G.R. No.

L-21696; February 25, 1967; VISAYAN STEVEDORE TRANSPORTATION COMPANY (VISTRANCO) and
RAFAEL XAUDARO, petitioners, vs.COURT OF INDUSTRIAL RELATIONS, UNITED WORKERS' & FARMERS'
ASSOCIATION (UWFA) VENANCIO DANO-OG, BUENAVENTURA AGARCIO and 137
others, respondents.;CONCEPCION, C.J.:
FACTS:
Visayan Stevedoring is in the business of loading and unloading cargo from vessels. Its workers (cargadores),
were supplied from UWFA. But there was no independent contractor agreement between UWFA and Visayan
Stevedoring. After World War II until the milling season of 1955, the workers supplied by UWFA have regularly
worked as laborers for the Company, every milling season.

In 1955, Visayan Stevedoring refused to engage the service of the private respondents (137 workers). The 137
workers now claim that their services were being refused by Visayan because of their affiliation with UWFA.

137 workers filed a ULP case against the company.

Ground: they were dismissed because they were part of a union.

Visayan Stevedoring defense:

-no employer-employee rel
-If there was an employer-employee relationship, this relationship was terminated after every milling season.

CIR: Company guilty of ULP. Company should reinstate workers. Plus backwages.

ISSUES:
1. WON there is EE relationship. YES
2. WON there is ULP. YES
HELD:
1. Existence of EE relationship
The services of the workers were invariably availed of by the Company, although an officer of the UWFA or union
concerned determined the laborers who would work at a given time.
The workers worked under the direction and control of the officers of the Company, whose paymaster, or disbursing officer
paid the corresponding compensation directly to said workers, who, in turn, acknowledged receipt in payrolls of the
Company.
UWFA merely performed the role of a representative or agent of the employer in the recruitment of men needed for the
operation of the latter's business.
At the conclusion of each milling season, it is, likewise, settled that the workers concerned are considered, not separated
from the service, but, merely on leave of absence, without pay, during the off-season, their employer-employee
relationship being merely deemed suspended.
2. Existence of ULP
ULP charge is substantially borne out by the evidence of record. The workers not admitted to work beginning from
November, 1955, were precisely those belonging to the UWFA and that the Company Branch Manager, had told them
point-blank that severance of their connection with the UWFA was the remedy, if they wanted to continue working with the
Company.