G.R. No. 122075 January 28, 1998
HAGONOY RURAL BANK, INC., petitioner, vs. NATIONAL LABOR RELATIONS COMMISSION, BASILIO G. DEL ROSARIO, REYNALDO C. CRUZ, CESAR C. DEL ROSARIO, VICTOR JOVENES, ANTONIA P. RAMIREZ, ARACELI C. CUZON, LIWAYWAY G. BALTAZAR, DAISY D. REYES, FEDERICO OWERA, and RODOLFO MANALO, respondents.
FACTS
Petitioner Hagonoy Rural Bank, Inc. engaged an external auditor in August 1992 to audit its financial affairs. To avoid possible tampering or interference, the bank’s Executive Vice-President gave all employees, except those in the Money Shop, a choice to either voluntarily go on leave or be preventively suspended. All private respondents, except Rodolfo Manalo, chose to go on a 30-day leave without pay from October 16, 1992. Manalo was preventively suspended for 30 days starting October 23, 1992. After the initial period, the employees were told the audit was not over and were asked to extend their leave for another 30 days, which they were told was with pay. After the extended leave, the employees reported for work but were not allowed to return. The final audit report was released on September 29, 1993. On October 23, 1993, through counsel, the bank offered the private respondents reinstatement effective November 2, 1993, which they refused. The private respondents filed complaints for illegal dismissal in September 1993 and February 1994. The Labor Arbiter found the dismissals illegal, ordering reinstatement and payment of back wages, 13th month pay, damages, and attorney’s fees. The NLRC affirmed with modifications. The bank filed this special civil action for certiorari.
ISSUE
Whether the National Labor Relations Commission committed grave abuse of discretion in affirming the Labor Arbiter’s decision that the private respondents were illegally dismissed.
RULING
The Supreme Court dismissed the petition and affirmed the NLRC decision with modification. The Court held that the petitioner failed to prove by substantial evidence that the private respondents abandoned their work or were guilty of the alleged infractions. Abandonment requires a clear intention to sever the employment relationship, which was negated by the private respondents’ pursuit of their complaints. The bank initiated the leave/suspension and failed to formally inform the employees of the audit results or terminate them for cause after the final report. The offer of reinstatement in October 1993, after the complaints were filed, was an admission that there was no valid ground for dismissal. For Rodolfo Manalo, the Court found his preventive suspension exceeded the 30-day limit without pay, and his subsequent dismissal was without the requisite notice and hearing. The award of back wages was modified for Liwayway Baltazar and Victor Jovenes, limiting it to specific periods as it was undisputed they received salaries from November 16, 1992 to March 15, 1993.
