[G.R. No. L-10321. February 28, 1958.]
DEMOCRATIC LABOR ASSOCIATION, petitioner, vs. CEBU STEVEDORING COMPANY, INC., ET AL., respondents.
Petition for review of the resolution of the Court of Industrial Relations setting aside an order of Judge Bautista that an election be conducted by the Department of Labor among the casual laborers whose names appear on pages 1 and 3-24 of Exhibit 4-respondent, designating as the only labor organizations that may be voted in said election the Democratic Labor Association and the Cebu Trade Union. The said Court also: (1) declared that the appropriate collective bargaining unit is the employer's unit, embracing all the employees and workers therein involved; and (2) ordered the holding of an election wherein the four labor unions should take part, namely, the Cebu Stevedores Association, Democratic Labor Association, Katubsanan sa Mamumuo and Cebu Trade Union. The issue is: Considering that there are two sets of employees working in respondent company, one regular and permanent and the other casual or temporary, is it proper and convenient that there should be one collective bargaining unit for each, or only one collective bargaining unit for all the workers and employees? While the existence of a bargaining history is a factor that may be reckoned with in determining the appropriate bargaining unit, the same is not decisive or conclusive. Other factors must be considered. In the present case one of them is the fact that since the conclusion of the collective bargaining agreement there have arisen several other labor unions composed of employees and laborers of the same company whose relations have become so diverse and conflicting that a re-evaluation of the labor relations has become imperative in order that they may not be jeopardized. This moment had come when the petitioning union brought the matter to court for certification election and the situation with which the court was confronted was: there were four labor unions composed of employees and laborers working in the same company with diverse and conflicting interest and there was no collective bargaining agency to represent them. Hence the need for certification election. The crucial issue is how to determine the proper collective bargaining unit and what unit would be appropriate to be the collective bargaining agency. This issue is novel in this jurisdiction; however, American precedents on the matter abound. Rothenberg mentions several factors that should be considered, but the most pertinent to the present case are: (1) will of employees (Globe Doctrine); (2) affinity and unity of employees' interest, such as substantial similarity of work and duties, or similarity of compensation and working conditions; (3) prior collective bargaining history; and (4) employment status, such as temporary, seasonal and probationary employees (Rothenberg on Labor Relations, pp. 482-510). The fourth factor is very important. The rule requires that temporary, seasonal or probational employees be grouped as one category and be treated separately from permanent employees. The test of the grouping is community or mutuality of interests. This is so because "the basic test of an asserted bargaining unit's acceptability is whether or not it is fundamentally the combination which will best assure to all employees the exercise of their collective bargaining rights" (Rothenberg on Labor Relations, 490). Therefore, the trial court's conclusion that two separate bargaining units should be formed in dealing with the respondent company, one consisting of regular and permanent employees, and another consisting of casual laborers or stevedores, is correct. The finding that the Democratic Labor Association, having among its members more regular and permanent employees, should be designated as the collective bargaining unit for this group, is also correct. The Cebu Stevedores Association is now a legitimate labor union and should be allowed to take part in the certification election for the group of casual or temporary employees. The Katubsanan sa Mamumuo has not waived its right to take part in the election and must be allowed to take part therein.
Decision modified as follows: (1) the Democratic Labor Association is declared as the collective bargaining agent for the regular and permanent employees and workers of respondent company; and (2) let certification election be held for casual or temporary employees and workers in which the following organizations should participate: Cebu Stevedores Association, Democratic Labor Association, Katubsanan sa Mamumuo and Cebu Trade Union. No pronouncement as to costs. Bautista Angelo, J., ponente.