SAN FELIFF IRON MINES, INC., PETITIONER AND APPELLANT VS. JOSE A. NALDO AS REGIONAL ADMINISTRATOR OF THE DEPARTMENT OF LABOR, ATANASIO A. NARDO, AS HEARING OFFICER OF THE DEPT. …

On February 6, 1958, Teofilo P. Paano, et al., filed a complaint in
the Department of Labor, Regional Office No. 3, Manila, for the
recovery of overtime pay, separation pay, and attorney’s fees against
the San Felipe Iron Mines, Inc. (RO3-LS Case No. 1075).

After trial, the hearing officer before whom the case was tried
rendered judgment on June 30, 1959 for all the claimants, with that
exception of those who failed to appear at the hearing and to introduce
evidence in their behalf. On October 10, 1960, the Regional
Administrator issued a writ for the execution of the judgment,
commanding the Sheriff of Manila to execute the same under authority of
section 12, Article III, and par. XX (C), Article IV, of Reorganization
Plan No. 20-A, issued in accordance with R. A. No. 997, as amended by
R. A. No. 1241.

Contending that the Department of Labor, Regional Office No. 3,
Manila, has no authority to hear and decide the subject-matter of
RO3-LS Case No. 1075, as well as to issue a writ of execution to
enforce its awards therein, because Reorganization Plan No. 20-A is
unconstitutional and void, the San Felipe Iron Mines, Inc. filed on
October 28, 1960, a petition in the Court of First Instance of Manila
(C. C. No. 44582), praying for the annulment of the award and writ of
execution in said case and for a permanent order enjoining the Sheriff
of Manila from enforcing said award and writ of execution.

On December 19, 1960, the trial court rendered judgment sustaining
the validity of Reorganization No. 20-A and dismissing the petition for
injunction. The petitioner San Felipe Iron Mines, Inc. moved for
reconsideration, which was denied. Whereupon, said company appealed to
this Court.

It has already been settled in a long line of cases decided by this Court^[1]
that Reorganization Plan No. 20-A, in so far as it confers judicial
power upon the regional offices of the Department of Labor over money
claims of laborers other than those falling under the Workmen’s
Compensation Act, is null and void and of no effect whatsoever, it not
having been the intention of Congress in enacting Republic Act No. 997
to deprive the courts of jurisdiction over money claims and transfer
them to the regional offices of the Department of Labor. For this
reason, the appealed judgment is erroneous, and the decision of June
30, 1959 and writ of execution of October 10, 1960 of Regional Office
No. 3, Department of Labor are both illegal and void.

Wherefore, judgment is hereby rendered reversing the decision
appealed from, and another one entered declaring the decision and writ
of execution in RO3-LS Case No. 1075 of Regional Office No. 3 of the
Department of Labor null and void and permanently enjoining the Sheriff
of Manila from enforcing said decision and writ of execution. No costs.

Padilla, Bautista Angelo, Concepcion, Barrera, Paredes, and Dizon, JJ., concur.

^[1] “Equitable Banking Cor.
vs. Regional Office 3, L-14442, June 30, 1961; Corominas Jr. et al vs.
Labor Standard Comm., 112 Phil., 551; 59 Off. Gaz., (43) 7432 and
companion cases; Sebastian vs. Gerardo, 112 Phil., 658; Miller vs.
Mardo 112 Phil., 792; Phil-Tobacco Pluecuring Cor. vs. Sabugo 112
Phil., 1061; Tan vs. De Leon, L-15254 Sept. 16, 1961; La Mallorca vs.
Ramos L-15476 Sept. 19, 1961; Gagalawan vs. Canteen L-16031 Oct. 31,
1961; Tiberio vs. Manila Pilots Assn., L-17661, Dec. 28, 1961; among
other cases).