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Prof. Joselito Guianan Chan's The Labor Code of the Philippines, Annotated Labor Standards & Social Legislation Volume I of a 3-Volume Series 2019 Edition (3rd Revised Edition)
 

 
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UNITED STATES SUPREME COURT JURISPRUDENCE
 

 
PHILIPPINE SUPREME COURT JURISPRUDENCE
 

   
July-1996 Jurisprudence                 

  • G.R. No. 116600 July 3, 1996 - PEOPLE OF THE PHIL. v. REYNALDO LANDICHO

  • G.R. No. 119527 July 3, 1996 - EVELYN J. GARCIA v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 121910 July 3, 1996 - NATIONAL WATERWORKS AND SEWERAGE AUTHORITY, ET AL. v. NLRC

  • G.R. Nos. 98121-22 July 5, 1996 - PEOPLE OF THE PHIL. v. ROMEO R. SALAZAR

  • G.R. No. 100629 July 5, 1996 - ENELYN E. PEÑA, ET AL. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 100699 July 5, 1996 - PEOPLE OF THE PHIL. v. EDGAR C. GUTIERREZ

  • G.R. No. 102377 July 5, 1996 - ALFREDO SAJONAS, ET AL. v. COURT OF APPEALS, ET AL.

  • G.R. No. 102998 July 5, 1996 - BA FINANCE CORPORATION v. COURT OF APPEALS, ET AL.

  • G.R. No. 105583 July 5, 1996 - PEOPLE OF THE PHIL. v. ELEUTERIO TAMPON

  • G.R. No. 106296 July 5, 1996 - ISABELO T. CRISOSTOMO v. COURT OF APPEALS, ET AL.

  • G.R. No. 106413 July 5, 1996 - REPUBLIC OF THE PHIL. v. TACLOBAN CITY ICE PLANT, ET AL.

  • G.R. No. 107698 July 5, 1996 - GLORIA Z. GARBO v. COURT OF APPEALS, ET AL.

  • G.R. No. 107824 July 5, 1996 - SUPERCLEAN SERVICES CORPORATION v. COURT OF APPEALS, ET AL.

  • G.R. No. 109173 July 5, 1996 - CITY OF CEBU v. COURT OF APPEALS, ET AL.

  • G.R. No. 111324 July 5, 1996 - ROMAN CATHOLIC ARCHBISHOP OF MANILA v. COURT OF APPEALS, ET AL.

  • G.R. No. 111549 July 5, 1996 - PEOPLE OF THE PHIL. v. ARTEMIO P. ORTALEZA

  • G.R. Nos. 113178 & 114777 July 5, 1996 - RADIO COMMUNICATIONS OF THE PHIL. v. NLRC, ET AL.

  • G.R. No. 113549 July 5, 1996 - REPUBLIC OF THE PHIL. v. COURT OF APPEALS, ET AL.

  • G.R. No. 113827 July 5, 1996 - PHILIPPINE AIRLINES INC. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 113948 July 5, 1996 - ARMANDO NICOLAS v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 114002 July 5, 1996 - PEOPLE OF THE PHIL. v. ELEUTERIO C. COMPENDIO, JR.

  • G.R. No. 115216 July 5, 1996 - PEOPLE OF THE PHIL. v. DAVID CABILES

  • G.R. No. 115825 July 5, 1996 - FRANKLIN DRILON v. COURT OF APPEALS, ET AL.

  • G.R. No. 116208 July 5, 1996 - PEOPLE OF THE PHIL. v. ESMAEL SALIDO

  • G.R. No. 116693 July 5, 1996 - PURITA DE LA PEÑA, ET AL. v. PEDRO R. DE LA PEÑA, ET AL.

  • G.R. No. 118203 July 5, 1996 - EMILIO A. SALAZAR, ET AL. v. COURT OF APPEALS, ET AL.

  • G.R. No. 118231 July 5, 1996 - VICTORIA L. BATIQUIN, ET AL. v. COURT OF APPEALS

  • G.R. No. 118284 July 5, 1996 - MAMERTO REFUGIA, ET AL. v. COURT OF APPEALS, ET AL.

  • G.R. No. 118562 July 5, 1996 - ANGLO-KMU v. SAMANA BAY, ET AL.

  • G.R. No. 118691 July 5, 1996 - ALEJANDRO BAYOG, ET AL. v. ANTONIO M. NATINO, ET AL.

  • G.R. Nos. 118712 & 118745 July 5, 1996 - LAND BANK OF THE PHIL. v. COURT OF APPEALS, ET AL.

  • G.R. No. 118824 July 5, 1996 - PEOPLE OF THE PHIL. v. ROMEO GARCIA

  • G.R. No. 119069 July 5, 1996 - PEOPLE OF THE PHIL. v. DANILO EXCIJA

  • G.R. No. 119845 July 5, 1996 - ANTONIO M. GARCIA v. COURT OF APPEALS, ET AL.

  • G.R. No. 120949 July 5, 1996 - ARACELI RAMOS FONTANILLA v. PEOPLE OF THE PHIL.

  • G.R. No. 121180 July 5, 1996 - GERARD A. MOSQUERA v. DELIA H. PANGANIBAN, ET AL.

  • G.R. No. 121592 July 5, 1996 - ROLANDO P. DELA TORRE v. COMMISSION ON ELECTIONS, ET AL.

  • G.R. No. 122807 July 5, 1996 - ROGELIO P. MENDIOLA v. COURT OF APPEALS, ET AL.

  • Adm. Matter No. RTJ-91-712 July 9, 1996 - BEN D. MARCES, SR. v. PAUL T. ARCANGEL

  • G.R. No. 88189 July 9, 1996 - PEOPLE OF THE PHIL. v. TIBURCIO ABALOS

  • G.R. No. 103922 July 9, 1996 - SANTIAGO LAND DEVELOPMENT COMPANY v. COURT OF APPEALS, ET AL.

  • G.R. No. 104312 July 9, 1996 - PEOPLE OF THE PHIL. v. MARIO CABALLERO

  • G.R. No. 109563 July 9, 1996 - PHILIPPINE NATIONAL BANK v. COURT OF APPEALS, ET AL.

  • G.R. No. 114058 July 10, 1996 - PEOPLE OF THE PHIL. v. ZALDY B. FRANCISCO

  • G.R. No. 74495 July 11, 1996 - DUMEZ COMPANY, ET AL. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. Nos. 80437-38 July 11, 1996 - PEOPLE OF THE PHIL. v. ROBERTO B. ABORDO

  • G.R. Nos. 94376-77 July 11, 1996 - PEOPLE OF THE PHIL. v. ELMER O. BELGA

  • G.R. No. 103174 July 11, 1996 - AMADO B. TEODORO v. COURT OF APPEALS, ET AL.

  • G.R. No. 103968 July 11, 1996 - PEOPLE OF THE PHIL. v. DIMSON M. GARDE

  • G.R. No. 104860 July 11, 1996 - CITYTRUST BANKING CORPORATION v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 106418 July 11, 1996 - DANIEL L. BORBON II, ET AL. v. SERVICEWIDE SPECIALISTS, INC., ET AL.

  • G.R. No. 109156 July 11, 1996 - STOLT-NIELSEN MARINE SERVICES (PHILS.) INC. v. NLRC, ET AL.

  • G.R. No. 110207 July 11, 1996 - FLORENTINO REYES, ET AL. v. COURT OF APPEALS, ET AL.

  • G.R. No. 116221 July 11, 1996 - PEOPLE OF THE PHIL. v. ALEJANDRO G. GABRIS

  • Adm. Matter No. P-93-995 July 12, 1996 - ROBERTO JALBUENA v. EGARDO GELLADA, ET AL.

  • G.R. No. 88126 July 12, 1996 - REPUBLIC OF THE PHIL. v. SANDIGANBAYAN, ET AL.

  • G.R. No. 96795 July 12, 1996 - ANTONIO M. CORRAL v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 108926 July 12, 1996 - REPUBLIC OF THE PHIL. v. COURT OF APPEALS, ET AL.

  • G.R. Nos. 116128 & 116461 July 12, 1996 - ALLIED BANKING CORP. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 121139 July 12, 1996 - ISIDRO B. GARCIA v. COMMISSION ON ELECTIONS, ET AL.

  • G.R. No. 88822 July 15, 1996 - PEOPLE OF THE PHIL. v. ALEJANDRO M. TUVILLA

  • G.R. No. 117661 July 15, 1996 - DANIEL VILLANUEVA, ET AL. v. COURT OF APPEALS, ET AL.

  • G.R. Nos. 83437-38 July 17, 1996 - PEOPLE OF THE PHIL. v. WILFREDO R. GUARIN

  • G.R. No. 98458 July 17, 1996 - COCOLAND DEV. CORP. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 102037 July 17, 1996 - MELANIO IMPERIAL v. COURT OF APPEALS, ET AL.

  • G.R. No. 106977 July 17, 1996 - PEOPLE OF THE PHIL. v. AQUILIO ACABO

  • G.R. Nos. 109396-97 July 17, 1996 - PEOPLE OF THE PHIL. v. ROMEO S. OARGA

  • G.R. No. 114795 July 17, 1996 - LUCITA Q. GARCES v. COURT OF APPEALS, ET AL.

  • G.R. No. 116728 July 17, 1996 - PEOPLE OF THE PHIL. v. RODELIO S. CRUZ

  • G.R. No. 120496 July 17, 1996 - FIVE STAR BUS CO., INC., ET AL. v. COURT OF APPEALS, ET AL.

  • Adm. Matter No. MTJ-96-1088 July 19, 1996 - RODOLFO G. v. HERNANDO C. DOMAGTOY

  • G.R. Nos. 70168-69 July 24, 1996 - RAFAEL T. MOLINA, ET AL. v. PEOPLE OF THE PHIL., ET AL.

  • G.R. No. 95940 July 24, 1996 - PANTRANCO NORTH EXPRESS, INC. v. NLRC, ET AL.

  • G.R. No. 108052 July 24, 1996 - PHILIPPINE NATIONAL BANK v. COURT OF APPEALS, ET AL.

  • G.R. No. 110241 July 24, 1996 - ASIA BREWERY, INC. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. Nos. 115008-09 July 24, 1996 - PEOPLE OF THE PHIL. v. DANIEL C. QUIJADA

  • G.R. No. 120043 July 24, 1996 - AMERICAN HOME ASSURANCE CO., ET AL v. NLRC, ET AL.

  • G.R. No. 120099 July 24, 1996 - EDUARDO T. RODRIGUEZ v. COMMISSION ON ELECTIONS, ET AL.

  • G.R. No. 120303 July 24, 1996 - FEDERICO GEMINIANO, ET AL. v. COURT OF APPEALS, ET Al.

  • Adm. Matter No. RTJ-96-1336 July 25, 1996 - JOCELYN TALENS-DABON v. HERMIN E. ARCEO

  • G.R. No. 95223 July 26, 1996 - ALLIED BANKING CORPORATION v. COURT OF APPEALS, ET AL.

  • G.R. No. 105673 July 26, 1996 - PEOPLE OF THE PHIL. v. ANTONIO MAGANA

  • G.R. Nos. 105690-91 July 26, 1996 - PEOPLE OF THE PHIL v. RODOLFO CAGUIOA, SR.

  • G.R. No. 110731 July 26, 1996 - SHOPPERS GAIN SUPERMART, ET AL. v. NLRC, ET AL.

  • G.R. No. 111127 July 26, 1996 - ENGRACIO FABRE, JR., ET AL. v. COURT OF APPEALS, ET AL.

  • G.R. No. 112175 July 26, 1996 - PEOPLE OF THE PHIL. v. RODOLFO DIAZ

  • G.R. Nos. 114280 & 115224 July 26, 1996 - PHILIPPINE AIRLINES, INC. v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 115683 July 26, 1996 - DELIA MANUEL v. DAVID ALFECHE, JR., ET AL.

  • G.R. No. 118434 July 26, 1996 - SIXTA C. LIM v. NATIONAL LABOR RELATIONS COMMISSION, ET AL.

  • G.R. No. 119225 July 26, 1996 - PEOPLE OF THE PHIL. v. RODRIGO G. ABUTIN

  • G.R. No. 119328 July 26, 1996 - PROVIDENT INT’L. RESOURCES INC. v. COURT OF APPEALS, ET AL.

  • G.R. No. 119673 July 26, 1996 - IGLESIA NI CRISTO (INC.) v. COURT OF APPEALS, ET AL.

  • Adm. Matter No. MTJ-93-783 July 29, 1996 - OFFICE OF THE COURT ADMINISTRATOR v. FILOMENO PASCUAL

  • G.R. Nos. 97556 & 101152 July 29, 1996 - DAMASO S. FLORES v. COURT OF APPEALS, ET AL.

  • G.R. No. 111639 July 29, 1996 - MIDAS TOUCH FOOD CORPORATION v. NLRC, ET AL.

  • G.R. No. 114313 July 29, 1996 - MGG MARINE SERVICES, INC., ET AL. v. NLRC, ET AL.

  • Adm. Matter No. P-95-1148 July 30, 1996 - PEDRO ROQUE, ET AL. v. ZENAIDA GRIMALDO

  • G.R. No. 102557 July 30, 1996 - ALFONSO D. ZAMORA v. COURT OF APPEALS, ET AL.

  • G.R. No. 108028 July 30, 1996 - PEOPLE OF THE PHIL. v. CRISTINA M. HERNANDEZ

  • G.R. No. 116512 July 30, 1996 - PEOPLE OF THE PHIL. v. LEOPOLDO BACANG, ET AL.

  • G.R. No. 116542 July 30, 1996 - HONGKONG AND SHANGHAI BANKING CORP. v. NLRC, ET AL.

  • G.R. No. 118590 July 30, 1996 - D.M. CONSUNJI, INC. v. RAMON S. ESGUERRA, ET AL.

  • G.R. No. 122241 July 30, 1996 - BOARD OF OPTOMETRY, ET AL. v. ANGEL B COLET, ET. AL.

  • G.R. Nos. 111517-19 July 31, 1996 - PEOPLE OF THE PHIL. v. ROGER N. AUSTRIA

  • G.R. No. 112233 July 31, 1996 - COKALIONG SHIPPING LINES v. OMAR U. AMIN

  • G.R. No. 112611 July 31, 1996 - CLARA ATONG VDA. DE PANALIGAN, ET AL. v. COURT OF APPEALS, ET AL.

  • G.R. No. 116015 July 31, 1996 - GOVERNMENT SERVICE INSURANCE SYSTEM v. COURT OF APPEALS, ET AL.

  • G.R. No. 119306 July 31, 1996 - PEOPLE OF THE PHIL. v. DANTE BELTRAN

  • G.R. No. 121917 July 31, 1996 - ROBIN CARIÑO PADILLA v. COURT OF APPEALS, ET AL.

  • G.R. No. 122274 July 31, 1996 - SUSAN V. LLENES v. ISAIAS P. DICDICAN, ET AL.

  • G.R. No. 122749 July 31, 1996 - ANTONIO A. S. VALDES v. RTC, BRANCH 102, QUEZON CITY, ET AL.

  •  





     
     

    G.R. No. 109156   July 11, 1996 - STOLT-NIELSEN MARINE SERVICES (PHILS.) INC. v. NLRC, ET AL.

     
    PHILIPPINE SUPREME COURT DECISIONS

    SECOND DIVISION

    [G.R. No. 109156. July 11, 1996.]

    STOLT-NIELSEN MARINE SERVICES (PHILS.) INC., Petitioner, v. NATIONAL LABOR RELATIONS COMMISSION, PHILIPPINE OVERSEAS EMPLOYMENT ADMINISTRATION and MEYNARDO J. HERNANDEZ, Respondent.


    D E C I S I O N


    ROMERO, J.:


    Private respondent Meynardo J. Hernandez was hired petitioner Stolt-Nielsen Marine Services (Phils.) Inc. (STOLT-NIELSEN, for short) as radio officer on board M/T Stolt Condor for a period of ten months. He boarded the vessel on January 20, 1990.

    On April 26, 1990, the ship captain ordered private respondent to carry the baggage of crew member Lito Loveria who was being repatriated. He refused to obey the order out of fear in view of the utterance of said crew member "makakasaksak ako" and also because he did not perceive such task as one of his duties as radio officer. As a result of such refusal, private respondent was ordered to disembark on April 30, 1990 and was himself repatriated on May 15, 1990. He was paid his salaries and wages only up to May 16, 1990.

    On June 21, 1990, private respondent filed before public respondent POEA a complaint for illegal dismissal and breach of contract paying for, among other things, payment of salaries, wages, overtime and other benefits due him for the unexpired portion of the contract which was six (6) months and three (3) days.

    Petitioner STOLT-NIELSEN in its answer alleged that on April 26, 1990, private respondent refused to follow the "request" of the master of the vessel to explain to Lolito Loveria the reason for the latter’s repatriation and to assist him in carrying his baggage, all in violation of Article XXIV, Section 1 of the Collective Bargaining Agreement (CBA) and the POEA Standard Contract. Hence, private respondent, after being afforded the opportunity to explain his side, was dismissed for gross insubordination and serious misconduct.

    In reply, he denied that the master of the vessel requested him to explain to Loveria the reason for the latter’s repatriation.

    Thereafter, POEA Administrator Jose N. Sarmiento rendered an award in favor of private respondent, as follows:jgc:chanrobles.com.ph

    "The issue to be resolved is whether or not complainant was complainant was illegally dismissed.

    We rule in the affirmative.

    Record shows that on April 26, 1990, complainant was directed by the master of the vessel to carry the luggage of an outgoing seaman offshore. Complainant, however, refused to obey the said order, hence, his dismissal from his employment.

    Evaluating the reason for complainant’s dismissal, we find the penalty imposed too severe considering the violation committed. To our mind, a warning would have been sufficient since this was the first offense committed. Moreover, as a radio officer, it is not one of his official duties to carry the luggage of outgoing seaman.

    In the light of the foregoing, we hold that complainant’s dismissal due to the aforesaid incident arbitrary, whimsical and contrary to human nature and experience, hence, not justified. Accordingly, he is entitled to his salaries for the unexpired portion of his contract computed as follows:chanrob1es virtual 1aw library

    1. Remaining portion of his contract — 6 months & 3 days

    2. Basic salary — US$1,024.00

    3. Fixed Overtime — 420.00 1

    —————

    Total US$1,434.00

    4. Salary/day = ($1,434/30 days) = US$47.8/day

    5. Salary for 3 days — ($47.8 x 3) = US$143.4

    6. Salary for 6 months — ($1,434 x 6) = US$8,604.00

    7. Salary for the unexpired

    portion of his contract

    (basic salary + fixed O.T.)

    for 6 months and 3 days

    (US$8,604 + 143.4) = US$8,747.40

    Complainant’s claim for day’s leave with pay for the unexpired portion of the contract is hereby denied since the same is only given during actual service.

    The claim for damages is hereby denied for want of jurisdiction.

    Complainant is however entitled to five (5%) percent of the total award as and by way of attorney’s fees.

    WHEREFORE, PREMISES CONSIDERED, judgment is hereby rendered ordering respondent to pay complainant the following or its peso equivalent at the time of payment:chanrob1es virtual 1aw library

    1. EIGHT THOUSAND SEVEN HUNDRED FORTY SEVEN & 40/100 US DOLLARS (US$8,747.40) or its peso equivalent at the time of payment, as salaries for the unexpired portion of his contract.

    2. Five percent (5%) of the total award as and by way of attorney’s fees.

    All other claims are hereby DENIED for lack of merit.

    SO ORDERED." 2

    Aggrieved, petitioner Stolt-Nielsen appealed to the National Labor Relations Commission (NLRC).

    The NLRC, in a resolution 3 dated November 27, 1992, concurred with the POEA Administrator in ruling that private respondent, having been illegally dismissed, was, therefore, entitled to the monetary award. It further stated that private respondent’s duty as a radio officer or radio operator does not include the carrying of the luggage of any seaman or explaining to said seaman the reason for his repatriation. Thus, concluded the NLRC, his termination on this ground was not proper and, therefore, he had every right to the monetary award. The NLRC likewise granted private respondent’s claim for fixed overtime pay and attorney’s fees.

    Petitioner, having moved for reconsideration without success, is before this Court on certiorari.

    The issues posed for resolution in this case are: (a) whether private respondent was legally dismissed on the ground of gross insubordination and serious misconduct; and (b) whether private respondent was entitled to the award of overtime pay.

    With respect to the first issue, petitioner Stolt-Nielsen emphasizes how" (e)mployment on board ocean-going vessels is totally different from land-based ones in that in the former strict and faithful compliance of all lawful commands and orders of the master or captain of the vessel is of paramount and crucial importance." Petitioner then cites Part I, Section A (2) of the POEA Standard Employment Contract which provides:jgc:chanrobles.com.ph

    "2. The seaman binds himself to the following:chanrob1es virtual 1aw library

    ‘a. To faithfully comply with and observe the terms and conditions of this contract, violation of which shall be subject to disciplinary action pursuant to appendix 2 of this crew contract.

    x       x       x


    d. To be obedient to the lawful commands of the master or any person who shall succeed him.’"

    It likewise adverts to Article XXIV, Section 1 of the CBA, viz:jgc:chanrobles.com.ph

    "Authority of the Master

    Section 1. It is understood and agreed that nothing contained in this is intended or shall be construed so as to restrict in any way the superiority of the Master or prevent the obedience of any member of the crew to any lawful order of any superior officer." (Emphasis ours)

    Petitioner contends that since the captain’s order to assist the crew member who was being repatriated in carrying his baggage is lawful, private respondent’s refusal to obey the command is willful, thus warranting his dismissal.

    Article 282 of the Labor Code provides in part:jgc:chanrobles.com.ph

    "Art. 282. Termination by Employer. — An employer may terminate an employment for any of the following causes: a) Serious misconduct or willful disobedience by the employee of the lawful orders of his employer or representative in connection with his work;

    x       x       x


    Willful disobedience of the employer’s lawful orders, as a just cause for the dismissal of an employee, envisages the concurrence of at least two (2) requisites: the employee’s assailed conduct must have been willful or intentional, the willfulness being characterized by a "wrongful and perverse attitude" ; and the order violated must have been reasonable, lawful, made known to the employee and must pertain to the duties which he had been engaged to discharge. 4

    The Court agrees that by virtue of the aforementioned CBA and POEA Standard Contract provisions cited by petitioner, private respondent is indeed bound to obey the lawful commands of the captain of the ship, but only as long as these pertain to his duties. The order to carry the luggage of a crew member, while being lawful, is not part of the duties of a radio officer. Assuming arguendo that lawful commands of a ship captain are supposed to be obeyed by the complement of a ship, private respondent’s so-called "act of disobedience" does not warrant the supreme penalty of dismissal.

    In Gold City Integrated Port Services, Inc. v. NLRC, 5 the Court ruled:jgc:chanrobles.com.ph

    ". . . We believe that not every case of insubordination or willful disobedience by an employee of a lawful work-connected order of the employer or its representative is reasonably penalized with dismissal. For one thing, Article 282 (a) refers to "serious misconduct or willful disobedience . . .." There must be reasonable proportionality between, on the one hand, the willful disobedience by the employee and, on the other hand, the penalty imposed therefor. . . ."cralaw virtua1aw library

    In instant case, the POEA found that private respondent’s actuation which led to his dismissal was the first and only act of disobedience during his service with the petitioner. Furthermore, examination of the circumstances surrounding private respondent’s disobedience shows that the repatriated seaman’s utterance of "makakasaksak ako" so instilled fear in private respondent that he was deterred from carrying out the order of the captain. Hence, his act could not be rightfully characterized as one motivated by a "wrongful and perverse attitude." Besides, said incident posed no serious or substantial danger to the well-being of his other co-employees or of the general public doing business with petitioner employer. Neither did such behavior threaten substantial prejudice to the business of his employer.

    In light of the foregoing, we agree with the NLRC that termination of the private respondent’s services was a disproportionately heavy penalty.

    Coming to the second issue involving the award of overtime pay, the NLRC in its assailed resolution states:jgc:chanrobles.com.ph

    "Anent the overtime pay, complainant alleged that he is entitled thereto as the same is a fixed overtime pay. The respondents failed to controvert said allegations. In short, the complainant’s claim for overtime pay was undisputed and for this reason, the grant of this claim must be upheld." 6

    Petitioner, on the other hand, cites this Court’s pronouncement in Cagampan v. NLRC, 7 thus:jgc:chanrobles.com.ph

    "As regards the question of overtime pay, the NLRC cannot be faulted for disallowing the payment of said pay because it merely straightened out the distorted interpretation asserted by petitioners and defined the correct interpretation of the provision on overtime pay embodied in the contract conformably with settled doctrines on the matter. Notably, the NLRC ruling on the disallowance of overtime pay is ably supported by the fact that petitioners never produced any proof of actual performance of overtime work.

    Petitioners have conveniently adopted the view that the "guaranteed or fixed overtime pay of 30% of the basic salary per month" embodied in their employment contract should be awarded to them as part of a "package benefit." They have theorized that even without sufficient evidence of actual rendition of overtime work, they would automatically be entitled to overtime pay. Their theory is erroneous for being illogical and unrealistic. Their thinking even runs counter to the intention behind the provision. The contract provision means that the fixed overtime pay of 30% would be the basis for computing the overtime pay if and when overtime work would be rendered. Simply stated, the rendition of overtime work and the submission of sufficient proof that said work was actually performed are conditions to be satisfied before a seaman could be entitled to overtime pay which should be computed on the basis of 30% of the basic monthly salary. In short, the contract provision guarantees the right to overtime pay but the entitlement to such benefit must first be established. Realistically speaking, a seaman, by the very nature of his job, stays on board a ship or vessel beyond the regular eight-hour work schedule. For the employer to give him overtime pay for the extra hours when he might be sleeping or attending to his personal chores or even just lulling away his time would be extremely unfair and unreasonable."cralaw virtua1aw library

    Petitioner’s argument is well taken. A close scrutiny of the computation of the monetary award 8 shows that the award for overtime was for the remaining six (6) months and three (3) days of private respondent’s contract at which time he was no longer rendering services as he had already been repatriated. In light of our aforequoted ruling in Cagampan v. NLRC, said award for overtime should be, as it is hereby, disallowed for being unjustified.

    WHEREFORE, the decision of the NLRC is hereby AFFIRMED with the modification that the award for overtime pay should be DELETED.

    SO ORDERED.

    Regalado, Puno, Mendoza and Torres, Jr., JJ., concur.

    Endnotes:



    1. This should be US$410.00. Private Respondent’s Memorandum, Rollo, p. 123.

    2. POEA Decision, Annex "A," Petition, Rollo, pp. 27-30.

    3. Penned by Commissioner Domingo H. Zapanta, with the concurrence of Presiding Commissioner Edna Bonto-Perez and Commissioner Rogelio I. Rayala.

    4. Gold City Integrated Port Services, Inc. v. NLRC, 189 SCRA 811 (1990).

    5. Ibid.

    6. NLRC Resolution, Annex "B," Petition, Rollo, p. 36.

    7. 195 SCRA 533 (1991).

    8. POEA Decision, Annex "A," Petition, Rollo, p. 29.

    G.R. No. 109156   July 11, 1996 - STOLT-NIELSEN MARINE SERVICES (PHILS.) INC. v. NLRC, ET AL.


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