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Philippine Appliance Corporation (PHILACOR) vs. CA Facts: PHILACOR is a domestic corporation engaged in manufacturing refrigerators, freezers, and washing machines while United Philacor Workers Union-NAFLU is the duly elected collective bargaining representative of the company’s employees. In the 1997 collective bargaining negotiations of the management and the union, PHILACOR offered P4,000.00 to each employee as an “early conclusion bonus.” The bonus was a unilateral incentive for speeding up the collective bargaining negotiations and to encourage the union to exert its best efforts to conclude a CBA according to the PHILACOR. Upon the expiration of their CBA, PHILACOR and the union began their negotiations. However, after 11 meetings, the parties failed to reach an agreement forcing the union to declare a deadlock. Consequently, the union filed a Notice of Strike. Even with the help of NCMB, the parties still failed to reach an agreement regarding wages, rice subsidy, and signing and retroactive bonus. And for the second time, the union filed a Notice of Strike. The said strike lasted for 11 days. Labor Secretary Laguesma assumed jurisdiction over the dispute. He issued a return to work order directing the employees to return to work within 24 hours and the company to accept the said employees. On April 14, 2000, Secretary Laguesma issued an order to be incorporated in the CBA. One of which is the awarding of P3,000.00 signing bonus to every employee of the company. PHILACOR’s argument: The award of the P3,000.00 signing bonus was patently erroneous since it was not part of the employees’ salaries or benefits or

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Philippine Appliance Corporation (PHILACOR) vs. CAFacts:PHILACOR is a domestic corporation engaged in manufacturing refrigerators, freezers, and washing machines while United Philacor Worers Union!"A#LU is the dul$ elected collecti%e &argaining representati%e of the compan$'s emplo$ees(In the )**+ collecti%e &argaining negotiations of the management and the union, PHILACOR o,ered P-,...(.. to each emplo$ee as an /earl$ conclusion &onus(01he &onus was a unilateral incenti%e for speeding up the collecti%e &argaining negotiations and to encourage the union to e2ert its &est e,orts to conclude a C3A according to the PHILACOR(Upon the e2piration of their C3A, PHILACOR and the union &egan their negotiations(Howe%er, after )) meetings, the parties failed to reach an agreement forcing the union to declare a deadloc(Conse4uentl$, the union 5led a "otice of 6trie(7%en with the help of "C83, the parties still failed to reach an agreement regarding wages, rice su&sid$, and signing and retroacti%e &onus( And for thesecond time, the union 5led a "otice of 6trie(1he said strie lasted for )) da$s(La&or 6ecretar$ Laguesma assumed 9urisdiction o%er the dispute(He issued a return to wor order directing the emplo$ees to return to wor within :- hours and the compan$ to accept the said emplo$ees(On April )-, :..., 6ecretar$ Laguesma issued an order to &e incorporated in the C3A(One of which is the awarding of P;,...(.. signing &onus to e%er$ emplo$ee of the compan$(PHILACOR's argument