 July 10, 1995 - BONIFACIO MONTILLA PEÑA v. CA, ET AL.

  • G.R. No. 119055 July 10, 1995 - ROY RODILLAS v. COMMISSION ON ELECTIONS, ET AL.

  • CBD Case No. 251 July 11, 1995 - ADELINA T. VILLANUEVA v. TERESITA STA. ANA

  • G.R. No. 109370 July 11, 1995 - ROGELIO PARMA v. COURT OF APPEALS, ET AL.

  • G.R. No. 110015 July 11, 1995 - MANILA BAY CLUB CORP. v. COURT OF APPEALS, ET AL.

  • G.R. No. 112046 July 11, 1995 - PEOPLE OF THE PHIL. v. ANTHONY ONG CO

  • G.R. No. 115245 July 11, 1995 - JUANITO C. PILAR v. COMMISSION ON ELECTION

  • G.R. No. 116008 July 11, 1995 - METRO TRANSIT ORGANIZATION, INC. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 79896 July 12, 1995 - PEOPLE OF THE PHIL. v. DELFIN L. REYES, ET AL.

  • G.R. No. 114167 July 12, 1995 - COASTWISE LIGHTERAGE CORPORATION v. COURT OF APPEALS, ET AL.

  • G.R. No. 114186 July 12, 1995 - PEOPLE OF THE PHIL. v. SALVADOR R. ERNI

  • Adm. Case No. 3283 July 13, 1995 - RODOLFO MILLARE v. EUSTAQUIO Z. MONTERO

  • Adm. Matter Nos. MTJ-93-806 & MTJ-93-863 July 13, 1995 - ERLINO LITIGIO, ET AL. v. CELESTINO V. DICON

  • Bar Matter No. 712 July 13, 1995 - IN RE: AL C. ARGOSINO

  • G.R. No. 106769 July 13, 1995 - PEOPLE OF THE PHIL. v. ROMEO WEDING

  • G.R. No. 109573 July 13, 1995 - SEVEN BROTHERS SHIPPING CORPORATION v. COURT OF APPEALS, ET AL.

  • G.R. No. 110580 July 13, 1995 - MANUEL BANSON v. COURT OF APPEALS, ET AL.

  • G.R. No. 110930 July 13, 1995 - OSCAR LEDESMA AND COMPANY, ET AL. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 116049 July 13, 1995 - PEOPLE OF THE PHIL. v. EUSTAQUIO Z. GACOTT, JR., ET AL.

  • Adm. Case No. 1048 July 14, 1995 - WELLINGTON REYES v. SALVADOR M. GAA

  • Adm. Matter No. MTJ-90-400 July 14, 1995 - SUSIMO MOROÑO v. AURELIO J.V. LOMEDA

  • Adm. Matter No. MTJ-93-818 July 14, 1995 - ENRIQUITO CABILAO, ET AL. v. AGUSTIN T. SARDIDO

  • Adm. Matter No. MTJ-94-932 July 14, 1995 - JESUS F. MANGALINDAN v. COURT OF APPEALS, ET AL.

  • Adm. Matter No. MTJ-94-963 July 14, 1995 - MARILOU NAMA MORENO v. JOSE C. BERNABE

  • Adm. Matter No. P-94-1012 July 14, 1995 - ERNESTO G. OÑASA, JR. v. EUSEBIO J. VILLARAN

  • Adm. Matter No. P-94-1030 July 14, 1995 - GABRIEL C. ARISTORENAS, ET AL. v. ROGELIO S. MOLINA, ET AL.

  • Adm. Matter No. P-94-1075 July 14, 1995 - OFFICE OF THE COURT ADMINISTRATOR v. LOLITA A. GRECIA

  • Adm. Matter No. P-94-1086 July 14, 1995 - ALFERO C. BAGANO v. ARTURO A. PANINSORO

  • G.R. Nos. L-66211 & L-70528-35 July 14, 1995 - ARTURO Q. SALIENTES v. INTERMEDIATE APPELLATE COURT, ET AL.

  • G.R. Nos. 82220, 82251 & 83059 July 14, 1995 - PABLITO MENESES v. COURT OF APPEALS, ET AL.

  • G.R. No. 88384 July 14, 1995 - FEDERATION OF LAND REFORM FARMERS OF THE PHILIPPINES, ET AL. v. COURT OF APPEALS, ET AL.

  • G.R. No. 89103 July 14, 1995 - LEON TAMBASEN v. PEOPLE OF THE PHIL., ET AL.

  • G.R. No. 91494 July 14, 1995 - CONSOLIDATED BANK AND TRUST CORPORATION v. COURT OF APPEALS, ET AL.

  • G.R. Nos. 92167-68 July 14, 1995 - PEOPLE OF THE PHIL. v. JOSE R. LEGASPI, ET AL.

  • G.R. No. 92660 July 14, 1995 - PEOPLE OF THE PHIL. v. SIXTO MORICO

  • G.R. No. 96489 July 14, 1995 - NICOLAS G. SINTOS v. COURT OF APPEALS, ET AL.

  • G.R. Nos. 97251-52 July 14, 1995 - JOVENCIO MINA, ET AL. v. NATIONAL LABOR RELATIONS COMMISSION

  • G.R. No. 97435 July 14, 1995 - PEOPLE OF THE PHIL. v. DOMINGO TEVES

  • G.R. No. 98920 July 14, 1995 - JESUS F. IGNACIO v. COURT OF APPEALS, ET AL.

  • G.R. No. 101135 July 14, 1995 - TEODORO RANCES v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 101286 July 14, 1995 - GIL RUBIO v. COURT OF APPEALS, ET AL.

  • G.R. No. 101875 July 14, 1995 - CASIANO A. NAVARRO III v. ISRAEL D. DAMASCO, ET AL.

  • G.R. No. 102297 July 14, 1995 - NEW TESTAMENT CHURCH OF GOD v. COURT OF APPEALS, ET AL.

  • G.R. No. 102993 July 14, 1995 - CALTEX REFINERY EMPLOYEES ASSOC., ET AL. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 104639 July 14, 1995 - PROVINCE OF CAMARINES SUR v. COURT OF APPEALS, ET AL.

  • G.R. No. 104682 July 14, 1995 - CAPITOL WIRELESS, INC. v. VICENTE S. BATE, ET AL.

  • G.R. No. 105763 July 14, 1995 - LORENDO QUINONES, ET AL. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 106279 July 14, 1995 - SULPICIO LINES, INC. v. COURT OF APPEALS, ET AL.

  • G.R. No. 108870 July 14, 1995 - PHILIPPINE NATIONAL BANK, ET AL. v. COURT OF APPEALS, ET AL.

  • G.R. No. 109680 July 14, 1995 - DIEGO RAPANUT v. COURT OF APPEALS, ET AL.

  • G.R. No. 111515 July 14, 1995 - JACKSON BUILDING CONDOMINIUM CORP., ET AL. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 112399 July 14, 1995 - AMADO S. BAGATSING v. COMMITTEE ON PRIVATIZATION, ET AL.

  • G.R. No. 112679 July 14, 1995 - COUNTRY BANKERS INSURANCE CORPORATION v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 113448 July 14, 1995 - DANILO Q. MILITANTE, ET AL. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 113578 July 14, 1995 - SUPLICIO LINES, INC. v. COURT OF APPEALS, ET AL.

  • G.R. No. 118597 July 14, 1995 - JOKER P. ARROYO v. HOUSE OF REPRESENTATIVES ELECTORAL TRIBUNAL, ET AL.

  • Adm. Matter No. MTJ-94-997 July 17, 1995 - CHRISTOPHER CORDOVA, ET AL. v. RICARDO F. TORNILLA

  • G.R. No. 53877 July 17, 1995 - GREGORIO LABITAD, ET AL. v. COURT OF APPEALS, ET AL.

  • G.R. No. 91987 July 17, 1995 - A’ PRIME SECURITY SERVICES, INC. v. FRANKLIN DRILON

  • G.R. No. 108891 July 17, 1995 - JRS BUSINESS CORPORATION v. NATIONAL LABOR RELATIONS COMMISSION

  • G.R. No. 109613 July 17, 1995 - PEOPLE OF THE PHIL. v. PEDRO MAHINAY

  • G.R. No. 109809 July 17, 1995 - VALLACAR TRANSIT, INC. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 110910 July 17, 1995 - NATIONAL SUGAR TRADING CORPORATION, ET AL. v. COURT OF APPEALS, ET AL.

  • G.R. No. 111797 July 17, 1995 - CARLOS ANG GOBONSENG, JR., ET AL. v. COURT OF APPEALS, ET AL.

  • G.R. No. 112060 July 17, 1995 - NORBI H. EDDING v. COMMISSION ON ELECTIONS, ET AL.

  • G.R. No. 112127 July 17, 1995 - CENTRAL PHILIPPINE UNIVERSITY v. COURT OF APPEALS, ET AL.

  • G.R. No. 112230 July 17, 1995 - NORKIS DISTRIBUTORS, INC. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 113917 July 17, 1995 - PEOPLE OF THE PHIL. v. FELICIA M. CABACANG

  • G.R. No. 118910 July 17, 1995 - KILOSBAYAN, INC., ET AL. v. MANUEL L. MORATO

  • G.R. No. 119326 July 17, 1995 - NARCISO CANSINO v. DIRECTOR OF NEW BILIBID PRISON

  • G.R. No. 106539 July 18, 1995 - PEOPLE OF THE PHIL. v. TORTILLANO NAMAYAN

  • G.R. No. 108789 July 18, 1995 - PEOPLE OF THE PHIL. v. ABE ROSARIO, ET AL.

  • G.R. No. 114681 July 18, 1995 - PEOPLE OF THE PHIL. v. RONALD AGUSTIN

  • G.R. No. 115115 July 18, 1995 - CONRAD AND COMPANY, INC. v. COURT OF APPEALS, ET AL.

  • G.R. No. 107439 July 20, 1995 - MICHAEL T. UY v. COURT OF APPEALS, ET AL.

  • G.R. No. L-114382 July 20, 1995 - PEOPLE OF THE PHIL. v. ESTEBAN ACOB, ET AL.

  • G.R. No. 115884 July 20, 1995 - CJC TRADING, INC., ET AL. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 117932 July 20, 1995 - AVON DALE GARMENTS, INC. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. Nos. 106425 & 106431-32 July 21, 1995 - SECURITIES AND EXCHANGE COMMISSION v. COURT OF APPEALS, ET AL.

  • G.R. No. 110591 July 26, 1995 - PEOPLE OF THE PHIL. v. TIBURCIO E. BACULI

  • G.R. No. 107495 July 31, 1995 - PEOPLE OF THE PHIL. v. CARLO Y. UYCOQUE, ET AL.

  • G.R. No. 110106 July 31, 1995 - PEOPLE OF THE PHIL. v. RENATO R. MONTIERO

  • G.R. No. 111905 July 31, 1995 - ORIENTAL MINDORO ELECTRIC COOPERATIVE, INC. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.