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Republic of the Philippines

DEPARTMENT OF LABOR AND EMPLOYMENT
Regional Office No. III
SWLC Bldg., DMGC, Brgy Maimpis, City of San Fernando, Pampanga

IN RE: JOINT ASSESSMENT

conducted at 4th Dimension Multi
Purpose Cooperative

4TH DIMENSION MULTI-PURPOSE COOP.

#27-B Benitez Street, Brgy Horseshoe Village Cubao, Quezon City

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COMMENT

COMES NOW 4th Dimension Multi-Purpose Cooperative, by the undersigned,

unto this Honorable Office, most respectfully files its comment and avers that:

STATEMENT

This has reference to the findings on the work arrangement by the joint
assessment conducted on March 28,2017 on Candy Corner, SM Baliuag, Baliuag
Bulacan.

STATEMENT OF FACTS

The assessment was conducted by LLCO Reimell John T. Estacio, who

came up with the observations.

4th Dimension was organized in accordance with the Cooperative Code of the
Philippines, and is registered with the Cooperative Development Authority (CDA).
A copy of 4th Dimension’s Certificate of Registration duly issued by the CDA is
attached as Annex 1.

The cooperative is engaged in an independent job contracting, and providing

entities and companies various work services that it and its members can offer and
render. Pursuant thereto, the Department of Labor and Employment (DOLE) issued a
Certificate of Registration in favor of 4th Dimension stating that the latter has “complied
with the requirements as provided for under the Labor Code, as amended, and its
Implementing Rules.” The implementing rules referred to therein is Department Order
No. 18-A, Series of 2011 entitled Rules Implementing Articles 106 to 109 of the Labor
Code, as amended.
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The copy of the said Certificate of Registration is hereto attached and marked as
Annex “2”.

4th Dimension Multi-Purpose Cooperative was likewise issued a Certificate of

Compliance on General Labor Standards by the Department of Labor and Employment
on December 28, 2016, copy of which is hereto attached and marked as Annex “3”.

The respondent cooperative was also issued a Business Permit by the Office of
the Mayor, the copy of which is hereto attached and marked as Annex “4”.

Respondent 4th Dimension likewise has substantial capital or investment to

actually perform the job, work or services under its own account and responsibility.
Proofs of this is the Bank Certificate issued by RCBC, and the same is hereto attached
and marked as Annex “5”.

Considering the fact that respondent 4 th Dimension is a legitimate manpower

service provider that operates as an independent contractor servicing various other
reputable companies, Candy Corner agreed to engage the services of 4 th Dimension.
Thus, the latter deployed several of its members-owners to perform various services
required by Candy Corner under their Service Contract that they have entered into.

The copy of the Service Contract entered into by and between 4 th Dimension
Multi-Purpose Cooperative and Candy Corner is hereto attached and marked as Annex
“6”.

Pursuant to the said Service Contract, 4 th Dimension assigned its

employees/members to Candxy Corner.

Accordingly, the employees/members of 4 th Dimension who were assigned to

Candy Corner signed and entered into a Membership Agreement with 4 th Dimension
simultaneous with the signing of the employment contracts, copies of which are hereto
attached and marked as Annex “7”, series.

Those employees/members who executed the above-mentioned Employment

contract are regular employees of 4th Dimension. This can be substantiated by their
remittance with the Social Security System, Philhealth and Pag Ibig.

Since the start of the assignment of the employees/members of 4th Dimension to

Candy Corner, an Account Supervisor was assigned to the said company by 4 th
Dimension to supervise and monitor its employees in the performance of their assigned
tasks.

To substantiate the same, 4th Dimension presents the Affidavit of Mr. Jonathan
Doon, the Account Supervisor assigned in Candy Corner, copy of which is hereto
attached and marked as Annex “8”.

The Account Supervisor personally supervise and monitor its employees in the
performance of their assigned task at the premises of Candy Corner , and through its
assigned Team Leader who is also an employee/member of 4th Dimension.

To substantiate the same, 4th Dimension presents copies of Incident Reports,

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Sick Leave forms and the appointment of the Team Leader, copy of which is hereto
attached and marked as Annex “9”, series.

DISCUSSIONS

4th Dimension is a legitimate independent contractor.

Section 3, paragraphs (d) & (e) of Department Order No. 174, series of 2017,
provides that:

“(d) “Contractor” refers to any person or entity,

including a cooperative, engaged in a legitimate
contracting or subcontracting arrangement providing
services for a specific job or undertaking farmed out by
principal under a Service Agreement”

“(e) “Contractor’s employee” refers to

employee of the contractor hired to perform or complete a
job or work farmed out by principal pursuant to a Service
Agreement with the latter”

xxx

“(j) “Service Agreement” refers to the contract

between the principal and contractor containing the terms
and conditions governing the performance or completion
of a specific job, or work being farmed out for a definite or
predetermined period.”

“(l) “Substantial capital” refers to paid-up

capital stocks/shares of at least Five Million Pesos
(P5,000,000.00) in the case of corporations, partnership
and cooperatives; in the case of single proprietorship, a
networth of at least Five Million Pesos (P5,000,000.00)”

Candy Corner and 4th Dimension likewise agreed on the services to be rendered
by the members to be supplied by 4th Dimension, designation of services, number of
members to be supplied for each service and the workplace.

The Bank Statement of 4th Dimension will show that it has a very
substantial capital that can carry out the job, work or services sought to be undertaken
under the Service Contract.

The employees deployed to the various establishments are the regular

employees of 4TH DIMENSION.

The workers supplied/deployed to its clients are the employees of 4 TH

DIMENSION. It assumes full responsibility for its compliance with all labor laws and
regulations and implements the following:
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1) The hiring and employment of the workers supplied to its clients. This is
never done by the clients

2) Determines the particular employees to be deployed to the clients after

entering into a Service Agreement.

3) Pays the salaries, wages and all benefits of the workers in accordance with
laws, rules and regulations. This includes the manner, mode and terms of
payment.

4) Has the power to terminate, re-assign or transfer, recall the workers

deployed.

While the employees of 4th Dimension performed their tasks at a designated

working area assigned by the principal, they were under the control and supervision of
Mr. Jonathan Doon, the Account Supervisor of 4th Dimension assigned to Candy
Corner, direct the employees in all matters connected with the performance of the
work except as to the results thereof.

On matters pertaining to routine or day to day tasks under the service contract,
4th DIMENSION Account Supervisor may receive written instruction and communication
from the clients. The Account Supervisor of 4TH DIMENSION is simply in close
coordination with the assigned employees to carry out the objectives in the service
agreement. 4TH DIMENSION has complete control and supervision over the employees
supplied to the clients.

Insofar as the findings in the assessment that the tools and equipment
pertain and belong to the principal, this is part of the arrangement or agreement for
the employees engaged in that particular specialized line of work. Clients prefer
and require that the tools and equipment, such as utensils, apparatus and similar
implements belong to them. They simply wish to be practical and ensure that the tools
and equipment are suitable to their standards. For other tools and implements, 4TH
DIMENSIONS supplies them.

PRAYER

WHEREFORE, premises considered, it is most respectfully prayed of this

Honorable Office that the findings on work arrangement be not admitted based on the
above considerations.

for Quezon City, July 11, 2017.

MARICEL PADIERNOS
General Manager
4 Dimension Multi-Purpose Cooperative
th

#27-B Benitez Street, Brgy Horseshoe

Village Cubao, Quezon City
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VERIFICATION WITH CERTIFICATION

OF NON-FORUM SHOPPING

I, MARICEL PADIERNOS, of legal age, Filipino citizen, after having been duly
sworn to in accordance with law hereby depose and state that:

1. I am the General Manager of 4th Dimension Multi-Purpose Cooperative.

2. I have caused the preparation of the foregoing Position Paper.
3. I have read and understood the contents thereof;
4. The same are true and correct to the best of my knowledge and belief;
5. I have not commenced any other court action or proceedings involving the
same issues in the Supreme Court, the Court of Appeals, or any other tribunal or
agency;
to the best of my knowledge, no such action or proceeding is pending in the Supreme
Court, Court of Appeals or any other tribunal or agency. If I should learn thereafter
that a similar action or proceedings has been filed or is pending, I undertake to report
the same fact within five (5) days therefrom to the court or agency wherein the original
pleading and sworn certification contemplated herein have been filed.

IN WITNESS WHEREOF, I have hereunto affixed my signature this 14 th day of

March 2017, at Quezon City.

MARICEL PADIERNOS
Affiant

SUBSCRIBED AND SWORN to before me this 14th day of March 2017 at

Quezon City. Affiant exhibited to me her SSS ID No. 33-4773458-6.

NOTARY PUBLIC

Doc. No. ______

Page No. ______
Book No. ______
Series of ______
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SECRETARY’S CERTIFICATE

I, PERLA P. HUERTO, Corporate Secretary of 4th Dimension Multi-Purpose

Cooperative, certify that the following is a correct and true copy of a Resolution duly
approved at a meeting of the Board of Directors of the said Corporation held at its
office at #27-B Benitez St Brgy Horseshoe Village Cubao, Quezon City, on the th day of
July 2017, and the said Resolution is in full effect and has not been revoked or
cancelled, and reads as follows:

“RESOLVED THAT MARICEL PADIERNOS, is hereby

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authorized to verify, certify, authenticate, file, execute and/or sign

all documents and pleadings in IN RE: JOINT ASSESSMENT
CONDUCTED AT 4TH DIMENSION MULTI-PURPOSE
COOPERATIVE”, for and in behalf of the cooperative, including
but not limited to Position Paper, Reply and Motions, Memorandum,
Memorandum of Appeal, in connection with any and all cases filed
or be filed against them before the Department of Labor and
Employment and to represent the company in the conferences,
hearings and other proceedings thereon.

“RESOLVED FURTHER that the above authority shall

likewise apply to all petitions and other pleadings which may be
filed with the appellate courts, namely, the Court of Appeals and
the Supreme Court.

RESOLVED FINALLY that the foregoing authority shall

continue to be in full force and effect until revoked by the Board of
Directors in a resolution duly certified by the Corporate Secretary.”

IN WITNESS WHEREOF, I have hereunto affixed my signature this 7th day

of July 2017 at the City of Quezon City.

PERLA P. HUERTO
Corporate Secretary

SUBSCRIBED AND SWORN to before me this 7th day of July 2017 at Quezon
City. Affiant exhibited to me her SSS ID No. 33-4773458-6.

NOTARY PUBLIC

Doc. No. ______

Page No. ______
Book No. ______
Series of ______
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