GR 171927; (June, 2007) (Digest)
G.R. No. 171927; June 29, 2007
KEPHILCO MALAYA EMPLOYEES UNION and LEONILO BURGOS, petitioners, vs. KEPCO PHILIPPINES CORPORATION, respondent.
FACTS
Petitioner Leonilo Burgos, President of the Kephilco Malaya Employees Union, was employed by respondent Kepco Philippines Corporation. During a union general membership meeting on February 7, 2003, Burgos, in response to a query about a US$1,000 goodwill gift from the parent company’s president, stated the money was intact and remarked, “The amount of US$1,000 is a small amount compared to a KIA plus ₱700,000, which was possibly offered in exchange for the CBA during the negotiation but which I did not show any interest in.” Respondent, learning of this, charged Burgos with violating its Company Code for disseminating communications tending to discredit the company. Burgos explained the remark referenced a 2000 conversation where a manager, Mr. Kim, allegedly offered him a vehicle and cash, which he interpreted as a test. Kim denied the allegation, but no written statement was presented.
ISSUE
Whether Burgos’s remarks during the union meeting constitute serious misconduct warranting his dismissal from employment.
RULING
No, the dismissal was illegal. The Supreme Court reversed the Court of Appeals and reinstated the NLRC decision. For misconduct to be serious and justify dismissal, it must be willful, of grave character, and show wrongful intent. Burgos’s statement was made in a union meeting, a protected activity, and was an offhand response to a member’s question. The Court found it was not a malicious, premeditated act to discredit the company. The remark, while imprudent, was a recounting of a past incident he perceived as a bribe attempt, which he claimed to have rejected. The company failed to prove the statement was false or made in bad faith. The penalty of dismissal was grossly disproportionate to the infraction. The right to self-organization includes freedom of expression in union activities, provided it is not malicious. Here, the statement did not rise to the level of serious misconduct. Consequently, Burgos is entitled to reinstatement without loss of seniority rights and full backwages.