Case Digest (G.R. No. 188269)
Facts:
Sumifru (Philippines) Corporation) v. Bernabe Baya, G.R. No. 188269, April 17, 2017, Supreme Court First Division, Perlas‑Bernabe, J., writing for the Court.Respondent Bernabe Baya filed a complaint for illegal/constructive dismissal against AMS Farming Corporation (AMSFC) and Davao Fruits Corporation (DFC) before the National Labor Relations Commission (NLRC), alleging that he was demoted from supervisory posts to rank‑and‑file duties upon his return to AMSFC on August 30, 2002, after refusing to abandon his cooperative (AMSKARBEMCO) in favor of a pro‑company association (SAFFPAI). Baya traced his employment with AMSFC to February 5, 1985, his rise to supervisory rank in 1997, secondment to DFC in 1999, and continued union/cooperative activity culminating in an agrarian‑reform transfer of land to the ARBs. Following harassment and a refusal to switch loyalty, Baya received notice that his secondment to DFC ended and was reassigned to rank‑and‑file work at AMSFC; his written request for restoration to a supervisory post was denied on September 20, 2002.
The Labor Arbiter (LA) ruled on June 30, 2003 in favor of Baya, finding constructive dismissal and ordering reinstatement or separation pay, backwages and other benefits, plus moral/exemplary damages and attorney’s fees. The NLRC reversed by Resolution dated March 10, 2004 (affirmed May 31, 2004 on reconsideration), dismissing the complaint for lack of merit on the ground that Baya’s separation resulted from involuntary cessation of operations following agrarian reform, not from unlawful acts by the employers; the NLRC only affirmed payment of 13th month pay with modification.
Baya petitioned the Court of Appeals (CA) by certiorari; the CA, in a Decision dated May 14, 2008, set aside the NLRC and reinstated the LA decision with modifications (deleting backwages, certain benefits, and exemplary damages) and ordered AMSFC and DFC to pay P278,600.05 (separation pay, 13th month, moral damages, attorney’s fees). Petitioner moved for reconsideration before the CA; the motion was denied in Resolution dated May 20, 2009.
During the CA proceedings, Sumifru (Philippines...(Subscriber-Only)
Issues:
- Did the Court of Appeals correctly find that the NLRC gravely abused its discretion in reversing the Labor Arbiter and that AMSFC and DFC constructively dismissed Baya?
- Are AMSFC and DFC liable to Baya for separation pay, moral damages, and attorney’s fees?
- Is Sumifru (Philippines) Corporation, as the surviving entity in its merger with DFC, solidarily l...(Subscriber-Only)
Ruling:
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Ratio:
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Doctrine:
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