Facts:

• J' Marketing Corporation (JMC) is the petitioner; Fernando S. Iguiz is the respondent.
• Iguiz was employed as a driver in September 1995 and later promoted to collector/credit investigator at JMC's Kalibo Branch.
• On December 11, 2006, Iguiz submitted a Daily Cash Collection Report showing a shortfall of P5,811.
• JMC's Kalibo Branch Manager, Pepito P. Estrellan, required an explanation within 24 hours and suspended Iguiz.
• Iguiz claimed the shortage was due to flooding from Typhoon "Siniang" and offered to pay the amount.
• An audit revealed further discrepancies totaling P15,300 and $29 from 14 customers without official receipts.
• Estrellan issued another memorandum on February 8, 2007, asking for an explanation regarding loss of trust and confidence.
• Iguiz alleged he was not given a fair chance to defend himself during the administrative investigation.
• On March 7, 2007, JMC terminated Iguiz's employment for dishonesty and breach of trust under Article 282 of the Labor Code.
• Iguiz filed a complaint for illegal dismissal with the National Labor Relations Commission (NLRC), which was initially dismissed.
• Upon appeal, the NLRC reversed the decision, declaring the dismissal illegal and awarding various benefits to Iguiz.
• JMC's appeal to the Court of Appeals (CA) was denied, leading to the current petition for review on certiorari.

Issue:

• (Unlock)

Ruling:

• The Supreme Court denied the petition, affirming the Court of Appeals' decision that Iguiz was illegally dismi...(Unlock)

Ratio:

• The Supreme Court stated that the employer bears the burden of proof to show that dismissal was for just cause, as required by the Labor Code.
• JMC did not provide sufficient evidence to support claims of dishonesty and breach of trust against Iguiz.
• The Court noted that loss of trust must stem from a willful breach, which was not proven in this case.
• Evidence, including the audit report and cus...continue reading