Case Summary (G.R. No. 5013)
Employment and Dismissal History
Douglas Millares began his employment with Esso International on November 16, 1968, serving as a machinist before being promoted to Chief Engineer in 1975, while Rogelio Lagda was hired in June 1969 and similarly promoted in 1980. Millares applied for a leave of absence which was approved, and later expressed his desire for optional retirement based on over twenty years of service. However, his retirement was denied, and he was subsequently removed from the crew roster for alleged abandonment of his position. Lagda's circumstances were nearly identical; he also sought leave and retirement, but his request was similarly denied, leading to his termination.
Initial Proceedings and NLRC Decision
On October 5, 1989, both petitioners filed a complaint with the POEA against their employers for illegal dismissal and non-payment of benefits. The POEA dismissed their complaint on July 17, 1991. Upon appeal, the NLRC affirmed this dismissal on June 1, 1993, leading to the petition for certiorari by Millares and Lagda, alleging grave abuse of discretion in determining their employment status and the validity of their termination.
Employment Status
Petitioners argued they should be recognized as regular employees under Article 280 of the Labor Code, asserting that their long-term service and the nature of their work indicated a regular employment relationship. They contended that their dismissal was unlawful due to a lack of just cause and failure to comply with due process, as they were not given notice or an opportunity to be heard.
Grounds for Petition
In their appeal, the petitioners raised several issues, emphasizing that the NLRC erred in its classification of their employment, the validity of their dismissals, their entitlement to retirement benefits, and damages incurred due to their improper termination. Millares specifically highlighted the unlawful inclusion of his name on the POEA watchlist, which allegedly disrupted his employment opportunities.
Legal Standards of Regular Employment
Article 280 states that employment is deemed regular when the worker performs activities necessary or desirable in the employer's business, irrespective of any written contract stipulations to the contrary. This definition supports the argument for recognizing petitioners as regular employees given their extensive tenure and continued service in essential positions.
Court's Analysis of Employment Status
The Court affirmed that petitioners had been regular employees due to their long-term service and the essential nature of their roles within Esso International. Their repeated reengagement by the employer, despite the conclusion of successive contracts, underscored their status as regular employees protected from termination without just cause.
Examination of Alleged Abandonment
The Court found that there was no sufficient evidence to substantiate claims of abandonment against Millares and Lagda. For abandonment to be valid, both the failure to report for work and the intent to sever the employment relationship must be demonstrated, which was not proven in this instance. The actions taken by the petitioners, including filing a complaint for illegal dismissal promptly, contradicted any claims of abandonment.
Findings on Retirement Benefits
The petitioners sought retirement benefits under an optional retirement policy they believed was corroborated by company practices, yet the NLRC had denied this claim. The Supreme Court noted that the evidence presented by the petitioners regarding the announcement of such a policy was insufficiently substantiated, which limited their ability to assert entitlement under the alleged retirement scheme.
Court's Conclusion on Termination and Entitlements
The Court
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Background of the Case
- Petitioners Douglas Millares and Rogelio Lagda sought to nullify the NLRC decision dated June 1, 1993, which affirmed the POEA's ruling dismissing their complaint for illegal dismissal.
- Both petitioners were employees of Esso International through Trans-Global, with Millares serving as Chief Engineer and Lagda as wiper/oiler, both earning a monthly salary of US $1,939.00.
Employment History
- Douglas Millares was employed on November 16, 1968, and promoted to Chief Engineer in 1975, retiring in 1989 after over 20 years of service.
- Rogelio Lagda was employed in June 1969, promoted to Chief Engineer in 1980, and his contract expired on April 10, 1989.
Leave of Absence Requests
- Millares applied for leave from July 9 to August 7, 1989, which was approved. He later sought to retire under the CEIP, but his request was denied on July 13, 1989, citing contractual employment and requirements for retirement.
- Lagda similarly requested a leave of absence and sought optional early retirement, which was also denied on grounds similar to those for Millares.
Termination of Employment
- Both petitioners were informed that they had been dropped from the crew roster on September 1, 1989, due to alleged abandonment of their positions.
- They filed a complaint for illegal dismissal on October 5, 1989, which the POEA dismissed for lack of merit on July 17, 1991.
NLRC Decision
- The NLRC upheld the POEA's decision, leading to the petition for certiorari by Millares and Lagda, alleging grave abuse of discr