7/27/2019 Kapisanan Ng Mga Manggagawa V

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Kapisanan ng mga Manggagawa v. Manila Railroad Company

GR L-25316, 28 February 1979 (88 SCRA 616)

Second Division, Fernando (p): 5 concur, 1 took no part

Facts:

There are no antecedent facts available for this case.

The union seeks reversal of decision of the lower court dismissing its petition for mandamus. The court

determined Republic Act 2023 was enacted only to compel the employer to make the deduction of the

employees debt from the latters salary and turn this over to the employees credit union; but which

does not convert the credit unions credit into a first priority credit.

Issue:

Whether, indeed, the law does not give first priority in the matter of payments to the

obligations of employees in favor of their credit unions.

Held:

Where the statutory norm speaks unequivocally, there is nothing for the courts to do except to

apply it. The law, leaving no doubt as to the scope of its operation, must be obeyed. The express

provisions of the New Civil Code, Articles 2241, 2242 and 2244 show the legislative intent on

preference of credits. In the present case, the applicable provision of Republic Act 2023 speaks foritself; there being no ambiguity, it is to be applied. If the legislative intent in enacting paragraphs 1

and 2 of Section 62 of RA 2023 were to give first priority in the matter of payments to the obligations

of employees in favor of their credit unions, then, the law would have so expressly declared. There is

nothing in the provision of Republic Act 2023 which provides that obligation of laborers and employees

payable to credit unions shall enjoy first priority in the deduction from the employees wages and

salaries.

The Supreme Court affirmed the appealed decision, without pronouncement as to costs.