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G.R. No.

106341 September 2, 1994


DELFIN G. VILLARAMA, petitioner, vs.NATIONAL LABOR RELATIONS COMMISSION AND
GOLDEN DONUTS, INC., respondents.
Facts: petitioner DELFIN VILLARAMA was employed by private respondent GOLDEN DONUTS,
INC., as its Materials Manager. He was charged with sexual harassment by a subordinate of the
company, furthermore, he contends that his significant contribution to the company outweighs
the error he had done. However, he was ordered to submit a resignation letter. For his failure
to tender his resignation, petitioner was dismissed by private respondent. Feeling aggrieved,
petitioner filed an illegal dismissal case against private respondent.
Issue: Whether or not there was valid cause to terminate petitioner on the basis of the
allegation of the said subordinate and an implied admission?
Held: Yes. As a manager, petitioner should know the evidentiary value of his admissions.
Needless to stress, he cannot complain there was no valid cause for his separation. Moreover,
loss of trust and confidence is a good ground for dismissing a managerial employee. It can be
proved by substantial evidence which is present in the case at bench. As a managerial
employee, petitioner is bound by a more exacting work ethics. He failed to live up to this higher
standard of responsibility when he succumbed to his moral perversity. And when such moral
perversity is perpetrated against his subordinate, he provides justifiable ground for his dismissal
for lack of trust and confidence. It is the right, nay, the duty of every employer to protect its
employees from over sexed superiors. To be sure, employers are given wider latitude of
discretion in terminating the employment of managerial employees on the ground of lack of
trust and confidence.