Title
Supreme Court
McMer Corp., Inc. vs. National Labor Relations Commission
Case
G.R. No. 193421
Decision Date
Jun 4, 2014
Employee Libunao was constructively dismissed due to hostile work conditions, including threats from management, leading to awards of backwages, separation pay, and damages.

Case Summary (G.R. No. 193421)

Factual Background

Feliciano C. Libunao, Jr., employed by McMer Corporation, Inc. as a Legal Assistant, was promoted to Head of the Legal Department in January 2000. His employment was marked by conflicts with management, specifically over company policies and practices. Tensions escalated when on July 20, 2007, Libunao felt threatened by Roque's aggressive demeanor, which prompted him to refuse to comply with a summons to Roque's office. Following a police report about the altercation, Libunao did not return to work until July 30, 2007, leading to a memorandum from McMer regarding his absence without official leave.

Procedural History

On August 6, 2007, Libunao filed a complaint alleging unfair labor practices, constructive illegal dismissal, non-payment of 13th month pay, separation pay, and damages against petitioners. A conciliation meeting occurred but failed to resolve the issues, resulting in Libunao being offered separation pay, which he rejected. The Labor Arbiter found no constructive dismissal but awarded Libunao a proportionate 13th month pay and separation pay. Libunao appealed the decision, leading the NLRC to reverse the Labor Arbiter's findings and award him full backwages, separation pay, and damages, asserting that he had indeed been constructively dismissed. The CA upheld the NLRC's decision, prompting the petitioners to seek certiorari from the Supreme Court, alleging errors in the CA's findings.

Legal Analysis

The central issue before the Supreme Court was whether the Court of Appeals (CA) erred in affirming the NLRC's finding of constructive dismissal. The Court noted that while it often refrains from re-evaluating factual findings, conflicting conclusions by the Labor Arbiter, NLRC, and CA warranted a thorough examination. Constructive dismissal is characterized as cessation of work made necessary by unbearable working conditions, effectively compelling the employee to resign.

Findings on Constructive Dismissal

The Court found substantial evidence indicating that Libunao experienced a hostile work environment, primarily due to Roque's aggressive and intimidating behavior on July 20, 2007. The CA properly considered the events leading to Libunao's absence as part of a broader pattern of oppressive management practices that rendered continued employment intolerable.

Evidence Assessment

The Court affirmed the value of both the police blotter documenting Libunao's report and the sworn affidavit provided by Ginalita C. Guiao, which highlighted Roque's threatening demeanor during the incident. The Court emphasized that, while police reports are generally of limited probative value, they gain weight when not effectively contradicted. Guiao's observations established a clear hostile enviro

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