Title
Labor vs. National Labor Relations Commission
Case
G.R. No. 110388
Decision Date
Sep 14, 1995
Employees dismissed by Gold City filed complaints for illegal dismissal and labor violations. The Supreme Court ruled in their favor, finding no valid grounds for dismissal, no abandonment, and insufficient evidence of dishonesty, awarding them separation pay and back wages.

Case Summary (G.R. No. 110388)

Background and Initial Complaints

The petitioners were employees of Gold City, specifically in its Eye Ball Disco in Tagum, Davao. They filed a complaint on August 19, 1991, with the Department of Labor and Employment (DOLE), alleging several violations of labor standards laws by Gold City, including underpayment of minimum wage and non-payment of mandated benefits like the 13th month pay and holiday pay. They subsequently filed a related complaint on August 26, 1991, with the NLRC, against the same respondent for illegal dismissal and similar labor violations. The case was cataloged as RAB-11-08-00742-91.

Criminal Allegations Against Petitioners

Following the filing of complaints against Gold City, a criminal complaint was lodged against the petitioners by a group of employees and a customer, accusing them of theft and/or estafa connected to drink stubs provided to customers. These allegations claimed that the petitioners had engaged in dishonest practices while employed, but they were later dismissed by Davao's Provincial Prosecutor for lack of evidence.

Labor Arbiter's Decision

The Labor Arbiter ruled on March 27, 1992, in favor of the petitioners, declaring their dismissal illegal and ordering Gold City to pay separation pay and other monetary claims. The Arbiter found that Gold City had prevented the petitioners from reporting to work shortly after they filed their labor complaints and that their claim of abandonment was unfounded.

NLRC Reversal of Arbiter's Decision

The NLRC, on September 24, 1992, reversed the Labor Arbiter's decision, asserting that the petitioners had indeed abandoned their employment and relied heavily on the affidavits presented in the criminal complaint against them. The NLRC concluded that Gold City's procedural requirements for termination were met and accepted the assertion of dishonest acts.

Petition for Certiorari

Challenging the NLRC's ruling, the petitioners filed a special civil action for certiorari, contending that the NLRC exercised grave abuse of discretion in dismissing their claims despite findings by the Labor Arbiter. They argued that it unjustly upheld unfounded allegations of abandonment and dishonesty against them.

Solicitor General's Position

The Office of the Solicitor General sided with the petitioners, highlighting deficiencies in the evidence presented by Gold City regarding the allegations of dishonesty and abandonment. It argued that the lack of specific accusation details in the affidavits and the dismissal of the criminal complaint against the petitioners should weigh in their favor.

Court's Analysis on Labor Standards Violations

The Supreme Court examined the allegations against Gold City concerning labor standard violations and found substantial evidence supporting the Labor Arbiter's findings. It noted the inadequacies in Gold City's defense and corroborated the claims made by the petitioners regarding underpayment and non-payment for legally required employee benefits.

Evaluation of Abandonment and Dishonesty Claims

The Court reiterated that to establish abandonment, clear intent to sever the employer-employee relationship, alongside unexcused absence, mus

...continue reading

Analyze Cases Smarter, Faster
Jur helps you analyze cases smarter to comprehend faster, building context before diving into full texts. AI-powered analysis, always verify critical details.