An action for illegal dismissal against Dana Films and the union MMFF will likely prosper. While maintenance of membership is a valid clause under the CBA, the companies did not observe proper procedural processes before dismissing employees who were initiating a move to disaffiliate from MMFF to a rival union. As such, Dana Films and MMFF can be held liable for nominal damages for violating employees' statutory rights, even though dismissal for union disloyalty is a recognized cause, if due process is not followed.
An action for illegal dismissal against Dana Films and the union MMFF will likely prosper. While maintenance of membership is a valid clause under the CBA, the companies did not observe proper procedural processes before dismissing employees who were initiating a move to disaffiliate from MMFF to a rival union. As such, Dana Films and MMFF can be held liable for nominal damages for violating employees' statutory rights, even though dismissal for union disloyalty is a recognized cause, if due process is not followed.
Original Description:
Maintenance of membership shop is a
form of union security.
Original Title
Maintenance of membership shop is a form of union security.
An action for illegal dismissal against Dana Films and the union MMFF will likely prosper. While maintenance of membership is a valid clause under the CBA, the companies did not observe proper procedural processes before dismissing employees who were initiating a move to disaffiliate from MMFF to a rival union. As such, Dana Films and MMFF can be held liable for nominal damages for violating employees' statutory rights, even though dismissal for union disloyalty is a recognized cause, if due process is not followed.
An action for illegal dismissal against Dana Films and the union MMFF will likely prosper. While maintenance of membership is a valid clause under the CBA, the companies did not observe proper procedural processes before dismissing employees who were initiating a move to disaffiliate from MMFF to a rival union. As such, Dana Films and MMFF can be held liable for nominal damages for violating employees' statutory rights, even though dismissal for union disloyalty is a recognized cause, if due process is not followed.
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Definition:
Maintenance of membership shop is a
form of union security. There is maintenance of membership shop when employees, who are union members as of the effective date of the agreement, or who thereafter become members, must maintain union membership as a condition for continued employment until they are promoted or transferred out of the bargaining unit or the agreement is terminated. Source: Inguillo and Bergante vs. First Philippine Scales G.R. No. 165407, June 5, 2009 . Hence, the present petition. Essentially, the Labor Code of the Philippines has several provisions u nder which an employee may be validly terminated, namely: (1) just causes under Article 282;[34] (2) authorized causes under Article 283;[35] (3) termination du e to disease under Article 284;[36] and (4) termination by the employee or resig nation under Article 285.[37] While the said provisions did not mention as gro und the enforcement of the Union Security Clause in the CBA, the dismissal from employment based on the same is recognized and accepted in our jurisdiction.[38]
Union security is a generic term, which is applied to and comprehends closed shop, union shop, maintenance of membership or any other form of agreement which imposes upon employees the obligation to acquire or retain union membership as a condition affecting employment.[39] There is union shop when all new regular employees are required to join the union within a certain period as a condition for their continued employment. There is maintenance of membership shop when employees, who are union members as of the effective date of the agreement, or who thereafter become members, must maintain union membership as a condition for continued employment until they are promoted or transferred out of the bargaining unit or the agreement is terminated.[40] A closed-shop, on the other hand, may be defined as an enterprise in which, by agreement between the employer and his employees or their representatives, no person may be employed in any or certain agreed departments of the enterprise unless he or she is, becomes, and, for the duration of the agreement, remains a member in good standing of a union entirely comprised of or of which the employees in interest are a part.[41] LABOR LAW 2012, Question No. II In the Collective Bargaining Agreement (CBA) between Dana Films and its rank-and-file Union (which is directly affiliated with MMFF, a national federation), a provision on the maintenance of membership expressly provides that the Union can demand the dismissal of any member employee who commits acts of disloyalty to the Union as provided for in its Constitution and By-Laws. The same provision contains an undertaking by the Union (MMFF) to hold Dana Films free from any and all claims of any employee dismissed. During the term of the CBA, MMFF discovered that certain employee-members were initiating a move to disaffiliate from MMFF and join a rival federation, FAMAS. Forthwith, MMFF sought the dismissal of its employee-members initiating the disaffiliation movement from MMFF to FAMAS. Dana Films, relying on the provision of the aforementioned CBA, complied with MMFF's request and dismissed the employees identified by MMFF as disloyal to it. a) Will an action for illegal dismissal against Dana Films and MMFF prosper or not? Why? (5%))
b) What are the liabilities of Dana Films and MMFF to the dismissed employees, if any? (5%) My answer: a) Yes, an action for illegal dismissal against Dana Films and MMFF will prosper. Maintenance of membership is a form of union security and is a valid clause under their CBA. The maintenance of membership clause was validly agreed upon in their CBA and this form of union security is recognized and accepted in our jurisdiction. However, nowhere in the facts is it mentioned that Dana Films and MMFF observed the requisite procedural process before dismissing these employees. Thus, an action for illegal dismissal may prosper although there is a valid cause for dismissing these employees. Source: Inguillo and Bergante vs. First Philippine Scales G.R. No. 165407, June 5, 2009 b) While the disaffiliating employees can be validly dismissed pursuant to the enforcement of Union Security clause, there is still a need to comply with the requisite procedural due process. Absent this, Dana Film and MFF can be held liable for nominal damages. As in the case of Agabon vs NLRC, where the dismissal is for a cause recognized by the prevailing jurisprudence, the absence of the statutory due process should not nullify the dismissal or render it illegal, or ineffectual. Accordingly, for violating Bergante and Inguillo's statutory rights, respondents should indemnify them the amount of P30,000.00 each as nominal damages. Source: Inguillo and Bergante vs. First Philippine Scales G.R. No. 165407, June 5, 2009