G.R. No. 193798 September 8, 2015
Coca-Cola Bottlers Philippines, Inc., Petitioner, vs. Ilocos Professional and Technical Employees Union (IPTEU), Respondent.

FACTS

Petitioner Coca-Cola Bottlers Philippines, Inc. (CCBPI) is a domestic corporation engaged in the beverage business. Respondent Ilocos Professional and Technical Employees Union (IPTEU) is a registered independent labor organization. On July 9, 2007, IPTEU filed a petition for certification election to represent approximately twenty-two (22) rank-and-file professional and technical employees at CCBPI’s Ilocos Norte Plant. CCBPI opposed the petition, arguing that some employees were supervisory or confidential and thus ineligible for union membership, and that IPTEU failed to meet the 20% membership requirement. The Mediator-Arbiter granted the petition on August 23, 2007, ordering a certification election. CCBPI filed an appeal with the Secretary of Labor and Employment (SOLE) and a motion to suspend proceedings. Despite the pending appeal, a pre-election conference was held, and the parties agreed to conduct the certification election on September 21, 2007. On election day, 16 of the 22 employees voted. CCBPI filed a protest and a challenge to the votes, claiming the voters were supervisory or confidential employees. On October 22, 2007, the Mediator-Arbiter denied the challenge, found the voters to be rank-and-file employees, canvassed the votes, and proclaimed IPTEU as the exclusive bargaining agent after it garnered 14 votes. CCBPI appealed to the SOLE, which denied the appeal on May 6, 2008. CCBPI then filed a petition for certiorari with the Court of Appeals, which was denied on March 17, 2010, and a motion for reconsideration was also denied on September 16, 2010.

ISSUE

The primary issue is whether the Court of Appeals erred in affirming the decisions of the Mediator-Arbiter and the SOLE, which held that the employees in question were rank-and-file and not confidential employees, and that the certification election was validly conducted despite a pending appeal.

RULING

The Supreme Court denied the petition and affirmed the Court of Appeals’ decision. The Court held that the order granting a certification election in an unorganized establishment is not subject to appeal, pursuant to Section 17, Rule VIII of Department Order No. 40-03. Any issues must be raised through a protest after the election. The Court found that the Ilocos Monthlies Union (IMU), the existing bargaining agent, did not represent the professional and technical employees in question, as evidenced by certifications and CBAs excluding them. Regarding the claim that the employees were confidential, the Court applied the two-fold test: employees must (1) assist or act in a confidential capacity to (2) persons who formulate, determine, and effectuate management policies in labor relations. The Court found that the employees’ access to confidential business information did not meet this test, as their functions did not involve a confidential relationship concerning labor relations. Thus, they were correctly considered rank-and-file employees eligible for union membership. The Court also upheld the validity of the certification election proceedings, noting that CCBPI participated without waiving its protest.