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Myla Ruth N.


Rosario Bros v. Ople

Private respondents are tailors hired by the petitioner in its tailoring department. They were paid weekly
wages on piece-work basis, minus the withholding tax of BIR. They were registered with SSS as employees of
petitioner. They were required to report for work and stay in the shop for no less than 8 hours a day. A master
cutter distributed job orders equally.
Private respondents filed a complaint for violation of PD 851(13th month pay) and PD 525 (Emergency
Living Allowance) against petitioner.

WN an employer-employee relationship exists between petitioner and private respondents

HELD: Yes.
The existence of ER-EE relationship is determined by:
1. the selection and engagement of employee
2. payment of wages
3. power of dismissal
4. power to control employee’s conduct
Although the fourth element is the most important.

An independent contractor is the one who exercises independent employment and contracts to do a piece
of work according to his own methods without being subjected to control of his employer except as to the result of
his work.
In the case at bar, the selection and hiring of respondents was done by petitioner through the master
cutter. Respondents received their weekly wages from petitioner on piece-work basis within the meaning of the
term “wage” under the Labor Code, which defined as “the remuneration or earnings. However, designated, whether
fixed on a time, task, piece or commission basis, payable by an employer to an employee under a written or
unwritten contact for work done or to be done or for services rendered or to be rendered.
Petitioner also had the power to dismiss respondents, thus, the latter’s conduct was controlled by
petitioner. Respondents were allowed to register with SSS and withholding taxes were also deducted from their
Wherefore, petition is dismissed.