Title
Supreme Court
Pamplona Plantation Company vs. Acosta
Case
G.R. No. 153193
Decision Date
Dec 6, 2006
Employees claimed underpayment and illegal dismissal; SC ruled petitioner estopped from denying employment, upheld illegal dismissal of one worker, and absolved manager of personal liability.

Case Summary (G.R. No. 153193)

Case Background

Initially, there were 66 complainants who sought redress from the Labor Arbiter for various financial claims including underpayment, overtime pay, and other benefits, asserting they were regular employees of the Pamplona Plantation Company. The petitioner contested this assertion, asserting that some complainants were seasonal workers, contractors, or hired under the 'pakyaw' system, while others worked for the Pamplona Plantation Leisure Corporation, a separate entity.

Labor Arbiter’s Decision

On September 30, 1998, the Labor Arbiter ruled in favor of the respondents, declaring Pamplona Plantation and its manager liable for underpayment since the complainants were recognized as regular employees. Additionally, the Arbiter found illegal dismissal regarding Joselito Tinghil and Pedro Emperado.

NLRC Appeal

Upon appeal, the National Labor Relations Commission (NLRC) overturned the Labor Arbiter's decision on June 30, 2000, dismissing all complaints. The NLRC posited that allegations in the complainants' affidavits suggested their employment was with the Pamplona Plantation Leisure Corporation, and thus the complaints should have been directed against this entity rather than the petitioner.

Court of Appeals Ruling

The Court of Appeals intervened on November 26, 2001, vacating the NLRC's dismissal and reinstating the Labor Arbiter's decision. However, it limited the wage differential award to 22 individuals among the respondents while removing the illegal dismissal ruling against Pedro Emperado and the corresponding attorney's fees.

Grounds for Supreme Court Review

The petitioner sought review from the Supreme Court, arguing that the Court of Appeals had erred in both law and fact by determining that the wage differentials pertained to employees purportedly working for the leisure corporation, and by affirming that Tinghil’s dismissal was indeed illegal. The petitioner claimed that the employees had acknowledged their true employer in their affidavits, and thus their complaints should not have been directed at the Pamplona Plantation Company.

Supreme Court Evaluation of Employment Claims

The Supreme Court emphasized that the task of determining employment relationships was to be based on totality of evidence, stating that the petitioner was estopped from denying that respondents were indeed its employees. Notably, if a party presents a certain defense, it implies acknowledgment of employment under that defense, particularly as the petitioner had not raised the issue of separate corporate identities during initial hearings.

Findings on Illegal Dismissal

Regarding Joselito Tinghil's case, the Supreme Court sustained the lower court's finding of illegal dismissal. The Court noted that the employer did not adequately contest allegations that Tinghil was dismissed for engaging in union activities, underscoring the employer's burden to prove just cause for termination which it failed to meet.

Corporate Liability of José Luis Bondoc

The petitioner contended that Bondoc should not be held

...continue reading

Analyze Cases Smarter, Faster
Jur is a legal research platform serving the Philippines with case digests and jurisprudence resources. AI digests are study aids only—use responsibly.