GR 156367; (May, 2005) (Digest)
G.R. No. 156367 ; May 16, 2005
AUTO BUS TRANSPORT SYSTEMS, INC., petitioner, vs. ANTONIO BAUTISTA, respondent.
FACTS
Respondent Antonio Bautista was employed as a driver-conductor by petitioner Auto Bus Transport Systems, Inc. (Autobus) and was paid on a pure commission basis. Following a vehicular accident on January 3, 2000, his employment was terminated. He filed a complaint for illegal dismissal with money claims, including non-payment of 13th month pay and service incentive leave pay (SILP). The Labor Arbiter dismissed the illegal dismissal complaint but awarded both monetary claims.
Petitioner appealed to the NLRC, which deleted the award of 13th month pay, citing P.D. 851 which excludes employees paid on a purely commission basis. However, the NLRC affirmed the award of SILP. Petitioner sought reconsideration, specifically challenging the SILP award, which was denied. The Court of Appeals affirmed the NLRC decision in toto, prompting this petition.
ISSUE
The core issues are: (1) Whether a driver paid on a purely commission basis is entitled to service incentive leave pay; and (2) Whether his claim for SILP had prescribed.
RULING
The Supreme Court denied the petition and affirmed the award of SILP. On the first issue, the Court held that the respondent, as a bus driver, is not a “field personnel” exempt from SILP under the Labor Code’s implementing rules. The exemption under Rule V, Book III applies to employees whose performance is unsupervised by the employer, such as field personnel whose actual hours of work cannot be determined. A bus driver’s hours are not indeterminate; they are governed by specific travel routes and schedules, and their work is necessarily subject to the employer’s control and supervision. Therefore, the exemption does not apply.
On the second issue, the Court ruled that the claim had not prescribed. The three-year prescriptive period under Article 291 of the Labor Code for money claims commences from the time the cause of action accrues. For SILP, the cause of action accrues upon the employee’s separation from service, when the employer fails to pay the commutation of accumulated leave credits. Respondent was dismissed in January 2000 and filed his complaint in February 2000. Thus, his claim was filed well within the three-year prescriptive period.