Cmp Federal Security Agency v. National Labor Relations Commission

BELLOSILLO, J.:

CMP FEDERAL SECURITY AGENCY INC. seeks in this petition for certiorari to annul, for having been rendered with grave abuse of discretion amounting to lack or excess of jurisdiction, the 26 October 1995 Decision of the National Labor Relations Commission in NLRC NCR CA 007480-94, Fernando Caranto, et. al.

v. CMP Federal Security Agency Inc., et. al., 1 affirming with modifications the decision of the Labor Arbiter and ordering herein petitioner to pay private respondents wage differentials, 13th month pay, holiday pay and service incentive leave pay; and, its Resolution of 29 November 1995 denying reconsideration. CMP Federal Security Agency Inc. (CMP hereon) is in the business of providing detective and security services.

Among its employees were herein private respondent security guards Fernando Caranto, Resty Remittere, Reynaldo Rosales, Antonio Tapar, Narciso Claro, Siony Manos, Baldo Viodor and Daway Wahab, 2 all assigned at the Maalikaya Health Complex in Quezon City. On 10 March 1994 private respondents filed complaints for illegal deduction, under payment and/or non-payment of wages, premium pay for holiday, rest day and night shift differential pay, 13th month pay, service incentive leave pay, separation pay, allowance and unfair labor practice against CMP, 3 Carolina Mabanta Piao and Ponciano Mabanta Sr. Private respondent Fernando Caranto later amended his complaint to include illegal dismissal 4 after he was relieved from his post at the Maalikaya Health Complex by CMP, allegedly upon request of the client. The case was initially set for mandatory conference or conciliation on 29 March 1994.

It was reset to 11 April 1994 by agreement of the parties to give them adequate time to explore the possibility of amicable settlement. Thereafter the hearing was reset several times with Labor Arbiter Cresencio R. Iniego directing the parties each time to submit their respective position papers and other documentary evidence. Efforts at settlement failed.

When the case was finally called for hearing on 23 May 1994 private respondents filed their position paper and other documentary evidence in compliance with the Labor Arbiter's orders. On the other hand, CMP moved for another postponement which the Labor Arbiter denied. Thereafter, the case was deemed submitted for decision.

It was only on 13 June 1994 that CMP presented its position paper. On 22 July 1994 the Labor Arbiter rendered a decision in favor of private respondents ordering CMP to reinstate Fernando Caranto with full back wages, pay salary differentials to all private respondents, plus attorney's fees. Both parties appealed to the NLRC.

Private respondents, in their Partial Appeal, alleged that the Labor Arbiter erred in excluding the awards for service incentive leave pay, holiday pay, overtime pay and illegal deductions. CMP for its part argued that the Labor Arbiter erred in holding that CMP did not submit any position paper despite his repeated orders; in ruling that the non-filing of the position paper amounted to an admission of liability by CMP; and, in deciding the case solely on the basis of the position paper and evidence submitted by complainants. In its assailed Decision of 26 October 1995 the NLRC denied CMP's appeal, granted private respondents' Partial Appeal and modified the decision of the Labor Arbiter by including in the computation of monetary awards holiday pay, service incentive leave pay, 13th month pay, overtime pay and reimbursement for illegal deductions.

The dispositive portion reads -

WHEREFORE . . . the appealed decision is . . . modified. Respondent CMP Federal Security Agency is . . . directed to pay complainants the following: 1. Pay all complainants wage differential(s) in the amount of One Hundred Twenty Eight Thousand Nine Hundred Eighty Nine and 70/100 (P128,989.70) as well as holiday pay, 13th month pay and service incentive leave pay, as follows: FERNANDO CARANTO 13th Month Pay - P3,792.75 Holiday Pay - P1,760.00 Service Incentive Leave Pay - P590.00