Title
Globe-Mackay Cable and Radio Corp. vs. National Labor Relations Commission
Case
G.R. No. 82511
Decision Date
Mar 3, 1992
Employee dismissed over alleged involvement in missing equipment; court ruled dismissal unlawful, ordered reinstatement and limited backwages due to lack of substantial evidence.

Case Summary (G.R. No. 82511)

Factual Background

In May 1982, Imelda L. Salazar commenced employment with GMCR as a general systems analyst. Meanwhile, Delfin Saldivar, a manager at GMCR, was reportedly close to Salazar. Allegations arose in 1984 regarding missing company equipment held by Saldivar, prompting an internal investigation which implicated both Saldivar and Salazar. The investigation indicated that Salazar had participated in questionable transactions, including witnessing a partnership agreement between Saldivar and another business owner, Richard A. Yambao, connected to the company’s supplies.

Suspension and Termination

Following the internal auditor's report on September 25, 1984, which detailed misconduct involving Saldivar and implicated Salazar, she was suspended for one month starting on October 9, 1984, allowing her time to present an explanation. Salazar, however, did not respond to the company’s notification; instead, she filed a complaint for illegal suspension three days later. On November 8, 1984, GMCR deemed her dismissed due to her inability to refute the findings against her.

Labor Arbiter's Decision

In a ruling dated July 16, 1985, the Labor Arbiter found GMCR’s actions unjustified, ordering Salazar's reinstatement along with back wages for the period of her illegal dismissal and an award of moral damages. This decision stemmed from the finding that GMCR had not established just cause for her dismissal.

NLRC Appeal and Ruling

GMCR appealed the Labor Arbiter's decision to the NLRC, which affirmed reinstatement but limited back wages to two years and excluded moral damages in its resolution issued on December 29, 1987. GMCR challenged this ruling in the Supreme Court, arguing that the suspension and dismissal were legally sound and appropriately justified.

Supreme Court's Analysis on Preventive Suspension

The Supreme Court upheld the legality of Salazar's preventive suspension, stating it was appropriate given the investigation’s findings involving Saldivar. It reiterated that preventive suspension is designed to protect company interests during investigations and does not imply guilt. Salazar was granted the opportunity to present her side but chose to file a complaint instead, which undermined her claims of due process violation.

Analysis on Unjust Dismissal

Regarding dismissal, the Court emphasized the employee's right to security of tenure as outlined in Article 279 of the Labor Code, which mandates that termination must be based on just cause. Since there was no substantial proof against Salazar and allegations were primarily speculative, her character could not serve as a valid basis for dismissal. The ruling underlined that termination requires strong evidence beyond mere suspicion.

Final Judgment and Implications

Ultimately, the Supreme Court affirmed the NLRC'

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