Facts:

• The case "Rural Bank of San Miguel (Bohol), Inc. v. National Labor Relations Commission" was decided by the Supreme Court of the Philippines on March 8, 1989.
• The petitioner was the Rural Bank of San Miguel (Bohol), Inc., while the respondents included the National Labor Relations Commission (NLRC) and former employees Teodoro Bonior, Cecilia Mendez, Nelia Quismundo, Demetria Anuta, and Primo Almedilla.
• A complaint was filed on July 19, 1982, at the Bohol Provincial Labor Office, alleging illegal dismissal, non-payment of service incentive leave pay, violations of wage orders, and non-payment of unused vacation and sick leave pay.
• The bank argued that the employees had voluntarily resigned and claimed compliance with labor laws.
• After failed conciliation attempts, the case was escalated to the Regional Arbitration Branch of the NLRC.
• On November 19, 1986, Labor Arbiter Felix G. Gaudiel ruled in favor of the private respondents, ordering the bank to pay P12,131.73 for various leave pays.
• The bank appealed, and on July 22, 1987, the NLRC upheld the vacation and sick leave award but removed the service incentive leave pay.
• The bank then filed a special civil action for certiorari with the Supreme Court, challenging the NLRC's resolution.

Issue:

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Ruling:

• The Supreme Court annulled the NLRC's resolution that granted vacation and sick leave pay to the private respondents due to insufficient evidence.
• The Court upheld the NLRC's dec...(Unlock)

Ratio:

• The Supreme Court highlighted the importance of due process and the need for thorough evidence examination before monetary awards are granted.
• The Court identified a critical error in the NLRC's awarding of full payment for vacation and sick leave without ascertaining the exact number of days...continue reading