Title
Asia Steel Corporation vs. Workmen's Compensation Commission and Ismael Carbajosa
Case
G.R. No. L-7636
Decision Date
Jun 27, 1955
Ismael Carbajosa, injured while working as an apprentice at Asia Steel Corporation, was deemed an employee; the company was held liable for compensation under the Workmen's Compensation Act despite claims of negligence.

Case Summary (G.R. No. 270317)

Summary of Events

On April 16, 1951, Carbajosa, while working as an apprentice in Asia Steel Corporation, was injured when his hand was caught in a running machine while attempting to tighten a belt. This incident led to the amputation of both of his feet. Following his hospitalization, which Asia Steel Corporation covered, he sought workers' compensation. The referee awarded him ₱2,246.40 after determining the accident arose from his employment.

Legal Issues Raised

Asia Steel Corporation contested the Commission's decision on two grounds: (1) Carbajosa was not considered an employee or laborer, and (2) he was negligent, contributing to his own injuries. However, the second argument regarding negligence was not properly presented in their motion to dismiss at the Commission level, rendering the petition's focus limited to the employment status of Carbajosa.

Commission Findings on Employment

The Commission concluded that Carbajosa was, in fact, an employee of Asia Steel Corporation at the time of the accident. Carbajosa had gone to the factory seeking employment after being introduced by a coworker. After a brief interview, he was directed to begin working under Kim, who represented himself as authorized to employ workers for the factory, acting on behalf of the manager.

Authority of the Factory Manager

The petitioner argued that since only Yu Kong Tiong, as President, had the authority to hire employees, Kim's actions should not bind the corporation. However, the Commission found that Kim had apparent authority to engage employees under the circumstances, as Tiong allowed Kim to manage the factory on a day-to-day basis. The relationship of employer-employee was established because Carbajosa was told to work by the individual in charge who represented that he had Tiong’s authority.

Legal Precedents and Analogies

The decision referenced precedents emphasizing that apparent authority of agents can create employment relationships for compensation purposes. The employer-employee relationship is vital for compensation claims, often assessed through the realities of employment practices rather than strict legal formalities.

Additional Considerations

The evidence presented indicated that the acti

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