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TOPIC: Definition of “Labor Dispute” SMC filed a verified Complaint for Injunction and Damages before

respondent Court to enjoin the Union from their acts. The Court issued a
San Miguel Corporation Employees Union vs. Bersamira, Temporary Restraining Order and set the application for Injunction for
           June 13, 1990, 186 SCRA 496 hearing. The Union filed a Motion to Dismiss which was then opposed by
SanMig. The Motion was denied by the respondent Judge. The Court then
FACTS: issued the Order granting the application and enjoining the union from the
acts thereof. Court issued the corresponding Writ of Preliminary Injunction
Petitioner entered into contracts for merchandising services with Liperon after SanMig had posted the required bond of P100,000.00 to answer for
and D’Rite. These companies are independent contractors duly licensed by whatever damages petitioners may sustain by reason thereof. Petitioners
the DOLE. In said contracts, it was expressly understood and agreed that the then sought for the nullification of the Writ before the SC while it also went
workers employed by the contractors were to be paid by the latter and that to strike as some of the contractual workers were laid off. NCMB called the
none of them were to be deemed employees or agents of SanMig. Thus no parties for conciliation.
EE relationship.

Petitioner (San Mig employees) is monthly paid rank-and-file employees of ISSUE:


SanMIg with whom the the latter executed a Collective Bargaining Whether the case at bar relates to a labor dispute
Agreement (CBA).
Section 1 of their CBA specifically provides that "temporary, probationary, RULING: YES
or contract employees and workers are excluded from the bargaining unit
and, therefore, outside the scope of this Agreement."
A "labor dispute" as defined in Article 212 (1) of the Labor Code includes
Union advised SanMig that some Lipercon and D'Rite workers had signed "any controversy or matter concerning terms and conditions of employment
up for union membership and sought the regularization of their employment or the association or representation of persons in negotiating, fixing,
with SMC. maintaining, changing, or arranging the terms and conditions of
employment, regardless of whether the disputants stand in the proximate
Union alleged that this group of employees have been continuously working relation of employer and employee."
for SanMig for a period ranging from six (6) months to fifteen (15) years While it is SanMig's submission that no employer-employee relationship
and that their work is neither casual nor seasonal as they are performing exists between itself, on the one hand, and the contractual workers of
work or activities necessary or desirable in the usual business or trade of Lipercon and D'Rite on the other, a labor dispute can nevertheless exist
SanMig. The Union filed a notices of strike for unfair labor practice, CBA "regardless of whether the disputants stand in the proximate relationship of
violations, and union busting. The two (2) notices of strike were employer and employee" (Article 212 [1], Labor Code, supra) provided the
consolidated and several conciliation conferences were held to settle the controversy concerns, among others, the terms and conditions of
dispute before the National Conciliation and Mediation Board (NCMB) of employment or a "change" or "arrangement" thereof (ibid). Put differently,
DOLE. and as defined by law, the existence of a labor dispute is not negative by the
fact that the plaintiffs and defendants do not stand in the proximate relation
Series of pickets were staged by Lipercon and D'Rite workers in various of employer and employee.
SMC plants and offices.
That a labor dispute, as defined by the law, does exist herein is evident. At
bottom, what the Union seeks is to regularize the status of the employees
contracted by Lipercon and D'Rite in effect, that they be absorbed into the
working unit of SanMig. This matter definitely dwells on the working
relationship between said employees vis-a-vis SanMig. Terms, tenure and
conditions of their employment and the arrangement of those terms are thus
involved bringing the matter within the purview of a labor dispute. Further,
the Union also seeks to represent those workers, who have signed up for
Union membership, for the purpose of collective bargaining. SanMig, for its
part, resists that Union demand on the ground that there is no employer-
employee relationship between it and those workers and because the
demand violates the terms of their CBA. Obvious then is that representation
and association, for the purpose of negotiating the conditions of
employment are also involved. In fact, the injunction sought by SanMig was
precisely also to prevent such representation. Again, the matter of
representation falls within the scope of a labor dispute. Neither can it be
denied that the controversy below is directly connected with the labor
dispute already taken cognizance of by the NCMB-DOLE .
employee relationship is merely incidental and the cause of action precedes
from a different source of obligation is within the exclusive jurisdiction of
the regular court. 

Being an ordinary civil action, the same is beyond the jurisdiction of labor
Topic: Exception to the Rule on Jurisdiction over Labor Dispute tribunals.The said issue cannot be resolved solely by applying the Labor
      Code. Rather, it requires the application of the Constitution, labor statutes,
      Halagueña, et al. vs. PAL, October 2, 2009,  602 S 297 law on contracts and the Convention on the Elimination of All Forms of
Discrimination Against Women, and the power to apply and interpret the
Facts: constitution and CEDAW is within the jurisdiction of trial courts, a court of
Petitioners were employed as flight attendants of respondent on different general jurisdiction. In GeorgGrotjahn GMBH & Co. v. Isnani, this Court
dates prior to November 1996. They are members of FASAP union held that not every dispute between an employer and employee involves
exclusive bargaining organization of the flightattendants, flight stewards matters that only labor arbiters and the NLRC can resolve in the exercise of
and pursers. On July 2001, respondent and FASAP entered into a CBA their adjudicatory or quasi-judicial powers. The jurisdiction of labor arbiters
incorporating the terms and conditions of their agreement for the years 2000 and the NLRC under Article 217 of the Labor Code is limited to dispute
to 2005 (compulsory retirement of 55 for female and 60 for males). arising from an employer-employee relationship which can only be resolved
by reference to the Labor Code other labor statutes, or their collective
In July 2003, petitioner and several female cabin crews, in a letter, bargaining agreement.
manifested that the provision in CBA on compulsory retirement is
discriminatory. On July 2004, petitioners filed a Special Civil Action for
Declaratory Relief with issuanceof TRO with the RTC Makati. The RTC
issued a TRO. After the denial of the respondent on itsmotion for
reconsideration for the TRO, it filed a Petition with the CA. CA granted
respondent’s petition and ordered lower court to dismiss the case. Hence,
this petition.

Issue:
Whether or not the regular courts has jurisdiction over the case.

Ruling:
Yes. The subject of litigation is incapable of pecuniary estimation,
exclusively cognizable by the RTC. Being an ordinary civil action, the same
is beyond the jurisdiction of labor tribunals.

Not every controversy or money claim by an employee against the


employer or vice-versa is within the exclusive jurisdiction of the labor
arbiter. Actions between employees and employer where the employer-
Where no employer-employee relationship exists between the parties and no
issue is involved which may be resolved by reference to the Labor Code,
other

labor statutes or any collective bargaining agreement, it is the Regional


Jurisdiction over breach of contractual obligations Trial Court that has jurisdiction. In the present case, no employer-employee
relationship exists between petitioners and respondent. In fact, in his
Pioneer Concrete vs. Todaro, 524  S 153 complaint, private respondent is not seeking any relief under the Labor
Code, but seeks payment of damages on account of petitioners' alleged
Facts: breach of their obligation under their agreement to employ him. It is settled
that an action for breach of contractual obligation is intrinsically a civil
PIL is a corporation duly organized and existing under the laws of Australia dispute.
and is principally engaged in the ready-mix concrete and concrete
aggregates business. Todaro has been the managing director of Betonval With respect to the applicability of the principle of forum non conveniens
Readyconcrete, Inc. (Betonval), a company engaged in pre-mixed concrete in the present case
and concrete aggregate production; he resigned from Betonval.
The doctrine of forum non conveniens, literally meaning ‘the forum is
PIL contacted Todaro and asked him if he was available to join them in inconvenient’, emerged in private international law to deter the practice of
connection with their intention to establish a ready-mix concrete plant and global forum shopping, that is to prevent non-resident litigants from
other related operations in the Philippines; Todaro informed PIL of his choosing the forum or place wherein to bring their suit for malicious
availability and interest to join them; subsequently, PIL and Todaro came to reasons, such as to secure procedural advantages, to annoy and harass the
an agreement wherein the former consented to engage the services of the defendant, to avoid overcrowded dockets, or to select a more friendly
latter as a consultant for two to three months, after which, he would be venue. Under this doctrine, a court, in conflicts of law cases, may refuse
employed as the manager of PIL's ready-mix concrete operations should the impositions on its jurisdiction where it is not the most "convenient" or
company decide to invest in the Philippines; subsequently, PIL started its available forum and the parties are not precluded from seeking remedies
operations in the Philippines; however, it refused to comply with its elsewhere.
undertaking to employ Todaro on a permanent basis.

PPHI, PCPI RTC has no jurisdiction over the subject matter of the
complaint, as the same is within the jurisdiction of the NLRC, and that the
complaint should be dismissed on the basis of the doctrine of forum non
conveniens.

Ruling:
Yes. The regular courts lack jurisdiction in the case at bar.
In the instant case, the allegations in private respondent’s complaint for
damages show that her injury was the offshoot of petitioners’ immediate
Jurisdiction over claim for damages arising from employer-employee harsh reaction as her administrative superiors to the supposedly sloppy
relationship manner by which she had discharged her duties. Petitioners’ reaction
  culminated in private respondent’s dismissal from work in the very same
Kawachi v. Del Quero March 27, 2007, 519 S 102 incident. The incident on 10 August 2002 alleged in the complaint for
damages was similarly narrated in private respondent’s Affidavit-Complaint
supporting her action for illegal dismissal before the NLRC. Clearly, the
Facts: alleged injury is directly related to the employer-employee relations of the
parties.
Petitioners scolded private respondent in front of many people about the Where the employer-employee relationship is merely incidental and the
way she treated the customers of the pawnshop and afterwards terminated cause of action proceeds from a different source of obligation, the Court has
private respondent’s employment as a pawnshop clerk.  Private respondent not hesitated to uphold the jurisdiction of the regular courts. Where the
charged the petitioner with illegal dismissal, non-execution of a contract of damages claimed for were based on tort, malicious prosecution, or breach of
employment, violation of the minimum wage law, and non-payment of contract, as when the claimant seeks to recover a debt from a former
overtime pay. The complaint was filed before the NLRC. The private employee or seeks liquidated damages in the enforcement of a prior
respondent also filed an action for damages against the petitioners before employment contract, the jurisdiction of regular courts was upheld. The
the MeTC. scenario that obtains in this case is obviously different. The allegations in
private respondent’s complaint unmistakably relate to the manner of her
Petitioners moved for the dismissal of the complaint on the grounds of lack alleged illegal dismissal.
of jurisdiction and forum-shopping or splitting causes of action. At first, the
MeTC granted petitioners’ motion and ordered the dismissal of the
complaint for lack of jurisdiction. Upon private respondent’s motion, the
MeTC reconsidered and set aside the order of dismissal. It ruled that no
causal connection appeared between private respondent’s cause of action
and the employer-employee relations between the parties.
The RTC held that private respondent’s action for damages was based on
the alleged tortuous acts committed by her employers and did not seek any
relief under the Labor Code.

Issue:
Whether the regular courts lack jurisdiction in the case at bar.

Ruling:
jurisdiction over the instant case as it arose out of their
employer-employee relationship.
Jurisdiction over claim for damages arising from SSS contributions
MeTC RULING: DISMISSED for lack of jurisdiction
Amecos Innovations, Inc. Vs. Lopez, G.R. No. 1780555, July 2,   2014
( Art 224 a(4)) RTC RULING: AFFIRMED the MeTC

CA RULING: AFFIRMED the RTC


FACTS:
Amecos is a corporation engaged in the business of selling ISSUE:
assorted products. In 2003, a complaint was filed by the SSS
against Amecos for an alleged delinquency in the remittance Does the LA have jurisdiction over cases involving the
of SSS contributions and penalty liabilities in violation of reimbursement of SSS contribution paid by the Amecos in
Section 22(a) and 22(d) in relation to Section 28(e) of the behalf of Lopez?
SSS law, as amended.
SC RULING:
By way of explanation, Amecos claimed that it hired Lopez
as Marketing Assistant to promote its products; that upon
hiring, Lopez refused to provide Amecos with her SSS YES. The LA has original and exclusive jurisdiction over the
Number and to be deducted her contributions; that on the matter, since the same necessarily flowed from the
basis of the foregoing, Amecos no longer enrolled Lopez employer-employee relationship between Amecos and
with the SSS and did not deduct her corresponding Lopez. In this connection, it is noteworthy to state that "the
contributions up to the time of her termination in February Labor Arbiter has jurisdiction to award not only the reliefs
2002. provided by labor laws, but also damages governed by the
Civil Code."
Amecos eventually settled its obligations with the SSS;
consequently, SSS filed a Motion to Withdraw Complaint, At the same time, it cannot be assumed that since the
which was approved by the Office of the City Prosecutor. dispute concerns the payment of SSS premiums, Amecos’
claim should be referred to the Social Security Commission
Thereafter, Amecos sent a demand letter to Lopez for (SSC). As far as SSS is concerned, there is no longer a
P27,791.65 representing her share in the SSS contributions dispute with respect to Amecos’ accountability to the
and expenses for processing, but to no avail. Thus, Amecos System; Amecos already settled their pecuniary obligations
filed a complaint for sum of money and damages against to it. Since there is no longer any dispute regarding
Lopez before the MeTC. coverage, benefits, contributions and penalties to speak of,
the SSC need not be unnecessarily dragged into the picture.
Lopez filed her Answer with Motion to Dismiss claiming, Besides, it cannot be made to act as a collecting agency for
among others, that the regular courts do not have petitioners’ claims against the respondent; the Social
Security Law should not be so interpreted, lest the SSC be
swamped with cases of this sort.

At any rate, the complaint shall be dismissed for lack of


cause of action. Since Amecos did not remit the full SSS
contributions of Lopez, the latter was never covered by and
protected under the System. If she was never covered by
the System, certainly there is no sense in making her
answerable for the required contributions during the period
of her employment. And it follows as a matter of
consequence that claims for other damages founded on the
foregoing non-existent cause of action should likewise fail.
Who are Corporate officers for purposes of jurisdiction over the dismissed or terminated is a corporate officer, the case
dispute automatically falls within the province of the Regional Trial
Court (RTC). The dismissal of a corporate officer is always
Marc II Marketing, Inc. et al. vs. Alfredo Joson, G.R. No.  171993, regarded as a corporate act and/or an intra-corporate
December 12, 2011 controversy.

FACTS: In conformity with Section 25 of the Corporation Code,


whoever are the corporate officers enumerated in the by-
Respondent Alfredo Joson was the General Manager, laws are the exclusive officers of the corporation and the
incorporator, director and stockholder of Marc II Marketing Board has no power to create other officers without
(Petitioner Corporation). Before Petitioner Corporation was amending first the corporate by-laws. However, the Board
officially incorporated, respondent has already been may
engaged by petitioner Lucila Joson, in her capacity as
President of Marc Marketing Inc., to work as the General create appointive positions other than the positions of the
Manager of Petitioner Corporation through a management corporate officers, but the persons occupying such positions
contract. are not considered as corporate officers within the meaning
of Section 25 of the Corporation Code and are not
However, Petitioner Corporation decided to stop and cease empowered to exercise the functions of the corporate
its operation wherein respondent's services were then officers, except those functions lawfully delegated to them.
terminated. Feeling aggrieved, respondent filed a Complaint Their functioning and duties are to be determined by the
for Reinstatement and Money Claim against petitioners Board of Directors/Trustees.
before the Labor Arbiter which ruled in favor of respondent.
The National Labor and Relations Commission (NLRC) In the case at bar, the respondent was not a corporate
reversed said decision. The Court of Appeals (CA) however, officer of Petitioner Corporation because his position as
upheld the ruling of the Labor Arbiter. Hence, this petition. General Manager was not specifically mentioned in the
roster of corporate officers in its corporate by-laws. Thus
ISSUE: respondent, can only be regarded as its employee or
subordinate official. Accordingly, respondent's dismissal as
Whether or not the Labor Arbiter has jurisdiction over the Petitioner Corporation’s General Manager did not amount to
controversy at bar an intra-corporate controversy. Jurisdiction therefore
properly belongs with the Labor Arbiter and not with the
RULING: RTC.

Yes. While Article 217(a) 229 of the Labor Code, as In this Petition for Review on Certiorari under Rule 45 of the
amended, provides that it is the Labor Arbiter who has the Rules of Court, herein petitioners Marc II Marketing, Inc. and
original and exclusive jurisdiction over cases involving Lucila V. Joson assailed the Decision[1] dated 20 June 2005
termination or dismissal of workers when the person of the Court of Appeals in CA-G.R. SP No. 76624 for
reversing and setting aside the Resolution[2] of the National
Labor Relations Commission (NLRC) dated 15 October 2002,
thereby affirming the Labor Arbiters Decision[3] dated 1
October 2001 finding herein respondent Alfredo M. Josons
dismissal from employment as illegal. In the questioned
Decision, the Court of Appeals upheld the Labor Arbiters
jurisdiction over the case on the basis that respondent was
not an officer but a mere employee of petitioner Marc II
Marketing, Inc., thus, totally disregarding the latters
allegation of intra-corporate controversy. Nonetheless, the
Court of Appeals remanded the case to the NLRC for further
proceedings to determine the proper amount of monetary
awards that should be given to respondent.

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