11. No, the contention of the Philippine Garment Factory is incorrect.

The law provides that rank

and file employees and supervisory employees can form their own labor organization with
distinct bargaining unit. As ruled in the Adamson case, there is nothing in the law that prohibits
a union for the rank & file employees and a union for the supervisory employees to join one
mother federation as they both have separate constitution and by laws and do not lose their legal
personalities despite affiliation with the same mother union or federation. Hence, the contention
of the Philippine Garment Factory cannot be sustained.

12. The motion to dismiss filed by STARTELECOM should be granted. The law provides that a duly
registered labor organization acquires its juridical personality and the right to represent the
bargaining unit only if it is registered with the BLR or DOLE as the case may be. The registration
of union with SEC gives it juridical personality but does not make it a duly registered union for
collective bargaining purposes. In order to collectively bargain it need not to be registered with
SEC. The contention of the company is correct, and the petition for certification election must be
dismissed.

13.a. No, the Med-Arbiter is incorrect in granting the motion to dismiss. The law provides that
cancellation of registration can only be done through a direct petition for cancellation of
registration. The cancellation of registration requires notice, hearing and proof of substantial
evidence hence it cannot be done if not through a direction action for cancellation of registration.
The action of USTW filling for a motion to dismiss cannot be granted.

13.b. The appeal must be filed with the Bureau of Labor Relations. Since STEU is an independent
union and provided the USTW filed it with the DOLE Regional Office, the law provides that the
proper remedy is to file an appeal with the Bureau of Labor Relations within 10 days from the
receipt of notice.

14. Yes, the monthly paid rank and file employees of Pasig River Bank may organize themselves
into a bargaining unit separate from the daily paid rank and file employees. Under the
COMMUNITY INTEREST RULE” the main consideration is the affinity and unity of employee’s
interest such as (1) similarity of work duties or (2) similarity of compensation and working
condition. The monthly paid rank & file employees fall under the similarity of compensation and
working condition therefore they may be allowed to form their own labor organization despite
the one company one union rule.