Title
Cornworld Breeding Systems Corp. vs. Court of Appeals
Case
G.R. No. 204075
Decision Date
Aug 17, 2022
Lucena, a VP, faced public humiliation and demotion by Cornworld’s new management, leading to her constructive dismissal. SC ruled in her favor, awarding backwages and separation pay.

Case Summary (G.R. No. 204075)

Applicable Law

The 1987 Philippine Constitution governs the decision, particularly focusing on the Labor Code provisions regarding just causes for dismissal and employee rights.

Background of the Case

Lucena commenced employment with Cornworld in August 1982 and eventually became the Vice President for Research and Development. Following President Benito M. Domingo's stroke, Laureano took charge and summoned a meeting where Lucena faced criticism for her absence and failure to communicate effectively. This encounter escalated into a heated argument, leading Lucena to apply for sick leave shortly thereafter due to stress-related health issues.

Issues of Employment Status

After Lucena's application for sick leave, a memo was issued appointing another employee, Alan Canama, to oversee Lucena's department. Lucena argued that this appointment left her in a “floating status,” effectively excluding her from her role and duties, which contributed to her inability to return to work. Concurrently, Lucena alleged threats to her life related to her employment, intensifying her inability to report back to work.

Procedural History

Lucena's initial complaint for constructive dismissal was dismissed by the Labor Arbiter on August 24, 2009, with a finding that she had not been constructively dismissed or had abandoned her post. The NLRC upheld this ruling, emphasizing that Lucena had not clearly communicated an intention to sever ties with the company. Lucena then petitioned the Court of Appeals (CA), which ultimately found her claim valid, ruling that she was constructively dismissed.

Appellate Court's Ruling

The CA ruled in favor of Lucena, reversing the NLRC’s decision and ordering Cornworld to compensate her for back wages, separation pay, and attorney's fees, citing her treatment and circumstances which rendered her continuation at work intolerable.

Petition for Certiorari

Cornworld filed a petition for certiorari, citing procedural errors and arguing against the appellate court's findings. Key points of contention included allegations that Lucena abandoned her position and the assertion that her dismissal was justified due to a loss of trust and confidence.

Supreme Court's Analysis

The Supreme Court dismissed the petition, highlighting that Cornworld had chosen the incorrect appellate remedy by using certiorari instead of a petition for review. Furthermore, the Court affirmed the findings of the CA, determining that Cornworld had constructively dismissed Lucena. The criteria for both abandonment and constructive dis

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