Title
Manila Jockey Club, Inc. vs. Trajano
Case
G.R. No. 160982
Decision Date
Jun 26, 2013
Aimee Trajano, a Manila Jockey Club teller, was dismissed for an honest error in canceling a winning bet. Courts ruled her dismissal illegal due to lack of just cause and due process, awarding her separation pay and full backwages.
A

Case Digest (G.R. No. 160982)

Facts:

  • Background of the dispute
    • Manila Jockey Club, Inc. (MJCI) employed Aimee O. Trajano (Trajano) as a selling teller of betting tickets starting November 1989.
    • On April 25, 1998, Trajano reported for work.
    • Two regular bettors gave Trajano their respective lists of bets (*rota*) and money for the bets for Race 14 at around 7:15 p.m.
    • The bettors suddenly left; Trajano entered the bets in the selling machine and segregated the tickets for pick up upon the bettors’ return.
    • Before closing time, the “requesting bettor” returned and asked Trajano to cancel one of his bets worth P2,000.00.
    • Trajano was also operating the negative machine that day and, upon the requesting bettor’s request, immediately cancelled the bet as requested.
    • Trajano gave the remaining tickets and the P2,000.00 amount pertaining to the cancelled bet to the requesting bettor.
    • After Race 14 ended, Trajano counted the bets and sold tickets and found them balanced.
    • Trajano later saw the receipt for the cancelled ticket in her drawer, but the cancelled ticket was not in the drawer.
    • Trajano thought she could have given the cancelled ticket to the requesting bettor and searched for him but could not find him.
    • Trajano remembered that there had been two bettors who earlier left their bets with her.
    • Trajano went to the “second bettor” to counter-check the serial number by showing him the receipt for the cancelled ticket.
    • The second bettor returned to Trajano and told her that it was one of his bets that had been cancelled, not the requesting bettor’s bet.
    • The cancelled bet was the same bet that won Race 14.
    • Because the bet was for a daily double, the second bettor only needed to win Race 15 to claim dividends.
    • Trajano realized her mistake, told the second bettor the cancellation was not intentional, and offered to personally pay dividends if the second bettor won Race 15.
    • The second bettor accepted and, when Race 15 ended, the second bettor lost.
    • Trajano was therefore relieved of any obligation to pay winnings.
  • Preventive suspension and termination
    • After the races, a reliever-supervisor approached Trajano and required her to submit a written explanation about the ticket cancellation incident.
    • On April 26, 1998, Trajano submitted a handwritten explanation to Atty. Joey R. Galit, Assistant Racing Supervisor.
    • Trajano continued working as a selling teller after submitting the explanation.
    • Later on April 26, 1998, Trajano received an inter-office correspondence signed by Atty. Galit placing her under preventive suspension effective April 28, 1998, for an unstated period.
    • After thirty days of suspension, Trajano reported for work but was no longer admitted.
    • Trajano learned that she had been dismissed when she read a copy of an inter-office correspondence about her termination posted in a selling station of MJCI.
  • Labor dispute and parties’ positions
    • Trajano filed a complaint for illegal dismissal against MJCI in the Department of Labor and Employment (DOLE).
    • Trajano alleged her dismissal was not based on any of the grounds enumerated under Article 282 of the Labor Code.
    • Trajano claimed that her unauthorized cancellation of a ticket had no basis because she was the negative machine operator with authority to cancel tickets as requested.
    • Trajano maintained the cancellation resulted from an honest mistake and did not amount to dishonesty.
    • Trajano alleged lack of due process because she was not aware of any justifiable cause, and she was not notified or furnished a copy of the notice of dismissal.
    • Trajano asserted that MJCI only posted copies of the notice in selling stations, which was intended to embarrass and humiliate her.
    • Trajano also claimed MJCI acted with evident bad faith and malice.
    • Trajano prayed for reinstatement to her former position without loss of seniority rights; payment of backwages until full reinstatement; and moral and exemplary damages of P180,000.00 plus attorney’s fees of 10% of the total award.
    • MJCI responded that on April 25, 1998 it received a letter from Jun Carpio, Field Officer of the Games and Amusement Board, calling attention to a complaint against Trajano by a bettor named Tito concerning cancellation of a winning ticket (Race 14).
    • MJCI claimed it acted by placing Trajano under preventive suspension after she submitted a written explanation and after a preliminary investigation.
    • MJCI alleged a clarificatory meeting was held on June 5, 1998 in the presence of MJCI Raceday Union President Miguel Altonaga.
    • MJCI asserted it terminated her services on the next day for cause due to unauthorized cancellation of ticket.
    • MJCI argued the dismissal was justified as a serious violation of company policy amounting to dishonesty.
    • MJCI invoked Article 282 of the Labor Code, specifically paragraph (a) on serious misconduct or willful disobedience and paragraph (b) on gross and habitual neglect of duty.
    • MJCI claimed Trajano’s admissions in her written explanation proved her participation in unauthorized cancellation.
    • MJCI claimed Trajano was afforded due process because she had a chance to submit written explanation and was apprised of the charges, and she was accompanied by union leaders during preliminary investigation.
    • MJCI also invoked that non-appeal of the termination decision showed MJCI and the union leaders believed in the merit of terminating her.
  • Rulings of labor tribunals and the CA
    • Labor Arbiter (April 23, 1999)
      • The Labor...(Subscriber-Only)

Issues:

  • Just cause for dismissal
    • Whether MJCI proved just cause, including whether Trajano’s act warranted dismissal based on loss of trust and confidence or other grounds under Article 282 of the Labor Code.
    • Whether the cancellation of the ticket was intentional, knowing, and purposeful such that it constituted willful breach of trust, serious misconduct, willful disobedience, or gross and habitual neglect.
  • Compliance with due process
    • Whether MJCI complied with the procedural requirements for termination based on just causes under Section 2(d), Rule I of the Implementing Rules of Book VI of the Labor Code.
    • Whether MJCI’s notice practice, including posting notic...(Subscriber-Only)

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

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