Title
EDI-Staffbuilders International, Inc. vs. National Labor Relations Commission
Case
G.R. No. 145587
Decision Date
Oct 26, 2007
Gran, an OFW, was illegally dismissed by OAB in Saudi Arabia. EDI failed to prove just cause for termination, and Gran was denied due process. SC ruled Gran entitled to backwages, invalidating his coerced quitclaim.

Case Digest (G.R. No. 145587)

Facts:

Edi-Staffbuilders International, Inc. v. National Labor Relations Commission and Eleazar S. Gran, G.R. No. 145587, October 26, 2007, Second Division, Velasco Jr., J., writing for the Court. Petitioner is EDI-Staffbuilders International, Inc. (EDI), a Philippine recruitment/placement corporation; respondents below included Eleazar S. Gran (the OFW complainant), Expertise Search International, Inc. (ESI), and Omar Ahmed Ali Bin Bechr Est. (OAB), the foreign employer; the administrative adjudication was docketed as POEA ADJ (L) 94-06-2194 before the National Labor Relations Commission (NLRC), Third Division.

Gran was recruited by EDI and processed by ESI for deployment to OAB in Riyadh as a Computer Specialist. OAB selected Gran by fax on November 29, 1993 offering SR 2,250 (USD 600) monthly; Gran signed a January 20, 1994 employment contract reflecting a USD 850 monthly salary and was deployed on February 7, 1994. After about five months, OAB terminated Gran by letter dated July 9, 1994, citing alleged non‑compliance with contract terms, pre‑qualification requirements, and insubordination (non‑submission of daily activity reports). Gran received SR 2,948 as final pay and executed a Declaration releasing OAB from further liability on July 11, 1994.

Gran filed a complaint with the NLRC (through the regional POEA docket) on July 21, 1994 for underpayment and illegal dismissal. The Labor Arbiter dismissed Gran’s complaint on February 10, 1998, finding no underpayment (relying on the POEA information sheet and contract) and validating the termination for insubordination and incompetence. Gran appealed to the NLRC; the NLRC reversed the Labor Arbiter on January 15, 1999, finding that EDI and ESI had engaged in prohibited reprocessing/misrepresentation and that Gran was not afforded due process, and ordered ESI, EDI and OAB jointly and severally to pay Gran the Philippine peso equivalent of US$16,150 for unexpired wages.

Gran filed a motion for execution; EDI opposed, arguing it had not been furnished a copy of Gran’s appeal memorandum before the NLRC and thus was deprived of due process. EDI moved for reconsideration with the NLRC, which denied the motion on September 30, 1999. EDI then filed a petition for certiorari with the Court of Appeals (CA), which denied the petition on October 18, 2000 — the CA held Gran’s failure to furnish a copy was an exc...(Pro-only)

Issues:

  • Does Gran’s failure to furnish EDI a copy of his NLRC appeal memorandum constitute a jurisdictional defect and deprivation of EDI’s right to due process warranting dismissal of the appeal?
  • Did EDI establish by substantial evidence that Gran’s termination was justifiable for incompetence?
  • Did EDI establish by substantial evidence that Gran’s termination was justifiable for insubordination or willful disobedience?
  • Was Gran afforded the requisite procedural due process prior to termination?
  • Is Gran entitled to backwages fo...(Pro-only)

Ruling:

  • (Pro-only)

Ratio:

  • (Pro-only)

Doctrine:

  • (Pro-only)

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