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Republic of the Philippines

NATIONAL LABOR RELATIONS COMMISSION
National Capital Region
Quezon City

ESPIRIDION D. PIELAGO, ET.

AL.,
Complainants,

-versus- NLRC-NCR Case No. 03-00063-

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4TH DIMENSION MULTI-PURPOSE COOPERATIVE/

MARIBEL SALTA/ROGER MILARAN
Respondents.
X----------------------------------------------------------x

POSITION PAPER

RESPONDENT 4th Dimension Multi-Purpose Cooperative (“4th

Dimension”), by the undersigned, unto this Honorable Office, most
respectfully alleges the following:

PREFATORY STATEMENT

This has reference to the order dated 01 October 2021 directing the
herein respondents to submit its Position Paper on the complaint for Non
Payment of Service Incentive Leaves, 13th Month Pay and Separation Pay.

4th Dimension was organized in accordance with the Cooperative

Code of the Philippines, and is registered with the Cooperative
Development Authority (CDA). It is authorized by law to engage in the
business of providing various manpower services to individuals,
corporations, partnerships and other entities.

A copy of 4th Dimension’s Certificate of Registration duly issued by

the CDA is attached as Annex 1.

4TH Dimension is a legitimate independent contractor and satisfies all

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the requirements under the law, 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 4 th 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. 174, Series of 2017 entitled
Rules Implementing Articles 106 to 109 of the Labor Code, as amended.

The copy of the said Certificate of Registration is attached as Annex

“2”.

The respondent cooperative was also issued a Business Permit by the

Office of the Mayor, carries on a distinct and independent business, the
copy of which is attached as Annex “3”.

Respondent 4th Dimension possesses substantial capital or

investment to actually perform the job, work or services on its own
account and responsibility. Proofs of this is the Bank Certificate issued by
RCBC, and the same is attached and marked as Annex “4”.

4th DIMENSION enters into a Service Agreement with clients,

ensuring compliance with all the rights and benefits under labor laws.

The copy of the Service Contract entered into by and between 4 th

Dimension and its client MACROASIA is attached and marked as Annex
“5” series.

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

members/employees to MACROASIA.

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

assigned to its clients signed and entered into a Membership Agreement
with 4th Dimension simultaneously with the signing of the employment
contracts, copies of which are attached and marked as Annex “6” series.

Those members/employees 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, Pag Ibig, logsheets, payroll and payments of unused Service
Incentive Leaves, copies of which are attached and marked as Annex “7”
series.

ISSUE
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The issues involved in the instant case are the following:

1) Whether or not there is a violation of Article 95 of the Labor Code, as

amended, on Service Incentive Leave;

2) Whether or not there is a violation of 13 th Month pay law, on the 13 th

Month pay;

3) Whether or not there is a violation of the Labor Code, as amended, on

payment of Separation Pay.

DISCUSSIONS

1. There is No violation of Article 95 of the Labor Code as

amended, on Service Incentive Leaves;

The unused Service Incentive Leaves (SIL) are paid to the

member/employees of 4th Dimension, proof of payments for the unused SIL
to its member/employees assigned in MACROASIA made on December
2020 are attached and marked as Annex “8” series

Due to the outbreak of Corona virus Disease 2019 or COVID-19 on

MARCH 2020, operations of companies engaged in the Aviation Industry,
including MACROASIA became limited, and the employment of workers
were temporarily suspended by reason of temporary suspension of some of
its business operations.

According to Labor Advisory No. 11, Series of 2020, or the

Supplemental Guidelines relative to remedial measures in view of the
ongoing outbreak of COVID-19, the leaves of absence during community
quarantine period shall be charged against their existing leave credits, if
any, remaining unpaid leaves during said period may be covered and be
subject to the conditions provided in the DOLE’s propose COVID-19
adjustment program.

Section 1 Article III of Department Order 209 Series of 2020 or the

guidelines on the adjustment measures program for affected workers due
to Corona virus disease 2019 or CAMP provides that:

“Section 1. Financial Support. This component shall provide

affected workers with financial relief necessary to mitigate the
immediate adverse economic impacts of the COVID-19 pandemic.
Relative to DOLE Advisory No. 11, series of 2020, which states that
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workers’ leaves of absence during the quarantine period are to be

charged against their leave credits, the financial assistance may be
used to cover remaining unpaid leaves of affected workers. A one time
financial assistance equivalent to PHP 5,000.00 shall be provided to
affected workers in lump sum, non conditional, regardless of
employment status”

4th Dimension facilitated the availment of the CAMP program for its
members/employees affected to cover their remaining unpaid leaves,
copies of the record of the availment of the CAMP with the lists of its
members/employees who availed of the program are attached and marked
as Annex “9” series.

Aside from the CAMP, 4th Dimension provided additional financial

support to its member/employees in the amount of PHP 2,000.00, copies of
which are attached and marked as Annex “10” series.

2. There is no violation of 13th month pay law.

Section 1 of the Rules and Regulations implementing Presidential

Decree 851 provides;

“Section 1. Payment of 13th-Month Pay - All employers covered

by Presidential Decree 851, hereinafter referred to as the “Decree”
shall pay to all their employees receiving a basic salary of not more
than P1,000 a month a thirteenth month pay not later than
December 24 of every year”

4th Dimension has paid all its member/employees their 13 th month

pay for the year 2020, copies of the payroll and proof of payment are
attached and marked as Annex “11” series.

Respondent 4th Dimension, despite being affected by the pandemic,

continuously made substantial efforts to look for available job opportunities
for its displaced member/employees during pandemic and ensure that the
13th month pay of its member/employees are paid in accordance with what
is provided for under the law.

3. There is no violation of the Labor Code, as amended, on

Separation pay;

Due to the pandemic, business activities of MACROASIA were limited,

resulting to a temporary suspension of work of some of the
member/employees of 4th Dimension assigned at MACROASIA.
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On October 2021, in the light of the easing of the government

restrictions on the travel industry, MACROASIA gradually re-opens all its
business operations, with the increasing demand for manpower, 4 th
Dimension has notified all its affected member/employees, including the
herein 9 complainants, to attend the training required by MACROASIA
before deployment. Their attendance to the training is the only
requirement before they can be deployed to their former positions in
MACROASIA. Copies of the letter and proof of service are attached and
marked as Annex “12” series.

Melvin Mateo, one of the complainants in this case, has attended

the training and is now deployed in MACROASIA starting 22 October 2021.
The copy of the timesheet is attached and marked as Annex “13”

Esperidion Pielago, Jerry Mission and Mark Jonas Villaruel has

confirmed their attendance to the training which was scheduled last 04
November 2021. Copy of the attendance is attached and marked as Annex
“14”

While the other 5 complainants, Cataquiz Rodgevel, Garcia Jason

Lumapas, Maca Ramil Pestano, Mamaril Gerald Tugade and Legazpi
Joepherson Elgario did not respond despite the notification.

PRAYER

WHEREFORE, premises considered, it is most respectfully

prayed of this Honorable Office the dismissal of the complaint based on
the above considerations.

For Quezon City, 08 November 2021.

MARICEL PADIERNOS
General Manager
th
4 Dimension Multi-Purpose Cooperative
#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 4 th 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

th
08 day of November 2021, at Quezon City.

MARICEL PADIERNOS
Affiant

SUBSCRIBED AND SWORN to before me this 08th day of

November 2021 at Quezon City. Affiant exhibited to me her SSS ID No.
33-4773458-6.
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NOTARY PUBLIC

Doc. No. ______

Page No. ______
Book No. ______
Series of 2021