Case Digest (G.R. No. 151378)
Facts:
In JAKA Food Processing Corporation vs. Darwin Pacot et al. (G.R. No. 151378, March 28, 2005), respondents Darwin Pacot, Robert Parohinog, David Bisnar, Marlon Domingo, Rhoel Lescano and Jonathan Cagabcab were employed by petitioner JAKA Food Processing Corporation until their service was terminated on August 29, 1997 due to alleged financial losses warranting retrenchment. Petitioner did not serve the mandatory one-month written notice to the employees and the Department of Labor and Employment as required under Article 283 of the Labor Code. The respondents filed separate complaints for illegal dismissal, underpayment of wages, nonpayment of service incentive leave and 13th-month pay before the NLRC’s regional Arbitration Branch. The Labor Arbiter declared the dismissals illegal, ordered reinstatement with full backwages, service incentive leave pay and 13th-month pay, or separation pay if reinstatement was not feasible. The NLRC affirmed but on reconsideration reduced relief ...Case Digest (G.R. No. 151378)
Facts:
- Employment and Termination
- Respondents Darwin Pacot, Robert Parohinog, David Bisnar, Marlon Domingo, Rhoel Lescano and Jonathan Cagabcab were employed by JAKA Food Processing Corporation (JAKA).
- On August 29, 1997, JAKA terminated their employment citing a retrenchment program due to serious financial losses, but failed to serve the one-month written notice to the employees and the Department of Labor and Employment as required by Article 283 of the Labor Code.
- Procedural History
- Respondents filed illegal dismissal, underpayment of wages, nonpayment of service incentive leave and 13th month pay complaints with the NLRC’s regional Arbitration Branch.
- The Labor Arbiter (decision of July 30, 1998) declared the dismissal illegal, ordered reinstatement with full backwages (P339,768.00 as of July 30, 1998), service incentive leave pay (P2,775.00) and 1997 13th month pay (P19,239.96), or separation pay if reinstatement was impossible.
- The NLRC (Aug. 30, 1999) affirmed that decision in toto. Upon reconsideration (Jan. 28, 2000), it modified its ruling by setting aside backwages and service incentive leave pay awards, granting each respondent one month’s separation pay and P2,000.00 indemnity for denial of due process. A resolution dated April 28, 2000 denied further reconsideration.
- The Court of Appeals in CA-G.R. SP No. 59847 (Nov. 16, 2001) applied Serrano vs. NLRC, reversed the NLRC’s January 28, 2000 decision, and awarded respondents separation pay of one month’s salary per year of service, proportionate 13th month pay and full backwages from August 29, 1997 until finality. A January 8, 2002 resolution denied JAKA’s motion for reconsideration.
Issues:
- Whether the Court of Appeals correctly awarded full backwages.
- Whether the Court of Appeals correctly awarded separation pay.
Ruling:
- (Subscriber-Only)
Ratio:
- (Subscriber-Only)
Doctrine:
- (Subscriber-Only)