Title
Supreme Court
Lagamayo vs. Culli Group, Inc.
Case
G.R. No. 227718
Decision Date
Nov 11, 2021
Employee terminated after workshop violations led to loss of trust; preventive suspension, denied benefits, upheld as just cause dismissal.

Case Digest (G.R. No. 227718)
Expanded Legal Reasoning Model

Facts:

  • Employment and Hiring
    • Cullinan Group, Inc. (CGI), a jewelry producer, employed Peter Angelo N. Lagamayo on April 2, 2007 as workshop supervisor at P16,100 basic salary, P7,900 non-tax, P500 communication allowance, 13th-month pay, and cash equivalent of unused nine sick and nine vacation leave days.
    • Rafael M. Florencio served as CGI’s President; Lagamayo reported directly to company management.
  • Alleged Infractions and Disciplinary Proceedings
    • In 2011 CGI discovered infractions in Lagamayo’s workshop—gambling, drinking, and theft of minute quantities of gold—resulting in a P533,500.00 loss.
    • February 8, 2011: petitioner placed under preventive suspension.
    • February 11, 2011: Notice to Explain accused him of breach of trust, dishonesty, improper conduct, and negligence.
    • February 18, 2011: petitioner denied charges in writing.
    • March 1, 2011: hearing found him guilty; petitioner requested to resign to keep his record clean; CGI agreed but refused separation pay.
    • March 11, 2011: petitioner submitted written resignation request, demanding unpaid wages, benefits, and separation pay.
  • Labor Complaints and Prior Rulings
    • July 11, 2011: petitioner filed Complaint for Illegal Dismissal, backwages, and separation pay in lieu of reinstatement before the Labor Arbiter (LA).
    • February 29, 2012: LA dismissed the complaint, finding no illegal dismissal.
    • July 31, 2012: NLRC affirmed the dismissal but awarded petitioner P96,000.00 for unpaid wages and benefits from March 11 to July 11, 2011; September 18, 2012: NLRC denied reconsideration.
    • Court of Appeals (CA) in CA-G.R. SP No. 127383 denied petitioner’s petition, ruling he was constructively dismissed for a just cause (loss of trust and confidence), and affirmed NLRC’s wage award.

Issues:

  • Whether petitioner was constructively dismissed from employment.
  • Whether petitioner is entitled to reinstatement and/or separation pay and backwages.

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

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