G.R. No. L-18683 December 31, 1965
LUZON STEVEDORING CORPORATION, petitioner, vs. THE COURT OF INDUSTRIAL RELATIONS and LUSTEVECO EMPLOYEES ASSOCIATION-CCLU, respondents.

FACTS

The Luzon Stevedoring Corporation (LUZON) and the Lusteveco Employees Association-CCLU (LEA) entered into a collective bargaining agreement effective until September 30, 1958. In May 1958, LEA recruited members from LUZON’s police force, contrary to the agreement. In June 1958, LUZON dismissed eight security guards who were LEA members. LEA declared a strike on June 11, 1958, without prior notice. This dispute was certified to the Court of Industrial Relations (CIR). The parties agreed to a return-to-work arrangement, with the CIR ordering reinstatement of the eight guards and submission of two specific cases (Edito Cruz and Alejandro Galicia) for its decision. The collective bargaining agreement expired on September 30, 1958. On December 22, 1958, LUZON suspended seven security guards (LEA members) and reduced the Christmas bonus. On January 2, 1959, LEA charged LUZON with unfair labor practices and, at midnight, went on a second strike without filing a strike notice. LUZON moved to declare the strike illegal. A related incident involved union member Alejandro Galicia, who had been allowed to live in a shack on LUZON’s Makati terminal premises. After his dismissal and participation in the strikes, LUZON, with police help, ejected him and later tore down the shack without CIR authority. Galicia was convicted of trespassing. The CIR, on January 17, 1961, declared the January 2, 1959 strike illegal on multiple grounds and ordered the dismissal of the striking employees, with separation pay for those not involved in illegal acts.

ISSUE

The main issue was whether the Court of Industrial Relations acted with grave abuse of discretion or in excess of jurisdiction in declaring the strike of January 2, 1959 illegal and ordering the dismissal of the striking employees.

RULING

The Supreme Court affirmed the CIR’s decision. The strike was declared illegal on the following grounds: (1) it was declared without the prior notice required by law; (2) the alleged unfair labor practices (dismissals, bonus reduction) were either for just cause, affected all workers similarly, or were unsubstantiated, and furthermore, the grievance procedure in the collective bargaining agreement was not followed; (3) even assuming unfair labor practices existed, the strike was unwarranted as these matters were already pending before the CIR; and (4) the strike was conducted with illegal acts on the picket line. The Court also held that the CIR had jurisdiction to order the dismissal of the strikers as a consequence of the illegal strike, as part of its broad powers under Republic Act 875 to fix the terms and conditions of employment in certified disputes. The Court censured LUZON for tearing down Galicia’s shack without CIR authority but found the related appeal moot as the shack was already destroyed.