2010 Labor Law, Q5

Company XYZ has two recognized labor unions, one for its rank-and-file employees (RFLU), and one for supervisory employees (SELU). Of late, the company instituted a restructuring program by virtue of which A, a rank-and-file employee and officer of RFLU, was promoted to a supervisory position along with four (4) other colleagues, also active union members and/or officers. Labor Union KMJ, a rival labor union seeking recognition as the rank-and-file bargaining agent, filed a petition for the cancellation of the registration of RFLU on the ground that A and her colleagues have remained to be members of RFLU. Is the petition meritorious? Explain. (3%)

Quick check

What is the legal effect under R.A. 9481 when supervisory employees are included in a rank-and-file labor union roster?

Which of the following constitutes a valid statutory ground for cancelling a labor union's registration under Article 247?

Can a rival labor union successfully petition for the cancellation of a union's registration based on commingling of employee ranks?

What is the statutory limitation on supervisory employees regarding union membership under the Labor Code?

What happens to a rank-and-file union officer's membership status upon promotion to a supervisory position?

Learn more about these topics

1. Union Registration Grounds
Under Article 247 of the Labor Code, as amended by Republic Act No. 9481, the grounds for cancellation of union registration are strictly limited to misrepresentation, false statement, or fraud in connection with the adoption or ratification of the constitution and bylaws, the election of officers, or the creation of a charter leaf. Statutory grounds for cancellation are exclusive, and labor tribunals cannot expand them to include administrative irregularities or commingling of employee ranks.

2. Commingling of Ranks
Under Article 256 of the Labor Code, as amended by R.A. 9481, the inclusion as union members of employees outside the bargaining unit—such as supervisory employees in a rank-and-file labor union—is not a ground for the cancellation of a union's registration. Instead, any ineligible employee included in the membership roster is automatically deemed removed from union membership by operation of law. Consequently, commingling does not invalidate the legitimate status of the labor organization.

3. Supervisory Employees Rights
Supervisory employees are granted the statutory right to form, join, or assist labor organizations of their own choosing for collective bargaining purposes under Article 255 of the Labor Code. However, they are legally prohibited from joining a rank-and-file labor union or having their bargaining unit represented by the same union representing rank-and-file workers. When rank-and-file members are promoted to supervisory positions, they must divest from the rank-and-file union and may join or form a separate supervisory union.

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