Topic: Company Policies as an informal source of labor law
Facts: Maneja (employee) worked for Manila Midtown Hotel(MMH) (employer) as a telephone operator. Maneja was dismissed by MMH due to violation of their company policy on culpable negligence negligence or failure to follow specific instruction(s) or established procedure(s). Maneja filed a complaint for illegal dismissal against MMH. Labor Arbiter Oswald Lorenzo ruled in favor of Maneja. Lorenzo noted that on the face of the complaint, the issue revolves around the implementation and interpretation of existing company policies, and as such it is within the jurisdiction of the grievance procedure under the CBA between MMH and NUWRAIN (the Union in which Maneja is a member), but he still assumed jurisdiction over the case since termination cases is within his jurisdiction. Issue: Does the Labor Arbiter have jurisdiction over the case? Ruling: Yes. Since there has been an actual termination, the matter falls within the jurisdiction of the Labor Arbiter. The dismissal of Maneja does not call for the interpretation or enforcement of company personnel policies but is a termination dispute which comes under the jurisdiction of the Labor Arbiter. It should be explained that company personnel policies are guiding principles stated in broad, longrange terms express the philosophy or beliefs of an organizations top authority regarding personnel matters. They deal with matters affecting efficiency and well-being of employees and include, among others, the procedure in the administration of wages, benefits, promotions, transfer and other personnel movements which are usually not spelled out in the collective agreement. The usual source of grievances, however, are the rules and regulations governing disciplinary actions.