RICAFRENTE, JESTER IVAN O.

(M 13)
Labor Law Review
Atty. Lorenzo

SUGGESTED ANSWERS IN 2018 BAR EXAMINATIONS QUESTIONS

ON LABOR LAW AND SOCIAL LEGISLATION

XV
Nexturn Corporation employed Nini and Nono, whose tasks involved directing and
supervising rank-and-file employees engaged in company operations. Nini and Nono are
required to ensure that such employees obey company rules and regulations, and
recommend to the company's Human Resources Department any required disciplinary
action against erring employees. In Nexturn Corporation, there are two independent
unions, representing rank-and-file and supervisory employees, respectively.

a) May Nini and Nono join a union? (2.5%)

ANSWER:
Yes, Nini and Nono can join a union. Under Article 255 of the Labor Code, supervisory
employees may join, assist or form a separate collective bargaining units and/or legitimate
labor organizations of their own.

b) May the two unions be affiliated with the same Union Federation? (2.5%)

ANSWER:

Yes, the two unions can be affiliated with the same Union Federation. Under Article
255 of the Labor Code, rank-and-file union and supervisors’ union operating within the
same establishment may join the same federation or national union.

XVI
Nagrab Union and Nagrab Corporation have an existing CSA which contains the following
provision: "New employees within the coverage of the bargaining unit who may be
regularly employed shall become members of Nagrab Union. Membership in good standing
with the Nagrab Union is a requirement for continued employment with Nagrab
Corporation." Nagrab Corporation subsequently acquired all the assets and rights of Nuber
Corporation and absorbed all of the latter's employees. Nagrab Union immediately
demanded enforcement of the above-stated CSA provision with respect to the absorbed
employees. Nagrab Corporation refused on the ground that this should not apply to the
absorbed employees who were former employees of another corporation whose assets and
rights it had acquired.

(a) Was Nagrab Corporation correct in refusing to enforce the CSA provision with
respect to the absorbed employees? (2.5%)
RICAFRENTE, JESTER IVAN O. (M 13)
Labor Law Review
Atty. Lorenzo

ANSWER:

Nagrab Corporation was not correct in refusing to enforce the CBA provision with
respect to the absorbed employees. The corporation cannot invoke its merger to evade
from its obligation under the union shop clause contained in its existing Collective
Bargaining Unit (BCA) with its own certified union.

In the case of BPI vs. BPI Employees Union, the Court said that the case which
involves the application of a CBA with a union shop clause should be resolved
principally from the standpoint of the clear provisions of our labor laws, and the
express terms of the CBA in question, and not by inference from the general
consequence of the merger of corporations under the Corporation Code, which
obviously does not deal with and, therefore, is silent on the terms and conditions of
employment in corporations or juridical entities.

(b) May a newly-regularized employee of Nagrab Corporation (who is not part of

the absorbed employees) refuse to join Nagrab Union? How would you advise
the human resources manager of Nagrab Corporation to proceed? (2.5%)

ANSWER:

No, the newly- regularized employee of Nagrab Corporation (who is not part of
absorbed employees) cannot refuse to join Nagrab Union in view of the union security
clause provision of the CBA. While the right to join includes the right not to join, however,
the recognized exception under the law is the Union Security Clause where it imposes upon
employees the obligation to acquire or retain union membership as a condition for
continued employment.

Thus, it will be my advice to the human resources manager of Nagrab Coproration to

comply with the provision of the CBA stating that "New employees within the coverage of
the bargaining unit who may be regularly employed shall become members of Nagrab
Union. “