LABOR LAW REVIEW

Atty. Moumina Sheryne L. Domadalug

MIDTERM (Labor Standards)

December 15, 2017

DIRECTIONS: Before starting, check that your questionnaire

consists of five (5) pages. Read each question carefully and
provide answers that are BRIEF and CONCISE－not too long but
not too short. BE RESPONSIVE. This is an OPEN NOTES exam.
Hence, you are expected to cite legal basis and to elaborate on
your answers BRIEFLY AND CONCISELY. BEST OF LUCK!

NOTE: A notebook with NO ERASURE AND NO UNANSWERED

QUESTION merits a bonus of 5 points.

-I-

Compare AND contrast the following cases:

1. PT & T Company vs. NLRC and De Guzman

2. Duncan and Tecson vs. Glaxo Wellcome Phils., Inc.
3. Starpaper Corp., et.al vs. Simbol, et.al

(10 points)

-II-

Juanito initiated a case for illegal dismissal against Mandarin Company.

The Labor Arbiter decided in his favor, and ordered his immediate
reinstatement with full backwages and without loss of seniority and other
benefits. Mandarin Company did not like to allow him back in its premises to
prevent him from influencing his co-workers to move against the interest of
the company; hence, it directed his payroll reinstatement and paid his full
backwages and other benefits even as it appealed to the NLRC. A few
months later, the NLRC reversed the ruling of the Labor Arbiter and declared
that Juanito's dismissal was valid. The reversal ultimately became final.

May Mandarin Company recover the backwages and other benefits paid
to Juanito pursuant to the decision of the Labor Arbiter in view of the
reversal by the NLRC? Rule with reasons. (5 points)

-III-

In your own words, explain the following:

A. Portability clause (3 points)

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 B. Equity of the Incumbent Rule (3 points)
C. Utmost Liberality Rule (3 points)
D. Compassionate Justice (3 points)
E. Secundum Caritatem, Secundum Rationem (3 points)

-IV-

On May 16, 2016, Magsaysay was hired by BDO as Senior Accounting

Assistant V in its San Jose, Nueva Ecija Branch as a result of a merger with
United Overseas Bank, with BDO as the surviving bank.

In a letter dated January 8, 2010, BDO informed Magsaysay that

pursuant to the retirement policy of the bank which mandated its retirement
age to 60, he would be considered formally retired effective September 1,
2010, a few days after his 60th birthday. The compulsory retirement age of
the bank was based on its retirement plan which was implemented on July 1,
1994. In an e-mail dated July 27, 2010, Magsaysay requested that his
services be extended because he had an outstanding loan and his children
were still in college. BDO denied Magsaysay's request. In another e-mail,
Magsaysay appealed to BDO to extend his service for 8.5 months or up to
May 16, 2011 so that he could render at least 5 years of employment which
would entitle him to 50% of his basic pay for every year of service upon his
retirement. BDO again denied Magsaysay's appeal and retired him on
September 1, 2010. Defeated, Magsaysay signed a Release, Waiver, and
Quitclaim, for and in consideration of P98,376.14. The quitclaim stated,
among others, that in consideration of the foregoing payment, Magsaysay
released and discharged the bank, its affiliates and subsidiaries from any
action, suit, claim or demand in connection with his employment.

Upon the advice of his law student girlfriend, Magsaysay now wants
to file a complaint for illegal dismissal with prayer for reinstatement and
payment of backwages, moral damages, exemplary damages, and
attorney's fees against BDO.

A. Where should Magsaysay file his complaint? (3 points)

B. Will the complaint prosper? (5 points)

-V-

Marilyn started working for Copy Central Digital Copy Solution (CCDCS)
in Laoag City as a photocopy machine operator on February 21, 1993.
Marilyn received a salary of 200Php per day which includes an allowance of
55Php. She also earned 7% of the total earnings of the branch per month
and was provided with free board.

Due to some reports, Susana, the manager of the establishment,

ordered an audit of their branch in Laoag City, particularly the meter
readings attached to copying machines which indicate the number of
documents being copied at the rate of 1.00Php per power-type copy and

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0.50Php per liquid-type copy. The audit report of claims that there were
discrepancies in the reading reports of Marilyn. Moreover, based on the said
report and together with a technician's report, Marilyn allegedly pocketed 31,
472.50Php. Susana reported the incident to the police for blotter and
Marilyn was required to execute a document wherein she promised to remit
the amount of their receivables. Susana, then, issued a termination letter to
Marilyn. The letter states that the company has lost its trust and confidence
on her for having defrauded the company by making false meter reading
reports thereby incurring deficit of 15, 059Php.

Marilyn filed a complaint for illegal dismissal and money claims against
CCDCS before the Arbitration Branch of National Labor Relation Commission
(NLRC), claiming to have been dismissed from employment, without just
cause and without affording her due process. She denied having
misappropriated sums of money belonging to the company. According to
her, the audit was conducted on November 2, 2005 which was declared as
non-working holiday. As such, she still has receivables from her customers
who pay on a weekly or monthly basis as agreed and she could not yet remit
said amounts because it was a non-working holiday. She claimed that she
only agreed to signed the document where she promised to return the
receivables in order to put an end to the controversy.

Meanwhile, the CCDCS contended that Marilyn was dismissed from

employment for loss of trust and confidence after it was discovered that she
defrauded the company by making false meter reading report with the
intention of pocketing the payments made by their clients. To support the
contention that there was just cause for dismissal, the document signed by
Marilyn was presented as proof of her admission of guilt. CCDCS further,
justifies its position by contending that a complaint for qualified theft has
been filed and is already pending before the Regional Trial Court (RTC).

Was there just cause for termination? (8 points)

-VI-

Sec. 3, Article XIII of the 1987 Philippine Constitution is a

non-self-executing provision. From the said provision, pick three (3)
constitutional right of labor pertaining to Labor Standards and cite one
statutory provision for each which serves as their implementing legislation.
(3 points each)

-VII-

On January 11, 1999, Albert was hired as a driver at Daikoku Electronics

Phils., Inc (DEPI) and was eventually assigned to the company president
Mamoru Ono (Ono).

One day after dropping Ono off his residence called the Pacific Plaza
Condominium in Makati City, Albert drove the car to his home and parked it

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there overnight instead of parking the company vehicle at the condominium
building’s parking area. When confronted the following morning, Albert lied
that the car was parked in the building but in the wrong slot. Thereafter, he
was served a company Notice of Violation of the Code of Conduct for
Dishonesty. On his written explanation, Albert admitted lying to Ono and
bringing the car to his home without permission. He apologized for these
infractions but also indicated that he was authorized by Ono to use the car if
he needed to.

At the company’s Investigation Committee hearing, he admitted the

same but reiterated that there were previous occasions when Ono
authorized him to bring the vehicle home. The Committee recommended
the suspension of Albert for 12 days without pay for the offenses of parking
the company vehicle at home without authority and for lying about it but the
General Affairs Manager issued a letter terminating Albert’s services for
dishonesty. Respondents explain that harsher punishment was imposed
because Ono denied permitting Albert to use the company car and even
presented a report from the Pacific Plaza Security Office stating that from
May 1, 2003 to July 20, 2003, Albert did not park the company car at the
said building for a total of thirty-one (31) instances, all without authority nor
permission. Thus, Albert filed his Complaint for illegal dismissal with claims
for damages and attorney’s fees.

The Labor Arbiter (LA) rendered a decision in favor of Albert and found
that the allegations of Albert’s infractions, such as his repeated use of the
company vehicle without permission, are unsubstantiated by evidence. In
an appeal, the National Labor Relation Commission set aside the findings of
the LA and ruled that Raza was not illegally dismissed since the infractions
he committed were a just cause for dismissal. The Court of Appeals (CA)
affirmed the Decision and found that Raza's dishonesty, consisting of
parking the vehicle at his home overnight and lying about it to Ono, is
deserving of the sanction of dismissal.

Was Albert validly dismissed? (4 points)

-VIII-

Illustrate how the law balances the interests between the labor and
capital. Cite legal basis. (6 points)

-IX-

Trace how the following issues can go all the way to the Supreme Court:

A. Wage Distortion (5 points)

B. Money claims (5 points)

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 -X-

Carissa, a comely bank teller, was due for her performance evaluation
which is conducted every six months. A rating of "outstanding" is rewarded
with a merit increase. She was given a "below average" rating in the last two
periods. According to the bank's personnel policy, a third rating of "below
average" will result in termination. Mr. Perry Winkle called Carissa into his
office a few days before submitting her performance ratings. He invited her
to spend the night with him in his rest house. She politely declined.
Undaunted, Mr. Winkle renewed his invitation, and Carissa again declined.
He then warned her to "watch out" because she might regret it later on. A
few days later, Carissa found that her third and last rating was again "below
average."

Write a CRIMINAL COMPLAINT for Carissa charging Mr. Perry Winkle of

Sexual Harassment.

Nota Bene: Make sure to file it in the proper tribunal vested with
jurisdiction. You may supply details (e.g. dates, places, evidence, etc.).

(20 points)

***NOTHING FOLLOWS***

GOOD LUCK!

"FAILURE… it can destroy you or it can make you

so freaking mad that you work even harder to become the
winner that you know you are."

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