In Mallo v. Southeast Asian College, Inc., the Supreme Court ruled that when an employee is neither illegally dismissed nor has abandoned their job, the appropriate remedy is reinstatement to their former position without backwages. This decision underscores the importance of proving either illegal dismissal by the employer or abandonment by the employee to justify monetary awards. The Court emphasized that abandonment requires a clear intention to sever the employment relationship, which was not proven in this case, leading to the order of reinstatement without back pay.

The Case of the Missing Teaching Load: Illegal Dismissal or Misunderstanding?

Melvin P. Mallo, a professor at Southeast Asian College, Inc. (SACI), filed a complaint against SACI and its Executive President, Edita F. Enatsu, alleging unfair labor practice and illegal dismissal. Mallo claimed that after serving as a faculty member for several years, SACI failed to provide him with a teaching load for a new semester, effectively terminating his employment. SACI countered that Mallo was not dismissed, but rather, he failed qualifying tests for one assignment and declined another due to a conflict with a new job. The central legal question was whether SACI illegally dismissed Mallo or whether Mallo abandoned his position.

The Labor Arbiter (LA) initially ruled in favor of Mallo, finding that he was illegally dismissed and awarding him backwages and separation pay. However, the National Labor Relations Commission (NLRC) affirmed the LA’s ruling but modified the amount of 13th-month pay. The Court of Appeals (CA) then reversed the NLRC’s decision, declaring that Mallo had abandoned his job and was not entitled to backwages or separation pay. This divergence in findings necessitated the Supreme Court’s intervention to determine the true nature of Mallo’s separation from SACI.

The Supreme Court began its analysis by reiterating that the employer bears the burden of proving that an employee was not dismissed or that the dismissal was justified. Citing Samar-Med Distribution v. NLRC, the Court emphasized that failure to discharge this burden results in a finding that the dismissal was illegal. However, the Court found that SACI had indeed assigned Mallo a teaching load as a Clinical Instructor, which he initially accepted. Despite failing qualifying tests for the initial assignment, SACI offered him another position, indicating that they did not intend to terminate his employment.

Building on this, the Court then addressed the issue of abandonment. Abandonment, as defined in Tan Brothers Corporation of Basilan City v. Escudero, requires a deliberate and unjustified refusal to resume employment, coupled with a clear intention to sever the employer-employee relationship.

As defined under established jurisprudence, abandonment is the deliberate and unjustified refusal of an employee to resume his employment. It constitutes neglect of duty and is a just cause for termination of employment under paragraph (b) of Article 282 [now Article 296] of the Labor Code. To constitute abandonment, however, there must be a clear and deliberate intent to discontinue one’s employment without any intention of returning. In this regard, two elements must concur: (1) failure to report for work or absence without valid or justifiable reason; and (2) a clear intention to sever the employer-employee relationship, with the second element as the more determinative factor and being manifested by some overt acts.

The Court found no evidence to suggest that Mallo deliberately intended to abandon his job. His act of filing a complaint for illegal dismissal and actively inquiring about his teaching load contradicted any intention to sever his employment. The Court noted that it would be illogical for Mallo to work towards attaining regular employee status only to abandon his position without justification. Thus, the Supreme Court concluded that Mallo neither was illegally dismissed nor had abandoned his job, leading to the order of reinstatement without backwages, consistent with established jurisprudence.

The decision in Mallo v. Southeast Asian College, Inc. highlights the importance of clear communication and documentation in employment relationships. Employers must ensure that assignments and expectations are clearly communicated to employees, while employees must promptly address any concerns or issues with their employment. This case serves as a reminder that the burden of proof lies with the employer to demonstrate that a dismissal was justified, and with the employee to prove abandonment. Ultimately, it reinforces the principle that in the absence of both illegal dismissal and abandonment, reinstatement is the appropriate remedy, albeit without backwages.

FAQs

What was the key issue in this case?	The key issue was whether the employee, Melvin P. Mallo, was illegally dismissed by Southeast Asian College, Inc. or whether he abandoned his job, which would affect his entitlement to backwages and separation pay.
What did the Court ultimately decide?	The Supreme Court decided that Mallo was neither illegally dismissed nor had he abandoned his job. Consequently, the Court ordered his reinstatement to his former position without the award of backwages.
What constitutes abandonment in labor law?	Abandonment requires a deliberate and unjustified refusal to resume employment, coupled with a clear intention to sever the employer-employee relationship. Both elements must be present to legally constitute abandonment.
Who has the burden of proof in illegal dismissal cases?	In illegal dismissal cases, the employer has the burden of proving that the employee was not dismissed or that the dismissal was for a just cause. Failure to meet this burden results in a finding of illegal dismissal.
What is the significance of filing a complaint for illegal dismissal?	Filing a complaint for illegal dismissal generally negates any intention on the part of the employee to abandon their job. It demonstrates that the employee wishes to maintain the employment relationship.
What is the remedy when there is neither illegal dismissal nor abandonment?	When there is neither illegal dismissal by the employer nor abandonment by the employee, the proper remedy is reinstatement to the former position, but without the award of backwages.
Why was Mallo not awarded backwages in this case?	Mallo was not awarded backwages because the Court found that he was not illegally dismissed, and his failure to work was not due to the employer’s actions. Since he also did not abandon his post, reinstatement was deemed appropriate.
What evidence did the employer present to show Mallo was not dismissed?	The employer presented evidence that Mallo was initially assigned a teaching load, and when he failed the qualifying tests for that assignment, he was offered another position. This suggested the employer did not intend to terminate his employment.

In conclusion, the Supreme Court’s decision in Mallo v. Southeast Asian College, Inc. provides valuable guidance on the remedies available when employment disputes arise that do not result in clear-cut illegal dismissal or abandonment. The ruling emphasizes the importance of proving intent and the burden of proof in labor cases.

For inquiries regarding the application of this ruling to specific circumstances, please contact ASG Law through contact or via email at frontdesk@asglawpartners.com.

Disclaimer: This analysis is provided for informational purposes only and does not constitute legal advice. For specific legal guidance tailored to your situation, please consult with a qualified attorney.
Source: MELVIN P. MALLO, VS. SOUTHEAST ASIAN COLLEGE, INC., G.R. No. 212861, October 14, 2015