Title
Uy vs. Centro Ceramica Corp.
Case
G.R. No. 174631
Decision Date
Oct 19, 2011
Employee dismissed without cause or due process after strained relations with management; Supreme Court ruled illegal dismissal, awarding back wages, separation pay, and unpaid commissions.

Case Summary (G.R. No. 126297)

Factual Antecedents

The Petitioner was hired on March 21, 1999, as a probationary employee, later becoming a regular employee on May 1, 2000, with a basic salary of Php 7,000.00, a transportation allowance, and commissions. Problems began when Milagros U. Garcia was rehired, creating tension between the Petitioner and Garcia. On February 19, 2002, after a meeting, the Petitioner learned of his termination due to supposed "insubordination." Petitioner claimed he was directed to turn over company materials immediately, with threats made by Sy regarding their power. Subsequently, communications concerning his alleged poor sales performance were sent to him post-termination, which he did not accept as he was already dismissed.

Labor Arbiter’s Ruling

The Labor Arbiter ruled in favor of the Respondents, stating that the Petitioner opted not to report for work and communicated his intention to resign. The Arbiter dismissed the complaint on April 8, 2003, validating the Respondents’ actions regarding the Petitioner’s employment status.

NLRC's Ruling

Upon appeal, the National Labor Relations Commission (NLRC) found that the Petitioner had been illegally dismissed, highlighting questionable circumstances surrounding the dismissal. The NLRC decreed that the dismissal was conducted without due process and thus ordered reinstatement and other monetary entitlements for the Petitioner.

Court of Appeals Ruling

The Court of Appeals reversed the NLRC's ruling, asserting that the Petitioner had voluntarily severed his employment. It highlighted admissions by the Petitioner suggesting his acceptance of dismissal and considered various testimonies indicating that the Respondents were not dismissing him but rather managing his performance issues. This conclusion led to the dismissal of the Petitioner’s complaint.

Issue

The central issue to resolve was whether the Petitioner was dismissed by the Respondents or if he voluntarily severed his employment.

Arguments of the Parties

The Petitioner contended that his summary dismissal was unjust and lacked due process, while Respondents argued that the Petitioner voluntarily resigned and failed to meet employment expectations. The Petitioner also claimed bias in the testimonies provided against him, which suggested animosity from Respondents.

Court's Ruling

The Supreme Court granted the Petition, emphasizing the necessity to re-evaluate conflicting rulings among the Labor Arbiter, NLRC, and Court of Appeals. The Court scrutinized the evidence, u

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