Court orders NPC to pay employees P6.49-Billion

by EVMail News on April 7, 2009

ORMOC CITY – A Quezon City regional trial court has awarded with finality this week some 9,777 employees of the National Power Corporation (NPC) a whooping P6.496-Billion representing “back allowances” and unpaid cost of living allowances (COLA) from November 1989 up to 1999, when the case was filed against the government corporation.

The sum, if equally divided among the 9,777 employees, would give each around P664,000.00. However, the distribution of the money would be prorated, depending on their salary scale, as the back allowances and COLA due to them represents 40 plus 10 percent of their salaries, respectively.

Presiding Judge Luisito G. Cortez of the RTC Branch 84 in Quezon City has also ordered NPC to pay the employees another P 704-million interest at 12 percent per annum on the whole sum, from the time the complaint was filed in December 2007 until its resolution in December 2008. The lawyers and “consultants” of the NPC employees were also awarded 300,000.00 in attorney’s fees, aside from five percent of the entire amount that each employee will receive, as consultancy fee for them. That would be around P324.8-million.
A notice to comply dated March 24, this year, has since been served by the sheriff of RTC Branch 84 to the NPC on March 25, after the decision became final. It is not learned at this point in time if the NPC would file an appeal on the judge’s decision at the Supreme Court, or if still can be appealed.
However, NPC employees are confident they would get the P6.496-Billion award, banking on a similar case that has already been resolved by the Supreme Court just last December 2008. This was the complaint filed by terminated members of the NPC Drivers and Mechanics Association (NPC DAMA). The Supreme Court has ordered NPC to pay the terminated drivers their back wages and allowances, saying their termination from work was illegal. The National Power Corporation is a government-controlled corporation. Its transmission facilities under TransCo have since been privatized, including the one in Eastern Visayas based at Milagro, this city, which was bought by a Chinese firm and now operating under the name National Grid Corporation of the Philippines (NGCP).

NPC is the same entity that has recently been allowed by the Energy Regulatory Commission (ERC) to increase on their power rates by some P1.1460 in the Visayas, claiming they have been operating on the red. However, in a certification issued on April 22, 2008, Alexander Japon, NPC senior finance department manager, certified that it has available funds for the payment of back allowances and COLA to its personnel and former employees in the amount of P8.5-Billion.
To demand for the immediate compliance of the court order, former NPC employees, majority of who have since been absorbed by the new owners of its facilities, have started a “peaceful assembly” in their respective locations every lunch break. Here in Milagro, this city, the employees took to assembling at the plant gates during their lunch break starting Friday, March 27, 2009. Requesting anonymity, some employees told the EV Mail that what they are doing is just to dramatize their demand, but they are doing it during their lunch break so as not to disrupt the normal operations of the electric transmission facility.

Class suit

The complaint against the NPC is for mandamus. It was filed by two employees originally, Abner P. Eleria and Melito B. Lupanco. Eleria was president of the NPC Employees Consolidated Union or NECU and Lupanggo, president of the NPC Employees and Workers Union (NEWU). Soon thereafter, their respective unions filed as petitioner-intervenors in behalf of its members. The judge then ruled that since the parties involved were numerous, that the same was a “class suit”. The petitioners complained to the court that before November 1989, they received allowances and COLA which were discontinued after the Salary Standardization Law took effect. The Department of Budget and Management, on the other hand, issued DBM Corporate Circular No. 10 (CCC No. 10), as its implementing guidelines. The guidelines, however, proved fatally defective after it was not published. It was only published by the DBM on the Official Gazette on March 1999, after 10 years. Government counsels, on the other hand, including the Office of the Solicitor General, tried to argue for NPC and DBM, attacking the complaint for various technicalities including the non-payment of the proper amount of docket fees.

However, Judge Cortez brushed these aside, invoking in his decision the constitutional right of the people to the equal protection of law. In his prefatory statement, the judge said “The State affirms labor as a primary social economic force. It shall protect the rights of workers and promote their welfare. The state values the dignity of every human person and guarantees full respect of human rights.” He also invoked that “Free access to the courts and quasi-judicial bodies and adequate legal assistance shall not be denied to any person by reason of poverty”. He said that when the case was filed at his sala, the Clerk of Court computed the proper fees for its filing then, since it was only in the course of the proceedings that it became a “class suit”. As such, the judge also imposed a lien of P145.4-million on the total award representing payment of the adjusted docket fees. He cited Section 2, Rule 141 of the Rules of Court that provides: “Where the court in its final judgment awards a claim not alleged, or a relief different from, or more than that claimed in the pleading, the party concerned shall pay the additional fees which shall constitute lien on the judgment in satisfaction of said lien”. with a report from JP Serseña

{ 2948 comments… read them below or add one }

Amad February 26, 2015 at 7:46 am

Update sa DAMA case:
Noong Jan. 13, 2015 nagfile ng MR ang NPC for another 30 days para makapagsubmit ng hinihinging data/information specified in the SC ruling dated October 20, 2014 until February 15, 2015. Ngayon nagfile naman ng MR ang OSG for another 30 days with same requirements until March 15, 2015. Siguro ang susunod na mag file ng MR ang Psalm naman. Ang mga MR’s nila ay hindi naman granted or denied ng SC. Palagay ko wala ng katapusang MR ito hanggang umabot na ng election ban. Sana magbigay na ng ruling ang SC sa kanilang MR’s. Salamat po!!!


Amad February 26, 2015 at 7:51 am

In addition: OSG filed the MR last February 11, 2015.


Amad February 27, 2015 at 7:21 am

Talagang wala ng katapusang MR ito. Psalm filed MR last 2/23/15 with same pero until March 20, 2015 naman ang extension. Sana huli na ito, baka naman mag alternate pa NPC/OSG/Psalm sa pag file ng MR’s? Ganito talaga hustisya sa Pilipinas.


mark lopez February 26, 2015 at 10:31 am

halos puro mr na lang po yata ang gagawin para abutin na naman ng election ban….sana po ang SC ay magkaron na ng final decision/ruling sa lahat ng mga MR’s ng npc/psalm/osg…delaying tactics lang ang ginagawa nila…siguro po kung may porsyento sila mas mabilis pa sa alas kwatro eh aprub agad yan….ganyan po talaga yata dito sa atin sa Pinas…slmat po


who me? February 27, 2015 at 1:50 am

anung justice ang meron satin..
Unlimited MR tinatanggap ng SC..
null ANd VOId.. final and executory….
already barred by ESStopel..
pwede bang e apply sa ibang case
ang gingawa nila sa DAma Case?


Amad February 27, 2015 at 8:50 am

Hindi po, applicable lang sa DAMA case. Siguro ang NPC/Psalm/OSG denied ang kanilang mungkahi na ma en banc ang DAMA case kaya puro MR’s na lang ang kanilang ginagawa para madelay ang pagbayad nila. May 10 months pa naman tayong hihintayin bago mag election ban.


mark lopez February 27, 2015 at 2:29 pm

sana po mr amad ay panindigan ng sc ang kanilang final and executory decision sa mag cases na dinedesisyunan nila like yung dama otherwise INUTIL ang sc natin….sa mga namumuno naman po ng npc/psalm/osg yan lang po ba ang kaya nyong gawin ang mag file lang ng mga mr’s as delaying tactics? para kayong biff….slamat po


boom tarat February 28, 2015 at 8:31 am

Bokatzky ulol ka!


slec February 28, 2015 at 7:58 pm

Ano ba talaga ang nangyayari sa dama claims natin bakit hanggang ngayon wala pang ginagawa ang supreme court na action dun sa mga pinile na MRs ng OSG at psalm para malinawan yung mga taong nasa likod ng pagdelay sa dama claims natin, sana pagdating ng election, tandaan natin ang mga taong ito at kung sino yang mga kapartido ni pnoy na presidenteng walang ginagawa kundi mangbengansiya ng kanyang mga kalaban sa pulitika, dapat huwag nang bigyan ng pagkakataong manungkulan sa ating gobyerno ang ganyang klase ng mga pulitiko. Parusahan sana sila ng Diyos sa kanilang mga maling ginagawa.


umaasa March 2, 2015 at 1:14 am



who me? March 2, 2015 at 3:11 am

ganyan ba talaga ang MR>>
ay para lng sa mga lawyer na talonan..


mark March 2, 2015 at 5:52 am

….parusahan sila ng PANGINOONG DIYOS sa kanilang mga maling gawa!!!


mark March 2, 2015 at 7:45 am

….sumpain sila ng DIYOS at parusahan hanggang sa ka-apo-apohan nila sa mga panlolokong ginagawa nila sa mga TAO !!!


kaboom March 2, 2015 at 10:53 pm

quiet na ulit ang COLA?


kulafu damasu March 3, 2015 at 4:59 am

Pinaiikot lng ang mga umaasa, ayaw tlaga


colapoy March 3, 2015 at 6:18 am

wag maniniwala sa mga balita sa npp lalo na kay herrera, puro mAli at sablay balita niya papansin ba. sana mag leave muna sya sa


colapoy March 4, 2015 at 3:29 am

info as information. dapat kasi reliable ang source niya, wag mag post ng hi di cgurado, puro tsismis lang yata marinig ipopost na. dagdag lahirap pa yan sa atin
aasa tayo tapos wala pala. nxt time kay ka resty lang tayo maniwals
a, ag siya nap post totoo.


colapoy March 3, 2015 at 6:36 am

pakana na naman ni hererre
a? hehehe. kilalanin nyo muna siya,


ayami March 3, 2015 at 7:14 am

sir resty, marami po umaasa sa dama, sana wag magbabalita ng hindi totoo. marami umaasa. mas gusto ko pa kasama sa kwentahan hindi sa kwentuhan.


inday March 3, 2015 at 8:06 pm

pray hard… the decision is coming.


kaboom March 3, 2015 at 9:56 pm

… next week ulit??


mark lopez March 3, 2015 at 10:24 pm

next…next….next… next weeksssss na naman……how long pa? ano na po ba ang totoong latest update natin sa cola? pati na rin po sa dama kung meron mang update? paki post naman po ng mga totoong update lang at di mga pagbibigay pag asa lang sa nakararami….sana po yung totoo lang ang ating i-post…paki-usap naman po sa iba nating mga dating kasamahan sa npc/transco? slmat po


colapoy March 3, 2015 at 10:27 pm

may nagtext… hehehe. sabi ko na nga ba mali na naman an info nya. marami ang aatakihin dahil sa kanya.


mark lopez March 4, 2015 at 2:47 am

ms or mr colapoy… ano po ibig nyo sabihin na mali ang info nya…ano pong info…


colapoy March 4, 2015 at 3:54 am

info as in information. dapat wag mag post pag hindi sure, marami umaasa. nakakasama ng loob. para tayong pinaglalaruan.


asa pa March 4, 2015 at 4:02 am

tama colapoy, para tayong bata bibigyan ng kendi tapos babawiin, kay pres resty na lang po tayo makinig at kay atty vvo


mark lopez March 4, 2015 at 4:31 am

tama na dapat isa lang ang mag update para di magkaron ng confusion….sana i-post natin yung totoo lang po at wag ng gumawa ng ikalilito pa ng mga kasamahan natin….slmat po


kulafu damasu March 4, 2015 at 4:31 am

Ang dami kasi pumpapel na nagpapagulo ng isipan ng iba nating kasamahan. Di na sila naawa, tao kya sila bka hindi?


mar-uo March 4, 2015 at 10:45 am

si herrera ma papel masyado wala naman talaga nagagawa. nagpapalabas ng mga good news kuno eh hindi naman talaga official statement. nagpapa star. ginugulo ang npc retirees. ay naku tigilan muna yan abay. gina gago mulang ang mga tao….
nag re resign awa effect pa. ay naku po bat kaya may ganyan mga tao. pa importante effect pa


mark lopez March 4, 2015 at 1:19 pm

g herrera kung wala po kayong mabuting magagawa ay mabuti pang tumigil na kayo sa mga post ninyo na walang basehan kasi kung baga sa larong teks noon kayo yung panggulo….wag na po kayo manloko pa ng kapwa ninyo dating empleyado ng npc/transco…slamat po…


Amad March 4, 2015 at 4:17 pm

Hindi naman nya ito mababasa kahit ano pa ang sabihin natin kay Mr. Ed Herrera dito sa grupo na ito, dapat ipost ninyo ito sa Facebook NPP wall para mabasa nya.


mar-uo March 4, 2015 at 5:59 pm

hindi ku alam kung matutuwa ako o maiinis ke herrera. nag post kuno sya. at 3pm daw me final decision na ang Dama hiling nya dasal. ang dami ng sumang ayon akala yun na. sge hintay ng 3 pm… wala.. ang sabi ngayon nag summer outing daw yun board wala pala at next week nalang daw. ay sus santi mundo anong klaseng tao kaya itong si herrera bakit pina pa asa ang mga tao di naman pala official news kung hindi sarili lang nyang kuro kuro ang post nya… ewan kuba maawa naman kayo sa mga retirees pian pa asda nyo sa oyong personal na kuro kuro nyo…


kaboom March 4, 2015 at 7:29 pm

…”i assure you all na solve na ang dama this month… ma se settle na ang lahat”… EH
Wow, strong words!


mark lopez March 6, 2015 at 5:52 am

gaano po katotoo ito? or just a hoax? slmat po


Amad March 6, 2015 at 9:51 am

Mark Hisarza Deri posted in NPP facebook, punta kayo sa TENT para ibulong nya tungkol sa COLA!

Palagi na Lang kayong nagbibigay ng informasyon na pawang spekulasyon at balitang kutsero. kong wala kayong maibalitang makatotohanan at basehan tumahimik na lang kayo!!!!

Mr. Resty Dela Cruz kayo po ang naturingang presidente ng NPP Group dapat kayo po ang magbigay ng informasyon sa DAMA kng maari weekly or bi-weekly kayo magbigay ng update para wala po ang mga haka haka na ibinabalita sa mga Tao. Salamat po.


mark lopez March 6, 2015 at 12:50 pm

gud am mr amad….salamat po sa inyo….sana nga po ay magbigay naman ng update si sir Resty Dela Cruz kahit po once a week or kung pwede naman po ay twice a week tungkol sa ating mga claims na cola at dama….masyado na pong inaabuso ng iba nating dating kasamahan sa npc/transco ang pagbibigay ng mga mali at di makatotohanang impormasyon…..sir Resty pasuyo naman po…paki bigyan naman po kami ng update kung meron man…marami pong salamat at umaasa kami na inyo kaming pagbibigyan sa bagay na ito….happy wknd po sa ating lahat…..slmat po


mar-uo March 6, 2015 at 5:29 pm

tama po kayo dyan. kung sino sino na ang nag bibigay ng post. palaging palpak naman. feeling excited.,feeling blessed. feeling eto na. ang dami ng mga post na ni isa walang totoo. santa maria del barrio lahat puma papel na personal na kurokuro lang pala. bakit kaya hindi nalang isang tao ang mag bigay ng post. si ka resty na presidente ng NPP yun lang. naglipana ang mga post na personal lang palang kuro kuro… ay naku po. malilito ang mga retirees at mag kakasakit ng pag aalala kung meron ba o wala.. sana wag na pumapel ang mga wala naman talaga alam. please…


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