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THE COURT of Appeals has upheld treatment by Chevron Philippines, Inc. of four workers it hired for temporary jobs, while the streamlining of the firm’s order fulfillment system was under way, as “project” employees.
In a 20-page decision penned by Associate Justice Angelita A. Gacutan and promulgated on Aug. 13, the court reversed a labor arbiter’s ruling which backed the argument of the Chevron chapter of the Philippine Labor Organization that the relief schedulers/dispatchers (SDs) involved should be treated as regular employees.
The decision described the Philippine Labor Organization as “the sole and exclusive bargaining representative of all regular rank-and-file employees” at the oil terminal in Pandacan, Manila, the Manila Technical Laboratory, Bauan Bulk Depo and Manila Aviation Service, among others.
STREAMLINING
The case stemmed from Chevron’s implementation in October 2008 of its “Fuel Order Fulfillment Initiative” (FOF) streamlining its system of receiving and fulfilling orders.
Chevron expected full implementation of the new system to cut by 80% the number of SDs, who were in charge of scheduling, dispatching and confirming orders.
As part of this plan, Chevron then promoted its existing SDs to fleet coordinators.
But since FOF implementation was still under way, Chevron hired four “relief SDs” who were made coterminous with the new system’s roll-out.
The labor group, arguing that the newly hired SDs should hold regular posts since their tasks were “necessary and desirable to its business,” formally questioned the extension of their contracts.
The labor arbiter in July 2009 ruled in favor of the union, saying the SDs were “performing activities related to the usual business or trade.”
Chevron questioned this ruling in court, which last month sided with the company, saying the “conclusion is inevitable that upon the full completion of the FOF, the position of schedulers/dispatchers shall, at that point, end or cease to exist.”
The appellate court noted that “the position of the relief SDs being tentative subject to the completion of the FOF project” means the post “could only be a project employment, and therefore the relief SDs are project employees.”
It noted further that “the extension... had specific dates. Hence, the contract did state a particular date of completion of the project.” -- A. S. O. Alegado