Title
Romares vs. National Labor Relations Commission
Case
G.R. No. 122327
Decision Date
Aug 19, 1998
Romares, repeatedly hired for essential tasks over broken periods exceeding one year, was illegally terminated without due process. SC ruled him a regular employee, voiding fixed-term contracts as subterfuge, and ordered reinstatement with backwages.
A

Case Summary (A.M. No. P-04-1912)

Antecedent Facts

Artemio J. Romares was employed by Pilmico Foods Corporation in its Maintenance/Projects/Engineering Department from September 1, 1989, to January 15, 1993. He claimed he became a regular employee after working for more than a year and was engaged in essential functions such as maintenance and painting without facing disciplinary action. Romares alleged that his termination was without cause and violated his right to security of tenure, prompting him to seek reinstatement and damages.

Respondent's Position

Pilmico Foods Corporation contended that Romares was not a regular employee but a contractual employee hired for specific projects. They asserted that his employment was intermittent, evidenced by him working for other firms during gaps between contracts, which they argued justifies the non-renewal of his latest contract.

Executive Labor Arbiter's Decision

The Executive Labor Arbiter classified Romares as a regular employee, stating that his series of employments amounted to over a year of service. The Arbiter underscored the necessity of Romares' work to the company's operations and highlighted the lack of notice or due process before his dismissal, deeming it illegal and ordering his reinstatement along with back wages and attorney's fees.

NLRC's Reversal

On appeal, the NLRC reversed the Arbiter's ruling, contending that Romares' employment contracts were for fixed terms and thus dismissed his complaint. The NLRC applied paragraph 1 of Article 280 of the Labor Code, asserting that such fixed-term employment does not confer regular employee status.

Supreme Court Analysis

The Supreme Court found the NLRC's interpretation erroneous, emphasizing that Romares' work was indeed necessary and desirable for Pilmico's operations, which warranted his classification as a regular employee. The Court applied the second category under Article 280, which protects employees who have continuously or repeatedly served for more than a year.

Implications of Employment Contracts

The Supreme Court noted that the practice of employing Romares repeatedly under fixed-term contracts was a circumvention of his right to security of tenure. The contracts were characterized as a means to evade granting regular status and benefits, which contravenes principles

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