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MERCIDAR FISHING CORPORATION v. NLRC

FACTS:

Mercidar Fishing Corporation (petitioner) filed a petition for certiorari to set aside the decision of the National Labor Relations Commission (NLRC) dismissing its appeal from the Labor Arbiter's decision. The case started when Fermin Agao, Jr. (private respondent) filed a complaint against petitioner for illegal dismissal, violation of P.D. No. 851, and non-payment of service incentive leave. Private respondent claimed that he was constructively dismissed by petitioner when he was refused assignments after reporting to work. On the other hand, petitioner asserted that private respondent had abandoned his work. The Labor Arbiter ruled in favor of private respondent and ordered petitioner to reinstate him with backwages, 13th-month pay, and incentive leave pay. Petitioner appealed to the NLRC, which dismissed the appeal for lack of merit. Petitioner argued that fishing crew members, like private respondent, cannot be classified as field personnel under the Labor Code. The NLRC denied petitioner's motion for reconsideration. The case is now before the Supreme Court through a petition filed by petitioner.

ISSUES:

  1. Whether fishing crew members, such as Fermin Agao, Jr., can be classified as field personnel under Article 82 of the Labor Code.

  2. Whether the petitioner, Mercidar Fishing Corporation, had constructively dismissed Fermin Agao, Jr. from employment.

RULING:

  1. Fishing crew members cannot be classified as field personnel under Article 82 of the Labor Code. The Supreme Court held that fishermen, although they perform non-agricultural work away from the principal place of business, are under the effective control and supervision of their employer throughout the duration of their work on the vessel.

  2. Petitioner had constructively dismissed Fermin Agao, Jr. from employment. The Court supported the NLRC's finding that Mercidar Fishing Corporation constructively dismissed Agao based on substantial evidence, including a medical certificate of fitness presented by the respondent when he reported back to work. The Court emphasized that the factual findings of quasi-judicial bodies like the NLRC are generally binding if supported by evidence.

PRINCIPLES:

  • Legal Definition of Field Personnel Field personnel refers to non-agricultural employees who regularly perform their duties away from the principal place of the business or branch office of the employer and whose actual hours of work in the field cannot be determined with reasonable certainty. This classification excludes employees who, despite being away from the principal place of business, remain under the effective control and supervision of their employers.

  • Constructive Dismissal Constructive dismissal occurs when an employer's actions make continued employment impossible, unreasonable, or unlikely. It includes cases where the employee is offered less favorable work conditions or not given any assignments despite reporting to work.

  • Factual Findings of Quasi-Judicial Bodies The factual findings of quasi-judicial bodies, such as the NLRC, are generally binding and respected by higher courts as long as they are supported by substantial evidence.

  • Abandonment For abandonment to be a valid ground for termination, there must be both an intention to abandon and some overt act from which it can be inferred that the employee has no more interest in working. Filing a complaint for reinstatement is inconsistent with the intention to abandon.

  • Reinstatement Despite Strained Relations Reinstatement may still be ordered even if relations between the parties are strained, especially if the employer shows a consistent offer to reinstate the employee.