Labstan Part4 Cases
Labstan Part4 Cases
Labstan Part4 Cases
R, VS. The following day, Roberto Capili was asked to Three days after, or on August 6, 1990, private
NATIONAL LABOR RELATIONS COMMISSION, resign in a letter which reads: respondent formally filed before the NLRC
AND ROBERTO Arbitration Branch, National Capital Region a
CAPILI, RESPONDENTS. “August 2, 1990 complaint for illegal dismissal and payment of other
FIRST DIVISION Wala siyang tanggap ng utos mula sa superbisor at monetary benefits.
G.R. No. 114337, September 29, 1995 wala siyang experiensa kung papaano gamitin and
KAPUNAN, J.: "TOOL" sa pagbuhat ng salamin, sarili niyang On October 9, 1991, the Labor Arbiter rendered his
desisyon ang paggamit ng tool at may disgrasya at decision finding the termination of private
This is a petition for certiorari under Rule 65 of the nadamay pa ang isang sekretarya ng kompanya. respondent as valid and dismissing the money claim
Rules of Court seeking to annul the decision Sa araw ding ito limang (5) minuto ang nakakalipas for lack of merit. The dispositive portion of the
rendered by public respondent National Labor mula alas-singko ng hapon siya ay pumasok sa ruling reads:
Relations Commission, which reversed the decision shop na hindi naman sakop ng kanyang trabaho.
of the Labor Arbiter. Pinakialaman at kinalikot ang makina at “WHEREFORE, premises considered, the termination
nadisgrasya niya ang kanyang sariling kamay. is valid and for cause, and the money claims
Briefly, the facts of the case are as follows: Nakagastos ang kompanya ng mga sumusunod: dismissed for lack of merit.
Emergency and doctor fee P715.00 Medecines (sic) The respondent however is ordered to pay the
Petitioner Nitto Enterprises, a company engaged in and others 317.04 complainant the amount of P500.00 as financial
the sale of glass and aluminum products, hired Bibigyan siya ng kompanya ng Siyam na araw na assistance.
Roberto Capili sometime in May 1990 as an libreng sahod hanggang matanggal ang tahi ng SO ORDERED.”
apprentice machinist, molder and core maker as kanyang kamay.
evidenced by an apprenticeship agreement for a Tatanggapin niya ang sahod niyang anim na araw, Labor Arbiter Patricio P. Libo-on gave two reasons
period of six (6) months from May 28, 1990 to mula ika -30 ng Hulyo at ika-4 ng Agosto, 1990. for ruling that the dismissal of Roberto Capili was
November 28, 1990 with a daily wage rate of Ang kompanya ang magbabayad ng lahat ng gastos valid. First, private respondent who was hired as an
P66.75 which was 75% of the applicable minimum pagtanggal ng tahi ng kanyang kamay, pagkatapos apprentice violated the terms of their agreement
wage. ng siyam na araw mula ika-2 ng Agosto. when he acted with gross negligence resulting in
At around 1:00 p.m. of August 2, 1990, Roberto Sa lahat ng nakasulat sa itaas, hinihingi ng the injury not only to himself but also to his fellow
Capili who was handling a piece of glass which he kompanya ang kanyang resignasyon, kasama ng worker. Second, private respondent had shown that
was working on, accidentally hit and injured the leg kanyang confirmasyon at pag -ayon na ang lahat ng "he does not have the proper attitude in
of an office secretary who was treated at a nearby nakasulat sa itaas ay totoo. employment particularly the handling of machines
hospital. Later that same day, after office hours, ************************** without
private respondent entered a workshop within the Naiintindihan ko ang lahat ng nakasulat sa itaas, at authority and proper training."
office premises which was not his work station. ang lahat ng ito ay aking pagkakasala sa hindi
There, he operated one of the power press pagsunod sa alintuntunin ng kompanya. On July 26, 1993, the National Labor Relations
machines without authority and in the process (Sgd.) Roberto Capili Roberto Capili.” Commission issued an order reversing the decision
injured his left thumb. Petitioner spent the amount of the Labor Arbiter, the dispositive portion of which
of P1,023.04 to cover the On August 3, 1990 private respondent executed a reads:
medication of private respondent. Quitclaim and Release in favor of petitioner for and
in consideration of the sum of P1,912.79.
“WHEREFORE, the appealed decision is hereby set On April 22, 1994, a Writ of Execution was issued, Petitioner assails the NLRC's finding that private
aside. The respondent is hereby directed to which reads: respondent Roberto Capili cannot plainly be
reinstate complainant to his work last performed “NOW, THEREFORE, finding merit in [private considered an apprentice since no apprenticeship
with backwages computed from the time his wages respondent's] Motion for Issuance of the Writ, you program had yet been filed and approved at the
were withheld up to the time he is actually are hereby commanded to proceed to the premises time the agreement was executed. Petitioner
reinstated. The Arbiter of origin is hereby directed of [petitioner] Nitto Enterprises and Jovy Foster further insists that the mere signing of the
to further hear complainant's money claims and to located at No.1 74 Araneta Avenue, Portero, apprenticeship agreement already established an
dispose them on the basis of law and evidence Malabon, Metro Manila or at any other places where employer-apprentice relationship.
obtaining. SO ORDERED.” their properties are located and effect the
reinstatement of herein [private respondent] to his Petitioner's argument is erroneous.
The NLRC declared that private respondent was a work last performed or at the option of the
regular employee of petitioner by ruling thus: respondent by payroll reinstatement. The law is clear on this matter. Article 61 of the
You are also to collect the amount of P122,690.85 Labor Code provides:
“As correctly pointed out by the complainant, we representing his backwages as called for in the
cannot understand how an apprenticeship dispositive portion, and turn over such amount to “Contents of apprenticeship agreement. -
agreement filed with the Department of Labor only this Office for proper disposition.” Apprenticeship agreements, including the main
on June 7, 1990 could be validly used by the Labor rates of apprentices, shall conform to the rules
Arbiter as basis to conclude that the complainant Petitioner filed a motion for reconsideration but the issued by the Minister of Labor and Employment.
was hired by respondent as a plain `apprentice' on same was denied. Hence, the instant petition- for The period of apprenticeship shall not exceed six
May 28, 1990. Clearly, therefore, the complainant certiorari. months. Apprenticeship agreements providing for
was respondent's regular employee under Article The issues raised before us are the following: wage rates below the legal minimum wage, which
280 of the Labor Code, as early as May 28, 1990, in no case shall start below 75% per cent of the
who thus enjoyed the security of tenure guaranteed I applicable minimum wage, may be entered into
in Section 3, Article XIII of our 1987 Constitution. WHETHER OR NOT PUBLIC RESPONDENT NLRC only in accordance with apprenticeship
COMMITTED GRAVE ABUSE OF DISCRETION IN program duly approved by the Minister of
The complaint being for illegal dismissal (among HOLDING THAT PRIVATE RESPONDENT WAS NOT Labor and Employment. The Ministry shall
others) it then behooves upon respondent, pursuant AN APPRENTICE. develop standard model programs of
to Art. 277(b) and as ruled in Edwin Gesulgon vs. apprenticeship.”
NLRC, et al. (G.R. No. 90349, March 5, 1993, 3rd II
Div., Feliciano, J.) to prove that the dismissal of WHETHER OR NOT PUBLIC RESPONDENT NLRC In the case at bench, the apprenticeship agreement
complainant was for a valid cause. Absent such COMMITTED GRAVE ABUSE OF DISCRETION IN between petitioner and private respondent was
proof, we cannot but rule that the complainant was HOLDING THAT PETITIONER HAD NOT executed on May 28, 1990 allegedly employing the
illegally dismissed.” ADEQUATELY PROVEN THE EXISTENCE OF A VALID latter as an apprentice in the trade of "care
CAUSE IN TERMINATING THE SERVICE OF PRIVATE maker/molder.". On the same date, an
On January 28, 1994, Labor Arbiter Libo-on called RESPONDENT. apprenticeship program was prepared by petitioner
for a conference at which only private respondent's and submitted to the Department of Labor and
representative was present. We find no merit in the petition. Employment. However, the apprenticeship
Agreement was filed only on June 7, 1990.
Notwithstanding the absence of approval by the Hence, since the apprenticeship agreement between
Department of Labor and Employment, the petitioner and private respondent has no force and There is an abundance of cases wherein the Court
apprenticeship agreement was enforced the day it effect in the absence of a valid apprenticeship ruled that the twin requirements of due process,
was signed. program duly approved by the DOLE, private substantive and procedural, must be complied with,
respondent's assertion that he was hired not as an before valid dismissal exists. Without which, the
Based on the evidence before us, petitioner did not apprentice but as a delivery boy ("kargador" or dismissal becomes void.
comply with the requirements of the law. It is "pahinante") deserves credence. He should rightly The twin requirements of notice and hearing
mandated that apprenticeship agreements entered be considered as a regular employee of petitioner constitute the essential elements of due process.
into by the employer and apprentice shall be as defined by Article 280 of the Labor Code: This simply means that the employer shall afford
entered only in accordance with the worker ample opportunity to be heard and to
the apprenticeship program duly approved by the “ART. 280. Regular and Casual Employment. — The defend himself with the assistance of his
Minister of Labor and Employment. provisions of written agreement to the representative, if he so desires.
contrary notwithstanding and regardless of
Prior approval by the Department of Labor and the oral agreement of the parties, an Ample opportunity connotes every kind of
Employment of the proposed apprenticeship employment shall be deemed to be regular assistance that management must accord the
program is, therefore, a condition sine qua non where the employee has been engaged to employee to enable him to prepare adequately for
before an apprenticeship agreement can be validly perform activities which are usually necessary his defense
entered into. or desirable in the usual business or trade of including legal representation. As held in the case of
The act of filing the proposed apprenticeship the employer, except where the employment has Pepsi-Cola Bottling Co., Inc. v. NLRC:
program with the Department of Labor and been fixed for a specific project or undertaking the
Employment is a preliminary step towards its final completion or termination of which has been “The law requires that the employer must furnish
approval and does not instantaneously give rise to determined at the time of the engagement of the the worker sought to be dismissed with two (2)
an employer-apprentice relationship. employee or where the work or services to be written notices before termination of employee can
performed is seasonal in nature and the be legally effected: (1) notice which apprises the
Article 57 of the Labor Code provides that the State employment is for the duration of the season. employee of the particular acts or omissions for
aims to "establish a national apprenticeship An employment shall be deemed to be casual if it is which his dismissal is sought; and (2) the
program through the participation of employers, not covered by the preceding paragraph: Provided, subsequent notice which informs the employee of
workers and government and non-government That, any employee who has rendered at least one the employer's decision to dismiss him (Sec. 13,
agencies" and "to establish apprenticeship year of service, whether such service is continuous BP130; Sec. 2-6 Rule XIV, Book V, Rules and
standards for the protection of apprentices." To or broken, shall be considered a regular employee Regulations Implementing the Labor Code as
translate such objectives into existence, prior with respect to the activity in which he is employed amended). Failure to comply with the requirements
approval of the DOLE to any apprenticeship and his employment shall continue while such taints the dismissal with illegality. This procedure is
program has to be secured as a condition sine qua activity exists.” and pursuant to the constitutional mandatory; in the absence of which, any judgment
non before any such apprenticeship agreement can mandate to "protect the rights of workers and reached by management is void and inexistent
be fully enforced. The role of the DOLE in promote their welfare." (Tingson, Jr. vs. NLRC, 185 SCRA 498 [1990];
apprenticeship programs and agreements cannot be National Service Corp. vs. NLRC, 168 SCRA 122;
debased. Petitioner further argues that, there is a valid cause Ruffy vs. NLRC. 182 SCRA 365 [1990]).”
for the dismissal of private respondent.
The fact is private respondent filed a case of illegal Palad signed on 17 July 1997 an apprenticeship pay the complainant the amount of ONE THOUSAND
dismissal with the Labor Arbiter only three days agreement with petitioner. Palad received an SIX HUNDRED THIRTY-TWO PESOS (P1,632.00),
after he was made to sign a Quitclaim, a clear apprentice allowance of P138.75 daily. On 25 July representing her last salary and the amount of
indication that such resignation was not voluntary 1997, petitioner submitted its apprenticeship SEVEN THOUSAND TWO HUNDRED TWENTY EIGHT
and deliberate. program for approval to the Technical Education (P7,228.00) PESOS representing her prorated 13th
and Skills Development Authority (TESDA) of the month pay.
Private respondent averred that he was actually Department of Labor and Employment (DOLE). On All other issues are likewise dismissed. SO
employed by petitioner as a delivery boy 26 September 1997, the TESDA approved ORDERED.”
("kargador" or "pahinante"). petitioner's apprenticeship program.
He further asserted that petitioner "strong-armed" On appeal, the National Labor Relations
him into signing the aforementioned resignation According to petitioner, a performance evaluation Commission (NLRC) affirmed with modification the
letter and quitclaim without explaining to him the was conducted on 15 November 1997, where Labor Arbiter's decision, thus:
contents thereof. Petitioner made it clear to him petitioner gave Palad a rating of N.I. or "needs
that anyway, he did not have a choice. improvement" since she scored only 27.75% based “WHEREFORE, premises considered, the decision of
on a 100% performance indicator. Furthermore, the Arbiter dated 25 February 1999 is hereby
Petitioner cannot disguise the summary dismissal of according to the performance evaluation, Palad MODIFIED in that, in addition, respondents are
private respondent by orchestrating the latter's incurred numerous tardiness and absences. As a ordered to pay complainant's backwages for two (2)
alleged resignation and subsequent execution of a consequence, petitioner issued a termination notice months in the amount of P7,176.00 (P138.75 x 26
Quitclaim and Release. A judicious examination of dated 22 November 1997 to Palad, informing her of x 2 mos.). All other dispositions of the Arbiter as
both events belies any spontaneity on private her termination effective at the close of business appearing in the dispositive portion of his decision
respondent's part. hours of 28 November 1997. are AFFIRMED. SO ORDERED.”
WHEREFORE, finding no abuse of discretion
committed by public respondent National Labor Palad then filed a complaint for illegal dismissal, Upon denial of Palad's motion for reconsideration,
Relations Commission, the appealed decision is underpayment of wages, and non- payment of pro- Palad filed a special civil action for certiorari with
hereby AFFIRMED. rated 13th month pay for the year 1997. the Court of Appeals. On 12 November 2001, the
SO ORDERED. Court of Appeals rendered a decision, the
On 25 February 1999, the Labor Arbiter dismissed dispositive portion of which reads:
CENTURY CANNING CORPORATION, the complaint for lack of merit but ordered WHEREFORE, in view of the foregoing, the
PETITIONER, VS. COURT OF APPEALS AND petitioner to pay Palad her last salary and her pro- questioned decision of the NLRC is hereby SET
GLORIA C. PALAD, RESPONDENTS. rated 13th month pay. The dispositive portion of ASIDE and a new one entered, to wit:
SECOND DIVISION the Labor Arbiter's decision reads: a) finding the dismissal of petitioner to be
G.R. No. 152894, August 17, 2007 illegal;
CARPIO, J.: “WHEREFORE, premises considered, judgment is b) ordering private respondent to pay petitioner
hereby rendered declaring that the complaint for her underpayment in wages;
The Facts illegal dismissal filed by the complainant against the c) ordering private respondent to reinstate
On 15 July 1997, Century Canning Corporation respondents in the above-entitled case should be, petitioner to her former position without loss
(petitioner) hired Gloria C. Palad (Palad) as "fish as it is hereby DISMISSED for lack of merit. of seniority rights and to pay her full back-
cleaner" at petitioner's tuna and sardines factory. However, the respondents are hereby ordered to wages computed from the time
compensation was withheld from her up to 2. WHETHER THE COURT OF APPEALS minimum wage, may be entered into only in
the time of her reinstatement; COMMITTED REVERSIBLE ERROR IN accordance with apprenticeship programs duly
d) ordering private respondent to pay petitioner HOLDING THAT PETITIONER HAD NOT approved by the Minister of Labor and
attorney's fees equivalent to ten (10%) per ADEQUATELY PROVEN THE EXISTENCE OF A Employment. The Ministry shall develop standard
cent of the monetary award herein; and VALID CAUSE IN TERMINATING THE model programs of apprenticeship.”
e) ordering private respondent to pay the costs SERVICE OF PRIVATE RESPONDENT.
of the suit. The Ruling of the Court In Nitto Enterprises v. National Labor Relations
SO ORDERED.” Commission, the Court cited Article 61 of the Labor
The petition is without merit. Code and held that an apprenticeship program
The Ruling of the Court of Appeals should first be approved by the DOLE before an
Registration and Approval by the TESDA of apprentice may be hired, otherwise the person
The Court of Appeals held that the apprenticeship Apprenticeship Program Required Before hired will be considered a regular employee. The
agreement which Palad signed was not valid and Hiring of Apprentices Court held:
binding because it was executed more than two
months before the TESDA approved petitioner's The Labor Code defines an apprentice as a worker “In the case at bench, the apprenticeship
apprenticeship program. The who is covered by a written apprenticeship agreement between petitioner and private
Court of Appeals cited Nitto Enterprises v. National agreement with an employer. One of the objectives respondent was executed on May 28, 1990
Labor Relations Commission, where it was held that of Title II (Training and Employment of Special allegedly employing the latter as an apprentice in
prior approval by the DOLE of the proposed Workers) of the Labor Code is to the trade of "care maker/molder." On the same
apprenticeship program is a condition sine qua non establish apprenticeship standards for the date, an apprenticeship program was prepared by
before an apprenticeship agreement can be validly protection of apprentices. In line with this objective, petitioner and submitted to the Department of
entered into. The Court of Appeals also held that Articles 60 and 61 of the Labor Code provide: Labor and Employment. However, the
petitioner illegally dismissed Palad. The Court of apprenticeship agreement was filed only on June 7,
Appeals ruled that petitioner failed to show that “ART. 60. Employment of apprentices. --Only 1990. Notwithstanding the absence of approval by
Palad was properly apprised of the required employers in the highly technical industries the Department of Labor and Employment, the
standard of performance. The Court of Appeals may employ apprentices and only in apprenticeship agreement was enforced the day it
likewise held that Palad was not afforded due apprenticeable occupations approved by the was signed.
process because petitioner did not comply with the Minister of Labor and Employment.”
twin requirements of notice and hearing. Based on the evidence before us, petitioner did not
“ART. 61. Contents of apprenticeship agreements. comply with the requirements of the law. It is
The Issues -- Apprenticeship agreements, including the wage mandated that apprenticeship agreements
rates of apprentices, shall conform to the rules entered into by the employer and apprentice
Petitioner raises the following issues: issued by the Minister of Labor and Employment. shall be entered only in accordance with the
1. WHETHER THE COURT OF APPEALS The period of apprenticeship shall not exceed six apprenticeship program duly approved by the
COMMITTED REVERSIBLE ERROR IN months. Apprenticeship agreements providing Minister of Labor and Employment.
HOLDING THAT PRIVATE RESPONDENT WAS for wage rates below the Prior approval by the Department of Labor and
NOT AN APPRENTICE; and legal minimum wage, which in no case shall Employment of the proposed apprenticeship
start below 75 percent of the applicable program is, therefore, a condition sine qua
non before an apprenticeship agreement can apprentices. Such intent is clear under Section 4 of Thus, the apprenticeship agreement is void because
be validly entered into. RA 7796: it lacked prior approval from the TESDA.
The act of filing the proposed apprenticeship “SEC. 4. Definition of Terms. -- As used in this Act: The TESDA's approval of the employer's
program with the Department of Labor and xxx apprenticeship program is required before the
Employment is a preliminary step towards its final j) "Apprenticeship" training within employment employer is allowed to hire apprentices. Prior
approval and does not instantaneously give rise to with compulsory related theoretical instructions approval from the TESDA is necessary to ensure
an employer-apprentice relationship. involving a contract between an apprentice and that only employers in the highly technical
an employer on an approved apprenticeable industries may employ apprentices and only in
Article 57 of the Labor Code provides that the State occupation; apprenticeable occupations. Thus, under RA 7796,
aims to "establish a national apprenticeship k) "Apprentice" is a person undergoing training employers can only hire apprentices for
program through the participation of employers, for an approved apprenticeable occupation apprenticeable occupations which must be officially
workers and government and non- government during an established period assured by an endorsed by a tripartite body and approved for
agencies" and "to establish apprenticeship apprenticeship agreement; apprenticeship by the TESDA. This is to ensure the
standards for the protection of apprentices." To l) "Apprentice Agreement" is a contract wherein protection of apprentices and to obviate possible
translate such objectives into existence, prior a prospective employer binds himself to train the abuses by prospective employers who may want to
approval of the DOLE to any apprenticeship apprentice who in turn accepts the terms of take advantage of the lower wage rates for
program has to be secured as a condition sine qua training for a recognized apprenticeable apprentices and circumvent the right of the
non before any such apprenticeship agreement can occupation emphasizing the rights, duties and employees to be secure in their employment.
be fully enforced. The role of the DOLE in responsibilities of each party;
apprenticeship programs and agreements cannot be m) "Apprenticeable Occupation" is an occupation The requisite TESDA approval of the apprenticeship
debased. officially endorsed by a tripartite body and program prior to the hiring of apprentices was
Hence, since the apprenticeship agreement between approved for apprenticeship by the Authority further emphasized by the DOLE with the issuance
petitioner and private respondent has no force and [TESDA];” of Department Order No. 68-04 on 18 August 2004.
effect in the absence of a valid apprenticeship Department Order No. 68-04, which provides the
program duly approved by the DOLE, private In this case, the apprenticeship agreement was guidelines in the implementation of the
respondent's assertion that he was hired not as an entered into between the parties before petitioner Apprenticeship and Employment Program of the
apprentice but as a delivery boy ("kargador" or filed its apprenticeship program with the TESDA for government, specifically states that no enterprise
"pahinante") deserves credence. He should rightly approval. Petitioner and Palad executed the shall be allowed to hire apprentices unless its
be considered as a regular employee of petitioner apprenticeship agreement on 17 July 1997 wherein apprenticeship program is registered and
as defined by Article 280 of the Labor Code x x x.” it was stated that the training would start on 17 approved by TESDA.
July 1997 and would end approximately in
Republic Act No. 7796 (RA 7796), which created the December 1997. On 25 July 1997, petitioner Since Palad is not considered an apprentice because
TESDA, has transferred the authority over submitted for approval its apprenticeship program, the apprenticeship agreement was enforced before
apprenticeship programs from the Bureau of Local which the TESDA subsequently approved on 26 the TESDA's approval of petitioner's apprenticeship
Employment of the DOLE to the TESDA. RA 7796 September 1997. Clearly, the apprenticeship program, Palad is deemed a regular employee
emphasizes TESDA's approval of the apprenticeship agreement was enforced even before the TESDA performing the job of a "fish cleaner." Clearly, the
program as a pre-requisite for the hiring of approved petitioner's apprenticeship program. job of a "fish cleaner" is necessary in petitioner's
business as a tuna and sardines factory. Under However, the NLRC reversed the finding of the The only conclusion We can infer is that this
Article 280 of the Labor Code, an employment is Labor Arbiter on the issue of the legality of Palad's evaluation was made belatedly, specifically,
deemed regular where the employee has been termination: after the filing of the case and during the
engaged to perform activities which are usually progress thereof in the Arbitral level, as
necessary or desirable in the usual business or “As to the validity of complainant's dismissal in her shown that nothing thereon indicate that
trade of the employer. status as an apprentice, suffice to state that the complainant was notified of the results. Its
findings of the Arbiter that complainant was authenticity therefor, is a big question mark,
dismissed due to failure to meet the standards is and hence lacks any credibility. Evidence, to
Illegal Termination of Palad nebulous. What clearly appears is that complainant be admissible in administrative proceedings,
already passed the probationary status of the must at least have a modicum of authenticity.
We shall now resolve whether petitioner illegally apprenticeship agreement of 200 hours at the time This, respondents failed to comply with. As such,
dismissed Palad. she was terminated on 28 November 1997 which complainant is entitled to the payment of her wages
was already the fourth month of the apprenticeship for the
Under Article 279 of the Labor Code, an employer period of 1000 hours. As such, under the Code, she remaining two (2) months of her apprenticeship
may terminate the services of an employee for just can only be dismissed for cause, in this case, for agreement.”
causes or for authorized causes. poor efficiency of performance on the job or in the
classroom for a prolonged period despite warnings Indeed, it appears that the Labor Arbiter's
Furthermore, under Article 277(b) of the Labor duly given to the apprentice. conclusion that petitioner validly terminated Palad
Code, the employer must send the employee who is We noted that no clear and sufficient evidence was based mainly on the performance evaluation
about to be terminated, a written notice stating the exist to warrant her dismissal as an allegedly conducted by petitioner. However, Palad
causes for termination and must give the employee apprentice during the agreed period. Besides alleges that she had no knowledge of the
the opportunity to be heard and to defend himself. the absence of any written warnings given to performance evaluation conducted and that she was
Thus, to constitute valid dismissal from complainant reminding her of "poor not even informed of the result of the alleged
employment, two requisites must concur: (1) the performance," respondents' evidence in this performance evaluation. Palad also claims she did
dismissal must be for a just or authorized cause; respect consisted of an indecipherable or not receive a notice of dismissal, nor was she given
and (2) the employee must be afforded an unauthenticated xerox of the performance the chance to explain. According to petitioner, Palad
opportunity to be heard and to defend himself. evaluation allegedly conducted on did not receive the termination notice because
complainant. This is of doubtful authenticity Palad allegedly stopped reporting for work after
In this case, the Labor Arbiter held that petitioner and/or credibility, being not only incomplete being informed of the result of the evaluation.
terminated Palad for habitual absenteeism and poor in the sense that appearing thereon is a
efficiency of performance. Under Section 25, Rule signature (not that of complainant) side by Under Article 227 of the Labor Code, the employer
VI, Book II of the Implementing Rules of the Labor side with a date indicated as has the burden of proving that the termination was
Code, habitual absenteeism and poor efficiency of "1/16/98". From the looks of it, this signature for a valid or authorized cause. Petitioner failed to
performance are among the valid causes for which is close to and appertains to the typewritten substantiate its claim that Palad was terminated for
the employer may terminate the apprenticeship position of "Division/Department Head", valid reasons. In fact, the NLRC found that
agreement after the probationary period. which is below the signature of complainant's petitioner failed to prove the authenticity of the
immediate superior who made the evaluation performance evaluation which petitioner claims to
indicated as "11-15-97." have conducted on Palad, where Palad received a
performance rating of only 27.75%. Petitioner G.R. No. 75112, August 17, 1992 the late Justice Desiderio Jurado and concurred in
merely relies on the performance evaluation to GUTIERREZ, JR., J.: by Justices Jose C. Campos, Jr. and Serafin E.
prove Palad's inefficiency. It was likewise not shown Camilon. Applying Civil Code provisions, the
that petitioner ever apprised Palad of the The private respondents, heirs of the late appellate court affirmed the trial court decision
performance standards set by the company. When Pontenciano Kapunan, seek reconsideration of the which ordered the payment of the P20,000.00
the alleged valid cause for the termination of decision rendered by this Court on October 16, liability in the Zenith Insurance Corporation policy,
employment is not clearly proven, as in this case, 1990 (Filamer Christian Institute v. Court Appeals, P10,000.00 moral damages, P4,000.00 litigation
the law considers the matter a case of illegal 190 SCRA 477) reviewing the appellate court's and actual expenses, and P3,000.00 attorney's
dismissal. conclusion that there exists an employer-employee fees.
relationship between the petitioner and its co-
Furthermore, Palad was not accorded due process. defendant Funtecha. The Court ruled that the It is undisputed that Funtecha was a working
Even if petitioner did conduct a performance petitioner is not liable for the injuries caused by student, being a part-time janitor and a scholar of
evaluation on Palad, petitioner failed to warn Palad Funtecha on the grounds that the latter was not an petitioner Filamer. He was, in relation to the school,
of her alleged poor performance. In fact, Palad authorized driver for whose acts the petitioner shall an employee even if he was assigned to clean the
denies any knowledge of the performance be directly and primarily answerable, and that school premises for only two (2) hours in the
evaluation conducted and of the result thereof. Funtecha was merely a working scholar who, under morning of each school day. Having a student
Petitioner likewise admits that Palad did not receive Section 14, Rule X, Book III of the Rules and driver's license, Funtecha requested the driver,
the notice of termination because Palad allegedly Regulations Implementing the Labor Code is not Allan Masa, and was allowed, to take over the
stopped reporting for work. The records are bereft considered an employee of the petitioner. vehicle while the latter was on his way home one
of evidence to show that petitioner ever gave Palad late afternoon. It is significant to note that the place
the opportunity to explain and defend herself. The private respondents assert that the where Allan lives is also the house of his father, the
Clearly, the two requisites for a valid dismissal are circumstances obtaining in the present case call for school president, Agustin Masa. Moreover, it is also
lacking in this case. the application of Article 2180 of the Civil Code the house where Funtecha was allowed free board
since Funtecha is no doubt an employee of the while he was a student of Filamer Christian
WHEREFORE, we AFFIRM the Decision dated 12 petitioner. The private respondent maintain that Institute.
November 2001 and the Resolution dated 5 April under Article 2180 an injured party shall have
2002 of the Court of Appeals in CA-G.R. SP No. recourse against the servant as well as the Allan Masa turned over the vehicle to Funtecha only
60379. petitioner for whom, at the time of the incident, the after driving down a road, negotiating a sharp
SO ORDERED. servant was performing an act in furtherance of the dangerous curb, and viewing that the road was
interest and for the benefit of the petitioner. clear. (TSN, April 4, 1983, pp. 78-79) According to
FILAMER CHRISTIAN INSTITUTE, Funtecha allegedly did not steal the school jeep nor Allan's testimony, a fast moving truck with glaring
PETITIONER, VS. HON. INTERMEDIATE use it for a joy ride without the knowledge of the lights nearly hit them so that they had to swerve to
APPELLATE COURT, HON. ENRIQUE P. school authorities. the right to avoid a collision. Upon swerving, they
SUPLICO, IN HIS CAPACITY AS JUDGE OF THE heard a sound as if something had bumped against
REGIONAL TRIAL COURT, BRANCH XIV, ROXAS After a re-examination of the laws relevant to the the vehicle, but they did not stop to check. Actually,
CITY AND POTENCIANO KAPUNAN, SR., facts found by the trial court and the appellate the Pinoy jeep swerved towards the pedestrian,
RESPONDENTS. court, the Court reconsiders its decision. We Potenciano Kapunan who was walking in his lane in
THIRD DIVISION reinstate the Court of Appeals' decision penned by the direction against vehicular traffic, and hit him.
Allan affirmed that Funtecha followed his advise to Fieldmen's Insurance Co., Inc. 124 SCRA 618 working conditions, rest periods, and wages, is
swerve to the right. (Ibid., p. 79) At the time of the [1983]). Therefore, the Court is constrained to concerned.
incident (6:30 P.M.) in Roxas City, the jeep had conclude that the act of Funtecha in taking over the In other words, Rule X is merely a guide to the
only one functioning headlight. steering wheel was one done for and in behalf of his enforcement of the substantive law on labor. The
employer for which act the petitioner-school cannot Court, thus, makes the distinction and so holds that
Allan testified that he was the driver and at the deny any responsibility by arguing that it was done Section 14, Rule X, Book III of the Rules is not the
same time a security guard of the petitioner-school. beyond the scope of his janitorial duties. The clause decisive law in a civil suit for damages instituted by
He further said that there was no specific time for "within the scope of their assigned tasks" for an injured person during a vehicular accident
him to be off-duty and that after driving the purposes of raising the presumption of liability of an against a working student of a school and against
students home at 5:00 in the afternoon, he still had employer, includes any act done by an employee, in the school itself.
to go back to school and then drive home using the furtherance of the interests of the employer or for
same vehicle. the account of the employer at the time of the The present case does not deal with a labor dispute
infliction of the injury or damage. (Manuel Casada, on conditions of employment between an alleged
Driving the vehicle to and from the house of the 190 Va 906, 59 SE 2d 47 [1950]) Even if somehow, employee and an alleged employer. It invokes a
school president where both Allan and Funtecha the employee driving the vehicle derived some claim brought by one for damages for injury caused
reside is an act in furtherance of the interest of the benefit from the act, the existence of a presumptive by the patently negligent acts of a person, against
petitioner-school. Allan's job demands that he drive liability of the employer is determined by answering both doer-employee and his employer. Hence, the
home the school jeep so he can use it to fetch the question of whether or not the servant was at reliance on the implementing rule on labor to
students in the morning of the next school day. the time of the accident performing any act in disregard the primary liability of an employer under
furtherance of his master's business. (Kohlman v. Article 2180 of the Civil Code is misplaced. An
It is indubitable under the circumstances that the Hyland, 210 NW 643, 50 ALR 1437 [1926]; implementing rule on labor cannot be used by an
school president had knowledge that the jeep was Jameson v. Gavett, 71 P 2d 937 [1937]) employer as a shield to avoid liability under the
routinely driven home for the said purpose. substantive provisions of the Civil Code.
Moreover, it is not improbable that the school Section 14, Rule X, Book III of the Rules
president also had knowledge of Funtecha's implementing the Labor Code, on which the There is evidence to show that there exists in the
possession of a student driver's license and his petitioner anchors its defense, was promulgated by present case an extra- contractual obligation arising
desire to undergo driving lessons during the time the Secretary of Labor and Employment only for the from the negligence or reckless imprudence of a
that he was not in his classrooms. purpose of administering and enforcing the person "whose acts or omissions are imputable, by
provisions of the Labor Code on conditions of a legal fiction, to other(s) who are in a position to
In learning how to drive while taking the vehicle employment. Particularly, Rule X of Book III exercise an absolute or limited control over (him)."
home in the direction of Allan's house, Funtecha provides guidelines on the manner by which the (Bahia v. Litonjua and Leynes, 30 Phil. 624 [1915])
definitely was not having a joy ride. Funtecha was powers of the Labor Secretary shall be exercised;
not driving for the purpose of his enjoyment or for a on what records should be kept, maintained and Funtecha is an employee of petitioner Filamer. He
"frolic of his own" but ultimately, for the service for preserved; on payroll; and on the exclusion of need not have an official appointment for a driver's
which the jeep was intended by the petitioner working scholars from, and inclusion of resident position in order that the petitioner may be held
school. (See L. Battistoni v. Thomas, Can SC 144, 1 physicians in the employment coverage as far as responsible for his grossly negligent act, it being
D.L.R. 577, 80 ALR 722 [1932]; See also compliance with the substantive labor provisions on sufficient that the act of driving at the time of the
Association of Baptists for World Evangelism, Inc. v. incident was for the benefit of the petitioner. Hence,
the fact that Funtecha was not the school driver or The petitioner, thus, has an obligation to pay an act not for an independent purpose of his own
was not acting within the scope of his janitorial damages for injury arising from the unskilled but in furtherance of the business of his employer.
duties does not relieve the petitioner of the burden manner by which Funtecha drove the vehicle. A position of responsibility on the part of the
of rebutting the presumption juris tantum that there (Cangco v. Manila Railroad Co., 38 Phil. 768, 772 petitioner has thus been satisfactorily
was negligence on its part either in the selection of [1918]) In the absence of evidence that the demonstrated.
a servant or employee, or in the supervision over petitioner had exercised the diligence of a good
him. The petitioner has failed to show proof of its father of a family in the supervision of its WHEREFORE, the motion for reconsideration of the
having exercised the required diligence of a good employees, the law imposes upon it the vicarious decision dated October 16, 1990 is hereby
father of a family over its employees Funtecha and liability for acts or omissions of its employees. GRANTED. The decision of the respondent appellate
Allan. (Umali v. Bacani, 69 SCRA 263 [1976); Poblete v. court affirming the trial court decision is
Fabros, 93 SCRA 200 [1979]; Kapalaran Bus Liner REINSTATED.
The Court reiterates that supervision includes the v. Coronado, 176 SCRA 792 [1989]; Franco v. SO ORDERED.
formulation of suitable rules and regulation for the Intermediate Appellate Court, 178 SCRA 331
guidance of its employees and the issuance of [1989]; Pantranco North Express, Inc. v. Baesa, MARITES BERNARDO, ELVIRA GO DIAMANTE,
proper instructions intended for the protection of 179, SCRA 384 [1989]) The liability of the employer REBECCA E. DAVID, DAVID P. PASCUAL,
the public and persons with whom the employer has is, under Article 2180, primary and solidary. RAQUEL ESTILLER, ALBERT HALLARE, EDMUND
relations through his employees. (Bahia v. Litonjud However, the employer shall have recourse against M. CORTEZ, JOSELITO O. AGDON GEORGE P.
and Leynes, supra, at p. 628; Phoenix Construction, the negligent employee for whatever damages are LIGUTAN JR., CELSO M. YAZAR, ALEX G.
Inc. v. Intermediate Appellate Court, 148 SCRA 353 paid to the heirs of the plaintiff. CORPUZ, RONALD M. DELFIN, ROWENA M.
[1987]) TABAQUERO, CORAZON C. DELOS REYES,
It is an admitted fact that the actual driver of the ROBERT G. NOORA, MILAGROS O. LEQUIGAN,
An employer is expected to impose upon its school jeep, Allan Masa, was not made a party ADRIANA F. TATLONGHARI, IKE
employees the necessary discipline called for in the defendant in the civil case for damages. This is CABANDUCOS, COCOY NOBELLO, DORENDA
performance of any act indispensable to the quite understandable considering that as far as the CANTIMBUHAN, ROBERT MARCELO, LILIBETH
business and beneficial to their employer. injured pedestrian, plaintiff Potenciano Kapunan, Q. MARMOLEJO, JOSE E. SALES, ISABEL
was concerned, it was Funtecha who was the one MAMAUAG, VIOLETA G. MONTES, ALBINO
In the present case, the petitioner has not shown driving the vehicle and presumably was one TECSON, MELODY V. GRUELA, BERNADETH D.
that it has set forth such rules and guidelines as authorized by the school to drive. The plaintiff and AGERO, CYNTHIA DE VERA, LANI R. CORTEZ,
would prohibit any one of its employees from taking his heirs should not now be left to suffer without MA. ISABEL B. CONCEPCION, DINDO VALERIO,
control over its vehicles if one is not the official simultaneous recourse against the petitioner for the ZENAIDA MATA, ARIEL DEL PILAR, MARGARET
driver or prohibiting the driver and son of the consequent injury caused by a janitor doing a CECILIA CANOZA, THELMA SEBASTIAN, MA.
Filamer president from authorizing another driving chore for the petitioner even for a short JEANETTE CERVANTES, JEANNIE RAMIL,
employee to drive the school vehicle. Furthermore, while. For the purpose of recovering damages under ROZAIDA PASCUAL, PINKY BALOLOA,
the petitioner has failed to prove that it had the prevailing circumstances, it is enough that the ELIZABETH VENTURA, GRACE S. PARDO &
imposed sanctions or warned its employees against plaintiff and the private respondent heirs were able RICO TIMOSA, PETITIONERS VS. NATIONAL
the use of its vehicles by persons other than the to establish the existence of employer-employee LABOR RELATIONS COMMISSION & FAR EAST
driver. relationship between Funtecha and petitioner BANK AND TRUST COMPANY, RESPONDENTS.
Filamer and the fact that Funtecha was engaged in THIRD DIVISION
G.R. No. 122917, July 12, 1999 Trust Co. as Money Sorters and Counters through a WHEREAS, the EMPLOYEE is one of those
PANGANIBAN, J.: uniformly worded agreement called `Employment handicapped workers who [were] recommended for
Contract for Handicapped Workers'. (pp. 68 & 69, possible employment with the BANK;
The Magna Carta for Disabled Persons mandates Records) The full text of said agreement is quoted NOW, THEREFORE, for and in consideration of the
that qualified disabled persons be granted the same below: foregoing premises and in compliance with Article
terms and conditions of employment as qualified 80 of the Labor Code of the Philippines as amended,
able-bodied employees. Once they have attained `EMPLOYMENT CONTRACT FOR HANDICAPPED the BANK and the EMPLOYEE have entered into this
the status of regular workers, they should be WORKERS Employment Contract as follows:
accorded all the benefits granted by law, This Contract, entered into by and between: 1. The BANK agrees to employ and train the
notwithstanding written or verbal contracts to the FAR EAST BANK AND TRUST COMPANY, a universal EMPLOYEE, and the EMPLOYEE agrees to
contrary. This treatment is rooted not merely on banking corporation duly organized and existing diligently and faithfully work with the BANK,
charity or accommodation, but on justice for all. under and by virtue of the laws of the Philippines, as Money Sorter and Counter.
with business address at FEBTC Building, Muralla,
The Case Intramuros, Manila, represented herein by its 2. The EMPLOYEE shall perform among others,
Assistant Vice President, MR. FLORENDO G. the following duties and responsibilities:
Challenged in the Petition for Certiorari before us is MARANAN, (hereinafter referred to as the `BANK'); i. Sort out bills according to color;
the June 20, 1995 Decision of the National Labor - and - ii. Count each denomination per
Relations Commission (NLRC), which affirmed the ________________, ________________ years old, hundred, either manually or with the
August, 22 1994 ruling of Labor Arbiter Cornelio L. of legal age, _____________, and residing at aid of a counting machine;
Linsangan. The labor arbiter's Decision disposed as __________________ (hereinafter referred to as iii. Wrap and label bills per hundred;
follows: the (`EMPLOYEE'). iv. Put the wrapped bills into bundles;
WITNESSETH: That WHEREAS, the BANK, cognizant and
"WHEREFORE, judgment is hereby rendered of its social responsibility, realizes that there is a v. Submit bundled bills to the bank
dismissing the above- mentioned complaint for lack need to provide disabled and handicapped persons teller for verification.
of merit." gainful employment and opportunities to realize
their potentials, uplift their socio- economic well- 3. The one (1) month, after which the BANK
Also assailed is the August 4, 1995 Resolution of being and welfare and make them productive, self- shall determine whether or not he/she
the NLRC, which denied the Motion for reliant and useful citizens to enable them to fully should be allowed to finish the remaining
Reconsideration. integrate in the mainstream of society; term of this Contract.
WHEREAS, there are certain positions in the BANK
The Facts which may be filled-up by disabled and handicapped 4. The EMPLOYEE shall be entitled to an initial
persons, particularly deaf-mutes, and the BANK compensation of P118.00 per day, subject to
The facts were summarized by the NLRC in this ha[s] been approached by some civic-minded adjustment in the sole judgment of the
wise: citizens and authorized government agencies BANK, payable every 15th and end of the
[regarding] the possibility of hiring handicapped month.
"Complainants numbering 43 (p. 176, Records) are workers for these positions;
5. The regular work schedule of the EMPLOYEE
deaf-mutes who were hired on various periods from
shall be five (5) days per week, from
1988 to 1993 by respondent Far East Bank and
Mondays thru Fridays, at eight (8) hours a regulations that the Department of Labor employees were hired temporarily under [a] special
day. The EMPLOYEE may be required to and Employment may issue in connection employment arrangement which was a result of
perform overtime work as circumstance may with the employment of disabled and overtures made by some civic and political
warrant, for which overtime work he/she handicapped workers. More specifically, the personalities to the respondent Bank; that
[shall] be paid an additional compensation of EMPLOYEE hereby acknowledges that the complainant[s] were hired due to `pakiusap' which
125% of his daily rate if performed during provisions of Book Six of the Labor Code of must be considered in the light of the context of the
ordinary days and 130% if performed during the Philippines as amended, particularly on respondent Bank's corporate philosophy as well as
Saturday or [a] rest day. regulation of employment and separation its career and working environment which is to
pay are not applicable to him/her. maintain and strengthen a corps of professionals
6. The EMPLOYEE shall likewise be entitled to 9. The Employment Contract shall be for a trained and qualified officers and regular employees
the following benefits: period of six (6) months or from ____ to who are baccalaureate degree holders from
____ unless earlier terminated by the BANK excellent schools which is an unbending policy in
i. Proportionate 13th month pay based on for any just or reasonable cause. Any the hiring of regular employees; that in addition to
his basic daily wage. continuation or extension of this Contract this, training continues so that the regular
ii. Five (5) days incentive leave. shall be in writing and therefore this employee grows in the corporate ladder; that the
iii. SSS premium payment. Contract will automatically expire at the end idea of hiring handicapped workers was acceptable
of its terms unless renewed in writing by the to them only on a special arrangement basis; that it
7. The EMPLOYEE binds himself/herself to abide BANK. adopted the special program to help tide over a
[by] and comply with all the BANK Rules and group of handicapped workers such as deaf-mutes
Regulations and Policies, and to conduct IN WITNESS WHEREOF, the parties, have hereunto like the complainants who could do manual work for
himself/herself in a manner expected of all affixed their signature[s] this ____ day of the respondent Bank; that the task of counting and
employees of the BANK. _________________, ____________ at sorting of bills which was being performed by tellers
Intramuros, Manila, Philippines.' could be assigned to deaf-mutes; that the counting
8. The EMPLOYEE acknowledges the fact that and sorting of money are tellering works which
he/she had been employed under a special In 1988, two (2) deaf-mutes were hired under this were always logically and naturally part and parcel
employment program of the BANK, for which Agreement; in 1989 another two (2); in 1990, of the tellers' normal functions; that from the
reason the standard hiring requirements of nineteen (19); in 1991 six (6); in 1992, six (6) and beginning there have been no separate items in the
the BANK were not applied in his/her case. in 1993, twenty-one (21). Their employment[s] respondent Bank plantilla for sorters or counters;
Consequently, the EMPLOYEE acknowledges were renewed every six months such that by the that the tellers themselves already did the sorting
and accepts the fact that the terms and time this case arose, there were fifty-six (56) deaf- and counting chore as a regular feature and integral
conditions of the employment generally mutes who were employed by respondent under the part of their duties (p. 97, Records); that through
observed by the BANK with respect to the said employment agreement. The last one was the `pakiusap' of Arturo Borjal, the tellers were
BANK's regular employee are not applicable Thelma Malindoy who was employed in 1992 and relieved of this task of counting and sorting bills in
to the EMPLOYEE, and that therefore, the whose contract expired on July 1993. favor of deaf-mutes without creating new positions
terms and conditions of the EMPLOYEE's "Disclaiming that complainants were regular as there is no position either in the respondent or in
employment with the BANK shall be employees, respondent Far East Bank and Trust any other bank in the Philippines which deals with
governed solely and exclusively by this Company maintained that complainants who are a purely counting and sorting of bills in banking
Contract and by the applicable rules and special class of workers - the hearing impaired operations."
As earlier noted, the labor arbiter and, on appeal,
Petitioners specified when each of them was hired the NLRC ruled against herein petitioners. Hence,
and dismissed, viz: this recourse to this Court.
Issues