03) Fulache v. ABS CBN

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-Petitioners Fulache et al.

became aware of the CBA only when they obtained copies


3. FULACHE v, ABS-CBN of the agreement and learned they were excluded from its coverage not being regular
January 21, 2010 employees but merely temporary
Jenell Cruz
-They claimed they already tendered 1 yr. of service and should be recognized as
NATURE Employer-Employee Relationship regulars entitled to security of tenure and to privileges & benefits enjoyed by regular
Plaintiff Farley Fulache et al. employees
Defendant ABS-CBN
Ponente J., Brion -ABS-CBN allege that petitioners Fulache et al.’s services were contracted on
various dates by its Cebu station as independent contractors/off cam talents and were
RECIT READY DIGEST not entitled to regularization in these capacities

Petitioners Fulache et. al were drivers/cameramen in ABS-CBN. They filed a -While appeal was pending, ABS-CBN dismissed petitioner Fulache et al. from
complaint for regularization, unfair labor practice, several money claims. Fulache employment for refusal to sign a service contract
alleged that they were excluded in the Collective Bargaining Agreement that was
executed between ABS-CBN and its rank-and-file employees for being temporary -Labor Arbiter Pendoque held that petitioners Fulache et al. were regular ABS-CBN
employees only. Fulache claimed that they already served 1 year as employees and employees, not independent contractors and therefore, entitled to benefits but found
should be entitled to such benefits. While the case was pending, petitioners were that they were dismissed due to redundancy which is an authorized cause  ordered
dismissed from employement for refusing to sign a service contract. to be awarded separation pay in lieu of reinstatement

The Court ruled that under the terms of the CBA, petitioners are members of the -ABS-CBN appealed to NLRC  ruled that there was an employer-employee
appropriate bargaining unit because they are regular rank-and-file employees and do relationship between parties because:
not belong to the excluded categories. Nothing in the records show that they are 1. ABS-CBN exercised control over petitioners Fulache in the performance of
supervisory or confidential employees, neither are they casual nor probationary. Most their work
importantly, the Labor Arbiter’s decision was affirmed all the way to the CA level 2. Petitioners were regular employees because the engaged to perform
ruling against ABS-CBN’s submission that they are independent contractors. activities necessary for ABS-CBN’s business
3. They are not considered contractual employees because their salary is paid
DOCTRINE. monthly and not on basis of their work
As regular employees, petitioners fall within the coverage of the bargaining unit
and are therefore entitled to CBA benefits as a matter of law and contract. Under -NLRC then REVERSED the illegal dismissal case
the terms of the CBA, petitioners are members of the appropriate bargaining unit
because they are regular rank-and-file employees and do not belong to any of the -ABS-CBN filed an MR and reiterated that petitioners Fulache et al. were
excluded categories. independent contractors
Thus, as regular rank-and-file employees, they fall within the CBA coverage. ISSUE/S and RULING.
And, under the CBA’s express terms, they are entitled to its benefits.
WON petitioners Fulache et al. were regular rank-and-file employees and therefore
entitled to the benefits provided in the CBA- YES
FACTS.
-Petitioners Farley Fulache et al. and Cresente Atinen who were employed as Under the terms of the CBA, petitioners Fulache et al. are members of the
drivers/cameramen in ABS-CBN filed 2 separate complaints for regularization, appropriate bargaining unit because they are regular rank-and-file employees and do
unfair labor practice, and several money claims against the latter not belong to the excluded categories

-Petitoners Fulache et al. allege that ABS-CBN and its rank-and-file employees -Nothing in the records show that they are supervisory or confidential employees,
union executed a Collective Bargaining Agreement (CBA) neither are they casual nor probationary employees

LABOR LAW 1 | G01 | ATTY. QUAN


-Most importantly, the Labor Arbiter’s decision was affirmed all the way to the CA
level ruling against ABS-CBN’s submission that they are independent contractors

-With regard to the illegal dismissal case, ABS-CBN took matters into its own hands
and terminated the petitioners’ services, clearly disregarding its own appeal pending
with the NLRC:
 this appeal posited that petitioners were not employees (whose services
therefore could be terminated through dismissal under the Labor Code)
 they were independent contractors whose services could be terminated at
will, subject only to the terms of their contracts
 to justify the termination of service, the company cited redundancy as its
authorized cause but offered no justificatory supporting evidence

-ABS-CBN’s intent based on records, was to transfer the petitioners and their
activities to a service contractor without paying attention to the requirements of our
labor laws  hence, ABS-CBN dismissed petitioners when they refused to sign up
with the service contractor

-The petitioners’ dismissal was not only unjust and in bad faith but also when they
were already recognized as regular employees for refusing to sign up with its service
contractor

WHEREFOREM petition is GRANTED. CA decision is REVERSED and SET


ASIDE. Petitioners are reinstated + entitled to benefits/privileges.
WINNER: Petitioners Fulache et al.

LABOR LAW 1 | G01 | ATTY. QUAN

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