Laguna Autoparts v. Secretary of Labor

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Laguna Autoparts v.

Secretary of Labor

G.R. NO. 157146, April 29, 2005

Facts:

Laguna Autoparts moved to dismiss the petition for certification election. It claimed that OBRERO
PILIPINO-LAMCOR CHAPTER was not a legitimate labor organization for failure to show that it had
complied with the registration requirements, such as the submission of some necessary requirements to
the Regional Office or the Bureau of Labor Relations (BLR) and that its legal personality was at question.

Med-Arbiter dismissed the petition for certification election for OBRERO PILIPINO’S lack of legal
personality. The Med-Arbiter found that the respondent union had not yet attained the status of a
legitimate labor organization because it failed to indicate its principal office on the documents it submitted
to the Regional Office. He opined that this was a fatal defect tantamount to failure to submit the complete
requirements, which warranted the dismissal of the petition for certification election.

The respondent union appealed the case to the Secretary of Labor and Employment who reversed the
decision of the med-arbiter. The Court of Appeals also affirmed the decision of the Secretary of Labor.

Issues:

(a) whether or not the respondent union is a legitimate labor organization; - YES

(b) whether or not a chapter’s legal personality may be collaterally attacked in a petition for certification
election; - NO and

(c) whether or not the petitioner, as the employer, has the legal standing to oppose the petition for
certification election.

Held:

First Issue

Findings of fact of administrative agencies and quasi-judicial bodies, which have acquired expertise
because their jurisdiction is confined to specific matters, are generally accorded not only great respect but
even finality. This is particularly true where the CA affirms such findings of fact. In this case, the CA
affirmed the finding of the Secretary of Labor and Employment that the respondent union is a legitimate
labor organization.

Indeed, a local or chapter need not be independently registered to acquire legal personality this is
pursuant to Section 3 Rule VI of the IRR of Book 5 as amended by D.O No. 9 which says that a
local/chapter constituted in accordance with Section 1 of this Rule shall acquire legal personality from the
date of filing of the complete documents enumerated therein.

As gleaned from the said provision, the task of determining whether the local or chapter has submitted the
complete documentary requirements is lodged with the Regional Office or the BLR, as the case may be.
The records of the case show that the respondent union submitted the said documents to Regional Office
No. IV and was subsequently issued CERTIFICATE OF CREATION OF LOCAL/CHAPTER.
Hence, the Regional Office, through the Labor Relations Division Chief, has determined that the
respondent union complied with the requirements under the law. It, therefore, declared that the
respondent union has acquired legal personality as a labor organization.

2nd Issue

Section 5, Rule V of D.O. 9 is instructive on the matter. It provides that the legal personality of a union
cannot be the subject of collateral attack in a petition for certification election, but may be questioned only
in an independent petition for cancellation of union registration. This has been the rule since NUBE v.
Minister of Labor, 110 SCRA 274 (1981). What applies in this case is the principle that once a union
acquires legitimate status as a labor organization, it continues as such until its certificate of registration is
cancelled or revoked in an independent action for cancellation.

Equally important is Section 11, Paragraph II, Rule IX of D.O. 9, which provides for the dismissal of a
petition for certification election based on the lack of legal personality of a labor organization only in the
following instances: (1) appellant is not listed by the Regional Office or the BLR in its registry of legitimate
labor organizations; or (2) appellant’s legal personality has been revoked or cancelled with finality. Since
appellant is listed in the registry of legitimate labor organizations, and its legitimacy has not been revoked
or cancelled with finality, the granting of its petition for certification election is proper.

Third Issue

Finally, on the issue of whether the petitioner has the legal standing to oppose the petition for certification
election, we rule in the negative.

Its role in a certification election has aptly been described in Trade Unions of the Philippines and Allied
Services (TUPAS) v. Trajano, as that of a mere bystander. It has no legal standing in a certification
election as it cannot oppose the petition or appeal the Med- Arbiter’s orders related thereto.

Therefore in conclusion:

There is no reversible error in the CA’s decision dismissing the petition for certiorari for the nullification of
the decision of the Secretary of Labor and Employment.

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