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Citation Facts Issue Held

Montinola was employed as a The Court finds the suspension


Montinola vs. PAL flight attendant of PAL since 1996. On illegal. Here, although PAL complied
G.R. No. 198656, 8 September 2014 January 29, 2008, Montinola and other Whether or not petitioner was illegally with procedural due process as laid out
flight crew members were subjected to suspended. in Article 277, paragraph (b) of the
custom searches in Honolulu, Hawaii, Labor Code, like issued a written notice
USA, where items from the airline were of administrative charge, conducted a
recovered from the flight crew by clarificatory hearing, and rendered a
customs officials. Because of this, the written decision suspending Montinola,
Honolulu customs official sent an email the written notice of administrative
to PAL regarding the search and charge, however, did not serve the
another email enumerating the list of purpose required under due process.
items taken from the crew members. PAL threaten her that if she insists on
PAL conducted an a specific notice of administrative
investigation and Montinola was charge, that will be construed as a
among those implicated. PAL’s Cabin waiver of the clarificatory hearing. With
Services Sub-Department required Montinola unable to clarify the contents
Montinola to comment on the incident. of the notice of administrative charge,
She gave a handwritten explanation there were irregularities in the
three days after, stating that she did not procedural due process accorded to
take anything from the aircraft. She her.
also committed to give her full PAL denied Montinola
cooperation should there be any substantial due process. Just cause
further inquiries on the matter. She was has to be supported by substantial
furnished with emails from the evidence. Substantial evidence, or
Honolulu customs official followed by a "such relevant evidence as a
notice of administrative charge. During reasonable mind might accept as
the clarificatory hearing, Montinola, adequate to support a conclusion," is
through her counsel objected PAL’s the quantum of evidence required in
failure to specify her participation in the administrative bodies such as the
alleged pilferage. Atty. Pascual, NLRC. It is reasonable to expect the
counsel of PAL, threatened Montinola employer to consider substantial
that a request for clarification would
result in a waiver of the clarificatory evidence in disciplinary proceedings
hearing. Despite her counsel’s against its employees.
objections, Montinola allowed the The employer has the burden of
clarificatory hearings to proceed proof in showing that disciplinary action
because she wanted to extend her full was made for lawful cause. The
cooperation in the investigations. employer must consider and show
During the hearing, Montinola facts adequate to support the
admitted US customs personnel conclusion that an employee deserves
conducted a search of her person. At to be disciplined for his or her acts or
that time, she had in her possession omissions. PAL, however, merely
only the following food items: cooked relied on pieces of information that are
camote, 3-in-1 coffee packs, and not sufficient to show the participation
Cadbury hot chocolate. PAL, however, of any of the flight crew members, least
found Montinola guilty of 11 Violations of all Montinola. None of the evidence
of the company’s Code of Discipline presented show that the customs
and Government Regulation. She was officials confiscated any of these items
meted with suspension for 1 year from her. Thus, the evidence by
without pay. themselves do not show that Montinola
The Labor Arbiter found her pilfered airline items.
suspension illegal finding that PAL Together with the manner in
never presented evidence that showed which the investigation proceeded, i.e.,
Montinola as the one responsible for that Montinola was prevented from
any of the illegally taken airline items. asking for clarification of the charges
In addition to reinstatement with against her, the absence of substantial
backwages, inclusive of allowances evidence is so apparent that
and benefits amounting to disciplining an employee only on these
₱378,630.00.29, the LA awarded bases constitutes bad faith.
moral damages in the amount of
₱100,000.00 and exemplary damages
amounting to ₱100,000.00. Attorney’s
fees were also awarded. The NLRC
affirmed the decision of LA. The NLRC
pointed out that the affidavit sent by the
US custom official categorically
admitted that she did not know which
items were attributable to each of the
seven crew members whom she
identified and there were no individual
inventories. The CA likewise affirmed
the decision of NLRC however, it
deleted the award of moral and
exemplary damages and attorney’s
fees to private respondent.

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