Title
DOLE Philippines, Inc. vs. National Labor Relations Commission
Case
G.R. No. L-55413
Decision Date
Jul 25, 1983
Dolefil employees dismissed for alleged theft; acquitted criminally but SC upheld termination due to loss of confidence, citing reasonable grounds.

Case Summary (G.R. No. 128617)

Dismissal of Employees for Theft

The case centers around the dismissal of the three employees for alleged qualified theft of crude oil. On April 29, 1977, land guards from Dole Philippines reported finding two drums of crude oil near the company's farmlot. Subsequent investigations revealed that Tarroza, De la Pena, and Tejero allegedly sold crude oil to local farmers, implicating them in theft from company property. The employees were suspended while facing criminal charges for these actions.

Labor Arbiter's Decision

Following an application by Dole Philippines to terminate the employees for "stealing or dishonesty," the Regional Office of the Department of Labor granted the company clearance to dismiss the workers. Later, on October 17, 1978, the Labor Arbiter dismissed the employees' complaint for illegal dismissal, affirming the validity of their termination based on the statements of the buyers who implicated them.

NLRC Ruling and Reversal

The employees appealed to the NLRC, presenting affidavits from Asibal and Odarve, which recanted their previous statements. The NLRC found that Dole Philippines failed to conduct an adequate investigation before termination and ordered the employees' reinstatement with back wages on September 5, 1980.

Supreme Court’s Evaluation of Legal Standards

The Supreme Court evaluated the legal standards governing employee termination under the Labor Code, particularly focusing on Article 283, which permits termination for serious misconduct or loss of trust. The Court determined that an employer may terminate employment based on loss of confidence without requiring proof beyond a reasonable doubt. The Court noted that the circumstances surrounding the employees’ involvement justified Dole Philippines' actions despite the subsequent criminal acquittal.

Affidavits of Recantation

The Court further addressed the affidavits of recantation from Asibal and Odarve, concluding that these did not sufficiently exonerate the employees nor negate their involvement in the theft, as they did not claim that they did not purchase oil from the dismissed employees. Consequently, the Court acknowledged Dole Philippines' right to terminate the respondents based on the company's concerns about trust, considering the nature of their employment and access to company assets.

No Requirement for Company Investigation

Dole Philippines was not obligated to conduct its own investigation into the theft because it had immediately reported the matter to law enforcement, which the Court presumed acted according

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