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Voluntary arbitration in labor disputes needs mutual consent of both parties - SC

Manila Bulletin

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December 7, 2025

Labor disputes may be subjected to voluntary arbitration only if both parties give their mutual consent, the Supreme Court (SC) ruled.

- By REY G. PANALIGAN

One party’s consent is not enough if the other consistently objects, said the SC in a decision written by Senior Associate Justice Marvic M.V.F. Leonen.

Thus, the SC said the panel of voluntary arbitrators lacked authority to resolve the monetary claims of Benjie Y. Tandayag against Magsaysay Maritime Corporation and the jurisdiction is with the labor arbiter (LA).

A summary of the decision issued by the SC’s Office of the Spokesperson stated that Tandayag was hired by Magsaysay Maritime as a seafarer for one of its vessels with no collective bargaining agreement (CBA) between them.

Tandayag suffered a work-related injury onboard the vessel. He was permanently disabled.

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