Alex Ferrer v NLRC
Facts:
The Samahang Manggagawa ng Occidental Foundry Corporation-FFW (SAMAHAN) and the OFC entered into
a collective bargaining agreement (CBA) in which it provides that employees who fail to retain membership of
the union in good standing shall be a ground of dismissal.
Petitioners, who are piece workers, were regular and permanent employees of the Occidental Foundry
Corporation (OFC) for about 10 years are immediately dismissed from the service without proper hearing on
the ground of failure to retain membership in good standing. They then filed for illegal dismissal, unfair labor
practice and reinstatement.
Issue:
Is the CBA provision for a closed shop valid?
Held:
A CBA is the law between the company and the union and compliance therewith is mandated by the express
policy to give protection to labor. Said policy should be given paramount consideration unless otherwise
provided for by law. A CBA provision for a closed shop is a valid form of union security and it is not a restriction
on the right or freedom of association guaranteed by the Constitution. However, in the implementation of the
provisions of the CBA, both parties thereto should see to it that no right is violated or impaired. In the case at
bar, while it is true that the CBA between OFC and the SAMAHAN provided for the dismissal of employees who
have not maintained their membership in the union, the manner in which the dismissal was enforced left much
to be desired in terms of respect for the right of petitioners to procedural due process.