Universal Robina Sugar Milling Corporation v. Acibo

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IV.

Seasonal
2. Universal Robina Sugar Milling Corporation v. Acibo
GR 186439 Jan. 15, 2015

FACTS:
Complainants were employees of URSUMCO, a domestic corporation engaged in the sugar cane
milling business. They were repeatedly hired to perform the same duties. For every engagement
they were required to sign new employment contracts for the same duration of one month or a
given season.

They filed a complaint for regularization, entitlement to the benefits under the existing CBA.

ISSUE:
1. WoN respondents are regular employees of URSUMCO
2. WoN affirmative relief can be given to the fifteen (15) of the complainants who did not ap -
peal the LA’s decision

RULING:
1. Regular Seasonal Employees of URSUMCO. The nature of the employment does not de-
pend solely on the will or word of the employer or on the procedure for hiring and the man-
ner of designating the employee. Rather, the nature of the employment depends on the
nature of the activities to be performed by the employee, considering the nature of
the employer’s business, the duration and scope to be done, and, in some cases, even
the length of time of the performance and its continued existence.

First, the respondents were made to perform various tasks that did not at all pertain
to any specific phase of URSUMCO’s strict milling operations that would ultimately
cease upon completion of a particular phase in the milling of sugar; rather, they were
tasked to perform duties regularly and habitually needed in URSUMCO’s operations
during the milling season. The respondents’ duties as loader operators, hookers, crane op-
erators and drivers were necessary to haul and transport the sugarcane from the plantation
to the mill; laboratory attendants, workers and laborers to mill the sugar; and welders, car-
penters and utility workers to ensure the smooth and continuous operation of the mill for
the duration of the milling season, as distinguished from the production of the sugarcane
which involves the planting and raising of the sugarcane until it ripens for milling. The pro-
duction of sugarcane, it must be emphasized, requires a different set of workers who are ex-
perienced in farm or agricultural work. Needless to say, they perform the activities that are

Universal Robina Sugar Milling Corporation v. Acibo Page 1 of 4


necessary and desirable in sugarcane production. As in the milling of sugarcane, the plan-
tation workers perform their duties only during the planting season.

Second, the respondents were regularly and repeatedly hired to perform the same
tasks year after year. This regular and repeated hiring of the same workers (two different
sets) for two separate seasons has put in place, principally through jurisprudence, the sys-
tem of regular seasonal employment in the sugar industry and other industries with a simi-
lar nature of operations.

Under the system, the plantation workers or the mill employees do not work continuously
for one whole year but only for the duration of the growing of the sugarcane or the milling
season. Their seasonal work, however, does not detract from considering them in regular
employment since in a litany of cases, this Court has already settled that seasonal workers
who are called to work from time to time and are temporarily laid off during the off-
season are not separated from the service in said period, but are merely considered
on leave until re-employment. Be this as it may, regular seasonal employees, like the
respondents in this case, should not be confused with the regular employees of the
sugar mill such as the administrative or office personnel who perform their tasks for the
entire year regardless of the season.

To reiterate, the respondents are regular seasonal employees, as the CA itself opined when
it declared that "private respondents who are regular workers with respect to their seasonal
tasks or activities and while such activities exist, cannot automatically be governed by the
CBA between petitioner URSUMCO and the authorized bargaining representative of the reg-
ular and permanent employees. The respondents cannot be lumped with the regular em-
ployees due to the differences in the nature of their duties and the duration of their work
vis-a-vis the operations of the company.

2. The issue of granting affirmative relief to the complainants who did not appeal the CA
ruling has become academic. The NLRC was well aware of these distinctions as it ac-
knowledged that the respondents worked only during the milling season, yet it ignored the
distinctions and declared them regular employees, a marked departure from existing ju-
risprudence. This, to us, is grave abuse of discretion, as it gave no reason for disturbing the
system of regular seasonal employment already in place in the sugar industry and other in-
dustries with similar seasonal operations. For upholding the NLRC’s flawed decision on the
respondents’ employment status, the CA committed a reversible error of judgment.

Universal Robina Sugar Milling Corporation v. Acibo Page 2 of 4


LA - seasonal employee; they could not be the employee and the usual busi-
regularized since their respective employ- ness or trade of the employer
ments were coterminous with the phase of
the work or special project to which they - When the employee performs activi-
were assigned and which employments end ties considered necessary and de-
upon the completion of each project. sirable to the overall business
scheme of the employer
NLRC - regular employees; complainants
performed activities which were usually nec- 2. Project/Seasonal
essary and desirable in the usual trade or
business of URSUMCO, and had been re- Project Employment- employment has been
peatedly hired for the same undertaking ev- fixed for a specific project or undertaking
ery season. whose completion or termination has been
determined at the time of the engagement of
CA - regular seasonal employees; primary the employee
standard for determining regular employ- - Services of the project employees are
ment is the reasonable connection between a legally and automatically terminated upon
particular activity performed by the employee the end or completion of the project as the
vis-à-vis the usual trade or business of the employee’s services are coterminous with
employer. The complainants were considered the project.
regular, albeit seasonal workers.
- Length of time of the asserted "project" em-
ployee’s engagement is not controlling as
Art. 280 of LC
the employment may, in fact, last for more
1. Regular - employee has been engaged to
than a year, depending on the needs or
perform activities which are usually nec-
circumstances of the project.
essary or desirable in the usual business
- The continuous rehiring of the employee
or trade of the employer
even after the cessation of the project may
- Casual employee’s engagement has lasted
serve as a badge of regular employment
for at least one year, regardless of the en-
when the activities performed by the pur-
gagement’s continuity.
ported "project" employee are necessary
and indispensable to the usual business or
Primary Standard to Determine
trade of the employer.
Regular Employment:
- The reasonable connection between Project Employment Requirements:
the particular activity performed by

Universal Robina Sugar Milling Corporation v. Acibo Page 3 of 4


a. Designation of a specific project or under-
taking for which the employee is hired;
and
b. Clear determination of the completion or
termination of the project at the time of
the employee’s engagement.

Seasonal Employment - involves work or


service that is seasonal in nature or lasting
for the duration of the season.
- When when the "seasonal" workers are
continuously and repeatedly hired to per-
form the same tasks or activities for sev-
eral seasons or even after the cessation of
the season, this length of time may like-
wise serve as badge of regular employment
- If these workers are called to work from
time to time and are only temporarily laid
off during the off-season, the law does not
consider them separated from the service
during the off-season period. The law sim-
ply considers these seasonal workers on
leave until re-employed.

Seasonal Employee:
a. Employee must be performing work or
services that are seasonal in nature; and
b. Had been employed for the duration of
the season

3. Casual Employment - refers to any other


employment arrangement that does not
fall under any of the first two categories

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