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NATIONAL FEDERATION OF LABOR v. BIENVENIDO  E. LAGUESMA

FACTS:

The Alliance of Nationalist and Genuine Labor Organization (ANGLO-KMU) filed a petition for certification election among the rank and file employees of Cebu Shipyard and Engineering Work, Inc. The petition was supported by more than 25% of the employees in the bargaining unit and filed within the 60-day period prior to the expiry date of the collective bargaining agreement (CBA). The Med-Arbiter ordered ANGLO-KMU to present proofs that it has created a local chapter and submitted the required documents. The National Federation of Labor (NFL) moved for dismissal of the petition, arguing that ANGLO-KMU did not have legal personality to file the petition and failed to comply with the 25% consent requirement. NFL submitted certifications showing that the requirements for legal personality were only submitted after the freedom period expired. ANGLO-KMU filed its opposition to the motion to dismiss, claiming that it complied with the order of the Med-Arbiter.

The petitioner, National Federation of Labor (NFL), filed a special civil action for certiorari against respondent Undersecretary Bienvenido E. Laguesma, challenging the latter's Resolution and Order. The case arose from a petition for certification election filed by ANGLO-KMU, which was opposed by another labor organization. The Med-Arbiter initially dismissed the petition for certification election, finding that ANGLO-KMU had submitted the required documents after the expiration of the freedom period. However, the respondent Undersecretary reversed the Med-Arbiter's decision and ordered the remand of the case to the Regional Office. The petitioner NFL then filed the present petition for certiorari, raising procedural issues regarding the review of decisions of the Secretary of Labor and Employment under the Labor Code and its implementing rules. The petitioner argued that the respondent gravely abused his discretion in applying a ruling that was not applicable to the present case. The petitioner also invoked the power of the courts to scrutinize the acts of administrative agencies and protect the substantial rights of parties affected by their decisions.

ISSUES:

  1. Whether or not there is judicial review of decisions and discretionary acts of the NLRC and the Secretary of Labor.

  2. What is the proper remedy for an aggrieved party in labor disputes.

  3. Whether the decision of the Regional Director in labor standards cases is final and executory unless appealed to the Secretary of Labor.

  4. Whether the decisions, orders, or resolutions of the Secretary of Labor and Employment become final and executory after ten (10) calendar days from receipt of the case records.

  5. Whether the Secretary of Labor has the authority to review the order of the Regional Director in occupational health and safety cases.

  6. Whether the decision of the Labor Relations Division in the regional office denying an applicant labor organization's application for registration may be appealed to the Bureau of Labor Relations within ten (10) days from receipt of notice thereof.

  7. Whether the decision of the Bureau of Labor Relations or the Secretary of Labor denying the registration of a workers association whose place of operation is confined to one regional jurisdiction, or a federation, national or industry union, or trade union center may be appealed to the Bureau or the Secretary, whose decision shall be final and executory.

  8. Whether the certificate of registration of any legitimate organization can be cancelled by the Bureau of Labor Relations if it has reason to believe, after due hearing, that the said labor organization no longer meets one or more of the requirements prescribed by law.

  9. Whether the decision of the Regional office or the Director of the Bureau of Labor Relations may be appealed to the Director of the Bureau or the Secretary of Labor, whose decision shall be final and executory.

  10. Whether the order or results of a certification election as determined by the Med-Arbiter may be directly appealed to the Secretary of Labor.

  11. Whether the decision of the Secretary of Labor on an appeal from the Med-Arbiter's decision on a petition for certification election shall be final and executory, and implementation shall not be stayed unless restrained by the appropriate court.

  12. Whether the decision of the Med-Arbiter on the results of the certification election may be appealed to the Secretary, whose decision shall be final and executory.

  13. Whether the decision of the Bureau in complaints filed directly with said office pertaining to administration of trade union funds may be appealed to the Secretary of Labor.

  14. Whether the decision of the Secretary of Labor shall be final and executory after ten (10) calendar days from receipt thereof by the parties, unless otherwise specifically provided for.

  15. Whether decisions of the Secretary of Labor, even beyond the ten-day period provided in the Labor Code and implementing rules, may be reviewed by the Supreme Court through a petition for certiorari within the reglementary period set for Rule 65 petitions under the 1997 Rules of Civil Procedure.

  16. Whether the decision of the Secretary of Labor on appeal from the Med-Arbiter's decision on a petition for certification election can be brought to the Court of Appeals through a petition for certiorari under Rule 65.

  17. Whether the Supreme Court is the exclusive forum for filing a petition for certiorari under Rule 65 against the decisions of the Secretary of Labor.

RULING:

  1. Yes, there is judicial review of decisions and discretionary acts of the NLRC and the Secretary of Labor. The court has the power to scrutinize the acts of administrative agencies on questions of law and jurisdiction, even without a right of review provided by statute. The purpose of judicial review is to keep the administrative agency within its jurisdiction and protect the substantial rights of parties affected by its decision.

  2. The proper remedy for an aggrieved party in labor disputes is to timely file a motion for reconsideration as a precondition for any further or subsequent remedy, and then seasonably file a special civil action for certiorari under Rule 65 of the 1997 Rules of Civil Procedure.

  3. The decision of the Regional Director in labor standards cases is final and executory unless appealed to the Secretary of Labor.

  4. The decisions, orders, or resolutions of the Secretary of Labor and Employment become final and executory after ten (10) calendar days from receipt of the case records.

  5. The Secretary of Labor has the authority to review the order of the Regional Director in occupational health and safety cases.

  6. The decision of the Labor Relations Division in the regional office denying an applicant labor organization's application for registration may be appealed to the Bureau of Labor Relations within ten (10) days from receipt of notice thereof.

  7. The decision of the Bureau of Labor Relations or the Secretary of Labor denying the registration of a workers association whose place of operation is confined to one regional jurisdiction, or a federation, national or industry union, or trade union center may be appealed to the Bureau or the Secretary, whose decision shall be final and executory.

  8. The certificate of registration of any legitimate organization can be cancelled by the Bureau of Labor Relations if it has reason to believe, after due hearing, that the said labor organization no longer meets one or more of the requirements prescribed by law.

  9. The decision of the Regional office or the Director of the Bureau of Labor Relations may be appealed to the Director of the Bureau or the Secretary of Labor, whose decision shall be final and executory.

  10. The order or results of a certification election as determined by the Med-Arbiter may be directly appealed to the Secretary of Labor.

  11. The decision of the Secretary of Labor on an appeal from the Med-Arbiter's decision on a petition for certification election shall be final and executory, and implementation shall not be stayed unless restrained by the appropriate court.

  12. The decision of the Med-Arbiter on the results of the certification election may be appealed to the Secretary, whose decision shall be final and executory.

  13. The decision of the Bureau in complaints filed directly with said office pertaining to administration of trade union funds may be appealed to the Secretary of Labor.

  14. The decision of the Secretary of Labor shall be final and executory after ten (10) calendar days from receipt thereof by the parties, unless otherwise specifically provided for.

  15. Decisions of the Secretary of Labor, even beyond the ten-day period provided in the Labor Code and implementing rules, may be reviewed by the Supreme Court through a petition for certiorari within the reglementary period set for Rule 65 petitions under the 1997 Rules of Civil Procedure.

  16. Yes. The appropriate court to file a petition for certiorari under Rule 65 against the decisions of the Secretary of Labor rendered under the Labor Code and its implementing and related rules is the Court of Appeals.

  17. No. The Supreme Court is not the exclusive forum for filing a petition for certiorari under Rule 65 against the decisions of the Secretary of Labor. The provision in Section 5, Rule V of the Rules on the Disposition of Labor Standards Cases in Regional Offices must be read in relation to the pertinent laws on the concurrent original jurisdiction of the Supreme Court and the Court of Appeals in Rule 65 petitions.

PRINCIPLES:

  • The court has the power to review decisions and discretionary acts of administrative agencies on questions of law and jurisdiction, even without a right of review provided by statute.

  • The purpose of judicial review is to keep the administrative agency within its jurisdiction and protect the substantial rights of parties affected by its decision.

  • The remedy for an aggrieved party in labor disputes is to timely file a motion for reconsideration and then seasonably file a special civil action for certiorari.

  • The decision of the Regional Director in labor standards cases is final and executory unless appealed to the Secretary of Labor. (Section 1, Rule IV (Appeals) of the Rules on the Disposition of Labor Standards Cases in the Regional Offices dated September 16, 1987)

  • The decisions, orders, or resolutions of the Secretary of Labor and Employment become final and executory after ten (10) calendar days from receipt of the case records. (Section 5, Rule V (Execution) of the Rules on the Disposition of Labor Standards Cases in the Regional Offices dated September 16, 1987)

  • The Secretary of Labor has the authority to review the order of the Regional Director in occupational health and safety cases. (Section 6 of Rule VI (Health and Safety Cases) of the Rules on the Disposition of Labor Standards Cases in the Regional Offices dated September 16, 1987)

  • The decision of the Labor Relations Division in the regional office denying an applicant labor organization's application for registration may be appealed to the Bureau of Labor Relations within ten (10) days from receipt of notice thereof. (Art. 236 of the Labor Code and Section 4, Rule V, Book V (Labor Relations), as amended by Department Order No. 9 dated May 1, 1997)

  • The decision of the Bureau of Labor Relations or the Secretary of Labor denying the registration of a workers association whose place of operation is confined to one regional jurisdiction, or a federation, national or industry union, or trade union center may be appealed to the Bureau or the Secretary, whose decision shall be final and executory. (Section 4, Rule V, Book V (Labor Relations), as amended by Department Order No. 9 dated May 1, 1997)

  • The certificate of registration of any legitimate organization can be cancelled by the Bureau of Labor Relations if it has reason to believe, after due hearing, that the said labor organization no longer meets one or more of the requirements prescribed by law. (Art. 238 of the Labor Code and Section 4, Rule VIII, Book V of the Rules on the Disposition of Labor Standards Cases in the Regional Offices dated September 16, 1987)

  • The decision of the Regional office or the Director of the Bureau of Labor Relations may be appealed to the Director of the Bureau or the Secretary of Labor, whose decision shall be final and executory. (Section 4, Rule VIII, Book V of the Rules on the Disposition of Labor Standards Cases in the Regional Offices dated September 16, 1987)

  • The order or results of a certification election as determined by the Med-Arbiter may be directly appealed to the Secretary of Labor. (Art. 259 of the Labor Code and Section 12, Rule XI, Book V of the Rules on the Disposition of Labor Standards Cases in the Regional Offices dated September 16, 1987)

  • The decision of the Secretary of Labor on an appeal from the Med-Arbiter's decision on a petition for certification election shall be final and executory, and implementation shall not be stayed unless restrained by the appropriate court. (Section 15, Rule XI, Book V of the Rules on the Disposition of Labor Standards Cases in the Regional Offices dated September 16, 1987)

  • The decision of the Med-Arbiter on the results of the certification election may be appealed to the Secretary, whose decision shall be final and executory. (Section 15, Rule XII, Book V of the Rules on the Disposition of Labor Standards Cases in the Regional Offices dated September 16, 1987)

  • The decision of the Bureau in complaints filed directly with said office pertaining to administration of trade union funds may be appealed to the Secretary of Labor. (Section 7, Rule XVIII (Administration of Trade Union Funds and actions Arising Therefrom), Book V of the Rules on the Disposition of Labor Standards Cases in the Regional Offices dated September 16, 1987)

  • The decision of the Secretary of Labor shall be final and executory after ten (10) calendar days from receipt thereof by the parties, unless otherwise specifically provided for. (Section 1, Rule XXIV (Execution of Decisions, Awards, or Orders), Book V of the Rules on the Disposition of Labor Standards Cases in the Regional Offices dated September 16, 1987)

  • Decisions of the Secretary of Labor, even beyond the ten-day period provided in the Labor Code and implementing rules, may be reviewed by the Supreme Court through a petition for certiorari within the reglementary period set for Rule 65 petitions under the 1997 Rules of Civil Procedure.

  • The proper remedy to question the decisions of the Secretary of Labor is a petition for certiorari under Rule 65.

  • The petition for certiorari should initially be filed in the Court of Appeals in observance of the doctrine on the hierarchy of courts.

  • The Supreme Court will only entertain resort to it when the redress desired cannot be obtained in the appropriate courts or when exceptional and compelling circumstances justify the exercise of the Supreme Court's primary jurisdiction.