Bank of the Philippine Islands v. Bank of the Philippine Islands Employees Union-Metro Manila

Summary

This case involves Bank of the Philippine Islands (BPI) and its employees' union disputing the validity of a 'no negative data bank policy' that BPI imposed as an additional condition for loan benefits under their existing Collective Bargaining Agreement (CBA). The CBA provided various loan benefits with specific terms, but BPI later required employees to have clean credit records before loan availment. The union challenged this through voluntary arbitration, winning at all levels. The Supreme Court ultimately ruled that the policy violated the CBA by imposing new conditions not originally agreed upon. The Court emphasized that CBA terms constitute the law between parties, and any doubt should be resolved in favor of workers under Article 1702 of the Civil Code. The decision reinforces the principle that employers cannot unilaterally modify CBA terms by adding conditions not contemplated during negotiations, protecting workers' negotiated benefits and maintaining the sanctity of collective bargaining agreements.