GR 107378; (January, 1996) (Digest)
G.R. No. 107378 ; January 25, 1996
REMEDIOS K. ASIS, petitioner, vs. NATIONAL LABOR RELATIONS COMMISSION, VETERANS PHILIPPINES SCOUT SECURITY AGENCY and/or ENGR. SERGIO JAMILA IV, respondents.
FACTS
Petitioner Remedios K. Asis was hired as a security guard and designated as detachment commander at Purefoods Corporation in Sta. Rosa, Laguna. On July 16, 1990, after an approved leave, he reported for work and found another guard appointed in his place. He was informed of his transfer to Calauan, Laguna as an ordinary security guard and was asked to sign a “cancellation of official duties,” which he did, but he refused the new assignment. He subsequently filed a complaint for illegal dismissal, claiming constructive dismissal due to demotion and unreasonable reassignment.
The Labor Arbiter ruled in favor of Asis, finding illegal dismissal and awarding backwages and separation pay, noting the absence of evidence to support the agency’s claim that Purefoods requested his relief. The NLRC reversed this decision on appeal, upholding the transfer as a valid management prerogative, citing no substantial inconvenience or diminution in pay, and ordering Asis to report back to work.
ISSUE
Whether or not petitioner Remedios K. Asis was constructively dismissed.
RULING
Yes, the Supreme Court held that Asis was constructively dismissed. While management possesses the prerogative to transfer employees, this right is not absolute and must be exercised in good faith, without grave abuse of discretion, and for legitimate business purposes. The transfer must not result in demotion, diminution in pay, benefits, or privileges, or cause substantial inconvenience to the employee.
In this case, Asis’s reassignment from detachment commander to ordinary security guard constituted a clear demotion, stripping him of supervisory duties. Furthermore, the transfer to a more distant location would impose additional transportation costs, effectively reducing his net earnings. The employer’s claim that the transfer was due to a client’s request was unsupported by timely and credible evidence; the “Client’s Monthly Assessment” presented only at the Supreme Court stage was a belated, self-serving justification. Consequently, the transfer was unreasonable and constituted constructive dismissal, entitling Asis to full backwages and separation pay in lieu of reinstatement. The NLRC decision was set aside.