Private respondent Romeo Acedillo began working for
petitioner as a helper-electrician. Then he received a letter from petitioner informing him of his severance from the company allegedly due to lack of available projects and excess in the number of workers needed The Romeo filed complaint against the petition for illegal dismissal in the NLRC because he learned that new workers were hire The petitioner contended that its workers are hired on a contractual or project basis, and their employment is deemed terminated upon completion of the project for which they were hired. And further argue argued that Acedillo was not a regular employee because his employment was for a definite period and apparently made only to augment the regular work force. ISSUE Whether or not the respondents is part of the regular work pool. HELD Petitioner is to be reminded that a project employee is one whose "employment has been fixed for a specific project or undertaking, the completion or termination of which has been determined at the time of the engagement of the employee or where the work or services to be performed is seasonal in nature and the employment is for the duration of the season.“ The records reveal that petitioner did not specify the duration and scope of the undertaking at the time Acedillo's services were contracted. Petitioner could have easily presented an employment contract showing that he was engaged only for a specific project, but it failed to do so. It is not even clear if Acedillo ever signed an employment contract with petitioner. Neither is there any proof that the duration of his assignment was made clear to him other than the self-serving assertion of petitioner that the same can be inferred from the tasks he was made to perform. It is not even clear if Acedillo ever signed an employment contract with petitioner. Neither is there any proof that the duration of his assignment was made clear to him other than the self-serving assertion of petitioner What is clear is that Acedillo's work as a helper- electrician was an activity "necessary or desirable in the usual business or trade" of petitioner, since refrigeration requires considerable electrical work. This necessity is further bolstered by the fact that petitioner would hire him anew after the completion of each project, a practice which persisted throughout the duration of his DOUGLAS MILLARES and ROGELIO LAGDA, petitioners, vs. NATIONAL LABOR RELATIONS COMMISSION, TRANS-GLOBAL MARITIME AGENCY, INC. and ESSO INTERNATIONAL SHIPPING CO., LTD. respondents. FACTS Petitioner Douglas Millares was employed by private respondent ESSO International Shipping Company LTD, through its local manning agency, private respondent Trans-Global Maritime Agency, Inc. as a machinist.he was promoted as Chief Engineer which position he occupied until he opted to retire in 1989. He was then receiving a monthly salary of US $1,939.00. Millares filed a leave of absence and applied for optional retirement plan under the Consecutive Enlistment Incentive Plan (CEIP) considering that he had already rendered more than twenty years of continuous service but it was denied for the following reason: 1. he was employed on a contractual basis; 2. his contract of enlistment (COE) did not provide for retirement before the age of sixty years; and 3. he did not comply with the requirement for claiming benefits under the CEIP, after failing to return to work after the expiration of his leave of absence then esso advised millares that his absence wihout leave is equivalent to abandonment of his position
On the other hand Lagda likewise filed a leave of
absence and applied to avail of the optional early retirement plan in view of his twenty years continuous service in the company. Trans-global similarly denied Lagda’s request for availment of the optional early retirement scheme on the same grounds upon which Millares request was denied. Where lagada was also advised that he was also dropped from the roster of crew members because of his unavailability for contractual sea service Millares and Lagda filed a complaint-affidavit for illegal dismissal and non-payment of employee benefits against private respondents Esso International and Trans-Global before the POEA. The POEA rendered a decision dismissing the complaint for lack of merit. On appeal, NLRC affirmed the decision of the POEA dismissing the complaint because of the reason that seamen and overseas contract workers are not covered by the term “regular employment” as defined under Article 280 of the Labor Code. ISSUE WHETHER OR NOT THE PETITIONERS ARE CONSIDER AS REGULAR EMPLOYEE HELD They can not be considered as regular employees under Article 280 of the Labor Code. Their employment is governed by the contracts they sign every time they are rehired and their employment is terminated when the contract expires. Their employment is contractually fixed for a certain period of time. They fall under the exception of Article 280 whose employment has been fixed for a specific project or undertaking the completion or termination of which has been determined at the time of engagement of the employee or where the work or services to be performed is seasonal in nature and the employment is for the duration of the season. Overseas workers including seafarers fall under this type of employment which are governed by the mutual agreements of the parties. POSEIDON FISHING/TERRY DE JESUS, petitioners Vs. NATIONAL LABOR RELATIONS COMMISSION and JIMMY S. ESTOQUIA, Respondents. FACTS Petitioner Poseidon Fishing is a fishing company engaged in the deep-sea fishing industry.One of its boat crew was private respondent Jimmy S. Estoquia.]Petitioner Terry de Jesus is the manager of petitioner company Private respondent was employed by Poseidon Fishing in January 1988 as Chief Mate. After five years, he was promoted to Boat Captain but got demoted to Radio Operator for no certain reason On 3 July 2000, private respondent failed to record a 7:25 a.m. call in one of the logbooks. but, recorded in another logbook. Then when he reviewed the two logbooks, he noticed that he was not able to record the said call in one of the logbooks so he immediately recorded the 7:25 a.m. call after the 7:30 a.m. entry. Around 9am petitioner Jesus, the manager, detected the error in the entry in the logbook. And asked for the respondent and give a explanation.
At around 2:00 o’clock in the afternoon of that same day,
petitioner Poseidon’s secretary, summoned private respondent to get his separation pay amounting to Fifty- Five Thousand Pesos (P55,000.00). However, he refused to accept the amount as he believed that he did nothing illegal to warrant his immediate discharge from work. Private respondent then filed a complaint for illegal dismissal with the Labor Arbiter Petetioner contended that Estoquia was a contractual or casual employee;that he was being employed only on a “por viaje” (per trip) basis and that his employment would be terminated at the end of the trip for which he was being hired per the “Kasunduan” with him. Petitioners also asserted that deep-sea fishing is a seasonal industry as catching of fish could only be undertaken for a limited duration or seasonal within a given year and thus Estoquia was a seasonal or project employee. ISSUE WHETHER OR NOT THE PRIVATE RESPONDENT IS A REGULAR EMPLOYEE HELD The court held that as petitioners themselves admitted in their petition before this Court, private respondent was repeatedly hired as part of the boats crew and he acted in various capacities onboard the vessel. In Integrated Contractor and Plumbing Works, Inc. v. National Labor Relations Commission,[20] we held that the test to determine whether employment is regular or not is the reasonable connection between the particular activity performed by the employee in relation to the usual business or trade of the employer. And, if the employee has been performing the job for at least one year, even if the performance is not continuous or merely intermittent, the law deems the repeated and continuing need for its performance as sufficient evidence of the necessity, if not indispensability of that activity to the business Maraguinot Jr. v. National Labor Relations Commission established that once a project or work pool employee has been (1) continuously (vs. intermittently) re-hired by the same employer for the same tasks or nature of tasks; and (2) these tasks are vital, necessary and indispensable to the usual business or trade of the employer, the employee must be deemed a regular employee. It also held that the ruling in the Brent case could not apply in the case at bar. The acid test in considering fixed- term contracts as valid is: if from the circumstances it is apparent that periods have been imposed to preclude acquisition of tenurial security by the employee, they should be disregarded for being contrary to public policy.