TL;DR — Ruling
WHEREFORE, all the foregoing premises considered, this Office hereby orders: 1. DIGITEL to commence collective bargaining negotiation with DEU without further delay; and 2. The issue of unfair labor practice, consisting of union-busting, illegal termination/lockout and violation of the assumption of jurisdiction, specifically the return-to-work aspect of the 10 March 2005 and 03 June 2005 orders, be CERTIFIED for compulsory arbitration to the NLRC.
WHEREFORE, all the foregoing premises considered, this Office hereby orders: 1. DIGITEL to commence collective bargaining negotiation with DEU without further delay; and 2. The issue of unfair labor practice, consisting of union-busting, illegal termination/lockout and violation of the assumption of jurisdiction, specifically the return-to-work aspect of the 10 March 2005 and 03 June 2005 orders, be CERTIFIED for compulsory arbitration to the NLRC. [DIGITEL] moved for reconsideration on the contention that the pendency of the petition for cancellation of [DEU]'s certificate of registration is a prejudicial question that should first be settled before the DOLE could order the parties to bargain collectively. On 19 August 2005, then Acting Secretary Manuel G. Imson of DOLE denied the motion for reconsideration, affirmed the 13 July 2005 Order and reiterated the order directing parties to commence collective bargaining negotiations. On 14 October 2005, [DIGITEL] filed a petition, docketed as CA-G.R. SP No. 91719, before the [CA] assailing the 13 July and 19 August 2005 Orders of the DOLE Secretary and attributing grave abuse of discretion on the part of the DOLE Secretary for ordering [DIGITEL] to commence bargaining negotiations with [DEU] despite the pendency of the issue of union legitimacy. CA-G.R. SP No. 94825 In accordance with the 13 July 2005 Order of the Secretary of Labor, the unfair labor practice issue was certified for compulsory arbitration before the NLRC, which, on 31 January 2006, rendered a Decision dismissing the unfair labor practice charge against [DIGITEL] but declaring the dismissal of the 13 employees of Digiserv as illegal and ordering their reinstatement. [DEU] manifested that out of 42 employees, only 13 remained, as most had already accepted separation pay. The dispositive portion of the Decision reads: WHEREFORE, premises considered, the charge of unfair labor practice is hereby DISMISSED for lack of merit. However, the dismissal of the remaining thirteen (13) affected employees is hereby declared illegal and DIGITEL is hereby ORDERED to reinstate them to their former position with full baekwages up to the time they are reinstated, computed as follows: x x x x Upon motion for reconsideration filed by [DIGITEL], four (4) affected employees, namely Ma. Loreta Eser, Mantes Jereza, Leonore Tuliao and Aline G. Quillopras, were removed from entitlement to the awards pursuant to the deed of quitclaim and release which they all signed. In view of this unfavorable decision, [DIGITEL] filed another petition on 9 June 2006 in CA-G.R. SP No. 94825 before the Court of Appeals, challenging the above NLRC Decision and Resolution and arguing mainly that Digiserv employees are not employees of [DIGITEL]. Ruling of the [CA] On 18 June 2008, the Tenth Division of the [CA] consolidated the two petitions in CA-G.R. SP No. 91719 and CA-G.R. SP No. 94825, and disposed as follows: WHEREFORE , the petition in CA-G.R. SP No. 91719 is DISMISSED .