GR 103638; (April, 1994) (Digest)
G.R. No. 103638 April 14, 1994
First Intramuros BF Condominium Corporation and Maxy Abad, petitioners, vs. National Labor Relations Commission and Nancy Dingayan Quimpo, respondents.
FACTS
Private respondent Nancy Dingayan Quimpo was employed by petitioner First Intramuros BF Condominium Corporation on February 1, 1980, as Assistant Building Administrator for Finance and Administration. She received promotions and salary increases, becoming Senior Assistant Building Administrator in 1984, Building Administrator in 1985, and General Manager in 1986. In 1987, she received another salary increase from the corporation’s president. On November 29, 1988, she received her 13th-month pay based only on her basic salary and protested, citing company policy to include fringe benefits in its computation. Later, her salary was reverted to her November 1987 rate, with the reason that the December 1986 increase granted by the president was not confirmed by the Board of Directors. Quimpo filed a complaint for underpayment, withholding of salary, and diminution of her 13th-month pay. Labor Arbiter Manuel P. Asuncion ruled in her favor on June 20, 1990, ordering petitioners to pay her full salary from December 1988, 13th-month pay for 1987, moral and exemplary damages, and attorney’s fees. The National Labor Relations Commission affirmed this decision on September 24, 1991, and denied the motion for reconsideration on December 27, 1991. Petitioners filed a Petition for Certiorari with the Supreme Court. During the pendency of the case, the parties entered into a Compromise Agreement dated January 29, 1994, for the amicable settlement of this case and another related labor case.
ISSUE
Whether the Compromise Agreement entered into by the parties should be approved by the Supreme Court.
RULING
The Supreme Court approved the Compromise Agreement. The law not only authorizes but encourages the amicable settlement of disputes between parties, applicable both to cases about to be filed and those already pending in court. Finding the compromise agreement not contrary to law, morals, good customs, public order, and public policy, the Court approved it and enjoined the parties to faithfully comply with its terms and conditions. The resolution was immediately executory.