Title
Supreme Court
Duldulao vs. Court of Appeals
Case
G.R. No. 164893
Decision Date
Mar 1, 2007
Employee transferred due to work-related complaints; transfer deemed valid as it was in good faith, not a demotion, and within management's prerogative, not constituting constructive dismissal.

Case Digest (G.R. No. 164893)
Expanded Legal Reasoning Model

Facts:

  • Employment and Appointment
    • Petitioner Constancia P. Duldulao was hired by respondent Baguio Colleges Foundation (BCF) in June 1987 as a secretary/clerk-typist.
    • She was initially assigned to the College of Law, a component of the BCF system.
  • The Complaint and Subsequent Allegations
    • In August 1996, a law student filed a complaint against petitioner for alleged irregularities in the performance of her work.
    • Despite being granted several extensions, petitioner failed to submit her answer to the complaint.
  • The Reassignment Order
    • On 1 October 1996, Dean Honorato V. Aquino notified respondent’s President, Atty. Edilberto B. Tenefrancia, about petitioner’s failure to file her answer and her admitted fraternization with students.
    • On the same day, Vice President for Administration Leonardo S. dela Cruz issued a Department Order directing petitioner to report, from 2 October 1996, at the Office of the Principals of the High School and Elementary Departments.
  • Administrative Motions and Proceedings
    • On 3 October 1996, petitioner moved for reconsideration of the Department Order and requested an additional five-day extension to file her answer.
    • Dean Aquino informed her that the matter was already elevated to the Executive Board, thus she could no longer avail herself of such relief.
    • Petitioner eventually filed her answer on 7 October 1996.
  • Internal Grievance and Investigatory Process
    • Petitioner filed a case with the BCF Grievance Committee, alleging that her transfer was “unceremonious, capricious, whimsical and arbitrary.”
    • The case was transferred to the Administrative Investigating Committee because petitioner was not a union member.
    • On 21 January 1997, the Committee found the Department Order appropriate, aimed at preventing internal controversy within the College.
    • The recommendation was approved by President Tenefrancia on 7 February 1997.
  • Fact-Finding Committee Report and Work Attendance
    • A Fact-Finding Committee was constituted at the request of several College of Law students and submitted its report on 26 May 1997.
    • The report noted that although petitioner was not guilty of the specific charges, her implementation of college policies had, at times, alienated some students.
    • Despite the Department Order, petitioner did not report for work and instead took vacation and other leaves from October 1996 to January 1997.
  • Filing of the Labor Complaint
    • On 17 February 1997, petitioner filed a complaint for constructive dismissal with the NLRC Regional Arbitration Branch-Cordillera Administrative Region.
    • She claimed that the reassignment caused her additional transportation expenses, amounted to a demotion in rank, and was tainted with procedural lapses violating her right to due process.
  • Decisions of the Labor Arbitral Institutions
    • On 29 December 1998, Executive Labor Arbiter Jesselito B. Latoja ruled in favor of petitioner by ordering her reinstatement and awarding moral, exemplary damages, and attorney’s fees.
    • On appeal, the NLRC reversed that decision; it sustained the petitioner’s transfer and dismissed the illegal dismissal claim due to lack of merit.
    • The Court of Appeals further upheld the NLRC decision, ruling that petitioner was not constructively dismissed.
  • Contentions of the Parties
    • Petitioner maintained that her transfer was a case of constructive dismissal characterized by bad faith and punitive intent, entitling her to backwages, benefits, and moral damages.
    • Respondent argued that the temporary transfer was justified on several grounds:
      • To prevent polarization among students due to the pending controversy.
      • As a response to petitioner’s failure to file her answer.
      • Based on petitioner’s admitted fraternization with students.
    • Respondent asserted that the transfer was an exercise of its legitimate management prerogative.
  • The Central Issue Presented
    • Whether the transfer or reassignment of petitioner from the College of Law to the High School and Elementary Departments amounts to constructive dismissal.
    • Whether the administrative procedures and management prerogative were properly exercised in effecting the transfer.

Issues:

  • Whether petitioner’s transfer constitutes constructive dismissal.
    • Is the reassignment tantamount to an act of demotion or an infringement of her employment rights?
  • Whether due process was violated in the manner the transfer was enforced.
    • Did the timing of the transfer—executed before the submission of her answer and during an ongoing administrative investigation—violate her right to due process?
  • Whether the reassignment was motivated by bad faith or punitive intent.
    • Can petitioner demonstrate that the transfer was a manifestation of malevolence or ill-will on the part of the respondent?
  • Whether the exercise of management prerogative justified the transfer.
    • Does the reassignment meet the criteria of being a legitimate, temporary administrative decision aimed at preventing internal discord without reducing her rank, salary, or privileges?

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

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