• GILBERT P. BAYORAN
The Department of Labor and Employment has dismissed the charges filed by the CENECO Union of Rational Employees (CURE) claiming that the Joint Venture Agreement between CENECO and Primelectric Holdings Inc. violated the union’s members’ right to security of tenure, for prematurity and lack of cause of action.
Labor Secretary Bienvenido Laguesma, in his order dated May 3, said that the execution of JVA between CENECO and Primelectric Holdings Inc. does not constitute a violation of the union members’ right to security of tenure.
CURE argues that JVA violates the Constitutional right of union members to security of tenure, as this will result in the termination of their employment. Considering that the National Electrification Administration has not declared CENECO as an ailing electric cooperative, there is no necessity for the latter to enter into a JVA, it said.
In entering into JVA, Laguesma said the CENECO management made the decision to cease operations. Accordingly, it started steps to dispose or transfer its assets to NEPC (Negros Electric and Power Corporation) as its joint venture partner in the manner prescribed by law and under the authority and supervision of NEA.
Of itself, the execution of the JVA does not immediately terminate the employment of CENECO’s employees. It is only after the transfer would have taken effect, that the employment of CENECO employees, including the members of the union, will be terminated, he added.
In short, the CENECO has not committed any positive or overt act of termination that would support a claim that the right of its members’ security of tenure has been violated. At this stage, a decision on this issue would be premature and unfounded, Laguesma stressed.
The DOLE also dismissed the claim of unfair labor practice filed by the CURE against CENECO and its acting general manager, Atty. Arnel Lapore, for lack of merit.
At the same time, he also dismissed Union’s claim for moral and exemplary damages, for lack of factual and legal basis, since neither unfair labor practices nor violation of the employees’ right to security of tenure has been established by substantial evidence.*
