International School Alliance of Educators vs. Hon. Leonardo A.

Quisumbing,
G.R. No. 128845

Date: June 1, 2000

Ponente: KAPUNAN, J
Topic: Non-Discrimination and International Law
Digested by: Gwyneth Marie R. Piamonte

Actors:
Petitioner - International School Alliance of Educators (ISAE)
Respondent - Hon. Leonardo A. Quisumbing in his capacity as the Secretary of Labor and
Employment; Hon. Cresenciano B. Trajano in his capacity as the Acting Secretary of Labor and
employment; Dr. Brian Maccauley in his capacity as the Superintendent of International
School-Manila; and International School, Inc.

Facts:

● The International School is a domestic educational institution that hires both foreign and
local teachers.
● The school classifies the teachers as foreign-hires and local-hires, with foreign-hires
receiving certain benefits and a higher salary rate compared to local-hires.
● These include housing, transportation, shipping costs, taxes, and home leave travel
allowance. Foreign-hires are also paid a salary rate twenty-five percent (25%) more than
local-hires.
● The School justifies the difference on two "significant economic disadvantages"
foreign-hires have to endure, namely: (a) the "dislocation factor” and (b) limited tenure.
● When negotiations for a new collective bargaining agreement were held, ISAE contested
the difference in salary rates between foreign and local hires.
● The Department of Labor and Employment (DOLE) assumed jurisdiction over the
dispute and issued an order resolving the issues in favor of the school.
● ISAE's motion for reconsideration was denied, leading to this petition.

Issue

Whether or not the distinction between the salary rates of foreign-hires and local-hires is
discriminatory and violative of the principle of equal pay for equal work

Ruling

The Court ruled that the point-of-hire classification employed by the school to justify the
distinction in salary rates of foreign-hires and local-hires is an invalid classification.

That public policy abhors inequality and discrimination is beyond contention. Our Constitution
and laws reflect the policy against these evils. The Constitution in the Article on Social Justice
 International School Alliance of Educators vs. Hon. Leonardo A. Quisumbing,
G.R. No. 128845

and Human Rights exhorts Congress to "give highest priority to the enactment of measures that
protect and enhance the right of all people to human dignity, reduce social, economic, and
political inequalities." The very broad Article 19 of the Civil Code requires every person, "in the
exercise of his rights and in the performance of his duties, [to] act with justice, give everyone his
due, and observe honesty and good faith.

In the case at bar,, the Court found that there is no reasonable distinction between the services
rendered by foreign-hires and local-hires. The practice of giving higher salaries to foreign-hires
contravenes public policy.

WHEREFORE, the petition is GIVEN DUE COURSE. The petition is hereby GRANTED IN
PART. The Orders of the Secretary of Labor and Employment dated June 10, 1996 and March
19, 1997, are hereby REVERSED and SET ASIDE insofar as they uphold the practice of
respondent School of according foreign-hires higher salaries than local-hires.

SO ORDERED.

Link: G.R. No. 128845