Professional Documents
Culture Documents
Canlas Vs Napico Homeowners
Canlas Vs Napico Homeowners
Canlas Vs Napico Homeowners
1
The National Conciliation and Mediation Board (NCMB) rendered its Decision declaring as
valid Glaxo’s policy on relationships between its employees and persons employed with
competitor companies, and affirming Glaxo’s right to transfer Tecson to another sales territory.
Petitioners contend that Glaxo’s policy against employees marrying employees of competitor
companies violates the equal protection clause of the Constitution because it creates invalid
distinctions among employees on account only of marriage. They claim that the policy restricts
the employees’ right to marry.
On the other hand, Glaxo argues that the company policy prohibiting its employees from having
a relationship with and/or marrying an employee of a competitor company is a valid exercise of
its management prerogative, and it likewise asserts that the policy does not prohibit marriage per
se but only proscribes existing or future relationships with employees of competitor companies,
and is therefore not violative of the equal protection clause. Glaxo also points out that Tecson
can no longer question the assailed company policy because when he signed his contract of
employment, he was aware that such policy was stipulated therein.
Issue: WON Glaxo’s policy against its employees marrying employees from competitor
companies is valid, and in not holding that said policy violates the equal protection clause of the
Constitution
Held/Ratio: Yes. The prohibition against personal or marital relationships with employees of
competitor companies upon Glaxo’s employees is reasonable under the circumstances because
relationships of that nature might compromise the interests of the company. In laying down the
assailed company policy, Glaxo only aims to protect its interests against the possibility that a
competitor company will gain access to its secrets and procedures.
That Glaxo possesses the right to protect its economic interests cannot be denied. No less than
the Constitution recognizes the right of enterprises to adopt and enforce such a policy to protect
its right to reasonable returns on investments and to expansion and growth. Indeed, while our
laws endeavor to give life to the constitutional policy on social justice and the protection of
labor, it does not mean that every labor dispute will be decided in favor of the workers. The law
also recognizes that management has rights which are also entitled to respect and enforcement in
the interest of fair play.
Facts: petitioners are students of the Philippine Maritime Institute. they claim that PMI, five
weeks after school had started,a notice that there would be a 15% increase in tuition fees
retroactive to the start of the current semester; that the students met and took positive steps in
respect of the problem; that their representatives held dialogues with the school administration;
"that, in reaction to these legitimate student activities and without compliance with due process
respondents issued expulsion orders against petitioner and an indefinite suspension against
Marilou Elagdon;" that the penalties were imposed without due process and had the effect of
negating the petitioners' right to free speech, peaceful assembly and petition for redress of
grievances. The petitioners pray that the expulsion and suspension orders be annulled and that
while the case is pending resolution they be restored to their status as students of the PMI,
Held: The comment does not positively assert that in imposing the expulsion and suspension
orders there was observance of due process which simply means that the petitioners should have
been given an opportunity to defend themselves. It was only after the petitioners had said in their
reply that the respondents failed to traverse the denial of due process that the latter invoked the
legal presumption "that the ordinary course of business has been followed.
It is obvious from the expulsion and suspension orders that the petitioners were denied due
process, res ipsa loquitur. For the orders are bereft of the sides of the petitioners. Hence the legal
presumption of regularity cannot be availed in the instant case.
WHEREFORE, the petition is granted; the expulsion and suspension orders are hereby set aside
but without prejudice to the power of the respondents to formally charge the petitioners for
violation(s) of reasonable school rules and regulations and after due notice to hear and decide the
charge. No special pronouncement as to costs.