Myline Cordial

Full Text : pal v nlrc gr no 85985 (1993)

FACTS: On March 15, 1985, the Philippine Airlines, Inc. (PAL) completely revised its 1966 Code of Discipline. The Code was circulated among the employees and was immediately implemented without notice and prior discussion with the Philippine Airlines Employees Association (PALEA) by the Management. Some employees were subjected to the disciplinary measures embodied therein.

On August 20, 1985, PALEA filed a complaint before the National Labor Relations Commission (NLRC) for unfair labor practice.

ISSUE: Whether or not the formulation of a Code of Discipline among employees is a shared responsibility of the employer and the employees.

RULING: To achieve industrial peace, the employees must be granted their just participation in the discussion of matters affecting their rights. It is the policy of the State to promote the enlightenment of workers concerning their rights and obligations as employees. The New Code of Discipline containing disciplinary measures cannot be implemented in the absence of full cooperation of the employees as it affects their rights, duties and welfare. Management cannot exclude labor in the deliberation and adoption of rules and regulations that will affect them. Workers have the right to participate in decision and policy making process affecting their rights, duties and welfare.

Participation in Decision-Making Process –

A line must be drawn between management prerogatives regarding business operations per se and those which affect the rights of the employees. In treating the latter, management should see to it that its employees are at least properly informed of its decisions or modes of action. Indeed, industrial peace cannot be achieved if the employees are denied their just participation in the discussion of matters affecting their rights.