La Carlota Sugar Central vs Court of Industrial Relations, National Sugar Workers Union (PAFLU) and

Jose Villanueva
GR No. L - 20203; 19 May 1975

FACTS:

La Carlota Sugar Central assailed the order of respondent court awarding overtime pay to its
employees who rendered overtime services during Sundays, and legal holidays. It contended that the
Court of Industrial Relations had no jurisdiction to pass upon the issues involving money claims arising
out of, or in connection with, employment since the matter falls within the jurisdiction of the ordinary
judicial tribunals.La Carlota Central, who alleged that procedural due process was not observed because
the employees whose statutory right for overtime pay as found in the challenged order were not
respected, had not been included as parties.

ISSUES:
1. W/N the CIR has jurisdiction to entertain money claims arising out of employment
2. W/N the Labor Union has the personality to represent its members
3. W/N benefits resulting from collective contracts extend even those who do not belong to the chosen
Labor Union

HELD:
1. The then existing CIR had jurisdiction over all claims such as those related to the Minimum Wage
Law and the Eight - Hour Labor Law provided that the employer - employee relationship was still in
existence or was sought to be reestablished because of its wrongful severance. Where the
employment had terminated and no reinstatement was sought, the claims became mere money
claims falling under the jurisdiction of the regular courts.
2. A labor union possesses the requisite personality to sue on behalf of its members for their individual
money claims. It would be an unwarranted impairment of the right to self - organization if such
collective entities are barred from instituting such actions in their representative capacity.
3. Once a collective contract is entered into, its benefits extend not only to all the laborers and the
employees in the collective bargaining unit, but also to those who do not belong to the labor
organization chosen to represent the employees.

Petition dismissed and the appealed orders affirmed.