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Wednesday, July 29, 2009

Compromise Agreement Binds Minority Members of Union

A compromise agreement between the Union and the Company, pursuant to which the complaint in an unfair labor practice case had been withdrawn and dismissed, is binding upon the minority members of the union. The action taken by said minority members in disauthorizing the counsel of record and filing another unfair labor practice case against the company is contrary to the policy of the Magna Carta of Labor, which promotes the settlement of differences between management and labor by mutual agreement. If said action were tolerated, no employer would ever enter into any compromise agreement, for the minority members of the union will always dishonor the terms of the agreement and demand their better terms. (See Dionela vs. Court of Industrial Relations, 8 SCRA 832 [1963])

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