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FIVE J TAXI v. NLRC

FACTS:

Petitioners Five J Taxi and/or Juan S. Armamento hired private respondents Domingo Maldigan and Gilberto Sabsalon as taxi drivers. They worked for 4 days weekly on a 24-hour shifting schedule and were required to pay a daily "boundary" fee, car wash fee, and a deposit for any deficiency in their "boundary." After a few months, Maldigan failed to report for work and was found to be working for another taxi company. Sabsalon was held up by his passenger, stabbed, and hospitalized. He later returned to work but failed to report for work on several occasions. Eventually, Sabsalon failed to pay his "boundary" and abandoned his taxicab. Maldigan requested reimbursement of his deposits but was told there was none left. Both respondents filed a complaint for illegal dismissal and illegal deductions, which was dismissed by the labor arbiter due to their delay in filing. The NLRC affirmed the dismissal of their illegal dismissal claim but ordered petitioners to pay them their accumulated deposits and car wash payments, plus interest and attorney's fees. Petitioners' motion for reconsideration was denied, prompting them to file this petition.

ISSUES:

  1. Whether private respondents' services were illegally terminated by the petitioners.

  2. Whether the petitioners are liable to pay private respondents their accumulated deposits and car wash payments.

RULING:

  1. The Court agrees with the NLRC's ruling that private respondents' services were not illegally terminated. Private respondent Maldigan was found to have been employed by another taxi company during the period in question, while private respondent Sabsalon abandoned his taxicab and voluntarily left his job. The evidence presented supports the conclusion that they were not unjustly dismissed.

  2. The NLRC correctly ordered the petitioners to pay private respondents their accumulated deposits and car wash payments. The practice of deducting these amounts from the drivers' earnings and not reimbursing them is deemed illegal. The petitioners must also pay interest on the said amounts at the legal rate from the date of promulgation of judgment to the date of actual payment, as well as attorney's fees.

PRINCIPLES:

  • The Court exists for the poor and underprivileged, and has a duty to resolve issues that affect small wage earners.

  • Deducting deposits and car wash payments from the drivers' earnings without reimbursement is illegal.

  • Interest on unpaid amounts may be awarded from the date of promulgation of judgment to the date of actual payment.

  • Attorney's fees may be awarded in cases where workers have been illegally dismissed or their rights have been violated.