G.R. No. 225991 - St. Benedict Childhood Education Centre, Inc., and Fr. Ernesto O. Javier vs. Joy San Jose

Respondent Joy San Jose was employed as a preschool teacher at St. Benedict Childhood Education Centre, Inc. (St. Benedict) from 1986 until her dismissal in 2013.
The school was headed by its President, Fr. Ernesto O. Javier.

BBB, the father of AAA, a five-year-old pupil of San Jose, wrote to the school regarding his son's treatment by San Jose between July and August 2012.
On July 19, 2012, AAA asked San Jose's permission to go to the comfort room, which she refused. AAA ultimately escaped from class to ask for help from Manong Gomera, the school’s utility worker, to relieve himself.
On July 23, 2012, AAA again asked to go to the comfort room but was refused by San Jose and consequently wet his pants in class.
AAA's parents observed that he was unhappy and, upon inquiry, learned about the incidents involving San Jose.
On July 24, 2012, following an asthma attack and expressing fear and humiliation related to school, AAA's parents confronted San Jose, who responded arrogantly.
San Jose called AAA a "liar" in front of the class, resulting in AAA being bullied by classmates.
AAA expressed a strong desire not to return to school due to trauma from the maltreatment by his teacher.

St. Benedict served San Jose a Memorandum to Explain on August 14, 2012, to which she responded denying accusations.
On August 31, 2012, an ad-hoc committee was created by Fr. Javier to investigate the complaint.
The ad-hoc committee recommended San Jose's dismissal for serious misconduct on April 29, 2013, citing specific incidents of maltreatment and corroboration by school staff.
The school approved the recommendation and dismissed San Jose on grounds of gross misconduct and unprofessional behavior.

San Jose filed a complaint for illegal dismissal on June 5, 2013, alleging she never refused AAA and had decades of dedicated service.
The Labor Arbiter dismissed her complaint but awarded her PERAA benefits.
The National Labor Relations Commission (NLRC) affirmed dismissal, accepting AAA’s consistent testimony and emphasizing the vulnerability of preschoolers.
The Court of Appeals reversed the dismissal, acknowledging misconduct but ruling it was not grave enough for dismissal, applying compassionate justice due to her long service, and awarding separation pay, 13th month pay, and PERAA benefits.
Petitioners’ motion for reconsideration was denied by the Court of Appeals.

Petitioners sought the Supreme Court’s review, arguing San Jose’s acts amounted to serious misconduct and child abuse under applicable laws.
They contested the application of compassionate justice and sought to uphold the dismissal.
San Jose argued her acts did not warrant dismissal and highlighted her long service.

Whether the Court of Appeals erred in ruling that Joy San Jose was illegally dismissed despite evidence of maltreatment against a child.