ASG Law

Tag: RA 6656

  • Navigating Employee Rights During Government Reorganization: Insights from RA 6656

    Employees’ Rights in Government Reorganization: The Importance of RA 6656

    National Power Corporation v. Canar, G.R. No. 234031, September 02, 2020

    Imagine working diligently for years in a government office, only to find yourself suddenly out of a job due to a reorganization. This is the reality that Emilia A. Canar faced when the National Power Corporation (NPC) underwent a major restructuring. Her story highlights the crucial role of Republic Act No. 6656 (RA 6656) in protecting the rights of employees during government reorganizations. The central legal question in this case was whether Canar could be automatically separated from service or if she was entitled to be considered for other positions within the new organizational structure.

    Understanding the Legal Framework: RA 6656 and Employee Protections

    RA 6656, also known as the “An Act to Protect the Security of Tenure of Civil Service Officers and Employees in the Implementation of Government Reorganization,” was enacted to safeguard the employment rights of civil servants during reorganizations. The key provision relevant to Canar’s case is Section 4, which states: “Officers and employees holding permanent appointments shall be given preference for the appointment to new positions in the approved staffing pattern comparable to their former position or in case there are not enough comparable positions, to positions next lower in rank.”

    This law ensures that employees are not arbitrarily dismissed but are given the opportunity to continue their service in a new role that matches their skills and experience. For instance, if a department is dissolved, an employee with a permanent appointment should be considered for similar roles in other departments or for positions that are a step down but still utilize their expertise.

    Previous cases like Cotiangco v. Province of Biliran have established that employees must actively apply for new positions to be considered under RA 6656. However, the Supreme Court in Canar’s case clarified that if an employee applies for multiple comparable positions, their intent to remain in service is clear, and they should be considered for lower positions if necessary.

    The Journey of Emilia A. Canar: From NPC to the Supreme Court

    Emilia A. Canar was a permanent employee at NPC, serving as the Department Manager of the Facilities Management Department. In 2012, NPC underwent a reorganization following Memorandum Order No. 2012-06 from the Governance Commission for Government-Owned and -Controlled Corporations. Canar applied for several positions in the new organizational structure but was not appointed to any of them, leading to her separation from service.

    Feeling wronged, Canar appealed to the NPC President, Froilan A. Tampinco, arguing that her non-appointment violated RA 6656. When her appeal was denied, she escalated the matter to the Civil Service Commission (CSC). The CSC partially granted her appeal, directing NPC to consider her for the next lower positions in the new staffing pattern.

    NPC challenged the CSC’s decision in the Court of Appeals (CA), which upheld the CSC’s ruling. The CA emphasized that Section 4 of RA 6656 mandates preference for permanent employees in comparable or next lower positions. The CA’s decision stated: “WHEREFORE, the petition is DENIED. The Decision No. 13-0743 promulgated on July 15, 2013 and Resolution No. 1500487 promulgated on April 17, 2015 of the Civil Service Commission are hereby AFFIRMED.”

    NPC then brought the case to the Supreme Court, arguing that Canar did not apply for the next lower positions. The Supreme Court, however, found NPC’s argument unconvincing, noting that Canar’s multiple applications for comparable positions indicated her desire to remain in service. The Court affirmed the CA’s decision, stating: “Petitioner’s contention lacks merit.”

    Practical Implications: Protecting Employee Rights in Reorganizations

    This ruling reinforces the importance of RA 6656 in protecting employees during government reorganizations. It sets a precedent that employees who apply for comparable positions should be considered for lower positions if necessary, ensuring that their service is not abruptly terminated.

    For businesses and government agencies, this case underscores the need to carefully manage reorganizations, ensuring compliance with RA 6656 and providing clear communication about available positions to employees. Employees should be proactive in applying for positions during reorganizations and understand their rights under RA 6656.

    Key Lessons:

    • Employees with permanent appointments have a right to be considered for comparable or next lower positions during reorganizations.
    • Applying for multiple positions shows an employee’s intent to remain in service, which should be respected by employers.
    • Employers must adhere to RA 6656 to avoid legal challenges and ensure fair treatment of employees.

    Frequently Asked Questions

    What is RA 6656?

    RA 6656 is a law designed to protect the security of tenure of civil service officers and employees during government reorganizations.

    Who is protected under RA 6656?

    Employees with permanent appointments in government agencies are protected under RA 6656 during reorganizations.

    What should employees do during a government reorganization?

    Employees should apply for positions in the new organizational structure that are comparable to their current role or for next lower positions if necessary.

    Can an employee be automatically separated from service during a reorganization?

    No, under RA 6656, employees should be given preference for comparable or next lower positions before being separated from service.

    What are the implications of this case for future reorganizations?

    This case sets a precedent that employees who apply for multiple positions should be considered for lower positions if comparable ones are unavailable, ensuring their rights are protected.

    How can employees challenge a non-appointment decision?

    Employees can appeal to their agency’s head and, if necessary, escalate the matter to the Civil Service Commission.

    ASG Law specializes in employment law and government reorganizations. Contact us or email hello@asglawpartners.com to schedule a consultation.

  • Security of Tenure vs. Reorganization: The Limits of Government Authority

    The Supreme Court ruled that government reorganizations must be carried out in good faith, protecting the security of tenure of civil service employees. The Court emphasized that reorganizations should not be used as a guise for removing qualified employees and replacing them with new hires or less qualified individuals. This decision reinforces the importance of upholding the rights of civil servants and ensuring that government restructuring serves legitimate purposes rather than political agendas.

    nn

    Zamboanga del Sur Shake-Up: Good Faith or Bad Intent?

    nn

    This case revolves around the reorganization of the provincial government of Zamboanga del Sur following the creation of Zamboanga Sibugay, which led to a significant reduction in the province’s Internal Revenue Allotment (IRA). Governor Aurora E. Cerilles implemented a new staffing pattern that reduced the number of positions. Several permanent employees, including Anita Jangad-Chua, Ma. Eden S. Tagayuna, and others (collectively referred to as “Respondents”), were terminated as a result. The Civil Service Commission (CSC) later invalidated ninety-six (96) appointments made by Gov. Cerilles, finding that the reorganization violated Republic Act No. (RA) 6656, which protects the security of tenure of civil service officers and employees during government reorganizations. The central legal question is whether the reorganization was conducted in good faith, or whether it was a pretext for removing tenured employees.

    nn

    The legal framework for this case is primarily rooted in RA 6656, which outlines the rights of civil servants during government reorganizations. Section 2 of RA 6656 states that “[n]o officer or employee in the career service shall be removed except for a valid cause and after due notice and hearing.” A valid cause includes a bona fide reorganization where a position is abolished or rendered redundant. However, the law also identifies circumstances that may indicate bad faith, such as a significant increase in the number of positions in the new staffing pattern, or the replacement of incumbents with less qualified individuals. Section 4 further mandates that “[o]fficers and employees holding permanent appointments shall be given preference for appointment to the new positions in the approved staffing pattern.”

    nn

    The CSC Regional Office No. IX (CSCRO) initially invalidated the appointments, citing violations of RA 6656, specifically the failure to grant preference to employees previously holding permanent positions. Gov. Cerilles appealed to the CSC, which initially dismissed the appeal for non-compliance with procedural requirements. However, the CSC later reinstated the appeal but ultimately dismissed it, upholding the CSCRO’s invalidation of the appointments. Gov. Cerilles then elevated the matter to the Court of Appeals (CA), which affirmed the CSC’s decision. The CA held that Gov. Cerilles had resorted to the wrong mode of review, but nevertheless upheld the CSCRO’s jurisdiction to entertain the appeals of the Respondents.

    nn

    Before the Supreme Court, Gov. Cerilles argued that the CA erred in upholding the CSCRO’s jurisdiction and misapplied RA 6656. The Court, however, disagreed. It emphasized that the extraordinary remedy of certiorari is only available when there is no appeal, nor any plain, speedy, and adequate remedy available in the ordinary course of law. In this case, a Rule 43 petition for review was an available mode of appeal from the CSC resolutions. The Court also noted that the Respondents did, in fact, file letters of appeal with Gov. Cerilles, but she failed to act on them, prompting them to seek relief before the CSCRO. As the Court stated:

    nn

    nEven assuming that petitioner correctly relied on Sections 7 and 8 of R.A. 6656, We still find that private respondents fully complied with the requirements of the said provisions.nnContrary to petitioner’s claim, private respondents indeed filed letters of appeal on various dates after their termination. Said appeals however, were unacted despite the lapse of time given the appointing authority to resolve the same which prompted private respondents to seek redress before public respondent’s Regional Office. We, thus, cannot give credence to petitioner’s claim that no appeal was filed before her as the appointing authority. As what petitioner would have private respondents do, the latter indeed went through the motions of first attempting to ventilate their protest before the appointing authority. However, since the appointing authority failed to take any action on the appeal, private respondents elevated the same to the Regional Office and correctly did so.

    nn

    The central issue, therefore, was whether the CSC erred in invalidating the appointments made by Gov. Cerilles, essentially questioning the extent of the CSC’s power to review appointments. The Court reiterated the principle that appointment is a highly discretionary act, but that the CSC has the authority to ensure that appointees meet the minimum legal requirements. Citing Lapinid v. Civil Service Commission, the Court affirmed that the CSC’s role is to “ascertain if the appointee possesses the required qualifications.” However, this principle must be reconciled with the provisions of RA 6656, particularly in the context of government reorganizations.

    nn

    The Court, citing Gayatao v. Civil Service Commission, clarified that when the CSC revokes an appointment because the removal of an employee was done in bad faith, it is not encroaching on the discretion of the appointing authority but simply ordering the reinstatement of the illegally removed employee. The critical determination, then, is whether the reorganization was carried out in good faith.

    nn

    The Court found that the reorganization of the Province of Zamboanga del Sur was tainted with bad faith. Several factors contributed to this finding, including the sheer number of appointments found to be violative of RA 6656, with no less than ninety-six (96) appointments violating the rules on preference and non-hiring of new employees. Moreover, the Respondents were replaced by either new employees or those holding lower positions in the old staffing pattern, which the Court considered as evidence of bad faith under Sections 2 and 4 of RA 6656. Significantly, Gov. Cerilles admitted that new employees were hired after the reorganization, which is a direct violation of RA 6656.

    nn

    Ultimately, the Supreme Court denied the petition and ordered the execution of the CSC’s resolution. The Court emphasized that the Respondents were entitled to reinstatement to their former positions without loss of seniority rights and with full backwages. This case serves as a reminder that government reorganizations must be conducted in good faith and must respect the security of tenure of civil service employees. The decision underscores the importance of adhering to the provisions of RA 6656 to protect the rights of civil servants during times of government restructuring.

    nn

    FAQs

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    n

    What was the key issue in this case? The key issue was whether the reorganization of the Zamboanga del Sur provincial government was done in good faith, and whether the Civil Service Commission (CSC) had the authority to invalidate appointments made during the reorganization.
    What is the legal basis for protecting civil servants during reorganization? Republic Act No. 6656 (RA 6656) protects the security of tenure of civil service officers and employees during government reorganizations, ensuring that reorganizations are not used as a pretext for illegal dismissals.
    What does RA 6656 say about the preference for appointment? RA 6656 mandates that officers and employees holding permanent appointments should be given preference for appointment to new positions in the approved staffing pattern comparable to their former positions. New employees cannot be hired until all permanent officers have been appointed.
    What constitutes bad faith in a government reorganization? Bad faith can be indicated by circumstances such as a significant increase in the number of positions in the new staffing pattern, the replacement of incumbents with less qualified individuals, or the violation of the order of separation.
    What is the role of the Civil Service Commission in appointments? The Civil Service Commission (CSC) has the authority to review appointments to ensure that appointees meet the minimum qualifications required by law. In cases of reorganization, the CSC can also determine whether the reorganization was done in good faith.
    What recourse do employees have if they believe they were illegally dismissed? Employees who believe they were illegally dismissed during a reorganization can appeal to the appointing authority and, if not satisfied, further appeal to the Civil Service Commission (CSC).
    What was the result of the Supreme Court’s decision? The Supreme Court denied Gov. Cerilles’ petition, upholding the CSC’s decision to invalidate the appointments and ordering the reinstatement of the illegally dismissed employees with backwages.
    What is the significance of this ruling? This ruling reinforces the importance of conducting government reorganizations in good faith and protecting the security of tenure of civil service employees, ensuring that such reorganizations are not used for political purposes.

    nn

    This case reaffirms the judiciary’s commitment to protecting the rights of civil servants against unlawful terminations masked as legitimate reorganizations. It emphasizes the need for government entities to act in good faith and uphold the principles of merit and fitness in staffing decisions. Failure to adhere to these standards could result in legal challenges and potential liabilities.

    nn

    For inquiries regarding the application of this ruling to specific circumstances, please contact ASG Law through contact or via email at frontdesk@asglawpartners.com.

    n

    Disclaimer: This analysis is provided for informational purposes only and does not constitute legal advice. For specific legal guidance tailored to your situation, please consult with a qualified attorney.
    Source: GOV. AURORA E. CERILLES vs. CIVIL SERVICE COMMISSION, G.R. No. 180845, November 22, 2017