Case Digest (G.R. No. 152232)
Facts:
The case involves Greg Anthony L. CaAeda as the petitioner and Philippine Airlines, Inc. (PAL) as the respondent. PAL maintained a daily petty cash fund of P250,000, which was managed by CaAeda, who was employed as a cashier. On July 9, 1996, an audit of the petty cash fund revealed a shortage of P34,338.69. Following this discovery, PAL conducted an investigation that concluded CaAeda was liable for the misappropriation of company funds. Consequently, PAL terminated CaAeda's employment effective July 29, 1996. In response to his dismissal, PAL filed a complaint for estafa and falsification against CaAeda in the City Prosecution Office of Makati City; however, this case was dismissed. Subsequently, CaAeda filed a case for illegal dismissal with a labor arbiter, which was resolved in his favor on April 14, 1998. PAL appealed this decision to the National Labor Relations Commission (NLRC), but the appeal was dismissed for lack of merit on July 22, 1999. In a motion for reco...
Case Digest (G.R. No. 152232)
Facts:
Employment and Petty Cash Fund
- Petitioner Greg Anthony L. CaAeda was employed by respondent Philippine Airlines, Inc. (PAL) as a cashier.
- PAL maintained a daily petty cash fund of P250,000, which was entrusted to CaAeda.
Audit and Shortage
- On July 9, 1996, an audit revealed a shortage of P34,338.69 in the petty cash fund under CaAeda's custody.
- PAL conducted an investigation and found CaAeda liable for misappropriating company funds.
Termination and Criminal Complaint
- CaAeda's employment was terminated effective July 29, 1996, on the grounds of loss of trust and confidence.
- PAL filed a criminal complaint for estafa and falsification against CaAeda, but the case was dismissed by the City Prosecution Office of Makati City.
Labor Case and Retrenchment
- CaAeda filed a case for illegal dismissal with the labor arbiter, which ruled in his favor on April 14, 1998.
- PAL appealed to the National Labor Relations Commission (NLRC), but the appeal was dismissed on July 22, 1999.
- PAL later informed the NLRC of its retrenchment program in June 1998, which abolished CaAeda's position due to financial losses caused by the Asian economic crisis and a pilots' strike.
Court of Appeals Decision
- PAL filed a petition for certiorari with the Court of Appeals, which partly granted the petition.
- The Court of Appeals ruled that CaAeda was validly retrenched in June 1998 and entitled to separation pay, but also awarded full backwages from the date of his termination (July 29, 1996) until his retrenchment in June 1998.
Issue:
- Whether petitioner Greg Anthony L. CaAeda was illegally dismissed on July 29, 1996.
- Whether CaAeda was validly retrenched in June 1998.
Ruling:
- (Subscriber-Only)
Ratio:
- (Subscriber-Only)