G.R. No. L-23281 August 10, 1967
Billy Millares, petitioner-appellee, vs. Abelardo Subido, ET AL., respondent. Abelardo Subido, in his capacity as Acting Commissioner of Civil Service and Jose Erestain, in his capacity as City Auditor of Manila, respondents-appellants.

FACTS

Billy Millares, a lawyer employed since 1946, was appointed “Technical Assistant on Fiscal Matters” in the office of the Mayor of Manila at P6,600.00 per annum, effective July 1, 1962. The appointment, noted as a transfer from his previous position as Field Supervisor in the City Treasurer’s office at P3,120.00 p.a., was approved by the Chief of the Personnel Transactions Division of the Civil Service Commission. On February 8, 1963, Acting Civil Service Commissioner Abelardo Subido issued an order terminating Millares’s services, citing grounds that the position did not require legal knowledge (making Millares’s bar eligibility equivalent only to second grade, thus limiting his salary to P3,720.00), Millares lacked courses in economics or finance, the approval by the Division Chief was unauthorized for salaries over P4,800.00, the position should have been filled by certification from eligibles, and the transfer was irregular. Following this order, payment of Millares’s salary was discontinued. Millares filed an action for mandamus in the Court of First Instance of Manila, arguing the Commissioner had no authority to terminate his services without administrative charges and that the salary withholding violated the Constitution and Republic Act 2260. The trial court ruled in favor of Millares, declaring the termination order null and void and ordering payment of his salary. The Commissioner and city officials appealed.

ISSUE

1. Whether Millares was qualified for the position of Technical Assistant on Fiscal Matters.
2. Whether Millares’s appointment complied with Civil Service rules on certification and transfer.
3. Whether there was valid approval of Millares’s appointment by the Civil Service Commission.
4. Whether the Civil Service Commissioner had authority to order the revocation or cancellation of an already approved appointment.
5. Whether the Civil Service Commissioner had authority to order the termination of Millares’s services.
6. Whether the court proceeding instituted by Millares was proper.

RULING

1. On Qualification: Millares was qualified. His assigned duties, which included studying revenue collection, investigating cases on city finances, and proposing revenue ordinances, required the use of legal knowledge. Under Republic Act 1080, as amended, his bar eligibility (involving more than four years of study) was properly convertible to first grade eligibility for a position involving professional legal knowledge. While knowledge of economics and finance was desirable, there was no showing other better-qualified eligibles were available or that Millares was incompetent.
2. On Certification and Transfer: The appointment was invalid as a transfer. Civil Service rules required that a transfer should not involve a substantial increase in salary (defined as over 25%). Millares’s transfer from a P3,120.00 position to one at P6,600.00 constituted a promotion, not a mere transfer, and thus required certification from a list of eligibles, which was not done.
3. On Approval of Appointment: The Court found it unnecessary to rule on the validity of the approval by the Chief of the Personnel Transactions Division, as the appointment was already invalid due to the improper transfer/promotion.
4. On Authority to Revoke Appointment: The Civil Service Commissioner has exclusive jurisdiction over the approval of appointments. He could withhold approval of an invalid appointment.
5. On Authority to Terminate Services: The Commissioner’s order terminating Millares’s services was invalid. The Commissioner’s power of removal is disciplinary and can only be exercised for causes provided by law (Republic Act 2260, Section 33) after due notice and hearing. An improper transfer is not a ground for dismissal.
6. On Propriety of Court Proceeding: The court proceeding was proper. The Commissioner’s action was in the exercise of his power to approve appointments, which is exclusive and not subject to administrative appeal on the merits. Thus, the doctrine of exhaustion of administrative remedies did not apply.
Dispositive: The decision was modified. The Court upheld the Commissioner’s authority to withhold approval of Millares’s appointment insofar as it involved an immediate increase to P6,600.00 per annum due to the invalid transfer/promotion. However, the order terminating Millares’s employment was declared invalid. Millares was to be paid for actual services rendered at his previous rate of P3,120.00 per annum for the first three months following his transfer, and at the full P6,600.00 rate thereafter. No costs.