MARY JOESSA G.

AJOC LABOR RELATIONS

18040117 Wednesday (5:30-8:30pm)

TOPICS:

A) No reinstatement due to strained relations

CASE DIGEST:
SKYWAY O & M CORPORATION vs. REINANTE
G.R. No. 222233
August 28, 2019

Facts:
Petitioner Skyway O & M Corporation hired Wilfredo as Intelligence Officer for a fixed period.
Skyway immediately renewed his services thereafter and appointed him as a probationary employee.
Wilfredo took a vacation leave and filed an application for sick leave upon the advice of his physician
due to hypertension. Petitioner disapproved his application for vacation leave and directed him to
report for work to discuss his on the job performance and continued absence without proper authority.
Wilfredo received a pre-termination notice from Skyway’s Traffic Safety Management and
Security Department (TSMSD) for supposedly failing to meet the pre-performance standards of the
company based on the Performance Appraisal Report submitted Alcantara, his supervisor. On his last
day as probationary employee, Wilfredo was dismissed due to failure to meet the performance
standards set forth by the petitioner.
Wilfredo filed administrative complaints against Alcantara, assailing the latter’s authority to
assess his performance and against the petitioner for hiring and promoting unqualified security officers.
The parties entered into a compromise agreement however, TSMSD failed to comply with the terms
and conditions of the compromise agreement prompting Wilfredo to file a complaint for constructive
dismissal and damages.
The LA rendered a decision ordering Skyway to pay Wilfredo 1. backwages; 2. separation pay
equivalent to 1 month salary; 3. pro-rated 13 th month pay; 4. moral damages; and 5. exemplary
damages.
MARY JOESSA G. AJOC LABOR RELATIONS
18040117 Wednesday (5:30-8:30pm)

The NLRC affirmed with modification the LA by deleting the award of 13 th month pay for no
basis. For failure of the Skyway to show substantial evidence of Wilfredo’s termination, the NLRC
found his dismissal illegal.
The CA held that Wilfredo was rehired for the same position as Inteliigence Officer after his
fixed term employment had expired, hence it can be inferred that management was satisfied with hs
performance and that he was qualified and competent for the job.

Issue:
Whether or not Wilfredo will be reinstated.

Held:
No. The Supreme Court said that in view of Wilfredo's illegal dismissal, he is entitled to
backwages and reinstatement. He should be paid full backwages from the time of his illegal dismissal
until the finality of this Decision.
Anent reinstatement, payment of separation pay in lieu of reinstatement is proper due to the
strained relations between the parties considering the fact that Wilfredo was deliberately given an
unmeritorious rating to prevent him from attaining the status of a regular employee as demonstrated in
the facts of the case. Hence, reinstatement can no longer be feasible between the parties.
Therefore, in view of all the circumstances, Wilfredo is entitled to separation pay equivalent to
one (1) month salary for every year of service, with a fraction of at least six (6) months considered as
one (1) whole year, from the time of his illegal dismissal by Skyway until the finality of this decision.|