Not so fast, justices tell court on P34-b award

THE Supreme Court has stopped a Quezon City Regional Trial Court from quickly enforcing its order to the state-run National Power Corp. to pay P33.75 billion to the 5,648 employees that it dismissed illegally in 2003, saying that could bankrupt the power producer and the government as well.

The high court’s Third Division issued its “status quo order” on Jan. 7 following Napocor’s petition, and it restrains the lower court from immediately executing its order on Dec. 23 last year compelling Napocor to pay P33.75 billion to the dismissed employees, 10 percent of that amount in attorneys’ fees, and P1.012 billion to the court.

“By garnishing and effectively freezing its monthly financial receivables from power customers, NPC would be unable to support and sustain its operational and maintenance expenses—including those needed to finance its monthly fuel supply requirement, payment of capital expenditures, and… the salaries of respondent NPC’s employees,” the Court said.

On Dec. 2 last year, the high court ordered Napocor’s officials to explain why they should not be held in contempt for ignoring its order rejecting a National Power Board resolution dismissing Napocor’s 5,648 employees. It ordered the board to reinstate the employees or give them a separation package.

The employees who sued the company were members of the NPC Drivers and Mechanics Association and the NPC Employees and Workers’ Union.

On Dec. 23 last year, the lower court ordered Napocor to pay the dismissed employees and issued notices of garnishment to Manila Electirc Co., Land Bank of the Philippines, Philippine Electricity Marketing Corp. and Philippine National Bank.

But on Jan. 7 the high court ordered Napocor and Quezon City clerk of court and ex-officio sheriff Perlita Vistan-Ele to “maintain the status quo in this case prevailing before the issuance of the resolution… that no NPC assets/ deposits shall be garnished until further orders from this Court.”

The Court also ordered the dismissed workers to comment on the power firm’s motion seeking to reconsider its Dec. 2 order today, Monday. –Rey E. Requejo, Manila Standard Today