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    G.R. No. 115863 March 31, 1995

    AIDA D. EUGENIO, petitioner,

    vs.

    CIVIL SERVICE COMMISSION, HON. TEOFISTO T.

    GUINGONA, JR. & HON. SALVADOR ENRIQUEZ,

    JR.,respondents.

    PUNO,J.:

    The power of the Civil Service Commission to abolish the

    Career Executive Service Board is challenged in this

    petition for certiorari and prohibition.

    First the facts. Petitioner is the Deputy Director of the

    Philippine Nuclear Research Institute. She applied for a

    Career Executive Service (CES) Eligibility and a CESO rank

    on August 2, 1993, she was given a CES eligibility. On

    September 15, 1993, she was recommended to the

    President for a CESO rank by the Career Executive Service

    Board. 1

    All was not to turn well for petitioner. On October 1, 1993,

    respondent Civil Service Commission 2passed Resolution

    No. 93-4359, viz:

    RESOLUTION NO. 93-4359

    WHEREAS, Section 1(1) of Article IX-B

    provides that Civil Service shall be

    administered by the Civil Service

    Commission, . . .;

    WHEREAS, Section 3, Article IX-B of the

    1987 Philippine Constitution provides

    that "The Civil Service Commission, as the

    central personnel agency of the

    government, is mandated to establish a

    career service and adopt measures to

    promote morale, efficiency, integrity,

    responsiveness, progresiveness and

    courtesy in the civil service, . . .";

    WHEREAS, Section 12 (1), Title I, Subtitle

    A, Book V of the Administrative Code of

    1987 grants the Commission the power,

    among others, to administer and enforce

    the constitutional and statutory

    provisions on the merit system for all

    levels and ranks in the Civil Service;

    WHEREAS, Section 7, Title I, Subtitle A,

    Book V of the Administrative Code of

    1987 Provides, among others, that The

    Career Service shall be characterized by

    (1) entrance based on merit and fitness to

    be determined as far as practicable by

    competitive examination, or based highly

    technical qualifications; (2) opportunity

    for advancement to higher career

    positions; and (3) security of tenure;

    WHEREAS, Section 8 (c), Title I, Subtitle A

    Book V of the administrative Code of

    1987 provides that "The third level shall

    cover Positions in the Career Executive

    Service";

    WHEREAS, the Commission recognizes

    the imperative need to consolidate,

    integrate and unify the administration of

    all levels of positions in the career service

    WHEREAS, the provisions of Section 17,

    Title I, Subtitle A. Book V of the

    Administrative Code of 1987 confers on

    the Commission the power and authority

    to effect changes in its organization as the

    need arises.

    WHEREAS, Section 5, Article IX-A of the

    Constitution provides that the Civil

    Service Commission shall enjoy fiscal

    autonomy and the necessary implications

    thereof;

    NOW THEREFORE, foregoing premises

    considered, the Civil Service Commission

    hereby resolves to streamline reorganize

    and effect changes in its organizational

    structure. Pursuant thereto, the Career

    Executive Service Board, shall now be

    known as the Office for Career Executive

    Service of the Civil Service Commission.

    Accordingly, the existing personnel,

    budget, properties and equipment of the

    Career Executive Service Board shall now

    form part of the Office for Career

    Executive Service.

    The above resolution became an impediment. to the

    appointment of petitioner as Civil Service Officer, Rank IV.

    In a letter to petitioner, dated June 7, 1994, the Honorable

    Antonio T. Carpio, Chief Presidential legal Counsel, stated:

    xxx xxx xxx

    On 1 October 1993 the Civil Service

    Commission issued CSC Resolution No.

    93-4359 which abolished the Career

    Executive Service Board.

    Several legal issues have arisen as a result

    of the issuance of CSC Resolution No. 93-

    4359, including whether the Civil Service

    Commission has authority to abolish the

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    Career Executive Service Board. Because

    these issues remain unresolved, the Office

    of the President has refrained from

    considering appointments of career

    service eligibles to career executive ranks.

    xxx xxx xxx

    You may, however, bring a case before the

    appropriate court to settle the legal issuesarising from issuance by the Civil Service

    Commission of CSC Resolution No. 93-

    4359, for guidance of all concerned.

    Thank You.

    Finding herself bereft of further administrative relief as

    the Career Executive Service Board which recommended

    her CESO Rank IV has been abolished, petitioner filed the

    petition at bench to annul, among others, resolution No.

    93-4359. The petition is anchored on the following

    arguments:

    A.

    IN VIOLATION OF THE CONSTITUTION,

    RESPONDENT COMMISSION USURPED

    THE LEGISLATIVE FUNCTIONS OF

    CONGRESS WHEN IT ABOLISHED THE

    CESB, AN OFFICE CREATED BY LAW,

    THROUGH THE ISSUANCE OF CSC:

    RESOLUTION NO. 93-4359;

    B.

    ALSO IN VIOLATION OF THE

    CONSTITUTION, RESPONDENT CSC

    USURPED THE LEGISLATIVE FUNCTIONS

    OF CONGRESS WHEN IT ILLEGALLY

    AUTHORIZED THE TRANSFER OF PUBLIC

    MONEY, THROUGH THE ISSUANCE OF

    CSC RESOLUTION NO. 93-4359.

    Required to file its Comment, the Solicitor General agreed

    with the contentions of petitioner. Respondent

    Commission, however, chose to defend its ground. It

    posited the following position:

    ARGUMENTS FOR PUBLIC RESPONDENT-

    CSC

    I. THE INSTANT PETITION STATES NO

    CAUSE OF ACTION AGAINST THE PUBLIC

    RESPONDENT-CSC.

    II. THE RECOMMENDATION SUBMITTED

    TO THE PRESIDENT FOR APPOINTMENT

    TO A CESO RANK OF PETITIONER

    EUGENIO WAS A VALID ACT OF THE

    CAREER EXECUTIVE SERVICE BOARD OF

    THE CIVIL SERVICE COMMISSION AND IT

    DOES NOT HAVE ANY DEFECT.

    III. THE OFFICE OF THE PRESIDENT IS

    ESTOPPED FROM QUESTIONING THE

    VALIDITY OF THE RECOMMENDATION

    OF THE CESB IN FAVOR OF PETITIONER

    EUGENIO SINCE THE PRESIDENT HAS

    PREVIOUSLY APPOINTED TO CESO RANKFOUR (4) OFFICIALS SIMILARLY

    SITUATED AS SAID PETITIONER.

    FURTHERMORE, LACK OF MEMBERS TO

    CONSTITUTE A QUORUM. ASSUMING

    THERE WAS NO QUORUM, IS NOT THE

    FAULT OF PUBLIC RESPONDENT CIVIL

    SERVICE COMMISSION BUT OF THE

    PRESIDENT WHO HAS THE POWER TO

    APPOINT THE OTHER MEMBERS OF THE

    CESB.

    IV. THE INTEGRATION OF THE CESB

    INTO THE COMMISSION IS AUTHORIZEDBY LAW (Sec. 12 (1), Title I, Subtitle A,

    Book V of the Administrative Code of the

    1987). THIS PARTICULAR ISSUE HAD

    ALREADY BEEN SETTLED WHEN THE

    HONORABLE COURT DISMISSED THE

    PETITION FILED BY THE HONORABLE

    MEMBERS OF THE HOUSE OF

    REPRESENTATIVES, NAMELY: SIMEON A.

    DATUMANONG, FELICIANO R.

    BELMONTE, JR., RENATO V. DIAZ, AND

    MANUEL M. GARCIA IN G.R. NO. 114380.

    THE AFOREMENTIONED PETITIONERS

    ALSO QUESTIONED THE INTEGRATIONOF THE CESB WITH THE COMMISSION.

    We find merit in the petition. 3

    The controlling fact is that the Career Executive Service

    Board (CESB) was created in the Presidential Decree (P.D.)

    No. 1 on September 1, 1974 4 which adopted the Integrated

    Plan. Article IV, Chapter I, Part of the III of the said Plan

    provides:

    Article IV Career Executive Service

    1. A Career Executive Service is created to

    form a continuing pool of well-selected

    and development oriented career

    administrators who shall provide

    competent and faithful service.

    2.A Career Executive Service hereinafter

    referred to in this Chapter as the Board, is

    created to serve as the governing body of

    the Career Executive Service. The Board

    shall consist of the Chairman of the Civil

    Service Commission as presiding officer,

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    the Executive Secretary and the

    Commissioner of the Budget as ex-

    officio members and two other members

    from the private sector and/or the

    academic community who are familiar

    with the principles and methods of

    personnel administration.

    xxx xxx xxx

    5. The Board shall promulgate rules,

    standards and procedures on the

    selection, classification, compensation

    and career development of members of

    the Career Executive Service. The Board

    shall set up the organization and

    operation of the service. (Emphasis

    supplied)

    It cannot be disputed, therefore, that as the CESB was

    created by law, it can only be abolished by the legislature.

    This follows an unbroken stream of rulings that the

    creation and abolition of public offices is primarily alegislative function. As aptly summed up in AM JUR 2d on

    Public Officers and

    Employees, 5viz:

    Except for such offices as are created by

    the Constitution, the creation of public

    offices is primarily a legislative function.

    In so far as the legislative power in this

    respect is not restricted by constitutional

    provisions, it supreme, and the legislature

    may decide for itself what offices are

    suitable, necessary, or convenient. When

    in the exigencies of government it isnecessary to create and define duties, the

    legislative department has the discretion

    to determine whether additional offices

    shall be created, or whether these duties

    shall be attached to and become ex-

    officio duties of existing offices. An office

    created by the legislature is wholly within

    the power of that body, and it may

    prescribe the mode of filling the office and

    the powers and duties of the incumbent,

    and if it sees fit, abolish the office.

    In the petition at bench, the legislature has not enacted any

    law authorizing the abolition of the CESB. On the contrary,

    in all the General Appropriations Acts from 1975 to 1993,

    the legislature has set aside funds for the operation of

    CESB. Respondent Commission, however, invokes Section

    17, Chapter 3, Subtitle A. Title I, Book V of the

    Administrative Code of 1987 as the source of its power to

    abolish the CESB. Section 17 provides:

    Sec. 17. Organizational Structure. Eachoffice of the Commission shall be headed

    by a Director with at least one Assistant

    Director, and may have such divisions as

    are necessary independent constitutional

    body, the Commission may effect changes

    in the organization as the need arises.

    But as well pointed out by petitioner and the Solicitor

    General, Section 17 must be read together with Section 16

    of the said Code which enumerates the offices under the

    respondent Commission, viz:

    Sec. 16. Offices in the Commission. The

    Commission shall have the following

    offices:

    (1) The Office of the Executive

    Directorheaded by an Executive Director,

    with a Deputy Executive Director shall

    implement policies, standards, rules and

    regulations promulgated by the

    Commission; coordinate the programs of

    the offices of the Commission and render

    periodic reports on their operations, and

    perform such other functions as may beassigned by the Commission.

    (2) The Merit System Protection

    Boardcomposed of a Chairman and two

    (2) members shall have the following

    functions:

    xxx xxx xxx

    (3) The Office of Legal Affairs shall provide

    the Chairman with legal advice and

    assistance; render counselling services;undertake legal studies and researches;

    prepare opinions and ruling in the

    interpretation and application of the Civil

    Service law, rules and regulations;

    prosecute violations of such law, rules

    and regulations; and represent the

    Commission before any court or tribunal.

    (4) The Office of Planning and

    Managementshall formulate development

    plans, programs and projects; undertake

    research and studies on the different

    aspects of public personnel management;administer management improvement

    programs; and provide fiscal and

    budgetary services.

    (5) The Central Administrative Office shall

    provide the Commission with personnel,

    financial, logistics and other basic support

    services.

    (6) The Office of Central Personnel

    Records shall formulate and implement

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    policies, standards, rules and regulations

    pertaining to personnel records

    maintenance, security, control and

    disposal; provide storage and extension

    services; and provide and maintain

    library services.

    (7) The Office of Position Classification and

    Compensation shall formulate and

    implement policies, standards, rules andregulations relative to the administration

    of position classification and

    compensation.

    (8) The Office of Recruitment, Examination

    and Placementshall provide leadership

    and assistance in developing and

    implementing the overall Commission

    programs relating to recruitment,

    execution and placement, and formulate

    policies, standards, rules and regulations

    for the proper implementation of the

    Commission's examination and placementprograms.

    (9) The Office of Career Systems and

    Standards shall provide leadership and

    assistance in the formulation and

    evaluation of personnel systems and

    standards relative to performance

    appraisal, merit promotion, and employee

    incentive benefit and awards.

    (10) The Office of Human Resource

    Developmentshall provide leadership and

    assistance in the development andretention of qualified and efficient work

    force in the Civil Service; formulate

    standards for training and staff

    development; administer service-wide

    scholarship programs; develop training

    literature and materials; coordinate and

    integrate all training activities and

    evaluate training programs.

    (11) The Office of Personnel Inspection and

    Auditshall develop policies, standards,

    rules and regulations for the effective

    conduct or inspection and audit

    personnel and personnel management

    programs and the exercise of delegated

    authority; provide technical and advisory

    services to Civil Service Regional Offices

    and government agencies in the

    implementation of their personnel

    programs and evaluation systems.

    (12) The Office of Personnel Relations shall

    provide leadership and assistance in the

    development and implementation of

    policies, standards, rules and regulations

    in the accreditation of employee

    associations or organizations and in the

    adjustment and settlement of employee

    grievances and management of employee

    disputes.

    (13) The Office of Corporate Affairs shall

    formulate and implement policies,

    standards, rules and regulationsgoverning corporate officials and

    employees in the areas of recruitment,

    examination, placement, career

    development, merit and awards systems,

    position classification and compensation,

    performing appraisal, employee welfare

    and benefit, discipline and other aspects

    of personnel management on the basis of

    comparable industry practices.

    (14) The Office of Retirement

    Administration shall be responsible for

    the enforcement of the constitutional andstatutory provisions, relative to

    retirement and the regulation for the

    effective implementation of the

    retirement of government officials and

    employees.

    (15) The Regional and Field Offices. The

    Commission shall have not less than

    thirteen (13) Regional offices each to be

    headed by a Director, and such field

    offices as may be needed, each to be

    headed by an official with at least the

    rank of an Assistant Director.

    As read together, the inescapable conclusion is

    that respondent Commission's power to

    reorganize is limited to offices under its control as

    enumerated in Section 16, supra. From its

    inception, the CESB was intended to be an

    autonomous entity, albeit administratively

    attached to respondent Commission. As

    conceptualized by the Reorganization Committee

    "the CESB shall be autonomous. It is expected to

    view the problem of building up executive

    manpower in the government with a broad and

    positive outlook."6 The essential autonomouscharacter of the CESB is not negated by its

    attachment to respondent Commission. By said

    attachment, CESB was not made to fall within the

    control of respondent Commission. Under the

    Administrative Code of 1987, the purpose of

    attaching one functionally inter-related

    government agency to another is to attain "policy

    and program coordination." This is clearly etched

    out in Section 38(3), Chapter 7, Book IV of the

    aforecited Code, to wit:

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    (3)Attachment. (a) This refers to the

    lateral relationship between the

    department or its equivalent and attached

    agency or corporation for purposes of

    policy and program coordination. The

    coordination may be accomplished by

    having the department represented in the

    governing board of the attached agency or

    corporation, either as chairman or as a

    member, with or without voting rights, ifthis is permitted by the charter; having

    the attached corporation or agency

    comply with a system of periodic

    reporting which shall reflect the progress

    of programs and projects; and having the

    department or its equivalent provide

    general policies through its

    representative in the board, which shall

    serve as the framework for the internal

    policies of the attached corporation or

    agency.

    Respondent Commission also relies on the caseofDatumanong, et al., vs. Civil Service Commission, G. R. No.

    114380 where the petition assailing the abolition of the

    CESB was dismissed for lack of cause of action. Suffice to

    state that the reliance is misplaced considering that the

    cited case was dismissed for lack of standing of the

    petitioner, hence, the lack of cause of action.

    IN VIEW WHEREOF, the petition is granted and Resolution

    No. 93-4359 of the respondent Commission is hereby

    annulled and set aside. No costs.

    SO ORDERED.

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    G.R. No. 115942 May 31, 1995

    RUBLE RUBENECIA, petitioner,

    vs.

    CIVIL SERVICE COMMISSION, respondent.

    FELICIANO,J.:

    Petitioner Ruble Rubenecia assails Civil Service

    Commission ("CSC" or "Commission") Resolution No. 94-

    0533, dated 25 January 1994, aquitting him of a charge of

    insubordination but finding him guilty of several other

    administrative charges and imposing upon him the penalty

    of dismissal from the service. He also questions the validity

    of CSC Resolution No. 93-2387 dated 29 June 1993, which

    allegedly abolished the Merit System Protection Board

    ("MSPB") and authorized the elevation of cases pending

    before that body to the Commission.

    Teachers of Catarman National High School in Catarman,

    Northern Samar, filed before the MSPB an administrative

    complaint against petitioner Rubenecia, the School

    Principal, for dishonesty, nepotism, oppression and

    violation of Civil Service Rules. After a preliminary inquiry,

    the MSPB on 15 January 1992 formally charged Rubenecia

    and required him to file an answer with the CSC Regional

    Office in Tacloban City. On 24 February 1992, petitioner

    Rubenecia, instead of filing an answer, requested that he

    be furnished with copies of the documents submitted by

    complainants in support of the charges against him. 1

    On 15 May 1992, the CSC Regional Director assigned to

    investigate the case invited Rubenecia to the RegionalOffice and there identify and pick up the documents he

    desired. The Regional Office had then just received the

    records of the case transmitted by the MSPB.

    In response, Rubenecia requested that his visit to the CSC

    Regional Office be deferred because of alleged problems in

    his school relating to the enrollment period. The CSC

    reiterated on 10 June 1992 its order to Rubenecia to file

    his answer. In turn, petitioner through counsel in a letter

    dated 9 July 1992, reiterated his request that the CSC

    Regional Office furnish him copies of the documents

    submitted in connection with the charges against him.

    Although petitioner did not file his answer, the Regional

    Director set the case for hearing on 20 August 1992. This

    hearing, however, did not take place as the complainants

    did not there show up. Petitioner Rubenecia appeared at

    that hearing, but filed no answer. In an order issued on the

    same day, i.e., 20 August 1992, the Regional Office declared

    that the case was deemed submitted for resolution on the

    basis of the documents theretofore filed.

    On 25 August 1992, Rubenecia wrote to the Chairman of

    the Civil Service Commission, praying that the case against

    him be dismissed and attaching to that letter many

    documents in support of his claim of innocence.

    On 28 September 1992, the Regional Director submitted

    an investigation report to the Chairman, MSPB. Before the

    MSPB could render a decision, the Commission issued on

    29 June 1993 Resolution No. 93-2387 which provided,

    among other things, that cases then pending before the

    MSPB were to be elevated to the Commission for decision.

    The Commission, accordingly, took over the case against

    petitioner and on 25 January 1994, rendered its Resolution

    No. 94-0533 finding petitioner guilty and ordering his

    dismissal from the service. Petitioner moved for

    reconsideration, asserting lack of jurisdiction on the part

    of the Commission and attaching most if not all of the same

    documents he had annexed to his letter-answer to support

    his assertion of innocence. The motion for reconsideration

    was denied in a resolution of the Commission on 31 May

    1994.

    Two (2) principal issues are raised in this Petition

    for Certiorari:

    (1) Whether or not the CSC had authority

    to issue its Resolution No. 93-2387 and

    assume jurisdiction over the

    administrative case against petitioner;

    and

    (2) Whether or not petitioner had been

    accorded due process in connection with

    rendition of CSC Resolution No. 94-0533

    finding him guilty and ordering his

    dismissal from the service.

    I

    In respect of the first issue, petitioner Rubenecia contends

    that the Commission had no jurisdiction to take over the

    administrative case against him from the MSPB for the

    reason that CSC Resolution No. 93-2387 was invalid. The

    argument of the petitioner is that since the MSPB was a

    creation of law, it could be abolished only by law, and that

    Resolution No. 93-2387 was accordingly an ultra vires act

    on the part of the Commission.

    Resolution No. 93-2387 reads in full:

    WHEREAS, the Civil Service Commission

    recognizes the government-wide call and

    the need for streamlining of operations

    which requires implification of systems,

    cutting of red tape and elimination of

    unnecessary bureaucratic layer;

    WHEREAS,one of the powers and functions

    of the Commission provided for in Section

    12 (11) of Book V of the Administrative

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    Code of 1987 is to hear and decide

    administrative cases institutedby or

    broughtbefore it directlyor on appeal,

    including contested appointments and

    review decisions and actions of its

    offices and of the agencies attach to it;

    WHEREAS, Section 47 (1) of Book V of the

    Administrative Code of 1987 specifically

    provides that theCommission shall decideupon appeal all administrative disciplinary

    cases involving the imposition of penalty

    ofsuspension for more that thirty days, or

    fine in an amount exceeding thirty days

    salary, demotion in rank or salary or

    transfer removal or dismissal from office;

    WHEREAS, under Section 16 (2) of Book V

    of the Code, the Merit System Protection

    Board(MSPB),an office of the Commission,

    has the function to hear and decide

    administrative cases involving officials

    and employees of the civilservice concurrently with the Commission;

    WHEREAS,most decisions on

    administrative cases rendered by the

    MSPB are later appealed to the

    Commission for review and final

    resolution;

    WHEREAS,the existing procedure wherein

    most administrative cases are first

    reviewed by the MSPB before they are

    elevated to the Commission makes it

    difficult for these cases to be finallyresolved within a short period of time ;

    WHEREAS, the present situation

    requires immediate streamlining of the

    operation of the Civil Service Commission

    to achieve as speedier delivery of

    administrative justice and economical

    operation without impairing due process

    and the substantive rights of the parties in

    administrative cases;

    NOW, THEREFORE, pursuant to theprovisions of Section 17 of Book V of the

    Administrative Code of 1987 which

    authorizes the Commission, as an

    independent constitutional body, to effect

    changes in its organization as the need

    arises, the Commission Resolves as it is

    hereby Resolved to effect the following

    changes;

    1. Decisions in

    administrative

    cases involving officials

    and employees of the

    civil serviceappealable to

    the Commission pursuant

    to Section 47 of Book V

    of the Code including

    personnel actions such

    as contested

    appointments shall now

    be appealed directly to

    theCommission and notto

    the MSPB; and

    2. Decisions and

    administrative

    cases involving the

    officials and employees

    of the Civil Service

    including contested

    appointments which

    have already been

    appealed to the

    MSPB and other pendingadministrative cases

    brought directly before

    the MSPB, shall now

    be elevated to the

    Commission for final

    resolution.

    Parties in administrative cases pending

    before the MSPB shall be notified in

    writing that their respective cases have

    already been elevated to the Commission

    for final resolution. They shall have 15

    days from receipt of notice to submit theircomments on or objections to the new

    procedures.

    This Resolution shall take effect on 1 July

    1993 and the new procedure shall remain

    effective until rescinded by the

    Commission in another resolution.

    Adopted this 29th day of June 1993.

    Patricia A. Sto. Tomas

    Chairman

    Ramon P. Ereneta, Jr. Thelma P. Gaminde

    Commissioner Commissioner

    Juanito Demetrio

    Board Secretary VI

    (Emphasis supplied)

    The Merit System Protection Board was originally created

    by P.D. No. 1409, dated 8 June 1978, Section 1 of which

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    said: "There is hereby created in the Civil Service

    Commission a Merit Systems Board." The Board was

    composed of "a commissioner and two (2) associate

    commissioners" appointed by the CSC. 2 The powers and

    functions of this Board were set out in Section 5 of P.D. No.

    1409 in the following terms:

    Sec. 5. Powers and Functions of the Board.

    The Board shall have the following

    powers and functions, among others:

    (1) Hear and decide administrative cases

    involving officers and employees of the

    civil service.

    (2) Hear and decide cases brought before

    it by officers and employees who feel

    aggrieved by the determination of

    appointing authorities involving

    appointment promotion, transfer, detail,

    reassignment and other personnel

    actions, as well as complaints against any

    officers in the government arising fromabuses arising from personnel actions of

    these officers or from violation of the

    merit system.

    (3) Hear and decide complaints of civil

    service employees regarding malpractices

    of other officials and employees.

    (4) Promulgate, subject to the approval of

    the Civil Service Commission, rules and

    regulations to carry out the functions of

    the Board.

    (5) Administer oaths,

    issue subpoena and subpoenaduces tecum,

    and take testimony in any investigation or

    inquiry. The Board shall have the power

    to punish for contempt in accordance

    with the rules of court under the same

    procedure with the same penalties

    provided therein.

    (6) Perform such other functions as may

    be assigned by the Civil Service

    Commission.

    xxx xxx xxx

    Decisions of the Board involving removal of officers and

    employees from the service were "subject to automatic

    review by the Commission;" all other decisions of the

    Board were also subject to appeal to the Commission. 3

    As noted, P.D. No. 1409 had "created in the Civil Service

    Commission [the] Merit Systems Board." Section 16 of the

    present Civil Service Law found in the 1987 Administrative

    Code followed the same line and re-created the Merit

    Systems Board as an office of the Commission and gave it a

    new name: "Merit System Protection Board."

    Section 16 of the present Civil Service Law reads as

    follows, in pertinent part:

    Sec. 16. Offices in the Commission. The

    Commission shall have the following

    offices:

    (1) The Office of the Executive Director . .

    (2) The Merit System Protection Board

    composed of a Chairman and two (2)

    members which have the following

    functions:

    (a) Hear and decide on

    appeal administrative

    cases involving officials

    and employees of the

    Civil Service. Its decision

    shall be final except

    those involving dismissa

    or separation from the

    service which may be

    appealed to the

    Commission;

    (b) Hear and decide

    cases brought before it

    on appeal by officials and

    employees who feel

    aggrieved by thedetermination of

    appointing authorities

    involving personnel

    actions and violations of

    the merit system. The

    decision of the Board

    shall be final except

    those involving division

    chiefs or officials of

    higher ranks which may

    be appealed to the

    Commission;

    (c) Directly take

    cognizance of complaints

    affecting functions of the

    Commission, those

    which are unacted upon

    by the agencies, and such

    other complains which

    required direct action of

    the Board in the interest

    of justice;

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    (d) Administer oaths,

    issue subpoena and

    subpoena duces tecum,

    take testimony in any

    investigation or inquiry,

    punish for contempt in

    accordance with the

    same procedures and

    penalties prescribed in

    the Rules of Court; and

    (e) Promulgate rules and

    regulations to carry out

    the functions of the

    Board subject to the

    approval of the

    Commission.

    (3) The Office of Legal Affairs . . . . .

    xxx xxx xxx

    The 1987 Administrative Code thus made clear that the

    MSPB was intended to be an office of the Commission like

    any of the other thirteen (13) offices in the Commission:

    e.g., the Office of Legal Affairs; the Office of Planning and

    Management; the Central Administrative Office, and so

    forth. The MSPB was, in other words, a part of the internal

    structure and organization of the Commission and thus a

    proper subject of organizational change which the

    Commission is authorized to undertake under Section 17

    of the present Civil Service Law:

    Sec. 17. Organizational Structure. Eachoffice of the Commission shall be headed

    by a Director with at least one (1)

    Assistant Director, and may have such

    divisions as are necessary to carry out

    their respective functions.As an

    independent constitutional body, the

    Commission may effect changes in the

    organization as the need arises. (Emphasis

    supplied).

    Since it was part and parcel of the internal organization of

    the Commission, the MSPB was notan autonomous entity

    created by law and merely attached for administrative

    purposes to the Civil Service Commission. InAida Eugeniov. Civil Service Commission, 4 the Court invalidated a CSC

    Resolution which had transferred the Career Executive

    Service Board to the Office for Career Executive Service of

    the CSC precisely because the Career Executive Service

    Board was an autonomous entity created by a special law

    and attached, for administrative purposes only, to the Civil

    Service Commission; that Board did not fall within the

    control of the Civil Service Commission.

    It will be noted that under the provisions of Section 16 (2)

    (a) and (b) quoted earlier, cases originating outside the

    Civil Service Commission itself and appealed to the MSPB

    were, in cases involving division chiefs and higher officials

    and cases where the penalty imposed was dismissal or

    separation from the service, subject to further appeal to

    the Commission itself. At the same time, cases filed

    originally with the MSPB could also be filed directly with

    the Commission itself under Section 12 (11) of the Civil

    Service Law. It was this apparent duplication or layering of

    functions within the Commission that the Commission

    sought to rationalize and eliminate by enacting Resolution

    No. 93-2387 quoted in full earlier.

    The change instituted by CSC Resolution No. 93-2387

    consisted basically of the following: decision in

    administrative cases appealable to the Commission

    pursuant to Section 47 of the present Civil Service Law

    may now be appealed directly to the Commission itself and

    not to the MSPB. Administrative cases already pending on

    appeal before the MSPB or previously brought directly to

    the MSPB, at the time of the issuance of Resolution No. 93-

    2387, were required to be elevated to the Commission for

    final resolution. The functions of the MSPB relating to the

    determination of administrative disciplinary cases were, in

    other words, re-allocated to the Commission itself. Thesechanges were prescribed by the Commission in its effort to

    "streamline the operation of the CSC" which in turn

    required the "simplification of systems, cutting of red tape

    and elimination of [an] unnecessary bureaucratic layer."

    The previous procedure made it difficult for cases to be

    finally resolved within a reasonable period of time. The

    change, therefore, was moved by the quite legitimate

    objective of simplifying the course that administrative

    disciplinary cases, like those involving petitioner

    Rubenecia, must take. We consider that petitioner

    Rubenecia had no vested right to a two-step administrative

    appeal procedure within the Commission, that is, appeal to

    an office of the Commission, the MSPB, and thereafter asecond appeal to the Civil Service Commission itself (i.e.,

    the Chairman and the two [2] Commissioners of the Civil

    Service Commission), a procedure which most frequently

    consumed a prolonged period of time.

    We note also that Resolution No. 93-2387 did notpurport

    to abolish the MSPB nor to effect the termination of the

    relationship of public employment between the

    Commission and any of its officers or employees. At all

    events, even if Resolution No. 93-2387 had purported to

    do so, petitioner Rubenecia, who does not claim to be an

    officer or employee of the MSPB, has no personality or

    standing to contest such termination of publicemployment. InFernandez and De Lima v. Hon. Patricia A.

    Sto. Tomas, etc., et al., 5 the Court upheld Resolution No. 94-

    3710 of the Civil Service which effected certain changes in

    the internal organization and structure of the Commission.

    The Court said:

    We consider that Resolution No. 94-3710

    has notabolished any public office as that

    term is used in the law of public officers.

    It is essential to note that none of the

    "changes in organization" introduced by

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    Resolution No. 94-3710 carried with it or

    necessarily involved the termination of

    the relationship of public employment

    between the Commission and any of its

    officers and employees. We find it very

    difficult to suppose that the 1987 Revised

    Administrative Code having mentioned

    fourteen (14) different offices of the CSC,

    meant to freeze these offices and to cast

    in concrete, as it were, the internalorganization of the Commission until it

    might please Congress to change such

    internal organization regardless of the

    ever changing needs of the civil service as

    a whole. To the contrary, the legislative

    authority had expressly authorized the

    Commission to carry out "changes in the

    organization," as the need [for such

    changes] arises.

    Petitioner Rubenecia also claims that the Civil Service

    Commission itself (as distinguished from the MSPB) did

    not acquire jurisdiction over his case because he had notbeen notified by individual written notice sent by mail that

    his case had been elevated to the Civil Service Commission

    as required by Resolution No. 93-2387. We consider this

    objection unmeritorious. CSC Resolution No. 93-2387,

    quoted earlier, did not require individual written notice

    sent by mail to parties in administrative cases pending

    before the MSPB. Assuming that Rubenecia had not in fact

    been sent an individual notice, the fact remains that

    Resolution No. 93-2387 was published in a newspaper of

    general circulation (The Manila Standard, issue of 16 July

    1993 6); the Commission may accordingly be deemed to

    have complied substantially with the requirement of

    written notice in its own Resolution. Moreover, petitionerhimself had insisted on pleading before the Commission,

    rather than before the MSPB; he filed before the

    Commission itself his letter-cum-annexes which effectively

    was his answer to the Formal Charge instituted before the

    MSPB. He cannot now be heard to question the jurisdiction

    of the Commission.

    II

    We turn to petitioner's contention that he had been denied

    due process when the Commission rendered its Resolution

    No. 94-0533 finding him guilty and ordering his dismissal

    from the government service.

    The fundamental rule of due to process requires that a

    person be accorded notice and an opportunity to be heard.

    These requisites were respected in the case of petitioner

    Rubenecia.

    The Formal Charge prepared by the MSPB and given to

    petitioner Rubenecia constituted sufficient notice which, in

    fact, had enabled him to prepare his defense. The Formal

    Charge contained the essence of the complaint and the

    documents in support thereof and the conclusion of the

    MSPB finding a prima facie case against Rubenecia.

    Rubenecia himself admitted that he had been furnished

    with copies of an affidavit and testimonies of the principal

    witnesses against him that were given during the

    preliminary hearing of the case against Rubenecia. 7

    We are also not persuaded by petitioner's complaint that

    he had not been furnished copies of all the documents that

    had accompanied the Formal Charge. Rubenecia was given

    an opportunity by the Investigating Officer, the RegionalDirector of CSC, to obtain those documents from the CSC

    Regional Office. Rubenecia did not avail himself of that

    opportunity and he cannot now be heard to complain that

    he was not given such documents. At all events, as already

    noted, he sent a formal letter-answer to Chairman Sto.

    Tomas controverting the charges against him and

    submitted voluminous documents in support of his claim

    of innocence and prayed for dismissal of the Formal

    Charge. This letter-answer constitutes proof that he did

    have notice of the accusations against him and was in fact

    able to present his own defense.

    Petitioner's answer to the Formal Charge was consideredby the Investigating Officer. This Officer, however,

    concluded in his report that "the evidence presented by

    respondent [Rubenecia] could not outweigh that of the

    prosecution as contained in the records. 8

    Finally, the motion for reconsideration filed by Rubenecia

    before the Commission cured whatever defect might have

    existed in respect of alleged denial of procedural due

    process. 9 Denial of due process cannot be successfully

    invoked by a party who has had the opportunity to be

    heard on his motion for reconsideration. 10 In the instant

    case, petitioner was heard not only in respect of his motion

    for reconsideration; he was also in fact affordedreasonable opportunity to present his case before decision

    was rendered by the Commission finding him guilty.

    Rubenecia also claims that the Commission had erred in

    disregarding the "overwhelming evidence" in his favor.

    The settled rule in our jurisdiction is that the findings of

    fact of an administrative agency must be respected, so long

    as such findings of fact are supported by substantial

    evidence, even if such evidence might not be

    overwhelming or even preponderant. It is not the task of

    an appellate court, like this Court, to weigh once more the

    evidence submitted before the administrative body and to

    substitute its own judgment for that of the administrativeagency in respect of sufficiency of evidence. 11 In the

    present case, in any event, after examination of the record

    of this case, we conclude that the decision of the Civil

    Service Commission finding Rubenecia guilty of the

    administrative charges prepared against him, is supported

    by substantial evidence.

    In Resolution No. 94-0533, the Commission drew the

    following conclusions in respect of the charges against

    petitioner Rubenecia:

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    I. VIOLATION OF CIVIL SERVICE RULES

    AND REGULATIONS

    The records show that Rubenecia

    committed the said offense. He himself

    admitted that he did not accomplish his

    DTR but this was upon the suggestion of

    the Administrative Officer. Rubenecia

    cannot use as an excuse the alleged

    suggestion of an Administrative Officer.As the principal of a national high School,

    he is expected to know the basic civil

    service law, rules, and regulations.

    II DISHONESTY

    The Commission finds Rubenecia liable.

    He was charged for misrepresenting that

    he was on "Official Travel" to Baguio City

    to attend a three-week seminar and

    making it appear in his CSC Form No. 7

    for the month of October 1988 that the

    has a perfect attendance for that month.Rubenecia in order to rebut the same

    simply reiterated previous allegation that

    he attended the SEDP Training in Baguio

    City during the questioned months

    without even an attempt on his part to

    adduce evidence documentary or

    testimonial that would attest to the truth

    of his allegation that he was indeed in

    Baguio during those weeks for training

    purposes. A mere allegation cannot

    obviously prevail over a more direct and

    positive statement of Celedonio Layon,

    School Division Superintendent, Divisionof Northern Samar, when the latter

    certified that he had no official knowledge

    of the alleged "official travel" of

    Rubenecia. Moreover, verification with

    the Bureau of Secondary Schools reveals

    that no training seminar for school

    principal was conducted by DECS during

    that time. It was also proven by records

    that he caused one Mrs. Cecilia vestra to

    render service as Secondary School

    Teacher from January 19, 1990 to August

    30, 1991 without any duly issued

    appointment by the appointing authority.

    III. NEPOTISM

    With respect to the charge of Nepotism,

    Rubenecia alleged that he is not the

    appointing authority with regard to the

    appointment of his brother-in-law as

    Utilityman but merely a recommending

    authority. With this statement, the

    Commission finds Rubenecia guilty. It

    should be noted that under the provision

    of Sec. 59, of the 1987 Administrative

    Code, the recommending authority is also

    prohibited from recommending the

    appointment to a non-teaching position of

    his relatives within the prohibited degree.

    IV. OPPRESSION

    Rubenecia is also guilty of Oppression. He

    did not give on time the money benefitsdue to Ms. Leah Rebadulla and Mr.

    Rolando Tafalla, both Secondary Teachers

    of CNHS, specifically their salary

    differentials for July to December 1987,

    their salaries for the month of May and

    half of June 1988; their proportional

    vacation salaries for the semester of

    1987-1988, and the salary of Mr. Tafalla

    for the month of June, 1987. Rubenecia

    did not even attempt to present

    countervailing evidence. Without being

    specifically denied, they are deemed

    admitted by Rubenecia.

    V INSUBORDINATION

    He is not liable for Insubordination

    arising from his alleged refusal to obey

    the "Detail Order" by filing a sick leave

    and vacation leave successively. The

    records show that the two applications

    for leave filed by Rubenecia were duly

    approved by proper official, hence it

    cannot be considered an act of

    Insubordination on the part of Rubenecia

    when he incurred absences based on anapproved application for leave of absence

    Rubenecia is therefore found guilty of

    Dishonesty, Nepotism, Oppression and

    Violations of Civil Service Rules and

    Regulations.

    WHEREFORE, foregoing premises

    considered, the Commission hereby

    resolves to find Ruble Rubenecia guilty of

    Dishonesty, Nepotism, Oppression and

    Violation of Civil Service Rules andRagulations. Accordingly, he is meted, out

    the penalty of dismissal from the

    service. 12

    We find no basis for overturning the above

    conclusions as the product merely of arbitrary

    whims and caprice or of bad faith and malice.

    We conclude that petitioner Rubenecia has failed to show

    grave abuse of discretion or any act without or in excess of

    jurisdiction on the part of public respondent Commission

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    in issuing its Resolution No. 93-2387 dated 29 June 1993

    and Resolution No. 94-0533 dated 25 January 1994.

    WHEREFORE, for all the foregoing, the Petition

    for Certiorari is hereby DISMISSED for lack of merit.

    SO ORDERED.

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    G.R. No. 112309 July 28, 1994

    NAPOLEON V. FERNANDO, ANDRES DIZON, TOMAS F.

    FALCONITIN and ADAP, Mediator Arbiters, National

    Capital Region, Department of Labor and

    Employment, petitioners,

    vs.

    HON. PATRICIA STO. TOMAS, in her capacity as

    Chairman, Civil Service Commission; RAMON P.

    ERENETA, JR. and THELMA P. GAMINDE, in theircapacities as Commissioners of the Civil Service

    Commission; and HON. MA. NIEVES R. CONFESOR, in

    her capacity as Secretary, Department of Labor and

    Employment, respondents.

    Rodrigo D. Sta. Ana for petitioners.

    The Solicitor General for public respondents.

    R E S O L U T I O N

    REGALADO,J.:

    The present petition for certiorari seeks to annul: (a)

    Resolution No. 93-4480 1of the Civil Service Commission,

    dated October 12, 1993, which declared the reassignment

    of petitioners valid and legal; (b) the Order, dated July 26,

    1993, 2of the Secretary of Labor, Hon. Ma. Nieves R.

    Confesor, placing petitioners under preventive suspension

    for ninety (90) days pending investigation of the charge

    against them for gross insubordination; and (c) the Order,

    dated October 25, 1993, 3of the said Secretary of Labor

    finding petitioners guilty of two counts of grossinsubordination and accordingly suspending them for one

    (1) year.

    Petitioners were appointed as Mediator Arbiters in the

    National Capital Region and, as such, were discharging

    their duties as hearing officers when respondent Labor

    Secretary Confessor issued on May 26, 1993 Memorandum

    Order No. 4 4reassigning several med-arbiters, including

    herein petitioners, which reads as follows:

    In the interest of the service and in order

    to expedite the resolution of inter-union

    and intra-union cases, the followingassignment of

    Med-Arbiters is hereby being made

    effective immediately:

    Appeals and Review Unit, OS:

    A

    n

    d

    r

    e

    Bureau of Labor Relations:

    Paterno Adap

    National Capital Region

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    i

    g

    o

    n

    A

    n

    g

    e

    li

    T

    u

    y

    a

    y

    Region IV:

    Anastacio Bactin

    xxx xxx xxx

    Med-Arbiters Brigida Fadrigon, Angeli Tuyay and

    Anastacio Bactin promptly complied with the

    memorandum order. However, petitioners, in a letter

    dated June 7, 1993, 5sought the reconsideration and recall

    of said memorandum order on the ground that their

    reassignments were made without their consent, which

    was accordingly tantamount to removal without just cause.

    On June 23, 1993, respondent Secretary of Labor issued

    another Memorandum 6declaring and clarifying that

    Memorandum Order No. 4 contemplates, not a transfer as

    erroneously alleged, but a mere reassignment wherein the

    consent of petitioners is not required, and ordering

    petitioners to report to their new assignments and to turn

    over all records of cases and other documents in their

    possession.

    Petitioners, however, refused to comply and instead wrote

    another letter, dated June 28, 1993, 7seeking the

    reconsideration of Memorandum Order No. 4 and the

    Memorandum of June 23, 1993, on the ground that the

    same were issued in violation of their rights to security of

    tenure and due process of law.

    Acting on petitioners' letter, respondent Secretary issued

    another Memorandum, dated July 7, 1993, 8denying their

    request and directing them to show cause why they should

    not be administratively charged for gross insubordination.

    On July 12, 1993, petitioners filed an appeal 9with the

    Merit System and Protection Board (MSPB) of the Civil

    Service Commission (CSC), and a supplemental

    appeal 10dated July 19, 1993.

    On July 15, 1993, petitioners submitted their explanation

    in compliance with the Memorandum of July 7, 1993,

    arguing that they could not accept their reassignment

    considering that the same is unconstitutional, illegal and

    without valid cause; that quasi-judicial officers may not be

    transferred or reassigned except on grounds provided by

    law; and that the law provides that pending their appeal to

    the Civil Service Commission, their transfer or

    reassignment should be held in abeyance.

    On July 26, 1993, petitioners were formally charged with

    gross insubordination and, pending investigation, were

    placed under preventive suspension for ninety (90) days.

    On October 12, 1993, the CSC issued its questioned

    resolution finding the reassignment of petitioners valid

    and legal and, consequently, dismissed their appeal for

    lack of merit.

    On October 25, 1993, respondent Secretary issued another

    Order finding petitioners guilty of two counts of gross

    insubordination and accordingly suspending them from

    the service for one (1) year.

    Hence, this petition assailing the foregoing resolution and

    orders.

    Petitioners first contend that the CSC has no jurisdiction to

    review on appeal the aforestated Memorandum Order No.

    4 as the same is vested in the MSPB pursuant to Section 13

    Book V of Executive Order No. 292 (Administrative Code of

    1987). There is no merit in the argument.

    Resolution No. 93-2387 11of the CSC, which took effect on

    July 1, 1993, declared the abolition of the MSPB in order tostreamline the operations of the CSC, so as to achieve a

    speedier delivery of administrative justice and economical

    operation without impairing due process and the

    substantive rights of the parties in administrative cases.

    Henceforth, decisions in administrative cases involving

    officials and employees of the civil service appealable to

    the Commission, including personnel actions, shall be

    appealed directly to the Commission and not to the MSPB,

    and those cases which have been appealed or brought

    directly to the MSPB shall be elevated to the Commission

    for final resolution. In the present case, petitioner's appeal

    was filed only on July 12, 1993 when Resolution No. 93-

    2387 was already in effect. Perforce, their appeal wasconsidered filed before the CSC.

    Petitioners claim that there was malice, bad faith, undue

    influence and partiality in the issuance of the order for

    reassignment and its affirmance by the CSC. They aver that

    there was undue influence exerted by respondent

    Secretary and that the CSC acted with partiality because

    respondent Secretary and CSC Chairman Sto. Tomas are

    personal friends, aside from the fact that during the

    pendency of their appeal with the CSC, the latter issued

    legal opinions through its Director for Legal Affairs

    concerning the very issues involved in the appeal even

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    before the same could be officially resolved. Furthermore,

    petitioner Fernando specifically asserts that the

    reassignment was actually in retaliation for the

    independent stance he has taken in Case No. OD-M-9301-

    028 (APSOTEU vs. EEI) pending before him wherein he

    ordered the cancellation of the certificate of registration of

    APSOTEU. These allegations of petitioners should be

    considered as mere speculations and conjectures, no

    substantial evidence having been presented in support

    thereof.

    The reassignment of petitioners was made "in the interest

    of the service and in order to expedite the resolution of

    inter-union and intra-union cases." That the order was

    issued for this purpose is even presumed under Civil

    Service rules where there is no proof of harassment,

    coercion, intimidation, or other personal reasons therefor.

    Additionally, public respondents have in their favor the

    presumption of regularity in the performance of official

    duties which petitioners failed to rebut when they did not

    present evidence to prove partiality, malice and bad faith.

    Bad faith can never be presumed; it must be proved byclear and convincing evidence. No such evidence exists in

    the case at bar. The circumstances attending the issuance

    of Memorandum Order No. 4 do not in any way reveal any

    malicious intent on the part of respondent Secretary. On

    the contrary, we consider her actions as a valid exercise of

    her power and authority as department head to take and

    enforce personnel actions.

    It is likewise argued that the reassignment of petitioners is

    tantamount to their constructive dismissal because it was

    effected without their consent. In the case ofBentain vs.

    Court of Appeals, 12we categorically held that a

    reassignment in good faith and in the interest of thegovernment service is permissible and valid even without

    the employee's prior consent.

    The reassignment is also challenged as being illegal

    because it involves a reduction in rank and status, and it

    violates the right to security of tenure and to due process

    of law. Petitioners contend that with the reassignment,

    their functions were changed from those of a hearing

    officer to the drafting of decisions appealed to the

    Secretary. In their view, they were in effect demoted.

    A demotion, under Section 11, Rule VII of the Omnibus

    Rules Implementing Book V of Executive Order No. 292, is

    defined as the movement from one position to another

    involving the issuance of an appointment with diminution

    in duties, responsibilities, status or rank which may or may

    not involve reduction in salary. On the other hand, Section

    10 of the same rule defines a reassignment as the

    movement of an employee from one organizational unit to

    another in the same department or agency which does not

    involve a reduction in rank, status, or salary and does not

    require the issuance of an appointment. A demotion,

    therefore, involves the issuance of an appointment.

    In the case at bar, it is clear and undisputed that no new

    appointments were issued to herein petitioners. Hence, it

    is incorrect for them to claim that they were demoted.

    Moreover, petitioners failed to sufficiently establish that

    there was a reduction in their salary. They would want to

    suggest that there was a diminution in rank in the sense

    that their present assignment as drafters of decisions on

    appeal to the Secretary are subject to review by higher

    authority, whereas in their former assignment as hearing

    officers, they themselves render judgment. Petitionersseem to forget that the decisions of hearing officers are

    also subject to review by the National Labor Relations

    Commission. Thus unmasked, their argument has

    definitely no leg to stand on.

    Petitioners were appointed as Mediator Arbiters in the

    National Capital Region. They were not, however,

    appointed to a specific station or particular unit of the

    Department of Labor in the National Capital Region

    (DOLE-NCR). Consequently, they can always be reassigned

    from one organizational unit to another of the same agency

    where, in the opinion of respondent Secretary, their

    services may be used more effectively. As such they canneither claim a vested right to the station to which they

    were assigned nor to security of tenure thereat. As

    correctly observed by the Solicitor General, petitioners'

    reassignment is not a transfer for they were not removed

    from their position as med-arbiters. They were not given

    new appointments to new positions. It indubitably follows,

    therefore, that Memorandum Order No. 4 ordering their

    reassignment in the interest of the service is legally in

    order.

    Whatever alleged procedural infirmity may have rendered

    defective the issuance of Memorandum Order No. 4 has

    been cured when petitioners filed two motions forreconsideration seeking to recall the same. The two

    motions were duly considered, discussed and resolved by

    respondent Secretary. Petitioners were thereby afforded

    full opportunity to present their arguments against the

    issuance of said order.

    Finally, we do not deem it appropriate to rule on the

    merits of the order issued on July 26, 1993 by respondent

    Secretary preventively suspending petitioners for ninety

    (90) days, as well as her subsequent order dated October

    25, 1993 finding petitioners guilty of insubordination and

    imposing on them the penalty of suspension of one (1)

    year. Evidently, herein petitioners, in asking us to resolvethe issues thereon in their present recourse, have

    overlooked or deliberately ignored the fact that the same

    are clearly dismissible for non-exhaustion of

    administrative remedies.

    On the first aspect, petitioners allowed the 90-day period

    ofpreventive suspension to lapse without appealing from

    the Order of July 26, 1993. In fact, the investigation which

    necessitated such suspension has long since been

    concluded and thereafter resulted in the condemnatory

    Order of October 25, 1993. Hence, they are now clearly

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    estopped from invoking the certiorari jurisdiction of this

    Court in a belated attempt to seek redress from the first

    Order.

    Secondly, as stated earlier, the Order dated October 25,

    1993 imposing a punitive suspension of one year on herein

    petitioners cannot be the proper subject of a petition

    for certiorari for their failure to exhaust administrative

    remedies. Presidential Decree No. 807 and Executive Order

    No. 292 explicitly provide that administrative disciplinarycases involving the imposition of a penalty of suspension

    for more than thirty (30) days are appealable to the Civil

    Service Commission. 13Not having fully exhausted the

    remedy available to them, petitioners cannot resort to

    their present judicial action which is both premature at

    this juncture and proscribed by Rule 65 of the Rules of

    Court. Neither do we find any of the exceptions to the

    doctrine of exhaustion of administrative remedies which

    could be applicable to the instant case, nor have

    petitioners essayed any submission on that score.

    WHEREFORE, no jurisdictional error or any grave abuse of

    discretion having been shown to have flawed or taintedthe impugned resolution of respondent Chairman of the

    Civil Service Commission or the challenged orders of

    respondent Secretary of Labor, the present petition

    for certiorari is hereby DISMISSED.

    SO ORDERED.

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    G.R. No. 159940 February 16, 2005

    OFFICE OF THE OMBUDSMAN, petitioner,

    vs.

    CIVIL SERVICE COMMISSION, Respondent.

    D E C I S I O N

    CARPIO-MORALES,J.:

    Before this Court is a petition for certiorari under Rule 65

    of the 1997 Revised Rules of Court seeking to set aside and

    nullify Resolution No. 030919 of the Civil Service

    Commission (CSC) dated August 28, 2003.

    The antecedents of the case are as follows:

    By letter1dated March 7, 1994 addressed to then

    Ombudsman Conrado M. Vasquez, the CSC approved the

    Qualification Standards for several positions in the Office

    of the Ombudsman (petitioner) including that for Graft

    Investigation Officer III. The Qualification Standards forsaid position are:

    EDUCATION: Bachelor of Laws

    EXPERIENCE: 5 years of experience in the practice of law,

    counseling, investigation/ prosecution of cases, hearings of

    administrative/ criminal cases, legal research or other

    related work.

    TRAINING: 24 hours of relevant training

    ELIGIBILITY: RA 1080 (Bar)

    The Career Executive Service Board (CESB) subsequently

    advised the Ombudsman, by letter of May 29, 1996,2that

    pursuant to CSC Memorandum Circular No. 21, s.1994, the

    position of Graft Investigation Officer III, among other

    positions in petitioner therein mentioned, was classified as

    a Career Executive Service (CES) position, hence, governed

    by the rules of the CES pertaining to eligibility,

    appointment to CES ranks, and performance evaluation,

    among other things.1awphi1.nt

    On September 29, 1999, the members of the Constitutional

    Fiscal Autonomy Group (CFAG), namely: the Commissionon Elections (COMELEC), CSC, Commission on Audit (COA),

    Commission on Human Rights (CHR), petitioner and this

    Court adopted Joint Resolution No. 623reading:

    JOINT RESOLUTION NO. 62

    WHEREAS, the independence of the members of the

    Constitutional Fiscal Autonomy Group (CFAG) is

    guaranteed by the Constitution;

    WHEREAS, the Constitution has several provisions that

    guarantee and protect such independence, among which

    are Sections 4 and 5 of Article IX, A thereof, which

    respectively grant them Fiscal Autonomy and authorize

    them to appoint their own officials and employees in

    accordance with law;

    WHEREAS, Section 7(3), Title I, Book V of the

    Administrative Code of 1987 enumerates exclusively

    and restrictively the specific positions under theCareer Executive Service, all the holders of which are

    appointed by the President and are required to have

    CES eligibility;

    WHEREAS, in case of Home Insurance Guaranty

    Corporation vs. Civil Service Commission and Daniel Cruz,

    G.R. No. 95450, dated 19 March 1993, the Supreme Court

    nullified the classification by the CSC of the position of

    Corporate Vice President as belonging to the third level of

    the Career Executive Services;

    WHEREAS, the Court declared in the above cited case that

    said position is not among those enumerated by law asfalling under the third level, nor one of those identified by

    the CES Board as equivalent rank to those listed by law,

    nor was the incumbent appointed by the President;

    WHEREAS, in the case of Sixto Brillantes, Jr. vs. Haydee T.

    Yorac, G.R. No. 93867, dated 18 December 1990, the

    Supreme Court ruled that "Article IX-A, Sec. 1 of the

    Constitution expressly describes all Constitutional

    Commissions as Independent. Although essentiallyexecutive in nature, they are not under the control of the

    President of the Philippines in the discharge of their

    respective functions."

    WHEREAS, only the Chairmen and Commissioners of the

    Constitutional Commissions, the Commission on Human

    Rights, Justices and Judges, as well as the Ombudsman and

    his Deputies, are appointed by the President;

    WHEREAS, the Constitutional Commissions, the

    Supreme Court, the Commission on Human Rights, and

    the Office of the Ombudsman are empowered to

    appoint officials and employees to positions belonging

    to first level up to third level of their respective

    agencies, and that they are notpresidential

    appointees;

    WHEREAS, Section 22 par. 1, Chapter 5, Subtitle A, Title I,

    Book V, of the Administrative Code of 1987, provides in

    part that "[t]he degree of qualifications of an officer or

    employee shall be determined by the appointing authority

    on the basis of the qualification standard for the particular

    positions[,]" and par. 2 thereof provides that [t]he

    establishment, administration and maintenance of

    qualification standards shall be the responsibility of the

    department or agency, with the assistance and approval of

    the Civil Service Commission;"

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    NOW, THEREFORE, the CFAG jointly resolves:

    1. Thatall third level positions under each

    member agency are career positions;

    2. That, where appropriate and proper, taking into

    consideration the organizational set-up of the

    agency concerned, the overall screening and

    selection process for these positions shall be a

    collegial undertaking, provided that theappointment paper shall be signed only by the

    Head of the member agency;

    3. That all career third level positions

    identified and classified by each of the

    member agency arenotembraced within the

    Career Executive Service (CES) and as such

    shall notrequire Career Service Executive

    Eligibility (CSEE) or Career Executive Service

    (CES) Eligibility for purposes of permanent

    appointment;

    4. That should CFAG member agencies develop

    their respective eligibility requirements for the

    third level positions, the test of fitness shall be

    jointly undertaken by the CFAG member agencies

    in coordination with the CSC;

    5. That in case the test of fitness shall be in written

    form, the CSC shall prepare the questionnaires and

    conduct the examinations designed to ascertain

    the general aptitude of the examinees while the

    member agency shall likewise prepare the

    questionnaires and conduct in conjunction with

    the CSC, the examinations to determine the

    technical capabilities and expertise of the

    examinees suited to its functions;

    6. That the resulting eligibility acquired after

    passing the aforementioned examination shall

    appropriate for permanent appointment only to

    third level positions in the CFAG member

    agencies;

    7. That the member agencies shall regularly

    coordinate with the CSC for the conferment of the

    desired eligibility in accordance with this

    Resolution; However this is without prejudice tothose incumbents who wish to take the Career

    Service Executive Examination given by the Civil

    Service Commission or the Management Aptitude

    Test Battery given by the Career Executive Service

    Board. (Underscoring in the original omitted;

    emphasis, italics and underscoring

    supplied)1awphi1.nt

    On July 31, 2002, Melchor Arthur H. Carandang, Paul Elmer

    M. Clemente and Jose Tereso U. de Jesus, Jr. were

    appointed Graft Investigation Officers III of petitioner by

    the Ombudsman. The CSC approved the appointments on

    the condition that for the appointees to acquire security of

    tenure, they must obtain CES or Civil Service Executive

    (CSE) eligibility which is governed by the CESB.

    By January 2, 2003 letter to the CSC, the Ombudsman

    requested for the change of status, from temporary to

    permanent, of the appointments of Carandang, Clemente

    and De Jesus effective December 18, 2002. Invoking the

    Court of Appeals ruling in Khem N. Inok v. Hon. CorazonAlma de Leon, et al. (CA-G.R. SP No. 49699), "as affirmed by

    the Supreme Court," the Ombudsman wrote:

    x x x

    In the Decision of the Court of Appeals dated January

    28, 2001 on CA G.R. SP No. 49699 as affirmed by

    the Supreme Court with finality on July 2, 2002 in G.R.

    No. 148782 entitled Khem N. Inok vs. Civil Service

    Commission, it stated in said Decision thatthe letter

    and intent of the law is to circumscribe the Career

    Executive Service (CES) to CES positions in the

    Executive Branch of Government, and that theJudiciary, the Constitutional Commissions, the Office of

    the Ombudsman and the Commission on Human

    Rights are notcovered by the CES governed by the

    Career Executive Service Board. Said Decision thereby

    effectively granted the petition of Mr. Inok for security

    of tenure as Director II of the Commission on Audit

    despite the absence of a CES eligibility.4(Emphasis and

    italics supplied)

    The relevant portions of the cited CA decision read:

    Presidential Decree No. 807, otherwise known as the Civil

    Service Decree of the Philippines, provides the following

    levels of position in the career service, viz:

    SEC. 7. Classes of Positions in the Career Service.

    (a) Classes of positions in the career service

    appointment to which requires examinations shall

    be grouped into three major levels as follows:

    (1) The first level shall include clerical,

    trades, crafts, and custodial service

    positions which involve non-professional

    or subprofessional work in a non-supervisory or supervisory capacity

    requiring less than four years of collegiate

    studies;

    (2) The second level shall include

    professional, technical, and scientific

    positions which involve professional;

    technical, or scientific work in a non-

    supervisory or supervisory capacity

    requiring at least four years of college

    work up to Division Chief level; and

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    (3) The third level shall cover positions

    in the Career Executive Service.

    (b) Except as herein otherwise provided, entrance

    to the first two levels shall be through competitive

    examinations, which shall be open to those inside

    and outside the service who meet the minimum

    qualification requirements. Entrance to a higher

    level does not require previous qualification in

    a lower level. Entrance to the third level shallbe prescribed by the Career Executive Service

    Board.

    (c) Within the same level, no civil service

    examination shall be required for promotion to a

    higher position in one or more related

    occupational groups. A candidate for promotion

    should however, have previously passed the

    examination for that level.

    The last sentence of Section 7(b) of P.D. No. 807 is similar

    to the provision of P.D. No. 1, Article IV, par. IV, par. 5(a), to

    wit:

    (a) Membership. A person who meets such managerial

    experience and other requirements and passes such

    examinations as may be prescribed by the Board shall be

    included in the register of career service eligibles and,

    upon appointment to an appropriate class in the Career

    Executive Service, become an active member in the

    Service. In exceptional cases, the Board may give

    unassembled examinations for eligibility. The area of

    recruitment shall be government-wide, with provisions to

    allow qualified or outstanding men from outside the

    government to enter the service.

    Thus, it could be gleaned from P.D. No. 1 of the Career

    Executive Service (CES), which has been [d]rafted into

    Executive Order No. 292, that the letter and intent of the

    law is to circumscribe the Career Executive Service to CES

    positions in the Executive Branch of government. Verily,

    consistent with the principle of the ejusdem generisin legal

    hermeneutics, the phrase "other officers of equivalent

    rank" could encompass only such persons occupying

    positions in the Executive Department. In the

    contemporaneous case of the The Secretary of Justice

    Serafin R. Cuevas, et. al. vs. Atty. Josefina G. Bacal, the

    Supreme Court lent credence to this postulate, viz:

    Security of tenure in the career executive service is

    acquired with respect to rank and not to position. The

    guarantee of security of tenure to members of the

    CES does not extend to the particular positions to which

    they may be appointed a concept which is applicable onlyto frst and second level employees in the civil service

    butto the rank to which they are appointed by the

    President. x x x

    Prescinding from the foregoing disquisition, We are loathe

    to stamp our imprimaturto the Commissions stance that

    the "positions of Director III, including that of the COA,

    belong to the third level. Hence, appointees thereto should

    possess the x x x Career Executive Service (CES) Eligibility

    in accordance with the Qualification Standard of the said

    position."

    Ineluctably, the judiciary, the Constitutional

    Commissions, the Office of the Ombudsman, and the

    Commission on Human Rights are not covered by the CES

    governed by the CESB. The power of these constitutionaloffices to appoint their own officers and employees is

    mainly intended to safeguard their independence, which is

    the same power of appointment of all officials and

    employees of the judiciary granted to the Supreme

    Court.l^vvphi1.netAs commented by a noted

    constitutionalist:

    The authority of the Supreme Court to appoint its own

    officials and employees is another measure intended to

    safeguard the independence of the judiciary. However, the

    Courts appointing authority must be exercised inaccordance with the Civil Service Law.

    Irrefragrably, inherent in the power to appoint is the

    power to administratively supervise the officials and

    employees in the constitutional offices in the same

    manner that the express power to appoint carries with it

    the implied power to remove the personnel appointed in

    said offices. x x x

    x x x

    Parenthetically, the power to administratively supervise is

    designed to strengthen the independence of the

    constitutional offices. A respected authority on political

    law underscored the multifarious factors that are integral

    to the independence of the constitutional offices, scilicet:

    There are several factors that preserve the independence

    of the three Commissions:

    x x x

    (3) Their appointment must be in a permanent capacity.

    (4) The Commissions enjoy their own fiscal autonomy.

    The independence of these constitutional offices serves to

    exempt their respective officials and employees from the

    coverage of the CES under the administrative authority of

    the CESB. to be sure, they are embraced by the civil service

    system. However, the administrative functions belong to

    the constitutional offices, instead of the CESB in the same

    manner that the Supreme Court administers the judiciaryscivil service.

    x x x5(Italics and emphasis in the original;

    underscoring partly in the original and partly supplied;

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    citations omitted)

    It appears that Carandang and Clemente were in the

    meantime conferred with CSE Eligibility pursuant to CSC

    Resolution No. 03-0665 dated June 6, 2003.6

    Petitioner subsequently reclassified several positions by

    Resolution No. 02-03 dated August 18, 2003 including

    Graft Investigation Officer III which was reclassified to

    Graft Investigation and Prosecution Officer III. TheOmbudsman thereupon requested the approval of the

    proposed Qualification Standards for the reclassified

    positions. With respect to the reclassified Graft

    Investigation and Prosecution Officer III position, the

    Qualification Standards were the same as those for Graft

    Investigation Officer III.

    Subsequently, the CSC, by the challenged Resolution of

    August 28, 2003, changed the status of Carandangs and

    Clementes appointments to permanent effective June 6,2003, but not with respect to De Jesus on the ground that

    he "has not met the eligibility requirements." The

    pertinent portion of the questioned Resolution reads:

    Relevant to the matter are Sections 4 and 6, Rule III and

    Rule VI, respectively, of the Omnibus Rules on

    Appointments and Other Personnel Action, which state:

    SEC. 4. Nature of Appointment. The nature of appointment

    shall be as follows:

    x x x

    i. Change of status:

    1. temporary to permanent the appointment issued to atemporary employee when he acquires the appropriate

    eligibility or becomes fully qualified for the position to

    which he is appointed.

    x x x

    SEC. 6. In cases where the appointee fully qualifies for the

    position to which he is temporarily appointed, the

    appointing authority shall no longer issue an appointment

    for change of status from temporary to permanent. Upon

    the appointees presentation of the required document/s,such change may be effected as a footnote on the

    temporary appointment issued, copy furnished the

    Commission.

    It is explicitly provided therein that the change of status

    from temporary to permanent can be effected only

    once the appointee becomes fully qualified to the

    position to which he is appointed.

    x x x

    The pronouncement of the Court of Appeals in the Inok

    case cannot be made the basis for changing the

    employment status of De Jesus. Let it be stressed that

    nowhere in the aforesaid decision states that the Office of

    the Ombudsman or the other constitutional agencies

    mentioned therein are exempt or are not covered by the

    Civil Service Law and Rules. On the contrary, the same

    decision declares that these bodies are covered by the civil

    service system. Basic is the rule that all appointments in

    the government service, particularly the career service,must be in accordance with the qualification requirements

    as laid down under existing civil service rules and

    regulations. Such policy is in line with the Commissionsmandate to professionalize the civil service. The

    requirements spelled out in the Qualification

    Standards (QS) Manual are designed to determine the

    fitness of the appointee in a certain position. These

    requirements are indispensable in order to satisfy the

    Constitutional mandate that appointment in the civil

    service shall be made according to merit and fitness.

    While it is true that constitutional agencies such as the

    Office of the Ombudsman has the authority to appoint itsofficials in accordance with law, such law does not

    necessarily imply that their appointment will not be

    subject to Civil Service Law and Rules; otherwise, these

    independent bodies will arrogate upon themselves a

    power that properly belongs to the Civil Service

    Commission. Had the intention of the framers of the

    Constitution been to isolate and grant full independence to

    Constitutional Commissions in the matter of appointments

    it would have been so provided. But that is not the case.

    the Philippine Constitution provides: "The Constitutional

    Commissions shall appoint their officials and employees

    in accordance with law" (Article IX-A, Section 4).

    Specifically, Section 6, Article XI of the Constitution statesthat "The officials, shall be appointed by the

    Ombudsman according to the Civil Service Law." And since

    all matters pertaining to appointments are within the

    realm of expertise to the CSC, all laws, rules and

    regulations it issues on appointments must be complied

    with.

    The Constitution speaks of only one civil service, to

    encompass the first, second, and third levels. It is subject

    to the same set of laws, rules and regulations in the

    manner of observing and ensuring that the merit and

    fitness principle, unless otherwise exempted therefrom by

    the Constitution or law, is the guiding factor in issuingappointments. Hence, until and unless there is a law or

    rule exempting one category of public officials from the

    test in determining merit and fitness, all levels in the

    government are deemed subject to it. Simply put, the third

    level eligibility requirement for third level officials in all

    agencies is mandatory.

    Further, let it be clarified that the ruling enunciated in Inok

    case was with regard to the authority of the Career

    Executive Service Board to prescribe and to administer the

    Career Executive Service Eligibility and it did not

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    specifically nor particularly take away the functions of the

    Civil Service Commission. This is evident from the

    aforequoted decision in the Inok case, to wit:

    The independence of these constitutional offices serves to

    exempt their respective officials and employees from the

    coverage of the CES under the administrative authority of

    the CESB. To be sure, they are embraced by the civil

    service system. However, the administrative functions

    belong to the constitutional offices, instead of the CESB inthe manner that the Supreme Court administers the

    judiciarys civil service.

    Pursuant to the QS Manual, a Graft Investigation

    Officer III position is a career service position

    requiring a Career Service Eligibility or Career Service

    Executive Eligibility. Considering that De Jesus has not

    met the eligibility requirement, the change of status of

    his appointment from temporary to permanent cannot

    be effected. As held in Achacoso vs. Macaraig, 195 SCRA

    235:

    It is settled that a permanent appointment can be issuedonly to a person who meets all the requirements for the

    position to which he is appointed, including the

    appropriate eligibility prescribed. Achacoso did not. Atbest, therefore, his appointment could be regarded only as

    temporary.

    x x x (Underscoring partly in the original and partly

    supplied; emphasis supplied)

    Hence, the present petition anchored on the following

    ground:

    THE GENERAL POWER OF RESPONDENT CIVIL SERVICE

    COMMISSION (CSC) TO ADMINISTER THE CIVIL SERVICE

    CANNOT CONSTITUTIONALLY AND VALIDLY CURTAIL

    THE SPECIFIC DISCRETIONARY POWER OF

    APPOINTMENT, INCLUDING THE GRANT OF SECURITY OF

    TENURE, BY THE OMBUDSMAN AS AN INDEPENDENT

    CONSTITUTIONAL BODY IN FAVOR OF THE LATTERSOWN OFFICIALS, AND ANY SUCH CURTAILMENT BY THE

    RESPONDENT CSC, AS IN ITS IMPUGNED RESOLUTION

    NO. 030919 DATED 26 AUGUST 2003, IS

    CONSTITUTIONALLY AND LEGALLY INFIRM.

    Petitioner contends that the CSC misrea


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